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UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549


FORM 10-Q


QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2003

Commission File Number: 0-17443

IDS MANAGED FUTURES II, L.P.
(Exact name of registrant as specified in its charter)


Delaware 06-1207252
(State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.)

233 South Wacker Drive
Suite 2300
Chicago, IL 60606

(Address of principal executive offices) (Zip Code)


(312) 460-4000
(Registrant's telephone number, including area code)


Not Applicable
(Former name, former address and former fiscal year, if changed since last report.)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  |X| Yes      |_| No

Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act).  |_| Yes      |X| No

The number of units outstanding, as of March 31, 2003, are 9,687.24.






TABLE OF CONTENTS
 
 
 
PART I. FINANCIAL INFORMATION
 
  Item 1.  Financial Statements
    Statements of Financial Condition
    Statements of Operations
    Statement of Changes in Partners’ Capital
    Notes to Financial Statements
    Schedule of Investments
 
  Item 2.  Management's Discussion and Analysis of Financial Condition and Results of Operation
 
  Item 3.  Quantitative and Qualitative Disclosures About Market Risk
 
  Item 4.  Controls and Internal Procedures
 
 
Part II. OTHER INFORMATION
 
  Item 1.  Legal Proceedings
 
  Item 2.  Changes in Securities and Use of Proceeds
 
  Item 3.  Defaults Upon Senior Securities
 
  Item 4.  Submission of Matters to a Vote of Security Holders
 
  Item 5.  Other Information
 
  Item 6.  Exhibits and Reports on Form 8-K
 
 
SIGNATURES
 
CERTIFICATIONS
 
EXHIBIT 99
 
FORM 10-K DECEMBER 31, 2002






PART 1 – FINANCIAL INFORMATION

Item 1.  Financial Statements

Following are Financial Statements for the fiscal quarter ended March 31, 2003 and the additional time frames as noted:



Fiscal Quarter
Ended 3/31/03
Year to Date
Ended 3/31/03
Fiscal Year
Ended 12/31/02
Fiscal Quarter
Ended 3/31/02
Year to Date
Ended 3/31/02
 
Statements of Financial Condition X   X    
 
Statements of Operations X X   X X
 
Statement of Changes in Partners' Capital   X      
 
Notes to Financial Statements X        
 






IDS MANAGED FUTURES II, L.P.
STATEMENTS OF FINANCIAL CONDITION
(unaudited)

    Mar. 31, 2003     Dec 31, 2002
    (unaudited)      
Assets  
Assets:
   Equity in commodity futures:  
      Cash on deposit with Brokers $ 5,137,788   $ 4,110,534
      Unrealized loss (gain) on open futures contracts   (94,599)     435,209
      Investment in other commodity pools    2,337,453      2,233,099
 
    7,380,642     6,778,842
 
   Interest Receivable   3,934     3,624
   Receivable from other commodity pools       15,524         31,505
 
Total Assets   7,400,100
    6,813,971
 
Liabilities and Partners' Capital  
Liabilities:
   Accrued commissions   4,127     6,991
   Accrued exchange, clearing and NFA fees   8     37
   Accrued management fee   8,393     7,547
   Accrued incentive fee   60,750     0
   Accrued operating expenses   20,658     32,000
   Accrued General Partner Fees   433     805
   Redemptions payable   23,734     57,978
 
Total liabilities   118,104     105,358
 
Partners' Capital:
   Limited partners (9,310.67 units outstanding at March 31, 2003,
      9,495.22 units outstanding at December 31, 2002)
  6,998,925     6,452,706
   General partners (376.57 units outstanding at March 31, 2003,
      and December 31, 2002)
     283,071        255,907
 
Total parters' capital   7,281,996     6,708,613
 
Total liabilities and partners' capital $ 7,400,100
  $ 6,813,971
 
Net asset per outstanding unit of parternship interest $ 751.71   $ 679.57
 
See accompanying notes to financial statements.






IDS MANAGED FUTURES II, L.P.
STATEMENTS OF OPERATIONS
(unaudited)

    Jan. 1, 2003
through
March 31, 2003
      Jan. 1, 2002
through
Mar. 31, 2002
   
Revenues:
   Gain (loss) on trading of:  
      Realized gain (loss) on closed positions $ 1,187,587     $ (193,420)  
      Change in unrealized loss on open
      contracts
  (529,808)       (164,787)  
   Interest Income   11,031       10,779  
   Income from investment in other commodity pools   187,108       (99,575)  
   Foreign currency transaction gain(loss)       3,040           (3,862)  
 
Total revenues   858,958
      (450,865)
 
 
Expenses:
   Commissions   45,528       44,897  
   Exchange, clearing and NFA fees   230       411  
   Management fees   25,609       15,860  
   Incentive fees   62,067       0  
   General Partner fee   2,026       258  
   Operating expenses           8,000               8,418  
 
Total expenses   143,459
      69,844
 
 
Net profit (loss) $ 715,498
    $ (520,709)
 
 
Profit (loss) per unit of beneficial ownership interest $ 72.14     $ (47.75)  
Profit (loss) per unit of managing ownership interest $ 72.14     $ (47.75)  
 
See accompanying notes to financial statements.






IDS MANAGED FUTURES II, L.P.
STATEMENT OF CHANGES IN UNITHOLDERS' CAPITAL
From January 1, 2003 through March 31, 2003
(unaudited)

  Units*       Beneficial
Owners
      Managing
Owner
      Total  
 
Partners' capital at January 1, 2003 9,495.22     $ 6,452,706     $ 255,907     $ 6,708,613  
 
Net profit         688,334       27,164       715,498  
 
Partners' redemptions (184.55)       (142,115)                   0       (142,115)  
 
Partners' capital at March 31, 2003 9,310.67
    $ 6,998,925
    $ 283,071
    $ 7,281,996
 
 
Net asset value per unit January 1, 2003         679.57       679.57          
 
Net profit per unit         72.14       72.14          
 
Net asset value per unit March 31, 2003       $ 751.71
    $ 751.71
         
 
* Units of Beneficial Ownership interest.
 
See accompanying notes to financial statements.



IDS MANAGED FUTURES II, L.P.
NOTES TO FINANCIAL STATEMENTS

March 31, 2003

(1)     General Information and Summary

IDS Managed Futures II, L.P. (the Partnership), a limited partnership organized in April 1987 under the Delaware Revised Uniform Limited Partnership Act, was formed to engage in the speculative trading of commodity interests including futures contracts, forward contracts, physical commodities, and related options thereon pursuant to the trading instructions of independent trading advisors. The general partners are IDS Futures Corporation (IDSFC) and CIS Investments, Inc. (CISI) (collectively, the General Partners). The clearing broker is Cargill Investor Services, Inc. (Clearing Broker or CIS), the parent company of CISI. The broker for forward contracts is CIS Financial Services, Inc. (CISFS or Forwards Currency Broker), an affiliate of CISI. The Clearing Broker and the Forwards Currency Broker will collectively be referred to as the Brokers.

The Partnership shall be terminated on December 31, 2007 if none of the following occur prior to that date: (1) investors holding more than 50% of the outstanding units notify the General Partners to dissolve the Partnership as of a specific date; (2) disassociation of the General Partners with the Partnership; (3) bankruptcy of the Partnership; (4) decrease in the net asset value (NAV) to less than $1,500,000; (5) the Partnership is declared unlawful; or (6) the NAV per unit declines to less than $125 per unit and the Partners elect to terminate the Partnership.

(2)     Summary of Significant Accounting Policies

The accounting and reporting policies of the Partnership conform to accounting principles generally accepted in the United States of America and to general practices within the commodities industry. The following is a description of the more significant of those policies that the Partnership follows in preparing its financial statements.

Revenue Recognition

Commodity futures contracts, forward contracts, physical commodities, and related options are recorded on the trade date. All such transactions are recorded on the identified cost basis and marked to market daily. Unrealized gains and losses on open contracts reflected in the statements of financial condition represent the difference between original contract amount and market value (as determined by exchange settlement prices for futures contracts and related options and cash dealer prices at a predetermined time for forward contracts, physical commodities, and their related options) as of the last business day of the year or as of the last date of the financial statements.

The Partnership earns interest on 100% of the Partnership’s average monthly cash balance on deposit with the Brokers at a rate equal to 80% of the average 91-day Treasury bill rate for U.S. Treasury bills issued during that month.

Redemptions

A Limited Partner may cause any or all of his or her units to be redeemed by the Partnership effective as of the last trading day of any month. Redemptions are based on the NAV per unit as of the last day of the month and require ten days’ written notice to the General Partners. Payment will be made within ten business days of the effective date of the redemption. The Partnership’s Limited Partnership Agreement contains a full description of redemption and distribution procedures.

Commissions

Brokerage commissions and National Futures Association (NFA) clearing and exchange fees are accrued on a half-turn basis on open commodity futures contracts. The Partnership pays CIS commissions on trades executed on its behalf at a rate of $29.375 per half-turn contract. The Partnership pays these commissions directly to CIS and CISFS, and CIS then reallocates the appropriate portion to American Express Financial Advisors (AEFA).

Foreign Currency Transactions

Trading accounts in foreign currency denominations are susceptible to both movements in the underlying contract markets as well as fluctuations in currency rates. Foreign currencies are translated into U.S. dollars for closed positions at an average exchange rate for the period, while period-end balances are translated at the period-end currency rates. The impact of the translation is reflected in the statements of operations.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

(3)     Fees

Management fees are accrued and paid monthly and incentive fees are accrued monthly and paid quarterly. Trading decisions for the period of these financial statements were made by John W. Henry & Company, Inc. (JWH).

Under signed agreement, JWH receives a monthly management fee of 1/12 of 2% of the month-end NAV of the Partnership under its management and an incentive fee of 20% of the Partnership’s new trading profits, if any, attributable to its management.

(4)     Income Taxes

No provision for Federal income taxes has been made in the accompanying financial statements as each partner is responsible for reporting income (loss) based on such partner’s pro rata share of the profits or losses of the Partnership. The Partnership is responsible for the Illinois State Partnership Information and Replacement Tax based on the operating results of the Partnership. Such tax amounted to $0 for the quarters ended March 31, 2003 and 2002 and is included in operating expenses in the statements of operations.

(5)     Trading Activities and Related Risks

The Partnership’s investment in other commodity pools are recorded at fair value and are subject to the market and credit risks of financial instruments and commodity contracts held or sold short by those entities. The Partnership bears the risk of loss only to the extent of the market value of its respective investments.

The Partnership engages in the speculative trading of U.S. and foreign futures contracts, options on U.S. and foreign futures contracts, and forward contracts (collectively derivatives). These derivatives include both financial and non-financial contracts held as part of a diversified trading strategy. The Partnership is exposed to both market risk, the risk arising from changes in the market value of the contracts, and credit risk, the risk of failure by another party to perform according to the terms of a contract.

The purchase and sale of futures contracts and options on futures contracts requires margin deposits with a Futures Commission Merchant (FCM). Additional deposits may be necessary for any loss on contract value. The Commodity Exchange Act (CE Act) requires an FCM to segregate all customer transactions and assets from the FCM’s proprietary activities. A customer’s cash and other property, such as U.S. Treasury bills, deposited with an FCM are considered commingled with all other customer funds subject to the FCM’s segregation requirements. In the event of an FCM’s insolvency, recovery may be limited to a pro rata share of segregated funds available. It is possible that the recovered amount could be less than the total of cash and other property deposited.

The Partnership has cash on deposit with an affiliated interbank market maker in connection with its trading of forward contracts. In the event of the interbank market maker’s insolvency, recovery of the Partnership assets on deposit may be limited to account insurance or other protection afforded such deposits. In the normal course of business, the Partnership does not require collateral from such interbank market maker. Because forward contracts are traded in unregulated markets between principals, the Partnership also assumes a credit risk.

For derivatives, risks arise from changes in the market value of the contracts. Theoretically, the Partnership is exposed to a market risk equal to the value of futures and forward contracts purchased and unlimited liability on such contracts sold short. As both a buyer and seller of options, the Partnership pays or receives a premium at the outset and then bears the risk of unfavorable changes in the price of the contract underlying the option.

The notional amounts of open contracts at March 31, 2003, as disclosed in the Schedule of Investments, do not represent the Partnership’s risk of loss due to market and credit risk, but rather represent the extent of the Partnership’s involvement in derivatives at the date of the statement of financial condition.

Net trading results from derivatives for the quarter ended March 31, 2003 and 2002, are reflected in the statements of operations and equal gains (losses) from trading less brokerage commissions. Such trading results reflect the net gain arising from the Partnership’s speculative trading of futures contracts, options on futures contracts, and forward contracts.

The limited partners bear the risk of loss only to the extent of the market value of their respective investments.

(6)     Financial Statement Preparation

The interim financial statements are unaudited but reflect all adjustments that are, in the opinion of management, necessary for a fair statement of the results for the interim periods presented. These adjustments consist primarily of normal recurring accruals. These interim financial statements should be read in conjunction with the audited financial statements of the Partnership for the year ended December 31, 2002, as filed with the Securities and Exchange Commission (SEC) on March 31, 2003, as part of its Annual Report on Form 10-K.

The results of operations for interim periods are not necessarily indicative of the operating results to be expected for the fiscal year.

(7)     Investments in Other Commodity Pools

In December 2001, the Partnership invested in another commodity pool, IDS Managed Fund LLC (IDSMF). The investment is subject to the terms of the respective advisory contract and other agreements of this commodity pool.

Income (loss) is net of the Partnership’s proportionate share of fees and expenses incurred or charged by IDSMF. During 2003, IDSMF charged monthly management fees of 1/12 of 2% of the NAV and a quarterly incentive fee of 20% of trading profits.

Investment value in IDSMF is based on the proportionate share of units the partnership has in IDSMF at the end of each month. The Partnership’s risk of loss in its investee pool is limited to its investment. The Partnership may make additional contributions to or withdrawals from its investment in IDSMF as of the last day of any month.

Summarized information reflecting the Partnership’s investment in, and the operations of, the investee pool is as shown in the following table.

Investment in IDSMF, December 31, 2002 $ 2,233,099
Results of operations of EDSMF:
Revenues   1,225,403
      Management and Incentive Fees   (176,824)
      Other expenses   (63,995)
 
Net Income before allocation to Limited Partners   984,584
Special allocation to the Other Limited Partner     797,475
 
Partnership's income from investment in IDSMF   187,108
 
Partnership's redemptions in IDSMF     (82,754)
 
Net Asset Value of the Partnership's Investment in IDSMF, March 31, 2003   2,337,453

(8)     Financial Highlights

The following financial highlights show the Partnership’s financial performance for the three-month period ended March 31, 2003. Total return is calculated as the change is a theoretical beneficial owner’s investment over the entire period – a percentage change in the net asset value from December 31, 2002 to March 31, 2003. Total return is calculated based on the aggregate return of the Partnership taken as a whole.

Total Return:
      Total return before incentive fee   11.51%
      Incentive fee allocation   -0.89%
Total Return   10.62%
 
Ratio to average net assets:
      Net income   7.57%
 
Expenses:
      Expenses   1.17%
      Incentive fees   0.89%
 
Total expenses   2.06%

The net income and expense ratios are computed based upon the weighted average net assets for the Partnership for the three-month period ended March 31, 2003. Ratios do not reflect income or expenses related to investment in other commodity pools.

IDS MANAGED FUTURES II, L.P.
Schedule of Investments
March 31, 2003

  Number of
contracts
  Principal
(notional)
    Value (OTE)  
Long positions
Futures positions (-1.14%)
Interest rates 27 $ 9,916,997   $ 13,547  
Metals 60   2,063,175
    (96,301)
 
      11,980,172
    (82,754)
 
Forward positions (1.24%)
Currencies 9   9,564,171
    90,331
 
   Total long positions   $ 21,544,343
  $ 7,577
 
 
Short positions
Futures positions (0.92%)
Interest Rates 68 $ 5,429,520   $ (47,647)  
Metals 86   2,777,913     76,652  
Indices 21   15,836
    38,226
 
      8,223,269
    67,231
 
 
Forward positions (-2.33%)
Currencies 13   11,048,822
    (169,407)
 
   Total short positions   $ 19,272,091
  $ (102,176)
 
 
Total open contracts (-1.30%) $ (94,599)  
Cash on deposit with brokers (70.55%) 5,137,788  
Investment in other commodity pools (32.10%) 2,337,452  
Other assets in excess of liabilities (-1.35%) (98,645)
 
Net assets (100%)         $ 7,281,996
 

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operation

Fiscal Quarter ended March 31, 2003

The Partnership recorded a net profit of $715,498 or $72.14 per unit in the first quarter of 2003. As of March 31, the Partnership has gained 10.62% for the first quarter.

In January, the currency sector supplied most of the month’s gain. Non-dollar trading had the largest effect on performance. The Partnership’s long Euro, short Yen position was the most profitable position in this sector capitalizing on the very slow growth rate of Japan. Additional gains were made in the long U.S. dollar, short Yen position as well as the Swiss Franc. The steady slowing of the world’s economies fueled the decline of worldwide interest rates. Positions denominated in Euro and Yen were the most profitable. Gains were also posted in the British and U.S. markets. The energy portfolio of the Partnership was positive despite a small allocation to this sector. The uncertainty of the Middle East cast a dark shadow over all markets. The remainder of the market sectors traded had little impact on performance. Overall, the Partnership recorded a gain of $728,379 or $73.78 per unit in January.

The Partnership continued its positive performance in February. The impending war with Iraq, slowing global economies, a weaker U.S. dollar and high energy prices became a recurring theme in the quarter. The currency sector was unchanged in February. The long Euro, short British pound position had the best return of the sector. The Australian dollar and the Swiss franc also performed well. The Japanese yen and the British pound suffered the largest losses due to the sharp reversal from January’s rally. All geographic components of the interest rate sector posted positive results as money market and bond yields worldwide continued to move lower. Notable returns were achieved in the Euro Bund, the U.S. 30-year and 10-year bonds and the Japanese Government bond. The energy sector was the second-best performing sector for the month. The highest returns came from London gas oil and NYMEX natural gas. Gold prices dropped $40 after the German Bundesbank announced that it had sold a portion of its gold reserves. This was the primary reason for negative performance from this sector. Overall, the Partnership recorded a gain of $329,539 or $33.59 per unit in February.

The Partnership closed lower in March as the war in Iraq created volatile moves in the world’s financial and commodity markets. Nearly all markets traded in the interest rate sector were negative as a whipsaw action in the U.S. dollar and interest rates led to losses. This was due to disappointing news in the progress of the war in Iraq. The nearly 35% rise in crude oil since mid-December was erased in just over one week’s time immediately before the start of the war. This caused negative performance in the energy sector. The metal and agricultural sectors had little impact on performance. The stock index sector was the only positive performer for the month. The Partnership recorded a loss of $342,420 or $35.23 per unit in March.

In early March, out of concern for heightened volatility in global markets, JWH reduced the Partnership’s exposure to all markets traded but continued to follow its disciplined trading approach. Normal market leverage will resume when it is deemed appropriate.

During the quarter, investors redeemed a total of 184.54 units. At the end of the quarter there were 9,687.24 units outstanding (including 376.57 units owned by the General Partners).

During the fiscal quarter ended March 31, 2003, the Partnership had no material credit exposure to a counterparty which is a foreign commodities exchange.

Fiscal Quarter ended March 31, 2002

The Partnership recorded a loss of $520,709 or $47.75 per unit for the first quarter of 2002.

Performance throughout the quarter was disappointing. Volatile Japanese markets were the primary source of performance problems. On March 30, 2002, JWH was managing 58% of the Partnership’s assets while Sunrise was managing 42% of the Partnership’s assets.

In January, performance was positive in the currency and energy sectors while interest rate, metal, stock index and commodity markets posted losses. The most significant gains came from the currency sector where the Japanese yen continued to lose value. This was beneficial to the Partnership because the short Yen position was the largest in the portfolio. Trading in all other currency markets was negative. The Enron news created a “flight to quality” situation which led to higher U.S. and European bond prices. These news items and others ceased the selling activity in global bonds and caused losses in the Partnership’s long positions. Profitable short positions in Japanese government bonds were not large enough to make interest rate trading profitable. The energy sector posted a very small gain as short positions in natural gas exceeded losses taken in all other energy markets. Overall, the Partnership recorded a loss of $61,075 or $5.58 per unit in January.

During February, fluctuating price patterns continued which led to a difficult month for the Partnership. The key element in performance was the trend reversals in the Japanese financial markets. The Nikkei (stock index), Japanese Government bonds and the Yen accounted for approximately one half of the losses in the portfolio. Losses in the currency sector also occurred in the British pound, Swiss franc and Euro. As mentioned above, trading in Japanese government bonds was negative. Further losses in the interest rate sector occurred in U.S. bond trading. Trading in European bonds was negative as well. Open trade profits accrued in short term interest rates helped offset some of the losses incurred by the balance of the sector. Performance in the energy sector was also unprofitable. Short positions in crude oil, natural gas and gasoline suffered as prices rose throughout the sector. Gold prices continued to rise, which allowed the Partnership’s long positions to accrue profits. The Partnership recorded a loss of $266,145 or $24.37 per unit in February.

March was another disappointing month. Positive returns from the energy and interest rate sectors were overpowered by losses in the currency sector. Currencies, particularly the Yen, were hit hard during March. Japanese corporations spurred a rally in the Yen when they actively repatriated Yen for year-end accounting purposes. This proved to be detrimental for the Partnership’s short Yen position. The U.S. dollar traded in a sideways pattern against the British pound, Swiss franc and Euro, resulting in additional losses. The energy and interest rate sectors turned in a positive performance. Profits accrued in short positions in Euro denominated markets out weighed losses in the Japanese bond market. For the month, the Partnership recorded a loss of $193,489 or $17.80 per unit in March.

During the quarter, investors redeemed a total of 162.87 units. At the end of the quarter, there were 10,712.65 units outstanding (including 376.57 units owned by the General Partners).

During the fiscal quarter ended March 30, 2002, the Partnership had no material credit exposure to a counterparty which is a foreign commodities exchange.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

There has been no material change with respect to market risk since the “Quantitative and Qualitative Disclosures About Market Risk” was made in the Form 10-K of the Partnership dated December 31, 2002.

Item 4. Controls and Internal Procedures

Under the supervision and with the participation of the management of CIS Investments, Inc., a General Partner of the Partnership, including CISI’s President and Chief Financial Officer, the Partnership has evaluated the effectiveness of the design and operation of its disclosure controls and procedures within 90 days of the filing date of this quarterly report, and, based on their evaluation, the President and Chief Financial Officer of CISI’s have concluded that these disclosure controls and procedures are effective. There were no significant changes in the Partnership’s internal controls or in other factors that could significantly affect these controls subsequent to the date of their evaluation.

PART II - OTHER INFORMATION

Item 1. Legal Proceedings

The Partnership and its affiliates are from time to time parties to various legal actions arising in the normal course of business. The General Partners believe that there is no proceeding threatened or pending against the Partnership or any of its affiliates which, if determined adversely, would have material adverse effect on the financial condition or results of operations of the Partnership.

Item 2. Changes in Securities and Use of Proceeds

None

Item 3. Defaults Upon Senior Securities

None

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

None

Item 5. Other Information

None

Item 6. Exhibits and Reports on Form 8-K

  a)  Exhibits
  Exhibit 99 - Certification Pursuant to Section 1350 of Chapter 63 of Title 18 of the United States Code
  b)  Reports on Form 8-K
  None








SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned and thereunto duly authorized.

IDS MANAGED FUTURES II, L.P.

Date: May 14, 2003

By:    CIS Investments, Inc.,
One of its General Partners
 
 
 
 
By:    /s/ Shaun D. O'Brien
Shaun D. O'Brien
Vice President, Chief Financial Officer
and Director
(Duly authorized officer of the Managing Owner and the Principal Financial Officer of the Managing Owner)











CERTIFICATION
 
I, James A. Davison, the President of CIS Investments, Inc. ("CISI"), a General Partner of IDS Managed Futures II, L.P. (the "Partnership"), do hereby certify that:
 
1. I have reviewed this quarterly report on Form 10-Q of the Partnership;
 
2. Based on my knowledge, this quarterly report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report;
 
3. Based on my knowledge, the financial statements, and other financial information included in this quarterly report, fairly present in all material respects the financial condition, results of operations and cash flows of the Partnership as of, and for, the periods presented in this quarterly report;
 
4. The Partnership's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as such term is defined in paragraph (c) of Exchange Act Rule 15d-14) for the Partnership and we have:
 
  (i) designed such disclosure controls and procedures to ensure that material information relating to the Partnership, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this quarterly report is being prepared;
 
  (ii) evaluated the effectiveness of the Partnership's disclosure controls and procedures as of a date within 90 days prior to the filing date of this quarterly report (the "Evaluation Date"); and
 
  (iii) presented in this quarterly report our conclusions about the effectiveness of the disclosure controls and procedures based on our evaluation as of the Evaluation Date;
 
5. The Partnership's other certifying officers and I have disclosed, based on our most recent evaluation, to the Partnership's auditors and the audit committee of the Partnership's board of directors (or persons performing the equivalent functions):
 
  (i) all significant deficiencies in the design or operation of internal controls which could adversely affect the Partnership's ability to record, process, summarize and report financial data and have identified for the Partnership's auditors any material weaknesses in internal controls; and
 
  (ii) any fraud, whether or not material, that involves management or other employees who have a significant role in the Partnership's internal controls; and
 
6. The Partnership's other certifying officers and I have indicated in this quarterly report whether or not there were significant changes in internal controls or in other factors that could significantly affect internal controls subsequent to the date of our most recent evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses.
 
 
By:    /s/ James A. Davison
 
 
 
James A. Davison
President
CIS Investments, Inc.
May 14, 2003
 
 
 
CERTIFICATION
 
I, Shaun O'Brien, the Chief Financial Officer of CIS Investments, Inc. ("CISI"), a General Partner of IDS Managed Futures II, L.P. (the "Partnership"), do hereby certify that:
 
1. I have reviewed this quarterly report on Form 10-Q of the Partnership;
 
2. Based on my knowledge, this quarterly report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report;
 
3. Based on my knowledge, the financial statements, and other financial information included in this quarterly report, fairly present in all material respects the financial condition, results of operations and cash flows of the Partnership as of, and for, the periods presented in this quarterly report;
 
4. The Partnership's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as such term is defined in paragraph (c) of Exchange Act Rule 15d-14) for the Partnership and we have:
 
  (i) designed such disclosure controls and procedures to ensure that material information relating to the Partnership, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this quarterly report is being prepared;
 
  (ii) evaluated the effectiveness of the Partnership's disclosure controls and procedures as of a date within 90 days prior to the filing date of this quarterly report (the "Evaluation Date"); and
 
  (iii) presented in this quarterly report our conclusions about the effectiveness of the disclosure controls and procedures based on our evaluation as of the Evaluation Date;
 
5. The Partnership's other certifying officers and I have disclosed, based on our most recent evaluation, to the Partnership's auditors and the audit committee of the Partnership's board of directors (or persons performing the equivalent functions):
 
  (i) all significant deficiencies in the design or operation of internal controls which could adversely affect the Partnership's ability to record, process, summarize and report financial data and have identified for the Partnership's auditors any material weaknesses in internal controls; and
 
  (ii) any fraud, whether or not material, that involves management or other employees who have a significant role in the Partnership's internal controls; and
 
6. The Partnership's other certifying officers and I have indicated in this quarterly report whether or not there were significant changes in internal controls or in other factors that could significantly affect internal controls subsequent to the date of our most recent evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses.
 
 
By: /s/ Shaun D. O'Brien
 
 
 
Shaun D. O'Brien
Chief Financial Officer
CIS Investments, Inc.
May 14, 2003