1. Organization

LV Futures Fund L.P. was formed on February 22, 2007, under the Delaware Revised Uniform Limited Partnership Act, as a multi-advisor commodity pool created to profit from the speculative trading of commodities, domestic and foreign commodity futures contracts, forward contracts, foreign exchange commitments, options on physical commodities and futures contracts, spot (cash) commodities and currencies, exchange of futures contracts for physicals transactions, exchange of physicals for futures contracts transactions, and any rights pertaining thereto (collectively, "Futures Interests") (refer to Note 4, Financial Instruments of the Trading Companies) through its investments in affiliated trading companies (each a "Trading Company", or collectively the "Trading Companies"). LV is one of the partnerships in the Managed Futures Multi-Strategy Profile Series, comprised of LV and Meritage Futures Fund L.P. (collectively, the "Profile Series").

The Partnership allocates substantially all of its assets to multiple affiliated Trading Companies, each of which allocates substantially all of its assets to the trading program of an unaffiliated commodity trading advisor which makes investment decisions for each respective Trading Company.

The Partnership commenced trading operations on August 1, 2007, in accordance with the terms of its Limited Partnership Agreement (the "Limited Partnership Agreement"). Morgan Stanley Smith Barney LLC serves as placement agent to the Partnership. As of September 26, 2012, Morgan Stanley Smith Barney LLC is doing business as Morgan Stanley Wealth Management. Morgan Stanley & Co. LLC ("MS&Co.") acts as each Trading Company's clearing commodity broker. Morgan Stanley & Co. International plc ("MSIP") acts as each Trading Company's commodity broker to the extent it trades on the London Metal Exchange (collectively, MS&Co. and MSIP are referred to as the "Commodity Brokers"). Each Trading Company's over-the-counter foreign exchange spot, options, and forward contract counterparty is either MS&Co. and/or Morgan Stanley Capital Group Inc. ("MSCG") to the extent a Trading Company trades options on over-the-counter foreign currency forward contracts.

The financial statements of the Partnership have been prepared using the "Fund of Funds" approach and accordingly all revenue and expense information from the Trading Companies is reflected as a total net realized/net change in unrealized appreciation (depreciation) on investments on the Statements of Income and Expenses. The Partnership maintains sufficient cash balances on hand to satisfy ongoing operating expenses for the Partnership.

The Trading Companies and their trading advisors (each individually, a "Trading Advisor" or collectively, the "Trading Advisors") for the Partnership at September 30, 2012, are as follows:

Trading Company	Trading Advisor

Morgan Stanley Smith Barney Augustus I, LLC
("Augustus I, LLC")	GAM International Management Limited
Morgan Stanley Smith Barney Chesapeake Diversified I, LLC
("Chesapeake I, LLC")	Chesapeake Capital Corporation
Morgan Stanley Smith Barney GLC I, LLC
("GLC I, LLC")	GLC Ltd.
Morgan Stanley Smith Barney Kaiser I, LLC
("Kaiser I, LLC")	Kaiser Trading Group Pty. Ltd.
Morgan Stanley Smith Barney Rotella I, LLC
("Rotella I, LLC")	Rotella Capital Management, Inc.
Morgan Stanley Smith Barney TT II, LLC
("TT II, LLC")	Transtrend B.V.
Morgan Stanley Smith Barney WNT I, LLC
("WNT I, LLC")	Winton Capital Management Limited

The trading system style of each Trading Advisor is as follows:

Commodity Trading Advisor	Trading System Style

Chesapeake Capital Corporation	Systematic
GAM International Management Limited	Discretionary
GLC Ltd.	Discretionary
Kaiser Trading Group Pty. Ltd.	Systematic
Rotella Capital Management, Inc.	Systematic
Transtrend B.V.	Systematic
Winton Capital Management Limited	Systematic

Ceres Managed Futures LLC ("Ceres"), the general partner and commodity pool operator of the Partnership and the trading manager of each Trading Company, is a wholly-owned subsidiary of Morgan Stanley Smith Barney Holdings LLC ("MSSBH"). MSSBH is majority-owned indirectly by Morgan Stanley and minority-owned indirectly by Citigroup Inc. Morgan Stanley Wealth Management is a principal subsidiary of MSSBH. MS&Co., MSIP, and MSCG are wholly-owned subsidiaries of Morgan Stanley.

Ceres may reallocate the Partnership's assets to the different Trading Companies at its sole discretion.

Prior to February 29, 2012, units of limited partnership interest ("Units") of the Partnership were offered in four classes in a private placement pursuant to Regulation D under the Securities Act of 1933, as amended. Depending on the aggregate amount invested in the Partnership, limited partners received class A, B, C or D Units in the Partnership (each a "Class" and collectively the "Classes"). Certain limited partners who are not subject to the ongoing placement agent fee are deemed to hold Class Z Units. Ceres received Class Z Units with respect to its investment in the Partnership. Effective February 29, 2012, Class B and Class C Units are no longer being offered to new investors.

Ceres is not required to maintain any investment in the Partnership, and may withdraw any portion of its interest in the Partnership at any time, as permitted by the Limited Partnership Agreement. In addition, Class Z shares are only being offered to certain individuals affiliated with Morgan Stanley at Ceres' sole discretion. Class Z Unit holders are not subject to paying the ongoing placement agent fee.