UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
 WASHINGTON, D.C. 20549
 FORM 10-K
 þ
    
    ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the fiscal year ended December 31, 2010
 OR
 o
    
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the transition period from  to
 Commission File Number 0-22491
 DIVERSIFIED MULTI-ADVISOR FUTURES FUND L.P. II
 
 New York
    
    13-3769020(State or other jurisdiction of 
incorporation or organization)
    
    (I.R.S. Employer
Identification No.)
 c/o Ceres Managed Futures LLC
522 Fifth Avenue  14th Floor
New York, New York 10036
   (212) 559-2011
 Securities registered pursuant to Section 12(b) of the Act: NoneSecurities registered pursuant to Section 12(g) of the Act:
    
    Redeemable Units of Limited Partnership Interest(Title of Class)
  Yes o No þ
  Yes o No þ
  Yes þ No o
  Yes o No o
 þ
  Large accelerated filer o
Accelerated filer oNon-accelerated filer þ(Do not check if a smaller reporting company)Smaller reporting company o  Yes o No þ




---



##### 



PART I
 
 Item 1. Business .
 General Development of Business
 Financial Statements and Supplementary Data
  Finanical Statements and
Supplementary Data
    2




---



##### 



3




---



##### 



Financial Information about Industry Segments Selected
Financial Data
 Narrative Description of Business.
   4




---



##### 



Financial Information about Geographic Areas
 Available Information
 Reports to Security Holders
 Enforceability of Civil Liabilities Against Foreign Persons
 Smaller Reporting Companies
 Item 1A. Risk Factors .
 As a result of leverage, small changes in the price of the Partnerships positions may result
in major losses.
  An investor may lose all of its investment.
  The Partnership will pay substantial fees and expenses regardless of profitability.
  An investors ability to redeem or transfer  units is limited.
  Conflicts of interest exist.
  1.
    
    The General Partner and the Partnerships/Funds commodity broker are affiliates;2.
    
    Each of the Advisors, the Partnerships/Funds commodity broker and their principals and affiliates may
trade in commodity interests for their own accounts; and3.
    
    An investors financial advisor will receive ongoing compensation for providing
services to the investors account.
 Investing in units might not provide the desired diversification of an investors overall
portfolio.
  5




---



##### 



Past performance is no assurance of future results.
  An investors tax liability may exceed cash distributions.
  The General Partner may allocate the Partnerships assets to undisclosed advisors.
  Regulatory changes could restrict the Partnerships operations.
  Speculative
position and trading limits may reduce profitability.
  Item 2. Properties .
  Item 3. Legal Proceedings .
    Credit-Crisis-Related Litigation and Other Matters
  Subprime Mortgage-Related Litigation and Other Matters
      Item 4. [ Removed and Reserved]
 6




---



##### 



PART II
 Item 5. Market for Registrants Common Equity, Related Stockholder Matters and Issuer
Purchases of Equity Securities .
 (a)
    
    Market Information. The Partnership has issued no stock. There is no public
market for the Redeemable Units.(b)
    
    Holders. The number of holders of Redeemable Units as of December 31, 2010 was
1,083.(c)
    
    Dividends. The Partnership did not declare a distribution in 2010 or 2009. The
Partnership does not intend to declare distributions in the foreseeable future.(d)
    
    Securities Authorized for Issuance under Equity Compensation Plans. None.(e)
    
    Performance Graph. Not applicable.(f)
    
    Recent Sales of Unregistered Securities; Use of Proceeds
from Registered Securities. There were no additional sales of
Redeemable Units during the twelve months ended December 31, 2010, 2009 and 2008.(g)
    
    Purchase of Equity Securities by the Issuer and Affiliated Purchasers.
  (d) Maximum Number(c) Total Number
    
    
    (or Approximate Dollarof Redeemable Units
    
    
    Value) of Redeemable(a) Total Number
    
    
    (b) Average
    
    
    Purchased as Part of
    
    
    Units that May Yet Beof Redeemable Units
    
    
    Price Paid per
    
    
    Publicly Announced
    
    
    Purchased Under thePeriod
    
    Purchased*
    
    
    Redeemable Unit**
    
    
    Plans or Programs
    
    
    Plans or ProgramsOctober 1, 2010  October 31, 2010
    
    
    123.0376
    
    
    $
    1566.40
    
    
    
    N/A
    
    
    
    N/ANovember 1, 2010  November 30, 2010
    
    
    143.0815
    
    
    $
    1,520.67
    
    
    
    N/A
    
    
    
    N/ADecember 1, 2010  December 31, 2010
    
    
    128.2037
    
    
    $
    1,586.41
    
    
    
    N/A
    
    
    
    N/A394.3228
    
    
    $
    1,556.31
 
 *
    
    Generally, limited partners are permitted to redeem their Redeemable Units as of the last day
of each month on three business days notice to the General Partner. Under certain
circumstances, the General Partner can compel redemption, although to date the General Partner has
not exercised this right. Purchases of Redeemable Units by the Partnership reflected in the
chart above were made in the ordinary course of the Partnerships business in connection with
effecting redemptions for limited partners.**
    
    Redemptions of Redeemable Units are effected as of the last day of each month at the net
asset value per Redeemable Unit as of that day. No fee will be charged for redemptions. 7




---



##### 



Item 6. Selected Financial Data .
  2010
    
    
    2009
    
    
    2008
    
    
    2007
    
    
    2006Net realized and unrealized trading gains
(losses) and investment in Funds net of
brokerage fees (including clearing fees) of
$1,925,364,  $2,563,903, $3,078,391, $3,463,859 and $3,924,799, respectively
    
    $
    (1,786,962
    )
    
    $
    (1,773,665
    )
    
    $
    6,859,644
    
    
    $
    2,568,991
    
    
    $
    1,287,348Total interest income
    
    
    24,123
    
    
    
    27,089
    
    
    
    487,555
    
    
    
    1,744,958
    
    
    
    2,080,286$
    (1,762,839
    )
    
    $
    (1,746,576
    )
    
    $
    7,347,199
    
    
    $
    4,313,949
    
    
    $
    3,367,634Net income (loss)
    
    $
    (2,548,820
    )
    
    $
    (2,993,465
    )
    
    $
    5,721,768
    
    
    $
    2,911,097
    
    
    $
    1,567,049Increase (decrease) in net asset value per unit
    
    $
    (138.16
    )
    
    $
    (142.43
    )
    
    $
    215.30
    
    
    $
    92.67
    
    
    $
    42.26net asset value per unit
    
    $
    1,586.41
    
    
    $
    1,724.57
    
    
    $
    1,867.00
    
    
    $
    1,651.70
    
    
    $
    1,559.03Total assets
    
    $
    26,226,763
    
    
    $
    32,598,591
    
    
    $
    45,718,234
    
    
    $
    49,039,808
    
    
    $
    53,906,145
 Item 7. Managements Discussion and Analysis of Financial Condition and Results of
Operations .
 Overview
    
    
    due diligence examinations of the Advisors;
    
    selection, appointment and termination of the Advisors;
    
    negotiation of the Management Agreements; and
    
    monitoring the activity of the Advisors.
   8




---



##### 



Capital Fund Management SA
  Graham Capital Management, L.P
     9




---



##### 



Willowbridge Associates, Inc
           Eckhardt Trading Company
  10




---



##### 



not
 SandRidge Capital, L.P.
     CMF Willowbridge Argo Master Fund
 Currencies
    
    
    17.8
    %Energy
    
    
    18.7
    %Grains
    
    
    8.9
    %Interest Rates Non-U.S.
    
    
    16.7
    %Interest Rates U.S.
    
    
    8.1
    %Livestock
    
    
    0.6
    %Metals
    
    
    18.3
    %Softs
    
    
    10.9
    %
 CMF
Graham Capital Master Fund L.P.
 Currencies
    
    
    35.9
    %Energy
    
    
    6.4
    %Grains
    
    
    3.1
    %Interest Rates Non-U.S.
    
    
    13.5
    %Interest Rates U.S.
    
    
    7.5
    %Indices
    
    
    22.9
    %Livestock
    
    
    0.4
    %Metals
    
    
    6.8
    %Softs
    
    
    3.5
    %
 CMF SandRidge Master L.P.
 Energy
    
    
    100.0
    %
 11




---



##### 



CMF Eckhardt Master Fund L.P.
 Currencies
    
    
    16.3
    %Energy
    
    
    11.6
    %Grains
    
    
    9.9
    %Indices
    
    
    16.8
    %Interest Rates Non-U.S.
    
    
    15.1
    %Interest Rates U.S.
    
    
    16.7
    %Metals
    
    
    9.3
    %Softs
    
    
    4.3
    %
  CMF Capital Fund Management Master Fund L.P.
 Currencies
    
    
    21.4
    %Energy
    
    
    5.8
    %Grains
    
    
    2.5
    %Indices
    
    
    35.3
    %Interest Rates Non-U.S.
    
    
    16.4
    %Interest Rates U.S.
    
    
    13.0
    %Livestock
    
    
    0.2
    %Metals
    
    
    3.3
    %Softs
    
    
    2.1
    %
 Liquidity
   (i)
    
    The Partnership/Funds invests their assets only in commodity interests that an
Advisor believes are traded in sufficient volume to permit ease of taking and liquidating
positions. Sufficient volume, in this context, refers to a level of liquidity that the
Advisors believe will permit it to enter and exit trades without noticeably moving the
market.(ii)
    
    An Advisor will initiate additional positions in any commodity interest if these
positions would result in aggregate positions requiring a margin of more than 66 2/3% of
the Partnerships net assets allocated to that Advisor.(iii)
    
    The Partnership/Funds 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 clearinghouse, the physical commodity position is fully
hedged.(iv)
    
    The Partnership/Funds will not employ the trading technique commonly known as
pyramiding, in which the speculator uses unrealized profits on existing positions as
margin for the purchases or sale of additional positions in the same or related
commodities.(v)
    
    The Partnership/Funds will not utilize borrowings, other than short-term
borrowings, if the Partnership takes delivery of any cash commodities.(vi)
    
    The Advisors may, from time to time, employ trading strategies such as spreads or
straddles on behalf of the Partnership/Funds. Spreads and Straddles describe commodity
futures trading strategies involving the simultaneous buying and selling of futures
contracts on the same commodity but involving different delivery dates or markets.
 12




---



##### 



(vii)
    
    The Partnership/Funds will not permit the churning of its commodity trading
account. The term churning refers to the practice of entering and exiting trades with a
frequency unwarranted by legitimate efforts to profit from the
trades, indicating the
desire to generate commission income.
 i.e.
      Financial Statements and Supplementary Data
  13




---



##### 



Capital Resources
    Results of Operations
  Financial Statements and Supplementary Data.
   14




---



##### 



15




---



##### 



Off-balance Sheet Arrangements
 Contractual Obligations
 Operational Risk
  16




---



##### 



Operational/Settlement Risk
 Technological
Risk
 Legal/Documentation Risk
 Financial Control Risk
 Critical Accounting Policies
 Partnerships
and the Funds Investments.
 Partnerships and the Funds Fair Value Measurements.
    17




---



##### 



Futures Contracts.
 London Metals Exchange Forward Contracts.
 Forward Foreign Currency Contracts.
  Options.
 18




---



##### 



Item 7A. Quantitative and Qualitative Disclosures About Market Risk .
 Introduction
       Quantifying the Partnerships/Funds Trading Value at Risk
   19




---



##### 



The Partnerships Trading Value at Risk in Different Market Sectors
   20




---



##### 



Market Sector
    
    Value at Risk
    
    
    % of Total
CapitalizationCurrencies
    
    $
    648,426
    
    
    
    2.51%Energy
    
    
    532,001
    
    
    
    2.06%Grains
    
    
    158,953
    
    
    
    0.63%Indices
    
    
    326,903
    
    
    
    1.27%Interest Rates U.S.
    
    
    665,373
    
    
    
    2.58%Interest Rates Non-U.S.
    
    
    250,133
    
    
    
    0.97%Livestock
    
    
    77,288
    
    
    
    0.30%Metals
    
    
    180,045
    
    
    
    0.70%Softs
    
    
    84,111
    
    
    
    0.33%Total
    
    $
    2,923,233
    
    
    
    11.35%
  % of TotalMarket Sector
    
    Value at Risk
    
    
    CapitalizationCurrencies
    
    $
    451,206
    
    
    
    1.41
    %Energy
    
    
    291,723
    
    
    
    0.92
    %Grains
    
    
    96,877
    
    
    
    0.30
    %Indices
    
    
    837,049
    
    
    
    2.62
    %Interest Rates U.S.
    
    
    371,264
    
    
    
    1.16
    %Interest Rates Non-U.S.
    
    
    336,573
    
    
    
    1.05
    %Livestock
    
    
    2,723
    
    
    
    0.01
    %Metals
    
    
    231,949
    
    
    
    0.73
    %Softs
    
    
    159,070
    
    
    
    0.50
    %Total
    
    $
    2,778,434
    
    
    
    8.70
    %
  December 31, 2010
 % of Total
    
    
    High
    
    
    Low
    
    
    AverageMarket Sector
    
    Value at Risk
    
    
    Capitalization
    
    
    Value at Risk
    
    
    Value at Risk
    
    
    Value at Risk*Currencies
    
    $
    146,900
    
    
    
    0.57
    %
    
    $
    500,141
    
    
    $
    27,947
    
    
    
    147,542Energy
    
    
    10,437
    
    
    
    0.04
    %
    
    
    174,316
    
    
    
    3,750
    
    
    
    55,610Grains
    
    
    14,220
    
    
    
    0.06
    %
    
    
    44,329
    
    
    
    5,130
    
    
    
    21,009Indices
    
    
    642,967
    
    
    
    2.50
    %
    
    
    3,274,371
    
    
    
    65,971
    
    
    
    498,257Interest Rates U.S.
    
    
    88,450
    
    
    
    0.34
    %
    
    
    276,200
    
    
    
    6,486
    
    
    
    140,566Interest Rates Non -U.S.
    
    
    73,656
    
    
    
    0.30
    %
    
    
    482,956
    
    
    
    23,301
    
    
    
    226,827Livestock
    
    
    1,000
    
    
    
    0.00
    %**
    
    
    11,300
    
    
    
    250
    
    
    
    2,108Metals
    
    
    21,750
    
    
    
    0.08
    %
    
    
    53,496
    
    
    
    4,000
    
    
    
    21,239Softs
    
    
    4,500
    
    
    
    0.01
    %
    
    
    47,938
    
    
    
    4,144
    
    
    
    16,710Total
    
    $

1,003,880
    
    
    
    3.90
    %
 21




---



##### 



*
    
    Annual average based on month-end Value at Risk.**
    
    Due to rounding  22




---



##### 



December 31, 2009
 % of Total
    
    
    High
    
    
    Low
    
    
    AverageMarket Sector
    
    Value at Risk
    
    
    Capitalization
    
    
    Value at Risk
    
    
    Value at Risk
    
    
    Value at Risk*Currencies
    
    $
    94,350
    
    
    
    0.30
    %
    
    $
    924,240
    
    
    $
    48,092
    
    
    $
    299,825Energy
    
    
    19,200
    
    
    
    0.06
    %
    
    
    468,290
    
    
    
    10,460
    
    
    
    128,320Grains
    
    
    10,500
    
    
    
    0.03
    %
    
    
    67,500
    
    
    
    5,500
    
    
    
    22,427Indices
    
    
    434,578
    
    
    
    1.36
    %
    
    
    1,192,715
    
    
    
    6,456
    
    
    
    222,172Interest Rates U.S.
    
    
    100,650
    
    
    
    0.32
    %
    
    
    2,038,884
    
    
    
    8,800
    
    
    
    490,455Interest Rates Non -U.S.
    
    
    111,381
    
    
    
    0.35
    %
    
    
    687,893
    
    
    
    3,443
    
    
    
    194,858Metals
    
    
    3,500
    
    
    
    0.01
    %
    
    
    33,249
    
    
    
    709
    
    
    
    8,795Softs
    
    
    1,500
    
    
    
    0.00
    %**
    
    
    118,770
    
    
    
    1,500
    
    
    
    35,313Total
    
    $
    775,659
    
    
    
    2.43
    %
 
 *
    
    Annual average based on month-end Value at Risk.**
    
    Due to rounding.  December 31, 2010
 % of Total
    
    
    High
    
    
    Low
    
    
    AverageMarket Sector
    
    Value at Risk
    
    
    Capitalization
    
    
    Value at Risk
    
    
    Value at Risk
    
    
    Value at Risk*Currencies
    
    $
    2,232,591
    
    
    
    1.03
    %
    
    $
    7,096,121
    
    
    $
    940,854
    
    
    $
    3,547,819Energy
    
    
    2,742,900
    
    
    
    1.27
    %
    
    
    6,539,400
    
    
    
    460,750
    
    
    
    2,570,821Grains
    
    
    2,062,750
    
    
    
    0.95
    %
    
    
    3,762,750
    
    
    
    207,200
    
    
    
    1,238,276Interest Rates U.S.
    
    
    774,255
    
    
    
    0.36
    %
    
    
    3,269,700
    
    
    
    243,600
    
    
    
    1,143,161Interest Rates Non-U.S.
    
    
    1,908,692
    
    
    
    0.88
    %
    
    
    5,489,653
    
    
    
    289,858
    
    
    
    2,700,503Livestock
    
    
    112,000
    
    
    
    0.05
    %
    
    
    171,200
    
    
    
    44,800
    
    
    
    92,018Metals
    
    
    3,791,000
    
    
    
    1.75
    %
    
    
    5,643,396
    
    
    
    710,500
    
    
    
    2,729,785Softs
    
    
    2,024,400
    
    
    
    0.94
    %
    
    
    3,388,150
    
    
    
    198,000
    
    
    
    1,542,246Total
    
    $
    15,648,588
    
    
    
    7.23
    %
 
 *
    
    Annual average based on month-end Value at Risk  December 31, 2009
 % of Total
    
    
    High
    
    
    Low
    
    
    AverageMarket Sector
    
    Value at Risk
    
    
    Capitalization
    
    
    Value at Risk
    
    
    Value at Risk
    
    
    Value at Risk*Currencies
    
    $
    5,974,364
    
    
    
    2.58
    %
    
    $
    14,208,480
    
    
    $
    1,008,000
    
    
    $
    7,206,662Energy
    
    
    2,116,000
    
    
    
    0.92
    %
    
    
    13,037,019
    
    
    
    391,000
    
    
    
    5,515,268Grains
    
    
    1,058,000
    
    
    
    0.46
    %
    
    
    5,919,480
    
    
    
    259,875
    
    
    
    2,320,519Interest Rates U.S.
    
    
    1,959,945
    
    
    
    0.85
    %
    
    
    9,939,105
    
    
    
    280,500
    
    
    
    2,836,425Interest Rates Non-U.S.
    
    
    3,403,449
    
    
    
    1.47
    %
    
    
    14,168,324
    
    
    
    455,649
    
    
    
    4,852,602Metals
    
    
    3,968,558
    
    
    
    1.72
    %
    
    
    8,372,754
    
    
    
    1,909,575
    
    
    
    3,799,612Softs
    
    
    2,725,100
    
    
    
    1.18
    %
    
    
    3,202,100
    
    
    
    237,900
    
    
    
    1,531,645Total
    
    $
    21,205,416
    
    
    
    9.18
    %
 
 *
    
    Annual average based on month-end Value at Risk  23




---



##### 



December 31, 2010
 % of Total
    
    
    High
    
    
    Low
    
    
    AverageMarket Sector
    
    Value at Risk
    
    
    Capitalization
    
    
    Value at Risk
    
    
    Value at Risk
    
    
    Value at Risk*Currencies
    
    $
    6,192,975
    
    
    
    3.67
    %
    
    $
    11,364,239
    
    
    
    996,231
    
    
    
    5,226,199Energy
    
    
    1,048,521
    
    
    
    0.62
    %
    
    
    1,989,347
    
    
    
    236,269
    
    
    
    1,000,222Grains
    
    
    448,450
    
    
    
    0.26
    %
    
    
    964,687
    
    
    
    124,875
    
    
    
    411,118Indices
    
    
    5,301,813
    
    
    
    3.14
    %
    
    
    13,726,706
    
    
    
    1,137,775
    
    
    
    5,507,221Interest Rates U.S.
    
    
    161,600
    
    
    
    0.10
    %
    
    
    2,021,410
    
    
    
    68,806
    
    
    
    1,014,515Interest Rates Non-U.S.
    
    
    1,209,918
    
    
    
    0.72
    %
    
    
    4,305,447
    
    
    
    749,055
    
    
    
    2,006,426Livestock
    
    
    40,000
    
    
    
    0.02
    %
    
    
    106,400
    
    
    
    800
    
    
    
    50,304Metals
    
    
    1,012,127
    
    
    
    0.60
    %
    
    
    1,771,142
    
    
    
    494,357
    
    
    
    993,963Softs
    
    
    258,565
    
    
    
    0.15
    %
    
    
    1,144,148
    
    
    
    85,988
    
    
    
    385,351Total
    
    $
    15,673,969
    
    
    
    9.28
    %
 
 *
    
    Annual average based on month-end Value at Risk  December 31, 2009
 % of Total
    
    
    High
    
    
    Low
    
    
    AverageMarket Sector
    
    Value at Risk
    
    
    Capitalization
    
    
    Value at Risk
    
    
    Value at Risk
    
    
    Value at Risk*Currencies
    
    $
    2,410,532
    
    
    
    1.41
    %
    
    $
    8,136,447
    
    
    $
    833,881
    
    
    $
    4,612,528Energy
    
    
    684,083
    
    
    
    0.40
    %
    
    
    3,017,929
    
    
    
    273,236
    
    
    
    1,214,764Grains
    
    
    549,675
    
    
    
    0.32
    %
    
    
    1,846,996
    
    
    
    96,550
    
    
    
    731,407Indices
    
    
    4,809,915
    
    
    
    2.81
    %
    
    
    12,019,804
    
    
    
    623,680
    
    
    
    5,396,991Interest Rates U.S.
    
    
    142,150
    
    
    
    0.08
    %
    
    
    2,365,808
    
    
    
    87,777
    
    
    
    859,990Interest Rates Non-U.S.
    
    
    1,869,099
    
    
    
    1.09
    %
    
    
    8,320,518
    
    
    
    471,498
    
    
    
    2,867,131Livestock
    
    
    59,200
    
    
    
    0.04
    %
    
    
    160,380
    
    
    
    1,080
    
    
    
    58,409Metals
    
    
    1,222,254
    
    
    
    0.71
    %
    
    
    1,806,942
    
    
    
    297,478
    
    
    
    1,002,985Softs
    
    
    1,131,557
    
    
    
    0.66
    %
    
    
    1,479,945
    
    
    
    190,202
    
    
    
    768,323Total
    
    $
    12,878,465
    
    
    
    7.52
    %
 
 *
    
    Annual average based on month-end Value at Risk  December 31, 2010
 % of Total
    
    
    High
    
    
    Low
    
    
    AverageMarket Sector
    
    Value at Risk
    
    
    Capitalization
    
    
    Value at Risk
    
    
    Value at Risk
    
    
    Value at Risk*Currencies
    
    $
    1,025,866
    
    
    
    4.33
    %
    
    $
    1,147,164
    
    
    $
    9,175
    
    
    $
    427,400Energy
    
    
    248,250
    
    
    
    1.05
    %
    
    
    580,400
    
    
    
    10,875
    
    
    
    238,534Grains
    
    
    348,259
    
    
    
    1.47
    %
    
    
    370,823
    
    
    
    41,862
    
    
    
    169,215Indices
    
    
    610,979
    
    
    
    2.58
    %
    
    
    3,147,442
    
    
    
    19,055
    
    
    
    430,625Interest Rates U.S.
    
    
    3,900
    
    
    
    0.02
    %
    
    
    887,750
    
    
    
    3,900
    
    
    
    351,889Interest Rates Non -U.S.
    
    
    331,533
    
    
    
    1.40
    %
    
    
    852,062
    
    
    
    63,225
    
    
    
    352,114Metals
    
    
    268,184
    
    
    
    1.13
    %
    
    
    365,762
    
    
    
    26,255
    
    
    
    198,271Softs
    
    
    46,300
    
    
    
    0.19
    %
    
    
    146,472
    
    
    
    10,950
    
    
    
    70,345Total
    
    $
    2,883,271
    
    
    
    12.17
    %
 24




---



##### 



*
    
    Annual average based on month-end Value at Risk  December 31, 2009
 % of Total
    
    
    High
    
    
    Low
    
    
    Average*Market Sector
    
    Value at Risk
    
    
    Capitalization
    
    
    Value at Risk
    
    
    Value at Risk
    
    
    Value at RiskCurrencies
    
    $
    380,916
    
    
    
    2.20
    %
    
    $
    1,191,210
    
    
    $
    7,200
    
    
    $
    301,705Energy
    
    
    270,400
    
    
    
    1.56
    %
    
    
    644,500
    
    
    
    22,050
    
    
    
    211,624Grains
    
    
    128,975
    
    
    
    0.74
    %
    
    
    362,365
    
    
    
    10,800
    
    
    
    101,491Indices
    
    
    635,844
    
    
    
    3.67
    %
    
    
    879,160
    
    
    
    22,367
    
    
    
    304,994Interest Rates U.S.
    
    
    768,410
    
    
    
    4.44
    %
    
    
    768,410
    
    
    
    14,550
    
    
    
    196,272Interest Rates Non-U.S.
    
    
    213,803
    
    
    
    1.23
    %
    
    
    696,839
    
    
    
    13,213
    
    
    
    221,520Metals
    
    
    284,030
    
    
    
    1.64
    %
    
    
    535,674
    
    
    
    16,196
    
    
    
    234,566Softs
    
    
    150,320
    
    
    
    0.87
    %
    
    
    251,705
    
    
    
    11,784
    
    
    
    115,206Total
    
    $
    2,832,698
    
    
    
    16.35
    %
 
 *
    
    Annual average based on month-end Value at Risk  December 31,
2010
 % of Total
    
    
    High
    
    
    Low
    
    
    AverageMarket Sector
    
    Value at Risk
    
    
    Capitalization
    
    
    Value at Risk
    
    
    Value at Risk
    
    
    Value at Risk*Energy
    
    $
    61,391,255
    
    
    
    11.61
    %
    
    $
    85,692,107
    
    
    $
    18,754,664
    
    
    $
    56,852,448Total
    
    $
    61,391,255
    
    
    
    11.61
    %
 
 *
    
    Annual average based on month-end Value at Risk  December 31, 2009
 % of Total
    
    
    High
    
    
    Low
    
    
    AverageMarket Sector
    
    Value at Risk
    
    
    Capitalization
    
    
    Value at Risk
    
    
    Value at Risk
    
    
    Value at Risk*Energy
    
    $
    19,220,494
    
    
    
    2.81
    %
    
    $
    40,574,022
    
    
    $
    11,157,117
    
    
    $
    24,955,810Total
    
    $
    19,220,494
    
    
    
    2.81
    %
 
 *
    
    Annual average based on month-end Value at Risk Material Limitations on Value at Risk as an Assessment of Market Risk
  25




---



##### 



Non-Trading Risk
   Qualitative Disclosures Regarding Primary Trading Risk Exposures
   Interest Rates e.g.,
 Currencies
 Stock Indices
 Metals
 Softs
 26




---



##### 



Energy
 Grains
 Qualitative Disclosures Regarding Non-Trading Risk Exposure
  Foreign Currency Balances
 Qualitative Disclosures Regarding Means of Managing Risk Exposure
     27




---



##### 



Item 8. Financial Statements and Supplementary Data .
 DIVERSIFIED MULTI-ADVISOR FUTURES FUND L.P. II
  28




---



##### 



To the Limited
    Partners of
    Diversified Multi-Advisor Futures Fund L.P. II
    
  By:
    Walter Davis      Ceres Managed Futures LLC    212-296-1999
 29




---



##### 



Managements
    Report on Internal Control over
    Financial Reporting
            Internal
    Control-Integrated Framework
  -s- Walter Davis

-s- Jennifer MagroBy: Walter Davis
    President and Director
    Ceres Managed Futures LLC
    General Partner,
    Diversified Multi-Advisor Futures Fund L.P. II

Jennifer Magro
    Chief Financial Officer and Director
    Ceres Managed Futures LLC
    General Partner,
    Diversified Multi-Advisor Futures Fund L.P. II  30




---



##### 



REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
 
    
 31




---



##### 



Report of Independent Registered Public Accounting Firm
 
 Internal Control -
Integrated Framework
    
 32




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
 Statements
    of Financial ConditionDecember 31, 2010 and 2009
  2010


2009Assets:Investment in Funds, at fair value (Note 5)

$
19,030,434


$
22,541,943Equity in commodity futures trading account:Cash (Note 3c)


5,731,113



9,123,523Cash margin (Note 3c)


1,224,258



927,261Net unrealized appreciation on open futures contracts


240,495



5,75226,226,300



32,598,479Interest receivable (Note 3c)


463



112Total assets

$
26,226,763


$
32,598,591Liabilities and Partners Capital:Liabilities:Accrued expenses:Brokerage fees (Note 3c)

$
131,134


$
162,993Management fees (Note 3b)


43,327



53,927Professional Fees


54,323



26,383Other


45,238



52,831Redemptions payable (Note 6)


203,384



377,776Total liabilities


477,406



673,910Partners Capital (Notes 1 and 6):General Partner, 196.3844 and 274.2452 unit equivalents at
    December 31, 2010 and 2009, respectively


311,546



472,955Limited Partners, 16,034.8072 and 18,237.4420 Redeemable Units
    outstanding at December 31, 2010 and 2009, respectively


25,437,811



31,451,726Total partners capital


25,749,357



31,924,681Total liabilities and partners capital

$
26,226,763


$
32,598,591Net asset value per unit

$
1,586.41


$
1,724.57   See accompanying notes to financial statements.
 33




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
 Condensed
    Schedule of InvestmentsDecember 31, 2010
  Number of





% of PartnersContracts


Fair Value


CapitalFutures Contracts PurchasedCurrencies


79


$
206,190



0.80
%Energy


3



5,317



0.02Grains


8



14,281



0.05Livestock


1



280



0.00
*Indices


194



(36,833
)


(0.14
)Interest Rates
    Non-U.S.


81



19,565



0.08Interest Rates U.S.


69



45,789



0.18Metals


4



35,295



0.14Softs


1



525



0.00
*Total futures contracts purchased






290,409



1.13Futures Contracts SoldCurrencies


30



(47,113
)


(0.19
)Energy


1



(2,251
)


(0.01
)Indices


1



(550
)


(0.00
)Total futures contracts sold






(49,914
)


(0.20
)Investment in FundsCMF Willowbridge Argo Master Fund L.P.






4,427,857



17.20CMF Graham Capital Master Fund L.P.






5,410,815



21.01CMF Eckhardt Master Fund L.P.






5,913,996



22.97CMF Sandridge Master Fund L.P.






3,277,766



12.73Total investment in Funds






19,030,434



73.91Total fair value





$
19,270,929



74.84
%    *
    
    Due to rounding  See accompanying notes to financial statements.
 34




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. IICondensed Schedule of InvestmentsDecember 31, 2009
  Number of





% of PartnersContracts


Fair Value


CapitalFutures Contracts PurchasedCurrencies


44


$
35,744



0.11
%Energy


5



(254
)


(0.00
)*Grains


8



1,987



0.01Indices


97



(2,324
)


(0.01
)Interest Rates Non-U.S.


61



(10,546
)


(0.03
)Interest Rates U.S.


81



(13,466
)


(0.04
)Metals


1



3,638



0.01Softs


1



(55
)


(0.00
)*Total futures contracts purchased






14,724



0.05Futures Contracts SoldCurrencies


13



(9,650
)


(0.03
)Grains


1



(350
)


(0.00
)*Indices


1



1,028



0.00
*Total futures contracts sold






(8,972
)


(0.03
)Investment in FundsCMF Willowbridge Argo Master Fund L.P.






5,353,814



16.77CMF Graham Capital Master Fund L.P.






7,889,836



24.71CMF Eckhardt Master Fund L.P.






4,935,342



15.46CMF Sandridge Master Fund L.P.






4,362,951



13.67Total investment in Funds






22,541,943



70.61Total fair value





$
22,547,695



70.63
%    *
    
    Due to rounding  See accompanying notes to financial statements.
 35




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
 Statements
    of Income and Expensesfor the years ended
    December 31, 2010, 2009 and 2008
  2010


2009


2008Income:Net gains (losses) on trading of commodity interests and
    investment in Funds:Net realized gains (losses) on closed contracts

$
(984,611
)

$
1,541,253


$
2,365,379Net realized gains (losses) on investment in Funds


268,846



(521,371
)


7,659,594Change in net unrealized gains (losses) on open contracts


234,743



6,201



(7,994
)Change in net unrealized gains (losses) on investments in Funds


619,424



(235,845
)


(78,944
)Gain (loss) from trading, net


138,402



790,238



9,938,035Interest income (Note 3c)


7,505



7,527



137,547Interest income from investment in Funds


16,618



19,562



350,008Total income (loss)


162,525



817,327



10,425,590Expenses:Brokerage fees including clearing fees (Note 3c)


1,925,364



2,563,903



3,078,391Management fees (Note 3b)


554,408



758,357



934,466Incentive fees (Note 3b)






331,108



527,587Professional fees


193,414



107,412



85,812Other


38,159



50,012



77,566Total expenses


2,711,345



3,810,792



4,703,822Net income (loss)

$
(2,548,820
)

$
(2,993,465
)

$
5,721,768Net income (loss) per unit (Note 7)

$
(138.16
)

$
(142.43
)

$
215.30Weighted average units outstanding


17,399.3280



20,862.3615



26,356.7995   See accompanying notes to financial statements.
 36




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II

    Statements of Changes in Partners Capitalfor the years ended
    December 31, 2010, 2009 and 2008
  Limited


GeneralPartners


Partner


TotalPartners Capital at December 31, 2007

$
44,284,210


$
3,126,798


$
47,411,008Net income (loss)


5,451,076



270,692



5,721,768Redemptions of 1,144.5571 General Partner unit equivalents






(2,000,000
)


(2,000,000
)Redemptions of 3,781.8183 Redeemable Units


(6,739,448
)






(6,739,448
)Partners Capital at December 31, 2008


42,995,838



1,397,490



44,393,328Net income (loss)


(2,878,871
)


(114,594
)


(2,993,465
)Redemptions of 474.2765 General Partner unit equivalents






(809,941
)


(809,941
)Redemptions of 4,791.9817 Redeemable Units


(8,665,241
)






(8,665,241
)Partners Capital at December 31, 2009


31,451,726



472,955



31,924,681Net income


(2,512,411
)


(36,409
)


(2,548,820
)Redemptions of 77.8608 General Partner unit equivalents






(125,000
)


(125,000
)Redemptions of 2,202.6348 Redeemable Units


(3,501,504
)






(3,501,504
)Partners Capital at December 31, 2010

$
25,437,811


$
311,546


$
25,749,357Net asset value per unit:   2008:

$
1,867.002009:

$
1,724.572010:

$
1,586.41
   See accompanying notes to financial statements.
 37




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
 Notes to
    Financial Statements
    December 31, 2010
  1.
    Partnership
    Organization:  non-U.S. interest
        2.
    Accounting
    Policies:  a.
    Use of Estimates.  The preparation of financial
    statements and accompanying notes in conformity with accounting
    principles generally accepted in the United States of America
    (GAAP) requires management to make estimates and
    assumptions that affect the reported amounts of assets and
    liabilities, income and expenses, and related disclosures of
    contingent assets and liabilities in the financial statements
    and accompanying notes. As a result, actual results could differ
    from these estimates.b.
    Statement of Cash Flows.The Partnership is
    not required to provide a Statement of Cash Flows.c.
    Partnerships and the Funds
    Investments.All commodity interests (including
    derivative financial instruments and derivative commodity
    instruments) are held for trading purposes. The commodity
    interests are recorded on trade date and open contracts are
    recorded at fair value (as described below) at the measurement
    date. Investments in commodity interests denominated in foreign
    currencies are translated into U.S. dollars at the exchange
    rates prevailing at the measurement date. Gains or losses are
    realized when contracts are liquidated. Unrealized gains or
    losses on open contracts are included as a component of equity
    in commodity futures trading account on the Statements of
    Financial Condition. Realized gains or losses and any change in
    net 38




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
    Partnerships and the Funds Fair Value
    Measurements.
      exchange-traded
 39




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
   QuotedPrices inActive Markets for


Significant Other


SignificantIdentical Assets


Observable Inputs


Unobservable Inputs12/31/2010


(Level 1)


(Level 2)


(Level 3)AssetsInvestment in Funds

$
19,030,434


$



$
19,030,434


$
Futures


240,495



240,495







Total assets


19,270,929



240,495



19,030,434



Total fair value

$
19,270,929


$
240,495


$
19,030,434


$
   QuotedPrices inActive Markets for


Significant Other


SignificantIdentical Assets


Observable Inputs


Unobservable Inputs12/31/2009


(Level 1)


(Level 2)


(Level 3)AssetsInvestment in Funds

$
22,541,943


$



$
22,541,943


$
Futures


5,752



5,752







Total assets


22,547,695



5,752



22,541,943



Total fair value

$
22,547,695


$
5,752


$
22,541,943


$
   d.
    Futures Contracts.The Partnership and the
    Funds trade futures contracts and exchange-cleared swaps.
    Exchange-cleared swaps are swaps that are traded as futures. A
    futures contract is a firm commitment to buy or sell a specified
    quantity of investments, currency or a standardized amount of a
    deliverable grade commodity, at a specified price on a specified
    future date, unless the contract is closed before the delivery
    date or if the delivery quantity is something where physical
    delivery cannot occur (such as the S&P 500 Index), whereby
    such contract is settled in cash. Payments (variation
    margin) may be made or received by the Partnership and the
    Funds each business day, depending on the daily fluctuations in
    the value of the underlying contracts, and are recorded as
    unrealized gains or losses by the Partnership and the Funds.
    When the contract is closed, the Partnership and the Funds
    record a realized gain or loss equal to the difference between
    the value of the contract at the time it was opened and the
    value at the time it was closed. Transactions in futures
    contracts require participants to make both initial margin
    deposits of cash or other assets and variation margin deposits,
    through the futures broker, directly with the exchange on which
    the contracts are traded. Realized gains (losses) and changes in
    unrealized gains (losses) on futures contracts are included in
    the Statements of Income and Expenses.e.
    Forward Foreign Currency Contracts.Foreign
    currency contracts are those contracts where the Funds agree to
    receive or deliver a fixed quantity of foreign currency for an
    agreed-upon
    price on an agreed future date. Foreign currency contracts are
    valued daily, and the Funds net equity therein,
    representing unrealized gain or loss on the contracts as
    measured by the difference between the forward foreign exchange
    rates at the dates of entry into the contracts and the forward
    rates at the reporting date, is included in the Statements of
    Financial Condition. Realized gains (losses) and changes in
    unrealized gains (losses) on foreign currency contracts are
    recognized in the period in which the contract is closed or the
    changes occur, respectively, and are included in the Statements
    of Income and Expenses. 40




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
     f.
    London Metals Exchange Forward
    Contracts.Metal contracts traded on the London
    Metals Exchange (LME) represent a firm commitment to
    buy or sell a specified quantity of aluminum, copper, lead,
    nickel, tin or zinc. LME contracts traded by the Funds are cash
    settled based on prompt dates published by the LME. Payments
    (variation margin) may be made or received by the
    Funds each business day, depending on the daily fluctuations in
    the value of the underlying contracts, and are recorded as
    unrealized gains or losses by the Funds. A contract is
    considered offset when all long positions have been matched with
    a like number of short positions settling on the same prompt
    date. When the contract is closed at the prompt date, the Funds
    record a realized gain or loss equal to the difference between
    the value of the contract at the time it was opened and the
    value at the time it was closed. Transactions in LME contracts
    require participants to make both initial margin deposits of
    cash or other assets and variation margin deposits, through the
    broker, directly with the LME. Realized gains (losses) and
    changes in unrealized gains (losses) on metal contracts are
    included in the Statements of Income and Expenses.  g.
    Options.  The Funds may purchase and write
    (sell) both exchange listed and
    over-the-counter
    (OTC) options on commodities or financial
    instruments. 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 Funds
    write an option, the premium received is recorded as a liability
    in the Statements of Financial Condition and marked to market
    daily. When the Funds purchase an option, the premium paid is
    recorded as an asset in the Statements of Financial Condition
    and marked to market daily. Realized gains (losses) and changes
    in unrealized gains (losses) on options contracts are included
    in the Statements of Income and Expenses.h.
    Income Taxes.  Income taxes have not been
    provided as each partner is individually liable for the taxes,
    if any, on its share of the Partnerships income and
    expenses.      i.
    Subsequent Events.  Management of the
    Partnership evaluates events that occur after the balance sheet
    date but before financial statements are filed. Management has
    assessed the subsequent events through the date of filing and
    determined that there were no subsequent events requiring
    adjustment of or disclosure in the financial statements.  j.
    Net Income (Loss) per Unit.  Net income (loss)
    per unit is calculated in accordance with investment company
    guidance. See Note 7, Financial Highlights. 41




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
  3.
    Agreements:  a.
    Limited Partnership Agreement:    b.
    Management Agreements:        c.
    Customer Agreement:  give-up
 42




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
  30-day 3-month
  4.
    Trading
    Activities:            December 31, 2010AssetsFutures ContractsCurrencies

$
206,190Energy


5,317Grains


14,281Indices


19,159Interest Rates U.S.


45,789Interest Rates
    Non-U.S.


22,310Livestock


280Metals


35,295Softs


525Total unrealized appreciation on open futures contracts

$
349,146 43




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
  December 31, 2010LiabilitiesFutures ContractsCurrencies

$
(47,113
)Energy


(2,251
)Indices


(56,542
)Interest Rates
    Non-U.S.


(2,745
)Total unrealized depreciation on open futures contracts

$
(108,651
)Net unrealized appreciation on open futures contracts

$
240,495
*    *
    
    This amount is in Net unrealized appreciation on open
    futures contracts on the Statements of Financial Condition.  December 31, 2009AssetsFutures ContractsCurrencies

$
45,491Energy


1,040Grains


2,037Indices


29,186Interest Rates U.S.


450Interest Rates Non-U.S.


2,416Metals


3,638Total unrealized appreciation on open futures contracts

$
84,258LiabilitiesFutures ContractsCurrencies

$
(19,397
)Energy


(1,294
)Grains


(400
)Indices


(30,482
)Interest Rates U.S.


(13,916
)Interest Rates Non-U.S.


(12,962
)Softs


(55
)Total unrealized depreciation on open futures contracts

$
(78,506
)Net unrealized appreciation on open futures contracts

$
5,752
*    *
    
    This amount is in Net unrealized appreciation on open
    futures contracts on the Statements of Financial Condition. 44




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
     December 31, 2010


December 31, 2009Sector

Gain (loss) from trading


Gain (loss) from tradingCurrencies

$
(204,265
)

$
534,378Energy


(308,068
)


(1,129,076
)Grains


6,402



(17,021
)Indices


(957,047
)


1,917,690Interest Rates U.S.


199,881



329,328Interest Rates Non-U.S.


420,292



(94,185
)Livestock


(29,395
)


(2,700
)Softs


53,269



(17,475
)Metals


69,063



26,515Total

$
(749,868
)

$
1,547,454   5.
    Investment in
    Funds         45




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
               46




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
    December 31, 2010Total


Total


TotalAssets


Liabilities


CapitalWillowbridge Master

$
216,360,362


$
61,729


$
216,298,633Graham Master


168,973,503



48,832



168,924,671Eckhardt Master


23,748,773



62,448



23,686,325SandRidge Master


581,631,311



52,896,054



528,735,257Total

$
990,713,949


$
53,069,063


$
937,644,886   December 31, 2009Total


Total


TotalAssets


Liabilities


CapitalWillowbridge Master

$
231,147,799


$
42,482


$
231,105,317Graham Master


171,238,199



25,939



171,212,260Eckhardt Master


17,383,619



63,160



17,320,459SandRidge Master


715,621,327



30,711,834



684,909,493Total

$
1,135,390,944


$
30,843,415


$
1,104,547,529     For the Year Ended December 31, 2010Gain (Loss) from


Total Income


Net IncomeTrading, net


(Loss)


(Loss)Willowbridge Master

$
(8,681,294
)

$
(8,453,112
)

$
(8,840,226
)Graham Master


12,799,867



12,950,502



12,355,345Eckhardt Master


5,378,965



5,394,025



5,208,688SandRidge Master


(132,752,741
)


(132,183,397
)


(133,838,532
)Total

$
(123,255,203
)

$
(122,291,982
)

$
(125,114,725
)   For the Year Ended December 31, 2009Gain (Loss) from


Total Income


Net IncomeTrading, net


(Loss)


(Loss)Willowbridge Master

$
(42,016,964
)

$
(41,821,187
)

$
(42,198,191
)Campbell Master


(2,923,817
)


(2,860,109
)


(2,974,707
)Graham Master


12,468,065



12,593,321



11,932,221Eckhardt Master


(617,648
)


(604,361
)


(743,158
)SandRidge Master


99,192,706



99,581,610



98,747,670Total

$
66,102,342


$
66,889,274


$
64,763,835  47




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
    % of














NetPartnerships








Expenses


Income


Investment

RedemptionsFunds

Net Assets


Fair Value


Income (Loss)


Brokerage Fees


Other


(Loss)


Objective

PermittedFor the year ended December 31, 2010Willowbridge Master


17.20
%

$
4,427,857


$
(147,584
)

$
5,399


$
1,947


$
(154,930
)

Commodity Portfolio

MonthlyGraham Master


21.01
%


5,410,815



339,632



17,969



3,962



317,701


Commodity Portfolio

MonthlyEckhardt Master


22.97
%


5,913,996



1,452,937



29,622



22,616



1,400,699


Commodity Portfolio

MonthlySandRidge Master


12.73
%


3,277,766



(740,097
)


7,312



2,193



(749,602
)

Energy Portfolio

MonthlyTotal





$
19,030,434


$
904,888


$
60,302


$
30,718


$
813,868   % of














NetPartnerships








Expenses


Income


Investment

RedemptionsFunds

Net Assets


Fair Value


Income (Loss)


Brokerage Fees


Other


(Loss)


Objective

PermittedFor the year ended December 31, 2009Willowbridge Master


16.77
%

$
5,353,814


$
(1,222,403
)

$
8,992


$
1,693


$
(1,233,088
)

Commodity 
    Portfolio

MonthlyCampbell Master


0.00
%






(272,274
)


1,386



1,144



(274,804
)

Commodity
    Portfolio

MonthlyGraham Master


24.71
%


7,889,836



623,451



31,816



2,357



589,278


Commodity 
    Portfolio

MonthlyEckhardt Master


15.46
%


4,935,342



(175,801
)


14,260



26,096



(216,157
)

Commodity 
    Portfolio

MonthlySandRidge Master


13.67
%


4,362,951



309,373



2,363



738



306,272


Energy 
    Portfolio

MonthlyTotal





$
22,541,943


$
(737,654
)

$
58,817


$
32,028


$
(828,499
)   6.
    Distributions and
    Redemptions:   48




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
  7.
    Financial
    Highlights:    2010


2009


2008Net realized and unrealized gains (losses)*

$
(94.56
)

$
(83.99
)

$
259.03Interest income


1.39



1.28



18.06Expenses**


(44.99
)


(59.72
)


(61.79
)Increase (decrease) for the year


(138.16
)


(142.43
)


215.30Net asset value per unit, beginning of year


1,724.57



1,867.00



1,651.70Net asset value per unit, end of year

$
1,586.41


$
1,724.57


$
1,867.00   Ratios to average net assets:Net investment income (loss) before incentive fees***


(9.7
)%


(9.2
)%


(8.1
)%Operating expenses


9.8



9.3
%


9.2
%Incentive fees






0.9



1.2
%Total expenses


9.8



10.2
%


10.4
%Total return:Total return before incentive fees


(8.0
)%


(6.7
)%


14.4
%Incentive fees






(0.9
)


(1.4
)%Total return after incentive fees


(8.0
)%


(7.6
)%


13.0
%    *
    
    Includes brokerage fees.**
    
    Excludes brokerage fees.***
    
    Interest income less total expenses.    8.
    Financial
    Instrument Risks:  Exchange-traded exchange-traded
 49




---



##### 



Diversified
    Multi-Advisor Futures Fund L.P. II
    Notes to Financial Statements
    December 31, 2010
             50




---



##### 



For the period from
    
    For the period from
    
    For the period from
    
    For the period fromOctober 1, 2010 to
    
    July 1, 2010 to
    
    April 1, 2010 to
    
    January 1, 2010 toDecember
31, 2010
    

September
30, 2010
    

June
30, 2010
    

March
31, 2010Net realized and unrealized trading
gains (losses) net of brokerage
fees and clearing fees
including interest income
    
    $
    967,300
    
    
    $
    (956,672
    )
    
    $
    (369,517
    )
    
    $
    (1,403,950
    )Net income (loss)
    
    $
    881,030
    
    
    $
    (1,234,892
    )
    
    $
    (595,802
    )
    
    $
    (1,599,156
    )Increase (decrease) in net asset
value per unit
    
    $
    53.70
    
    
    $
    (71.46
    )
    
    $
    (34.46
    )
    
    $
    (85.94
    )
 For the period from
    
    For the period from
    
    For the period from
    
    For the period fromOctober 1, 2009 to
    
    July 1, 2009 to
    
    April 1, 2009 to
    
    January 1, 2009 toDecember 31, 2009
    
    September 30, 2009
    
    June 30, 2009
    
    March 31, 2009Net realized and unrealized trading
gains (losses) net of brokerage
fees and clearing fees
including interest income
    
    $
    (2,111,451
    )
    
    $
    1,674,965
    
    
    $
    (367,041
    )
    
    $
    (943,049
    )Net income (loss)
    
    $
    (2,331,061
    )
    
    $
    1,247,328
    
    
    $
    (604,963
    )
    
    $
    (1,304,769
    )Increase (decrease) in net asset
value per unit
    
    $
    (124.36
    )
    
    $
    63.22
    
    
    $
    (24.52
    )
    
    $
    (56.77
    )
 51




---



##### 



Item 9. Changes in and Disagreements with Accountants on Accounting and Financial
Disclosure .
    Item 9A. Controls and Procedures .
    internal control over financial reporting
 
    
    pertain to the maintenance of records that in reasonable detail accurately and fairly
reflect the transactions and dispositions of the assets of the Partnership;
    
    provide reasonable assurance that (i) transactions are recorded as necessary to permit
preparation of financial statements in accordance with GAAP, and (ii) the Partnerships
receipts are handled and expenditures are made only pursuant to authorizations of the
General Partner; and
    
    provide reasonable assurance regarding prevention or timely detection of unauthorized
acquisition, use or disposition of the Partnerships assets that could have a material
effect on the financial statements.
 Financial Statements and Supplementary Data
  Item 9B. Other Information .
  52




---



##### 



PART III
 Item 10. Directors, Executive Officers and Corporate Governance .
      53




---



##### 



54




---



##### 



55




---



##### 



Item 11. Executive Compensation .
 Business
 Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters .
 Security ownership of certain beneficial owners
 Security ownership of management
  (3) Amount and(2) Name of
    
    Nature ofBeneficial
    
    Beneficial
    
    (4) Percent of(1) Title of Class
    
    Owner
    
    Ownership
    
    ClassGeneral Partner units equivalents
    
    General Partner
    
    
    196.3844
    
    
    
    1.2
    %
 Changes in control
 Item 13. Certain Relationships and Related Transactions, and Director Independence .
 Transactions with related persons.
 Review, approval or ratification of transactions with related persons.
 Promoters and certain control persons. Business Financial Statements and
Supplementary Data Executive Compensation
 56




---



##### 



Item 14. Principal Accountant Fees and Services .
 Audit Fees
 Deloitte
    
    
    PwC2010
    
    $
    54,300

    
    
    N/A2009
    
    $
    59,500
    (1)
    
$
    4,600
    (2)
  (1)
 (2)
 Audit-Related Fees
 Tax Fees
 2010
    
    $
    21,0002009
    
    $
    20,000
 All Other Fees
   57




---



##### 



PART IV
 Item 15. Exhibits, Financial Statement Schedules .
        3.1
    
    (a)
    
    Certificate of Limited Partnership dated May 10, 1994 (filed as
Exhibit 3.1(a) to the Quarterly Report on Form 10-Q for the
quarterly period ended September 30, 2009 filed on November 16,
2009 and incorporated herein by reference).(b)
    
    Certificate of Amendment of the Certificate of Limited
Partnership dated July 31, 1995 (filed as Exhibit 3.1(b) to the
Quarterly Report on Form 10-Q for the quarterly period ended
September 30, 2009 filed on November 16, 2009 and incorporated
herein by reference).(c)
    
    Certificate of Amendment of the Certificate of Limited
Partnership dated October 1, 1999 (filed as Exhibit 3.1(c) to the
Quarterly Report on Form 10-Q for the quarterly period ended
September 30, 2009 filed on November 16, 2009 and incorporated
herein by reference).(d)
    
    Certificate of Change of the Certificate of Limited Partnership
effective January 31, 2000 (filed as Exhibit 3.1(d) to the
Quarterly Report on Form 10-Q for the quarterly period ended
September 30, 2009 filed on November 16, 2009 and incorporated
herein by reference).(e)
    
    Certificate of Amendment of the Certificate of Limited
Partnership dated May 21, 2003 (filed as Exhibit 3.1(e) to the
Quarterly Report on Form 10-Q for the quarterly period ended
September 30, 2009 filed on November 16, 2009 and incorporated
herein by reference).(f)
    
    Certificate of Amendment of the Certificate of Limited
Partnership dated September 21, 2005 (filed as Exhibit 3.1(f) to
the Quarterly Report on Form 10-Q for the quarterly period ended
September 30, 2009 filed on November 16, 2009 and incorporated
herein by reference).(g)
    
    Certificate of Amendment of the Certificate of Limited
Partnership dated September 19, 2008 (filed as Exhibit 3.1(g) to
the Quarterly Report on Form 10-Q for the quarterly period ended
September 30, 2009 filed on November 16, 2009 and incorporated
herein by reference).(h)
    
    Certificate of Amendment of the Certificate of Limited
Partnership dated September 28, 2009 (filed as Exhibit 99.1 to
the Current Report on Form 8-K filed on September 30, 2009).3.2
    
    
    
    Limited Partnership Agreement (attached as Exhibit A to the
Registration Statement on Form S-1 filed on May 29, 1996 and
incorporated herein by reference).10.1
    
    
    
    Customer Agreement between the Partnership and Smith Barney
(filed as Exhibit 10.1 to the Registration Statement on Form S-1
filed on May 29, 1996 and incorporated herein by reference).10.2
    
    
    
    Form of Subscription Agreement (attached as Exhibit B to the
Registration Statement on Form S-1 filed on May 29, 1996 and
incorporated herein by reference).10.3
    
    
    
    Form of Escrow Agreement (filed as Exhibit 10.3 to the Quarterly
Report on Form 10-Q for the quarterly period ended September 30,
2009 filed on November 16, 2009 and incorporated herein by
reference).10.4
    
    (a)
    
    Management Agreement among the Partnership, the General Partner
and Willowbridge Associates Inc. (filed as Exhibit 10.7 to the
Annual Report on Form 10-K for the fiscal year ended December 31,
1997 filed on March 30, 1998 and incorporated herein by
reference).
 58




---



##### 



(b)
    
    Letter extending Management Agreement with Willowbridge
Associates Inc. for 2010 (dated June 1, 2010 and filed herein).10.6
    
    (a)
    
    Management Agreement among the Partnership, the General Partner
and Graham Capital Management L.P. (filed as Exhibit 10.21 to the
Annual Report on Form 10-K for the fiscal year ended December 31,
2000 filed on March 29, 2001 and incorporated herein by
reference).(b)
    
    Letter extending Management
Agreement with Graham Capital Management L.P.
for 2010 (dated June 1, 2010 and filed herein).10.7
    
    (a)
    
    Amended and Restated Management Agreement among the Partnership, the General Partner
and Capital Fund Management (dated October 29, 2010 and filed herein).10.8
    
    (a)
    
    Management Agreement among the Partnership, the General Partner
and Eckhardt Trading Company (filed as Exhibit 10 to the
Quarterly Report on Form 10-Q for the quarterly period ended June
30, 2008 filed on August 14, 2008 and incorporated herein by
reference).(b)
    
    Letter extending Management Agreement with Eckhardt Trading
Company for 2010 (dated June 1, 2010 and filed herein).10.9
    
    (a)
    
    Management Agreement among the Partnership, the General Partner
and SandRidge Capital, LP (filed as Exhibit 10.1 to the Current
Report on Form 8-K filed on June 2, 2009 incorporated herein by
reference).(b)
    
    Letter extending Management Agreement with SandRidge Capital, LP
for 2010 (dated June 1, 2010 and filed herein).10.10
    
    
    
    Joinder Agreement among the Partnership, Citigroup Managed
Futures LLC, Citigroup Global Markets Inc. and Morgan Stanley
Smith Barney LLC (filed as Exhibit 10 to the Quarterly Report on
Form 10-Q for the quarterly period ended June 30, 2009 filed
August 14, 2009 and incorporated herein by reference).16.1
    
    (a)
    
    Letter Regarding Change of Certifying Accountant (filed as
Exhibit 16 to the Current Report on Form 8-K filed on July 24,
2009 and incorporated herein by reference).(b)
    
    Letter Regarding Change of Certifying Accountant (filed as
Exhibit 16.1 to Current Report on Form 8-K filed on July 1, 2008
and incorporated herein by reference).99.1
    
    
    
    Financial Statements of CMF Willowbridge Argo Master Fund99.2
    
    
    
    Financial Statements of CMF Graham
Capital Master Fund L.P.99.3
    
    
    
    Financial Statements of CMF SandRidge Master L.P.99.4
    
    
    
    Financial Statements of CMF Eckhardt Master Fund L.P.
 59




---



##### 



31.1
    
    
    
    Rule 13a-14(a)/15d-14(a) Certification (Certification of President and Director).31.2
    
    
    
    Rule 13a-14(a)/15d-14(a) Certification (Certification of Chief Financial Officer and
Director).32.1
    
    
    
    Section 1350 Certification (Certification of President and Director).32.2
    
    
    
    Section 1350 Certification (Certification of Chief Financial Officer and Director).
 60




---



##### 



SIGNATURES
  Diversified Multi-Advisor Futures Fund L.P. IIBy:
    Ceres Managed Futures LLC(General Partner)By:
    /s/ Walter DavisWalter Davis,President & DirectorDate: March 31, 2011  /s/ Walter Davis
    
    /s/ Ian Bernstein
    
    /s/ Patrick T. EganWalter Davis
President and Director
Ceres Managed Futures LLC

Date: March 31, 2011
    
    Ian Bernstein 
Director 
Ceres Managed Futures LLC

Date: March 31, 2011
    
    Patrick T. Egan
Director
Ceres Managed Futures LLC

Date: March 31, 2011/s/ Jennifer Magro
    
    /s/ Michael McGrath
    
    /s/ Alper DagliogluJennifer Magro
Chief Financial Officer and Director
(Principal Accounting Officer)
Ceres Managed Futures LLC

Date: March 31, 2011
    
    Michael McGrath
Director
Ceres Managed Futures LLC

Date: March 31, 2011
    
    Alper Daglioglu
Director
Ceres Managed Futures LLC

Date: March 31, 2011/s/ Douglas J. Ketterer

Douglas J. Ketterer
Director
Ceres Managed Futures LLC

Date: March 31, 2011
    
    /s/ Harry Handler

Harry Handler
Director
Ceres Managed Futures LLC

Date: March 31, 2011
 Supplemental Information To Be Furnished With Reports Filed Pursuant to Section 15(d) of the Act by
Registrants Which Have Not Registered Securities Pursuant To Section 12 of the Act.
   61