N-CSR 1 cmftmf.htm SEMIANNUAL REPORT Scudder Investments 

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

                                   FORM N-CSR

Investment Company Act file number 811-4760

                                  ADVISOR FUNDS
                              --------------------
               (Exact Name of Registrant as Specified in Charter)

                   One South Street, Baltimore, Maryland 21202
                  --------------------------------------------
               (Address of Principal Executive Offices) (Zip Code)

        Registrant's Telephone Number, including Area Code: (410) 895-5000
                                                            --------------

                             Daniel O. Hirsch, Esq.
                                One South Street
                            Baltimore, Maryland 21202
                    -----------------------------------------
                     (Name and Address of Agent for Service)

Date of fiscal year end:        12/31

Date of reporting period:       6/30/03



ITEM 1.  REPORT TO STOCKHOLDERS

Cash Management Fund Investment

Treasury Money Fund Investment

Semiannual Report
to Shareholders

June 30, 2003


Contents


<Click Here> Portfolio Management Review

Funds

<Click Here> Financial Statements

<Click Here> Financial Highlights

<Click Here> Notes to Financial Statements

Portfolios

<Click Here> Investment Portfolio

<Click Here> Financial Statements

<Click Here> Financial Highlights

<Click Here> Notes to Financial Statements

<Click Here> Account Management Resources

<Click Here> Privacy Statement


Deutsche Asset Management is the marketing name in the US for the asset management activities of Deutsche Bank AG, Deutsche Investment Management Americas Inc., Deutsche Asset Management Inc., Deutsche Asset Management Investment Services Ltd., Deutsche Bank Trust Company Americas and Scudder Trust Company.

This report must be preceded or accompanied by a prospectus. To obtain a prospectus for any of our funds, refer to the Account Management Resources information provided in the back of this booklet. The prospectus contains more complete information, including a description of the risks of investing in the fund, management fees and expenses. Please read it carefully before you invest or send money.

Fund shares are not FDIC-insured and are not deposits or other obligations of, or guaranteed by, any bank. Fund shares involve investment risk, including possible loss of principal.


Portfolio Management Review


In the following interview, Lead Portfolio Manager Darlene M. Rasel discusses the market environment and her team's approach to managing the funds during the six-month period ended June 30, 2003.

Q: How did the funds perform over the semiannual period?

A: Over the six months ended June 30, 2003, Cash Management Fund Investment's seven-day annualized yield declined from 0.77% to 0.46%. The Treasury Money Fund Investment's seven-day annualized yield declined from 0.67% to 0.32%. In both cases, such yield changes primarily reflect the ripple effect of the Federal Reserve Board's 50-basis-point (i.e., one-half of a percentage point) interest rate cut on November 6, 2002. The Federal Reserve Board's 25-basis-point (i.e., one-quarter of a percentage point) cut on June 25, 2003 had only a modest impact on the funds' yield because the higher-yielding securities bought by the funds before the rate cut will continue to benefit the funds' yield until these securities mature. At maturity, the proceeds will be reinvested in securities that reflect the current level of rates, which is likely to be lower given the Federal Reserve Board rate cut. For the six-month period ended June 30, 2003, the Cash Management Fund Investment returned 0.30%, compared with the 0.29% average return of the iMoneyNet First Tier Retail Money Funds Average. The Treasury Money Fund Investment returned 0.26% for the semiannual period, compared with the 0.26% average return of the iMoneyNet US Treasury and Repo Retail Money Funds Average.1,2

1 iMoneyNet First Tier Retail Money Funds Average and US Treasury and Repo Retail Money Funds Average are provided by Money Fund Report Average, a service of iMoneyNet, Inc., and are an average for categories of similar money market funds.
2 The yield quotation more closely reflects the current earnings of the money market fund than the total return quotation.

Q: Until June 2003, the Federal Reserve Board held interest rates steady through the semiannual period. What dominated money market activity instead?

A: Federal Reserve Board policy still had a major impact on the backdrop to money market activity, as did the US economy.

As 2003 began, investors demonstrated enthusiasm for President George W. Bush's new economic growth initiative. However, as concerns about the war with Iraq heightened and company managements reported a subdued outlook for first-quarter corporate earnings, the US equity market stumbled again. Gross domestic product (GDP) growth managed to chug along at a rate of 1.4%, but geopolitical uncertainties kept volatility high. In this environment, there was a flight to quality into short-term US Treasuries. In March 2003, the Federal Reserve Board stated that it would not take a stance on monetary policy given "the unusually large uncertainties clouding the geopolitical situation in the short run and their apparent effects on economic decision making."

During the second quarter of 2003, economic and political conditions improved. A significant number of corporate earnings announcements during the quarter met or exceeded expectations. The $350 billion tax cut and spending incentives recently implemented offered stimulus to the economy. Also, while the journey to freedom and democracy in Iraq is by no means at an end, the conclusion of active military operations toward the end of April provided the financial markets with a welcome sigh of relief. On the other hand, corporate spending remained reluctant and unemployment gradually worsened, keeping consumer spending reined in, with the exception of the housing sector. As a result, estimates for second-quarter GDP remained in the 1.5% to 1.8% range.

On May 6, 2003, the Federal Reserve Board again kept the targeted federal funds rate3 unchanged at 1.25%, but made it clear that it would maintain its accommodative monetary policy. It believed the probability of deflation exceeded that of a pickup in inflation over the next few quarters. Thus, money market yields continued to fall.

3 The federal funds rate is the interest rate banks charge each other for overnight loans and is a closely watched indicator of US Federal Reserve Board monetary policy.

Then, on June 25, 2003, the Federal Reserve Board cut the targeted federal funds rate by 25 basis points to 1.00% in an effort to further support the economy and stimulate more growth over a longer period. This was the 13th time since the start of 2001 that the Federal Reserve Board cut rates, bringing current interest rates to their lowest level since 1958.

Q: In light of recent market conditions, what has been the Cash Management Fund Investment's strategy?

A: Given the uncertainty in the financial markets and in the US economy, we maintained an aggressive average weighted maturity, generally in the 50- to 55-day range, in Cash Management Fund Investment for most of the semiannual period. As the period began, we maintained a "barbell strategy," whereby we purchased short-dated paper for liquidity and longer-term paper to add duration and to take advantage of the higher yields available at the long end of the money market yield curve. When the yield curve flattened in March 2003, we temporarily adjusted the strategy by focusing purchases at the intermediate portion of the money market yield curve.

During the second quarter 2003, the majority expectation among our money market portfolio management team was for a 25-basis-point rate cut. When, in the run-up to the June 25 meeting by the Federal Reserve Board, interest rates incorporated more than 25 basis points of cuts, we held off buying securities with longer-term maturities. While this led to a temporary reduction in the weighted average maturity of the fund to below 50 days, the decision proved correct. After the Federal Reserve Board's action, rates moved higher, and we used this opportunity to resume purchases of longer-dated securities at rates higher than available immediately before June 25. In addition, the yield curve became positively sloped again, making the purchases of longer-dated securities more attractive. Thus, the weighted average maturity of the fund should soon return to the higher end of its permitted range.

We added callable federal agency securities throughout the period. These securities offered an attractive yield increase over fixed-rate debt and, since they are guaranteed by the US government, enhanced the fund's average credit quality as well. Indeed, throughout the period, our preference for high credit quality issuers in the portfolio did not change.

Q: What was your strategy in Treasury Money Fund Investment?

A: We maintained a shorter-than-benchmark weighted average maturity, generally in the 45-day range, in Treasury Money Fund Investment for most of the period. During the first quarter 2003, we maintained larger positions in longer-dated US Treasury bills. Then, as in Cash Management Fund Investment, the majority expectation among our money market portfolio management team was for a 25-basis-point rate cut during the second quarter. When, in the months leading up to the June 25 meeting by the Federal Reserve Board, interest rates incorporated more than 25 basis points of cuts, we held off buying securities with longer-term maturities. Rather, we focused on purchases of overnight repurchase agreements. While this led to a temporary reduction in the weighted average maturity of the fund, the decision proved correct. After the Federal Reserve Board's action, rates moved higher, and we used this opportunity to resume purchases of longer-dated securities at rates higher than immediately before June 25. In addition, the money market yield curve became positively sloped again, making the purchases of longer-dated securities more attractive.

Q: Do you anticipate any change in your management strategies?

A: We intend to maintain our conservative investment strategies in both funds. We will seek to provide high current income consistent with liquidity and capital preservation.

The views expressed in this report reflect those of the portfolio managers only through the end of the period of the report as stated on the cover. The managers' views are subject to change at any time based on market and other conditions and should not be construed as a recommendation.


Financial Statements


Statements of Assets and Liabilities as of June 30, 2003 (Unaudited)

Assets

Cash Management Fund Investment

Treasury Money Fund Investment

Investment in Portfolioa
 $ 218,279,654 $ 192,081,910
Receivable for Fund shares sold
 - 7,082,011
Other assets
 - 17,548
Total assets
 218,279,654 199,181,469
Liabilities
Dividends payable
 51,888 72,345
Payable for Fund shares redeemed
 - 3,768,542
Accrued administrator service fee
 77,159 84,097
Other accrued expenses and payables
 36,907 12,002
Total liabilities
 165,954 3,936,986
Net assets, at value

$ 218,113,700

$ 195,244,483

Net Assets
Net assets consist of:
Undistributed net investment income
 43,928 21,678
Accumulated net realized gain (loss)
 444 1,748
Paid-in capital
 218,069,328 195,221,057
Net assets, at value

$ 218,113,700

$ 195,244,483

Net Asset Value

Net assets applicable to shares outstanding
 $ 218,113,700 $ 195,244,483
Shares outstanding ($.001 par value per share, unlimited number of shares authorized)
 218,110,453 195,221,060
Net Asset Value, offering and redemption price per share

$ 1.00

$ 1.00


a Investment in the Scudder Cash Management Portfolio and Scudder Treasury Money Portfolio, respectively.

The accompanying notes are an integral part of the financial statements.



Statements of Operations for the six months ended June 30, 2003 (Unaudited)

Investment Income

Cash Management Fund Investment

Treasury Money Fund Investment

Total investment income allocated from the Scudder Cash Management Portfolio and Scudder Treasury Money Portfolio, respectively:
Interest
 $ 999,108 $ 1,259,909
Dividends
 78,970 47,007
Expenses
 (142,297)a (205,214)b
Net investment income allocated from the Scudder Cash Management Portfolio and Scudder Treasury Money Portfolio, respectively
 935,781 1,101,702
Expenses:
Administrator service fees
 434,304 563,867
Auditing
 5,829 5,206
Legal
2,448 553
Trustees' fees and expenses
 3,107 1,182
Reports to shareholders
 7,434 2,102
Registration fees
 17,024 14,942
Other
 1,951 518
Total expenses, before expense reductions
 472,097 588,370
Expense reductions
 (22,210) (24,665)
Total expenses, after expense reductions
 449,887 563,705
Net investment income

485,894

537,997

Net realized gain (loss) from investments
 444 1,748
Net increase (decrease) in net assets resulting from operations

$ 486,338

$ 539,745


a For the six months ended June 30, 2003, the Advisor to the Scudder Cash Management Portfolio waived fees of which $21,978 was allocated to the Cash Management Fund Investment on a pro-rated basis.
b For the six months ended June 30, 2003, the Advisor to the Scudder Treasury Money Portfolio waived fees of which $7,330 was allocated to the Treasury Money Fund Investment on a pro-rated basis.

The accompanying notes are an integral part of the financial statements.



Statement of Changes in Net Assets - Cash Management Fund Investment

Increase (Decrease) in Net Assets

Six Months Ended June 30, 2003 (Unaudited)

Year Ended December 31, 2002

Operations:
Net investment income
$ 485,894 $ 2,505,635
Net realized gain (loss) on investment transactions
 444 4,529
Net increase (decrease) in net assets resulting from operations
 486,338 2,510,164
Distributions to shareholders from:
Net investment income
 (485,929) (2,491,658)
Fund share transactions:
Proceeds from shares sold
 1,023,128,706 2,444,032,150
Reinvestment of distributions
 78,470 591,917
Cost of shares redeemed
 (962,802,297) (2,475,796,888)
Net increase (decrease) in net assets from Fund share transactions
 60,404,879 (31,172,821)
Increase (decrease) in net assets
60,405,288 (31,154,315)
Net assets at beginning of period
 157,708,412 188,862,727
Net assets at end of period (including undistributed net investment income of $43,928 and $43,963, respectively)

$ 218,113,700

$ 157,708,412

Other Information
Shares outstanding at beginning of period
 157,705,574 188,878,394
Shares sold
 1,023,128,706 2,444,032,151
Shares issued to shareholders in reinvestment of distributions
 78,470 591,917
Shares redeemed
 (962,802,297) (2,475,796,888)
Net increase (decrease) in Fund shares
 60,404,879 (31,172,820)
Shares outstanding at end of period
 218,110,453 157,705,574

The accompanying notes are an integral part of the financial statements.



Statement of Changes in Net Assets - Treasury Money Fund Investment

Increase (Decrease) in Net Assets

Six Months Ended June 30, 2003 (Unaudited)

Year Ended December 31, 2002

Operations:
Net investment income
 $ 537,997 $ 2,578,292
Net realized gain (loss) on investment transactions
 1,748 27,684
Net increase (decrease) in net assets resulting from operations
 539,745 2,605,976
Distributions to shareholders from:
Net investment income
 (537,909) (2,598,587)
Net realized gains
 - (50,841)
Fund share transactions:
Proceeds from shares sold
 1,345,965,640 3,347,200,798
Reinvestment of distributions
 361,840 1,762,386
Cost of shares redeemed
 (1,364,623,686) (3,420,383,513)
Net increase (decrease) in net assets from Fund share transactions
 (18,296,206) (71,420,329)
Increase (decrease) in net assets
(18,294,370) (71,463,781)
Net assets at beginning of period
 213,538,853 285,002,634
Net assets at end of period (including undistributed net investment income of $21,678 and $21,590, respectively)

$ 195,244,483

$ 213,538,853

Other Information
Shares outstanding at beginning of period
 213,517,266 284,937,592
Shares sold
 1,345,965,640 3,347,200,798
Shares issued in reinvestment of distributions
 361,840 1,762,386
Shares redeemed
 (1,364,623,686) (3,420,383,510)
Net increase (decrease) in Fund shares
 (18,296,206) (71,420,326)
Shares outstanding at end of period
 195,221,060 213,517,266


The accompanying notes are an integral part of the financial statements.


Financial Highlights


Cash Management Fund Investment

Years Ended December 31,

2003a

2002

2001

2000

1999

1998

Selected Per Share Data
Net asset value, beginning of period

$ 1.00

$ 1.00

$ 1.00

$ 1.00

$ 1.00

$ 1.00

Income from investment operations:
Net investment income
.003 .011 .04 .06 .04 .05
Net realized and unrealized gain (loss) on investment transactionsb
- - - - - -

Total from investment operations

.003 .011 .04 .06 .04 .05
Less distributions from:
Net investment income
(.003) (.011) (.04) (.06) (.04) (.05)
Net asset value, end of period

$ 1.00

$ 1.00

$ 1.00

$ 1.00

$ 1.00

$ 1.00

Total Return (%)c
 .30** 1.14 3.63 5.87 4.58 4.93
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)
 218 158 189 244 154 233
Ratio of expenses before expense reductions, including expenses of Scudder Cash Management Portfolio (%)
 .81* .78 .78 .79 .78 .81
Ratio of expenses after expense reductions, including expenses of Scudder Cash Management Portfolio (%)
 .75* .75 .75 .75 .75 .75
Ratio of net investment income (%)
 .62* 1.10 3.60 5.75 4.42 4.80
a For the six months ended June 30, 2003 (Unaudited).
b Amount is less than $.0005 per share.
c Total returns would have been lower had certain expenses not been reduced.
* Annualized
** Not annualized



Treasury Money Fund Investment

Years Ended December 31,

2003a

2002

2001

2000

1999

1998

Selected Per Share Data
Net asset value, beginning of period

$ 1.00

$ 1.00

$ 1.00

$ 1.00

$ 1.00

$ 1.00

Income from investment operations:
Net investment income
.003 .010 .03 .05 .04 .05
Net realized and unrealized gain (loss) on investment transactionsb
- - - - - -

Total from investment operations

.003 .010 .03 .05 .04 .05
Less distributions from:
Net investment income
(.003) (.010) (.03) (.05) (.04) (.05)
Net realized gain on investment transactions
- -b - - - -
Net asset value, end of period

$ 1.00

$ 1.00

$ 1.00

$ 1.00

$ 1.00

$ 1.00

Total Return (%)c
 .26** 1.04 3.33 5.60 4.32 4.76
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)
 195 214 285 336 561 309
Ratio of expenses before expense reductions, including expenses of Scudder Treasury Money Portfolio (%)
 .78* .78 .79 .78 .77 .77
Ratio of expenses after expense reductions, including expenses of Scudder Treasury Money Portfolio (%)
 .75* .75 .75 .75 .75 .75
Ratio of net investment income (%)
 .52* 1.03 3.25 5.43 4.25 4.66
a For the six months ended June 30, 2003 (Unaudited).
b Amount is less than $.0005.
c Total return would have been lower had certain expenses not been reduced.
* Annualized
** Not annualized


Notes to Financial Statements (Unaudited)


Note 1-Organization and Significant Accounting Policies

A. Organization

Scudder Advisor Funds (formerly BT Investment Funds) (the "Trust") is registered under the Investment Company Act of 1940, as amended (the "1940 Act") as an open-end, diversified, management investment company organized as a Massachusetts business trust. Cash Management Fund Investment and Treasury Money Fund Investment (each a "Fund" and collectively, the "Funds") are two of several funds the Trust offers to investors.

The Funds seek to achieve their investment objectives by investing substantially all of their assets in the Scudder Cash Management Portfolio and the Scudder Treasury Money Portfolio, respectively (each a "Portfolio" and collectively, the "Portfolios"), each an open-end management investment company registered under the 1940 Act. Details concerning each Portfolio's investment objectives and policies and the risk factors associated with each Portfolio's investments are described in their respective Prospectuses and Statements of Additional Information.

On June 30, 2003 the Cash Management Fund Investment owned approximately 2% of the Scudder Cash Management Portfolio and the Treasury Money Fund Investment owned approximately 20% of the Scudder Treasury Money Portfolio. The financial statements of the Portfolios, including the Investment Portfolios, are contained elsewhere in this report and should be read in conjunction with the Funds' financial statements.

Each Fund's financial statements are prepared in accordance with accounting principles generally accepted in the United States of America which require the use of management estimates. Actual results could differ from those estimates. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

B. Security Valuation

Each Fund determines the valuation of its investment in its Portfolio by multiplying its proportionate ownership of the Portfolio by the total value of the Portfolio's net assets.

Each Portfolio's policies for determining the value of its net assets are discussed in each Portfolio's Financial Statements, which accompany this report.

C. Federal Income Taxes

Each Fund's policy is to comply with the requirements of the Internal Revenue Code, as amended, which are applicable to regulated investment companies, and to distribute all of its taxable income to its shareholders. Accordingly, each Fund paid no federal income taxes and no federal income tax provision was required.

At December 31, 2002 the Cash Management Fund Investment had a net tax basis capital loss carry forward of approximately $1,300 which may be applied against any realized net taxable capital gains of each succeeding year until fully utilized or until December 31, 2005, the expiration date, whichever occurs first.

D. Distribution of Income

All of the net investment income of each Fund is declared as a daily dividend and is distributed to shareholders monthly.

Permanent book and tax differences relating to shareholder distributions will result in reclassifications to paid in capital. Temporary book and tax differences will reverse in a subsequent period. There were no significant book to tax differences for the Funds.

At December 31, 2002, the Funds' components of distributable earnings (accumulated losses) on a tax basis were as follows:


Cash Management Fund Investment

Treasury Money Fund Investment

Undistributed ordinary income
$ 43,963 $ 21,590

In addition, during the year ended December 31, 2002, the tax character of distributions paid to shareholders by the Funds is summarized as follows:


2002

Cash Management Fund Investment
Distributions from ordinary income*
$ 2,491,658
Treasury Money Fund Investment
Distributions from ordinary income*
$ 2,649,428

* For tax purposes short-term capital gains distributions are considered ordinary income distributions.

The tax character of current year distributions will be determined at the end of the current fiscal year.

E. Other

Each Fund receives a daily allocation of each respective Portfolio's net investment income and net realized gains and losses in proportion to its investment in the respective Portfolio. Expenses directly attributed to a fund are charged to that Fund, while expenses that are attributed to the Trust are allocated among the Funds in the Trust based on their respective net assets.

Note 2-Fees and Transactions with Affiliates

Deutsche Asset Management, Inc. ("DeAM, Inc." or the "Advisor") is the Advisor for each Portfolio and Investment Company Capital Corp. ("ICCC" or the "Administrator") is the Administrator for each Fund, both an indirect, wholly owned subsidiary of Deutsche Bank AG. Each Fund pays the Administrator an annual fee ("Administrator Service Fee") based on its average daily net assets which is calculated daily and paid monthly at the annual rate of 0.55%.

For the six months ended June 30, 2003, the Administrator contractually agreed to waive its fees and/or reimburse expenses of each Fund to the extent necessary to maintain the annualized expenses of the Scudder Cash Management Fund Investment and Scudder Treasury Money Fund Investment each at 0.75% of their average daily net assets including expenses of the Scudder Cash Management Portfolio and the Scudder Treasury Money Portfolio, respectively.

Accordingly, for the six months ended June 30, 2003, each Fund did not impose a portion of its Administrator Service Fee as follows:


Amount Aggregated

Amount Waived

Effective Rate

Cash Management Fund Investment
 $ 434,304 $ 22,210

.52%

Treasury Money Fund Investment
 $ 563,867 $ 24,665

.53%


Certain officers and a Trustee of the Funds are also officers or Trustees of ICCC or affiliated with Deutsche Bank AG. These persons are not paid by the Funds for serving in these capacities. The Funds pay each Trustee not affiliated with Deutsche Bank AG retainer fees plus specified amounts for attended board and committee meetings.

Note 3-Concentration of Ownership

From time to time each Fund may have a concentration of several shareholders holding a significant percentage of shares outstanding. Investment activities of these shareholders could have a material impact on each Fund.

At June 30, 2003 there was one shareholder who held 87% of the outstanding shares of the Cash Management Fund Investment and there were two shareholders who held 53% of the outstanding shares of the Treasury Money Fund Investment.


Investment Portfolio as of June 30, 2003 (Unaudited)


Scudder Cash Management Portfolio

Principal Amount ($)

Value ($)



Certificates of Deposit and Bank Notes 41.3%

Abbey National Treasury Services PLC, 2.09%, 7/1/2003
50,000,000
 50,000,000
Barclays Bank PLC:
1.24%, 7/14/2003
70,000,000
 69,999,748
1.375%, 7/1/2003
200,000,000
 200,000,000
Caisse Des Depots Et Consignations, 1.375%, 7/1/2003
200,000,000
 200,000,000
Canadian Imperial Bank of Commerce, 1.25%, 3/10/2004
100,000,000
 99,997,398
Credit Agricole Indosuez SA, 1.285%, 4/14/2004
135,000,000
 134,984,027
Credit Lyonnais SA:
1.05%, 12/31/2003
80,000,000
 80,000,000
1.19%, 8/11/2003
100,000,000
 100,000,000
1.25%, 8/18/2003
25,000,000
 25,000,972
1.35%, 7/1/2003
150,000,000
 150,000,000
Danske Bank AS, 1.4%, 7/1/2003
175,000,000
 175,000,000
Dexia Bank, 1.4%, 7/1/2003
200,000,000
 200,000,000
Dresdner Bank AG, 1.5%, 7/1/2003
200,000,000
 200,000,000
First Tennessee Bank NA:
1.2%, 7/2/2003
45,000,000
 44,999,924
1.21%, 7/22/2003
60,000,000
 59,998,592
1.25%, 7/22/2003
45,000,000
 44,999,867
HBOS Treasury Services PLC:

1.23%, 7/29/2003

150,000,000
 150,000,000

1.26%, 7/17/2003

40,000,000
 40,000,000

1.26%, 7/29/2003

85,000,000
 85,000,000
HSBC Bank USA, 2.05%, 7/15/2003
40,000,000
 40,000,000
Landesbank Hessen-Thuringen Girozentrale:
2.02%, 7/23/2003
60,000,000
 60,000,000
2.06%, 7/23/2003
50,000,000
 50,001,470
Lloyds TSB Bank PLC, 0.98%, 8/19/2003
123,000,000
 123,000,000
Natexis Banque Populaires, 1.05%, 9/30/2003
50,000,000
 50,000,000
Norddeutsche Landesbank Girozentrale, 1.18%, 8/11/2003
25,000,000
 25,000,000
Northern Rock PLC:
0.95%, 8/26/2003
60,000,000
 60,000,000
0.95%, 9/23/2003
25,000,000
 25,000,000
1.27%, 7/25/2003
66,000,000
 66,000,431
Rabobank Nederland NV, 1.4%, 7/1/2003
300,000,000
 300,000,000
Royal Bank of Scotland PLC, 1.04%, 8/12/2003
85,000,000
 85,000,000
Societe Generale:
0.92%, 12/23/2003
40,000,000
 40,000,000
1.04%, 8/21/2003
100,000,000
 100,000,000
1.18%, 11/6/2003
119,000,000
 119,113,245
South Trust Bank, 1.32%, 7/1/2003
173,332,841
 173,332,841
Toronto Dominion Bank:
0.92%, 12/23/2003
120,000,000
 120,000,000
1.315%, 4/15/2004
50,000,000
 49,997,030
1.325%, 3/22/2004
47,000,000
 46,998,293
UBS AG, 1.375%, 7/1/2003
200,000,000
 200,000,000
Unicredito Italiano SpA:
0.94%, 9/24/2003
100,000,000
 100,000,000
1.25%, 7/21/2003
40,000,000
 40,000,000
1.29%, 7/28/2003
25,000,000
 25,000,647
1.3%, 7/21/2003
30,000,000
 30,000,000
1.3%, 7/21/2003
30,000,000
 30,000,083
1.3%, 7/23/2003
200,000,000
 200,000,000
Total Certificates of Deposit and Bank Notes (Cost $4,268,424,568)

4,268,424,568


Commercial Paper 39.1%

Asset Portfolio Funding Corp., 1.05%**, 9/22/2003
112,087,000
 111,827,184
Bank of Ireland, 1.21%**, 9/2/2003
25,000,000
 24,947,063
Bear Stearns Bank PLC, 1.22%**, 9/3/2003
45,000,000
 44,902,400
CAFCO International, 1.18%**, 8/13/2003
35,000,000
 34,950,669
CIESCO LP, 1.25%**, 7/8/2003
27,000,000
 26,993,438
CIT Group Holdings, Inc.:
0.99%**, 9/12/2003
15,000,000
 14,969,888
1.05%**, 8/1/2003
25,000,000
 24,977,396
1.06%**, 10/2/2003
25,000,000
 24,931,542
1.25%**, 7/30/2003
25,000,000
 24,974,826
Citigroup Global Markets, 1.26%**, 7/14/2003
180,000,000
 179,918,100
Coca-Cola Enterprises Co.:
1.05%**, 8/4/2003
41,305,000
 41,264,039
1.25%**, 7/15/2003
25,000,000
 24,987,847
Compass Securitization LLC, 1.01%**, 7/21/2003
25,000,000
 24,985,972
Corporate Receivables Corp., 1.15%**, 9/8/2003
75,000,000
 74,834,688
CXC, Inc.:
1.17%**, 8/20/2003
50,000,000
 49,918,750
1.18%**, 8/19/2003
65,000,000
 64,895,603
DEPFA Bank Europe PLC, 1.04%**, 9/12/2003
30,000,000
 29,936,733
GE Capital International Funding, Inc.:
1.05%**, 9/11/2003
75,000,000
 74,842,500
1.24%**, 7/15/2003
100,000,000
 99,951,778
GE Financial Assurance Holdings, Inc.:
1.24%**, 7/21/2003
30,000,000
 29,979,333
1.24%**, 7/29/2003
50,000,000
 49,951,778
Goldman Sachs Group, Inc.:
0.94%**, 11/21/2003
210,000,000
 209,215,883
1.27%**, 9/4/2003
30,000,000
 29,931,208
1.38%, 7/23/2003
290,000,000
 290,000,000
Grampian Funding LLC:
0.96%**, 7/30/2003
40,675,000
 40,643,545
1.23%**, 7/29/2003
50,000,000
 49,952,167
Greyhawk Funding LLC:
0.95%**, 8/19/2003
30,000,000
 29,961,208
1.0%**, 7/23/2003
60,000,000
 59,963,333
1.25%**, 7/10/2003
70,000,000
 69,978,125
1.25%**, 7/11/2003
100,000,000
 99,965,278
Harris Trust, 1.25%, 7/7/2003
100,000,000
 100,000,000
International Lease Finance Corp., 1.27%**, 7/18/2003
37,500,000
 37,477,510
J.P. Morgan Chase & Co., 1.25%**, 7/16/2003
50,000,000
 49,973,958
Jupiter Securitization Corp., 1.0%**, 7/21/2003
42,000,000
 41,976,667
K2 (USA), LLC:
1.0%**, 12/11/2003
29,000,000
 28,868,694
1.05%**, 9/30/2003
43,000,000
 42,885,871
1.16%**, 11/10/2003
20,000,000
 19,914,933
1.28%**, 8/22/2003
20,500,000
 20,462,098
1.34%**, 7/3/2003
51,000,000
 50,996,203
Lake Constance Funding, 1.24%**, 8/28/2003
48,300,000
 48,203,507
Liberty Street Funding Co., 1.0%**, 7/18/2003
25,000,000
 24,988,194
Links Finance Corp.:
1.02%**, 8/28/2003
11,000,000
 10,981,923
1.22%**, 9/2/2003
40,000,000
 39,914,600
Northern Rock PLC, 1.05%**, 8/11/2003
15,000,000
 14,982,063
Old Line Funding Corp.:
1.07%**, 7/29/2003
60,000,000
 59,950,067
1.25%**, 7/11/2003
20,000,000
 19,993,056
Perry Global Funding LLC:
1.23%**, 8/22/2003
50,000,000
 49,911,167
1.25%**, 7/25/2003
50,000,000
 49,958,333
Prefco, 1.19%**, 7/11/2003
47,000,000
 46,984,464
Quincy Capital Corp., 1.08%**, 7/7/2003
100,000,000
 99,982,000
REC Capital Corp., 1.05%**, 7/15/2003
161,247,000
 161,181,157
Royal Bank of Scotland PLC, 1.25%**, 7/11/2003
100,000,000
 99,965,278
RWE AG, 1.05%**, 9/26/2003
40,000,000
 39,898,500
Scaldis Capital LLC:
0.96%**, 7/25/2003
204,541,000
 204,394,955
1.0%**, 7/15/2003
100,000,000
 99,954,811
1.03%**, 7/21/2003
100,000,000
 99,942,778
1.24%**, 9/10/2003
28,618,000
 28,548,013
1.25%**, 10/8/2003
53,686,000
 53,501,454
1.27%**, 7/14/2003
20,000,000
 19,990,828
Sheffield Receivables Corp.:
1.19%**, 7/9/2003
100,000,000
 99,973,556
1.25%**, 7/10/2003
25,000,000
 24,992,188
1.25%**, 7/28/2003
25,000,000
 24,976,563
Shell Finance (UK) PLC, 1.66%**, 7/2/2003
25,000,000
 24,998,847
Spintab AB, 1.22%**, 8/1/2003
80,000,000
 79,915,956
Tango Finance Corp., 1.27%**, 8/1/2003
13,000,000
 12,985,783
Verizon Network Funding Group, 1.34%**, 7/1/2003
23,000,000
 23,000,000
Wells Fargo Bank, 1.24%, 7/10/2003
72,500,000
 72,499,724
Windmill Funding Corp., 1.25%**, 7/8/2003
50,000,000
 49,987,847
Total Commercial Paper (Cost $4,037,665,820)

4,037,665,820


Floating Rate Notes 13.6%

Allstate Life Insurance Co., 1.367%*, 7/1/2003
45,000,000
 45,000,000
American Honda Finance Corp.:
1.2%*, 3/8/2004
90,000,000
 90,000,000
1.256%*, 7/11/2003
35,000,000
 35,000,000
1.431%*, 5/10/2004
25,000,000
 25,039,646
Bank of Scotland PLC, 1.388%*, 5/28/2004
25,000,000
 25,031,911
Beta Finance, Inc.:
1.059%*, 5/17/2004
50,000,000
 49,997,813
1.235%*, 2/6/2004
35,000,000
 34,998,945
Blue Heron Funding Ltd., 1.074%*, 5/19/2004
24,000,000
 24,000,000
Canadian Imperial Bank of Commerce:
1.005%*, 6/21/2004
45,000,000
 45,003,056
1.069%*, 5/28/2004
200,000,000
 199,972,712
CC (USA), Inc., 1.069%*, 9/15/2003
50,000,000
 49,998,965
General Electric Capital Assurance Co.:
1.196%*, 12/29/2003
75,000,000
 75,000,000
1.36%*, 9/3/2003
60,000,000
 60,000,000
1.36%*, 3/1/2004
20,000,000
 20,000,000
General Electric Capital Corp.:
1.399%*, 10/22/2003
20,000,000
 20,008,305
1.625%*, 5/14/2004
19,000,000
 19,031,521
1.7%*, 3/25/2004
15,000,000
 15,020,972
Landesbank Baden Wurttemberg, 1.18%*, 3/15/2004
10,000,000
 10,003,563
Morgan Stanley:
1.166%*, 12/1/2003
50,000,000
 50,000,000
1.55%*, 7/21/2003
27,000,000
 27,000,000
1.55%*, 2/26/2004
60,000,000
 60,000,000
New York Life Funding, 1.09%*, 9/22/2003
60,000,000
 60,000,000
Nordea Bank Finland PLC, 1.219%*, 9/10/2003
40,000,000
 39,997,658
Security Life Denver, 1.41%*, 1/29/2004
50,000,000
 50,000,000
Spintab AB, 1.32%*, 1/23/2004
50,000,000
 50,010,215
Travelers Insurance Co.:
1.341%*, 4/2/2004
30,000,000
 30,000,000
1.369%*, 1/27/2004
50,000,000
 50,000,000
Westdeutsche Landesbank AG, 1.064%*, 6/1/2004
150,000,000
 149,972,294
Total Floating Rate Notes (Cost $1,410,087,576)

1,410,087,576


US Agency Obligations 4.4%

Federal Home Loan Bank:
1.23%, 7/6/2004
45,000,000
 45,000,000
1.25%, 7/2/2004
35,000,000
 35,000,000
1.3%, 6/30/2004
50,000,000
 50,000,000
1.4%, 5/24/2004
50,000,000
 50,000,000
1.425%, 3/8/2004
60,000,000
 60,000,000
Federal Home Loan Mortgage Corp.:
1.03%**, 10/31/2003
50,000,000
 49,825,472
1.06%**, 10/24/2003
50,000,000
 49,830,694
3.25%, 1/15/2004
50,000,000
 50,611,782
Federal National Mortgage Association:

1.4%, 4/19/2004

35,000,000
 35,000,000

1.47%*, 1/29/2004

30,000,000
 30,000,000
Total US Agency Obligations (Cost $455,267,948)

455,267,948



Scudder Cash Management Portfolio

Shares

Value ($)



Money Market Funds 1.6%

AIM Liquid Assets Portfolio, 1.15%
37,542,850
 37,542,850
Federated Prime Cash Obligation Fund, 1.07%
100,000,000
 100,000,000
Strong Heritage Money Fund, 0.98%
25,000,000
 25,000,000
Total Money Market Funds (Cost $162,542,850)

162,542,850

Total Investment Portfolio - 100.0% (Cost $10,333,988,762) (a)

10,333,988,762


* Floating rate notes are securities whose yields vary with a designated market index or market rate, such as the coupon-equivalent of the US Treasury bill rate. These securities are shown at their current rate as of June 30, 2003.
** Annualized yield at the time of purchase; not a coupon rate.
(a) Cost for federal income tax purposes was $10,333,988,762.

The accompanying notes are an integral part of the financial statements.


Investment Portfolio as of June 30, 2003 (Unaudited)


Scudder Treasury Money Portfolio

Principal Amount ($)

Value ($)



US Treasury Obligations 45.1%

US Treasury Bills:


0.99%*, 9/11/2003

50,000,000
 49,901,000

1.03%*, 10/30/2003

60,000,000
 59,782,620

1.09%*, 11/6/2003

30,000,000
 29,883,733

1.15%*, 9/18/2003

30,000,000
 29,924,292

1.18%*, 8/7/2003

40,000,000
 39,951,489

1.18%*, 10/23/2003

50,000,000
 49,813,167

1.21%*, 7/10/2003

58,000,000
 57,982,460

1.23%*, 7/17/2003

25,000,000
 24,986,333
US Treasury Notes:


3.0%, 1/31/2004

75,000,000
 75,870,192

3.25%, 12/31/2003

21,000,000
 21,250,710
Total US Treasury Obligations (Cost $439,345,996)

439,345,996


Repurchase Agreements** 54.9%

Tri Party Repurchase Agreement with Bank of America Securities LLC, dated 6/30/2003, 1.0%, principal and interest in the amount of $45,001,250, due 7/1/2003
45,000,000
 45,000,000
Tri Party Repurchase Agreement with Bear Stearns & Co., Inc., dated 6/30/2003, 1.07%, principal and interest in the amount of $45,001,338, due 7/1/2003
45,000,000
 45,000,000
Tri Party Repurchase Agreement with BNP Paribus, dated 6/30/2003, 1.1%, principal and interest in the amount of $50,001,528, due 7/1/2003
50,000,000
 50,000,000
Tri Party Repurchase Agreement with Credit Suisse First Boston Corp., dated 6/30/2003, 1.09%, principal and interest in the amount of $142,907,697, due 7/1/2003
142,903,370
 142,903,370
Tri Party Repurchase Agreement with Goldman Sachs & Co., dated 6/30/2003, 1.05%, principal and interest in the amount of $45,001,313, due 7/1/2003
45,000,000
 45,000,000
Tri Party Repurchase Agreement with UBS AG, dated 6/30/2003, 1.1%, principal and interest in the amount of $106,003,239, due 7/1/2003
106,000,000
 106,000,000
Tri Party Repurchase Agreement with Westdeutsche Landesbank Girozentrale, dated 6/30/2003, 1.15%, principal and interest in the amount of $100,003,194, due 7/1/2003
100,000,000
 100,000,000
Total Repurchase Agreements (Cost $533,903,370)

533,903,370

Total Investment Portfolio - 100.0% (Cost $973,249,366) (a)

973,249,366


* Annualized yield at the time of purchase; not a coupon rate.
** Repurchase agreements are fully collateralized by US Treasury or Government agency securities.
(a) The cost for federal income tax purposes was $973,249,366.

The accompanying notes are an integral part of the financial statements.


Financial Statements


Statement of Assets and Liabilities as of June 30, 2003 (Unaudited)

Assets

Scudder Cash Management Portfolio

Scudder Treasury Money Portfolio

Investments in securities, at amortized cost
 $ 10,333,988,762 $ 439,345,996
Repurchase agreements, at amortized cost
 - 533,903,370
Cash
 166 -
Receivable for shares of beneficial interest subscribed
 - 3,043,502
Interest receivable
 14,265,652 956,589
Other assets
 42,163 5,878
Total assets
 10,348,296,743 977,255,335
Liabilities
Payable for shares of beneficial interest withdrawn
 74,486 2,934,140
Due to custodian bank
 - 143
Accrued advisory fee
 749,864 94,556
Accrued administrator service fee
 443,856 43,274
Other accrued expenses and payables
 87,275 15,072
Total liabilities
 1,355,481 3,087,185
Net assets, at value

$ 10,346,941,262

$ 974,168,150


The accompanying notes are an integral part of the financial statements.



Statement of Operations for the six months ended June 30, 2003 (Unaudited)

Investment Income

Scudder Cash Management Portfolio

Scudder Treasury Money Portfolio

Interest
 $ 69,456,987 $ 5,253,383
Dividends
 3,743,344 235,033
Total Income
 73,200,331 5,488,416
Expenses:
Advisory fee
 8,069,049 650,122
Administrator service fees
 2,690,545 216,468
Auditing
 11,445 11,032
Legal
5,766 3,877
Trustees' fees and expenses
 163,631 9,044
Other
 222,249 11,669
Total expenses, before expense reductions
 11,162,685 902,212
Expense reductions
 (1,481,559) (35,383)
Total expenses, after expense reductions
 9,681,126 866,829
Net investment income

63,519,205

4,621,587

Net realized gain (loss) from investment transactions
 25,241 9,510
Net increase (decrease) in net assets resulting from operations

$ 63,544,446

$ 4,631,097


The accompanying notes are an integral part of the financial statements.



Statement of Changes in Net Assets - Scudder Cash Management Portfolio

Increase (Decrease) in Net Assets

Six Months Ended June 30, 2003 (Unaudited)

Year Ended December 31, 2002

Operations:
Net investment income
 $ 63,519,205 $ 182,233,459
Net realized gain (loss) on investment transactions
 25,241 204,166
Net increase (decrease) in net assets resulting from operations
 63,544,446 182,437,625
Capital transaction in shares of beneficial interest:
Proceeds from capital invested
 35,877,311,019 54,331,491,476
Value of capital withdrawn
 (36,830,534,502) (54,140,926,979)
Net increase (decrease) in net assets from capital transactions in shares of beneficial interest
 (953,223,483) 190,564,497
Increase (decrease) in net assets
(889,679,037) 373,002,122
Net assets at beginning of period
 11,236,620,299 10,863,618,177
Net assets at end of period

$ 10,346,941,262

$ 11,236,620,299


The accompanying notes are an integral part of the financial statements.

Statement of Changes in Net Assets - Scudder Treasury Money Portfolio

Increase (Decrease) in Net Assets

Six Months Ended June 30, 2003 (Unaudited)

Year Ended December 31, 2002

Operations:
Net investment income
 $ 4,621,587 $ 11,973,811
Net realized gain (loss) on investment transactions
 9,510 84,719
Net increase (decrease) in net assets resulting from operations
 4,631,097 12,058,530
Capital transaction in shares of beneficial interest:
Proceeds from capital invested
 2,243,691,105 106,601,261
Value of capital withdrawn
 (2,069,250,478) (134,822,852)
Net increase (decrease) in net assets from capital transactions in shares of beneficial interest
 174,440,627 (28,221,591)
Increase (decrease) in net assets
179,071,724 (16,163,061)
Net assets at beginning of period
 795,096,426 811,259,487
Net assets at end of period

$ 974,168,150

$ 795,096,426



The accompanying notes are an integral part of the financial statements.


Financial Highlights


Scudder Cash Management Portfolio

Years Ended December 31,

2003a

2002

2001

2000

1999

1998

Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)
 10,347 11,237 10,864 8,806 6,101 5,464
Ratio of expenses before expense reductions (%)
 .21* .20 .20 .20 .20 .20
Ratio of expenses after expense reductions (%)
 .18* .18 .18 .18 .18 .18
Ratio of net investment income (%)
 1.18* 1.71 4.04 6.28 5.04 5.37
Total Investment Return (%)b
 .59** 1.72 - - - -

Scudder Treasury Money Portfolio

Years Ended December 31,

2003a

2002

2001

2000

1999

1998

Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)
 974 795 811 1,431 2,529 2,039
Ratio of expenses before expense reductions (%)
 .21* .21 .21 .21 .20 .20
Ratio of expenses after expense reductions (%)
 .20* .20 .20 .20 .20 .20
Ratio of net investment income (%)
 1.07* 1.56 3.94 5.95 4.76 5.23
Total Investment Return (%)b
 .56** 1.60 - - - -

a For the six months ended June 30, 2003 (Unaudited).
b Total investment return would have been lower had certain expenses not been reduced.
* Annualized
** Not annualized

Notes to Financial Statements (Unaudited)


Note 1-Organization and Significant Accounting Policies

A. Organization

The Scudder Cash Management Portfolio (formerly Cash Management Portfolio) and the Scudder Treasury Money Portfolio (formerly Treasury Money Portfolio) (each a "Portfolio," and collectively, the "Portfolios") are registered under the Investment Company Act of 1940 (the "1940 Act"), as amended, as diversified, open-end management investment companies organized as New York business trusts.

Each Portfolio's financial statements are prepared in accordance with accounting principles generally accepted in the United States of America which require the use of management estimates. Actual results could differ from those estimates. The policies described below are followed consistently by the Portfolios in the preparation of their financial statements.

B. Security Valuation

Each Portfolio's securities are valued utilizing the amortized cost method permitted in accordance with Rule 2a-7 under the 1940 Act and certain conditions therein. Under this method, which does not take into account unrealized capital gains or losses on securities, an instrument is initially valued at its cost and thereafter assumes a constant accretion/amortization to maturity of any discount or premium.

Investments in open-end investment companies are valued at their net asset value each business day.

C. Repurchase Agreements

Each Portfolio may enter into repurchase agreements with certain banks and broker/dealers whereby the Portfolio, through its custodian or sub-custodian bank, receives delivery of the underlying securities, the amount of which at the time of purchase and each subsequent business day is required to be maintained at such a level that the value is equal to at least the principal amount of the repurchase price plus accrued interest. The custodial bank holds the collateral in a separate account until the agreement matures. If the value of the securities falls below the principal amount of the repurchase agreement plus accrued interest, the financial institution deposits additional collateral by the following business day. If the financial institution either fails to deposit the required additional collateral or fails to repurchase the securities as agreed, the Portfolio has the right to sell the securities and recover any resulting loss from the financial institution. If the financial institution enters into bankruptcy, the Portfolio's claims on the collateral may be subject to legal proceedings.

D. Federal Income Taxes

Each Portfolio is considered a partnership under the Internal Revenue Code. Therefore, no federal income tax provision is necessary.

E. Other

Investment transactions are accounted for on the trade date. Interest income is recorded on the accrual basis. Distributions of income and capital gains from investment companies are recorded on the ex-dividend date. Realized gains and losses from investment transactions are recorded on an identified cost basis. All discounts and premiums are accreted/amortized for both tax and financial reporting purposes.

Each Portfolio makes a daily allocation of its net investment income and realized gains and losses from securities transactions to its investors in proportion to their investment in the Portfolio.

Note 2-Fees and Transactions with Affiliates

Deutsche Asset Management, Inc., ("DeAM, Inc." or the "Advisor"), an indirect, wholly owned subsidiary of Deutsche Bank AG, is the Advisor for each of the Portfolios. Under the Advisory Agreement, each Portfolio pays the Advisor an annual fee based on its average daily net assets which is calculated daily and paid monthly at the annual rate of 0.15%.

Investment Company Capital Corp. ("ICCC" or the "Administrator"), also an indirect, wholly owned subsidiary of Deutsche Bank AG, is each Portfolio's Administrator. Each Portfolio pays the Administrator an annual fee ("Administrator Service Fee") based on its average daily net assets which is calculated daily and paid monthly at the annual rate of 0.05%.

For the six months ended June 30, 2003, the Advisor and Administrator maintained the annualized expenses of the Scudder Cash Management Portfolio and Scudder Treasury Money Portfolio at not more than 0.18% and 0.20%, respectively, of each Portfolio's average daily net assets. The amount of the waiver and whether the Advisor and Administrator waive their fees may vary at any time without notice to the shareholders.

Accordingly, for the six months ended June 30, 2003, each Portfolio did not impose a portion of its Advisory fee as follows:


Total Aggregated

Amount
Waived

Effective Rate

Scudder Cash Management Portfolio
 $ 8,069,049 $ 1,481,559

.12%

Scudder Treasury Money Portfolio
 $ 650,122 $ 35,383

.14%


Effective April 11, 2003, State Street Bank and Trust Company ("State Street") is each Portfolio's custodian. Prior to April 11, 2003, Deutsche Bank Trust Company Americas, an affiliate of the Advisor and Administrator, served as custodian for each Portfolio.

Certain officers and a Trustee of the Portfolios are also officers or Trustees of ICCC or affiliated with Deutsche Bank AG. These persons are not paid by the Portfolios for serving in these capacities. The Portfolios pay each Trustee not affiliated with Advisor retainer fees plus specified amounts for attended board and committee meetings.

Note 3-Line of Credit

Prior to April 11, 2003, each Portfolio and several other affiliated funds (the "Participants") shared in a $200 million revolving credit facility with a syndicate of banks for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities. The Participants were charged an annual commitment fee which was allocated, pro rata based upon net assets, among each of the Participants. Interest was calculated at the Federal Funds Rate plus 0.625 percent.

Effective April 11, 2003, each Portfolio entered into a new revolving credit facility administered by J.P. Morgan Chase Bank that provides $1.25 billion of credit coverage. The new revolving credit facility covers the funds and portfolios advised or administered by DeAM, Inc. or its affiliates. Interest is calculated at the Federal Funds Rate plus 0.5 percent. The Portfolios may borrow up to a maximum of 5 percent of their net assets under the agreement.


Account Management Resources


Automated Information Lines

Institutional Investor Services (800) 730-1313

Personalized account information, information on other Scudder funds and services via touchtone telephone and the ability to exchange or redeem shares.

For more information
or to obtain a prospectus

(800) 730-1313, option 1

To speak with a fund service representative.

Written correspondence

Deutsche Asset Management

PO Box 219210
Kansas City, MO
64121-9210

Principal Underwriter

If you have questions, comments or complaints, contact:

Scudder Distributors, Inc.

222 South Riverside Plaza
Chicago, IL 60606
(800) 621-1148

Cash Management Fund Investment

Treasury Money Fund Investment

Nasdaq Symbol

BCSXX
 BTTXX

CUSIP Number

81111R 106
 81111R 403

Fund Number

834
 835


Privacy Statement


This privacy statement is issued by the Deutsche Asset Management mutual funds, Scudder Financial Services, Inc., Scudder Investor Services, Inc., Scudder Trust Company and Scudder Distributors, Inc.

We consider privacy fundamental to our client relationships and adhere to the policies and practices described below to protect current and former clients' information.

We never sell customer lists or individual client information. Internal policies are in place to protect confidentiality, while allowing client needs to be served. Only individuals who need to do so in carrying out their job responsibilities may access client information. We maintain physical, electronic and procedural safeguards that comply with federal standards to protect confidentiality. These safeguards extend to all forms of interaction with us, including the Internet.

In the normal course of business, clients give us nonpublic personal information on applications and other forms, on our Web sites, and through transactions with us or our affiliates. To be able to serve our clients, information is shared with affiliates and other companies. Specifically, we disclose client information to parties that perform various services for us, such as transfer agents, custodians, and broker-dealers. Limited information also may be shared with affiliates, with companies with which we have joint marketing agreements, or with other parties as required by law. Any organization receiving client information may only use it for the purpose designated by the entities listed above.

If you have questions about our privacy policy, please contact us at (800) 730-1313, or write to:

Deutsche Asset Management
Attention: Correspondence
P.O. Box 219415
Kansas City, MO 64121-9415

July 2002


Notes


cmftmf_backcover0 


ITEM 2.         CODE OF ETHICS.

                        Not currently applicable.

ITEM 3.         AUDIT COMMITTEE FINANCIAL EXPERT.

                        Not currently applicable.

ITEM 4.         PRINCIPAL ACCOUNTANT FEES AND SERVICES.

                        Not currently applicable.

ITEM 5.         [RESERVED]

ITEM 6.         [RESERVED]

ITEM 7.         DISCLOSURE OF PROXY VOTING POLICIERS AND PROCEDURES FOR
                CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

ITEM 8.         [RESERVED]

ITEM 9.         CONTROLS AND PROCEDURES.


(a) The Chief Executive and Financial Officers concluded that the
Registrant's Disclosure Controls and Procedures are effective based on the
evaluation of the Disclosure Controls and Procedures as of a date within 90 days
of the filing date of this report.





Form N-CSR Item F

                                   SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.

Registrant:                         Deutsche Cash Management Fund Investment


By:                                 /s/Richard T. Hale
                                    -------------------------------------
                                    Richard T. Hale
                                    Chief Executive Officer

Date:                               August 19, 2003
                                    -------------------------------------

Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.

Registrant:                          Deutsche Cash Management Fund Investment


By:                                 /s/Richard T. Hale
                                    -------------------------------------
                                    Richard T. Hale
                                    Chief Executive Officer

Date:                               August 19, 2003
                                    -------------------------------------


By:                                 /s/Charles A. Rizzo
                                    -------------------------------------
                                    Charles A. Rizzo
                                    Chief Financial Officer

Date:                               August 19, 2003
                                    -------------------------------------


Form N-CSR Item F

                                                      SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.

Registrant:                         Deutsche Treasury Money Fund Investment


By:                                 /s/Richard T. Hale
                                    -------------------------------------
                                    Richard T. Hale
                                    Chief Executive Officer

Date:                               August 19, 2003
                                    -------------------------------------

Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.

Registrant:                         Deutsche Treasury Money Fund Investment

By:                                 /s/Richard T. Hale
                                    -------------------------------------
                                    Richard T. Hale
                                    Chief Executive Officer

Date:                               August 19, 2003
                                    -------------------------------------


By:                                 /s/Charles A. Rizzo
                                    Charles A. Rizzo
                                    Chief Financial Officer

Date:                               August 19, 2003
                                    -------------------------------------