UNITED STATES
                      SECURITIES AND EXCHANGE COMMISSION
                            Washington, D.C. 20549

                                   FORM 10-K

[X]   Annual report pursuant to Section 13 or 15(d) of the  Securities  Exchange
Act of 1934 [No Fee Required]
For the year ended December 31, 1998 or

[ ] Transition report pursuant to Section 13 or 15(d) of the Securities Exchange
Act   of   1934   [No   Fee   Required]   For   the   transition   period   from
________________ to ___________________ Commission File Number 0-26340


                   DEAN WITTER SPECTRUM GLOBAL BALANCED L.P.
--------------------------------------------------------------------------------
   (Exact name of registrant as specified in its Limited Partnership Agreement)



            DELAWARE                                            13-3782232
--------------------------------------------------------------------------------
(State or other jurisdiction of                              (I.R.S. Employer
 incorporation or organization)                             Identification No.)



c/o Demeter Management Corporation
Two World Trade Center, - 62nd Flr., New York, N.Y.                10048        
--------------------------------------------------------------------------------
(Address of principal executive offices)                        (Zip Code)



Registrant's telephone number, including area code            (212) 392-5454
Securities registered pursuant to Section 12(b) of the Act:   ------------------



                                                           Name of each exchange
Title of each class                                         on which registered


            None                                                  None        
------------------------------                              --------------------



Securities registered pursuant to Section 12(g) of the Act:



                     Units of Limited Partnership Interest
--------------------------------------------------------------------------------
                               (Title of Class)


      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. Yes X No

      Indicate by check-mark if disclosure of delinquent filers pursuant to Item
405 of Regulation S-K (section 229.405 of this chapter) is not contained herein,
and will not be contained,  to the best of registrant's knowledge, in definitive
proxy or information  statements  incorporated  by reference in Part III of this
Form 10-K or any amendment of this Form 10-K. [X]

State the aggregate  market value of the Units of Limited  Partnership  Interest
held by  non-affiliates  of the registrant.  The aggregate market value shall be
computed  by  reference  to the price at which units were sold as of a specified
date within 60 days prior to the date of filing:  $45,362,782.29  at January 31,
1999.

                      DOCUMENTS INCORPORATED BY REFERENCE
                                 (See Page 1)


<PAGE>







                DEAN WITTER SPECTRUM GLOBAL BALANCED L.P.
                   INDEX TO ANNUAL REPORT ON FORM 10-K
                            DECEMBER 31, 1998
                                                                 Page No.

DOCUMENTS INCORPORATED BY REFERENCE. . . . . . . . . . . . . . .      1
-----------------------------------

Part I .

   Item   1. Business. . . . . . . . . . . . . . . . . . . . .      1-3

   Item   2. Properties. . . . . . . . . . . . . . . . . . . . .      4

   Item   3. Legal Proceedings. . . . . . . . . . . . . . . . .     4-6

   Item   4. Submission of Matters to a Vote of Security Holders  .   6

Part II.

   Item   5. Market for the Registrant's Partnership Units
             and Related Security Holder Matters . . . . . . . .      7

   Item   6. Selected Financial Data . . . . . . . . . . . . . .      8

   Item   7. Management's Discussion and Analysis of Financial
             Condition and Results of Operations. . . . . . .      9-18

   Item  7A. Quantitative and Qualitative Disclosures About
             Market Risk . . . . . . . . . . . . . . . . . . .    18-31

   Item   8. Financial Statements and Supplementary Data. . . . .    31

   Item   9. Changes in and Disagreements with Accountants on
             Accounting and Financial Disclosure. . . . . . . .      31

Part III.

   Item  10. Directors and Executive Officers of the Registrant . 32-36

   Item  11. Executive Compensation . . . . . . . . . . . . . . .    36

   Item  12. Security Ownership of Certain Beneficial Owners
             and Management . . . . . . . . . . . . . . . . . . .    37

   Item  13. Certain Relationships and Related Transactions . .      37

Part IV.

   Item  14. Exhibits, Financial Statement Schedules, and
             Reports on Form 8-K . . . . . . . . . . . . . . . .     38



                        DOCUMENTS INCORPORATED BY REFERENCE


Portions of the following documents are incorporated by reference as follows:



         Documents Incorporated                      Part of Form 10-K

       Partnership's Prospectus dated
       January 21, 1999                                       I

       Annual Report to Dean Witter Spectrum
       Series Limited Partners for the year
       ended December 31, 1998                         II, III and IV



<PAGE>


                                       - 1 -

                                     PART I

Item 1.  BUSINESS

      (a) General Development of Business.  Dean Witter Spectrum Global Balanced
L.P.  (formerly,  Dean Witter Spectrum  Balanced L.P.) (the  "Partnership") is a
Delaware limited  partnership  organized to engage in the speculative trading of
futures contracts, forward contracts, physical commodities and other commodities
interests,  including foreign currencies,  financial  instruments,  precious and
industrial  metals,  energy products and  agriculturals  (collectively  "futures
interests"). The Partnership is one of the Dean Witter Spectrum Series of funds,
comprised of the Partnership,  Dean Witter Spectrum  Strategic L.P., Dean Witter
Spectrum  Technical  L.P.  and Dean Witter  Spectrum  Select L.P.  (Dean  Witter
Spectrum Select L.P., formerly "Dean Witter Select Futures Fund L.P." became one
of the Dean Witter  Spectrum  Series of Funds May 31, 1998.) The general partner
is Demeter Management Corporation ("Demeter"). The non-clearing commodity broker
is Dean Witter  Reynolds Inc.  ("DWR") and an  unaffiliated  clearing  commodity
broker,  Carr Futures Inc. ("Carr"),  provides clearing and execution  services.
Both Demeter and DWR are wholly-owned subsidiaries of Morgan Stanley Dean Witter
& Co. ("MSDW"). RXR, Inc. (the "Trading Advisor"), is the Trading Advisor to the
Partnership.

<PAGE>

                                       - 2 -
      Units of limited  partnership  interest  ("Units")  are offered at monthly
closings  at a price  equal to 100% of the Net  Asset  Value  per Unit as of the
close of  business on the last day of each month.  The  Partnership's  Net Asset
Value per Unit as of December 31, 1998 was $16.00,  representing  an increase of
16.36  percent from the Net Asset Value per Unit of $13.75 on December 31, 1997.
For a more detailed description of the Partnership's  business, see subparagraph
(c).

      (b)  Financial   Information  about  Industry   Segments.   For  financial
information  reporting  purposes,  the  Partnership  is  deemed to engage in one
industry segment,  the speculative  trading of futures  interests.  The relevant
financial information is presented in Items 6 and 8.

      (c) Narrative Description of Business.  The Partnership is in the business
of speculative  trading of futures interests,  pursuant to trading  instructions
provided by the Trading  Advisor.  For a detailed  description  of the different
facets of the  Partnership's  business,  see those portions of the Partnership's
prospectus,  dated  January  21,  1999,  (the  "Prospectus"),   incorporated  by
reference in this Form 10-K, set forth below.

     Facets of Business

      1. Summary                         1.  "Summary of the Prospectus"
                                              (Pages 1-6 of the
                                                Prospectus).

<PAGE>

                                       - 3 -


      2. Futures, Options and            2.  "The Futures, Options
         Forward Markets                      and Forward Markets"
                                              (Pages 83-87 of the
                                              Prospectus).

      3. Partnership's Trading           3.  "Investment Programs,
         Arrangements and                     Use of Proceeds and
         Policies                             Trading Policies" (Pages
                                              20-25   of   the
                                              Prospectus).
                                             "The Trading Advisors"
                                              (Pages 49-79 of the
                                              Prospectus).

      4. Management of the Part-         4.  "The Trading Advisors -
         nership                              The Management Agree-
                                              ments" (Page 49 of the
                                              Prospectus),  "The
                                              General  Partner" (Pages
                                              47-48 of  the
                                              Prospectus),
                                              "The Commodity Brokers"       
                                              (Page 82 of  the   Prospectus)
                                              and "The Limited Partnership
                                              Agreements"(Pages  87-91 of  the
                                              Prospectus).

      5. Taxation of the Partner-       5.   "Material Federal Income
         ship's Limited Partners              Tax  Considerations" and
                                              "State and Local Income Tax
                                              Aspects" (Pages 96-102
                                              of the Prospectus).

    (d)  Financial Information About Foreign and  Domestic  Operations and
         Export Sales.

         The Partnership has not engaged in any operations in foreign countries;
however,  the  Partnership  (through the commodity  brokers) enters into forward
contract  transactions  where foreign banks are the contracting party and trades
in futures interests on foreign exchanges.
<PAGE>

                                       - 4 -
Item 2.  PROPERTIES

      The executive and administrative offices are located within the offices of
DWR. The DWR offices  utilized by the Partnership are located at Two World Trade
Center, 62nd Floor, New York, NY 10048.

Item 3.  LEGAL PROCEEDINGS

      On September 6, 10, and 20, 1996, and on March 13, 1997, similar purported
class  actions  were  filed in the  Superior  Court of the State of  California,
County of Los  Angeles,  on behalf of all  purchasers  of  interests  in limited
partnership  commodity pools sold by DWR. Named defendants include DWR, Demeter,
Dean Witter Futures & Currency Management Inc. ("DWFCM"), MSDW (all such parties
referred to hereafter  as the "Dean  Witter  Parties"),  certain  other  limited
partnership commodity pools of which Demeter is the general partner, and certain
trading  advisors to those pools.  On June 16, 1997, the plaintiffs in the above
actions filed a consolidated  amended complaint,  alleging,  among other things,
that  the  defendants  committed  fraud,  deceit,  negligent  misrepresentation,
various  violations  of  the  California   Corporations  Code,  intentional  and
negligent  breach of fiduciary duty,  fraudulent and unfair business  practices,
unjust  enrichment,  and  conversion  in the sale and  operation  of the various
limited partnership  commodity pools.  Similar purported class actions were also
filed on  September 18 and 20,  1996,  in the Supreme  Court of the State of New
York, New York County, and
<PAGE>

                                       - 5 -
on November 14, 1996 in the Superior Court of the State of Delaware,  New Castle
County,  against the Dean Witter Parties and certain trading  advisors on behalf
of all purchasers of interests in various  limited  partnership  commodity pools
sold by DWR. A consolidated  and amended  complaint in the action pending in the
Supreme  Court of the State of New York was filed on August 13,  1997,  alleging
that the defendants  committed  fraud,  breach of fiduciary  duty, and negligent
misrepresentation  in the sale and operation of the various limited  partnership
commodity pools. On December 16, 1997, upon motion of the plaintiffs, the action
pending in the Superior Court of the State of Delaware was voluntarily dismissed
without  prejudice.  The New York Supreme Court dismissed the New York action in
November 1998, but granted plaintiffs leave to file an amended complaint,  which
they did in early December  1998. The defendants  have filed a motion to dismiss
the amended  complaint with  prejudice on February 1, 1999. The complaints  seek
unspecified amounts of compensatory and punitive damages and other relief. It is
possible that additional similar actions may be filed and that, in the course of
these  actions,  other  parties  could be added as  defendants.  The Dean Witter
Parties  believe  that they have strong  defenses  to, and they will  vigorously
contest, the actions.  Although the ultimate outcome of legal proceedings cannot
be predicted with certainty,  it is the opinion of management of the Dean Witter
Parties that the resolution of the actions
<PAGE>

                                       - 6 -
will not  have  a  material  adverse  effect  on  the financial condition or the
results of operations of any of the Dean Witter Parties.

Item 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

      None.
<PAGE>
                                       - 7 -

                                      PART II

Item 5.   MARKET FOR THE REGISTRANT'S PARTNERSHIP UNITS AND   
          RELATED SECURITY HOLDER MATTERS

      There  is  no   established   public  trading  market  for  Units  of  the
Partnership.   The  number  of  holders  of  Units  at  December  31,  1998  was
approximately 5,359. No distributions have been made by the Partnership since it
commenced trading operations on November 2, 1994. Demeter has sole discretion to
decide  what  distributions,   if  any,  shall  be  made  to  investors  in  the
Partnership. No determination has yet been made as to future distributions.

      Units are being sold at monthly  closings as of the last day of each month
at a price equal to 100% of the Net Asset Value of a Unit as of the date of such
monthly closing.

      Through  December 31, 1998,  3,568,863.050  Units have been sold,  leaving
4,431,136.950  Units unsold as of December 31, 1998. The aggregate  price of the
Units sold through December 31, 1998 is $46,870,948.

      Since no expenses are chargeable against proceeds, 100% of the proceeds of
the offering have been applied to the working capital of the Partnership for use
in  accordance  with the  "Investment  Programs,  Use of  Proceeds  and  Trading
Policies" section of the Prospectus.


<PAGE>

                                       - 8 -

Item 6.  SELECTED FINANCIAL DATA (in dollars)



<TABLE>
<CAPTION>

                                                                                    For the
                                                                                    Period from
                                                                                    November 2, 1994
                                                                                    (commencement of
                                    For the Years Ended December 31,                operations) to

                            1998         1997              1996         1995        December  31, 1994 
                       ---------------------------------------------------------    -------------------
<S>                    <C>            <C>                 <C>          <C>              <C>  

Total Revenues
(including interest)    8,042,090     5,293,459            893,626     2,329,813         (17,216)


Net Income (Loss)       5,577,888     3,599,516           (357,966)    1,559,664         (52,306)


Net Income (Loss)
Per Unit (Limited
& General Partners)          2.25          2.12               (.44)         2.24            (.17)


Total Assets           46,317,786    25,923,024          19,620,770   14,923,682        3,817,871


Total Limited
Partners' Capital      45,399,750    25,418,875          18,499,873   14,604,689        3,701,277


Net Asset Value Per
Unit of Limited
Partnership Interest        16.00         13.75               11.63       12.07              9.83

</TABLE>
<PAGE>

                                               -9 -

Item 7.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
         RESULTS OF OPERATIONS

      Liquidity  -  Assets  of  the   Partnership  are  deposited  with  DWR  as
non-clearing  broker and Carr as clearing  broker in separate  futures  interest
trading  accounts.  Such  assets are held in either  non-interest  bearing  bank
accounts or in securities  approved by the Commodity Futures Trading  Commission
("CFTC") for investment of customer funds. The Partnership's  assets held by DWR
and Carr may be used as margin solely for the Partnership's  trading.  Since the
Partnership's sole purpose is to trade in futures interests, it is expected that
the Partnership will continue to own such liquid assets for margin purposes.

      The Partnership's  investment in futures interests may, from time to time,
be illiquid.  Most United States futures exchanges limit fluctuations in certain
futures interest prices during a single day by regulations referred to as "daily
price  fluctuations  limits" or "daily  limits".  Pursuant to such  regulations,
during a single trading day no trades may be executed at prices beyond the daily
limit. If the price for a particular futures interest has increased or decreased
by an amount  equal to the daily limit,  positions in such futures  interest can
neither be taken nor  liquidated  unless traders are willing to effect trades at
or within the limit.  Futures interests prices have occasionally moved the daily
limit for  several  consecutive  days with  little or no  trading.  Such  market
conditions could prevent the Partnership from promptly liquidating

<PAGE>


                                      - 10 -
its futures interests and result in restrictions on redemptions.

      There is no limitation on daily price moves in trading  forward  contracts
on foreign  currency.  The  markets for some world  currencies  have low trading
volume and are  illiquid,  which may prevent  the  Partnership  from  trading in
potentially   profitable  markets  or  from  promptly  liquidating   unfavorable
positions,   subjecting  it  to  substantial  losses.  Either  of  these  market
conditions could result in restrictions on redemptions.

      Capital  Resources.  The Partnership  does not have, nor does it expect to
have, any capital assets. Future redemptions,  exchanges and sales of additional
Units will  affect  the  amount of funds  available  for  investment  in futures
interests in  subsequent  periods.  Since they are at the  discretion of Limited
Partners, it is not possible to estimate the amount and therefore, the impact of
future redemptions, exchanges or sales of additional Units.

      Results of Operations.  As of December 31, 1998, the  Partnership's  total
capital was $45,913,872, an increase of $20,230,636 from the Partnership's total
capital of  $25,683,236  at December 31, 1997.  For the year ended  December 31,
1998, the Partnership  generated net income of $5,577,888,  total  subscriptions
aggregated $17,637,965 and total redemptions aggregated $2,985,217. 

For the year ended December 31, 1998, the Partnership's total

<PAGE>

                                      - 11 -
trading revenues,  including interest income, were $8,042,090. The Partnership's
total  expenses  for the  year  were  $2,464,202,  resulting  in net  income  of
$5,577,888.  The value of an individual unit in the  Partnership  increased from
$13.75 at December 31, 1997 to $16.00 at December 31, 1998.

      As of December 31, 1997, the Partnership's  total capital was $25,683,236,
an increase of $6,976,981 from the  Partnership's  total capital of $18,706,255,
at December 31, 1996.  For the year ended  December  31, 1997,  the  Partnership
generated net income of $3,599,516,  total subscriptions  aggregated  $6,527,261
and total redemptions aggregated $3,149,796.

      For the year ended  December 31, 1997,  the  Partnership's  total  trading
revenues  including  interest income were $5,293,459.  The  Partnership's  total
expenses for the year were  $1,693,943,  resulting in net income of  $3,599,516.
The value of an  individual  unit in the  Partnership  increased  from $11.63 at
December 31, 1996 to $13.75 at December 31, 1997.

      As of December 31, 1996, the Partnership's  total capital was $18,706,255,
an increase of $3,951,755 from the Partnership's total capital of $14,754,500 at
December  31,  1995.  For the year ended  December  31,  1996,  the  Partnership
incurred a net loss of $357,966,  total subscriptions  aggregated $7,259,621 and
redemptions aggregated $2,949,900.

<PAGE>

                                      - 12 -

      For the year ended  December 31, 1996,  the  Partnership's  total  trading
revenues  including  interest  income were  $893,626.  The  Partnership's  total
expenses for the year were $1,251,592,  resulting in a net loss of $357,966. The
value of an individual unit in the Partnership decreased from $12.07 at December
31, 1995 to $11.63 at December 31, 1996.

      The Partnership's  overall performance record represents varied results of
trading in different futures  interests  markets.  For a further  description of
1998  trading  results,  refer to the  letter  to the  Limited  Partners  in the
accompanying  Annual Report to Limited  Partners for the year ended December 31,
1998,  incorporated by reference in this Form 10-K. The Partnership's  gains and
losses are allocated among its partners for income tax purposes.

      Credit Risk.  In entering  into futures and forward  contracts  there is a
credit risk to the Partnership that the counterparty on the contract will not be
able to meet its obligations to the  Partnership.  The ultimate  counterparty of
the  Partnership  for  futures  contracts  traded in the United  States and most
foreign  exchanges  on  which  the  Partnership   trades  is  the  clearinghouse
associated  with such exchange.  In general,  a  clearinghouse  is backed by the
membership of the exchange and will act in the event of  non-performance  by one
of its members or

<PAGE>

                                         - 13 -
one of its member's customers,  and, as such, should  significantly  reduce this
credit risk.  For example,  a  clearinghouse  may cover a default by (i) drawing
upon  a  defaulting  member's  mandatory   contributions  and/or  non-defaulting
members'  contributions to a clearinghouse  guarantee fund, established lines or
letters of credit with banks,  and/or the  clearinghouse's  surplus  capital and
other available assets of the exchange and clearinghouse,  or (ii) assessing its
members.

      In cases  where the  Partnership  trades on a foreign  exchange  where the
clearinghouse  is not  funded  or  guaranteed  by the  membership  or where  the
exchange is a "principals' market" in which performance is the responsibility of
the  exchange  member  and not the  exchange  or a  clearinghouse,  or when  the
Partnership  enters into  off-exchange  contracts with a counterparty,  the sole
recourse of the Partnership  will be the  clearinghouse,  the exchange member or
the  off-exchange  contract  counterparty,  as the case may be.  There can be no
assurance that a clearinghouse,  exchange or other exchange member will meet its
obligations to the Partnership, and the Partnership is not indemnified against a
default by such parties from Demeter, MSDW or DWR.

      Further,  the law is  unclear  as to  whether a  commodity  broker has any
obligation  to  protect  its  customers  from loss in the event of an  exchange,
clearinghouse  or other  exchange  member  default  on trades  effected  for the
broker's customers. Any such obligation on the part of
<PAGE>

                                      - 14 -
the  broker  appears  even  less  clear  where  the  default  occurs in a non-US
jurisdiction.

      Demeter  deals  with the  credit  risks of all  partnerships  for which it
serves as general partner in several ways.  First, it monitors the Partnership's
credit  exposure to each  exchange on a daily  basis,  calculating  not only the
amount of margin required for it but also the amount of its unrealized  gains at
each exchange, if any. The commodity brokers inform the Partnership, as with all
their  customers,  of its net  margin  requirements  for all its  existing  open
positions, but do not break that net figure down, exchange by exchange. Demeter,
however,  has installed a system which  permits it to monitor the  Partnership's
potential  margin  liability,  exchange  by  exchange.  Demeter  is then able to
monitor the  Partnership's  potential  net credit  exposure to each  exchange by
adding  the  unrealized  trading  gains  on  that  exchange,   if  any,  to  the
Partnership's margin liability thereon.

      Second,  the  Partnership's  trading  policies limit the amount of its net
assets that can be committed at any given time to futures contracts and require,
in addition,  a certain minimum amount of  diversification  in the Partnership's
trading,  usually  over  several  different  products.  One of the  aims of such
trading  policies has been to reduce the credit exposure of the Partnership to a
single exchange and,  historically,  such  Partnership's  exposure has typically
amounted to only a small percentage

<PAGE>

                                      - 15 -
of  its  total  net  assets.   On  those  relatively  few  occasions  where  the
Partnership's credit exposure may climb above that level, Demeter deals with the
situation  on a case by case basis,  carefully  weighing  whether the  increased
level of credit exposure remains appropriate.

      Third,  Demeter has  secured,  with respect to Carr acting as the clearing
broker for the  Partnership,  a guarantee by Credit  Agricole  Indosuez,  Carr's
parent,  of the  payment  of the "net  liquidating  value"  of the  transactions
(futures and forward contracts) in the Partnership's account.

      With respect to forward contract trading, the Partnership trades with only
those  counterparties  which Demeter,  together with DWR, have  determined to be
creditworthy.  At the date of this filing,  the Partnership deals only with Carr
as its  counterparty  on forward  contracts.  The  guarantee  by Carr's  parent,
discussed above, covers these forward contracts.

      See  "Financial  Instruments"  under Notes to Financial  Statements in the
Partnership's  Annual Report to Limited Partners for the year ended December 31,
1998, incorporated by reference in this Form 10-K.



<PAGE>

                                      - 16 -
      Year  2000  Problem.   Commodity   pools,   like  financial  and  business
organizations and individuals around the world, depend on the smooth functioning
of computer  systems.  Many computer  systems in use today cannot  recognize the
computer code for the year 2000, but revert to 1900 or some other date.  This is
commonly known as the "Year 2000 Problem".  The  Partnership  could be adversely
affected  if computer  systems  used by it or any third party with whom it has a
material  relationship  do  not  properly  process  and  calculate  date-related
information  and data  concerning  dates on or after  January  1,  2000.  Such a
failure could adversely  affect the handling or  determination of futures trades
and prices and other services.

      MSDW began its planning for the Year 2000 Problem in 1995,  and  currently
has several hundred  employees  working on the matter.  It has developed its own
Year 2000  compliance plan to deal with the problem and had the plan approved by
the  company's  executive   management,   Board  of  Directors  and  Information
Technology  Department.  Demeter is  coordinating  with MSDW to address the Year
2000  Problem  with  respect  to  Demeter's  computer  systems  that  affect the
Partnership.  This includes hardware and software  upgrades,  systems consulting
and computer maintenance.

      Beyond the challenge facing internal computer systems, the systems failure
of  any  of  the  third  parties  with  whom  the  Partnership  has  a  material
relationship - the futures exchanges and clearing organizations

<PAGE>

                                         - 17 -
through  which it  trades,  Carr,  or the  Trading  Advisor - could  result in a
material  financial  risk to the  Partnership.  All U.S.  futures  exchanges are
subject to monitoring by the CFTC of their Year 2000  preparedness and the major
foreign futures exchanges are also expected to be subject to market-wide testing
of their Year 2000  compliance  during  1999.  Demeter  intends  to monitor  the
progress  of Carr and the  Trading  Advisor  throughout  1999 in their Year 2000
compliance and, where applicable,  to test its external  interface with Carr and
the Trading Advisor.

      A worst case scenario would be one in which trading of contracts on behalf
of the  Partnership  becomes  impossible  as a result of the Year  2000  problem
encountered by any third parties.  A less  catastrophic but more likely scenario
would be one in which  trading  opportunities  diminish as a result of technical
problems  resulting in illiquidity  and fewer  opportunities  to make profitable
trades. MSDW has begun develop-ing various "contingency plans" in the event that
the systems of such third parties fail.  Demeter intends to consult closely with
MSDW in implementing  those plans.  Despite the best efforts of both Demeter and
MSDW,  however,  it is possible that these steps will not be sufficient to avoid
any adverse impact to the Partnership.


<PAGE>

                                         - 18 -
      Risks  Associated With the Euro. On January 1, 1999,  eleven  countries in
the  European  Union  established  fixed  conversion  rates  on  their  existing
sovereign  currencies  and converted to a common  single  currency (the "euro").
During a three-year transition period, the sovereign currencies will continue to
exist  but only as a fixed  denomination  of the  euro.  Conversion  to the euro
prevents  the Trading  Advisor from  trading in certain  currencies  and thereby
limits its ability to take  advantage of  potential  market  opportunities  that
might  otherwise have existed had separate  currencies  been available to trade.
This could adversely affect the performance results of the Partnership.

Item 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Introduction

The Partnership is a commodity pool engaged primarily in the speculative trading
of futures interests.  The market sensitive  instruments held by the Partnership
are acquired solely for speculative  trading  purposes and, as a result,  all or
substantially all of the Partnership's assets are subject to the risk of trading
loss. Unlike an operating company,  the risk of market sensitive  instruments is
integral, not incidental, to the Partnership's primary business activities.

<PAGE>

                                      - 19 -
The futures  interests  traded by the  Partnership  involve  varying  degrees of
related  market risk.  Such market risk is often  dependent  upon changes in the
level or volatility of interest rates,  exchange rates,  and/or market values of
financial instruments and commodities. Fluctuations in related market risk based
upon the aforementioned  factors result in frequent changes in the fair value of
the Partnership's open positions,  and,  consequently,  in its earnings and cash
flow.

The Partnership's  total market risk is influenced by a wide variety of factors,
including  the  diversification  effects among the  Partnership's  existing open
positions, the volatility present within the market(s), and the liquidity of the
market(s). At varying times, each of these factors may act to exacerbate or mute
the market risk associated with the Partnership.

The Partnership's  past performance is not necessarily  indicative of its future
results.  Any  attempt at  quantifying  the  Partnership's  market  risk must be
qualified by the inherent  uncertainty  of its  speculative  trading,  which may
cause future losses and  volatility  (i.e.  "risk of ruin") far in excess of the
Partnership's experience to date and/or any reasonable expectation premised upon
historical changes in the fair value of its market sensitive instruments.
<PAGE>

                                      - 20 -
Quantifying the Partnership's Trading Value at Risk 

The following  quantitative  disclosures regarding the Partnership's market risk
exposures contain  "forward-looking  statements"  within the meaning of the safe
harbor  from  civil  liability  provided  for  such  statements  by the  Private
Securities  Litigation  Reform  Act of 1995  (set  forth in  Section  27A of the
Securities Act of 1933 and Section 21E of the Securities  Exchange Act of 1934).
All  quantitative  disclosures in this section are deemed to be  forward-looking
statements for purposes of the safe harbor,  except for statements of historical
fact.

The  Partnership  accounts  for open  positions  on the basis of  mark-to-market
accounting principles.  As such, any loss in the fair value of the Partnership's
open  positions is directly  reflected in the  Partnership's  earnings,  whether
realized or unrealized,  and the Partnership's  cash flow, as profits and losses
on open positions of exchange-traded futures interests are settled daily through
variation margin.  The Partnership's risk exposure in the various market sectors
traded  by the  Trading  Advisor  is  estimated  below in terms of Value at Risk
("VaR").  The  VaR  model  employed  by the  Partnership  incorporates  numerous
variables that could impact the fair value of the Partnership's trading

<PAGE>

                                      - 21 -
portfolio.  The  Partnership  estimates  VaR using a model  based on  historical
simulation  with a  confidence  level  of 99%.  Historical  simulation  involves
constructing a distribution of hypothetical  daily changes in trading  portfolio
value.  The VaR model generally takes into account linear exposures to price and
interest rate risk.  Market risks that are incorporated in the VaR model include
equity and commodity prices,  interest rates, foreign exchange rates, as well as
correlation  that exists  among these  variables.  The  hypothetical  changes in
portfolio  value are based on daily  observed  percentage  changes in key market
indices or other market  factors  ("market risk factors") to which the portfolio
is sensitive.  In the case of the Partnership's VaR, the historical  observation
period  is  approximately   four  years.  The  Partnership's   one-day  99%  VaR
corresponds to the negative  change in portfolio  value that,  based on observed
market risk factor moves, would have been exceeded once in 100 trading days.

VaR  models  such as the  Partnership's  are  continually  evolving  as  trading
portfolios become more diverse and modeling techniques and systems  capabilities
improve.  It must also be noted  that the VaR model is used to  quantify  market
risk for historic  reporting purposes only and is not utilized by either Demeter
or the Trading Advisor in their daily risk management activities.
<PAGE>


                                      - 22 -
The Partnership's Value at Risk in Different Market Sectors

The following  table indicates the VaR associated  with the  Partnership's  open
positions,  as a  percentage  of total  net  assets,  by market  category  as of
December  31,  1998.  As  of  December  31,  1998,   the   Partnership's   total
capitalization was approximately $ 46 million.

     Primary Market                 December 31, 1998
     Risk Category                    Value at Risk

      Interest Rate                       (.58)%
      Currency                            (.26)
      Equity                             (1.74)
      Commodity                           (.29)
      Aggregate Value at Risk            (1.70)%

Aggregate value at risk represents the aggregate VaR of the  Partnership's  open
positions and not the sum of the VaR of the individual  categories listed above.
Aggregate VaR will be lower as it takes into account correlation among different
positions and categories.

      The table above represents the VaR of the Partnership's  open positions at
December  31,  1998 only and is not  necessarily  representative  of either  the
historic  or  future  risk  of  an  investment  in  the   Partnership.   As  the
Partnership's sole business is the speculative trading of primarily
<PAGE>

                                         - 23 -


futures interests, the composition of its portfolio of open positions can change
significantly  over any given time period or even within a single  trading  day.
Such changes in open positions could  materially  impact market risk as measured
by VaR either positively or negatively.

The table below  supplements  the year end VaR by presenting  the  Partnership's
high,  low and  average  VaR as a  percentage  of total net  assets for the four
quarterly reporting periods from January 1, 1998 through December 31, 1998.

Primary Market Risk Category        High        Low        Average

Interest Rate                       (1.36)%     (.29)%       (.87)%
Currency                             (.67)      (.18)        (.39)
Equity                              (1.74)      (.59)       (1.11)
Commodity                            (.29)      (.19)        (.23)
Aggregate Value at Risk             (1.70)%    (1.42)%      (1.57)%


Limitations on Value at Risk as an Assessment of Market Risk

      The face value of the market sector instruments held by the Partnership is
typically  many  times  the  applicable  margin  requirements,  as  such  margin
requirements  generally  range  between  2% and  15%  of  contract  face  value.
Additionally,  due to the use of leverage,  the face value of the market  sector
instruments   held  by  the  Partnership  is  typically  many  times  the  total
capitalization of the Partnership. The financial magnitude of

<PAGE>

                                         - 24 -

the  Partnership's  open  positions  thus creates a "risk of ruin" not typically
found in other  investment  vehicles.  Due to the relative size of the positions
held,  certain  market  conditions  may cause the  Partnership  to incur  losses
greatly  in  excess of VaR  within a short  period of time.  The  foregoing  VaR
tables, as well as the past performance of the Partnership,  gives no indication
of such "risk of ruin". In addition,  VaR risk measures should be interpreted in
light of the  methodology's  limitations,  which  include  the  following:  past
changes in market risk factors will not always yield accurate predictions of the
distributions and correlations of future market movements;  changes in portfolio
value in response to market movements may differ from the responses  implicit in
a VaR model;  published VaR results reflect past trading  positions while future
risk  depends on future  positions;  VaR using a one-day  time  horizon does not
fully  capture the market risk of positions  that cannot be liquidated or hedged
within  one  day;  and the  historical  market  risk  factor  data  used for VaR
estimation  may provide only limited  insight into losses that could be incurred
under certain unusual market movements.

      The foregoing VaR tables present the results of the  Partnership's VaR for
each of the  Partnership's  market risk  exposures and on an aggregate  basis at
December 31, 1998 and for the end of quarter periods during calendar 1998. Since
VaR is based on historical data, VaR should not be viewed as
<PAGE>

                                         - 25 -

predictive of the Partnership's  future financial  performance or its ability to
manage and monitor  risk and there can be no  assurance  that the  Partnership's
actual  losses on a  particular  day will not exceed the VaR  amounts  indicated
below or that such losses will not occur more than 1 in 100 trading days.

Non-Trading Risk

      The Partnership  has non-trading  market risk on its foreign cash balances
not needed for margin.  However,  such balances, as well as any market risk they
may represent,  are  immaterial.  The  Partnership  also maintains a substantial
portion (approximately 89%) of its available assets in cash at DWR. A decline in
short-term  interest  rates will result in a decline in the  Partnership's  cash
management income. This cash flow risk is not considered material.

      Materiality, as used throughout this section, is based on an assessment of
reasonably  possible  market  movements and the potential  losses caused by such
movements, taking into account the leverage, optionality and multiplier features
of the Partnership's market sensitive instruments.

<PAGE>


                                         - 26 -



Qualitative Disclosures Regarding Primary Trading Risk Exposures

      The following  qualitative  disclosures regarding the Partnership's market
risk  exposures  - except  for (i)  those  disclosures  that are  statements  of
historical fact and (ii) the  descriptions  of how the  Partnership  manages its
primary market risk exposures - constitute forward-looking statements within the
meaning of Section 27A of the  Securities  Act and Section 21E of the Securities
Exchange Act. The  Partnership's  primary  market risk  exposures as well as the
strategies  used and to be used by Demeter and the Trading  Advisor for managing
such exposures are subject to numerous  uncertainties,  contingencies and risks,
any one of which  could  cause the  actual  results  of the  Partnership's  risk
controls to differ materially from the objectives of such strategies. Government
interventions,  defaults and expropriations,  illiquid markets, the emergence of
dominant fundamental factors,  political upheavals,  changes in historical price
relationships,  an influx of new market  participants,  increased regulation and
many  other  factors  could  result in  material  losses as well as in  material
changes  to the  risk  exposures  and  the  risk  management  strategies  of the
Partnership.  Investors  must be  prepared to lose all or  substantially  all of
their investment in the Partnership.
<PAGE>

                                         - 27 -

      The following were the primary  trading risk exposures of the  Partnership
as of December 31, 1998, by market sector. It may be anticipated  however,  that
these market exposures will vary materially over time.

      Interest Rate.  Interest rate risk is the principal market exposure of the
Partnership.  Interest rate movements directly affect the price of the sovereign
bond futures  positions held by the  Partnership and indirectly the value of its
stock index and currency  positions.  Interest rate  movements in one country as
well as relative interest rate movements between countries materially impact the
Partnership's profitability. The Partnership's primary interest rate exposure is
to interest rate  fluctuations in the United States and the other G-7 countries.
However,  the Partnership also takes futures positions in the government debt of
smaller nations - e.g.  Australia.  Demeter  anticipates that G-7 interest rates
will remain the primary market  exposure of the  Partnership for the foreseeable
future.  The  changes  in  interest  rates  which  have the most  effect  on the
Partnership are changes in long-term,  as opposed to short-term,  rates. Most of
the speculative  future positions held by the Partnership are in  medium-to-long
term instruments. Consequently, even a material change in short-term rates would
have little  effect on the  Partnership  were the  medium-to-long  term rates to
remain steady.
<PAGE>

                                         - 28 -

            Currency.  The  Partnership's  currency exposure is to exchange rate
fluctuations,  primarily  fluctuations  which  disrupt  the  historical  pricing
relationships   between   different   currencies  and  currency   pairs.   These
fluctuations  are  influenced  by interest rate changes as well as political and
general  economic  conditions.  The  Partnership  trades  in a large  number  of
currencies, including cross-rates - i.e., positions between two currencies other
than the U.S. dollar.  However, the Partnership's major exposures have typically
been in the dollar/yen, dollar/mark and dollar/pound positions. Demeter does not
anticipate  that the risk  profile of the  Partnership's  currency  sector  will
change  significantly  in the future,  although it is difficult at this point to
predict  the effect of the  introduction  of the Euro on the  Trading  Advisor's
currency trading strategies.

            Equity. The Partnership's primary equity exposure is to equity price
risk in the G-7 countries. The stock index futures traded by the Partnership are
by law limited to futures on broadly based indices. As of December 31, 1998, the
Partnership's  primary exposures were in the S&P 500, Financial Times (England),
Nikkei (Japan) and DAX (Germany) stock indices.  Demeter  anticipates little, if
any, trading in non-G-7 stock indices.  The Partnership is primarily  exposed to
the risk of adverse price trends or static  markets in the major U.S.,  European
and Japanese  indices.  (Static markets would not cause major market changes but
would

<PAGE>

                                         - 29 -
make  it  difficult for the Partnership to avoid being "whipsawed" into numerous
small losses).

      Commodity.

      Metals.   The   Partnership's   primary  metals  market   exposure  is  to
fluctuations in the price of gold and silver.  Although the Trading Advisor will
from time to time trade base metals such as aluminum,  copper,  nickel and zinc,
the principal market exposures of the Partnership have  consistently been in the
precious metals,  gold and silver.  The Trading  Advisor's gold trading has been
increasingly  limited due to the long-lasting and mainly non-volatile decline in
the  price of gold  over the last  10-15  years.  However,  silver  prices  have
remained  volatile  over this period,  and the Trading  Advisor has from time to
time taken substantial  positions as they have perceived market opportunities to
develop. Demeter anticipates that gold and silver will remain the primary metals
market exposure for the Partnership.

      Soft Commodities.  One of the Partnership's commodities market exposure is
to  fluctuations  in the price of soft  commodities,  which  are often  directly
affected by severe or unexpected  weather  conditions.  Soybean oil, grains, and
cotton  accounted  for the  substantial  bulk of the  Partnership's  commodities
exposure at December 31, 1998. The  Partnership  has had market exposure to live
cattle and lean hogs. However, Demeter anticipates that the Trading Advisor will
maintain an emphasis on soybean

<PAGE>

                                         - 30 -

oil, grains,  and cotton,  in which the Partnership has historically  taken it's
largest positions.

       Energy. The Partnership's primary energy market exposure is to gas
and oil price  movements,  often  resulting from political  developments  in the
Middle  East.  Although  the  Trading  Advisor  trades  natural gas to a limited
extent,  oil is by far the dominant energy market  exposure of the  Partnership.
Oil prices are  currently  depressed,  but they can be volatile and  substantial
profits and losses have been and are expected to continue to be  experienced  in
this market.

      Qualitative Disclosures Regarding Non-Trading Risk Exposure

      The following was the only non-trading risk exposure of the Partnership at
December 31, 1998:

      Foreign  Currency  Balances.  The  Partnership's  primary foreign currency
balances are in Japanese yen, German marks,  British  pounds,  French francs and
euros.  The  Partnership  controls  the  non-trading  risk of these  balances by
regularly converting these balances back into U.S. dollars at varying intervals,
depending upon such factors as size, volatility, etc.

      Qualitative Disclosures Regarding Means of Managing Risk Exposure

      The means by which the  Partnership  and the Trading  Advisor,  severally,
attempt  to  manage  the risk of the  Partnership's  open  positions  are 
<PAGE>

                                     - 31 -

essentially the same in all market categories traded. Demeter attempts to manage
the Partnership's  market exposure by (i) diversifying the Partnership's  assets
among different market sectors and trading approaches,  and (ii), monitoring the
performance of the Trading  Advisor on a daily basis.  In addition,  the Trading
Advisor  establishes  diversification  guidelines,  often  set in  terms  of the
maximum  margin to be committed to positions in any one market  sector or market
sensitive instrument.

      Demeter  monitors and controls the risk of the  Partnership's  non-trading
instruments, cash, which is the only Partnership investment directed by Demeter,
rather than the Trading Advisor.

Item 8.  FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

      The  information  required  by this Item  appears in the Annual  Report to
Limited  Partners for the year ended  December 31, 1998 and is  incorporated  by
reference in this Annual Report on Form 10-K.

Item 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON
        ACCOUNTING AND FINANCIAL DISCLOSURE

      None.

<PAGE>

                                      - 32 -

                                     PART III

Item 10.  DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT

There are no directors or executive officers of the Partnership. The Partnership
is managed by Demeter.

Directors  and Officers of the General  Partner 

      The directors and officers of Demeter are as follows:

      Mark J.  Hawley,  age 55,  is  Chairman  of the Board  and a  Director  of
Demeter.  Mr. Hawley is also Chairman of the Board and a Director of DWFCM.  Mr.
Hawley  previously  served as President of Demeter  throughout  1998. Mr. Hawley
joined DWR in  February  1989 as Senior  Vice  President  and is  currently  the
Executive Vice President and Director of DWR's Product Management for Individual
Asset Management.  In this capacity, Mr. Hawley is responsible for directing the
activities of the firm's Managed Futures,  Insurance,  and Unit Investment Trust
Business.  From 1978 to 1989,  Mr. Hawley was a member of the senior  management
team at Heinold Asset Management, Inc., a CPO, and was responsible for a variety
of projects in public  futures  funds.  From 1972 to 1978, Mr. Hawley was a Vice
President in charge of institutional block trading for the Mid-West at Kuhn Loeb
& Company.

<PAGE>


                                      - 33 -

      Joseph G. Siniscalchi,  age 53, is a Director of Demeter.  Mr. Siniscalchi
joined  DWR in  July  1984  as a  First  Vice  President,  Director  of  General
Accounting  and  served as a Senior  Vice  President  and  Controller  for DWR's
Securities  Division through 1997. He is currently  Executive Vice President and
Director of the Operations Division of DWR. From February 1980 to July 1984, Mr.
Siniscalchi was Director of Internal Audit at Lehman Brothers Kuhn Loeb, Inc.

      Edward C. Oelsner,  III, age 56, is a Director of Demeter.  Mr. Oelsner is
currently an Executive Vice President and head of the Product  Development Group
at Dean Witter InterCapital Inc., an affiliate of DWR. Mr. Oelsner joined DWR in
1981 as a Managing Director in DWR's Investment Banking Department  specializing
in coverage of regulated industries and, subsequently, served as head of the DWR
Retail Products  Group.  Prior to joining DWR, Mr. Oelsner held positions at The
First Boston  Corporation  as a member of the Research  and  Investment  Banking
Departments  from 1967 to 1981. Mr. Oelsner  received his M.B.A. in Finance from
the  Columbia  University  Graduate  School of  Business  in 1966 and an A.B. in
Politics from Princeton University in 1964.

      Robert E.  Murray,  age 38, is  President  and a Director of Demeter.  Mr.
Murray is also  President and a Director of DWFCM.  Effective as of the close of
business on December 31, 1998,  Mr.  Murray  replaced Mr. Hawley as President of
Demeter.  Mr. Murray is also a Senior Vice  President of DWR's  Managed  Futures
Department and is the Senior


<PAGE>

                                      - 34 -

Administrative  Officer of DWFCM. Mr. Murray began his career at DWR in 1984 and
is currently the Director of the Managed Futures  Department.  In this capacity,
Mr.  Murray is  responsible  for  overseeing  all aspects of the firm's  Managed
Futures  Department.  Mr. Murray  currently  serves as a Director of the Managed
Funds  Association,  an industry  association  for investment  professionals  in
futures,  hedge funds and other  alternative  investments.  Mr. Murray graduated
from Geneseo State University in May 1983 with a B.A. degree in Finance.

      Lewis A. Raibley, III, age 36, is Vice President,  Chief Financial Officer
and a Director of Demeter. Effective as of the close of business on December 31,
1998,  Mr. Raibley was elected to Demeter's  Board of Directors.  Mr. Raibley is
currently   Senior  Vice  President  and  Controller  in  the  Individual  Asset
Management  Group of MSDW.  From July 1997 to May 1998,  Mr.  Raibley  served as
Senior Vice President and Director in the Internal Reporting  Department of MSDW
and prior to that,  from 1992 to 1997,  he served as Senior Vice  President  and
Director in the Financial  Reporting and Policy Division of Dean Witter Discover
& Co. He has been with MSDW and its  affiliates  since  June 1986.  

      Mitchell M. Merin, age 45, became a Director of Demeter on March 17, 1999.
Mr. Merin was appointed the Chief Operating Officer of Asset Management for MSDW
in December 1998 and the President and Chief Executive Officer of Morgan Stanley
Dean Witter  Advisors in February  1998. He has been an Executive Vice President
of DWR since 1990, during

<PAGE>

                                     - 35 -

which time he has been  director  of DWR's  Taxable  Fixed  Income  and  Futures
divisions,  managing director in Corporate Finance and corporate treasurer.  Mr.
Merin received his Bachelor's degree from Trinity College in Connecticut and his
M.B.A.  degree in finance and  accounting  from the Kellogg  Graduate  School of
Management of Northwestern University in 1977.

      Richard A. Beech,  age 47, became a Director of Demeter on March 17, 1999.
Mr. Beech has been  associated  with the futures  industry for over 23 years. He
has been at DWR since  August 1984 where he is presently  Senior Vice  President
and head of Branch Futures. Mr. Beech began his career at the Chicago Mercantile
Exchange,  where  he  became  the  Chief  Agricultural  Economist  doing  market
analysis,  marketing  and  compliance.  Prior to joining DWR, Mr. Beech also had
worked at two investment banking firms in Operations,  Research, Managed Futures
and Sales Management.  

      Ray Harris,  age 42,  became a Director of Demeter on March 17, 1999.  Mr.
Harris is  currently  Senior Vice  President,  Planning and  Administration  for
Morgan  Stanley  Dean  Witter  Asset  Management  and has  worked  at DWR or its
affiliates  since  July  1982,  serving  in both  financial  and  administrative
capacities.  From August 1994 to January  1999,  he worked in two  separate  DWR
affiliates,  Discover Financial Services and Novus Financial Corp.,  culminating
as Senior Vice

<PAGE>

                                     - 36 -

President.  Mr.  Harris  received  his B.A.  degree from Boston  College and his
M.B.A. in finance from the University of Chicago.

      Richard M.  DeMartini,  age 46,  previously  served as the Chairman of the
Board and as a Director of Demeter throughout 1998. Effective as of the close of
business on December 31,  1998,  Mr.  DeMartini  resigned as the Chairman of the
Board and as a Director of Demeter due to changes in his responsibilities within
MSDW.

      Lawrence Volpe,  age 51, served as a Director to Demeter  throughout 1998.
Effective as of the close of business on December 31, 1998,  Mr. Volpe  resigned
as a Director of Demeter.  

      Patti L. Behnke,  age 38,  served as Vice  President  and Chief  Financial
Officer of Demeter through May 1998. Effective June 1, 1998, Ms. Behnke resigned
as Vice President and Chief Financial Officer of Demeter in order to take on new
responsibilities as Operations Officer - Controllers  Division for MSDW, and was
replaced by Mr. Raibley.

Item 11.  EXECUTIVE COMPENSATION

      The  Partnership  has no directors  and executive  officers.  As a limited
partnership,  the business of the  Partnership  is managed by Demeter,  which is
responsible for the  administration  of the business  affairs of the Partnership
but receives no compensation for such services.

<PAGE>

                                      - 37 -

Item  12.  SECURITY  OWNERSHIP OF CERTAIN  BENEFICIAL  OWNERS AND MANAGEMENT 

      (a) Security  Ownership of Certain  Beneficial Owners - As of December 31,
1998, there were no persons known to be beneficial owners of more than 5 percent
of the Units.

      (b) Security Ownership of Management - At December 31, 1998, Demeter owned
32,126.520  Units of General  Partnership  Interest  representing a 1.12 percent
interest in the Partnership..

      (c) Changes in Control - None

Item 13.  CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

      Refer to Note 2 -  "Related  Party  Transactions"  of "Notes to  Financial
Statements",  in the accompanying Annual Report to Limited Partners for the year
ended  December 31, 1998,  incorporated  by reference in this Form 10-K.  In its
capacity as the Partnership's  retail commodity broker,  DWR received  commodity
brokerage  commissions  (paid and accrued by the  Partnership) of $1,591,467 for
the year ended December 31, 1998.

<PAGE>

                                      - 38 -

                                      PART IV

Item 14. EXHIBITS, FINANCIAL STATEMENT SCHEDULES, AND REPORTS ON FORM 8-K

(a)   1. Listing of Financial Statements

      The following financial statements and report of independent auditors, all
appearing in the  accompanying  Annual  Report to Limited  Partners for the year
ended December 31, 1998, are incorporated by reference in this Form 10-K:

      -     Report of Deloitte & Touche LLP, independent auditors, for the years
            ended December 31, 1998, 1997 and 1996.

      -     Statements of Financial Condition as of December 31, 1998 and 1997.

      -     Statements of  Operations,  Changes in Partners'  Capital,  and Cash
            Flows for the years ended December 31, 1998, 1997 and 1996.

      -     Notes to Financial Statements.

      With the exception of the  aforementioned  information and the information
incorporated in Items 7, 8 and 13, the Annual Report to Limited Partners for the
year ended December 31, 1998 is not deemed to be filed with this report.

      2.  Listing of Financial Statement Schedules

      No  financial  statement  schedules  are  required  to  be filed with this
report.

(b)   Reports on Form 8-K

      No reports on Form 8-K have been filed by the Partnership  during the last
quarter of the period covered by this report.

(c)   Exhibits

      Refer to Exhibit Index on Page E-1.

<PAGE>

                                      - 39 -

                                   SIGNATURES

      Pursuant to the  requirements  of  Sections 13 or 15(d) of the  Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.

                              DEAN WITTER SPECTRUM GLOBAL BALANCED L.P.
                                    (Registrant)

                              By:  Demeter Management Corporation,
                                   General Partner

March 25, 1999                BY: /s/ Robert E. Murray               
                                  -----------------------------------
                                      Robert E. Murray, Director and
                                      President

      Pursuant to the requirements of the Securities  Exchange Act of 1934, this
report  has  been  signed  below  by the  following  persons  on  behalf  of the
registrant and in the capacities and on the dates indicated.

Demeter Management Corporation.


BY: /s/  Robert E. Murray                                   March 25, 1999
    ----------------------------------------
         Robert E. Murray, Director and
           President

    /s/  Mark J. Hawley                                     March 25, 1999
    ----------------------------------------
         Mark J. Hawley, Director
           and Chairman of the Board

    /s/  Joseph G. Siniscalchi                              March 25, 1999
    -----------------------------------------
         Joseph G. Siniscalchi, Director


    /s/  Edward C. Oelsner III                              March 25, 1999
    ------------------------------------------
         Edward C. Oelsner III, Director

    /s/  Mitchell M. Merin                                  March 25, 1999
    ------------------------------------------
         Mitchell M. Merin, Director

    /s/  Richard A. Beech                                   March 25, 1999
    ------------------------------------------
         Richard A. Beech, Director

    /s/  Ray Harris                                         March 25, 1999 
    ------------------------------------------
         Ray Harris, Director

    /s/  Lewis A. Raibley, III                              March 25, 1999
    ------------------------------------------
         Lewis A. Raibley, III, Director, Chief
           Financial Officer and Principal
           Accounting Officer

<PAGE>

                                         - 40 -

                                  SIGNATURES

      Pursuant to the  requirements  of  Sections 13 or 15(d) of the  Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.

                              DEAN WITTER SPECTRUM GLOBAL BALANCED L.P.
                                    (Registrant)

                              BY: Demeter Management Corporation,
                                 General Partner

March 25, 1999                BY:                                  
                                  ----------------------------------
                                      Robert E. Murray, Director and
                                      President

      Pursuant to the requirements of the Securities  Exchange Act of 1934, this
report  has  been  signed  below  by the  following  persons  on  behalf  of the
registrant and in the capacities and on the dates indicated.


Demeter Management Corporation.


BY:                                                         March 25, 1999
    ----------------------------------------
         Robert E. Murray, Director and
           President

    ----------------------------------------                March 25, 1999
         Mark J. Hawley, Director
           and Chairman of the Board

   -----------------------------------------                March 25, 1999
         Joseph G. Siniscalchi, Director

   ------------------------------------------               March 25, 1999
         Edward C. Oelsner III, Director

   ------------------------------------------               March 25, 1999
         Mitchell M. Merin, Director

    -----------------------------------------               March 25, 1999
         Richard A. Beech, Director

    -----------------------------------------               March 25, 1999
         Ray Harris, Director

    -----------------------------------------               March 25, 1999
          Lewis A. Raibley, III, Director, Chief
           Financial Officer and Principal
           Accounting Officer
<PAGE>

                                         - 40 -


                                   EXHIBIT INDEX
ITEM

3.01    Form of  Amended  and  Restated  Limited  Partnership  Agreement  of the
        Partnership,  dated as of May 31, 1998, is  incorporated by reference to
        Exhibit A of the Partnership's Prospectus, dated January 21, 1999, filed
        with the Securities and Exchange  Commission  pursuant to Rule 424(b)(3)
        under the Securities Act of 1933, as amended, on January 26, 1999.

3.02    Certificate   of  Limited   Partnership,   dated  April  18,  1994,   is
        incorporated   by  reference  to  Exhibit  3.02  of  the   Partnership's
        Registration  Statement on Form S-1 (File No.  33-80146)  filed with the
        Securities and Exchange Commission on June 10, 1994.

3.03    Certificate of Amendment of Certificate  of Limited  Partnership,  dated
        April 17, 1998, is filed herewith.

10.01   Management   Agreement,   dated  as  of  November  1,  1994,  among  the
        Partnership,  Demeter  Management  Corporation,  and RXR,  Inc. is filed
        herewith.

10.02   Amended and Restated Customer  Agreement,  dated as of December 1, 1997,
        between the Partnership and Dean Witter Reynolds Inc. is filed herewith.

10.03   Customer Agreement, dated as of December 1, 1997, among the Partnership,
        Carr Futures, Inc., and Dean Witter Reynolds Inc. is filed herewith.

10.04   International  Foreign  Exchange  Master  Agreement,  dated as of August
        1,  1997,  between  the  Partnership  and  Carr  Futures,  Inc. is filed
        herewith.

10.05   Subscription and Exchange Agreement and Power of Attorney to be executed
        by each purchaser of Units is  incorporated by reference to Exhibit B of
        the  Partnership's  Prospectus  dated  January 21, 1999,  filed with the
        Securities and Exchange  Commission pursuant to Rule 424(b)(3) under the
        Securities Act of 1933, as amended, on January 26, 1999.

10.06   Escrow  Agreement,  dated  September  30, 1994,  among the  Partnership,
        Demeter Management Corporation,  Dean Witter Reynolds Inc., and Chemical
        Bank is filed herewith.

13.01   Annual Report to Limited  Partners for the year ended  December 31, 1998
        is filed herewith.