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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549



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FORM 10-K

(Mark One)



|x | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|- | ------------------------------------------------------------------------------------

For the fiscal year ended December 31, 2005

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 0-17592

WORLD MONITOR TRUST  SERIES B

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(Exact name of Registrant as specified in its charter)



|                                                               |  |                                     
|-------------------------------------------------------------- |  | ------------------------------------
|Delaware                                                       |  | 13-3985041                          
|(State or other Jurisdiction of Incorporation or organization) |  | (I.R.S. Employer Identification No.)



|                                                |  |           
|----------------------------------------------- |  | ----------
|900 King Street, Suite 100, Rye Brook, New York |  | 10573     
|(Address of principal executive offices)        |  | (Zip Code)

Registrants telephone number, including area code: (914) 307-7000

Securities registered pursuant to Section 12(b) of the Act:

None

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Securities registered pursuant to Section 12(g)
of the Act:

Limited Interests

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(Title of class)

Indicate by check mark if the Registrant is a well-known
seasoned issuer, as defined in Rule 405 of the Securities Act. Yes  No ü

Indicate by check mark if the Registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes  No ü

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 ü No

Indicate
by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of Registrants knowledge, in definitive proxy or information statements incorporated
by reference in Part III of this Form 10-K or any amendment to this Form 10-K ̈

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See definition of
accelerated filer and large accelerated filer in Rule 12b-2 of the Exchange Act. (Check one):

Large
accelerated filer ̈Accelerated filer ̈Non-accelerated filer ü

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

DOCUMENTS INCORPORATED BY REFERENCE

Annual Report to Interest holders for the year ended December 31, 2005 is incorporated by reference into Parts II and IV of this Annual Report on
Form 10-K



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WORLD MONITOR TRUST  SERIES B

(a Delaware Business Trust)



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TABLE OF CONTENTS



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|           |  |                                                                                                                   |  |     
|---------- |  | ----------------------------------------------------------------------------------------------------------------- |  | ----
|           |  |                                                                                                                   |  | PAGE
|PART I     |  |                                                                                                                   |  |     
|           |  |                                                                                                                  
|Item 1.    |  | Business                                                                                                          |  | 3   
|Item 1A.   |  | Risk Factors                                                                                                      |  | 4   
|Item 1B.   |  | Unresolved Staff Comments                                                                                         |  | 9   
|Item 2.    |  | Properties                                                                                                        |  | 9   
|Item 3.    |  | Legal Proceedings                                                                                                 |  | 9   
|Item 4.    |  | Submission of Matters to a Vote of Interest Holders                                                               |  | 9   
|           |  |                                                                                                                  
|PART II    |  |                                                                                                                   |  |     
|Item 5.    |  | Market for the Registrants Interests, Related Interest Holders Matters and Issuer Purchases of Equity Securities |  | 9   
|Item 6.    |  | Selected Financial Data                                                                                           |  | 9   
|Item 7.    |  | Managements Discussion and Analysis of Financial Condition and Results of Operations                             |  | 10  
|Item 7A.   |  | Quantitative and Qualitative Disclosures About Market Risk                                                        |  | 13  
|Item 8.    |  | Financial Statements and Supplementary Data                                                                       |  | 14  
|Item 9.    |  | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure                              |  | 14  
|Item 9A.   |  | Controls and Procedures                                                                                           |  | 15  
|Item 9B.   |  | Other Information                                                                                                 |  | 15  
|           |  |                                                                                                                  
|PART III   |  |                                                                                                                   |  |     
|Item 10.   |  | Directors and Executive Officers of the Registrant                                                                |  | 15  
|Item 11.   |  | Executive Compensation                                                                                            |  | 18  
|Item 12.   |  | Security Ownership of Certain Beneficial Owners and Management and Related Interest Holder Matters                |  | 18  
|Item 13.   |  | Certain Relationships and Related Transactions                                                                    |  | 18  
|Item 14.   |  | Principal Accounting Fees and Services                                                                            |  | 19  
|           |  |                                                                                                                  
|PART IV    |  |                                                                                                                   |  |     
|Item 15.   |  | Exhibits, Financial Statement Schedules, and Reports on Form 8-K                                                  |  |     
|           |  | Financial Statements and Financial Statement Schedules                                                            |  | 19  
|           |  | Exhibits                                                                                                          |  | 20  
|           |  | Reports on Form 8-K                                                                                               |  | 20  
|           |  |                                                                                                                  
|SIGNATURES |  |                                                                                                                   |  | 21  



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PART I

Item 1. Business

General

World Monitor Trust (the Trust) is a business trust organized under the laws of Delaware on December 17, 1997. The Trust commenced trading operations on June 10, 1998 and will terminate on
December 31, 2047 unless terminated sooner as provided in the Third Amended and Restated Declaration of Trust and Trust Agreement (the Trust Agreement). The Trust consists of three separate and distinct series (Series) :
Series A, B and C. The assets of each Series are segregated from those of the other Series, separately valued and independently managed. Each Series was formed to engage in the speculative trading of a diversified portfolio of futures, forward and
options contracts, and may, from time to time, engage in cash and spot transactions. The trustee of the Trust is Wilmington Trust Company. The Trusts fiscal year for book and tax purposes ends on December 31.

Series B (the Registrant) is engaged solely in the business of commodity futures, forward and options trading; therefore, presentation of
industry segment information is not applicable.

On July 1, 2003, Prudential Financial, Inc. (Prudential) and Wachovia
Corp. (Wachovia) combined their separate retail securities brokerage and clearing businesses under a new holding company named Wachovia/Prudential Financial Advisors, LLC (WPFA); owned 62% by Wachovia and 38% by Prudential.
As a result, the retail brokerage operations of Prudential Securities (PSI) were contributed to Wachovia Securities, LLC (Wachovia Securities). Wachovia Securities is wholly-owned by WPFA and is a registered broker-dealer and
a member of the National Association of Securities Dealers, Inc. (NASD) and all major securities exchanges. The Registrant and its Managing Owner, Prudential Securities Futures Management, Inc., a wholly-owned subsidiary of PSI, entered
into a service agreement with Wachovia Securities, effective July 1, 2003. Pursuant to this agreement, Wachovia Securities agreed to provide certain enumerated services to accounts of the limited interest owners carried at Wachovia.

Effective July 1, 2003, PSI changed its name to Prudential Equity Group, Inc. (PEG). PEG remained an indirectly wholly-owned
subsidiary of Prudential. PEG was a registered broker-dealer and a member of the NASD and all major securities exchanges and conducted the equity research, domestic and international equity sales and trading operations, and commodity brokerage and
derivative operations it had previously conducted as PSI until December 31, 2003. As part of the process of reorganizing its business structure, Prudential Securities Group Inc. (PSG), the direct parent of PEG and a wholly-owned
subsidiary of Prudential, transferred the commodity brokerage, commodity clearing and derivative operations previously performed by PEG to another PSG indirectly wholly-owned subsidiary, Prudential Financial Derivatives, LLC (PFD)
effective January 1, 2004. Like PEG, PFD is registered as a futures commission merchant under the Commodity Exchange Act and is a member of the National Futures Association. On April 1, 2004, PEG transferred the ownership of the Managing
Owner and PFD Holdings, LLC, the direct parent of PFD to PSG.

On June 30, 2004, PSG and Preferred Investment Solutions Corp.,
formerly Kenmar Advisory Corp. (Preferred), entered into a Stock Purchase Agreement, pursuant to which PSG would sell, and Preferred would buy, all of the capital stock of Prudential Securities Futures Management Inc. (the then current
Managing Owner of the Registrant) and another commodity pool operator owned by PSG. In connection with the transaction, Prudential Securities Futures Management Inc. solicited proxies seeking approval from the Registrants interest holders for
(i) the sale of the stock of Prudential Securities Futures Management Inc. to Preferred; (ii) the concomitant approval of Preferred as the new Managing Owner of the Registrant; and (iii) the approval of certain amendments to the
Declaration of the Trust and Trust Agreement of the Trust. A Report on Form 8-K describing the transaction was filed with the Securities and Exchange Commission on July 1, 2004 and the definitive proxies were filed with the Securities and
Exchange Commission on July 20, 2004.

As of October 1, 2004, Preferred acquired from PSG all of the outstanding stock of
Prudential Securities Futures Management Inc. Immediately after such acquisition, Prudential Securities Futures Management Inc. was merged with and into Preferred. Accordingly, as of October 1, 2004 all of the board of directors and officers of
Prudential Securities Futures Management Inc. resigned. Following Preferreds acquisition of Prudential Securities Futures Management Inc. and its merger with and into Preferred, Preferred became the successor Managing Owner of the Registrant.

Managing Owner and its Affiliates

The term Managing Owner, as used herein, refers either to Prudential Securities Futures Management Inc. or Preferred, depending upon the applicable period discussed.

The Managing Owner is required to maintain at least a 1% interest in the capital, profits and losses of each Series so long as it is acting as the
Managing Owner.



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The Offering

Beneficial interest in each Series (Interests) were offered once each week until each Series subscription maximum was met either through sale or exchange or until the Managing Owner suspended the
offering of Interests. On June 10, 1998, a sufficient number of subscriptions for each Series had been received and accepted by the Managing Owner to permit each Series to commence trading. The Registrant completed its initial offering with
gross proceeds of $5,709,093 from the sale of 56,330.929 limited interests and 760.000 general interests. General interests were sold exclusively to the Managing Owner.

Series A was offered until it achieved its subscription maximum of $34,000,000 during November 1999. Interests in Series B and C were offered on a weekly basis at the then current net asset value per Interest until
the Managing Owner suspended the offering of Interest for each Series (Continuous Offering Period). The Managing Owner suspended the offering of Interests in Series B and Series C and allowed all selling registrations to expire by
April 30, 2002. Series C was liquidated effective September 20, 2004. As such, Interests owned in one Series of the Trust may no longer be exchanged for Interests of one or more other Series. While the Managing Owner does not anticipate
doing so, it may, at its election, reinstate the offering of Interests in Series B in the future.

During the Continuous Offering Period,
the Registrant raised additional gross proceeds of $24,385,015 from the sale of Interests.

The Trading Advisor

Each Series has its own independent commodity trading advisor that makes that Series trading decision. The Managing Owner, on behalf of the
Registrant, entered into an advisory agreement with Eclipse Capital Management, Inc. (the Trading Advisor) to make the trading decisions for the Registrant. The advisory agreement may be terminated by various reasons, including at the
discretion of the Managing Owner. The Managing Owner has allocated 100% of the proceeds from the initial and continuous offering of the Registrant to the Trading Advisor.

Competition

The Managing Owner and its affiliates have formed, and may continue to form, various entities to engage
in the speculative trading of futures, forward and option contracts which have certain of the same investment policies as the Registrant.

The Registrant was an open-end fund which solicited the sale of additional Interests on a weekly basis until the Managing Owner suspended the offering of Interests. See Item 1, Business, for more information on the suspension of the
offering of Interests. However, to the extent that the Trading Advisor recommends similar or identical trades to the Registrant and other accounts which it manages, the Registrant may compete with those accounts for the execution of the same or
similar trades, as well as with other market participants.

Employees

The Registrant has no employees. Management and administrative services for the Registrant are performed by the Managing Owner or third parties pursuant
to the Trust Agreement as further discussed in Notes 3 and 4 to the Registrants financial statements included in its annual report to the interest holders for the year ended December 31, 2005 (Registrants 2005 Annual
Report) which is filed as an exhibit hereto.

Available information

The Trust files quarterly, annual and current reports with the Securities and Exchange Commission (SEC). These reports are available to
read and copy at the SECs Public Reference Facilities in Washington, D.C. at 459 Fifth Street, N.W., Washington, D.C. 20549. Please call the SECs toll free number, 1-800-SEC-0330, for further information. The Trust does not maintain a
website where these reports are posted. However, the Trusts filings are posted on the SECs website at htttp://www.sec.gov.

Item 1A. Risk Factors

THE RISKS YOU FACE

You Should Not Rely on Past Performance in Deciding Whether to Buy Units

Each Advisor selected by the Managing Owner to
manage the assets of each Trust has a performance history through the date of its selection by The Managing Owner. You must consider, however, the uncertain significance of past performance, and you should not rely on the Advisors or the
Managing Owners records to date for predictive purposes. You should not assume that any Advisors future trading decisions will create profit, avoid substantial losses or result in performance for the Trust that is comparable to that
Advisors or to the Managing Owners past performance. In fact, as a significant amount of academic study has shown, futures funds more frequently than not underperforms the past performance records included in their prospectuses.



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Price Volatility May Possibly Cause the Total Loss of Your Investment

Futures and forward contracts have a high degree of price variability and are subject to occasional rapid and substantial changes. Consequently, you
could lose all or substantially all of your investment in the Trust.

Speculative and Volatile Markets Combined With Highly Leveraged Trading May Cause
the Trust to Incur Substantial Losses.

The markets in which each Trust trades are speculative, highly leveraged and involve a high
degree of risk. Each Advisors trading considered individually involves a significant risk of incurring large losses, and there can be no assurance that any Trust will not incur such losses. Futures and forward prices are volatile. Volatility
increases risk, particularly when trading with leverage. Trading on a highly leveraged basis, as does each Trust, even in stable markets involves risk; doing so in volatile markets necessarily involves a substantial risk of sudden, significant
losses. Due to such leverage, even a small movement in price could cause large losses for the Trust. Market volatility will increase the potential for large losses. Market volatility and leverage mean that any Trust could incur substantial losses,
potentially impairing its equity base and ability to achieve its long-term profit objectives even if favorable market conditions subsequently develop.

Fees and Commissions are Charged Regardless of Profitability and May Result in Depletion of Trust Assets

Each Trust is
subject to the fees and expenses which are payable irrespective of profitability in addition to performance fees which, are payable based on the profitability of such Trust, or if a multi-advisor fund, upon each advisors performance. Consequently,
the expenses of each Trust could, over time, result in significant losses to your investment therein.

Market Conditions May Impair Profitability

The trading systems used by certain Advisors are technical, trend-following methods. The profitability of trading under these systems
depends on, among other things, the occurrence of significant price trends, which are sustained movements, up or down, in futures and forward prices. Such trends may not develop; there have been periods in the past without price trends. The
likelihood of the Units of any Trust being profitable could be materially diminished during periods when events external to the markets themselves have an important impact on prices. During such periods, Advisors historic price analysis could
establish positions on the wrong side of the price movements caused by such events.

Discretionary Trading Strategies May Incur Substantial Losses

Discretionary traders, while they may utilize market charts, computer programs and compilations of quantifiable fundamental information
to assist them in making trading decisions, make such decisions on the basis of their own judgment and trading instinct, not on the basis of trading signals generated by any program or model. Such traders may be more prone to subjective
judgments, which may have greater potentially adverse effects on their performance than systematic traders, which emphasize eliminating the effects of emotionalism on their trading. Reliance on trading judgment may, over time, produce
less consistent trading results than implementing a systematic approach. Discretionary traders, like trend-following traders, are unlikely to be profitable unless major price movements occur. Discretionary traders are highly unpredictable, and can
incur substantial losses even in apparently favorable markets.

Systematic Trading Strategies May Incur Substantial Losses

A systematic trader will generally rely to some degree on judgmental decisions concerning, for example, what markets to follow and commodities to trade,
when to liquidate a position in a contract which is about to expire and how large a position to take in a particular commodity. Although these judgmental decisions may have a substantial effect on a systematic traders performance, such
traders primary reliance is on trading programs or models that generate trading signals. The systems utilized to generate trading signals are changed from time to time (although generally infrequently), but the trading instructions generated
by the systems being used are followed without significant additional analysis or interpretation. Therefore, systematic trading may incur substantial losses by failing to capitalize on market trends that their systems would otherwise have exploited
by applying their generally mechanical trading systems by judgmental decisions of employees. Furthermore, any trading system or trader may suffer substantial losses by misjudging the market. Systematic traders tend to rely on computerized programs,
and some consider the prospect of disciplined trading, which largely removes the emotion of the individual trader from the trading process, advantageous. Due to their reliance upon computers, systematic traders are generally able to incorporate a
significant amount of data into a particular trading decision. However, when fundamental factors dominate the market, trading systems may suffer rapid and severe losses due to their inability to respond to such factors until such factors have had a
sufficient effect on the market to create a trend of enough magnitude to generate a reversal of trading signals, by which time a precipitous price change may already be in progress, preventing liquidation at anything but substantial losses.



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Decisions Based Upon Fundamental Analysis May Not Result in Profitable Trading

Traders that utilize fundamental trading strategies attempt to examine factors external to the trading market that affect the supply and demand for a
particular futures and forward contracts in order to predict future prices. Such analysis may not result in profitable trading because the analyst may not have knowledge of all factors affecting supply and demand, prices may often be affected by
unrelated factors, and purely fundamental analysis may not enable the trader to determine quickly that previous trading decisions were incorrect. In addition, because of the breadth of fundamental data that exists, a fundamental trader may not be
able to follow developments in all such data, but instead may specialize in analyzing a narrow set of data, requiring trading in fewer markets. Consequently, a fundamental trader may have less flexibility in adverse markets to trade other futures
and forward markets than traders that do not limit the number of markets traded as a result of a specialized focus.

Increase in Assets Under Management
May Affect Trading Decisions

The more equity an Advisor manages, the more difficult it may be for that Advisor to trade profitably
because of the difficulty of trading larger positions without adversely affecting prices and performance. Accordingly, such increases in equity under management may require one or more of the Advisors to modify trading decisions for the relevant
Trust, which could have a detrimental effect on your investment in such Trust.

You cannot be Assured of the Advisors Continued Services Which May
Be Detrimental to Trust

You cannot be assured that any Advisor will be willing or able to continue to provide advisory services to the
Trust for any length of time. There is severe competition for the services of qualified trading advisors, and a Trust may not be able to retain satisfactory replacement or additional trading advisors on acceptable terms or a current Advisor may
require the Trust to pay higher fees in order to be able to retain such Advisor.

Limited Ability to Liquidate Your Investment

There is no secondary market for the Units. While the Units have redemption rights, there are restrictions, and possible fees assessed. Transfers of
Units are subject to limitations, and the Managing Owner may deny a request to transfer if it determines that the transfer may result in adverse legal or tax consequences for the Trust.

Possible Illiquid Markets May Exacerbate Losses

Futures and forward positions cannot always be
liquidated at the desired price. It is difficult to execute a trade at a specific price when there is a relatively small volume of buy and sell orders in a market. A market disruption, such as when foreign governments may take or be subject to
political actions, which disrupt the markets in their currency or major exports, can also make it difficult to liquidate a position. Such periods of illiquidity and the events that trigger them are difficult to predict and there can be no assurance
that any Advisor will be able to do so. There can be no assurance that market illiquidity will not cause losses for the Trust. The large size of the positions which an Advisor is expected to acquire for the Trust increases the risk of illiquidity by
both making its positions more difficult to liquidate and increasing the losses incurred while trying to do so.

The risk of loss due to
potentially illiquid markets is more acute in respect of over-the-counter instruments than in respect of exchange-traded instruments because the performance of those contracts is not guaranteed by an exchange or clearinghouse and the Trust will be
at risk to the ability of the counterparty to the instrument to perform its obligations thereunder. Because these markets are not regulated, there are no specific standards or regulatory supervision of trade pricing and other trading activities that
occur in those markets.

Because No Trust Acquires Any Asset with Intrinsic Value, the Positive Performance of Your Investment Is Wholly Dependent Upon
an Equal and Offsetting Loss

Futures trading is a risk transfer economic activity. For every gain there is an equal and offsetting
loss rather than an opportunity to participate over time in general economic growth. Unlike most alternative investments, an investment in a Trust does not involve acquiring any asset with intrinsic value. Overall stock and bond prices could rise
significantly and the economy as a whole prospers; while the Trust trades unprofitably.



Failure of Futures Trading to be Non-Correlated to General Financial Markets Will Eliminate Benefits of Diversification

Historically, managed futures generally have been non-correlated to the performance of other asset classes such as stocks and bonds. Non-correlation means that there is no statistically valid relationship between the past performance of
futures and forward contracts on the one hand and stocks or bonds on the other hand. Non-correlation should not be confused with negative correlation, where the performance would be exactly opposite between two asst classes. Because of this
non-correlation, no Trust can be expected to be automatically profitable during unfavorable periods for the stock market, or vice-versa. The futures and forward markets are fundamentally different from the securities markets in that for every gain
in futures and forward trading, there is an equal and offsetting loss. If the Trust does not perform in a manner non-correlated with the general financial markets or does not perform successfully, you will obtain no diversification benefits by
investing in the Units of such Trust and such Trust may have no gains to offset your losses from other investments.



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Trading on Commodity Exchanges Outside the United States is Not Subject to U.S. Regulation

Advisors are expected to engage in some or all of its trading on behalf of the Trust on commodity exchanges outside the United States. Trading on such
exchanges is not regulated by any United States governmental agency and may involve certain risks not applicable to trading on United States exchanges. In trading contracts denominated in currencies other than U.S. dollars, each Trust will be
subject to the risk of adverse exchange-rate movements between the dollar and the functional currencies of such contracts. Investors could incur substantial losses from trading on foreign exchanges by any Trust to which such Investors would not have
been subject had the Advisors limited their trading to U.S. markets.

Various Actual and Potential Conflicts of Interest May Be Detrimental to
Unitholders

The Trust is subject to actual and potential conflicts of interests involving the Managing Owner, the Advisors, and
various brokers and servicing agents. The Managing Owner, the Advisors, and their respective principals, all of which are engaged in other investment activities, are not required to devote substantially all of their time to the Trusts
business, which also presents the potential for numerous conflicts of interest with the Trust. As a result of these and other relationships, parties involved with the Trust have a financial incentive to act in a manner other than in the best
interests of the Trust and its Unitholders. The Managing Owner has not established any formal procedure to resolve conflicts of interest. Consequently, investors will be dependent on the good faith of the respective parties subject to such conflicts
to resolve them equitably. Although the Managing Owner attempts to monitor these conflicts, it is extremely difficult, if not impossible, for the Managing Owner to ensure that these conflicts do not, in fact, result in adverse consequences to the
various Trust.

The Trust may be subject to certain conflicts with respect to its Clearing Broker, its Futures Broker, and any executing
broker including, but not limited to, conflicts that result from receiving greater amounts of compensation from other clients, purchasing opposite or competing positions on behalf of third party accounts traded through the Clearing Broker, the
Futures Broker and executing brokers.

Unitholders Taxed Currently

Unitholders of a Trust are subject to tax each year on their allocable share of the income or gains (if any) of such Trust, whether or not they receive distributions. Moreover, the Managing Owner does not intend to
make any distributions to Unitholders in respect of any Trust. Consequently, Unitholders of a Trust will be required either to redeem Units or to make use of other sources of funds to discharge their tax liabilities in respect of any profits earned
by such Trust.

In comparing the profit objectives of each Trust with the performance of more familiar securities in which one might
invest, prospective investors must recognize that if they purchased equity or debt, there probably would be no tax due on the appreciation in the value of such holdings until disposition. In the case of each Trust, on the other hand, a significant
portion of any appreciation in the Net Asset Value per Unit must be paid in taxes by the Unitholders of such Trust every year, resulting in a substantial cumulative reduction in their net after-tax returns. Because Unitholders of a Trust will be
taxed currently on their allocable share of the income or gains of such Trust, if any, the Trust may trade successfully but investors nevertheless would have recognized significantly greater gains on an after-tax basis had they invested in
conventional stocks with comparable performance.

Limitation on Deductibility of Investment Advisory Fees

Non-corporate Unitholders of a Trust may be required to treat the amount of Incentive Fees and other expenses of such Trust as investment advisory
fees which may be subject to substantial restrictions on deductibility for federal income tax purposes. In the absence of further regulatory or statutory clarification, the Managing Owner is not classifying these expenses as investment
advisory fees, but this is a position to which the Internal Revenue Service (the IRS) may object. If a substantial portion of the fees and other expenses of a Trust were characterized as investment advisory fees, an
investment in such Trust might no longer be economically viable.

Taxation of Interest Income Irrespective of Trading Losses

With respect to each Trust, the Net Asset Value per Unit reflects the trading profits and losses as well as the interest income earned and expenses
incurred by such Trust. However, losses on such Trust trading will be almost exclusively capital losses, and capital losses are deductible against ordinary income only to the extent of $3,000 per year in the case of non-corporate taxpayers.
Consequently, if a non-corporate Unitholder had, for example, an allocable trading (i.e., capital) loss of $10,000 in a given fiscal year and allocable interest (i.e., ordinary) income (after reduction for expenses) of $5,000, the Unitholder would
have incurred a net loss in the Net Asset Value of such Unitholders Units equal to $5,000 but would recognize taxable income of $2,000 (assuming a 40% tax rate). The limited deductibility of capital losses for non-corporate Unitholders could
result in such Unitholders having a tax liability in respect of their investment in a Trust of the Trust despite incurring a financial loss on their Units of such Trust.



Possibility of a Tax Audit of Both the Trust and the Unitholders

There can be no assurance that the tax returns of each Trust will not be audited by the IRS. If such an audit results in an adjustment, Unitholders of
such Trust could themselves be audited as well as being required to pay additional taxes, interest and possibly penalties.



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Failure or Lack of Segregation of Assets May Increase Losses

The Commodity Exchange Act requires a clearing broker to segregate all funds received from customers from such brokers proprietary assets. If the
Clearing Broker fails to do so, the assets of any Trust might not be fully protected in the event of their bankruptcy. Furthermore, in the event of the Clearing Brokers bankruptcy, any Trust could be limited to recovering only a pro rata share
of all available funds segregated on behalf of the Clearing Brokers combined customer accounts, even though certain property specifically traceable to such Trust (for example, Treasury bills deposited by such Trust with the Clearing Broker as
margin) was held by the Clearing Broker.

Default by Counterparty and Credit Risk Could Cause Substantial Losses

Dealers in forward contracts are not regulated by the Commodity Exchange Act and are not obligated to segregate customer assets. As a result, Unitholders
do not have such basic protections with respect to the trading in forward contracts by any Trust. This lack of regulation in these markets could expose a Trust in certain circumstances to significant losses in the event of trading abuses or
financial failure by the counterparties. Each Trust also faces the risk of non-performance by the counterparties to the over-the-counter contracts. Unlike in futures contracts, the counterparty to these contracts is generally a single bank or other
financial institution, rather than a clearing organization backed by a group of financial institutions. As a result, there will be greater counterparty credit risk in these transactions. The clearing member, clearing organization or other
counterparty may not be able to meet its obligations, in which case the applicable Trust could suffer significant losses on these contracts.

Regulatory
Changes or Actions May Alter the Nature of an Investment in the Trust

Considerable regulatory attention has been focused on
non-traditional investment pools, in particular commodity pools such as the Trust, publicly distributed in the United States. There has been significant international governmental concern expressed regarding, for example, (i) the disruptive
effects of speculative trading on the central banks attempts to influence exchange rates and (ii) the need to regulate the derivatives markets in general. There is a possibility of future regulatory changes altering, perhaps to a material
extent, the nature of an investment in any Trust.

The futures markets are subject to comprehensive statutes, regulations, and margin
requirements. In addition, the CFTC and the exchanges are authorized to take extraordinary actions in the event of a market emergency, including, for example, the retroactive implementation of speculative position limits or higher margin
requirements, the establishment of daily price limits and the suspension of trading. The regulation of futures and forward transactions in the United States is a rapidly changing area of law and is subject to modification by government and judicial
action. The effect of any future regulatory change on the Trust is impossible to predict, but could be substantial and adverse.

Trust Trading is Not
Transparent

Trading decisions in respect of each Trust, are made by the Advisor or Advisors. While the Managing Owner receives daily
trade confirmations from the Clearing Broker and foreign exchange dealers, such information is not provided to Unitholders and each Trust trading results are reported to the Unitholders. Accordingly, an investment in a Trust does not offer you
the same transparency, i.e., an ability to review all investment positions daily that a personal trading account offers.

Lack of Independent Experts
Representing Investors

The Managing Owner has consulted with counsel, accountants and other experts regarding the formation and
operation of the Trust. Accordingly, you should consult your own legal, tax and financial advisers regarding the desirability of an investment in the Trust.

Forwards, Swaps, Hybrids and Other Derivatives are Not Subject to CFTC Regulation

Each Trust may trade foreign exchange
contracts in the interbank market. Since forward contracts are traded in unregulated markets between principals, the commodity pools also assume the risk of loss from counterparty nonperformance. In the future, the Trust may also trade swap
agreements, hybrid instruments and other off-exchange contracts. Swap agreements involve trading income streams such as fixed rate or floating rate interest. Hybrids are instruments, which combine features of a security with those of a futures
contract. Because there is no exchange or clearing-house for these contracts, the Trust will be subject to the credit risk and nonperformance of the counterparty. Additionally, because these off-exchange contracts are not regulated by the CFTC, no
Trust will receive the protections, which are provided by the CFTCs regulatory scheme.



Possibility of Termination of the Trust or any Trust Before Expiration of its Stated Term

As
Managing Owner, the Managing Owner may withdraw from the Trust, which would cause the Trust to terminate unless a Substitute Managing Owner was appointed. Other events, such as a long-term substantial loss suffered by any Trust, could also cause
such Trust to terminate before the expiration of its stated term. This could cause you to liquidate your investments and upset the overall maturity and timing of your investment portfolio. If the registrations with the CFTC or memberships in the NFA
of the Managing Owner or the Clearing Broker were revoked or suspended, such entity would no longer be able to provide services to the Trust.



8



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Item 1B. Unresolved Staff Comments

None

Item 2. Properties

The Registrant does not own or use any physical properties in the conduct of its business. The
Registrants only place of business is the place of business of Preferred.

Certain administrative services are provided by DPM Mellon
which is located at 400 Atrium Drive, Somerset, New Jersey 08873.

Item 3. Legal Proceedings

There are no material proceedings pending by or against the Registrant or the Managing Owner.

Item 4. Submission of Matters to a Vote of Interest Holders

None

PART II

Item 5. Market for the Registrants Interests, Related Interest Holder Matters and Issuer Purchases of Equity
Securities

Information with respect to the offering of Interests and the use of proceeds is incorporated by reference to
Note 1 to the Registrants 2005 Annual Report, which is filed as an exhibit hereto.

A significant secondary market for the Interests
has not developed, and is not expected that one will develop in the future. There are also certain restrictions set forth in the Trust Agreement limiting the ability of an interest holder to transfer Interests. However, Interest may be redeemed on a
weekly basis, but are subject to a redemption fee if transacted within one year of the effective date of purchase. The Managing Owner has suspended the offering of Interests in the Trust and, as such, Interests owned in one series of the Trust may
no longer be exchanged for Interests of one or more other Series as further discussed in Item 1, Business. Redemptions are calculated based on the applicable Series then current net asset value per Interest as of the close of business on
the Friday immediately preceding the week in which the exchange or redemption request is effected.

The Registrant did not sell any
unregistered interests (i.e., general interests) exempt from registration under Section 4(2) of the Securities Act of 1933 during the year ended December 31, 2005.

There are no material restrictions upon the Registrants present or future ability to make distributions in accordance with the provisions of the
Trust Agreement. No distributions have been made since inception and no distributions are anticipated in the future.

As of March 10,
2006, there were 451 holders of record owning 40,796.649 Interests which include 450 units of general interests.

Item 6. Selected Financial Data

The following table presents selected financial data of the Registrant. This data should be read in
conjunction with the financial statements of the Registrant and the notes thereto on pages 3 through 16 of the Registrants 2005 Annual Report which is filed as an exhibit hereto.



|                                                |  |                         |           |   |      |   |            |      |  |      |           |      |   |           |  |   |            |  
|----------------------------------------------- |  | ----------------------- | --------- | - | ---- | - | ---------- | ---- |  | ---- | --------- | ---- | - | --------- |  | - | ---------- | -
|                                                |  | Year Ended December 31, |          
|                                                |  | 2005                    |           |   | 2004 |   |            | 2003 |  | 2002 |           | 2001 |  
|Total revenues (including interest)             |  | $                       | (510,088  | ) |      | $ | (731,009   | )    |  | $    | 1,924,603 |      | $ | 1,971,561 |  | $ | (225,135   | )
|Net income (loss)                               |  | $                       | (993,692  | ) |      | $ | (1,482,912 | )    |  | $    | 1,003,426 |      | $ | 1,000,866 |  | $ | (1,535,122 | )
|Net income (loss) per weighted average Interest |  | $                       | (19.47    | ) |      | $ | (23.00     | )    |  | $    | 13.80     |      | $ | 11.39     |  | $ | (13.06     | )
|Total assets                                    |  | $                       | 4,141,494 |   |      | $ | 6,547,852  |      |  | $    | 9,223,570 |      | $ | 9,325,941 |  | $ | 10,734,048 |  
|Net asset value per Interest                    |  | $                       | 92.99     |   |      | $ | 110.44     |      |  | $    | 132.54    |      | $ | 119.35    |  | $ | 108.57     |  



9



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Item 7. Managements Discussion and Analysis of Financial Condition and Results of Operations

Critical Accounting Policies

Preparation of the financial statements and related disclosures in compliance with accounting principles generally accepted in the United States of America requires the application of appropriate accounting rules and
guidance, as well as the use of estimates. Series Bs application of these policies involves judgments and actual results may differ from the estimates used.

The Managing Owner has evaluated the nature and types of estimates that it makes in preparing Series Bs financial statements and related disclosures and has determined that the valuation of its investments which
are not traded on a United States or internationally recognized futures exchange involves a critical accounting policy. The market values of futures (exchange traded) contracts is verified by the administrator who obtains valuation data from third
party data providers such as Bloomberg and Reuters and compares those prices with Series Bs broker. The market value of currency swap and forward (non-exchange traded) contracts is extrapolated on a forward basis from the spot prices quoted as
of 3 PM on the last business day of the reporting period. All values assigned by the administrator and confirmed by the Managing Owner are final and conclusive as to all Interest holders.

As such, if actual results vary from estimates used, they are anticipated to not have a material impact on the financial statements and related
disclosures.

Liquidity and Capital Resources

Series B commenced operations on June 10, 1998 with gross proceeds of $5,709,093 allocated to commodities trading. Additional contributions raised through the continuous offering from the sales of Interests for the period from
June 10, 1998 (commencement of operations) to December 31, 2002 resulted in additional gross proceeds to Series B of $771,385. The Managing Owner suspended the offering of Interests in Series B and Series C and allowed all selling
registrations to expire by April 30, 2002 as more fully discussed in Note 1 to the financial statements. Series C was liquidated effective September 20, 2004.

Interests in Series B may be redeemed on a weekly basis, but are subject to a redemption fee if transacted within one year of the effective date of purchase. Redemptions of limited interests and general interests for
the year ended December 31, 2005 were $1,454,967 and $15,235, respectively, and December 31, 2004 were $1,155,702 and $12,497, respectively, and for the year ended December 31, 2003 were $1,082,047 and $25,113, respectively, and for
the period from June 10, 1998 (commencement of operations) to December 31, 2005 were $25,040,395 and $241,046, respectively. Future redemptions will impact the amount of funds available for investment in commodity contracts in subsequent
periods.

At December 31, 2005, 100% of Series Bs net assets were allocated to commodities trading. A significant portion of the
net assets held in cash which was used as margin for Series Bs trading in commodities. Inasmuch as the sole business of Series B is to trade in commodities, Series B continues to own such liquid assets to be used as margin. The broker credits
Series B monthly with 100% of the interest it earns on the average net assets in Series Bs accounts.

The commodities contracts may
be subject to periods of illiquidity because of market conditions, regulatory considerations and other reasons. For example, commodity exchanges limit fluctuations in certain commodity futures contract prices during a single day by regulations
referred to as daily limits. During a single day, no trades may be executed at prices beyond the daily limit. Once the price of a futures contract for a particular commodity has increased or decreased by an amount equal to the daily
limit, positions in the commodity can neither be taken nor liquidated unless traders are willing to effect trades at or within the limit. Commodity futures prices have occasionally moved the daily limit for several consecutive days with little or no
trading. Such market conditions could prevent Series B from promptly liquidating its commodity futures positions.

Since Series Bs
business is to trade futures and forward contracts, its capital is at risk due to changes in the value of these contracts (market risk) or the inability of counterparties to perform under the terms of the contracts (credit risk). Series Bs
exposure to market risk is influenced by a number of factors including the volatility of interest rates and foreign currency exchange rates, the liquidity of the markets in which the contracts are traded and the relationships among the contracts
held. The inherent uncertainty of Series Bs speculative trading as well as the development of drastic market occurrences could result in monthly losses considerably beyond Series Bs experience to date and could ultimately lead to a loss
of all or substantially all of investors capital. The Managing Owner attempts to minimize these risks by requiring Series B and its trading advisor to abide by various trading limitations and policies, which include limiting margin amounts,
trading only in liquid markets and permitting the use of stop loss provisions. See Note 6 to the financial statements for a further discussion on the credit and market risks associated with Series Bs futures and forward contracts.

Series B does not have, nor does it expect to have, any capital assets.



11



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Off-Balance Sheet Arrangements and Contractual Obligations

As of December 31, 2005, Series B had not utilized special purpose entities to facilitate off-balance sheet financing arrangements and has no loan
guarantee arrangements or off-balance sheet arrangements of any kind other than agreements entered into in the normal course of business, which may include indemnification provisions related to certain risks service providers, such as our
accountants, undertake in performing services which are in the best interests of Series B. While Series Bs exposure under such indemnification provisions can not be estimated, these general business indemnifications are not expected to have
material impact on Series Bs financial position.

Series Bs contractual obligations are with the Managing Owner, Trading
Advisor and its commodity broker. Payments made under Series Bs agreement with the Trading Advisor are at a fixed rate, calculated as a percentage of the Series Bs New High Net Trading Profits. In addition, management fee
payments made to the Trading Advisor and fees paid to the Managing Owner are calculated as a fixed percentage of Series Bs Net Asset Values. As such, the Managing Owner cannot anticipate the amount of payments that will be required under these
agreements for future periods as Net Asset Values are not known until a future date. Commission payments to the commodity broker are based on a cost per executed trade and, as such, the Managing Owner cannot anticipate the amount of payments that
will be required under the brokerage agreement for future periods as the level of executed trades are not known until a future date. These agreements are effective for one-year terms, renewable automatically for additional one-year terms unless
terminated. Additionally, these agreements may be terminated by either party for various reasons. For a further discussion on these payments, see Notes 1 and 3 of Series Bs 2005 Annual Report.

Results of Operations

The net asset value per
Interest as of December 31, 2005 was $92.99, a decrease of 15.80% from the December 31, 2004 net asset value per interest of $110.44 which was a decrease of 16.67% from the December 31, 2003 net asset value per Interest of $132.54.
The CISDM CPO Asset Weighted Index (formerly known as the Zurich Fund/Pool Qualified Universe Index) returned 5.97% and 3.22% for the years ended December 31, 2005 and 2004, respectively. The CISDM CPO Asset Weighted Index is the dollar
weighted, total return of all commodity pools, tracked by Managed Account Reports, LLC. Past performance is not necessarily indicative of future results.

Series Bs trading (losses)/gains before commissions were approximately $(702,000), $(855,000) and $1,796,000 for the years ended December 31, 2005, 2004 and 2003, respectively. Due to the nature of Series
Bs trading activities, a period to period comparison of its trading results is not meaningful. However, a detailed discussion of Series Bs current year trading results is presented below.

2005 was an eventful year in the global economic markets. The rise in global energy prices to historic highs was a primary factor that dominated the
global economy, along with many other economic, geopolitical and social issues.

The U.S. equity markets lagged most foreign equity markets
in 2005. The Dow Jones Industrial Index had its first annual loss since 2002, while the technology oriented Nasdaq Index had a modest 1% gain and the S&P 500 Index gained 3% for the year. Overall corporate earnings exceeded expectations for most
of the year, including the third and fourth quarters. The impact of several hurricanes, high energy prices and rising interest rates were among the negative factors for the year.

European equity markets out-performed the U.S. equity markets by a significant margin for much of the year, with the fourth quarter being particularly
strong. Among the three major indices, the German DAX gained 27%, the French CAC 40 gained 23% and the British FTSE 100 was up 17%. Asian equities were stronger than European equities, as South Koreas Kospi increased 54% and Japans
Nikkei rose 40%. The Nikkei finished the year with seven consecutive monthly gains. Australias All Ordinaries increased 17%.

One of
the notable themes in U.S. interest rates was a flattening yield curve and a gradual trend toward inversion. The inversion finally occurred in December as the 10-year finished with a 4.39% yield versus 4.40% for the 2-year. The inversion was the
first in six years. This pattern occurred in the face of 13 consecutive 25 point Federal Open Market Committee rate hikes to 4.25%. In Europe, the European Central Bank raised rates 25 points to 2.25% but this was not considered an indication of a
cycle of rate hikes as European economic growth, while improved, remained fairly modest.

The U.S. dollar ended stronger in 2005, not
withstanding a volatile trading pattern during the year. For the year, the U.S. dollar rose approximately 15% against the Japanese yen and the Euro. The interest rate differential was the primary factor behind the U.S. dollars solid
performance. The British pound finished 2005 lower due to weakness in the U.K. economy. As a result of rate increases by the Bank of Canada, the Canadian dollar gradually gained versus the U.S. dollar, ending the year up 4.1%. The Australian dollar
declined in 2005 despite rate hikes and strong equity markets. The Russian ruble decreased approximately 3.4% for the year. The full impact of the revaluation of the Chinese renminbi at midyear has yet to be realized.



Crude oil and related products were among the largest gainers in the
commodities markets for 2005. Energy prices peaked in the summer, around the time of Hurricanes Katrina and Rita, and declined in October and November. Weather was a contributing influence to the decrease as above normal temperatures continued
through the end of the year. Global demand, however, was ever increasing, with China and India in the forefront.



12



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In the metals, gold prices steadily advanced in 2005, particularly in the final quarter of the year.
Strong physical and investment demand, particularly from the Far East, was a yearlong feature. European central banks were reserved sellers and a number of other central banks, such as Russia and OPEC nations, increased the amount of gold in their
reserve asset portfolios. Additionally, gold assumed the role as an alternative currency in 2005 as traders shied away from the U.S. dollar, Japanese yen and Euro. Silver prices tracked gold for much of the year due to strong physical demand from
India in particular. In the base metals, copper prices rose significantly as strong Chinese demand remained a driving force throughout the year.

Profits were the result of gains in the indices and interest rate sectors. Net losses for Series B were experienced in the currencies, energy and metals sectors.

Currencies: (-) The currency sector was down for the year, the result of three negative quarters. Long and short positions in the Australian dollar, the Euro and the Swiss franc negatively impacted the
portfolio in 2005.

Energy: (-) Losses on both long and short positions in heating oil and unleaded gas in the fourth quarter
resulted in negative returns for the year.

Indices: (+) Despite losses in the first quarter, the sector ended the year on a
positive note. Long positions in the Nikkei and the DAX offset losses in the NASDAQ 100, the S&P 500 and the Hang Seng indices.

Interest Rates: (+) Profits generated in the second quarter carried through to the end of the year resulting in a gain for the year. A majority of the gains were from long positions in the Bund, the Japanese Government Bond and
Euribor. Those positions offset losses from long positions in the Australian 3-year Bond and the U.S. Treasury Note.

Metals: (-)Profits from long copper positions could not offset losses from long aluminum and gold positions, resulting in the sector being down for the year.

Fluctuations in overall average net asset levels have led to corresponding fluctuations in commissions and management fees incurred, and interest earned by Series B, which are largely based on the level of net assets.
Series Bs average net asset levels were lower during the year ended December 31, 2005, versus 2004 primarily as a result of redemptions and trading losses. Series Bs average net asset levels were lower during the year ended
December 31, 2004 versus 2003, primarily as a result of redemptions and unfavorable trading performance during 2004.

Interest income
is earned on the average net assets held at the broker and, therefore, varies weekly according to interest rates, trading performance, contributions and redemptions. Interest Income increased by approximately $68,000 during 2005 as compared to 2004.
In 2005, rising interest rates off set declining asset levels. The 2004 decrease of approximately $5,000, resulted from lower overall interest rates in 2004 versus 2003.

Commissions are calculated on Series Bs net asset value at the end of each week and therefore, vary according to weekly trading performance, contributions and redemptions. Commissions decreased by approximately
$213,000 during 2005 as compared to 2004 and by approximately $134,000 during 2004 as compared to 2003. These decreases resulted from reductions in average net asset levels as discussed above.

All trading decisions for Series B are made by Eclipse Capital Management, Inc. (the Trading Advisor). Management fees are calculated on
Series Bs net asset value at the end of each week and therefore, are affected by weekly trading performance, contributions and redemptions. Management fees decreased by approximately $55,000 during 2005 as compared to 2004 and by approximately
$35,000 during 2004 as compared to 2003. These decreases resulted from fluctuations in average net asset levels as discussed above.

Incentive fees are based on the New High Net Trading Profits generated by the Trading Advisor, as defined in the Advisory Agreement among the Series B, the Managing Owner and the Trading Advisor. Series B incurred an incentive fee of
approximately $500 during 2003 but did not incur any incentive fee during 2005 and 2004.

Inflation

Inflation has had no material impact on operations or on the financial condition of Series B from inception through December 31, 2005.

Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Information regarding quantitative and qualitative disclosures about market risk is not required pursuant to
Item 305(e) of Regulation S-K.



13



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Item 8. Financial Statements and Supplementary Data

The financial statements are incorporated by reference to pages 3 through 16 of the Registrants 2005
Annual Report which is filed as an exhibit hereto.

Selected unaudited quarterly financial data for the years ended December 31, 2005
and 2004 are summarized below:



|                                                     |  |                                                    |          |   |                                                  |   |            |                                                      |  |   |                                                          |   |  |   |          |  
|---------------------------------------------------- |  | -------------------------------------------------- | -------- | - | ------------------------------------------------ | - | ---------- | ---------------------------------------------------- |  | - | -------------------------------------------------------- | - |  | - | -------- | -
|                                                     |  | For the periodfrom January 1,2005 toMarch 25, 2005 |          |   | For the periodfrom March 26,2005 toJune 24, 2005 |   |            | For the periodfrom June 25,2005 toSeptember 30, 2005 |  |   | For the periodfrom October 1,2005 toDecember 31, 2005    |  
|2005:                                                |  |                                                    |          |   |                                                  |   |            |                                                      |  |   |                                                          |   |  |   |          |  
|Total revenues (including interest)                  |  | $                                                  | (698,257 | ) |                                                  | $ | 80,902     |                                                      |  | $ | 211,158                                                  |   |  | $ | (103,891 | )
|Total revenues (including interest) less commissions |  | $                                                  | (805,559 | ) |                                                  | $ | (17,715    | )                                                    |  | $ | 115,675                                                  |   |  | $ | (187,009 | )
|Net income (loss)                                    |  | $                                                  | (833,208 | ) |                                                  | $ | (43,126    | )                                                    |  | $ | 91,071                                                   |   |  | $ | (208,429 | )
|Net income (loss) per weighted average Interest      |  | $                                                  | (14.27   | ) |                                                  | $ | (0.80      | )                                                    |  | $ | 1.89                                                     |   |  | $ | (4.63    | )
|                                                     |  |                                                    |          |  
|                                                     |  | For the periodfrom January 1,2004 to March26, 2004 |          |   | For the periodfrom March 27,2004 to June25, 2004 |   |            | For the periodfrom June 26, 2004to September 24,2004 |  |   | For the periodfrom September25, 2004 toDecember 31, 2004 |  
|2004:                                                |  |                                                    |          |   |                                                  |   |            |                                                      |  |   |                                                          |   |  |   |          |  
|Total revenues (including interest)                  |  | $                                                  | 362,325  |   |                                                  | $ | (1,109,219 | )                                                    |  | $ | (89,847                                                  | ) |  | $ | 105,732  |  
|Total revenues (including interest) less commissions |  | $                                                  | 193,680  |   |                                                  | $ | (1,264,017 | )                                                    |  | $ | (225,746                                                 | ) |  | $ | (32,772  | )
|Net income (loss)                                    |  | $                                                  | 150,218  |   |                                                  | $ | (1,303,905 | )                                                    |  | $ | (260,763                                                 | ) |  | $ | (68,462  | )
|Net income (loss) per weighted average Interest      |  | $                                                  | 2.20     |   |                                                  | $ | (19.64     | )                                                    |  | $ | (4.10                                                    | ) |  | $ | (1.14    | )

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

On October 18, 2005, the Board of Directors of Preferred dismissed Arthur F. Bell, Jr. &
Associates, L.L.C. (AFB) as the independent registered public accounting firm for the Registrant. The report of AFB on the Registrants financial statements as of and for the fiscal year ended December 31, 2004 did not contain
an adverse opinion or a disclaimer of opinion, and was not qualified or modified as to uncertainties, audit scope, or accounting principles. AFB was engaged by World Monitor Trust  Series B on October 1, 2004.

During the Registrants fiscal year ended December 31, 2004 and during the period then ended through the date of the most recently filed Form
8-K, the Registrant and the Managing Owner have had no disagreements with AFB on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreement(s), if not resolved to the
satisfaction of AFB, would have caused it to make a reference to the subject matter thereof in its report on the financial statements of the Registrant for such period.

On October 18, 2005, the Board of Directors of the Managing Owner, on behalf of the Registrant, approved the engagement of Deloitte & Touche LLP (D&T) as the independent registered public
accounting firm for the Registrant. During the Registrants two most recent fiscal years and the interim period prior to engaging D&T, neither the Registrant, the Managing Owner, nor anyone on their behalf consulted D&T, on behalf of
the Registrant, regarding the application of accounting principles to a specified transaction (either completed or proposed), the type of audit opinion that might be rendered on the Registrants financial statements, or any matter that was
either the subject of a disagreement, as defined in Item 304(a)(1)(iv) of Regulation S-K and the instructions thereto, or a reportable event, as defined in Item 304(a)(1)(v) of Regulation S-K.



14



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Item 9A. Controls and Procedures

As of the end of the period covered by this report, the Managing Owner carried out an evaluation, under the
supervision and with the participation of the officers of the Managing Owner, including the Managing Owners chief executive officer, chief financial officer and director of fund administration, of the effectiveness of the design and operation
of the Registrants disclosure controls and procedures. Based upon that evaluation, the Managing Owners chief executive officer, chief financial officer and director of fund administration concluded that the Registrants disclosure
controls and procedures are effective.

There have not been any changes in our internal controls over financial reporting (as defined in
Rules 13a-15(e) and 15d  15(e) under the Securities Exchange Act of 1934, as amended) during the fiscal quarter to which this report related that have materially affected, or are reasonably likely to materially affect, our internal controls
over financial reporting.

Item 9B. Other Information

None



PART III

Item 10. Directors and Executive
Officer of the Registrant

There are no officers of the Registrant. The Registrant is managed by the Managing Owner.

The key officers of the Managing Owner and their positions with respect to the Registrant are as follows:

Mr. Kenneth A. Shewer (born 1953), has been a principal, associated person and NFA associate member of the Managing Owner since
February 8, 1984, May 1,1985 since August 1, 1985, respectively. He has been Chairman and Co-Chief Executive Officer of the Managing Owner since February 1984. Mr. Shewer was employed by Pasternak, Baum and Co., Inc.
(Pasternak, Baum), an international cash commodity firm, from June 1976 until September 1983. Mr. Shewer created and managed Pasternak, Baums Grain Logistics and Administration Department and created its Domestic Corn and
Soybean Trading Department. Mr. Shewers responsibilities at Pasternak, Baum included merchandising South American grain and exporting United States corn and soybeans. In 1982, Mr. Shewer became co-manager of Pasternak, Baums
F.O.B. Corn Department. In 1983, Mr. Shewer was made Vice President and Director of Pasternak, Baum. Mr. Shewer has traveled extensively in South America and Europe in connection with the commodity business and has organized and effected
grain and oilseed sales in those regions, the former Soviet Union, and the Far East. While at Pasternak, Baum, Mr. Shewer was a member of the St. Louis Merchants Exchange and was associated with the National Grain and Feed Association and the
North American Export Grain Association.

Mr. Shewer graduated from Syracuse University with a B.S. degree in 1975. Mr. Shewer
sits on the Board of the Stacy Joy Goodman Memorial Foundation, a non-profit charity committed to finding a cure for Juvenile Diabetes. He is also a member of the Board of the Diabetes Research Institute Foundation, a not-for-profit organization
affiliated with the University of Miami School of Medicine. Mr. Shewer is a founding member and member of the Board of the Greenwich Roundtable.

Mr. Marc S. Goodman (born 1948) has been a principal, associated person and NFA associate member of the Managing Owner since February 7, 1984, May 1, 1985 since August 1, 1985,
respectively. He has been President and Co-Chief Executive Officer of the Managing Owner since February 1984. Mr. Goodman joined Pasternak, Baum in September 1974 and was a Vice President and Director from July 1981 until September 1983. While
at Pasternak, Baum, Mr. Goodman was largely responsible for business development outside of the United States, for investment of its corporate retirement funds, and for selecting trading personnel in the Vegetable Oil Division Mr. Goodman
also created and developed Pasternak, Baums Laric Oils Department. Mr. Goodman has conducted extensive business in South America, Europe and the Far East; he has been a merchandiser of all major vegetable oils and their by-products, and
of various other commodities such as sunflower seeds, frozen poultry, pulses and potatoes.

Mr. Goodman graduated from the Bernard M.
Baruch School of Business of the City University of New York with a B.B.A. in 1969 and an M.B.A. in 1971 in Finance and Investments, where he was awarded an Economics and Finance Department Fellowship from September 1969 through June 1971.
Mr. Goodman is a member of the American Arbitration Association; while at Pasternak, Baum, he was a member of the National Institute of Oilseeds Products and the American Fats and Oils Association (including its Export Rules Committee).

Mr. Goodman is the Chairman of the Board of the Stacy Joy Goodman Memorial Foundation, a non-profit charity committed to finding a
cure for Juvenile Diabetes. He is also Chairman of the Board of the Diabetes Research Institute Foundation, a not-for-profit organization which is the principle source of funding for the Diabetes Research Institute, a world renowned cure based
research center affiliated with the University of Miami School of Medicine.



15



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Mr. Goodman is a founding member and member of the Board of the Greenwich Roundtable and is a member
of the Board of Xethanol Corp.

Messrs. Shewer and Goodman left Pasternak, Baum in September 1983 to form Kenmar Advisory Corp. (now known
as Preferred Investment Solutions Corp., the Managing Owner) and they have occupied their present positions with the Managing Owner since that time.

Ms. Esther Eckerling Goodman (born 1952) has been a principal, associated person and NFA associate member of the Managing Owner since May 12, 1988, July 17, 1986 and July 17, 1986,
respectively. She joined the Managing Owner in July 1986 and is its Chief Operating Officer and Senior Executive Vice President. Ms. Goodman has been involved in the futures industry since 1974. From 1974 through 1976, she was employed by
Conti-Commodity Services, Inc. and ACLI Commodity Services, Inc., in the areas of hedging, speculative trading and tax arbitrage. In 1976, Ms. Goodman joined Loeb Rhoades & Company, Inc. where she was responsible for developing and
managing a managed futures program which, in 1979, became the trading system for Westchester Commodity Management, an independent commodity-trading advisor of which Ms. Goodman was a founder and principal. From 1983 through mid-1986,
Ms. Goodman was employed as a marketing executive at Commodities Corp. (USA) of Princeton, New Jersey. Ms. Goodman was a Director of the Managed Futures Trade Association from 1987 to 1991 and a Director of its successor organization, the
Managed Futures Association, from 1991 to 1995 (now the Managed Funds Association). Ms. Goodman graduated from Stanford University with a B.A. degree in psychology in 1974.

Mr. Braxton Glasgow III (born 1953), has been a principal, associated person, branch manager and NFA associate member of the Managing Owner
since June 21, 2001, June 21, 2001, July 13, 2004 and June 8, 2001, respectively. Mr. Glasgow has been an Executive Vice President of the Managing Owner since joining the Managing Owner in May 2001.
Mr. Glasgow is responsible for business development. Previously, he served as Executive Vice President, Director of Client Services and a Principal at Chesapeake Capital Corp., a commodities trading firm, and as Senior Managing Director at
Signet Investment Banking Co. Mr. Glasgow began his career at PricewaterhouseCoopers, where he specialized in mergers and acquisitions and private equity, including extensive work in Europe and the Far East. Mr. Glasgow received a B.S. in
Accounting from the University of North Carolina at Chapel Hill and is a Certified Public Accountant. From 1994 to 1995, he was President of the Jay Group Ltd. Mr. Glasgow received a B.S. degree in accounting from the University of North
Carolina in 1975.

Ms. Maureen D. Howley (born 1967), has been a principal of the Managing Owner since August 11,
2003. She has been a Senior Vice President and Chief Financial Officer of the Managing Owner since joining the Managing Owner in July 2003. She is responsible for corporate finance. From July 2001 until July 2003, Ms. Howley was an Associate at
Andor Capital Management, LLC, an equity hedge fund company. At Andor, she was responsible for managing the corporate accounting functions. Previously, she was the Controller at John W. Henry & Company, Inc., a commodity-trading advisor
(JWH), where she held positions of increasing responsibility from September 1996 to July 2001. She began her career at Deloitte & Touche where she specialized in the financial services industry. She held many positions of
increasing responsibility for seven years, and left as an Audit Senior Manager in September 1996 to join JWH. Ms. Howley received a B.A. in Accounting from Muhlenberg College in 1989 and designation as a Certified Public Accountant in 1990.

Mr. Lawrence S. Block (born 1967) has been a Senior Vice President and General Counsel of the Managing Owner since
joining the Managing Owner in March 2005. Prior to joining the Managing Owner, Mr. Block was a Managing Director and General Counsel of Lipper & Company, L.P., a New York-based investment management firm, from January 1998 until March
2005. Prior to joining Lipper & Company, Mr. Block was a senior associate at the law firm Cadwalader, Wickersham & Taft in New York from May 1996 through December 1997. Mr. Block also worked as an associate at the law
firm Proskauer Rose Goetz & Mendelsohn from September 1992 through May 1996. Mr. Block received a B.S. in Business Administration with a concentration in Accounting from the University of North Carolina at Chapel Hill in 1989 and a
J.D. from the University of Pennsylvania School of Law in 1992. Mr. Blocks registration as a principal of the Managing Owner has been effective since March 17, 2005. His registration as an Associated Person of the Managing Owner is
pending with the National Futures Association.

Ms. Joanne D. Rosenthal (born 1965), has been a principal, associated
person and NFA associate member of the Managing Owner since February 29, 2000, February 29, 2000 and November 30, 1999, respectively. Ms. Rosenthal is Senior Vice President and Director of Portfolio Management and
Implementation for the Managing Owner. Prior to joining the Managing Owner in October 1999, Ms. Rosenthal spent nine years at The Chase Manhattan Bank, in various positions of increasing responsibility. From July 1991 through April 1994, she
managed the Trade Execution Desk and from May 1994 through September 1999, she was a Vice President and Senior Portfolio Manager of Chase Alternative Asset Management, Inc. Ms. Rosenthal received a Masters of Business Administration with a
concentration in Finance from Cornell University and a Bachelor of Arts in Economics from Concordia University in Montreal, Canada.



16



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Mr. Peter J. Fell (born 1960), Senior Vice President, Director of Due Diligence since
joining the Managing Owner in September 2004. He is responsible for manager selection and due diligence. Mr. Fell is a member of the Investment Committee. From 2000 through August 2004, Mr. Fell was a founding partner and Investment
Director of Starview Capital Management. Prior to co-founding Starview Capital Management, Mr. Fell was Vice President of Research and Product Development at Merrill Lynch Investment Partners Inc (MLIP). He was responsible for the investment
evaluation and recommendation process pertaining to MLIP funds and sat on MLIPs Investment Committee. Prior to joining MLIP, Mr. Fell had been with Deutsche Bank Financial Products Corporation for six years starting in 1989, where he was
Vice President in the over-the-counter fixed income derivatives area. From 1985 to 1989, he was employed by Manufacturers Hanover Trust Company, ultimately holding the position of Assistant Vice President in the Swaps and Futures Group.
Mr. Fell holds an A.B. cum laude in Music Theory and History and an M.B.A. in Finance from Columbia University.

Ms. Melissa
Cohn (born 1960), Vice President and Senior Research Analyst, joined the Managing Owner in 1988. Her responsibilities include manager due diligence, manager analysis, and portfolio/risk management. Ms. Cohn has been involved in the futures
industry for over 20 years. Prior to joining the Managing Owner, she spent six years in positions of increasing responsibility in the Commodities Division at Shearson Lehman Hutton Inc. Her experience includes that of Sales Assistant, Assistant
Commodity Trader and Trader executing orders from numerous CTAs that traded through Shearson. Ms. Cohn graduated from the University of Wisconsin Madison with a B.S. in Agriculture in 1982.

Mr. James Dodd(born 1951), has been a principal, associated person and NFA associate member of the Managing Owner since February 26,
2002, February 26, 2002 and January 25, 2002, respectively. He is responsible for structuring and marketing investment products to financial institutions and to retail investors via the brokerage and financial consultant channels.
Earlier in his career, Mr. Dodd was a senior marketing officer of the Capital Markets Group of Continental Bank in Chicago; President of Signet Investment Banking in Richmond, Virginia; and Managing Director of Financial Institutions Marketing
at Chesapeake Capital, a large Richmond-based CTA. Mr. Dodd received an AB degree from Cornell University in 1974 and a M.B.A. degree from the University of Chicago in 1983.

Ms. Florence Y. Sofer (born 1966), has been a principal of the Managing Owner since February 28, 2002. She has been Vice President,
Investor Relations/ Communications of the Managing Owner since joining the Managing Owner in November 2001. From 1997 to 2001, Ms. Sofer was the Vice President, Marketing, and a Principal of JWH, where she was responsible for strategic
marketing and client communications for the firm and its subsidiaries. From 1994 to 1997, Ms. Sofer was the Marketing Manager at Global Asset Management (GAM) where she was involved in the successful development and launch the
firms mutual fund product line. Ms. Sofer received a B.A. degree from American University in 1988 and a M.B.A. in Marketing from George Washington University in 1992.

Mr. David K. Spohr (born 1963), Vice President and Director of Fund Administration joined the Managing Owner in 2005. He is responsible
for the development and execution of the administration group support responsibilities. From 2002 to 2005, Mr. Spohr was a Vice President at Safra Group, where he was responsible for the Alternative Investment operations, tax reporting and
pricing valuation. From 2000 to 2002, he was a consultant to The Safra Group. From 1994-1999, he was Manager of Investment Services for the Bank of Bermuda, supporting private client transactions. From 1993 to 1994, he was the Manager of Global
Operations for Highbridge Capital Corporation during the funds infancy. Mr. Spohr received a B.S. in Business Economics from The State University of New York College at Oneonta in 1985 and designation as a Chartered Financial Analyst in
1998.

Section 16(a) Beneficial Ownership Reporting Compliance

Certain of the Managing Owners directors and officers and any persons holding more than ten percent of the Registrants Limited Interests
(Ten Percent Owners) are required to report their initial ownership of such Limited Interests and any subsequent changes in that ownership to the Securities and Exchange Commission (the SEC) on Forms 3, 4 or 5. Such directors
and officers and Ten Percent Owners are required by SEC regulations to furnish the Registrant with copies of all Forms 3, 4 and 5 they file. There are no Ten Percent Owners of the Registrants Limited Interests. Each of Lawrence S. Block and
David K. Spohr failed to timely file an Initial Statement of Beneficial Ownership of Securities on Form 3 during the Registrants most recent fiscal year. Other than as set forth above, all filing requirements of Section 16(a) of the
Exchange Act were timely complied with during the fiscal year. In making these disclosures, the Registrant has relied solely on written representations of the Managing Owners directors and officers and the Registrants Ten Percent Owners
or copies of the reports that they have filed with the SEC during and with respect to its most recent fiscal year.



Audit Committee Financial Expert

The
Registrant itself does not have any employees. Preferred Investment Solutions Corp. acts as Managing Owner of the Registrant. The Board of Directors of Preferred Investment Solutions Corp. has delegated audit committee responsibilities to the
Internal Controls and Disclosure Committee. Maureen Howley, as the Chief Financial Officer of Preferred Investment Solutions Corp. and as a member of the Internal Controls and Disclosure Committee, serves as the audit committee financial
expert for Preferred Investment Solutions Corp. Ms. Howley is not a member of the Board of Directors and she is not independent of management.



17



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Code of Ethics

Preferred Investment Solutions Corp. has adopted a code of ethics for its chief executive officer, chief financial officer, director of fund administration, accounting managers and persons performing similar
functions. A copy of the code of ethics may be obtained at no charge by written request to Preferred Investment Solutions Corp., 900 King Street, Suite 100, Rye Brook, New York 10573 or by calling (914) 307-7000.

Item 11. Executive Compensation

The Registrant does not pay or accrue any fees, salaries or any other form of compensation to officers of
the Managing Owner for their services. (See also Item 13, Certain Relationships and Related Transactions, for information regarding compensation to the Managing Owner).

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Interest Holder Matters

As of March 10, 2006, Preferred maintains a 1% Managing Owner Interest in the Registrant. As of
March 10, 2006, all of Preferred Investment Solutions Corp. stock is owned indirectly and equally by Messrs. Goodman and Shewer, Preferred Investment Solutions Corp.s sole directors.

As of March 10,2006, the following officers of the Managing Owner are deemed to own beneficially the following number of interests issued by the
Registrant:



|                         |  |                                       |  |                                          |  |                 
|------------------------ |  | ------------------------------------- |  | ---------------------------------------- |  | ----------------
|Title of Class           |  | Name and Addresses ofBeneficial Owner |  | Amount and Nature ofBeneficial Ownership |  | Percent of Class
|Managing Owner interests |  | Marc S. Goodman                       |  |                                          |  |                 
|                         |  | 900 King Street, Suite 100            |  |                                          |  |                 
|                         |  | Rye Brook, New York 10573             |  | 450 Managing Owner interests (*)         |  | 100%            
|Managing Owner interests |  | Kenneth A. Shewer                     |  |                                          |  |                 
|                         |  | 900 King Street, Suite 100            |  |                                          |  |                 
|                         |  | Rye Brook, New York 10573             |  | 450 Managing Owner interests (*)         |  | 100%            
|Managing Owner interests |  | Esther E. Goodman                     |  |                                          |  |                 
|                         |  | 900 King Street, Suite 100            |  |                                          |  |                 
|                         |  | Rye Brook, New York 10573             |  | 450 Managing Owner interests (**)        |  | 100%            

---

|(*) | These interests are held indirectly through Preferred. The Beneficial Owner disclaims beneficial ownership over such securities for purposes of Section 16 of the Securities
Exchange Act of 1934, except to the extent of his pecuniary interest therein.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(**) | These interests are held by the Beneficial Owners spouse indirectly through Preferred. The Beneficial Owner disclaims beneficial ownership over such securities for purposes of
Section 16 of the Securities Exchange Act of 1934, except to the extent of her pecuniary interest therein.
|---- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

As of
March 10, 2006, the following partner beneficially owns more than five percent (5%) of the outstanding limited interests issued by the Registrant.



|                 |  |                          |  |                 
|---------------- |  | ------------------------ |  | ----------------
|Title of Class   |  | Name of Beneficial Owner |  | Percent of Class
|Limited Interest |  | Ardinger, HT             |  | 5.61%           

Item 13. Certain Relationships and Related Transactions

The Registrant has and will continue to have certain relationships with the Managing Owner and its
affiliates. However, there have been no direct financial transactions between the Registrant and the directors or officers of the Managing Owner.

Reference is made to Notes 1, 3 and 4 to the financial statements in the Registrants 2005 Annual Report which is filed as an exhibit hereto, which identify the related parties and discuss the services provided by these parties and the
amounts paid or payable for their services.



18



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Item 14. Principal Accounting Fees and Services

Audit Fees and All Other Fees

The principle accountant for the year ended December 31, 2005 was Deloitte & Touche LLP. The principle accountant for the year ended December 31, 2004 was Arthur F. Bell, Jr. & Associates,
L.L.C.

Audit Fees

Fees for audit services totaled approximately $51,000 for 2005 ($40,000 to Deloitte & Touche LLP and $11,000 to Arthur F. Bell, Jr. & Associates, L.L.C.) and $28,000 during 2004, respectively, including fees associated
with the annual audit and the reviews of the Registrants quarterly reports on Form 10-Q.

Tax

Fees for tax services by Arthur F. Bell, Jr. & Associates, L.L.C, including tax compliance and tax advice totaled approximately $7,600 and $6,500
in 2005 and 2004, respectively.

We have been advised by Deloitte & Touche LLP that neither the firm, nor any member of the firm,
has any financial interest, direct or indirect, in any capacity in the Registrant or its affiliates.



PART IV

Item 15. Exhibits, Financial Statement Schedules, and Reports on Form 8-K



|    |  |     |  |                                                                                                                                                                                                                                             |  |                     
|--- |  | --- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  | --------------------
|    |  |     |  |                                                                                                                                                                                                                                             |  | Page inAnnual Report
|    |  |     | 
|    |  |     |  |                                                                                                                                                                                                                                             |  |                     
|(a) |  | 1.  |  | Financial Statements and Report of Independent Registered Public Accounting Firm  incorporated by reference to the Registrants 2005 Annual Report which is filed as an exhibit
hereto                                                     |  |                     
|    |  |     |  | Report of Independent Registered Public Accounting Firm  Deloitte & Touche LLP                                                                                                                                                             |  | 1                   
|    |  |     |  | Report of Independent Registered Public Accounting Firm  Arthur F. Bell, Jr. & Associates, L.L.C.                                                                                                                                          |  | 2                   
|    |  |     |  | Report of Independent Registered Public Accounting Firm  PricewaterhouseCoopers LLP                                                                                                                                                        |  | 3                   
|    |  |     |  | Financial Statements:                                                                                                                                                                                                                       |  |                     
|    |  |     |  | Statements of Financial Condition  December 31, 2005 and 2004                                                                                                                                                                              |  | 4                   
|    |  |     |  | Condensed Schedules of Investments  At December 31, 2005 and 2004                                                                                                                                                                          |  | 5                   
|    |  |     |  | Statements of Operations  Three years ended December 31, 2005                                                                                                                                                                              |  | 6                   
|    |  |     |  | Statements of Changes in Trust Capital  Three years ended December 31, 2005                                                                                                                                                                |  | 7                   
|    |  |     |  | Notes to Financial Statements                                                                                                                                                                                                               |  | 8  16              
|    |  | 2.  |  | Financial Statement Schedules                                                                                                                                                                                                               |  |                     
|    |  |     |  | All schedules have been omitted because they are not applicable or the required information is included in the financial statements or the notes thereto                                                                                    |  |                     
|    |  | 3.  |  | Exhibits                                                                                                                                                                                                                                    |  |                     
|    |  |     |  | Description:                                                                                                                                                                                                                                |  |                     
|    |  | 4.1 |  | Third Amended and Restated Declaration of Trust Agreement of World Monitor Trust dated as of October 1, 2004 (incorporated by reference to Exhibit 4.1 of the Registrants Annual Report
on Form 10-K for the year ended December 31, 2004) |  |                     



19



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|     |  |                                                                                                                                                                                                                                                                                                                                                                                                     
|---- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     | 
|4.2  |  | Form of Request for Redemption (incorporated by reference to Exhibit 4.2 to Registrants Registration Statement on Form S-1, File No. 333-43041, dated as of March 23,
1998)                                                                                                                                                                                                                        
|     | 
|4.3  |  | Form of Exchange Request (incorporated by reference to Exhibit 4.3 to Registrants Registration Statement on Form S-1, File No. 333-43041, dated as of March 23, 1998)                                                                                                                                                                                                                              
|     | 
|4.4  |  | Form of Subscription Agreement (incorporated by reference to Exhibit 4.4 to Registrants Registration Statement on Form S-1, File No. 333-43041, dated as of March 23, 1998)                                                                                                                                                                                                                        
|     | 
|10.1 |  | Form of Escrow Agreement among the Trust, Prudential Securities Futures Management Inc., Prudential Securities Incorporated and The Bank of New York (incorporated by reference to Exhibit 10.1 to
Registrants Registration Statement on Form S-1, File No. 333-43041, dated as of March 23, 1998)                                                                                                 
|     | 
|10.2 |  | Form of Advisory Agreement between the Trust and Prudential Securities Incorporated (incorporated by reference to Exhibit 10.2 to Registrants Registration Statement on Form S-1, File No.
333-43041, dated as of March 23, 1998)                                                                                                                                                                  
|     | 
|10.3 |  | Form of Advisory Agreement among the Registrant, Prudential Securities Futures Management Inc., and the Trading Advisor (incorporated by reference to Exhibit 10.3 to Registrants
Registration Statement on Form S-1, File No. 333-43041, dated as of March 23, 1998)                                                                                                                              
|     | 
|10.4 |  | Form of Representation Agreement Concerning the Registration Statement and the Prospectus among the Registrant, Prudential Securities Futures Management Inc., Prudential Securities Incorporated,
Wilmington Trust Company and the Trading Advisor, (incorporated by reference to Exhibit 10.4 of Registrants Registration Statements on Form S-1, File No. 333-43041, dated as of March 23, 1998)
|     | 
|10.5 |  | Form of Net Worth Agreement between Prudential Securities Futures Management Inc. and Prudential Securities Group Inc. (incorporated by reference to Exhibit 10.5 of Registrants Annual
Report on Form S-1, File No. 333-4031, dated as of March 23, 1998)                                                                                                                                         
|     | 
|10.6 |  | Form of Foreign Currency Addendum to Brokerage Agreement between the Trust and Prudential Securities Incorporated (incorporated by reference to Exhibit 10.6 of Registrants Quarterly Report
on Form 10-Q, File No. 333-4031, dated as of March 23, 1998)                                                                                                                                          
|     | 
|10.7 |  | Service Agreement among the Registrant, Prudential Securities Futures Management Inc. and Wachovia Securities, LLC dated as of July 1, 2003 (incorporated by reference to Exhibit 10.7 of
Registrants Annual Report on Form 10-K for the year ended December 31, 2003)                                                                                                                             
|     | 
|10.8 |  | Novation letter among the Trust, Trading Advisor and Managing Owner dated September 14, 2004 (filed herewith)                                                                                                                                                                                                                                                                                       
|     | 
|10.9 |  | Letter Agreement Amending and Restating Brokerage Agreements between the Managing Owner and Prudential Financial Derivatives, LLC dated October 1, 2004 (filed herewith)                                                                                                                                                                                                                            
|     | 
|13.1 |  | Registrants 2004 Annual Report (with the exception of the information and data incorporated by reference in Items 5, 7 and 8 of this Annual Report on Form 10-K, no other information or
data appearing in the Registrants 2004 Annual Report is to be deemed filed as part of this report) (filed herewith)                                                                                      
|     | 
|31.1 |  | Certification pursuant to Exchange Act Rules 13a-14 and 15d-14 (filed herewith)                                                                                                                                                                                                                                                                                                                     
|     | 
|31.2 |  | Certification pursuant to Exchange Act Rules 13a-14 and 15d-14 (filed herewith)                                                                                                                                                                                                                                                                                                                     
|     | 
|31.3 |  | Certification pursuant to Exchange Act Rules 13a-14 and 15d-14 (filed herewith)                                                                                                                                                                                                                                                                                                                     
|     | 
|32.1 |  | Certification pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith)                                                                                                                                                                                                                                                          
|     | 
|32.2 |  | Certification pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith)                                                                                                                                                                                                                                                          
|     | 
|32.3 |  | Certification pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith)                                                                                                                                                                                                                                                          
|     | 
|(b)  |  | Reports on Form 8-K  Change of Independent Registered Public Accounting Firm, dated October 18, 2005 (incorporated by reference)                                                                                                                                                                                                                                                                   



20



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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 31stday of March, 2006.



|    |  |                                                   |  |                     
|--- |  | ------------------------------------------------- |  | --------------------
|    |  | WORLD MONITOR TRUST  SERIES B                    |  |                     
|    |  |                                                  
|By: |  | Preferred Investment Solutions Corp.              |  |                     
|    |  | Managing Owner                                    |  |                     
|    |  |                                                  
|    |  | By: /s/ Maureen D.
Howley                         |  | Date: March 31, 2006
|    |  | Maureen D. Howley                                 |  |                     
|    |  | Chief Financial Officer and Senior Vice President |  |                     

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed
below by the following persons on behalf of the Registrant in the capacities indicated on March 31, 2006.



|    |  |                                      |  |                     
|--- |  | ------------------------------------ |  | --------------------
|    |  | WORLD MONITOR TRUST  SERIES B       |  |                     
|    |  |                                     
|By: |  | Preferred Investment Solutions Corp. |  |                     
|    |  | Managing Owner                       |  |                     
|    |  |                                     
|    |  | By: /s/ Kenneth A.
Shewer            |  | Date: March 31, 2006
|    |  | Kenneth A. Shewer                    |  |                     
|    |  | Co-Chief Executive Officer           |  |                     
|    |  | (Principal Executive Officer)        |  |                     



| |  |                                                            |  |                     
| |  | ---------------------------------------------------------- |  | --------------------
| |  | By: /s/ Maureen D.
Howley                                  |  | Date: March 31, 2006
| |  | Maureen D. Howley                                          |  |                     
| |  | Chief Financial Officer and Senior Vice President          |  |                     
| |  | (Principal Financial and Accounting Officer for the Trust) |  |                     



| |  |                                                    |  |                     
| |  | -------------------------------------------------- |  | --------------------
| |  | By: /s/ David K.
Spohr                             |  | Date: March 31, 2006
| |  | David K. Spohr                                     |  |                     
| |  | Vice President and Director of Fund Administration |  |                     



21



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OTHER INFORMATION

The actual round-turn equivalent of brokerage commissions paid per contract for the year ended December 31, 2005 was $11.36.

Series Bs Annual Report on Form 10-K as filed with the Securities and Exchange Commission is available to limited owners without charge upon written request to:

World Monitor Trust  Series B

c/o Preferred Investment Solutions Corp

900 King Street, Suite 100

Rye Brook, NY 10573