N-Q 1 nq013109bcf.htm N-Q - DWS BLUE CHIP FUND

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

 

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

_______________________________

Investment Company Act file number 811-5357

DWS Blue Chip Fund

(Exact name of registrant as specified in charter)

 

345 Park Avenue

New York, NY 10154

(Address of principal executive offices)             (Zip code)

 

Paul Schubert

345 Park Avenue

New York, NY 10154-0004

(Name and address of agent for service)

Registrant's telephone number, including area code: (212) 454-7190

Date of fiscal year end: 10/31

Date of reporting period: 1/31/09

 

ITEM 1. SCHEDULE OF INVESTMENTS

 

Investment Portfolio

as of January 31, 2009 (Unaudited)

 

 

DWS Blue Chip Fund

 

 

 

Shares

 

Value ($)

 

Common Stocks 97.2%

 

Consumer Discretionary 9.6%

 

Auto Components 0.1%

 

Autoliv, Inc.

 

7,100

 

130,569

Lear Corp.*

 

53,500

 

48,685

 

179,254

Distributors 0.1%

 

Genuine Parts Co.

 

6,200

 

198,524

Hotels Restaurants & Leisure 1.7%

 

McDonald's Corp.

 

54,100

 

3,138,882

Yum! Brands, Inc.

 

35,500

 

1,016,010

 

4,154,892

 

 

 

Household Durables 0.2%

 

Leggett & Platt, Inc.

 

41,600

 

519,584

Ryland Group, Inc.

 

6,200

 

96,720

 

616,304

Internet & Catalog Retail 0.4%

 

Amazon.com, Inc.*

 

15,400

 

905,828

Leisure Equipment & Products 0.2%

 

Hasbro, Inc.

 

18,500

 

446,405

Media 3.5%

 

Comcast Corp. "A" (a)

 

242,300

 

3,549,695

Comcast Corp. Special "A"

 

58,300

 

809,204

DISH Network Corp. "A"*

 

46,600

 

598,344

Liberty Media Corp. - Entertainment "A"*

 

18,800

 

344,980

The DIRECTV Group, Inc.* (a)

 

134,700

 

2,949,930

 

8,252,153

Specialty Retail 3.3%

 

AutoZone, Inc.*

 

16,100

 

2,139,529

Best Buy Co., Inc. (a)

 

44,100

 

1,235,682

Children's Place Retail Stores, Inc.*

 

7,400

 

139,194

Gymboree Corp.*

 

3,700

 

90,650

RadioShack Corp. (a)

 

71,100

 

814,806

Rent-A-Center, Inc.*

 

15,700

 

233,145

The Gap, Inc.

 

79,100

 

892,248

The Sherwin-Williams Co.

 

5,000

 

238,750

TJX Companies, Inc.

 

92,800

 

1,802,176

Tractor Supply Co.*

 

5,100

 

171,921

 

7,758,101

Textiles, Apparel & Luxury Goods 0.1%

 

Quiksilver, Inc.*

 

42,400

 

89,040

Wolverine World Wide, Inc.

 

7,600

 

137,864

 

226,904

Consumer Staples 12.8%

 

Beverages 1.4%

 

Pepsi Bottling Group, Inc.

 

24,000

 

462,960

PepsiCo, Inc.

 

57,800

 

2,903,294

 

3,366,254

Food & Staples Retailing 3.7%

 

Kroger Co.

 

130,100

 

2,927,250

Pantry, Inc.*

 

3,800

 

63,194

Sysco Corp.

 

32,900

 

733,341

Wal-Mart Stores, Inc.

 

102,900

 

4,848,648

 

8,572,433

Food Products 2.0%

 

Archer-Daniels-Midland Co. (a)

 

48,300

 

1,322,454

Bunge Ltd. (a)

 

12,900

 

553,926

Chiquita Brands International, Inc.* (a)

 

35,100

 

490,698

Darling International, Inc.*

 

24,300

 

111,537

Fresh Del Monte Produce, Inc.*

 

26,000

 

626,600

General Mills, Inc.

 

28,100

 

1,662,115

 

4,767,330

Household Products 3.4%

 

Church & Dwight Co., Inc.

 

4,600

 

244,858

 

 

 

Colgate-Palmolive Co.

 

68,900

 

4,481,256

Procter & Gamble Co.

 

61,900

 

3,373,550

 

8,099,664

Personal Products 0.2%

 

Herbalife Ltd.

 

24,200

 

496,342

Tobacco 2.1%

 

Altria Group, Inc.

 

133,300

 

2,204,782

Lorillard, Inc.

 

1,600

 

95,136

Philip Morris International, Inc.

 

65,200

 

2,422,180

Reynolds American, Inc.

 

6,000

 

229,080

 

4,951,178

Energy 11.6%

 

Oil, Gas & Consumable Fuels

Alpha Natural Resources, Inc.*

 

28,200

 

460,224

Apache Corp.

 

54,500

 

4,087,500

Arch Coal, Inc.

 

24,800

 

376,712

Chevron Corp.

 

51,300

 

3,617,676

Cimarex Energy Co. (a)

 

43,700

 

1,085,508

ConocoPhillips

 

12,400

 

589,372

Encore Acquisition Co.*

 

52,800

 

1,435,104

ExxonMobil Corp.

 

20,286

 

1,551,473

Frontline Ltd. (a)

 

65,200

 

1,858,852

Hess Corp. (a)

 

51,500

 

2,863,915

Mariner Energy, Inc.*

 

53,800

 

532,620

Massey Energy Co. (a)

 

46,000

 

698,280

McMoRan Exploration Co.*

 

72,700

 

486,363

Occidental Petroleum Corp.

 

82,800

 

4,516,740

Sunoco, Inc.

 

17,600

 

815,232

W&T Offshore, Inc.

 

47,300

 

594,561

Walter Industries, Inc.

 

94,100

 

1,735,204

 

27,305,336

Financials 10.5%

 

Capital Markets 2.0%

 

Bank of New York Mellon Corp.

 

147,700

 

3,801,798

State Street Corp.

 

39,500

 

919,165

 

4,720,963

Commercial Banks 1.4%

 

Banco Itau Holding Financeira SA (ADR) (Preferred) (a)

 

43,600

 

437,744

Commerce Bancshares, Inc.

 

1,700

 

59,415

Cullen/Frost Bankers, Inc.

 

4,100

 

179,457

Unibanco - Uniao de Bancos Brasileiros SA (GDR)

 

5,700

 

320,796

Wells Fargo & Co. (a)

 

118,200

 

2,233,980

 

3,231,392

Consumer Finance 0.0%

 

Cash America International, Inc.

 

6,100

 

111,508

Diversified Financial Services 2.0%

 

JPMorgan Chase & Co.

 

181,400

 

4,627,514

Insurance 4.5%

 

ACE Ltd.

 

84,800

 

3,702,368

Aflac, Inc.

 

14,800

 

343,508

Allied World Assurance Co. Holdings Ltd.

 

5,800

 

218,660

Aon Corp.

 

37,200

 

1,378,260

 

 

 

Arch Capital Group Ltd.*

 

6,500

 

390,975

Arthur J. Gallagher & Co.

 

10,500

 

247,485

Assurant, Inc.

 

9,700

 

256,080

Berkshire Hathaway, Inc. "B"* (a)

 

800

 

2,391,200

Everest Re Group Ltd.

 

4,000

 

252,000

The Travelers Companies, Inc.

 

17,700

 

683,928

Unum Group

 

11,900

 

168,504

W.R. Berkley Corp.

 

10,600

 

280,688

XL Capital Ltd. "A" (a)

 

88,300

 

256,070

 

10,569,726

Real Estate Investment Trusts 0.5%

 

Boston Properties, Inc. (REIT)

 

4,300

 

186,190

Essex Property Trust, Inc. (REIT)

 

5,200

 

343,460

Rayonier, Inc. (REIT)

 

16,000

 

471,040

Simon Property Group, Inc. (REIT)

 

4,200

 

180,516

 

1,181,206

Real Estate Management & Development 0.1%

 

The St. Joe Co.* (a)

 

6,300

 

151,515

Thrifts & Mortgage Finance 0.0%

 

First Niagara Financial Group, Inc.

 

6,600

 

86,196

Health Care 16.1%

 

Biotechnology 2.7%

 

Amgen, Inc.*

 

5,800

 

318,130

Gilead Sciences, Inc.* (a)

 

92,900

 

4,716,533

OSI Pharmaceuticals, Inc.* (a)

 

37,900

 

1,349,240

 

6,383,903

Health Care Equipment & Supplies 2.7%

 

Baxter International, Inc.

 

57,800

 

3,389,970

Becton, Dickinson & Co.

 

37,400

 

2,717,858

Kinetic Concepts, Inc.* (a)

 

2,200

 

53,020

Varian Medical Systems, Inc.*

 

3,400

 

126,242

 

6,287,090

Health Care Providers & Services 5.0%

 

Aetna, Inc.

 

140,700

 

4,361,700

Express Scripts, Inc.*

 

64,500

 

3,467,520

Humana, Inc.*

 

35,300

 

1,338,929

Kindred Healthcare, Inc.*

 

14,300

 

194,051

Magellan Health Services, Inc.*

 

1,900

 

68,818

Medco Health Solutions, Inc.*

 

47,700

 

2,143,161

Universal Health Services, Inc. "B"

 

4,300

 

162,755

 

11,736,934

Pharmaceuticals 5.7%

 

Abbott Laboratories

 

34,900

 

1,934,856

Eli Lilly & Co.

 

109,000

 

4,013,380

Johnson & Johnson

 

30,900

 

1,782,621

Merck & Co., Inc.

 

62,400

 

1,781,520

Pfizer, Inc.

 

75,700

 

1,103,706

Schering-Plough Corp. (a)

 

130,900

 

2,298,604

Sepracor, Inc.* (a)

 

11,900

 

180,880

Teva Pharmaceutical Industries Ltd. (ADR)

 

9,200

 

381,340

 

13,476,907

 

 

 

Industrials 11.9%

 

Aerospace & Defense 3.5%

 

General Dynamics Corp.

 

26,100

 

1,480,653

Goodrich Corp.

 

26,100

 

1,009,026

Honeywell International, Inc.

 

95,800

 

3,143,198

L-3 Communications Holdings, Inc.

 

17,100

 

1,351,242

Lockheed Martin Corp.

 

6,800

 

557,872

Northrop Grumman Corp.

 

13,600

 

654,432

Spirit AeroSystems Holdings, Inc. "A"*

 

9,900

 

134,640

 

8,331,063

Commercial Services & Supplies 0.3%

 

The Brink's Co.

 

27,400

 

724,182

Construction & Engineering 1.5%

 

Chicago Bridge & Iron Co. NV (NY Registered Shares)

 

7,900

 

88,954

EMCOR Group, Inc.* (a)

 

43,300

 

891,547

Fluor Corp.

 

30,200

 

1,174,780

Foster Wheeler Ltd.*

 

40,400

 

806,788

Perini Corp.*

 

25,000

 

521,250

 

3,483,319

Electrical Equipment 1.0%

 

Acuity Brands, Inc.

 

3,600

 

96,732

Energy Conversion Devices, Inc.* (a)

 

23,000

 

578,910

GrafTech International Ltd.*

 

192,800

 

1,544,328

Woodward Governor Co.

 

5,500

 

113,135

 

2,333,105

Machinery 3.2%

 

AGCO Corp.* (a)

 

61,800

 

1,315,104

Caterpillar, Inc. (a)

 

19,500

 

601,575

CNH Global NV

 

9,400

 

75,294

Cummins, Inc.

 

48,600

 

1,165,428

Dover Corp.

 

5,900

 

166,852

Flowserve Corp. (a)

 

17,200

 

916,932

Gardner Denver, Inc.*

 

4,000

 

87,080

Joy Global, Inc.

 

25,600

 

533,248

Parker Hannifin Corp.

 

64,400

 

2,460,724

Trinity Industries, Inc.

 

14,400

 

165,744

 

7,487,981

Road & Rail 2.4%

 

Burlington Northern Santa Fe Corp. (a)

 

34,000

 

2,252,500

Norfolk Southern Corp.

 

39,500

 

1,515,220

Ryder System, Inc. (a)

 

59,500

 

2,009,910

 

5,777,630

Information Technology 16.4%

 

Communications Equipment 0.3%

 

Cisco Systems, Inc.*

 

48,900

 

732,033

Computers & Peripherals 7.1%

 

Hewlett-Packard Co.

 

144,800

 

5,031,800

International Business Machines Corp.

 

64,500

 

5,911,425

Lexmark International, Inc. "A"*

 

73,000

 

1,728,640

QLogic Corp.*

 

100,600

 

1,138,792

Western Digital Corp.*

 

203,300

 

2,984,444

 

16,795,101

Electronic Equipment, Instruments & Components 0.3%

 

Dolby Laboratories, Inc. "A"* (a)

 

8,400

 

214,704

 

 

 

Jabil Circuit, Inc.

 

100,800

 

586,656

 

801,360

Internet Software & Services 1.6%

 

eBay, Inc.*

 

43,500

 

522,870

Google, Inc. "A"* (a)

 

9,300

 

3,148,329

Yahoo!, Inc.*

 

11,100

 

130,203

 

3,801,402

IT Services 4.0%

 

Accenture Ltd. "A"

 

75,300

 

2,376,468

Automatic Data Processing, Inc. (a)

 

69,000

 

2,506,770

Computer Sciences Corp.*

 

50,100

 

1,845,684

MasterCard, Inc. "A"

 

7,800

 

1,059,084

SAIC, Inc.*

 

3,200

 

63,168

Visa, Inc. "A" (a)

 

30,100

 

1,485,435

 

9,336,609

Semiconductors & Semiconductor Equipment 0.2%

 

Altera Corp.

 

36,900

 

567,522

Software 2.9%

 

Microsoft Corp. (a)

 

367,700

 

6,287,670

Symantec Corp.*

 

32,200

 

493,626

 

6,781,296

Materials 2.7%

 

Chemicals

CF Industries Holdings, Inc.

 

51,900

 

2,439,300

Terra Industries, Inc.

 

177,300

 

3,631,104

The Mosaic Co.

 

6,600

 

235,422

 

6,305,826

Telecommunication Services 3.7%

 

Diversified Telecommunication Services

AT&T, Inc.

 

109,100

 

2,686,042

Embarq Corp.

 

50,500

 

1,803,860

Verizon Communications, Inc.

 

138,900

 

4,148,943

 

8,638,845

Utilities 1.9%

 

Electric Utilities 0.7%

 

Duke Energy Corp.

 

7,100

 

107,565

Edison International

 

21,700

 

706,769

Hawaiian Electric Industries, Inc.

 

3,000

 

65,040

Pepco Holdings, Inc.

 

13,200

 

235,092

Portland General Electric Co.

 

3,900

 

75,855

Southern Co. (a)

 

10,100

 

337,845

 

1,528,166

Gas Utilities 0.3%

 

Atmos Energy Corp.

 

4,300

 

105,565

ONEOK, Inc.

 

17,100

 

499,662

UGI Corp.

 

3,600

 

91,332

 

696,559

Independent Power Producers & Energy Traders 0.4%

 

AES Corp.*

 

120,200

 

950,782

Multi-Utilities 0.5%

 

Dominion Resources, Inc.

 

19,900

 

700,082

 

 

 

Integrys Energy Group, Inc.

 

3,400

 

141,950

Sempra Energy

 

7,000

 

306,880

TECO Energy, Inc.

 

5,500

 

66,055

 

1,214,967

Total Common Stocks (Cost $310,658,580)

 

229,149,504

 

Principal
Amount ($)

 

Value ($)

 

Government & Agency Obligations 0.5%

 

US Treasury Obligations

 

US Treasury Bills:

 

 

0.13% **, 6/11/2009 (b)

 

1,208,000

 

1,206,884

 

0.17% **, 6/18/2009 (b)

 

37,000

 

36,962

Total Government & Agency Obligations (Cost $1,244,409)

 

1,243,846

 

Shares

 

Value ($)

 

Securities Lending Collateral 17.7%

 

Daily Assets Fund Institutional, 1.25% (c) (d)
(Cost $41,684,661)

 

 

41,684,661

 

41,684,661

 

Cash Equivalents 2.5%

 

Cash Management QP Trust, 1.12% (c)
(Cost $5,941,320)

 

 

5,941,320

 

5,941,320

 

% of
Net Assets

 

Value ($)

Total Investment Portfolio (Cost $359,528,970) †

117.9

 

278,019,331

Other Assets and Liabilities, Net

(17.9)

 

(42,142,194)

Net Assets

100.0

 

235,877,137

For information on the Fund's policies regarding the valuation of investments and other significant accounting policies, please refer to the Fund's most recent semi-annual or annual financial statements.

*

Non-income producing security.

**

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

†

The cost for federal income tax purposes was $363,836,324. At January 31, 2009, net unrealized depreciation for all securities based on tax cost was $85,816,993. This consisted of aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost of $5,528,252 and aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value of $91,345,245.

(a)

All or a portion of these securities were on loan. The value of all securities loaned at January 31, 2009 amounted to $39,933,405 which is 16.9% of net assets.

(b)

At January 31, 2009, this security has been pledged, in whole or in part, to cover initial margin requirements for open futures contracts.

(c)

Affiliated fund managed by Deutsche 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.

ADR: American Depositary Receipt

GDR: Global Depositary Receipt

REIT: Real Estate Investment Trust

At January 31, 2009, open futures contracts purchased were as follows:

 

 

 

Futures

 

Expiration
Date

 

Contracts

 

Aggregated
Face
Value ($)

 

Value ($)

 

Unrealized
Depreciation ($)

 

S&P E Mini 500 Index

 

3/20/2009

 

166

 

7,377,208

 

6,826,750

 

(550,458)

 

 

Fair Value Measurements

 

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

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

The following is a summary of the inputs used as of January 31, 2009 in valuing the Fund's investments. Please see below for information on the Fund’s policy regarding valuation inputs, and their aggregate levels used in the table below:

 

Valuation Inputs

Investments in Securities

Other Financial Instruments††

Level 1

$ 270,834,165

$ (550,458)

Level 2

7,185,166

-

Level 3

-

-

Total

$ 278,019,331

$ (550,458)

 

†† Other financial instruments are derivative instruments not reflected in the Investment Portfolio, such as futures contracts, which are valued at the unrealized appreciation (depreciation) on the instrument.

 

 

ITEM 2.

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 registrant’s last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal controls over financial reporting.

 

 

ITEM 3.

EXHIBITS

 

 

 

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.

 

 

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:

DWS Blue Chip Fund

 

By:

/s/Michael G. Clark

 

Michael G. Clark

President

 

Date:

March 23, 2009

 

 

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

 

Registrant:

DWS Blue Chip Fund

 

By:

/s/Michael G. Clark

 

Michael G. Clark

President

 

Date:

March 23, 2009

 

 

By:

/s/Paul Schubert

 

Paul Schubert

Chief Financial Officer and Treasurer

 

Date:                                        March 23, 2009