833225--4/3/2006--DIVERSIFIED_FUTURES_FUND

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The Partnership 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 Partnership does not maintain a website where these reports are posted. However, the Partnership s filings are posted on the SEC s website at htttp://www.sec.gov. You Should Not Rely on Past Performance in Deciding Whether to Buy Units Price Volatility May Possibly Cause the Total Loss of Your Investment Speculative and Volatile Markets Combined With Highly Leveraged Trading May Cause the Partnership to Incur Substantial Losses. Fees and Commissions are Charged Regardless of Profitability and May Result in Depletion of Partnership Assets Market Conditions May Impair Profitability Discretionary Trading Strategies May Incur Substantial Losses Systematic Trading Strategies May Incur Substantial Losses Decisions Based Upon Fundamental Analysis May Not Result in Profitable Trading Increase in Assets Under Management May Affect Trading Decisions You cannot be Assured of the Advisors Continued Services Which May Be Detrimental to Partnership Limited Ability to Liquidate Your Investment Possible Illiquid Markets May Exacerbate Losses Because No Partnership Acquires Any Asset with Intrinsic Value, the Positive Performance of Your Investment Is Wholly Dependent Upon an Equal and Offsetting Loss Failure of Futures Trading to be Non-Correlated to General Financial Markets Will Eliminate Benefits of Diversification Trading on Commodity Exchanges Outside the United States is Not Subject to U.S. Regulation Various Actual and Potential Conflicts of Interest May Be Detrimental to Unitholders Limitation on Deductibility of Investment Advisory Fees Taxation of Interest Income Irrespective of Trading Losses Possibility of a Tax Audit of Both the Partnership and the Unitholders Failure or Lack of Segregation of Assets May Increase Losses Default by Counterparty and Credit Risk Could Cause Substantial Losses Regulatory Changes or Actions May Alter the Nature of an Investment in the Partnership Partnership Trading is Not Transparent Lack of Independent Experts Representing Investors Forwards, Swaps, Hybrids and Other Derivatives are Not Subject to CFTC Regulation Possibility of Termination of the Partnership or any Partnership Before Expiration of its Stated Term

Full 10-K form ▸

833225--4/3/2006--DIVERSIFIED_FUTURES_FUND_L.P.