UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D.C. 20549

                                    FORM 10-K

                  ANNUAL REPORT PURSUANT TO SECTION 13 or 15(d)

                     OF THE SECURITIES EXCHANGE ACT OF 1934

                      For the year ended December 31, 2000

                        Commission File Number 333-61961


            SALOMON SMITH BARNEY GLOBAL DIVERSIFIED FUTURES FUND L.P.
             (Exact name of registrant as specified in its charter)


                               New York 13-4015586
                (State or other jurisdiction of (I.R.S. Employer
               incorporation or organization) Identification No.)

                     c/o Smith Barney Futures Management LLC
                           388 Greenwich St. - 7th Fl.
                            New York, New York 10013
              (Address and Zip Code of principal executive offices)

                                 (212) 723-5424
              (Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:  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 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 to this
form 10-K [X]

As of February 28, 2001,  Limited  Partnership  Units with an aggregate value of
$58,230,029 were outstanding and held by non-affiliates.

                       DOCUMENTS INCORPORATED BY REFERENCE
                                      None


<PAGE>




                                     PART I

Item 1. Business.
         (a) General  development  of  business.  Salomon  Smith  Barney  Global
Diversified  Futures  Fund L.P.  (the  "Partnership")  is a limited  partnership
organized under the partnership  laws of the State of New York, on June 15, 1998
to engage  in  speculative  trading  of a  diversified  portfolio  of  commodity
interests,  including  futures  contracts,  options and forwards.  The commodity
interests  that are traded by the  Partnership  are  volatile and involve a high
degree of market risk.
                A  Registration  Statement  on Form S-1  relating  to the public
offering  became  effective  on November  25,  1998.  Between  November 25, 1998
(commencement of offering  period) and February 1, 1999,  33,379 Units were sold
at $1,000 per Unit.  Proceeds of the offering were held in an escrow account and
were transferred,  along with the general partner's  contribution of $337,000 to
the  Partnership's  trading  account on  February  2, 1999 when the  Partnership
commenced  trading.  Sales of additional  Units and additional  general  partner
contributions  of Units for the periods  ended  December 31, 2000 and 1999,  and
redemptions  of Units  for the  periods  ended  December  31,  2000 and 1999 are
reported  in the  Statement  of  Partners'  Capital  on page F-6 under  "Item 8.
Financial  Statement and Supplementary  Data". The public offering terminated on
April 1, 2000.
         The  General  Partner  has  agreed to make  capital  contributions,  if
necessary, so that its general partnership interest will be equal to the greater


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<PAGE>

of (i) 1% of the partners' contributions to the Partnership or (ii) $25,000. The
Partnership  will be  liquidated  upon the  first  of the  following  to  occur:
December 31, 2018;  the net asset value of a Unit decreases to less than $400 as
of the close of any business day; or under certain  circumstances  as defined in
the Limited Partnership  Agreement of the Partnership (the "Limited  Partnership
Agreement").
     Smith  Barney  Futures  Management  LLC acts as the  general  partner  (the
"General  Partner") of the Partnership.  The  Partnership's  commodity broker is
Salomon Smith Barney Inc.  ("SSB").  SSB is an affiliate of the General Partner.
The  General  Partner is wholly  owned by Salomon  Smith  Barney  Holdings  Inc.
("SSBHI"), which is the sole owner of SSB. SSBHI is a wholly owned subsidiary of
Citigroup Inc.
     The Partnership's  trading of futures,  forwards and options contracts,  if
applicable,  on  commodities  is done on United  States of America  and  foreign
commodity  exchanges.  It engages in such trading through a commodity  brokerage
account maintained with SSB.
     As of December 31, 2000, all commodity  trading  decisions are made for the
Partnership by Campbell & Company,Inc. ("Campbell"), Eagle Trading Systems, Inc.
("Eagle"), Eckhardt Trading Company ("Eckhardt") and Rabar Market Research, Inc.
("Rabar")  (collectively,  the  "Advisors").  None of the Advisors is affiliated
with one another,  the General  Partner or SSB. The Advisors are not responsible
for the organization or operation of the Partnership.
         Pursuant to the terms of the  Management  Agreements  (the  "Management


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<PAGE>

Agreements"),  the  Partnership is obligated to pay each Advisor:  (i) a monthly
management  fee equal to 1/6 of 1% (2% per year) of month-end Net Assets (except
that  Eagle's  management  fee will be  reduced  by  Eagle's  pro rata  share of
customary and routine  administrative  expenses of the Partnership) allocated to
each  Advisor  as of the end of each  month and (ii) an  incentive  fee  payable
annually equal to 20% of the New Trading  Profits,  as defined in the Management
Agreements,  except Eagle,  which is paid an incentive fee of 23% of New Trading
Profits, earned by each Advisor for the Partnership.
         The  Partnership  has entered into a Customer  Agreement  with SSB (the
"Customer  Agreement")  which provides that the  Partnership  will pay SSB (i) a
monthly  brokerage fee equal to 9/20 of 1% of month-end Net Assets  allocated to
the  Advisors  (5.4% per year) in lieu of brokerage  commissions  on a per trade
basis. For the period from February 2, 1999 (commencement of trading operations)
to July 31, 1999,  the  Partnership  paid SSB brokerage  commissions  at $54 per
round turn for transactions entered into by Campbell.  SSB pays a portion of its
brokerage  fees to its  financial  consultants  who have sold  Units and who are
registered as associated  persons with the Commodity Futures Trading  Commission
(the "CFTC").  The Partnership  pays for National  Futures  Association  ("NFA")
fees,  exchange and  clearing  fees,  give-up and user fees and floor  brokerage
fees.  The  Customer  Agreement  between  the  Partnership  and  SSB  gives  the
Partnership the legal right to net unrealized  gains and losses.  Brokerage fees


                                       4
<PAGE>

will be paid for the life of the  Partnership,  although  the rate at which such
fees are paid may be changed.
         In addition,  SSB pays the  Partnership  interest on 80% of the average
daily  equity  maintained  in cash in its account  during each month at a 30-day
U.S.  Treasury  bill  rate  determined  weekly  by  SSB  based  on  the  average
non-competitive  yield on 3-month U.S.  Treasury  bills maturing in 30 days from
the date on which such weekly rate is determined.
         (b) Financial  information about industry  segments.  The Partnership's
business  consists  of  only  one  segment,  speculative  trading  of  commodity
interests.  The Partnership  does not engage in sales of goods or services.  The
Partnership's  net income (loss) from operations for the year ended December 31,
2000  and  for the  period  from  February  2,  1999  (commencement  of  trading
operations)  to December  31, 1999 is set forth under "Item 6. Select  Financial
Data". Partnership's capital as of December 31, 2000, was $60,030,519.
         (c) Narrative description of business.
             See Paragraphs (a) and (b) above.
            (i) through (x) - Not applicable.
            (xi) through (xii) - Not applicable.
            (xiii) - The Partnership has no employees.
         (d) Financial  Information About Geographic Areas. The Partnership does
not  engage  in sales of goods or  services  or own any long  lived  assets  and
therefore this item is not applicable.

                                       5
<PAGE>


Item 2.  Properties.
         The  Partnership  does not own or lease  any  properties.  The  General
Partner operates out of facilities provided by its affiliate, SSB.
Item 3.  Legal Proceedings.
          Salomon Smith Barney Inc,  ("SSB") is a New York  corporation with its
 principal place of business at 388 Greenwich St., New York, New York 10013. SSB
 is registered as a broker-dealer and futures commission  merchant ("FCM"),  and
 provides futures  brokerage and clearing  services for institutional and retail
 participants  in the  futures  markets.  SSB and its  affiliates  also  provide
 investment banking and other financial services for clients worldwide.
          There have been no administrative,  civil or criminal actions pending,
 on appeal or concluded  against SSB or any of its individual  principals within
 the past five  years that  management  believes  may have a material  impact on
 SSB's ability to act as an FCM. In the ordinary course of its business,  SSB is
 a party to various claims and regulatory  inquiries.  Proceedings  deemed to be
 material for purposes of CFTC disclosure requirements are:
          In  September  1992,  Harris  Trust and  Savings  Bank (as trustee for
 Ameritech Pension Trust),  Ameritech  Corporation,  and an officer of Ameritech
 sued Salomon Brothers Inc and Salomon  Brothers Realty  Corporation in the U.S.
 District  Court for the Northern  District of Illinois  (Harris  Trust  Savings
 Bank, not individually  but solely as trustee for the Ameritech  Pension Trust,
 Ameritech Corporation and John A. Edwardson v. Salomon Brothers Inc and Salomon




                                       6

<PAGE>

 Brothers  Realty  Corp.).  The  complaint  alleged that  purchases by Ameritech
 Pension  Trust from the Salomon  entities  of  approximately  $20.9  million in
 participations  in a portfolio of motels  owned by Motels of America,  Inc. and
 Best Inns, Inc. violated the Employee Retirement Income Security Act ("ERISA"),
 the Racketeer  Influenced and Corrupt  Organization Act ('RICO") and state law.
 Salomon  Brothers  Inc had  acquired  the  participations  issued  by Motels of
 America and Best Inns to finance  purchases of motel portfolios and sold 95% of
 three  such  issues  and 100% of one such  issue to  Ameritech  Pension  Trust.
 Ameritech Pension Trust's  complaint sought (1) approximately  $20.9 million on
 the ERISA  claim,  and (2) in excess of $70  million  on the RICO and state law
 claims as well as other relief.  In various  decisions  between August 1993 and
 July 1999, the courts hearing the case have dismissed all of the allegations in
 the complaint against the Salomon entities. In October 1999, Ameritech appealed
 to the U.S. Supreme Court and in January 2000, the Supreme Court agreed to hear
 the case.  An argument was heard on April 17, 2000.  The appeal seeks review of
 the  decision  of the U.S.  Court  of  Appeals  for the  Seventh  Circuit  that
 dismissed the sole remaining ERISA claim against the Salomon entities.  In June
 the Supreme Court reversed the Seventh Circuit and the matter has been remanded
 to the Trial Courts.
          Both the  Department  of Labor and the Internal  Revenue  Service have
 advised Salomon  Brothers Inc that they were or are reviewing the  transactions
 in which Ameritech Pension Trust acquired such participations.  With respect to
 the Internal  Revenue Service review,  Salomon Smith Barney  Holdings,  Salomon




                                       7

<PAGE>

 Brothers Inc and Salomon  Brothers  Realty have consented to extensions of time
 for the  assessment  of excise taxes that may be claimed to be due with respect
 to the transactions for the years 1987, 1988 and 1989.
     In December  1996, a complaint  seeking  unspecified  monetary  damages was
filed by Orange County,  California against numerous brokerage firms,  including
Salomon Smith Barney,  in the U.S.  Bankruptcy Court for the Central District of
California.  (County  of  Orange et aL v. Bear  Stearns & Co.  Inc.  et al.) The
complaint alleged,  among other things, that the brokerage firms recommended and
sold  unsuitable  securities  to Orange  County.  Salomon  Smith  Barney and the
remaining brokerage firms settled with Orange County in mid 1999.
     In June  1998,  complaints  were filed in the U.S.  District  Court for the
Eastern District of Louisiana in two actions (Board of  Liquidations,  City Debt
of the City of New  Orleans v. Smith  Barney  Inc,  et ano.  and The City of New
Orleans v. Smith Barney Inc. et ano.),  in which the City of New Orleans seeks a
determination that Smith Barney Inc. and another underwriter will be responsible
for any  damages  that the City may  incur in the  event  the  Internal  Revenue
Service  denies tax exempt  status to the City's  General  Obligation  Refunding
Bonds Series 1991.  The  complaints  were  subsequently  amended.  Salomon Smith
Barney has asked the court to dismiss the amended  complaints.  The Court denied
the motion but stayed the case. Subsequently, the city withdrew its lawsuit.
          It November  1998,  a class action  complaint  was filed in the United


                                       8

<PAGE>

 States District Court for the Middle District of Florida (Dwight Brock as Clerk
 for Collier  County v. Merrill  Lynch,  et al.).  The  complaint  alleged that,
 pursuant to a nationwide  conspiracy,  17 broker-dealer  defendants,  including
 Salomon Smith Barney,  charged  excessive  mark-ups in connection with advanced
 refunding transactions.  Among other relief, plaintiffs sought compensatory and
 punitive  damages,  restitution  and/or  rescission  of  the  transactions  and
 disgorgement of alleged excessive profits. In October 1999, the plaintiff filed
 a second amended complaint. Salomon Smith Barney has asked the court to dismiss
 the amended complaint.
          In connection with the Louisiana and Florida matters,  the IRS and SEC
 have  been  conducting  an  industry-wide  investigation  into the  pricing  of
 Treasury securities in advanced refunding  transactions.  In April 2000 SSB and
 several  other  broker-dealers  entered into a settlement  with the IRS and the
 SEC.
          In December 1998, Salomon Smith Barney was one of twenty-eight  market
 making firms that reached a settlement with the SEC in the matter titled In the
 Matter of Certain Market Making Activities on NASDAQ. As part of the settlement
 of that matter,  Salomon Smith Barney, without admitting or denying the factual
 allegations,  agreed to an order  that  required  that it: (i) cease and desist
 from  committing or causing any violations of Sections  15(c)(1) and (2) of the
 Securities Exchange Act of 1934 and Rules l5cl -2, 15c2-7 and 17a-3 thereunder,
 (ii) pay penalties totaling  approximately  $760,000,  and (iii) submit certain
 policies and procedures to an independent consultant for review.



                                       9

<PAGE>

          In March 1999, a complaint seeking in excess of $250 million was filed
 by a hedge fund and its investment  advisor against Salomon Smith Barney in the
 Supreme  Court of the State of New York,  County of New York (MKP Master  Fund,
 LDC et al. v. Salomon Smith Barney Inc.).  The complaint  included  allegations
 that,  while  acting as prime broker for the hedge fund,  Salomon  Smith Barney
 breached its contracts with  plaintiffs,  misused their monies,  and engaged in
 tortious (wrongful) conduct,  including breaching its fiduciary duties. Salomon
 Smith Barney asked the court to dismiss the complaint in full. In October 1999,
 the court  dismissed the tort claims,  including  the breach of fiduciary  duty
 claims.  The court allowed the breach of contract and misuse of money claims to
 stand, Salomon Smith Barney will continue to contest this lawsuit vigorously.
Item 4.  Submission of Matters to a Vote of Security Holders.
There were no matters  submitted to the  security  holders for a vote during the
last fiscal year covered by this report.

                                     PART II
Item 5.        Market for Registrant's Common Equity and Related Security Holder
               Matters.
          (a)  Market Information. The Partnership has issued no stock. There is
               no established public market for the Units of Limited Partnership
               Interest.
          (b)  Holders. The number of holders of Units of Limited Partnership
                  Interest as of December 31, 2000 was 2,147.



                                       10
<PAGE>

               (c)  Distribution. The Partnership did not declare a distribution
                    in 2000 and 1999.
               (d)  Use of  Proceeds.  For the period  ended  December 31, 2000,
                    there were  additional  sales of 6,266.1056  Units  totaling
                    $5,931,000  and   contributions   by  the  General   Partner
                    representing 125.4784 Unit equivalents totaling $120,000.
                    For  the  period  ended   December  31,  1999,   there  were
                    additional      sales  of    60,121.0615   Units   totaling
                    $59,480,000  and   contributions   by  the  General  Partner
                    representing  603.9704 Unit equivalents  totaling  $598,000.
                    Proceeds from the sale of  additional  Units are used in the
                    trading of commodity  interests including futures contracts,
                    options and forward contracts.

                                       11
<PAGE>


Item 6. Selected Financial Data. The Partnership commenced trading operations on
February 2, 1999.  Realized and  unrealized  trading  gains  (losses),  interest
income,  net income  (loss) and increase  (decrease) in net asset value per Unit
for the year ended  December  31, 2000 and for the period from  February 2, 1999
(commencement  of trading  operations)  to December 31, 1999 and total assets at
December 31, 2000 and 1999 were as follows:
                                                    2000               1999
                                               -------------       ------------
Realized and unrealized trading
 gains (losses) net of brokerage
 commissions and clearing fees
 of $4,029,150 and
 $3,196,873, respectively                       $    568,937       $ (3,647,829)
Interest income                                    3,075,979          2,047,606
                                                ------------       ------------
                                                $  3,644,916       $ (1,600,223)
                                                ============       ============
Net income (loss)                               $  1,661,004       $ (3,252,858)
                                                ============       ============
Increase (decrease) in net asset
 value per Unit                                 $      59.57       $     (49.05)
                                                ============       ============
Total assets                                    $ 61,705,880       $ 89,065,209
                                                ============       ============


Item 7.         Management's Discussion and Analysis of Financial Condition and
                Results of Operations.
         (a)    Liquidity.  The  Partnership  does not engage in sales of  goods
or services.  Its only assets are its equity in its  commodity  futures  trading
account,  consisting of cash, net unrealized appreciation (depreciation) on open
positions and interest  receivable.  Because of the low margin deposits normally
required in commodity  trading,  relatively  small price movements may result in
substantial  losses to the Partnership.  Such substantial losses could lead to a




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<PAGE>

material decrease in liquidity.  To minimize this risk, the Partnership  follows
certain policies including:
         (1)  Partnership  funds are invested only in commodity  interests which
are traded in sufficient volume to permit, in the opinion of the Advisors,  ease
of taking and liquidating positions.
         (2)  The   Partnership   diversifies   its   positions   among  various
commodities.
         (3) No Advisor initiates  additional positions in any commodity if such
additional  positions  would result in aggregate  positions for all  commodities
requiring as margin more than 66-2/3% of the  Partnership's  assets allocated to
the Advisor.
          (4) The Partnership may  occasionally  accept delivery of a commodity.
Unless such  delivery is disposed  of  promptly  by  retendering  the  warehouse
receipt  representing  the  delivery  to the  appropriate  clearing  house,  the
physical commodity position will be fully hedged.
         (5) The  Partnership  will not employ the  trading  technique  commonly
known as  "pyramiding",  in which the  speculator  uses  unrealized  profits  on
existing positions as margin for the purchase or sale of additional positions in
the same or related commodities.
         (6) The  Partnership  will not  utilize  borrowings  except  short-term
borrowings if the Partnership takes delivery of any cash commodities.
         (7) The Advisor may, from time to time, employ trading  strategies such
as spreads or  straddles  on behalf of the  Partnership.  The term  "spread"  or
straddle"   describes  a  commodity  futures  trading  strategy   involving  the



                                       13

<PAGE>

simultaneous  buying and selling of futures  contracts on the same commodity but
involving different delivery dates or markets and in which the trader expects to
earn a profit from a widening or narrowing of the difference  between the prices
of the two contracts.
         The  Partnership  is party to financial  instruments  with  off-balance
sheet risk, including derivative financial  instruments and derivative commodity
instruments,  in the normal course of its business.  These financial instruments
may  include  forwards,  futures  and  options,  whose  value is  based  upon an
underlying  asset,  index,  or reference  rate, and generally  represent  future
commitments to exchange  currencies or cash flows,  or to purchase or sell other
financial  instruments  at specified  terms at specified  future dates.  Each of
these  instruments  is subject to various risks similar to those relating to the
underlying financial  instruments  including market and credit risk. The General
Partner monitors and controls the  Partnership's  risk exposure on a daily basis
through   financial,   credit  and  risk  management   monitoring  systems  and,
accordingly  believes  that  it has  effective  procedures  for  evaluating  and
limiting the credit and market risks to which the  Partnership is subject.  (See
also  Item  8.  Financial   Statements  and  Supplementary   Data,  for  further
information  on  financial  instrument  risk  included in the notes to financial
statements).
         Other than the risks  inherent in commodity  trading,  the  Partnership
knows of no trends,  demands,  commitments,  events or uncertainties  which will
result  in or  which  are  reasonably  likely  to  result  in the  Partnership's



                                       14
<PAGE>

liquidity  increasing or decreasing in any material way. The Limited Partnership
Agreement  provides the Partnership will cease trading  operations and liquidate
all open positions  upon the first to occur of the  following:  (i) December 31,
2018; (ii) the vote to dissolve the Partnership by limited  partners owning more
than 50% of the Units;  (iii)  assignment  by the General  Partner of all of its
interest in the  Partnership  or  withdrawal,  removal,  bankruptcy or any other
event that causes the General Partner to cease to be a general partner under the
New York Revised Limited  Partnership Act unless the Partnership is continued as
described in the Limited  Partnership  Agreement;  (iv) Net Asset Value per Unit
falls to less than $400 as of the end of any trading day; or (v) the  occurrence
of any event which shall make it unlawful for the  existence of the  Partnership
to be continued.
         (b)  Capital  resources. (i)  The  Partnership  has  made  no  material
commitments  for  capital expenditures.
         (ii) The Partnership's capital consists of the capital contributions of
the partners as increased or decreased by gains or losses on commodity  trading,
and by expenses,  interest  income,  redemptions of Units and  distributions  of
profits,  if any.  Gains or losses on  commodity  trading  cannot be  predicted.
Market moves in commodities are dependent upon fundamental and technical factors
which the Partnership may or may not be able to identify.  Partnership  expenses
will consist of, among other things, commissions,  management fees and incentive
fees.  The level of these  expenses is dependent upon the level of trading gains


                                       15

<PAGE>

or losses and the  ability of the  Advisors to identify  and take  advantage  of
price movements in the commodity markets, in addition to the level of net assets
maintained.  In  addition,  the  amount of  interest  income  payable  by SSB is
dependent upon interest rates over which the Partnership has no control.
         No  forecast  can be made as to the level of  redemptions  in any given
period.  A limited  partner may cause all or some of his Units to be redeemed by
the  Partnership at the Redemption  value per Unit thereof as of the last day of
any month ending at least three months after such Units have been issued, on ten
days' notice to the General Partner. No fee is charged for redemptions.  For the
year  ended  December  31,  2000,   38,567.0884  Units  were  redeemed  totaling
$34,769,993.  For the year  ended  December  31,  1999,  2,862.0307  Units  were
redeemed  totaling  $2,754,634.  Redemption/subscription  value per Unit differs
from net asset value per Unit  calculated  for financial  reporting  purposes in
that the  accrued  liability  for  reimbursement  of offering  and  organization
expenses for the Initial Offering Period will not be included in the calculation
of redemption/subscription value per Unit.
         Offering and organization expenses of approximately $700,000,  relating
to the issuance and marketing of the Partnership's  Units offered were initially
paid by SSB.  These costs are being  reimbursed to SSB by the  Partnership in 24
equal monthly  installments  (together with interest at the prime rate quoted by
J. P. Morgan Chase & Co.).



                                       16
<PAGE>

     For the periods  ended  December 31, 2000 and 1999,  $362,024 and $297,315,
respectively, of these costs have been reimbursed to SSB, by the Partnership.
     In addition, the Partnership has recorded interest expense of $19,111
and  $40,947,  respectively,  for the year ended  December  31, 2000 and for the
period ended December 31, 1999, which is included in other expenses.
     The remaining liability for these costs due to SSB of $40,661
(exclusive of interest  charges) will not reduce  redemption/subscription  value
per Unit for any purpose (other than financial reporting), including calculation
of advisory and brokerage fees.
     The Partnership's public offering terminated on April 1, 2000. For the year
ended  December  31,  2000,  there were  additional  sales of  6,266.1056  Units
totaling  $5,931,000  and  contributions  by the  General  Partner  representing
125.4784 Units equivalents  totaling  $120,000.  For the year ended December 31,
1999, there were additional sales of 60,121.0615 Units totaling  $59,480,000 and
contributions  by the General  Partner  representing  603.9704 Unit  equivalents
totaling $598,000.
         (c)       Results of Operations.
                   For the year ended December 31, 2000, the Net Asset Value per
Unit increased  6.3% from $950.95 to $1,010.52.  For the period from February 2,
1999  (commencement  of trading  operations) to December 31, 1999, the Net Asset


                                       17
<PAGE>

Value per Unit decreased  4.9% from $1,000 to $950.95.  There were no operations
for the year ended December 31, 1998.
                   The  Partnership  experienced net trading gains of $4,598,087
before commissions and expenses for the year ended December 31, 2000. Gains were
primarily attributable to the trading of currencies,  energy products,  U.S. and
non- U.S.  interest  rates and  livestock  and were  partially  offset by losses
recognized in grains, indices, metals and softs.
                   The  Partnership  experienced  net trading losses of $450,956
before  commissions  and  expenses for the year ended  December 31, 1999.  These
losses  were  primarily  attributable  to the  trading  of  currencies,  metals,
livestock,  softs and non-U.S. interest rates and were partially offset by gains
recognized in the trading of indices,  grains,  U.S.  interest  rates and energy
products.
                  Commodity   markets   are   highly   volatile.   Broad   price
fluctuations  and rapid  inflation  increase  the risks  involved  in  commodity
trading,  but also increase the possibility of profit.  The profitability of the
Partnership  depends on the  existence  of major price trends and the ability of
the  Advisor  to  identify  those  price  trends  correctly.  Price  trends  are
influenced  by, among other things,  changing  supply and demand  relationships,
weather, governmental, agricultural, commercial and trade programs and policies,
national and international political and economic events and changes in interest
rates.  To the  extent  that  market  trends  exist and the  Advisor  is able to
identify them, the Partnership expects to increase capital through operations.



                                       18
<PAGE>

         (d)      Operational Risk
                  The Partnership is directly  exposed to market risk and credit
risk, which arise in the normal course of its business activities. Slightly less
direct, but of critical importance, are risks pertaining to operational and back
office  support.  This is  particularly  the  case  in a  rapidly  changing  and
increasingly  global  environment  with  increasing  transaction  volumes and an
expansion  in the number and  complexity  of products in the  marketplace.  Such
risks  include:
Operational/Settlement  Risk - the risk of financial  and  opportunity  loss and
legal liability attributable to operational problems, such as inaccurate pricing
of transactions,  untimely trade execution,  clearance and/or settlement, or the
inability to process large volumes of  transactions.  The Partnership is subject
to increased  risks with respect to its trading  activities  in emerging  market
securities,  where clearance,  settlement, and custodial risks are often greater
than in more established markets.
Technological Risk - the risk of loss attributable to technological  limitations
or hardware failure that constrain the Partnership's ability to gather, process,
and communicate information efficiently and securely, without interruption, with
customers,  among units  within the  Partnership,  and in the markets  where the
Partnership   participates.
Legal/Documentation  Risk - the risk of loss attributable to deficiencies in the
documentation  of  transactions  (such  as  trade  confirmations)  and  customer
relationships (such as master netting agreements) or

                                       19
<PAGE>

errors  that  result in  noncompliance  with  applicable  legal  and  regulatory
requirements.
Financial  Control  Risk - the  risk  of loss  attributable  to  limitations  in
financial  systems and controls.  Strong  financial  systems and controls ensure
that assets are safeguarded,  that  transactions are executed in accordance with
management's   authorization,   and  that  financial   information  utilized  by
management and  communicated to external  parties,  including the  Partnership's
unitholder, creditors, and regulators, is free of material errors.
Item 7A. Quantitative and Qualitative Disclosures About Market
         Risk
Introduction
         The Partnership is a speculative  commodity pool. The market  sensitive
instruments held by it are acquired for speculative trading purposes, and 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 main line of business.
         Market movements result in frequent changes in the fair market value of
the  Partnership's  open positions and,  consequently,  in its earnings and cash
flow. The Partnership's  market risk is influenced by a wide variety of factors,
including the level and volatility of interest  rates,  exchange  rates,  equity
price  levels,  the market value of financial  instruments  and  contracts,  the


                                       20
<PAGE>

diversification results among the Partnership's open positions and the liquidity
of the markets in which it trades.
         The  Partnership  rapidly  acquires and liquidates  both long and short
positions in a wide range of different markets. Consequently, it is not possible
to predict how a particular future market scenario will affect performance,  and
the Partnership's  past performance is not necessarily  indicative of its future
results.
         Value at Risk is a measure of the maximum amount which the  Partnership
could  reasonably  be expected to lose in a given market  sector.  However,  the
inherent uncertainty of the Partnership's speculative trading and the recurrence
in the markets  traded by the  Partnership  of market  movements  far  exceeding
expectations could result in actual trading or non-trading losses far beyond the
indicated Value at Risk or the Partnership's  experience to date (i.e., "risk of
ruin").  In  light  of the  foregoing  as well as the  risks  and  uncertainties
intrinsic  to all  future  projections,  the  inclusion  of  the  quantification
included in this section should not be considered to constitute any assurance or
representation  that the  Partnership's  losses  in any  market  sector  will be
limited to Value at Risk or by the  Partnership's  attempts to manage its market
risk.
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


                                       21
<PAGE>

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 (such as the terms of  particular  contracts  and the number of market risk
sensitive instruments held during or at the end of the reporting period).
         The Partnership's risk exposure in the various market sectors traded by
the  Advisor  is  quantified  below  in  terms  of  Value  at  Risk.  Due to the
Partnership's  mark-to-market  accounting,  any  loss in the  fair  value of the
Partnership's open positions is directly reflected in the Partnership's earnings
(realized and unrealized).
         Exchange   maintenance  margin  requirements  have  been  used  by  the
Partnership as the measure of its Value at Risk. Maintenance margin requirements
are set by exchanges to equal or exceed the maximum losses  reasonably  expected
to be incurred in the fair value of any given contract in 95%-99% of any one-day
intervals.  The  maintenance  margin  levels  are  established  by  dealers  and
exchanges  using  historical  price  studies as well as an assessment of current
market  volatility  (including the implied  volatility of the options on a given
futures contract) and economic fundamentals to provide a probabilistic  estimate
of the maximum expected near-term one-day price fluctuation.  Maintenance margin
has been used rather than the more generally  available initial margin,  because
initial margin  includes a credit risk component  which is not relevant to Value
at Risk.



                                       22
<PAGE>

         In the case of market  sensitive  instruments  which  are not  exchange
traded  (almost  exclusively  currencies  in the case of the  Partnership),  the
margin requirements for the equivalent futures positions have been used as Value
at  Risk.  In those  rare  cases in  which a  futures-equivalent  margin  is not
available, dealers' margins have been used.
         The fair value of the Partnership's  futures and forward positions does
not have any  optionality  component.  However,  certain of the  Advisors  trade
commodity options. The Value at Risk associated with options is reflected in the
following  table  as the  margin  requirement  attributable  to  the  instrument
underlying each option. Where this instrument is a futures contract, the futures
margin,   and   where   this   instrument   is   a   physical   commodity,   the
futures-equivalent  maintenance  margin  has  been  used.  This  calculation  is
conservative in that it assumes that the fair value of an option will decline by
the same  amount as the fair value of the  underlying  instrument,  whereas,  in
fact,  the fair values of the options  traded by the  Partnership  in almost all
cases fluctuate to a lesser extent than those of the underlying instruments.
         In  quantifying  the   Partnership's   Value  at  Risk,  100%  positive
correlation  in the  different  positions  held in each market risk category has
been  assumed.  Consequently,  the margin  requirements  applicable  to the open
contracts have simply been added to determine each trading category's  aggregate
Value at Risk.  The  diversification  effects  resulting  from the fact that the


                                       23
<PAGE>

Partnership's positions are rarely, if ever, 100% positively correlated have not
been reflected.

                                       24
<PAGE>


The Partnership's Trading Value at Risk in Different Market Sectors
         The following table indicates the trading Value at Risk associated with
the Partnership's open positions by market category as of December 31, 2000. All
open position  trading risk exposures of the  Partnership  have been included in
calculating  the  figures  set  forth  below.  As  of  December  31,  2000,  the
Partnership's total capitalization was $60,030,519.
                                                     December 31, 2000
<TABLE>
<CAPTION>
<S>                                               <C>              <C>      <C>             <C>
                                                                                   Year to Date
                                                                % of Total      High       Low
Market Sector                                 Value at Risk   Capitalization   Value at Risk
---------------------------------------------------------------------------------------------------
Currencies
- Exchange Traded Contracts                     $  285,253        0.47%  $1,124,041     $  150,110
- OTC Contracts                                    502,070        0.84%   1,664,379        502,070
Energy                                             739,200        1.23%   1,456,600        240,000
Grains                                             219,530        0.37%     386,550         22,100
Interest rates U.S.                                677,900        1.13%   1,400,289        152,800
Interest rates Non-U.S                           2,498,304        4.16%   3,502,840        861,314
Metals (Exchange Traded and  OTC Contracts)        228,175        0.38%     946,825        143,475
Softs                                               22,600        0.04%     259,150         22,600
Livestock                                           15,120        0.02%      35,700            700
Indices                                            671,389        1.12%   2,341,542        448,309
                                                ----------     ----------
Total                                           $5,859,541        9.76%
                                                 ==========     ==========
</TABLE>


                                       25
<PAGE>


As of December 31, 1999, the Partnership's total capitalization was $87,088,508.
                                           December 31, 1999
<TABLE>
<CAPTION>
<S>                                                <C>            <C>       <C>              <C>
                                                                                Year to Date
                                                            % of Total      High           Low
Market Sector                            Value at Risk   Capitalization   Value at Risk  Value at Risk
------------------------------------------------------------------------------------------------------

Currencies
- Exchange Traded Contracts                    $  822,857        0.94%  $1,021,552     $  334,359
- OTC Contracts                                   558,527        0.64%   1,002,296        558,527
Energy                                            573,400        0.66%   1,312,030        142,600
Grains                                            185,580        0.21%     245,800        104,800
Interest rates U.S.                               596,952        0.69%   1,006,783        163,525
Interest rates Non-U.S                          1,576,125        1.81%   2,040,413        555,670
Metals (Exchange Traded and OTC Contracts)        747,900        0.86%   1,004,400        409,300
Softs                                             149,600        0.18%     185,450         38,100
Livestock                                          12,000        0.01%      32,800          1,600
Indices                                         1,787,970        2.05%   2,717,417        718,894
                                              ----------     ----------
Total                                          $7,010,911        8.05%
                                               ==========     ==========
</TABLE>




                                       26
<PAGE>


Material 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  maintenance margin  requirement  (margin
requirements  generally range between 2% and 15% of contract face value) as well
as many  times the  capitalization  of the  Partnership.  The  magnitude  of the
Partnership's  open  positions  creates a "risk of ruin" not typically  found in
most other investment  vehicles.  Because of the size of its positions,  certain
market  conditions -- unusual,  but historically  recurring from time to time --
could cause the  Partnership to incur severe losses over a short period of time.
The  foregoing  Value at Risk  table -- as well as the past  performance  of the
Partnership -- give no indication of this "risk of ruin." Non-Trading Risk
         The  Partnership  has  non-trading  market  risk  on its  foreign  cash
balances not needed for margin.  However,  these balances (as well as any market
risk they represent) are immaterial.
         Materiality  as used in this  section,  "Qualitative  and  Quantitative
Disclosures About Market Risk," 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.

                                       27
<PAGE>



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 the  General  Partner  and the  Advisors  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 management  strategies of the Partnership.
There can be no assurance that the Partnership's  current market exposure and/or
risk  management  strategies  will  not  change  materially  or  that  any  such
strategies will be effective in either the short- or long- term.
Investors must be prepared to lose all or substantially  all of their investment
in the Partnership.
         The  following   were  the  primary   trading  risk  exposures  of  the
Partnership as of December 31, 2000, by market sector.


                                       28
<PAGE>

         Interest Rates.  Interest rate risk is the principal market exposure of
the  Partnership.  Interest  rate  movements  directly  affect  the price of the
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 on the government debt of
smaller nations -- e.g.,  Australia.  The General Partner  anticipates  that G-7
interest rates will remain the primary market  exposure of the  Partnership  for
the foreseeable future.
         Currencies.  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's  major exposures have typically
been in the  dollar/yen,  dollar/Swiss  franc and  dollar/pound  positions.  The
General Partner does not anticipate  that the risk profile of the  Partnership's
currency sector will change  significantly  in the future.  The currency trading
Value at Risk figure includes foreign margin amounts converted into U.S. dollars



                                       29
<PAGE>

with an incremental adjustment to reflect the exchange rate risk inherent to the
dollar-based  Partnership in expressing  Value at Risk in a functional  currency
other than dollars.

     Stock Indices. 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, 2000, the
Partnership's  primary  exposures were in the LIFFE  (England),  Nikkei (Japan),
EUREX (German) and SFE (Australian) 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  make  it  difficult  for the  Partnership  to  avoid  being
"whipsawed" into numerous small losses.)
     Metals. The Partnership's  primary metal market exposure is to fluctuations
in the price of gold and silver.  Although  the  Advisor  will from time to time
trade base  metals  such as  aluminum,  copper  and tin,  the  principal  market
exposures of the Partnership have consistently been in the precious metals, gold
and silver. The General Partner anticipates that gold and silver will remain the
primary  metals market  exposure for the  Partnership.
Qualitative  Disclosures Regarding Non-Trading Risk Exposure
     The following were the only  non-trading  risk exposures of the Partnership
as of December 31, 2000.
     Foreign  Currency  Balances.  The  Partnership's  primary foreign  currency
balances are in Japanese yen, Euro dollar, British pounds and Australian dollar.
The  Advisor  regularly  converts  foreign  currency  balances  to dollars in an
attempt to control the Partnership's non-trading risk.



                                       30
<PAGE>

Qualitative Disclosures Regarding Means of Managing Risk Exposure
         The General  Partner  monitors  and  controls  the  Partnership's  risk
exposure  on a  daily  basis  through  financial,  credit  and  risk  management
monitoring systems and accordingly believes that it has effective procedures for
evaluating and limiting the credit and market risks to which the  Partnership is
subject.
         The General  Partner  monitors the  Partnership's  performance  and the
concentration  of its open positions,  and consults with the Advisor  concerning
the Partnership's overall risk profile. If the General Partner felt it necessary
to do so, the General  Partner could require the Advisor to close out individual
positions  as  well  as  enter  certain   positions  traded  on  behalf  of  the
Partnership. However, any such intervention would be a highly unusual event. The
General  Partner  primarily  relies on the Advisor's  own risk control  policies
while maintaining a general  supervisory  overview of the  Partnership's  market
risk exposures.
         The Advisor  applies its own risk  management  policies to its trading.
The Advisor often  follows  diversification  guidelines,  margin limits and stop
loss points to exit a position.  The Advisor's research of risk management often
suggests ongoing modifications to its trading programs.
         As part of the General  Partner's risk management,  the General Partner
periodically  meets with the Advisor to discuss its risk  management and to look
for  any  material  changes  to the  Advisor's  portfolio  balance  and  trading


                                       31
<PAGE>

techniques.  The  Advisor  is  required  to notify  the  General  Partner of any
material changes to its programs.
                                       32
<PAGE>


Item 8.   Financial Statements and Supplementary Data.




            SALOMON SMITH BARNEY GLOBAL DIVERSIFIED FUTURES FUND L.P.
                          INDEX TO FINANCIAL STATEMENTS


                                                             Page
                                                             Number

Oath or Affirmation                                          F-2

Report of Independent Accountants                            F-3

Financial Statements:
Statement of Financial Condition at
December 31, 2000 and 1999                                   F-4

Statement  of Income  and  Expenses  for the year  ended
December 31, 2000 and for the period from February
2,1999 (commencement of trading operations)
to December 31, 1999                                         F-5

Statement  of  Partners'  Capital  for  the  year  ended
December  31, 2000 and for the period from June 15, 1998
(date Partnership was organized) to
December 31, 1999                                            F-6

Notes to Financial Statements                             F-7 -F-11














                                       F-1




<PAGE>




                           To The Limited Partners of
            Salomon Smith Barney Global Diversified Futures Fund L.P.

To the best of the  knowledge  and belief of the  undersigned,  the  information
contained herein is accurate and complete.






By:  Daniel A. Dantuono, Chief Financial Officer
     Smith Barney Futures Management LLC
     General Partner, Salomon Smith Barney
       Global Diversified Futures Fund L.P.

Smith Barney Futures Management LLC
388 Greenwich Street
7th Floor
New York, N.Y. 10013
212-723-5424







                                       F-2

<PAGE>



                        Report of Independent Accountants

To the Partners of
   Salomon Smith Barney Global Diversified Futures Fund L.P.:

In our  opinion,  the  accompanying  statement of  financial  condition  and the
related  statements  of income and  expenses and of  partners'  capital  present
fairly, in all material respects, the financial position of Salomon Smith Barney
Global  Diversified  Futures  Fund L.P.  at  December  31, 2000 and 1999 and the
results of its  operations  for the year ended  December 31, 2000 and the period
from June 15, 1998 (date  Partnership  was  organized)  to December 31, 1999, in
conformity with accounting principles generally accepted in the United States of
America.  These financial statements are the responsibility of the management of
the  General  Partner;  our  responsibility  is to  express  an opinion on these
financial  statements  based on our  audits.  We  conducted  our audits of these
financial statements in accordance with auditing standards generally accepted in
the United  States of America,  which require that we plan and perform the audit
to obtain reasonable  assurance about whether the financial  statements are free
of material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and  disclosures in the financial  statements,  assessing
the accounting  principles used and significant estimates made by the management
of  the  General  Partner,   and  evaluating  the  overall  financial  statement
presentation.  We believe  that our audits  provide a  reasonable  basis for our
opinion.

PricewaterhouseCoopers LLP
New York, New York
March 9, 2001


                                      F-3
<PAGE>



                              Salomon Smith Barney
                      Global Diversified Futures Fund L.P.
                        Statement of Financial Condition
                           December 31, 2000 and 1999
<TABLE>
<CAPTION>
<S>                                                                             <C>                 <C>
                                                                                 2000               1999
    Assets:
        Equity in commodity futures trading account:
           Cash (Note 3c)                                                    $57,456,373         $85,369,042
           Net unrealized appreciation on open positions                       4,014,095           3,293,682
           Commodity options owned, at market value (cost $0 and
        $242,328 in 2000 and 1999, respectively)                                      --             105,484
                                                                           -------------       -------------
                                                                              61,470,468          88,768,208
        Interest receivable                                                      235,412             297,001
                                                                           -------------       -------------
                                                                             $61,705,880         $89,065,209
                                                                           -------------       ------------

    Liabilities and Partners' Capital:
    Liabilities:
      Accrued expenses:
       Commissions                                                              $282,116            $411,280
       Management fees                                                           104,534             147,997
       Incentive fees                                                            596,159             213,409
       Professional fees                                                          55,635             173,740
       Other                                                                       4,134              30,222
     Due SSB (Note 6)                                                             65,004             434,877
     Redemptions payable (Note 5)                                                567,779             565,176
                                                                           -------------       -------------
                                                                               1,675,361           1,976,701
                                                                           -------------       -------------
    Partners' capital (Notes 1, 5 and 7):
      General Partner, 1,067.4488 and 941.9704 Unit equivalents
       outstanding in 2000 and 1999, respectively                              1,078,678             895,767
      Limited Partners, 58,338.0480 and 90,639.0308 Units of Limited
       Partnership Interest outstanding in 2000 and 1999, respectively        58,951,841          86,192,741
                                                                           -------------       -------------
                                                                              60,030,519          87,088,508
                                                                             $61,705,880         $89,065,209
                                                                            -------------       ------------
</TABLE>

See notes to financial statements.

                                      F-4
<PAGE>


                              Salomon Smith Barney
                      Global Diversified Futures Fund L.P.
                        Statement of Income and Expenses
                      for the year ended December 31, 2000
                    and for the period from February 2, 1999
                      (commencement of trading operations)
                              to December 31, 1999

<TABLE>
<CAPTION>
<S>                                                            <C>            <C>
                                                               2000           1999
 Income:
  Net gain (loss) on trading of commodity interests:
   Realized gains (losses) on closed positions             $ 3,740,830    $(3,607,794)
   Change in unrealized gains on open positions                857,257      3,156,838
                                                           -----------    -----------
                                                             4,598,087       (450,956)
   Less, Brokerage commissions including clearing fees
    of $101,456 and $87,226 in 2000 and 1999,
    respectively (Note 3c)                                  (4,029,150)    (3,196,873)
                                                           -----------    -----------
  Net realized and unrealized gains (losses)                   568,937     (3,647,829)
  Interest income (Notes 3c)                                 3,075,979      2,047,606
                                                           -----------    -----------
                                                             3,644,916     (1,600,223)
                                                           -----------    -----------
Expenses:
  Management fees (Note 3b)                                  1,380,183      1,119,609
  Incentive fees (Note 3b)                                     534,071        213,409
  Professional fees                                             52,350        235,716
  Other expenses                                                17,308         83,901
                                                           -----------    -----------
                                                             1,983,912      1,652,635
                                                           -----------    -----------
Net gain (loss)                                            $ 1,661,004    $(3,252,858)
                                                           -----------    -----------
Net gain (loss) per Unit of Limited Partnership Interest
  and General Partner Unit equivalent (Notes 1 and 7)      $     54.65    $    (39.44)
                                                           -----------    -----------
</TABLE>


See notes to financial statements.

                                      F-5
<PAGE>


                              Salomon Smith Barney
                      Global Diversified Futures Fund L.P.
                         Statement of Partners' Capital
                      for the year ended December 31, 2000
                      and for the period from June 15, 1998
                        (date Partnership was organized)
                              to December 31, 1999


<TABLE>
<CAPTION>
<S>                                                 <C>                   <C>               <C>
                                                   Limited              General
                                                   Partners             Partner             Total
Initial capital contributions                          $1,000              $1,000             $2,000
Proceeds from  offering  of 33,379  Units of
   Limited  Partnership  Interest  and
   General Partner's contribution representing
   337 Unit equivalents (Note 1)                   33,379,000             337,000         33,716,000
Offering and organization costs (Note 6)             (693,000)             (7,000)          (700,000)
                                                -------------       -------------      -------------
Opening Partnership capital for operations         32,687,000             331,000         33,018,000
Net loss                                           (3,219,625)            (33,233)        (3,252,858)
Sale of 60,121.0615 Units of Limited
  Partnership Interest and General Partner's
  contribution representing 603.9704 Unit
  equivalents                                      59,480,000             598,000         60,078,000
Redemption of 2,862.0307 Units of Limited
  Partnership Interest                             (2,754,634)                 --         (2,754,634)
                                                -------------       -------------      -------------
Partners' capital at December 31, 1999             86,192,741             895,767         87,088,508
Net income                                          1,598,093              62,911          1,661,004
Sale of 6,266.1056 Units of Limited
  Partnership Interest and General Partner's
  contribution representing 125.4784 Unit
  equivalents                                       5,931,000             120,000          6,051,000
Redemption of 38,567.0884 Units of Limited
  Partnership Interest                            (34,769,993)                 --        (34,769,993)
                                                -------------       -------------      -------------
Partners' capital at December 31, 2000            $58,951,841          $1,078,678        $60,030,519
                                                 -------------       ------------       ------------
</TABLE>

See notes to financial statements.


                                      F-6

<PAGE>


                              Salomon Smith Barney
                      Global Diversified Futures Fund L.P.
                          Notes to Financial Statements


1.  Partnership Organization:

Salomon Smith Barney Global Diversified Futures Fund L.P. (the "Partnership") is
a limited partnership organized under the laws of the State of New York, on June
15,  1998 to  engage  in  speculative  trading  of a  diversified  portfolio  of
commodity  interests,  including futures  contracts,  options and forwards.  The
commodity  interests that are traded by the Partnership are volatile and involve
a high degree of market risk.

Between November 25, 1998  (commencement of the offering period) and February 1,
1999, 33,379 Units of Limited Partnership Interest ("Units") were sold at $1,000
per Unit.  The proceeds of the initial  offering were held in an escrow  account
until  February 2, 1999, at which time they were turned over to the  Partnership
for trading.  The  Partnership  was  authorized to sell 100,000 Units of Limited
Partnership  Interest  ("Units") during its offering period which ended November
25, 2000.

Smith Barney Futures  Management  LLC acts as the general  partner (the "General
Partner") of the  Partnership.  The  Partnership's  commodity  broker is Salomon
Smith  Barney Inc.  ("SSB").  SSB is an affiliate  of the General  Partner.  The
General Partner is wholly owned by Salomon Smith Barney Holdings Inc. ("SSBHI"),
which is the sole owner of SSB. SSBHI is a wholly owned  subsidiary of Citigroup
Inc.

The General  Partner and each limited partner share in the profits and losses of
the  Partnership  in proportion to the amount of  partnership  interest owned by
each  except  that no limited  partner  shall be liable for  obligations  of the
Partnership in excess of his initial capital  contribution and profits,  if any,
net of distributions.

The  Partnership  will be liquidated  upon the first to occur of the  following:
December 31, 2018;  the net asset value of a Unit decreases to less than $400 as
of a close of any business day; or under certain other  circumstances as defined
in the Limited Partnership Agreement.

2.  Accounting Policies:

    a. All commodity interests (including  derivative financial  instruments and
       derivative  commodity  instruments)  are used for trading  purposes.  The
       commodity  interests  are recorded on trade date and open  contracts  are
       recorded in the  statement  of  financial  condition at fair value on the
       last business day of the year,  which  represents  market value for those
       commodity  interests for which market  quotations are readily  available.
       Investments in commodity interests  denominated in foreign currencies are
       translated into U.S. dollars at the exchange rates prevailing on the last
       business  day of  the  year.  Realized  gains  (losses)  and  changes  in
       unrealized  values on  commodity  interests  and foreign  currencies  are
       recognized  in the period in which the  contract is closed or the changes
       occur and are  included  in net gains  (losses)  on trading of  commodity
       interests.

    b. The  partnership  may purchase and write (sell)  options.  An option is a
       contract  allowing,  but not requiring,  its holder to buy (call) or sell
       (put) a specific or  standard  commodity  or  financial  instrument  at a
       specified price during a specified time period. The option premium is the
       total  price  paid or  received  for the option  contract.  When the fund
       writes an option,  the premium received is recorded as a liability in the
       statement of financial  condition  and marked to market  daily.  When the
       fund purchases an option, the premium paid is recorded as an asset in the
       statement of financial condition and marked to market daily.

    c. Income  taxes have not been  provided  as each  partner is  individually
       liable for the taxes,  if any,  on his share of the  Partnership's income
       and expenses.


                                      F-7
<PAGE>



    d. The  preparation  of financial  statements in conformity  with  generally
       accepted accounting  principles requires management to make estimates and
       assumptions that affect the reported amounts of 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 these estimates.

3.  Agreements:

    a. Limited Partnership Agreement:

       The  General  Partner   administers  the  business  and  affairs  of  the
       Partnership  including  selecting  one or more  advisors to make  trading
       decisions for the Partnership.

    b. Management Agreement:

       The General  Partner,  on behalf of the  Partnership,  has entered into a
       Management Agreement with Campbell & Company,  Inc.  ("Campbell"),  Eagle
       Trading Systems,  Inc. ("Eagle"),  Eckhardt Trading Company  ("Eckhardt")
       and Rabar Market Research, Inc. ("Rabar") (collectively, the "Advisors"),
       registered  commodity trading  advisors.  The Advisors are not affiliated
       with one another,  are not affiliated with the General Partner or SSB and
       are not responsible for the organization or operation of the Partnership.
       The Partnership  will pay each Advisor a monthly  management fee equal to
       1/6 of 1% (2% a year) of month-end  Net Assets  allocated to the Advisor.
       In  addition,  the  Partnership  is  obligated  to pay  each  Advisor  an
       incentive fee payable  annually equal to 20% of the New Trading  Profits,
       as defined in the Management  Agreements,  earned by each Advisor for the
       Partnership, except for Eagle, which will receive an incentive fee of 23%
       of New Trading Profits.

    c. Customer Agreement:

       The Partnership has entered into a Customer Agreement which provides that
       the Partnership will pay SSB a monthly  brokerage fee equal to 9/20 of 1%
       (5.4% per year) of month-end Net Assets, in lieu of brokerage commissions
       on a per trade basis. For the period from February 2, 1999  (commencement
       of  trading  operations)  to July  31,  1999,  the  Partnership  paid SSB
       brokerage commissions at $54 per round turn for transactions entered into
       by Campbell.  SSB will pay a portion of brokerage  fees to its  financial
       consultants who have sold Units in this Partnership.  Brokerage fees will
       be paid for the life of the Partnership,  although the rate at which such
       fees are paid  may be  changed.  The  Partnership  will pay for  National
       Futures Association ("NFA") fees, exchange,  clearing,  user, give-up and
       floor  brokerage fees. All of the  Partnership's  assets are deposited in
       the Partnership's  account at SSB. The Partnership's cash is deposited by
       SSB in  segregated  bank  accounts to the extent  required  by  Commodity
       Futures Trading  Commission  regulations.  At December 31, 2000 and 1999,
       the  amount of cash  held for  margin  requirements  was  $6,632,240  and
       $7,885,066, respectively. SSB will pay the Partnership interest on 80% of
       the average daily equity  maintained  in cash in its account  during each
       month at a 30-day U.S.  Treasury bill rate determined weekly by SSB based
       on the  average  noncompetitive  yield on  3-month  U.S.  Treasury  bills
       maturing  in 30  days  from  the  date  on  which  such  weekly  rate  is
       determined.  The Customer Agreement between the Partnership and SSB gives
       the Partnership the legal right to net unrealized  gains and losses.  The
       Customer Agreement may be terminated upon notice by either party.


                                      F-8
<PAGE>



4.  Trading Activities:

    The Partnership was formed for the purpose of trading contracts in a variety
    of commodity  interests,  including  derivative  financial  instruments  and
    derivative  commodity  interests.  The results of the Partnership's  trading
    activity are shown in the statement of income and expenses.

    All of the  commodity  interests,  owned  by the  Partnership,  are held for
    trading purposes. The average fair value during the years ended December 31,
    2000  and  1999,  based  on  a  monthly  calculation,   was  $2,261,410  and
    $1,447,941,  respectively.  The fair  value of  these  commodity  interests,
    including options thereon, if applicable, at December 31, 2000 and 1999, was
    $4,014,095 and $3,399,166, respectively as detailed below.




                                                       Fair Value

                                              December 31,   December 31,
                                                  2000         1999
Currencies:
 -Exchange Traded Contracts               $      402,730    $   286,131
 -OTC Contracts                                  (58,165)      (383,900)
Energy                                           231,736        276,537
Grains                                            12,073        (14,942)
Interest Rates U.S.                            1,818,863        803,746
Interest Rates Non-U.S                         1,883,836        306,279
Livestock                                        (13,400)       (10,200)
Metals (Exchange Traded and OTC Contracts)      (392,256)       594,978
Softs                                             24,344          1,657
Indices                                          104,334      1,538,880
                                             -----------    -----------
Total                                        $ 4,014,095    $ 3,399,166
                                             -----------    -----------

5.  Distributions and Redemptions:

    Distributions of profits, if any, will be made at the sole discretion of the
    General  Partner  and at such  times  as the  General  Partner  may  decide.
    Beginning  with the first full month  ending at least three months after the
    commencement  of trading,  a limited  partner may require the Partnership to
    redeem his Units at their  Redemption value per unit as of the last day of a
    month  on 10 days  notice  to the  General  Partner.  For the  purpose  of a
    redemption,   any  accrued  liability  for  reimbursement  of  offering  and
    organization  expenses  for the  Initial  Offering  Period  will not  reduce
    Redemption  value per Unit.  There is no fee charged to limited  partners in
    connection with redemptions.

6.  Offering and Organization Costs:

    Offering and organization expenses of approximately $700,000 relating to the
    issuance and marketing of the  Partnership's  Units  offered were  initially
    paid by SSB. These costs are being  reimbursed to SSB by the  Partnership in
    24 equal  monthly  installments  (together  with  interest at the prime rate
    quoted by J.P. Morgan Chase & Co.).


                                      F-9
<PAGE>



    For the periods  ended  December 31, 2000 and 1999,  $362,024 and  $297,315,
respectively, of these costs have been reimbursed to SSB, by the Partnership.

    In addition,  the Partnership has recorded interest expense of $19,111 and
    $40,947,  respectively,  for  the  year ended December 31, 2000 and  for the
    period ended December 31, 1999 which is included in other expenses.

    The  remaining  deferred  liability  for these  costs due to SSB of  $40,661
    (exclusive  of  interest  charges)  will not reduce  redemption/subscription
    value per Unit for any purpose (other than financial  reporting),  including
    calculation of advisory and brokerage fees.

  7.   Net Asset Value Per Unit:

    Changes  in the net asset  value  per Unit of  Partnership interest for the
    year  ended  December  31, 2000 and for the  period  from  February 2, 1999
   (commencement of trading operations) to December 31, 1999 were as follows:


<TABLE>
<CAPTION>
<S>                                                             <C>         <C>
                                                                2000         1999

Net realized and unrealized gains (losses)               $      40.86 $     (43.11)
Interest income                                                 43.07        32.26
Expenses                                                       (29.28)      (28.59)
                                                             ---------    ---------
Increase (decrease) for period                                  54.65       (39.44)
Net asset value per Unit, beginning of period                  950.95     1,000.00
Offering and organization cost adjustment                         --        (20.76)
Redemption/subscription value per Unit
 versus net asset value per Unit                                 4.92        11.15
                                                             ---------    ---------
Net asset value per Unit, end of period                  $   1,010.52 $     950.95
                                                            ---------    ---------
Redemption/subscription value per Unit, end of period*   $   1,011.21 $     956.34
                                                             ---------    ---------
</TABLE>



    *For the purpose of a  redemption/subscription,  any remaining liability for
     reimbursement  of  offering  and  organization  expenses  will  not  reduce
     redemption/subscription value per unit.

8.  Financial Instrument Risks:

    The Partnership is party to financial  instruments  with  off-balance  sheet
    risk, including  derivative  financial  instruments and derivative commodity
    instruments,   in  the  normal  course  of  its  business.  These  financial
    instruments may include forwards,  futures and options, whose value is based
    upon an underlying asset,  index, or reference rate, and generally represent
    future  commitments to exchange  currencies or cash flows, or to purchase or
    sell other  financial  instruments  at specific  terms at  specified  future
    dates,  or,  in the  case of  derivative  commodity  instruments,  to have a
    reasonable  possibility to be settled in cash,  through physical delivery or
    with another  financial  instrument.  These  instruments may be traded on an
    exchange  or  over-the-counter  ("OTC").  Exchange  traded  instruments  are
    standardized and include futures and certain option contracts. OTC contracts
    are negotiated between  contracting parties and include forwards and certain
    options.  Each of these  instruments  is subject to various risks similar to
    those related to the underlying financial  instruments  including market and
    credit risk. In general, the risks associated with OTC contracts are greater
    than  those  associated  with  exchange  traded  instruments  because of the
    greater risk of default by the counterparty to an OTC contract.

                                      F-10
<PAGE>

    Market  risk is the  potential  for  changes  in the value of the  financial
    instruments  traded  by the  Partnership  due to market  changes,  including
    interest and foreign  exchange rate movements and  fluctuations in commodity
    or security prices.  Market risk is directly  impacted by the volatility and
    liquidity in the markets in which the related underlying assets are traded.

    Credit risk is the possibility that a loss may occur due to the failure of a
    counterparty  to perform  according to the terms of a contract.  Credit risk
    with respect to exchange traded instruments is reduced to the extent that an
    exchange or clearing organization acts as a counterparty to the transactions
    (see  table  in Note  4).  The  Partnership's  risk of loss in the  event of
    counterparty  default is typically limited to the amounts  recognized in the
    statement  of financial  condition  and not  represented  by the contract or
    notional  amounts of the  instruments.  The  Partnership has credit risk and
    concentration  risk because the sole  counterparty or broker with respect to
    the Partnership's assets is SSB.

    The General Partner monitors and controls the Partnership's risk exposure on
    a daily  basis  through  financial,  credit and risk  management  monitoring
    systems,  and  accordingly  believes  that it has effective  procedures  for
    evaluating and limiting the credit and market risks to which the Partnership
    is  subject.   These  monitoring   systems  allow  the  General  Partner  to
    statistically  analyze actual trading results with risk adjusted performance
    indicators  and  correlation  statistics.  In addition,  on-line  monitoring
    systems provide account analysis of futures,  forwards and options positions
    by sector,  margin  requirements,  gain and loss transactions and collateral
    positions.

    The   notional  or   contractual   amounts  of  these   instruments,   while
    appropriately not recorded in the financial  statements,  reflect the extent
    of the Partnership's involvement in these instruments. The majority of these
    instruments mature within one year of December 31, 2000. However, due to the
    nature of the Partnership's  business,  these instruments may not be held to
    maturity.

9.  Subsequent Events:

    On January  31, 2001 there were  additional  redemptions  of 205.2005  Units
    totaling $208,691.

    Eagle Trading Systems, Inc. was terminated as an Advisor to the Partnership
    on March 1, 2001.




                                      F-11


<PAGE>


Item 9.       Changes in and Disagreements with Accountants on Accounting
              and Financial Disclosure.
              During the last fiscal year and any subsequent  interim period, no
independent  accountant who was engaged as the principal accountant to audit the
Partnership's financial statements has resigned or was dismissed.

                                    PART III
Item 10.       Directors and Executive Officers of the Registrant.
               The Partnership has no officers or directors and its affairs  are
managed by its General Partner,  Smith Barney Futures Management LLC. Investment
decisions will be made by the Advisors
Item 11. Executive Compensation.
                  The Partnership has no directors or officers.  Its affairs are
managed by Smith Barney Futures  Management  LLC, its General  Partner.  SSB, an
affiliate of the General  Partner,  is the commodity  broker for the Partnership
and receives brokerage  commissions for such services,  as described under "Item
1. Business." Brokerage  commissions and clearing fees of $4,029,150 were earned
by SSB for the year ended December 31, 2000.  Management fees and incentive fees
of $1,380,183  and $534,071,  respectively,  were earned by the Advisors for the
year ended December 31, 2000.

                                       33
<PAGE>


Item 12.         Security Ownership of Certain Beneficial Owners and Management.
            (a). Security ownership of certain beneficial owners.
The  Partnership  knows of no person who  beneficially  owns more than 5% of the
Units outstanding.
          (b). Security ownership of management.  Under the terms of the Limited
Partnership  Agreement,  the  Partnership's  affairs  are managed by the General
Partner.  The  General  Partner  owns  Units  of  general  partnership  interest
equivalent  to 1,067.4488  Units of Limited  Partnership  Interest  (1.8%) as of
December 31, 2000.
         (c).  Changes in control.   None.
Item 13.  Certain Relationship and Related Transactions.
          Salomon Smith Barney Inc. and  Smith  Barney  Futures  Management  LLC
would be considered  promoters  for purposes of item 404 (d) of Regulation  S-K.
The nature and the amounts of  compensation  each promoter will receive from the
Partnership  are  set  forth  under  "Item  1.  Business",  "Item  8.  Financial
Statements and Supplementary Data." and "Item 11. Executive Compensation."

                                     PART IV
Item 14.  Exhibits, Financial Statement Schedules, and Reports on Form 8-K.
         (a) (1)  Financial Statements:
                  Statement of  Financial  Condition at December 31, 2000
                  and 1999.
                  Statement  of Income  and  Expenses  for the year ended
                  December 31, 2000 and the period from  February 2, 1999
                  (commencement  of trading  operations)  to December 31,
                  1999. Statement of Partners' Capital for the year ended
                  December 31, 2000 and for the period from June 15, 1998
                  (date Partnership was organized to December 31, 1999.


                                       34
<PAGE>

                    (2)  Financial Statement Schedules:  Financial Data Schedule
                         for the year ended December 31, 2000.
                    (3) Exhibits:
                    3.1  - Limited  Partnership  Agreement (filed as Exhibit 3.1
                         to the  Registration  Statement  on Form S-1  (File No.
                         333-61961 and incorporated herein by reference).
                    3.2  - Certificate of Limited Partnership of the Partnership
                         as filed in the office of the Secretary of State of the
                         State of New York on June 15,  1998  (filed as  Exhibit
                         3.2 to the Registration Statement on Form S-1 (File No.
                         333-61961) and incorporated herein by reference).
                    10.1-Customer  Agreement between the Partnership and Salomon
                         Smith Barney (filed as Exhibit 10.1 to the Registration
                         Statement  on  Form  S-1  (File  No.   333-61961)   and
                         incorporated herein by reference).
                    10.3-Escrow Instructions  relating to escrow of subscription
                         funds  (filed  as  Exhibit  10.3  to  the  Registration
                         Statement  on  Form  S-1  (File  No.   333-61961)   and
                         incorporated herein by reference).




                                       35
<PAGE>

                    10.5-Management   Agreement  among  the   Partnership,   the
                         General Partner and Campbell & Company,  Inc. (filed as
                         Exhibit 10.5 to the Registration  Statement on Form S-1
                         (File  No.   333-61961)  and  incorporated   herein  by
                         reference)
                    10.6-Management Agreement among the Partnership, the General
                         Partner  and  Eagle  Trading  Systems,  Inc.  (filed as
                         Exhibit 10.6 to the Registration  Statement on Form S-1
                         (File  No.   333-61961)  and  incorporated   herein  by
                         reference).
                    10.7-Management Agreement among the Partnership, the General
                         Partner and Eckhardt  Trading Company (filed as Exhibit
                         10.7 to the  Registration  Statement  on Form S-1 (File
                         No. 333-61961) and incorporated herein by reference)
                    10.8-Management   Agreement  among  the   Partnership,   the
                         General  Partner and Rabar  Market  Research  (filed as
                         Exhibit 10.8 to the Registration  Statement on Form S-1
                         (File  No.   333-61961)  and  incorporated   herein  by
                         reference)
                    10.9-Letter extending Management  Agreements with Campbell &
                         Company,  Inc., Eagle Trading Systems,  Inc.,  Eckhardt
                         Trading  Company  and Rabar  Market  Research  for 1999
                         (previously filed).




                                       36
<PAGE>


                    10.10- Letter extending Management Agreements with Campbell
                           &  Company,   Inc.,  Eagle  Trading  Systems,   Inc.,
                           Eckhardt  Trading  Company and Rabar Market  Research
                           for 2000 (filed herein).
                (b) Reports on 8-K:   None Filed.

                                       37
<PAGE>


                                   SIGNATURES

         Pursuant to the  requirements  of Section 13 or 15(d) of the Securities
Exchange Act of 1934,  the Registrant has duly caused this annual report on Form
10-K to be signed on its behalf by the  undersigned,  thereunto duly authorized,
in the City of New York and State of New York on the 30th day of March 2001.


SMITH BARNEY GLOBAL DIVERSIFIED FUTURES FUND L.P.


By:      Smith Barney Futures Management LLC
         (General Partner)



By       /s/  David J. Vogel
         David J. Vogel, President & Director


         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
this annual report on Form 10-K has been signed below by the  following  persons
in the capacities and on the date indicated.


/s/ David J. Vogel                          /s/ Jack H. Lehman III
David J. Vogel                              Jack H. Lehman III
Director, Principal Executive               Chairman and Director
Officer and President



/s/ Michael R. Schaefer                     /s/  Daniel A. Dantuono
Michael R. Schaefer                         Daniel A. Dantuono
Director                                    Treasurer, Chief Financial
Officer and Director



/s/ Daniel R. McAuliffe, Jr.                /s/ Steve J. Keltz
Daniel R. McAuliffe, Jr.                    Steve J. Keltz
Director                                    Secretary and Director




/s/   Shelley Ullman
Shelley Ullman
                                       38