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. We advise you to consider the fund's objectives, risks, charges and expenses carefully before investing. The prospectus contains this and other important information about the fund. Please read the prospectus carefully before you invest.

Investments in mutual funds involve risk. Some funds have more risk than others. This fund is nondiversified and can take larger positions in fewer companies, increasing its overall potential risk. The fund involves additional risk due to its narrow focus. There are special risks associated with an investment in real estate, including credit risk, interest rate fluctuations and the impact of varied economic conditions. Investing in foreign securities presents certain risks, such as currency fluctuation, political and economic changes, and market risks. Additionally, the fund may focus its investments in certain geographical regions, thereby increasing its vulnerability to developments in that region. Please read this fund's prospectus for specific details regarding its investments and risk profile.

DWS Investments is part of Deutsche Bank's Asset Management division and, within the US, represents the retail asset management activities of Deutsche Bank AG, Deutsche Bank Trust Company Americas, Deutsche Investment Management Americas Inc. and DWS Trust Company.

NOT FDIC/NCUA INSURED NO BANK GUARANTEE MAY LOSE VALUE NOT A DEPOSIT NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

All performance shown is historical, assumes reinvestment of all dividend and capital gain distributions, and does not guarantee future results. Investment return and principal value fluctuate with changing market conditions so that, when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. Please visit www.dws-investments.com for the Fund's most recent month-end performance.

The maximum sales charge for Class A shares is 5.75%. Class C shares have no front-end sales charge but redemptions within one year of purchase may be subject to a contingent deferred sales charge (CDSC) of 1%. Unadjusted returns do not reflect sales charges and would have been lower if they had. Institutional Class shares are not subject to sales charges.

The total annual fund operating expense ratios, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated May 1, 2008 are 1.71%, 2.42% and 1.30% for Class A, Class C and Institutional Class shares, respectively. Please see the Information About Your Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the period ended December 31, 2008.

To discourage short-term trading, the Fund imposes a 2% redemption fee on shareholders redeeming shares held less than 15 days, which has the effect of lowering total return.

Returns and rankings for all periods shown reflect a fee waiver and/or expense reimbursement. Without this waiver/reimbursement, returns and rankings would have been lower.

Performance figures do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Returns and rankings may differ by share class.

Source: Lipper Inc. Rankings are historical and do not guarantee future results. Rankings are based on total return unadjusted for sales charges with distributions reinvested. If sales charges had been included, rankings might have been less favorable. Rankings are for Class A shares; other share classes may vary.

The Fund's growth of an assumed $10,000 investment is adjusted for the maximum sales charge of 5.75%. This results in a net initial investment of $9,425.

Class S shares are generally not available to new investors except under certain circumstances. (Please refer to the Fund's Statement of Additional Information.)

All performance shown is historical, assumes reinvestment of all dividend and capital gain distributions and does not guarantee future results. Investment return and principal value fluctuate with changing market conditions so that, when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. Please visit www.dws-investments.com for the Fund's most recent month-end performance.

The total annual fund operating expense ratio, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated May 1, 2008 is 1.70% for Class S shares. Please see the Information About Your Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the period ended December 31, 2008.

To discourage short-term trading, the Fund imposes a 2% redemption fee on shareholders redeeming shares held less than 15 days, which has the effect of lowering total return.

Returns and rankings for all periods shown for Class S shares reflect a fee waiver and/or expense reimbursement. Without this waiver/reimbursement, returns and rankings would have been lower.

Performance figures do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemptions of fund shares. Returns and rankings may differ by share class.

Source: Lipper Inc. Rankings are historical and do not guarantee future results. Rankings are based on total returns with distributions reinvested. Rankings are for Class S shares; other classes may vary.

As an investor of the Fund, you incur two types of costs: ongoing expenses and transaction costs. Ongoing expenses include management fees, distribution and service (12b-1) fees and other Fund expenses. Examples of transaction costs include sales charges (loads), redemption fees and account maintenance fees, which are not shown in this section. The following tables are intended to help you understand your ongoing expenses (in dollars) of investing in the Fund and to help you compare these expenses with the ongoing expenses of investing in other mutual funds. In the most recent six-month period, the Fund limited these expenses; had it not done so, expenses would have been higher. The example in the table is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period (July 1, 2008 to December 31, 2008).

• Actual Fund Return. This helps you estimate the actual dollar amount of ongoing expenses (but not transaction costs) paid on a $1,000 investment in the Fund using the Fund's actual return during the period. To estimate the expenses you paid over the period, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the "Expenses Paid per $1,000" line under the share class you hold.

• Hypothetical 5% Fund Return. This helps you to compare your Fund's ongoing expenses (but not transaction costs) with those of other mutual funds using the Fund's actual expense ratio and a hypothetical rate of return of 5% per year before expenses. Examples using a 5% hypothetical fund return may be found in the shareholder reports of other mutual funds. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period.

Please note that the expenses shown in these tables are meant to highlight your ongoing expenses only and do not reflect any transaction costs. The "Expenses Paid per $1,000" line of the tables is useful in comparing ongoing expenses only and will not help you determine the relative total expense of owning different funds. An account maintenance fee of $6.25 per quarter for Class S shares may apply for certain accounts whose balances do not meet the applicable minimum initial investment. This fee is not included in these tables. If it was, the estimate of expenses paid for Class S shares during the period would be higher, and account value during the period would be lower, by this amount.

Deutsche Investment Management Americas Inc. ("DIMA" or the "Advisor"), which is part of Deutsche Asset Management, is the investment advisor for DWS RREEF Global Real Estate Securities Fund. DIMA and its predecessors have more than 80 years of experience managing mutual funds and DIMA provides a full range of investment advisory services to institutional and retail clients.

RREEF America L.L.C. ("RREEF"), an indirect, wholly owned subsidiary of Deutsche Bank AG, is the subadvisor for the fund. RREEF or a sub-subadvisor makes the investment decisions, buys and sells securities for the fund and conducts research that leads to these purchase and sale decisions.

Pursuant to agreements between RREEF and RREEF Global Advisers Limited, Deutsche Asset Management (Hong Kong) Limited and Deutsche Investments Australia Limited (the "sub-subadvisors"), these entities act as sub-subadvisors to the fund. The sub-subadvisors, which are indirect, wholly owned subsidiaries of Deutsche Bank AG, act under the supervision of the Board, DIMA and RREEF. RREEF allocates, and reallocates as it deems appropriate, the fund's assets among the sub-subadvisors.

RREEF Global Advisers Limited evaluates stock selections for the European portion of the fund's portfolio. Deutsche Asset Management (Hong Kong) Limited and Deutsche Investments Australia Limited evaluate stock selections for the Asian and Australian portions of the fund's portfolio, respectively.

Deutsche Asset Management is a global asset management organization that offers a wide range of investing expertise and resources. This well-resourced global investment platform brings together a wide variety of experience and investment insight across industries, regions, asset classes and investing styles.

DIMA is an indirect, wholly owned subsidiary of Deutsche Bank AG. Deutsche Bank AG is a major global banking institution that is engaged in a wide range of financial services, including investment management, mutual funds, retail, private and commercial banking, investment banking and insurance.

Managing Director of Deutsche Asset Management and of RREEF and Lead Portfolio Manager of the fund.

• Joined RREEF in 1997, Deutsche Asset Management in 2002 and the fund in 2006.

• Prior to that, Assistant Vice President of Lincoln Investment Management responsible for REIT research.

Managing Director of Deutsche Asset Management and of RREEF, and Portfolio Manager of the fund.

• Joined RREEF in 1997, Deutsche Asset Management in 2002 and the fund in 2006.

Managing Director of Deutsche Asset Management and of RREEF, and Portfolio Manager of the fund.

• Prior to that, Director at Schroder Property Investment Management; Director at Henderson Global Investors.

• Prior to that, equity research analyst focusing on Hong Kong and China at Merrill Lynch and UBS Warburg.

Managing Director of Deutsche Asset Management and of RREEF and Portfolio Manager of the fund.

• Prior to that, Principal at KG Redding and Associates, March 2004-September 2004.

• Prior to that, Managing Director of RREEF from 1996-March 2004 and Deutsche Asset Management from 2002-March 2004.

In the following interview, the portfolio management team discusses the market environment, performance results and regional positioning of DWS RREEF Global Real Estate Securities Fund during the fund's most recent annual period ended December 31, 2008.

The views expressed in the following discussion reflect those of the portfolio management team only through the end of the period of the report as stated on the cover. The management team's views are subject to change at any time based on market and other conditions and should not be construed as a recommendation. Past performance is no guarantee of future results. Current and future portfolio holdings are subject to risk.

A: During 2008, real estate securities prices became steadily more volatile. Investors grew apprehensive over the state of the global economy, the credit crunch negatively impacted businesses around the world, and investors cast a skeptical eye on the many real estate firms that needed to refinance short- and medium-term debt in the midst of a massive liquidity squeeze. For the annual period ended December 31, 2008, DWS RREEF Global Real Estate Securities Fund declined -48.64%. (Class A shares, unadjusted for sales charges. If sales charges had been included, returns would have been lower. Past performance is no guarantee of future results. Please see pages 4 through 9 for the performance of other share classes and for more complete performance information.) In comparison, the fund's benchmark, the FTSE EPRA/NAREIT Global Real Estate Index, returned -47.72% for the same period.¹

Q: Would you discuss the investment environment and performance of the four regions the fund covers — North America, Europe, Australia and Asia?

A: In 2008, all four major regions for global real estate experienced extraordinary volatility and posted negative returns. In North America, real estate investment trusts ("REITs") outperformed the broader stock markets over the first three quarters of the year. But that outperformance ended abruptly in October. Investors had been worrying for some time about how much more expensive it would be for US REIT companies to roll over debt that was coming due in the next two years. However, in October and November, with a host of major US financial firms already failed or being rescued and a general drying up of credit worldwide, concern over whether it would even be possible for US REITs to refinance short-term debt sparked massive declines in REIT prices in North America. Similar concerns arose in the Australian real estate securities market, although Australia benefited from the fact that short-term interest rates there began 2008 at a relatively high level. Thus, late in the year, Australia's central bank had ample room to lower rates in an attempt to spur growth. In Europe, real estate securities were badly hurt by the downturn in the Euroland economy, and the pessimistic economic forecast there.² The UK market was particularly hard hit as the London office sector continues to suffer in the wake of poor performance by a number of financial firms. Asia as a region posted negative returns, but outperformed the rest of the world in terms of real estate securities, as prices there benefited from the Chinese government's initiatives to stabilize the country's property market, as well as generally attractive valuations in Asia.

Q: What is your positioning and outlook concerning the global real estate securities market in the coming months?

A: Among the four regions, we have kept the fund's positioning fairly consistent since 2007. We are slightly overweight in Asia based on what we believe to be greater growth potential there compared with other regions.³ Within North America, we are maintaining an underweight because valuations there are not as attractive at present relative to Asia. In addition, we are maintaining a neutral weight to Australia. Lastly, the fund is underweight European real estate because economic prospects there seem quite unfavorable.

We believe that volatility in the real estate investment market will likely persist well into 2009. A major uncertainty for the market over the coming year — as well as for investment markets in general — is the question of when global credit flows will normalize. We have seen some signs of an increase in lending, but nowhere near that which is required for normal business operations. However, we are encouraged by the fact that many governments around the world are taking aggressive actions to stem the economic downturn. In addition, many real estate securities are attractively priced at present, but not all have the wherewithal (in terms of holding high-quality assets and possessing a healthy balance sheet, experienced management and sufficient access to credit) to succeed in such a tremendously difficult economic environment.

Asset allocation, sector diversification and geographical diversification are subject to change.

For more complete details about the Fund's investment portfolio, see page 19. A quarterly Fact Sheet is available upon request. A complete list of the fund's portfolio holdings is posted as of the month end on www.dws-investments.com on or about the 15th day of the following month. More frequent posting of portfolio holdings information may be made from time to time on www.dws-investments.com. Please see the Account Management Resources section for contact information.

Following the Fund's fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q. The form will be available on the SEC's Web site at www.sec.gov, and it also may be reviewed and copied at the SEC's Public Reference Room in Washington, D.C. Information on the operation of the SEC's Public Reference Room may be obtained by calling (800) SEC-0330.

Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157, "Fair Value Measurements," establishes a three-tier hierarchy for measuring fair value and requires additional disclosure about the classification of fair value measurements.

Various inputs are used in determining the value of the Fund's investments. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments). The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2008 in valuing the Fund's investments. For information on the Fund's policy regarding the valuation of investments, please refer to the Security Valuation section of Note A in the accompanying Notes to the Financial Statements.

DWS RREEF Global Real Estate Securities Fund (the "Fund") is a non-diversified series of DWS Advisor Funds (the "Trust") which is registered under the Investment Company Act of 1940, as amended (the "1940 Act"), as an open-end management investment company organized as a Massachusetts business trust.

The Fund offers multiple classes of shares which provide investors with different purchase options. Class A shares are offered to investors subject to an initial sales charge. Class C shares are offered to investors without an initial sales charge but are subject to higher ongoing expenses than Class A shares and a contingent deferred sales charge payable upon certain redemptions within one year of purchase. Institutional Class shares are offered to a limited group of investors, are not subject to initial or contingent deferred sales charges and have lower ongoing expenses than other classes. Class S shares are not subject to initial or contingent deferred sales charges and are generally not available to new investors except under certain circumstances.

Investment income, realized and unrealized gains and losses, and certain fund-level expenses and expense reductions, if any, are borne pro rata on the basis of relative net assets by the holders of all classes of shares, except that each class bears certain expenses unique to that class such as distribution and service fees, services to shareholders and certain other class-specific expenses. Differences in class-level expenses may result in payment of different per share dividends by class. All shares of the Fund have equal rights with respect to voting subject to class-specific arrangements.

The 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.

Security Valuation. Investments are stated at value determined as of the close of regular trading on the New York Stock Exchange on each day the exchange is open for trading. Equity securities and closed-end investment companies are valued at the most recent sale price or official closing price reported on the exchange (US or foreign) or over-the-counter market on which the security is traded most extensively. Securities for which no sales are reported are valued at the calculated mean between the most recent bid and asked quotations on the relevant market or, if a mean cannot be determined, at the most recent bid quotation.

Debt securities are valued by independent pricing services approved by the Trustees of the Fund. If the pricing services are unable to provide valuations, the securities are valued at the most recent bid quotation or evaluated price, as applicable, obtained from one or more broker-dealers. Such services may use various pricing techniques which take into account appropriate factors such as yield, quality, coupon rate, maturity, type of issue, trading characteristics and other data, as well as broker quotes.

Money market instruments purchased with an original or remaining maturity of sixty days or less, maturing at par, are valued at amortized cost. Investments in open-end investment companies and Cash Management QP Trust are valued at their net asset value each business day.

Securities and other assets for which market quotations are not readily available or for which the above valuation procedures are deemed not to reflect fair value are valued in a manner that is intended to reflect their fair value as determined in accordance with procedures approved by the Trustees. The Fund may use a fair valuation model to value international equity securities in order to adjust for events which may occur between the close of the foreign exchanges and the close of the New York Stock Exchange.

The Fund adopted Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157, "Fair Value Measurements," effective at the beginning of the Fund's fiscal year. Disclosure about the classification of fair value measurements is included at the end of the Fund's Investment Portfolio.

Foreign Currency Translations. The books and records of the Fund are maintained in US dollars. Investment securities and other assets and liabilities denominated in a foreign currency are translated into US dollars at the prevailing exchange rates at period end. Purchases and sales of investment securities, income and expenses are translated into US dollars at the prevailing exchange rates on the respective dates of the transactions.

Net realized and unrealized gains and losses on foreign currency transactions represent net gains and losses between trade and settlement dates on securities transactions, the disposition of forward foreign currency exchange contracts and foreign currencies, and the difference between the amount of net investment income accrued and the US dollar amount actually received. That portion of both realized and unrealized gains and losses on investments that results from fluctuations in foreign currency exchange rates is not separately disclosed but is included with net realized and unrealized gain/appreciation and loss/depreciation on investments.

Securities Lending. The Fund may lend securities to financial institutions. The Fund retains beneficial ownership of the securities it has loaned and continues to receive interest and dividends paid by the issuer of securities and to participate in any changes in their market value. The Fund requires the borrowers of the securities to maintain collateral with the Fund consisting of liquid, unencumbered assets having a value at least equal to the value of the securities loaned. When the collateral falls below specified amounts, the lending agents will use their best efforts to obtain additional collateral on the next business day to meet required amounts under the security lending agreement. The Fund may invest the cash collateral into a joint trading account in an affiliated money market fund pursuant to Exemptive Orders issued by the SEC. The Fund receives compensation for lending its securities either in the form of fees or by earning interest on invested cash collateral net of borrower rebates and fees paid to a lending agent. Either the Fund or the borrower may terminate the loan. There may be risks of delay and costs in recovery of securities or even loss of rights in the collateral should the borrower of the securities fail financially. The Fund is also subject to all investment risks associated with the reinvestment of any cash collateral received, including, but not limited to, interest rate, credit and liquidity risk associated with such investments.

Taxes. The 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.

Additionally, based on the Fund's understanding of the tax rules and rates related to income, gains and transactions for the foreign jurisdictions in which it invests, the Fund will provide for foreign taxes, and where appropriate, deferred foreign taxes.

At December 31, 2008, the Fund had a net tax basis capital loss carryforward of approximately $113,830,000, which may be applied against any realized net taxable capital gains of each succeeding year until fully utilized or until December 31, 2016, the expiration date, whichever occurs first.

In addition, from November 1, 2008 through December 31, 2008, the Fund incurred approximately $93,284,000 of net realized capital losses and approximately $116,000 of passive foreign investment companies losses. As permitted by tax regulations, the Fund intends to elect to defer these losses and treat them as arising in the year ending December 31, 2009.

The Fund has reviewed the tax positions for the open tax years as of December 31, 2008 and has determined that no provision for income tax is required in the Fund's financial statements. The Fund's federal tax returns for the prior three fiscal years remain subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Net investment income of the Fund is declared and distributed to shareholders annually. Net realized gains from investment transactions, in excess of available capital loss carryforwards, would be taxable to the Fund if not distributed, and, therefore, will be distributed to shareholders at least annually.

The timing and characterization of certain income and capital gains distributions are determined annually in accordance with federal tax regulations which may differ from accounting principles generally accepted in the United States of America. These differences primarily relate to investments in foreign denominated investments, investments in passive foreign investment companies, recognition of certain foreign currency gains (losses) as ordinary income (loss) and certain securities sold at a loss. As a result, net investment income (loss) and net realized gain (loss) on investment transactions for a reporting period may differ significantly from distributions during such period. Accordingly, the Fund may periodically make reclassifications among certain of its capital accounts without impacting the net asset value of the Fund.

At December 31, 2008, the Fund's components of distributable earnings (accumulated losses) on a tax basis were as follows:

In addition, the tax character of distributions paid to shareholders by the Fund is summarized as follows:

Redemption Fees. The Fund imposes a redemption fee of 2% of the total redemption amount on the Fund shares redeemed or exchanged within 15 days of buying them, either by purchase or exchange. This fee is assessed and retained by the Fund for the benefit of the remaining shareholders. The redemption fee is accounted for as an addition to paid-in capital.

Expenses. Expenses of the Trust arising in connection with a specific Fund are allocated to that Fund. Other Trust expenses which cannot be directly attributed to a Fund are apportioned among the Funds in the Trust.

Contingencies. In the normal course of business, the Fund may enter into contracts with service providers that contain general indemnification clauses. The Fund's maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund that have not yet been made. However, based on experience, the Fund expects the risk of loss to be remote.

Real Estate Investment Trusts. The Fund recharacterizes distributions received from a United States Real Estate Investment Trust ("US REIT") investment based on information provided by the US REIT into the following categories: ordinary income, long-term and short-term capital gains, and return of capital. If information is not available timely from a US REIT, the recharacterization will be estimated and a recharacterization will be made in the following year when such information becomes available. Distributions received from US REITs in excess of income are recorded as either a reduction of cost of investments or realized gains. The Fund distinguishes between dividends on a tax basis and a financial reporting basis and only distributions in excess of tax basis earnings and profits are reported in the financial statements as a return of capital for tax reporting purposes. With respect to the distributions received from foreign domiciled corporations, generally determined to be passive foreign investment companies for tax reporting purposes, such amounts are included in dividend income without any recharacterization.

Other. Investment transactions are accounted for on the trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment security transactions are reported on trade date. Interest income is recorded on the accrual basis. Dividend income is recorded on the ex-dividend date net of foreign withholding rates. Certain dividends from foreign securities may be recorded subsequent to the ex-dividend date as soon as the Fund is informed of such dividends. Realized gains and losses from investment transactions are recorded on an identified cost basis. All premiums and discounts are amortized/accreted for financial reporting purposes.

During the year ended December 31, 2008, purchases and sales of investment securities (excluding short-term investments) aggregated $707,155,517 and $550,949,645, respectively.

Management Agreement. Under the Investment Management Agreement with Deutsche Investment Management Americas Inc. ("DIMA" or the "Advisor"), an indirect, wholly owned subsidiary of Deutsche Bank AG, the Advisor directs the investments of the Fund in accordance with its investment objectives, policies and restrictions. The Advisor determines the securities, instruments and other contracts relating to investments to be purchased, sold or entered into by the Fund or delegates such responsibility to the Fund's sub-advisor.

Under the Investment Management Agreement the Fund pays a monthly management fee based on the Fund's average daily net assets computed and accrued daily and payable monthly, at the following annual rates:

RREEF America L.L.C. ("RREEF"), an indirect, wholly owned subsidiary of Deutsche Bank AG, is the subadvisor for the Fund. While DIMA is the investment advisor to the Fund, the day-to-day activities of managing the Fund's portfolio have been delegated to RREEF. DIMA compensates RREEF out of the management fee it receives from the Fund.

Pursuant to investment subadvisory agreements between RREEF and RREEF Global Advisers Limited, Deutsche Asset Management (Hong Kong) Limited and Deutsche Investments Australia Limited (the "sub-subadvisors"), these entities act as sub-subadvisors to the Fund. The sub-subadvisors are indirect, wholly owned subsidiaries of Deutsche Bank AG. As sub-subadvisors, under the supervision of the Board of Trustees, DIMA and RREEF, the sub-subadvisors manage the Fund's investments in specific foreign markets. The subadvisor pays each sub-subadvisor for its services from the investment advisory fee it receives from the Advisor.

Accordingly, for the year ended December 31, 2008, the fee pursuant to the Investment Management Agreement was equivalent to an annual effective rate of 0.995% of the Fund's average daily net assets.

For the period from January 1, 2008 through September 30, 2009 (through September 30, 2008 for Class A shares), the Advisor has contractually agreed to waive all or a portion of its management fee and reimburse or pay certain operating expenses of the Fund (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest) to the extent necessary to maintain the operating expenses of each class as follows:

For Class A shares, from January 1, 2008 through September 30, 2008, the Advisor had voluntarily agreed to waive all or a portion of its management fee and reimburse or pay certain operating expenses of the Fund (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest) to the extent necessary to maintain the operating expenses at 1.50%.

Effective October 1, 2008 through September 30, 2009, the Advisor has contractually agreed to waive all or a portion of its management fee and reimburse or pay certain operating expenses of the Fund (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest) to the extent necessary to maintain the operating expenses at 1.50% for Class A shares.

Under these arrangements, for the year ended December 31, 2008, the Advisor waived $227,657 of sub-recordkeeping expense for Class S shares.

Administration Fee. Pursuant to an Administration Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administration Services Agreement, the Fund pays the Advisor an annual fee ("Administration Fee") of 0.10% of the Fund's average daily net assets, computed and accrued daily and payable monthly. For the year ended December 31, 2008, the Advisor received an Administration Fee of $733,951, of which $39,032 is unpaid.

Service Provider Fees. DWS Investments Service Company ("DISC"), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent of the Fund. Pursuant to a sub-transfer agency agreement between DISC and DST Systems, Inc. ("DST"), DISC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DISC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2008, the amounts charged to the Fund by DISC were as follows:

Distribution and Service Fees. Under the Fund's Class C 12b-1 Plan, DWS Investments Distributors, Inc. ("DIDI"), an affiliate of the Advisor, receives a fee ("Distribution Fee") of 0.75% of average daily net assets of Class C shares. In accordance with the Fund's Underwriting and Distribution Services Agreement, DIDI enters into related selling group agreements with various firms at various rates for sales of Class C shares. For the year ended December 31, 2008, the Distribution Fee was as follows:

In addition, DIDI provides information and administration services for a fee ("Service Fee") to Class A and C shareholders at an annual rate of up to 0.25% of average daily net assets for each such class. DIDI in turn has various agreements with financial services firms that provide these services and pays these fees based upon the assets of shareholder accounts the firms service. For the year ended December 31, 2008, the Service Fee was as follows:

Underwriting Agreement and Contingent Deferred Sales Charge. DIDI is the principal underwriter for the Fund. Underwriting commissions paid in connection with the distribution of Class A shares for the year ended December 31, 2008 aggregated $14,711.

In addition, DIDI receives any contingent deferred sales charge ("CDSC") from Class C share redemptions occurring within one year of purchase. There is no such charge upon redemption of any share appreciation or reinvested dividends. The CDSC is based on a rate of 1% for Class C, of the value of the shares redeemed. For the year ended December 31, 2008, the CDSC for Class C shares aggregated $32,291. A deferred sales charge of up to 1% is assessed on certain redemptions of Class A shares. For the year ended December 31, 2008, DIDI received $9,679 for Class A shares

Typesetting and Filing Service Fees. Under an agreement with DIMA, DIMA is compensated for providing typesetting and certain regulatory filing services to the Fund. For the year ended December 31, 2008, the amount charged to the Fund by DIMA included in the Statement of Operations under "reports to shareholders" aggregated $37,692, of which $7,945 is unpaid.

Trustees' Fees and Expenses. The Fund paid each Trustee not affiliated with the Advisor retainer fees plus specified amounts for various committee services and for the Board Chairperson and Vice Chairperson.

In connection with the board consolidation on April 1, 2008, of the two DWS Funds Boards of Trustees, certain Independent Board Members retired prior to their normal retirement date, and received a one-time retirement benefit. DIMA has agreed to reimburse the Funds for the cost of this benefit. During the period ended December 31, 2008, the Fund paid its allocated portion of the retirement benefit of $4,100 to the non-continuing Independent Board Members, and the Fund was reimbursed by DIMA for this payment.

Cash Management QP Trust. Pursuant to an Exemptive Order issued by the SEC, the Fund may invest in the Cash Management QP Trust (the "QP Trust") and other affiliated funds managed by the Advisor. The QP Trust seeks to provide as high a level of current income as is consistent with the preservation of capital and the maintenance of liquidity. The QP Trust does not pay the Advisor a management fee for the affiliated funds' investments in the QP Trust.

From time to time, the 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 the Fund. At December 31, 2008, the DWS Alternative Asset Allocation Plus Fund held 14% of the total shares outstanding of the Fund.

The Fund and other affiliated funds (the "Participants") share in a $490 million revolving credit facility provided by a syndication of banks. The Fund may borrow for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities. The Participants are charged an annual commitment fee which is allocated based on net assets, among each of the Participants. Interest is calculated at the Federal Funds Rate plus 0.35 percent. The Fund may borrow up to a maximum of 20 percent of its net assets under the agreement.

The Fund concentrates its investments in real estate securities, including US REITs. A fund with a concentrated portfolio is vulnerable to the risks of the industry in which it invests and is subject to greater risks and market fluctuations than funds investing in a broader range of industries. Real estate securities are susceptible to the risks associated with direct ownership of real estate such as declines in property values; increases in property taxes, operating expenses, interest rates or competition; zoning changes; and losses from casualty and condemnation.

Investing in emerging markets may involve special risks and considerations not typically associated with investing in the United States of America. These risks include revaluation of currencies, high rates of inflation, repatriation restrictions on income and capital, and future adverse political, social and economic developments. Moreover, securities issued in these markets may be less liquid, subject to government ownership controls or delayed settlements and may have prices more volatile than those of comparable securities of issuers in the United States of America.

To the Trustees of DWS Advisor Funds and Shareholders of DWS RREEF Global Real Estate Securities Fund:

In our opinion, the accompanying statement of assets and liabilities, including the investment portfolio, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of DWS RREEF Global Real Estate Securities Fund (the "Fund") at December 31, 2008, and the results of its operations, the changes in its net assets and the financial highlights for the periods indicated therein, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fund's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2008 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

Please consult a tax advisor if you have questions about federal or state income tax laws, or on how to prepare your tax returns. If you have specific questions about your account, please call (800) 621-1048.

The Board of Trustees, including the Independent Trustees, approved the renewal of your Fund's investment management agreement (the "Agreement") with Deutsche Investment Management Americas Inc. ("DIMA"), the sub-advisory agreement (the "Sub-Advisory Agreement") between DIMA and RREEF America LLC ("RREEF"), an affiliate of DIMA, and the sub-sub-advisory agreements (the "Sub-Sub-Advisory Agreements," and together with the Agreement and Sub-Advisory Agreement,\ the "Agreements") between RREEF and each of RREEF Global Advisers Limited, Deutsche Asset Management (Hong Kong) Limited and Deutsche Investments Australia Limited (the "Sub-Sub-Advisors"), all affiliates of DIMA, in September 2008.

In terms of the process that the Board followed prior to approving the Agreements, shareholders should know that:

• At the present time, all but one of your Fund's Trustees are independent of DIMA and its affiliates.

• The Trustees meet frequently to discuss fund matters. Each year, the Trustees dedicate part or all of several meetings to contract review matters. Over the course of several months, the Board's Contract Committee, in coordination with the Board's Equity Oversight Committee, reviewed comprehensive materials received from DIMA, independent third parties and independent counsel. These materials included an analysis of the Fund's performance, fees and expenses, and profitability compiled by the Fund's independent fee consultant. The Board also received extensive information throughout the year regarding performance of the Fund.

• The Trustees regularly meet privately with their independent counsel (and, as needed, other advisors) to discuss contract review and other matters. In addition, the Trustees were also advised by the Fund's independent fee consultant in the course of their review of the Fund's contractual arrangements and considered a comprehensive report prepared by the independent fee consultant in connection with their deliberations (the "IFC Report").

• In connection with reviewing the Agreements, the Board also reviewed the terms of the Fund's Rule 12b-1 plan, distribution agreement, administrative services agreement, transfer agency agreement and other material service agreements.

• Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Independent Trustees as a group. The Independent Trustees reviewed the Contract Committee's findings and recommendations and presented their recommendations to the full Board.

In connection with the contract review process, the Contract Committee and the Board considered the factors discussed below, among others. The Board also considered that DIMA and its predecessors have managed the Fund since its inception, and the Board believes that a long-term relationship with a capable, conscientious advisor is in the best interests of the Fund. The Board considered, generally, that shareholders chose to invest or remain invested in the Fund knowing that DIMA managed the Fund. DIMA, RREEF and the Sub-Sub-Advisors are part of Deutsche Bank, a major global banking institution that is engaged in a wide range of financial services. The Board believes that there are significant advantages to being part of a global asset management business that offers a wide range of investing expertise and resources, including hundreds of portfolio managers and analysts with research capabilities in many countries throughout the world.

While shareholders may focus primarily on fund performance and fees, the Fund's Board considers these and many other factors, including the quality and integrity of DIMA's, RREEF's and the Sub-Sub-advisors' personnel and such other issues as back-office operations, fund valuations, and compliance policies and procedures.

Nature, Quality and Extent of Services. The Board considered the terms of the Agreements, including the scope of advisory services provided under the Agreements. The Board noted that, under the Agreements, DIMA, RREEF and the Sub-Sub-Advisors provide portfolio management services to the Fund and that, pursuant to a separate administrative services agreement, DIMA provides administrative services to the Fund. The Board considered the experience and skills of senior management and investment personnel, the resources made available to such personnel, the ability of DIMA, RREEF and the Sub-Sub-Advisors to attract and retain high-quality personnel, and the organizational depth and stability of DIMA, RREEF and the Sub-Sub-Advisors. The Board reviewed the Fund's performance over short-term and long-term periods and compared those returns to various agreed-upon performance measures, including market indices and a peer universe compiled by the independent fee consultant using information supplied by Lipper Inc. ("Lipper"). The Board also noted that it has put a process into place of identifying "Focus Funds" (e.g., funds performing poorly relative to their benchmark or a peer group compiled by Lipper), and receives more frequent reporting and information from DIMA regarding such funds, along with DIMA's remedial plans to address underperformance. The Board believes this process is an effective manner of identifying and addressing underperforming funds. Based on the information provided, the Board noted that for the one-year period ended December 31, 2007, the Fund's performance (Class A shares) was in the 1st quartile of the applicable Lipper universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund underperformed its benchmark in the one-year period ended December 31, 2007. The Board observed that there were significant limitations to the usefulness of the comparative data provided by Lipper, Inc., noting that the applicable Lipper universe for the Fund was not large enough to provide a meaningful comparison. As a result, the Board gave increased weight to the Fund's performance relative to its benchmark than some of the additional comparative data. The Board recognized that DIMA has made significant changes in its investment personnel and processes in recent yeas in an effort to improve long-term performance.

On the basis of this evaluation and the ongoing review of investment results by the Board, the Board concluded that the nature, quality and extent of services provided by DIMA, RREEF and the Sub-Sub-Advisors historically have been and continue to be satisfactory.

Fees and Expenses. The Board considered the Fund's investment management fee schedule, sub-advisory and sub-sub-advisory fee schedules, operating expenses, and total expense ratios, and comparative information provided by Lipper and the independent fee consultant regarding investment management fee rates paid to other investment advisors by similar funds (1st quartile being the most favorable and 4th quartile being the least favorable). With respect to management fees paid to other investment advisors by similar funds, the Board noted that the contractual fee rates paid by the Fund, which include the 0.10% fee paid to DIMA under the Fund's administrative services agreement, were higher than the median (4th quartile) of the applicable Lipper peer group (based on Lipper data provided as of December 31, 2007). With respect to the sub-advisory and sub-sub-advisory fees paid to RREEF and the Sub-Sub-Advisors, the Board noted that the fees are paid by DIMA and RREEF, respectively, out of their fees and not directly by the Fund. The Board noted that the Fund's Class A shares' total (net) operating expenses (excluding 12b-1 fees) were expected to be higher than the median (4th quartile) of the applicable Lipper expense universe (based on Lipper data provided as of December 31, 2007, and analyzing Lipper expense universe Class A expenses less any applicable 12b-1 fees) ("Lipper Universe Expenses"). The Board also reviewed each other share class's total (net) operating expenses relative to the Lipper Universe Expenses. The Trustee observed that there were significant limitations to the usefulness of the comparative data provided by Lipper, noting that the applicable Lipper universe for the Fund was not large enough to provide a meaningful comparison. The Board considered the Fund's management fee rate as compared to fees charged by DIMA and certain of its affiliates for comparable mutual funds and considered differences in fund and fee structures between the DWS Funds. The Board also considered how the Fund's total (net) operating expenses compared to the total (net) operating expenses of a more customized peer group selected by Lipper (based on such factors as asset size). The Board also noted that the expense limitations agreed to by DIMA helped to ensure that the Fund's total (net) operating expenses would be competitive relative to the applicable Lipper universe.

On the basis of the information provided, the Board concluded that management fees were reasonable and appropriate in light of the nature, quality and extent of services provided by DIMA, RREEF and the Sub-Sub-advisors.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs and pre-tax profits realized by DIMA from advising the DWS Funds, as well as estimates of the pre-tax profits attributable to managing the Fund in particular. The Board also received information regarding the estimated enterprise-wide profitability of the DWS Investments organization with respect to all fund services in totality and by fund. The Board reviewed DIMA's methodology in allocating its costs to the management of the Fund. Based on the information provided, the Board concluded that the pre-tax profits realized by DIMA in connection with the management of the Fund were not unreasonable. The Board also reviewed information regarding the profitability of certain similar investment management firms. The Board noted that while information regarding the profitability of such firms is limited (and in some cases is not necessarily prepared on a comparable basis), DIMA and its affiliates' overall profitability with respect to the DWS Investments fund complex (after taking into account distribution and other services provided to the funds by DIMA and its affiliates) was lower than the overall profitability levels of many comparable firms for which such data was available.

Economies of Scale. The Board considered whether there are economies of scale with respect to the management of the Fund and whether the Fund benefits from any economies of scale. The Board noted that the Fund's management fee schedule includes fee breakpoints. The Board concluded that the Fund's fee schedule represents an appropriate sharing between the Fund and DIMA of such economies of scale as may exist in the management of the Fund at current asset levels.

Other Benefits to DIMA and Its Affiliates. The Board also considered the character and amount of other incidental benefits received by DIMA and its affiliates, including any fees received by DIMA for administrative services provided to the Fund and any fees received by an affiliate of DIMA for distribution services. The Board also considered benefits to DIMA related to brokerage and soft-dollar allocations, including allocating brokerage to pay for research generated by parties other than the executing broker dealers, which pertain primarily to funds investing in equity securities, along with the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DWS Investments products and services. The Board concluded that management fees were reasonable in light of these fallout benefits.

Compliance. The Board considered the significant attention and resources dedicated by DIMA to documenting and enhancing its compliance processes in recent years. The Board noted in particular (i) the experience and seniority of DIMA's chief compliance officer; (ii) the large number of compliance personnel who report to DIMA's chief compliance officer; and (iii) the substantial commitment of resources by DIMA and its affiliates to compliance matters.

Based on all of the information considered and the conclusions reached, the Board (including a majority of the Independent Trustees) determined that the continuation of the Agreements is in the best interests of the Fund. In making this determination the Board did not give particular weight to any single factor identified above. The Board considered these factors over the course of numerous meetings, certain of which were in executive session with only the Independent Trustees and their counsel present. It is possible that individual Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreements.

Pursuant to an Order entered into by Deutsche Investment Management Americas and affiliates (collectively, "DeAM") with the Attorney General of New York, I, Thomas H. Mack, have been appointed the Independent Fee Consultant for the DWS Funds (formerly the DWS Scudder Funds). My duties include preparing an annual written evaluation of the management fees DeAM charges the Funds, considering among other factors the management fees charged by other mutual fund companies for like services, management fees DeAM charges other clients for like services, DeAM's costs of supplying services under the management agreements and related profit margins, possible economies of scale if a Fund grows larger, and the nature and quality of DeAM's services, including fund performance. This report summarizes my evaluation for 2008, including my qualifications, the evaluation process for each of the DWS Funds, consideration of certain complex-level factors, and my conclusions. I served in substantially the same capacity in 2007.

For more than 35 years I have served in various professional capacities within the investment management business. I have held investment analysis and advisory positions, including securities analyst, portfolio strategist and director of investment policy with a large investment firm. I have also performed business management functions, including business development, financial management and marketing research and analysis.

Since 1991, I have been an independent consultant within the asset management industry. I have provided services to over 125 client organizations, including investment managers, mutual fund boards, product distributors and related organizations. Over the past ten years I have completed a number of assignments for mutual fund boards, specifically including assisting boards with management contract renewal.

I hold a Master of Business Administration degree, with highest honors, from Harvard University and Master of Science and Bachelor of Science (highest honors) degrees from the University of California at Berkeley. I am an independent director and audit committee financial expert for two closed-end mutual funds, serve on the board of directors of a private market research company, and have served in various leadership and financial oversight capacities with non-profit organizations.

My work focused primarily on evaluating, fund-by-fund, the fees charged to each of the 129 Fund portfolios in the DWS Fund family. For each Fund, I considered each of the key factors mentioned above, as well as any other relevant information. In doing so I worked closely with the Funds' Independent Directors in their annual contract renewal process, as well as in their approval of contracts for several new funds (documented separately).

In evaluating each Fund's fees, I reviewed comprehensive materials provided by or on behalf of DeAM, including expense information prepared by Lipper Analytical, comparative performance information, profitability data, manager histories, and other materials. I also accessed certain additional information from the Lipper, Strategic Insight, and Morningstar databases and drew on my industry knowledge and experience.

To facilitate evaluating this considerable body of information, I prepared for each Fund a document summarizing the key data elements in each area as well as additional analytics discussed below. This made it possible to consider each key data element in the context of the others.

In the course of contract renewal, DeAM agreed to implement a number of fee and expense adjustments requested by the Independent Directors which will favorably impact future fees and expenses, and my evaluation includes the effects of these changes.

The competitive fee and expense evaluation for each fund focused on two primary comparisons:

The Fund's contractual management fee (the advisory fee plus the administration fee where applicable) compared with those of a group of typically 12-15 funds in the same Lipper investment category (e.g. Large Capitalization Growth) having similar distribution arrangements and being of similar size.

The Fund's total expenses compared with a broader universe of funds from the same Lipper investment category and having similar distribution arrangements.

These two comparisons provide a view of not only the level of the fee compared with funds of similar scale but also the total expense the Fund bears for all the services it receives, in comparison with the investment choices available in the Fund's investment category and distribution channel. The principal figure-of-merit used in these comparisons was the subject Fund's percentile ranking against peers.

DeAM provided management fee schedules for all of its US domiciled fund and non-fund investment management accounts in any of the investment categories where there is a DWS Fund. These similar products included the other DWS Funds, non-fund pooled accounts, institutional accounts and sub-advisory accounts. Using this information, I calculated for each Fund the fee that would be charged to each similar product, at the subject Fund's asset level.

Evaluating information regarding non-fund products is difficult because there are varying levels of services required for different types of accounts, with mutual funds generally requiring considerably more regulatory and administrative types of service as well as having more frequent cash flows than other types of accounts. Also, while mutual fund fees for similar fund products can be expected to be similar, there will be some differences due to different pricing conditions in different distribution channels (e.g. retail funds versus those used in variable insurance products), differences in underlying investment processes and other factors.

DeAM provided a detailed profitability analysis for each Fund. After making some adjustments so that the presentation would be more comparable to the available industry figures, I reviewed profit margins from investment management alone, from investment management plus other fund services (excluding distribution) provided to the Funds by DeAM (principally shareholder services), and DeAM profits from all sources, including distribution. A later section comments on overall profitability.

Economies of scale — an expected decline in management cost per dollar of fund assets as fund assets grow — are very rarely quantified and documented because of inherent difficulties in collecting and analyzing relevant data. However, in virtually every investment category that I reviewed, larger funds tend to have lower fees and lower total expenses than smaller funds. To see how each DWS Fund compares with this industry observation, I reviewed:

The trend in Fund assets over the last five years and the accompanying trend in total expenses. This shows if the Fund has grown and, if so, whether total expense (management fees as well as other expenses) have declined as a percent of assets.

Whether the Fund has break-points in its management fee schedule, the extent of the fee reduction built into the schedule and the asset levels where the breaks take effect, and in the case of a sub-advised Fund how the Fund's break-points compare with those of the sub-advisory fee schedule.

How the Fund's contractual fee schedule compares with trends in the industry data. To accomplish this, I constructed a chart showing how actual latest-fiscal-year contractual fees of the Fund and of other similar funds relate to average fund assets, with the subject Fund's contractual fee schedule superimposed.

The quality-of-service evaluation focused on investment performance, which is the principal result of the investment management service. Each Fund's performance was reviewed over the past 1, 3, 5 and 10 years, as applicable, and compared with that of other funds in the same investment category and with a suitable market index.

In addition, I calculated and reviewed risk-adjusted returns relative to an index of similar mutual funds' returns and a suitable market index. The risk-adjusted returns analysis provides a way of determining the extent to which the Fund's return comparisons are mainly the product of investment value-added (or lack thereof) or alternatively taking considerably more or less risk than is typical in its investment category.

I also received and considered the history of portfolio manager changes for each Fund, as this provided an important context for evaluating the performance results.

While this evaluation was conducted mainly at the individual fund level, there are some issues relating to the reasonableness of fees that can alternatively be considered across the whole fund complex:

I reviewed DeAM's profitability analysis for all DWS Funds, with a view toward determining if the allocation procedures used were reasonable and how profit levels compared with public data for other investment managers.

I considered whether DeAM and affiliates receive any significant ancillary or "fall-out" benefits that should be considered in interpreting the direct profitability results. These would be situations where serving as the investment manager of the Funds is beneficial to another part of the Deutsche Bank organization.

I considered how aggregated DWS Fund expenses had varied over the years, by asset class and in the context of trends in asset levels.

I reviewed the structure of the DeAM organization, trends in staffing levels, and information on compensation of investment management and other professionals compared with industry data.

Based on the process and analysis discussed above, which included reviewing a wide range of information from management and external data sources and considering among other factors the fees DeAM charges other clients, the fees charged by other fund managers, DeAM's costs and profits associated with managing the Funds, economies of scale, possible fall-out benefits, and the nature and quality of services provided, in my opinion the management fees charged the DWS Funds are reasonable.

Pursuant to an Order entered into by Deutsche Asset Management (DeAM) with the Attorney General of New York, I, Thomas H. Mack, have been appointed the Independent Fee Consultant for the DWS Funds and have as part of my duties evaluated the reasonableness of the proposed management fees to be charged by DeAM to the DWS Funds, taking onto account a proposal to pass through to the funds certain fund accounting-related charges in connection with new regulatory requirements. My evaluation considered the following:

• While the proposal would alter the services to be provided under the Administration Agreement, which I consider to be part of fund management under the Order, it is my opinion that the change in services is slight and that the scope of prospective services under the combination of the Advisory and Administration Agreements continues to be comparable with those typically provided to competitive funds under their management agreements.

• While the proposal would increase fund expenses, according to a pro forma analysis performed by management, the prospective effect is less than .01% for all but seven of the DeAM Funds' 438 active share classes, and in all cases the effect is less than .03% and overall expenses would remain reasonable in my opinion.

Based on the foregoing considerations, in my opinion the fees and expenses for all of the DWS Funds will remain reasonable if the Directors adopt this proposal.

The following table presents certain information regarding the Board Members and Officers of the Trust as of December 31, 2008. Each Board Member's year of birth is set forth in parentheses after his or her name. Unless otherwise noted, (i) each Board Member has engaged in the principal occupation(s) noted in the table for at least the most recent five years, although not necessarily in the same capacity; and (ii) the address of each Independent Board Member is c/o Dawn-Marie Driscoll, PO Box 100176, Cape Coral, FL 33904. Except as otherwise noted below, the term of office for each Board Member is until the election and qualification of a successor, or until such Board Member sooner dies, resigns, is removed or as otherwise provided in the governing documents of the fund. Because the fund does not hold an annual meeting of shareholders, each Board Member will hold office for an indeterminate period. The Board Members may also serve in similar capacities with other funds in the fund complex. The Length of Time Served represents the year in which the Board Member joined the board of one or more DWS funds now overseen by the Board.

The fund's Statement of Additional Information ("SAI") includes additional information about the Board Members. The SAI is available, without charge, upon request. If you would like to request a copy of the SAI, you may do so by calling the following toll-free number: (800) 621-1048.

ITEM 2.	CODE OF ETHICS

	As of the end of the period, December 31, 2008, DWS RREEF Global Real Estate Securities Fund has a code of ethics, as defined in Item 2 of Form N-CSR, that applies to its Principal Executive Officer and Principal Financial Officer. There have been no amendments to, or waivers from, a provision of the code of ethics during the period covered by this report that would require disclosure under Item 2. A copy of the code of ethics is filed as an exhibit to this Form N-CSR.

ITEM 3.	AUDIT COMMITTEE FINANCIAL EXPERT

	The Funds’ audit committee is comprised solely of trustees who are “independent” (as such term has been defined by the Securities and Exchange Commission (“SEC”) in regulations implementing Section 407 of the Sarbanes-Oxley Act (the “Regulations”)). The Funds’ Board of Trustees has determined that there are several “audit committee financial experts” (as such term has been defined by the Regulations) serving on the Funds’ audit committee including Mr. William McClayton, the chair of the Funds’ audit committee. The SEC has stated that an audit committee financial expert is not an “expert” for any purpose, including for purposes of Section 11 of the Securities Act of 1933 and the designation or identification of a person as an audit committee financial expert pursuant to this Item 3 of Form N-CSR does not impose on such person any duties, obligations or liability that are greater than the duties, obligations and liability imposed on such person as a member of the audit committee and board of directors in the absence of such designation or identification.

ITEM 4.	PRINCIPAL ACCOUNTANT FEES AND SERVICES

DWS RREEF GLOBAL REAL ESTATE SECURITIES FUND

FORM N-CSR DISCLOSURE RE: AUDIT FEES

The following table shows the amount of fees that PricewaterhouseCoopers, LLP (“PWC”), the Fund’s independent registered public accounting firm, billed to the Fund during the Fund’s last two fiscal years. The Audit Committee approved in advance all audit services and non-audit services that PWC provided to the Fund.

The Audit Committee has delegated certain pre-approval responsibilities to its Chairman (or, in his absence, any other member of the Audit Committee).

Services that the Fund’s Independent Registered Public Accounting Firm Billed to the Fund

Fiscal Year Ended December 31,	Audit Fees Billed to Fund	Audit-Related Fees Billed to Fund	Tax Fees Billed to Fund	All Other Fees Billed to Fund
2008	$65,100	$0	$0	$0
2007	$62,100	$0	$0	$0

Services that the Fund’s Independent Registered Public Accounting Firm Billed to the Adviser and Affiliated Fund Service Providers

The following table shows the amount of fees billed by PWC to Deutsche Investment Management Americas, Inc. (“DeIM” or the “Adviser”), and any entity controlling, controlled by or under common control with DeIM (“Control Affiliate”) that provides ongoing services to the Fund (“Affiliated Fund Service Provider”), for engagements directly related to the Fund’s operations and financial reporting, during the Fund’s last two fiscal years.

Fiscal Year December 31,	Audit-Related Fees Billedto Adviser and Affiliated Fund Service Providers	Tax Fees Billed to Adviser and Affiliated Fund Service Providers	All Other Fees Billed to Adviser and Affiliated Fund Service Providers
2008	$0	$19,000	$0
2007	$58,500	$25,000	$0

The “Audit-Related Fees” were billed for services in connection with the agreed-upon procedures related to fund mergers and the above “Tax Fees” were billed in connection with tax consultation and agreed-upon procedures.

Non-Audit Services

The following table shows the amount of fees that PWC billed during the Fund’s last two fiscal years for non-audit services. The Audit Committee pre-approved all non-audit services that PWC provided to the Adviser and any Affiliated Fund Service Provider that related directly to the Fund’s operations and financial reporting. The Audit Committee requested and received information from PWC about any non-audit services that PWC rendered during the Fund’s last fiscal year to the Adviser and any Affiliated Fund Service Provider. The Committee considered this information in evaluating PWC’s independence.

Fiscal Year
Ended
December 31,

Total
Non-Audit Fees Billed to Fund

(A)

Total Non-Audit Fees billed to Adviser and Affiliated Fund Service Providers (engagements related directly to the operations and financial reporting of the Fund)

(B)

Total Non-Audit Fees billed to Adviser and Affiliated Fund Service Providers (all other engagements)

(C)

Total of (A), (B)

and (C)

2008

$19,000

2007

$25,000

$600,000

$625,000

All other engagement fees were billed for services provided by PWC for services related to consulting on an IT project.

***

PwC advised the Fund's Audit Committee that PwC has identified two matters that it determined to be inconsistent with the SEC's auditor independence rules. In the first instance, an employee of PwC had power of attorney over an account which included DWS funds. The employee did not perform any audit services for the DWS Funds, but did work on a non audit project for Deutsche Bank AG. In the second instance, an employee of PwC served as a nominee shareholder (effectively equivalent to a Trustee) of various companies/trusts since 2001. Some of these companies held shares of Aberdeen, a sub advisor to certain DWS Funds, and of certain funds sponsored by subsidiaries of Deutsche Bank AG. The trustee relationship has ceased. PwC informed the Audit Committee that these matters could have constituted an investment in an affiliate of an audit client in violation of the Rule 2-01(c)(1) of Regulation S-X. PwC advised the Audit Committee that PwC believes its independence had not been impacted as it related to the audits of the Fund. In reaching this conclusion, PwC noted that during the time of its audit, the engagement team was not aware of the investment and that PwC does not believe these situations affected PwC's ability to act objectively and impartially and to issue a report on financial statements as the funds' independent auditor.


ITEM 5.	AUDIT COMMITTEE OF LISTED REGISTRANTS

	Not Applicable

ITEM 6.	SCHEDULE OF INVESTMENTS

	Not Applicable

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

	Not applicable.

ITEM 8.	PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES

	Not applicable.

ITEM 9.	PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS

	Not Applicable.

ITEM 10.	SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

	The primary function of the Nominating and Governance Committee is to identify and recommend individuals for membership on the Board and oversee the administration of the Board Governance Guidelines. Shareholders may recommend candidates for Board positions by forwarding their correspondence by U.S. mail or courier service to Chairman of the Board, P.O. Box 100176, Cape Coral, FL 33910.

ITEM 11.	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.

	(b) There have been no changes in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal controls over financial reporting.

ITEM 12.	EXHIBITS

	(a)(1) Code of Ethics pursuant to Item 2 of Form N-CSR is filed and attached hereto as EX-99.CODE ETH.

	(a)(2) Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT.

	(b) Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is furnished and attached hereto as Exhibit 99.906CERT.

Average Annual Total Returns (Unadjusted for Sales Charge) as of 12/31/08
DWS RREEF Global Real Estate Securities Fund	1-Year	Life of Fund^*
Class A	-48.64%	-19.15%
Class C	-49.15%	-19.90%
Institutional Class	-48.34%	-18.86%
FTSE EPRA/NAREIT Global Real Estate Index⁺	-47.72%	-17.92%

Net Asset Value and Distribution Information
	Class A	Class C	Institutional Class
Net Asset Value: 12/31/08	$ 5.38	$ 5.40	$ 5.38
12/31/07	$ 10.50	$ 10.62	$ 10.49
Distribution Information: Twelve Months as of 12/31/08: Income Dividends	$ .003	$ —	$ .03
Return of Capital	$ .01	$ —	$ .01

Class A Lipper Rankings — Global Real Estate Funds Category as of 12/31/08
Period	Rank		Number of Funds Tracked	Percentile Ranking (%)
1-Year	68	of	84	80

Comparative Results (Adjusted for Maximum Sales Charge) as of 12/31/08
DWS RREEF Global Real Estate Securities Fund		1-Year	Life of Fund^*
Class A	Growth of $10,000	$4,841	$5,544
	Average annual total return	-51.59%	-21.04%
Class C	Growth of $10,000	$5,085	$5,747
	Average annual total return	-49.15%	-19.90%
FTSE EPRA/NAREIT Global Real Estate Index⁺	Growth of $10,000	$5,228	$6,097
	Average annual total return	-47.72%	-17.92%

Comparative Results as of 12/31/08
DWS RREEF Global Real Estate Securities Fund		1-Year	Life of Fund^*
Institutional Class	Growth of $1,000,000	$516,600	$593,300
	Average annual total return	-48.34%	-18.86%
FTSE EPRA/NAREIT Global Real Estate Index⁺	Growth of $1,000,000	$522,800	$609,700
	Average annual total return	-47.72%	-17.92%

Average Annual Total Returns as of 12/31/08
DWS RREEF Global Real Estate Securities Fund	1-Year	Life of Fund^*
Class S	-48.48%	-18.97%
FTSE EPRA/NAREIT Global Real Estate Index⁺	-47.72%	-17.92%

Net Asset Value and Distrbution Incormation
	Class S
Net Asset Value: 12/31/08	$ 5.37
12/31/07	$ 10.50
Distribution Information: Twelve Months as of 12/31/08: Income Dividends	$ .03
Return of Capital	$ .01

Class S Lipper Rankings — Global Real Estate Funds Category as of 12/31/08
Period	Rank		Number of Funds Tracked	Percentile Ranking (%)
1-Year	67	of	84	79

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2008
Actual Fund Return*	Class A	Class C	Class S	Institutional Class
Beginning Account Value 7/1/08	$ 1,000.00	$ 1,000.00	$ 1,000.00	$ 1,000.00
Ending Account Value 12/31/08	$ 605.30	$ 601.30	$ 606.40	$ 607.50
Expenses Paid per $1,000^*	$ 6.05	$ 9.10	$ 5.09	$ 5.09
Hypothetical 5% Fund Return	Class A	Class C	Class S	Institutional Class
Beginning Account Value 7/1/08	$ 1,000.00	$ 1,000.00	$ 1,000.00	$ 1,000.00
Ending Account Value 12/31/08	$ 1,017.60	$ 1,013.77	$ 1,018.80	$ 1,018.80
Expenses Paid per $1,000^*	$ 7.61	$ 11.44	$ 6.39	$ 6.39

Annualized Expense Ratios	Class A	Class C	Class S	Institutional Class
DWS RREEF Global Real Estate Securities Fund	1.50%	2.26%	1.26%	1.26%

Asset Allocation (As a % of Investment Portfolio excluding Securities Lending Collateral)	12/31/08	12/31/07

Common Stocks	98%	99%
Cash Equivalents	1%	—
Closed End Investment Companies	1%	1%
	100%	100%

Sector Diversification (As a % of Common Stocks, Corporate Bonds and Rights)	12/31/08	12/31/07

Diversified	42%	53%
Office	17%	14%
Shopping Centers	14%	8%
Health Care	7%	3%
Apartments	7%	6%
Regional Malls	4%	7%
Storage	4%	2%
Industrials	3%	3%
Hotels	1%	3%
Manufactured Homes	1%	1%
	100%	100%

Geographical Diversification (As a % of Investment Portfolio excluding Cash Equivalents and Securities Lending Collateral)	12/31/08	12/31/07

North America	41%	35%
Asia	34%	37%
Europe	16%	15%
Australia	9%	11%
Other	—	2%
	100%	100%

Ten Largest Equity Holdings at December 31, 2008 (35.6% of Net Assets)	Country	Percent
1. Mitsubishi Estate Co., Ltd. Owner and developer of residential and office properties	Japan	5.2%
2. Mitsui Fudosan Co., Ltd. Builds, sells, leases and manages real estate properties	Japan	4.5%
3. Westfield Group Invests in, leases and manages shopping centers	Australia	4.2%
4. Sun Hung Kai Properties Ltd. Developer and investor in real estate	Hong Kong	4.0%
5. Simon Property Group, Inc. Owner and operator of regional shopping malls	United States	3.4%
6. Unibail-Rodamco Investor and developer of real estate investments	France	3.3%
7. Public Storage Owner and operator of personal and business mini-warehouses	United States	3.1%
8. Ventas, Inc. Owns and leases long-term health care facilities	United States	2.7%
9. Regency Centers Corp. Owner, developer and operator of community shopping centers	United States	2.6%
10. Vornado Realty Trust Owner and manager of investments in community shopping centers	United States	2.6%

	Shares	Value ($)

Common Stocks 96.7%
Australia 8.6%
Aspen Group	957,458	295,299
Becton Property Group	425,150	27,706
CFS Retail Property Trust (b)	2,787,754	3,656,681
Charter Hall Group	865,196	169,686
Commonwealth Property Office Fund	2,199,084	1,822,706
Compass Hotel Group Ltd.	164,169	16,597
Dexus Property Group	4,826,732	2,804,902
Goodman Group	3,545,923	1,880,250
GPT Group	3,203,643	2,071,797
ING Office Fund	2,328,378	1,314,909
Macquarie Leisure Trust Group	508,658	320,031
Macquarie Office Trust	7,123,218	1,205,894
Mirvac Group	2,087,690	1,881,552
Stockland	1,561,136	4,517,078
Westfield Group	2,219,435	20,449,249
(Cost $67,694,027)		42,434,337
Austria 0.2%
Conwert Immobilien Invest AG* (b) (Cost $3,101,779)	240,000	1,077,474
Canada 2.0%
Allied Properties Real Estate Investment Trust	175,800	1,772,953
Boardwalk Real Estate Investment Trust	6,600	136,651
Chartwell Seniors Housing Real Estate Investment Trust	89,450	391,276
Extendicare Real Estate Investment Trust	474,500	2,248,542
First Capital Realty, Inc.	212,550	3,266,159
RioCan Real Estate Investment Trust	169,100	1,871,127
(Cost $12,021,219)		9,686,708
Channel Islands 0.2%
Aseana Properties Ltd.*	1,466,682	315,337
Camper & Nicholsons Marina Investments Ltd.*	1,550,000	501,415
(Cost $3,327,234)		816,752
Finland 0.3%
Technopolis Oyj (Cost $3,071,139)	348,475	1,413,094
France 4.7%
Fonciere des Murs	49,500	722,687
Fonciere des Regions (b)	30,989	2,121,758
ICADE	17,500	1,456,610
Klepierre	42,259	1,035,762
Societe de la Tour Eiffel	25,000	1,172,083
Unibail-Rodamco	110,000	16,363,082
(Cost $35,594,046)		22,871,982
Hong Kong 13.3%
China Overseas Land & Investment Ltd.	6,362,000	8,943,502
China Resources Land Ltd.	3,958,000	4,900,254
Hang Lung Properties Ltd.	2,526,000	5,541,023
Henderson Land Development Co., Ltd.	1,248,500	4,663,960
Hongkong Land Holdings Ltd.	2,366,000	5,927,698
Kerry Properties Ltd.	938,146	2,525,112
New World China Land Ltd.	5,595,200	1,717,335
New World Development Co., Ltd.	4,341,770	4,435,733
Sino Land Co., Ltd.	566,000	591,555
Sun Hung Kai Properties Ltd.	2,312,000	19,440,188
The Link REIT	3,931,500	6,535,289
(Cost $112,892,201)		65,221,649
Japan 17.3%
AEON Mall Co., Ltd.	199,200	3,845,719
Japan Real Estate Investment Corp.	1,098	9,868,114
Japan Retail Fund Investment Corp.	532	2,306,594
Mitsubishi Estate Co., Ltd.	1,553,000	25,610,838
Mitsui Fudosan Co., Ltd.	1,321,000	21,952,283
Nippon Building Fund, Inc.	1,100	12,073,479
Sumitomo Realty & Development Co., Ltd.	504,000	7,509,128
Tokyo Tatemono Co., Ltd.	349,000	1,596,124
(Cost $124,730,747)		84,762,279
Netherlands 0.9%
Corio NV ( Cost $6,053,816)	92,500	4,241,224
Norway 0.0%
Scandinavian Property Development ASA* (Cost $2,584,756)	350,000	134,960
Singapore 2.8%
Allgreen Properties Ltd.	2,364,000	710,632
Ascendas India Trust	5,238,320	1,668,933
Ascendas Real Estate Investment Trust	1,774,958	1,717,056
CapitaLand Ltd.	2,540,000	5,580,340
CapitaMall Trust	2,281,000	2,539,678
City Developments Ltd.	329,000	1,468,013
(Cost $30,756,585)		13,684,652
Sweden 0.7%
Hufvudstaden AB "A"	200,000	1,408,055
Klovern AB	500,000	1,164,993
Lennart Wallenstam Byggnads AB "B"	110,000	947,984
(Cost $5,877,556)		3,521,032
United Kingdom 7.4%
A&J Mucklow Group PLC	50,000	159,801
Big Yellow Group PLC (b)	239,416	828,724
British Land Co. PLC (b)	664,000	5,322,639
Brixton PLC (b)	190,000	364,393
Capital & Regional PLC	1,235,653	839,253
Derwent London PLC (b)	263,466	2,767,899
Equest Balkan Properties PLC	700,000	294,379
Great Portland Estates PLC (b)	349,341	1,312,317
Hammerson PLC (b)	647,500	5,015,725
Hansteen Holdings PLC	1,000,000	1,013,614
Helical Bar PLC	600,000	2,428,096
Land Securities Group PLC	445,500	5,937,879
London & Stamford Property Ltd.	1,000,000	1,329,919
Minerva PLC*	833,000	162,366
NR Nordic & Russia Properties Ltd.	1,300,000	360,650
Safestore Holdings Ltd.	805,000	639,820
Segro PLC (b)	900,000	3,219,438
South African Property Opportunities PLC*	1,700,000	1,026,554
Terrace Hill Group PLC	2,000,000	598,351
Unite Group PLC	1,276,922	2,710,141
(Cost $75,193,493)		36,331,958
United States 38.3%
AMB Property Corp. (REIT)	114,300	2,676,906
American Campus Communities, Inc. (REIT)	185,900	3,807,232
AvalonBay Communities, Inc. (REIT)	208,125	12,608,212
BioMed Realty Trust, Inc. (REIT)	281,550	3,299,766
Boston Properties, Inc. (REIT)	207,950	11,437,250
BRE Properties, Inc. (REIT)	156,250	4,371,875
Brookfield Properties Corp.	258,500	1,998,205
Camden Property Trust (REIT)	82,350	2,580,849
DCT Industrial Trust, Inc. (REIT)	388,850	1,967,581
Digital Realty Trust, Inc. (REIT)	202,400	6,648,840
DuPont Fabros Technology, Inc. (REIT)	141,850	293,630
Equity Lifestyle Properties, Inc. (REIT)	109,350	4,194,666
Equity Residential (REIT)	262,350	7,823,277
Extra Space Storage, Inc. (REIT)	282,700	2,917,464
Federal Realty Investment Trust (REIT) (b)	136,850	8,495,648
HCP, Inc. (REIT)	24,050	667,869
Hospitality Properties Trust (REIT)	63,150	939,041
Host Hotels & Resorts, Inc. (REIT)	452,400	3,424,668
Kilroy Realty Corp. (REIT)	57,750	1,932,315
Liberty Property Trust (REIT)	166,350	3,797,770
LTC Properties, Inc. (REIT)	132,795	2,693,083
Medical Properties Trust, Inc. (REIT) (b)	341,913	2,157,471
Nationwide Health Properties, Inc. (REIT)	221,536	6,362,514
OMEGA Healthcare Investors, Inc. (REIT)	61,200	977,364
Post Properties, Inc. (REIT)	134,900	2,225,850
ProLogis (REIT)	181,700	2,523,813
Public Storage (REIT)	191,800	15,248,100
Regency Centers Corp. (REIT)	275,469	12,864,402
Saul Centers, Inc. (REIT)	25,747	1,017,007
Senior Housing Properties Trust (REIT)	375,520	6,729,318
Simon Property Group, Inc. (REIT)	313,450	16,653,598
SL Green Realty Corp. (REIT)	113,900	2,950,010
Taubman Centers, Inc. (REIT)	76,750	1,954,055
The Macerich Co. (REIT) (b)	72,800	1,322,048
Ventas, Inc. (REIT)	395,026	13,261,023
Vornado Realty Trust (REIT)	211,617	12,771,086
(Cost $244,807,323)		187,593,806
Total Common Stocks (Cost $727,705,921)		473,791,907

	Principal Amount ($)(a)	Value ($)

Corporate Bonds 0.3%
Germany 0.0%
Colonia Real Estate AG, 1.875%, 12/7/2011 (Cost $167,927) EUR	126,000	42,295
United Kingdom 0.3%
Liberty International PLC, Series LII, 3.95%, 9/30/2010 (Cost $1,579,856) GBP	1,450,000	1,579,189
Total Corporate Bonds (Cost $1,747,783)		1,621,484

	Shares	Value ($)

Closed-End Investment Companies 0.6%
Luxembourg 0.4%
ProLogis European Properties (Cost $4,920,316)	471,138	2,111,217
United Kingdom 0.2%
ARGO Real Estate Opportunities Fund Ltd.* (Cost $2,787,012)	2,000,000	1,042,537
Total Closed-End Investment Companies (Cost $7,707,328)		3,153,754

Rights 0.0%
Australia 0.0%
Macquarie Office Trust, Expiration Date 1/12/2009* (Cost $0)	1,120,966	31,262
Hong Kong 0.0%
China Overseas Land, Expiration Date 1/21/2009* (Cost $0)	254,480	91,282
Total Rights (Cost $0)		122,544

Securities Lending Collateral 6.4%
Daily Assets Fund Institutional, 1.69% (c) (d) (Cost $31,229,149)	31,229,149	31,229,149
Cash Equivalents 1.0%
Cash Management QP Trust, 1.42% (c) (Cost $4,888,344)	4,888,344	4,888,344

	% of Net Assets	Value ($)

Total Investment Portfolio (Cost $773,278,525)⁺	105.0	514,807,182
Other Assets and Liabilities, Net	(5.0)	(24,664,660)
Net Assets	100.0	490,142,522

Valuation Inputs	Investments in Securities
Level 1	$ 228,947,543
Level 2	285,859,639
Level 3	—
Total	$ 514,807,182

Statement of Assets and Liabilities as of December 31, 2008
Assets
Investments: Investments in securities, at value (cost $737,161,032) — including $29,853,143 of securities loaned	$ 478,689,689
Investment in Daily Assets Fund Institutional (cost $31,229,149)*	31,229,149
Investment in Cash Management QP Trust (cost $4,888,344)	4,888,344
Total investments, at value (cost $773,278,525)	514,807,182
Cash	24,527
Foreign currency, at value (cost $5,752,599)	5,739,738
Receivable for investments sold	2,834,974
Receivable for Fund shares sold	2,593,208
Dividends receivable	2,987,333
Interest receivable	87,178
Foreign taxes recoverable	132,471
Due from Advisor	161,203
Other assets	58,509
Total assets	529,426,323
Liabilities
Payable upon return of securities loaned	31,229,149
Payable for investments purchased	4,733,930
Payable for Fund shares redeemed	2,273,850
Distributions payable	151,890
Accrued management fee	391,118
Other accrued expenses and payables	503,864
Total liabilities	39,283,801
Net assets, at value	$ 490,142,522
Net Assets Consist of
Accumulated distributions in excess of net investment income	(1,883,182)
Net unrealized appreciation (depreciation) on: Investments	(258,471,343)
Foreign currency	24,764
Accumulated net realized gain (loss)	(290,819,110)
Paid-in capital	1,041,291,393
Net assets, at value	$ 490,142,522

Statement of Assets and Liabilities as of December 31, 2008 (continued)
Net Asset Value
Class A Net Asset Value and redemption price^(a) per share ($225,545,945 ÷ 41,916,251 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized)	$ 5.38
Maximum offering price per share (100 ÷ 94.25 of $5.38)	$ 5.71
Class C Net Asset Value, offering and redemption price^(a) (subject to contingent deferred sales charge) per share ($29,509,356 ÷ 5,467,914 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized)	$ 5.40
Class S Net Asset Value, offering and redemption price^(a) per share ($76,710,935 ÷ 14,274,043 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized)	$ 5.37
Institutional Class Net Asset Value, offering and redemption price^(a)per share ($158,376,286 ÷ 29,450,203 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized)	$ 5.38

Statement of Operations for the year ended December 31, 2008
Investment Income
Income: Dividends (net of foreign taxes withheld of $1,678,095)	$ 24,365,963
Interest — Cash Management QP Trust	243,989
Interest	213,928
Securities lending income, including income from Daily Assets Fund Institutional, net of borrower rebates	281,918
Total Income	25,105,798
Expenses: Management fee	7,303,278
Administration fee	733,951
Services to shareholders	1,908,032
Custodian fee	378,661
Distribution and service fees	1,516,814
Professional fees	139,693
Trustees' fees and expenses	33,406
Reports to shareholders	194,112
Registration fees	111,554
Other	82,339
Total expenses before expense reductions	12,401,840
Expense reductions	(1,661,286)
Total expenses after expense reductions	10,740,554
Net investment income	14,365,244
Realized and Unrealized Gain (Loss)
Net realized gain (loss) from: Investments	(265,457,398)
Capital gains dividends received	2,825,966
Foreign currency	1,262,092
	(261,369,340)
Change in net unrealized appreciation (depreciation) on: Investments	(210,633,421)
Foreign currency	(207,204)
	(210,840,625)
Net gain (loss)	(472,209,965)
Net increase (decrease) in net assets resulting from operations	$ (457,844,721)

Statement of Changes in Net Assets
	Years Ended December 31,
Increase (Decrease) in Net Assets	2008	2007
Operations: Net investment income	$ 14,365,244	$ 7,206,949
Net realized gain (loss)	(261,369,340)	(7,462,748)
Change in net unrealized appreciation (depreciation)	(210,840,625)	(86,512,301)
Net increase (decrease) in net assets resulting from operations	(457,844,721)	(86,768,100)
Distributions to shareholders from: Net investment income: Class A	(254,558)	(21,539,917)
Class C	—	(2,880,164)
Class S	(463,851)	(4,354,699)
Institutional Class	(973,523)	(5,621,503)
Net realized gains: Class A	—	(6,102,658)
Class C	—	(1,280,911)
Class S	—	(1,343,655)
Institutional Class	—	(1,824,797)
Return of capital: Class A	(284,595)	—
Class S	(87,523)	—
Institutional Class	(165,788)	—
Total distributions	(2,229,838)	(44,948,304)
Fund share transactions: Proceeds from shares sold	468,118,106	785,955,800
Reinvestment of distributions	1,955,336	39,595,569
Cost of shares redeemed	(335,868,582)	(217,624,688)
Redemption fees	26,422	34,544
Net increase (decrease) in net assets from Fund share transactions	134,231,282	607,961,225
Increase (decrease) in net assets	(325,843,277)	476,244,821
Net assets at beginning of period	815,985,799	339,740,978
Net assets at end of period (including accumulated distributions in excess of net investment income of $1,883,182 and $17,274,150, respectively)	$ 490,142,522	$ 815,985,799

Class A Years Ended December 31,	2008	2007	2006^a
Selected Per Share Data
Net asset value, beginning of period	$ 10.50	$ 12.22	$ 10.00
Income (loss) from investment operations: Net investment income^b	.16	.13	.08
Net realized and unrealized gain (loss)	(5.27)	(1.05)	2.34
Total from investment operations	(5.11)	(.92)	2.42
Less distributions from: Net investment income	(.00)^***	(.63)	(.15)
Net realized gains	—	(.17)	(.05)
Return of capital	(.01)	—	—
Total distributions	(.01)	(.80)	(.20)
Redemption fee	.00^***	.00^***	.00^***
Net asset value, end of period	$ 5.38	$ 10.50	$ 12.22
Total Return (%)^c,d	(48.64)	(7.84)	24.26^**
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	226	424	288
Ratio of expenses before expense reductions (%)	1.73	1.71	1.97^*
Ratio of expenses after expense reductions (%)	1.50	1.51	1.51^*
Ratio of net investment income (%)	1.92	1.14	1.39^*
Portfolio turnover rate (%)	77	71	28^**
^a For the period from July 5, 2006 (commencement of operations) to December 31, 2006. ^b Based on average shares outstanding during the period. ^c Total return does not reflect the effect of any sales charges. ^d Total return would have been lower had certain expenses not been reduced. ^* Annualized ^** Not annualized ^*** Amount is less than $.005.

Class C Years Ended December 31,	2008	2007	2006^a
Selected Per Share Data
Net asset value, beginning of period	$ 10.62	$ 12.23	$ 10.00
Income (loss) from investment operations: Net investment income^b	.09	.03	.02
Net realized and unrealized gain (loss)	(5.31)	(1.06)	2.35
Total from investment operations	(5.22)	(1.03)	2.37
Less distributions from: Net investment income	—	(.41)	(.09)
Net realized gains	—	(.17)	(.05)
Total distributions	—	(.58)	(.14)
Redemption fee	.00^***	.00^***	.00^***
Net asset value, end of period	$ 5.40	$ 10.62	$ 12.23
Total Return (%)^c,d	(49.15)	(8.67)	23.75^**
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	30	90	27
Ratio of expenses before expense reductions (%)	2.49	2.42	2.51^*
Ratio of expenses after expense reductions (%)	2.26	2.40	2.45^*
Ratio of net investment income (%)	1.16	.25	.45^*
Portfolio turnover rate (%)	77	71	28^**
^a For the period from July 5, 2006 (commencement of operations) to December 31, 2006. ^b Based on average shares outstanding during the period. ^c Total return does not reflect the effect of any sales charges. ^d Total return would have been lower had certain expenses not been reduced. ^* Annualized ^** Not annualized ^*** Amount is less than $.005.

Class S Years Ended December 31,	2008	2007	2006^a
Selected Per Share Data
Net asset value, beginning of period	$ 10.50	$ 12.23	$ 10.00
Income (loss) from investment operations: Net investment income^b	.18	.16	.08
Net realized and unrealized gain (loss)	(5.27)	(1.06)	2.36
Total from investment operations	(5.09)	(.90)	2.44
Less distributions from: Net investment income	(.03)	(.66)	(.16)
Net realized gains	—	(.17)	(.05)
Return of capital	(.01)	—	—
Total distributions	(.04)	(.83)	(.21)
Redemption fee	.00^***	.00^***	.00^***
Net asset value, end of period	$ 5.37	$ 10.50	$ 12.23
Total Return (%)^c	(48.48)	(7.72)	24.41^**
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	77	123	20
Ratio of expenses before expense reductions (%)	1.87	1.70	1.50^*
Ratio of expenses after expense reductions (%)	1.26	1.35	1.41^*
Ratio of net investment income (%)	2.16	1.29	1.49^*
Portfolio turnover rate (%)	77	71	28^**
^a For the period from July 5, 2006 (commencement of operations) to December 31, 2006. ^b Based on average shares outstanding during the period. ^c Total return would have been lower had certain expenses not been reduced. ^* Annualized ^** Not annualized ^*** Amount is less than $.005.

Institutional Class Years Ended December 31,	2008	2007	2006^a
Selected Per Share Data
Net asset value, beginning of period	$ 10.49	$ 12.23	$ 10.00
Income (loss) from investment operations: Net investment income^b	.18	.17	.09
Net realized and unrealized gain (loss)	(5.25)	(1.07)	2.35
Total from investment operations	(5.07)	(.90)	2.44
Less distributions from: Net investment income	(.03)	(.67)	(.16)
Net realized gains	—	(.17)	(.05)
Return of capital	(.01)	—	—
Total distributions	(.04)	(.84)	(.21)
Redemption fee	.00^***	.00^***	.00^***
Net asset value, end of period	$ 5.38	$ 10.49	$ 12.23
Total Return (%)^c	(48.34)	(7.64)	24.35^**
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	158	180	5
Ratio of expenses before expense reductions (%)	1.27	1.30	1.46^*
Ratio of expenses after expense reductions (%)	1.26	1.29	1.36^*
Ratio of net investment income (%)	2.16	1.35	1.54^*
Portfolio turnover rate (%)	77	71	28^**
^a For the period from July 5, 2006 (commencement of operations) to December 31, 2006. ^b Based on average shares outstanding during the period. ^c Total return would have been lower had certain expenses not been reduced. ^* Annualized ^** Not annualized ^*** Amount is less than $.005.

Capital loss carryforwards	$ (113,830,000)
Net unrealized appreciation (depreciation) on investments	$ (343,994,209)

	Year Ended December 31,
	2008	2007
Distributions from ordinary income*	$ 1,691,932	$ 44,599,129
Distributions from long-term capital gains	$ —	$ 349,175
Return of capital	$ 537,906	$ —

Annual Report to Shareholders

First $500 million of the Fund's average daily net assets	1.000%
Next $500 million of such net assets	.985%
Next $1 billion of such net assets	.960%
Next $2 billion of such net assets	.945%

Class A	1.51%
Class C	2.26%
Class S	1.26%
Institutional Class	1.26%

Services to Shareholders	Total Aggregated	Waived
Class A	$ 776,529	$ 776,529
Class C	121,104	121,104
Class S	436,438	436,438
Institutional Class	37,175	29,542
	$ 1,371,246	$ 1,363,613

Distribution Fee	Total Aggregated	Unpaid at December 31, 2008
Class C	$ 477,962	$ 18,229

Service Fee	Total Aggregated	Waived	Unpaid at December 31, 2008	Annual Effective Rate
Class A	$ 877,407	$ 41,536	$ 30,306	.24%
Class C	161,445	24,380	2,111	.22%
	$ 1,038,852	$ 65,916	$ 32,417

	Year Ended December 31, 2008		Year Ended December 31, 2007
	Shares	Dollars	Shares	Dollars
Shares sold
Class A	16,059,795	$ 131,907,499	23,699,118	$ 290,128,453
Class C	1,319,040	12,097,428	8,128,207	101,322,311
Class S	9,564,214	77,093,955	13,790,825	167,403,561
Institutional Class	29,444,607	247,019,224	19,363,212	227,101,475
		$ 468,118,106		$ 785,955,800
Shares issued to shareholders in reinvestment of distributions
Class A	98,419	$ 523,328	2,405,375	$ 26,777,191
Class C	—	—	293,680	3,274,230
Class S	87,545	463,784	438,540	4,618,785
Institutional Class	182,486	968,224	474,288	4,925,363
		$ 1,955,336		$ 39,595,569
Shares redeemed
Class A	(14,584,037)	$ (112,199,915)	(9,291,011)	$ (109,796,995)
Class C	(4,292,050)	(35,055,754)	(2,187,894)	(25,433,536)
Class S	(7,104,066)	(54,232,497)	(4,128,086)	(48,381,129)
Institutional Class	(17,313,800)	(134,380,416)	(3,136,339)	(34,013,028)
		$ (335,868,582)		$ (217,624,688)
Redemption fees		$ 26,422		$ 34,544
Net increase (decrease)
Class A	1,574,177	$ 20,233,405	16,813,482	$ 207,116,578
Class C	(2,973,010)	(22,957,181)	6,233,993	79,164,705
Class S	2,547,693	23,335,502	10,101,279	123,651,287
Institutional Class	12,313,293	113,619,556	16,701,161	198,028,655
		$ 134,231,282		$ 607,961,225

Independent Board Members
Name, Year of Birth, Position with the Fund and Length of Time Served¹	Business Experience and Directorships During the Past Five Years	Number of Funds in DWS Fund Complex Overseen
Paul K. Freeman (1950) Chairperson since 2009² Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Governing Council of the Independent Directors Council (governance, executive committees); formerly, Project Leader, International Institute for Applied Systems Analysis (1998-2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986-1998)	134
Dawn-Marie Driscoll (1946) Board Member since 1987	President, Driscoll Associates (consulting firm); Executive Fellow, Center for Business Ethics, Bentley University; formerly, Partner, Palmer & Dodge (1988-1990); Vice President of Corporate Affairs and General Counsel, Filene's (1978-1988). Directorships: Trustee of 20 open-end mutual funds managed by Sun Capital Advisers, Inc. (since 2007); Director of ICI Mutual Insurance Company (since 2007); Advisory Board, Center for Business Ethics, Bentley University; Trustee, Southwest Florida Community Foundation (charitable organization). Former Directorships: Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)	134
John W. Ballantine (1946) Board Member since 1999	Retired; formerly, Executive Vice President and Chief Risk Management Officer, First Chicago NBD Corporation/The First National Bank of Chicago (1996-1998); Executive Vice President and Head of International Banking (1995-1996). Directorships: Healthways, Inc. (provider of disease and care management services); Portland General Electric (utility company); Stockwell Capital Investments PLC (private equity). Former Directorships: First Oak Brook Bancshares, Inc. and Oak Brook Bank	134
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair, WGBH Educational Foundation. Directorships: Association of Public Television Stations; Becton Dickinson and Company³ (medical technology company); Belo Corporation³ (media company); Boston Museum of Science; Public Radio International; PRX, The Public Radio Exchange; The PBS Foundation. Former Directorships: American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service	134
Keith R. Fox (1954) Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds). Directorships: Progressive Holding Corporation (kitchen goods importer and distributor); Box Top Media Inc. (advertising); The Kennel Shop (retailer)	134
Kenneth C. Froewiss (1945) Board Member since 2001	Clinical Professor of Finance, NYU Stern School of Business (1997-present); Member, Finance Committee, Association for Asian Studies (2002-present); Director, Mitsui Sumitomo Insurance Group (US) (2004-present); prior thereto, Managing Director, J.P. Morgan (investment banking firm) (until 1996)	134
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor, Finance Department, The Wharton School, University of Pennsylvania (since July 1972); Co-Director, Wharton Financial Institutions Center (since July 2000); Director, Japan Equity Fund, Inc. (since September 2007), Thai Capital Fund, Inc. (since September 2007), Singapore Fund, Inc. (since September 2007). Formerly, Vice Dean and Director, Wharton Undergraduate Division (July 1995-June 2000); Director, Lauder Institute of International Management Studies (July 2000-June 2006)	134
William McClayton (1944) Board Member since 2004	Managing Director, Diamond Management & Technology Consultants, Inc. (global management consulting firm) (2001-present); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966-2001); Trustee, Ravinia Festival	134
Rebecca W. Rimel (1951) Board Member since 1995	President and Chief Executive Officer, The Pew Charitable Trusts (charitable organization) (1994 to present); Trustee, Thomas Jefferson Foundation (charitable organization) (1994 to present); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001-2007); Trustee, Pro Publica (2007-present) (charitable organization). Formerly, Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983-2004); Board Member, Investor Education (charitable organization) (2004-2005); Director, Viasys Health Care³ (January 2007-June 2007)	134
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; Trustee of 20 open-end mutual funds managed by Sun Capital Advisers, Inc. (since October 1998). Formerly, Pension & Savings Trust Officer, Sprint Corporation³ (telecommunications) (November 1989-September 2003)	134
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997-2001); Director, US Government Accountability Office (1996-1997); Partner, Fulbright & Jaworski, L.L.P. (law firm) (1978-1996). Directorships: The William and Flora Hewlett Foundation; Business Leadership Council, Wellesley College. Former Directorships: Service Source, Inc., Mutual Fund Directors Forum (2002-2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987-1990 and 1994-1996)	134
Robert H. Wadsworth (1940) Board Member since 1999	President, Robert H. Wadsworth & Associates, Inc. (consulting firm) (1983 to present); Director, The Phoenix Boys Choir Association	137

Interested Board Member
Name, Year of Birth, Position with the Fund and Length of Time Served¹	Business Experience and Directorships During the Past Five Years	Number of Funds in Fund Complex Overseen
Axel Schwarzer⁴(1958) Board Member since 2006	Managing Director⁵, Deutsche Asset Management; Head of Deutsche Asset Management Americas; CEO of DWS Investments; formerly, board member of DWS Investments, Germany (1999-2005); formerly, Head of Sales and Product Management for the Retail and Private Banking Division of Deutsche Bank in Germany (1997-1999); formerly, various strategic and operational positions for Deutsche Bank Germany Retail and Private Banking Division in the field of investment funds, tax driven instruments and asset management for corporates (1989-1996)	134

Officers⁶
Name, Year of Birth, Position with the Fund and Length of Time Served⁷	Principal Occupation(s) During Past 5 Years and Other Directorships Held
Michael G. Clark⁸ (1965) President, 2006-present	Managing Director⁵, Deutsche Asset Management (2006-present); President of DWS family of funds; Director, ICI Mutual Insurance Company (since October 2007); formerly, Director of Fund Board Relations (2004-2006) and Director of Product Development (2000-2004), Merrill Lynch Investment Managers; Senior Vice President Operations, Merrill Lynch Asset Management (1999-2000)
John Millette⁹ (1962) Vice President and Secretary, 1999-present	Director⁵, Deutsche Asset Management
Paul H. Schubert⁸ (1963) Chief Financial Officer, 2004-present Treasurer, 2005-present	Managing Director⁵, Deutsche Asset Management (since July 2004); formerly, Executive Director, Head of Mutual Fund Services and Treasurer for UBS Family of Funds (1998-2004); Vice President and Director of Mutual Fund Finance at UBS Global Asset Management (1994-1998)
Caroline Pearson⁹ (1962) Assistant Secretary, 1997-present	Managing Director⁵, Deutsche Asset Management
Rita Rubin¹⁰ (1970) Assistant Secretary, 2009-present	Vice President and Counsel, Deutsche Asset Management (since October 2007); formerly, Vice President, Morgan Stanley Investment Management (2004-2007); Attorney, Shearman & Sterling LLP (2004); Vice President and Associate General Counsel, UBS Global Asset Management (2001-2004)
Paul Antosca⁹ (1957) Assistant Treasurer, 2007-present	Director⁵, Deutsche Asset Management (since 2006); Vice President, The Manufacturers Life Insurance Company (U.S.A.) (1990-2006)
Jack Clark⁹ (1967) Assistant Treasurer, 2007-present	Director⁵, Deutsche Asset Management (since 2007); formerly, Vice President, State Street Corporation (2002-2007)
Diane Kenneally⁹(1966) Assistant Treasurer, 2007-present	Director⁵, Deutsche Asset Management
Jason Vazquez¹⁰ (1972) Anti-Money Laundering Compliance Officer, 2007-present	Vice President, Deutsche Asset Management (since 2006); formerly, AML Operations Manager for Bear Stearns (2004-2006), Supervising Compliance Principal and Operations Manager for AXA Financial (1999-2004)
Robert Kloby¹⁰ (1962) Chief Compliance Officer, 2006-present	Managing Director⁵, Deutsche Asset Management (2004-present); formerly, Chief Compliance Officer/Chief Risk Officer, Robeco USA (2000-2004); Vice President, The Prudential Insurance Company of America (1988-2000); E.F. Hutton and Company (1984-1988)
J. Christopher Jackson¹⁰ (1951) Chief Legal Officer, 2006-present	Director⁵, Deutsche Asset Management (2006-present); formerly, Director, Senior Vice President, General Counsel and Assistant Secretary, Hansberger Global Investors, Inc. (1996-2006); Director, National Society of Compliance Professionals (2002-2005) (2006-2009)


For More Information	The automated telephone system allows you to access personalized account information and obtain information on other DWS funds using either your voice or your telephone keypad. Certain account types within Classes A, C and S also have the ability to purchase, exchange or redeem shares using this system. For more information, contact your financial advisor. You may also access our automated telephone system or speak with a DWS Investments representative by calling the appropriate number below: For shareholders of Classes A, C and Institutional Class: (800) 621-1048 For shareholders of Class S: (800) 728-3337
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Principal Underwriter	If you have questions, comments or complaints, contact: DWS Investments Distributors, Inc. 222 South Riverside Plaza Chicago, IL 60606-5808 (800) 621-1148