Diversified 2000 Futures Fund L.P.
Notes to Financial Statements
Diversified 2000 Futures Fund L.P. (the Partnership) is a limited partnership organized under the partnership laws
of the State of New York on August 25, 1999 to engage, directly or indirectly, in the speculative trading of a diversified portfolio of commodity interests including futures, option, swap and forward contracts. The sectors traded include
currencies, energy, grains, indices, U.S. and non-U.S. interest rates, livestock, lumber, metals and softs. The commodity interests that are indirectly traded by the Partnership, through its investment in the
Funds (as defined below), are volatile and involve a high degree of market risk. The General Partner (as defined below) may also determine to invest up to all of the Partnerships assets (directly or indirectly through its investment in the
Funds) in United States (U.S.) Treasury bills and/or money market mutual funds, including money market mutual funds managed by Morgan Stanley or its affiliates. The Partnership was authorized to sell 150,000 redeemable units of limited
Partnership interest (Redeemable Units) during its initial offering period. The Partnership no longer offers Redeemable Units for sale.
Ceres Managed Futures LLC, a Delaware limited liability company, acts as the general partner (the General Partner)
and commodity pool operator of the Partnership. The General Partner is a wholly-owned subsidiary of Morgan Stanley Domestic Holdings, Inc. (MSD Holdings). MSD Holdings is ultimately owned by Morgan Stanley. Morgan Stanley is a publicly
held company whose shares are listed on the New York Stock Exchange. Morgan Stanley is engaged in various financial services and other businesses.
As of September 30, 2018, all trading decisions for the Partnership are made by Aspect Capital Limited
(Aspect) and Graham Capital Management L.P. (Graham) (each, an Advisor, and collectively, the Advisors), each of which is a registered commodity trading advisor. Each Advisor is allocated a portion of
the Partnerships assets to manage. The Partnership invests the portion of its assets allocated to each of the Advisors indirectly through its investment in the Funds. Effective December 31, 2017 PGR Capital LLP (PGR) ceased to
act as commodity trading advisor to the Partnership. References herein to Advisors shall also include, as relevant, PGR.
During the reporting periods ended September 30, 2018 and 2017, the Partnerships/Funds commodity broker was
Morgan Stanley & Co. LLC (MS&Co.), a registered futures commission merchant. JPMorgan Chase Bank, N.A. (JPMorgan) was also a foreign exchange forward counterparty for the Funds. During prior periods included in
the report, the Partnership/Funds also deposited a portion of their cash in non-trading bank accounts at JPMorgan.
The Partnership, CMF Aspect Master Fund L.P. (Aspect Master) and CMF Graham Capital Master Fund L.P. (Graham
Master) have entered into futures brokerage account agreements with MS&Co. Prior to its liquidation, PGR Master Fund L.P. (PGR Master) entered into a futures brokerage account agreement with MS&Co. Aspect Master and Graham
Master entered into a foreign exchange brokerage account agreement with MS&Co. Aspect Master and Graham Master are collectively referred to as the Funds. References herein to Funds may also include, as relevant, reference
to PGR Master. The Partnership, through its investments in the Funds, pays MS&Co. (or will reimburse MS&Co., if previously paid) its allocable share of all trading fees for the clearing and, where applicable, execution of transactions as
well as exchange, clearing, user, give-up, floor brokerage and National Futures Association fees (collectively, the clearing fees).
The Partnership has also entered into a selling agreement with Morgan Stanley Smith Barney LLC (doing business as Morgan
Stanley Wealth Management) (Morgan Stanley Wealth Management) (as amended, the Selling Agreement). Pursuant to the Selling Agreement, Morgan Stanley Wealth Management receives a monthly ongoing selling agent fee equal to 2.0%
per year of the Partnerships adjusted month-end net assets. The ongoing selling agent fee received by Morgan Stanley Wealth Management is shared with the properly registered/exempted financial advisors
of Morgan Stanley Wealth Management who sell Redeemable Units in the Partnership.
Effective July 12, 2017, Aspect
Master and Graham Master each entered into certain agreements with JPMorgan in connection with trading in forward foreign currency contracts on behalf of the referenced Funds and indirectly, the Partnership. These agreements include a foreign
exchange and bullion authorization agreement (FX Agreement), an International Swap Dealers Association, Inc. master agreement (Master Agreement), a schedule to the Master Agreement, a 2016 credit support annex for variation
margin to the schedule and an institutional account agreement. Under each FX Agreement, JPMorgan charges a fee on the aggregate foreign currency transactions entered into on behalf of the respective Fund during a month.
In July 2015, the General Partner delegated certain administrative functions to SS&C Technologies, Inc., a Delaware
corporation, currently doing business as SS&C GlobeOp (the Administrator). Pursuant to a master services agreement, the Administrator furnishes certain administrative, accounting, regulatory reporting, tax and other services as
agreed from time to time. In addition, the Administrator maintains certain books and records of the Partnership. The cost of retaining the Administrator is allocated among the pools operated by the General Partner, including the Partnership.