UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D. C. 20549

FORM N-CSR

Investment Company Act file number: 811-05002

Deutsche DWS Variable Series II

(Exact Name of Registrant as Specified in Charter)

345 Park Avenue

New York, NY 10154-0004

(Address of Principal Executive Offices) (Zip Code)

Registrant’s Telephone Number, including Area Code: (212) 250-2500

Diane Kenneally

One International Place

Boston, MA 02110

(Name and Address of Agent for Service)

Date of fiscal year end:	12/31
Date of reporting period:	12/31/2018

ITEM 1. REPORT TO STOCKHOLDERS

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS Alternative Asset Allocation VIP

(formerly Deutsche Alternative Asset Allocation VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
5	Management Summary
7	Portfolio Summary
8	Investment Portfolio
10	Statement of Assets and Liabilities
10	Statement of Operations
11	Statements of Changes in Net Assets
12	Financial Highlights
13	Notes to Financial Statements
17	Report of Independent Registered Public Accounting Firm
18	Information About Your Fund’s Expenses
19	Tax Information
19	Proxy Voting
20	Advisory Agreement Board Considerations and Fee Evaluation
23	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

Although allocation among different asset categories generally limits risk, portfolio management may favor an asset category that underperforms other assets or markets as a whole. The Fund expects to invest in underlying funds that emphasize alternatives or non-traditional asset categories or investment strategies, and as a result, it is subject to the risk factors of those underlying funds. Some of those risks include: stock market risk; the political, general economic, liquidity and currency risks of foreign investments, which may be particularly significant for emerging markets; credit and interest rate risk; floating rate loan risk; volatility in commodity prices, infrastructure and high-yield debt securities; market direction risk (market advances when short, market declines when long); and short sales risk. Because Exchange Traded Funds (ETFs) trade on a securities exchange, their shares may trade at a premium or discount to their net asset value. ETFs also incur fees and expenses so they may not fully match the performance of the indexes they are designed to track. Because Exchange Traded Notes (ETNs) are senior, unsecured, unsubordinated debt securities of an issuer (typically a bank or bank holding company), ETNs are subject to the credit risk of the issuer and may lose value due to a downgrade in the issuer’s credit rating. The returns of an ETN are linked to the performance of an underlying instrument (typically an index), minus applicable fees. ETNs typically do not make periodic interest payments and principal typically is not protected. The value of an ETN may fluctuate based on factors such as time to maturity, level of supply and demand for the ETN, volatility and lack of liquidity in the underlying assets, changes in the applicable interest rates, and economic, legal, political or geographic events that affect the underlying assets. The Fund bears its proportionate share of any fees and expenses borne by the ETN. Because ETNs trade on a securities exchange, their shares may trade at a premium or discount to their net asset value. The Fund may use derivatives, including as part of its currency and interest-rate strategies. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. The success of the Fund’s currency and interest-rate strategies are dependent, in part, on the effectiveness and implementation of portfolio management’s proprietary models. As part of these strategies, the Fund’s exposure to foreign currencies could cause lower returns or even losses because foreign currency rates may fluctuate significantly over short periods of time for a number of reasons. The risk of loss is heightened during periods of rapid rises in interest rates. In addition, the notional amount of the Fund’s aggregate currency and interest-rate exposure resulting from these strategies may significantly exceed the net assets of the Fund. Please read prospectus for additional risks and specific details regarding the Fund’s risk profile.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

NOT FDIC/NCUA INSURED    NO BANK GUARANTEE    MAY LOSE VALUE    NOT A DEPOSIT

NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

2 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

Performance Summary December 31, 2018 (Unaudited)

Fund 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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns. While all share classes have the same underlying portfolio, their performance will differ.

The gross expense ratios of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 are 1.36% and 1.65% for Class A and Class B shares, respectively, and may differ from the expense ratios disclosed in the Financial Highlights tables in this report. These expense ratios include net expenses of the underlying funds in which the Fund invests.

Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights.

Growth of an Assumed $10,000 Investment in DWS Alternative Asset Allocation VIP from 2/2/09 to 12/31/18

The Morgan Stanley Capital International (MSCI) World Index captures large and mid cap representation across 23 Developed Market countries.   The Bloomberg Barclays U.S. Aggregate Bond Index is an unmanaged index representing domestic taxable investment-grade bonds, with index components for government and corporate securities, mortgage pass-through securities, and asset-backed securities with an average maturity of one year or more.   The Blended Index is calculated using the performance of two unmanaged indices, representative of stocks (the MSCI World Index (70%)) and bonds (the Bloomberg Barclays U.S. Aggregate Bond Index (30%)). These results are summed to produce the aggregate benchmark.   Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

Comparative Results
DWS Alternative Asset Allocation VIP		1-Year	3-Year	5-Year	Life of Fund*
Class A	Growth of $10,000	$9,086	$10,277	$9,967	$15,229
	Average annual total return	–9.14%	0.91%	–0.07%	4.33%
MSCI World Index	Growth of $10,000	$9,129	$12,013	$12,496	$27,577
	Average annual total return	–8.71%	6.30%	4.56%	10.78%
Bloomberg Barclays U.S. Aggregate Bond Index	Growth of $10,000	$10,001	$10,630	$11,326	$14,200
	Average annual total return	0.01%	2.06%	2.52%	3.60%
Blended Index	Growth of $10,000	$9,404	$11,627	$12,215	$23,171
	Average annual total return	–5.96%	5.15%	4.08%	8.84%

The growth of $10,000 is cumulative.

^* The Fund commenced offering Class A shares on February 2, 2009. The performance shown for each index is for the time period of January 31, 2009 through December 31, 2018, which is based on the performance period of the life of the Fund.

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 3

DWS Alternative Asset Allocation VIP		1-Year	3-Year	5-Year	Life of Class**
Class B	Growth of $10,000	$9,065	$10,185	$9,827	$13,647
	Average annual total return	–9.35%	0.61%	–0.35%	3.28%
MSCI World Index	Growth of $10,000	$9,129	$12,013	$12,496	$24,846
	Average annual total return	–8.71%	6.30%	4.56%	9.92%
Bloomberg Barclays U.S. Aggregate Bond Index	Growth of $10,000	$10,001	$10,630	$11,326	$13,873
	Average annual total return	0.01%	2.06%	2.52%	3.46%
Blended Index	Growth of $10,000	$9,404	$11,627	$12,215	$20,542
	Average annual total return	–5.96%	5.15%	4.08%	7.80%

The growth of $10,000 is cumulative.

** The Fund commenced offering Class B shares on May 18, 2009. The performance shown for each index is for the time period of May 31, 2009 through December 31, 2018, which is based on the performance period of the life of Class B.

4 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

Management Summary December 31, 2018 (Unaudited)

The Fund returned –9.14% (Class A shares, unadjusted for contract charges) during the 12-month period ended December 31, 2018, trailing the –5.96% return of its blended benchmark. The past year proved very challenging for the Fund, since virtually all asset categories experienced negative returns. Broader indexes linked to equities, commodities, and bonds all lost ground due to the combination of rising interest rates and emerging concerns about the trajectory of global growth. Perhaps more notably, financial assets demonstrated unusually high correlations in the fourth quarter once investor sentiment soured and the markets sold off. As a result, our diversified and long-term approach failed to add value in 2018.

The Fund’s positions in investments with sensitivity to the global equity markets — including infrastructure stocks, preferred stocks, and convertible bonds — all experienced double-digit losses and were generally the largest detractors. We invested in these areas as a way to gain exposure to risk-sensitive assets with higher income and a lower degree of expected volatility than the broad equity indexes. This aspect of our approach worked well through the first nine months of the period, when stocks were rising. However, these categories did not provide meaningful downside protection in the fourth-quarter downturn, when indiscriminate selling pressured returns across the equity market. We maintained the positions based on their long-term income potential and, in the case of infrastructure stocks, the expanding need for infrastructure to serve the world’s growing population.

The Fund’s allocation to real estate investment trusts (REITs), while also affected by broader-market weakness, nonetheless outperformed our other equity-sensitive investments. The asset class was helped by its strong underlying fundamentals and, later in the period, reduced worries about rising interest rates and investors’ preference for the more defensive areas of the market.

A position in commodities was an additional drag on Fund returns. The asset class experienced poor performance in the fourth calendar quarter, when the prospect of slowing economic growth sparked fears of slowing end demand in 2019.

Our allocation to fixed income did not provide the expected ballast to the portfolio, since the majority of the position was held in emerging-markets bonds. The category slumped due to questions about the growth outlook for the emerging world, as well as economic turmoil in Argentina and Turkey in the late summer. However, our allocation to floating-rate securities finished with only a narrow loss. At a time in which the U.S. Federal Reserve was tightening its monetary policy, bonds with floating-rate features benefited from elevated investor demand.

The Fund’s performance was also affected by its positions in exchange-traded funds (ETFs) with an inverse relationship to the CBOE Volatility Index (VIX). We held these funds in the early part of the year in anticipation that the low-volatility environment for stocks would continue. They declined sharply once volatility spiked in February, however, and we elected to close the position. On the positive side, we held ETFs linked to the performance of the U.S. dollar. The dollar rallied in 2018 due to the United States’ stronger relative growth and tighter central bank policy versus other major developed nations.

The Fund finished December with allocations that were broadly in line with what it held throughout the year. While the markets were very volatile in the fourth quarter due to concerns about the growth outlook, we retained our core positioning on the belief that the world economy was on track for a continued expansion. With that said, we closed the year with a higher-than-normal allocation to cash, reflecting our desire to maintain the flexibility to capitalize on the potential for further volatility in the first half of 2019.

Pankaj Bhatnagar, PhD, Managing Director

Darwei Kung, Managing Director

Dokyoung Lee, CFA, Director

Portfolio Managers

The views expressed 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.

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 5

Terms to Know

The Blended Index is calculated using the performance of two unmanaged indices, representative of stocks (the Morgan Stanley Capital International (MSCI) World Index, 70%) and bonds (the Bloomberg Barclays U.S. Aggregate Bond Index, 30%). These results are summed to produce the aggregate benchmark. Index returns do not reflect fees or expenses and it is not possible to invest directly into an index.

Convertible bonds are bonds that are issued by corporations and that can be converted to shares of the issuing company’s stock at the bondholder’s discretion.

Preferred stocks are hybrid securities that offer some of the features of both stocks and bonds.

An exchange-traded fund (ETF) is a security that tracks an index, a commodity or a basket of assets like an index fund, but trades like a stock on an exchange.

The CBOE Volatility Index (VIX Index) is a measure of market expectations of near-term volatility conveyed by S&P 500 stock index option prices.

6 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

Portfolio Summary (Unaudited)

Asset Allocation* (As a % of Investment Portfolio)	12/31/18		12/31/17
Real Asset		40%		45%
DWS Enhanced Commodity Strategy Fund		15%		13%
DWS RREEF Real Estate Securities Fund		8%		4%
DWS RREEF Global Real Estate Securities Fund		6%		8%
iShares Global Infrastructure ETF		6%		9%
DWS RREEF Global Infrastructure Fund		5%		11%
Alternative Fixed Income		21%		23%
DWS Floating Rate Fund		12%		7%
DWS Emerging Markets Fixed Income Fund		7%		9%
iShares JP Morgan USD Emerging Markets Bond ETF		2%		4%
VanEck Vectors JPMorgan EM Local Currency Bond ETF		—		3%
Alternative Equity		19%		19%
SPDR Bloomberg Barclays Convertible Securities ETF		14%		14%
iShares U.S. Preferred Stock ETF		5%		5%
Absolute Return		4%		6%
DWS Global Macro Fund		3%		0%
Invesco DB U.S. Dollar Index Bullish Fund		1%		0%
VelocityShares Daily Inverse VIX Short Term ETN		—		3%
PowersShares DB U.S. Dollar Index Bullish Fund		—		2%
ProShares Short VIX Short-Term Futures ETF		—		1%
Cash Equivalents		16%		7%
DWS ESG Liquidity Fund		8%		—
DWS Central Cash Management Government Fund		8%		7%
		100%		100%

* During the periods indicated, asset categories and investment strategies represented in the Fund’s portfolio fell into the following categories: Real Assets, Alternative Fixed Income, Alternative Equity, and Absolute Return. Real Asset investments have a tangible or physical aspect such as real estate or commodities. Alternative Fixed Income investments seek to offer exposure to categories generally not included in investors’ allocations and to foreign investments, many of which are not denominated in US dollars. Alternative Equity investments are investments primarily in convertible and preferred instruments that offer equity exposure. Absolute Return investments seek positive returns in all market environments or seek to increase the diversification or liquidity of the Fund’s portfolio.

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 8.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q or Form N-PORT (available for filings after March 31, 2019). The Fund’s Form N-Q or Form N-PORT will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 7

Investment Portfolio December 31, 2018

	Shares		Value ($)
Mutual Funds 56.2%
DWS Emerging Markets Fixed Income Fund “Institutional” (a)		1,978,800		17,037,469
DWS Enhanced Commodity Strategy Fund “Institutional” (a)		3,640,095		34,471,696
DWS Floating Rate Fund “Institutional” (a)		3,762,828		29,538,196
DWS Global Infrastructure Fund “Institutional” (a)		980,486		12,746,320
DWS Global Macro Fund “Institutional” (a)		694,835		6,302,154
DWS Global Real Estate Securities Fund “Institutional” (a)		1,629,076		13,651,660
DWS Real Estate Securities Fund “Institutional” (a)		945,289		17,837,606
Total Mutual Funds (Cost $144,220,009)				131,585,101
Exchange-Traded Funds 28.2%
Invesco DB U.S. Dollar Index Bullish Fund		97,613		2,484,251
iShares Global Infrastructure ETF		369,135		14,536,536
iShares JP Morgan USD Emerging Markets Bond ETF		51,200		5,320,192

	Shares		Value ($)
iShares U.S. Preferred Stock ETF		317,840		10,879,663
SPDR Bloomberg Barclays Convertible Securities ETF		701,340		32,815,699
Total Exchange-Traded Funds (Cost $71,044,980)				66,036,341
Cash Equivalents 15.4%
DWS Central Cash Management Government Fund, 2.41% (a) (b)		17,736,862		17,736,862
DWS ESG Liquidity Fund “Institutional” (a)		18,323,518		18,321,686
Total Cash Equivalents (Cost $36,060,378)				36,058,548
	% of Net Assets		Value ($)
Total Investment Portfolio (Cost $251,325,367)		99.8		233,679,990
Other Assets and Liabilities, Net		0.2		410,460
Net Assets		100.0		234,090,450

The Fund mainly invests in Underlying DWS Funds and Non-affiliated ETFs. The Underlying DWS Funds in which the Fund invests are considered to be affiliated investments.

A summary of the Fund’s transactions with affiliated investments during the year ended December 31, 2018 are as follows:

Value ($) at 12/31/2017	Purchases Cost ($)		Sales Proceeds ($)		Net Realized Gain/ (Loss) ($)			Net Change in Unrealized Appreciation (Depreciation) ($)			Income ($)		Capital Gain Distributions ($)		Number of Shares at 12/31/2018		Value ($) at 12/31/2018
Mutual Funds 56.2%
DWS Emerging Markets Fixed Income Fund “Institutional” (a)
16,551,326		2,244,341		—		—			(1,758,198	)		675,341		—		1,978,800		17,037,469
DWS Enhanced Commodity Strategy Fund “Institutional” (a)
25,128,692		17,512,515		—		—			(8,169,511	)		3,751,715		—		3,640,095		34,471,696
DWS Floating Rate Fund “Institutional” (a)
13,334,203		17,640,183		—		—			(1,436,190	)		1,007,083		—		3,762,828		29,538,196
DWS Global Infrastructure Fund “Institutional” (a)
20,825,265		1,044,820		6,879,000		(79,375	)		(2,165,390	)		331,420		—		980,486		12,746,320
DWS Global Macro Fund “Institutional” (a)
—		6,943,003		—		—			(640,849	)		402,303		119,430		694,835		6,302,154
DWS Global Real Estate Securities Fund “Institutional” (a)
14,968,792		3,131,573		3,088,000		(206,519	)		(1,154,186	)		722,872		48,627		1,629,076		13,651,660
DWS Real Estate Securities Fund “Institutional” (a)
7,376,866		17,392,842		5,701,100		(544,027	)		(686,975	)		688,741		323,079		945,289		17,837,606
Cash Equivalents 15.4%
DWS Central Cash Management Government Fund 2.41% (a) (b)
12,941,460		101,616,053		96,820,651		—			—			219,363		—		17,736,862		17,736,862
DWS ESG Liquidity Fund “Institutional” (a)
—		18,323,516		—		—			(1,830	)		62,093		—		18,323,518		18,321,686
111,126,604		185,848,846		112,488,751		(829,921	)		(16,013,129	)		7,860,931		491,136		49,691,789		167,643,649

(a) Affiliated fund managed by DWS Investment Management Americas Inc.

(b) The rate shown is the annualized seven-day yield at period end.

SPDR: Standard & Poor’s Depositary Receipt

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

8 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1		Level 2		Level 3		Total
Mutual Funds	$	131,585,101	$	—	$	—	$	131,585,101
Exchange-Traded Funds		66,036,341		—		—		66,036,341
Short-Term Investments		36,058,548		—		—		36,058,548
Total	$	233,679,990	$	—	$	—	$	233,679,990

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

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 9

Statement of Assets and Liabilities

as of December 31, 2018
Assets
Investments in affiliated Underlying Funds, at value (cost $180,280,387)	$	167,643,649
Investments in non-affiliated securities, at value (cost $71,044,980)		66,036,341
Cash		10,000
Receivable for Fund shares sold		593,427
Dividends receivable		34,977
Interest receivable		26,391
Other assets		4,768
Total assets		234,349,553
Liabilities
Payable for Fund shares redeemed		76,422
Accrued Trustees’ fees		5,249
Other accrued expenses and payables		177,432
Total liabilities		259,103
Net assets, at value	$	234,090,450
Net Assets Consist of
Distributable earnings (loss)		(21,221,438	)
Paid-in capital		255,311,888
Net assets, at value	$	234,090,450
Class A
Net Asset Value, offering and redemption price per share ($26,396,275 ÷ 2,180,831 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	12.10
Class B
Net Asset Value, offering and redemption price per share ($207,694,175 ÷ 17,175,164 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	12.09

     Statement of Operations

for the year ended December 31, 2018
Investment Income
Income:
Income distributions from affiliated Underlying Funds	$	7,860,931
Dividends		2,931,443
Total income		10,792,374
Expenses:
Management fee		1,140,088
Administration fee		205,334
Recordkeeping fees (Class B)		165,837
Services to shareholders		3,433
Distribution and service fees (Class B)		445,558
Custodian fee		7,299
Professional fees		73,743
Reports to shareholders		54,116
Registration fees		20
Trustees’ fees and expenses		14,184
Other		6,574
Total expenses before expense reductions		2,116,186
Expense reductions		(1,270,804	)
Total expenses after expense reductions		845,382
Net investment income		9,946,992
Realized and Unrealized Gain (Loss)
Net realized gain (loss) from:
Sale of affiliated Underlying Funds		(829,921	)
Sale of non-affiliated Underlying Funds		(6,691,257	)
Capital gain distributions from affiliated Underlying Funds		491,136
		(7,030,042	)
Change in net unrealized appreciation (depreciation) on:
Affiliated Underlying Funds		(16,013,129	)
Non-affiliated Underlying Funds		(7,305,480	)
		(23,318,609	)
Net gain (loss)		(30,348,651	)
Net increase (decrease) in net assets resulting from operations	$	(20,401,659	)

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

10 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income (loss)	$	9,946,992		$	3,728,776
Net realized gain (loss)		(7,030,042	)		(2,891,098	)
Change in net unrealized appreciation (depreciation)		(23,318,609	)		10,090,153
Net increase (decrease) in net assets resulting from operations		(20,401,659	)		10,927,831
Distributions to shareholders:
Class A		(576,122	)		(586,944	)
Class B		(3,035,192	)		(2,539,240	)
Total distributions		(3,611,314	)		(3,126,184	)*
Fund share transactions:
Class A
Proceeds from shares sold		4,125,802			4,259,606
Reinvestment of distributions		576,122			586,944
Payments for shares redeemed		(2,134,243	)		(3,329,766	)
Net increase (decrease) in net assets from Class A share transactions		2,567,681			1,516,784
Class B
Proceeds from shares sold		83,793,280			53,356,061
Reinvestment of distributions		3,035,192			2,539,240
Payments for shares redeemed		(15,136,874	)		(12,561,333	)
Net increase (decrease) in net assets from Class B share transactions		71,691,598			43,333,968
Increase (decrease) in net assets		50,246,306			52,652,399
Net assets at beginning of period		183,844,144			131,191,745
Net assets at end of period	$	234,090,450			183,844,144	**
Other Information
Class A
Shares outstanding at beginning of period		1,982,448			1,866,984
Shares sold		319,659			321,873
Shares issued to shareholders in reinvestment of distributions		45,508			45,046
Shares redeemed		(166,784	)		(251,455	)
Net increase (decrease) in Class A shares		198,383			115,464
Shares outstanding at end of period		2,180,831			1,982,448
Class B
Shares outstanding at beginning of period		11,540,895			8,257,413
Shares sold		6,569,707			4,038,118
Shares issued to shareholders in reinvestment of distributions		239,557			194,727
Shares redeemed		(1,174,995	)		(949,363	)
Net increase (decrease) in Class B shares		5,634,269			3,283,482
Shares outstanding at end of period		17,175,164			11,540,895

* Includes distributions from net investment income.

** Includes undistributed net investment income of $3,670,578.

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

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 11

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	13.61		$	12.97		$	12.60		$	13.88		$	13.75
Income (loss) from investment operations:
Net investment incomea		.61			.33			.35			.29			.36
Net realized and unrealized gain (loss)		(1.84	)		.62			.31			(1.13	)		.13
Total from investment operations		(1.23	)		.95			.66			(.84	)		.49
Less distributions from:
Net investment income		(.28	)		(.31	)		(.29	)		(.41	)		(.27	)
Net realized gains		—			—			—			(.03	)		(.09	)
Total distributions		(.28	)		(.31	)		(.29	)		(.44	)		(.36	)
Net asset value, end of period	$	12.10		$	13.61		$	12.97		$	12.60		$	13.88
Total Return (%)b,c		(9.14	)		7.41			5.30			(6.29	)		3.50
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		26			27			24			21			20
Ratio of expenses before expense reductions (%)d,e		.73			.64			.56			.53			.56
Ratio of expenses after expense reductions (%)d,e		.16			.19			.27			.33			.32
Ratio of net investment income (%)		4.78			2.50			2.70			2.19			2.54
Portfolio turnover rate (%)		32			55			51			21			28

	Years Ended December 31,
Class B	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	13.59		$	12.96		$	12.59		$	13.87		$	13.74
Income (loss) from investment operations:
Net investment incomea		.62			.31			.31			.25			.31
Net realized and unrealized gain (loss)		(1.88	)		.59			.31			(1.12	)		.14
Total from investment operations		(1.26	)		.90			.62			(.87	)		.45
Less distributions from:
Net investment income		(.24	)		(.27	)		(.25	)		(.38	)		(.23	)
Net realized gains		—			—			—			(.03	)		(.09	)
Total distributions		(.24	)		(.27	)		(.25	)		(.41	)		(.32	)
Net asset value, end of period	$	12.09		$	13.59		$	12.96		$	12.59		$	13.87
Total Return (%)b,c		(9.35	)		7.01			4.99			(6.54	)		3.24
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		208			157			107			88			94
Ratio of expenses before expense reductions (%)d,e		1.08			.93			.85			.83			.86
Ratio of expenses after expense reductions (%)d,e		.45			.48			.57			.62			.57
Ratio of net investment income (%)		4.85			2.31			2.45			1.84			2.22
Portfolio turnover rate (%)		32			55			51			21			28

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Total return would have been lower if the Advisor had not reduced some Underlying DWS Funds’ expenses.

^d  The Fund invests in other Funds and indirectly bears its proportionate share of fees and expenses incurred by the Underlying Funds in which the Fund is invested. This ratio does not include these indirect fees and expenses.

^e  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

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

12 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

Notes to Financial Statements

A. Organization and Significant Accounting Policies

DWS Alternative Asset Allocation VIP (formerly Deutsche Alternative Asset Allocation VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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 mainly invests in other affiliated DWS funds (i.e., mutual funds, exchange-traded funds and other pooled investment vehicles managed by DWS Investment Management Americas, Inc. or one of its affiliates, together the “Underlying DWS Funds”), non-affiliated exchange-traded funds (“Non-affiliated ETFs”), non-affiliated exchange-traded notes (“Non-affiliated ETNs”) and derivative investments. Non-affiliated ETFs, Non-affiliated ETNs and Underlying DWS Funds are collectively referred to as “Underlying Funds.” During the six months ended June 30, 2018, the Fund primarily invested in Underlying DWS Funds and non-affiliated ETFs. Each Underlying DWS Fund’s accounting policies and investment holdings are outlined in the Underlying DWS Funds’ financial statements and are available upon request.

Multiple Classes of Shares of Beneficial Interest. The Fund offers two classes of shares (Class A shares and Class B shares). Sales of Class B shares are subject to recordkeeping fees up to 0.15% and Rule 12b-1 fees under the 1940 Act equal to an annual rate of 0.25% of the average daily net assets of the Class B shares of the Fund. Class A shares are not subject to such fees.

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 (including the applicable Rule 12b-1 fee). Differences in class-level expenses may result in payment of different per share dividends by class. All shares 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 (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

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.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

Investments in mutual funds are valued at the net asset value per share of each class of the Underlying DWS Funds and are categorized as Level 1.

ETFs and ETNs are valued at the most recent sale price or official closing price reported on the exchange (U.S. or foreign) or over-the-counter market on which they trade. ETFs and ETNs 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. ETFs and ETNs securities are generally categorized as Level 1.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 13

Federal Income 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.

At December 31, 2018, the Fund had approximately $10,101,000 of tax basis capital loss carryforwards, which may be applied against realized net taxable capital gains indefinitely, including short-term losses ($6,827,000) and long-term losses ($3,274,000).

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investment income of the Fund, if any, are 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 Fund may also make additional distributions for tax purposes if necessary.

The timing and characterization of certain income and capital gain 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 certain securities sold at a loss and capital gain distributions from Underlying Funds. 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, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income*	$	10,093,696
Capital loss carryforward	$	(10,101,000	)
Unrealized appreciation (depreciation) on investments	$	(21,213,771	)

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $254,893,761. The net unrealized depreciation for all investments based on tax cost was $21,213,771. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $2,148,131 and aggregate gross unrealized depreciation for all investments in which there was an excess of tax cost over value of $23,361,902.

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

	Years Ended December 31,
	2018		2017
Distributions from ordinary income*	$	3,611,314	$	3,126,184

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

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 based upon the relative net assets or other appropriate measures.

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.

Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment transactions are reported on trade date. Interest income is recorded on the accrual basis. Dividend Income is recorded on the ex-dividend date. Distributions of income and capital gains from the Underlying Funds are recorded on the ex-dividend date. Realized gains and losses from investment transactions are recorded on an identified cost basis.

B. Purchases and Sales of Securities

During the year ended December 31, 2018, purchases and sales of affiliated Underlying Funds (excluding short-term investments) aggregated $65,909,277 and $15,668,100, respectively. Purchases and sales of Non-affiliated ETFs aggregated $47,449,126 and $46,047,042, respectively.

14 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

C. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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 in Underlying Funds to be purchased, sold or entered into by the Fund or delegates such responsibility to the Fund’s subadvisors.

RREEF America L.L.C. (“RREEF”), an indirect, wholly owned subsidiary of DWS Group, acts as an investment subadvisor to the Fund. As an investment subadvisor to the Fund, RREEF provides investment management services to the portions of the Fund’s portfolio allocated to direct investments in global real estate and global infrastructure securities. RREEF is paid by the Advisor for the services RREEF provides to the Fund. As of the date of this report, the Fund obtained its exposure to global real estate and global infrastructure securities indirectly through investments in other Underlying DWS Funds.

The Fund does not invest in the Underlying DWS Funds for the purpose of exercising management or control; however, investments within the set limits may represent 5% or more of an Underlying DWS Fund’s outstanding shares. At December 31, 2018, the Fund held approximately 25% of DWS Global Macro Fund, 23% of DWS Emerging Markets Fixed Income Fund and 11% of DWS Floating Rate Fund. Pursuant to the Investment Management Agreement with the Advisor, 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:

On assets invested in other DWS Funds	.20	%
On assets invested in all other assets not considered DWS Funds	1.20	%

Accordingly, for the year ended December 31, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annual rate (exclusive of any applicable waivers/reimbursements) of 0.56% of the Fund’s average daily net assets.

In addition, the Advisor will receive management fees from managing the Underlying DWS Funds in which the Fund invests.

For the period from January 1, 2018 through April 30, 2019, the Advisor has contractually agreed to waive its fees and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage, interest expense and Underlying Funds) of each class as follows:

Class A	.23	%
Class B	.53	%

In addition, the Advisor has contractually agreed to waive its fees and/or reimburse fund expenses for the period January 1, 2018 through September 30, 2019 to the extent necessary to maintain the fund’s total annual operating expenses (including indirect expenses of Underlying Funds and excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expenses) of each class as follows:

Class A	.86	%
Class B	1.15	%

For the year ended December 31, 2018, the Advisor has voluntarily agreed to waive 0.15% of its management fee.

For the year ended December 31, 2018, fees waived and/or expenses reimbursed for each class are as follows:

Class A	$	154,900
Class B		1,115,904
	$	1,270,804

The Fund indirectly bears its proportionate share of fees and expenses incurred by the Underlying Funds in which it is invested.

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 15

DIMA 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, 2018, the Administration Fee was $205,334, of which $19,869 is unpaid.

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018, the amounts charged to the Fund by DSC were as follows:

Services to Shareholders	Total Aggregated		Unpaid at December 31, 2018
Class A	$	128	$	23
Class B		250		42
	$	378	$	65

Distribution Service Agreement. Under the Fund’s Class B 12b-1 plan, DWS Distributors, Inc. (“DDI”) received a fee (“Distribution Service Fee”) of 0.25% of average daily net assets of Class B shares. For the year ended December 31, 2018, the Distribution Service Fee aggregated $445,558, of which $43,990 is unpaid.

Typesetting and Filing Service Fees. Under an agreement with the Fund, DIMA is compensated for providing certain pre-press and regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $14,716, of which $10,799 is unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

Affiliated Cash Management Vehicles. The Fund may invest uninvested cash balances in DWS Central Cash Management Government Fund and DWS ESG Liquidity Fund, affiliated money market funds which are managed by the Advisor. Each affiliated money market fund is managed in accordance with Rule 2a-7 under the 1940 Act, which governs the quality, maturity, diversity and liquidity of instruments in which a money market fund may invest. DWS Central Cash Management Government Fund seeks to maintain a stable net asset value, and DWS ESG Liquidity Fund maintains a floating net asset value. The Fund indirectly bears its proportionate share of the expenses of each affiliated money market fund in which it invests. DWS Central Cash Management Government Fund does not pay the Advisor an investment management fee.

D. Ownership of the Fund

At December 31, 2018, two participating insurance company was the owner of record of 10% or more of the total outstanding Class A shares of the Fund, each owning 87% and 11%. Two participating insurance companies were the owner of record of 10% or more of the total outstanding Class B shares of the Fund, each owning 66% and 23%, respectively.

16 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS Alternative Asset Allocation VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS Alternative Asset Allocation VIP (formerly Deutsche Alternative Asset Allocation VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 17

Information About Your Fund’s Expenses (Unaudited)

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 contract charges, 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 addition to the ongoing expenses which the Fund bears directly, the Fund’s shareholders indirectly bear the expense of the Underlying Funds in which the Fund invests. These expenses are not included in the Fund’s annualized expense ratios used to calculate the expense estimate in the tables. In the most recent six-month period, the Fund limited the ongoing expenses the Fund bears directly; had it not done so, expenses would have been higher. The examples in the table are based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period (July 1, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2018
Actual Fund Return	Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	945.30	$	943.80
Expenses Paid per $1,000*	$	.83	$	2.25
Hypothetical 5% Fund Return		Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	1,024.35	$	1,022.89
Expenses Paid per $1,000*	$	.87	$	2.35

* Expenses are equal to the Fund’s annualized expense ratio for each share class, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratios**	Class A			Class B
Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP		.17	%		.46	%

** The Fund invests in other funds and indirectly bears its proportionate share of fees and expenses incurred by the Underlying Funds in which the Fund is invested. These ratios do not include these indirect fees and expenses.

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

18 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

Tax Information (Unaudited)

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 contact your insurance provider.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 19

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS Alternative Asset Allocation VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) and sub-advisory agreement (the “Sub-Advisory Agreement” and together with the Agreement, the “Agreements”) between DIMA and RREEF America L.L.C. (“RREEF”), an affiliate of DIMA, in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– 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.

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 has 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 and RREEF are part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 and RREEF’s personnel and administrative support services provided by DIMA, such 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 and RREEF 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 and the resources made available to such personnel. Throughout the course of the year, the Board also received information regarding DIMA’s oversight of fund sub-advisers, including RREEF. 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 index(es) and a peer universe compiled using information supplied by Morningstar Direct (“Morningstar”), an independent fund data service. The Board also noted that it has

20 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s 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-, three- and five-year periods ended December 31, 2017, the Fund’s performance (Class A shares) was in the 1st quartile, 1st quartile and 2nd quartile, respectively, of the applicable Morningstar universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund has underperformed its benchmark in the one-, three- and five-year periods ended December 31, 2017.

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, sub-advisory fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were higher than the median (3rd quartile) of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). The Board noted that, since inception, DIMA has waived voluntarily a portion (0.15%) of the Fund’s management fee. With respect to any sub-advisory fee paid to RREEF, the Board noted that the fee is paid by DIMA out of its fee and not directly by the Fund. The Board noted the Fund’s total (net) operating expenses and noted that the expense limitations agreed to by DIMA were expected to help the Fund’s total (net) operating expenses remain competitive. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to comparable DWS U.S. registered funds (“DWS Funds”) and considered differences between the Fund and the comparable DWS Funds. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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 and RREEF.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA from advising the DWS Funds along with the estimated costs to DIMA, and pre-tax profits realized by DIMA, from advising the DWS Funds. The Board also received information regarding the estimated enterprise-wide profitability of DIMA and its affiliates with respect to all fund services in totality. The Board did not receive profitability information with respect to the Fund, but did receive such information with respect to the funds in which the Fund invests. The Board also reviewed certain publicly available 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 Funds (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 most 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. In this regard, the Board observed that while the Fund’s current investment management fee schedule does not include breakpoints, 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 or “fall-out” benefits received by DIMA and its affiliates, including any fees received by DIMA for administrative services provided to the Fund, any fees received by an affiliate of DIMA for transfer agency 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. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 21

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreements.

22 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International; Public Radio International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago); Life Director of Hubbard Street Dance Chicago		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston); American Documentary, Inc. (public media)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 23

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)

24 | Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

Deutsche DWS Variable Series II — DWS Alternative Asset Allocation VIP | 25

Notes

Notes

VS2AAA-2 (R-025824-8 2/19)

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS CROCI^® U.S. VIP

(formerly Deutsche CROCI^® U.S. VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
4	Management Summary
6	Portfolio Summary
7	Investment Portfolio
9	Statement of Assets and Liabilities
9	Statement of Operations
10	Statements of Changes in Net Assets
11	Financial Highlights
12	Notes to Financial Statements
17	Report of Independent Registered Public Accounting Firm
18	Information About Your Fund’s Expenses
19	Tax Information
19	Proxy Voting
20	Advisory Agreement Board Considerations and Fee Evaluation
23	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

The Fund will be managed using the CROCI^® Investment Process which is based on portfolio management’s belief that, over time, stocks which display more favorable financial metrics (for example, the CROCI^® Economic P/E Ratio) as generated by this process may outperform stocks which display less favorable metrics. This premise may not prove to be correct and prospective investors should evaluate this assumption prior to investing in the Fund. Stocks may decline in value. The Fund may lend securities to approved institutions. Please read the prospectus for details.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

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

2 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

Performance Summary December 31, 2018 (Unaudited)

Fund 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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns. While all share classes have the same underlying portfolio, their performance will differ.

The gross expense ratios of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 are 0.82% and 1.15% for Class A and Class B shares, respectively, and may differ from the expense ratios disclosed in the Financial Highlights tables in this report.

Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights.

Growth of an Assumed $10,000 Investment in DWS CROCI^® U.S. VIP

The Standard & Poor’s 500 (S&P 500) Index is an unmanaged, capitalization-weighted index of 500 stocks. The index is designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries.   Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.   Prior to October 3, 2016, the Fund had a team that operated with a different investment strategy. Performance would have been different if the Fund’s current strategy had been in effect.

Comparative Results
DWS CROCI® U.S. VIP		1-Year	3-Year	5-Year	10-Year
Class A	Growth of $10,000	$8,950	$10,516	$10,843	$21,623
	Average annual total return	–10.50%	1.69%	1.63%	8.02%
S&P 500® Index	Growth of $10,000	$9,562	$13,042	$15,033	$34,303
	Average annual total return	–4.38%	9.26%	8.49%	13.12%
DWS CROCI® U.S. VIP		1-Year	3-Year	5-Year	10-Year
Class B	Growth of $10,000	$8,929	$10,429	$10,684	$20,988
	Average annual total return	–10.71%	1.41%	1.33%	7.70%
S&P 500® Index	Growth of $10,000	$9,562	$13,042	$15,033	$34,303
	Average annual total return	–4.38%	9.26%	8.49%	13.12%

The growth of $10,000 is cumulative.

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 3

Management Summary December 31, 2018 (Unaudited)

The Fund returned –10.50% (Class A shares, unadjusted for contract charges) in 2018 and underperformed the –4.38% return for its benchmark, the S&P 500 Index. All of the downturn in the broader U.S. equity market occurred in the fourth calendar quarter. Prior to this time, stocks were buoyed by the combination of robust economic conditions and rising corporate earnings in the United States. Late in the year, however, investors’ appetite for risk evaporated amid questions about the outlook for global growth, interest rates, and U.S. trade policy. The index declined 13.52% in the fourth quarter, leading to a negative return for the full year.

The majority of the Fund’s underperformance occurred prior to the end of September. During this time, investors maintained a strong preference for faster-growing companies — particularly mega-cap technology stocks — while showing less interest in those with lower valuations and higher dividends. This trend resulted in a wide gap in the returns of the growth and value categories. In this environment, our value approach put the Fund out of step with broader market trends and was the primary factor causing underperformance. Our emphasis on lower-volatility stocks also detracted at a time in which higher-beta, momentum-driven equities generally outperformed. Once the market backdrop grew less favorable in the fourth quarter, the outperformance of growth stocks and the momentum style started to wane and value-oriented, lower-beta stocks began to experience better relative performance. While this shift worked to the Fund’s advantage, it did not help it to overcome the earlier shortfall.

The Fund’s performance was aided by our stock selection in the industrials sector, but the benefit was offset by weaker results in consumer discretionary, information technology, and financials. In the consumer discretionary sector, American Axle & Manufacturing Holdings, Inc.* — which declined due to broader weakness among auto-related companies — was a key detractor. The construction-supply company Mohawk Industries, Inc.,* which came under pressure from worries that rising interest rates would stem demand among homebuyers, was another key detractor. The Fund’s underperformance in technology largely stemmed from positions in Micron Technology, Inc. and Cognizant Technology Solutions Corp. Micron slid due to the prospect of a slowdown in the semiconductor industry as a whole, while Cognizant lagged due to disappointing revenues and concerns regarding its growth outlook. Financials proved to be a challenging area for the Fund, as well. Our holdings posted a negative return in the aggregate, with the largest effects coming from Synchrony Financial, Citigroup Inc. and Capital One Financial Corp.

On the positive side, our favorable showing in industrials was the result of a zero weighting in General Electric Co. — a large sector component whose shares plunged during the period — as well as investments in several stocks that outperformed and that we sold prior to the market downturn. Among these were Southwest Airlines Co.,* Raytheon Co.,* and Lockheed Martin Corp.* Outside of industrials, the pharmaceutical giant Merck & Co., Inc. was the largest contributor. The stock finished the year with a gain and strongly outpaced its sector peers due to its success with its cancer drug Keytruda, as well as its increased dividend and potential for expanding operating margins.

We are disappointed in the Fund’s results, but we are also remaining true to our value discipline. Value stocks underperformed growth by a wide margin in the time since April 2015, when the Fund began to use the CROCI^® strategy, through September of this year. Although growth remained persistently in favor, it’s important to remember that the two styles tend to alternate leadership over time — as evidenced by the relative strength in value during the final three months of the year. We believe our CROCI^® investment process, through its disciplined approach and emphasis on higher-quality stocks with attractive valuations, is well positioned to benefit if the relative performance of the value style continues to improve.

Di Kumble, CFA, Managing Director

John Moody, Vice President

Portfolio Managers

The views expressed 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.

4 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

Terms to Know

The Standard & Poor’s 500 (S&P 500) Index is an unmanaged, capitalization-weighted index of 500 stocks. The index is designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. Index returns do not reflect fees or expenses and it is not possible to invest directly into an index.

Contribution and detraction incorporate both a stock’s total return and its weighting in the index.

Overweight means the Fund holds a higher weighting in a given sector or security than the benchmark. Underweight means the Fund holds a lower weighting.

* Not held in the portfolio as of December 31, 2018.

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 5

Portfolio Summary (Unaudited)

Asset Allocation (As a % of Investment Portfolio)	12/31/18		12/31/17
Common Stocks		97%		99%
Cash Equivalent		3%		1%
		100%		100%
Sector Diversification (As a % of Investment Portfolio excluding Cash Equivalents)	12/31/18		12/31/17
Financials		27%		18%
Information Technology		21%		8%
Health Care		16%		15%
Industrials		11%		15%
Materials		10%		5%
Consumer Discretionary		8%		7%
Consumer Staples		5%		10%
Utilities		2%		14%
Communication Services		—		8%
		100%		100%

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 7.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q or Form N-PORT (available for filings after March 31, 2019). The Fund’s Form N-Q or Form N-PORT will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

6 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

Investment Portfolio December 31, 2018

	Shares		Value ($)
Common Stocks 97.2%
Consumer Discretionary 7.7%
Auto Components 2.4%
BorgWarner, Inc.		87,697		3,046,593
Household Durables 5.3%
D.R. Horton, Inc.		98,439		3,411,896
Garmin Ltd.		53,669		3,398,321
				6,810,217
Consumer Staples 4.9%
Beverages 2.5%
Coca-Cola Co.		68,688		3,252,377
Food Products 2.4%
Tyson Foods, Inc. “A”		57,317		3,060,728
Financials 26.1%
Banks 11.5%
Bank of America Corp.		126,310		3,112,278
Citigroup, Inc.		54,923		2,859,291
JPMorgan Chase & Co.		31,671		3,091,723
SunTrust Banks, Inc.		55,500		2,799,420
U.S. Bancorp.		63,081		2,882,802
				14,745,514
Capital Markets 5.0%
Bank of New York Mellon Corp.		69,861		3,288,357
State Street Corp.		49,191		3,102,477
				6,390,834
Consumer Finance 9.6%
American Express Co.		32,352		3,083,793
Capital One Financial Corp.		39,837		3,011,279
Discover Financial Services		50,147		2,957,670
Synchrony Financial		135,155		3,170,736
				12,223,478
Health Care 15.4%
Biotechnology 7.7%
Amgen, Inc.		17,623		3,430,669
Celgene Corp.*		50,616		3,243,980
Gilead Sciences, Inc.		50,546		3,161,652
				9,836,301
Pharmaceuticals 7.7%
Bristol-Myers Squibb Co.		64,540		3,354,789
Johnson & Johnson		23,252		3,000,671
Merck & Co., Inc.		45,135		3,448,765
				9,804,225
Industrials 10.7%
Aerospace & Defense 0.8%
United Technologies Corp.		9,963		1,060,860
Electrical Equipment 2.5%
Eaton Corp. PLC		46,995		3,226,677
Machinery 5.1%
Cummins, Inc.		23,861		3,188,784
PACCAR, Inc.		57,375		3,278,408
				6,467,192

	Shares		Value ($)
Professional Services 2.3%
ManpowerGroup, Inc.		44,074		2,855,995
Information Technology 20.3%
Electronic Equipment, Instruments & Components 2.7%
TE Connectivity Ltd.		46,391		3,508,551
IT Services 7.5%
Amdocs Ltd.		52,721		3,088,396
Cognizant Technology Solutions Corp. “A”		50,302		3,193,171
International Business Machines Corp.		29,059		3,303,137
				9,584,704
Semiconductors & Semiconductor Equipment 10.1%
Applied Materials, Inc.		98,326		3,219,193
Lam Research Corp.		24,046		3,274,344
Micron Technology, Inc.*		95,747		3,038,052
Skyworks Solutions, Inc.		49,518		3,318,697
				12,850,286
Materials 9.4%
Chemicals 4.9%
Eastman Chemical Co.		43,024		3,145,485
LyondellBasell Industries NV “A”		37,377		3,108,271
				6,253,756
Containers & Packaging 2.2%
WestRock Co.		74,746		2,822,409
Metals & Mining 2.3%
Nucor Corp.		56,636		2,934,311
Utilities 2.7%
Electric Utilities
Exelon Corp.		75,304		3,396,210
Total Common Stocks (Cost $142,204,335)				124,131,218
Cash Equivalent 2.8%
DWS Central Cash Management Government Fund, 2.41% (a) (Cost $3,576,006)		3,576,006		3,576,006
	% of Net Assets		Value ($)
Total Investment Portfolio (Cost $145,780,341)		100.0		127,707,224
Other Assets and Liabilities, Net		0.0		48,696
Net Assets		100.0		127,755,920

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

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 7

A summary of the Fund’s transactions with affiliated investments during the year ended December 31, 2018 are as follows:

Value ($) at 12/31/2017	Purchases Cost ($)		Sales Proceeds ($)			Net Realized Gain/ (Loss) ($)		Net Change in Unrealized Appreciation (Depreciation) ($)		Income ($)		Capital Gain Distributions ($)		Number of Shares at 12/31/2018		Value ($) at 12/31/2018
Securities Lending Collateral 0.0%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (a) (b)
4,968,641		—		4,968,641	(c)		—		—		1,980		—		—		—
Cash Equivalent 2.8%
DWS Central Cash Management Government Fund, 2.41% (a)
1,372,351		22,264,157		20,060,502			—		—		30,452		—		3,576,006		3,576,006
6,340,992		22,264,157		25,029,143			—		—		32,432		—		3,576,006		3,576,006

* Non-income producing security.

(a) Affiliated fund managed by DWS Investment Management Americas, Inc. The rate shown is the annualized seven-day yield at period end.

(b) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates.

(c) Represents the net increase (purchase cost) or decrease (sales proceeds) in the amount invested for the year ended December 31, 2018.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1		Level 2		Level 3		Total
Common Stocks (d)	$	124,131,218	$	—	$	—	$	124,131,218
Short-Term Investment		3,576,006		—		—		3,576,006
Total	$	127,707,224	$	—	$	—	$	127,707,224

(d) See Investment Portfolio for additional detailed categorizations.

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

8 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

Statement of Assets and Liabilities

as of December 31, 2018

Assets
Investments in non-affiliated securities, at value (cost $142,204,335)	$	124,131,218
Investment in DWS Central Cash Management Government Fund (cost $3,576,006)		3,576,006
Receivable for Fund shares sold		7,006
Dividends receivable		248,544
Interest receivable		6,239
Other assets		3,206
Total assets		127,972,219
Liabilities
Payable for Fund shares redeemed		57,322
Accrued management fee		54,633
Accrued Trustees’ fees		2,602
Other accrued expenses and payables		101,742
Total liabilities		216,299
Net assets, at value	$	127,755,920
Net Assets Consist of
Distributable earnings (loss)		(4,016,836	)
Paid-in capital		131,772,756
Net assets, at value	$	127,755,920
Net Asset Value
Class A
Net Asset Value, and redemption price per share ($124,742,009 ÷ 9,266,278 outstanding shares of beneficial interest, no par value, unlimited shares authorized)	$	13.46
Class B
Net Asset Value, offering and redemption price per share ($3,013,911 ÷ 223,302 outstanding shares of beneficial interest, no par value, unlimited shares authorized)	$	13.50

Statement of Operations

for the year ended December 31, 2018

Investment Income
Income:
Dividends	$	3,847,720
Income distributions — DWS Central Cash Management Government Fund		30,452
Securities lending income, net of borrower rebates		1,980
Total income		3,880,152
Expenses:
Management fee		967,002
Administration fee		148,769
Services to Shareholders		2,999
Record keeping fee (Class B)		2,327
Distribution service fee (Class B)		9,256
Custodian fee		6,818
Professional fees		75,764
Reports to shareholders		26,154
Trustees’ fees and expenses		8,423
Other		11,417
Total expenses before expense reductions		1,258,929
Expense reductions		(176,612	)
Total expenses after expense reductions		1,082,317
Net investment income		2,797,835
Realized and Unrealized gain (loss)
Net realized gain (loss) from investments		12,382,135
Change in net unrealized appreciation (depreciation) on investments		(30,136,434	)
Net gain (loss)		(17,754,299	)
Net increase (decrease) in net assets resulting from operations	$	(14,956,464	)

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

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 9

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income (loss)	$	2,797,835		$	3,581,174
Net realized gain (loss)		12,382,135			32,463,285
Change in net unrealized appreciation (depreciation)		(30,136,434	)		10,347,153
Net increase (decrease) in net assets resulting from operations		(14,956,464	)		46,391,612
Distributions to shareholders:
Class A		(14,077,923	)		(3,625,439	)
Class B		(318,032	)		(42,548	)
Total distributions		(14,395,955	)		(3,667,987	)*
Class A
Proceeds from shares sold		2,162,910			3,856,097
Reinvestment of distributions		14,077,923			3,625,439
Payments of shares redeemed		(15,569,405	)		(124,081,648	)
Net increase (decrease) in net assets from Class A share transactions		671,428			(116,600,112	)
Class B
Proceeds from shares sold		1,589,334			97,651
Reinvestment of distributions		318,032			42,548
Payments of shares redeemed		(1,755,739	)		(815,252	)
Net increase (decrease) in net assets from Class B share transactions		151,627			(675,053	)
Increase (decrease) in net assets		(28,529,364	)		(74,551,540	)
Net assets at beginning of year		156,285,284			230,836,824
Net assets at end of year		127,755,920			156,285,284	**
Other Information
Class A
Shares outstanding at beginning of period		9,181,648			16,529,732
Shares sold		140,074			255,906
Shares issued to shareholders in reinvestment of distributions		953,143			245,460
Shares redeemed		(1,008,587	)		(7,849,450	)
Net increase (decrease) in Class A shares		84,630			(7,348,084	)
Shares outstanding at end of period		9,266,278			9,181,648
Class B
Shares outstanding at beginning of period		210,410			254,820
Shares sold		104,157			6,516
Shares issued to shareholders in reinvestment of distributions		21,431			2,869
Shares redeemed		(112,696	)		(53,795	)
Net increase (decrease) in Class B shares		12,892			(44,410	)
Shares outstanding at end of period		223,302			210,410

* Includes distributions from net investment income.

** Includes undistributed net investment income of $3,682,681.

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

10 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	16.64		$	13.75		$	15.29		$	17.38		$	15.97
Income (loss) from investment operations:
Net investment income (loss)a		.29			.24			.23			.11			.24
Net realized and unrealized gain (loss)		(1.89	)		2.88			(.93	)		(1.20	)		1.45
Total from investment operations		(1.60	)		3.12			(.70	)		(1.09	)		1.69
Less distributions from:
Net investment income		(.41	)		(.23	)		(.14	)		(.25	)		(.28	)
Net realized gains on investment transactions		(1.17	)		—			(.70	)		(.75	)		—
Total distributions		(1.58	)		(.23	)		(.84	)		(1.00	)		(.28	)
Net asset value, end of period	$	13.46		$	16.64		$	13.75		$	15.29		$	17.38
Total Return (%)b		(10.50	)		22.88	c		(4.39	)		(6.87	)		10.72
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		125			153			227			293			430
Ratio of expenses before expense reductions (%)d		.84			.82			.81			.78			.78
Ratio of expenses after expense reductions (%)d		.72			.72			.74			.73			.73
Ratio of net investment income (loss) (%)		1.89			1.59			1.66			.65			1.43
Portfolio turnover rate (%)		100			97			293			121			133

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  The Fund’s total return includes a reimbursement by the Adviser for commission costs incurred in connection with purchases and sales of portfolio assets due to the change in investment strategy, which otherwise would have reduced total return by 0.03%.

^d  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

	Years Ended December 31,
Class B	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	16.67		$	13.78		$	15.31		$	17.40		$	15.99
Income (loss) from investment operations:
Net investment income (loss)a		.24			.20			.19			.06			.18
Net realized and unrealized gain (loss)		(1.88	)		2.87			(.92	)		(1.21	)		1.46
Total from investment operations		(1.64	)		3.07			(.73	)		(1.15	)		1.64
Less distributions from:
Net investment income		(.36	)		(.18	)		(.10	)		(.19	)		(.23	)
Net realized gains on investment transactions		(1.17	)		—			(.70	)		(.75	)		—
Total distributions		(1.53	)		(.18	)		(.80	)		(.94	)		(.23	)
Net asset value, end of period	$	13.50		$	16.67		$	13.78		$	15.31		$	17.40
Total Return (%)b		(10.71	)		22.45	c		(4.62	)		(7.16	)		10.36
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		3			4			4			4			5
Ratio of expenses before expense reductions (%)d		1.16			1.15			1.13			1.10			1.09
Ratio of expenses after expense reductions (%)d		1.04			1.03			1.05			1.04			1.04
Ratio of net investment income (loss) (%)		1.55			1.31			1.37			.35			1.10
Portfolio turnover rate (%)		100			97			293			121			133

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  The Fund’s total return includes a reimbursement by the Adviser for commission costs incurred in connection with purchases and sales of portfolio assets due to the change in investment strategy, which otherwise would have reduced total return by 0.03%.

^d  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

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

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 11

Notes to Financial Statements

A. Organization and Significant Accounting Policies

DWS CROCI^® U.S. VIP (formerly Deutsche CROCI^® U.S. VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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.

Multiple Classes of Shares of Beneficial Interest. The Fund offers two classes of shares (Class A shares and Class B shares). Sales of Class B shares are subject to recordkeeping fees up to 0.15% and Rule 12b-1 fees under the 1940 Act equal to an annual rate of 0.25% of the average daily net assets of the Class B shares of the Fund. Class A shares are not subject to such fees.

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 (including the applicable Rule 12b-1 fee and recordkeeping fees). Differences in class-level expenses may result in payment of different per share dividends by class. All shares 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 (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

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.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

Equity securities are valued at the most recent sale price or official closing price reported on the exchange (U.S. or foreign) or over-the-counter market on which they trade. 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. Equity securities are generally categorized as Level 1.

Investments in open-end investment companies are valued at their net asset value each business day and are categorized as Level 1.

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 Board and are generally categorized as Level 3. In accordance with the Fund’s valuation procedures, factors considered in determining value may include, but are not limited to, the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security’s disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer, analysts, and/or the appropriate stock exchange (for exchange-traded securities); an analysis of the company’s or issuer’s financial statements; an evaluation of the forces that influence the issuer and the market(s) in which

12 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

the security is purchased and sold; and with respect to debt securities, the maturity, coupon, creditworthiness, currency denomination and the movement of the market in which the security is normally traded. The value determined under these procedures may differ from published values for the same securities.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

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

currencies, and the difference between the amount of net investment income accrued and the U.S. dollar amount actually received. The 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. Deutsche Bank AG, as lending agent, lends securities of the Fund to certain financial institutions under the terms of its securities lending agreement. During the term of the loans, the Fund continues to receive interest and dividends generated by the 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 either cash or 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 agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the securities lending agreement. During the year ended December 31, 2018, the Fund invested the cash collateral into a joint trading account in affiliated money market funds including DWS Government and Agency Securities Portfolio, managed by DWS Investment Management Americas, Inc. DWS Investment Management Americas, Inc. receives a management/administration fee (0.12% annualized effective rate as of December 31, 2018) on the cash collateral invested in DWS Government & Agency Securities Portfolio. 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 at any time, and the borrower, after notice, is required to return borrowed securities within a standard time period. 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. If the Fund is not able to recover securities lent, the Fund may sell the collateral and purchase a replacement investment in the market, incurring the risk that the value of the replacement security is greater than the value of the collateral. 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.

As of December 31, 2018, the Fund had no securities on loan.

Federal Income 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.

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investment income of the Fund, if any, 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 Fund may also make additional distributions for tax purposes if necessary.

The timing and characterization of certain income and capital gain 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 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

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 13

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, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income*	$	4,270,000
Undistributed long-term capital gains	$	10,190,756
Unrealized appreciation (depreciation) on investments	$	(18,477,592	)

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $146,184,816. The net unrealized depreciation for all investments based on tax cost was $18,477,592. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $3,129,309 aggregate gross unrealized depreciation for all investments in which was an excess of tax cost over value of $21,606,901.

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

	Years Ended December 31,
	2018		2017
Distributions from ordinary income*	$	7,103,422	$	3,667,987
Distributions from long-term capital gains	$	7,292,533	$	—

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

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 based upon the relative net assets or other appropriate measures.

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.

Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment 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 taxes. Realized gains and losses from investment transactions are recorded on an identified cost basis. Proceeds from litigation payments, if any, are included in net realized gain (loss) from investments.

B. Purchases and Sales of Securities

During the year ended December 31, 2018, purchases and sales of investment transactions (excluding short-term investments) aggregated $147,474,011 and $154,980,034, respectively.

C. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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.

Under the Investment Management Agreement with the Advisor, 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:

First $250 million	.650	%
Next $750 million	.625	%
Next $1.5 billion	.600	%
Next $2.5 billion	.575	%
Next $2.5 billion	.550	%
Next $2.5 billion	.525	%
Next $2.5 billion	.500	%
Over $12.5 billion	.475	%

14 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

Accordingly, for the year ended December 31, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annual rate (exclusive of any applicable waivers/reimbursements) of 0.65% of the Fund’s average daily net assets.

For the period from January 1, 2018 through April 30, 2018, the Advisor had contractually agreed to waive all or a portion of its fee and/or reimburse certain operating expenses of the Fund to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of each class as follows:

Class A	.72	%
Class B	1.03	%

For the period from May 1, 2018 through September 30, 2018, the Advisor had contractually agreed to waive all or a portion of its fee and/or reimburse certain operating expenses of the Fund to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of each class as follows:

Class A	.73	%
Class B	1.06	%

Effective October 1, 2018 through September 30, 2019, the Advisor has contractually agreed to waive all or a portion of its fee and/or reimburse certain operating expenses of the Fund to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of each class as follows:

Class A	.70	%
Class B	1.02	%

For the year ended December 31, 2018, fees waived and/or expenses reimbursed for each class are as follows:

Class A	$	172,204
Class B		4,408
	$	176,612

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays DIMA 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, 2018, the Administration Fee was $148,769, of which $11,215 is unpaid.

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018, the amounts charged to the Fund by DSC were as follows:

Services to Shareholders	Total Aggregated		Unpaid at December 31, 2018
Class A	$	384	$	65
Class B		223		37
	$	607	$	102

Distribution Service Agreement. Under the Fund’s Class B 12b-1 plan, DWS Distributors, Inc. (“DDI”) received a fee (“Distribution Service Fee”) of 0.25% of average daily net assets of Class B shares. For the year ended December 31, 2018, the Distribution Service Fee aggregated $9,256, of which $660 is unpaid.

Typesetting and Filing Service Fees. Under an agreement with the Fund, DIMA is compensated for providing certain pre-press and regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $10,011, of which $6,895 is unpaid.

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 15

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

Affiliated Cash Management Vehicles. The Fund may invest uninvested cash balances in DWS Central Cash Management Government Fund and DWS ESG Liquidity Fund, affiliated money market funds which are managed by the Advisor. Each affiliated money market fund is managed in accordance with Rule 2a-7 under the 1940 Act, which governs the quality, maturity, diversity and liquidity of instruments in which a money market fund may invest. DWS Central Cash Management Government Fund seeks to maintain a stable net asset value, and DWS ESG Liquidity Fund maintains a floating net asset value. The Fund indirectly bears its proportionate share of the expenses of each affiliated money market fund in which it invests. DWS Central Cash Management Government Fund does not pay the Advisor an investment management fee. To the extent that DWS ESG Liquidity Fund pays an investment management fee to the Advisor, the Advisor will waive an amount of the investment management fee payable to the Advisor by the Fund equal to the amount of the investment management fee payable on the Fund’s assets invested in DWS ESG Liquidity Fund.

Securities Lending Agent Fees. Deutsche Bank AG serves as securities lending agent for the Fund. For the year ended December 31, 2018, the Fund incurred securities lending agent fees to Deutsche Bank AG in the amount of $149.

D. Ownership of the Fund

At December 31, 2018, two participating insurance companies were owners of record of 10% or more of the total outstanding Class A shares of the Fund, each owning 62% and 29%. Two participating insurance companies was the owner of record of 10% or more of the total outstanding Class B shares of the Fund, each owning 61% and 16%.

E. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a $400 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 a rate per annum equal to the sum of the Federal Funds Rate plus 1.25 percent plus if the one-month LIBOR exceeds the Federal Funds Rate, the amount of such excess. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement. The Fund had no outstanding loans at December 31, 2018.

16 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS CROCI U.S. VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS CROCI U.S. VIP (formerly Deutsche CROCI U.S. VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 17

Information About Your Fund’s Expenses (Unaudited)

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 contract charges, 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, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2018
Actual Fund Return		Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	908.20	$	907.30
Expenses Paid per $1,000*	$	3.46	$	5.00
Hypothetical 5% Fund Return		Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	1,021.58	$	1,019.96
Expenses Paid per $1,000*	$	3.67	$	5.30

* Expenses are equal to the Fund’s annualized expense ratio for each share class, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratios	Class A			Class B
Deutsche DWS Variable Series II — DWS CROCI® U.S. VIP		.72	%		1.04	%

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

18 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

Tax Information (Unaudited)

The Fund paid distributions of $0.80 per share from net long-term capital gains during its year ended

December 31, 2018.

Pursuant to Section 852 of the Internal Revenue Code, the Fund designates $11,290,000 as capital gain dividends for its year ended December 31, 2018.

For corporate shareholders, 69% of the ordinary dividends (i.e., income dividends plus short-term capital gains) paid during the Fund’s fiscal year ended December 31, 2018, qualified for the dividends received deduction.

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 contact your insurance provider.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 19

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS CROCI^® U.S. VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– In connection with reviewing the Agreement, 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.

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 is part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 personnel and administrative support services provided by DIMA, such as back-office operations, fund valuations, and compliance policies and procedures.

Nature, Quality and Extent of Services. The Board considered the terms of the Agreement, including the scope of advisory services provided under the Agreement. The Board noted that, under the Agreement, DIMA provides 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 and the resources made available to such personnel. 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 index(es) and a peer universe compiled using information supplied by Morningstar Direct (“Morningstar”), an independent fund data service. The Board also noted that it has put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s plans to address underperformance. The Board

20 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

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-, three- and five-year periods ended December 31, 2017, the Fund’s performance (Class A shares) was in the 1st quartile, 4th quartile and 4th quartile, respectively, of the applicable Morningstar universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund has outperformed its benchmark in the one-year period and has underperformed its benchmark in the three- and five-year periods ended December 31, 2017. The Board noted the disappointing investment performance of the Fund in some past periods and continued to discuss with senior management of DIMA the factors contributing to such underperformance and actions being taken to improve performance. The Board considered that, effective October 3, 2016, the Fund changed its investment strategy and portfolio managers and noted that the Fund further changed its investment strategy, effective May 1, 2017. The Board observed that the Fund had experienced improved relative performance in 2017. The Board recognized the efforts by DIMA in recent years to enhance its investment platform and improve long-term performance across the DWS fund complex.

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were equal to the median of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). The Board noted that the Fund’s Class A shares total (net) operating expenses were expected to be lower than the median (2nd quartile) of the applicable Broadridge expense universe (based on Broadridge data provided as of December 31, 2017, and analyzing Broadridge expense universe Class A (net) expenses less any applicable 12b-1 fees) (“Broadridge Universe Expenses”). The Board also reviewed data comparing each share class’s total (net) operating expenses to the applicable Broadridge Universe Expenses. The Board noted that the expense limitations agreed to by DIMA were expected to help the Fund’s total (net) operating expenses remain competitive. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to comparable DWS U.S. registered funds (“DWS Funds”) and considered differences between the Fund and the comparable DWS Funds. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs to DIMA, 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 DIMA and its affiliates with respect to all fund services in totality and by fund. The Board and the Fee Consultant 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 certain publicly available 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 Funds (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 most 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 investment 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.

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 21

Other Benefits to DIMA and Its Affiliates. The Board also considered the character and amount of other incidental or “fall-out” benefits received by DIMA and its affiliates, including any fees received by DIMA for administrative services provided to the Fund, any fees received by an affiliate of DIMA for transfer agency services provided to the Fund and any fees received by an affiliate of DIMA for distribution services. The Board noted that DIMA pays a licensing fee to an affiliate related to the Fund’s use of the CROCI^® strategy. 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. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously determined that the continuation of the Agreement 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreement.

22 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Public Radio International; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago)		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; American Documentary, Inc. (public media); Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 23

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)

24 | Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

Deutsche DWS Variable Series II — DWS CROCI^® U.S. VIP | 25

Notes

Notes

VS2CUS-2 (R-025833-8 2/19)

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS Global Equity VIP

(formerly Deutsche Global Equity VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
4	Management Summary
6	Portfolio Summary
7	Investment Portfolio
10	Statement of Assets and Liabilities
10	Statement of Operations
11	Statements of Changes in Net Assets
12	Financial Highlights
13	Notes to Financial Statements
17	Report of Independent Registered Public Accounting Firm
18	Information About Your Fund’s Expenses
19	Tax Information
19	Proxy Voting
20	Advisory Agreement Board Considerations and Fee Evaluation
23	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

Stocks may decline in value. Investing in foreign securities, particularly those of emerging markets, presents certain risks, such as currency fluctuations, political and economic changes, and market risks. Emerging markets tend to be more volatile and less liquid than the markets of more mature economies, and generally have less diverse and less mature economic structures and less stable political systems than those of developed countries. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. The Fund may lend securities to approved institutions. Please read the prospectus for details.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

NOT FDIC/NCUA INSURED     NO BANK GUARANTEE     MAY LOSE VALUE     NOT A DEPOSIT

NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

2 | Deutsche DWS Variable Series II — DWS Global Equity VIP

Performance Summary December 31, 2018 (Unaudited)

Fund 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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns.

The gross expense ratio of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 is 1.06% for Class A shares and may differ from the expense ratio disclosed in the Financial Highlights table in this report.

Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights.

Growth of an Assumed $10,000 Investment in DWS Global Equity VIP

The MSCI All Country World Index captures large and mid cap representation across 23 Developed Markets and 23 Emerging Markets countries.   Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

Comparative Results
DWS Global Equity VIP		1-Year	3-Year	5-Year	10-Year
Class A	Growth of $10,000	$8,888	$11,699	$11,625	$20,536
	Average annual total return	–11.12%	5.37%	3.06%	7.46%
MSCI All Country World Index	Growth of $10,000	$9,058	$12,113	$12,319	$24,689
	Average annual total return	–9.42%	6.60%	4.26%	9.46%

The growth of $10,000 is cumulative.

Deutsche DWS Variable Series II — DWS Global Equity VIP | 3

Management Summary December 31, 2018 (Unaudited)

Global equities experienced meaningful headwinds in the latter part of 2018, leading to a return of –9.42% for the Fund’s benchmark, the MSCI All Country (AC) World Index. Class A shares of the Fund returned –11.12% (unadjusted for contract charges).

Although the index closed in negative territory, the investment backdrop was in fact quite favorable until the end of September. For the majority of 2018, stocks were well supported by the combination of positive global growth and rising corporate earnings. The positive environment changed in the fourth quarter, however, when stocks fell sharply in response to weaker economic data and uncertainty surrounding U.S. trade policy. The index slid 12.75% in the final three months of the year, erasing all of the earlier gain and causing it to finish in the red.

Asset allocation was a modest contributor to the Fund’s relative performance, while stock selection detracted. With regard to the former, the largest benefit came from overweight positions in the health care and information technology sectors. In terms of stock selection, our positive showing in financials and consumer staples was outweighed by weaker results in health care and communications services. Style factors also played a role in performance. We managed the Fund with a growth orientation, which helped versus the blended benchmark during the first nine months of the year but was a key detractor in the fourth quarter.

Among individual stocks, the leading contributors included Mastercard, Inc., Progressive Corp., Zoetis, Inc., and Canada Goose Holdings, Inc. Mastercard delivered strong, market-beating returns thanks to its stable growth trajectory and rising profit margins. The largest detractors were the health care stocks Fresenius Medical Care AG & Co. KGaA and Eurofins Scientific SE, as well as the semiconductor producer NVIDIA Corp. Fresenius posted weaker-than-expected profits due to underwhelming results in its U.S. operations and lower profit margins for its German business, causing it to lag its sector peers.

We believe volatility could remain a factor in market performance in the coming year amid ongoing questions about economic growth, corporate earnings, U.S. trade policy, and the direction of global interest rates. These issues led to a sizable decrease in valuations in the fourth quarter, however, indicating that they were largely factored into prices. Believing these circumstances provided the chance to buy high-quality growth companies at attractive valuations, we remained on the lookout for opportunities to use temporary price dislocations to our advantage.

The Fund closed the year with overweight positions in the information technology, health care, and consumer discretionary sectors, as well as in certain industrial and financial stocks. We were active in all of these areas during 2018, as large market movements provided the opportunity to adjust the Fund’s positioning. In health care, for instance, we sold positions in Roche Holding AG,* Biogen, Inc.,* and Bristol-Myers Squibb Co.,* among others, while adding to Lonza Group AG and Zoetis, Inc., and building a new position in Becton, Dickinson & Co.

From a regional perspective, we continued to favor the United States and the emerging markets. In both segments, attractive growth companies were trading at discounts relative to their European counterparts despite stronger top- and bottom-line results. We also identified innovative Japanese companies with conservative balance sheets, shareholder-focused management teams, and the ability to capitalize on opportunities outside of Japan. At the sector level, we found the most compelling ideas in companies that are embracing change to generate long-term shareholder value independent of the economic cycle. Overall, we think companies that can deliver both top- and bottom-line growth in excess of the broader market can attract steady investor demand at a time of sluggish global economic conditions.

The views expressed 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.

Sebastian P. Werner, PhD, Director

Mark Schumann, CFA, Director

Portfolio Managers

The views expressed 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.

4 | Deutsche DWS Variable Series II — DWS Global Equity VIP

Terms to Know

The MSCI All Country (AC) World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. The index consists of 46 country indices comprising 23 developed and 23 emerging market country indices. Index returns do not reflect fees or expenses and it is not possible to invest directly into an index.

Underweight means the Fund holds a lower weighting in a given sector or security than the benchmark. Overweight means it holds a higher weighting.

Contribution and detraction incorporate both a stock’s total return and its weighting in the Fund.

* Held and sold prior to December 31, 2018.

Deutsche DWS Variable Series II — DWS Global Equity VIP | 5

Portfolio Summary (Unaudited)

Asset Allocation (As a % of Investment Portfolio excluding Securities Lending Collateral)	12/31/18		12/31/17
Common Stocks		99%		98%
Cash Equivalent		1%		2%
Preferred Stock		—		0%
		100%		100%
Sector Diversification (As a % of Investment Portfolio excluding Cash Equivalent and Securities Lending Collateral)	12/31/18		12/31/17
Financials		20%		19%
Information Technology		18%		26%
Health Care		15%		19%
Industrials		11%		11%
Consumer Discretionary		11%		7%
Communication Services		9%		2%
Consumer Staples		8%		6%
Materials		4%		6%
Energy		3%		3%
Real Estate		1%		1%
		100%		100%
Geographical Diversification (As a % of Investment Portfolio excluding Cash Equivalent and Securities Lending Collateral)	12/31/18		12/31/17
United States		51%		51%
Germany		10%		7%
Canada		7%		9%
China		7%		6%
United Kingdom		5%		7%
Japan		5%		1%
Switzerland		4%		7%
France		3%		3%
Ireland		2%		2%
Sweden		2%		1%
Argentina		2%		—
Luxembourg		1%		1%
Others		1%		5%
		100%		100%

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 7.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q or Form N-PORT (available for filings after March 31, 2019). The Fund’s Form N-Q or Form N-PORT will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

6 | Deutsche DWS Variable Series II — DWS Global Equity VIP

Investment Portfolio December 31, 2018

	Shares		Value ($)
Common Stocks 98.7%
Argentina 1.5%
Globant SA* (Cost $336,781)		6,500		366,080
Canada 7.1%
Agnico Eagle Mines Ltd.		4,650		187,860
Alimentation Couche-Tard, Inc. “B”		6,300		313,385
Brookfield Asset Management, Inc. “A”		18,200		697,497
Canada Goose Holdings, Inc.*		4,400		192,347
Toronto-Dominion Bank		7,400		367,832
(Cost $1,209,333)				1,758,921
China 6.9%
Alibaba Group Holding Ltd. (ADR)*		2,650		363,236
China Life Insurance Co., Ltd. “H”		123,000		261,190
China Literature Ltd. 144A*		14		65
Momo, Inc. (ADR)*		5,500		130,625
New Oriental Education & Technology Group, Inc. (ADR)*		2,455		134,559
Ping An Insurance (Group) Co. of China Ltd. “H”		41,500		366,775
Tencent Holdings Ltd.		11,600		464,303
(Cost $1,859,493)				1,720,753
France 2.7%
TOTAL SA		6,060		320,682
VINCI SA		4,400		363,362
(Cost $798,801)				684,044
Germany 9.5%
adidas AG		985		206,643
Allianz SE (Registered)		2,300		463,357
BASF SE		3,800		266,718
Deutsche Boerse AG		3,650		440,300
Evonik Industries AG		13,200		330,978
Fresenius Medical Care AG & Co. KGaA		6,107		397,052
Siemens AG (Registered)		2,400		268,589
(Cost $2,541,480)				2,373,637
Ireland 1.6%
Kerry Group PLC “A” (a)		3,721		369,336
Kerry Group PLC “A” (a)		379		37,262
(Cost $278,106)				406,598
Japan 4.9%
Kao Corp.		3,700		274,639
Keyence Corp.		600		303,634
Komatsu Ltd.		7,400		158,251
Mitsubishi UFJ Financial Group, Inc.		44,200		216,554
SMC Corp.		900		271,636
(Cost $1,536,839)				1,224,714
Luxembourg 1.1%
Eurofins Scientific SE (Cost $150,981)		700		261,762
Malaysia 0.7%
IHH Healthcare Bhd. (Cost $177,866)		136,600		178,041

	Shares		Value ($)
Norway 0.6%
Marine Harvest ASA (Cost $82,231)		7,200		151,819
Sweden 1.6%
Assa Abloy AB “B”		7,600		136,297
Spotify Technology SA* (b)		2,300		261,050
(Cost $511,723)				397,347
Switzerland 4.4%
Lonza Group AG (Registered)* (b)		2,500		652,474
Nestle SA (Registered)		5,509		448,026
(Cost $580,757)				1,100,500
United Kingdom 5.3%
Aon PLC (b)		1,750		254,380
Compass Group PLC		9,600		202,076
Experian PLC		15,300		371,728
Halma PLC		16,700		290,820
Spirax-Sarco Engineering PLC		2,500		199,132
(Cost $949,413)				1,318,136
United States 50.8%
A.O. Smith Corp.		4,500		192,150
Activision Blizzard, Inc.		7,600		353,932
Alphabet, Inc. “A”*		580		606,077
American Express Co.		2,640		251,645
AMETEK, Inc.		5,520		373,704
Amphenol Corp. “A”		6,000		486,120
Apple, Inc.		1,155		182,190
Applied Materials, Inc.		6,300		206,262
Becton, Dickinson & Co.		2,705		609,491
Boeing Co.		940		303,150
CBRE Group, Inc. “A”*		4,700		188,188
Danaher Corp.		6,300		649,656
Ecolab, Inc.		2,210		325,643
EOG Resources., Inc.		3,800		331,398
EPAM Systems, Inc.*		2,550		295,825
Equifax, Inc.		1,225		114,084
Evolent Health, Inc. “A”*		13,400		267,330
Fidelity National Information Services, Inc.		3,000		307,650
Intuit, Inc.		1,600		314,960
JPMorgan Chase & Co.		6,664		650,540
Las Vegas Sands Corp.		2,850		148,342
MasterCard, Inc. “A”		3,340		630,091
McDonald’s Corp.		2,900		514,953
Microsoft Corp.		4,000		406,280
Mondelez International, Inc. “A”		7,100		284,213
NVIDIA Corp.		1,710		228,285
Progressive Corp.		15,200		917,016
Schlumberger Ltd.		4,500		162,360
ServiceMaster Global Holdings, Inc.*		6,850		251,669
ServiceNow, Inc.*		1,570		279,538
T-Mobile U.S., Inc.*		6,500		413,465
TJX Companies, Inc.		6,520		291,705
YETI Holdings, Inc.* (c)		29,988		445,022
Zoetis, Inc.		7,800		667,212
(Cost $9,829,523)				12,650,146
Total Common Stocks (Cost $20,843,327)				24,592,498

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

Deutsche DWS Variable Series II — DWS Global Equity VIP | 7

	Shares			Value ($)
Securities Lending Collateral 0.4%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (d) (e) (Cost $111,625)		111,625			111,625
Cash Equivalent 1.0%
DWS Central Cash Management Government Fund, 2.41% (d) (Cost $238,530)		238,530			238,530
	% of Net Assets			Value ($)
Total Investment Portfolio (Cost $21,193,482)		100.1			24,942,653
Other Assets and Liabilities, Net		(0.1	)		(13,980	)
Net Assets		100.0			24,928,673

A summary of the Fund’s transactions with affiliated investments during the year ended December 31, 2018 are as follows:

Value ($) at 12/31/2017	Purchases Cost ($)		Sales Proceeds ($)			Net Realized Gain/ (Loss) ($)		Net Change in Unrealized Appreciation (Depreciation) ($)		Income ($)		Capital Gain Distributions ($)		Number of Shares at 12/31/2018		Value ($) at 12/31/2018
Securities Lending Collateral 0.4%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (d) (e)
395,119		—		283,494	(f)		—		—		3,657		—		111,625		111,625
Cash Equivalent 1.0%
DWS Central Cash Management Government Fund, 2.41% (d)
480,743		8,034,940		8,277,153			—		—		5,295		—		238,530		238,530
875,862		8,034,940		8,560,647			—		—		8,952		—		350,155		350,155

* Non-income producing security.

(a) Securities with the same description are the same corporate entity but trade on different stock exchanges.

(b) Listed on the New York Stock Exchange.

(c) All or a portion of these securities were on loan. In addition, “Other Assets and Liabilities, Net” may include pending sales that are also on loan. The value of securities loaned at December 31, 2018 amounted to $108,332, which is 0.4% of net assets.

(d) Affiliated fund managed by DWS Investment Management Americas, Inc. The rate shown is the annualized seven-day yield at period end.

(e) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates.

(f) Represents the net increase (purchase cost) or decrease (sales proceeds) in the amount invested for the year ended December 31, 2018.

144A: Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.

ADR: American Depositary Receipt

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

8 | Deutsche DWS Variable Series II — DWS Global Equity VIP

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1		Level 2		Level 3		Total
Common Stocks
Argentina	$	366,080	$	—	$	—	$	366,080
Canada		1,758,921		—		—		1,758,921
China		628,420		1,092,333		—		1,720,753
France		—		684,044		—		684,044
Germany		—		2,373,637		—		2,373,637
Ireland		—		406,598		—		406,598
Japan		—		1,224,714		—		1,224,714
Luxembourg		—		261,762		—		261,762
Malaysia		—		178,041		—		178,041
Norway		—		151,819		—		151,819
Sweden		261,050		136,297		—		397,347
Switzerland		—		1,100,500		—		1,100,500
United Kingdom		254,380		1,063,756		—		1,318,136
United States		12,650,146		—		—		12,650,146
Short-Term Investments (g)		350,155		—		—		350,155
Total	$	16,269,152	$	8,673,501	$	—	$	24,942,653

(g) See Investment Portfolio for additional detailed categorizations.

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

Deutsche DWS Variable Series II — DWS Global Equity VIP | 9

Statement of Assets and Liabilities
As of December 31, 2018
Assets
Investments in non-affiliated securities, at value (cost $20,843,327) — including $108,332 of securities loaned	$	24,592,498
Investment in DWS Government & Agency Securities Portfolio (cost $111,625)*		111,625
Investment in DWS Central Cash Management Government Fund (cost $238,530)		238,530
Foreign currency, at value (cost $172,844)		168,056
Dividends receivable		13,717
Interest receivable		1,291
Foreign taxes recoverable		32,361
Other assets		811
Total assets		25,158,889
Liabilities
Payable upon return of securities loaned		111,625
Payable for Fund shares redeemed		14,757
Accrued management fee		11,988
Accrued Trustees’ fees		855
Other accrued expenses and payables		90,991
Total liabilities		230,216
Net assets, at value	$	24,928,673
Net Assets Consist of
Distributable earnings (loss)		5,980,276
Paid-in capital		18,948,397
Net assets, at value	$	24,928,673
Net Asset Value
Class A
Net asset value, offering and redemption price per share ($24,928,673 ÷ 2,415,204 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	10.32

* Represents collateral on securities loaned.

Statement of Operations
For the year ended December 31, 2018
Investment Income
Income:
Dividends (net of foreign taxes withheld of $37,062)	$	408,457
Income distributions — DWS Central Cash Management Government Fund		5,295
Securities lending income, net of borrower rebates		3,657
Other income		1,300
Total income		418,709
Expenses:
Management fee		189,891
Administration fee		29,214
Services to Shareholders		261
Custodian fee		25,250
Professional fees		75,058
Reports to shareholders		20,523
Trustees’ fees and expenses		3,189
Other		13,151
Total expenses before expense reductions		356,537
Expense reductions		(87,556	)
Total expenses after expense reductions		268,981
Net investment income		149,728
Realized and Unrealized Gain (Loss)
Net realized gain (loss) from:
Investments		2,193,058
Foreign currency		(3,970	)
		2,189,088
Change in net unrealized appreciation (depreciation) on:
Investments		(5,424,485	)
Foreign currency		(6,714	)
		(5,431,199)
Net gain (loss)		(3,242,111	)
Net increase (decrease) in net assets resulting from operations	$	(3,092,383	)

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

10 | Deutsche DWS Variable Series II — DWS Global Equity VIP

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income (loss)	$	149,728		$	215,910
Net realized gain (loss)		2,189,088			5,321,643
Change in net unrealized appreciation (depreciation)		(5,431,199	)		3,917,327
Net increase (decrease) in net assets resulting from operations		(3,092,383	)		9,454,880
Distributions to shareholders:
Class A		(219,217	)		(233,988	)*
Fund share transactions:
Class A
Proceeds from shares sold		730,055			1,174,131
Reinvestment of distributions		219,217			233,988
Payments for shares redeemed		(3,317,394	)		(23,512,478	)
Net increase (decrease) in net assets from Class A share transactions		(2,368,122	)		(22,104,359	)
Increase (decrease) in net assets		(5,679,722	)		(12,883,467	)
Net assets at beginning of year		30,608,395			43,491,862
Net assets at end of year		24,928,673			30,608,395	**
Other Information
Class A
Shares outstanding at beginning of period		2,616,821			4,587,493
Shares sold		62,443			110,161
Shares issued to shareholders in reinvestment of distributions		19,281			22,499
Shares redeemed		(283,341	)		(2,103,332	)
Net increase (decrease) in Class A shares		(201,617	)		(1,970,672	)
Shares outstanding at end of period		2,415,204			2,616,821

* Includes distributions from net investment income.

** Includes undistributed net investment income of $209,108.

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

Deutsche DWS Variable Series II — DWS Global Equity VIP | 11

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	11.70		$	9.48		$	9.00		$	9.21		$	9.27
Income (loss) from investment operations:
Net investment incomea		.06			.05			.04			.05			.06
Net realized and unrealized gain (loss)		(1.35	)		2.22			.51			(.21	)		.04
Total from investment operations		(1.29	)		2.27			.55			(.16	)		.10
Less distributions from:
Net investment income		(.09	)		(.05	)		(.07	)		(.05	)		(.16	)
Net asset value, end of period	$	10.32		$	11.70		$	9.48		$	9.00		$	9.21
Total Return (%)		(11.12	)b		24.04	b		6.11	b,c		(1.75	)b		1.14
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		25			31			43			49			68
Ratio of expenses before expense reductions (%)d		1.22			1.06			1.03			1.00			.95
Ratio of expenses after expense reductions (%)d		.92			.95			.95			.91			.95
Ratio of net investment income (%)		.51			.49			.49			.58			.59
Portfolio turnover rate (%)		43			19			46			79			78

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reimbursed.

^c  Includes a reimbursement by the Advisor for a realized loss on a trade executed incorrectly, which otherwise would have reduced total return by 0.31%.

^d  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

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

12 | Deutsche DWS Variable Series II — DWS Global Equity VIP

Notes to Financial Statements

A. Organization and Significant Accounting Policies

DWS Global Equity VIP (formerly Deutsche Global Equity VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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’s financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

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.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

Equity securities are valued at the most recent sale price or official closing price reported on the exchange (U.S. or foreign) or over-the-counter market on which they trade. 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. Equity securities are generally categorized as Level 1. For certain 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, a fair valuation model may be used. This fair valuation model takes into account comparisons to the valuation of American Depository Receipts (ADRs), futures contracts and certain indices and these securities are categorized as Level 2.

Investments in open-end investment companies are valued at their net asset value each business day and are categorized as Level 1.

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 Board and are generally categorized as Level 3. In accordance with the Fund’s valuation procedures, factors considered in determining value may include, but are not limited to, the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security’s disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer, analysts, and/or the appropriate stock exchange (for exchange-traded securities); an analysis of the company’s or issuer’s financial statements; an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold; and with respect to debt securities, the maturity, coupon, creditworthiness, currency denomination and the movement of the market in which the security is normally traded. The value determined under these procedures may differ from published values for the same securities.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

Deutsche DWS Variable Series II — DWS Global Equity VIP | 13

Securities Lending. Deutsche Bank AG, as lending agent, lends securities of the Fund to certain financial institutions under the terms of its securities lending agreement. During the term of the loans, the Fund continues to receive interest and dividends generated by the 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 either cash or 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 agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the securities lending agreement. As of period end, any securities on loan were collateralized by cash. During the year ended December 31, 2018, the Fund invested the cash collateral into a joint trading account in affiliated money market funds managed by DWS Investment Management Americas, Inc. As of December 31, 2018, the Fund invested the cash collateral in DWS Government & Agency Securities Portfolio. DWS Investment Management Americas, Inc. receives a management/administration fee (0.12% annualized effective rate as of December 31, 2018) on the cash collateral invested in DWS Government & Agency Securities Portfolio. 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 at any time, and the borrower, after notice, is required to return borrowed securities within a standard time period. 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. If the Fund is not able to recover securities lent, the Fund may sell the collateral and purchase a replacement investment in the market, incurring the risk that the value of the replacement security is greater than the value of the collateral. 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.

As of December 31, 2018, the Fund had securities on loan, which were classified as common stocks in the Investment Portfolio. The value of the related collateral exceeded the value of the securities loaned at period end. As of period end, the remaining contractual maturity of the collateral agreements were overnight and continuous.

Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Investment securities and other assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the prevailing exchange rates at period end. Purchases and sales of investment securities, income and expenses are translated into U.S. 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 acquisition and disposition of foreign currencies, and the difference between the amount of net investment income accrued and the U.S. dollar amount actually received. The 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.

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, the Fund may be subject to taxes imposed by the governments of countries in which it invests and are generally based on income and/or capital gains earned or repatriated, a portion of which may be recoverable. Based upon the current interpretation of the tax rules and regulations, estimated tax liabilities and recoveries on certain foreign securities are recorded on an accrual basis and are reflected as components of interest income or net change in unrealized gain/loss on investments. Tax liabilities realized as a result of security sales are reflected as a component of net realized gain/loss on investments.

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investment income of the Fund, if any, are 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 Fund may also make additional distributions for tax purposes if necessary.

The timing and characterization of certain income and capital gain distributions are determined annually in accordance with federal tax regulations which may differ from accounting principles generally accepted in the

14 | Deutsche DWS Variable Series II — DWS Global Equity VIP

United States of America. These differences primarily relate to investments in foreign denominated investments 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, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income*	$	135,649
Undistributed long-term capital gains	$	2,166,350
Unrealized appreciation (depreciation) on investments	$	3,684,241

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $21,258,412. The net unrealized appreciation for all investments based on tax cost was $3,684,241. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $5,635,343 and aggregate gross unrealized depreciation for all investments in which there was an excess of tax cost over value of $1,951,102.

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

	Years Ended December 31,
	2018		2017
Distributions from ordinary income*	$	219,217	$	233,988

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

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 based upon the relative net assets or other appropriate measures.

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.

Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment 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 taxes. 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. Proceeds from litigation payments, if any, are included in net realized gain (loss) from investments.

B. Purchases and Sales of Securities

During the year ended December 31, 2018, purchases and sales of investment transactions (excluding short-term investments) aggregated $12,243,780 and $14,548,496, respectively.

C. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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.

Pursuant to the Investment Management Agreement with the Advisor, 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:

First $1.5 billion	.650	%
Next $1.75 billion	.635	%
Next $1.75 billion	.620	%
Over $5 billion	.605	%

Deutsche DWS Variable Series II — DWS Global Equity VIP | 15

Accordingly, for the year ended December 31, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annual rate (exclusive of any applicable waivers/reimbursements) of 0.65% of the Fund’s average daily net assets.

For the period from January 1, 2018 through September 30, 2018, the Advisor had contractually agreed to waive its fee and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of Class A shares at 0.93%.

Effective October 1, 2018 through September 30, 2019, the Advisor has contractually agreed to waive its fee and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of Class A shares at 0.89%.

For the year ended December 31, 2018, fees waived and/or expenses reimbursed were $87,556.

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays DIMA 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, 2018, the Administration Fee was $29,214, of which $2,191 is unpaid.

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018, the amounts charged to the Fund by DSC aggregated $81, of which $13 is unpaid.

Typesetting and Filing Service Fees. Under an agreement with the Fund, DIMA is compensated for providing certain pre-press and regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $7,931, of which $5,498 is unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

Affiliated Cash Management Vehicles. The Fund may invest uninvested cash balances in DWS Central Cash Management Government Fund and DWS ESG Liquidity Fund, affiliated money market funds which are managed by the Advisor. Each affiliated money market fund is managed in accordance with Rule 2a-7 under the 1940 Act, which governs the quality, maturity, diversity and liquidity of instruments in which a money market fund may invest. DWS Central Cash Management Government Fund seeks to maintain a stable net asset value, and DWS ESG Liquidity Fund maintains a floating net asset value. The Fund indirectly bears its proportionate share of the expenses of each affiliated money market fund in which it invests. DWS Central Cash Management Government Fund does not pay the Advisor an investment management fee. To the extent that DWS ESG Liquidity Fund pays an investment management fee to the Advisor, the Advisor will waive an amount of the investment management fee payable to the Advisor by the Fund equal to the amount of the investment management fee payable on the Fund’s assets invested in DWS ESG Liquidity Fund.

Securities Lending Fees. Deutsche Bank AG serves as lending agent for the Fund. For the year ended December 31, 2018, the Fund incurred lending agent fees to Deutsche Bank AG in the amount of $263.

D. Ownership of the Fund

At December 31, 2018, one participating insurance company was owner of record of 10% or more of the total outstanding Class A shares of the Fund, owning 99%.

E. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a $400 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 a rate per annum equal to the sum of the Federal Funds Rate plus 1.25 percent plus if the one-month LIBOR exceeds the Federal Funds Rate, the amount of such excess. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement. The Fund had no outstanding loans at December 31, 2018.

16 | Deutsche DWS Variable Series II — DWS Global Equity VIP

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS Global Equity VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS Global Equity VIP (formerly Deutsche Global Equity VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

Deutsche DWS Variable Series II — DWS Global Equity VIP | 17

Information About Your Fund’s Expenses (Unaudited)

As an investor of the Fund, you incur two types of costs: ongoing expenses and transaction costs. Ongoing expenses include management fees and other Fund expenses. Examples of transaction costs include contract charges, 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, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2018
Actual Fund Return		Class A
Beginning Account Value 7/1/18	$	1,000.00
Ending Account Value 12/31/18	$	884.30
Expenses Paid per $1,000*	$	4.32
Hypothetical 5% Fund Return		Class A
Beginning Account Value 7/1/18	$	1,000.00
Ending Account Value 12/31/18	$	1,020.62
Expenses Paid per $1,000*	$	4.63

* Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratio	Class A
Deutsche DWS Variable Series II — DWS Global Equity VIP		.91	%

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

18 | Deutsche DWS Variable Series II — DWS Global Equity VIP

Tax Information (Unaudited)

For corporate shareholders, 100% of the ordinary dividends (i.e., income dividends plus short-term capital gains) paid during the Fund’s fiscal year ended December 31, 2018, qualified for the dividends received deduction.

Pursuant to Section 852 of the Internal Revenue Code, the Fund designates $2,383,000 as capital gain dividends for its year ended December 30, 2018.

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 contact your insurance provider.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

Deutsche DWS Variable Series II — DWS Global Equity VIP | 19

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS Global Equity VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– In connection with reviewing the Agreement, the Board also reviewed the terms of the Fund’s distribution agreement, administrative services agreement, transfer agency agreement and other material service agreements.

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 is part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 personnel and administrative support services provided by DIMA, such as back-office operations, fund valuations, and compliance policies and procedures.

Nature, Quality and Extent of Services. The Board considered the terms of the Agreement, including the scope of advisory services provided under the Agreement. The Board noted that, under the Agreement, DIMA provides 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 and the resources made available to such personnel. 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 index(es) and a peer universe compiled using information supplied by Morningstar Direct (“Morningstar”), an independent fund data service. The Board also noted that it has put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s plans to address underperformance. The Board

20 | Deutsche DWS Variable Series II — DWS Global Equity VIP

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-, three- and five-year periods ended December 31, 2017, the Fund’s performance (Class A shares) was in the 3rd quartile, 3rd quartile and 4th quartile, respectively, of the applicable Morningstar universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund has outperformed its benchmark in the one-year period and has underperformed its benchmark in the three- and five-year periods ended December 31, 2017.

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were equal to the median of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). The Board noted that the Fund’s Class A shares total (net) operating expenses were expected to be higher than the median (3rd quartile) of the applicable Broadridge expense universe (based on Broadridge data provided as of December 31, 2017, and analyzing Broadridge expense universe Class A (net) expenses less any applicable 12b-1 fees) (“Broadridge Universe Expenses”). The Board noted that the expense limitation agreed to by DIMA was expected to help the Fund’s total (net) operating expenses remain competitive. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to comparable DWS U.S. registered funds (“DWS Funds”) and considered differences between the Fund and the comparable DWS Funds. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs to DIMA, 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 DIMA and its affiliates with respect to all fund services in totality and by fund. The Board and the Fee Consultant 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 certain publicly available 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 Funds (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 most 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 investment 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 or “fall-out” 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 transfer agency services provided to the Fund. 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. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Deutsche DWS Variable Series II — DWS Global Equity VIP | 21

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously determined that the continuation of the Agreement 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreement.

22 | Deutsche DWS Variable Series II — DWS Global Equity VIP

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International; Public Radio International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago); Life Director of Hubbard Street Dance Chicago		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston); American Documentary, Inc. (public media)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

Deutsche DWS Variable Series II — DWS Global Equity VIP | 23

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS

24 | Deutsche DWS Variable Series II — DWS Global Equity VIP

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

Deutsche DWS Variable Series II — DWS Global Equity VIP | 25

Notes

Notes

  VS2GE-2 (R-025828-8 2/19)

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS Global Income Builder VIP

(formerly Deutsche Global Income Builder VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
4	Management Summary
6	Portfolio Summary
7	Investment Portfolio
19	Statement of Assets and Liabilities
20	Statement of Operations
21	Statements of Changes in Net Assets
22	Financial Highlights
23	Notes to Financial Statements
33	Report of Independent Registered Public Accounting Firm
34	Information About Your Fund’s Expenses
35	Tax Information
35	Proxy Voting
36	Advisory Agreement Board Considerations and Fee Evaluation
39	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

Although allocation among different asset categories generally limits risk, fund management may favor an asset category that underperforms other assets or markets as a whole. Stocks may decline in value. Smaller company stocks tend to be more volatile than medium-sized or large company stocks. Dividends are not guaranteed. If the dividend-paying stocks held by the Fund reduce or stop paying dividends, the Fund’s ability to generate income may be adversely affected. Preferred stocks, a type of dividend-paying stock, present certain additional risks. Investing in foreign securities, particularly those of emerging markets, presents certain risks, such as currency fluctuations, political and economic changes, and market risks. Emerging markets tend to be more volatile and less liquid than the markets of more mature economies, and generally have less diverse and less mature economic structures and less stable political systems than those of developed countries. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. Bond investments are subject to interest-rate, credit, liquidity and market risks to varying degrees. When interest rates rise, bond prices generally fall. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. Because Exchange Traded Funds (ETFs) trade on a securities exchange, their shares may trade at a premium or discount to their net asset value. ETFs also incur fees and expenses so they may not fully match the performance of the indexes they are designed to track. The Fund may lend securities to approved institutions. Any fund that focuses in a particular segment of the market or region of the world will generally be more volatile than a fund that invests more broadly. See the prospectus for details.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

NOT FDIC/NCUA INSURED     NO BANK GUARANTEE     MAY LOSE VALUE     NOT A DEPOSIT

NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

2 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

Performance Summary December 31, 2018 (Unaudited)

Fund 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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns.

The gross expense ratios of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 are 0.67% and 1.07% for Class A and Class B shares, respectively, and may differ from the expense ratios disclosed in the Financial Highlights tables in this report.

Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights.

Growth of an Assumed $10,000 Investment in DWS Global Income Builder VIP

The S&P^® Target Risk Moderate Index offers significant exposure to fixed income, while also increasing opportunities for higher returns through equities.   The Blended Index consists of an equally weighted blend (50%/50%) of the MSCI World High Dividend Yield Index and Bloomberg Barclays U.S. Universal Index.   MSCI World High Dividend Yield Index includes securities that offer a meaningfully higher-than-average dividend yield relative to the MSCI World Index and pass dividend sustainability and persistence screens. The index offers broad market coverage, and is free-float market capitalization-weighted to ensure that its performance can be replicated in institutional and retail portfolios. The index is calculated using closing local market prices and translates into US dollars using the London close foreign exchange rates.   Bloomberg Barclays U.S. Universal Index represents the union of the U.S. Aggregate Index, the U.S. High-Yield Corporate Index, the 144A Index, the Eurodollar Index, the Emerging Markets Index and the non-ERISA portion of the CMBS Index.   Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

Comparative Results
DWS Global Income Builder VIP		1-Year	3-Year	5-Year	10-Year
Class A	Growth of $10,000	$9,234	$11,494	$11,762	$20,974
	Average annual total return	–7.66%	4.75%	3.30%	7.69%
S&P® Target Risk Moderate Index	Growth of $10,000	$9,628	$11,383	$11,768	$17,780
	Average annual total return	–3.72%	4.41%	3.31%	5.92%
Blended Index	Growth of $10,000	$9,621	$11,383	$11,707	$19,272
	Average annual total return	–3.79%	4.41%	3.20%	6.78%

The growth of $10,000 is cumulative.

DWS Global Income Builder VIP		Life of Class*
Class B	Growth of $10,000	$9,404
	Average annual total return	–5.96%
S&P® Target Risk Moderate Index	Growth of $10,000	$9,848
	Average annual total return	–1.52%
Blended Index	Growth of $10,000	$9,836
	Average annual total return	–1.64%

The growth of $10,000 is cumulative.

* Class B commenced operations on May 1, 2018.

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 3

Management Summary December 31, 2018 (Unaudited)

The Fund returned –7.66% during the 12 months ended December 31, 2018 (Class A shares, unadjusted for contract charges), underperforming the –3.72% return of S&P^® Target Risk Moderate Index. Its other benchmark — the Blended Index — returned –3.79%. The Blended Index is an equally-weighted blend (50%/50%) of the MSCI World High Dividend Yield Index and the Bloomberg Barclays U.S. Universal Index. The two indexes returned –7.56% and –0.25%, respectively.

The Fund’s broader allocation strategy detracted from its 12-month returns. Although we made tactical adjustments to the Fund’s positioning based on market conditions, we maintained a consistent overweight in equities over fixed income. The portfolio averaged 68% of assets in stocks and 32% to bonds during the year, and it finished December with weightings of 61% and 37%. While this overweight was a meaningful contributor to performance through the end of September, when stocks were rallying, it ultimately proved to be a detractor due to the large, broad-based selloff of the fourth quarter. The Fund therefore experienced a larger impact from the downturn in stock prices over the full year than the 50/50 benchmark.

The equity portfolio produced a negative absolute return and lagged its benchmark. While stock selection in the industrials, real estate, and energy contributed to performance, these positive factors were offset by the negative effect of sector allocations. Most notably, the Fund was hurt by its underweights in health care and utilities, as well as its overweight in communication services. An overweight position in the emerging markets was an additional detractor.

With regard to positioning, we actively adjusted the equity portfolio throughout the year to capture opportunities as they arose. With that said, our core strategy continued to feature an overweight in U.S. large-caps and an underweight in the developed international markets. While we see domestic equities benefiting from the stronger growth of the U.S. economy, we think the sluggish growth in Europe is likely to act as a drag on the region’s markets. We also maintained an overweight in the emerging markets, which we believe are positioned to outperform given their attractive valuations and the potential for a mean reversion following their weak relative performance earlier in 2018. In addition, we believe investors’ depressed expectations create the latitude for a positive surprise in the emerging markets’ economic growth.

The major segments of the global fixed-income markets experienced a wide range of returns in the past 12 months. While U.S. Treasuries outpaced the index due to their strong fourth quarter rally, categories with a higher degree of credit risk were hurt by the prospect of slower growth. Our continued focus on high-yield bonds and emerging-markets debt therefore led to underperformance in the Fund’s bond portfolio. Still, we believe an emphasis on the credit sectors remains appropriate even after the fourth-quarter sell-off in the financial markets. We see the elevated volatility as largely the result of investors’ overreaction to adverse headlines rather than a sign of a broader, systemic problem. In our view, the continued strength of the U.S. economy and positive growth in the world as a whole can provide a firm foundation for risk assets once news flow calms and investors return their focus to fundamentals.

The Fund used derivatives during the course of the period. On the equity side, we used futures and swaps on equity indices to achieve our desired weightings in a more efficient manner than buying and selling individual securities. In the bond portfolio, we used credit default swaps to facilitate exposure to the high-yield market, along with forward currency contracts to manage the currency exposure of certain positions in foreign bonds. We also used interest-rate futures and swaps to manage the Fund’s duration and achieve exposure to the European markets. In the aggregate, our use of derivatives was a small net contributor. Derivatives are used to achieve the Fund’s risk and return objectives and should therefore be evaluated within the context of the entire portfolio rather than as a standalone strategy.

John D. Ryan, Managing Director

Darwei Kung, Managing Director

Di Kumble, CFA, Managing Director

Kevin Bliss, Director

Dokyoung Lee, CFA, Director

Portfolio Managers

The views expressed 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.

4 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

Terms to Know

The S&P Target Risk Moderate Index offers significant exposure to fixed income, while also increasing opportunities for higher returns through equities.

The Blended Index consists of an equally weighted blend (50%/50%) of the MSCI World High Dividend Yield Index and Bloomberg Barclays U.S. Universal Index.

The MSCI World High Dividend Yield Index includes securities that offer a meaningfully higher-than-average dividend yield relative to the MSCI World Index and pass dividend sustainability and persistence screens. The index offers broad market coverage, and is free-float market capitalization-weighted to ensure that its performance can be replicated in institutional and retail portfolios. The index is calculated using closing local market prices and translates into U.S. dollars using the London close foreign exchange rates.

The Bloomberg Barclays U.S. Universal Index represents the union of the U.S. Aggregate Index, U.S. Corporate High-Yield Index, Investment Grade 144A Index, Eurodollar Index, U.S. Emerging Markets Index, and the non-ERISA eligible portion of the CMBS Index.

Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

Overweight means the Fund holds a higher weighting in a given sector or security than the benchmark. Underweight means the Fund holds a lower weighting.

Contribution and detraction incorporate both an investment’s total return and its weighting in the Fund.

Mean reversion is a theory that prices and returns eventually move back toward the mean, or average.

Derivatives are contracts whose value is based on the performance of an underlying financial asset. Derivatives afford leverage, but when used by investors who are able to handle the inherent risks, can enhance returns or protect a portfolio. Derivatives can experience significant losses if the underlying security moves contrary to the investor’s expectations.

A forward currency contract is a contract in the foreign exchange market that locks in the exchange rate for the purchase or sale of a currency on a future date as a means to hedge a fund’s currency risk.

A swap is a derivative in which two counterparties exchange cash flows of one party’s financial instrument for those of the other party’s financial instrument for a set period of time.

Futures contracts are contractual agreements to buy or sell a particular commodity or financial instrument at a pre-determined price in the future.

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 5

Portfolio Summary (Unaudited)

Asset Allocation (As a % of Investment Portfolio excluding Securities Lending Collateral)	12/31/18		12/31/17
Equity		61%		65%
Common Stocks		55%		56%
Preferred Stocks		6%		6%
Exchange-Traded Funds		—		3%
Fixed Income		37%		34%
Corporate Bonds		13%		13%
Government & Agency Obligations		9%		6%
Asset-Backed		6%		1%
Exchange-Traded Funds		3%		7%
Short-Term U.S. Treasury Obligations		3%		4%
Collateralized Mortgage Obligations		2%		1%
Commercial Mortgage-Backed Securities		1%		1%
Convertible Bonds		0%		0%
Mortgage-Backed Securities Pass-Throughs		0%		1%
Municipal Bonds and Notes		—		0%
Cash Equivalents		2%		1%
		100%		100%
Sector Diversification (As a % of Equities, Corporate Bonds, Preferred Securities and Convertible Bonds)	12/31/18		12/31/17
Financials		17%		17%
Energy		13%		11%
Information Technology		12%		11%
Communication Services		12%		14%
Consumer Discretionary		9%		10%
Health Care		9%		7%
Industrials		8%		10%
Consumer Staples		6%		6%
Real Estate		6%		6%
Utilities		5%		4%
Materials		3%		4%
		100%		100%

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 7.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q or Form N-PORT (available for filings after March 31, 2019). The Fund’s Form N-Q or Form N-PORT will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

6 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

Investment Portfolio December 31, 2018

	Shares		Value ($)
Common Stocks 54.9%
Communication Services 5.8%
Diversified Telecommunication Services 2.7%
AT&T, Inc.		19,609		559,641
BCE, Inc.		3,773		149,046
BT Group PLC		61,658		187,730
Deutsche Telekom AG (Registered)		10,946		186,611
Elisa Oyj		3,526		145,902
Nippon Telegraph & Telephone Corp.		3,800		154,818
Orange SA		9,297		151,173
Proximus SA		5,537		150,096
Singapore Telecommunications Ltd.		63,245		136,983
Swisscom AG (Registered)		439		211,154
Telefonica SA		17,063		143,806
Telenor ASA		7,167		139,408
Telia Co. AB		30,834		146,418
TELUS Corp.		6,329		209,777
Verizon Communications, Inc.		9,866		554,667
				3,227,230
Entertainment 0.4%
NetEase, Inc. (ADR)		1,066		250,904
Walt Disney Co.		2,415		264,805
				515,709
Interactive Media & Services 1.6%
Alphabet, Inc. “A”*		473		494,266
Alphabet, Inc. “C”*		505		522,983
Baidu, Inc. (ADR)*		1,085		172,081
Facebook, Inc. “A”*		3,544		464,583
Tencent Holdings Ltd. (ADR)		7,068		278,974
				1,932,887
Media 0.8%
Comcast Corp. “A”		7,066		240,597
Interpublic Group of Companies, Inc.		6,005		123,883
ITV PLC		81,731		130,155
Omnicom Group, Inc.		1,830		134,029
Shaw Communications, Inc. “B”		7,223		130,736
WPP PLC		13,334		144,301
				903,701
Wireless Telecommunication Services 0.3%
KDDI Corp.		6,700		160,123
NTT DoCoMo, Inc.		9,669		217,700
				377,823
Consumer Discretionary 5.6%
Auto Components 0.2%
Bridgestone Corp.		3,505		134,933
Nokian Renkaat Oyj		4,589		141,375
				276,308
Automobiles 1.3%
Bayerische Motoren Werke AG		1,677		136,415
Daimler AG (Registered)		4,605		242,996
General Motors Co.		5,173		173,037
Honda Motor Co., Ltd.		5,750		151,023

	Shares		Value ($)
Nissan Motor Co., Ltd.		25,585		204,823
Renault SA		2,089		130,826
Subaru Corp.		6,100		131,173
Toyota Motor Corp.		5,700		330,894
				1,501,187
Diversified Consumer Services 0.1%
Tal Education Group (ADR)*		6,000		160,080
Hotels, Restaurants & Leisure 1.0%
Carnival Corp.		2,499		123,201
Darden Restaurants, Inc.		1,343		134,112
Las Vegas Sands Corp.		3,209		167,028
McDonald’s Corp.		1,800		319,626
Starbucks Corp.		3,197		205,887
TUI AG		9,641		138,495
Yum! Brands, Inc.		1,500		137,880
				1,226,229
Household Durables 0.5%
Berkeley Group Holdings PLC		3,249		144,061
Garmin Ltd.		2,110		133,605
Leggett & Platt, Inc.		3,518		126,085
Sekisui House Ltd.		11,254		167,478
				571,229
Internet & Direct Marketing Retail 1.1%
Alibaba Group Holding Ltd. (ADR)*		1,454		199,300
Amazon.com, Inc.*		652		979,284
Ctrip.com International Ltd. (ADR)*		6,667		180,409
				1,358,993
Leisure Products 0.1%
Hasbro, Inc.		1,676		136,175
Multiline Retail 0.4%
Marks & Spencer Group PLC		46,142		145,452
Target Corp.		1,985		131,189
Wesfarmers Ltd.		5,940		134,663
				411,304
Specialty Retail 0.4%
Home Depot, Inc.		1,634		280,754
L Brands, Inc.		4,300		110,381
TJX Companies, Inc.		3,000		134,220
				525,355
Textiles, Apparel & Luxury Goods 0.5%
Cie Financiere Richemont SA (Registered)		2,123		137,352
NIKE, Inc. “B”		2,142		158,808
Tapestry, Inc.		3,843		129,701
VF Corp.		1,851		132,050
				557,911
Consumer Staples 4.3%
Beverages 1.0%
Ambev SA (ADR)		35,231		138,105
Anheuser-Busch InBev SA		1,935		128,326
Coca-Cola Co.		8,825		417,864
Diageo PLC		3,855		137,432
PepsiCo, Inc.		3,021		333,760
				1,155,487

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

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 7

	Shares		Value ($)
Food & Staples Retailing 0.6%
Costco Wholesale Corp.		600		122,226
Lawson, Inc.		2,100		133,046
Sysco Corp.		2,139		134,030
Walgreens Boots Alliance, Inc.		1,700		116,161
Walmart, Inc.		2,516		234,365
				739,828
Food Products 1.4%
Archer-Daniels-Midland Co.		3,046		124,795
Bunge Ltd.		2,300		122,912
General Mills, Inc.		3,543		137,964
Kellogg Co.		2,586		147,428
Kraft Heinz Co.		2,962		127,485
Marine Harvest ASA		6,166		130,016
Mondelez International, Inc. “A”		4,000		160,120
Nestle SA (Registered)		5,421		440,870
The Hershey Co.		1,329		142,442
The JM Smucker Co.		1,400		130,886
				1,664,918
Household Products 0.6%
Colgate-Palmolive Co.		2,270		135,111
Kimberly-Clark Corp.		1,277		145,501
Procter & Gamble Co.		5,159		474,215
				754,827
Tobacco 0.7%
Altria Group, Inc.		5,192		256,433
British American Tobacco PLC		2,691		86,054
British American Tobacco PLC (ADR)		1,736		55,309
Japan Tobacco, Inc.		6,177		147,026
Philip Morris International, Inc.		4,036		269,443
				814,265
Energy 4.5%
Oil, Gas & Consumable Fuels
BP PLC		53,165		336,626
Chevron Corp.		3,969		431,788
Enagas SA		5,091		137,866
Enbridge, Inc.		4,359		135,418
Eni SpA		8,701		137,433
Exxon Mobil Corp.		8,799		600,004
Gazprom PJSC (ADR)		88,363		390,564
JXTG Holdings, Inc.		24,100		126,044
Kinder Morgan, Inc.		10,158		156,230
LUKOIL PJSC (ADR)		6,484		462,569
Occidental Petroleum Corp.		2,669		163,823
ONEOK, Inc.		2,236		120,632
Pembina Pipeline Corp.		4,435		131,601
Phillips 66		1,560		134,394
Plains GP Holdings LP “A”*		6,612		132,901
Repsol SA		9,619		155,751
Royal Dutch Shell PLC “A”		12,635		372,147
Royal Dutch Shell PLC “B”		10,663		318,451
Snam SpA		30,741		134,937
Tatneft PJSC (ADR)		2,028		128,778
TOTAL SA		5,207		275,543
TransCanada Corp. (a)		3,548		126,696
Valero Energy Corp.		1,771		132,772
Williams Companies, Inc.		6,192		136,534
				5,379,502

	Shares		Value ($)
Financials 7.9%
Banks 4.9%
Aozora Bank Ltd.		4,300		128,261
Australia & New Zealand Banking Group Ltd.		8,678		149,494
Banco Bradesco SA (ADR) (Preferred)		14,488		143,286
Bank of America Corp.		14,925		367,752
Bank of Montreal		2,011		131,381
Bank of Nova Scotia		3,393		169,128
BB&T Corp.		3,010		130,393
BNP Paribas SA		2,891		130,988
Canadian Imperial Bank of Commerce		1,826		136,000
Citigroup, Inc.		4,687		244,005
Commonwealth Bank of Australia		4,177		212,711
HSBC Holdings PLC		46,627		385,507
ICICI Bank Ltd. (ADR)		15,400		158,466
Itau Unibanco Holding SA (ADR) (Preferred)		15,500		141,670
Japan Post Bank Co., Ltd.		12,500		137,712
JPMorgan Chase & Co.		6,029		588,551
Lloyds Banking Group PLC		218,842		144,499
Mitsubishi UFJ Financial Group, Inc.		25,600		125,425
Mizuho Financial Group, Inc.		93,873		145,617
People’s United Financial, Inc.		8,492		122,540
Royal Bank of Canada		3,105		212,519
Sberbank of Russia PJSC (ADR)		34,594		379,150
Skandinaviska Enskilda Banken AB “A”		14,159		137,964
Societe Generale SA		3,948		126,384
Sumitomo Mitsui Financial Group, Inc.		4,000		132,689
Swedbank AB “A”		6,212		139,084
Toronto-Dominion Bank		3,105		154,340
U.S. Bancorp.		2,862		130,793
Wells Fargo & Co.		7,269		334,956
Westpac Banking Corp.		11,487		202,519
				5,843,784
Capital Markets 0.2%
CME Group, Inc.		820		154,258
UBS Group AG (Registered)*		10,817		134,992
				289,250
Diversified Financial Services 0.3%
Berkshire Hathaway, Inc. “B”*		1,718		350,782
Insurance 2.5%
Ageas		3,119		140,462
Allianz SE (Registered)		732		147,468
American Financial Group, Inc.		1,397		126,470
Assicurazioni Generali SpA		8,624		144,673
Aviva PLC		28,133		134,902
AXA SA		6,933		150,099
Baloise Holding AG (Registered)		977		134,970
Chubb Ltd.		1,118		144,423
Japan Post Holdings Co., Ltd.		11,700		134,843
Legal & General Group PLC		54,098		159,703
MetLife, Inc.		3,423		140,548
Muenchener Rueckversicherungs-Gesellschaft AG (Registered)		658		144,003
Poste Italiane SpA 144A		19,064		153,099
Power Corp. of Canada		7,300		131,167

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

8 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

	Shares		Value ($)
Power Financial Corp. (a)		6,800		128,658
Sampo Oyj “A”		4,982		220,490
Swiss Life Holding AG (Registered)*		355		137,317
Swiss Re AG		2,662		244,961
Zurich Insurance Group AG		864		258,495
				2,976,751
Health Care 5.8%
Biotechnology 0.8%
AbbVie, Inc.		3,577		329,764
Amgen, Inc.		1,597		310,888
Biogen., Inc.*		400		120,368
Gilead Sciences, Inc.		3,642		227,807
				988,827
Health Care Equipment & Supplies 0.3%
Abbott Laboratories		2,421		175,111
Medtronic PLC		2,239		203,659
				378,770
Health Care Providers & Services 0.6%
Anthem, Inc.		600		157,578
CVS Health Corp.		2,882		188,829
UnitedHealth Group, Inc.		1,583		394,357
				740,764
Life Sciences Tools & Services 0.2%
Thermo Fisher Scientific, Inc.		700		156,653
Pharmaceuticals 3.9%
Allergan PLC		1,000		133,660
Astellas Pharma, Inc.		11,000		140,887
AstraZeneca PLC		2,648		198,628
Bayer AG (Registered)		1,951		136,592
Bristol-Myers Squibb Co.		3,841		199,655
Daiichi Sankyo Co., Ltd.		3,800		121,354
Eli Lilly & Co.		2,365		273,678
GlaxoSmithKline PLC		11,751		223,750
Johnson & Johnson		5,592		721,648
Merck & Co., Inc.		6,336		484,134
Novartis AG (Registered)		4,774		409,638
Novo Nordisk AS ‘‘B”		3,727		171,216
Pfizer, Inc.		13,362		583,251
Roche Holding AG (Genusschein)		1,828		454,830
Sanofi		2,795		242,424
Takeda Pharmaceutical Co., Ltd.		4,000		135,624
				4,630,969
Industrials 5.3%
Aerospace & Defense 1.0%
BAE Systems PLC		23,878		140,038
Boeing Co.		939		302,828
General Dynamics Corp.		800		125,768
Lockheed Martin Corp.		597		156,319
Northrop Grumman Corp.		566		138,613
Raytheon Co.		781		119,766
United Technologies Corp.		1,717		182,826
				1,166,158
Air Freight & Logistics 0.1%
United Parcel Service, Inc. “B”		1,380		134,591
Airlines 0.4%
Deutsche Lufthansa AG (Registered)		6,282		142,729

	Shares		Value ($)
International Consolidated Airlines Group SA		17,761		140,985
Japan Airlines Co., Ltd.		3,800		134,672
				418,386
Building Products 0.1%
Johnson Controls International PLC		4,215		124,975
Commercial Services & Supplies 0.3%
Quad Graphics, Inc.		2		25
Republic Services, Inc.		1,823		131,420
Secom Co., Ltd.		1,600		132,482
Waste Management, Inc.		1,524		135,621
				399,548
Construction & Engineering 0.3%
Kajima Corp.		10,200		136,602
Obayashi Corp.		14,200		128,334
Skanska AB “B”		9,055		144,597
				409,533
Electrical Equipment 0.4%
ABB Ltd. (Registered)		7,510		143,532
Eaton Corp. PLC		2,059		141,371
Emerson Electric Co.		2,185		130,554
				415,457
Industrial Conglomerates 0.6%
3M Co.		1,117		212,833
General Electric Co.		19,552		148,008
Honeywell International, Inc.		1,574		207,957
Siemens AG (Registered)		1,289		144,255
				713,053
Machinery 0.7%
Caterpillar, Inc.		1,158		147,147
Cummins, Inc.		1,015		135,645
Illinois Tool Works, Inc.		1,078		136,572
Ingersoll-Rand PLC		1,348		122,978
Kone Oyj “B”		2,909		139,089
Mitsubishi Heavy Industries Ltd.		3,600		129,297
				810,728
Marine 0.1%
Kuehne + Nagel International AG (Registered)		1,028		132,279
Professional Services 0.4%
Adecco Group AG (Registered)		3,068		144,178
Nielsen Holdings PLC		5,139		119,893
RELX PLC		6,670		137,582
SGS SA (Registered)		58		130,965
				532,618
Road & Rail 0.2%
Aurizon Holdings Ltd.		43,644		131,481
Union Pacific Corp.		1,051		145,280
				276,761
Trading Companies & Distributors 0.7%
ITOCHU Corp.		9,639		163,707
Marubeni Corp.		18,749		131,369
Mitsubishi Corp.		6,800		186,771
Mitsui & Co., Ltd.		11,551		177,556

Sumitomo Corp.	10,866	154,132
		813,535

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

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 9

	Shares		Value ($)
Information Technology 9.0%
Communications Equipment 0.8%
Cisco Systems, Inc.		10,699		463,588
Juniper Networks, Inc.		5,500		148,005
Motorola Solutions, Inc.		1,028		118,261
Nokia Oyj		29,943		173,192
				903,046
Electronic Equipment, Instruments & Components 0.2%
Corning, Inc.		4,393		132,713
TE Connectivity Ltd.		1,967		148,764
				281,477
IT Services 2.6%
Accenture PLC “A”		1,602		225,898
Automatic Data Processing, Inc.		1,581		207,301
Broadridge Financial Solutions, Inc.		1,351		130,034
Cognizant Technology Solutions Corp. “A”		2,042		129,626
DXC Technology Co.		2,400		127,608
Fidelity National Information Services, Inc.		1,421		145,724
Fujitsu Ltd.		2,300		143,222
Infosys Ltd. (ADR)		16,462		156,718
International Business Machines Corp.		2,997		340,669
Leidos Holdings, Inc.		2,315		122,047
MasterCard, Inc. “A”		1,797		339,004
Otsuka Corp.		4,300		117,814
Paychex, Inc.		2,747		178,967
PayPal Holdings, Inc.*		1,600		134,544
Visa, Inc. “A”		3,164		417,458
Western Union Co.		10,970		187,148
				3,103,782
Semiconductors & Semiconductor Equipment 1.8%
Analog Devices, Inc.		1,599		137,242
Broadcom, Inc.		931		236,735
Intel Corp.		8,886		417,020
KLA-Tencor Corp.		1,490		133,340
Maxim Integrated Products, Inc.		2,734		139,024
QUALCOMM., Inc.		4,005		227,924
Taiwan Semiconductor Manufacturing Co., Ltd. (ADR)		14,142		521,981
Texas Instruments, Inc.		2,238		211,491
Tokyo Electron Ltd.		1,100		125,053
				2,149,810
Software 1.9%
Adobe, Inc.*		652		147,508
Intuit, Inc.		723		142,323
Micro Focus International PLC		7,326		129,523
Microsoft Corp.		13,338		1,354,741
Oracle Corp.		5,708		257,716
salesforce.com, Inc.*		1,100		150,667
SAP SE		1,421		142,268
				2,324,746
Technology Hardware, Storage & Peripherals 1.7%
Apple, Inc.		8,631		1,361,454
Canon, Inc.		6,874		187,702
HP, Inc.		6,190		126,647
Samsung Electronics Co., Ltd. (GDR)		166		143,922

	Shares		Value ($)
Seagate Technology PLC		3,408		131,515
Xerox Corp.		5,644		111,525
				2,062,765
Materials 0.6%
Chemicals 0.4%
Air Products & Chemicals, Inc.		879		140,684
DowDuPont, Inc.		3,432		183,544
GEO Specialty Chemicals, Inc.* (b)		145,628		18,218
LyondellBasell Industries NV “A”		1,752		145,696
				488,142
Metals & Mining 0.1%
JFE Holdings, Inc.		8,000		126,588
Paper & Forest Products 0.1%
UPM-Kymmene Oyj		5,346		136,347
Real Estate 3.1%
Equity Real Estate Investment Trusts (REITs)
AvalonBay Communities, Inc.		748		130,189
Brookfield Property REIT, Inc. “A”		8,800		141,680
Camden Property Trust		1,483		130,578
Crown Castle International Corp.		1,396		151,647
H&R Real Estate Investment Trust		10,100		152,772
HCP, Inc.		4,970		138,812
Iron Mountain, Inc.		4,000		129,640
Japan Retail Fund Investment Corp.		69		137,957
Kimco Realty Corp.		11,953		175,111
Land Securities Group PLC		13,054		133,986
Liberty Property Trust		2,967		124,258
Mid-America Apartment Communities, Inc.		1,390		133,023
National Retail Properties, Inc.		2,772		134,470
Prologis, Inc.		2,049		120,317
Public Storage		727		147,152
Realty Income Corp.		2,420		152,557
RioCan Real Estate Investment Trust		8,642		150,659
Simon Property Group, Inc.		1,211		203,436
Stockland (a)		53,235		131,819
The Macerich Co.		2,853		123,478
Unibail-Rodamco-Westfield*		831		128,917
Ventas, Inc.		2,802		164,169
VEREIT, Inc.		17,700		126,555
Vicinity Centres (a)		73,155		133,844
Welltower, Inc.		2,441		169,430
WP Carey, Inc.		2,000		130,680
				3,697,136
Utilities 3.0%
Electric Utilities 1.8%
American Electric Power Co., Inc.		2,127		158,972
Duke Energy Corp.		2,441		210,658
Entergy Corp.		1,802		155,098
Evergy, Inc.		2,300		130,571
Exelon Corp.		3,659		165,021
FirstEnergy Corp.		3,500		131,425
Fortum Oyj		6,761		147,985
NextEra Energy, Inc.		918		159,567
OGE Energy Corp.		3,400		133,246
Pinnacle West Capital Corp.		1,500		127,800
Power Assets Holdings Ltd.		20,000		139,016

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

10 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

	Shares		Value ($)
PPL Corp.		5,577		157,996
Southern Co.		5,084		223,289
Xcel Energy, Inc.		2,600		128,102
				2,168,746
Multi-Utilities 1.2%
Ameren Corp.		1,900		123,937
CenterPoint Energy, Inc.		5,172		146,005
Consolidated Edison, Inc.		1,923		147,033
Dominion Energy, Inc		2,427		173,433
DTE Energy Co.		1,100		121,330
Engie SA		9,917		142,449
National Grid PLC		13,058		127,165
Public Service Enterprise Group, Inc.		2,500		130,125
Sempra Energy		1,200		129,828
WEC Energy Group, Inc.		1,834		127,023
				1,368,328
Total Common Stocks (Cost $62,413,339)				65,706,033
Preferred Stocks 5.8%
Communication Services 0.6%
Verizon Communications, Inc. 5.9%		30,000		759,000
Financials 3.3%
AGNC Investment Corp. Series C, 7.0%		14,427		364,715
AGNC Investment Corp. Series B, 7.75%		18,000		456,480
Bank of America Corp. Series Y, 6.5%		15,000		380,700
BB&T Corp. 5.625%		10,000		235,100
Capital One Financial Corp. Series G, 5.2%		10,000		216,200
Citigroup, Inc. Series S, 6.3%		15,000		382,500
Fifth Third Bancorp. Series I, 6.625%		10,000		258,700
JPMorgan Chase & Co. Series AA, 6.1%		15,000		383,100
KeyCorp Series E, 6.125%		10,000		258,200
Morgan Stanley Series K, 5.85%		10,000		242,800
The Goldman Sachs Group, Inc. Series J, 5.5%		17,000		411,400
Wells Fargo & Co. Series Y, 5.625%		15,000		352,500
				3,942,395
Real Estate 1.0%
Kimco Realty Corp. Series L, 5.125% (REIT)		15,000		295,650
Prologis, Inc. Series Q, 8.54% (REIT)		164		10,267
Simon Property Group, Inc. Series J, 8.375% (REIT)		8,000		549,600
VEREIT, Inc. Series F, 6.7% (REIT)		15,000		354,900
				1,210,417
Utilities 0.9%
Dominion Energy, Inc. Series A, 5.25%		30,000		692,400
Southern Co. 5.25%		15,000		327,450
				1,019,850
Total Preferred Stocks (Cost $7,613,224)				6,931,662

	Shares		Value ($)
Warrant 0.0%
Materials
Hercules Trust II, Expiration Date 3/31/2029* (b) (Cost $30,283)		170		4,191
	Principal Amount ($)(c)		Value ($)
Corporate Bonds 13.0%
Communication Services 2.6%
Altice Financing SA, 144A, 7.5%, 5/15/2026		400,000		365,000
Altice France SA, 144A, 7.375%, 5/1/2026		300,000		275,250
Cablevision Systems Corp., 5.875%, 9/15/2022		300,000		294,750
CCO Holdings LLC, 144A, 5.875%, 5/1/2027		500,000		485,000
CenturyLink, Inc., Series Y, 7.5%, 4/1/2024 (a)		300,000		289,500
CSC Holdings LLC:
144A, 5.5%, 4/15/2027		400,000		372,000
144A, 10.125%, 1/15/2023		200,000		215,250
Expedia Group, Inc., 3.8%, 2/15/2028		180,000		163,230
Netflix, Inc., 4.375%, 11/15/2026 (a)		100,000		90,750
Sprint Corp., 7.625%, 2/15/2025		300,000		300,000
Virgin Media Secured Finance PLC, 144A, 5.25%, 1/15/2026		350,000		320,688
				3,171,418
Consumer Discretionary 0.7%
1011778 B.C. Unlimited Liability Co., 144A, 5.0%, 10/15/2025		200,000		184,000
American Axle & Manufacturing, Inc., 6.25%, 4/1/2025 (a)		350,000		318,500
Asbury Automotive Group, Inc., 6.0%, 12/15/2024		300,000		287,250
				789,750
Consumer Staples 0.1%
B&G Foods, Inc., 5.25%, 4/1/2025 (a)		100,000		93,000
Energy 5.3%
Boardwalk Pipelines LP, 4.95%, 12/15/2024		250,000		253,517
Buckeye Partners LP, 3.95%, 12/1/2026		500,000		439,253
Cheniere Corpus Christi Holdings LLC, 5.875%, 3/31/2025		200,000		199,000
Chesapeake Energy Corp., 8.0%, 1/15/2025 (a)		65,000		57,362
Crestwood Midstream Partners LP, 6.25%, 4/1/2023		700,000		673,750
CrownRock LP, 144A, 5.625%, 10/15/2025		100,000		90,000
Enbridge, Inc., 5.5%, 7/15/2077		200,000		169,341
Energy Transfer LP, 5.5%, 6/1/2027		100,000		97,500
EnLink Midstream Partners LP, 4.85%, 7/15/2026		400,000		360,707
Hilcorp Energy I LP, 144A, 5.75%, 10/1/2025		200,000		178,000
KazMunayGas National Co. JSC, 144A, 4.75%, 4/19/2027		1,000,000		972,462

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

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 11

	Principal Amount ($)(c)		Value ($)
Laredo Petroleum, Inc., 6.25%, 3/15/2023 (a)		200,000		179,500
Marathon Petroleum Corp., 144A, 5.125%, 12/15/2026		500,000		512,156
MEG Energy Corp., 144A, 6.5%, 1/15/2025		200,000		203,000
Oasis Petroleum, Inc., 6.875%, 3/15/2022 (a)		96,000		90,480
Petrobras Global Finance BV, 5.299%, 1/27/2025		500,000		477,500
Plains All American Pipeline LP, 2.85%, 1/31/2023		55,000		51,844
Range Resources Corp., 5.0%, 8/15/2022		200,000		179,000
Resolute Energy Corp., 8.5%, 5/1/2020		100,000		98,500
Southwestern Energy Co., 7.75%, 10/1/2027		100,000		95,000
Targa Resources Partners LP, 5.375%, 2/1/2027		200,000		187,500
Weatherford International Ltd., 9.875%, 2/15/2024 (a)		200,000		122,000
WildHorse Resource Development Corp., 6.875%, 2/1/2025		500,000		472,500
WPX Energy, Inc., 5.25%, 9/15/2024		200,000		181,000
				6,340,872
Financials 1.5%
BPCE SA, 144A, 4.875%, 4/1/2026		700,000		689,583
FS KKR Capital Corp., 4.75%, 5/15/2022		70,000		69,306
Royal Bank of Scotland Group PLC, 7.5%, 12/29/2049		800,000		792,000
Westpac Banking Corp., 5.0%, 3/21/2067		300,000		248,771
				1,799,660
Health Care 0.4%
HCA, Inc., 5.25%, 6/15/2026		500,000		496,250
Industrials 0.4%
Bombardier, Inc., 144A, 6.0%, 10/15/2022		300,000		281,250
Park Aerospace Holdings Ltd., 144A, 5.25%, 8/15/2022		175,000		169,312
				450,562
Materials 1.6%
AK Steel Corp., 7.0%, 3/15/2027 (a)		200,000		156,000
Ardagh Packaging Finance PLC, 144A, 7.25%, 5/15/2024		200,000		199,500
Constellium NV, 144A, 6.625%, 3/1/2025		250,000		231,875
Evraz Group SA, 144A, 5.375%, 3/20/2023		300,000		296,385
Metinvest BV, 144A, 7.75%, 4/23/2023		500,000		454,954
United States Steel Corp., 6.875%, 8/15/2025		200,000		183,000
Vedanta Resources PLC, 144A, 7.125%, 5/31/2023		400,000		359,200
				1,880,914

	Principal Amount ($)(c)		Value ($)
Real Estate 0.3%
Hospitality Properties Trust, (REIT), 3.95%, 1/15/2028		100,000		90,124
Omega Healthcare Investors, Inc., (REIT), 4.75%, 1/15/2028 (a)		110,000		107,767
Select Income REIT:
(REIT), 4.15%, 2/1/2022		60,000		59,350
(REIT), 4.25%, 5/15/2024		45,000		43,363
				300,604
Utilities 0.1%
AmeriGas Partners LP, 5.75%, 5/20/2027		200,000		177,000
Total Corporate Bonds (Cost $16,780,231)				15,500,030
Asset-Backed 5.8%
Miscellaneous
Apidos CLO XXIX, “A2”, Series 2018-29A, 144A, 3-month USD-LIBOR + 1.550%, 3.942%**, 7/25/2030		1,500,000		1,459,890
Dell Equipment Finance Trust, “D”, Series 2017-1, 144A, 3.44%, 4/24/2023		280,000		279,137
Domino’s Pizza Master Issuer LLC, “A23”, Series 2017-1A, 144A, 4.118%, 7/25/2047		335,750		328,958
Dryden 55 CLO Ltd., “B”, Series 2018-55A, 144A, 3-month USD-LIBOR + 1.550%, 3.986%**, 4/15/2031		1,500,000		1,460,643
GoldenTree Loan Management Eur Clo 2 Dac, “C1A”, Series X2, REG S, 3-month EURIBOR,+2.450% floor, 2.45%**, 1/20/2032		EUR 480,000		549,522
Hilton Grand Vacations Trust, “B”, Series 2014-AA, 144A, 2.07%, 11/25/2026		104,911		103,335
Jubilee CLO BV, “C1”, Series 2018-21A, 144A, 3-month EURIBOR + 2.500% floor, 2.5%**, 1/15/2032		EUR 500,000		563,714
Madison Park Funding XIV Ltd., “DRR”, Series 2014-14A, 144A, 3-month USD-LIBOR + 2.950%, 5.419%**, 10/22/2030		500,000		466,242
Neuberger Berman Loan Advisers CLO Ltd., “B”, Series 2018-28A, 144A, 3-month USD-LIBOR + 1.600%, 4.069%**, 4/20/2030		750,000		730,568
Taco Bell Funding LLC, “A2I”, Series 2018-1A, 144A, 4.318%, 11/25/2048		500,000		506,170
Voya CLO Ltd., “CR”, Series 2016-3A, 144A, 3-month USD-LIBOR + 3.250%, 5.721%**, 10/18/2031		350,000		326,406
Wendy’s Funding LLC, “A2I”, Series 2018-1A, 144A, 3.573%, 3/15/2048		158,400		151,801
Total Asset-Backed (Cost $7,097,410)				6,926,386

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

12 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

	Principal Amount ($)(c)		Value ($)
Mortgage-Backed Securities Pass-Throughs 0.0%
Federal Home Loan Mortgage Corp., 6.0%, 3/1/2038		3,957		4,318
Federal National Mortgage Association:
4.5%, 9/1/2035		5,972		6,183
6.0%, 1/1/2024		9,257		9,933
Total Mortgage-Backed Securities Pass-Throughs (Cost $19,207)				20,434
Commercial Mortgage-Backed Securities 1.3%
BX Commercial Mortgage Trust, “D”, Series 2018-IND, 144A, 1-month USD-LIBOR + 1.300%, 3.755%**, 11/15/2035		249,628		246,819
DBWF Mortgage Trust, 144A, 1-month USD-LIBOR + 1.750%, 4.13%**, 11/19/2035		250,000		247,253
FHLMC Multifamily Structured Pass-Through Certificates, “X1”, Series K043, Interest Only, 0.542%**, 12/25/2024		4,922,343		137,482
GMAC Commercial Mortgage Securities, Inc., “G”, Series 2004-C1, 144A, 5.455%, 3/10/2038		423,843		394,070
GS Mortgage Securities Corp., “C”, Series 2018-FBLU, 144A, 1-month USD-LIBOR + 1.600%, 4.055%**, 11/15/2035		500,000		496,352
Total Commercial Mortgage-Backed Securities (Cost $1,559,859)				1,521,976
Collateralized Mortgage Obligations 1.8%
Fannie Mae Connecticut Avenue Securities:
“1M2”, Series 2018-C06, 1-month USD-LIBOR + 2.000%, 4.506%**, 3/25/2031		187,500		180,136
“1M2”, Series 2018-C05, 1-month USD-LIBOR + 2.350%, 4.856%**, 1/25/2031		500,000		487,344
Federal Home Loan Mortgage Corp.:
“PI”, Series 3843, Interest Only, 4.5%, 5/15/2038		148,500		8,467
“C31”, Series 303, Interest Only, 4.5%, 12/15/2042		1,041,829		228,793
“H”, Series 2278, 6.5%, 1/15/2031		113		115
Federal National Mortgage Association:
“WO”, Series 2013-27, Principal Only, Zero Coupon, 12/25/2042		220,000		137,837
“4”, Series 406, Interest Only, 4.0%, 9/25/2040		93,099		19,352
“I”, Series 2003-84, Interest Only, 6.0%, 9/25/2033		105,637		16,435

	Principal Amount ($)(c)		Value ($)
Freddie Mac Structured Agency Credit Risk Debt Notes, “M2”, Series 2017-DNA2, 1-month USD-LIBOR + 3.450%, 5.956%**, 10/25/2029		250,000		264,548
Government National Mortgage Association:
“PI”, Series 2015-40, Interest Only, 4.0%, 4/20/2044		208,577		28,742
“PI”, Series 2014-108, Interest Only, 4.5%, 12/20/2039		56,616		9,942
“IP”, Series 2014-11, Interest Only, 4.5%, 1/20/2043		145,115		20,107
“IN”, Series 2009-69, Interest Only, 5.5%, 8/20/2039		172,093		32,296
“IV”, Series 2009-69, Interest Only, 5.5%, 8/20/2039		167,074		31,313
“IJ”, Series 2009-75, Interest Only, 6.0%, 8/16/2039		115,458		19,863
RESIMAC, “A2”, Series 2017-2, Australian Bank Bill Short Term Rates 1-Month Mid + 1.200%, 3.143%**, 1/15/2049		AUD 486,002		341,451
STACR Trust, “M2”, Series 2018-DNA3, 144A, 1-month USD-LIBOR + 2.100%, 4.606%**, 9/25/2048		324,324		311,443
Total Collateralized Mortgage Obligations (Cost $2,004,405)				2,138,184
Government & Agency Obligations 8.4%
Other Government Related (d) 1.4%
Banque Centrale de Tunisie International Bond, 144A, 5.75%, 1/30/2025		400,000		335,536
Gazprom OAO, 144A, 4.95%, 7/19/2022		400,000		403,197
Sberbank of Russia, 144A, 5.125%, 10/29/2022		200,000		195,349
Southern Gas Corridor CJSC, 144A, 6.875%, 3/24/2026		700,000		756,028
				1,690,110
Sovereign Bonds 4.9%
Export Credit Bank of Turkey, 144A, 5.375%, 10/24/2023		350,000		318,128
Indonesia Government International Bond, 4.45%, 2/11/2024		225,000		226,167
Islamic Republic of Pakistan, 144A, 6.875%, 12/5/2027		200,000		181,150
Ivory Coast Government International Bond, 144A, 5.375%, 7/23/2024		200,000		183,408
Kingdom of Bahrain, 144A, 6.125%, 8/1/2023		400,000		407,494
Mexican Udibonos Inflation-Linked Bond, Series S, 2.0%, 6/9/2022		MXN 9,363,607		441,809
Oman Government International Bond, 144A, 4.75%, 6/15/2026		600,000		518,724
Republic of Angola, 144A, 9.5%, 11/12/2025		300,000		314,982

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

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 13

	Principal Amount ($)(c)		Value ($)
Republic of Argentina, Series NY, Step-up Coupon, 2.5% to 3/31/2019, 3.75% to 3/31/2029, 5.25% to 12/31/2038		400,000		219,204
Republic of Ecuador, 144A, 8.75%, 6/2/2023		200,000		186,500
Republic of Hungary, Series 19/A, 6.5%, 6/24/2019		HUF 16,900,000		62,132
Republic of Kenya, 144A, 6.875%, 6/24/2024		400,000		375,500
Republic of Namibia, 144A, 5.25%, 10/29/2025		350,000		313,824
Republic of Nigeria, 144A, 6.5%, 11/28/2027		200,000		176,548
Republic of Senegal, 144A, 6.25%, 7/30/2024		400,000		388,128
Republic of Sri Lanka, 144A, 5.75%, 1/18/2022		200,000		188,034
Republic of Zambia, 144A, 5.375%, 9/20/2022		500,000		357,480
State of Qatar, 144A, 3.25%, 6/2/2026		400,000		386,282
United Mexican States, Series M, 5.75%, 3/5/2026		MXN 13,525,200		581,367
				5,826,861
U.S. Treasury Obligations 2.1%
U.S. Treasury Bonds, 3.0%, 2/15/2048		20,000		19,893
U.S. Treasury Inflation Indexed Note, 0.625%, 4/15/2023		2,570,526		2,527,817
				2,547,710
Total Government & Agency Obligations (Cost $10,510,129)				10,064,681
Convertible Bond 0.2%
Materials
GEO Specialty Chemicals, Inc., 3-month USD-LIBOR + 14.0%, 16.707%**PIK, 10/18/2025 (b) (Cost $254,327)		255,666		275,864

	Principal Amount ($)(c)			Value ($)
Short-Term U.S. Treasury Obligations 2.8%
U.S. Treasury Bills:
2.362%***, 8/15/2019 (e)		1,750,000			1,722,479
2.573%***, 10/10/2019 (f)		1,160,000			1,137,194
2.573%***, 10/10/2019 (f)		500,000			490,170
Total Short-Term U.S. Treasury Obligations (Cost $3,350,593)					3,349,843
	Shares			Value ($)
Exchange-Traded Fund 3.3%
iShares JP Morgan USD Emerging Markets Bond ETF		8,884			923,136
SPDR Bloomberg Barclays Convertible Securities ETF		64,000			2,994,560
Total Exchange-Traded Funds (Cost $4,337,185)					3,917,696
Securities Lending Collateral 1.7%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (g) (h) (Cost $2,070,696)		2,070,696			2,070,696
Cash Equivalents 1.9%
DWS Central Cash Management Government Fund, 2.41% (g) (Cost $2,297,660)		2,297,660			2,297,660
	% of Net Assets			Value ($)
Total Investment Portfolio (Cost $120,338,548)		100.9			120,725,336
Other Assets and Liabilities, Net		(0.9	)		(1,104,826	)
Net Assets		100.0			119,620,510

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

14 | Deutsche Variable Series II — DWS Global Income Builder VIP

A summary of the Fund’s transactions with affiliated investments during the year ended December 31, 2018 are as follows:

Value ($) at 12/31/2017	Purchases Cost ($)		Sales Proceeds ($)			Net Realized Gain/ (Loss) ($)		Net Change in Unrealized Appreciation (Depreciation) ($)		Income ($)		Capital Gain Distributions ($)		Number of Shares at 12/31/2018		Value ($) at 12/31/2018
Securities Lending Collateral 1.7%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (g) (h)
3,253,298		—		1,182,602	(i)		—		—		55,330		—		2,070,696		2,070,696
Cash Equivalents 1.9%
DWS Central Cash Management Government Fund, 2.41% (g)
1,616,434		89,965,099		89,283,873			—		—		77,113		—		2,297,660		2,297,660
4,869,732		89,965,099		90,466,475			—		—		132,443		—		4,368,356		4,368,356

* Non-income producing security.

** Variable or floating rate security. These securities are shown at their current rate as of December 31, 2018. For securities based on a published reference rate and spread, the reference rate and spread are indicated within the description above. Certain variable rate securities are not based on a published reference rate and spread but adjust periodically based on current market conditions, prepayment of underlying positions and/or other variables.

*** Annualized yield at time of purchase; not a coupon rate.

(a) All or a portion of these securities were on loan. In addition, “Other Assets and Liabilities, Net” may include pending sales that are also on loan. The value of securities loaned at December 31, 2018 amounted to $1,975,245, which is 1.7% of net assets.

(b) Investment was valued using significant unobservable inputs.

(c) Principal amount stated in U.S. dollars unless otherwise noted.

(d) Government-backed debt issued by financial companies or government sponsored enterprises.

(e) At December 31, 2018, this security has been pledged, in whole or in part, to cover initial margin requirements for open futures contracts.

(f) At December 31, 2018, this security has been pledged, in whole or in part, to cover initial margin requirements for open centrally cleared swap contracts.

(g) Affiliated fund managed by DWS Investment Management Americas, Inc. The rate shown is the annualized seven-day yield at period end.

(h) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates.

(i) Represents the net increase (purchase cost) or decrease (sales proceeds) in the amount invested for the year ended December 31, 2018.

144A: Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.

ADR: American Depositary Receipt

ASX: Australian Securities Exchange

CJSC: Closed Joint Stock Company

CLO: Collateralized Loan Obligation

EURIBOR: Euro Interbank Offered Rate

GDR: Global Depositary Receipt

Interest Only: Interest Only (IO) bonds represent the “interest only” portion of payments on a pool of underlying mortgages or mortgage-backed securities. IO securities are subject to prepayment risk of the pool of underlying mortgages.

JSC: Joint Stock Company

LIBOR: London Interbank Offered Rate

MSCI: Morgan Stanley Capital International

PIK: Denotes that all or a portion of the income is paid in-kind in the form of additional principal.

PJSC: Public Joint Stock Company

Principal Only: Principal Only (PO) bonds represent the “principal only” portion of payments on a pool of underlying mortgages or mortgage-backed securities.

REG S: Securities sold under Regulation S may not be offered, sold or delivered within the United States or to, or for the account or benefit of, U.S. persons, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933.

REIT: Real Estate Investment Trust

S&P: Standard & Poor’s

SPDR: Standard & Poor’s Depositary Receipt

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

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 15

At December 31, 2018, open futures contracts purchased were as follows:

Futures	Currency		Expiration Date		Contracts		Notional Amount ($)		Notional Value ($)		Unrealized Appreciation (Depreciation) ($)
10 Year U.S. Treasury Note		USD		3/20/2019		28		3,332,055		3,416,438		84,383
3 Month Euro Euribor Interest Rate		EUR		12/16/2019		2		574,110		574,307		197
3 Month Euro Swiss Franc (Euroswiss) Interest Rate		CHF		12/16/2019		2		512,008		512,005		(3	)
3 Month Euroyen		JPY		12/16/2019		2		455,825		455,819		(6	)
3 Month Sterling (Short Sterling) Interest Rate		GBP		12/18/2019		3		472,602		472,669		67
90 Day Eurodollar Time Deposit		USD		12/16/2019		2		484,755		486,750		1,995
ASX 90 Day Bank Accepted Bills		AUD		12/12/2019		3		2,102,634		2,103,351		717
MSCI Mini Emerging Market Index		USD		3/15/2019		72		3,515,938		3,480,480		(35,458	)
MSCI World Index		USD		3/15/2019		88		4,878,867		4,746,720		(132,147	)
S&P 500 E-Mini Index		USD		3/15/2019		46		5,836,456		5,761,960		(74,496	)
Ultra 10 Year U.S. Treasury Note		USD		3/20/2019		69		8,699,627		8,975,391		275,764
Total net unrealized appreciation												121,013

At December 31, 2018, open futures contracts sold were as follows:

Futures	Currency		Expiration Date		Contracts		Notional Amount ($)		Notional Value ($)		Unrealized Depreciation ($)
2 Year U.S. Treasury Note		USD		3/29/2019		41		8,695,367		8,704,813		(9,446	)
5 Year U.S. Treasury Note		USD		3/29/2019		81		9,147,341		9,289,688		(142,347	)
Euro-Schatz		EUR		3/7/2019		81		10,382,982		10,388,673		(5,691	)
U.S. Treasury Long Bond		USD		3/20/2019		11		1,531,982		1,606,000		(74,018	)
Ultra Long U.S. Treasury Bond		USD		3/20/2019		10		1,522,087		1,606,562		(84,475	)
Total net unrealized depreciation												(315,977	)

At December 31, 2018, open credit default swap contracts purchased were as follows:

Centrally Cleared Swaps

Underlying Reference Obligation

Fixed Cash Flows Paid/ Frequency

Expiration Date

Notional Amount

Currency

Value ($)

Upfront Payments (Received) ($)

Unrealized Appreciation ($)

iTRAXX Europe Series 29

1.0%/ Quarterly

6/20/2023

3,000,000

EUR

(33,896)

(55,355)

21,459

Markit CDX North America Investment Grade Index

1.0%/ Quarterly

6/20/2023

3,000,000

USD

(25,039)

(48,320)

23,281

Total unrealized appreciation

44,740

At December 31, 2018, open credit default swap contracts sold were as follows:

Centrally Cleared Swaps

Underlying Reference Obligation

Fixed Cash Flows Received/ Frequency

Expiration Date

Notional Amount (j)

Currency

Value ($)

Upfront Payments Paid ($)

Unrealized Depreciation ($)

iTRAXX Europe Crossover Series 29

5.0%/ Quarterly

6/20/2023

1,500,000

EUR

104,586

146,287

(41,701)

Markit CDX North America High Yield Index

5.0%/ Quarterly

12/20/2023

2,800,000

USD

60,691

194,369

(133,678)

Markit CDX North America High Yield Index

5.0%/ Quarterly

6/20/2023

6,300,000

USD

201,400

378,118

(176,718)

Total unrealized depreciation

(352,097)

(j) The maximum potential amount of future undiscounted payments that the Fund could be required to make under a credit default swap contract would be the notional amount of the contract. These potential amounts would be partially offset by any recovery values of the underlying referenced obligation or net amounts received from the settlement of buy protection credit default swap contracts entered into by the Fund for the same underlying referenced obligation, if any.

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

16 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

At December 31, 2018, open interest rate swap contracts were as follows:

Centrally Cleared Swaps
Cash Flows Paid by the Fund	Cash Flows Received by the Fund	Effective/ Expiration Date	Notional Amount ($)	Currency	Value ($)		Upfront Payments Paid/ (Received) ($)		Unrealized Appreciation/ (Depreciation) ($)
Fixed —2.75% Semi-Annually	Floating — 3-Month LIBOR Quarterly	12/14/2018 12/14/2020	500,000	USD		(773)		1,075		(1,848)
Floating — 3-Month LIBOR Quarterly	Fixed — 2.75% Semi-Annually	12/14/2018 12/14/2023	10,500,000	USD		82,901		(75,197)		158,098
Fixed — 3.00% Semi-Annually	Floating — 3-Month LIBOR Semi-Annually	12/14/2018 12/14/2028	11,800,000	USD		(283,882)		(36,781)		(247,101)
Floating — 3- Month LIBOR Quarterly	Fixed — 3.261% Semi-Annually	03/20/2018 3/20/2049	3,600,000	USD		289,808		—		289,808
Total net unrealized appreciation										198,957

LIBOR: London Interbank Offered Rate; 3-month LIBOR rate as of December 31, 2018 is 2.808%.

As of December 31, 2018, the Fund had the following open forward foreign currency contracts:

Contracts to Deliver		In Exchange For		Settlement Date		Unrealized Appreciation ($)		Counterparty
EUR	5,630,000	USD	6,509,181		1/9/2019		55,425	Credit Agricole
USD	592,285	CNY	4,127,612		1/9/2019		8,921	Credit Agricole
GBP	1,912,600	USD	2,518,124		1/9/2019		79,603	Credit Agricole
MXN	12,800,000	USD	655,779		1/23/2019		6,359	State Street Bank and Trust
AUD	575,000	USD	416,110		2/19/2019		10,752	Australia and New Zealand Banking Group Ltd.
Total unrealized appreciation							161,060
Contracts to Deliver		In Exchange For		Settlement Date		Unrealized Depreciation ($)		Counterparty
EUR	2,500,000	USD	2,864,662		1/9/2019		(1,126)	Credit Agricole
CNY	8,279,820	USD	1,191,129		1/9/2019		(14,865)	Toronto-Dominion Bank
JPY	424,934,000	USD	3,760,484		1/9/2019		(117,099)	Morgan Stanley
USD	6,536,554	EUR	5,650,300		1/9/2019		(59,528)	Credit Agricole
EUR	980,000	USD	1,120,045		2/28/2019		(8,048)	JPMorgan Chase Securities, Inc.
Total unrealized depreciation							(200,666)

Currency Abbreviations

AUD Australian Dollar

CHF Swiss Franc

CNY Chinese Yuan

EUR Euro

GBP British Pound

HUF Hungarian Forint

JPY Japanese Yen

MXN Mexican Peso

USD United States Dollar

For information on the Fund’s policy and additional disclosures regarding futures contracts, credit default swap contracts, interest rate swap contracts and forward foreign currency contracts, please refer to the Derivatives section of Note B in the accompanying Notes to Financial Statements.

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

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 17

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1			Level 2			Level 3		Total
Common Stocks (k)
Communication Services	$	4,550,972		$	2,406,378		$	—	$	6,957,350
Consumer Discretionary		4,252,812			2,471,959			—		6,724,771
Consumer Staples		3,926,555			1,202,770			—		5,129,325
Energy		3,384,704			1,994,798			—		5,379,502
Financials		4,721,236			4,739,331			—		9,460,567
Health Care		4,661,040			2,234,943			—		6,895,983
Industrials		3,200,990			3,146,632			—		6,347,622
Information Technology		9,806,852			1,018,774			—		10,825,626
Materials		469,924			262,935			18,218		751,077
Real Estate		3,159,530			537,606			—		3,697,136
Utilities		2,980,459			556,615			—		3,537,074
Preferred Stocks (k)		6,931,662			—			—		6,931,662
Warrant		—			—			4,191		4,191
Fixed Income Investments (k)
Corporate Bonds		—			15,500,030			—		15,500,030
Asset-Backed		—			6,926,386			—		6,926,386
Mortgage-Backed Securities Pass-Throughs		—			20,434			—		20,434
Commercial Mortgage-Backed Securities		—			1,521,976			—		1,521,976
Collateralized Mortgage Obligations		—			2,138,184			—		2,138,184
Government & Agency Obligations		—			10,064,681			—		10,064,681
Convertible Bond		—			—			275,864		275,864
Short-Term U.S. Treasury Obligations		—			3,349,843			—		3,349,843
Exchange-Traded Funds		3,917,696			—			—		3,917,696
Short-Term Investments (k)		4,368,356			—			—		4,368,356
Derivatives (l)
Futures Contracts		363,123			—			—		363,123
Credit Default Swap Contracts		—			44,740			—		44,740
Interest Rate Swap Contracts		—			447,906			—		447,906
Forward Foreign Currency Contracts		—			161,060			—		161,060
Total	$	60,695,911		$	60,747,981		$	298,273	$	121,742,165
Liabilities	Level 1			Level 2			Level 3		Total
Derivatives (l)
Futures Contracts	$	(558,087	)	$	—		$	—	$	(558,087	)
Credit Default Swap Contracts		—			(352,097	)		—		(352,097	)
Interest Rate Swap Contracts		—			(248,949	)		—		(248,949	)
Forward Foreign Currency Contracts		—			(200,666	)		—		(200,666	)
Total	$	(558,087	)	$	(801,712	)	$	—	$	(1,359,799	)

(k) See Investment Portfolio for additional detailed categorizations.

(l) Derivatives include unrealized appreciation (depreciation) on open futures contracts, credit default swap contracts, interest rate swap contracts and forward foreign currency contracts.

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

18 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

Statement of Assets and Liabilities

as of December 31, 2018
Assets
Investments in non-affiliated securities, at value (cost $115,970,192) — including $1,975,245 of securities loaned	$	116,356,980
Investment in DWS Government & Agency Securities Portfolio (cost $2,070,696)*		2,070,696
Investment in DWS Central Cash Management Government Fund (cost $2,297,660)		2,297,660
Cash		321,921
Foreign currency, at value (cost $151,246)		148,589
Receivable for investments sold		4,457
Receivable for Fund shares sold		3,488
Dividends receivable		191,821
Interest receivable		456,991
Receivable for variation margin on futures contracts		45,247
Receivable for variation margin on centrally cleared swaps		30,961
Unrealized appreciation on forward foreign currency contracts		161,060
Foreign taxes recoverable		102,484
Other assets		3,381
Total assets		122,195,736
Liabilities
Payable upon return of securities loaned		2,070,696
Payable for Fund shares redeemed		90,369
Unrealized depreciation on forward foreign currency contracts		200,666
Accrued management fee		20,278
Accrued Trustees’ fees		4,311
Other accrued expenses and payables		188,906
Total liabilities		2,575,226
Net assets, at value	$	119,620,510
Net Assets Consist of
Distributable earnings (loss)		5,097,556
Paid-in capital		114,522,954
Net assets, at value	$	119,620,510
Net Asset Value
Class A
Net Asset Value, offering and redemption price per share ($119,611,105 ÷ 5,608,755 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	21.33
Class B
Net Asset Value, offering and redemption price per share ($9,405 ÷ 441.5 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	21.30

* Represents collateral on securities loaned.

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

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 19

Statement of Operations

for the year ended December 31, 2018
Investment Income
Income:
Dividends (net of foreign taxes withheld of $151,631)	$	3,463,738
Interest (net of foreign taxes withheld of $4,993)		1,897,129
Income distributions — DWS Central Cash Management Government Fund		77,113
Securities lending income, net of borrower rebates		55,330
Total income		5,493,310
Expenses:
Management fee		505,792
Administration fee		136,700
Services to Shareholders		1,227
Distribution service fees (Class B)		17
Custodian fee		65,510
Professional fees		114,255
Reports to shareholders		66,530
Trustees’ fees and expenses		10,190
Other		48,519
Total expenses before expense reductions		948,740
Expense reductions		(18,283	)
Total expenses after expense reductions		930,457
Net investment income		4,562,853
Realized and Unrealized Gain (Loss)
Net realized gain (loss) from:
Investments		2,283,676
Swap contracts		1,886,394
Futures		(2,804,146	)
Written options		362,589
Forward foreign currency contracts		464,627
Foreign currency		8,195
		2,201,335
Change in net unrealized appreciation (depreciation) on:
Investments		(14,985,048	)
Swap contracts		(1,284,644	)
Futures		(849,276	)
Forward foreign currency contracts		191,206
Foreign currency		(1,851	)
		(16,929,613	)
Net gain (loss)		(14,728,278	)
Net increase (decrease) in net assets resulting from operations	$	(10,165,425	)

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

20 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income	$	4,562,853		$	5,099,423
Net realized gain (loss)		2,201,335			18,938,450
Change in net unrealized appreciation (depreciation)		(16,929,613	)		3,377,582
Net increase (decrease) in net assets resulting from operations		(10,165,425	)		27,415,455
Distributions to shareholders:
Class A		(17,909,607	)		(5,628,068	)*
Fund share transactions:
Class A
Proceeds from shares sold		2,336,008			3,259,753
Reinvestment of distributions		17,909,607			5,628,068
Payments for shares redeemed		(19,079,316	)		(69,176,010	)
Net increase (decrease) in net assets from Class A share transactions		1,166,299			(60,288,189	)
Class B
Proceeds from shares sold		10,000	**		—
Net increase (decrease) in net assets from Class B share transactions		10,000	**		—
Increase (decrease) in net assets		(26,898,733	)		(38,500,802	)
Net assets at beginning of year		146,519,243			185,020,239
Net assets at end of year		119,620,510			146,519,243	***
Other Information
Class A
Shares outstanding at beginning of period		5,517,134			7,873,905
Shares sold		97,250			130,993
Shares issued to shareholders in reinvestment of distributions		796,691			233,530
Shares redeemed		(802,320	)		(2,721,294	)
Net increase (decrease) in Class A shares		91,621			(2,356,771	)
Shares outstanding at end of period		5,608,755			5,517,134
Class B
Shares outstanding at beginning of period		—			—
Shares sold		441.5	**		—
Net increase (decrease) in Class B shares		441.5	**		—
Shares outstanding at end of period		441.5	**		—

* Includes distributions from net investment income.

** For the period from May 1, 2018 (commencement of operations of Class B) to December 31, 2018.

*** Includes undistributed net investment income of $4,363,984.

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

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 21

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	26.56		$	23.50		$	22.93		$	24.62		$	27.30
Income (loss) from investment operations:
Net investment incomea		.80			.71			.61			.68			.72
Net realized and unrealized gain (loss)		(2.67	)		3.10			.91			(.97	)		.25
Total from investment operations		(1.87	)		3.81			1.52			(.29	)		.97
Less distributions from:
Net investment income		(.98	)		(.75	)		(.95	)		(.76	)		(.85	)
Net realized gains		(2.38	)		—			—			(.64	)		(2.80	)
Total distributions		(3.36	)		(.75	)		(.95	)		(1.40	)		(3.65	)
Net asset value, end of period	$	21.33		$	26.56		$	23.50		$	22.93		$	24.62
Total Return (%)		(7.66	)b		16.54			6.81			(1.44	)b		3.83
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		120			147			185			202			247
Ratio of expenses before expense reductions (%)c		.69			.63			.62			.60			.62
Ratio of expenses after expense reductions (%)c		.68			.63			.62			.58			.62
Ratio of net investment income (loss) (%)		3.34			2.85			2.66			2.85			2.83
Portfolio turnover rate (%)		70			122			135			92			88

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

	Period Ended
Class B	12/31/18a
Selected Per Share Data
Net asset value, beginning of period	$	22.65
Income (loss) from investment operations:
Net investment incomeb		.50
Net realized and unrealized gain (loss)		(1.85	)
Total from investment operations		(1.35	)
Net asset value, end of period	$	21.30
Total Return (%)c		(5.96	)**
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ thousands)		9
Ratio of expenses before expense reductions (%)d		1.15	*
Ratio of expenses after expense reductions (%)d		.86	*
Ratio of net investment income (loss) (%)		3.30	*
Portfolio turnover rate (%)		70	e

^a  For the period from May 1, 2018 (commencement of operations) to December 31, 2018.

^b  Based on average shares outstanding during the period.

^c  Total return would have been lower had certain expenses not been reduced.

^d  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

^e  Represents the Fund’s portfolio turnover rate for the year ended December 31, 2018.

^*  Annualized

^**  Not annualized

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

22 | Deutsche DWS Variable Series ll — DWS Global Income Builder VIP

Notes to Financial Statements

A. Organization and Significant Accounting Policies

DWS Global Income Builder VIP (formerly Deutsche Global Income Builder VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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.

Multiple Classes of Shares of Beneficial Interest. The Fund offers two classes of shares (Class A shares and Class B shares). Class B shares commenced operations on May 1, 2018. Sales of Class B shares are subject to recordkeeping fees up to 0.15% and Rule 12b-1 fees under the 1940 Act equal to an annual rate of 0.25% of the average daily net assets of the Class B shares of the Fund. Class A shares are not subject to such fees.

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 (including the applicable Rule 12b-1 distribution fees). Differences in class-level expenses may result in payment of different per share dividends by class. All shares 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 (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

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.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

Equity securities and Exchange-Traded Funds (“ETFs”) are valued at the most recent sale price or official closing price reported on the exchange (U.S. or foreign) or over-the-counter market on which they trade. Equity securities or ETFs 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. Equity securities and ETFs are generally categorized as Level 1. For certain 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, a fair valuation model may be used. This fair valuation model takes into account comparisons to the valuation of American Depository Receipts (ADRs), exchange-traded funds, futures contracts and certain indices and these securities are categorized as Level 2.

Debt securities are valued at prices supplied by independent pricing services approved by the Fund’s Board. 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, prepayment speeds and other data, as well as broker quotes. If the pricing services are unable to provide valuations, debt securities are valued at the average of the most recent reliable bid quotations or evaluated prices, as applicable, obtained from broker-dealers. These securities are generally categorized as Level 2.

Investments in open-end investment companies are valued at their net asset value each business day and are categorized as Level 1.

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 23

Futures contracts are generally valued at the settlement prices established each day on the exchange on which they are traded and are categorized as Level 1.

Forward currency contracts are valued at the prevailing forward exchange rate of the underlying currencies and are categorized as Level 2.

Swap contracts are valued daily based upon prices supplied by a Board approved pricing vendor, if available, and otherwise are valued at the price provided by the broker-dealer. Swap contracts are generally categorized as Level 2.

Exchange-traded options are valued at the last sale price or, in the absence of a sale, the mean between the closing bid and asked prices or at the most recent asked price (bid for purchased options) if no bid or asked price are available. Exchange-traded options are categorized as Level 1. Over-the-counter written or purchased options are valued at prices supplied by a Board approved pricing vendor, if available, and otherwise are valued at the price provided by the broker-dealer with which the option was traded. Over-the-counter written or purchased options are generally categorized as Level 2.

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 Board and are generally categorized as Level 3. In accordance with the Fund’s valuation procedures, factors considered in determining value may include, but are not limited to, the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security’s disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer, analysts, and/or the appropriate stock exchange (for exchange-traded securities); an analysis of the company’s or issuer’s financial statements; an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold; and with respect to debt securities, the maturity, coupon, creditworthiness, currency denomination and the movement of the market in which the security is normally traded. The value determined under these procedures may differ from published values for the same securities.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Investment securities and other assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the prevailing exchange rates at period end. Purchases and sales of investment securities, income and expenses are translated into U.S. 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 acquisition and disposition of foreign currencies, and the difference between the amount of net investment income accrued and the U.S. dollar amount actually received. The 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. Deutsche Bank AG, as lending agent, lends securities of the Fund to certain financial institutions under the terms of its securities lending agreement. During the term of the loans, the Fund continues to receive interest and dividends generated by the 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 either cash or 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 agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the securities lending agreement. As of period end, any securities on loan were collateralized by cash. During the year ended December 31, 2018, the Fund invested the cash collateral into a joint trading account in affiliated money market funds managed by DWS Investment Management Americas, Inc. As of December 31, 2018, the Fund invested the cash collateral in DWS Government & Agency Securities Portfolio. DWS Investment Management Americas, Inc. receives a management/administration fee (0.12% annualized effective rate as of December 31, 2018) on the cash collateral invested in DWS Government & Agency Securities Portfolio. 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 at any time, and the borrower, after notice, is required to return borrowed

24 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

securities within a standard time period. 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. If the Fund is not able to recover securities lent, the Fund may sell the collateral and purchase a replacement investment in the market, incurring the risk that the value of the replacement security is greater than the value of the collateral. 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.

As of December 31, 2018, the Fund had securities on loan, which were classified as common stocks and corporate bonds in the Investment Portfolio. The value of the related collateral exceeded the value of the securities loaned at period end.

Remaining Contractual Maturity of the Agreements as of December 31, 2018
	Overnight and Continuous		<30 days		Between 30 & 90 days		>90 days		Total
Securities Lending Transactions
Common Stocks	$	516,311	$	—	$	—	$	—	$	516,311
Corporate Bonds		1,554,385		—		—		—		1,554,385
Total Borrowings	$	2,070,696	$	—	$	—	$	—	$	2,070,696
Gross amount of recognized liabilities for securities lending transactions:									$	2,070,696

When-Issued/Delayed Delivery Securities. The Fund may purchase or sell securities with delivery or payment to occur at a later date beyond the normal settlement period. At the time the Fund enters into a commitment to purchase or sell a security, the transaction is recorded and the value of the transaction is reflected in the net asset value. The price of such security and the date when the security will be delivered and paid for are fixed at the time the transaction is negotiated. The value of the security may vary with market fluctuations. At the time the Fund enters into a purchase transaction it is required to segregate cash or other liquid assets at least equal to the amount of the commitment. Additionally, the Fund may be required to post securities and/or cash collateral in accordance with the terms of the commitment.

Certain risks may arise upon entering into when-issued or delayed delivery transactions from the potential inability of counterparties to meet the terms of their contracts or if the issuer does not issue the securities due to political, economic or other factors. Additionally, losses may arise due to changes in the value of the underlying securities.

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, the Fund may be subject to taxes imposed by the governments of countries in which it invests and are generally based on income and/or capital gains earned or repatriated, a portion of which may be recoverable based upon the current interpretation of the tax rules and regulations. Estimated tax liabilities and recoveries on certain foreign securities are recorded on an accrual basis and are reflected as components of interest income or net change in unrealized gain/loss on investments. Tax liabilities realized as a result of security sales are reflected as a component of net realized gain/loss on investments.

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investment income of the Fund, if any, are 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 Fund may also make additional distributions for tax purposes if necessary.

The timing and characterization of certain income and capital gain 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, forward currency contracts, futures contracts, swap contracts 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

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 25

periodically make reclassifications among certain of its capital accounts without impacting the net asset value of the Fund.

At December 31, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income*	$	4,970,065
Unrealized appreciation (depreciation) on investments	$	111,511

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $120,776,965. The net unrealized appreciation for all investments based on tax cost was $111,511. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $8,870,517 and aggregate gross unrealized depreciation for all investments in which there was an excess of tax cost over value of $8,759,006.

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

	Years Ended December 31,
	2018		2017
Distributions from ordinary income*	$	9,573,430	$	5,628,068
Distributions from long-term capital gains	$	8,336,177	$	—

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

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 based upon the relative net assets or other appropriate measures.

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.

Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment 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 taxes. 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. Proceeds from litigation payments, if any, are included in net realized gain (loss) from investments. All discounts and premiums are accreted/amortized for both tax and financial reporting purposes, with the exception of securities in default of principal.

B. Derivative Instruments

Swaps. A swap is a contract between two parties to exchange future cash flows at periodic intervals based on the notional amount of the swap. A bilateral swap is a transaction between the fund and a counterparty where cash flows are exchanged between the two parties. A centrally cleared swap is a transaction executed between the fund and a counterparty, then cleared by a clearing member through a central clearinghouse. The central clearinghouse serves as the counterparty, with whom the fund exchanges cash flows.

The value of a swap is adjusted daily, and the change in value, if any, is recorded as unrealized appreciation or depreciation in the Statement of Assets and Liabilities. Gains or losses are realized when the swap expires or is closed. Certain risks may arise when entering into swap transactions including counterparty default; liquidity; or unfavorable changes in interest rates or the value of the underlying reference security, commodity or index. In connection with bilateral swaps, securities and/or cash may be identified as collateral in accordance with the terms of the swap agreement to provide assets of value and recourse in the event of default. The maximum counterparty credit risk is the net present value of the cash flows to be received from or paid to the counterparty over the term of the swap, to the extent that this amount is beneficial to the Fund, in addition to any related collateral posted to the counterparty by the Fund. This risk may be partially reduced by a master netting arrangement between the Fund and the counterparty. Upon entering into a centrally cleared swap, the Fund is required to deposit with a financial intermediary cash or securities (“initial margin”) in an amount equal to a certain percentage of the notional amount of the swap. Subsequent payments (“variation margin”) are made or received by the Fund dependent upon the daily fluctuations in the value of the swap. In a cleared swap transaction, counterparty risk is minimized as the central clearinghouse acts as the counterparty.

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An upfront payment, if any, made by the Fund is recorded as an asset in the Statement of Assets and Liabilities. An upfront payment, if any, received by the Fund is recorded as a liability in the Statement of Assets and Liabilities. Payments received or made at the end of the measurement period are recorded as realized gain or loss in the Statement of Operations.

Interest Rate Swaps. Interest rate swaps are agreements in which the Fund agrees to pay to the counterparty a fixed rate payment in exchange for the counterparty agreeing to pay to the Fund a variable rate payment, or the Fund agrees to receive from the counterparty a fixed rate payment in exchange for the counterparty agreeing to receive from the Fund a variable rate payment. The payment obligations are based on the notional amount of the swap. For the year ended December 31, 2018, the Fund entered into interest rate swap agreements to gain exposure to different parts of the yield curve while managing overall duration.

A summary of the open interest rate swap contracts as of December 31, 2018 is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in interest rate swap contracts had a total notional amount generally indicative of a range from $26,400,000 to approximately $38,398,000.

Credit Default Swaps. Credit default swaps are agreements between a buyer and a seller of protection against predefined credit events for the reference entity. The Fund may enter into credit default swaps to gain exposure to an underlying issuer’s credit quality characteristics without directly investing in that issuer or to hedge against the risk of a credit event on debt securities. As a seller of a credit default swap, the Fund is required to pay the par (or other agreed-upon) value of the referenced entity to the counterparty with the occurrence of a credit event by a third party, such as a U.S. or foreign corporate issuer, on the reference entity, which would likely result in a loss to the Fund. In return, the Fund receives from the counterparty a periodic stream of payments over the term of the swap provided that no credit event has occurred. If no credit event occurs, the Fund keeps the stream of payments with no payment obligations. The Fund may also buy credit default swaps, in which case the Fund functions as the counterparty referenced above. This involves the risk that the swap may expire worthless. It also involves counterparty risk that the seller may fail to satisfy its payment obligations to the Fund with the occurrence of a credit event. When the Fund sells a credit default swap, it will cover its commitment. This may be achieved by, among other methods, maintaining cash or liquid assets equal to the aggregate notional value of the reference entities for all outstanding credit default swaps sold by the Fund. For the year ended December 31, 2018, the Fund entered into credit default swap agreements to gain exposure to the underlying issuer’s credit quality characteristics and to hedge the risk of default or other specified credit events on portfolio assets.

Under the terms of a credit default swap, the Fund receives or makes periodic payments based on a specified interest rate on a fixed notional amount. These payments are recorded as a realized gain or loss in the Statement of Operations. Payments received or made as a result of a credit event or termination of the swap are recognized, net of a proportional amount of the upfront payment, as realized gains or losses in the Statement of Operations.

A summary of the open credit default swap contracts as of December 31, 2018 is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in credit default swap contracts purchased had a total USD equivalent notional value generally indicative of a range from $0 to approximately $6,483,000 and the investment in credit default swap contracts sold had a total USD equivalent notional value generally indicative of a range from approximately $4,800,000 to $10,842,000.

Total Return Swap Contracts. Total return swaps involve commitments to pay interest in exchange for a market-linked return based on a notional amount. One counterparty pays out the total return of the reference security or index underlying the total return swap, and in return receives a fixed or variable rate. As a receiver, the Fund would receive payments based on any positive total return and would owe payments in the event of a negative total return. As the payer, the Fund would owe payments on any net positive total return, and would receive payments in the event of a negative total return. For the year ended December 31, 2018, the Fund entered into total return swap transactions as a means of gaining exposure to a particular asset class without investing directly in such asset class.

There were no open total return swap contracts as of December 31, 2018. For the year ended December 31, 2018, the investment in total return swap contracts had a total notional amount generally indicative of a range from $0 to approximately $15,727,000.

Futures Contracts. A futures contract is an agreement between a buyer or seller and an established futures exchange or its clearinghouse in which the buyer or seller agrees to take or make a delivery of a specific amount of a financial instrument at a specified price on a specific date (settlement date). For the year ended December 31, 2018, the Fund entered into interest rate futures to gain exposure to different parts of the

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yield curve while managing overall duration. The Fund also entered into interest rate futures contracts for non-hedging purposes to seek to enhance potential gains. In addition, the Fund entered into equity index futures as a means of gaining exposure to the equity asset class without investing directly into such asset class and to manage the risk of stock market volatility.

Upon entering into a futures contract, the Fund is required to deposit with a financial intermediary cash or securities (“initial margin”) in an amount equal to a certain percentage of the face value indicated in the futures contract. Subsequent payments (“variation margin”) are made or received by the Fund dependent upon the daily fluctuations in the value and are recorded for financial reporting purposes as unrealized gains or losses by the Fund. Gains or losses are realized when the contract expires or is closed. Since all futures contracts are exchange-traded, counterparty risk is minimized as the exchange’s clearinghouse acts as the counterparty, and guarantees the futures against default.

Certain risks may arise upon entering into futures contracts, including the risk that an illiquid market will limit the Fund’s ability to close out a futures contract prior to the settlement date and the risk that the futures contract is not well correlated with the security, index or currency to which it relates. Risk of loss may exceed amounts disclosed in the Statement of Assets and Liabilities.

A summary of the open futures contracts as of December 31, 2018 is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in futures contracts purchased had a total notional value generally indicative of a range from approximately $22,633,000 to $36,672,000, and the investment in futures contracts sold had a total notional value generally indicative of a range from approximately $24,751,000 to $39,926,000.

Options. An option contract is a contract in which the writer (seller) of the option grants the buyer of the option, upon payment of a premium, the right to purchase from (call option), or sell to (put option), the writer a designated instrument at a specified price within a specified period of time. The Fund may write or purchase interest rate swaption agreements which are options to enter into a pre-defined swap agreement. The interest rate swaption agreement will specify whether the buyer of the swaption will be a fixed-rate receiver or a fixed-rate payer upon exercise. Certain options, including options on indices and interest rate options, will require cash settlement by the Fund if exercised. For the year ended December 31, 2018, the Fund entered into options on interest rate swaps in order to hedge against potential adverse interest rate movements of portfolio assets.

If the Fund writes a covered call option, the Fund foregoes, in exchange for the premium, the opportunity to profit during the option period from an increase in the market value of the underlying security above the exercise price. If the Fund writes a put option it accepts the risk of a decline in the value of the underlying security below the exercise price. Over-the-counter options have the risk of the potential inability of counterparties to meet the terms of their contracts. For exchange traded contracts, the counterparty risk is minimized as the exchange’s clearinghouse acts as the counterparty, and guarantees the futures against default. The Fund’s maximum exposure to purchased options is limited to the premium initially paid. In addition, certain risks may arise upon entering into option contracts including the risk that an illiquid secondary market will limit the Fund’s ability to close out an option contract prior to the expiration date and that a change in the value of the option contract may not correlate exactly with changes in the value of the securities or currencies hedged.

There were no open written or purchased option contracts as of December 31, 2018. For the year ended December 31, 2018, the investment in written option contracts had a total value generally indicative of a range from $0 to approximately $844,000.

Forward Foreign Currency Contracts. A forward foreign currency contract (“forward currency contract”) is a commitment to purchase or sell a foreign currency at the settlement date at a negotiated rate. For the year ended December 31, 2018, the Fund entered into forward currency contracts in order to hedge its exposure to changes in foreign currency exchange rates on its foreign currency denominated portfolio holdings, to facilitate transactions in foreign currency denominated securities and for non-hedging purposes to seek to enhance potential gains.

Forward currency contracts are valued at the prevailing forward exchange rate of the underlying currencies and unrealized gain (loss) is recorded daily. On the settlement date of the forward currency contract, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value of the contract at the time it was closed. Certain risks may arise upon entering into forward currency contracts from the potential inability of counterparties to meet the terms of their contracts. The maximum counterparty credit risk to the Fund is measured by the unrealized gain on

28 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

appreciated contracts. Additionally, when utilizing forward currency contracts to hedge, the Fund gives up the opportunity to profit from favorable exchange rate movements during the term of the contract.

A summary of the open forward currency contracts as of December 31, 2018 is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in forward currency contracts short vs. U.S. dollars had a total contract value generally indicative of a range from approximately $14,346,000 to $31,634,000, and the investment in forward currency contracts long vs. U.S. dollars had a total contract value generally indicative of a range from approximately $3,261,000 to $22,565,000.

The following tables summarize the value of the Fund’s derivative instruments held as of December 31, 2018 and the related location in the accompanying Statement of Assets and Liabilities, presented by primary underlying risk exposure:

Asset Derivatives	Forward Contracts		Swap Contracts		Futures Contracts		Total
Credit Contracts (a)	$	—	$	44,740	$	—	$	44,740
Interest Rate Contracts (a)		—		447,906		363,123		811,029
Foreign Exchange Contracts (b)		161,060		—		—		161,060
	$	161,060	$	492,646	$	363,123	$	1,016,829

Each of the above derivatives is located in the following Statement of Assets and Liabilities accounts:

(a) Includes cumulative appreciation of futures and centrally cleared swap contracts as disclosed in the Investment Portfolio. Unsettled variation margin is disclosed separately within the Statement of Assets and Liabilities.

(b) Unrealized appreciation on forward foreign currency contracts

Liability Derivatives	Forward Contracts			Swap Contracts			Futures Contracts			Total
Equity Contracts (c)	$	—		$	—		$	(242,101	)	$	(242,101	)
Credit Contracts (c)		—			(352,097	)		—			(352,097	)
Interest Rate Contracts (c)		—			(248,949	)		(315,986	)		(564,935	)
Foreign Exchange Contracts (d)		(200,666	)		—			—			(200,666	)
	$	(200,666	)	$	(601,046	)	$	(558,087	)	$	(1,359,799	)

Each of the above derivatives is located in the following Statement of Assets and Liabilities accounts:

(c) Includes cumulative depreciation of futures and centrally cleared swap contracts as disclosed in the Investment Portfolio. Unsettled variation margin is disclosed separately within the Statement of Assets and Liabilities.

(d) Unrealized depreciation on forward foreign currency contracts

Additionally, the amount of unrealized and realized gains and losses on derivative instruments recognized in Fund earnings during the year ended December 31, 2018, and the related location in the accompanying Statement of Operations is summarized in the following tables by primary underlying risk exposure:

Realized Gain (Loss)	Written Options		Forward Contracts		Swap Contracts		Futures Contracts			Total
Equity Contracts (e)	$	—	$	—	$	1,117,765	$	(2,015,444	)	$	(897,679	)
Credit Contracts (e)		—		—		336,162		—			336,162
Interest Rate Contracts (e)		362,589		—		432,467		(788,702	)		6,354
Foreign Exchange Contracts (f)		—		464,627		—		—			464,627
	$	362,589	$	464,627	$	1,886,394	$	(2,804,146	)	$	(90,536	)

Each of the above derivatives is located in the following Statement of Operations accounts:

(e) Net realized gain (loss) from written options, swap contracts and futures, respectively

(f) Net realized gain (loss) from forward foreign currency contracts

Change in Net Unrealized Appreciation (Depreciation)	Forward Contracts		Swap Contracts			Futures Contracts			Total
Equity Contracts (g)	$	—	$	(917,067	)	$	(888,521	)	$	(1,805,588	)
Credit Contracts (g)		—		(452,207	)		—			(452,207	)
Interest Rate Contracts (g)		—		84,630			39,245			123,875
Foreign Exchange Contracts (h)		191,206		—			—			191,206
	$	191,206	$	(1,284,644	)	$	(849,276	)	$	(1,942,714	)

Each of the above derivatives is located in the following Statement of Operations accounts:

(g) Change in net unrealized appreciation (depreciation) on swap contracts and futures, respectively

(h) Change in net unrealized appreciation (depreciation) on forward foreign currency contracts

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As of December 31, 2018, the Fund has transactions subject to enforceable master netting agreements which govern the terms of certain transactions, and reduce the counterparty risk associated with such transactions. Master netting agreements allow a Fund to close out and net total exposure to a counterparty in the event of a deterioration in the credit quality or contractual default with respect to all of the transactions with a counterparty. As defined by the master netting agreement, the Fund may have collateral agreements with certain counterparties to mitigate risk. For financial reporting purposes the Statement of Assets and Liabilities generally shows derivatives assets and liabilities on a gross basis, which reflects the full risks and exposures prior to netting. A reconciliation of the gross amounts on the Statement of Assets and Liabilities to the net amounts by a counterparty, including any collateral exposure, is included in the following tables:

Counterparty	Gross Amounts of Assets Presented in the Statement of Assets and Liabilities		Financial Instruments and Derivatives Available for Offset			Collateral Received		Net Amount of Derivative Assets
Australia and New Zealand Banking Group Ltd.	$	10,752	$	—		$	—	$	10,752
Credit Agricole		143,949		(60,654	)		—		83,295
State Street Bank and Trust		6,359		—			—		6,359
	$	161,060	$	(60,654	)	$	—	$	100,406

Counterparty	Gross Amounts of Liabilities Presented in the Statement of Assets and Liabilities		Financial Instruments and Derivatives Available for Offset			Collateral Pledged		Net Amount of Derivative Liabilities
Credit Agricole	$	60,654	$	(60,654	)	$	—	$	—
JPMorgan Chase Securities, Inc.		8,048		—			—		8,048
Morgan Stanley		117,099		—			—		117,099
Toronto-Dominion Bank		14,865		—			—		14,865
	$	200,666	$	(60,654	)	$	—	$	140,012

C. Purchases and Sales of Securities

During the year ended December 31, 2018, purchases and sales of investment transactions, excluding short-term investments, were as follows:

	Purchases		Sales
Non-U.S. Treasury Obligations	$	84,428,247	$	96,662,567
U.S. Treasury Obligations	$	3,248,315	$	1,699,308

D. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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 subadvisor.

DWS Alternatives Global Limited (formerly Deutsche Alternative Asset Management (Global) Limited), also an indirect, wholly owned subsidiary of DWS Group, serves as subadvisor for the Fund and, as such, provides portfolio manager services to the Fund. Pursuant to a sub-advisory agreement between DIMA and DWS Alternatives Global Limited, DIMA, not the Fund, compensates DWS Alternatives Global Limited for the services it provides to the Fund.

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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:

First $250 million	.370	%
Next $750 million	.345	%
Over $1 billion	.310	%

Accordingly, for the year ended December 31, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annual rate (exclusive of any applicable waiver/reimbursements) of 0.37% of the Fund’s average daily net assets.

For the period from January 1, 2018 through September 30, 2018, the Advisor had contractually agreed to waive its fees and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of Class A shares at 0.69%.

Effective October 1, 2018 through September 30, 2019, the Advisor has contractually agreed to waive its fees and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of Class A shares at 0.73%.

Effective May 1, 2018 (commencement of operations) through September 30, 2019, the Advisor has contractually agreed to waive its fees and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of Class B shares at 0.86%.

For the year ended December 31, 2018, fees waived and/or expenses reimbursed for each class are as follows:

Class A	$	18,264
Class B		19
	$	18,283

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays DIMA 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, 2018, the Administration Fee was $136,700, of which $10,420 is unpaid.

Distribution Service Agreement. DWS Distributors, Inc. (“DDI”), an affiliate of the Advisor, is the Fund’s distributor. In accordance with the Distribution Plan, DDI receives 12b-1 fees of 0.25% of average daily net assets of Class B shares. For the period from May 1, 2018 (commencement of operations) through December 31, 2018, the Distribution Service Fee was as follows:

Distribution Fee	Total Aggregated		Unpaid at December 31, 2018
Class B	$	17	$	2

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018 and for the period from May 1, 2018 (commencement of operations) through December 31, 2018 for Class B shares, the amounts charged to the Fund by DSC were as follows:

Services to Shareholders	Total Aggregated		Unpaid at December 31, 2018
Class A	$	533	$	179
Class B		14		11
	$	547	$	190

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Typesetting and Filing Service Fees. Under an agreement with the Fund, DIMA is compensated for providing certain pre-press and regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $10,630, of which $3,902 unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

Affiliated Cash Management Vehicles. The Fund may invest uninvested cash balances in DWS Central Cash Management Government Fund and DWS ESG Liquidity Fund, affiliated money market funds which are managed by the Advisor. Each affiliated money market fund is managed in accordance with Rule 2a-7 under the 1940 Act, which governs the quality, maturity, diversity and liquidity of instruments in which a money market fund may invest. DWS Central Cash Management Government Fund seeks to maintain a stable net asset value, and DWS ESG Liquidity Fund maintains a floating net asset value. The Fund indirectly bears its proportionate share of the expenses of each affiliated money market fund in which it invests. DWS Central Cash Management Government Fund does not pay the Advisor an investment management fee. To the extent that DWS ESG Liquidity Fund pays an investment management fee to the Advisor, the Advisor will waive an amount of the investment management fee payable to the Advisor by the Fund equal to the amount of the investment management fee payable on the Fund’s assets invested in DWS ESG Liquidity Fund.

Securities Lending Agent Fees. Deutsche Bank AG serves as securities lending agent for the Fund. For the year ended December 31, 2018, the Fund incurred securities lending agent fees to Deutsche Bank AG in the amount of $4,151.

E. Ownership of the Fund

At December 31, 2018, one participating insurance company was owner of record of 10% or more of the total outstanding Class A shares of the Fund, owning 71%.

F. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a $400 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 a rate per annum equal to the sum of the Federal Funds Rate plus 1.25 percent plus if the one-month LIBOR exceeds the Federal Funds Rate, the amount of such excess. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement. The Fund had no outstanding loans at December 31, 2018.

32 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS Global Income Builder VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS Global Income Builder VIP (formerly Deutsche Global Income Builder VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

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Information About Your Fund’s Expenses (Unaudited)

As an investor of the Fund, you incur two types of costs: ongoing expenses and transaction costs. Ongoing expenses include management fees and other Fund expenses. Examples of transaction costs include contract charges, 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, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2018
Actual Fund Return	Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	941.30	$	940.40
Expenses Paid per $1,000*	$	3.47	$	4.21
Hypothetical 5% Fund Return	Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	1,021.63	$	1,020.87
Expenses Paid per $1,000*	$	3.62	$	4.38

* Expenses are equal to the Fund’s annualized expense ratio for each share class, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratio	Class A			Class B
Deutsche DWS Variable Series II — DWS Global Income Builder VIP		.71	%		.86	%

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

34 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

Tax Information (Unaudited)

Pursuant to Section 852 of the Internal Revenue Code, the Fund designates $33,000 as capital gain dividends for its year ended December 31, 2018.

For corporate shareholders, 11% of the ordinary dividends (i.e., income dividends plus short-term capital gains) paid during the Fund’s fiscal year ended December 31, 2018 qualified for the dividends received deduction.

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 contact your insurance provider.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 35

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS Global Income Builder VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) and sub-advisory agreement (the “Sub-Advisory Agreement” and together with the Agreement, the “Agreements”) between DIMA and Deutsche Alternative Asset Management (Global) Limited (now known as DWS Alternatives Global Limited) (“DAAM Global”), an affiliate of DIMA, in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– 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.

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 and DAAM Global are part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 and DAAM Global’s personnel and administrative support services provided by DIMA, such 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 and DAAM Global 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 and the resources made available to such personnel. Throughout the course of the year, the Board also received information regarding DIMA’s oversight of fund sub-advisers, including DAAM Global. The Board reviewed the Fund’s performance over short-term and long-term periods and compared those returns to various agreed-upon

36 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

performance measures, including market index(es) and a peer universe compiled using information supplied by Morningstar Direct (“Morningstar”), an independent fund data service. The Board also noted that it has put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s 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-, three- and five-year periods ended December 31, 2017, the Fund’s performance (Class A shares) was in the 1st quartile of the applicable Morningstar universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund has outperformed its benchmark in the one-, three- and five-year periods ended December 31, 2017.

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, sub-advisory fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were lower than the median (1st quartile) of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). With respect to the sub-advisory fee paid to DAAM Global, the Board noted that the fee is paid by DIMA out of its fee and not directly by the Fund. The Board noted that the Fund’s Class A shares total (net) operating expenses were expected to be lower than the median (2nd quartile) of the applicable Broadridge expense universe (based on Broadridge data provided as of December 31, 2017, and analyzing Broadridge expense universe Class A (net) expenses less any applicable 12b-1 fees). The Board noted that the expense limitations agreed to by DIMA were expected to help the Fund’s total (net) operating expenses remain competitive. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to a comparable DWS U.S. registered fund (“DWS Funds”) and considered differences between the Fund and the comparable DWS Fund. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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 and DAAM Global.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs to DIMA, 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 DIMA and its affiliates with respect to all fund services in totality and by fund. The Board and the Fee Consultant 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 certain publicly available 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 Funds (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 most 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 investment 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 or “fall-out” benefits received by DIMA and its affiliates, including any fees received by DIMA for administrative services provided to the Fund, any fees received by an affiliate of DIMA for transfer agency 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

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 37

brokerage to pay for research generated by parties other than the executing broker dealers, which pertain primarily to funds investing in equity securities. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreements.

38 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International; Public Radio International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago); Life Director of Hubbard Street Dance Chicago		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston); American Documentary, Inc. (public media)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 39

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS

40 | Deutsche DWS Variable Series II — DWS Global Income Builder VIP

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

Deutsche DWS Variable Series II — DWS Global Income Builder VIP | 41

Notes

Notes

VS2GIB-2 (R-025825-8 2/19)

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS Government & Agency Securities VIP

(formerly Deutsche Government & Agency Securities VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
4	Management Summary
6	Portfolio Summary
7	Investment Portfolio
11	Statement of Assets and Liabilities
11	Statement of Operations
12	Statements of Changes in Net Assets
13	Financial Highlights
14	Notes to Financial Statements
22	Report of Independent Registered Public Accounting Firm
23	Information About Your Fund’s Expenses
24	Tax Information
24	Proxy Voting
25	Advisory Agreement Board Considerations and Fee Evaluation
28	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. Bond investments are subject to interest-rate, credit, liquidity and market risks to varying degrees. When interest rates rise, bond prices generally fall. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. The “full faith and credit” guarantee of the US government applies to the timely repayment of interest, and does not eliminate market risk. Because of the rising US government debt burden, it is possible that the US government may not be able to meet its financial obligations or that securities issued by the US government may experience credit downgrades. The Fund may lend securities to approved institutions. See the prospectus for details.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

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

2 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

Performance Summary December 31, 2018 (Unaudited)

Fund 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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns. While all share classes have the same underlying portfolio, their performance will differ.

The gross expense ratios of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 are 0.87% and 1.21% for Class A and Class B shares, respectively, and may differ from the expense ratios disclosed in the Financial Highlights tables in this report.

Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights.

Growth of an Assumed $10,000 Investment in DWS Government & Agency Securities VIP

The Bloomberg Barclays GNMA Index is an unmanaged, market-value-weighted measure of all fixed-rate securities backed by mortgage pools of the Government National Mortgage Association.   Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

Comparative Results
DWS Government & Agency Securities VIP		1-Year	3-Year	5-Year	10-Year
Class A	Growth of $10,000	$10,055	$10,340	$10,885	$13,451
	Average annual total return	0.55%	1.12%	1.71%	3.01%
Bloomberg Barclays GNMA Index	Growth of $10,000	$10,102	$10,451	$11,229	$13,653
	Average annual total return	1.02%	1.48%	2.35%	3.16%
DWS Government & Agency Securities VIP		1-Year	3-Year	5-Year	10-Year
Class B	Growth of $10,000	$10,019	$10,230	$10,698	$13,004
	Average annual total return	0.19%	0.76%	1.36%	2.66%
Bloomberg Barclays GNMA Index	Growth of $10,000	$10,102	$10,451	$11,229	$13,653
	Average annual total return	1.02%	1.48%	2.35%	3.16%

The growth of $10,000 is cumulative.

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 3

Management Summary December 31, 2018 (Unaudited)

During the 12-month period ended December 31, 2018, the Fund provided a total return of 0.55% (Class A shares, unadjusted for contract charges) compared with the 1.02% return of its benchmark, the Bloomberg Barclays GNMA Index.

Against a backdrop of steady growth, strong corporate profits and arguably full employment, the bond markets in 2018 watched closely for any indications of an acceleration in inflation that could lead the U.S. Federal Reserve (the Fed) to push forward its timetable for returning interest rates to more historically normal levels. In early February, Treasury yields moved higher as hiring and wage growth data for January came in above expectations. March saw fears of a global trade war come to the forefront as the Trump administration announced plans to impose tariffs on steel and aluminum as well as on a wide range of imports coming from China. Risk sentiment would soon stabilize, as increasingly robust economic growth and corporate earnings data outweighed concerns over protectionist U.S. trade policy. However, the fourth quarter of 2018 witnessed declining prices for credit-oriented segments of the bond market as slowing growth overseas highlighted the downside risks of a global trade war. Notwithstanding the downturn in sentiment, the Fed continued to tighten monetary policy, raising its benchmark overnight lending rate in mid-December by a quarter point to the 2.25% to 2.50% range, the fourth such hike of 2018.

For the 12 months ended December 31, 2018, yields rose along the length of the U.S. Treasury yield curve and the curve flattened as increases on the front-end were more significant. To illustrate, the two-year Treasury yield went from 1.89% to 2.48% while the 30-year yield went from 2.74% to 3.02%.

As with most other areas of the bond market, GNMA performance was challenged in 2018 as Treasury yields moved higher. Premium coupon pools led performance within GNMAs as shorter duration assets were favored in a rising rate environment. The portfolio maintained an underweight to GNMAs in favor of conventional mortgage-backed securities (MBS) across lower coupons, while overweighting premium coupons within GNMAs as prepayments slowed notably with a crackdown on predatory lending practices by GNMA. As interest rates rose in the first half of 2018, we reduced exposure to super-seasoned high coupon pass-throughs as they outperformed within the GNMA space. In addition, the Fund’s MBS exposure was reduced over the 12 months. The portfolio’s above-benchmark stance with respect to duration was shifted to neutral while incorporating a flattening bias with respect to the yield curve. While we incorporated views on the direction of foreign sovereign interest rates in the portfolio over the 12 months, we currently express all interest rate and yield curve views in U.S. dollar assets. Derivatives were used primarily for hedging interest rate risk, with periodic use to express tactical duration views. For the period, GNMA security selection and off-benchmark exposures added to relative performance, while positioning with respect to interest rates and currencies detracted to a roughly similar degree. The Fund remains positioned with a preference for higher coupons within GNMAs while maintaining an allocation to structured assets such as asset-backed securities and commercial mortgage-backed securities.

Gregory M. Staples, CFA, Managing Director

Scott Agi, CFA, Director

Portfolio Managers

The views expressed 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.

4 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

Terms to Know

The yield curve is a graphical representation of how yields on bonds of different maturities compare. Normally, yield curves slant up, as bonds with longer maturities typically offer higher yields than short-term bonds.

The Bloomberg Barclays GNMA Index tracks the performance of fixed-rate securities backed by mortgage pools of the Government National Mortgage Association (GNMA).

Duration, which is expressed in years, measures the sensitivity of the price of a bond or bond fund to a change in interest rates.

Coupon is the interest rate, expressed as an annual percentage of face value, which a bond issuer promises to pay until maturity.

Overweight means the Fund holds a higher weighting in a given sector or security than the benchmark. Underweight means the Fund holds a lower weighting.

Mortgage-backed securities (MBS) are secured by mortgage debt. Commercial mortgage-backed securities (CMBS) are secured by loans on commercial properties. Asset-backed securities (ABS) are secured by loans, credit or receivables, exclusive of mortgage debt.

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 5

Portfolio Summary (Unaudited)

Asset Allocation (As a % of Net Assets)	12/31/18		12/31/17
Mortgage-Backed Securities Pass-Throughs		82%		80%
Collateralized Mortgage Obligations		10%		22%
Commercial Mortgage-Backed Securities		4%		3%
Asset-Backed		3%		5%
Government & Agency Obligations		4%		16%
Corporate Bonds		—		1%
Cash Equivalents and Other Assets and Liabilities, net		–3%		–27%
		100%		100%
Coupons*	12/31/18		12/31/17
Less than 3.5%		25%		35%
3.5%–4.49%		52%		42%
4.5%–5.49%		17%		15%
5.5%–6.49%		3%		5%
6.5%–7.49%		3%		3%
7.5% and Greater		0%		0%
		100%		100%
Interest Rate Sensitivity	12/31/18		12/31/17
Effective Maturity		8.1 years		9.9 years
Effective Duration		4.7 years		4.0 years

* Excludes Cash Equivalents and U.S. Treasury Bills.

Effective maturity is the weighted average of the maturity date of bonds held by the Fund taking into consideration any available maturity shortening features.

Effective duration is an approximate measure of the Fund’s sensitivity to interest rate changes taking into consideration any maturity shortening features.

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 7.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q or Form N-PORT (available for filings after March 31, 2019). The Fund’s Form N-Q or Form N-PORT will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

6 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

Investment Portfolio December 31, 2018

	Principal Amount ($)		Value ($)
Mortgage-Backed Securities Pass-Throughs 82.0%
Federal Home Loan Mortgage Corp.:
3.0%, with various maturities from 9/1/2047 until 1/1/2049 (a)		2,682,766		2,614,871
4.0%, with various maturities from 1/1/2045 until 12/1/2045		558,814		573,790
Federal National Mortgage Association:
3.0%, with various maturities from 3/1/2047 until 10/1/2047		1,295,757		1,263,738
3.25%, 3/1/2030		900,000		877,155
3.5%, with various maturities from 8/1/2047 until 1/1/2049 (a)		3,152,355		3,153,665
3.64%, 7/1/2030		1,000,000		1,009,399
Government National Mortgage Association:
3.0%, with various maturities from 4/20/2046 until 9/20/2047		2,230,587		2,196,906
3.5%, with various maturities from 4/15/2042 until 2/20/2048		4,888,933		4,934,264
4.0%, with various maturities from 9/20/2040 until 1/23/2049 (a)		7,163,773		7,349,163
4.5%, with various maturities from 4/20/2035 until 8/20/2048		2,748,902		2,861,539
4.55%, 1/15/2041		128,796		134,598
4.625%, 5/15/2041		97,508		101,026
5.0%, with various maturities from 12/15/2032 until 1/1/2049 (a)		1,551,923		1,617,090
5.5%, with various maturities from 1/15/2034 until 6/15/2042		559,741		605,874
6.0%, with various maturities from 5/20/2034 until 1/15/2038		276,815		303,691
6.5%, with various maturities from 9/15/2036 until 2/15/2039		225,643		254,667
7.0%, with various maturities from 2/20/2027 until 2/15/2038		68,974		69,812
7.5%, 10/20/2031		3,131		3,536
Total Mortgage-Backed Securities Pass-Throughs (Cost $30,210,861)				29,924,784
Asset-Backed 3.2%
Automobile Receivables 0.4%
AmeriCredit Automobile Receivables Trust, “A3”, Series 2017-1, 1.87%, 8/18/2021		151,901		150,954
Miscellaneous 2.8%
Carbone CLO Ltd., “A1”, Series 2017-1A, 144A, 3-month USD-LIBOR + 1.140%, 3.609% *, 1/20/2031		380,000		375,263

	Principal Amount ($)		Value ($)
Domino’s Pizza Master Issuer LLC, “A23”, Series 2017-1A, 144A, 4.118%, 7/25/2047		444,375		435,385
NRZ Excess Spread-Collateralized Notes, “B”, Series 2018-PLS1, 144A, 3.588%, 1/25/2023		218,667		217,350
				1,027,998
Total Asset-Backed (Cost $1,194,938)				1,178,952
Collateralized Mortgage Obligations 10.0%
BX Trust, “A”, Series 2018-GW, 144A, 1-month USD-LIBOR + 0.800%, 3.255% *, 5/15/2035		200,000		195,675
Federal Home Loan Mortgage Corp.:
“OA”, Series 3179, Principal Only, Zero Coupon, 7/15/2036		68,966		59,980
“CZ”, Series 4113, 3.0%, 9/15/2042		324,212		301,165
“PI”, Series 3940, Interest Only, 4.0%, 2/15/2041		248,618		35,089
“C1”, Series 329, Interest Only, 4.0%, 12/15/2041		725,915		140,102
“UA”, Series 4298, 4.0%, 2/15/2054		53,835		55,578
“C32”, Series 303, Interest Only, 4.5%, 12/15/2042		740,995		159,985
“C28”, Series 303, Interest Only, 4.5%, 1/15/2043		874,035		199,001
“MI”, Series 3871, Interest Only, 6.0%, 4/15/2040		28,978		1,611
“IJ”, Series 4472, Interest Only, 6.0%, 11/15/2043		285,220		69,270
“A”, Series 172, Interest Only, 6.5%, 1/1/2024		5,518		644
“C22”, Series 324, Interest Only, 6.5%, 4/15/2039		408,502		105,754
Federal National Mortgage Association:
“Z”, Series 2013-44, 3.0%, 5/25/2043		99,375		94,800
‘‘IO”, Series 2012-146, Interest Only, 3.5%, 1/25/2043		967,492		192,595
“4”, Series 406, Interest Only, 4.0%, 9/25/2040		186,198		38,705
“IO”, Series 2016-26, Interest Only, 5.0%, 5/25/2046		797,816		153,905
“UI”, Series 2010-126, Interest Only, 5.5%, 10/25/2040		308,331		62,088
“IO”, Series 2014-70, Interest Only, 5.5%, 10/25/2044		419,804		92,269
“BI”, Series 2015-97, Interest Only, 5.5%, 1/25/2046		349,308		79,712
“WI”, Series 2011-59, Interest Only, 6.0%, 5/25/2040		34,011		944
“YT”, Series 2013-35, 6.5%, 9/25/2032		460,305		521,507
Government National Mortgage Association:
“JI”, Series 2013-10, Interest Only, 3.5%, 1/20/2043		464,479		98,332
“ID”, Series 2013-70, Interest Only, 3.5%, 5/20/2043		212,315		41,515

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

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 7

	Principal Amount ($)		Value ($)
“IP”, Series 2015-50, Interest Only, 4.0%, 9/20/2040		686,789		56,790
“PI”, Series 2015-40, Interest Only, 4.0%, 4/20/2044		208,577		28,742
“PI”, Series 2014-108, Interest Only, 4.5%, 12/20/2039		175,011		30,732
“IP”, Series 2014-115, Interest Only, 4.5%, 2/20/2044		119,539		20,432
“GZ”, Series 2005-24, 5.0%, 3/20/2035		665,276		751,225
“IA”, Series 2012-64, Interest Only, 5.5%, 5/16/2042		169,697		36,403
“DI”, Series 2009-10, Interest Only, 6.0%, 4/16/2038		98,072		13,215
“IP”, Series 2009-118, Interest Only, 6.5%, 12/16/2039		29,225		7,763
“IC”, Series 1997-4, Interest Only, 7.5%, 3/16/2027		230,324		1,667
Total Collateralized Mortgage Obligations (Cost $3,455,991)				3,647,195
Commercial Mortgage-Backed Securities 4.0%
Atrium Hotel Portfolio Trust, “A”, Series 2018-ATRM, 144A, 1-month USD-LIBOR + 0.95%, 3.405%*, 6/15/2035		427,500		425,043
CHT Mortgage Trust, “A”, Series 2017-CSMO,144A, 1-month USD-LIBOR + 0.930%, 3.385%*, 11/15/2036		400,000		395,125
DBGS Mortgage Trust, “A”, Series 2018-5BP,144A, 1-month USD-LIBOR + 0.645%, 3.1%*, 6/15/2033		450,000		443,339
FHLMC Multifamily Structured Pass-Through Securities, “X1”, Series K055, Interest Only, 1.366%*, 3/25/2026		2,468,959		202,478
Total Commercial Mortgage-Backed Securities (Cost $1,476,032)				1,465,985

	Principal Amount ($)			Value ($)
Government & Agency Obligation 1.9%
U.S. Treasury Obligation
U.S. Treasury Inflation Indexed Note, 0.625%, 4/15/2023 (Cost $699,650)		712,621			700,781
Short-Term U.S. Treasury Obligations 2.4%
U.S. Treasury Bills:
2.36%**, 8/15/2019 (b)		380,000			374,024
2.582%**, 10/10/2019 (c)		500,000			490,170
Total Short-Term U.S. Treasury Obligations (Cost $864,257)					864,194
	Shares			Value ($)
Cash Equivalents 19.9%
DWS Central Cash Management Government Fund, 2.41% (d)		3,485,215			3,485,215
DWS ESG Liquidity Fund “Capital Shares”, 2.66% (d)		3,784,362			3,784,362
Total Cash Equivalents (Cost $7,269,198)					7,269,577
	% of Net Assets			Value ($)
Total Investment Portfolio (Cost $45,170,927)		123.4			45,051,468
Other Assets and Liabilities, Net		(23.4	)		(8,535,061	)
Net Assets		100.0			36,516,407

A summary of the Fund’s transactions with affiliated investments during the year ended December 31, 2018 are as follows:

Value ($) at 12/31/2017	Purchases Cost ($)			Sales Proceeds ($)		Net Realized Gain/ (Loss) ($)			Net Change in Unrealized Appreciation (Depreciation) ($)		Income ($)		Capital Gain Distributions ($)		Number of Shares at 12/31/2018		Value ($) at 12/31/2018
Securities Lending Collateral —%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares” (d) (e)
—		0	(f)		—		—			—		383		—		—		—
Cash Equivalents 19.9%
DWS Central Cash Management Government Fund, 2.41% (d)
10,252		40,586,819			37,111,856		—			—		63,199		—		3,485,215		3,485,215
DWS ESG Liquidity Fund “Capital Shares”, 2.66% (d)
—		6,584,116			2,800,000		(133	)		379		91,449		—		3,784,362		3,784,362
10,252		47,170,935			39,911,856		(133	)		379		155,031		—		7,269,577		7,269,577

* Variable or floating rate security. These securities are shown at their current rate as of December 31, 2018. For securities based on a published reference rate and spread, the reference rate and spread are indicated within the description above. Certain variable rate securities are not based on a published reference rate and spread but adjust periodically based on current market conditions, prepayment of underlying positions and/or other variables.

** Annualized yield at time of purchase; not a coupon rate.

(a) When-issued, delayed delivery or forward commitment securities included.

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

8 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

(b) At December 31, 2018, this security has been pledged, in whole or in part, to cover initial margin requirements for open futures contracts.

(c) At December 31, 2018, this security has been pledged, in whole or in part, as collateral for open centrally cleared swap contracts.

(d) Affiliated fund managed by DWS Investment Management Americas, Inc. The rate shown is the annualized seven-day yield at period end.

(e) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates.

(f) Represents the net increase (purchase cost) or decrease (sales proceeds) in the amount invested for the year ended December 31, 2018.

144A: Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.

CLO: Collateralized Loan Obligation

Interest Only: Interest Only (IO) bonds represent the “interest only” portion of payments on a pool of underlying mortgages or mortgage-backed securities. IO securities are subject to prepayment risk of the pool of underlying mortgages.

LIBOR: London Interbank Offered Rate

Principal Only: Principal Only (PO) bonds represent the “principal only” portion of payments on a pool of underlying mortgages or mortgage-backed securities.

Included in the portfolio are investments in mortgage or asset-backed securities which are interests in separate pools of mortgages or assets. Effective maturities of these investments may be shorter than stated maturities due to prepayments. Some separate investments in the Federal Home Loan Mortgage Corp., Federal National Mortgage Association and Government National Mortgage Association issues which have similar coupon rates have been aggregated for presentation purposes in this investment portfolio.

At December 31, 2018, open futures contracts purchased were as follows:

Futures

Currency

Expiration Date

Contracts

Notional Amount ($)

Notional Value ($)

Unrealized Appreciation ($)

10 Year U.S. Treasury Note

USD

3/20/2019

42

5,015,179

5,124,656

109,477

U.S. Treasury Long Bond

USD

3/20/2019

8

1,129,516

1,168,000

38,484

Total unrealized appreciation

147,961

At December 31, 2018, open futures contracts sold were as follows:

Futures

Currency

Expiration Date

Contracts

Notional Amount ($)

Notional Value ($)

Unrealized (Depreciation) ($)

5 Year U.S. Treasury Note

USD

3/29/2019

16

1,803,593

1,835,000

(31,407

)

At December 31, 2018, open interest rate swap contracts were as follows:

Centrally Cleared Swaps
Cash Flows Paid by the Fund/Frequency	Cash Flows Received by the Fund/ Frequency	Effective/ Expiration Date	Notional Amount ($)		Currency	Upfront Payments Paid/ (Received) ($)			Value ($)			Unrealized Appreciation/ (Depreciation) ($)
Floating — 3-Month LIBOR Quarterly	Fixed — 2.25% Semi-Annually	3/21/2018 3/21/2028		400,000	USD		(17,004	)		(12,661	)		4,343
Fixed — 3.06% Semi-Annually	Floating — 3-Month LIBOR Quarterly	9/17/2018 6/17/2030		1,600,000	USD		—			(49,394	)		(49,394	)
Fixed — 3.125% Semi-Annually	Floating — 3-Month LIBOR Quarterly	10/9/2018 10/9/2021		1,300,000	USD		—			(20,156	)		(20,156	)
Fixed — 2.2239% Semi-Annually	Floating — 3-Month LIBOR Quarterly	3/21/2018 3/21/2023		900,000	USD		—			7,264			7,264
Fixed — 2.45% Semi-Annually	Floating — 3-Month LIBOR Quarterly	12/20/2017 12/20/2032		500,000	USD		—			21,825			21,825
Total net unrealized depreciation													(36,118	)

LIBOR: London Interbank Offered Rate; 3-Month LIBOR rate at December 31, 2018 is 2.808%.

At December 31, 2018, open total return swap contracts were as follows:

Bilateral Swaps

Pay/Receive Return of the Reference Index

Fixed Cash Flows Received Frequency

Counterparty/ Expiration Date

Notional Amount

Currency

Upfront Payments Paid ($)

Value ($)

Unrealized Depreciation ($)

Long Position

Markit IOS INDEX FN30.400.10

4.0%/Monthly

Goldman Sachs & Co. 1/12/2041

347,603

USD

—

(3,136)

(3,136)

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

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 9

As of December 31, 2018, the Fund had the following open forward foreign currency contracts:

Contracts to Deliver		In Exchange For			Settlement Date		Unrealized Appreciation ($)		Counterparty
NOK	6,505,000		USD	785,490		1/29/2019		32,093		Danske Bank AS

Contracts to Deliver		In Exchange For			Settlement Date		Unrealized Depreciation ($)			Counterparty
USD	780,187		NOK	6,505,000		1/29/2019		(26,789	)		Danske Bank AS

Currency Abbreviations

NOK Norwegian Krone

USD United States Dollar

For information on the Fund’s policy and additional disclosures regarding futures contracts, interest rate swap contracts, total return swap contracts and forward foreign currency contracts, please refer to the Derivatives section of Note B in the accompanying Notes to Financial Statements.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1			Level 2			Level 3		Total
Fixed Income Investments (f)
Mortgage-Backed Securities Pass-Throughs	$	—		$	29,924,784		$	—	$	29,924,784
Asset-Backed		—			1,178,952			—		1,178,952
Collateralized Mortgage Obligations		—			3,647,195			—		3,647,195
Commercial Mortgage-Backed Securities		—			1,465,985			—		1,465,985
Government & Agency Obligation		—			700,781			—		700,781
Short-Term U.S. Treasury Obligations		—			864,194			—		864,194
Short-Term Investments		7,269,577			—			—		7,269,577
Derivatives (g)
Futures Contracts		147,961			—			—		147,961
Interest Rate Swap Contracts		—			33,432			—		33,432
Forward Foreign Currency Contracts		—			32,093			—		32,093
Total	$	7,417,538		$	37,847,416		$	—	$	45,264,954
Liabilities	Level 1			Level 2			Level 3		Total
Derivatives (g)
Futures Contracts	$	(31,407	)	$	—		$	—	$	(31,407	)
Interest Rate Swap Contracts		—			(69,550	)		—		(69,550	)
Total Return Swap Contracts		—			(3,136	)		—		(3,136	)
Forward Foreign Currency Contracts		—			(26,789	)		—		(26,789	)
Total	$	(31,407	)	$	(99,475	)	$	—	$	(130,882	)

(f) See Investment Portfolio for additional detailed categorizations.

(g) Derivatives include unrealized appreciation (depreciation) on open futures contracts, interest rate swap contracts, total return swap contract and forward foreign currency contracts.

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

10 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

Statement of Assets and Liabilities

As of December 31, 2018
Assets
Investments in non-affiliated securities, at value (cost $37,901,729)	$	37,781,891
Investment in affiliated securities, at value (cost $7,269,198)		7,269,577
Foreign currency, at value (cost $63,827)		64,193
Receivable for investments sold — forward commitments		4,056,686
Receivable for Fund shares sold		2,085
Interest receivable		149,573
Receivable for variation margin on futures contracts		16,134
Unrealized appreciation on forward foreign currency contracts		32,093
Other assets		1,278
Total assets		49,373,510
Liabilities
Cash overdraft		1,686
Payable for investments purchased — forward commitments		11,134,458
Payable for investments purchased		1,493,555
Payable for Fund shares redeemed		62,974
Payable for variation margin on centrally cleared swaps		9,217
Unrealized depreciation on bilateral swap contracts		3,136
Unrealized depreciation on forward foreign currency contracts		26,789
Accrued management fee		4,491
Accrued Trustees’ fees		1,181
Other accrued expenses and payables		119,616
Total liabilities		12,857,103
Net assets, at value	$	36,516,407
Net Assets Consist of
Distributable earnings (loss)		378,572
Paid-in capital		36,137,835
Net assets, at value	$	36,516,407
Net Asset Value
Class A
Net Asset Value, offering and redemption price per share ($34,908,720 ÷ 3,199,776 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	10.91
Class B
Net Asset Value, offering and redemption price per share ($1,607,687 ÷ 147,546 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	10.90

Statement of Operations

For the year ended December 31, 2018
Investment Income
Income:
Interest	$	1,072,600
Income distributions from affiliated securities		154,648
Securities lending income, net of borrower rebates		383
Total income		1,227,631
Expenses:
Management fee		176,733
Administration fee		39,274
Services to Shareholders		634
Record keeping fee (Class B)		1,591
Distribution service fees (Class B)		4,219
Custodian fee		20,201
Professional fees		85,037
Reports to shareholders		24,693
Trustees’ fees and expenses		3,492
Other		16,621
Total expenses before expense reductions		372,495
Expense reductions		(149,164	)
Total expenses after expense reductions		223,331
Net investment income		1,004,300
Realized and Unrealized Gain/(Loss)
Net realized gain (loss) from:
Non-Affiliated investments		(708,805	)
Affiliated investments		(133	)
Swap contracts		242,527
Futures		(109,713	)
Forward foreign currency contracts		50,079
Foreign currency		34,091
Payments by affiliates (see Note G)		2,209
		(489,745	)
Change in net unrealized appreciation (depreciation) on:
Non-Affiliated investments		(373,928	)
Affiliated investments		379
Swap contracts		(82,037	)
Futures		82,518
Forward foreign currency contracts		(18,419	)
Foreign currency		134
		(391,353	)
Net gain (loss)		(881,098	)
Net increase (decrease) in net assets resulting from operations	$	123,202

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

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 11

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income	$	1,004,300		$	988,088
Net realized gain (loss)		(489,745	)		851,798
Change in net unrealized appreciation (depreciation)		(391,353	)		(979,021	)
Net increase (decrease) in net assets resulting from operations		123,202			860,865
Distributions to shareholders
Class A		(1,045,563	)		(1,241,081	)
Class B		(40,012	)		(46,826	)
Total distributions		(1,085,575	)		(1,287,907	)*
Fund share transactions:
Class A
Proceeds from shares sold		2,638,856			3,259,096
Reinvestment of distributions		1,045,563			1,241,081
Payments for shares redeemed		(8,226,521	)		(15,457,312	)
Net increase (decrease) in net assets from Class A share transactions		(4,542,102	)		(10,957,135	)
Class B
Proceeds from shares sold		54,842			67,053
Reinvestment of distributions		40,012			46,826
Payments for shares redeemed		(296,226	)		(642,815	)
Net increase (decrease) in net assets from Class B share transactions		(201,372	)		(528,936	)
Increase (decrease) in net assets		(5,705,847	)		(11,913,113	)
Net assets at beginning of period		42,222,254			54,135,367
Net assets at end of period	$	36,516,407		$	42,222,254	**
Other Information
Class A
Shares outstanding at beginning of period		3,619,812			4,598,638
Shares sold		242,507			291,446
Shares issued to shareholders in reinvestment of distributions		97,716			112,315
Shares redeemed		(760,259	)		(1,382,587	)
Net increase (decrease) in Class A shares		(420,036	)		(978,826	)
Shares outstanding at end of period		3,199,776			3,619,812
Class B
Shares outstanding at beginning of period		165,975			213,112
Shares sold		5,073			6,013
Shares issued to shareholders in reinvestment of distributions		3,736			4,234
Shares redeemed		(27,238	)		(57,384	)
Net increase (decrease) in Class B shares		(18,429	)		(47,137	)
Shares outstanding at end of period		147,546			165,975

* Includes distributions from net investment income.

** Includes undistributed net investment income of $1,051,322.

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

12 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	11.15		$	11.25		$	11.48		$	11.80		$	11.47
Income (loss) from investment operations:
Net investment incomea		.28			.23			.25			.27			.29
Net realized and unrealized gain (loss)		(.22	)		(.04	)		(.13	)		(.26	)		.31
Total from investment operations		.06			.19			.12			.01			.60
Less distributions from:
Net investment income		(.30	)		(.29	)		(.35	)		(.33	)		(.27	)
Net asset value, end of period	$	10.91		$	11.15		$	11.25		$	11.48		$	11.80
Total Return (%)b		.55			1.67			1.06			.06			5.29
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		35			40			52			66			87
Ratio of expenses before expense reductions (%)c		.93			.87			.86			.74			.72
Ratio of expenses after expense reductions (%)c		.55			.61			.58			.68			.70
Ratio of net investment income (%)		2.58			2.03			2.22			2.33			2.49
Portfolio turnover rate (%)		448			588			521			376			393

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

	Years Ended December 31,
Class B	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	11.14		$	11.24		$	11.46		$	11.79		$	11.46
Income (loss) from investment operations:
Net investment incomea		.24			.19			.21			.23			.25
Net realized and unrealized gain (loss)		(.22	)		(.04	)		(.12	)		(.27	)		.31
Total from investment operations		.02			.15			.09			(.04	)		.56
Less distributions from:
Net investment income		(.26	)		(.25	)		(.31	)		(.29	)		(.23	)
Net asset value, end of period	$	10.90		$	11.14		$	11.24		$	11.46		$	11.79
Total Return (%)b		.19			1.31			.79			(.36	)		4.95
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		2			2			2			3			3
Ratio of expenses before expense reductions (%)c		1.28			1.21			1.21			1.09			1.06
Ratio of expenses after expense reductions (%)c		.90			.95			.93			1.03			1.03
Ratio of net investment income (%)		2.23			1.69			1.88			1.99			2.16
Portfolio turnover rate (%)		448			588			521			376			393

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

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

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 13

Notes to Financial Statements

A. Organization and Significant Accounting Policies

DWS Government & Agency Securities VIP (formerly Deutsche Government & Agency Securities VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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.

Multiple Classes of Shares of Beneficial Interest. The Fund offers two classes of shares (Class A shares and Class B shares). Sales of Class B shares are subject to recordkeeping fees up to 0.15% and Rule 12b-1 fees under the 1940 Act equal to an annual rate of 0.25% of the average daily net assets of the Class B shares of the Fund. Class A shares are not subject to such fees.

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 (including the applicable Rule 12b-1 fee and recordkeeping fees). Differences in class-level expenses may result in payment of different per share dividends by class. All shares 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 (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

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.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

Debt securities are valued at prices supplied by independent pricing services approved by the Fund’s Board. 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, prepayment speeds and other data, as well as broker quotes. If the pricing services are unable to provide valuations, debt securities are valued at the average of the most recent reliable bid quotations or evaluated prices, as applicable, obtained from broker-dealers. These securities are generally categorized as Level 2.

Investments in open-end investment companies are valued at their net asset value each business day and are categorized as Level 1.

Futures contracts are generally valued at the settlement prices established each day on the exchange on which they are traded and are categorized as Level 1.

Forward currency contracts are valued at the prevailing forward exchange rate of the underlying currencies and are categorized as Level 2.

Swap contracts are valued daily based upon prices supplied by a Board approved pricing vendor, if available, and otherwise are valued at the price provided by the broker-dealer. Swap contracts are generally categorized as Level 2.

14 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

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 Board and are generally categorized as Level 3. In accordance with the Fund’s valuation procedures, factors considered in determining value may include, but are not limited to, the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security’s disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer, analysts, and/or the appropriate stock exchange (for exchange-traded securities); an analysis of the company’s or issuer’s financial statements; an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold; and with respect to debt securities, the maturity, coupon, creditworthiness, currency denomination and the movement of the market in which the security is normally traded. The value determined under these procedures may differ from published values for the same securities.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Investment securities and other assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the prevailing exchange rates at period end. Purchases and sales of investment securities, income and expenses are translated into U.S. 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 acquisition and disposition of foreign currencies, and the difference between the amount of net investment income accrued and the U.S. dollar amount actually received. The 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. Deutsche Bank AG, as lending agent, lends securities of the Fund to certain financial institutions under the terms of its securities lending agreement. During the term of the loans, the Fund continues to receive interest and dividends generated by the 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 either cash or 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 agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the securities lending agreement. During the year ended December 31, 2018, the Fund invested the cash collateral into a joint trading account in affiliated money market funds, including DWS Government & Agency Securities Portfolio, managed by DWS Investment Management Americas, Inc. DWS Investment Management Americas, Inc. receives a management/administration fee (0.12% annualized effective rate as of December 31, 2018) on the cash collateral invested in DWS Government & Agency Securities Portfolio. 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 at any time, and the borrower, after notice, is required to return borrowed securities within a standard time period. 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. If the Fund is not able to recover securities lent, the Fund may sell the collateral and purchase a replacement investment in the market, incurring the risk that the value of the replacement security is greater than the value of the collateral. 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.

As of December 31, 2018, the Fund had no securities on loan.

Forward Commitments. The Fund may purchase or sell securities on a when-issued, delayed delivery or forward commitment basis with delivery or payment to occur at a later date beyond the normal settlement period. At the time the Fund enters into a commitment to purchase or sell a security, the transaction is recorded and the value of the transaction is reflected in the net asset value. The price of such security and the date when the security will be delivered and paid for are fixed at the time the transaction is negotiated. The Fund may sell the forward commitment security before the settlement date or enter into a new commitment to extend the delivery date into the future. The value of the security may vary with market fluctuations. At the time the Fund enters into a purchase transaction it is required to segregate cash or other

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 15

liquid assets at least equal to the amount of the commitment. Additionally, the Fund or the counterparty may be required to post securities and/or cash collateral in accordance with the terms of the commitment.

Certain risks may arise upon entering into when-issued, delayed delivery or forward commitment transactions from the potential inability of counterparties to meet the terms of their contracts or if the issuer does not issue the securities due to political, economic or other factors. Such transactions may also have the effect of leverage on the Fund and may cause the Fund to be more volatile. Additionally, losses may arise due to changes in the value of the underlying securities.

Federal Income 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.

At December 31, 2018, the Fund had a net tax basis capital loss carryforward of approximately $431,000, which may be applied against realized net taxable capital gains indefinitely, including short-term losses ($329,000) and long-term losses ($102,000).

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investment income of the Fund, if any, are 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 Fund may also make additional distributions for tax purposes if necessary.

The timing and characterization of certain income and capital gain 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 futures contracts, investments in swap contracts, forward currency contracts 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, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income*	$	954,354
Capital loss carryforward	$	(431,000	)
Unrealized appreciation (depreciation) on investments	$	(173,747	)

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $45,177,145. The net unrealized depreciation for all investments based on tax cost was $173,747. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $585,685 and aggregate gross unrealized depreciation for all investments in which there was an excess of tax cost over value of $759,432.

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

	Years Ended December 31,
	2018		2017
Distributions from ordinary income*	$	1,085,575	$	1,287,907

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

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 based upon the relative net assets or other appropriate measures.

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.

Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment transactions are reported on trade date. Interest income is recorded on the accrual basis. Realized gains and losses from investment transactions are recorded on an identified cost basis. All discounts and premiums are accreted/amortized for both tax and financial reporting purposes for the Fund.

16 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

B. Derivative Instruments

Swaps. A swap is a contract between two parties to exchange future cash flows at periodic intervals based on the notional amount of the swap. A bilateral swap is a transaction between the Fund and a counterparty where cash flows are exchanged between the two parties. A centrally cleared swap is a transaction executed between the Fund and a counterparty, then cleared by a clearing member through a central clearinghouse. The central clearinghouse serves as the counterparty, with whom the Fund exchanges cash flows.

The value of a swap is adjusted daily, and the change in value, if any, is recorded as unrealized appreciation or depreciation in the Statement of Assets and Liabilities. Gains or losses are realized when the swap expires or is closed. Certain risks may arise when entering into swap transactions including counterparty default; liquidity; or unfavorable changes in interest rates or the value of the underlying reference security, commodity or index. In connection with bilateral swaps, securities and/or cash may be identified as collateral in accordance with the terms of the swap agreement to provide assets of value and recourse in the event of default. The maximum counterparty credit risk is the net present value of the cash flows to be received from or paid to the counterparty over the term of the swap, to the extent that this amount is beneficial to the Fund, in addition to any related collateral posted to the counterparty by the Fund. This risk may be partially reduced by a master netting arrangement between the Fund and the counterparty. Upon entering into a centrally cleared swap, the Fund is required to deposit with a financial intermediary cash or securities (“initial margin”) in an amount equal to a certain percentage of the notional amount of the swap. Subsequent payments (“variation margin”) are made or received by the Fund dependent upon the daily fluctuations in the value of the swap. In a cleared swap transaction, counterparty risk is minimized as the central clearinghouse acts as the counterparty.

An upfront payment, if any, made by the Fund is recorded as an asset in the Statement of Assets and Liabilities. An upfront payment, if any, received by the Fund is recorded as a liability in the Statement of Assets and Liabilities. Payments received or made at the end of the measurement period are recorded as realized gain or loss in the Statement of Operations.

Total Return Swap Contracts. Total return swaps involve commitments to pay interest in exchange for a market-linked return based on a notional amount. One counterparty pays out the total return of the reference security or index underlying the total return swap, and in return receives a fixed or variable rate. As a receiver, the Fund would receive payments based on any positive total return and would owe payments in the event of a negative total return. As the payer, the Fund would owe payments on any net positive total return, and would receive payments in the event of a negative total return. For the year ended December 31, 2018, the Fund entered into total return swap transactions as a means of gaining exposure to a particular asset class without investing directly in such asset class.

A summary of the open total return swap contracts as of December 31, 2018 is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in total return swap contracts had a total notional amount generally indicative of a range from $348,000 to $402,000.

Interest Rate Swaps. Interest rate swaps are agreements in which the Fund agrees to pay to the counterparty a fixed rate payment in exchange for the counterparty agreeing to pay to the Fund a variable rate payment, or the Fund agrees to receive from the counterparty a fixed rate payment in exchange for the counterparty agreeing to receive from the Fund a variable rate payment. The payment obligations are based on the notional amount of the swap. For the year ended December 31, 2018, the Fund entered into interest rate swap agreements to gain exposure to different parts of the yield curve while managing overall duration and for non-hedging purposes to seek to enhance potential gains.

A summary of the open interest rate swap contracts as of December 31, 2018 is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in interest rate swap contracts had a total USD equivalent notional amount generally indicative of a range from $2,700,000 to $12,898,000.

Futures Contracts. A futures contract is an agreement between a buyer or seller and an established futures exchange or its clearinghouse in which the buyer or seller agrees to take or make a delivery of a specific amount of a financial instrument at a specified price on a specific date (settlement date). For the year ended December 31, 2018, the Fund entered into interest rate futures to gain exposure to different parts of the yield curve while managing overall duration and for non-hedging purposes to seek to enhance potential gains.

Upon entering into a futures contract, the Fund is required to deposit with a financial intermediary cash or securities (“initial margin”) in an amount equal to a certain percentage of the face value indicated in the futures contract. Subsequent payments (“variation margin”) are made or received by the Fund dependent

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 17

upon the daily fluctuations in the value and are recorded for financial reporting purposes as unrealized gains or losses by the Fund. Gains or losses are realized when the contract expires or is closed. Since all futures contracts are exchange-traded, counterparty risk is minimized as the exchange’s clearinghouse acts as the counterparty, and guarantees the futures against default.

Certain risks may arise upon entering into futures contracts, including the risk that an illiquid market will limit the Fund’s ability to close out a futures contract prior to the settlement date and the risk that the futures contract is not well correlated with the security, index or currency to which it relates. Risk of loss may exceed amounts disclosed in the Statement of Assets and Liabilities.

A summary of the open futures contracts as of December 31, 2018, is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in futures contracts purchased had a total notional value generally indicative of a range from approximately $2,509,000 to $6,293,000 and the investment in futures contracts sold had a total notional value generally indicative of a range from approximately $949,000 to $3,993,000.

Forward Foreign Currency Contracts. A forward foreign currency contract (“forward currency contract”) is a commitment to purchase or sell a foreign currency at the settlement date at a negotiated rate. For the year ended December 31, 2018, the Fund entered into forward currency contracts in order to hedge its exposure to changes in foreign currency exchange rates on its foreign currency denominated portfolio holdings and for non-hedging purposes to seek to enhance potential gains.

Forward currency contracts are valued at the prevailing forward exchange rate of the underlying currencies and unrealized gain (loss) is recorded daily. On the settlement date of the forward currency contract, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value of the contract at the time it was closed. Certain risks may arise upon entering into forward currency contracts from the potential inability of counterparties to meet the terms of their contracts. The maximum counterparty credit risk to the Fund is measured by the unrealized gain on appreciated contracts. Additionally, when utilizing forward currency contracts to hedge, the Fund gives up the opportunity to profit from favorable exchange rate movements during the term of the contract.

A summary of the open forward currency contracts as of December 31, 2018 is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in forward currency contracts short vs. U.S. dollars had a total contract value generally indicative of a range from approximately $785,000 to $2,905,000 and the investment in forward currency contracts long vs. U.S. dollars had a total contract value generally indicative of a range from approximately $0 to $2,243,000.

The following tables summarize the value of the Fund’s derivative instruments held as of December 31, 2018 and the related location in the accompanying Statement of Assets and Liabilities, presented by primary underlying risk exposure:

Asset Derivatives	Forward Contracts		Swap Contracts		Futures Contracts		Total
Interest Rate Contracts (a)	$	—	$	33,432	$	147,961	$	181,393
Foreign Exchange Contracts (b)		32,093		—		—		32,093
	$	32,093	$	33,432	$	147,961	$	213,486

Each of the above derivatives is located in the following Statement of Assets and Liabilities accounts:

(a) Includes cumulative appreciation of swap contracts and futures as disclosed in the Investment Portfolio. Unsettled variation margin is disclosed separately within the Statement of Assets and Liabilities.

(b) Unrealized appreciation on forward foreign currency contracts

Liability Derivatives	Forward Contracts			Swap Contracts			Futures Contracts			Total
Interest Rate Contracts (c) (d)	$	—		$	(72,686	)	$	(31,407	)	$	(104,093	)
Foreign Exchange Contracts (e)		(26,789	)		—			—			(26,789	)
	$	(26,789	)	$	(72,686	)	$	(31,407	)	$	(130,882	)

Each of the above derivatives is located in the following Statement of Assets and Liabilities accounts:

(c) Includes cumulative depreciation of swap contracts and futures as disclosed in the Investment Portfolio. Unsettled variation margin is disclosed separately within the Statement of Assets and Liabilities.

(d) Unrealized depreciation on bilateral swap contracts

(e) Unrealized depreciation on forward foreign currency contracts

18 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

Additionally, the amount of unrealized and realized gains and losses on derivative instruments recognized in Fund earnings during the year ended December 31, 2018 and the related location in the accompanying Statement of Operations is summarized in the following tables by primary underlying risk exposure:

Realized Gain (Loss)	Forward Contracts		Swap Contracts		Futures Contracts			Total
Interest Rate Contracts (f)	$	—	$	242,527	$	(109,713	)	$	132,814
Foreign Exchange Contracts (g)		50,079		—		—			50,079
	$	50,079	$	242,527	$	(109,713	)	$	182,893

Each of the above derivatives is located in the following Statement of Operations accounts:

(f) Net realized gain (loss) on swap contracts and futures, respectively

(g) Net realized gain (loss) from forward foreign currency contracts

Change in Net Unrealized Appreciation (Depreciation)	Forward Contracts			Swap Contracts			Futures Contracts		Total
Interest Rate Contracts (h)	$	—		$	(82,037	)	$	82,518	$	481
Foreign Exchange Contracts (i)		(18,419	)		—			—		(18,419	)
	$	(18,419	)	$	(82,037	)	$	82,518	$	(17,938	)

Each of the above derivatives is located in the following Statement of Operations accounts:

(h) Change in net unrealized appreciation (depreciation) from swap contracts and futures, respectively

(i) Change in net unrealized appreciation (depreciation) on forward foreign currency contracts

As of December 31, 2018, the Fund has transactions subject to enforceable master netting agreements which govern the terms of certain transactions, and reduce the counterparty risk associated with such transactions. Master netting agreements allow a Fund to close out and net total exposure to a counterparty in the event of a deterioration in the credit quality or contractual default with respect to all of the transactions with a counterparty. As defined by the master netting agreement, the Fund may have collateral agreements with certain counterparties to mitigate risk. For financial reporting purposes the Statement of Assets and Liabilities generally shows derivatives assets and liabilities on a gross basis, which reflects the full risks and exposures prior to netting. A reconciliation of the gross amounts on the Statement of Assets and Liabilities to the net amounts by a counterparty, including any collateral exposure, is included in the following tables:

Counterparty	Gross Amounts of Assets Presented in the Statement of Assets and Liabilities		Financial Instruments and Derivatives Available for Offset			Collateral Received		Net Amount of Derivative Assets
Danske Bank AS	$	32,093	$	(26,789	)	$	—	$	5,304

Counterparty	Gross Amounts of Liabilities Presented in the Statement of Assets and Liabilities		Financial Instruments and Derivatives Available for Offset			Collateral Pledged		Net Amount of Derivative Liabilities
Danske Bank AS	$	26,789	$	(26,789	)	$	—	$	—
Goldman Sachs & Co.		3,136		—			—		3,136
	$	29,925	$	(26,789	)	$	—	$	3,136

C. Purchases and Sales of Securities

During the year ended December 31, 2018, purchases and sales of investment securities, excluding short-term investments, were as follows:

	Purchases		Sales
Non-U.S. Treasury Obligations	$	206,802,074	$	218,956,643
U.S. Treasury Obligations	$	698,474	$	1,457,089

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 19

D. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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.

Pursuant to the Investment Management Agreement with the Advisor, 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:

First $250 million	.450	%
Next $750 million	.430	%
Next $1.5 billion	.410	%
Next $2.5 billion	.400	%
Next $2.5 billion	.380	%
Next $2.5 billion	.360	%
Next $2.5 billion	.340	%
Over $12.5 billion	.320	%

Accordingly, for the year ended December 31, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annual rate (exclusive of any applicable waivers/reimbursements) of 0.45% of the Fund’s average daily net assets.

For the period from January 1, 2018 through September 30, 2018, the Advisor had contractually agreed to waive all or a portion of its fees and/or reimburse certain operating expenses of the Fund to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest) of each class as follows:

Class A	.56	%
Class B	.91	%

Effective October 1, 2018 through September 30, 2019, the Advisor has contractually agreed to waive all or a portion of its fees and/or reimburse certain operating expenses of the Fund to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest) of each class as follows:

Class A	.53	%
Class B	.88	%

For the year ended December 31, 2018, fees waived and/or expenses reimbursed for each class are as follows:

Class A	$	142,772
Class B		6,392
	$	149,164

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays DIMA 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, 2018, the Administration Fee was $39,274, of which $3,108 is unpaid.

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the

20 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018, the amounts charged to the Fund by DSC were as follows:

	Total Aggregated		Unpaid at December 31, 2018
Class A	$	253	$	41
Class B		51		9
	$	304	$	50

Distribution Service Agreement. Under the Fund’s Class B 12b-1 plan, DWS Distributors, Inc. (“DDI”) received a fee (“Distribution Service Fee”) of 0.25% of average daily net assets of Class B shares. For the year ended December 31, 2018, the Distribution Service Fee aggregated $4,219, of which $342 is unpaid.

Typesetting and Filing Service Fees. Under an agreement with the Fund, DIMA is compensated for providing certain pre-press and regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $9,713, of which $7,325 is unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

Affiliated Cash Management Vehicles. The Fund may invest uninvested cash balances in DWS Central Cash Management Government Fund and DWS ESG Liquidity Fund, affiliated money market funds which are managed by the Advisor. Each affiliated money market fund is managed in accordance with Rule 2a-7 under the 1940 Act, which governs the quality, maturity, diversity and liquidity of instruments in which a money market fund may invest. DWS Central Cash Management Government Fund seeks to maintain a stable net asset value, and DWS ESG Liquidity Fund maintains a floating net asset value. The Fund indirectly bears its proportionate share of the expenses of each affiliated money market fund in which it invests. DWS Central Cash Management Government Fund does not pay the Advisor an investment management fee. To the extent that DWS ESG Liquidity Fund pays an investment management fee to the Advisor, the Advisor will waive an amount of the investment management fee payable to the Advisor by the Fund equal to the amount of the investment management fee payable on the Fund’s assets invested in DWS ESG Liquidity Fund.

Security Lending Fees. Deutsche Bank AG serves as securities lending agent for the Fund. For the year ended December 31, 2018, the Fund incurred securities lending agent fees to Deutsche Bank AG in the amount of $29.

E. Ownership of the Fund

At December 31, 2018, three participating insurance companies were owners of record of 10% or more of the total outstanding Class A shares of the Fund, each owning 48%, 34% and 13%. One participating insurance company was the owner of record of 10% or more of the total outstanding Class B shares of the Fund, owning 94%.

F. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a $400 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 a rate per annum equal to the sum of the Federal Funds Rate plus 1.25 percent plus if the one-month LIBOR exceeds the Federal Funds Rate, the amount of such excess. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement. The Fund had no outstanding loans at December 31, 2018.

G. Payments by Affiliates

During the year ended December 31, 2018, the Advisor agreed to reimburse the Fund $2,209 for losses incurred on trades executed incorrectly. The amount reimbursed was less than .01% of the Fund’s average net assets, thus having no impact on the Fund’s total return.

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 21

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS Government & Agency Securities VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS Government & Agency Securities VIP (formerly Deutsche Government & Agency Securities VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers or by other appropriate auditing procedures where replies from brokers were not received. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

22 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

Information About Your Fund’s Expenses (Unaudited)

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 contract charges, 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, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2018
Actual Fund Return	Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	1,013.00	$	1,011.10
Expenses Paid per $1,000*	$	2.79	$	4.51
Hypothetical 5% Fund Return	Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	1,022.43	$	1,020.72
Expenses Paid per $1,000*	$	2.80	$	4.53

* Expenses are equal to the Fund’s annualized expense ratio for each share class, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratios	Class A			Class B
Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP		.55	%		.89	%

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 23

Tax Information (Unaudited)

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 contact your insurance provider.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

24 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS Government & Agency Securities VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– In connection with reviewing the Agreement, 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.

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 is part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 personnel and administrative support services provided by DIMA, such as back-office operations, fund valuations, and compliance policies and procedures.

Nature, Quality and Extent of Services. The Board considered the terms of the Agreement, including the scope of advisory services provided under the Agreement. The Board noted that, under the Agreement, DIMA provides 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 and the resources made available to such personnel. 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 index(es) and a peer universe compiled using information supplied by Morningstar Direct (“Morningstar”), an independent fund data service. The Board also noted that it has put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s plans to address underperformance. The Board

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 25

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-, three- and five-year periods ended December 31, 2017, the Fund’s performance (Class A shares) was in the 4th quartile, 4th quartile and 3rd quartile, respectively, of the applicable Morningstar universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund has underperformed its benchmark in the one-, three- and five-year periods ended December 31, 2017. The Board noted the disappointing investment performance of the Fund in recent periods and continued to discuss with senior management of DIMA the factors contributing to such underperformance and actions being taken to improve performance. The Board observed that the Fund had experienced improved relative performance during the first eight months of 2018. The Board recognized the efforts by DIMA in recent years to enhance its investment platform and improve long-term performance across the DWS fund complex.

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were higher than the median (3rd quartile) of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). The Board noted that the Fund’s Class A shares total (net) operating expenses were expected to be lower than the median (2nd quartile) of the applicable Broadridge expense universe (based on Broadridge data provided as of December 31, 2017, and analyzing Broadridge expense universe Class A (net) expenses less any applicable 12b-1 fees) (“Broadridge Universe Expenses”). The Board also reviewed data comparing each share class’s total (net) operating expenses to the applicable Broadridge Universe Expenses. The Board noted that the expense limitations agreed to by DIMA were expected to help the Fund’s total (net) operating expenses remain competitive. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to comparable DWS U.S. registered funds (“DWS Funds”), noting that DIMA indicated that it does not provide services to any other comparable DWS Funds. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs to DIMA, 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 DIMA and its affiliates with respect to all fund services in totality and by fund. The Board and the Fee Consultant 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 certain publicly available 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 Funds (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 most 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 investment 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 or “fall-out” benefits received by DIMA and its affiliates, including any fees received by DIMA for administrative services provided to the Fund, any fees received by an affiliate of DIMA for transfer agency services provided to the Fund and any fees received by an affiliate of DIMA for distribution services. The

26 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

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. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously determined that the continuation of the Agreement 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreement.

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 27

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International; Public Radio International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago); Life Director of Hubbard Street Dance Chicago		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston); American Documentary, Inc. (public media)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

28 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)

Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP | 29

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

30 | Deutsche DWS Variable Series II — DWS Government & Agency Securities VIP

Notes

VS2GAS-2 (R-025831-8 2/19)

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS Government Money Market VIP

(formerly Deutsche Government Money Market VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
4	Management Summary
6	Portfolio Summary
7	Investment Portfolio
9	Statement of Assets and Liabilities
9	Statement of Operations
10	Statements of Changes in Net Assets
11	Financial Highlights
12	Notes to Financial Statements
15	Report of Independent Registered Public Accounting Firm
16	Information About Your Fund’s Expenses
17	Tax Information
17	Proxy Voting
18	Advisory Agreement Board Considerations and Fee Evaluation
21	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time. You should not rely on or expect the Advisor to enter into support agreements or take other actions to maintain the Fund’s $1.00 share price. The credit quality of the Fund’s holdings can change rapidly in certain markets, and the default of a single holding could have an adverse impact on the Fund’s share price. The Fund’s share price can also be negatively affected during periods of high redemption pressures and/or illiquid markets. The actions of a few large investors in the Fund may have a significant adverse effect on the share price of the Fund. Please read the prospectus for specific details regarding the Fund’s risk profile.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

NOT FDIC/NCUA INSURED     NO BANK GUARANTEE     MAY LOSE VALUE     NOT A DEPOSIT

NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

2 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

Performance Summary December 31, 2018 (Unaudited)

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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns. The yield quotation more closely reflects the current earnings of the Fund than the total return quotation.

You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

	7-Day Current Yield
December 31, 2018	2.01%*
December 31, 2017	.83%

* The investment advisor has agreed to waive fees/reimburse expenses. Without such fee waivers/expense reimbursements, the 7-day current yield would have been lower.

Yields are historical, will fluctuate and do not guarantee future performance. The 7-day current yield refers to the income paid by the Fund over a 7-day period expressed as an annual percentage rate of the Fund’s shares outstanding.

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 3

Management Summary   December 31, 2018 (Unaudited)

During the 12-month period ended December 31, 2018, the Fund provided a total return of 1.39% (Class A shares, unadjusted for contract charges). All performance is historical and does not guarantee future results. Yields fluctuate and are not guaranteed.

At the start of 2018, yields for longer-term money market securities rose based on the prospects for increased Treasury supply following the rise in the debt ceiling and the passage of federal tax overhaul in December 2017. Significant increases in supply did materialize, with the U.S. Treasury issuing more than $352 billion in Treasury bills during the first quarter. In light of continued strength in the economy and a tight labor market, the Federal Open Market Committee (FOMC) raised short-term rates at its March and June 2018 meetings. In September, the Fed once again raised rates, with accompanying statements that were viewed as aggressive regarding the prospects for future rate hikes. In December, a number of factors contributed to a considerable increase in financial market volatility and a tightening in overall financial conditions. These factors included statements by the Fed following its December 2018 rate hike. The Fed’s accompanying messaging disappointed market watchers because the central bank did not commit to a pause in its rate hikes, despite signs that growth was slowing in some parts of the global economy. This coincided with a major correction in the stock markets, an inverted yield curve (often a predictor of economic recession), a widening of credit spreads and signs of an expanding trade war with China. At the same time, U.S. economic growth indicators remained strong, with extremely low unemployment, and investors found some consolation in the fact that the Fed reduced its forecast for rate hikes in 2019 from three to two.

We were able to maintain what we believe to be a competitive yield for the Fund during the annual period ended December 31, 2018. The Fund held a large percentage of portfolio assets in agency and Treasury floating-rate securities to take advantage of incremental rises in LIBOR and Treasury bill rates, respectively, given the outlook for additional Treasury bill supply. At the same time, the Fund invested in overnight agency repurchase agreements for liquidity and looked for yield opportunities from three- to six-month agency and Treasury securities.

We believe that the U.S. economy can continue to expand, though we see more risks to growth than we did 12 months ago. For this reason, our current forecast is for just one to two short-term rate increases by the Fed in 2019. At present, we are positioning the Fund for continued growth as well as the possibility of additional rate hikes. We also look for increased Treasury bill supply, which should continue to exert upward pressure on money market rates.

A group of investment professionals is responsible for the day-to-day management of the Fund. These investment professionals have a broad range of experience managing money market funds.

The views expressed 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.

4 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

Terms to Know

The yield curve is a graphical representation of how yields on bonds of different maturities compare. Normally, yield curves slant up, as bonds with longer maturities typically offer higher yields than short-term bonds.

Floating-rate securities are debt instruments with floating-rate coupons that generally reset every 30 to 90 days. While floating-rate securities are senior to equity and fixed-income securities, there is no guaranteed return of principal in case of default. Floating-rate issues often have less interest-rate risk than other fixed-income investments. Floating-rate securities are most often secured assets, generally senior to a company’s secured debt, and can be transferred to debt holders, resulting in potential downside risk.

LIBOR, or the London Interbank Offered Rate, is a widely used benchmark for short-term taxable interest rates.

A repurchase agreement, or “overnight repo,” is an agreement between a seller and a buyer, usually of government securities, where the seller agrees to repurchase the securities at a given price and usually at a stated time. Repos are widely used money market instruments that serve as an interest-bearing, short-term “parking place” for large sums of money.

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 5

Portfolio Summary (Unaudited)

Asset Allocation (As a % of Investment Portfolio)	12/31/18		12/31/17
Government & Agency Obligations		62%		76%
Repurchase Agreement		38%		24%
		100%		100%
Weighted Average Maturity	12/31/18		12/31/17
Deutsche DWS Variable Series II — DWS Government Money Market VIP		25 days		26 days
Government & Agency Retail Money Fund Average*		28 days		30 days

* The Fund is compared to its respective iMoneyNet Category: Government & Agency Retail Money Fund Average — Category includes the most broadly based of the government retail funds. These funds may invest in U.S. Treasury securities, securities issued or guaranteed by the U.S. Government or its agencies or instrumentalities.

Weighted average maturity, also known as effective maturity, is the weighted average of the maturity date of bonds held by the Fund taking into consideration any available maturity shortening features.

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 7.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q. In addition, each month, information about the Fund and its portfolio holdings is filed with the SEC on Form N-MFP. The SEC delays the public availability of the information filed on Form N-MFP for 60 days after the end of the reporting period included in the filing. These forms will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

6 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

Investment Portfolio December 31, 2018

	Principal Amount ($)		Value ($)
Government & Agency Obligations 61.7%
U.S. Government Sponsored Agencies 47.0%
Federal Farm Credit Bank:
1-month LIBOR minus 0.135%, 2.265%*, 4/11/2019		500,000		500,000
1-month LIBOR minus 0.075%, 2.304%*, 11/5/2019		1,000,000		999,914
1-month LIBOR minus 0.123%, 2.309%*, 8/13/2019		1,000,000		1,000,000
1-month LIBOR minus 0.110%, 2.311%*, 3/12/2019		750,000		749,992
3-month LIBOR minus 0.180%, 2.361%*, 11/1/2019		500,000		500,000
1-month LIBOR minus 0.145%, 2.361%*, 2/26/2019		750,000		749,995
1-month LIBOR minus 0.145%, 2.377%*, 3/29/2019		1,000,000		1,000,000
1-month LIBOR minus 0.130%, 2.392%*, 4/29/2019		3,500,000		3,500,000
1-month LIBOR minus 0.095%, 2.411%*, 7/25/2019		1,000,000		999,993
1-month LIBOR plus 0.040%, 2.427%*, 1/10/2019		500,000		500,009
1-month LIBOR minus 0.075%, 2.447%*, 4/29/2019		1,000,000		999,984
2.626%**, 8/21/2019		350,000		344,158
1-month LIBOR plus 0.190%, 2.66%*, 6/20/2019		1,500,000		1,501,878
Federal Home Loan Bank:
3-month LIBOR minus 0.330%, 2.09%*, 1/11/2019		1,000,000		1,000,000
3-month LIBOR minus 0.310%, 2.11%*, 1/11/2019		1,500,000		1,500,000
2.225%**, 1/18/2019		400,000		399,585
3-month LIBOR minus 0.280%, 2.261%*, 2/1/2019		2,000,000		2,000,000
1-month LIBOR minus 0.080%, 2.267%*, 2/4/2019		800,000		800,000
1-month LIBOR minus 0.080%, 2.267%*, 4/4/2019		1,500,000		1,500,000
Step-Up Coupon, 2.53 to 3/20/2019, 2.78 to 6/20/2019, 3.03 to 9/20/019		1,200,000		1,200,000
1-month LIBOR minus 0.100%, 2.287%*, 3/8/2019		1,250,000		1,250,000
1-month LIBOR minus 0.060%, 2.32%*, 12/6/2019		500,000		500,000
2.342%**, 3/20/2019		350,000		348,248
1-month LIBOR minus 0.085%, 2.347%*, 9/13/2019		1,300,000		1,300,000
1-month LIBOR minus 0.125%, 2.354%*, 6/21/2019		1,000,000		1,000,000
1-month LIBOR minus 0.130%, 2.374%*, 3/22/2019		1,000,000		1,000,000
1-month LIBOR minus 0.055%, 2.385%*, 1/14/2020		500,000		500,000
2.393%**, 3/11/2019		1,000,000		995,477
1-month LIBOR minus 0.110%, 2.394%*, 2/22/2019		1,500,000		1,500,000
1-month LIBOR minus 0.065%, 2.441%*, 8/28/2019		500,000		500,000

	Principal Amount ($)		Value ($)
1-month LIBOR minus 0.025%, 2.445%*, 4/20/2020		1,250,000		1,250,000
2.5%, 5/7/2019		1,000,000		999,951
SOFR plus 0.040%, 2.5%*, 6/21/2019		1,000,000		1,000,000
3-month LIBOR minus 0.230%, 2.508%*, 12/3/2019		500,000		500,000
3-month LIBOR minus 0.190%, 2.517%*, 8/28/2019		1,000,000		1,000,000
SOFR plus 0.060%, 2.52%*, 9/10/2019		500,000		500,000
SOFR plus 0.065%, 2.525%*, 11/15/2019		750,000		750,000
2.596%**, 7/29/2019		1,250,000		1,231,422
Federal Home Loan Bank Discount Notes:
2.413%**, 2/25/2019		1,000,000		996,364
2.433%**, 3/27/2019		1,500,000		1,491,500
Federal Home Loan Banks, 2.535%**, 6/19/2019		1,000,000		988,264
Federal Home Loan Mortgage Corp.:
Step-Up Coupon, 2.53 to 3/20/2019, 2.78 to 6/20/2019, 3.03 to 9/20/2019		400,000		400,000
1-month LIBOR minus 0.150%, 2.282%*, 2/13/2019		1,000,000		1,000,000
1-month LIBOR minus 0.100%, 2.287%*, 8/8/2019		2,500,000		2,499,712
1-month LIBOR minus 0.100%, 2.355%*, 3/18/2019		1,100,000		1,100,000
1-month LIBOR minus 0.110%, 2.396%*, 5/28/2019		1,250,000		1,250,000
SOFR plus 0.025%, 2.485%*, 5/8/2019		1,250,000		1,250,000
Federal Home Loan Mortgage Corp. Discount Notes, 2.393%**, 2/20/2019		1,000,000		996,722
Federal National Mortgage Association:
SOFR plus 0.070%, 2.53%*, 10/30/2019		250,000		250,000
SOFR plus 0.100%, 2.56%*, 4/30/2020		250,000		250,000
				50,343,168
U.S. Treasury Obligations 14.7%
U.S. Treasury Bills:
2.225%**, 2/14/2019		750,000		747,988
2.368%**, 3/21/2019		1,500,000		1,492,410
2.368%**, 3/21/2019		1,500,000		1,492,213
2.423%**, 4/11/2019		1,500,000		1,490,141
2.424%**, 4/11/2019		1,500,000		1,489,938
2.514%**, 6/13/2019		775,000		766,297
U.S. Treasury Floating Rate Notes:
3-month U.S. Treasury Bill Money Market Yield plus 0.070%, 2.5%*, 4/30/2019		4,250,000		4,251,197
3-month U.S. Treasury Bill Money Market Yield plus 0.140%, 2.57%*, 1/31/2019		2,000,000		2,000,357
U.S. Treasury Note, 2.75%, 2/15/2019		2,000,000		2,000,670
				15,731,211
Total Government & Agency Obligations (Cost $66,074,379)				66,074,379

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

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 7

	Principal Amount ($)		Value ($)
Repurchase Agreements 38.4%
BNP Paribas, 2.95%, dated 12/31/2018, to be repurchased at $20,003,278 on 1/2/2019 (a)		20,000,000		20,000,000
Wells Fargo Bank, 3.00%, dated 12/31/2018, to be repurchased at $21,203,533 on 1/2/2019 (b)		21,200,000		21,200,000
Total Repurchase Agreements (Cost $41,200,000)				41,200,000

	% of Net Assets			Value ($)
Total Investment Portfolio (Cost $107,274,379)		100.1			107,274,379
Other Assets and Liabilities, Net		(0.1	)		(94,603	)
Net Assets		100.0			107,179,776

* Floating rate security. These securities are shown at their current rate as of December 31, 2018.

** Annualized yield at time of purchase; not a coupon rate.

(a) Collateralized by:

Principal Amount ($)		Security	Rate (%)	Maturity Date	Collateral Value ($)
	200	U.S. Treasury Bill	Zero Coupon	02/21/2019		199
	20,778,900	U.S. Treasury Inflation Indexed Bond	0.375	07/15/2027		20,362,912
	Total Collateral Value					20,363,111

(b) Collateralized by:

Principal Amount ($)		Security	Rate (%)	Maturity Date		Collateral Value ($)
	14,271,600	Federal National Mortgage Association	2.495-5		1/1/2029–1/1/2049		14,601,228
	1,220,703	Federal National Mortgage Corp.	2.368-3.138		11/1/2046–1/1/2048		1,221,211
	5,769,866	Government National Mortgage Association	2.5-5.5		9/20/2045–12/20/2048		5,801,561
	Total Collateral Value						21,624,000

LIBOR: London Interbank Offered Rate

SOFR: Secured Overnight Financing Rate

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities. Securities held by the Fund are reflected as Level 2 because the securities are valued at amortized cost (which approximates fair value) and, accordingly, the inputs used to determine value are not quoted prices in an active market.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1		Level 2		Level 3		Total
Investments in Securities (c)	$	—	$	66,074,379	$	—	$	66,074,379
Repurchase Agreements		—		41,200,000		—		41,200,000
Total	$	—	$	107,274,379	$	—	$	107,274,379

(c) See Investment Portfolio for additional detailed categorizations.

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

8 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

Statement of Assets and Liabilities

As of December 31, 2018
Assets
Investments in securities, valued at amortized cost	$	66,074,379
Repurchase Agreements, valued at amortized cost		41,200,000
Cash		106,228
Receivable for Fund shares sold		78,481
Interest receivable		118,203
Other assets		2,734
Total assets		107,580,025
Liabilities
Payable for Fund shares redeemed		182,488
Distributions payable		79,139
Accrued management fee		20,041
Accrued Trustees’ fees		2,179
Other accrued expenses and payables		116,402
Total liabilities		400,249
Net assets, at value	$	107,179,776
Net Assets Consist of
Distributable earnings (loss)		14,762
Paid-in capital		107,165,014
Net assets, at value	$	107,179,776
Class A Net Asset Value
Net asset value, offering and redemption price per share ($107,179,776 ÷ 107,248,730 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	1.00

Statement of Operations

For the year ended December 31, 2018
Investment Income
Income:
Interest	$	1,962,649
Expenses:
Management fee		246,119
Administration fee		104,731
Services to Shareholders		2,165
Custodian fee		4,360
Professional fees		65,997
Reports to shareholders		84,375
Trustees’ fees and expenses		6,653
Other		11,132
Total expenses before expense reductions		525,532
Expense reductions		(798	)
Total expenses after expense reductions		524,734
Net investment income		1,437,915
Net realized gain (loss) from investments		(141	)
Net increase (decrease) in net assets resulting from operations	$	1,437,774

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

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 9

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income (loss)	$	1,437,915		$	547,826
Net realized gain (loss)		(141	)		53
Net increase (decrease) in net assets resulting from operations		1,437,774			547,879
Distributions to shareholders :
Class A		(1,437,977	)		(547,829	)*
Fund share transactions:
Class A
Proceeds from shares sold		122,763,991			111,220,770
Reinvestment of distributions		1,393,905			514,778
Payments for shares redeemed		(128,197,879	)		(122,921,320	)
Net increase (decrease) in net assets from Class A share transactions		(4,039,983	)		(11,185,772	)
Increase (decrease) in net assets		(4,040,186	)		(11,185,722	)
Net assets at beginning of period		111,219,962			122,405,684
Net assets at end of period	$	107,179,776		$	111,219,962	**
Other Information:
Class A
Shares outstanding at beginning of period		111,288,713			122,474,485
Shares sold		122,763,991			111,220,770
Shares issued to shareholders in reinvestment of distributions		1,393,905			514,778
Shares redeemed		(128,197,879	)		(122,921,320	)
Net increase (decrease) in Fund shares		(4,039,983	)		(11,185,772	)
Shares outstanding at end of period		107,248,730			111,288,713

* Includes distributions from net investment income.

** Includes undistributed net investment income of $14,912.

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

10 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	1.00		$	1.00		$	1.00		$	1.00		$	1.00
Income from investment operations:
Net investment income		.014			.005			.001	b		.000	*		.000	*
Net realized gain (loss)		(.000	)*		.000	*		.000	*		(.000	)*		.000	*
Total from investment operations		.014			.005			.001			.000	*		.000	*
Less distributions from:
Net investment income		(.014	)		(.005	)		(.001	)		(.000	)*		(.000	)*
Net asset value, end of period	$	1.00		$	1.00		$	1.00		$	1.00		$	1.00
Total Return (%)		1.39	a		.45			.05	a,b		.01	a		.01	a
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		107			111			122			134			177
Ratio of expenses before expense reductions (%)c		.50			.48			.51			.49			.49
Ratio of expenses after expense reductions (%)c		.50			.48			.44			.25			.18
Ratio of net investment income (%)		1.37			.45			.05	b		.01			.01

^a  Total return would have been lower had certain expenses not been reduced.

^b  Includes a non-recurring payment for overbilling of prior years’ custodian out-of-pocket fees. Excluding this payment, net investment income per share, total return, and ratio of net investment income to average net assets would have been reduced by $0.0004, 0.04%, and 0.04%, respectively.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

* Amount is less than $.0005.

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

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 11

Notes to Financial Statements

A. Organization and Significant Accounting Policies

DWS Government Money Market VIP (formerly Deutsche Government Money Market VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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’s financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

Security Valuation. 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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The Fund values all securities utilizing the amortized cost method permitted in accordance with Rule 2a-7 under the 1940 Act and certain conditions therein. Under this method, which does not take into account unrealized capital gains or losses on securities, an instrument is initially valued at its cost and thereafter assumes a constant accretion/amortization rate to maturity of any discount or premium. Securities held by the Fund are reflected as Level 2 because the securities are valued at amortized cost (which approximates fair value) and, accordingly, the inputs used to determine value are not quoted prices in an active market.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

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

As of December 31, 2018 the Fund held repurchase agreements with a gross value of $41,200,000. The value of the related collateral exceeded the value of the repurchase agreements at period end. The detail of the related collateral is included in the footnotes following the Fund’s Investment Portfolio.

Federal Income 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.

12 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

At December 31, 2018, the Fund had $141 of short-term tax basis capital loss carryforwards, which maybe applied against realized net taxable capital gains indefinitely.

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Net investment income of the Fund is declared as a daily dividend and is distributed to shareholders monthly. The Fund may take into account capital gains and losses in its daily dividend declarations. The Fund may also make additional distributions for tax purposes if necessary.

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

At December 31, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	$	14,903
Capital loss carryforwards	$	(141	)

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $107,274,379. In addition, the tax character of distributions paid by the Fund is summarized as follows:

	Years Ended December 31,
	2018		2017
Distributions from ordinary income	$	1,437,977	$	547,829

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 based upon the relative net assets or other appropriate measures.

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.

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

B. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas, Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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.

Pursuant to the Investment Management Agreement with the Advisor, the Fund pays the Advisor a monthly management fee based on its average daily net assets, computed and accrued daily and payable monthly, at the following annual rates:

First $500 million	.235	%
Next $500 million	.220	%
Next $1.0 billion	.205	%
Over $2.0 billion	.190	%

Accordingly, for the year ended December 31, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annual rate (exclusive of any applicable waivers/reimbursements) of 0.235% of the Fund’s average daily net assets.

For the period from January 1, 2018 through September 30, 2019, the Advisor has contractually agreed to waive its fee and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) at 0.51%.

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 13

For the year ended December 31, 2018, fees waived and/or expenses reimbursed amounted to $798.

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays DIMA 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, 2018 the Administration Fee was $104,731, of which $8,538 is unpaid.

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018, the amounts charged to the Fund by DSC aggregated $1,773, of which $285 is unpaid.

Typesetting and Filing Service Fees. Under an agreement with the fund, DIMA is compensated for providing certain pre-press and regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $8,088 of which $6,061 is unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

C. Ownership of the Fund

At December 31, 2018, three participating insurance companies were owners of record of 10% or more of the total outstanding Class A shares of the Fund, each owning 45%, 19% and 15%.

D. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a $400 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 a rate per annum equal to the sum of the Federal Funds Rate, plus 1.25 percent plus if the one-month LIBOR exceeds the Federal Funds Rate, the amount of such excess. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement. The Fund had no outstanding loans at December 31, 2018.

14 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS Government Money Market VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS Government Money Market VIP (formerly Deutsche Government Money Market VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 15

Information About Your Fund’s Expenses (Unaudited)

As an investor of the Fund, you incur two types of costs: ongoing expenses and transaction costs. Ongoing expenses include management fees and other Fund expenses. Examples of transaction costs include contract charges, 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, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months December 31, 2018
Actual Fund Return		Class A
Beginning Account Value 7/1/18	$	1,000.00
Ending Account Value 12/31/18	$	1,008.20
Expenses Paid per $1,000*	$	2.53
Hypothetical 5% Fund Return		Class A
Beginning Account Value 7/1/18	$	1,000.00
Ending Account Value 12/31/18	$	1,025.21
Expenses Paid per $1,000*	$	2.55

* Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratio	Class A
Deutsche DWS Variable Series II — DWS Government Money Market VIP		.50	%

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

16 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

Tax Information (Unaudited)

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 contact your insurance provider.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 17

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS Government Money Market VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– In connection with reviewing the Agreement, the Board also reviewed the terms of the Fund’s distribution agreement, administrative services agreement, transfer agency agreement and other material service agreements.

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 is part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 personnel and administrative support services provided by DIMA, such as back-office operations, fund valuations, and compliance policies and procedures.

Nature, Quality and Extent of Services. The Board considered the terms of the Agreement, including the scope of advisory services provided under the Agreement. The Board noted that, under the Agreement, DIMA provides 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 and the resources made available to such personnel. 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 a peer universe compiled using information supplied by iMoneyNet, an independent fund data service. The Board also noted that it has put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s plans to address underperformance. The Board believes this process is an effective manner of identifying

18 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

and addressing underperforming funds. Based on the information provided, the Board noted that, for the one- and three-year periods ended December 31, 2017, the Fund’s gross performance (Class A shares) was in the 1st quartile of the applicable iMoneyNet universe (the 1st quartile being the best performers and the 4th quartile being the worst performers).

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were lower than the median (2nd quartile) of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). The Board considered that the Fund’s management fee was reduced by 0.05% at all breakpoint levels in connection with the restructuring of the Fund into a government money market fund in 2016. The Board noted that the Fund’s Class A shares total (net) operating expenses were higher than the median (3rd quartile) of the applicable Broadridge expense universe (based on Broadridge data provided as of December 31, 2017, and analyzing Broadridge expense universe Class A (net) expenses less any applicable 12b-1 fees). The Board noted the expense limitation agreed to by DIMA. The Board also noted the voluntary fee waivers implemented by DIMA prior to December 31, 2017 to ensure the Fund maintained a positive yield. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to comparable DWS U.S. registered funds (“DWS Funds”) and considered differences between the Fund and the comparable DWS Funds. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs to DIMA, 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 DIMA and its affiliates with respect to all fund services in totality and by fund. The Board and the Fee Consultant 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 certain publicly available 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 Funds (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 most 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 investment 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 or “fall-out” 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 transfer agency services provided to the Fund. 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. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 19

commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously determined that the continuation of the Agreement 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreement.

20 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International; Public Radio International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago); Life Director of Hubbard Street Dance Chicago		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston); American Documentary, Inc. (public media)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 21

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)

22 | Deutsche DWS Variable Series II — DWS Government Money Market VIP

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

Deutsche DWS Variable Series II — DWS Government Money Market VIP | 23

VS2GMM-2 (R-025834-8 2/19)

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS High Income VIP

(formerly Deutsche High Income VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
4	Management Summary
6	Portfolio Summary
7	Investment Portfolio
14	Statement of Assets and Liabilities
14	Statement of Operations
15	Statements of Changes in Net Assets
16	Financial Highlights
17	Notes to Financial Statements
25	Report of Independent Registered Public Accounting Firm
26	Information About Your Fund’s Expenses
27	Tax Information
27	Proxy Voting
28	Advisory Agreement Board Considerations and Fee Evaluation
31	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

Bond investments are subject to interest-rate, credit, liquidity and market risks to varying degrees. When interest rates rise, bond prices generally fall. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. Investments in lower-quality (“junk bonds”) and non-rated securities present greater risk of loss than investments in higher-quality securities. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. The Fund may lend securities to approved institutions. Please read the prospectus for details.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

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

2 | Deutsche DWS Variable Series II — DWS High Income VIP

Performance Summary December 31, 2018 (Unaudited)

Fund 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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns. While all share classes have the same underlying portfolio, their performance will differ.

The gross expense ratios of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 are 0.78% and 1.15% for Class A and Class B shares, respectively, and may differ from the expense ratios disclosed in the Financial Highlights tables in this report.

Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights.

Growth of an Assumed $10,000 Investment in DWS High Income VIP

ICE BofA Merrill Lynch US High Yield Master II Constrained Index tracks the performance of US dollar denominated below investment grade corporate debt publicly issued in the US domestic market.   Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

Comparative Results
DWS High Income VIP		1-Year	3-Year	5-Year	10-Year
Class A	Growth of $10,000	$9,748	$11,829	$11,470	$23,570
	Average annual total return	–2.52%	5.76%	2.78%	8.95%
ICE BofA Merrill Lynch US High Yield Master II Constrained Index	Growth of $10,000	$9,773	$12,342	$12,068	$28,438
	Average annual total return	–2.27%	7.27%	3.83%	11.02%
DWS High Income VIP		1-Year	3-Year	5-Year	10-Year
Class B	Growth of $10,000	$9,724	$11,746	$11,302	$22,889
	Average annual total return	–2.76%	5.51%	2.48%	8.63%
ICE BofA Merrill Lynch US High Yield Master II Constrained Index	Growth of $10,000	$9,773	$12,342	$12,068	$28,438
	Average annual total return	–2.27%	7.27%	3.83%	11.02%

The growth of $10,000 is cumulative.

Deutsche DWS Variable Series II — DWS High Income VIP | 3

Management Summary December 31, 2018 (Unaudited)

The Fund returned –2.52% in 2018 (Class A shares, unadjusted for contract charges), slightly underperforming the –2.27% return of its benchmark, the ICE BofA ML U.S. High Yield Master II Constrained Index. Much of the downturn for the index occurred in the fourth calendar quarter, when the combination of emerging concerns about the global growth outlook, uncertainty regarding U.S. trade policy, and shifting expectations for interest rates weighed heavily on higher-risk assets across the globe. A sharp drop in oil prices exacerbated the weakness in high yield in the final three months of the year, causing the index to decline 4.67% in that time.

In terms of the Fund’s broad positioning, an underweight in the poor-performing oil field services industry contributed to performance, as did an overweight in wireline communications. However, an overweight in chemicals, which lagged, was a detractor. From a ratings perspective, an underweight in lower-rated issues — particularly those rated CCC and below — aided results. Lower-rated bonds, after outperforming in the first nine months of the year, trailed the broader market by a wide margin in the fourth quarter.

At the individual security level, an overweight position in the short-dated bonds of the telecommunications company Frontier Communications Corp. contributed to performance. The bonds moved higher as it became increasingly clear that the company would refinance its near-term maturities. The exploration and production firm MEG Energy Corp., whose bonds rallied after the company became the target of a potential acquisition, also aided Fund performance. A zero weighting in Sanchez Energy Corp. further benefited results. The bonds traded weaker as the downturn in oil prices caused the company to encounter financial difficulties.

Adient Global Holdings Ltd., an automotive parts manufacturing firm that was hurt by operational issues, higher raw material prices, and changes to its senior management team, was a key detractor. Overweights in the energy exploration and production companies Halcon Resources Corp. and Hilcorp Energy LP also weighed on Fund returns, as the decline in oil prices eroded their financial health.

The Fund used derivatives to hedge its modest euro exposure back into U.S. dollars, which had no impact on relative performance. We also used a small investment in the credit default swap index (CDX) to gain short-term exposure to the broad market. The CDX position rose in value, slightly benefiting performance. While we use derivatives periodically for specific purposes, they are not a core aspect of our strategy.

We retain a cautiously positive view on the high-yield market, as we see a low probability of a recession in the near term. In addition, corporate fundamentals are solid and the default rate appears likely to remain low. The use of proceeds from new issuance remains focused on refinancing, which has reduced concerns about near-term maturities for high-yield issuers and contributing to low default expectations. Potential disruptions to this outlook include the possibility of poorly communicated or faster-than-expected tightening by the U.S. Federal Reserve, lingering geopolitical and macroeconomic issues, and/or resurgent global trade tensions. We continue to monitor the overall credit quality and covenant terms of new-issue bonds, as we view an increase in equity-friendly use of proceeds as a possible source of market disruption once the business cycle turns and credit conditions tighten.

We think the recent steep decline in the prices created an opportunity for select high-yield investments to generate favorable total returns. However, even with yield spreads having risen to more compelling levels, we believe fundamental credit analysis remains necessary to identify securities with attractive total return potential relative to the underlying risks. In addition, we seek to recognize broader investment themes that can translate to opportunities from sector allocation.

The views expressed 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.

Gary Russell, CFA, Managing Director

Thomas R. Bouchard, Director

Lonnie Fox, Director

Portfolio Managers

The views expressed 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.

4 | Deutsche DWS Variable Series II — DWS High Income VIP

Terms to Know

The ICE BofA ML US High Yield Master II Constrained Index tracks the performance of U.S. dollar denominated below-investment-grade corporate debt publicly issued in the U.S. domestic market.

Credit quality measures a bond issuer’s ability to repay interest and principal in a timely manner. Rating agencies assign letter designations, such as AAA, AA and so forth. The lower the rating, the higher the probability of default. Credit quality does not remove market risk and is subject to change.

Overweight means a fund holds a higher weighting in a given sector or individual security compared with its benchmark index; underweight means a fund holds a lower weighting.

Contribution and detraction incorporate both an investment’s total return and its weighting in the Fund.

Derivatives are contracts whose values can be based on a variety of instruments, including indices, currencies or securities. They can be utilized for a variety of reasons, including for hedging purposes, for risk management, for non-hedging purposes to seek to enhance potential gains, as a substitute for direct investment in a particular asset class or to keep cash on hand to meet shareholder redemptions. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility.

A swap is a derivative in which two counterparties exchange cash flows of one party’s financial instrument for those of the other party’s financial instrument for a set period of time.

Deutsche DWS Variable Series II — DWS High Income VIP | 5

Portfolio Summary (Unaudited)

Asset Allocation (As a % of Investment Portfolio excluding Securities Lending Collateral)	12/31/18		12/31/17
Corporate Bonds		83%		93%
Cash Equivalent		8%		4%
Loan Participations and Assignments		6%		—
Convertible Bonds		3%		3%
Common Stocks		0%		0%
Warrants		0%		0%
		100%		100%
Sector Diversification (As a % of Investment Portfolio excluding Cash Equivalent and Securities Lending Collateral)	12/31/18		12/31/17
Communication Services		23%		21%
Energy		22%		23%
Materials		17%		18%
Consumer Discretionary		10%		12%
Health Care		10%		7%
Industrials		7%		7%
Real Estate		3%		2%
Utilities		3%		4%
Information Technology		2%		3%
Consumer Staples		2%		2%
Financials		1%		1%
		100%		100%
Quality (As a % of Investment Portfolio excluding Cash Equivalent and Securities Lending Collateral)	12/31/18		12/31/17
BBB		10%		5%
BB		56%		54%
B		28%		34%
CCC		2%		3%
Not Rated		4%		4%
		100%		100%

The quality ratings represent the higher of Moody’s Investors Service, Inc. (“Moody’s”), Fitch Ratings, Inc. (“Fitch”) or Standard & Poor’s Corporation (“S&P”) credit ratings. The ratings of Moody’s, Fitch and S&P represent their opinions as to the quality of the securities they rate. Credit quality measures a bond issuer’s ability to repay interest and principal in a timely manner. Ratings are relative and subjective and are not absolute standards of quality. Credit quality does not remove market risk and is subject to change.

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 7.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q or Form N-PORT (available for filings after March 31, 2019). The Fund’s Form N-Q or Form N-PORT will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

6 | Deutsche DWS Variable Series II — DWS High Income VIP

Investment Portfolio December 31, 2018

	Principal Amount ($)(a)		Value ($)
Corporate Bonds 83.5%
Communication Services 17.0%
Altice France SA:
144A, 7.375%, 5/1/2026		910,000		834,925
144A, 8.125%, 2/1/2027		200,000		188,500
Altice Luxembourg SA, 144A, 7.75%, 5/15/2022		243,000		221,130
CCO Holdings LLC:
144A, 5.0%, 2/1/2028		150,000		138,000
144A, 5.125%, 5/1/2027		125,000		116,425
5.25%, 9/30/2022		680,000		674,050
144A, 5.5%, 5/1/2026		210,000		201,862
144A, 5.875%, 4/1/2024		170,000		169,150
144A, 5.875%, 5/1/2027		200,000		194,000
CenturyLink, Inc.:
Series V, 5.625%, 4/1/2020		180,000		179,100
Series W, 6.75%, 12/1/2023 (b)		90,000		86,738
Clear Channel Worldwide Holdings, Inc., Series A, 6.5%, 11/15/2022		180,000		178,200
CSC Holdings LLC:
144A, 5.125%, 12/15/2021		437,000		428,260
144A, 5.5%, 4/15/2027		345,000		320,850
144A, 7.5%, 4/1/2028		200,000		199,500
144A, 10.875%, 10/15/2025		230,000		258,462
DISH DBS Corp.:
5.875%, 7/15/2022		260,000		239,200
5.875%, 11/15/2024		135,000		108,675
7.75%, 7/1/2026		60,000		49,650
Frontier Communications Corp.:
7.125%, 1/15/2023		440,000		248,600
10.5%, 9/15/2022		50,000		34,750
11.0%, 9/15/2025		80,000		49,796
Intelsat Jackson Holdings SA:
144A, 8.5%, 10/15/2024		215,000		208,550
144A, 9.75%, 7/15/2025		170,000		170,476
Netflix, Inc.:
4.375%, 11/15/2026 (b)		180,000		163,350
144A, 4.625%, 5/15/2029		EUR 130,000		145,986
5.875%, 2/15/2025		60,000		60,525
Sirius XM Radio, Inc., 144A, 3.875%, 8/1/2022		300,000		285,000
SoftBank Group Corp., REG S, 5.0%, 4/15/2028		EUR 100,000		110,777
Sprint Capital Corp.:
6.875%, 11/15/2028		85,000		80,325
8.75%, 3/15/2032		115,000		121,325
Sprint Corp.:
7.125%, 6/15/2024		805,000		797,224
7.625%, 3/1/2026		135,000		133,312
T-Mobile U.S.A., Inc.:
4.75%, 2/1/2028		65,000		58,825
6.0%, 4/15/2024		164,000		164,000
6.5%, 1/15/2026		10,000		10,200
Telesat Canada, 144A, 8.875%, 11/15/2024		130,000		135,200
ViaSat, Inc., 144A, 5.625%, 9/15/2025		55,000		50,600
Virgin Media Secured Finance PLC:
144A, 5.25%, 1/15/2026		200,000		183,250
144A, 5.5%, 8/15/2026		215,000		198,843

	Principal Amount ($)(a)		Value ($)
Zayo Group LLC:
144A, 5.75%, 1/15/2027		240,000		214,200
6.0%, 4/1/2023		185,000		175,308
6.375%, 5/15/2025		281,000		261,330
				8,848,429
Consumer Discretionary 9.0%
Adient Global Holdings Ltd., REG S, 3.5%, 8/15/2024		EUR 185,000		170,096
Ally Financial, Inc., 5.75%, 11/20/2025 (b)		110,000		109,450
American Axle & Manufacturing, Inc.:
6.25%, 4/1/2025 (b)		160,000		145,600
6.25%, 3/15/2026		65,000		58,338
Asbury Automotive Group, Inc., 6.0%, 12/15/2024		219,000		209,692
Ashtead Capital, Inc., 144A, 5.25%, 8/1/2026		240,000		231,600
Ashton Woods U.S.A. LLC, 144A, 6.75%, 8/1/2025		165,000		143,550
Boyd Gaming Corp.:
6.0%, 8/15/2026		160,000		149,600
6.875%, 5/15/2023		100,000		101,000
Cumberland Farms, Inc., 144A, 6.75%, 5/1/2025		48,000		48,240
Dana Financing Luxembourg Sarl:
144A, 5.75%, 4/15/2025		155,000		144,537
144A, 6.5%, 6/1/2026		160,000		153,400
Dana, Inc., 5.5%, 12/15/2024		65,000		60,450
Eldorado Resorts Inc, 144A, 6.0%, 9/15/2026		173,000		163,485
Fiat Chrysler Automobiles NV, 5.25%, 4/15/2023		445,000		435,544
Group 1 Automotive, Inc., 5.0%, 6/1/2022		80,000		75,800
HD Supply, Inc., 144A, 5.375%, 10/15/2026		190,000		184,300
Lennar Corp.:
4.75%, 11/15/2022		110,000		106,700
4.75%, 11/29/2027		120,000		108,300
5.0%, 6/15/2027		50,000		45,625
Merlin Entertainments PLC, 144A, 5.75%, 6/15/2026		200,000		197,500
MGM Resorts International, 5.75%, 6/15/2025		190,000		183,350
NCL Corp., Ltd., 144A, 4.75%, 12/15/2021		93,000		92,303
Netflix, Inc., 144A, 5.875%, 11/15/2028		71,000		68,991
Penn National Gaming, Inc., 144A, 5.625%, 1/15/2027		80,000		71,600
Penske Automotive Group, Inc., 5.5%, 5/15/2026		165,000		153,450
Rivers Pittsburgh Borrower LP, 144A, 6.125%, 8/15/2021		50,000		48,500
Seminole Hard Rock Entertainment, Inc., 144A, 5.875%, 5/15/2021		90,000		89,775
Sonic Automotive, Inc., 6.125%, 3/15/2027		55,000		48,125
Stars Group Holdings BV, 144A, 7.0%, 7/15/2026		200,000		194,500

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

Deutsche DWS Variable Series II — DWS High Income VIP | 7

	Principal Amount ($)(a)		Value ($)
Suburban Propane Partners LP, 5.75%, 3/1/2025		105,000		96,075
Toll Brothers Finance Corp., 4.35%, 2/15/2028		127,000		108,585
TRI Pointe Group, Inc., 5.25%, 6/1/2027		135,000		105,259
United Rentals North America, Inc., 6.5%, 12/15/2026		125,000		123,125
Viking Cruises Ltd., 144A, 5.875%, 9/15/2027		205,000		191,162
WMG Acquisition Corp., 144A, 5.0%, 8/1/2023		75,000		72,938
				4,690,545
Consumer Staples 2.1%
Cott Holdings, Inc., 144A, 5.5%, 4/1/2025		225,000		212,063
FAGE International SA, 144A, 5.625%, 8/15/2026		220,000		188,100
JBS U.S.A. LUX SA:
144A, 5.75%, 6/15/2025		210,000		200,550
144A, 6.75%, 2/15/2028		235,000		229,125
Pilgrim’s Pride Corp.:
144A, 5.75%, 3/15/2025		50,000		46,875
144A, 5.875%, 9/30/2027		150,000		136,125
Simmons Foods, Inc., 144A, 5.75%, 11/1/2024		100,000		71,000
				1,083,838
Energy 20.3%
Antero Midstream Partners LP, 5.375%, 9/15/2024		125,000		116,563
Antero Resources Corp.:
5.125%, 12/1/2022		100,000		94,000
5.375%, 11/1/2021		420,000		405,300
5.625%, 6/1/2023		45,000		42,750
Ascent Resources Utica Holdings LLC, 144A, 7.0%, 11/1/2026		85,000		76,925
Blue Racer Midstream LLC, 144A, 6.125%, 11/15/2022		295,000		284,675
Carrizo Oil & Gas, Inc., 8.25%, 7/15/2025		100,000		98,000
Cheniere Corpus Christi Holdings LLC:
5.125%, 6/30/2027		230,000		217,131
5.875%, 3/31/2025		165,000		164,175
7.0%, 6/30/2024		470,000		495,850
Cheniere Energy Partners LP, 144A, 5.625%, 10/1/2026		160,000		149,600
Chesapeake Energy Corp.:
7.5%, 10/1/2026		80,000		68,400
8.0%, 1/15/2025 (b)		165,000		145,613
8.0%, 6/15/2027		315,000		264,600
CNX Midstream Partners LP, 144A, 6.5%, 3/15/2026		107,000		101,650
Crestwood Midstream Partners LP:
5.75%, 4/1/2025		65,000		60,288
6.25%, 4/1/2023		245,000		235,812
DCP Midstream Operating LP:
3.875%, 3/15/2023		100,000		93,750
5.375%, 7/15/2025		215,000		210,162
Diamondback Energy, Inc.:
144A, 4.75%, 11/1/2024		220,000		212,300
4.75%, 11/1/2024		125,000		120,625

	Principal Amount ($)(a)		Value ($)
Endeavor Energy Resources LP:
144A, 5.5%, 1/30/2026		35,000		35,875
144A, 5.75%, 1/30/2028		35,000		35,707
Energy Transfer LP, 5.5%, 6/1/2027		145,000		141,375
Extraction Oil & Gas, Inc., 144A, 5.625%, 2/1/2026		135,000		98,550
Genesis Energy LP:
6.25%, 5/15/2026		215,000		184,362
6.5%, 10/1/2025		305,000		268,400
Gulfport Energy Corp.:
6.0%, 10/15/2024		60,000		53,100
6.375%, 5/15/2025		100,000		88,500
6.375%, 1/15/2026		150,000		129,750
Halcon Resources Corp., 6.75%, 2/15/2025		125,000		91,250
Hilcorp Energy I LP:
144A, 5.0%, 12/1/2024		105,000		92,925
144A, 5.75%, 10/1/2025		245,000		218,050
144A, 6.25%, 11/1/2028		205,000		180,400
Holly Energy Partners LP, 144A, 6.0%, 8/1/2024		225,000		220,500
Jagged Peak Energy LLC, 144A, 5.875%, 5/1/2026		74,000		68,820
Laredo Petroleum, Inc.:
5.625%, 1/15/2022		70,000		62,825
6.25%, 3/15/2023 (b)		215,000		192,962
Matador Resources Co., 5.875%, 9/15/2026		134,000		123,280
MEG Energy Corp., 144A, 6.5%, 1/15/2025		234,000		237,510
Murphy Oil U.S.A., Inc., 5.625%, 5/1/2027		65,000		62,400
Nabors Industries, Inc.:
5.5%, 1/15/2023 (b)		15,000		11,906
5.75%, 2/1/2025		80,000		60,566
NuStar Logistics LP, 5.625%, 4/28/2027		236,000		220,070
Oasis Petroleum, Inc.:
6.875%, 3/15/2022 (b)		138,000		130,065
6.875%, 1/15/2023		60,000		55,425
Parsley Energy LLC:
144A, 5.25%, 8/15/2025		55,000		49,775
144A, 5.375%, 1/15/2025		85,000		78,200
144A, 5.625%, 10/15/2027		120,000		109,050
PDC Energy, Inc., 6.125%, 9/15/2024		150,000		138,750
Peabody Energy Corp., 144A, 6.0%, 3/31/2022		295,000		286,150
Precision Drilling Corp., 144A, 7.125%, 1/15/2026		110,000		94,600
Range Resources Corp.:
4.875%, 5/15/2025		125,000		102,500
5.0%, 8/15/2022		305,000		272,975
5.0%, 3/15/2023		125,000		110,000
5.875%, 7/1/2022		140,000		129,500
Resolute Energy Corp., 8.5%, 5/1/2020		31,000		30,535
Shelf Drilling Holdings Ltd., 144A, 8.25%, 2/15/2025		180,000		153,900
Southwestern Energy Co.:
6.2%, 1/23/2025		60,000		53,625
7.75%, 10/1/2027		330,000		313,500

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

8 | Deutsche DWS Variable Series II — DWS High Income VIP

	Principal Amount ($)(a)		Value ($)
Sunoco LP:
5.5%, 2/15/2026		130,000		123,175
5.875%, 3/15/2028		35,000		32,738
Targa Resources Partners LP:
4.25%, 11/15/2023		210,000		194,512
5.0%, 1/15/2028		235,000		212,675
5.375%, 2/1/2027		260,000		243,750
144A, 5.875%, 4/15/2026		113,000		109,893
Transocean, Inc., 144A, 9.0%, 7/15/2023		110,000		109,450
U.S.A. Compression Partners LP, 144A, 6.875%, 4/1/2026		142,000		136,320
Weatherford International Ltd.:
4.5%, 4/15/2022 (b)		190,000		111,150
8.25%, 6/15/2023		70,000		42,000
Whiting Petroleum Corp., 5.75%, 3/15/2021		300,000		285,000
WPX Energy, Inc.:
5.25%, 9/15/2024		145,000		131,225
6.0%, 1/15/2022		43,000		41,818
8.25%, 8/1/2023		105,000		109,725
				10,529,233
Financials 1.1%
CIT Group, Inc.:
4.75%, 2/16/2024		210,000		202,125
4.125%, 3/9/2021		15,000		14,775
CNO Financial Group, Inc., 5.25%, 5/30/2025		100,000		95,250
Lincoln Finance Ltd., 144A, 7.375%, 4/15/2021		105,000		106,313
Tempo Acquisition LLC, 144A, 6.75%, 6/1/2025		75,000		69,375
Travelport Corporate Finance PLC, 144A, 6.0%, 3/15/2026		101,000		102,010
				589,848
Health Care 8.9%
Avantor, Inc., 144A, 6.0%, 10/1/2024		70,000		68,775
Bausch Health Companies, Inc.:
144A, 5.625%, 12/1/2021		97,000		95,545
144A, 5.875%, 5/15/2023		170,000		157,250
144A, 6.125%, 4/15/2025		150,000		130,875
144A, 6.5%, 3/15/2022		105,000		105,525
144A, 7.0%, 3/15/2024		255,000		257,550
144A, 8.5%, 1/31/2027		275,000		266,750
144A, 9.25%, 4/1/2026		85,000		85,000
Centene Corp., 144A, 5.375%, 6/1/2026		95,000		92,388
Charles River Laboratories International, Inc., 144A, 5.5%, 4/1/2026		20,000		19,700
DaVita, Inc.:
5.0%, 5/1/2025		110,000		99,825
5.125%, 7/15/2024		110,000		103,125
Endo Dac, 144A, 6.0%, 7/15/2023		195,000		148,688
HCA, Inc.:
5.625%, 9/1/2028		340,000		328,100
4.75%, 5/1/2023		360,000		354,600
5.25%, 6/15/2026		580,000		575,650
5.375%, 9/1/2026		170,000		165,325
5.875%, 2/15/2026		190,000		189,050

	Principal Amount ($)(a)		Value ($)
Mallinckrodt International Finance SA, 144A, 5.625%, 10/15/2023 (b)		100,000		76,000
Tenet Healthcare Corp.:
4.5%, 4/1/2021		90,000		87,525
5.125%, 5/1/2025		225,000		209,812
6.75%, 6/15/2023 (b)		45,000		42,244
7.0%, 8/1/2025		25,000		23,125
Teva Pharmaceutical Finance Netherlands III BV:
2.2%, 7/21/2021		335,000		307,936
6.0%, 4/15/2024		250,000		240,803
6.75%, 3/1/2028		200,000		193,788
WellCare Health Plans, Inc., 144A, 5.375%, 8/15/2026		210,000		202,650
				4,627,604
Industrials 6.5%
Bombardier, Inc.:
144A, 5.75%, 3/15/2022		230,000		214,475
144A, 6.0%, 10/15/2022		283,000		265,312
BWX Technologies, Inc., 144A, 5.375%, 7/15/2026		30,000		28,866
Covanta Holding Corp.:
5.875%, 3/1/2024		160,000		150,400
5.875%, 7/1/2025		85,000		78,200
DAE Funding LLC:
144A, 4.5%, 8/1/2022		8,000		7,680
144A, 5.0%, 8/1/2024		25,000		24,188
144A, 5.75%, 11/15/2023		115,000		113,850
Energizer Gamma Acquisition, Inc., 144A, 6.375%, 7/15/2026		120,000		110,100
Meritor, Inc., 6.25%, 2/15/2024		75,000		71,625
Moog, Inc., 144A, 5.25%, 12/1/2022		120,000		119,100
Novelis Corp.:
144A, 5.875%, 9/30/2026		230,000		203,550
144A, 6.25%, 8/15/2024		290,000		272,600
Park Aerospace Holdings Ltd.:
144A, 4.5%, 3/15/2023		310,000		289,850
144A, 5.25%, 8/15/2022		327,000		316,372
144A, 5.5%, 2/15/2024		245,000		236,425
Prime Security Services Borrower LLC, 144A, 9.25%, 5/15/2023		4,000		4,125
Summit Materials LLC, 6.125%, 7/15/2023		200,000		198,000
Tennant Co., 5.625%, 5/1/2025		30,000		28,275
TransDigm, Inc., 5.5%, 10/15/2020		150,000		148,875
United Rentals North America, Inc., 5.75%, 11/15/2024		540,000		519,750
				3,401,618
Information Technology 1.8%
Cardtronics, Inc., 144A, 5.5%, 5/1/2025		95,000		87,875
Change Healthcare Holdings LLC, 144A, 5.75%, 3/1/2025		210,000		195,825
Dell International LLC, 144A, 5.875%, 6/15/2021		110,000		109,881
Fair Isaac Corp., 144A, 5.25%, 5/15/2026		130,000		125,775
First Data Corp., 144A, 5.375%, 8/15/2023		175,000		171,938
Refinitiv U.S. Holdings, Inc., 144A, 8.25%, 11/15/2026		85,000		77,669

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

Deutsche DWS Variable Series II — DWS High Income VIP | 9

	Principal Amount ($)(a)		Value ($)
TTM Technologies, Inc., 144A, 5.625%, 10/1/2025		155,000		144,150
				913,113
Materials 12.0%
AK Steel Corp.:
6.375%, 10/15/2025 (b)		100,000		77,000
7.0%, 3/15/2027		60,000		46,800
7.5%, 7/15/2023		340,000		337,450
Ardagh Packaging Finance PLC, 144A, 6.0%, 2/15/2025		220,000		203,086
Axalta Coating Systems LLC, 144A, 4.875%, 8/15/2024		175,000		165,375
Berry Global, Inc., 5.5%, 5/15/2022		315,000		313,425
BWAY Holding Co., 144A, 5.5%, 4/15/2024		175,000		164,500
Cascades, Inc., 144A, 5.5%, 7/15/2022		26,000		25,350
CF Industries, Inc., 3.45%, 6/1/2023		145,000		134,850
Chemours Co.:
5.375%, 5/15/2027		115,000		103,500
6.625%, 5/15/2023		99,000		99,990
7.0%, 5/15/2025		60,000		60,450
Clearwater Paper Corp., 144A, 5.375%, 2/1/2025		110,000		99,275
Constellium NV:
144A, 4.625%, 5/15/2021		EUR 150,000		170,646
144A, 5.75%, 5/15/2024		250,000		230,000
144A, 6.625%, 3/1/2025		250,000		231,875
Flex Acquisition Co., Inc, 144A, 7.875%, 7/15/2026		165,000		148,500
Freeport-McMoRan, Inc.:
3.55%, 3/1/2022		440,000		416,350
3.875%, 3/15/2023		115,000		106,375
4.0%, 11/14/2021		180,000		175,050
5.4%, 11/14/2034		65,000		51,188
5.45%, 3/15/2043		18,000		13,703
Hexion, Inc.:
6.625%, 4/15/2020		165,000		131,587
144A, 10.375%, 2/1/2022		40,000		31,900
Hudbay Minerals, Inc.:
144A, 7.25%, 1/15/2023		175,000		172,812
144A, 7.625%, 1/15/2025 (b)		150,000		146,625
Kaiser Aluminum Corp., 5.875%, 5/15/2024		145,000		141,737
Kronos International, Inc., REG S, 3.75%, 9/15/2025		EUR 100,000		102,545
Mercer International, Inc., 6.5%, 2/1/2024		110,000		107,525
NOVA Chemicals Corp.:
144A, 4.875%, 6/1/2024		185,000		166,962
144A, 5.25%, 6/1/2027		140,000		123,900
Platform Specialty Products Corp.:
144A, 5.875%, 12/1/2025		85,000		79,475
144A, 6.5%, 2/1/2022		290,000		290,000
Reynolds Group Issuer, Inc.:
144A, 5.125%, 7/15/2023		290,000		276,225
144A, 7.0%, 7/15/2024		35,000		33,338
Teck Resources Ltd.:
6.125%, 10/1/2035		225,000		214,875
6.25%, 7/15/2041		330,000		312,675

	Principal Amount ($)(a)		Value ($)
Tronox Finance PLC, 144A, 5.75%, 10/1/2025		66,000		53,460
Tronox, Inc., 144A, 6.5%, 4/15/2026 (b)		122,000		101,260
United States Steel Corp.:
6.25%, 3/15/2026		64,000		56,000
6.875%, 8/15/2025		295,000		269,925
WR Grace & Co-Conn, 144A, 5.125%, 10/1/2021		65,000		64,350
				6,251,914
Real Estate 2.4%
CyrusOne LP:
(REIT), 5.0%, 3/15/2024		200,000		196,000
(REIT), 5.375%, 3/15/2027		165,000		160,050
Iron Mountain, Inc.:
144A, (REIT), 5.25%, 3/15/2028		115,000		101,488
5.75%, 8/15/2024		130,000		123,500
(REIT), 6.0%, 8/15/2023		300,000		303,750
MPT Operating Partnership LP, (REIT), 6.375%, 3/1/2024		170,000		174,250
SBA Communications Corp., (REIT), 4.0%, 10/1/2022		215,000		204,787
				1,263,825
Utilities 2.4%
AmeriGas Partners LP:
5.5%, 5/20/2025		205,000		187,575
5.75%, 5/20/2027		110,000		97,350
Calpine Corp.:
144A, 5.25%, 6/1/2026		90,000		82,125
5.75%, 1/15/2025		45,000		41,175
NGL Energy Partners LP, 5.125%, 7/15/2019		140,000		138,950
NRG Energy, Inc., 5.75%, 1/15/2028		200,000		192,000
Vistra Energy Corp.:
5.875%, 6/1/2023		70,000		70,000
7.625%, 11/1/2024		264,000		278,520
Vistra Operations Co., LLC, 144A, 5.5%, 9/1/2026		175,000		168,438
				1,256,133
Total Corporate Bonds (Cost $46,342,438)				43,456,100
Loan Participations and Assignments 5.4%
Senior Loans**
AMC Entertainment Holdings, Inc., Term Loan, USD LIBOR + 2.250%, 12/15/2022 (c)		110,000		106,178
Axalta Coating Systems U.S. Holdings, Inc., Term Loan B3, 3-month USD LIBOR + 1.750%, 4.553%, 6/1/2024		198,998		188,135
CenturyLink, Inc., Term Loan B, 1-month USD LIBOR + 2.750%, 5.272%, 1/31/2025		1,326,799		1,242,547
CSC Holdings LLC, First Lien Term Loan, 1-month USD LIBOR + 2.250%, 4.705%, 7/17/2025		238,187		226,754
First Data Corp., Term Loan, USD LIBOR + 2.00%, 7/8/2022 (c)		250,000		240,820

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

10 | Deutsche DWS Variable Series II — DWS High Income VIP

	Principal Amount ($)(a)		Value ($)
Mediacom Illinois LLC, Term Loan N, USD LIBOR + 1.750%, 2/15/2024 (c)		225,000		215,251
Sprint Communications, Inc., First Lien Term Loan B, USD LIBOR + 2.500%, 2/2/2024 (c)		150,000		143,126
TransDigm, Inc., Term Loan F, USD LIBOR + 2.500%, 6/9/2023 (c)		139,648		132,142
Unitymedia Finance LLC, Term Loan D, 1-month USD LIBOR + 2.250%, 4.705%, 1/15/2026		88,493		85,690
UPC Financing Partnership, Term Loan AR, USD LIBOR + 2.500%, 1/15/2026 (c)		225,000		214,705
Total Loan Participations and Assignments (Cost $2,914,744)				2,795,348
Convertible Bonds 3.3%
Communication Services 0.1%
DISH Network Corp., 2.375%, 3/15/2024		35,000		27,866
Materials 3.2%
GEO Specialty Chemicals, Inc., 3-month USD-LIBOR + 14.0%, 16.707%** PIK, 10/18/2025 (d)		1,585,459		1,710,710
Total Convertible Bonds (Cost $1,612,280)				1,738,576
	Shares		Value ($)
Common Stocks 0.2%
Industrials 0.0%
Quad Graphics, Inc.		287		3,536

	Shares			Value ($)
Materials 0.2%
GEO Specialty Chemicals, Inc.* (d)		927,264			116,001
GEO Specialty Chemicals, Inc. 144A* (d)		2,206			276
					116,277
Total Common Stocks (Cost $502,972)					119,813
Warrant 0.1%
Materials
Hercules Trust II, Expiration Date 3/31/2029* (d) (Cost $244,286)		1,100			27,119
Securities Lending Collateral 2.8%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares, 2.29% (e) (f) (Cost $1,464,490)		1,464,490			1,464,490
Cash Equivalent 8.4%
DWS Central Cash Management Government Fund, 2.41% (e) (Cost $4,341,875)		4,341,875			4,341,875
	% of Net Assets			Value ($)
Total Investment Portfolio (Cost $57,423,085)		103.7			53,943,321
Other Assets and Liabilities, Net		(3.7	)		(1,920,340	)
Net Assets		100.0			52,022,981

A summary of the Fund’s transactions with affiliated investments during the year ended December 31, 2018 are as follows:

Value ($) at 12/31/2017	Purchases Cost ($)		Sales Proceeds ($)			Net Realized Gain/ (Loss) ($)		Net Change in Unrealized Appreciation (Depreciation) ($)		Income ($)		Capital Gain Distributions ($)		Number of Shares at 12/31/2018		Value ($) at 12/31/2018
Securities Lending Collateral 2.8%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (e) (f)
1,697,463		—		232,973	(g)		—		—		33,635		—		1,464,490		1,464,490
Cash Equivalent 8.4%
DWS Central Cash Management Government Fund, 2.41% (e)
2,240,926		25,477,738		23,376,789			—		—		69,371		—		4,341,875		4,341,875
3,938,389		25,477,738		23,609,762			—		—		103,006		—		5,806,365		5,806,365

* Non-income producing security.

** Variable or floating rate security. These securities are shown at their current rate as of December 31, 2018. For securities based on a published reference rate and spread, the reference rate and spread are indicated within the description above. Certain variable rate securities are not based on a published reference rate and spread but adjust periodically based on current market conditions, prepayment of underlying positions and/or other variables.

(a) Principal amount stated in U.S. dollars unless otherwise noted.

(b) All or a portion of these securities were on loan. In addition, “Other Assets and Liabilities, Net” may include pending sales that are also on loan. The value of securities loaned at December 31, 2018 amounted to $1,401,654, which is 2.7% of net assets.

(c) All or a portion of the security represents unsettled loan commitments at December 31, 2018 where the rate will be determined at time of settlement.

(d) Investment was valued using significant unobservable inputs.

(e) Affiliated fund managed by DWS Investment Management Americas, Inc. The rate shown is the annualized seven-day yield at period end.

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

Deutsche DWS Variable Series II — DWS High Income VIP | 11

(f) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates.

(g) Represents the net increase (purchase cost) or decrease (sales proceeds) in the amount invested for the year ended December 31, 2018.

144A: Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.

LIBOR: London Interbank Offered Rate

PIK: Denotes that all or a portion of the income is paid in-kind in the form of additional principal.

REG S: Securities sold under Regulation S may not be offered, sold or delivered within the United States or to, or for the account or benefit of, U.S. persons, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933.

REIT: Real Estate Investment Trust

As of December 31, 2018, the Fund had the following open forward foreign currency contracts:

Contracts to Deliver		In Exchange For			Settlement Date		Unrealized Depreciation ($)			Counterparty
EUR	627,271		USD	719,179		1/31/2019		(1,436	)	Bank of America

Currency Abbreviations

EUR Euro

USD United States Dollar

For information on the Fund’s policy and additional disclosures regarding forward foreign currency contracts, please refer to the Derivatives section of Note A in the accompanying Notes to Financial Statements.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1		Level 2			Level 3		Total
Fixed Income Investments (h)
Corporate Bonds	$	—	$	43,456,100		$	—	$	43,456,100
Loan Participations and Assignments		—		2,795,348			—		2,795,348
Convertible Bonds		—		27,866			1,710,710		1,738,576
Common Stocks (h)		3,536		—			116,277		119,813
Warrant		—		—			27,119		27,119
Short-Term Investments (h)		5,806,365		—			—		5,806,365
Total	$	5,809,901	$	46,279,314		$	1,854,106	$	53,943,321
Liabilities	Level 1		Level 2			Level 3		Total
Derivatives (i)
Forward Foreign Currency Exchange Contracts	$	—	$	(1,436	)	$	—	$	(1,436	)
Total	$	—	$	(1,436	)	$	—	$	(1,436	)

(h) See Investment Portfolio for additional detailed categorizations.

(i) Derivatives include unrealized appreciation (depreciation) on open forward foreign currency contract.

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

12 | Deutsche DWS Variable Series II — DWS High Income VIP

Level 3 Reconciliation

The following is a reconciliation of the Fund’s Level 3 investments for which significant unobservable inputs were used in determining value:

	Convertible Bonds			Common Stocks			Warrant			Total
Balance as of December 31, 2017	$	1,950,703		$	49,368		$	29,732		$	2,029,803
Realized gains (loss)		—			—			—			—
Change in unrealized appreciation (depreciation)		(283,013	)		(143,913	)		(2,613	)		(429,539	)
Amortization of premium/accretion of discount		229			—			—			229
Purchases/PIK		42,791			210,822			—			253,613
(Sales)		—			—			—			—
Transfer into Level 3		—			—			—			—
Transfer (out) of Level 3		—			—			—			—
Balance as of December 31, 2018	$	1,710,710		$	116,277		$	27,119		$	1,854,106
Net change in unrealized appreciation (depreciation) from investments still held as of December 31, 2018	$	(283,013	)	$	(143,913	)	$	(2,613	)	$	(429,539	)

Quantitative Disclosure About Significant Unobservable Inputs
Asset Class	Fair Value at 12/31/18		Valuation Technique(s)		Unobservable Input	Range (Weighted Average)
Common Stocks
Materials		$116,277		Market Approach	EBITDA Multiple	5.56%
					Discount for lack of marketability	22%
Warrant
Materials		$27,119		Black Scholes Option Pricing Model	Implied Volatility of Option	21.61%
					Discount for lack of marketability	20%
Convertible Bond
Materials		$1,710,710		Option Pricing Model	Implied Volatility of Option	45%
					Discount Rate	18.38%
					EBITDA Multiple	5.56%
					Discount for lack of marketability	22%

Qualitative Disclosure About Unobservable Inputs

Significant unobservable inputs developed by the Pricing Committee and used in the fair value measurement of the Fund’s convertible bond investment include enterprise value (EV) to earnings before interest, taxes, depreciation and amortization (EBITDA) ratio with a discount for lack of marketability; implied volatility of option; and discount rate. A significant change in the EV to EBITDA ratio and implied volatility of option may result in a significant change in the fair value measurement, while a significant change in the discount for lack of marketability and discount rate are unlikely to result in a materially higher or lower fair value measurement.

Significant unobservable inputs developed by the Pricing Committee and used in the fair value measurement of the Fund’s commonstock investment include enterprise value (EV) to earnings before interest, taxes, depreciation and amortization (EBITDA) ratio with a discount for lack of marketability. A significant change in the EV to EBITDA ratio may result in a significant change in the fair value measurement, while a significant change in the discount for lack of marketability is unlikely to result in a materially higher or lower fair value measurement.

Significant unobservable inputs developed by the Pricing Committee and used in the fair value measurement of the Fund’s warrants include volatility and discount for lack of marketability. A change in the volatility of the underlying asset as an input to the Black-Scholes model may have a significant change in the fair value measurement. A significant change in the discount for lack of marketability is unlikely to have a material impact to the fair value measurement.

A significant change in the broker quotes for the Fund’s senior loan investments could have a material change on the fair value measurement.

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

Deutsche DWS Variable Series II — DWS High Income VIP | 13

Statement of Assets and Liabilities

as of December 31, 2018
Assets
Investments in non-affiliated securities, at value (cost $51,616,720) — including $1,401,654 of securities loaned	$	48,136,956
Investment in DWS Government & Agency Securities Portfolio (cost $1,464,490)*		1,464,490
Investment in DWS Central Cash Management Government Fund (cost $4,341,875)		4,341,875
Foreign currency, at value (cost $10,056)		10,057
Receivable for investments sold		3,852
Receivable for Fund shares sold		2,489
Interest receivable		792,585
Due from Advisor		10,933
Other assets		1,446
Total assets		54,764,683
Liabilities
Payable upon return of securities loaned		1,464,490
Payable for investments purchased		1,075,792
Payable for Fund shares redeemed		55,350
Unrealized depreciation on forward foreign currency contracts		1,436
Accrued Trustees’ fees		1,709
Other accrued expenses and payables		142,925
Total liabilities		2,741,702
Net assets, at value	$	52,022,981
Net Assets Consist of
Distributable earnings (loss)		(6,881,707	)
Paid-in capital		58,904,688
Net assets, at value	$	52,022,981
Net Asset Value
Class A
Net Asset Value, offering and redemption price per share ($51,888,699 ÷ 9,081,584 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	5.71
Class B
Net Asset Value, offering and redemption price per share ($134,282 ÷ 23,418 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	5.73

* Represents collateral on securities loaned.

     Statement of Operations

for the year ended December 31, 2018
Investment Income
Income:
Interest	$	3,439,837
Income distributions — DWS Central Cash Management Government Fund		69,371
Securities lending income, net of borrower rebates		33,635
Total income		3,542,843
Expenses:
Management fee		290,414
Administration fee		58,083
Services to Shareholders		1,012
Record keeping fee (Class B)		206
Distribution service fees (Class B)		417
Custodian fee		20,838
Professional fees		94,343
Reports to shareholders		43,566
Trustees’ fees and expenses		4,511
Pricing service fee		30,287
Other		4,728
Total expenses before expense reductions		548,405
Expense reductions		(148,560	)
Total expenses after expense reductions		399,845
Net investment income		3,142,998
Realized and Unrealized Gain (Loss)
Net realized gain (loss) from:
Investments		(202,767	)
Swap contracts		2,106
Forward foreign currency contracts		23,762
Foreign currency		243
		(176,656	)
Change in net unrealized appreciation (depreciation) on:
Investments		(4,261,780	)
Forward foreign currency contracts		5,480
Foreign currency		(26	)
		(4,256,326	)
Net gain (loss)		(4,432,982	)
Net increase (decrease) in net assets resulting from operations	$	(1,289,984	)

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

14 | Deutsche DWS Variable Series II — DWS High Income VIP

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income (loss)	$	3,142,998		$	4,649,907
Net realized gain (loss)		(176,656	)		3,495,016
Change in net unrealized appreciation (depreciation)		(4,256,326	)		(975,421	)
Net increase (decrease) in net assets resulting from operations		(1,289,984	)		7,169,502
Distributions to shareholders:
Class A		(4,670,013	)		(5,780,980	)
Class B		(14,079	)		(94,574	)
Total distributions		(4,684,092	)		(5,875,554	)*
Fund share transactions:
Class A
Proceeds from shares sold		4,796,087			12,759,797
Reinvestment of distributions		4,670,013			5,780,980
Payments for shares redeemed		(12,180,108	)		(58,823,711	)
Net increase (decrease) in net assets from Class A share transactions		(2,714,008	)		(40,282,934	)
Class B
Proceeds from shares sold		63,056			120,675
Reinvestment of distributions		14,079			94,574
Payments for shares redeemed		(64,199	)		(1,640,132	)
Net increase (decrease) in net assets from Class B share transactions		12,936			(1,424,883	)
Increase (decrease) in net assets		(8,675,148	)		(40,413,869	)
Net assets at beginning of period		60,698,129			101,111,998
Net assets at end of period	$	52,022,981		$	60,698,129	**
Other Information
Class A
Shares outstanding at beginning of period		9,527,083			15,845,238
Shares sold		775,176			2,017,781
Shares issued to shareholders in reinvestment of distributions		803,789			946,151
Shares redeemed		(2,024,464	)		(9,282,087	)
Net increase (decrease) in Class A shares		(445,499	)		(6,318,155	)
Shares outstanding at end of period		9,081,584			9,527,083
Class B
Shares outstanding at beginning of period		21,761			254,095
Shares sold		9,962			18,818
Shares issued to shareholders in reinvestment of distributions		2,411			15,403
Shares redeemed		(10,716	)		(266,555	)
Net increase (decrease) in Class B shares		1,657			(232,334	)
Shares outstanding at end of period		23,418			21,761

* Includes distributions from net investment income.

** Includes undistributed net investment income of $4,654,101.

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

Deutsche DWS Variable Series II — DWS High Income VIP | 15

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	6.36		$	6.28		$	5.93		$	6.60		$	6.96
Income (loss) from investment operations:
Net investment incomea		.33			.31			.32			.32			.36
Net realized and unrealized gain (loss)		(.48	)		.15			.41			(.58	)		(.25	)
Total from investment operations		(.15	)		.46			.73			(.26	)		.11
Less distributions from:
Net investment income		(.50	)		(.38	)		(.38	)		(.41	)		(.47	)
Net asset value, end of period	$	5.71		$	6.36		$	6.28		$	5.93		$	6.60
Total Return (%)b		(2.52	)		7.51			12.87			(4.44	)		1.47
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		52			61			100			101			135
Ratio of expenses before expense reductions (%)c		.94			.78			.80			.75			.75
Ratio of expenses after expense reductions (%)c		.69			.72			.72			.72			.73
Ratio of net investment income (%)		5.41			4.98			5.38			5.09			5.21
Portfolio turnover rate (%)		62			71			77			47			52

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

	Years Ended December 31,
Class B	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	6.38		$	6.30		$	5.94		$	6.63		$	6.99
Income (loss) from investment operations:
Net investment incomea		.31			.31			.31			.32			.35
Net realized and unrealized gain (loss)		(.48	)		.13			.41			(.61	)		(.26	)
Total from investment operations		(.17	)		.44			.72			(.29	)		.09
Less distributions from:
Net investment income		(.48	)		(.36	)		(.36	)		(.40	)		(.45	)
Net asset value, end of period	$	5.73		$	6.38		$	6.30		$	5.94		$	6.63
Total Return (%)b		(2.76	)		7.21			12.67			(4.95	)		1.22
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		.1			.1			2			3			.03
Ratio of expenses before expense reductions (%)c		1.34			1.15			1.21			1.14			1.13
Ratio of expenses after expense reductions (%)c		.96			.98			.98			1.02			.97
Ratio of net investment income (%)		5.14			4.88			5.15			4.86			5.09
Portfolio turnover rate (%)		62			71			77			47			52

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

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

16 | Deutsche DWS Variable Series II — DWS High Income VIP

Notes to Financial Statements

A. Organization and Significant Accounting Policies

DWS High Income VIP (formerly Deutsche High Income VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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.

Multiple Classes of Shares of Beneficial Interest. The Fund offers two classes of shares (Class A shares and Class B shares). Sales of Class B shares are subject to recordkeeping fees up to 0.15% and Rule 12b-1 fees under the 1940 Act equal to an annual rate of 0.25% of the average daily net assets of the Class B shares of the Fund. Class A shares are not subject to such fees.

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 (including the applicable Rule 12b-1 fee and recordkeeping fees). Differences in class-level expenses may result in payment of different per share dividends by class. All shares 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 (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

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.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

Debt securities and loan participations and assignments are valued at prices supplied by independent pricing services approved by the Fund’s Board. 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, prepayment speeds and other data, as well as broker quotes. If the pricing services are unable to provide valuations, debt securities are valued at the average of the most recent reliable bid quotations or evaluated prices, as applicable, obtained from broker-dealers and loan participations and assignments are valued at the mean of the most recent bid and ask quotations or evaluated prices, as applicable, obtained from broker-dealers. Certain securities may be valued on the basis of a price provided by a single source or broker-dealer. No active trading market may exist for some senior loans and they may be subject to restrictions on resale. The inability to dispose of senior loans in a timely fashion could result in losses. These securities are generally categorized as Level 2.

Equity securities are valued at the most recent sale price or official closing price reported on the exchange (U.S. or foreign) or over-the-counter market on which they trade. 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. Equity securities are generally categorized as Level 1 securities.

Deutsche DWS Variable Series II — DWS High Income VIP | 17

Investments in open-end investment companies are valued at their net asset value each business day and are categorized as Level 1.

Forward currency contracts are valued at the prevailing forward exchange rate of the underlying currencies and are categorized as Level 2.

Swap contracts are valued daily based upon prices supplied by a Board approved pricing vendor, if available, and otherwise are valued at the price provided by the broker-dealer. Swap contracts are generally categorized as Level 2.

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 Board and are generally categorized as Level 3. In accordance with the Fund’s valuation procedures, factors considered in determining value may include, but are not limited to, the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security’s disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer, analysts and/or the appropriate stock exchange (for exchange-traded securities); an analysis of the company’s or issuer’s financial statements; an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold; and with respect to debt securities, the maturity, coupon, creditworthiness, currency denomination and the movement of the market in which the security is normally traded. The value determined under these procedures may differ from published values for the same securities.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Investment securities and other assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the prevailing exchange rates at period end. Purchases and sales of investment securities, income and expenses are translated into U.S. 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 acquisition and disposition of foreign currencies, and the difference between the amount of net investment income accrued and the U.S. 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. Deutsche Bank AG, as lending agent, lends securities of the Fund to certain financial institutions under the terms of its securities lending agreement. During the term of the loans, the Fund continues to receive interest and dividends generated by the 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 either cash or 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 agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the securities lending agreement. As of period end, any securities on loan were collateralized by cash. During the year ended December 31, 2018, the Fund invested the cash collateral into a joint trading account in affiliated money market funds managed by DWS Investment Management Americas, Inc. As of December 31, 2018, the Fund invested the cash collateral in DWS Government & Agency Securities Portfolio. DWS Investment Management Americas, Inc. receives a management/administration fee (0.12% annualized effective rate as of December 31, 2018) on the cash collateral invested in DWS Government & Agency Securities Portfolio. 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 at any time, and the borrower, after notice, is required to return borrowed securities within a standard time period. 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. If the Fund is not able to recover securities lent, the Fund may sell the collateral and purchase a replacement investment in the market, incurring the risk that the value of the replacement security is greater than the value of the collateral. 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.

18 | Deutsche DWS Variable Series II — DWS High Income VIP

As of December 31, 2018, the Fund had securities on loan, which were classified as corporate bonds in the Investment Portfolio. The value of the related collateral exceeded the value of the securities loaned at period end. As of period end, the remaining contractual maturity of the collateral agreements were overnight and continuous.

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.

At December 31, 2018, the Fund had a net tax basis capital loss carryforward of approximately $6,549,000, which may be applied against realized net taxable capital gains indefinitely, including short-term losses ($843,000) and long-term losses ($5,706,000).

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investment income of the Fund, if any, are 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 Fund may also make additional distributions for tax purposes if necessary.

The timing and characterization of certain income and capital gain 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 swap contracts 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, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income*	$	3,149,185
Capital loss carryforwards	$	(6,549,000	)
Unrealized appreciation (depreciation) on investments	$	(3,482,138	)

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $57,425,459. The net unrealized depreciation for all investments based on tax cost was $3,482,138. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $256,747 and aggregate gross unrealized depreciation for all investments in which there was an excess of tax cost over value of $3,738,885.

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

	Years Ended December 31,
	2018		2017
Distributions from ordinary income*	$	4,684,092	$	5,875,554

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

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 based upon the relative net assets or other appropriate measures.

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.

Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment transactions are reported on trade date. Interest income is recorded on the accrual basis. Dividend income is recorded on ex-dividend date. Realized gains and losses from investment transactions are recorded on an identified cost basis. Proceeds from litigation payments, if any, are included in net realized gain (loss) from investments. All discounts and

Deutsche DWS Variable Series II — DWS High Income VIP | 19

premiums are accreted/amortized for both tax and financial reporting purposes for the Fund, with the exception of securities in default of principal.

B. Derivative Instruments

Swaps. A swap is a contract between two parties to exchange future cash flows at periodic intervals based on the notional amount of the swap. A bilateral swap is a transaction between the fund and a counterparty where cash flows are exchanged between the two parties. A centrally cleared swap is a transaction executed between the fund and a counterparty, then cleared by a clearing member through a central clearinghouse. The central clearinghouse serves as the counterparty, with whom the fund exchanges cash flows.

The value of a swap is adjusted daily, and the change in value, if any, is recorded as unrealized appreciation or depreciation in the Statement of Assets and Liabilities. Gains or losses are realized when the swap expires or is closed. Certain risks may arise when entering into swap transactions including counterparty default; liquidity; or unfavorable changes in interest rates or the value of the underlying reference security, commodity or index. In connection with bilateral swaps, securities and/or cash may be identified as collateral in accordance with the terms of the swap agreement to provide assets of value and recourse in the event of default. The maximum counterparty credit risk is the net present value of the cash flows to be received from or paid to the counterparty over the term of the swap, to the extent that this amount is beneficial to the Fund, in addition to any related collateral posted to the counterparty by the Fund. This risk may be partially reduced by a master netting arrangement between the Fund and the counterparty. Upon entering into a centrally cleared swap, the Fund is required to deposit with a financial intermediary cash or securities (“initial margin”) in an amount equal to a certain percentage of the notional amount of the swap. Subsequent payments (“variation margin”) are made or received by the Fund dependent upon the daily fluctuations in the value of the swap. In a cleared swap transaction, counterparty risk is minimized as the central clearinghouse acts as the counterparty.

An upfront payment, if any, made by the Fund is recorded as an asset in the Statement of Assets and Liabilities. An upfront payment, if any, received by the Fund is recorded as a liability in the Statement of Assets and Liabilities. Payments received or made at the end of the measurement period are recorded as realized gain or loss in the Statement of Operations.

Credit default swaps are agreements between a buyer and a seller of protection against predefined credit events for the reference entity. The Fund may enter into credit default swaps to gain exposure to an underlying issuer’s credit quality characteristics without directly investing in that issuer or to hedge against the risk of a credit event on debt securities. As a seller of a credit default swap, the Fund is required to pay the par (or other agreed-upon) value of the referenced entity to the counterparty with the occurrence of a credit event by a third party, such as a U.S. or foreign corporate issuer, on the reference entity, which would likely result in a loss to the Fund. In return, the Fund receives from the counterparty a periodic stream of payments over the term of the swap provided that no credit event has occurred. If no credit event occurs, the Fund keeps the stream of payments with no payment obligations. The Fund may also buy credit default swaps, in which case the Fund functions as the counterparty referenced above. This involves the risk that the swap may expire worthless. It also involves counterparty risk that the seller may fail to satisfy its payment obligations to the Fund with the occurrence of a credit event. When the Fund sells a credit default swap, it will cover its commitment. This may be achieved by, among other methods, maintaining cash or liquid assets equal to the aggregate notional value of the reference entities for all outstanding credit default swaps sold by the Fund. For the year ended December 31, 2018, the Fund entered into credit default swap agreements to gain exposure to the underlying issuer’s credit quality characteristics.

Under the terms of a credit default swap, the Fund receives or makes periodic payments based on a specified interest rate on a fixed notional amount. These payments are recorded as a realized gain or loss in the Statement of Operations. Payments received or made as a result of a credit event or termination of the swap are recognized, net of a proportional amount of the upfront payment, as realized gains or losses in the Statement of Operations.

There were no open credit default swap contracts as of December 31, 2018. For the year ended December 31, 2018, the Fund’s investment in credit default swap contracts sold had a total notional value generally indicative of a range from $0 to $600,000.

Forward Foreign Currency Exchange Contracts. A forward foreign currency exchange contract (“forward currency contract”) is a commitment to purchase or sell a foreign currency at the settlement date at a negotiated rate. For the year ended December 31, 2018, the Fund entered into forward currency contracts in

20 | Deutsche DWS Variable Series II — DWS High Income VIP

order to hedge its exposure to changes in foreign currency exchange rates on its foreign currency denominated portfolio holdings and to facilitate transactions in foreign currency denominated securities.

Forward currency contracts are valued at the prevailing forward exchange rate of the underlying currencies and unrealized gain (loss) is recorded daily. On the settlement date of the forward currency contract, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value of the contract at the time it was closed. Certain risks may arise upon entering into forward currency contracts from the potential inability of counterparties to meet the terms of their contracts. The maximum counterparty credit risk to the Fund is measured by the unrealized gain on appreciated contracts. Additionally, when utilizing forward currency contracts to hedge, the Fund gives up the opportunity to profit from favorable exchange rate movements during the term of the contract.

A summary of the open forward currency contracts as of December 31, 2018 is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in forward currency contracts short vs. U.S. dollars had a total contract value generally indicative of a range from approximately $399,000 to $719,000.

The following table summarizes the value of the Fund’s derivative instruments held as of December 31, 2018 and the related location in the accompanying Statement of Assets and Liabilities, presented by primary underlying risk exposure:

Liability Derivative	Forward Contract
Foreign Exchange Contract (a)	$	(1,436	)

The above derivative is located in the following Statement of Assets and Liabilities account:

(a) Unrealized depreciation on forward foreign currency contract.

Additionally, the amount of unrealized and realized gains and losses on derivative instruments recognized in Fund earnings during the year ended December 31, 2018 and the related location in the accompanying Statement of Operations is summarized in the following tables by primary underlying risk exposure:

Realized Gain (Loss)	Forward Contracts		Swap Contracts		Total
Credit Contracts (b)	$	—	$	2,106	$	2,106
Foreign Exchange Contracts (c)		23,762		—		23,762
	$	23,762	$	2,106	$	25,868

Each of the above derivatives is located in the following Statement of Operations accounts:

(b) Net realized gain (loss) from swap contracts

(c) Net realized gain (loss) from forward foreign currency contracts

Change in Net Unrealized Appreciation (Depreciation)	Forward Contract
Foreign Exchange Contract (d)	$	5,480

The above derivative is located in the following Statement of Operations accounts:

(d) Change in net unrealized appreciation (depreciation) on forward foreign currency contracts

As of December 31, 2018, the Fund has transactions subject to enforceable master netting agreements which govern the terms of certain transactions, and reduce the counterparty risk associated with such transactions. Master netting agreements allow a Fund to close out and net total exposure to a counterparty in the event of a deterioration in the credit quality or contractual default with respect to all of the transactions with a counterparty. As defined by the master netting agreement, the Fund may have collateral agreements with certain counterparties to mitigate risk. For financial reporting purposes the Statement of Assets and Liabilities generally shows derivatives assets and liabilities on a gross basis, which reflects the full risks and exposures prior to netting. A reconciliation of the gross amounts on the Statement of Assets and Liabilities to the net amounts by a counterparty, including any collateral exposure, is included in the following table:

Counterparty	Gross Amounts of Liabilities Presented in the Statement of Assets and Liabilities		Financial Instruments and Derivatives Available for Offset		Collateral Pledged		Net Amount of Derivative Liabilities
Bank of America	$	1,436	$	—	$	—	$	1,436

Deutsche DWS Variable Series II — DWS High Income VIP | 21

C. Purchases and Sales of Securities

During the year ended December 31, 2018, purchases and sales of investment transactions (excluding short-term investments and U.S. Treasury securities) aggregated $33,354,764 and $38,461,744, respectively.

D. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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.

Pursuant to the Investment Management Agreement with the Advisor, 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:

First $250 million	.500	%
Next $750 million	.470	%
Next $1.5 billion	.450	%
Next $2.5 billion	.430	%
Next $2.5 billion	.400	%
Next $2.5 billion	.380	%
Next $2.5 billion	.360	%
Over $12.5 billion	.340	%

Accordingly, for the year ended December 31, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annual rate (exclusive of any applicable waivers/reimbursements) of 0.50% of the Fund’s average daily net assets.

For the period from January 1, 2018 through September 30, 2018, the Advisor had contractually agreed to waive all or a portion of its fees and/or reimburse certain operating expenses of the Fund to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of each class as follows:

Class A	.69	%
Class B	.97	%

Effective October 1, 2018 through September 30, 2019, the Advisor has contractually agreed to waive all or a portion of its fees and/or reimburse certain operating expenses of the Fund to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of each class as follows:

Class A	.68	%
Class B	.94	%

For the year ended December 31, 2018, fees waived and/or expenses reimbursed for each class were as follows:

Class A	$	147,926
Class B		634
	$	148,560

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays DIMA 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, 2018, the Administration Fee was $58,083, of which $4,543 is unpaid.

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent,

22 | Deutsche DWS Variable Series II — DWS High Income VIP

dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018, the amounts charged to the Fund by DSC were as follows:

Services to Shareholders	Total Aggregated		Unpaid at December 31, 2018
Class A	$	271	$	45
Class B		51		8
	$	322	$	53

Distribution Service Agreement. Under the Fund’s Class B 12b-1 plan, DWS Distributors, Inc. (“DDI”) received a fee (“Distribution Service Fee”) of 0.25% of average daily net assets of Class B shares. For the year ended December 31, 2018, the Distribution Service Fee was $417, of which $30 is unpaid.

Typesetting and Filing Service Fees. Under an agreement with the Fund, DIMA is compensated for providing certain pre-press and regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $9,572, of which $7,400 is unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

Affiliated Cash Management Vehicles. The Fund may invest uninvested cash balances in DWS Central Cash Management Government Fund and DWS ESG Liquidity Fund, affiliated money market funds which are managed by the Advisor. Each affiliated money market fund is managed in accordance with Rule 2a-7 under the 1940 Act, which governs the quality, maturity, diversity and liquidity of instruments in which a money market fund may invest. DWS Central Cash Management Government Fund seeks to maintain a stable net asset value, and DWS ESG Liquidity Fund maintains a floating net asset value. The Fund indirectly bears its proportionate share of the expenses of each affiliated money market fund in which it invests. DWS Central Cash Management Government Fund does not pay the Advisor an investment management fee. To the extent that DWS ESG Liquidity Fund pays an investment management fee to the Advisor, the Advisor will waive an amount of the investment management fee payable to the Advisor by the Fund equal to the amount of the investment management fee payable on the Fund’s assets invested in DWS ESG Liquidity Fund.

Security Lending Fees. Deutsche Bank AG serves as lending agent for the Fund. For the year ended December 31, 2018, the Fund incurred lending agent fees to Deutsche Bank AG for the amount of $2,532.

E. Investing in High-Yield Debt Securities

High-yield debt securities or junk bonds are generally regarded as speculative with respect to the issuer’s continuing ability to meet principal and interest payments. The Fund’s performance could be hurt if an issuer of a debt security suffers an adverse change in financial condition that results in the issuer not making timely payments of interest or principal, a security downgrade or an inability to meet a financial obligation. High-yield debt securities’ total return and yield may generally be expected to fluctuate more than the total return and yield of investment-grade debt securities. A real or perceived economic downturn or an increase in market interest rates could cause a decline in the value of high-yield debt securities, result in increased redemptions and/or result in increased portfolio turnover, which could result in a decline in net asset value of the fund, reduce liquidity for certain investments and/or increase costs. High-yield debt securities are often thinly traded and can be more difficult to sell and value accurately than investment-grade debt securities as there may be no established secondary market. Investments in high yield debt securities could increase liquidity risk for the fund. In addition, the market for high-yield debt securities can experience sudden and sharp volatility which is generally associated more with investments in stocks.

F. Ownership of the Fund

At December 31, 2018, two participating insurance companies were owners of record of 10% or more of the total outstanding Class A shares of the Fund, each owning 72% and 19%. One participating insurance company was owner of record of 10% or more of the total outstanding Class B shares of the Fund, owning 92%.

Deutsche DWS Variable Series II — DWS High Income VIP | 23

G. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a $400 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 a rate per annum equal to the sum of the Federal Funds Rate plus 1.25 percent plus if the one-month LIBOR exceeds the Federal Funds Rate, the amount of such excess. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement. The Fund had no outstanding loans at December 31, 2018.

24 | Deutsche DWS Variable Series II — DWS High Income VIP

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS High Income VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS High Income VIP (formerly Deutsche High Income VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

Deutsche DWS Variable Series II — DWS High Income VIP | 25

Information About Your Fund’s Expenses (Unaudited)

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 contract charges, 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, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2018
Actual Fund Return	Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	977.70	$	976.10
Expenses Paid per $1,000*	$	3.44	$	4.78
Hypothetical 5% Fund Return	Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	1,021.73	$	1,020.37
Expenses Paid per $1,000*	$	3.52	$	4.89

* Expenses are equal to the Fund’s annualized expense ratio for each share class, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratios	Class A			Class B
Deutsche DWS Variable Series II — DWS High Income VIP		.69	%		.96	%

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

26 | Deutsche DWS Variable Series II — DWS High Income VIP

Tax Information (Unaudited)

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 contact your insurance provider.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

Deutsche DWS Variable Series II — DWS High Income VIP | 27

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS High Income VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– In connection with reviewing the Agreement, 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.

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 is part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 personnel and administrative support services provided by DIMA, such as back-office operations, fund valuations, and compliance policies and procedures.

Nature, Quality and Extent of Services. The Board considered the terms of the Agreement, including the scope of advisory services provided under the Agreement. The Board noted that, under the Agreement, DIMA provides 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 and the resources made available to such personnel. 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 index(es) and a peer universe compiled using information supplied by Morningstar Direct (“Morningstar”), an independent fund data service. The Board also noted that it has put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s plans to address underperformance. The Board

28 | Deutsche DWS Variable Series II — DWS High Income VIP

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-, three- and five-year periods ended December 31, 2017, the Fund’s performance (Class A shares) was in the 2nd quartile, 4th quartile and 3rd quartile, respectively, of the applicable Morningstar universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund has outperformed its benchmark in the one-year period and has underperformed its benchmark in the three- and five-year periods ended December 31, 2017. The Board noted the disappointing investment performance of the Fund in some past periods and continued to discuss with senior management of DIMA the factors contributing to such underperformance and actions being taken to improve performance. The Board observed that the Fund had experienced improved relative performance in 2017 and during the first eight months of 2018. The Board recognized the efforts by DIMA in recent years to enhance its investment platform and improve long-term performance across the DWS fund complex.

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were lower than the median (1st quartile) of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). The Board noted that the Fund’s Class A shares total (net) operating expenses were expected to be lower than the median (2nd quartile) of the applicable Broadridge expense universe (based on Broadridge data provided as of December 31, 2017, and analyzing Broadridge expense universe Class A (net) expenses less any applicable 12b-1 fees) (“Broadridge Universe Expenses”). The Board also reviewed data comparing each share class’s total (net) operating expenses to the applicable Broadridge Universe Expenses. The Board noted that the expense limitations agreed to by DIMA were expected to help the Fund’s total (net) operating expenses remain competitive. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to comparable DWS U.S. registered funds (“DWS Funds”) and considered differences between the Fund and the comparable DWS Funds. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs to DIMA, 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 DIMA and its affiliates with respect to all fund services in totality and by fund. The Board and the Fee Consultant 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 certain publicly available 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 Funds (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 most 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 investment 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 or “fall-out” benefits received by DIMA and its affiliates, including any fees received by DIMA for administrative services provided to the Fund, any fees received by an affiliate of DIMA for transfer agency

Deutsche DWS Variable Series II — DWS High Income VIP | 29

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. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously determined that the continuation of the Agreement 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreement.

30 | Deutsche DWS Variable Series II — DWS High Income VIP

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International; Public Radio International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago); Life Director of Hubbard Street Dance Chicago		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston); American Documentary, Inc. (public media)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

Deutsche DWS Variable Series II — DWS High Income VIP | 31

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS

32 | Deutsche DWS Variable Series II — DWS High Income VIP

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

Deutsche DWS Variable Series II — DWS High Income VIP | 33

Notes

Notes

  VS2HI-2 (R-025832-8 2/19)

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS International Growth VIP

(formerly Deutsche International Growth VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
4	Management Summary
6	Portfolio Summary
7	Investment Portfolio
10	Statement of Assets and Liabilities
10	Statement of Operations
11	Statements of Changes in Net Assets
12	Financial Highlights
13	Notes to Financial Statements
18	Report of Independent Registered Public Accounting Firm
19	Information About Your Fund’s Expenses
20	Tax Information
20	Proxy Voting
21	Advisory Agreement Board Considerations and Fee Evaluation
24	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

Stocks may decline in value. Smaller company stocks tend to be more volatile than medium-sized or large company stocks. Investing in foreign securities, particularly those of emerging markets, presents certain risks, such as currency fluctuations, political and economic changes, and market risks. Emerging markets tend to be more volatile and less liquid than the markets of more mature economies, and generally have less diverse and less mature economic structures and less stable political systems than those of developed countries. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. The Fund may lend securities to approved institutions. Please read prospectus for details.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

NOT FDIC/NCUA INSURED     NO BANK GUARANTEE     MAY LOSE VALUE     NOT A DEPOSIT

NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

2 | Deutsche DWS Variable Series II — DWS International Growth VIP

Performance Summary December 31, 2018 (Unaudited)

Fund 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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns. While all share classes have the same underlying portfolio, their performance will differ.

The gross expense ratios of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 are 1.33% and 1.67% for Class A and Class B shares, respectively, and may differ from the expense ratios disclosed in the Financial Highlights tables in this report.

Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights.

Growth of an Assumed $10,000 Investment in DWS Global Growth VIP

The MSCI All Country World ex-USA Index is designed to provide a broad measure of stock performance throughout the world, with the exception of U.S.-based companies. The MSCI All Country World ex-USA Index includes both developed and emerging markets.   Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

The growth of $10,000 is cumulative.

Comparative Results
DWS International Growth VIP		1-Year	3-Year	5-Year	10-Year
Class A	Growth of $10,000	$8,331	$10,841	$10,721	$21,721
	Average annual total return	–16.69%	2.73%	1.40%	8.07%
MSCI All Country World ex-USA Index	Growth of $10,000	$8,580	$11,404	$10,342	$18,899
	Average annual total return	–14.20%	4.48%	0.68%	6.57%
DWS International Growth VIP		1-Year	3-Year	5-Year	10-Year
Class B	Growth of $10,000	$8,308	$10,759	$10,566	$21,017
	Average annual total return	–16.92%	2.47%	1.11%	7.71%
MSCI All Country World ex-USA Index	Growth of $10,000	$8,580	$11,404	$10,342	$18,899
	Average annual total return	–14.20%	4.48%	0.68%	6.57%

Deutsche DWS Variable Series II — DWS International Growth VIP | 3

Management Summary December 31, 2018 (Unaudited)

The Fund’s Class A shares returned –16.69% during 2018 (unadjusted for contract charges), trailing the –14.20% return of the MSCI All-Country World ex-USA Index. After rallying in January, international stocks moved steadily lower for the remainder of the year amid mounting evidence that economic growth outside of the United States was slowing. The selloff gained momentum in the fourth quarter as heightened uncertainty about the investment outlook began to weigh heavily on market sentiment. The index return was pressured not just by falling stock prices, but also the weakness in foreign currencies relative to the U.S dollar.

The Fund’s underperformance was largely the result of stock selection in the health care, communications services, and financials sectors. The largest detractors were the health care stocks Fresenius Medical Care AG & Co. KGaA (Germany) and Eurofins Scientific (Luxembourg). The companies specialize in dialysis treatment and laboratory testing, respectively. Fresenius posted weaker-than-expected earnings, while Eurofins was hurt by investor concerns about its ability to maintain its high growth rate and attractive profit margins. On the plus side, the Fund’s overweight position in health care made a positive contribution to performance. In the communications services sector, Spotify Technology SA was a key detractor. The stock was negatively affected by the negative sentiment toward internet stocks in the latter part of the year, as well as slightly lower subscriber guidance for the fourth quarter. Several positions fueled the Fund’s shortfall in financials, including ING Groep NV (Netherlands), Julius Baer Group Ltd. (Switzerland), and Mitsubishi UFJ Financial Group, Inc. (Japan).

Our stock selection in the consumer discretionary sector made the largest contribution to performance. The apparel producer Canada Goose Holdings, Inc. — which rallied due to better-than-expected sales results and optimism surrounding its potential for geographic expansion — was the top contributor in the sector, followed by LVMH Moet Hennessy Louis Vuitton SE (France) and Compass Group PLC (United Kingdom). Stock selection in the information technology and consumer staples also added value in the annual period. Experian PLC, based in the United Kingdom, was the top contributor in the Fund as a whole. Experian impressed the markets with its high organic growth, profit-margin improvement, and product innovation.

We believe volatility could remain a factor in market performance in the coming year due to ongoing questions about economic growth, corporate profits, U.S. trade policy, and the direction of global interest rates. However, these issues already led to a large decrease in valuations in the fourth calendar. Believing these circumstances provided the chance to buy high-quality growth companies at attractive prices, we remained on the lookout for opportunities to use temporary price dislocations to our advantage. In addition, we continued to focus our attention on identifying growth companies whose strengthening fundamentals and higher earnings power can offset the effect of slowing global growth. We also sought to balance the portfolio’s risk exposure by diversifying across regions and different stages of companies’ growth lifecycles.

Our bottom-up investment process led us to hold overweight positions in the industrials, consumer discretionary, health care, and information technology sectors. Conversely, the portfolio was underweight in consumer staples, energy, financials, and materials. The Fund remained well diversified among all geographic regions, with the largest underweights in Japan and the United Kingdom and the most meaningful overweights in Germany and France. We continued to look for attractive investment candidates in the emerging markets, especially Asia. In particular, we sought to identify those with valuations that pulled back due to the trade-related macroeconomic concerns, but whose long-term fundamental trends and earnings potential had not changed in any significant way. We also saw opportunities in Japan, where improvements in structural economic growth and corporations’ returns on equity created a stronger foundation for the nation’s stock market.

Sebastian P. Werner, PhD, Director

Mark Schumann, CFA, Director

Portfolio Managers

The views expressed 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.

4 | Deutsche DWS Variable Series II — DWS International Growth VIP

Terms to Know

The MSCI All Country (AC) World Index ex-USA Index is designed to provide a broad measure of stock performance throughout the world, with the exception of U.S.-based companies. The MSCI All Country World Index Ex-U.S. includes both developed and emerging markets.

Contribution and detraction incorporate both a stock’s total return and its weighting in the fund.

Deutsche DWS Variable Series II — DWS International Growth VIP | 5

Portfolio Summary (Unaudited)

Asset Allocation (As a % of Investment Portfolio excluding Securities Lending Collateral)	12/31/18		12/31/17
Common Stocks		99%		96%
Cash Equivalents		1%		4%
Preferred Stocks		0%		0%
Warrants		0%		0%
		100%		100%
Sector Diversification (As a % of Investment Portfolio excluding Cash Equivalents and Securities Lending Collateral)	12/31/18		12/31/17
Financials		20%		22%
Industrials		15%		17%
Consumer Discretionary		15%		12%
Health Care		14%		14%
Information Technology		14%		14%
Consumer Staples		7%		6%
Communication Services		7%		6%
Materials		6%		6%
Energy		2%		3%
		100%		100%
Geographical Diversification (As a % of Investment Portfolio excluding Cash Equivalents and Securities Lending Collateral)	12/31/18		12/31/17
Germany		13%		11%
Japan		12%		6%
France		11%		12%
Canada		10%		12%
Switzerland		9%		7%
China		8%		7%
United States		7%		12%
United Kingdom		7%		10%
Netherlands		4%		3%
Sweden		3%		2%
Singapore		2%		2%
Argentina		2%		—
Korea		2%		1%
Finland		1%		2%
Other		9%		13%
		100%		100%

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 7.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q or Form N-PORT (available for filings after March 31, 2019). The Fund’s Form N-Q or Form N-PORT will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

6 | Deutsche DWS Variable Series II — DWS International Growth VIP

Investment Portfolio   December 31, 2018

	Shares		Value ($)
Common Stocks 97.7%
Argentina 1.8%
Globant SA* (a)		3,947		222,295
Grupo Supervielle SA (ADR)		3,900		33,852
(Cost $265,787)				256,147
Brazil 0.4%
Pagseguro Digital Ltd. “A”* (a) (b) (Cost $70,885)		2,615		48,979
Canada 9.5%
Agnico Eagle Mines, Ltd.		4,850		195,748
Alimentation Couche-Tard, Inc. “B”		4,081		203,004
Brookfield Asset Management, Inc. “A”		9,386		359,709
Canada Goose Holdings, Inc.*		3,086		134,905
Canadian National Railway Co.		2,508		185,748
Gildan Activewear, Inc.		2,315		70,271
Toronto-Dominion Bank		4,295		213,492
(Cost $1,038,892)				1,362,877
China 8.2%
Alibaba Group Holding Ltd. (ADR)*		1,500		205,605
China Life Insurance Co., Ltd. “H”		66,000		140,151
Minth Group Ltd.		26,870		86,822
Momo, Inc. (ADR)*		3,200		76,000
New Oriental Education & Technology Group, Inc. (ADR)*		1,800		98,658
Ping An Healthcare and Technology Co., Ltd. 144A*		2,100		7,334
Ping An Insurance (Group) Co. of China Ltd. “H”		30,500		269,558
Tencent Holdings Ltd.		7,300		292,191
(Cost $1,185,748)				1,176,319
Denmark 0.7%
Chr Hansen Holding AS (Cost $100,652)		1,148		101,838
Finland 1.2%
Sampo Oyj “A” (Cost $183,782)		3,765		166,629
France 10.9%
Airbus SE		1,186		114,356
Capgemini SE		2,140		213,415
LVMH Moet Hennessy Louis Vuitton SE		950		281,576
SMCP SA 144A*		7,900		122,087
Teleperformance		1,174		188,039
TOTAL SA		4,716		249,561
VINCI SA		2,630		217,191
Vivendi SA		7,074		172,518
(Cost $1,661,350)				1,558,743
Germany 12.9%
adidas AG		587		123,147
Allianz SE (Registered)		1,125		226,642
BASF SE		2,275		159,680
Continental AG		687		95,690
Deutsche Boerse AG		2,693		324,857
Deutsche Post AG (Registered)		3,700		101,623
Evonik Industries AG		6,810		170,755

	Shares		Value ($)
Fresenius Medical Care AG & Co. KGaA		3,000		195,047
Infineon Technologies AG		3,760		75,285
LANXESS AG		2,149		99,402
SAP SE		1,621		162,292
Siemens AG (Registered)		1,000		111,912
(Cost $2,206,471)				1,846,332
Hong Kong 0.8%
Techtronic Industries Co., Ltd. (Cost $51,080)		21,597		115,053
Ireland 1.4%
Kerry Group PLC “A” (Cost $131,801)		1,955		194,048
Italy 1.1%
Luxottica Group SpA (Cost $159,850)		2,632		156,090
Japan 11.2%
Daikin Industries Ltd.		2,400		254,789
FANUC Corp.		400		60,535
Fast Retailing Co., Ltd.		500		255,210
Hoya Corp.		3,800		228,766
Kao Corp.		1,500		111,340
Keyence Corp.		400		202,423
Komatsu Ltd.		3,500		74,848
MISUMI Group, Inc.		4,911		103,024
Mitsubishi UFJ Financial Group, Inc.		36,600		179,319
Pigeon Corp.		3,100		132,671
(Cost $1,690,145)				1,602,925
Korea 1.4%
Samsung Electronics Co., Ltd. (Cost $253,931)		5,868		203,291
Luxembourg 1.2%
Eurofins Scientific (Cost $135,670)		460		172,015
Macau 1.0%
Sands China Ltd. (b) (Cost $163,702)		30,800		134,903
Malaysia 1.0%
IHH Healthcare Bhd. (Cost $154,924)		111,500		145,326
Netherlands 3.9%
Adyen NV 144A*		11		6,022
ASML Holding NV		1,020		160,949
Core Laboratories NV (a)		755		45,043
ING Groep NV		15,743		170,139
Koninklijke Philips NV		5,000		177,257
(Cost $685,249)				559,410
Norway 0.6%
Marine Harvest ASA (Cost $46,840)		4,065		85,715
Singapore 2.3%
DBS Group Holdings Ltd. (Cost $305,399)		19,100		331,554

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

Deutsche DWS Variable Series II — DWS International Growth VIP | 7

	Shares		Value ($)
South Africa 1.0%
Naspers Ltd. “N” (Cost $173,160)		745		149,044
Sweden 3.1%
Assa Abloy AB “B”		8,701		156,042
Nobina AB 144A		21,995		149,262
Spotify Technology SA* (a)		1,150		130,525
(Cost $455,690)				435,829
Switzerland 8.5%
Julius Baer Group Ltd.		2,470		88,339
Lonza Group AG (Registered)*		1,538		401,402
Nestle SA (Registered)		3,349		272,362
Novartis AG (Registered)		3,078		264,111
Roche Holding AG (Genusschein)		783		194,821
(Cost $1,034,277)				1,221,035
Taiwan 1.1%
Taiwan Semiconductor Manufacturing Co., Ltd. (Cost $127,110)		21,000		153,833
United Kingdom 6.3%
Clinigen Healthcare Ltd.*		9,300		89,412
Compass Group PLC		6,790		142,927
Experian PLC		13,989		339,876
Farfetch Ltd. “A”* (a)		1,600		28,336
Halma PLC		6,129		106,733
Prudential PLC		11,150		199,707
(Cost $857,273)				906,991
United States 6.2%
Activision Blizzard, Inc.		2,482		115,587
Ecolab, Inc.		538		79,274
EPAM Systems, Inc.*		1,310		151,973
Marsh & McLennan Companies, Inc.		1,860		148,335
MasterCard, Inc. “A”		780		147,147
NVIDIA Corp.		673		89,845
Schlumberger Ltd.		1,698		61,264
Thermo Fisher Scientific, Inc.		429		96,006
(Cost $675,935)				889,431
Total Common Stocks (Cost $13,815,603)				13,974,357

	Shares		Value ($)
Warrants 0.0%
France
Parrot SA Expiration Date 12/15/2022* (c)		924		9
Parrot SA Expiration Date 12/22/2022* (c)		924		7
Total Warrants (Cost $0)				16
Convertible Preferred Stock 0.1%
United States
Providence Service Corp. (c) (Cost $13,600)		136		20,468
Securities Lending Collateral 1.1%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (d) (e) (Cost $156,436)		156,436		156,436
Cash Equivalents 1.0%
DWS Central Cash Management Government Fund, 2.41% (d) (Cost $148,953)		148,953		148,953
	% of Net Assets		Value ($)
Total Investment Portfolio (Cost $14,134,592)		99.9		14,300,230
Other Assets and Liabilities, Net		0.1		7,605
Net Assets		100.0		14,307,835

A summary of the Fund’s transactions with affiliated investments during the year ended December 31, 2018 are as follows:

Value ($) at 12/31/2017	Purchases Cost ($)			Sales Proceeds ($)		Net Realized Gain/ (Loss) ($)		Net Change in Unrealized Appreciation (Depreciation) ($)		Income ($)		Capital Gain Distributions ($)		Number of Shares at 12/31/2018		Value ($) at 12/31/2018
Securities Lending Collateral 1.1%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (d) (e)
88,780		67,656	(f)		—		—		—		3,108		—		156,436		156,436
Cash Equivalents 1.0%
DWS Central Cash Management Government Fund, 2.41% (d)
687,282		5,635,961			6,174,290		—		—		6,099		—		148,953		148,953
776,062		5,703,617			6,174,290		—		—		9,207		—		305,389		305,389

* Non-income producing security.

(a) Listed on the New York Stock Exchange.

(b) All or a portion of these securities were on loan. In addition, “Other Assets and Liabilities, Net” may include pending sales that are also on loan. The value of securities loaned at December 31, 2018 amounted to $156,396, which is 1.1% of net assets.

(c) Investment was valued using significant unobservable inputs.

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

8 | Deutsche DWS Variable Series II — DWS International Growth VIP

(d) Affiliated fund managed by DWS Investment Management Americas, Inc. The rate shown is the annualized seven-day yield at period end.

(e) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates.

(f) Represents the net increase (purchase cost) or decrease (sales proceeds) in the amount invested for the year ended December 31, 2018.

144A: Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.

ADR: American Depositary Receipt

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1		Level 2		Level 3		Total
Common Stocks
Argentina	$	256,147	$	—	$	—	$	256,147
Brazil		48,979		—		—		48,979
Canada		1,362,877		—		—		1,362,877
China		380,263		796,056		—		1,176,319
Denmark		—		101,838		—		101,838
Finland		—		166,629		—		166,629
France		—		1,558,743		—		1,558,743
Germany		—		1,846,332		—		1,846,332
Hong Kong		—		115,053		—		115,053
Ireland		—		194,048		—		194,048
Italy		—		156,090		—		156,090
Japan		—		1,602,925		—		1,602,925
Korea		—		203,291		—		203,291
Luxembourg		—		172,015		—		172,015
Macau		—		134,903		—		134,903
Malaysia		—		145,326		—		145,326
Netherlands		45,043		514,367		—		559,410
Norway		—		85,715		—		85,715
Singapore		—		331,554		—		331,554
South Africa		—		149,044		—		149,044
Sweden		130,525		305,304		—		435,829
Switzerland		—		1,221,035		—		1,221,035
Taiwan		—		153,833		—		153,833
United Kingdom		28,336		878,655		—		906,991
United States		889,431		—		—		889,431
Warrants		—		—		16		16
Convertible Preferred Stock		—		—		20,468		20,468
Short-Term Investments (g)		305,389		—		—		305,389
Total	$	3,446,990	$	10,832,756	$	20,484	$	14,300,230

(g) See Investment Portfolio for additional detailed categorizations.

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

Deutsche DWS Variable Series II — DWS International Growth VIP | 9

Statement of Assets and Liabilities

as of December 31, 2018
Assets
Investments in non-affiliated securities, at value (cost $13,829,203) — including $156,396 of securities loaned	$	13,994,841
Investment in DWS Government & Agency Securities Portfolio (cost $156,436)*		156,436
Investment in DWS Central Cash Management Government Fund (cost $148,953)		148,953
Foreign currency, at value (cost $185,077)		182,176
Receivable for investments sold		65,630
Receivable for Fund shares sold		2,856
Dividends receivable		4,823
Interest receivable		816
Foreign taxes recoverable		26,590
Other assets		988
Total assets		14,584,109
Liabilities
Payable upon return of securities loaned		156,436
Payable for Fund shares redeemed		9,510
Accrued management fee		1,643
Accrued Trustees’ fees		1,639
Other accrued expenses and payables		107,046
Total liabilities		276,274
Net assets, at value	$	14,307,835
Net Assets Consist of
Distributable earnings (loss)		563,874
Paid-in capital		13,743,961
Net assets, at value	$	14,307,835
Net Asset Value
Class A
Net Asset Value, offering and redemption price per share ($14,089,015 ÷ 1,228,635 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	11.47
Class B
Net Asset Value, offering and redemption price per share ($218,820 ÷ 19,045 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	11.49

* Represents collateral on securities loaned.

Statement of Operations

for the year ended December 31, 2018
Investment Income
Income:
Dividends (net of foreign taxes withheld of $41,704)	$	342,428
Income distributions — DWS Central Cash Management Government Fund		6,099
Securities lending income, net of borrower rebates		3,108
Total income		351,635
Expenses:
Management fee		107,910
Administration fee		17,405
Services to Shareholders		987
Record keeping fee (Class B)		177
Distribution service fee (Class B)		580
Custodian fee		45,605
Professional fees		79,895
Reports to shareholders		24,999
Trustees’ fees and expenses		3,605
Other		18,952
Total expenses before expense reductions		300,115
Expense reductions		(158,555	)
Total expenses after expense reductions		141,560
Net investment income (loss)		210,075
Realized and Unrealized Gain (Loss)
Net realized gain (loss) from:
Investments		234,224
Foreign currency		(5,587	)
		228,637
Change in net unrealized appreciation (depreciation) on:
Investments		(3,346,652	)
Foreign currency		(5,730	)
		(3,352,382	)
Net gain (loss)		(3,123,745	)
Net increase (decrease) in net assets resulting from operations	$	(2,913,670	)

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

10 | Deutsche DWS Variable Series II — DWS International Growth VIP

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income (loss)	$	210,075		$	164,259
Net realized gain (loss)		228,637			4,651,131
Change in net unrealized appreciation (depreciation)		(3,352,382	)		1,414,699
Net increase (decrease) in net assets resulting from operations		(2,913,670	)		6,230,089
Distributions to shareholders:
Class A		(169,762	)		(106,825	)
Class B		(1,806	)		(65	)
Total distributions		(171,568	)		(106,890	)*
Fund share transactions:
Class A
Proceeds from shares sold		1,452,220			2,240,215
Reinvestment of distributions		169,762			106,825
Payments for shares redeemed		(3,127,727	)		(16,678,132	)
Net increase (decrease) in net assets from Class A share transactions		(1,505,745	)		(14,331,092	)
Class B
Proceeds from shares sold		82,846			117,051
Reinvestment of distributions		1,806			65
Payments for shares redeemed		(28,351	)		(6,431	)
Net increase (decrease) in net assets from Class B share transactions		56,301			110,685
Increase (decrease) in net assets		(4,534,682	)		(8,097,208	)
Net assets at beginning of period		18,842,517			26,939,725
Net assets at end of period	$	14,307,835		$	18,842,517	**
Other Information
Class A
Shares outstanding at beginning of period		1,340,522			2,417,159
Shares sold		108,093			171,566
Shares issued to shareholders in reinvestment of distributions		12,631			8,713
Shares redeemed		(232,611	)		(1,256,916	)
Net increase (decrease) in Class A shares		(111,887	)		(1,076,637	)
Shares outstanding at end of period		1,228,635			1,340,522
Class B
Shares outstanding at beginning of period		14,862			6,272
Shares sold		6,136			9,077
Shares issued to shareholders in reinvestment of distributions		134			5
Shares redeemed		(2,087	)		(492	)
Net increase (decrease) in Class B shares		4,183			8,590
Shares outstanding at end of period		19,045			14,862

* Includes distributions from net investment income.

** Includes undistributed net investment income of $166,256.

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

Deutsche DWS Variable Series II — DWS International Growth VIP | 11

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	13.90		$	11.12		$	10.81		$	11.04		$	11.13
Income (loss) from investment operations:
Net investment incomea		.16			.08			.06			.07			.08
Net realized and unrealized gain (loss)		(2.46	)		2.75			.34			(.21	)		(.06	)
Total from investment operations		(2.30	)		2.83			.40			(.14	)		.02
Less distributions from:
Net investment income		(.13	)		(.05	)		(.09	)		(.09	)		(.11	)
Net asset value, end of period	$	11.47		$	13.90		$	11.12		$	10.81		$	11.04
Total Return (%)b		(16.69	)		25.47			3.72			(1.32	)		.21
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		14			19			27			34			47
Ratio of expenses before expense reductions (%)c		1.72			1.56			1.66			1.44			1.41
Ratio of expenses after expense reductions (%)c		.81			.92			.95			.90			.82
Ratio of net investment income (%)		1.21			.61			.51			.65			.71
Portfolio turnover rate (%)		38			62			70			64			63

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

	Years Ended December 31,
Class B	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	13.93		$	11.13		$	10.82		$	11.05		$	11.14
Income (loss) from investment operations:
Net investment incomea		.12			.02			.02			.05			.02
Net realized and unrealized gain (loss)		(2.46	)		2.79			.35			(.23	)		(.04	)
Total from investment operations		(2.34	)		2.81			.37			(.18	)		(.02	)
Less distributions from:
Net investment income		(.10	)		(.01	)		(.06	)		(.05	)		(.07	)
Net asset value, end of period	$	11.49		$	13.93		$	11.13		$	10.82		$	11.05
Total Return (%)b		(16.92	)		25.26			3.38			(1.64	)		(.15	)
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		.2			.2			.07			.1			.1
Ratio of expenses before expense reductions (%)c		2.07			1.90			1.98			1.76			1.76
Ratio of expenses after expense reductions (%)c		1.06			1.15			1.24			1.22			1.15
Ratio of net investment income (%)		.92			.12			.17			.40			.14
Portfolio turnover rate (%)		38			62			70			64			63

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

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

12 | Deutsche DWS Variable Series II — DWS International Growth VIP

Notes to Financial Statements

A. Organization and Significant Accounting Policies

DWS International Growth VIP (formerly Deutsche International Growth VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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.

Multiple Classes of Shares of Beneficial Interest. The Fund offers two classes of shares (Class A shares and Class B shares). Sales of Class B shares are subject to recordkeeping fees up to 0.15% and Rule 12b-1 fees under the 1940 Act equal to an annual rate of 0.25% of the average daily net assets for Class B shares of the Fund. Class A shares are not subject to such fees.

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 (including the applicable Rule 12b-1 fee and recordkeeping fees). Differences in class-level expenses may result in payment of different per share dividends by class. All shares 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 (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

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.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

Equity securities are valued at the most recent sale price or official closing price reported on the exchange (U.S. or foreign) or over-the-counter market on which they trade. 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. Equity securities are generally categorized as Level 1. For certain 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, a fair valuation model may be used. This fair valuation model takes into account comparisons to the valuation of American Depository Receipts (ADRs), exchange-traded funds, futures contracts and certain indices and these securities are categorized as Level 2.

Investments in open-end investment companies are valued at their net asset value each business day and are categorized as Level 1.

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 Board and are generally categorized as Level 3. In accordance with the Fund’s valuation procedures, factors considered in determining value may include, but are not limited to, the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security’s disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or

Deutsche DWS Variable Series II — DWS International Growth VIP | 13

evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer, analysts, and/or the appropriate stock exchange (for exchange-traded securities); an analysis of the company’s or issuer’s financial statements; an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold; and with respect to debt securities, the maturity, coupon, creditworthiness, currency denomination and the movement of the market in which the security is normally traded. The value determined under these procedures may differ from published values for the same securities.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Investment securities and other assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the prevailing exchange rates at period end. Purchases and sales of investment securities, income and expenses are translated into U.S. 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 acquisition and disposition of foreign currencies, and the difference between the amount of net investment income accrued and the U.S. dollar amount actually received. The 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. Brown Brothers Harriman & Co., as lending agent, lends securities of the Fund to certain financial institutions under the terms of its securities lending agreement. During the term of the loans, the Fund continues to receive interest and dividends generated by the 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 either cash or 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 agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the securities lending agreement. As of period end, any securities on loan were collateralized by cash. During the year ended December 31, 2018, the Fund invested the cash collateral into a joint trading account in affiliated money market funds managed by DWS Investment Management Americas, Inc. As of December 31, 2018, the Fund invested the cash collateral in DWS Government & Agency Securities Portfolio. DWS Investment Management Americas, Inc. receives a management/administration fee (0.12% annualized effective rate as of December 31, 2018) on the cash collateral invested in DWS Government & Agency Securities Portfolio. 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 at any time, and the borrower, after notice, is required to return borrowed securities within a standard time period. 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. If the Fund is not able to recover securities lent, the Fund may sell the collateral and purchase a replacement investment in the market, incurring the risk that the value of the replacement security is greater than the value of the collateral. 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.

As of December 31, 2018, the Fund had securities on loan, which were classified as common stocks in the Investment Portfolio. The value of the related collateral exceeded the value of the securities loaned at period end. As of period end, the remaining contractual maturity of the collateral agreements were overnight and continuous.

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, the Fund may be subject to taxes imposed by the governments of countries in which it invests and are generally based on income and/or capital gains earned or repatriated, a portion of which may be recoverable. Based upon the current interpretation of the tax rules and regulations, estimated tax liabilities and recoveries on certain foreign securities are recorded on an accrual basis and are reflected as components of interest income or net change in unrealized gain/loss on investments. Tax liabilities realized as a result of security sales are reflected as a component of net realized gain/loss on investments.

14 | Deutsche DWS Variable Series II — DWS International Growth VIP

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investment income of the Fund, if any, are 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 Fund may also make additional distributions for tax purposes if necessary.

The timing and characterization of certain income and capital gain 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 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, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income*	$	199,175
Undistributed long-term capital gains	$	234,678
Unrealized appreciation (depreciation) on investments	$	133,241

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $14,166,989. The net unrealized appreciation for all investments based on tax cost was $133,241. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $1,769,647 aggregate gross unrealized depreciation for all investments in which was an excess of tax cost over value of $1,636,406.

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

	Years Ended December 31,
	2018		2017
Distributions from ordinary income*	$	171,568	$	106,890

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

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 based upon the relative net assets or other appropriate measures.

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.

Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment 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 taxes. Realized gains and losses from investment transactions are recorded on an identified cost basis. Proceeds from litigation payments, if any, are included in net realized gain (loss) from investments.

B. Purchases and Sales of Securities

During the year ended December 31, 2018, purchases and sales of investment transactions (excluding short-term investments) aggregated $6,449,400 and $7,245,698, respectively.

C. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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.

Deutsche DWS Variable Series II — DWS International Growth VIP | 15

Pursuant to the Investment Management Agreement with the Advisor, the Fund pays the Advisor an annual fee based on its average daily net assets, computed and accrued daily and payable monthly at the annual rate (exclusive of any applicable waivers/reimbursements) of 0.62%.

For the period from January 1, 2018 through April 30, 2019, the Advisor has contractually agreed to waive its fees and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of each class as follows:

Class A	.81	%
Class B	1.06	%

For the year ended December 31, 2018, fees waived and/or expenses reimbursed for each class are as follows:

Class A	$	156,212
Class B		2,343
	$	158,555

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays DIMA 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, 2018, the Administration Fee was $17,405, of which $1,257 is unpaid.

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018, the amounts charged to the Fund by DSC were as follows:

Services to Shareholders	Total Aggregated		Unpaid at December 31, 2018
Class A	$	243	$	41
Class B		51		9
	$	294	$	50

Distribution Service Agreement. Under the Fund’s Class B 12b-1 plan, DWS Distributors, Inc. (“DDI”) received a fee (“Distribution Service Fee”) of 0.25% of average daily net assets of Class B shares. For the year ended December 31, 2018, the Distribution Service Fee aggregated $580, of which $47 is unpaid.

Typesetting and Filing Service Fees. Under an agreement with the Fund, DIMA is compensated for providing certain pre-press and regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $10,725, of which $6,359 is unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

Affiliated Cash Management Vehicles. The Fund may invest uninvested cash balances in DWS Central Cash Management Government Fund and DWS ESG Liquidity Fund, affiliated money market funds which are managed by the Advisor. Each affiliated money market fund is managed in accordance with Rule 2a-7 under the 1940 Act, which governs the quality, maturity, diversity and liquidity of instruments in which a money market fund may invest. DWS Central Cash Management Government Fund seeks to maintain a stable net asset value, and DWS ESG Liquidity Fund maintains a floating net asset value. The Fund indirectly bears its proportionate share of the expenses of each affiliated money market fund in which it invests. DWS Central Cash Management Government Fund does not pay the Advisor an investment management fee. To the extent that DWS ESG Liquidity Fund pays an investment management fee to the Advisor, the Advisor will waive an amount of the investment management fee payable to the Advisor by the Fund equal to the amount of the investment management fee payable on the Fund’s assets invested in DWS ESG Liquidity Fund.

16 | Deutsche DWS Variable Series II — DWS International Growth VIP

D. Ownership of the Fund

At December 31, 2018, one participating insurance company was owner of record of 10% or more of the total outstanding Class A shares of the Fund, owning 87%. Three participating insurance companies were owners of record of 10% or more of the total outstanding Class B shares of the Fund, owning 48%, 28%, and 24%.

E. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a $400 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 a rate per annum equal to the sum of the Federal Funds Rate plus 1.25 percent plus if the one-month LIBOR exceeds the Federal Funds Rate, the amount of such excess. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement. The Fund had no outstanding loans at December 31, 2018.

Deutsche DWS Variable Series II — DWS International Growth VIP | 17

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS International Growth VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS International Growth VIP (formerly International Growth VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

18 | Deutsche DWS Variable Series II — DWS International Growth VIP

Information About Your Fund’s Expenses (Unaudited)

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 contract charges, 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, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2018
Actual Fund Return		Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	854.70	$	853.00
Expenses Paid per $1,000*	$	3.79	$	4.95
Hypothetical 5% Fund Return
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	1,021.12	$	1,019.86
Expenses Paid per $1,000*	$	4.13	$	5.40

* Expenses are equal to the Fund’s annualized expense ratio for each share class, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratios	Class A			Class B
Deutsche DWS Variable Series II — DWS International Growth VIP		.81	%		1.06	%

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

Deutsche DWS Variable Series II — DWS International Growth VIP | 19

Tax Information (Unaudited)

For corporate shareholders, 84% of the ordinary dividends (i.e., income dividends plus short-term capital gains) paid during the Fund’s fiscal year ended December 31, 2018, qualified for the dividends received deduction.

The Fund paid foreign taxes of $31,116 and earned $200,097 of foreign source income during the year ended December 31, 2018. Pursuant to Section 853 of the Internal Revenue Code, the Fund designates $0.02 per share as foreign taxes paid and $0.16 per share as income earned from foreign sources for the year ended December 31, 2018.

Pursuant to Section 852 of the Internal Revenue Code, the Fund designates $258,000 as capital gain dividends for its year ended December 31, 2018.

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 contact your insurance provider.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

20 | Deutsche DWS Variable Series II — DWS International Growth VIP

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS International Growth VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– In connection with reviewing the Agreement, 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.

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 is part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 personnel and administrative support services provided by DIMA, such as back-office operations, fund valuations, and compliance policies and procedures.

Nature, Quality and Extent of Services. The Board considered the terms of the Agreement, including the scope of advisory services provided under the Agreement. The Board noted that, under the Agreement, DIMA provides 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 and the resources made available to such personnel. 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 index(es) and a peer universe compiled using information supplied by Morningstar Direct (“Morningstar”), an independent fund data service. The Board also noted that it has put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s plans to address underperformance. The Board

Deutsche DWS Variable Series II — DWS International Growth VIP | 21

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-, three- and five-year periods ended December 31, 2017, the Fund’s performance (Class A shares) was in the 2nd quartile, 3rd quartile and 3rd quartile, respectively, of the applicable Morningstar universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund has outperformed its benchmark in the three- and five-year periods and has underperformed its benchmark in the one-year period ended December 31, 2017. The Board considered that, effective October 3, 2016, the Fund’s investment strategy and certain members of the portfolio management team were changed, and that, effective October 1, 2017, the Fund further changed its investment strategy.

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were lower than the median (1st quartile) of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). The Board noted that, effective October 1, 2017, DIMA agreed to reduce the Fund’s contractual management fee rate to an annual rate of 0.62% in connection with changes to the Fund’s investment strategy. The Board noted that the Fund’s Class A shares total (net) operating expenses were expected to be higher than the median (3rd quartile) of the applicable Broadridge expense universe (based on Broadridge data provided as of December 31, 2017, and analyzing Broadridge expense universe Class A (net) expenses less any applicable 12b-1 fees) (“Broadridge Universe Expenses”). The Board also reviewed data comparing each share class’s total (net) operating expenses to the applicable Broadridge Universe Expenses. The Board noted that the expense limitations agreed to by DIMA were expected to help the Fund’s total (net) operating expenses remain competitive. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to a comparable DWS U.S. registered fund (“DWS Funds”) and considered differences between the Fund and the comparable DWS Fund. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs to DIMA, 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 DIMA and its affiliates with respect to all fund services in totality and by fund. The Board and the Fee Consultant 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 certain publicly available 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 Funds (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 most 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. In this regard, the Board observed that while the Fund’s current investment management fee schedule does not include breakpoints, 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 or “fall-out” benefits received by DIMA and its affiliates, including any fees received by DIMA for administrative services provided to the Fund, any fees received by an affiliate of DIMA for transfer agency services provided to the Fund and any fees received by an affiliate of DIMA for distribution services. The

22 | Deutsche DWS Variable Series II — DWS International Growth VIP

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. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously determined that the continuation of the Agreement 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreement.

Deutsche DWS Variable Series II — DWS International Growth VIP | 23

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International; Public Radio International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago); Life Director of Hubbard Street Dance Chicago		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston); American Documentary, Inc. (public media)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

24 | Deutsche DWS Variable Series II — DWS International Growth VIP

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)

Deutsche DWS Variable Series II — DWS International Growth VIP | 25

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

26 | Deutsche DWS Variable Series II — DWS International Growth VIP

Notes

  VS2IG-2 (R-025830-9 2/19)

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS Multisector Income VIP

(formerly Deutsche Multisector Income VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
4	Management Summary
6	Portfolio Summary
7	Investment Portfolio
13	Statement of Assets and Liabilities
13	Statement of Operations
14	Statements of Changes in Net Assets
15	Financial Highlights
16	Notes to Financial Statements
25	Report of Independent Registered Public Accounting Firm
26	Information About Your Fund’s Expenses
27	Tax Information
27	Proxy Voting
28	Advisory Agreement Board Considerations and Fee Evaluation
31	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

Bond investments are subject to interest-rate, credit, liquidity and market risks to varying degrees. When interest rates rise, bond prices generally fall. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. Investments in lower-quality (“junk bonds”) and non-rated securities present greater risk of loss than investments in higher-quality securities. Investing in foreign securities, particularly those of emerging markets, presents certain risks, such as currency fluctuations, political and economic changes, and market risks. Emerging markets tend to be more volatile and less liquid than the markets of more mature economies, and generally have less diverse and less mature economic structures and less stable political systems than those of developed countries. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. The Fund may lend securities to approved institutions. See the prospectus for details.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

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

2 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

Performance Summary December 31, 2018 (Unaudited)

Fund 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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns.

The gross expense ratio of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 is 1.41% for Class A shares and may differ from the expense ratio disclosed in the Financial Highlights table in this report.

Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights.

Growth of an Assumed $10,000 Investment in DWS Multisector Income VIP

  The unmanaged Bloomberg Barclays U.S. Universal Index represents the union of the U.S. Aggregate Index, the U.S. High-Yield Corporate Index, the 144A Index, the Eurodollar Index, the Emerging Markets Index and the non-ERISA portion of the CMBS Index.   Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

Comparative Results
DWS Multisector Income VIP		1-Year	3-Year	5-Year	10-Year
Class A	Growth of $10,000	$9,835	$10,554	$10,464	$16,653
	Average annual total return	–1.65%	1.81%	0.91%	5.23%
Bloomberg Barclays U.S. Universal Index	Growth of $10,000	$9,975	$10,789	$11,437	$14,884
	Average annual total return	–0.25%	2.56%	2.72%	4.06%

The growth of $10,000 is cumulative.    

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 3

Management Summary December 31, 2018 (Unaudited)

The Class A shares of the Fund returned –1.65% (unadjusted for contract charges) in 2018, underperforming the –0.25% return of the Bloomberg Barclays U.S. Universal Index.

The major segments of the global fixed-income markets experienced a wide range of returns in the past 12 months. While U.S. Treasuries outpaced the index due to their strong fourth quarter rally, categories with a higher degree of credit risk were hurt by the prospect of slower growth. As a result, investment-grade corporate, high yield, and emerging-markets bonds all finished in the red.

Several factors played a role in the Fund’s underperformance, but the overarching theme was our continued emphasis on the credit sectors. We believed these segments offered an attractive opportunity due to their higher absolute yields and ability to benefit from the ongoing economic expansion. While we saw the risk of a recession in 2020, we expected that the markets would not start factoring this into prices until later in 2019. Instead, a series of weak economic data from around the globe prompted investors to recalibrate their expectations in favor of much slower growth in the year ahead. Our overweight position in the credit-sensitive areas of the market was therefore the largest detractor in 2018.

The Fund’s large allocation to high-yield bonds played a key role in its shortfall by providing exposure to one of the weakest areas of the market. An overweight in the emerging markets was also an important factor in the Fund’s underperformance. Holdings in local-currency issues had an adverse impact on results, as did a position in Argentina. While we pared back risk in mid-2018, we continue to have a positive long-term view on the asset class in general, and the Africa/Middle East region in particular.

We kept the Fund’s duration (interest-rate sensitivity) below the index, as we saw little benefit from having a longer duration at a time in which the U.S. Federal Reserve was raising interest rates. This strategy contributed positively given that yields increased modestly. We reduced the extent of the underweight in the second half of the year on the belief that the majority of the upward move in yields had already occurred.

The Fund used derivatives in order to facilitate exposure to the high-yield market, adjust foreign-currency exposure, manage duration, and adjust portfolio positioning in domestic commercial mortgage-backed securities and the European market. In the aggregate, our use of derivatives was a small net detractor. Derivatives are used to achieve the Fund’s risk and return objectives and should therefore be evaluated within the context of the entire portfolio rather than as a standalone strategy.

The Fund maintained an underweight allocation to investment-grade bonds. We held an underweight in corporate issues due to their low yield spreads versus Treasuries. Instead, we focused on securitized assets to capture their attractive yields in relation to their underlying credit quality. The Fund’s investment-grade allocation had a neutral impact on results, but we continue to view it as an important source of portfolio diversification.

We believe an emphasis on the credit sectors remains appropriate even after the fourth-quarter sell-off in the financial markets. We see the elevated volatility as largely the result of investors’ overreaction to adverse headlines rather than a sign of a broader, systemic problem. In our view, the continued strength of the U.S. economy and positive growth in the world as a whole can provide a firm foundation for risk assets once news flow calms and investors return their focus to fundamentals.

John D. Ryan, Managing Director

Kevin Bliss, Director

Portfolio Managers

The views expressed 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.

4 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

Terms to Know

The Barclays U.S. Universal Index represents the union of the U.S. Aggregate Index, the U.S. High-Yield Corporate Index, the 144A Index, the Eurodollar Index, the Emerging Markets Index and the non-ERISA portion of the CMBS Index. Index returns do not reflect fees or expenses and it is not possible to invest directly in an index.

Overweight means the Fund holds a higher weighting in a given sector or security than the benchmark. Underweight means the Fund holds a lower weighting.

Contribution and detraction incorporate both a stock’s total return and its weighting in the index.

Duration, which is expressed in years, measures the sensitivity of the price of a bond or bond fund to a change in interest rates.

Yield spread refers to differences between yields on differing debt instruments, calculated by deducting the yield of one instrument from another. The higher the yield spread, the greater the difference between the yields offered by each instrument.

Derivatives are contracts whose values can be based on a variety of instruments, including indices, currencies or securities. They can be utilized for a variety of reasons, including for hedging purposes, for risk management, for non-hedging purposes to seek to enhance potential gains, or as a substitute for direct investment in a particular asset class or to keep cash on hand to meet shareholder redemptions. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility.

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 5

Portfolio Summary (Unaudited)

Asset Allocation (As a % of Investment Portfolio excluding Securities Lending Collateral)	12/31/18		12/31/17
Government & Agency Obligations		44%		29%
Collateralized Mortgage Obligations		17%		13%
Corporate Bonds		11%		24%
Mortgage-Backed Securities Pass-Throughs		6%		—
Loan Participations and Assignments		5%		7%
Cash Equivalent		5%		6%
Commercial Mortgage-Backed Securities		5%		5%
Short-Term U.S. Treasury Obligations		3%		12%
Asset-Backed		2%		2%
Convertible Bond		2%		2%
Common Stocks		0%		0%
Warrants		0%		0%
		100%		100%
Quality (Excludes Cash Equivalents and Securities Lending Collateral)	12/31/18		12/31/17
AAA		38%		25%
AA		0%		1%
A		8%		8%
BBB		12%		24%
BB		22%		23%
B		11%		9%
CCC or Below		2%		3%
Non Rated		7%		7%
		100%		100%
Interest Rate Sensitivity	12/31/18		12/31/17
Effective Maturity		4.8 years		5.4 years
Effective Duration		3.6 years		3.6 years

The quality ratings represent the higher of Moody’s Investors Service, Inc. (“Moody’s”), Fitch Ratings, Inc. (“Fitch”) or Standard & Poor’s Corporation (“S&P”) credit ratings. The ratings of Moody’s, Fitch and S&P represent their opinions as to the quality of the securities they rate. Credit quality measures a bond issuer’s ability to repay interest and principal in a timely manner. Ratings are relative and subjective and are not absolute standards of quality. Credit quality does not remove market risk and is subject to change.

Effective maturity is the weighted average of the maturity date of bonds held by the Fund taking into consideration any available maturity shortening features.

Effective duration is an approximate measure of the Fund’s sensitivity to interest rate changes taking into consideration any maturity shortening features.

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 7.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q or Form N-PORT (available for filings after March 31, 2019). The Fund’s Form N-Q or Form N-PORT will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

6 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

Investment Portfolio as of December 31, 2018

	Principal Amount ($)(a)		Value ($)
Corporate Bonds 10.9%
Communication Services 0.6%
Expedia Group, Inc., 3.8%, 2/15/2028		55,000		49,876
Consumer Discretionary 0.7%
American Axle & Manufacturing, Inc., 6.25%, 4/1/2025 (b)		60,000		54,600
Energy 4.3%
Chesapeake Energy Corp., 8.0%, 1/15/2025 (b)		65,000		57,363
KazMunayGas National Co. JSC, 144A, 4.75%, 4/19/2027		200,000		194,492
Oasis Petroleum, Inc., 6.875%, 3/15/2022 (b)		48,000		45,240
Weatherford International Ltd., 9.875%, 2/15/2024 (b)		100,000		61,000
				358,095
Financials 0.5%
FS KKR Capital Corp., 4.75%, 5/15/2022		40,000		39,603
Industrials 0.7%
Park Aerospace Holdings Ltd., 144A, 5.25%, 8/15/2022		60,000		58,050
Information Technology 0.7%
DXC Technology Co., 4.75%, 4/15/2027		60,000		60,211
Materials 1.0%
AK Steel Corp., 7.0%, 3/15/2027 (b)		100,000		78,000
CF Industries, Inc., 144A, 4.5%, 12/1/2026		5,000		4,887
				82,887
Real Estate 1.2%
Government Properties Income Trust, (REIT), 4.0%, 7/15/2022		25,000		24,604
Omega Healthcare Investors, Inc., (REIT), 4.75%, 1/15/2028		35,000		34,289
Select Income REIT:
(REIT), 4.15%, 2/1/2022		30,000		29,675
(REIT), 4.25%, 5/15/2024		10,000		9,636
				98,204
Utilities 1.2%
Southern California Edison Co., Series E, 3.7%, 8/1/2025		100,000		99,750
Total Corporate Bonds (Cost $1,004,418)				901,276
Mortgage-Backed Securities Pass-Throughs 6.1%
Federal National Mortgage Association, 4.0%, 9/1/2048 (Cost $496,085)		495,852		507,407

	Principal Amount ($)(a)		Value ($)
Asset-Backed 2.2%
Home Equity Loans 0.2%
CIT Group Home Equity Loan Trust, “AF6”, Series 2002-1, 6.2%, 2/25/2030		13,107		13,332
Miscellaneous 2.0%
Domino’s Pizza Master Issuer LLC, “A23”, Series 2017-1A, 144A, 4.118%, 7/25/2047		108,625		106,428
Hilton Grand Vacations Trust, “B”, Series 2014-AA, 144A, 2.07%, 11/25/2026		62,947		62,001
				168,429
Total Asset-Backed (Cost $184,363)				181,761
Commercial Mortgage-Backed Security 4.8%
GMAC Commercial Mortgage Securities, Inc., “G”, Series 2004-C1, 144A, 5.455%, 3/10/2038 (Cost $426,492)		423,843		394,070
Collateralized Mortgage Obligations 17.0%
Banc of America Mortgage Securities, “2A2”, Series 2004-A, 3.917% **, 2/25/2034		29,312		29,210
Bear Stearns Adjustable Rate Mortgage Trust, “2A1”, Series 2005-11, 4.794% **, 12/25/2035		33,904		34,466
Countrywide Home Loans, “2A5”, Series 2004-13, 5.75%, 8/25/2034		28,697		28,362
Fannie Mae Connecticut Avenue Securities:
“1M2”, Series 2018-C06, 1-month USD-LIBOR + 2.000%, 4.506% ** , 3/25/2031		62,500		60,045
“1M1”, Series 2016-C02, 1-month USD-LIBOR + 2.150%, 4.656% ** , 9/25/2028		9,976		9,990
“1M2”, Series 2018-C05, 1-month USD-LIBOR + 2.350%, 4.856% ** , 1/25/2031		100,000		97,469
Federal Home Loan Mortgage Corp.:
“PI”, Series 3843, Interest Only, 4.5%, 5/15/2038		94,117		5,366
“C31”, Series 303, Interest Only, 4.5%, 12/15/2042		395,176		86,784
Federal National Mortgage Association, “4”, Series 406, Interest Only, 4.0%, 9/25/2040		93,099		19,353
Freddie Mac Structured Agency Credit Risk Debt Notes, “M2”, Series 2017-DNA2, 1-month USD-LIBOR + 3.450%, 5.956% **, 10/25/2029		250,000		264,548

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

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 7

	Principal Amount ($)(a)		Value ($)
Government National Mortgage Association:
“GI”, Series 2014-146, Interest Only, 3.5%, 9/20/2029		833,224		94,097
“PI”, Series 2015-40, Interest Only, 4.0%, 4/20/2044		104,289		14,371
“HI”, Series 2015-77, Interest Only, 4.0%, 5/20/2045		220,915		41,437
“IP”, Series 2014-115, Interest Only, 4.5%, 2/20/2044		34,154		5,838
“IN”, Series 2009-69, Interest Only, 5.5%, 8/20/2039		114,729		21,531
“IV”, Series 2009-69, Interest Only, 5.5%, 8/20/2039		111,382		20,875
“IJ”, Series 2009-75, Interest Only, 6.0%, 8/16/2039		96,696		16,635
JPMorgan Mortgage Trust, “2A1”, Series 2006-A2, 3.722% **, 4/25/2036		121,051		114,461
Merrill Lynch Mortgage Investors Trust, “2A”, Series 2003-A6, 4.588% **, 10/25/2033		23,986		23,924
RESIMAC, “A2”, Series 2017-2, Australian Bank Bill Short Term Rates 1-Month Mid + 1.200%, 3.143% **, 1/15/2049	AUD	405,002		284,542
STACR Trust, “M2”, Series 2018-DNA3, 144A, 1-month USD-LIBOR + 2.100%, 4.606% **, 9/25/2048		108,108		103,814
Wells Fargo Mortgage-Backed Securities Trust, “2A3”, Series 2004-EE, 4.482% **, 12/25/2034		28,666		28,653
Total Collateralized Mortgage Obligations (Cost $1,204,534)				1,405,771
Government & Agency Obligations 44.2%
Other Government Related (c) 6.1%
Sberbank of Russia, 144A, 5.125%, 10/29/2022		200,000		195,349
Southern Gas Corridor CJSC, 144A, 6.875%, 3/24/2026		290,000		313,211
				508,560
Sovereign Bonds 16.5%
Ivory Coast Government International Bond, 144A, 5.375%, 7/23/2024		200,000		183,408
Mexican Udibonos Inflation-Linked Bond, Series S, 2.0%, 6/9/2022	MXN	3,004,972		141,785
Republic of Angola, 144A, 9.5%, 11/12/2025		200,000		209,988
Republic of Argentina-Inflation Linked Bond, 5.83%, 12/31/2033	ARS	375		86
Republic of Hungary, Series 19/A, 6.5%, 6/24/2019	HUF	11,600,000		42,647
Republic of Namibia, 144A, 5.25%, 10/29/2025		200,000		179,328
Republic of Senegal, 144A, 6.25%, 7/30/2024		200,000		194,064
Republic of Slovenia, 144A, 5.5%, 10/26/2022		100,000		106,430

	Principal Amount ($)(a)		Value ($)
Republic of Zambia, 144A, 5.375%, 9/20/2022		200,000		142,992
United Mexican States, Series M, 5.75%, 3/5/2026	MXN	3,845,600		165,299
				1,366,027
U.S. Treasury Obligations 21.6%
U.S. Treasury Bonds:
3.0%, 5/15/2047		20,000		19,914
3.0%, 2/15/2048		5,000		4,973
U.S. Treasury Inflation Indexed Note, 0.625%, 4/15/2023		534,466		525,586
U.S. Treasury Notes:
1.5%, 5/31/2019		232,600		231,655
1.625%, 12/31/2019		109,000		107,914
2.625%, 8/31/2020		900,000		901,196
				1,791,238
Total Government & Agency Obligations (Cost $3,798,868)				3,665,825
Short-Term U.S. Treasury Obligations 2.8%
U.S. Treasury Bills:
2.362% ***, 8/15/2019 (d)		200,000		196,855
2.573%***, 10/10/2019		40,000		39,213
Total Short-Term U.S. Treasury Obligations (Cost $236,228)				236,068
Loan Participations and Assignments 5.4%
Senior Loans **
DaVita, Inc., Term Loan B, 1-month USD LIBOR + 2.750%, 5.272%, 6/24/2021		66,850		66,516
Level 3 Financing, Inc., Term Loan B, 1-month USD LIBOR + 2.250%, 4.754%, 2/22/2024		60,000		57,175
MacDermid, Inc., Term Loan B6, 1-month USD LIBOR + 3.000%, 5.522%, 6/7/2023 (e)		57,187		56,865
MEG Energy Corp., Term Loan B, 1-month USD LIBOR + 3.500%, 6.03%, 12/31/2023		5,402		5,301
NRG Energy, Inc., Term Loan B, 1-month USD LIBOR + 1.750%, 4.272%, 6/30/2023		112,845		108,825
Quebecor Media, Inc., Term Loan B1, 3-month USD LIBOR + 2.250%, 4.866%, 8/17/2020		85,275		84,280
Valeant Pharmaceuticals International, Inc., Term Loan B, 1-month USD LIBOR + 3.000%, 5.379%, 6/2/2025		72,674		69,615
Total Loan Participations and Assignments (Cost $460,203)				448,577

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

8 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

	Principal Amount ($)(a)		Value ($)
Convertible Bond 1.9%
Materials
GEO Specialty Chemicals, Inc., 3-month USD-LIBOR + 14.0%, 16.707%** PIK, 10/18/2025 (e) (Cost $145,946)		146,805		158,403
	Shares		Value ($)
Common Stocks 0.1%
Industrials 0.0%
Quad Graphics, Inc.		4		49
Materials 0.1%
GEO Specialty Chemicals, Inc.* (e)		85,721		10,724
Total Common Stocks (Cost $39,455)				10,773
Warrant 0.0%
Materials
Hercules Trust II, Expiration Date 3/31/2029* (e) (Cost $17,432)		85		2,096

	Shares			Value ($)
Securities Lending Collateral 3.6%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares, 2.29% (f) (g) (Cost $302,310)		302,310			302,310
Cash Equivalent 4.8%
DWS Central Cash Management Government Fund, 2.41% (f) (Cost $395,710)		395,710			395,710
	% of Net Assets			Value ($)
Total Investment Portfolio (Cost $8,712,044)		103.8			8,610,047
Other Assets and Liabilities, Net		(3.8	)		(318,212	)
Net Assets		100.0			8,291,835

A summary of the Fund’s transactions with affiliated investments during the year ended December 31, 2018 are as follows:

Value ($) at 12/31/2017	Purchases Cost ($)			Sales Proceeds ($)		Net Realized Gain/ (Loss) ($)		Net Change in Unrealized Appreciation (Depreciation) ($)		Income ($)		Capital Gain Distributions ($)		Number of Shares at 12/31/2018		Value ($) at 12/31/2018
Securities Lending Collateral 3.6%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (f) (g)
154,990		147,320	(h)		—		—		—		4,702		—		302,310		302,310
Cash Equivalent 4.8%
DWS Central Cash Management Government Fund, 2.41% (f)
539,169		4,831,276			4,974,735		—		—		14,308		—		395,710		395,710
694,159		4,978,596			4,974,735		—		—		19,010		—		698,020		698,020

* Non-income producing security.

** Variable or floating rate security. These securities are shown at their current rate as of December 31, 2018. For securities based on a published reference rate and spread, the reference rate and spread are indicated within the description above. Certain variable rate securities are not based on a published reference rate and spread but adjust periodically based on current market conditions, prepayment of underlying positions and/or other variables.

*** Annualized yield at time of purchase; not a coupon rate.

(a) Principal amount stated in U.S. dollars unless otherwise noted.

(b) All or a portion of these securities were on loan. In addition, “Other Assets and Liabilities, Net” may include pending sales that are also on loan. The value of securities loaned at December 31, 2018 amounted to $287,953, which is 3.5% of net assets.

(c) Government-backed debt issued by financial companies or government sponsored enterprises.

(d) At December 31, 2018, this security has been pledged, in whole or in part, to cover initial margin requirements for open futures contracts.

(e) Investment was valued using significant unobservable inputs.

(f) Affiliated fund managed by DWS Investment Management Americas, Inc. The rate shown is the annualized seven-day yield at period end.

(g) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates.

(h) Represents the net increase (purchase cost) or decrease (sales proceeds) in the amount invested for the year ended December 31, 2018.

144A: Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.

CJSC: Closed Joint Stock Company

Interest Only: Interest Only (IO) bonds represent the “interest only” portion of payments on a pool of underlying mortgages or mortgage-backed securities. IO securities are subject to prepayment risk of the pool of underlying mortgages.

JSC: Joint Stock Company

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

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 9

LIBOR: London Interbank Offered Rate

PIK: Denotes that all or a portion of the income is paid in-kind in the form of additional principal.

REIT: Real Estate Investment Trust

Included in the portfolio are investments in mortgage or asset-backed securities which are interests in separate pools of mortgages or assets. Effective maturities of these investments may be shorter than stated maturities due to prepayments.

At December 31, 2018, open futures contracts purchased were as follows:

Futures	Currency		Expiration Date		Contracts		Notional Amount ($)		Notional Value ($)		Unrealized Appreciation ($)
2 Year U.S. Treasury Note		USD		3/29/2019		4		843,874		849,250		5,376
U.S. Treasury Long Bond		USD		3/20/2019		2		278,567		292,000		13,433
Ultra 10 Year U.S. Treasury Note		USD		3/20/2019		8		1,008,723		1,040,625		31,902
Total unrealized appreciation												50,711

At December 31, 2018, open futures contracts sold were as follows:

Futures	Currency		Expiration Date		Contracts		Notional Amount ($)		Notional Value ($)		Unrealized Depreciation ($)
5 Year U.S. Treasury Note		USD		3/29/2019		1		112,991		114,688		(1,697	)
Euro-Schatz		EUR		3/7/2019		8		1,025,480		1,026,042		(562	)
Ultra Long U.S. Treasury Bond		USD		3/20/2019		1		152,208		160,656		(8,448	)
Total unrealized depreciation												(10,707	)

As of December 31, 2018, the Fund had the following open forward foreign currency contracts:

Contracts to Deliver		In Exchange For		Settlement Date		Unrealized Appreciation ($)		Counterparty
USD	86,534	CNY	603,054		1/9/2019		1,303	Credit Agricole
MXN	5,100,000	USD	261,287		1/23/2019		2,534	State Street Bank and Trust
AUD	450,000	USD	325,651		2/19/2019		8,415	Australia and New Zealand Banking Group Ltd.
Total unrealized appreciation							12,252
Contracts to Deliver		In Exchange For		Settlement Date		Unrealized Depreciation ($)		Counterparty
CNY	1,379,970	USD	198,522		1/9/2019		(2,478)	Toronto-Dominion Bank

Currency Abbreviations

ARS Argentine Peso

AUD Australian Dollar

CNY Chinese Yuan

EUR Euro

HUF Hungarian Forint

MXN Mexican Peso

USD United States Dollar

For information on the Fund’s policy and additional disclosures regarding futures contracts and forward foreign currency contracts, please refer to the Derivatives section of Note B in the accompanying Notes to Financial Statements.

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

10 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1			Level 2			Level 3		Total
Fixed Income Investments (i)
Corporate Bonds	$	—		$	901,276		$	—	$	901,276
Mortgage-Backed Securities Pass-Throughs		—			507,407			—		507,407
Asset-Backed		—			181,761			—		181,761
Commercial Mortgage-Backed Security		—			394,070			—		394,070
Collateralized Mortgage Obligations		—			1,405,771			—		1,405,771
Government & Agency Obligations		—			3,665,825			—		3,665,825
Short-Term U.S. Treasury Obligations		—			236,068			—		236,068
Loan Participations and Assignments		—			391,712			56,865		448,577
Convertible Bond		—			—			158,403		158,403
Common Stocks (i)		49			—			10,724		10,773
Warrant		—			—			2,096		2,096
Short-Term Investments (i)		698,020			—			—		698,020
Derivatives (j)
Futures Contracts	$	50,711		$	—		$	—	$	50,711
Forward Foreign Currency Contracts		—			12,252			—		12,252
Total	$	748,780		$	7,696,142		$	228,088	$	8,673,010
Liabilities	Level 1			Level 2			Level 3		Total
Derivatives (j)
Futures Contracts	$	(10,707	)	$	—		$	—	$	(10,707	)
Forward Foreign Currency Contracts		—			(2,478	)		—		(2,478	)
Total	$	(10,707	)	$	(2,478	)	$	—	$	(13,185	)

During the year ended December 31, 2018, the amount of transfers between Level 2 and Level 3 was $56,865. The investment was transferred from Level 2 to Level 3 due to the lack of observable market data due to a decrease in market activity.

Transfers between price levels are recognized at the beginning of the reporting period.

(i) See Investment Portfolio for additional detailed categorizations.

(j) Derivatives include unrealized appreciation (depreciation) on open futures contracts and forward foreign currency contract.

Level 3 Reconciliation

The following is a reconciliation of the Fund’s Level 3 investments for which significant unobservable inputs were used in determining value:

	Bank Loan			Convertible Bond			Common Stock			Warrants			Total
Balance as of December 31, 2017	$	—		$	180,626		$	4,455		$	2,298		$	187,379
Realized gains (loss)		—			—			—			—			—
Change in unrealized appreciation (depreciation)		(685	)		(26,204	)		(13,253	)		(202	)		(40,344	)
Amortization premium/discount		(2	)		20			—			—			18
Purchases/PIK		—			3,961			19,522			—			23,483
(Sales)		—			—			—			—			—
Transfers into Level 3		57,552			—			—			—			57,552
Transfers (out) of Level 3		—			—			—			—			—
Balance as of December 31, 2018	$	56,865		$	158,403		$	10,724		$	2,096		$	228,088
Net change in unrealized appreciation (depreciation) from investments still held as of December 31, 2018	$	(685	)	$	(26,204	)	$	(13,253	)	$	(202	)	$	(40,344	)

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

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 11

Quantitative Disclosure About Significant Unobservable Inputs
Asset Class	Fair Value at 12/31/18		Valuation Technique(s)	Unobservable Input	Range (Weighted Average)
Convertible Bond:
Materials		$158,403	Option Pricing Model	Implied Volatility of Option	45%
				Discount Rate	18.38%
				EV/EBITDA Multiple	5.56
				Discount for lack of marketability	22%
Common Stock:
Materials		$10,724	Market Approach	EV/EBITDA Multiple	5.56
				Discount for lack of marketability	22%
Warrants:
Materials		$2,096	Black Scholes Option Pricing Model	Implied Volatility of Option	21.61%
				Discount for lack of marketability	20%
Senior Loans		$56,865	Dealer Quote	Dealer Quote	—

Qualitative Disclosure About Unobservable Inputs

Significant unobservable inputs developed by the Pricing Committee and used in the fair value measurement of the Fund’s convertible bond investment include enterprise value (EV) to earnings before interest, taxes, depreciation and amortization (EBITDA) ratio with a discount for lack of marketability; implied volatility of option; and discount rate. A significant change in the EV to EBITDA ratio and implied volatility of option may result in a significant change in the fair value measurement, while a significant change in the discount for lack of marketability and discount rate are unlikely to result in a materially higher or lower fair value measurement.

Significant unobservable inputs developed by the Pricing Committee and used in the fair value measurement of the Fund’s common stock investment include enterprise value (EV) to earnings before interest, taxes, depreciation and amortization (EBITDA) ratio with a discount for lack of marketability. A significant change in the EV to EBITDA ratio may result in a significant change in the fair value measurement, while a significant change in the discount for lack of marketability is unlikely to result in a materially higher or lower fair value measurement.

Significant unobservable inputs developed by the Pricing Committee and used in the fair value measurement of the Fund’s warrants include volatility and discount for lack of marketability. A change in the volatility of the underlying asset as an input to the Black-Scholes model may have a significant change in the fair value measurement. A significant change in the discount for lack of marketability is unlikely to have a material impact to the fair value measurement.

A significant change in the broker quotes for the Fund’s senior loan investments could have a material change on the fair value measurement.

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

12 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

Statement of Assets and Liabilities

as of December 31, 2018
Assets
Investments in non-affiliated securities, at value (cost $8,014,024) — including $287,953 of securities loaned	$	7,912,027
Investment in DWS Government & Agency Securities Portfolio (cost $302,310)*		302,310
Investment in DWS Central Cash Management Government Fund (cost $395,710)		395,710
Cash		2,618
Foreign currency, at value (cost $19,475)		19,299
Interest receivable		77,050
Receivable for variation margin on futures contracts		4,512
Unrealized appreciation on forward foreign currency contracts		12,252
Foreign taxes recoverable		625
Other assets		1,172
Total assets		8,727,575
Liabilities
Payable upon return of securities loaned		302,310
Payable for Fund shares redeemed		17,628
Unrealized depreciation on forward foreign currency contracts		2,478
Accrued management fee		5,426
Accrued Trustees’ fees		747
Other accrued expenses and payables		107,151
Total liabilities		435,740
Net assets, at value	$	8,291,835
Net Assets Consist of
Distributable earnings (loss)		(4,409,778	)
Paid-in capital		12,701,613
Net assets, at value	$	8,291,835
Net Asset Value
Class A
Net asset value, offering and redemption price per share ($8,291,835 ÷ 888,694 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	9.33

* Represents collateral on securities loaned.

Statement of Operations

for the year ended December 31, 2018
Investment Income
Income:
Interest (net of foreign taxes withheld of $913)	$	347,905
Income distributions — DWS Central Cash Management Government Fund		14,308
Securities lending income, net of borrower rebates		4,702
Total income		366,915
Expenses:
Management fee		48,680
Administration fee		8,851
Services to Shareholders		207
Custodian fee		19,492
Professional fees		85,127
Reports to shareholders		19,521
Trustees’ fees and expenses		2,063
Other		9,527
Total expenses before expense reductions		193,468
Expense reductions		(135,937	)
Total expenses after expense reductions		57,531
Net investment income		309,384
Realized and Unrealized Gain (Loss)
Net realized gain (loss) from:
Investments		(72,473	)
Swap contracts		956
Futures		(66,904	)
Forward foreign currency contracts		26,618
Foreign currency		5,022
		(106,781	)
Change in net unrealized appreciation (depreciation) on:
Investments		(404,117	)
Futures		43,567
Forward foreign currency contracts		8,305
Foreign currency		6,500
		(345,745	)
Net gain (loss)		(452,526	)
Net increase (decrease) in net assets resulting from operations	$	(143,142	)

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

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 13

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income	$	309,384		$	612,061
Net realized gain (loss)		(106,781	)		498,625
Change in net unrealized appreciation (depreciation)		(345,745	)		372,805
Net increase (decrease) in net assets resulting from operations		(143,142	)		1,483,491
Distributions to shareholders:
Class A		(641,992	)		(201,605	)*
Fund share transactions:
Class A
Proceeds from shares sold		612,918			710,821
Reinvestment of distributions		641,992			201,605
Payments for shares redeemed		(1,895,400	)		(17,200,328	)
Net increase (decrease) in net assets from Class A share transactions		(640,490	)		(16,287,902	)
Increase (decrease) in net assets		(1,425,624	)		(15,006,016	)
Net assets at beginning of period		9,717,459			24,723,475
Net assets at end of period	$	8,291,835		$	9,717,459	**
Other Information
Class A
Shares outstanding at beginning of period		951,249			2,560,974
Shares sold		64,660			71,456
Shares issued to shareholders in reinvestment of distributions		68,080			20,405
Shares redeemed		(195,295	)		(1,701,586	)
Net increase (decrease) in Class A shares		(62,555	)		(1,609,725	)
Shares outstanding at end of period		888,694			951,249

* Includes distributions from net investment income.

** Includes undistributed net investment income of $636,964.

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

14 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	10.22		$	9.65		$	10.43		$	11.20		$	11.53
Income (loss) from investment operations:
Net investment incomea		.34			.28			.22			.40			.49
Net realized and unrealized gain (loss)		(.50	)		.37			(.17	)		(.72	)		(.23	)
Total from investment operations		(.16	)		.65			.05			(.32	)		.26
Less distributions from:
Net investment income		(.73	)		(.08	)		(.83	)		(.45	)		(.59	)
Net asset value, end of period	$	9.33		$	10.22		$	9.65		$	10.43		$	11.20
Total Return (%)b		(1.65	)		6.78			.50			(3.02	)		2.23
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		8			10			25			33			54
Ratio of expenses before expense reductions (%)c		2.19			1.37			1.31			1.15			1.08
Ratio of expenses after expense reductions (%)c		.65			.67			.68			.70			.77
Ratio of net investment income (%)		3.50			2.81			2.19			3.67			4.23
Portfolio turnover rate (%)		85			96			159			185			185

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

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

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 15

Notes to Financial Statements (Unaudited)

A. Organization and Significant Accounting Policies

DWS Multisector Income VIP (formerly Deutsche Multisector Income VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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’s financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

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.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

Debt securities and loan participations and assignments are valued at prices supplied by independent pricing services approved by the Fund’s Board. 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, prepayment speeds and other data, as well as broker quotes. If the pricing services are unable to provide valuations, debt securities are valued at the average of the most recent reliable bid quotations or evaluated prices, as applicable, obtained from broker-dealers and loan participations and assignments are valued at the mean of the most recent bid and ask quotations or evaluated prices, as applicable, obtained from one or more broker-dealers. Certain securities may be valued on the basis of a price provided by a single source or broker-dealer. No active trading market may exist for some senior loans and they may be subject to restrictions on resale. The inability to dispose of senior loans in a timely fashion could result in losses. These securities are generally categorized as Level 2. Certain securities may be valued on the basis of a price provided by a single source or broker-dealer. No active trading market may exist for some senior loans and they may be subject to restrictions on resale. The inability to dispose of senior loans in a timely fashion could result in losses. These securities are generally categorized as Level 3.

Equity securities are valued at the most recent sale price or official closing price reported on the exchange (U.S. or foreign) or over-the-counter market on which they trade. 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. Equity securities are generally categorized as Level 1.

Futures contracts are generally valued at the settlement prices established each day on the exchange on which they are traded and are categorized as Level 1.

Forward currency contracts are valued at the prevailing forward exchange rate of the underlying currencies and are categorized as Level 2.

Swap contracts are valued daily based upon prices supplied by a Board approved pricing vendor, if available, and otherwise are valued at the price provided by the broker-dealer. Swap contracts are generally categorized as Level 2.

16 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

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 Board and are generally categorized as Level 3. In accordance with the Fund’s valuation procedures, factors considered in determining value may include, but are not limited to, the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security’s disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer, analysts, and/or the appropriate stock exchange (for exchange-traded securities); an analysis of the company’s or issuer’s financial statements; an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold; and with respect to debt securities, the maturity, coupon, creditworthiness, currency denomination and the movement of the market in which the security is normally traded. The value determined under these procedures may differ from published values for the same securities.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Investment securities and other assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the prevailing exchange rates at period end. Purchases and sales of investment securities, income and expenses are translated into U.S. 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 acquisition and disposition of foreign currencies, and the difference between the amount of net investment income accrued and the U.S. dollar amount actually received. The 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. Deutsche Bank AG, as lending agent, lends securities of the Fund to certain financial institutions under the terms of its securities lending agreement. During the term of the loans, the Fund continues to receive interest and dividends generated by the 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 either cash or 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 agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the securities lending agreement. As of period end, any securities on loan were collateralized by cash. During the year ended December 31, 2018, the Fund invested the cash collateral into a joint trading account in affiliated money market funds managed by DWS Investment Management Americas, Inc. As of December 31, 2018, the Fund invested the cash collateral in DWS Government & Agency Securities Portfolio. DWS Investment Management Americas, Inc. receives a management/administration fee (0.12% annualized effective rate as of December 31, 2018) on the cash collateral invested in DWS Government & Agency Securities Portfolio. 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 at any time, and the borrower, after notice, is required to return borrowed securities within a standard time period. 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. If the Fund is not able to recover securities lent, the Fund may sell the collateral and purchase a replacement investment in the market, incurring the risk that the value of the replacement security is greater than the value of the collateral. 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.

As of December 31, 2018, the Fund had securities on loan, which were classified as corporate bonds in the Investment Portfolio. The value of the related collateral exceeded the value of the securities loaned at period end. As of period end, the remaining contractual maturity of the collateral agreements were overnight and continuous.

Loan Participations and Assignments. Loan Participations and Assignments are portions of loans originated by banks and sold in pieces to investors. These floating-rate loans (“Loans”) in which the Fund invests are arranged between the borrower and one or more financial institutions (“Lenders”). These Loans

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 17

may take the form of Senior Loans, which are corporate obligations often issued in connection with recapitalizations, acquisitions, leveraged buy outs and refinancing. The Fund invests in such Loans in the form of participations in Loans (“Participations”) or assignments of all or a portion of Loans from third parties (“Assignments”). Participations typically result in the Fund having a contractual relationship with only the Lender, not with the borrower. The Fund has the right to receive payments of principal, interest and any fees to which it is entitled from the Lender selling the Participation and only upon receipt by the Lender of the payments from the borrower. In connection with purchasing Participations, the Fund generally has no right to enforce compliance by the borrower with the terms of the loan agreement relating to the Loan, or any rights of set off against the borrower, and the Fund will not benefit directly from any collateral supporting the Loan in which it has purchased the Participation. As a result, the Fund assumes the credit risk of both the borrower and the Lender that is selling the Participation. Assignments typically result in the Fund having a direct contractual relationship with the borrower, and the Fund may enforce compliance by the borrower with the terms of the loan agreement. Loans held by the Fund are generally in the form of Assignments, but the Fund may also invest in Participations. If affiliates of the Advisor participate in the primary and secondary market for senior loans, legal limitations may restrict the Fund’s ability to participate in restructuring or acquiring some senior loans. All Loans involve interest rate risk, liquidity risk and credit risk, including the potential default or insolvency of the borrower.

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, the Fund may be subject to taxes imposed by the governments of countries in which it invests and are generally based on income and/or capital gains earned or repatriated, a portion of which may be recoverable. Based upon the current interpretation of the tax rules and regulations, estimated tax liabilities and recoveries on certain foreign securities are recorded on an accrual basis and are reflected as components of interest income or net change in unrealized gain/loss on investments. Tax liabilities realized as a result of security sales are reflected as a component of net realized gain/loss on investments.

At December 31, 2018, the Fund had net tax basis capital loss carryforwards of approximately $4,643,000, which may be applied against realized net taxable capital gains indefinitely, including short-term losses ($1,959,000) and long-term losses ($2,684,000).

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax provisions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investment income of the Fund, if any, are 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 Fund may also make additional distributions for tax purposes if necessary.

The timing and characterization of certain income and capital gain 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, futures contracts, swap contracts 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, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income*	$	336,273
Capital loss carryforwards	$	(4,643,000	)
Unrealized appreciation (depreciation) on investments	$	(102,899	)

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $8,712,946. The net unrealized depreciation for all investments based on tax cost was $102,899. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $344,975 and aggregate gross unrealized depreciation for all investments in which there was an excess of tax cost over value of $447,874.

18 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

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

	Years Ended December 31,
	2018		2017
Distributions from ordinary income*	$	641,992	$	201,605

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

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 based upon the relative net assets or other appropriate measures.

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.

Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment 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 taxes. Realized gains and losses from investment transactions are recorded on an identified cost basis. Proceeds from litigation payments, if any, are included in net realized gain (loss) from investments. All discounts and premiums are accreted/amortized for both tax and financial reporting purposes for the Fund, with the exception of securities in default of principal.

B. Derivative Instruments

Swaps. A swap is a contract between two parties to exchange future cash flows at periodic intervals based on the notional amount of the swap. A bilateral swap is a transaction between the fund and a counterparty where cash flows are exchanged between the two parties. A centrally cleared swap is a transaction executed between the fund and a counterparty, then cleared by a clearing member through a central clearinghouse. The central clearinghouse serves as the counterparty, with whom the fund exchanges cash flows.

The value of a swap is adjusted daily, and the change in value, if any, is recorded as unrealized appreciation or depreciation in the Statement of Assets and Liabilities. Gains or losses are realized when the swap expires or is closed. Certain risks may arise when entering into swap transactions including counterparty default; liquidity; or unfavorable changes in interest rates or the value of the underlying reference security, commodity or index. In connection with bilateral swaps, securities and/or cash may be identified as collateral in accordance with the terms of the swap agreement to provide assets of value and recourse in the event of default. The maximum counterparty credit risk is the net present value of the cash flows to be received from or paid to the counterparty over the term of the swap, to the extent that this amount is beneficial to the Fund, in addition to any related collateral posted to the counterparty by the Fund. This risk may be partially reduced by a master netting arrangement between the Fund and the counterparty. Upon entering into a centrally cleared swap, the Fund is required to deposit with a financial intermediary cash or securities (“initial margin”) in an amount equal to a certain percentage of the notional amount of the swap. Subsequent payments (“variation margin”) are made or received by the Fund dependent upon the daily fluctuations in the value of the swap. In a cleared swap transaction, counterparty risk is minimized as the central clearinghouse acts as the counterparty.

An upfront payment, if any, made by the Fund is recorded as an asset in the Statement of Assets and Liabilities. An upfront payment, if any, received by the Fund is recorded as a liability in the Statement of Assets and Liabilities. Payments received or made at the end of the measurement period are recorded as realized gain or loss in the Statement of Operations.

Interest rate swaps are agreements in which the Fund agrees to pay to the counterparty a fixed rate payment in exchange for the counterparty agreeing to pay to the Fund a variable rate payment, or the Fund agrees to receive from the counterparty a fixed rate payment in exchange for the counterparty agreeing to receive from the Fund a variable rate payment. The payment obligations are based on the notional amount of the swap. For the year ended December 31, 2018, the Fund entered into interest rate swap agreements to gain exposure to different parts of the yield curve while managing overall duration.

There were no open interest rate swap contracts as of December 31, 2018. For the year ended December 31, 2018 the investment in interest rate swap contracts had a total notional amount generally indicative of a range from $0 to $1,700,000.

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 19

Futures Contracts. A futures contract is an agreement between a buyer or seller and an established futures exchange or its clearinghouse in which the buyer or seller agrees to take or make a delivery of a specific amount of a financial instrument at a specified price on a specific date (settlement date). For the year ended December 31, 2018, the Fund entered into interest rate futures to gain exposure to different parts of the yield curve while managing overall duration and for non-hedging purposes to seek to enhance potential gains.

Upon entering into a futures contract, the Fund is required to deposit with a financial intermediary cash or securities (“initial margin”) in an amount equal to a certain percentage of the face value indicated in the futures contract. Subsequent payments (“variation margin”) are made or received by the Fund dependent upon the daily fluctuations in the value and are recorded for financial reporting purposes as unrealized gains or losses by the Fund. Gains or losses are realized when the contract expires or is closed. Since all futures contracts are exchange-traded, counterparty risk is minimized as the exchange’s clearinghouse acts as the counterparty, and guarantees the futures against default.

Certain risks may arise upon entering into futures contracts, including the risk that an illiquid market will limit the Fund’s ability to close out a futures contract prior to the settlement date and the risk that the futures contract is not well correlated with the security, index or currency to which it relates. Risk of loss may exceed amounts disclosed in the Statement of Assets and Liabilities.

A summary of the open futures contracts as of December 31, 2018 is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in futures contracts purchased had a total notional value generally indicative of a range from approximately $801,000 to $2,497,000, and the investment in futures contracts sold had a total notional value generally indicative of a range from approximately $0 to approximately $1,440,000.

Forward Foreign Currency Contracts. A forward foreign currency contract (“forward currency contract”) is a commitment to purchase or sell a foreign currency at the settlement date at a negotiated rate. For the year ended December 31, 2018, the Fund entered into forward currency contracts in order to hedge against anticipated currency market changes and for non-hedging purposes to seek to enhance potential gains.

Forward currency contracts are valued at the prevailing forward exchange rate of the underlying currencies and unrealized gain (loss) is recorded daily. On the settlement date of the forward currency contract, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value of the contract at the time it was closed. Certain risks may arise upon entering into forward currency contracts from the potential inability of counterparties to meet the terms of their contracts. The maximum counterparty credit risk to the Fund is measured by the unrealized gain on appreciated contracts. Additionally, when utilizing forward currency contracts to hedge, the Fund gives up the opportunity to profit from favorable exchange rate movements during the term of the contract.

A summary of the open forward currency contracts as of December 31, 2018, is included in a table following the Fund’s Investment Portfolio. For the year ended December 31, 2018, the investment in forward currency contracts short vs. U.S. dollars had a total contract value generally indicative of a range from approximately $582,000 to $1,435,000, and the investment in forward currency contracts long vs. U.S. dollars had a total contract value generally indicative of a range from $0 to approximately $562,000.

The following tables summarize the value of the Fund’s derivative instruments held as of December 31, 2018 and the related location in the accompanying Statement of Assets and Liabilities, presented by primary underlying risk exposure:

Asset Derivatives	Forward Contracts		Futures Contracts		Total
Interest Rate Contracts (a)	$	—	$	50,711	$	50,711
Foreign Exchange Contracts (b)		12,252		—		12,252
	$	12,252	$	50,711	$	62,963

Each of the above derivatives is located in the following Statement of Assets and Liabilities accounts:

(a) Includes cumulative appreciation of futures contracts as disclosed in the Investment Portfolio. Unsettled variation margin is disclosed separately within the statement of Assets and Liabilities.

(b) Unrealized appreciation on forward foreign currency contracts

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Liability Derivatives	Forward Contracts		Futures Contracts		Total
Interest Rate Contracts (c)	$	—	$	10,707	$	10,707
Foreign Exchange Contracts (d)		2,478		—		2,478
	$	2,478	$	10,707	$	13,185

Each of the above derivatives is located in the following Statement of Assets and Liabilities accounts:

(c) Includes cumulative depreciation of futures contracts as disclosed in the Investment Portfolio. Unsettled variation margin is disclosed separately within the Statement of Assets and Liabilities.

(d) Unrealized depreciation on forward foreign currency contracts

Additionally, the amount of unrealized and realized gains and losses on derivative instruments recognized in Fund earnings during the year ended December 31, 2018 and the related location in the accompanying Statement of Operations is summarized in the following tables by primary underlying risk exposure:

Realized Gain (Loss)	Forward Contracts		Swap Contracts		Futures Contracts			Total
Interest Rate Contracts (e)	$	—	$	956	$	(66,904	)	$	(65,948	)
Foreign Exchange Contracts (f)		26,618		—		—			26,618
	$	26,618	$	956	$	(66,904	)	$	(39,330	)

Each of the above derivatives is located in the following Statement of Operations accounts:

(e) Net realized gain (loss) from swap contracts and futures, respectively

(f) Net realized gain (loss) from forward foreign currency contracts

Change in Net Unrealized Appreciation (Depreciation)	Forward Contracts		Futures Contracts		Total
Interest Rate Contracts (g)	$	—	$	43,567	$	43,567
Foreign Exchange Contracts (h)		8,305		—		8,305
	$	8,305	$	43,567	$	51,872

Each of the above derivatives is located in the following Statement of Operations accounts:

(g) Change in net unrealized appreciation (depreciation) on futures

(h) Change in net unrealized appreciation (depreciation) on forward foreign currency contracts

As of December 31, 2018, the Fund has transactions subject to enforceable master netting agreements which govern the terms of certain transactions, and reduce the counterparty risk associated with such transactions. Master netting agreements allow a Fund to close out and net total exposure to a counterparty in the event of a deterioration in the credit quality or contractual default with respect to all of the transactions with a counterparty. As defined by the master netting agreement, the Fund may have collateral agreements with certain counterparties to mitigate risk. For financial reporting purposes the Statement of Assets and Liabilities generally shows derivatives assets and liabilities on a gross basis, which reflects the full risks and exposures prior to netting. A reconciliation of the gross amounts on the Statement of Assets and Liabilities to the net amounts by a counterparty, including any collateral exposure, is included in the following tables:

Counterparty	Gross Amounts of Assets Presented in the Statement of Assets and Liabilities		Financial Instruments and Derivatives Available for Offset		Collateral Received		Net Amount of Derivative Assets
Australia and New Zealand Banking Group Ltd.	$	8,415	$	—	$	—	$	8,415
Credit Agricole		1,303		—		—		1,303
State Street Bank and Trust		2,534		—		—		2,534
	$	12,252	$	—	$	—	$	12,252

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 21

Counterparty	Gross Amounts of Liabilities Presented in the Statement of Assets and Liabilities		Financial Instruments and Derivatives Available for Offset		Collateral Pledged		Net Amount of Derivative Liabilities
Toronto-Dominion Bank	$	2,478	$	—	$	—	$	2,478
	$	2,478	$	—	$	—	$	2,478

C. Purchases and Sales of Securities

During the year ended December 31, 2018, purchases and sales of investment securities, excluding short-term investments, were as follows:

	Purchases		Sales
Non-U.S. Treasury Obligations	$	5,212,011	$	6,007,954
U.S. Treasury Obligations	$	1,427,568	$	—

D. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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 subadvisor.

DWS Alternatives Global Limited (formerly Deutsche Alternative Asset Management (Global) Limited), also an indirect, wholly owned subsidiary of DWS Group, serves as subadvisor for the Fund and, as such, provides portfolio manager services to the Fund. Pursuant to a sub-advisory agreement between DIMA and DWS Alternatives Global Limited, DIMA, not the Fund, compensates DWS Alternatives Global Limited for the services it provides to the Fund.

Pursuant to the Investment Management Agreement with the Advisor, 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:

First $250 million	.550	%
Next $750 million	.520	%
Next $1.5 billion	.500	%
Next $2.5 billion	.480	%
Next $2.5 billion	.450	%
Next $2.5 billion	.430	%
Next $2.5 billion	.410	%
Over $12.5 billion	.390	%

Accordingly, for the year ended December 31, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annual rate (exclusive of any applicable waivers/reimbursements) of 0.55% of the Fund’s average daily net assets.

For the period from January 1, 2018 through April 30, 2019, the Advisor has contractually agreed to waive its fee and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) at 0.65%.

For the year ended December 31, 2018, fees waived and/or expenses reimbursed amounted to $135,937.

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays DIMA 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, 2018, the Administration Fee was $8,851, of which $711 is unpaid.

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency

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agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018, the amounts charged to the Fund by DSC aggregated $117, of which $19 is unpaid.

Typesetting and Filing Service Fees. Under an agreement with the Fund, DIMA is compensated for providing typesetting and certain regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $10,993, of which $8,358 is unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

Affiliated Cash Management Vehicles. The Fund may invest uninvested cash balances in DWS Central Cash Management Government Fund and DWS ESG Liquidity Fund, affiliated money market funds which are managed by the Advisor. Each affiliated money market fund is managed in accordance with Rule 2a-7 under the 1940 Act, which governs the quality, maturity, diversity and liquidity of instruments in which a money market fund may invest. DWS Central Cash Management Government Fund seeks to maintain a stable net asset value, and DWS ESG Liquidity Fund maintains a floating net asset value. The Fund indirectly bears its proportionate share of the expenses of each affiliated money market fund in which it invests. DWS Central Cash Management Government Fund does not pay the Advisor an investment management fee. To the extent that DWS ESG Liquidity Fund pays an investment management fee to the Advisor, the Advisor will waive an amount of the investment management fee payable to the Advisor by the Fund equal to the amount of the investment management fee payable on the Fund’s assets invested in DWS ESG Liquidity Fund.

Security Lending Fees. Deutsche Bank AG serves as securities lending agent for the Fund. For the year ended December 31, 2018, the Fund incurred securities lending agent fees to Deutsche Bank AG in the amount of $354.

E. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a $400 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 a rate per annum equal to the sum of the Federal Funds Rate plus 1.25 percent plus if the one-month LIBOR exceeds the Federal Funds Rate, the amount of such excess. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement. The Fund had no outstanding loans at December 31, 2018.

F. Investing in High-Yield Securities

High-yield debt securities or junk bonds are generally regarded as speculative with respect to the issuer’s continuing ability to meet principal and interest payments. The Fund’s performance could be hurt if an issuer of a debt security suffers an adverse change in financial condition that results in the issuer not making timely payments of interest or principal, a security downgrade or an inability to meet a financial obligation. High-yield debt securities’ total return and yield may generally be expected to fluctuate more than the total return and yield of investment-grade debt securities. A real or perceived economic downturn or an increase in market interest rates could cause a decline in the value of high-yield debt securities, result in increased redemptions and/or result in increased portfolio turnover, which could result in a decline in net asset value of the Fund, reduce liquidity for certain investments and/or increase costs. High-yield debt securities are often thinly traded and can be more difficult to sell and value accurately than investment-grade debt securities as there may be no established secondary market. Investments in high yield debt securities could increase liquidity risk for the Fund. In addition, the market for high-yield debt securities can experience sudden and sharp volatility which is generally associated more with investments in stocks.

G. Investing in Emerging Markets

Investing in emerging markets may involve special risks and considerations not typically associated with investing in developed markets. These risks include revaluation of currencies, high rates of inflation or deflation, repatriation restrictions on income and capital, and future adverse political, social and economic

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 23

developments. Moreover, securities issued in these markets may be less liquid, subject to government ownership controls or delayed settlements, and may have prices that are more volatile or less easily assessed than those of comparable securities of issuers in developed markets.

H. Ownership of the Fund

At December 31, 2018, one participating insurance company was the owner of record of 10% or more of the total outstanding Class A shares of the Fund, owning 97%.

24 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS Multisector Income VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS Multisector Income VIP (formerly Deutsche Multisector Income VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 25

Information About Your Fund’s Expenses (Unaudited)

As an investor of the Fund, you incur two types of costs: ongoing expenses and transaction costs. Ongoing expenses include management fees and other Fund expenses. Examples of transaction costs include contract charges, 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, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2018
Actual Fund Return		Class A
Beginning Account Value 7/1/18	$	1,000.00
Ending Account Value 12/31/18	$	993.60
Expenses Paid per $1,000*	$	3.27
Hypothetical 5% Fund Return		Class A
Beginning Account Value 7/1/18	$	1,000.00
Ending Account Value 12/31/18	$	1,021.93
Expenses Paid per $1,000*	$	3.31

* Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratio	Class A
Deutsche DWS Variable Series II — DWS Multisector Income VIP		.65	%

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

26 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

Tax Information (Unaudited)

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 contact your insurance provider.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 27

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS Multisector Income VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) and sub-advisory agreement (the “Sub-Advisory Agreement” and together with the Agreement, the “Agreements”) between DIMA and Deutsche Alternative Asset Management (Global) Limited (now known as DWS Alternatives Global Limited) (“DAAM Global”), an affiliate of DIMA, in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– In connection with reviewing the Agreements, the Board also reviewed the terms of the Fund’s distribution agreement, administrative services agreement, transfer agency agreement and other material service agreements.

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 and DAAM Global are part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 and DAAM Global’s personnel and administrative support services provided by DIMA, such 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 and DAAM Global 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 and the resources made available to such personnel. Throughout the course of the year, the Board also received information regarding DIMA’s oversight of fund sub-advisers, including DAAM Global. 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 index(es) and a peer universe compiled using information supplied

28 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

by Morningstar Direct (“Morningstar”), an independent fund data service. The Board also noted that it has put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s 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-, three- and five-year periods ended December 31, 2017, the Fund’s performance (Class A shares) was in the 1st quartile, 4th quartile and 4th quartile, respectively, of the applicable Morningstar universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund has outperformed its benchmark in the one-year period and has underperformed its benchmark in the three- and five-year periods ended December 31, 2017. The Board noted the disappointing investment performance of the Fund in some past periods and continued to discuss with senior management of DIMA and DAAM Global the factors contributing to such underperformance and actions being taken to improve performance. The Board noted certain changes in the Fund’s portfolio management team that were made effective August 1, 2017. The Board observed that the Fund had experienced improved relative performance in 2017. The Board recognized the efforts by DIMA in recent years to enhance its investment platform and improve long-term performance across the DWS fund complex.

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, sub-advisory fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were higher than the median (3rd quartile) of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). With respect to the sub-advisory fee paid to DAAM Global, the Board noted that the fee is paid by DIMA out of its fee and not directly by the Fund. The Board noted that the Fund’s Class A shares total (net) operating expenses were expected to be lower than the median (2nd quartile) of the applicable Broadridge expense universe (based on Broadridge data provided as of December 31, 2017, and analyzing Broadridge expense universe Class A (net) expenses less any applicable 12b-1 fees) (“Broadridge Universe Expenses”). The Board noted that the expense limitation agreed to by DIMA was expected to help the Fund’s total (net) operating expenses remain competitive. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to comparable DWS U.S. registered funds (“DWS Funds”) and considered differences between the Fund and the comparable DWS Funds. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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 and DAAM Global.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs to DIMA, 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 DIMA and its affiliates with respect to all fund services in totality and by fund. The Board and the Fee Consultant 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 certain publicly available 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 Funds (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 most 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 investment 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.

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 29

Other Benefits to DIMA and Its Affiliates. The Board also considered the character and amount of other incidental or “fall-out” 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 transfer agency services provided to the Fund. 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. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreements.

30 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International; Public Radio International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago); Life Director of Hubbard Street Dance Chicago		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston); American Documentary, Inc. (public media)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 31

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)

32 | Deutsche DWS Variable Series II — DWS Multisector Income VIP

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

Deutsche DWS Variable Series II — DWS Multisector Income VIP | 33

Notes

Notes

  VS2MSI-2 (R-025836-8 2/19)

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS Small Mid Cap Growth VIP

(formerly Deutsche Small Mid Cap Growth VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
4	Management Summary
5	Portfolio Summary
6	Investment Portfolio
9	Statement of Assets and Liabilities
9	Statement of Operations
10	Statements of Changes in Net Assets
11	Financial Highlights
12	Notes to Financial Statements
16	Report of Independent Registered Public Accounting Firm
17	Information About Your Fund’s Expenses
18	Tax Information
18	Proxy Voting
19	Advisory Agreement Board Considerations and Fee Evaluation
22	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

Stocks may decline in value. Smaller and medium company stocks tend to be more volatile than large company stocks. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. The Fund may lend securities to approved institutions. Please read the prospectus for details.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

NOT FDIC/NCUA INSURED      NO BANK GUARANTEE      MAY LOSE VALUE      NOT A DEPOSIT

NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

2 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

Performance Summary December 31, 2018 (Unaudited)

Fund 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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns.

The gross expense ratio of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 is 0.75% for Class A shares and may differ from the expense ratio disclosed in the Financial Highlights table in this report.

Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights.

Growth of an Assumed $10,000 Investment in DWS Small Mid Cap Growth VIP

The Russell 2500^TM Growth Index is an unmanaged index that measures the performance of the small- to mid-cap growth segment of the U.S. equity universe. It includes those Russell 2500 companies with higher price-to-book ratios and higher forecasted growth values.   Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

Comparative Results
DWS Small Mid Cap Growth VIP		1-Year	3-Year	5-Year	10-Year
Class A	Growth of $10,000	$8,641	$11,510	$12,057	$34,428
	Average annual total return	–13.59%	4.80%	3.81%	13.16%
Russell 2500 Growth Index	Growth of $10,000	$9,253	$12,637	$13,503	$39,626
	Average annual total return	–7.47%	8.11%	6.19%	14.76%

The growth of $10,000 is cumulative.

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 3

Management Summary December 31, 2018 (Unaudited)

For the 12-month period ended December 31, 2018, the Fund returned –13.59% (Class A shares, unadjusted for contract charges), compared with the –7.47% return of the Russell 2500^™ Growth Index.

During most of the past year, financial markets seemed to rise above trade uncertainty, Brexit concerns, Federal Reserve policy changes and increased volatility, as investors focused on steady economic expansion, earnings growth and the tailwind from federal tax reform. However, as the 12-month period progressed, tailwinds turned to headwinds for the U.S. small- and mid-cap markets. Oil prices peaked in early October before worries regarding a possible oversupply of crude oil as well as general “risk-off” sentiment pervaded the market in the fourth quarter. For the Russell 2500 Growth Index, only three sectors posted positive returns for the 12-month period as macroeconomic concerns and uncertainty over monetary and fiscal policy negatively impacted performance.

The portfolio’s underperformance derived in part from sector allocation, as an underweight in information technology and an overweight in energy detracted from returns. In addition, stock selection within information technology, energy and consumer staples weighed on performance. The top individual contributors to performance during the period were the health care provider Molina Healthcare, Inc. and the software company Five9, Inc. Molina effectively executed its cost-savings plan, which translated to better than expected profits. Five9 continued to gain market share as its contact center infrastructure migrates from on-premises to cloud-based. The largest individual detractors from performance were the industrial firm Rush Enterprises, Inc. and the construction materials company Eagle Materials, Inc. Shares of Rush Enterprises, a leading dealer of commercial vehicles, declined on concerns that the truck replacement cycle may be extended due to delivery delays. Eagle Materials, a diversified producer of basic building products, underperformed as the company faced weakness in U.S. housing data and adverse weather that negatively impacted sales.

We continue to position the Fund for sustained economic recovery and remain focused on our bottom-up stock selection process. We maintain a long-term perspective, investing in quality small- and mid-cap growth companies whose shares trade at attractive valuations, with strong management teams that align shareholders’ interests with their own.

Peter Barsa, Director

Michael A. Sesser, CFA, Director

Portfolio Managers

The views expressed 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.

Terms to Know

The Russell 2500^TM Growth Index is an unmanaged index that measures the performance of the small- to midcap growth segment of the U.S. equity universe. It includes those Russell 2500 companies with higher price-to-book ratios and higher forecasted growth values. Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

“Overweight” means that the Fund holds a higher weighting in a given sector or security than the benchmark. “Underweight” means that the Fund holds a lower weighting.

Contribution and detraction incorporate both a stock’s total return and its weighting in the Fund.

4 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

Portfolio Summary (Unaudited)

Asset Allocation (As a % of Investment Portfolio excluding Securities Lending Collateral)	12/31/18		12/31/17
Common Stocks		93%		97%
Cash Equivalents		6%		2%
Convertible Preferred Stock		1%		1%
		100%		100%
Sector Diversification (As a % of Investment Portfolio excluding Cash Equivalents and Securities Lending Collateral)	12/31/18		12/31/17
Health Care		25%		21%
Information Technology		22%		23%
Industrials		18%		19%
Consumer Discretionary		16%		15%
Financials		7%		6%
Materials		4%		7%
Real Estate		3%		3%
Energy		2%		2%
Consumer Staples		2%		3%
Communication Services		1%		1%
		100%		100%

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 6.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q or Form N-PORT (available for filings after March 31, 2019). The Fund’s Form N-Q or Form N-PORT will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 5

Investment Portfolio December 31, 2018

	Shares		Value ($)
Common Stocks 93.4%
Communication Services 1.1%
Entertainment
Cinemark Holdings, Inc.		13,014		465,901
Take-Two Interactive Software, Inc.*		2,302		236,968
				702,869
Consumer Discretionary 15.2%
Auto Components 1.2%
Gentherm, Inc.*		7,798		311,764
Tenneco, Inc.		16,869		462,042
				773,806
Diversified Consumer Services 2.4%
Bright Horizons Family Solutions, Inc.*		9,008		1,003,941
ServiceMaster Global Holdings, Inc.*		13,978		513,552
				1,517,493
Hotels, Restaurants & Leisure 1.6%
Hilton Grand Vacations, Inc.*		15,442		407,514
Jack in the Box, Inc.		8,357		648,754
				1,056,268
Household Durables 3.7%
Helen of Troy Ltd.*		6,902		905,404
iRobot Corp.* (a)		13,414		1,123,289
TopBuild Corp.*		7,521		338,445
				2,367,138
Internet & Direct Marketing Retail 1.1%
GrubHub, Inc.*		3,879		297,946
Shutterfly, Inc.*		10,991		442,498
				740,444
Leisure Products 0.4%
YETI Holdings, Inc.* (a)		17,273		256,331
Specialty Retail 4.0%
Burlington Stores, Inc.*		7,180		1,167,971
Camping World Holdings, Inc. “A” (a)		30,031		344,455
Tailored Brands, Inc.		26,951		367,612
The Children’s Place, Inc.		7,548		679,999
				2,560,037
Textiles, Apparel & Luxury Goods 0.8%
Carter’s, Inc.		6,302		514,369
Consumer Staples 1.8%
Food & Staples Retailing 1.1%
Casey’s General Stores, Inc.		5,389		690,547
Food Products 0.2%
SunOpta, Inc.*		44,516		172,277
Household Products 0.5%
Spectrum Brands Holdings, Inc.		7,393		312,354
Energy 2.1%
Energy Equipment & Services 1.3%
Dril-Quip, Inc.*		16,509		495,765
Oil States International, Inc.*		23,188		331,125
				826,890

	Shares		Value ($)
Oil, Gas & Consumable Fuels 0.8%
California Resources Corp.*		22,013		375,102
Contango Oil & Gas Co.*		41,553		135,047
				510,149
Financials 6.3%
Banks 4.0%
Eagle Bancorp., Inc.*		9,086		442,579
FCB Financial Holdings, Inc. “A”*		17,761		596,414
Pinnacle Financial Partners, Inc.		7,734		356,538
South State Corp.		8,497		509,395
SVB Financial Group*		3,490		662,821
				2,567,747
Capital Markets 1.3%
Lazard Ltd. “A”		14,525		536,118
Moelis & Co. “A”		9,674		332,592
				868,710
Consumer Finance 1.0%
Green Dot Corp. “A”*		7,735		615,087
Health Care 22.5%
Biotechnology 7.9%
Acceleron Pharma, Inc.*		4,129		179,818
Alkermes PLC*		11,391		336,148
Amicus Therapeutics, Inc.*		18,313		175,439
Arena Pharmaceuticals, Inc.*		7,580		295,241
Bluebird Bio, Inc.*		2,454		243,437
Emergent BioSolutions, Inc.*		12,303		729,322
Heron Therapeutics, Inc.*		26,667		691,742
Ligand Pharmaceuticals, Inc.*		4,929		668,865
Neurocrine Biosciences, Inc.*		10,796		770,942
Retrophin, Inc.*		44,541		1,007,963
				5,098,917
Health Care Equipment & Supplies 4.0%
Cardiovascular Systems, Inc.*		23,977		683,105
Globus Medical, Inc. “A”*		8,079		349,659
iRhythm Technologies, Inc.*		2,213		153,759
Masimo Corp.*		5,350		574,430
Merit Medical Systems, Inc.*		6,389		356,570
Natus Medical, Inc.*		13,683		465,632
				2,583,155
Health Care Providers & Services 8.0%
AMN Healthcare Services, Inc.*		16,063		910,130
BioScrip, Inc.*		257,972		920,960
Molina Healthcare, Inc.*		12,438		1,445,544
Providence Service Corp.*		14,969		898,439
RadNet, Inc.*		58,745		597,437
Tivity Health, Inc.*		14,185		351,930
				5,124,440
Health Care Technology 1.6%
athenahealth, Inc.*		2,411		318,083
HMS Holdings Corp.*		26,025		732,083
				1,050,166
Pharmaceuticals 1.0%
Assertio Therapeutics, Inc.*		12,006		43,342
Avadel Pharmaceuticals PLC (ADR)*		24,612		63,499

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

6 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

	Shares		Value ($)
Pacira Pharmaceuticals, Inc.*		12,502		537,836
				644,677
Industrials 17.5%
Aerospace & Defense 1.0%
HEICO Corp.		8,035		622,552
Building Products 3.2%
A.O. Smith Corp.		16,215		692,380
Allegion PLC		11,168		890,201
Fortune Brands Home & Security, Inc.		12,443		472,710
				2,055,291
Commercial Services & Supplies 3.3%
Advanced Disposal Services, Inc.*		39,685		950,059
MSA Safety, Inc.		3,811		359,263
The Brink’s Co.		13,160		850,794
				2,160,116
Construction & Engineering 0.7%
MasTec, Inc.* (a)		10,594		429,693
Electrical Equipment 1.3%
Thermon Group Holdings, Inc.*		41,624		844,135
Machinery 2.8%
Chart Industries, Inc.*		9,241		600,942
Hillenbrand, Inc.		11,100		421,023
IDEX Corp.		2,649		334,463
Kennametal, Inc.		14,028		466,852
				1,823,280
Professional Services 1.5%
Kforce, Inc.		23,789		735,556
Mistras Group, Inc.*		15,322		220,330
				955,886
Trading Companies & Distributors 3.7%
H&E Equipment Services, Inc.		28,818		588,464
Rush Enterprises, Inc. “A”		35,301		1,217,178
Titan Machinery, Inc.*		42,049		552,944
				2,358,586
Information Technology 20.7%
Communications Equipment 0.7%
Lumentum Holdings, Inc.*		10,532		442,449
Electronic Equipment, Instruments & Components 1.5%
Anixter International, Inc.*		7,752		421,011
Cognex Corp.		8,337		322,392
IPG Photonics Corp.*		1,994		225,900
				969,303
IT Services 4.5%
Broadridge Financial Solutions, Inc.		11,030		1,061,638
MAXIMUS, Inc.		9,060		589,715
WEX, Inc.*		4,517		632,651
WNS Holdings Ltd. (ADR)*		15,577		642,707
				2,926,711
Semiconductors & Semiconductor Equipment 3.4%
Advanced Energy Industries, Inc.*		13,373		574,103
Advanced Micro Devices, Inc.*		22,933		423,343
Cabot Microelectronics Corp.		3,315		316,085
Cypress Semiconductor Corp.		35,012		445,353
Entegris, Inc.		14,392		401,465
				2,160,349

	Shares			Value ($)
Software 10.6%
2U, Inc.*		4,424			219,961
Aspen Technology, Inc.*		12,688			1,042,700
Cision Ltd.*		52,770			617,409
Envestnet, Inc.*		10,432			513,150
Five9, Inc.*		20,949			915,890
Proofpoint, Inc.*		8,009			671,235
QAD, Inc. “A”		16,918			665,385
Tyler Technologies, Inc.*		6,582			1,223,067
Varonis Systems, Inc.*		17,800			941,620
					6,810,417
Materials 3.6%
Chemicals 0.9%
Trinseo SA		12,784			585,251
Construction Materials 0.9%
Eagle Materials, Inc.		10,034			612,375
Containers & Packaging 0.6%
Berry Global Group, Inc.*		8,183			388,938
Metals & Mining 1.2%
Cleveland-Cliffs, Inc.*		71,240			547,836
First Quantum Minerals Ltd.		26,721			216,085
					763,921
Real Estate 2.6%
Equity Real Estate Investment Trusts (REITs)
Americold Realty Trust		9,400			240,076
National Storage Affiliates Trust		24,731			654,382
SBA Communications Corp. *		2,141			346,607
Urban Edge Properties		27,384			455,122
					1,696,187
Total Common Stocks (Cost $51,485,155)					60,159,311
Convertible Preferred Stock 0.7%
Health Care
Providence Service Corp., 5.5% (b) (Cost $283,300)		2,833			426,371
Securities Lending Collateral 3.2%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (c) (d) (Cost $2,032,950)		2,032,950			2,032,950
Cash Equivalents 6.0%
DWS Central Cash Management Government Fund, 2.41% (c) (Cost $3,874,651)		3,874,651			3,874,651
	% of Net Assets			Value ($)
Total Investment Portfolio (Cost $57,676,056)		103.3			66,493,283
Other Assets and Liabilities, Net		(3.3	)		(2,119,166	)
Net Assets		100.0			64,374,117

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

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 7

A summary of the Fund’s transactions with affiliated investments during the year ended December 31, 2018 are as follows:

Value ($) at 12/31/2017	Purchases Cost ($)		Sales Proceeds ($)			Net Realized Gain/ (Loss) ($)		Net Change in Unrealized Appreciation (Depreciation) ($)		Income ($)		Capital Gain Distribu- tions ($)		Number of Shares at 12/31/2018		Value ($) at 12/31/2018
Securities Lending Collateral 3.2%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (c) (d)
3,961,099		—		1,928,149	(e)		—		—		49,053		—		2,032,950		2,032,950
Cash Equivalents 6.0%
DWS Central Cash Management Government Fund, 2.41% (c)
1,762,858		16,441,823		14,330,030			—		—		50,358		—		3,874,651		3,874,651
5,723,957		16,441,823		16,258,179			—		—		99,411		—		5,907,601		5,907,601

* Non-income producing security.

(a) All or a portion of these securities were on loan. In addition, “Other Assets and Liabilities, Net” may include pending sales that are also on loan. The value of securities loaned at December 31, 2018 amounted to $1,994,879, which is 3.1% of net assets.

(b) Investment was valued using significant unobservable inputs.

(c) Affiliated fund managed by DWS Investment Management Americas, Inc. The rate shown is the annualized seven-day yield at period end.

(d) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates.

(e) Represents the net increase (purchase cost) or decrease (sales proceeds) in the amount invested for the year ended December 31, 2018.

ADR: American Depositary Receipt

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1		Level 2		Level 3		Total
Common Stocks (f)	$	60,159,311	$	—	$	—	$	60,159,311
Convertible Preferred Stock		—		—		426,371		426,371
Short-Term Investments (f)		5,907,601		—		—		5,907,601
Total	$	66,066,912	$	—	$	426,371	$	66,493,283

(f) See Investment Portfolio for additional detailed categorizations.

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

8 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

Statement of Assets and Liabilities

as of December 31, 2018
Assets
Investments in non-affiliated securities, at value (cost $51,768,455) — including $1,994,879 of securities loaned	$	60,585,682
Investment in DWS Government & Agency Securities Portfolio (cost $2,032,950)*		2,032,950
Investment in DWS Central Cash Management Government Fund (cost $3,874,651)		3,874,651
Cash		10,000
Foreign currency, at value (cost $82)		78
Receivable for Fund shares sold		3,288
Dividends receivable		14,511
Interest receivable		14,812
Other assets		1,784
Total assets		66,537,756
Liabilities
Payable upon return of securities loaned		2,032,950
Payable for Fund shares redeemed		9,536
Accrued management fee		25,398
Accrued Trustees’ fees		1,522
Other accrued expenses and payables		94,233
Total liabilities		2,163,639
Net assets, at value	$	64,374,117
Net Assets Consist of
Distributable earnings (loss)		17,238,373
Paid-in capital		47,135,744
Net assets, at value	$	64,374,117
Net Asset Value
Net Asset Value, offering and redemption price per share ($64,374,117 ÷ 5,077,014 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	12.68

* Represents collateral on securities loaned.

     Statement of Operations

for the year ended December 31, 2018
Investment Income
Income:
Dividends (net of foreign taxes withheld of $31)	$	481,654
Income distributions — DWS Central Cash Management Government Fund		50,358
Securities lending income, net of borrower rebates		49,053
Total income		581,065
Expenses:
Management fee		431,200
Administration fee		78,400
Services to Shareholders		844
Custodian fee		6,777
Professional fees		78,022
Reports to shareholders		28,214
Trustees’ fees and expenses		5,259
Other		7,389
Total expenses before expense reductions		636,105
Expense reductions		(6,672	)
Total expenses after expense reductions		629,433
Net investment income (loss)		(48,368	)
Realized and Unrealized Gain (Loss)
Net realized gain (loss) from:
Investments		8,988,112
Foreign currency		1,291
		8,989,403
Change in net unrealized appreciation (depreciation) on:
Investments		(19,054,036	)
Foreign currency		(4	)
		(19,054,040	)
Net gain (loss)		(10,064,637	)
Net increase (decrease) in net assets resulting from operations	$	(10,113,005	)

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

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 9

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income (loss)	$	(48,368	)	$	(87,390	)
Net realized gain (loss)		8,989,403			25,564,282
Change in net unrealized appreciation (depreciation)		(19,054,040	)		(2,783,953	)
Net increase (decrease) in net assets resulting from operations		(10,113,005	)		22,692,939
Distributions to shareholders:
Class A		(25,334,744	)		(6,576,947	)*
Fund share transactions:
Class A
Proceeds from shares sold		6,446,792			3,919,157
Reinvestment of distributions		25,334,744			6,576,947
Payments for shares redeemed		(9,303,196	)		(67,645,663	)
Net increase (decrease) in net assets from Class A share transactions		22,478,340			(57,149,559	)
Increase (decrease) in net assets		(12,969,409	)		(41,033,567	)
Net assets at beginning of period		77,343,526			118,377,093
Net assets at end of period	$	64,374,117		$	77,343,526	**
Other Information
Class A
Shares outstanding at beginning of period		3,525,232			6,244,931
Shares sold		381,309			194,850
Shares issued to shareholders in reinvestment of distributions		1,711,807			336,589
Shares redeemed		(541,334	)		(3,251,138	)
Net increase (decrease) in Class A shares		1,551,782			(2,719,699	)
Shares outstanding at end of period		5,077,014			3,525,232

* Includes distributions from net investment income of $124,128 and distributions from net realized gains of $6,452,819.

** Includes undistributed net investment income of $0.

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

10 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period	$	21.94		$	18.96		$	20.90		$	22.83		$	21.59
Income (loss) from investment operations:
Net investment income (loss)a		(.01	)		(.02	)		.02			(.04	)		(.02	)
Net realized and unrealized gain (loss)		(1.92	)		4.08			1.64			(.00	)		1.26
Total from investment operations		(1.93	)		4.06			1.66			(.04	)		1.24
Less distributions from:
Net investment income		—			(.02	)		—			—			—
Net realized gains		(7.33	)		(1.06	)		(3.60	)		(1.89	)		—
Total distributions		(7.33	)		(1.08	)		(3.60	)		(1.89	)		—
Net asset value, end of period	$	12.68		$	21.94		$	18.96		$	20.90		$	22.83
Total Return (%)		(13.59	)b		22.12			9.08			(.90	)		5.74
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		64			77			118			135			172
Ratio of expenses before expense reductions (%)c		.81			.75			.75			.72			.73
Ratio of expenses after expense reductions (%)c		.80			.75			.75			.72			.73
Ratio of net investment income (loss) (%)		(.06	)		(.08	)		.11			(.19	)		(.11	)
Portfolio turnover rate (%)		32			32			28			42			44

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

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

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 11

Notes to Financial Statements

A. Organization and Significant Accounting Policies

DWS Small Mid Cap Growth VIP (formerly Deutsche Small Mid Cap Growth VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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’s financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

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.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

Equity securities are valued at the most recent sale price or official closing price reported on the exchange (U.S. or foreign) or over-the-counter market on which they trade. 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. Equity securities are generally categorized as Level 1.

Investments in open-end investment companies are valued at their net asset value each business day and are categorized as Level 1.

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 Board and are generally categorized as Level 3. In accordance with the Fund’s valuation procedures, factors considered in determining value may include, but are not limited to, the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security’s disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer, analysts, and/or the appropriate stock exchange (for exchange-traded securities); an analysis of the company’s or issuer’s financial statements; an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold; and with respect to debt securities, the maturity, coupon, creditworthiness, currency denomination and the movement of the market in which the security is normally traded. The value determined under these procedures may differ from published values for the same securities.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

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

12 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

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 acquisition and disposition of foreign currencies, and the difference between the amount of net investment income accrued and the U.S. dollar amount actually received. The 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. Deutsche Bank AG, as lending agent, lends securities of the Fund to certain financial institutions under the terms of its securities lending agreement. During the term of the loans, the Fund continues to receive interest and dividends generated by the 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 either cash or 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 agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the securities lending agreement. As of period end, any securities on loan were collateralized by cash. During the year ended December 31, 2018, the Fund invested the cash collateral into a joint trading account in affiliated money market funds managed by DWS Investment Management Americas, Inc. As of December 31, 2018, the Fund invested the cash collateral in DWS Government & Agency Securities Portfolio. DWS Investment Management Americas, Inc. receives a management/administration fee (0.12% annualized effective rate as of December 31, 2018) on the cash collateral invested in DWS Government & Agency Securities Portfolio. 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 at any time, and the borrower, after notice, is required to return borrowed securities within a standard time period. 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. If the Fund is not able to recover securities lent, the Fund may sell the collateral and purchase a replacement investment in the market, incurring the risk that the value of the replacement security is greater than the value of the collateral. 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.

As of December 31, 2018, the Fund had securities on loan, which were classified as common stock in the Investment Portfolio. The value of the related collateral exceeded the value of the securities loaned at period end. As of period end, the remaining contractual maturity of the collateral agreements were overnight and continuous.

Federal Income 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.

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investment income of the Fund, if any, are 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 Fund may also make additional distributions for tax purposes if necessary.

The timing and characterization of certain income and capital gain 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 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, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed long-term capital gains	$	8,742,232
Net unrealized appreciation (depreciation) on investments	$	8,496,145

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 13

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $57,997,138. The net unrealized appreciation for all investments based on tax cost was $8,496,145. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $15,613,579 aggregate gross unrealized depreciation for all investments in which was an excess of tax cost over value of $7,117,434.

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

	Years Ended December 31,
	2018		2017
Distributions from ordinary income*	$	1,616,576	$	124,128
Distributions from long-term capital gains	$	23,718,168	$	6,452,819

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

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 based upon the relative net assets or other appropriate measures.

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.

Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment 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 taxes. Realized gains and losses from investment transactions are recorded on an identified cost basis. Proceeds from litigation payments, if any, are included in net realized gain (loss) from investments.

B. Purchases and Sales of Securities

During the year ended December 31, 2018, purchases and sales of investment transactions (excluding short-term investments) aggregated $23,655,787 and $27,697,820, respectively.

C. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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.

Pursuant to the Investment Management Agreement with the Advisor, 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:

First $250 million	.550	%
Next $750 million	.525	%
Over $1 billion	.500	%

Accordingly, for the year ended December 31, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annual rate (exclusive of any applicable waivers/reimbursements) of 0.55% of the Fund’s average daily net assets.

For the period from January 1, 2018 through September 30, 2018, the Advisor had contractually agreed to waive its fees and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of Class A at 0.84%.

Effective October 1, 2018 through September 30, 2019, the Advisor has contractually agreed to waive its fees and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of Class A at 0.81%.

14 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

For the year ended December 31, 2018, fees waived and/or expenses reimbursed were $6,672.

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays DIMA 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, 2018, the Administration Fee was $78,400, of which $5,724 is unpaid.

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018, the amounts charged to the Fund by DSC aggregated $392, of which $64 is unpaid.

Typesetting and Filing Service Fees. Under an agreement with the Fund, DIMA is compensated for providing certain pre-press and regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $9,232, of which $6,057 is unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

Affiliated Cash Management Vehicles. The Fund may invest uninvested cash balances in DWS Central Cash Management Government Fund and DWS ESG Liquidity Fund, affiliated money market funds which are managed by the Advisor. Each affiliated money market fund is managed in accordance with Rule 2a-7 under the 1940 Act, which governs the quality, maturity, diversity and liquidity of instruments in which a money market fund may invest. DWS Central Cash Management Government Fund seeks to maintain a stable net asset value, and DWS ESG Liquidity Fund maintains a floating net asset value. The Fund indirectly bears its proportionate share of the expenses of each affiliated money market fund in which it invests. DWS Central Cash Management Government Fund does not pay the Advisor an investment management fee. To the extent that DWS ESG Liquidity Fund pays an investment management fee to the Advisor, the Advisor will waive an amount of the investment management fee payable to the Advisor by the Fund equal to the amount of the investment management fee payable on the Fund’s assets invested in DWS ESG Liquidity Fund.

Securities Lending Agent Fees. Deutsche Bank AG serves as securities lending agent for the Fund. For the year ended December 31, 2018, the Fund incurred securities lending agent fees to Deutsche Bank AG in the amount of $3,692.

D. Ownership of the Fund

At December 31, 2018, one participating insurance company was owner of record of 10% or more of the total outstanding Class A shares of the Fund, owning 92%.

E. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a $400 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 a rate per annum equal to the sum of the Federal Funds Rate plus 1.25 percent plus if the one-month LIBOR exceeds the Federal Funds Rate the amount of such excess. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement. The Fund had no outstanding loans at December 31, 2018.

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 15

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS Small Mid Cap Growth VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS Small Mid Cap Growth VIP (formerly Deutsche Small Mid Cap Growth VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

16 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

Information About Your Fund’s Expenses (Unaudited)

As an investor of the Fund, you incur two types of costs: ongoing expenses and transaction costs. Ongoing expenses include management fees and other Fund expenses. Examples of transaction costs include contract charges, 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, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2018
Actual Fund Return	Class A
Beginning Account Value 7/1/18	$	1,000.00
Ending Account Value 12/31/18	$	816.50
Expenses Paid per $1,000*	$	3.66
Hypothetical 5% Fund Return	Class A
Beginning Account Value 7/1/18	$	1,000.00
Ending Account Value 12/31/18	$	1,021.17
Expenses Paid per $1,000*	$	4.08

* Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratio	Class A
Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP		.80	%

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 17

Tax Information (Unaudited)

The Fund paid distributions of $6.86 per share from net long-term capital gains during its year ended December 31, 2018.

Pursuant to Section 852 of the Internal Revenue Code, the Fund designates $9,660,000 as capital gain dividends for its year ended December 31, 2018.

For corporate shareholders, 26% of the ordinary dividends (i.e., income dividends plus short-term capital gains) paid during the Fund’s fiscal year ended December 31, 2018, qualified for the dividends received deduction.

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 contact your insurance provider.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

18 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS Small Mid Cap Growth VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– In connection with reviewing the Agreement, the Board also reviewed the terms of the Fund’s distribution agreement, administrative services agreement, transfer agency agreement and other material service agreements.

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 is part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 personnel and administrative support services provided by DIMA, such as back-office operations, fund valuations, and compliance policies and procedures.

Nature, Quality and Extent of Services. The Board considered the terms of the Agreement, including the scope of advisory services provided under the Agreement. The Board noted that, under the Agreement, DIMA provides 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 and the resources made available to such personnel. 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 index(es) and a peer universe compiled using information supplied by Morningstar Direct (“Morningstar”), an independent fund data service. The Board also noted that it has put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s plans to address underperformance. The Board

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 19

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-, three- and five-year periods ended December 31, 2017, the Fund’s performance (Class A shares) was in the 3rd quartile, 3rd quartile and 2nd quartile, respectively, of the applicable Morningstar universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund has underperformed its benchmark in the one-, three- and five-year periods ended December 31, 2017. The Board noted the disappointing investment performance of the Fund in recent periods and continued to discuss with senior management of DIMA the factors contributing to such underperformance and actions being taken to improve performance. The Board noted changes in the portfolio management team, effective April 19, 2018. The Board recognized the efforts by DIMA in recent years to enhance its investment platform and improve long-term performance across the DWS fund complex.

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were lower than the median (1st quartile) of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). The Board noted that the Fund’s Class A shares total (net) operating expenses were expected to be lower than the median (2nd quartile) of the applicable Broadridge expense universe (based on Broadridge data provided as of December 31, 2017, and analyzing Broadridge expense universe Class A (net) expenses less any applicable 12b-1 fees) (“Broadridge Universe Expenses”). The Board noted that the expense limitation agreed to by DIMA was expected to help the Fund’s total (net) operating expenses remain competitive. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to comparable DWS U.S. registered funds (“DWS Funds”), noting that DIMA indicated that it does not provide services to any comparable DWS Funds. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs to DIMA, 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 DIMA and its affiliates with respect to all fund services in totality and by fund. The Board and the Fee Consultant 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 certain publicly available 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 Funds (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 most 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 investment 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 or “fall-out” 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 transfer agency services provided to the Fund. 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

20 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

executing broker dealers, which pertain primarily to funds investing in equity securities. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously determined that the continuation of the Agreement 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreement.

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 21

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International; Public Radio International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago); Life Director of Hubbard Street Dance Chicago		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston); American Documentary, Inc. (public media)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

22 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS

Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP | 23

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

24 | Deutsche DWS Variable Series II — DWS Small Mid Cap Growth VIP

Notes

Notes

Notes

VS2SMCG-2 (R-025835-8 2/19)

December 31, 2018

Annual Report

Deutsche DWS Variable Series II

(formerly Deutsche Variable Series II)

DWS Small Mid Cap Value VIP

(formerly Deutsche Small Mid Cap Value VIP)

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, you may not be receiving paper copies of the Fund’s shareholder reports from the insurance company that offers your contract unless you specifically request paper copies from your insurance company or from your financial intermediary. Instead, the shareholder reports will be made available on a Web site, and your insurance company will notify you by mail each time a report is posted and provide you with a Web site link to access the report. Instructions for requesting paper copies will be provided by your insurance company.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your insurance company electronically by following the instructions provided by your insurance company.

You may elect to receive all future reports in paper free of charge from your insurance company. If your insurance company informs you that future reports will be delivered via Web access, you can inform your insurance company that you wish to continue receiving paper copies of your shareholder reports by following the instructions provided by your insurance company.

Contents

3	Performance Summary
4	Management Summary
6	Portfolio Summary
7	Investment Portfolio
9	Statement of Assets and Liabilities
9	Statement of Operations
10	Statements of Changes in Net Assets
11	Financial Highlights
12	Notes to Financial Statements
17	Report of Independent Registered Public Accounting Firm
18	Information About Your Fund’s Expenses
19	Tax Information
19	Proxy Voting
20	Advisory Agreement Board Considerations and Fee Evaluation
23	Board Members and Officers

This report must be preceded or accompanied by a prospectus. To obtain an additional prospectus or summary prospectus, if available, call (800) 728-3337 or your financial representative. We advise you to consider the Fund’s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest.

Stocks may decline in value. Smaller and medium company stocks tend to be more volatile than large company stocks. Any fund that focuses in a particular segment of the market or region of the world will generally be more volatile than a fund that invests more broadly. The Fund may lend securities to approved institutions. Please read the prospectus for details.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services.

DWS Distributors, Inc., 222 South Riverside Plaza, Chicago, IL 60606, (800) 621-1148

NOT FDIC/NCUA INSURED     NO BANK GUARANTEE     MAY LOSE VALUE     NOT A DEPOSIT

NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

2 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

Performance Summary December 31, 2018 (Unaudited)

Fund 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 data quoted. Please contact your participating insurance company for the Fund’s most recent month-end performance. Performance does not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option. These charges and fees will reduce returns. While all share classes have the same underlying portfolio, their performance will differ.

The gross expense ratios of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 are 0.83% and 1.19% for Class A and Class B shares, respectively, and may differ from the expense ratios disclosed in the Financial Highlights tables in this report.

Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights.

Growth of an Assumed $10,000 Investment in DWS Small Mid Cap Value VIP

The Russell 2500 Value Index is an unmanaged Index of those securities in the Russell 3000^® Index with lower price-to-book ratios and lower forecasted growth values.   Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.

Comparative Results
DWS Small Mid Cap Value VIP		1-Year	3-Year	5-Year	10-Year
Class A	Growth of $10,000	$8,399	$10,850	$11,231	$25,905
	Average annual total return	–16.01%	2.76%	2.35%	9.99%
Russell 2500 Value Index	Growth of $10,000	$8,764	$12,110	$12,259	$30,008
	Average annual total return	–12.36%	6.59%	4.16%	11.62%
DWS Small Mid Cap Value VIP		1-Year	3-Year	5-Year	10-Year
Class B	Growth of $10,000	$8,368	$10,733	$11,030	$25,022
	Average annual total return	–16.32%	2.39%	1.98%	9.61%
Russell 2500 Value Index	Growth of $10,000	$8,764	$12,110	$12,259	$30,008
	Average annual total return	–12.36%	6.59%	4.16%	11.62%

The growth of $10,000 is cumulative.

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 3

Management Summary December 31, 2018 (Unaudited)

Class A shares of DWS Small Mid Cap Value VIP returned –16.01% in 2018 (unadjusted for contract charges) and underperformed the –12.36% return of the Russell 2500^TM Value Index. Mid- and small-cap stocks lagged their large-cap peers during the period, while the value style finished well behind growth. Nearly all of the negative return for the index occurred in the fourth calendar quarter, when it declined 11.05%.

The Fund’s general investment approach was a key reason for its shortfall. Our style was out of step with the market through the first nine months of the period, during which higher-beta and momentum-driven stocks outpaced those with lower price-to-earnings (P/E) ratios and higher returns on equity. This trend was visible not just across the market as a whole, but also within the value benchmark. At a time of rising short-term interest rates and heightened headline risk surrounding trade policy, investors appeared to gravitate to faster growers and stronger recent performers regardless of their valuations. These circumstances created a headwind for the Fund due to our emphasis on value and fundamentals. In addition to only buying stocks that we believe are attractively valued, we are also very disciplined in selling those that have reached our price targets. We therefore do not typically gain the full benefit of momentum-oriented markets. Nevertheless, we think that investing in growing, fundamentally sound companies when the shares are cheap and selling them when they’re expensive continues to be a prudent path to long-term performance. This aspect of our approach indeed began to be reflected in results in the fourth calendar quarter once the market weakened and momentum stocks started to lose steam.

The Fund’s sector allocations, which are largely a function of our bottom-up stock selection process, also played a role in the underperformance. We were hurt by having underweights in the real estate, utilities, and communications services sectors. We have been steadily working to reduce the extent of the Fund’s underweights in real estate and utilities in order to minimize the effect of allocation on Fund returns, but the gradual nature of the process meant that our weightings in these areas were still well below those of the index.

Stock selection was also a net detractor. Our holdings trailed the corresponding benchmark components in the financial, energy, and materials sectors, offsetting a stronger showing in the health care, information technology, and consumer staples. Among individual stocks, the consumer products company Helen of Troy Ltd. was the top contributor to Fund performance. The company has built its business over time through accretive acquisitions of faster-growing, smaller players, and this strategy has begun to feed through to its results. Encompass Health Corp., a provider of inpatient and home-based rehabilitation services that rallied after raising its guidance for earnings and cash flows twice in 2018, was another key contributor. Winnebago Industries, Inc. was the largest detractor. The company exceeded earnings estimates in each of its four fiscal quarters, but the stock fell due to weak sentiment surrounding the recreational vehicle industry.

Although the Fund underperformed in the past 12 months, we believe it’s essential to stick to our disciplined, bottom-up strategy. There are always times when lower-quality and richly valued stocks outperform the overall market, and the 2017–2018 rally in this group proved especially persistent. Still, we don’t see an advantage of chasing performance in the lower-quality end of the small-cap universe given that such companies tend to underperform over longer-term intervals.

This emphasis on quality and value was reflected in our portfolio activity, which focused on making moves at a stock-by-stock level rather than executing broad-based changes. Specifically, we continued to rotate gradually out of strong performers that reached our price targets and redeploy the proceeds into stocks whose lower valuations may indicate greater upside potential. We believe this patient approach, instead of one that seeks to capture momentum, is a prudent long-term strategy.

Richard Hanlon, CFA, Director

Portfolio Manager

The views expressed 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.

4 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

Terms to Know

The Russell 2500 Value Index is an unmanaged index of those securities in the Russell 3000 Index with lower price-to-book ratios and lower forecasted growth values. Index returns do not reflect fees or expenses and it is not possible to invest directly into an index.

Beta measures a security’s sensitivity to the movements of the Fund’s benchmark or the market as a whole.

Momentum investing is the practice of investing in the market’s top performing stocks in order to capture additional upward movements in their prices.

Price-to-earnings (P/E) ratio compares share price to per-share earnings.

Overweight means the Fund holds a higher weighting in a given sector or security than the benchmark. Underweight means the Fund holds a lower weighting.

Contribution and detraction incorporate both a stock’s total return and its weighting in the Fund.

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 5

Portfolio Summary (Unaudited)

Asset Allocation (As a % of Investment Portfolio)	12/31/18		12/31/17
Common Stocks		97%		96%
Cash Equivalent		3%		4%
		100%		100%
Sector Diversification (As a % of Investment Portfolio excluding Cash Equivalent)	12/31/18		12/31/17
Financials		22%		20%
Industrials		16%		19%
Real Estate		13%		13%
Consumer Discretionary		12%		9%
Information Technology		11%		11%
Utilities		6%		5%
Health Care		6%		4%
Materials		5%		5%
Energy		4%		7%
Consumer Staples		3%		7%
Communication Services		2%		—
		100%		100%

Portfolio holdings and characteristics are subject to change.

For more complete details about the Fund’s investment portfolio, see page 7.

Following the Fund’s fiscal first and third quarter-end, a complete portfolio holdings listing is filed with the SEC on Form N-Q or Form N-PORT (available for filings after March 31, 2019). The Fund’s Form N-Q or Form N-PORT will be available on the SEC’s Web site at sec.gov. The Fund’s portfolio holdings are also posted on dws.com from time to time. Please see the Fund’s current prospectus for more information.

6 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

Investment Portfolio December 31, 2018

	Shares		Value ($)
Common Stocks 97.1%
Communication Services 1.7%
Media 1.7%
Interpublic Group of Companies, Inc.		69,952		1,443,110
Consumer Discretionary 11.3%
Auto Components 1.1%
Visteon Corp.*		15,913		959,236
Automobiles 1.5%
Winnebago Industries, Inc.		51,382		1,243,958
Diversified Consumer Services 1.6%
Regis Corp.*		79,032		1,339,592
Hotels, Restaurants & Leisure 2.2%
Aramark		33,800		979,186
Denny’s Corp.*		54,840		888,957
				1,868,143
Household Durables 2.5%
Helen of Troy Ltd.*		16,578		2,174,702
Leisure Products 0.7%
Brunswick Corp.		12,814		595,210
Textiles, Apparel & Luxury Goods 1.7%
Columbia Sportswear Co.		17,354		1,459,298
Consumer Staples 3.4%
Food Products 2.1%
Conagra Brands, Inc.		21,388		456,847
Lamb Weston Holdings, Inc.		18,123		1,333,128
				1,789,975
Household Products 1.3%
Central Garden & Pet Co.*		31,515		1,085,692
Energy 4.4%
Energy Equipment & Services 0.6%
Patterson-UTI Energy, Inc.		48,705		504,097
Oil, Gas & Consumable Fuels 3.8%
HollyFrontier Corp.		12,696		649,019
Matador Resources Co.*		26,296		408,377
Murphy Oil Corp.		26,957		630,524
Parsley Energy, Inc. “A”*		27,357		437,165
Targa Resources Corp.		15,978		575,528
WPX Energy, Inc.*		52,173		592,163
				3,292,776
Financials 20.9%
Banks 12.2%
Eagle Bancorp., Inc.*		28,517		1,389,063
East West Bancorp., Inc.		24,968		1,086,857
Great Western Bancorp., Inc.		58,045		1,813,906
Hancock Whitney Corp.		46,301		1,604,330
Pacific Premier Bancorp., Inc.*		24,378		622,127
Sterling Bancorp.		84,654		1,397,637
TCF Financial Corp.		71,128		1,386,285
UMB Financial Corp.		18,452		1,125,018
				10,425,223
Capital Markets 0.8%
E*TRADE Financial Corp.		16,234		712,348

	Shares		Value ($)
Insurance 6.4%
American Financial Group, Inc.		9,600		869,088
Assurant, Inc.		13,300		1,189,552
Brown & Brown, Inc.		51,769		1,426,753
CNO Financial Group, Inc.		42,786		636,656
ProAssurance Corp.		10,411		422,270
Torchmark Corp.		12,000		894,360
				5,438,679
Thrifts & Mortgage Finance 1.5%
Walker & Dunlop, Inc.		29,822		1,289,802
Health Care 5.9%
Health Care Providers & Services 3.3%
Encompass Health Corp.		24,337		1,501,593
Premier, Inc. “A”*		34,121		1,274,419
				2,776,012
Life Sciences Tools & Services 2.6%
Bruker Corp.		42,574		1,267,428
PerkinElmer, Inc.		12,605		990,123
				2,257,551
Industrials 15.2%
Building Products 1.2%
Simpson Manufacturing Co., Inc.		18,098		979,645
Commercial Services & Supplies 2.7%
Interface, Inc.		85,328		1,215,924
The Brink’s Co.		17,413		1,125,750
				2,341,674
Electrical Equipment 1.9%
EnerSys		20,357		1,579,907
Machinery 5.9%
Douglas Dynamics, Inc.		20,212		725,409
Federal Signal Corp.		59,274		1,179,552
Global Brass & Copper Holdings, Inc.		56,284		1,415,542
Hillenbrand, Inc.		23,503		891,469
Stanley Black & Decker, Inc.		6,963		833,750
				5,045,722
Professional Services 2.7%
ICF International, Inc.		13,149		851,792
ManpowerGroup, Inc.		8,734		565,963
Nielsen Holdings PLC		36,986		862,884
				2,280,639
Trading Companies & Distributors 0.8%
AerCap Holdings NV*		17,738		702,425
Information Technology 10.6%
Electronic Equipment, Instruments & Components 5.0%
CTS Corp.		24,200		626,538
Dolby Laboratories, Inc. “A”		16,724		1,034,212
Insight Enterprises, Inc.*		37,400		1,524,050
Rogers Corp.*		10,470		1,037,158
				4,221,958
IT Services 3.7%
Euronet Worldwide, Inc.*		10,261		1,050,521
Leidos Holdings, Inc.		15,800		832,976
Travelport Worldwide Ltd.		83,672		1,306,957
				3,190,454

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

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 7

	Shares		Value ($)
Software 1.9%
Verint Systems, Inc.*		39,135		1,655,802
Materials 4.6%
Chemicals 1.1%
Minerals Technologies, Inc.		18,144		931,513
Containers & Packaging 2.0%
Owens-Illinois, Inc.*		95,971		1,654,540
Metals & Mining 1.5%
Commercial Metals Co.		28,909		463,122
Steel Dynamics, Inc.		28,062		842,983
				1,306,105
Real Estate 13.1%
Equity Real Estate Investment Trusts (REITs) 13.1%
Agree Realty Corp.		32,916		1,945,994
Community Healthcare Trust, Inc.		60,375		1,740,611
Duke Realty Corp.		17,200		445,480
Easterly Government Properties, Inc.		71,737		1,124,836
Gaming and Leisure Properties, Inc.		28,066		906,813
Highwoods Properties, Inc.		28,870		1,116,980
Pebblebrook Hotel Trust		48,416		1,370,657
STAG Industrial, Inc.		56,593		1,408,034
WP Carey, Inc.		17,000		1,110,780
				11,170,185

	Shares		Value ($)
Utilities 6.0%
Electric Utilities 4.4%
Alliant Energy Corp.		38,308		1,618,513
IDACORP, Inc.		18,329		1,705,697
Pinnacle West Capital Corp.		5,400		460,080
				3,784,290
Gas Utilities 1.6%
ONE Gas, Inc.		16,572		1,319,131
Total Common Stocks (Cost $84,454,782)				82,819,394
Cash Equivalent 2.9%
DWS Central Cash Management Government Fund, 2.41% (a) (Cost $2,497,809)		2,497,809		2,497,809
	% of Net Assets		Value ($)
Total Investment Portfolio (Cost $86,952,591)		100.0		85,317,203
Other Assets and Liabilities, Net		0.0		(23,461	)
Net Assets		100.0		85,293,742

A summary of the Fund’s transactions with affiliated investments during the year ended December 31, 2018 are as follows:

Value ($) at 12/31/2017	Purchases Cost ($)			Sales Proceeds ($)		Net Realized Gain/ (Loss) ($)		Net Change in Unrealized Appreciation (Depreciation) ($)		Income ($)		Capital Gain Distributions ($)		Number of Shares at 12/31/2018		Value ($) at 12/31/2018
Securities Lending Collateral 0.0%
DWS Government & Agency Securities Portfolio “DWS Government Cash Institutional Shares”, 2.29% (a) (b)
—		0	(c)		—		—		—		2,975		—		—		—
Cash Equivalent 2.9%
DWS Central Cash Management Government Fund, 2.41% (a)
4,418,900		38,654,188			40,575,279		—		—		60,969		—		2,497,809		2,497,809
4,418,900		38,654,188			40,575,279		—		—		63,944		—		2,497,809		2,497,809

* Non-income producing security.

(a) Affiliated fund managed by DWS Investment Management Americas, Inc. The rate shown is the annualized seven-day yield at period end.

(b) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates.

(c) Represents the net increase (purchase cost) or decrease (sales proceeds) in the amount invested for the year ended December 31, 2018.

REIT: Real Estate Investment Trust

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2018 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 Financial Statements.

Assets	Level 1		Level 2		Level 3		Total
Common Stocks (d)	$	82,819,394	$	—	$	—	$	82,819,394
Short-Term Investment		2,497,809		—		—		2,497,809
Total	$	85,317,203	$	—	$	—	$	85,317,203

(d) See Investment Portfolio for additional detailed categorizations.

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

8 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

Statement of Assets and Liabilities

as of December 31, 2018
Assets
Investments in non-affiliated securities, at value (cost $84,454,782)	$	82,819,394
Investment in DWS Central Cash Management Government Fund (cost $2,497,809)		2,497,809
Receivable for Fund shares sold		31,502
Dividends receivable		89,483
Interest receivable		5,489
Other assets		2,244
Total assets		85,445,921
Liabilities
Payable for Fund shares redeemed		15,067
Accrued management fee		37,563
Accrued Trustees’ fees		2,187
Other accrued expenses and payables		97,362
Total liabilities		152,179
Net assets, at value	$	85,293,742
Net Assets Consist of
Distributable earnings (loss)		5,558,368
Paid-in capital		79,735,374
Net assets, at value	$	85,293,742
Net Asset Value
Class A
Net Asset Value, offering and redemption price per share ($70,125,075 ÷ 5,742,711 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	12.21
Class B
Net Asset Value, offering and redemption price per share ($15,168,667 ÷ 1,243,269 outstanding shares of beneficial interest, no par value, unlimited number of shares authorized)	$	12.20

     Statement of Operations

for the year ended December 31, 2018
Investment Income
Income:
Dividends	$	1,478,463
Income distributions — DWS Cash Management Government Fund		60,969
Securities lending income, net of borrower rebates		2,975
Total income		1,542,407
Expenses:
Management fee		688,120
Administration fee		105,865
Services to Shareholders		2,863
Record keeping fee (Class B)		22,518
Distribution service fees (Class B)		45,904
Custodian fee		5,093
Professional fees		71,591
Reports to shareholders		27,630
Trustees’ fees and expenses		6,881
Other		8,563
Total expenses before expense reductions		985,028
Expense reductions		(63,258	)
Total expenses after expense reductions		921,770
Net investment income		620,637
Realized and Unrealized gain (loss)
Net realized gain (loss) from investments		6,571,650
Change in net unrealized appreciation (depreciation) on investments		(23,519,638	)
Net gain (loss)		(16,947,988	)
Net increase (decrease) in net assets resulting from operations	$	(16,327,351	)

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

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 9

Statements of Changes in Net Assets

	Years Ended December 31,
Increase (Decrease) in Net Assets	2018			2017
Operations:
Net investment income (loss)	$	620,637		$	1,467,106
Net realized gain (loss)		6,571,650			18,971,820
Change in net unrealized appreciation (depreciation)		(23,519,638	)		(5,654,443	)
Net increase (decrease) in net assets resulting from operations		(16,327,351	)		14,784,483
Distributions to shareholders:
Class A		(17,037,935	)		(4,370,464	)
Class B		(3,363,724	)		(412,631	)
Total distributions		(20,401,659	)		(4,783,095	)*
Fund share transactions:
Class A
Proceeds from shares sold		4,320,688			6,806,078
Reinvestment of distributions		17,037,935			4,370,464
Payments for shares redeemed		(16,960,024	)		(77,117,368	)
Net increase (decrease) in net assets from Class A share transactions		4,398,599			(65,940,826	)
Class B
Proceeds from shares sold		2,796,123			4,800,663
Reinvestment of distributions		3,363,724			412,631
Payments for shares redeemed		(3,194,564	)		(3,308,695	)
Net increase (decrease) in net assets from Class B share transactions		2,965,283			1,904,599
Increase (decrease) in net assets		(29,365,128	)		(54,034,839	)
Net assets at beginning of period		114,658,870			168,693,709
Net assets at end of period	$	85,293,742		$	114,658,870	**
Other Information
Class A
Shares outstanding at beginning of period		5,375,574			9,208,579
Shares sold		286,538			399,609
Shares issued to shareholders in reinvestment of distributions		1,188,970			259,221
Shares redeemed		(1,108,371	)		(4,491,835	)
Net increase (decrease) in Class A shares		367,137			(3,833,005	)
Shares outstanding at end of period		5,742,711			5,375,574
Class B
Shares outstanding at beginning of period		1,037,183			923,852
Shares sold		183,198			283,457
Shares issued to shareholders in reinvestment of distributions		234,243			24,445
Shares redeemed		(211,355	)		(194,571	)
Net increase (decrease) in Class B shares		206,086			113,331
Shares outstanding at end of period		1,243,269			1,037,183

* Includes distributions from net investment income of $1,100,828 and $59,126 for Class A and B shares, respectively and distributions from net realized gains of $3,269,636 and $353,503 for Class A and B shares, respectively.

** Includes undistributed net investment income of $1,432,026.

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

10 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

Financial Highlights

	Years Ended December 31,
Class A	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period		$17.88			$16.65			$15.97			$17.79			$17.08
Income (loss) from investment operations:
Net investment incomea		.10			.17			.15			.09			.05
Net realized and unrealized gain (loss)		(2.47	)		1.55			2.34			(.31	)		.88
Total from investment operations		(2.37	)		1.72			2.49			(.22	)		.93
Less distributions from:
Net investment income		(.24	)		(.12	)		(.10	)		(.05	)		(.14	)
Net realized gains		(3.06	)		(.37	)		(1.71	)		(1.55	)		(.08	)
Total distributions		(3.30	)		(.49	)		(1.81	)		(1.60	)		(.22	)
Net asset value, end of period		$12.21			$17.88			$16.65			$15.97			$17.79
Total Return (%)		(16.01	)b		10.52	b		16.89	b		(1.91	)		5.53
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		70			96			153			161			205
Ratio of expenses before expense reductions (%)c		.87			.83			.83			.80			.82
Ratio of expenses after expense reductions (%)c		.81			.83			.82			.80			.82
Ratio of net investment income (%)		.65			.98			.99			.51			.32
Portfolio turnover rate (%)		64			35			53			25			34

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

	Years Ended December 31,
Class B	2018			2017			2016			2015			2014
Selected Per Share Data
Net asset value, beginning of period		$17.86			$16.63			$15.95			$17.77			$17.07
Income (loss) from investment operations:
Net investment incomea		.05			.11			.09			.02			(.01	)
Net realized and unrealized gain (loss)		(2.48	)		1.55			2.34			(.29	)		.87
Total from investment operations		(2.43	)		1.66			2.43			(.27	)		.86
Less distributions from:
Net investment income		(.17	)		(.06	)		(.04	)		—			(.08	)
Net realized gains		(3.06	)		(.37	)		(1.71	)		(1.55	)		(.08	)
Total distributions		(3.23	)		(.43	)		(1.75	)		(1.55	)		(.16	)
Net asset value, end of period		$12.20			$17.86			$16.63			$15.95			$17.77
Total Return (%)		(16.32	)b		10.13	b		16.47	b		(2.21	)		5.09
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)		15			19			15			14			17
Ratio of expenses before expense reductions (%)c		1.24			1.19			1.19			1.16			1.17
Ratio of expenses after expense reductions (%)c		1.16			1.19			1.18			1.16			1.17
Ratio of net investment income (loss) (%)		.30			.65			.57			.14			(.04	)
Portfolio turnover rate (%)		64			35			53			25			34

^a  Based on average shares outstanding during the period.

^b  Total return would have been lower had certain expenses not been reduced.

^c  Expense ratio does not reflect charges and fees associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

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

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 11

Notes to Financial Statements

A. Organization and Significant Accounting Policies

DWS Small Mid Cap Value VIP (formerly Deutsche Small Mid Cap Value VIP) (the “Fund”) is a diversified series of Deutsche DWS Variable Series II (formerly Deutsche Variable Series II) (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.

Multiple Classes of Shares of Beneficial Interest. The Fund offers two classes of shares (Class A shares and Class B shares). Sales of Class B shares are subject to recordkeeping fees up to 0.15% and Rule 12b-1 fees under the 1940 Act equal to an annual rate of 0.25% of the average daily net assets of the Class B shares of the Fund. Class A shares are not subject to such fees.

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 (including the applicable Rule 12b-1 fee and recordkeeping fees). Differences in class-level expenses may result in payment of different per share dividends by class. All shares 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 (“U.S. GAAP”) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements.

In October 2018, the Securities and Exchange Commission adopted amendments to certain disclosure requirements in Securities Act Release No. 33-10532, Disclosure Update and Simplification, which is intended to facilitate the disclosure of information to investors and simplify compliance without significantly altering the total mix of information provided to investors. Effective with the current reporting period, the Fund adopted the amendments with the impacts being that the Fund is no longer required to present components of distributable earnings on the Statement of Assets and Liabilities or the sources of distributable earnings and the amount of undistributed net investment income on the Statements of Changes in Net Assets.

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.

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 level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

Equity securities are valued at the most recent sale price or official closing price reported on the exchange (U.S. or foreign) or over-the-counter market on which they trade. 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. Equity securities are generally categorized as Level 1.

Investments in open-end investment companies are valued at their net asset value each business day and are categorized as Level 1.

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 Board and are generally categorized as Level 3. In accordance with the Fund’s valuation procedures, factors considered in determining value may include, but are not limited to, the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security’s disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer, analysts, and/or the appropriate stock exchange (for exchange-traded securities); an analysis of the company’s or issuer’s financial statements; an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold; and with respect to debt securities, the maturity, coupon, creditworthiness, currency

12 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

denomination and the movement of the market in which the security is normally traded. The value determined under these procedures may differ from published values for the same securities.

Disclosure about the classification of fair value measurements is included in a table following the Fund’s Investment Portfolio.

Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Investment securities and other assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the prevailing exchange rates at period end. Purchases and sales of investment securities, income and expenses are translated into U.S. 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 acquisition and disposition of foreign currencies, and the difference between the amount of net investment income accrued and the U.S. dollar amount actually received. The 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. Brown Brothers Harriman & Co., as lending agent, lends securities of the Fund to certain financial institutions under the terms of its securities lending agreement. During the term of the loans, the Fund continues to receive interest and dividends generated by the 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 either cash or 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 agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the securities lending agreement. As of period end, any securities on loan were collateralized by cash. During the year ended December 31, 2018, the Fund invested the cash collateral into a joint trading account in affiliated money market funds managed by DWS Investment Management Americas, Inc. As of December 31, 2018, the Fund invested the cash collateral in DWS Government & Agency Securities Portfolio. DWS Investment Management Americas Inc. receives a management/administration fee (0.12% annualized effective rate as of December 31, 2018) on the cash collateral invested in DWS Government & Agency Securities Portfolio. 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 at any time, and the borrower, after notice, is required to return borrowed securities within a standard time period 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. If the Fund is not able to recover securities lent, the Fund may sell the collateral and purchase a replacement investment in the market, incurring the risk that the value of the replacement security is greater than the value of the collateral. 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.

As of December 31, 2018, the Fund had no securities on loan.

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.

The Fund has reviewed the tax positions for the open tax years as of December 31, 2018 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund’s financial statements. The Fund’s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investment income of the Fund, if any, are 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 Fund may also make additional distributions for tax purposes if necessary.

The timing and characterization of certain income and capital gain 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 income received from Real Estate Investment Trusts and certain securities sold at a loss. As a result, net investment income (loss) and net realized gain

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 13

(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, 2018, the Fund’s components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income*	$	615,277
Undistributed long-term capital gains	$	6,638,069
Unrealized appreciation (depreciation) on investments	$	(1,725,584	)

At December 31, 2018, the aggregate cost of investments for federal income tax purposes was $87,042,787. The net unrealized depreciation for all investments based on tax cost was $1,725,584. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $9,441,928 aggregate gross unrealized depreciation for all investments in which was an excess of tax cost over value of $11,167,512.

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

	Years Ended December 31,
	2018		2017
Distributions from ordinary income*	$	1,404,457	$	1,159,954
Distributions from long-term capital gains	$	18,997,202	$	3,623,141

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

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 based upon the relative net assets or other appropriate measures.

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 at its fiscal year end recharacterizes distributions received from a Real Estate Investment Trust (“REIT”) investment based on information provided by the 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 REIT, the recharacterization will be estimated for financial reporting purposes and a recharacterization will be made to the accounting records in the following year when such information becomes available. Distributions received from REITs in excess of income are recorded as either a reduction of cost of investments or realized gains.

Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment 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 taxes. Realized gains and losses from investment transactions are recorded on an identified cost basis. Proceeds from litigation payments, if any, are included in net realized gain (loss) from investments.

B. Purchases and Sales of Securities

During the year ended December 31, 2018, purchases and sales of investment transactions (excluding short-term investments) aggregated $65,451,292 and $75,262,064, respectively.

C. Related Parties

Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) (“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA (“DWS Group”), 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.

14 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

Pursuant to the Investment Management Agreement with the Advisor, 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:

First $250 million	.650	%
Next $750 million	.620	%
Next $1.5 billion	.600	%
Next $2.5 billion	.580	%
Next $2.5 billion	.550	%
Next $2.5 billion	.540	%
Next $2.5 billion	.530	%
Over $12.5 billion	.520	%

Accordingly, for the year ended December 31, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annual rate (exclusive of any applicable waivers/reimbursements) of 0.65% of the Fund’s average daily net assets.

For the period from January 1, 2018 through April 30, 2019, the Advisor has contractually agreed to waive its fees and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) of each class as follows:

Class A	.81	%
Class B	1.16	%

For the year ended December 31, 2018, fees waived and/or expenses reimbursed for each class were as follows:

Class A	$	48,572
Class B		14,686
	$	63,258

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays DIMA 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, 2018, the Administration Fee was $105,865, of which $7,577 is unpaid.

Service Provider Fees. DWS Service Company (“DSC”), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DSC and DST Systems, Inc. (“DST”), DSC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST. DSC compensates DST out of the shareholder servicing fee it receives from the Fund. For the year ended December 31, 2018, the amounts charged to the Fund by DSC were as follows:

Service to Shareholders	Total Aggregated		Unpaid at December 31, 2018
Class A	$	627	$	104
Class B		470		78
	$	1,097	$	182

Distribution Service Agreement. Under the Fund’s Class B 12b-1 plan, DWS Distributors, Inc. (“DDI”) received a fee (“Distribution Service Fee”) of 0.25% of average daily net assets of Class B shares. For the year ended December 31, 2018, the Distribution Service Fee aggregated $45,904, of which $3,352 is unpaid.

Typesetting and Filing Service Fees. Under an agreement with the Fund, DIMA is compensated for providing certain pre-press and regulatory filing services to the Fund. For the year ended December 31, 2018, the amount charged to the Fund by DIMA included in the Statement of Operations under “Reports to shareholders” aggregated $9,095, of which $6,374 is unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trustee not affiliated with the Advisor, plus specified amounts to the Board Chairperson and to each committee Chairperson.

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 15

Affiliated Cash Management Vehicles. The Fund may invest uninvested cash balances in DWS Central Cash Management Government Fund and DWS ESG Liquidity Fund, affiliated money market funds which are managed by the Advisor. Each affiliated money market fund is managed in accordance with Rule 2a-7 under the 1940 Act, which governs the quality, maturity, diversity and liquidity of instruments in which a money market fund may invest. DWS Central Cash Management Government Fund seeks to maintain a stable net asset value, and DWS ESG Liquidity Fund maintains a floating net asset value. The Fund indirectly bears its proportionate share of the expenses of each affiliated money market fund in which it invests. DWS Central Cash Management Government Fund does not pay the Advisor an investment management fee. To the extent that DWS ESG Liquidity Fund pays an investment management fee to the Advisor, the Advisor will waive an amount of the investment management fee payable to the Advisor by the Fund equal to the amount of the investment management fee payable on the Fund’s assets invested in DWS ESG Liquidity Fund.

D. Ownership of the Fund

At December 31, 2018, one participating insurance company was owner of record of 10% or more of the total outstanding Class A shares of the Fund, owning 70%. Four participating insurance companies were owners of record of 10% or more of the total outstanding Class B shares of the Fund, each owning 32%, 21%, 17% and 13%.

E. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a $400 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 a rate per annum equal to the sum of the Federal Funds Rate plus 1.25 percent plus if the one-month LIBOR exceeds the Federal Funds Rate, the amount of such excess. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement. The Fund had no outstanding loans at December 31, 2018.

16 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of Deutsche DWS Variable Series II and Shareholders of DWS Small Mid Cap Value VIP:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of DWS Small Mid Cap Value VIP (formerly Deutsche Small Mid Cap Value VIP) (the “Fund”) (one of the funds constituting Deutsche DWS Variable Series II (formerly Deutsche Variable Series II)) (the “Trust”), including the investment portfolio, as of December 31, 2018, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the funds constituting Deutsche DWS Variable Series II) at December 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2018, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the DWS family of funds since at least 1979, but we are unable to determine the specific year.

Boston, Massachusetts

February 14, 2019

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 17

Information About Your Fund’s Expenses (Unaudited)

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 contract charges, 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, 2018 to December 31, 2018).

The tables illustrate your Fund’s expenses in two ways:

– 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. If these transaction costs had been included, your costs would have been higher.

Expenses and Value of a $1,000 Investment for the six months ended December 31, 2018
Actual Fund Return		Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	836.90	$	835.00
Expenses Paid per $1,000*	$	3.75	$	5.37
Hypothetical 5% Fund Return		Class A		Class B
Beginning Account Value 7/1/18	$	1,000.00	$	1,000.00
Ending Account Value 12/31/18	$	1,021.12	$	1,019.36
Expenses Paid per $1,000*	$	4.13	$	5.90

* Expenses are equal to the Fund’s annualized expense ratio for each share class, multiplied by the average account value over the period, multiplied by 184 (the number of days in the most recent six-month period), then divided by 365.

Annualized Expense Ratios	Class A			Class B
Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP		.81	%		1.16	%

For more information, please refer to the Fund’s prospectus.

These tables do not reflect charges and fees (“contract charges”) associated with the separate account that invests in the Fund or any variable life insurance policy or variable annuity contract for which the Fund is an investment option.

For an analysis of the fees associated with an investment in the Fund or similar funds, please refer to the current and hypothetical expense calculators for Variable Insurance Products which can be found at dws.com/calculators.

18 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

Tax Information (Unaudited)

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 contact your insurance provider.

The Fund paid distributions of $3.06 per share from net long-term capital gains during its year ended December 31, 2018.

Pursuant to Section 852 of the Internal Revenue Code, the Fund designates $7,357,000 as capital gain dividends for its year ended December 31, 2018.

For corporate shareholders, 100% of the ordinary dividends (i.e., income dividends plus short-term capital gains) paid during the Fund’s fiscal year ended December 31, 2018, qualified for the dividends received deduction.

Proxy Voting

The Trust’s policies and procedures for voting proxies for portfolio securities and information about how the Trust voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 are available on our Web site — dws.com/en-us/resources/proxy-voting — or on the SEC’s Web site — sec.gov. To obtain a written copy of the Trust’s policies and procedures without charge, upon request, call us toll free at (800) 728-3337.

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 19

Advisory Agreement Board Considerations and Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or “Trustees”) approved the renewal of DWS Small Mid Cap Value VIP’s (the “Fund”) investment management agreement (the “Agreement”) with DWS Investment Management Americas, Inc. (“DIMA”) in September 2018.

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

– During the entire process, all of the Fund’s Trustees were independent of DIMA and its affiliates (the “Independent Trustees”).

– The Board met frequently during the past year to discuss fund matters and dedicated a substantial amount of time to contract review matters. Over the course of several months, the Board’s Contract Committee reviewed extensive 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 from a fee consultant retained by the Fund’s Independent Trustees (the “Fee Consultant”). Based on its evaluation of the information provided, the Contract Committee presented its findings and recommendations to the Board. The Board then reviewed the Contract Committee’s findings and recommendations.

– The Board also received extensive information throughout the year regarding performance of the Fund.

– The Independent Trustees regularly met privately with counsel to discuss contract review and other matters. In addition, the Independent Trustees were advised by the Fee Consultant in the course of their review of the Fund’s contractual arrangements and considered a comprehensive report prepared by the Fee Consultant in connection with their deliberations.

– In connection with reviewing the Agreement, 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.

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 is part of DWS Group GmbH & Co. KGaA (“DWS Group”). DWS Group is a global asset management business that offers a wide range of investing expertise and resources, including research capabilities in many countries throughout the world. In 2018, approximately 20% of DWS Group’s shares were sold in an initial public offering, with Deutsche Bank AG owning the remaining shares.

As part of the contract review process, the Board carefully considered the fees and expenses of each DWS fund overseen by the Board in light of the fund’s performance. In many cases, this led to the negotiation and implementation of expense caps. As part of these negotiations, the Board indicated that it would consider relaxing these caps in future years following sustained improvements in performance, among other considerations.

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 personnel and administrative support services provided by DIMA, such as back-office operations, fund valuations, and compliance policies and procedures.

Nature, Quality and Extent of Services. The Board considered the terms of the Agreement, including the scope of advisory services provided under the Agreement. The Board noted that, under the Agreement, DIMA provides 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 and the resources made available to such personnel. 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 index(es) and a peer universe compiled using information supplied by Morningstar Direct (“Morningstar”), an independent fund data service. The Board also noted that it has put into place a process of identifying “Funds in Review” (e.g., funds performing poorly relative to a peer universe), and receives additional reporting from DIMA regarding such funds and, where appropriate, DIMA’s plans to address underperformance. The Board

20 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

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-, three- and five-year periods ended December 31, 2017, the Fund’s performance (Class A shares) was in the 4th quartile, 3rd quartile and 3rd quartile, respectively, of the applicable Morningstar universe (the 1st quartile being the best performers and the 4th quartile being the worst performers). The Board also observed that the Fund has outperformed its benchmark in the one-year period and has underperformed its benchmark in the three- and five-year periods ended December 31, 2017. The Board noted the disappointing investment performance of the Fund in recent periods and continued to discuss with senior management of DIMA the factors contributing to such underperformance and actions being taken to improve performance. The Board observed that the Fund had experienced improved relative performance during the first eight months of 2018. The Board recognized the efforts by DIMA in recent years to enhance its investment platform and improve long-term performance across the DWS fund complex.

Fees and Expenses. The Board considered the Fund’s investment management fee schedule, operating expenses and total expense ratios, and comparative information provided by Broadridge Financial Solutions, Inc. (“Broadridge”) and the 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 a 0.10% fee paid to DIMA under the Fund’s administrative services agreement, were lower than the median (1st quartile) of the applicable Broadridge peer group (based on Broadridge data provided as of December 31, 2017). The Board noted that the Fund’s Class A shares total (net) operating expenses were expected to be higher than the median (3rd quartile) of the applicable Broadridge expense universe (based on Broadridge data provided as of December 31, 2017, and analyzing Broadridge expense universe Class A (net) expenses less any applicable 12b-1 fees) (“Broadridge Universe Expenses”). The Board also reviewed data comparing each share class’s total (net) operating expenses to the applicable Broadridge Universe Expenses. The Board noted that the expense limitations agreed to by DIMA were expected to help the Fund’s total (net) operating expenses remain competitive. The Board considered the Fund’s management fee rate as compared to fees charged by DIMA to a comparable DWS U.S. registered fund (“DWS Funds”) and considered differences between the Fund and the comparable DWS Fund. The information requested by the Board as part of its review of fees and expenses also included information about institutional accounts (including any sub-advised funds and accounts) and funds offered primarily to European investors (“DWS Europe Funds”) managed by DWS Group. The Board noted that DIMA indicated that DWS Group does not manage any institutional accounts or DWS Europe Funds comparable to the Fund.

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.

Profitability. The Board reviewed detailed information regarding revenues received by DIMA under the Agreement. The Board considered the estimated costs to DIMA, 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 DIMA and its affiliates with respect to all fund services in totality and by fund. The Board and the Fee Consultant 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 certain publicly available 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 Funds (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 most 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 investment 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 or “fall-out” benefits received by DIMA and its affiliates, including any fees received by DIMA for administrative services provided to the Fund, any fees received by an affiliate of DIMA for transfer agency

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 21

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. In addition, the Board considered the incidental public relations benefits to DIMA related to DWS Funds advertising and cross-selling opportunities among DIMA products and services. The Board considered these benefits in reaching its conclusion that the Fund’s management fees were reasonable.

Compliance. The Board considered the significant attention and resources dedicated by DIMA to its compliance processes in recent years. The Board noted in particular (i) the experience, seniority and time commitment of the individuals serving as DIMA’s and the Fund’s chief compliance officers and (ii) the substantial commitment of resources by DIMA and its affiliates to compliance matters, including the retention of compliance personnel.

Based on all of the information considered and the conclusions reached, the Board unanimously determined that the continuation of the Agreement 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 counsel present. It is possible that individual Independent Trustees may have weighed these factors differently in reaching their individual decisions to approve the continuation of the Agreement.

22 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

Board Members and Officers

The following table presents certain information regarding the Board Members and Officers of the Fund. 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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. 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.

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		Other Directorships Held by Board Member
Keith R. Fox, CFA (1954) Chairperson since 2017, and Board Member since 1996	Managing General Partner, Exeter Capital Partners (a series of private investment funds) (since 1986). Directorships: Progressive International Corporation (kitchen goods importer and distributor); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies; former Directorships: BoxTop Media Inc. (advertising); Sun Capital Advisers Trust (mutual funds) (2011–2012)		82	—
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); former Directorships: Director and former Chairman of the Board, Healthways, Inc.2 (population well-being and wellness services) (2003–2014); Stockwell Capital Investments PLC (private equity); Enron Corporation; FNB Corporation; Tokheim Corporation; First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International; Public Radio International. Not-for-Profit Director, Trustee: Palm Beach Civic Association; Window to the World Communications (public media); Harris Theater for Music and Dance (Chicago); Life Director of Hubbard Street Dance Chicago		82	Portland General Electric2 (utility company) (2003– present)
Henry P. Becton, Jr. (1943) Board Member since 1990	Vice Chair and former President, WGBH Educational Foundation. Directorships: Public Radio International; Public Radio Exchange (PRX); The Pew Charitable Trusts (charitable organization); Massachusetts Humane Society; Overseer of the New England Conservatory; former Directorships: Becton Dickinson and Company2 (medical technology company); Belo Corporation2 (media company); The PBS Foundation; Association of Public Television Stations; Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service; Connecticut College; North Bennett Street School (Boston); American Documentary, Inc. (public media)		82	—
Dawn-Marie Driscoll (1946) Board Member since 1987	Emeritus Executive Fellow, Center for Business Ethics, Bentley University; formerly: President, Driscoll Associates (consulting firm); Partner, Palmer & Dodge (law firm) (1988–1990); Vice President of Corporate Affairs and General Counsel, Filene’s (retail) (1978–1988). Directorships: Advisory Board, Center for Business Ethics, Bentley University; Trustee and former Chairman of the Board, Southwest Florida Community Foundation (charitable organization); former Directorships: ICI Mutual Insurance Company (2007–2015); Sun Capital Advisers Trust (mutual funds) (2007–2012), Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)		82	—
Paul K. Freeman* (1950) Board Member since 1993	Consultant, World Bank/Inter-American Development Bank; Independent Directors Council (former chair); Investment Company Institute (executive committee); Adjunct Professor, University of Denver Law School (2017–present); formerly: Chairman of Education Committee of Independent Directors Council; Project Leader, International Institute for Applied Systems Analysis (1998–2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986–1998); Directorships: Knoebel Institute for Healthy Aging, University of Denver (2017–present); former Directorships: Prisma Energy International; Denver Zoo Foundation (2012–2018)		82	—

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 23

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		Other Directorships Held by Board Member
Richard J. Herring (1946) Board Member since 1990	Jacob Safra Professor of International Banking and Professor of Finance, The Wharton School, University of Pennsylvania (since July 1972); Director, The Wharton Financial Institutions Center (since 1994); formerly: Vice Dean and Director, Wharton Undergraduate Division (1995–2000) and Director, The Lauder Institute of International Management Studies (2000–2006); Member FDIC Systemic Risk Advisory Committee since 2011, member Systemic Risk Council since 2012 and member of the Advisory Board at the Yale Program on Financial Stability since 2013; Formerly Co-Chair of the Shadow Financial Regulatory Committee (2003–2015), Executive Director of The Financial Economists Roundtable (2008–2015), Director of The Thai Capital Fund (2007–2013), Director of The Aberdeen Singapore Fund (2007–2018), and Nonexecutive Director of Barclays Bank DE (2010–2018)		82	Director, Aberdeen Japan Fund (since 2007)
William McClayton (1944) Board Member since 2004	Private equity investor (since October 2009); previously, Managing Director, Diamond Management & Technology Consultants, Inc. (global consulting firm) (2001–2009); Directorship: Board of Managers, YMCA of Metropolitan Chicago; formerly: Senior Partner, Arthur Andersen LLP (accounting) (1966–2001); Trustee, Ravinia Festival		82	—
Rebecca W. Rimel (1951) Board Member since 1995	President, Chief Executive Officer and Director, The Pew Charitable Trusts (charitable organization) (1994–present); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983–2004); Board Member, Investor Education (charitable organization) (2004–2005); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001–2007); Director, Viasys Health Care2 (January 2007–June 2007); Trustee, Thomas Jefferson Foundation (charitable organization) (1994–2012)		82	Director, Becton Dickinson and Company2 (medical technology company) (2012– present); Director, BioTelemetry Inc.2 (health care) (2009– present)
William N. Searcy, Jr. (1946) Board Member since 1993	Private investor since October 2003; formerly: Pension & Savings Trust Officer, Sprint Corporation2 (telecommunications) (November 1989–September 2003); Trustee, Sun Capital Advisers Trust (mutual funds) (1998–2012)		82	—
Jean Gleason Stromberg (1943) Board Member since 1997	Retired. Formerly, Consultant (1997–2001); Director, Financial Markets U.S. Government Accountability Office (1996–1997); Partner, Norton Rose Fulbright, L.L.P. (law firm) (1978–1996); former Directorships: The William and Flora Hewlett Foundation (charitable organization) (2000–2015); Service Source, Inc. (nonprofit), Mutual Fund Directors Forum (2002–2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987–1990 and 1994–1996)		82	—

Officers4
Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Hepsen Uzcan6 (1974) President and Chief Executive Officer, 2017–present Assistant Secretary, 2013–present	Managing Director,3 DWS; Secretary, DWS USA Corporation (since March 2018); Assistant Secretary, DWS Distributors, Inc. (since June 25, 2018); Director and Vice President, DWS Service Company (since June 25, 2018); Assistant Secretary, DWS Investment Management Americas, Inc. (since June 25, 2018); and Director and President, DB Investment Managers, Inc. (since June 25, 2018); formerly: Vice President for the Deutsche funds (2016–2017)
John Millette8 (1962) Vice President and Secretary, 1999–present	Director,3 DWS; Chief Legal Officer, DWS Investment Management Americas, Inc. (2015–present); and Director and Vice President, DWS Trust Company (2016–present); formerly: Secretary, Deutsche Investment Management Americas Inc. (2015–2017)
Diane Kenneally8,9 (1966) Treasurer and Chief Financial Officer since 2018	Director,3 DWS; formerly: Assistant Treasurer for the DWS funds (2007–2018)
Caroline Pearson8 (1962) Chief Legal Officer, 2010–present	Managing Director,3 DWS; formerly: Secretary, Deutsche AM Distributors, Inc. (2002–2017); and Secretary, Deutsche AM Service Company (2010–2017)
Scott D. Hogan8 (1970) Chief Compliance Officer, 2016–present	Director,3 DWS

24 | Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP

Name, Year of Birth, Position with the Fund and Length of Time Served5	Business Experience and Directorships During the Past Five Years
Wayne Salit7 (1967) Anti-Money Laundering Compliance Officer, 2014–present	Director,3 Deutsche Bank; and AML Officer, DWS Trust Company; formerly: Managing Director, AML Compliance Officer at BNY Mellon (2011–2014); and Director, AML Compliance Officer at Deutsche Bank (2004–2011)
Sheila Cadogan8 (1966) Assistant Treasurer, 2017–present	Director,3 DWS; Director and Vice President, DWS Trust Company (since 2018)
Paul Antosca8 (1957) Assistant Treasurer, 2007–present	Director,3 DWS

¹  The length of time served represents the year in which the Board Member joined the board of one or more DWS funds currently overseen by the Board.

²  A publicly held company with securities registered pursuant to Section 12 of the Securities Exchange Act of 1934.

³  Executive title, not a board directorship.

⁴  As a result of their respective positions held with the Advisor or its affiliates, these individuals are considered “interested persons” of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the Fund.

⁵  The length of time served represents the year in which the officer was first elected in such capacity for one or more DWS funds.

⁶  Address: 345 Park Avenue, New York, NY 10154.

⁷  Address: 60 Wall Street, New York, NY 10005.

⁸  Address: One International Place, Boston, MA 02110.

⁹  Appointed Treasurer and Chief Financial Officer effective July 2, 2018.

* Paul K. Freeman retired from the Board effective December 31, 2018.

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) 728-3337.

Deutsche DWS Variable Series II — DWS Small Mid Cap Value VIP | 25

Notes

Notes

VS2SMCV-2 (R-025829-8 2/19)

ITEM 2.	CODE OF ETHICS
	As of the end of the period covered by this report, the registrant has adopted 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 fund’s 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 fund’s 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 fund’s audit committee including Mr. William McClayton, the chair of the fund’s audit committee.  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” 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

Deutsche DWS Variable Series II
form n-csr disclosure re: AUDIT FEES

The following table shows the amount of fees that Ernst & Young LLP (“EY”), 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 EY provided to the Fund.

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
2018	$631,694	$0	$71,823	$1,639
2017	$631,691	$0	$71,822	$0

The above “Tax Fees” were billed for professional services rendered for tax return preparation. “All Other Fees Billed to the Fund” were billed for services associated with foreign tax filings.

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 EY to DWS Investment Management Americas, Inc. (“DIMA” or the “Adviser”), and any entity controlling, controlled by or under common control with DIMA (“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 Ended December 31,	Audit-Related Fees Billed to 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
2018	$0	$470,936	$0
2017	$0	$502,238	$0

The above “Tax Fees” were billed in connection with tax compliance services and agreed upon procedures.

Non-Audit Services

The following table shows the amount of fees that EY billed during the Fund’s last two fiscal years for non-audit services. The Audit Committee pre-approved all non-audit services that EY 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 EY about any non-audit services that EY rendered during the Fund’s last fiscal year to the Adviser and any Affiliated Fund Service Provider. The Committee considered this information in evaluating EY’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)
2018	$73,462	$470,936	$513,130	$1,057,528
2017	$71,822	$502,238	$606,585	$1,180,645

All other engagement fees were billed for services in connection with agreed upon procedures and tax compliance for DIMA and other related entities.

Audit Committee Pre-Approval Policies and Procedures. Generally, each Fund’s Audit Committee must pre approve (i) all services to be performed for a Fund by a Fund’s Independent Registered Public Accounting Firm and (ii) all non-audit services to be performed by a Fund’s Independent Registered Public Accounting Firm for the DIMA Entities with respect to operations and financial reporting of the Fund, except that the Chairperson or Vice Chairperson of each Fund’s Audit Committee may grant the pre-approval for non-audit services described in items (i) and (ii) above for non-prohibited services for engagements of less than $100,000. All such delegated pre approvals shall be presented to each Fund’s Audit Committee no later than the next Audit Committee meeting.

There were no amounts that were approved by the Audit Committee pursuant to the de minimis exception under Rule 2-01 of Regulation S-X.

According to the registrant’s principal Independent Registered Public Accounting Firm, substantially all of the principal Independent Registered Public Accounting Firm's hours spent on auditing the registrant's financial statements were attributed to work performed by full-time permanent employees of the principal Independent Registered Public Accounting Firm.

***

In connection with the audit of the 2017 and 2018 financial statements, the Fund entered into an engagement letter with EY. The terms of the engagement letter required by EY, and agreed to by the Audit Committee, include a provision mandating the use of mediation and arbitration to resolve any controversy or claim between the parties arising out of or relating to the engagement letter or services provided thereunder.

***

Pursuant to PCAOB Rule 3526, EY is required to describe in writing to the Fund’s Audit Committee, on at least an annual basis, all relationships between EY, or any of its affiliates, and the DWS Funds, including the Fund, or persons in financial reporting oversight roles at the DWS Funds that, as of the date of the communication, may reasonably be thought to bear on EY’s independence. Pursuant to PCAOB Rule 3526, EY has reported the matters set forth below that may reasonably be thought to bear on EY’s independence. With respect to each reported matter, individually and in the aggregate, EY advised the Audit Committee that, after careful consideration of the facts and circumstances and the applicable independence rules, it concluded that the matters do not and will not impair EY’s ability to exercise objective and impartial judgement in connection with the audits of the financial statements for the Fund and a reasonable investor with knowledge of all relevant facts and circumstances would conclude that EY has been and is capable of exercising objective and impartial judgment on all issues encompassed within EY’s audit engagements. EY also confirmed to the Audit Committee that it can continue act as the Independent Registered Public Accounting Firm for the Fund.

· EY advised the Fund’s Audit Committee that EY Stiftung e.V., an affiliate of the EY member firm in Germany, and various other covered persons within EY and its affiliates held investments in, or had other financial relationships with, entities within the DWS Funds “investment company complex” (as defined in Regulation S-X) (the “DWS Funds Complex”). EY informed the Audit Committee that these investments and financial relationships were inconsistent with Rule 2-01(c)(1) of Regulation S-X. EY reported that all breaches have been resolved and that none of the breaches involved any investments in the Fund or any professionals who were part of the audit engagement team for the Fund or in a position to influence the audit engagement team. In addition, EY noted that the independence breaches did not (i) create a mutual or conflicting interest with the Fund, (ii) place EY in the position of auditing its own work, (iii) result in EY acting as management or an employee of the Fund, or (iv) place EY in a position of being an advocate of the Fund.

· EY advised the Fund’s Audit Committee of certain lending relationships of EY with owners of greater than 10% of the shares of certain investment companies within the DWS Funds Complex that EY had identified as inconsistent with Rule 2-01(c)(l)(ii)(A) of Regulation S-X (referred to as the “Loan Rule”). The Loan Rule specifically provides that an accounting firm would not be independent if it receives a loan from a lender that is a record or beneficial owner of more than ten percent of an audit client’s equity securities. For purposes of the Loan Rule, an audit client includes the Fund as well as all other investment companies in the DWS Funds Complex. EY’s lending relationships affect EY’s independence under the Loan Rule with respect to all investment companies in the DWS Funds Complex.

EY stated its belief that, in each lending relationship, the lender is or was not able to impact the impartiality of EY or assert any influence over the investment companies in the DWS Funds Complex whose shares the lender owns or owned, or the applicable investment company’s investment adviser. In addition, on June 20, 2016, the SEC Staff issued a “no-action” letter to another mutual fund complex, Fidelity Management & Research Company et al., SEC Staff No-Action Letter (June 20, 2016) (the “Fidelity Letter”), related to similar Loan Rule issues as those described above. In the Fidelity Letter, the SEC Staff confirmed that it would not recommend enforcement action against an investment company that relied on the audit services performed by an audit firm that was not in compliance with the Loan Rule in certain specified circumstances. With respect to each lending relationship identified by EY, the circumstances described in the Fidelity Letter appear to be substantially similar to the circumstances that affected EY’s independence under the Loan Rule with respect to the Fund, and, in each case, EY confirmed to the Audit Committee that it meets the conditions of the Fidelity Letter.

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
	There were no material changes to the procedures by which shareholders may recommend nominees to the Fund’s Board.  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 Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600.
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.	Disclosure of Securities Lending Activities for Closed-End Management Investment Companies
	Not applicable
ITEM 13.	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.

SIGNATURES

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

Registrant:	Deutsche DWS Variable Series II
By:	/s/Hepsen Uzcan Hepsen Uzcan President
Date:	2/15/2019

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

By:	/s/Hepsen Uzcan Hepsen Uzcan President
Date:	2/15/2019
By:	/s/Diane Kenneally Diane Kenneally Chief Financial Officer and Treasurer
Date:	2/15/2019