Administrative Expenses

6 Months Ended

Jun. 30, 2013

7.	Administrative Expenses

The Fund reimburses the General Partner for actual monthly administrative expenses paid to various third-party service providers, including the General Partner, up to 1/12th of 0.75% of the Fund’s month-end net asset value, payable in arrears. Administrative expenses include accounting, audit, legal, salary and administrative costs incurred by the General Partner relating to marketing and administration of the Fund; such as, salaries and commissions of General Partner marketing personnel, administrative employee salaries and related costs. Pursuant to the terms of the Partnership Agreement, administrative expenses that exceed 1% of the average month-end net asset value are the responsibility of the General Partner.

For the three months ended June 30, 2013 and 2012, actual administrative expenses exceeded the 1% administrative expense limitation of average month-end net asset value of the Fund by $158,490 and $130,776, respectively. For the six months ended June 30, 2013 and 2012, actual administrative expenses exceeded the 1% administrative expense limitation of average month-end net asset value of the Fund by $351,325 and $280,299, respectively. Such amounts were included in administrative expenses waived in the statements of operations.

Additionally, during the three months ended June 30, 2013 and 2012, the General Partner voluntarily waived $15,955 and $26,290, respectively, of administrative expenses of the Fund. During the six months ended June 30, 2013 and 2012, the General Partner voluntarily waived $33,884 and $56,385, respectively, of administrative expenses of the Fund. Such amounts were included in administrative expenses waived in the statements of operations.

At June 30, 2013 and December 31, 2012, $15,446 and $18,825, respectively, were payable to the General Partner for expenses incurred on behalf of the fund and not waived by the General Partner. Such amounts are presented as administrative expenses payable – General Partner in the statements of financial condition.

SAGE FUND LP 10-Q