UNITED STATES
	SECURITIES AND EXCHANGE COMMISSION
	Washington, D.C. 20549

	FORM 10-Q

[X]	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2008 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 0-15442

	MORGAN STANLEY CORNERSTONE FUND IV L.P.

	(Exact name of registrant as specified in its charter)

		New York						      13-3393597
(State or other jurisdiction of		   		  (I.R.S. Employer
incorporation or organization)			       Identification No.)

Demeter Management Corporation
522 Fifth Avenue, 13th Floor
New York, NY		    					  	   10036
(Address of principal executive offices)	  	      (Zip Code)

Registrant?s telephone number, including area code    (212) 296-1999






(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___________

Indicate by check mark whether the registrant is a large accelerated
filer, an accelerated filer, a non-accelerated filer, or a smaller
reporting company.  See the definitions of ?large accelerated filer?,
?accelerated filer? and ?smaller reporting company? in Rule 12b-2 of the
Exchange Act.

Large accelerated filer_______ 		Accelerated filer_______
Non-accelerated filer   X   		Smaller reporting company_______

Indicate by check mark whether the registrant is a shell company (as
defined in Rule 12b-2 of the Exchange Act).  Yes___  No X


	<page> <table> MORGAN STANLEY CORNERSTONE FUND IV L.P.

	INDEX TO QUARTERLY REPORT ON FORM 10-Q

	June 30, 2008
<caption>



PART I. FINANCIAL INFORMATION

				<c>
Item 1. Financial Statements

		Statements of Financial Condition as of June 30, 2008
		(Unaudited) and December 31, 2007	2

		Statements of Operations for the Three and Six Months
		Ended June 30, 2008 and 2007 (Unaudited)	3

		Statements of Changes in Partners? Capital for the
		Six Months Ended June 30, 2008 and 2007 (Unaudited)	4

		Statements of Cash Flows for the Six Months Ended
		June 30, 2008 and 2007 (Unaudited)	5

		Condensed Schedules of Investments as of June 30, 2008
		(Unaudited) and December 31, 2007	.6

		Notes to Financial Statements (Unaudited)	7-14

Item 2.	Management?s Discussion and Analysis of
			Financial Condition and Results of Operations	15-27

Item 3.	Quantitative and Qualitative Disclosures About
			Market Risk	27-37

Item 4.	Controls and Procedures	37-38

Item 4T.	Controls and Procedures	..38


PART II. OTHER INFORMATION

Item 1A.Risk Factors 	39

Item 5.	Other Information....................................39-40

Item 6.	Exhibits 	41
</table>


<page> <table> PART I.  FINANCIAL INFORMATION

Item 1.  Financial Statements

	MORGAN STANLEY CORNERSTONE FUND IV L.P.
	STATEMENTS OF FINANCIAL CONDITION
<caption>
	June 30,	     December 31,
	       2008      	    2007
	$	$
	(Unaudited)
ASSETS

	<c>	<c>
Trading Equity:
	Unrestricted cash	33,366,817     	    34,224,360
	Restricted cash	          ?     		        836,349

	     Total cash	   33,366,817	 35,060,709

	Net unrealized gain (loss) on open contracts  (MS&Co.)   	       746,064       	                  (393,917)

		Total Trading Equity    	34,112,881      	34,666,792

Interest receivable (MS&Co.)	42,646         	           70,792
Due from MS&Co.	               693	           17,409

	     Total Assets	      34,156,220       	       34,754,993

LIABILITIES AND PARTNERS? CAPITAL

Liabilities

Redemptions payable	505,357	487,407
Accrued administrative fees payable	119,806	118,118
Accrued management fees	          99,273	         101,024

	     Total Liabilities	        724,436	         706,549

Partners? Capital

Limited Partners (6,212.312  and
   6,939.595 Units, respectively)	32,878,826	 33,543,431
General Partner (104.479 Units)	         552,958	        505,013

	     Total Partners? Capital	    33,431,784	   34,048,444

	     Total Liabilities and Partners? Capital	    34,156,220  	     34,754,993

NET ASSET VALUE PER UNIT	        5,292.53	       4,833.63
<fn>

The accompanying notes are an integral part
of these financial statements. </table>
<page> <table> 	MORGAN STANLEY CORNERSTONE FUND IV L.P.
	STATEMENTS OF OPERATIONS
(Unaudited)
<caption>
                     For the Three Months	                       For the Six Months
  	                  Ended June 30,     	                          Ended June 30,

                                 2008   	        2007    	      2008   	    2007
                              $	           $	         $	 $

	<c>	<c>			<c>		                   <c>
INVESTMENT INCOME
	Interest income (MS&Co.)        	       112,822	        402,827      	      260,433                 871,903


EXPENSES
	Management fees	                                                   299,235	 402,359	613,496 		811,068
	Brokerage fees (MS&Co.)	181,698	398,463  	455,359		761,773
	Administrative expenses	       33,000 	               43,000       	     69,000 	 	           87,000

		   Total Expenses 	            513,933        	      843,822        	   1,137,855		   1,659,841

NET INVESTMENT LOSS 	    (401,111)     	      (440,995)   	      (877,422)		    (787,938)


TRADING RESULTS
Trading profit (loss):
	Realized	                                              (320,541)	  4,689,939    	2,911,257		971,649
	Net change in unrealized	   (978,948)       	      391,313    	   1,139,981	               (412,541)

		  Total Trading Results	              (1,299,489)	   5,081,252      	    4,051,238		      559,108


NET INCOME (LOSS)	     (1,700,600)      	   4,640,257      	    3,173,816		   (228,830)


NET INCOME (LOSS) ALLOCATION

	Limited Partners	(1,674,142)	4,582,356     	3,125,871	        	(228,275)
	General Partner 	(26,458)	57,901	47,945		(555)


NET INCOME (LOSS) PER UNIT

	Limited Partners         	(253.24)                554.18	  	458.90    	      (5.31)
	General Partner              	(253.24)                554.18	   	458.90  	      (5.31)

			                                                                       Units                   Units	Units	          Units
WEIGHTED AVERAGE NUMBER
	OF UNITS OUTSTANDING                                 6,471.315		8,211.977		6,660.287	8,443.767
<fn>

	The accompanying notes are an integral part
	of these financial statements.
</table>
<page> <table> MORGAN STANLEY CORNERSTONE FUND IV L.P.
STATEMENTS OF CHANGES IN PARTNERS? CAPITAL
For the Six Months Ended June 30, 2008 and 2007
(Unaudited)

<caption>



	 Units of
	   Partnership	Limited	  General
	   Interest   	Partners	   Partner  	     Total
		$	$	$

	<c>	<c>	<c>	<c>
Partners? Capital,
   December 31, 2006	 8,897.859	 49,470,851	  587,791	50,058,642

Net Loss                                                                   ? 	  	(228,275)	(555)	(228,830)

Redemptions	     (900.700)	   (4,880,863)	                   ?      	   (4,880,863)

Partners? Capital,
   June 30, 2007                                                7,997.159	 	  44,361,713	    587,236	   44,948,949





Partners? Capital,
   December 31, 2007	 7,044.074	 33,543,431	  505,013	34,048,444

Net Income                                                                   ? 	  	3,125,871	47,945	3,173,816

Redemptions	     (727.283)	   (3,790,476)	                   ?      	   (3,790,476)

Partners? Capital,
   June 30, 2008                                               6,316.791	 	  32,878,826	    552,958	   33,431,784






<fn>



The accompanying notes are an integral part
of these financial statements.
</table>
<page> <table> 	MORGAN STANLEY CORNERSTONE FUND IV L.P.
	STATEMENTS OF CASH FLOWS
(Unaudited)

<caption>

	    For the Six Months Ended June 30,

	      2008     	      2007
	      $	      $


CASH FLOWS FROM OPERATING ACTIVITIES
,s>			<c>	<c>
Net income (loss) 	3,173,816	(228,830)
Noncash item included in net income (loss):
       Net change in unrealized                                                    	   (1,139,981)	412,541

(Increase) decrease in operating assets:
       Restricted cash 	836,349	(68,857)
       Interest receivable (MS&Co.)	28,146	28,157
       Due from MS&Co.	16,716	(46,046)

Increase (decrease) in operating liabilities:
       Accrued administrative expenses	         1,688	       11,521
       Accrued management fees 	             (1,751)	         (16,728)

Net cash provided by operating activities	    2,914,983	        91,758


CASH FLOWS FROM FINANCING ACTIVITIES

Cash paid for redemptions of Units	  (3,772,526)	   (5,489,723)

Net cash used for financing activities	   (3,772,526)	   (5,489,723)

Net decrease in unrestricted cash	   (857,543)	(5,397,965)

Unrestricted cash at beginning of period	   34,224,360	   50,007,010

Unrestricted cash at end of period	   33,366,817	  44,609,045




<fn>




	The accompanying notes are an integral part
	of these financial statements.

</table>


<page> <table> MORGAN STANLEY CORNERSTONE FUND IV L.P.
CONDENSED SCHEDULES OF INVESTMENTS
June 30, 2008 (Unaudited) and December 31, 2007

<caption>



Futures and Forward Contracts
Long
Unrealized
Gain/(Loss)

Percentage of
   Net Assets
    Short
Unrealized
Gain/(Loss)

Percentage of
  Net Assets
      Net
Unrealized
Gain/(Loss)

$
%
$
%
$

June 30, 2008, Partnership Net Assets:  $33,431,784




<c>
<c>
<c>
<c>
<c>
Foreign currency
  1,024,744
        3.06
 (278,680)
      (0.83)
  746,064






     Grand Total:
  1,024,744
        3.06
 (278,680)
      (0.83)
 746,064

     Unrealized Currency Gain/(Loss)





         ?

     Total Net Unrealized Gain



   746,064



 (393,917)

December 31,  2007, Partnership Net Assets:  $34,048,444









Foreign currency
   (686,274)
       (2.02)
    292,357
       0.86
 (393,917)






     Grand Total:
   (686,274)
       (2.02)
    292,357
       0.86
 (393,917)

     Unrealized Currency Gain/(Loss)





         ?

     Total Net Unrealized Loss



 (393,917)





<fn>











The accompanying notes are an integral part
of these financial statements.
</table>

<page> MORGAN STANLEY CORNERSTONE FUND IV L.P.
NOTES TO FINANCIAL STATEMENTS

June 30, 2008

(Unaudited)


The unaudited financial statements contained herein include, in
the opinion of management, all adjustments necessary for a fair
presentation of the results of operations and financial condition
of Morgan Stanley Cornerstone Fund IV L.P. (the "Partnership").
The financial statements and condensed notes herein should be
read in conjunction with the Partnership?s December 31, 2007,
Annual Report on Form 10-K.

1.  Organization
Morgan Stanley Cornerstone Fund IV L.P. is a New York limited
partnership organized in 1986 to engage in the speculative
trading of futures contracts, options on futures contracts, and
forward contracts on foreign currencies (collectively, ?Futures
Interests?).  The Partnership is one of the Morgan Stanley
Cornerstone Funds, comprised of the Partnership, Morgan Stanley
Cornerstone Fund II L.P., and Morgan Stanley Cornerstone Fund III
L.P.

The Partnership?s general partner is Demeter Management
Corporation (?Demeter?). The commodity broker is Morgan Stanley
& Co. Incorporated (?MS&Co.?).  MS&Co. also acts as the

<page> MORGAN STANLEY CORNERSTONE FUND IV L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

counterparty on all trading of foreign currency forward
contracts.  Demeter and MS&Co. are wholly-owned subsidiaries of
Morgan Stanley. The trading managers to the Partnership are John
W. Henry & Company, Inc.  and Sunrise Capital Management, Inc.
(individually, a "Trading Manager", or collectively, the "Trading
Managers").

2.  Related Party Transactions
The Partnership?s cash is on deposit with MS&Co. in futures,
forward, and options trading accounts to meet margin requirements
as needed.  Monthly, MS&Co. pays the Partnership interest income
on 80% of its average daily Net Assets at a rate equal to the
average yield on 13-week U.S. Treasury bills.  The Partnership
pays brokerage commissions to MS&Co.

3.  Income Taxes
No provision for income taxes has been made in the accompanying
financial statements, as partners are individually responsible
for reporting income or loss based upon their respective share of
the Partnership?s revenues or expenses for income tax purposes.
The Partnership files U.S. federal and state tax returns.  The
2004 through 2007 tax years generally remain subject to
examination by U.S. federal and most state tax authorities.


<page> MORGAN STANLEY CORNERSTONE FUND IV L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)



4.  Financial Instruments
The Partnership trades Futures Interests.  Futures and forwards
represent contracts for delayed delivery of an instrument at a
specified date and price.  Risk arises from changes in the value
of these contracts and the potential inability of counterparties
to perform under the terms of the contracts.  There are numerous
factors which may significantly influence the market value of
these contracts, including interest rate volatility.

The market value of exchange-traded contracts is based on the
settlement price quoted by the exchange on the day with respect
to which market value is being determined.  If an exchange-traded
contract could not have been liquidated on such day due to the
operation of daily limits or other rules of the exchange, the
settlement price shall be the settlement price on the first
subsequent day on which the contract could be liquidated.  The
market value of off-exchange-traded contracts is based on the
fair market value quoted by the counterparty.


The Partnership?s contracts are accounted for on a trade-date
basis and marked to market on a daily basis. The Partnership
accounts for its derivative investments in accordance with the


<page> MORGAN STANLEY CORNERSTONE FUND IV L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
provisions of Statement of Financial Accounting Standards No.
133, "Accounting for Derivative Instruments and Hedging
Activities" ("SFAS No. 133").  SFAS No. 133 defines a derivative
as a financial instrument or other contract that has all three of
the following characteristics:

1)	One or more underlying notional amounts or payment
provisions;
2)	Requires no initial net investment or a smaller initial net
investment than would be required relative to changes in
market factors;
3)	Terms require or permit net settlement.


Generally, derivatives include futures, forward, swap or options
contracts, and other financial instruments with similar
characteristics such as caps, floors, and collars.

The net unrealized gains(losses) on open contracts, reported as a
component of "Trading Equity" on the Statements of Financial
Condition, and their longest contract maturities were as follows:
<table> <caption>
                  Net Unrealized Gains/(Losses)
                        on Open Contracts                Longest Maturities

                 Exchange-  Off-Exchange-             Exchange-  Off-Exchange-
Date              Traded      Traded       Total       Traded       Traded
                     $          $            $

		<c>     <c>         <c>          <c>       <c>
Jun. 30, 2008	-	746,064	746,064	-	Sep. 2008
Dec. 31, 2007	-	      (393,917)	     (393,917)	-	Mar. 2008
</table>


<page> MORGAN STANLEY CORNERSTONE FUND IV L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

The Partnership has credit risk associated with counterparty non-
performance.  As of the date of the financial statements, the
credit risk associated with the instruments in which the
Partnership trades is limited to the amounts reflected in the
Partnership?s Statements of Financial Condition.

The Partnership also has credit risk because MS&Co. acts as the
futures commission merchant or the counterparty, with respect to
most of the Partnership?s assets. Exchange-traded futures,
exchange-traded forward, and exchange-traded futures-styled
options contracts are marked to market on a daily basis, with
variations in value settled on a daily basis.  MS&Co. as a
commodity broker for the Partnership?s exchange-traded futures,
exchange-traded forward, and exchange-traded futures-styled
options contracts, is required, pursuant to regulations of the
Commodity Futures Trading Commission ("CFTC"), to segregate from
its own assets, and for the sole benefit of its commodity
customers, all funds held by it with respect to exchange-traded
futures, exchange-traded forward, and exchange-traded futures-
styled options contracts, including an amount equal to the net
unrealized gains (losses) on all open exchange-traded futures,
exchange-traded forward, and exchange-traded futures-styled
options contracts.  With respect to the Partnership?s off-

<page> MORGAN STANLEY CORNERSTONE FUND IV L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)


exchange-traded forward currency contracts, there are no daily
settlements of variation in value, nor is there any requirement
that an amount equal to the net unrealized gains (losses) on such
contracts be segregated.  However, the Partnership is required to
meet margin requirements equal to the net unrealized loss on open
forward currency contracts in the Partnership accounts with the
counterparty, which is accomplished by daily maintenance of the
cash balance in a custody account held at MS&Co.  With respect to
those off-exchange-traded forward currency contracts, the
Partnership is at risk to the ability of MS&Co., the sole
counterparty on all such contracts, to perform.  The Partnership
has a netting agreement with MS&Co.  This agreement, which seeks
to reduce both the Partnership?s and MS&Co.?s exposure on off-
exchange-traded forward currency contracts, should materially
decrease the Partnership?s credit risk in the event of MS&Co.?s
bankruptcy or insolvency.



5.  New Accounting Developments
In September 2006, the Financial Accounting Standards Board
(?FASB?) issued Statement of Financial Accounting Standards No.
157 (?SFAS 157?), ?Fair Value Measurements?.  SFAS 157 requires
use of a fair value hierarchy that prioritizes the inputs to
valuation techniques used to measure fair value into three
levels: Level 1 ? quoted market prices in active markets for

<page> MORGAN STANLEY CORNERSTONE FUND IV L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)



identical assets and liabilities; Level 2 ? inputs other than
quoted market prices that are observable for the asset or
liability, either directly or indirectly (including quoted prices
for similar investments, interest rates, credit risk); and Level
3 ? unobservable inputs for the asset or liability (including the
Partnership?s own assumptions used in determining the fair value
of investments).

Demeter evaluated the impact of adopting SFAS 157 on the
Partnership?s financial statements.  The Partnership adopted SFAS
157 as of January 1, 2008.  Based on its analysis, the effect of
applying SFAS 157 to the investments included in the financial
statements does not have a material impact on the Partnership?s
financial statements.

The following table summarizes the valuation of the
Partnership?s investments by the above SFAS 157 fair value
hierarchy as of June 30, 2008:  <table> <caption>



Assets
 Quoted Prices in
Active Markets for
  Identical Assets
        (Level 1)
Significant Other
     Observable
         Inputs
       (Level 2)
Significant
  Unobservable
   Inputs
 (Level 3)




   Total


<c>
<c>
 <c>

<c>
Unrealized gain on open contracts
         ?
             $746,064
 n/a

         $746,064
</table>


<page> MORGAN STANLEY CORNERSTONE FUND IV L.P.
NOTES TO FINANCIAL STATEMENTS (CONCLUDED)


In March 2008, the FASB issued SFAS No. 161, Disclosures about
Derivative Instruments and Hedging Activities (?SFAS 161?).  SFAS
161 is intended to improve financial reporting about derivative
instruments and hedging activities by requiring enhanced
disclosures to enable investors to better understand how those
instruments and activities are accounted for; how and why they are
used; and their effects on a Partnership?s financial position,
financial performance, and cash flows.  SFAS 161 is effective for
financial statements issued for fiscal years beginning after
November 15, 2008, and interim periods within those fiscal years.
The Partnership is currently evaluating the impact that the
adoption of SFAS No. 161 will have on its financial statement
disclosures.

6.  Restricted and Unrestricted Cash
As reflected on the Partnership?s Statements of Financial
Condition, restricted cash equals the cash portion of assets on
deposit to meet margin requirements plus the cash required to
offset unrealized losses on foreign currency forwards and options
and offset losses on offset London Metal Exchange positions.  All
of these amounts are maintained separately.  Cash that is not
classified as restricted cash is therefore classified as
unrestricted cash.

<page>

CONDITION AND RESULTS OF OPERATIONS


Liquidity.  The Partnership deposits its assets with MS&Co. as its
commodity broker in separate futures, forward, and options trading
accounts established for each Trading Manager.  Such assets are
used as margin to engage in trading and may be used as margin
solely for the Partnership?s trading. The assets are held in
either non-interest bearing bank accounts or in securities and
instruments permitted by the CFTC for investment of customer
segregated or secured funds.  Since the Partnership?s sole purpose
is to trade in futures, forwards, and options, it is expected that
the Partnership will continue to own such liquid assets for margin
purposes.

The Partnership?s investment in futures, forwards, and options
may, from time to time, be illiquid.  Most U.S. futures exchanges
limit fluctuations in prices during a single day by regulations
referred to as "daily price fluctuations limits" or "daily
limits".  Trades may not be executed at prices beyond the daily
limit.  If the price for a particular futures or options contract
has increased or decreased by an amount equal to the daily limit,
positions in that futures or options contract can neither be taken
nor liquidated unless traders are willing to effect trades at or
within the limit. Futures prices have occasionally moved the daily
limit for several consecutive days with little or no trading.
These market conditions could prevent the Partnership from
<page> promptly liquidating its futures or options contracts and
result in restrictions on redemptions.

There is no limitation on daily price moves in trading forward
contracts on foreign currencies.  The markets for some world
currencies have low trading volume and are illiquid, which may
prevent the Partnership from trading in potentially profitable
markets or prevent the Partnership from promptly liquidating
unfavorable positions in such markets, subjecting it to
substantial losses.  Either of these market conditions could
result in restrictions on redemptions.  For the periods covered
by this report, illiquidity has not materially affected the
Partnership?s assets.

There are no known material trends, demands, commitments,
events, or uncertainties at the present time that are reasonably
likely to result in the Partnership?s liquidity increasing or
decreasing in any material way.

Capital Resources.  The Partnership does not have, nor does it
expect to have, any capital assets.  Redemptions of units of
limited partnership interest ("Unit(s)") in the future will affect
the amount of funds available for investments in futures,
forwards, and options in subsequent periods. It is not possible to
<page> estimate the amount, and therefore the impact, of future
outflows of Units.

There are no known material trends, favorable or unfavorable,
that would affect, nor any expected material changes to, the
Partnership?s capital resource arrangements at the present time.

Off-Balance Sheet Arrangements and Contractual Obligations.  The
Partnership does not have any off-balance sheet arrangements, nor
does it have contractual obligations or commercial commitments to
make future payments that would affect its liquidity or capital
resources.

Results of Operations
General. The Partnership?s results depend on the Trading Managers
and the ability of each Trading Manager?s trading program to take
advantage of price movements in the futures, forward, and options
markets.  The following presents a summary of the Partnership?s
operations for the three and six month periods ended June 30,
2008 and 2007, and a general discussion of its trading activities
during each period. It is important to note, however, that the
Trading Managers trade in various markets at different times and
that prior activity in a particular market does not mean that
such market will be actively traded by the Trading Managers or
will be profitable in the future. Consequently, the results of
operations of the Partnership are difficult to discuss other than
<page> in the context of the Trading Managers? trading activities
on behalf of the Partnership during the period in question.  Past
performance is no guarantee of future results.

The Partnership?s results of operations set forth in the financial
statements on pages 2 through 14 of this report are prepared in
accordance with accounting principles generally accepted in the
United States of America, which require the use of certain
accounting policies that affect the amounts reported in these
financial statements, including the following:  The contracts the
Partnership trades are accounted for on a trade-date basis and
marked to market on a daily basis.  The difference between their
cost and market value is recorded on the Statements of Operations
as "Net change in unrealized trading gain (loss)" for open
(unrealized) contracts, and recorded as "Realized trading gain
(loss)" when open positions are closed out.  The sum of these
amounts constitutes the Partnership?s trading results.  The market
value of a futures contract is the settlement price on the
exchange on which that futures contract is traded on a particular
day.  The value of a foreign currency forward contract is based on
the spot rate as of the close of business.  Interest income, as
well as management fees, incentive fees, brokerage fees, and
administrative expenses of the Partnership are recorded on an
accrual basis.

<page> Demeter believes that, based on the nature of the
operations of the Partnership, no assumptions relating to the
application of critical accounting policies other than those
presently used could reasonably affect reported amounts.

For the Three and Six Months Ended June 30, 2008
The Partnership recorded total trading results including interest
income totaling $(1,186,667) and expenses totaling $513,933,
resulting in a net loss of $1,700,600 for the three months ended
June 30, 2008.  The Partnership?s net asset value per Unit
decreased from $5,545.77 at March 31, 2008, to $5,292.53
at June 30, 2008.

The most significant trading losses of approximately 1.8%, 0.7%,
0.3%, respectively, were experienced from long positions in the
Swiss franc, Japanese yen, and euro versus the U.S. dollar as the
value of the U.S. dollar moved higher against these currencies
during April after the U.S. Institute for Supply Management?s
manufacturing index unexpectedly moved higher and a U.S. economic
report showed private sector jobs unexpectedly increased in
March. During the latter part of May, further losses were
incurred from long positions in the Swiss franc and euro versus
the U.S. dollar as the values of the Swiss franc and euro fell
following weaker-than-expected German consumer confidence data.
Additional losses of approximately 1.2% were incurred during
April from short positions in the South African rand versus the
<page> U.S. dollar as the value of the South African rand
increased amid strong economic data out of South Africa. Losses
of approximately 0.7% were recorded throughout the quarter from
both long and short positions in the New Zealand dollar against
the U.S. dollar as the value of the New Zealand dollar moved
without consistent direction amid conflicting economic data out
of New Zealand. Lastly, losses of approximately 0.4% were
incurred, primarily during April and June, from short positions
in the British pound versus the U.S. dollar as the value of the
British pound increased amid speculation that the Bank of England
may slow the pace of interest rate cuts amid concerns of
accelerating global inflation. A portion of the Partnership?s
losses in the second quarter was offset by gains of approximately
0.5%, 0.4%, and 0.4%, respectively, primarily during May, from
long positions in the Australian dollar, Mexican peso, and
Brazilian real versus the U.S. dollar as the value of the U.S.
dollar moved lower against these currencies due to a drop in U.S.
consumer confidence. Additional gains of approximately 0.4% were
achieved during May from short positions in the Korean won versus
the U.S. dollar as the value of the Korean won fell amid concerns
of a rising Current-Account deficit out of Korea. Gains of
approximately 0.4% were experienced, primarily during May and
June, from short positions in the Indian rupee against the U.S.
dollar as the value of the Indian rupee moved lower after a
report showed industrial production in India expanded at the
slowest pace in six years.
<page> The Partnership recorded total trading results including
interest income totaling $4,311,671 and expenses totaling
$1,137,855, resulting in net income of $3,173,816 for the six
months ended June 30, 2008.  The Partnership?s net asset value
per Unit increased from $4,833.63 at December 31, 2007, to
$5,292.53 at June 30, 2008.

The most significant trading gains of approximately 5.6%, 2.8%,
0.9%, 0.8%, 0.7%, and 0.6%, respectively, were experienced,
primarily during January, February, March, and June, from long
positions in the euro, Swiss franc, Swedish krona, Singapore
dollar, Czech koruna, and Australian dollar as the value of the
U.S. dollar moved lower against most of its rivals amid the
aforementioned weak economic data out of the U.S. Meanwhile,
gains of approximately 1.0% were experienced during February from
long positions in the Chilean peso versus the U.S. dollar as the
value of the U.S. dollar declined due to the aforementioned
concerns of a possible economic recession. Newly established
short positions in the Chilean peso versus the U.S. dollar
recorded gains during May and June as the value of the Chilean
peso declined due to weaker-than-expected economic data out of
Chile. Additional gains of approximately 0.8% were achieved,
primarily during January, March, April, and May, from short
positions in the Korean won versus the U.S. dollar as the value
of the Korean won fell amid concerns of a rising Current-Account
deficit out of Korea. A portion of the Partnership?s gains in the
<page> first six months was offset by losses of approximately
1.2% from short positions in the British pound versus the U.S.
dollar as the value of the British pound strengthened throughout
January, February, March, and April after retail sales in the
United Kingdom unexpectedly increased and minutes from the Bank
of England indicated the Central Bank had significant concerns
about rising inflation in the United Kingdom. Additional losses
of approximately 1.1% were incurred throughout the first six
months of the year from both long and short positions in the New
Zealand dollar versus the U.S. dollar as the value of the New
Zealand dollar moved without consistent direction due to
conflicting economic data out of New Zealand. Losses of
approximately 1.0% were recorded from short positions in the
Japanese yen versus the U.S. dollar as the Japanese yen
strengthened during January after a decline in global equity
markets and weaker-than-expected U.S. economic data caused
investors to reduce existing carry trade positions. Further
losses were incurred from newly established long positions in the
Japanese yen versus the U.S. dollar as the value of the Japanese
yen reversed lower during February and April following comments
from the Bank of Japan that the Japanese economy may be slowing.

For the Three and Six Months Ended June 30, 2007
The Partnership recorded total trading results including interest
income totaling $5,484,079 and expenses totaling $843,822,
resulting in net income of $4,640,257 for the three months ended
<page> June 30, 2007.  The Partnership?s net asset value per Unit
increased from $5,066.43 at March 31, 2007, to $5,620.61 at June
30, 2007.

The most significant trading gains of approximately 6.4% were
experienced during April, May, and June from short positions in
the Japanese yen versus the U.S. dollar as the value of the
Japanese yen weakened relative to the U.S. dollar in a
continuation of the carry-trade after news that the Tankan survey
was weaker-than-expected and a decline in Japanese industrial
production increased speculation that Japanese economic growth
was not sufficient to warrant an increase in interest rates by
the Bank of Japan.  Further gains of approximately 2.2%, 1.8%,
1.7%, and 1.3%, respectively, were experienced throughout the
quarter from long positions in the Australian dollar, New Zealand
dollar, Brazilian real, and British pound versus the U.S. dollar
as the value of the U.S. dollar weakened against its major
rivals.  During April and June, the value of the U.S. dollar
moved lower relative to the Australian dollar, New Zealand
dollar, and British pound leading up to and after the U.S.
Federal Reserve?s decision to leave interest rates unchanged.
Furthermore, strong economic data out of Australia, New Zealand,
and the United Kingdom added to growing investor sentiment that
these respective Central Banks would raise interest rates in
order to combat inflation, thus pushing the value of those
currencies higher relative to the U.S. dollar.  A portion of the
<page> Partnership?s gains in the second quarter was offset by
losses of approximately 1.8% and 0.4%, respectively, from short
positions in the South African rand and Swiss franc versus the
U.S. dollar as the value of the U.S. dollar moved lower against
these currencies during April amid speculation that the U.S.
Federal Reserve would cut interest rates.  During May, newly
established long positions in the South African rand versus the
U.S. dollar resulted in losses as the value of the U.S. dollar
reversed higher after stronger-than-expected U.S. economic data
regarding service industries and worker productivity eased
concerns of a slowdown in the U.S. economy.  Additional losses
were recorded from both short and long positions in the South
African rand versus the U.S. dollar during June as the value of
the rand moved in a trendless pattern due to investor uncertainty
regarding the status of the South African economy.  Meanwhile,
short positions in the Swiss franc versus the U.S. dollar
experienced losses as the value of the Swiss franc moved higher
during the second half of June after the Swiss National Bank
indicated that it might take action to prevent inflation from
accelerating in Switzerland.  Elsewhere, long positions in the
Singapore dollar versus the U.S. dollar resulted in losses of
approximately 0.5% primarily during April as the value of the
Singapore dollar fell on news that the Monetary Authority of
Singapore might curb appreciation of its currency after it
reached a nine-year high in April.  Lastly, losses of
approximately 0.2% were incurred from both short and long <page>
positions in the Norwegian krone versus the U.S. dollar as the
value of the krone moved without consistent direction throughout
a majority of the quarter amid uncertainty regarding the
direction of the Norwegian economy.

The Partnership recorded total trading results including interest
income totaling $1,431,011 and expenses totaling $1,659,841,
resulting in a net loss of $228,830 for the six months ended June
30, 2007.  The Partnership?s net asset value per Unit decreased
from $5,625.92 at December 31, 2006, to $5,620.61 at June 30,
2007.

The most significant trading losses of approximately 5.6%
recorded from both short and long positions in the South African
rand versus the U.S. dollar as the value of the rand moved
without consistent direction throughout a majority of January.
Further losses were incurred from short positions in the South
African rand versus the U.S. dollar during March and April as the
value of the rand strengthened relative to the U.S. dollar on
expectations that increased demand for South Africa?s exports
would significantly improve the South African economy.  During
May and June, further losses were recorded from both short and
long positions in the South African rand versus the U.S. dollar
as the value of the rand moved in a trendless pattern due to
investor uncertainty regarding the status of the South African
economy.  Additional losses of approximately 1.2% were recorded
from short positions in the Mexican peso versus the U.S. dollar
<page> as the value of the Mexican peso moved higher during March
and April on increased speculation of an interest rate hike by
the Bank of Mexico.  Further losses were incurred during June
from long positions in the Mexican peso versus the U.S. dollar as
the value of the Mexican peso reversed lower after the Bank of
Mexico?s decision to hold interest rates steady at 7.25%.
Additional losses of approximately 1.0% were experienced during
February, March, and May from long positions in the British pound
versus the U.S. dollar as the value of the pound weakened after a
report showing U.K. services growth had slowed in January, as
well as political uncertainty in the United Kingdom after British
Prime Minister Tony Blair announced he would step down in June
2007.  Elsewhere, short positions in the Norwegian krone versus
the U.S. dollar resulted in losses of approximately 0.7% during
January as the value of the krone strengthened relative to the
U.S. dollar after strong economic data was reported out of
Norway.  Newly established long positions in the Norwegian krone
versus the U.S. dollar incurred additional losses as the value of
the U.S. dollar reversed higher during May after stronger-than-
expected U.S. economic data eased concerns of a slowdown in the
economy of the United States.  During June, losses were recorded
from both short and long positions in the Norwegian krone versus
the U.S. dollar as the value of the krone moved without
consistent direction due to uncertainty regarding the status of
the Norwegian economy.  Lastly, short positions in the Swiss
franc versus the U.S. dollar incurred losses of approximately
<page> 0.6% during February, April, and June as the value of the
Swiss franc reversed higher against the U.S. dollar due to
accelerating fears of inflation in Switzerland.  A portion of the
Partnership?s losses in the first six months of the year was
offset by gains of approximately 5.3% were experienced from short
positions in the Japanese yen versus the U.S. dollar during
January, April, May, and June as the value of the yen weakened
amid speculation that the Bank of Japan would not raise interest
rates.  Additional gains of approximately 3.0% were recorded
during February, March, and May from long positions in the
Brazilian real versus the U.S. dollar as the value of the
Brazilian real moved higher amid speculation that the Central
Bank of Brazil would continue raising interest rates.  During
February, April, and June, long positions in the Australian
dollar and New Zealand dollar versus the U.S. resulted in gains
of approximately 1.1% and 0.6%, respectively, as the value of
these currencies moved higher in tandem with rising commodity
prices.  Additionally, strong economic data out of the Australia
and New Zealand added to growing investor sentiment that the
Reserve Bank of Australia and the Reserve Bank of New Zealand
would raise interest rates in order to combat rising inflation in
the near future.




<page> Item 3.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT
MARKET RISK
Introduction
The Partnership is a commodity pool engaged primarily in the
speculative trading of futures, forwards, and options.  The
market-sensitive instruments held by the Partnership are acquired
for speculative trading purposes only and, as a result, all or
substantially all of the Partnership?s assets are at risk of
trading loss.  Unlike an operating company, the risk of market-
sensitive instruments is inherent to the primary business
activity of the Partnership.

The futures, forwards, and options traded by the Partnership
involve varying degrees of related market risk.  Market risk is
often dependent upon changes in the level or volatility of
interest rates, exchange rates, and prices of financial
instruments and commodities, factors that result in frequent
changes in the fair value of the Partnership?s open positions,
and consequently in its earnings, whether realized or unrealized,
and cash flow.  Gains and losses on open positions of exchange-
traded futures, exchange-traded forward, and exchange-traded
futures-styled options contracts are settled daily through
variation margin.  Gains and losses on off-exchange-traded
forward currency contracts are settled upon termination of the
contract.  However, the Partnership is required to meet margin
requirements equal to the net unrealized loss on open forward
<page> currency contracts in the Partnership accounts with the
counterparty, which is accomplished by daily maintenance of the
cash balance in a custody account held at MS&Co.

The Partnership?s total market risk may increase or decrease as
it is influenced by a wide variety of factors, including, but not
limited to, the diversification among the Partnership?s open
positions, the volatility present within the markets, and the
liquidity of the markets.

The face value of the market sector instruments held by the
Partnership is typically many times the applicable margin
requirements.  Margin requirements generally range between 2% and
15% of contract face value.  Additionally, the use of leverage
causes the face value of the market sector instruments held by
the Partnership typically to be many times the total
capitalization of the Partnership.

The Partnership?s past performance is no guarantee of its future
results.  Any attempt to numerically quantify the Partnership?s
market risk is limited by the uncertainty of its speculative
trading.  The Partnership?s speculative trading and use of
leverage may cause future losses and volatility (i.e., "risk of
ruin") that far exceed the Partnership?s experience to date under
the "Partnership?s Value at Risk in Different Market Sectors"
<page> section and significantly exceed the Value at Risk ("VaR")
tables disclosed.

Limited partners will not be liable for losses exceeding the
current net asset value of their investment.

Quantifying the Partnership?s Trading Value at Risk
The following quantitative disclosures regarding the Partner-
ship?s market risk exposures contain "forward-looking statements"
within the meaning of the safe harbor from civil liability
provided for such statements by the Private Securities Litigation
Reform Act of 1995 (set forth in Section 27A of the Securities
Act of 1933 and Section 21E of the Securities Exchange Act of
1934).  All quantitative disclosures in this section are deemed
to be forward-looking statements for purposes of the safe harbor,
except for statements of historical fact.

The Partnership accounts for open positions on the basis of mark
to market accounting principles.  Any loss in the market value of
the Partnership?s open positions is directly reflected in the
Partnership?s earnings and cash flow.

The Partnership?s risk exposure in the market sectors traded by
the Trading Managers is estimated below in terms of VaR. The
Partnership estimates VaR using a model based upon historical
simulation (with a confidence level of 99%) which involves <page>
constructing a distribution of hypothetical daily changes in the
value of a trading portfolio.  The VaR model takes into account
linear exposures to risk including equity and commodity prices,
interest rates, foreign exchange rates, and correlation among
these variables. The hypothetical changes in portfolio value are
based on daily percentage changes observed in key market indices
or other market factors ("market risk factors") to which the
portfolio is sensitive.  The one-day 99% confidence level of the
Partnership?s VaR corresponds to the negative change in portfolio
value that, based on observed market risk factors, would have been
exceeded once in 100 trading days, or one day in 100.  VaR
typically does not represent the worst case outcome.  Demeter uses
approximately four years of daily market data (1,000 observations)
and re-values its portfolio (using delta-gamma approximations) for
each of the historical market moves that occurred over this time
period.  This generates a probability distribution of daily
"simulated profit and loss" outcomes.  The VaR is the appropriate
percentile of this distribution.  For example, the 99% one-day VaR
would represent the 10th worst outcome from Demeter?s simulated
profit and loss series.

The Partnership?s VaR computations are based on the risk
representation of the underlying benchmark for each instrument or
contract and do not distinguish between exchange and non-exchange
dealer-based instruments.  They are also not based on exchange
and/or dealer-based maintenance margin requirements.
<page> VaR models, including the Partnership?s, are continually
evolving as trading portfolios become more diverse and modeling
techniques and systems capabilities improve.  Please note that
the VaR model is used to numerically quantify market risk for
historic reporting purposes only and is not utilized by either
Demeter or the Trading Managers in their daily risk management
activities.  Please further note that VaR as described above may
not be comparable to similarly-titled measures used by other
entities.

The Partnership?s Value at Risk in Different Market Sectors
The following table indicates the VaR associated with the
Partnership?s open positions as a percentage of total Net Assets
by primary market risk category at June 30, 2008 and 2007.  At
June 30, 2008 and 2007, the Partnership?s total capitalization
was approximately $33 million and $45 million, respectively.

Primary Market	        June 30, 2008	     June 30, 2007
Risk Category		   Value at Risk		Value at Risk
Currency				  (1.65)%			    (2.79)%

The VaR for a market category represents the one-day downside
risk for the aggregate exposures associated with this market
category.  Because the business of the Partnership is the
speculative trading of futures, forwards, and options, the
composition of its trading portfolio can change significantly
over any given time period, or even within a single trading day.
<page> Such changes could positively or negatively materially
impact market risk as measured by VaR.

The table below supplements the quarter-end VaR set forth above
by presenting the Partnership?s high, low, and average VaR, as a
percentage of total Net Assets for the four quarter-end reporting
periods from July 1, 2007, through June 30, 2008.

Primary Market Risk Category        High      Low      Average
Currency   					(3.20)%	(1.65)%	 (2.18)%

Limitations on Value at Risk as an Assessment of Market Risk
VaR models permit estimation of a portfolio?s aggregate market
risk exposure, incorporating a range of varied market risks,
reflect risk reduction due to portfolio diversification or hedging
activities, and can cover a wide range of portfolio assets.
However, VaR risk measures should be viewed in light of the
methodology?s limitations, which include, but may not be limited
to the following:
*	past changes in market risk factors will not always result in
accurate predictions of the distributions and correlations of
future market movements;
*	changes in portfolio value caused by market movements may
differ from those of the VaR model;


<page>
*	VaR results reflect past market fluctuations applied to
current trading positions while future risk depends on future
positions;
*	VaR using a one-day time horizon does not fully capture the
market risk of positions that cannot be liquidated or hedged
within one day; and
*	the historical market risk factor data used for VaR estimation
may provide only limited insight into losses that could be
incurred under certain unusual market movements.

In addition, the VaR tables above, as well as the past
performance of the Partnership, give no indication of the
Partnership?s potential "risk of ruin".

The VaR tables provided present the results of the Partnership?s
VaR for its market risk exposures at June 30, 2008 and 2007, and
for the four quarter-end reporting periods from July 1, 2007,
through June 30, 2008.  VaR is not necessarily representative of
the Partnership?s historic risk, nor should it be used to predict
the Partnership?s future financial performance or its ability to
manage or monitor risk.  There can be no assurance that the
Partnership?s actual losses on a particular day will not exceed
the VaR amounts indicated above or that such losses will not
occur more than once in 100 trading days.

<page> Non-Trading Risk
The Partnership has non-trading market risk on its foreign cash
balances.  The Partnership did not have any foreign currency
balances at June 30, 2008.

The Partnership also maintains a substantial portion of its
available assets in cash at MS&Co.; as of June 30, 2008, such
amount was equal to approximately 98% of the Partnership?s net
asset value.  A decline in short-term interest rates would result
in a decline in the Partnership?s cash management income. This
cash flow risk is not considered to be material.

Materiality, as used throughout this section, is based on an
assessment of reasonably possible market movements and any
associated potential losses, taking into account the leverage,
optionality, and multiplier features of the Partnership?s market-
sensitive instruments, in relation to the Partnership?s Net
Assets.

Qualitative Disclosures Regarding Primary Trading Risk Exposures
The following qualitative disclosures regarding the Partnership?s
market risk exposures - except for (A) those disclosures that are
statements of historical fact and (B) the descriptions of how the
Partnership manages its primary market risk exposures -
constitute forward-looking statements within the meaning of
Section 27A of the Securities Act and Section 21E of the <page>
Securities Exchange Act. The Partnership?s primary market risk
exposures, as well as the strategies used and to be used by
Demeter and the Trading Managers for managing such exposures, are
subject to numerous uncertainties, contingencies and risks, any
one of which could cause the actual results of the Partnership?s
risk controls to differ materially from the objectives of such
strategies. Government interventions, defaults and expro-
priations, illiquid markets, the emergence of dominant
fundamental factors, political upheavals, changes in historical
price relationships, an influx of new market participants,
increased regulation, and many other factors could result in
material losses, as well as in material changes to the risk
exposures and the risk management strategies of the Partnership.
Investors must be prepared to lose all or substantially all of
their investment in the Partnership.

The following was the only trading risk exposure of the
Partnership at June 30, 2008.  It may be anticipated, however,
that market exposure will vary materially over time.

Currency.  The Partnership?s currency market exposure at June 30,
2008, was to exchange rate fluctuations, primarily fluctuations
which disrupt the historical pricing relationships between
different currencies and currency pairs.  Interest rate changes,
as well as political and general economic conditions influence
these fluctuations.  The Partnership trades a large number of
<page> currencies.  At June 30, 2008, the Partnership?s primary
exposure was to outright U.S. dollar positions.  Outright
positions consist of the U.S. dollar vs. other currencies.  These
other currencies include major and minor currencies.  Demeter
does not anticipate that the risk associated with the
Partnership?s currency trades will change significantly in the
future.

Qualitative Disclosures Regarding Non-Trading Risk Exposure
At June 30, 2008, there was no non-trading risk exposure because
the Partnership did not have any foreign currency balance.

The Partnership and the Trading Managers, separately, attempt to
manage the risk of the Partnership?s open positions in essentially
the same manner in all market categories traded.  Demeter attempts
to manage market exposure by diversifying the Partnership?s assets
among different Trading Managers, each of whose strategies focus
on different market sectors and trading approaches, in a multi-
manager Partnership, and by monitoring the performance of the
Trading Managers daily.  In addition, the Trading Managers
establish diversification guidelines, often set in terms of the
maximum margin to be committed to positions in any one market
sector or market-sensitive instrument.


<page> Demeter monitors and controls the risk of the
Partnership?s non-trading instrument, cash.  Cash is the only
Partnership invest-ment directed by Demeter, rather than the
Trading Managers.

Item 4.	CONTROLS AND PROCEDURES
As of the end of the period covered by this quarterly report, the
President and Chief Financial Officer of Demeter, the general
partner of the Partnership, have evaluated the effectiveness of
the Partnership?s disclosure controls and procedures (as defined
in Rules 13a-15(e) and 15d-15(e) of the Exchange Act), and have
judged such controls and procedures to be effective.

Changes in Internal Control Over Financial Reporting
There have been no material changes during the period covered by
this quarterly report in the Partnership?s internal control over
financial reporting (as defined in Rules 13a-15(f) and 15d-15(f)
of the Exchange Act) or in other factors that could significantly
affect these controls subsequent to the date of their evaluation.

Item 4T.	CONTROLS AND PROCEDURES
Not applicable.
<page> PART II.  OTHER INFORMATION

Item 1A. RISK FACTORS

Information regarding risk factors appears in Item 2.
?Management?s Discussion and Analysis of Financial Condition and
Results of Operations? and Item 3.  ?Quantitative and Qualitative
Disclosures about Market Risk? of this Form 10-Q.  There have been
no other material changes from the risk factors previously
referenced in the Partnership?s Report on Form 10-K for the fiscal
year ended December 31, 2007, and the Partnership?s Report on Form
10-Q for the quarter ended March 31, 2008.

Item 5.  OTHER INFORMATION
Limited Partners of the Partnership are advised that Demeter has
determined to withdraw from the Partnership effective November 30,
2008, and thereafter will commence dissolution of the Partnership
pursuant to the Partnership?s Limited Partnership Agreement.  In
connection with such withdrawal, Demeter will terminate trading
for the Partnership effective October 31, 2008, unless it becomes
necessary or is prudent to do so beforehand.  Following
termination of trading for the Partnership, all Partnership assets
will be paid interest at the rate equal to the average yield on
13-week U.S. Treasury Bills, with your share of interest credited
to your Units.  The management and brokerage fees on any assets
remaining in the Partnership after October 31, 2008, will be
<page> waived, given the absence of any further futures trading by
the Partnership.

Through November 30, 2008, qualified Limited Partners may, under
certain conditions, redeem some or all of their interest in the
Partnership and use the proceeds of such redemption to purchase an
interest in another Morgan Stanley managed futures partnership for
which Demeter is the general partner (an offering in any such
managed futures partnership is by prospectus or offering
memorandum only).  Otherwise, Limited Partners may simply redeem
their interest in the Partnership and receive the proceeds of such
redemption in cash.  Whether you exchange or redeem your
Partnership Units, there will be no minimum holding period
requirement or redemption charge.  Limited Partners who do not
redeem their interest in the Partnership prior to November 30,
2008, should be aware that final distribution of any remaining
Partnership assets are anticipated to be made on or about December
15, 2008.

Mr. Michael Durbin was confirmed as a principal of Demeter by the
National Futures Association on June 5, 2008.

Mr. Jose Morales was confirmed as a principal of Demeter by the
National Futures Association on June 23, 2008.


<page>
Item 6.  EXHIBITS

31.01	Certification of President of Demeter Management
Corporation, the general partner of the Partnership,
pursuant to Section 302 of the Sarbanes-Oxley Act of
2002.
31.02	Certification of Chief Financial Officer of Demeter
Management Corporation, the general partner of the
Partnership, pursuant to Section 302 of the Sarbanes-
Oxley Act of 2002.
32.01	Certification of President of Demeter Management
Corporation, the general partner of the Partnership,
pursuant to 18 U.S.C. Section 1350, as adopted pursuant
to Section 906 of the Sarbanes-Oxley Act of 2002.
32.02	Certification of Chief Financial Officer of Demeter
Management Corporation, the general partner of the
Partnership, pursuant to 18 U.S.C. Section 1350, as
adopted pursuant to Section 906 of the Sarbanes-Oxley Act
of 2002.











<page>

SIGNATURE



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.



                        Morgan Stanley Cornerstone Fund IV L.P.
                          (Registrant)

                        By:   Demeter Management Corporation
                              (General Partner)

August 14, 2008         By:/s/ Christian Angstadt
                               Christian Angstadt
                               Chief Financial Officer





The General Partner which signed the above is the only party
authorized to act for the Registrant.  The Registrant has no
principal executive officer, principal financial officer,
controller, or principal accounting officer and has no Board of
Directors.