Exhibit 99.1
 
  To the Members
    of
    AAA Master Fund LLC
    
   By:
    Walter Davis
    President and Director
    Ceres Managed Futures LLC
    Managing Member,
    AAA Master Fund LLC  Ceres Managed Futures LLC    212-296-1999




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REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM




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##### 



Report of Independent Auditors




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AAA Master
    Fund LLCStatements of Financial Condition
    December 31, 2010 and 2009
  2010


2009Assets:Equity in trading account:Cash (Note 3c)

$
786,204,916


$
778,736,469Cash margin (Note 3c)


84,669,985



112,350,862Options purchased, at fair value (cost $561,437,849 and
    $885,211,273, respectively)


363,802,239



741,495,723Total assets

$
1,234,677,140


$
1,632,583,054Liabilities and Members Capital:Liabilities:Net unrealized depreciation on open futures and exchange-cleared
    swap contracts

$
6,571,110


$
50,857,890Options premium received, at fair value (premium $354,410,825
    and $435,825,576, respectively)


239,504,355



352,233,900Accrued expenses:Professional fees


290,824



296,072Redemptions payable


7,941,213



Total liabilities


254,307,502



403,387,862Members Capital:Members Capital, 103,223.2146 and 123,710.6078 Units
    outstanding at December 31, 2010 and 2009, respectively


980,369,638



1,229,195,192Total liabilities and members capital

$
1,234,677,140


$
1,632,583,054Net asset value per unit

$
9,497.57


$
9,936.05   See accompanying notes to financial statements.




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##### 



AAA Master
    Fund LLCCondensed Schedule of Investments
    December 31, 2010
  Number of





% of MembersContracts


Fair Value


CapitalFutures and Exchange-Cleared Swap Contracts PurchasedEnergy


49,880


$
(76,588,395
)


(7.75
)%Total futures and exchange-cleared swap contracts purchased






(76,588,395
)


(7.75
)Futures and Exchange-Cleared Swap Contracts SoldEnergyNYMEX HH Swap Feb 11  Dec 14


24,098



119,170,628



12.06Other


27,946



(49,185,903
)


(4.98
)Lumber


72



32,560



0.00
*Total futures and exchange-cleared swap contracts sold






70,017,285



7.08Options PurchasedEnergyCallNYMEX Crude Oil E Jun 11  Dec 12


3,098



50,475,970



5.11NYMEX LT Crude Oil Feb 11  Dec 13


9,371



97,741,150



9.89Other


17,005



46,219,048



4.67Call options purchased






194,436,168



19.67PutNYMEX Natural Gas E Feb 11  May 14


17,363



82,281,218



8.33Other


20,468



87,084,853



8.81Put options purchased






169,366,071



17.14Total options purchased






363,802,239



36.81Options Premium ReceivedEnergyCallNYMEX Heating Oil Feb 11  Jun 11


5,580



(64,361,900
)


(6.51
)NYMEX LT Crude Oil Feb 11  Dec 16


9,485



(62,747,240
)


(6.35
)Other


21,649



(52,266,589
)


(5.29
)Call options premium received






(179,375,729
)


(18.15
)PutOther


21,624



(60,128,626
)


(6.08
)Put options premium received






(60,128,626
)


(6.08
)Total options premium received






(239,504,355
)


(24.23
)Total fair value





$
117,726,774



11.91
%   *
    
    Due to rounding.  See accompanying notes to financial statements.




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AAA Master
    Fund LLCCondensed Schedule of Investments
    December 31, 2009
  Number of





% of MembersContracts


Fair Value


CapitalFutures and Exchange-Cleared Swap Contracts PurchasedEnergy


76,309


$
(83,380,536
)


(6.78
)%Total futures and exchange-cleared swap contracts purchased






(83,380,536
)


(6.78
)Futures and Exchange-Cleared Swap Contracts SoldEnergy


68,230



32,522,646



2.65Total futures and exchange-cleared swap contracts sold






32,522,646



2.65Options PurchasedEnergyCallNYMEX LT Crude Oil Feb 10  Dec 12


10,366



130,224,950



10.59NYMEX Natural Gas E Feb 10  Oct 14


23,072



135,333,168



11.01Other


8,589



115,880,958



9.43Call options purchased






381,439,076



31.03PutNYMEX Crude Oil E Dec 10  Dec 16


13,074



127,745,250



10.39NYMEX LT Crude Oil Feb 10  Dec 13


10,761



73,976,480



6.02NYMEX Natural Gas E Feb 10  May 14


9,735



116,193,705



9.45Other


8,960



42,141,212



3.43Put options purchased






360,056,647



29.29Total options purchased






741,495,723



60.32Options Premium ReceivedEnergyCallNYMEX Heating Oil Feb 10  Dec 10


6,014



(61,856,584
)


(5.03
)NYMEX Natural Gas E Feb 10  Oct 14


18,423



(77,041,748
)


(6.27
)Other


19,042



(109,221,068
)


(8.89
)Call options premium received






(248,119,400
)


(20.19
)PutOther


21,738



(104,114,500
)


(8.47
)Put options premium received






(104,114,500
)


(8.47
)Total options premium received






(352,233,900
)


(28.66
)Total fair value





$
338,403,933



27.53
%   See accompanying notes to financial statements.




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AAA Master
    Fund LLC

    Statements of Income and Expenses
    for the years ended December 31, 2010, 2009 and
    2008
  2010


2009


2008Income:Net gains (losses) on trading of commodity interests:Net realized gains (losses) on closed contracts

$
(66,599,159
)

$
550,277,218


$
383,464,674Change in net unrealized gains (losses) on open contracts


21,681,514



(395,771,479
)


187,955,527Gain (loss) from trading, net


(44,917,645
)


154,505,739



571,420,201Interest income


718,246



661,850



5,262,752Total income (loss)


(44,199,399
)


155,167,589



576,682,953Expenses:Clearing fees


3,163,655



3,343,809



3,223,638Professional fees


739,340



628,350



848,543Total expenses


3,902,995



3,972,159



4,072,181Net income (loss)

$
(48,102,394
)

$
151,195,430


$
572,610,772Net income (loss) per unit (Note 6)

$
(431.84
)

$
1,064.36


$
3,494.47Weighted average units outstanding


111,118.5200



139,419.9283



172,420.9234   See accompanying notes to financial statements.




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AAA Master
    Fund LLC

    Statements of Changes in Members Capital
    for the years ended December 31, 2010, 2009 and
    2008
  MembersCapitalMembers Capital at December 31, 2007

$
999,453,536Net income (loss)


572,610,772Subscriptions of 26,018.8922 Units


176,599,395Redemptions of 59,881.8271 Units


(404,833,765
)Distribution of interest income to feeder funds


(5,198,839
)Members Capital at December 31, 2008


1,338,631,099Net income (loss)


151,195,430Subscriptions of 18,789.6645 Units


178,448,063Redemptions of 45,884.9809 Units


(438,417,550
)Distribution of interest income to feeder funds


(661,850
)Members Capital at December 31, 2009


1,229,195,192Net income (loss)


(48,102,394
)Subscriptions of 3,852.9008 Units


37,495,753Redemptions of 24,340.2940 Units


(237,500,667
)Distribution of interest income to feeder funds


(718,246
)Members Capital at December 31, 2010

$
980,369,638Net asset value per unit:   2008:

$
8,876.522009:

$
9,936.052010:

$
9,497.57
   See accompanying notes to financial statements.




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AAA Master
    Fund LLC

    Notes to Financial Statements
    December 31, 2010
  1.
    General:




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AAA Master
    Fund LLC
    Notes to Financial Statements
    December 31, 2010
  2.
    Accounting
    Policies:  a.
    Use of Estimates.The preparation of financial
    statements and accompanying notes in conformity with accounting
    principles generally accepted in the United States of America
    (GAAP) requires management to make estimates and
    assumptions that affect the reported amounts of assets and
    liabilities, income and expenses, and related disclosures of
    contingent assets and liabilities in the financial statements
    and accompanying notes. As a result, actual results could differ
    from these estimates.b.
    Statement of Cash Flows.The Master is not
    required to provide a Statement of Cash Flows.c.
    Masters Investments.All commodity
    interests of the Master (including derivative financial
    instruments and derivative commodity instruments) are held for
    trading purposes. The commodity interests are recorded on trade
    date and open contracts are recorded at fair value (as described
    below) at the measurement date. Investments in commodity
    interests denominated in foreign currencies are translated into
    U.S. dollars at the exchange rates prevailing at the
    measurement date. Gains or losses are realized when contracts
    are liquidated. Unrealized gains or losses on open contracts are
    included as a component of equity in trading account on the
    Statements of Financial Condition. Realized gains or losses and
    any change in net unrealized gains or losses from the preceding
    period are reported in the Statements of Income and Expenses.Masters Fair Value Measurements.  Fair
    value is defined as the price that would be received to sell an
    asset or paid to transfer a liability in an orderly transaction
    between market participants at the measurement date under
    current market conditions. The fair value hierarchy gives the
    highest priority to unadjusted quoted prices in active markets
    for identical assets or liabilities (Level 1) and the
    lowest priority to fair values derived from unobservable inputs
    (Level 3). The level in the fair value hierarchy within
    which the fair value measurement in its entirety falls shall be
    determined based on the lowest level input that is significant
    to the fair value measurement in its entirety. GAAP also
    requires the need to use judgment in determining if a formerly
    active market has become inactive and in determining fair values
    when the market has become inactive. Management has concluded
    that based on available information in the marketplace, the
    Masters Level 1 assets and liabilities are actively
    traded.The Master will separately present purchases, sales, issuances,
    and settlements in their reconciliation of Level 3 fair
    value measurements (i.e. to present such items on a gross basis
    rather than on a net basis), and makes disclosures regarding the
    level of disaggregation and the inputs and valuation techniques
    used to measure fair value for measurements that fall within
    either Level 2 or Level 3 of the fair value hierarchy
    as required under GAAP.The Master considers prices for exchange-traded commodity
    futures, forwards and options contracts to be based on
    unadjusted quoted prices in active markets for identical assets
    (Level 1). The values of non exchange-traded forwards, swaps and
    certain options contracts for which market quotations are not
    readily available are priced by broker-dealers who derive fair
    values for those assets from observable inputs (Level 2).
    As of and for the years ended December 31, 2010 and
    December 31, 2009, the Master did not hold any derivative
    instruments for which market quotations are not readily
    available and which are priced by broker-dealers who derive fair
    values for those assets from observable inputs
    (Level 2) or that are priced at fair value using
    unobservable inputs through the application of managements
    assumptions and internal valuation pricing models
    (Level 3). The gross presentation of the fair value of the
    Masters derivatives by instrument type is shown in
    Note 4, Trading Activities.




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AAA Master
    Fund LLC
    Notes to Financial Statements
    December 31, 2010
   SignificantQuoted Prices in


Other


SignificantActive Markets for


Observable


UnobservableIdentical Assets


Inputs


Inputs12/31/2010


(Level 1)


(Level 2)


(Level 3)AssetsOptions purchased

$
363,802,239


$
363,802,239


$



$
Total assets


363,802,239



363,802,239







LiabilitiesFutures and Exchange-Cleared Swaps

$
6,571,110


$
6,571,110


$



$
Options premium received


239,504,355



239,504,355







Total liabilities


246,075,465



246,075,465







Total fair value

$
117,726,774


$
117,726,774


$



$
   SignificantQuoted Prices in


Other


SignificantActive Markets for


Observable


UnobservableIdentical Assets


Inputs


Inputs12/31/2009


(Level 1)


(Level 2)


(Level 3)AssetsOptions purchased

$
741,495,723


$
741,495,723


$



$
Total assets


741,495,723



741,495,723







LiabilitiesFutures and Exchange-Cleared Swaps

$
50,857,890


$
50,857,890


$



$
Options premium received


352,233,900



352,233,900







Total liabilities


403,091,790



403,091,790







Total fair value

$
338,403,933


$
338,403,933


$



$
   d.
    Futures Contracts.The Master trades futures
    contracts and exchange-cleared swaps. Exchange-cleared swaps are
    swaps that are traded as futures. A futures contract is a firm
    commitment to buy or sell a specified quantity of investments,
    currency or a standardized amount of a deliverable grade
    commodity, at a specified price on a specified future date,
    unless the contract is closed before the delivery date or if the
    delivery quantity is something where physical delivery cannot
    occur (such as the S&P 500 Index), whereby such contract is
    settled in cash. Payments (variation margin) may be
    made or received by the Master each business day, depending on
    the daily fluctuations in the value of the underlying contracts,
    and are recorded as unrealized gains or losses by the Master.
    When the contract is closed, the Master records a realized gain
    or loss equal to the difference between the value of the
    contract at the time it was opened and the value at the time it
    was closed. Transactions in futures contracts require
    participants to make both initial margin deposits of cash or
    other assets and variation margin deposits, through the futures
    broker, directly with the exchange on which the contracts are
    traded. Realized gains (losses) and changes in net unrealized
    gains (losses) on futures contracts are included in the
    Statements of Income and Expenses.e.
    Options.The Master may purchase and write
    (sell), both exchange listed and
    over-the-counter,
    options on commodities or financial instruments. An option is a
    contract allowing, but not requiring, its holder to buy (call)
    or sell (put) a specific or standard commodity or financial
    instrument at a specified price during a specified time period.
    The option premium is the total price paid or received for the
    option contract. When the Master writes an option, the premium
    received is recorded as a liability in the Statements of
    Financial Condition and marked to market daily. When the Master
    purchases an option, the premium paid is recorded as an asset in
    the




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AAA Master
    Fund LLC
    Notes to Financial Statements
    December 31, 2010
    f.
    Income and Expenses Recognition.All of the
    income and expenses and realized and unrealized gains and losses
    on trading of commodity interests are determined on each
    valuation day and allocated pro rata among the Funds at the time
    of such determination.  g.
    Income Taxes.Income taxes have not been
    provided as each member is individually liable for the taxes, if
    any, on its share of the Masters income and expenses.GAAP provides guidance for how uncertain tax positions should be
    recognized, measured, presented and disclosed in the financial
    statements and requires the evaluation of tax positions taken or
    expected to be taken in the course of preparing the
    Masters financial statements to determine whether the tax
    positions are more-likely-than-not to be sustained
    by the applicable tax authority. Tax positions with respect to
    tax at the Master level not deemed to meet the
    more-likely-than-not threshold would be recorded as
    a tax benefit or expense in the current year. The Managing
    Member concluded that no provision for income tax is required in
    the Masters financial statements.The Master files U.S. federal and various state and local
    tax returns. No income tax returns are currently under
    examination. Generally, the 2007 through 2010 tax years remain
    subject to examination by U.S. federal and most state tax
    authorities. Management does not believe that there are any
    uncertain tax positions that require recognition of a tax
    liability.h.
    Subsequent Events.Management of the Master
    evaluates events that occur after the balance sheet date but
    before financial statements are filed. Management has assessed
    the subsequent events through the date of filing and determined
    that there were no subsequent events requiring adjustment of or
    disclosure in the financial statements.  i.
    Net Income (Loss) per Unit.Net income (loss)
    per unit is calculated in accordance with investment company
    guidance. See Note 6, Financial Highlights.  3.
    Agreements:  a.
    Limited Liability Company Agreement:The Managing Member administers the business affairs of the
    Master including selecting one or more advisors to make trading
    decisions for the Master.b.
    Management Agreement:The Managing Member, on behalf of the Master, has entered into a
    management agreement (the Management Agreement) with
    the Advisor, a registered commodity trading advisor. The Advisor
    is not affiliated with the Managing Member or CGM and is not
    responsible for the organization or operation of the Master. The
    Management Agreement provides that the Advisor has sole
    discretion in determining the investment of the assets of the
    Master. All management fees in connection with the Management
    Agreement shall be borne by the Funds. The Management Agreement
    may be terminated upon notice by either party.c.
    Customer Agreement:The Master has entered into a customer agreement (the
    Customer Agreement) with CGM whereby CGM provides
    services which include, among other things, the execution of
    transactions for the Masters account in accordance with
    orders placed by the Advisor. All floor brokerage,




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AAA Master
    Fund LLC
    Notes to Financial Statements
    December 31, 2010
  give-up
  4.
    Trading
    Activities:




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AAA Master
    Fund LLC
    Notes to Financial Statements
    December 31, 2010
    December 31, 2010AssetsFutures and Exchange-Cleared Swap ContractsEnergy

$
253,480,029Lumber


38,390Total unrealized appreciation on open futures and
    exchange-cleared swap contracts

$
253,518,419LiabilitiesFutures and Exchange-Cleared Swap ContractsEnergy

$
(260,083,699
)Lumber


(5,830
)Total unrealized depreciation on open futures and
    exchange-cleared swap contracts

$
(260,089,529
)Net unrealized depreciation on open futures and exchange-cleared
    swap contracts

$
(6,571,110
)*AssetsOptions PurchasedEnergy

$
363,802,239Options purchased

$
363,802,239
**LiabilitiesOptions Premium ReceivedEnergy

$
(239,504,355
)Options premium received

$
(239,504,355
)***    *
    
    This amount is in Net unrealized depreciation on open
    futures and exchange-cleared swap contracts on the
    Statements of Financial Condition.**
    
    This amount is in Options purchased, at fair value
    on the Statements of Financial Condition.***
    
    This amount is in Options premium received, at fair
    value on the Statements of Financial Condition.




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AAA Master
    Fund LLC
    Notes to Financial Statements
    December 31, 2010
  December 31, 2009AssetsFutures and Exchange-Cleared Swap ContractsEnergy

$
274,140,959Total unrealized appreciation on open futures and
    exchange-cleared swap contracts

$
274,140,959LiabilitiesFutures and Exchange-Cleared Swap ContractsEnergy

$
(324,998,849
)Total unrealized depreciation on open futures and
    exchange-cleared swap contracts

$
(324,998,849
)Net unrealized depreciation on open futures and exchange-cleared
    swap contracts

$
(50,857,890
)*AssetsOptions PurchasedEnergy

$
741,495,723Options purchased

$
741,495,723
**LiabilitiesOptions Premium ReceivedEnergy

$
(352,233,900
)Options premium received

$
(352,233,900
)***   *
    
    This amount is in Net unrealized depreciation on open
    futures and exchange-cleared swap contracts on the
    Statements of Financial Condition.**
    
    This amount is in Options purchased, at fair value
    on the Statements of Financial Condition.***
    
    This amount is in Options premium received, at fair
    value on the Statements of Financial Condition.    December 31, 2010


December 31, 2009Sector

Gain (loss) from trading


Gain (loss) from tradingCurrencies

$
(1,876,020
)

$
Energy


(43,137,992
)


154,505,739Lumber


96,367



Total

$
(44,917,645
)****

$
154,505,739
****   ****
    
    This amount is in Gain (loss) from trading, net on
    the Statements of Income and Expenses.  5.
    Subscriptions,
    Distributions and Redemptions:




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AAA Master
    Fund LLC
    Notes to Financial Statements
    December 31, 2010
  6.
    Financial
    Highlights:    2010


2009


2008Net realized and unrealized gains (losses)*

$
(431.69
)

$
1,064.16


$
3,469.13Interest income


6.64



4.82



30.48Expenses**


(6.79
)


(4.62
)


(5.14
)Increase (decrease) for the year


(431.84
)


1,064.36



3,494.47Distribution of interest income to feeder funds


(6.64
)


(4.83
)


(30.09
)Net asset value per unit, beginning of year


9,936.05



8,876.52



5,412.14Net asset value per unit, end of year

$
9,497.57


$
9,936.05


$
8,876.52    *
    
    Includes clearing fees.**
    
    Excludes clearing fees.  Ratio to average net assets:Net investment income (loss)***


(0.3
)%


(0.3
)%


0.1
%Operating expenses


0.4
%


0.3
%


0.4
%Total return


(4.4
)%


12.0
%


64.6
%    ***
    
    Interest income less total expenses.    7.
    Financial
    Instrument Risks:  over-the-counter




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AAA Master
    Fund LLC
    Notes to Financial Statements
    December 31, 2010