Date of fiscal year end:
|
11/30
|
Date of reporting period:
|
11/30/2011
|
ITEM 1.
|
REPORT TO STOCKHOLDERS
|
NOVEMBER 30, 2011
Annual Report
to Shareholders
|
DWS Strategic Municipal Income Trust
Ticker Symbol: KSM
|
4 Portfolio Management Review
9 Performance Summary
11 Portfolio Summary
13 Investment Portfolio
23 Statement of Assets and Liabilities
24 Statement of Operations
25 Statement of Cash Flows
26 Statement of Changes in Net Assets
27 Financial Highlights
29 Notes to Financial Statements
36 Report of Independent Registered Public Accounting Firm
37 Tax Information
38 Dividend Reinvestment Plan
40 Investment Management Agreement Approval
44 Board Members and Officers
49 Additional Information
|
Municipal Bond Yield Curve (as of 11/30/10 and 11/30/11)
|
Average Annual Total Returns as of 11/30/11
|
||||
DWS Strategic Municipal Income Trust
|
1-Year
|
3-Year
|
5-Year
|
10-Year
|
Based on Net Asset Value(a)
|
9.32%
|
17.97%
|
7.43%
|
7.83%
|
Based on Market Price(a)
|
13.20%
|
29.47%
|
9.23%
|
8.38%
|
Barclays Capital Municipal Bond Index(b)
|
6.53%
|
8.41%
|
4.75%
|
5.08%
|
Morningstar Closed-End High-Yield Municipal Funds Category(c)
|
8.27%
|
15.64%
|
3.08%
|
5.41%
|
Net Asset Value and Market Price
|
||||||||
As of 11/30/11
|
As of 11/30/10
|
|||||||
Net Asset Value
|
$ | 12.49 | $ | 12.40 | ||||
Market Price
|
$ | 13.33 | $ | 12.78 |
Distribution Information
|
||||
Twelve Months as of 11/30/11:
Income Dividends (common shareholders)
|
$ | .92 | ||
Capital Gain Distributions
|
$ | .06 | ||
November Income Dividend (common shareholders)
|
$ | .0770 | ||
Current Annualized Distribution Rate (Based on Net Asset Value) as of 11/30/11+
|
7.40 | % | ||
Current Annualized Distribution Rate (Based on Market Price) as of 11/30/11+
|
6.93 | % | ||
Tax Equivalent Distribution Rate (Based on Net Asset Value) as of 11/30/11+
|
11.38 | % | ||
Tax Equivalent Distribution Rate (Based on Market Price) as of 11/30/11+
|
10.66 | % |
Morningstar Rankings — Closed-End High-Yield Municipal Funds Category as of 11/30/11
|
||||
Period
|
Rank
|
Number of Funds Tracked
|
Percentile Ranking (%)
|
|
1-Year
|
3
|
of
|
16
|
14
|
3-Year
|
5
|
of
|
16
|
27
|
5-Year
|
1
|
of
|
15
|
1
|
10-Year
|
1
|
of
|
11
|
1
|
Asset Allocation (As a % of Investment Portfolio)
|
11/30/11
|
11/30/10
|
Revenue Bonds
|
83%
|
83%
|
General Obligation Bonds
|
8%
|
8%
|
ETM/Prerefunded Bonds
|
6%
|
7%
|
Lease Obligations
|
3%
|
2%
|
100%
|
100%
|
Quality
|
11/30/11
|
11/30/10
|
AAA
|
7%
|
8%
|
AA
|
11%
|
10%
|
A
|
23%
|
23%
|
BBB
|
30%
|
25%
|
BB
|
3%
|
7%
|
B
|
3%
|
2%
|
Below B
|
1%
|
1%
|
Not Rated
|
22%
|
24%
|
100%
|
100%
|
Top Five State/Territory Allocations (As a % of Investment Portfolio)
|
11/30/11
|
11/30/10
|
California
|
11%
|
11%
|
New York
|
10%
|
10%
|
Texas
|
9%
|
8%
|
Illinois
|
7%
|
4%
|
Florida
|
6%
|
6%
|
Interest Rate Sensitivity
|
11/30/11
|
11/30/10
|
Effective Maturity
|
8.9 years
|
9.7 years
|
Effective Duration
|
6.9 years
|
7.4 years
|
Principal Amount ($)
|
Value ($)
|
|||||||
Municipal Bonds and Notes 143.4%
|
||||||||
Arizona 2.3%
|
||||||||
Arizona, Project Revenue, Health Facilities Authority, The New Foundation Project, 8.25%, 3/1/2019
|
1,405,000 | 1,404,775 | ||||||
Maricopa County, AZ, Pollution Control Corp. Revenue, El Paso Electric Co. Project, Series B, 7.25%, 4/1/2040
|
1,570,000 | 1,794,400 | ||||||
3,199,175 | ||||||||
California 14.0%
|
||||||||
California, Health Facilities Financing Authority Revenue, Catholic Healthcare West, Series A, 6.0%, 7/1/2034
|
1,000,000 | 1,079,790 | ||||||
California, M-S-R Energy Authority, Series B, 7.0%, 11/1/2034
|
1,310,000 | 1,519,129 | ||||||
California, Morongo Band of Mission Indians, Enterprise Casino Revenue, Series B, 144A, 6.5%, 3/1/2028
|
1,000,000 | 937,520 | ||||||
California, South Bayside Waste Management Authority, Solid Waste Enterprise, Shoreway Environmental, Series A, 6.25%, 9/1/2029
|
1,425,000 | 1,527,315 | ||||||
California, Special Assessment Revenue, Golden State Tobacco Securitization Corp., Series 2003-A-1, Prerefunded, 6.75%, 6/1/2039
|
4,000,000 | 4,371,360 | ||||||
California, State General Obligation:
|
||||||||
5.5%, 3/1/2040
|
1,000,000 | 1,046,120 | ||||||
5.75%, 4/1/2031
|
1,000,000 | 1,101,240 | ||||||
6.0%, 4/1/2038
|
1,000,000 | 1,106,920 | ||||||
6.5%, 4/1/2033
|
1,950,000 | 2,275,377 | ||||||
California, State Public Works Board Lease Revenue, Capital Projects, Series I-1, 6.375%, 11/1/2034
|
1,000,000 | 1,088,280 | ||||||
California, State Public Works Board Lease Revenue, Riverside Campus Project, Series B, 6.125%, 4/1/2028
|
2,000,000 | 2,182,100 | ||||||
Sacramento County, CA, Sales & Special Tax Revenue, Bradshaw Road Project, 7.2%, 9/2/2015
|
545,000 | 549,158 | ||||||
San Buenaventura, CA, Community Memorial Health Systems, 7.5%, 12/1/2041
|
500,000 | 525,100 | ||||||
19,309,409 | ||||||||
Colorado 0.5%
|
||||||||
Colorado, Public Energy Authority, Natural Gas Purchased Revenue, 6.25%, 11/15/2028, GTY: Merrill Lynch & Co., Inc.
|
635,000 | 666,553 | ||||||
Connecticut 3.6%
|
||||||||
Connecticut, Harbor Point Infrastructure Improvement District, Special Obligation Revenue, Harbor Point Project, Series A, 7.875%, 4/1/2039
|
2,000,000 | 2,109,200 | ||||||
Greenwich, CT, Multi-Family Housing Revenue, 6.35%, 9/1/2027
|
2,000,000 | 1,906,860 | ||||||
Mashantucket, CT, Mashantucket Western Pequot Tribe, Special Revenue, Series A, 144A, 6.5%, 9/1/2031*
|
705,000 | 258,841 | ||||||
Mashantucket, CT, Sports Expo & Entertainment Revenue, Mashantucket Western Pequot Tribe:
|
||||||||
Series B, 144A, Zero Coupon, 9/1/2017*
|
2,000,000 | 502,620 | ||||||
Series B, 144A, Zero Coupon, 9/1/2018*
|
1,000,000 | 235,260 | ||||||
5,012,781 | ||||||||
Florida 9.7%
|
||||||||
Florida, Capital Region Community Development District, Capital Improvement Revenue, Series A, 7.0%, 5/1/2039
|
490,000 | 419,602 | ||||||
Florida, Middle Village Community Development District, Special Assessment, Series A, 6.0%, 5/1/2035
|
1,000,000 | 890,840 | ||||||
Florida, Tolomato Community Development District, Special Assessment:
|
||||||||
5.4%, 5/1/2037
|
1,860,000 | 1,452,232 | ||||||
6.55%, 5/1/2027
|
850,000 | 485,648 | ||||||
Hillsborough County, FL, Industrial Development Authority Revenue, Health Facilities, University Community Hospital, Series A, Prerefunded, 5.625%, 8/15/2029
|
1,875,000 | 2,346,000 | ||||||
Miami Beach, FL, Health Facilities Authority Hospital Revenue, Mount Sinai Medical Center, 144A, 6.75%, 11/15/2029
|
1,600,000 | 1,641,600 | ||||||
Miami-Dade County, FL, Aviation Revenue, Series A, 5.5%, 10/1/2041
|
3,000,000 | 3,100,950 | ||||||
Orlando & Orange County, FL, Expressway Authority Revenue, Series C, 5.0%, 7/1/2035
|
1,080,000 | 1,118,459 | ||||||
Orlando, FL, Greater Aviation Authority, Airport Facilities Revenue, Jet Blue Airways Corp., AMT, 6.5%, 11/15/2036
|
1,000,000 | 953,790 | ||||||
Orlando, FL, Special Assessment Revenue, Conroy Road Interchange Project, Series A, 5.8%, 5/1/2026
|
960,000 | 954,854 | ||||||
13,363,975 | ||||||||
Georgia 5.6%
|
||||||||
Americus-Sumter County, GA, Hospital & Healthcare Revenue, Hospital Authority, South Georgia Methodist, Series A, 6.375%, 5/15/2029
|
1,250,000 | 1,136,738 | ||||||
Atlanta, GA, Tax Allocation, Beltline Project, Series B, 7.375%, 1/1/2031
|
1,000,000 | 1,053,030 | ||||||
Atlanta, GA, Water & Wastewater Revenue, Series A, 6.25%, 11/1/2034
|
2,000,000 | 2,218,980 | ||||||
Gainesville & Hall County, GA, Development Authority Retirement Community Revenue, ACTS Retirement, Life Community, Series A-2, 6.625%, 11/15/2039
|
1,000,000 | 1,052,290 | ||||||
Georgia, Main Street Natural Gas, Inc., Gas Project Revenue, Series A, 5.5%, 9/15/2024
|
1,220,000 | 1,216,181 | ||||||
Georgia, Medical Center Hospital Authority Revenue, Anticipation Certificates, Columbus Regional Healthcare System, 6.5%, 8/1/2038, INS: AGC
|
1,000,000 | 1,090,900 | ||||||
7,768,119 | ||||||||
Guam 2.2%
|
||||||||
Guam, Government General Obligation, Series A, 7.0%, 11/15/2039
|
1,000,000 | 1,033,150 | ||||||
Guam, Government Waterworks Authority, Water & Wastewater System Revenue, 6.0%, 7/1/2025
|
1,000,000 | 1,014,390 | ||||||
Guam, Power Authority Revenue, Series A, 5.5%, 10/1/2030
|
1,000,000 | 988,480 | ||||||
3,036,020 | ||||||||
Hawaii 0.4%
|
||||||||
Hawaii, State Department of Budget & Finance, Special Purpose Revenue, Hawaiian Electric Co., Inc., 6.5%, 7/1/2039, GTY: Hawaiian Electric Co., Inc.
|
500,000 | 541,265 | ||||||
Idaho 0.2%
|
||||||||
Idaho, Health Facilities Authority Revenue, St. Luke's Regional Medical Center, 6.75%, 11/1/2037
|
305,000 | 338,422 | ||||||
Illinois 10.6%
|
||||||||
Channahon, IL, Morris Hospital, Series D, 0.15%**, 12/1/2032, LOC: US Bank NA
|
510,000 | 510,000 | ||||||
Chicago, IL, General Obligation, Series A, 5.25%, 1/1/2035
|
1,000,000 | 1,028,700 | ||||||
Chicago, IL, O'Hare International Airport Revenue, Series B, 6.0%, 1/1/2041
|
2,000,000 | 2,209,840 | ||||||
Illinois, Finance Authority Revenue, Elmhurst Memorial Healthcare, Series A, 5.625%, 1/1/2037
|
3,000,000 | 3,002,880 | ||||||
Illinois, Finance Authority Revenue, Friendship Village of Schaumburg, Series A, 5.625%, 2/15/2037
|
2,000,000 | 1,638,800 | ||||||
Illinois, Finance Authority Revenue, Park Place of Elmhurst, Series A, 8.0%, 5/15/2030
|
1,000,000 | 989,500 | ||||||
Illinois, Finance Authority Revenue, Roosevelt University Project, 6.5%, 4/1/2044
|
1,000,000 | 1,042,840 | ||||||
Illinois, Finance Authority Revenue, The Admiral at Lake Project, Series A, 8.0%, 5/15/2040
|
1,000,000 | 1,018,340 | ||||||
Illinois, Finance Authority Revenue, Three Crowns Park Plaza, Series A, 5.875%, 2/15/2038
|
1,000,000 | 895,820 | ||||||
Illinois, Railsplitter Tobacco Settlement Authority, 6.0%, 6/1/2028
|
365,000 | 384,856 | ||||||
Illinois, State Finance Authority Revenue, Trinity Health Corp., Series L, 5.0%, 12/1/2030
|
1,000,000 | 1,003,510 | ||||||
Illinois, Upper River Valley Development Authority, Solid Waste Disposal Revenue, Waste Recovery Project, AMT, 5.9%, 2/1/2014, GTY: GreenGold Ray Energies, Inc.
|
630,000 | 633,849 | ||||||
University Park, IL, Sales & Special Tax Revenue, Governors Gateway Industrial Park, 8.5%, 12/1/2011
|
225,000 | 225,036 | ||||||
14,583,971 | ||||||||
Indiana 1.0%
|
||||||||
Indiana, Finance Authority Hospital Revenue, Deaconess Hospital Obligation, Series A, 6.75%, 3/1/2039
|
525,000 | 579,427 | ||||||
Vigo County, IN, Hospital Authority Revenue, Union Hospital, Inc., 144A, 5.7%, 9/1/2037
|
1,000,000 | 858,200 | ||||||
1,437,627 | ||||||||
Iowa 1.4%
|
||||||||
Cedar Rapids, IA, First Mortgage Revenue, Cottage Grove Place, Series A, 5.875%, 7/1/2028
|
1,670,000 | 1,044,034 | ||||||
Iowa, Finance Authority Retirement Community Revenue, Edgewater LLC Project, 6.5%, 11/15/2027
|
1,000,000 | 888,270 | ||||||
1,932,304 | ||||||||
Kansas 0.8%
|
||||||||
Lenexa, KS, Health Care Facility Revenue, Lakeview Village, Inc. Project, 7.25%, 5/15/2039
|
300,000 | 301,182 | ||||||
Wyandotte County, KS, Unified Government Special Obligation Revenue, Sales Tax, Series B, 5.0%, 12/1/2020
|
815,000 | 843,957 | ||||||
1,145,139 | ||||||||
Kentucky 4.3%
|
||||||||
Kentucky, Economic Development Finance Authority, Hospital Facilities Revenue, Owensboro Medical Health Systems, Series A, 6.5%, 3/1/2045
|
2,000,000 | 2,111,460 | ||||||
Kentucky, Economic Development Finance Authority, Louisville Arena Project Revenue, Series A-1, 6.0%, 12/1/2033, INS: AGC
|
365,000 | 388,068 | ||||||
Louisville & Jefferson County, KY, Metropolitan Government Health Systems Revenue, Norton Healthcare, Inc., 5.0%, 10/1/2030
|
3,425,000 | 3,369,378 | ||||||
5,868,906 | ||||||||
Louisiana 4.1%
|
||||||||
Louisiana, Local Government Environmental Facilities, Community Development Authority Revenue, 6.75%, 11/1/2032
|
1,000,000 | 1,044,470 | ||||||
Louisiana, St. John Baptist Parish Revenue, Marathon Oil Corp., Series A, 5.125%, 6/1/2037
|
1,500,000 | 1,477,950 | ||||||
Morehouse Parish, LA, Pollution Control Revenue, International Paper Co. Project, Series A, 5.25%, 11/15/2013
|
3,000,000 | 3,165,360 | ||||||
5,687,780 | ||||||||
Maine 0.8%
|
||||||||
Maine, Health & Higher Educational Facilities Authority Revenue, Maine General Medical Center, 6.75%, 7/1/2036
|
1,000,000 | 1,034,120 | ||||||
Maryland 4.4%
|
||||||||
Maryland, Economic Development Corp., Pollution Control Revenue, Potomac Electric Power Co., 6.2%, 9/1/2022
|
1,500,000 | 1,775,805 | ||||||
Maryland, State Economic Development Corp. Revenue, Senior Lien Project, Chesapeake Bay:
|
||||||||
Series A, 5.0%, 12/1/2031
|
1,000,000 | 622,520 | ||||||
Series B, 5.25%, 12/1/2031
|
1,000,000 | 650,060 | ||||||
Maryland, State Health & Higher Educational Facilities Authority Revenue, Anne Arundel Health Systems, Series A, 6.75%, 7/1/2039
|
500,000 | 563,895 | ||||||
Maryland, State Health & Higher Educational Facilities Authority Revenue, Washington County Hospital:
|
||||||||
5.75%, 1/1/2033
|
1,000,000 | 1,010,410 | ||||||
6.0%, 1/1/2028
|
1,385,000 | 1,432,256 | ||||||
6,054,946 | ||||||||
Massachusetts 5.7%
|
||||||||
Massachusetts, Development Finance Agency, Senior Living Facility Revenue, Groves-Lincoln:
|
||||||||
Series A, 7.75%, 6/1/2039
|
250,000 | 251,052 | ||||||
Series A, 7.875%, 6/1/2044
|
250,000 | 252,287 | ||||||
Massachusetts, Hospital & Healthcare Revenue, Health & Educational Facilities Authority, Civic Investments, Series A, Prerefunded, 9.0%, 12/15/2015, GTY: Harvard Pilgrim Health Care
|
1,200,000 | 1,303,404 | ||||||
Massachusetts, Industrial Development Revenue, Development Finance Agency, Series A, 7.1%, 7/1/2032
|
1,760,000 | 1,535,952 | ||||||
Massachusetts, Project Revenue, Health & Educational Facilities Authority, Jordan Hospital, Series E, 6.75%, 10/1/2033
|
1,790,000 | 1,796,963 | ||||||
Massachusetts, State Development Finance Agency Revenue, Linden Ponds, Inc. Facility:
|
||||||||
Series B, 11/15/2056*
|
505,485 | 2,477 | ||||||
Series A-2, 5.5%, 11/15/2046
|
101,629 | 61,492 | ||||||
Series A-1, 6.25%, 11/15/2039
|
1,903,948 | 1,379,144 | ||||||
Massachusetts, State Health & Educational Facilities Authority Revenue, Amherst College, Series J-1, 0.07%**, 11/1/2035
|
395,000 | 395,000 | ||||||
Massachusetts, State Health & Educational Facilities Authority Revenue, Milford Regional Medical Center, Series E, 5.0%, 7/15/2037
|
950,000 | 819,204 | ||||||
Massachusetts, State Health & Educational Facilities Authority Revenue, Partners Healthcare Systems, Series C, 5.75%, 7/1/2032
|
35,000 | 35,268 | ||||||
7,832,243 | ||||||||
Michigan 5.2%
|
||||||||
Kalamazoo, MI, Economic Development Corp. Revenue, Limited Obligation, Heritage Community, 5.5%, 5/15/2036
|
1,000,000 | 793,220 | ||||||
Kentwood, MI, Economic Development, Limited Obligation, Holland Home, Series A, 5.375%, 11/15/2036
|
2,000,000 | 1,601,540 | ||||||
Michigan, State Building Authority Revenue, Facilities Program, Series I-A, 5.5%, 10/15/2045
|
2,000,000 | 2,145,560 | ||||||
Royal Oak, MI, Hospital Finance Authority Revenue, William Beaumont Hospital, 8.25%, 9/1/2039
|
1,000,000 | 1,188,930 | ||||||
Tawas City, MI, Hospital Finance Authority, St. Joseph Health Services:
|
||||||||
Series A, ETM, 5.6%, 2/15/2013
|
100,000 | 102,067 | ||||||
Series A, ETM, 5.75%, 2/15/2023
|
1,300,000 | 1,305,434 | ||||||
7,136,751 | ||||||||
Minnesota 0.8%
|
||||||||
Minneapolis, MN, Health Care Systems Revenue, Fairview Health Services, Series A, 6.75%, 11/15/2032
|
1,000,000 | 1,109,500 | ||||||
Mississippi 1.3%
|
||||||||
Lowndes County, MS, Solid Waste Disposal & Pollution Control Revenue, Weyerhaeuser Co. Project, Series A, 6.8%, 4/1/2022
|
250,000 | 266,363 | ||||||
Mississippi, Business Finance Corp., Pollution Control Revenue, Systems Energy Resources, Inc. Project, 5.875%, 4/1/2022
|
1,000,000 | 1,004,800 | ||||||
Warren County, MS, Gulf Opportunity Zone, International Paper Co., Series A, 6.5%, 9/1/2032
|
435,000 | 466,224 | ||||||
1,737,387 | ||||||||
Missouri 2.2%
|
||||||||
Kirkwood, MO, Industrial Development Authority, Retirement Community Revenue, Aberdeen Heights, Series C-3, 6.5%, 5/15/2015
|
825,000 | 825,412 | ||||||
Missouri, State Health & Educational Facilities Authority Revenue, Lutheran Senior Services, Series C, 5.0%, 2/1/2042
|
2,000,000 | 1,738,720 | ||||||
St. Louis, MO, Lambert-St. Louis International Airport Revenue, Series A-1, 6.625%, 7/1/2034
|
415,000 | 448,823 | ||||||
3,012,955 | ||||||||
Nevada 5.6%
|
||||||||
Clark County, NV, School District, Series A, 5.0%, 6/15/2022, INS: FGIC, NATL
|
5,140,000 | 5,696,405 | ||||||
Henderson, NV, Health Care Facility Revenue, Catholic Healthcare West, Series B, 5.25%, 7/1/2031
|
2,000,000 | 2,010,960 | ||||||
Nevada, Director State Department of Business & Industry, Las Vegas Monorail Project, Second Tier, 7.375%, 1/1/2030*
|
2,000,000 | 2,800 | ||||||
7,710,165 | ||||||||
New Hampshire 2.3%
|
||||||||
New Hampshire, Hospital & Healthcare Revenue, Rivermead at Peterborough Retirement Community, 5.75%, 7/1/2028
|
1,500,000 | 1,386,735 | ||||||
New Hampshire, State Business Finance Authority, Solid Waste Disposal Revenue, Waste Management, Inc. Project, AMT, 5.2%, 5/1/2027
|
1,750,000 | 1,779,995 | ||||||
3,166,730 | ||||||||
New Jersey 2.8%
|
||||||||
New Jersey, Economic Development Authority Revenue, Cigarette Tax, 5.75%, 6/15/2034
|
290,000 | 279,879 | ||||||
New Jersey, Health Care Facilities Financing Authority Revenue, St. Joseph's Health Care System, 6.625%, 7/1/2038
|
715,000 | 717,774 | ||||||
New Jersey, Tobacco Settlement Financing Corp., Series 1A, 4.75%, 6/1/2034
|
4,280,000 | 2,931,115 | ||||||
3,928,768 | ||||||||
New York 10.8%
|
||||||||
New York, State Urban Development Corp. Revenue, Series A3C, 0.09%**, 3/15/2033, SPA: JPMorgan Chase & Co.
|
1,500,000 | 1,500,000 | ||||||
New York & New Jersey Port Authority, One Hundred Forty-Seventh, AMT, 5.0%, 10/15/2023, INS: FGIC, NATL
|
8,260,000 | 8,911,466 | ||||||
New York & New Jersey Port Authority, Special Obligation Revenue, JFK International Air Terminal LLC, 6.0%, 12/1/2042
|
680,000 | 712,640 | ||||||
New York City, NY, Industrial Development Agency Revenue, Liberty-7, World Trade Center, Series A, 6.25%, 3/1/2015
|
2,000,000 | 2,004,280 | ||||||
New York City, NY, Industrial Development Agency, Special Facility Revenue, American Airlines, JFK International Airport, AMT, 8.0%, 8/1/2028, GTY: AMR Corp.
|
2,000,000 | 1,725,880 | ||||||
14,854,266 | ||||||||
North Carolina 1.6%
|
||||||||
North Carolina, Electric Revenue, Municipal Power Agency, Series C, 5.375%, 1/1/2017
|
1,000,000 | 1,043,410 | ||||||
North Carolina, Medical Care Commission, Health Care Facilities Revenue, University Health Systems, Series D, 6.25%, 12/1/2033
|
1,000,000 | 1,110,140 | ||||||
2,153,550 | ||||||||
Pennsylvania 3.0%
|
||||||||
Butler County, PA, Hospital Authority Revenue, Butler Health Systems Project, 7.25%, 7/1/2039
|
2,000,000 | 2,199,620 | ||||||
Montgomery County, PA, Industrial Development Authority Revenue, Whitemarsh Continuing Care, 6.25%, 2/1/2035
|
600,000 | 506,556 | ||||||
Philadelphia, Redevelopment Authority Revenue, First Lien Mortgage, Series A, 6.5%, 1/1/2029
|
557,900 | 558,547 | ||||||
Westmoreland County, PA, Industrial Development Authority Revenue, Retirement Community-Redstone, Series A, 5.875%, 1/1/2032
|
1,000,000 | 883,970 | ||||||
4,148,693 | ||||||||
Puerto Rico 7.4%
|
||||||||
Commonwealth of Puerto Rico, Aqueduct & Sewer Authority Revenue, Series A, 6.0%, 7/1/2038
|
4,000,000 | 4,150,360 | ||||||
Puerto Rico, Public Buildings Authority Revenue, Series Q, 5.625%, 7/1/2039
|
1,000,000 | 1,018,470 | ||||||
Puerto Rico, Sales Tax Financing Corp., Sales Tax Revenue:
|
||||||||
Series A, 5.375%, 8/1/2039
|
1,000,000 | 1,031,250 | ||||||
Series A, 6.5%, 8/1/2044
|
2,000,000 | 2,263,100 | ||||||
Puerto Rico, Sales Tax Financing Corp., Sales Tax Revenue, Convertible Capital Appreciation, Series A, Step-up Coupon, 0% to 8/1/2016, 6.75% to 8/1/2032
|
2,000,000 | 1,811,060 | ||||||
10,274,240 | ||||||||
South Carolina 1.9%
|
||||||||
Hardeeville, SC, Assessment Revenue, Anderson Tract Municipal Improvement District, Series A, 7.75%, 11/1/2039
|
983,000 | 834,537 | ||||||
South Carolina, Jobs Economic Development Authority Revenue, Bon Secours Health System, Series B, 5.625%, 11/15/2030
|
1,585,000 | 1,585,396 | ||||||
South Carolina, Jobs Economic Development Authority, Hospital Facilities Revenue, Palmetto Health Alliance, Series C, Prerefunded, 7.0%, 8/1/2030
|
170,000 | 188,340 | ||||||
2,608,273 | ||||||||
South Dakota 1.5%
|
||||||||
South Dakota, Hospital & Healthcare Revenue, Sioux Valley Hospital, Series E, 5.375%, 11/1/2024
|
2,000,000 | 2,083,700 | ||||||
Tennessee 3.1%
|
||||||||
Clarksville, TN, Natural Gas Acquisition Corp., Gas Revenue:
|
||||||||
5.0%, 12/15/2017
|
500,000 | 509,780 | ||||||
5.0%, 12/15/2018
|
540,000 | 545,459 | ||||||
Johnson City, TN, Health & Educational Facilities Board Hospital Revenue, Mountain States Health Alliance, Series A, 7.75%, 7/1/2038
|
1,000,000 | 1,137,730 | ||||||
Johnson City, TN, Hospital & Healthcare Revenue, Health & Educational Facilities Board Hospital, Series A, Prerefunded, 7.5%, 7/1/2033
|
2,000,000 | 2,125,060 | ||||||
4,318,029 | ||||||||
Texas 13.7%
|
||||||||
Abilene, TX, Senior Care Revenue, Health Facilities Development, Sears Methodist Retirement Facilities, Series A, 5.9%, 11/15/2025
|
2,500,000 | 2,051,550 | ||||||
Austin, TX, Austin-Bergstrom Landhost Enterprises, Inc., Airport Hotel Project, Series A, 3.375%, 4/1/2027 (a)
|
1,960,000 | 1,086,683 | ||||||
Brazos River, TX, Harbor Navigation District, Brazoria County Environmental Health, Dow Chemical Co. Project:
|
||||||||
Series B-2, 4.95%, 5/15/2033
|
1,000,000 | 947,460 | ||||||
Series A-3, AMT, 5.125%, 5/15/2033
|
1,000,000 | 921,170 | ||||||
Central Texas, Regional Mobility Authority Revenue, Senior Lien, 6.0%, 1/1/2041
|
545,000 | 549,518 | ||||||
Harris County, TX, Cultural Educational Facilities Finance Corp. Revenue, YMCA of Greater Houston, Series C, 0.12%**, 6/1/2038, LOC: Bank of America NA
|
690,000 | 690,000 | ||||||
Houston, TX, Transportation/Tolls Revenue, Special Facilities, Continental Airlines, Inc., Series E, AMT, 6.75%, 7/1/2029
|
2,000,000 | 1,987,040 | ||||||
Matagorda County, TX, Navigation District No. 1, Pollution Control Revenue, AEP Texas Central Co. Project, Series A, 4.4%, 5/1/2030, INS: AMBAC
|
2,250,000 | 2,094,030 | ||||||
North Texas, Tollway Authority Revenue, Toll Second Tier, Series F, 5.75%, 1/1/2033
|
2,000,000 | 2,095,400 | ||||||
San Antonio, TX, Convention Center Hotel Finance Corp., Contract Revenue, Empowerment Zone, Series A, AMT, 5.0%, 7/15/2039, INS: AMBAC
|
1,000,000 | 876,150 | ||||||
Tarrant County, TX, Cultural Education Facilities Finance Corp., Retirement Facility, Mirador Project, Series A, 8.25%, 11/15/2044
|
1,000,000 | 993,770 | ||||||
Texas, Industrial Development Revenue, Waste Disposal Authority, Series A, AMT, 6.1%, 8/1/2024
|
1,000,000 | 1,025,110 | ||||||
Texas, Love Field Airport Modernization Corp., Special Facilities Revenue, Southwest Airlines Co. Project, 5.25%, 11/1/2040
|
1,055,000 | 1,021,430 | ||||||
Texas, SA Energy Acquisition Public Facility Corp., Gas Supply Revenue, 5.5%, 8/1/2020
|
2,000,000 | 2,050,820 | ||||||
Travis County, TX, Health Facilities Development Corp. Revenue, Westminster Manor Health, 7.125%, 11/1/2040
|
510,000 | 531,634 | ||||||
18,921,765 | ||||||||
Virgin Islands 2.0%
|
||||||||
Virgin Islands, Sales & Special Tax Revenue, Public Finance Authority, Series A, 6.375%, 10/1/2019
|
2,740,000 | 2,745,781 | ||||||
Virginia 1.1%
|
||||||||
Washington County, VA, Industrial Development Authority, Hospital Facility Revenue, Mountain States Health Alliance, Series C, 7.75%, 7/1/2038
|
1,370,000 | 1,555,238 | ||||||
Washington 1.9%
|
||||||||
Washington, State Health Care Facilities Authority Revenue, Series C, 5.375%, 8/15/2028, INS: Radian
|
595,000 | 582,749 | ||||||
Washington, State Health Care Facilities Authority Revenue, Virginia Mason Medical Center, Series A, 6.125%, 8/15/2037
|
2,000,000 | 2,028,580 | ||||||
2,611,329 | ||||||||
Wisconsin 3.6%
|
||||||||
Wisconsin, Hospital & Healthcare Revenue, Health & Educational Facilities Authority, Aurora Health Care, Inc., 6.875%, 4/15/2030
|
1,000,000 | 1,028,090 | ||||||
Wisconsin, State Health & Educational Facilities Authority Revenue, Aurora Health Care, Inc., Series A, 5.6%, 2/15/2029
|
1,000,000 | 1,000,250 | ||||||
Wisconsin, State Health & Educational Facilities Authority Revenue, Prohealth Care, Inc. Obligation Group, 6.625%, 2/15/2039
|
1,110,000 | 1,199,466 | ||||||
Wisconsin, State Health & Educational Facilities Authority Revenue, Thedacare, Inc., Series A, 5.5%, 12/15/2038
|
1,765,000 | 1,808,137 | ||||||
5,035,943 | ||||||||
Total Municipal Bonds and Notes (Cost $187,812,399)
|
197,925,818 | |||||||
Municipal Inverse Floating Rate Notes (b) 12.5%
|
||||||||
California 3.2%
|
||||||||
San Diego County, CA, Water Authority Revenue, Certificates of Participation, Series 2008-A, 5.0%, 5/1/2027, INS: AGMC (c)
|
2,121,349 | 2,277,184 | ||||||
San Diego County, CA, Water Authority Revenue, Certificates of Participation, Series 2008-A, 5.0%, 5/1/2028, INS: AGMC (c)
|
1,930,312 | 2,072,112 | ||||||
Trust: San Diego County, CA, Water Utility Improvements, Certificates of Participation, Series 2008-1104, 144A, 9.223%, 5/1/2027, Leverage Factor at purchase date: 2 to 1
|
||||||||
4,349,296 | ||||||||
New York 4.5%
|
||||||||
New York, State Dormitory Authority, State Personal Income Tax Revenue, Series A, 5.0%, 3/15/2023 (c)
|
5,535,000 | 6,246,406 | ||||||
Trust: New York, State Dormitory Authority Revenue, Secondary Issues, Series 1955-2, 144A, 18.034%, 3/15/2023, Leverage Factor at purchase date: 4 to 1
|
||||||||
Tennessee 4.8%
|
||||||||
Nashville & Davidson County, TN, Metropolitan Government, 5.0%, 1/1/2024 (c)
|
5,918,585 | 6,619,750 | ||||||
Trust: Nashville & Davidson County, TN, Metropolitan Government, Series 2631-1, 144A, 18.046%, 1/1/2024, Leverage Factor at purchase date: 4 to 1
|
||||||||
Total Municipal Inverse Floating Rate Notes (Cost $15,769,344)
|
17,215,452 |
% of Net Assets
|
Value ($)
|
|||||||
Total Investment Portfolio (Cost $203,581,743)+
|
155.9 | 215,141,270 | ||||||
Other Assets and Liabilities, Net
|
(5.2 | ) | (7,093,863 | ) | ||||
Preferred Shares, at Redemption Value
|
(50.7 | ) | (70,000,000 | ) | ||||
Net Assets Applicable to Common Shareholders
|
100.0 | 138,047,407 |
Security
|
Coupon
|
Maturity Date
|
Principal Amount ($)
|
Acquisition Cost ($)
|
Value ($)
|
||||||||||||
Austin, TX, Austin-Bergstrom Landhost Enterprises, Inc., Airport Hotel Project,
Series A (a)
|
3.375 | % |
4/1/2027
|
1,960,000 | 1,960,000 | 1,086,683 | |||||||||||
Mashantucket, CT, Sports Expo & Entertainment Revenue, Mashantucket Western Pequot Tribe, Series B, 144A*
|
0.0 | % |
9/1/2017
|
2,000,000 | 930,679 | 502,620 | |||||||||||
Mashantucket, CT, Mashantucket Western Pequot Tribe, Special Revenue, Series A, 144A*
|
6.5 | % |
9/1/2031
|
705,000 | 735,378 | 258,841 | |||||||||||
Mashantucket, CT, Sports Expo & Entertainment Revenue, Mashantucket Western Pequot Tribe, Series B, 144A*
|
0.0 | % |
9/1/2018
|
1,000,000 | 436,601 | 235,260 | |||||||||||
Nevada, Director State Department of Business & Industry, Las Vegas Monorail Project, Second Tier*
|
7.375 | % |
1/1/2030
|
2,000,000 | 1,933,273 | 2,800 | |||||||||||
5,995,931 | 2,086,204 |
Assets
|
Level 1
|
Level 2
|
Level 3
|
Total
|
||||||||||||
Municipal Investments (d)
|
$ | — | $ | 215,141,270 | $ | — | $ | 215,141,270 | ||||||||
Total
|
$ | — | $ | 215,141,270 | $ | — | $ | 215,141,270 |
as of November 30, 2011
|
||||
Assets
|
||||
Investments:
Investments in securities, at value (cost $203,581,743)
|
$ | 215,141,270 | ||
Receivable for investments sold
|
660,000 | |||
Interest receivable
|
3,251,063 | |||
Other assets
|
50,955 | |||
Total assets
|
219,103,288 | |||
Liabilities
|
||||
Cash overdraft
|
250,887 | |||
Payable for floating rate notes issued
|
10,615,039 | |||
Distributions payable
|
380 | |||
Accrued management fee
|
102,716 | |||
Other accrued expenses and payables
|
86,859 | |||
Total liabilities
|
11,055,881 | |||
Preferred shares, at redemption value
|
70,000,000 | |||
Net assets applicable to common shareholders, at value
|
$ | 138,047,407 | ||
Net Assets Applicable to Common Shareholders Consist of
|
||||
Undistributed net investment income
|
3,279,154 | |||
Net unrealized appreciation (depreciation) on investments
|
11,559,527 | |||
Accumulated net realized gain (loss)
|
509,473 | |||
Paid-in capital
|
122,699,253 | |||
Net assets applicable to common shareholders, at value
|
$ | 138,047,407 | ||
Net Asset Value
|
||||
Net Asset Value per common share ($138,047,407 ÷ 11,050,828 outstanding shares of beneficial interest, $.01 par value, unlimited number of common shares authorized)
|
$ | 12.49 |
for the year ended November 30, 2011
|
||||
Investment Income
|
||||
Income:
Interest
|
$ | 12,861,430 | ||
Expenses:
Management fee
|
1,216,142 | |||
Services to shareholders
|
23,230 | |||
Custodian fee
|
6,479 | |||
Professional fees
|
62,511 | |||
Reports to shareholders
|
64,030 | |||
Trustees' fees and expenses
|
5,029 | |||
Interest expense and fees on floating rate notes issued
|
80,156 | |||
Auction service fees
|
178,120 | |||
Stock exchange listing fees
|
23,935 | |||
Other
|
54,996 | |||
Total expenses
|
1,714,628 | |||
Net investment income
|
11,146,802 | |||
Realized and Unrealized Gain (Loss)
|
||||
Net realized gain (loss) from investments
|
(398,692 | ) | ||
Change in net unrealized appreciation (depreciation) on investments
|
1,370,805 | |||
Net gain (loss)
|
972,113 | |||
Net increase (decrease) in net assets resulting from operations
|
12,118,915 | |||
Distributions to Preferred Shareholders
|
(222,056 | ) | ||
Net increase (decrease) in net assets applicable to common shareholders
|
$ | 11,896,859 |
for the year ended November 30, 2011
|
||||
Increase (Decrease) in Cash:
Cash Flows from Operating Activities
|
||||
Net increase (decrease) in net assets resulting from operations (excluding distributions to Preferred Shareholders)
|
$ | 12,118,915 | ||
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided (used) by operating activities:
Purchases of long-term investments
|
(55,148,535 | ) | ||
Net amortization of premium/(accretion of discount)
|
(336,692 | ) | ||
Proceeds from sales and maturities of long-term investments
|
54,289,881 | |||
(Increase) decrease in interest receivable
|
61,304 | |||
(Increase) decrease in other assets
|
(6,206 | ) | ||
(Increase) decrease in receivable for investments sold
|
(54,179 | ) | ||
Increase (decrease) in other accrued expenses and payables
|
(54,506 | ) | ||
Change in net unrealized (appreciation) depreciation on investments
|
(1,370,805 | ) | ||
Net realized (gain) loss from investments
|
398,692 | |||
Cash provided (used) by operating activities
|
9,897,869 | |||
Cash Flows from Financing Activities
|
||||
Net increase (decrease) in cash overdraft
|
250,887 | |||
Distributions paid (net of reinvestment of distributions)
|
(10,510,085 | ) | ||
Cash provided (used) by financing activities
|
(10,259,198 | ) | ||
Increase (decrease) in cash
|
(361,329 | ) | ||
Cash at beginning of period
|
361,329 | |||
Cash at end of period
|
$ | — | ||
Supplemental Disclosure of Non-Cash Financing Activities:
|
||||
Reinvestment of distributions
|
$ | 553,103 | ||
Interest expense and fees paid on floating rate notes
|
$ | (80,156 | ) |
Years Ended November 30,
|
||||||||
Increase (Decrease) in Net Assets
|
2011
|
2010
|
||||||
Operations:
Net investment income (loss)
|
$ | 11,146,802 | $ | 11,034,311 | ||||
Net realized gain (loss)
|
(398,692 | ) | 943,002 | |||||
Change in net unrealized appreciation (depreciation)
|
1,370,805 | 2,750,310 | ||||||
Net increase (decrease) in net assets resulting from operations
|
12,118,915 | 14,727,623 | ||||||
Distributions to Preferred Shareholders
|
(222,056 | ) | (286,504 | ) | ||||
Net increase (decrease) in net assets applicable to common shareholders
|
11,896,859 | 14,441,119 | ||||||
Distributions to common shareholders from:
Net investment income
|
(10,189,606 | ) | (10,218,975 | ) | ||||
Net realized gains
|
(645,970 | ) | — | |||||
Total distributions
|
(10,835,576 | ) | (10,218,975 | ) | ||||
Fund share and paid-in capital transactions:
Net proceeds from shares issued to common shareholders from reinvestment of distributions
|
553,103 | 519,519 | ||||||
Net increase (decrease) in net assets from Fund share and paid-in capital transactions
|
553,103 | 519,519 | ||||||
Increase (decrease) in net assets
|
1,614,386 | 4,741,663 | ||||||
Net assets at beginning of period applicable to common shareholders
|
136,433,021 | 131,691,358 | ||||||
Net assets at end of period applicable to common shareholders (including undistributed net investment income of $3,279,154 and $2,893,323, respectively)
|
$ | 138,047,407 | $ | 136,433,021 | ||||
Other Information
|
||||||||
Common shares outstanding at beginning of period
|
11,004,594 | 10,963,153 | ||||||
Shares issued to common shareholders from reinvestment of distributions
|
46,234 | 41,441 | ||||||
Common shares outstanding at end of period
|
11,050,828 | 11,004,594 |
Years Ended November 30,
|
|||||||||||||||||||||
2011
|
2010
|
2009
|
2008
|
2007
|
|||||||||||||||||
Selected Per Share Data Applicable to Common Shareholders
|
|||||||||||||||||||||
Net asset value, beginning of period
|
$ | 12.40 | $ | 12.01 | $ | 9.66 | $ | 12.11 | $ | 12.48 | |||||||||||
Income (loss) from investment operations:
Net investment incomea
|
1.01 | 1.00 | 1.01 | .95 | .93 | ||||||||||||||||
Net realized and unrealized gain (loss)
|
.08 | .35 | 2.25 | (2.50 | ) | (.42 | ) | ||||||||||||||
Total from investment operations
|
1.09 | 1.35 | 3.26 | (1.55 | ) | .51 | |||||||||||||||
Distributions to Preferred Shareholders from net investment income (common share equivalent)
|
(.02 | ) | (.03 | ) | (.05 | ) | (.24 | ) | (.24 | ) | |||||||||||
Net increase (decrease) in net assets resulting from operations applicable to common shareholders
|
1.07 | 1.32 | 3.21 | (1.79 | ) | .27 | |||||||||||||||
Less distributions to common shareholders from:
Net investment income
|
(.92 | ) | (.93 | ) | (.86 | ) | (.66 | ) | (.66 | ) | |||||||||||
Net realized gains
|
(.06 | ) | — | — | — | — | |||||||||||||||
Total distributions
|
(.98 | ) | (.93 | ) | (.86 | ) | (.66 | ) | (.66 | ) | |||||||||||
Reimbursement by Advisor
|
— | — | — | — | .02 | ||||||||||||||||
Net asset value, end of period
|
$ | 12.49 | $ | 12.40 | $ | 12.01 | $ | 9.66 | $ | 12.11 | |||||||||||
Market price, end of period
|
$ | 13.33 | $ | 12.78 | $ | 12.33 | $ | 7.80 | $ | 10.89 | |||||||||||
Total Return
|
|||||||||||||||||||||
Based on net asset value (%)c
|
9.32 | 11.18 | 35.09 | (14.99 | )b | 2.53 | b,d | ||||||||||||||
Based on market price (%)c
|
13.20 | 11.61 | 71.76 | (23.67 | ) | (6.14 | ) | ||||||||||||||
Ratios to Average Net Assets and Supplemental Data
|
|||||||||||||||||||||
Net assets, end of period ($ millions)
|
138 | 136 | 132 | 106 | 133 | ||||||||||||||||
Ratio of expenses before fee reductions (%) (based on net assets of common shares, including interest expense)e,f
|
1.29 | 1.32 | 1.48 | 1.90 | 1.64 | ||||||||||||||||
Ratio of expenses after fee reductions (%) (based on net assets of common shares, including interest expense)e,g
|
1.29 | 1.32 | 1.48 | 1.89 | 1.62 | ||||||||||||||||
Ratio of expenses after fee reductions (%) (based on net assets of common shares, excluding interest expense)h
|
1.23 | 1.26 | 1.39 | 1.33 | 1.26 | ||||||||||||||||
Financial Highlights (continued)
|
|||||||||||||||||||||
Years Ended November 30,
|
|||||||||||||||||||||
2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||
Ratio of net investment income (loss) (%) (based on net assets of common shares)
|
8.40 | 8.00 | 9.35 | 8.34 | 7.56 | ||||||||||||||||
Ratio of net investment income (loss) (%) (based on net assets of common and preferred shares)
|
5.50 | 5.31 | 5.87 | 5.34 | 4.96 | ||||||||||||||||
Portfolio turnover rate (%)
|
26 | 26 | 79 | 65 | 44 | ||||||||||||||||
Preferred shares information at end of period:
Aggregate amount outstanding ($ millions)
|
70 | 70 | 70 | 70 | 70 | ||||||||||||||||
Asset coverage per share ($)i
|
74,303 | 73,726 | 72,033 | 62,784 | 72,352 | ||||||||||||||||
Liquidation and market price per share ($)
|
25,000 | 25,000 | 25,000 | 25,000 | 25,000 |
a Based on average common shares outstanding during the period.
b Total return would have been lower had certain fees not been reduced.
c Total return based on net asset value reflects changes in the Fund's net asset value during each period. Total return based on market price reflects changes in market price. Each figure assumes that dividend and capital gain distributions, if any, were reinvested. These figures will differ depending upon the level of any discount from or premium to net asset value at which the Fund's shares traded during the period.
d Includes a non-recurring reimbursement from the Advisor for a fee previously charged to the Fund. Excluding this non-recurring reimbursement, total return would have been 0.13% lower.
e Interest expense represents interest and fees on short-term floating rate notes issued in conjunction with inverse floating rate securities. Interest income from such transactions is included in income from investment operations.
f The ratio of expenses before fee reductions (based on net assets of common and preferred shares, including interest expense) were 0.85%, 0.88%, 0.93%, 1.22% and 1.07% for the periods ended November 30, 2011, 2010, 2009, 2008 and 2007, respectively.
g The ratio of expenses after fee reductions (based on net assets of common and preferred shares, including interest expense) were 0.85%, 0.88%, 0.93%, 1.21% and 1.07% for the periods ended November 30, 2011, 2010, 2009, 2008 and 2007, respectively.
h The ratio of expenses after fee reductions (based on net assets of common and preferred shares, excluding interest expense) were 0.81%, 0.84%, 0.88%, 0.86% and 0.83% for the periods ended November 30, 2011, 2010, 2009, 2008 and 2007, respectively.
i Asset coverage per share equals net assets of common shares plus the redemption value of the preferred shares divided by the total number of preferred shares outstanding at the end of the period.
|
Undistributed tax-exempt income
|
$ | 3,251,331 | ||
Undistributed ordinary income
|
$ | 67,507 | ||
Capital loss carryforwards
|
$ | (367,000 | ) | |
Net unrealized appreciation (depreciation) on investments
|
$ | 12,435,738 |
Years Ended November 30,
|
||||||||
2011
|
2010
|
|||||||
Distributions from tax-exempt income
|
$ | 10,393,553 | $ | 10,430,479 | ||||
Distributions from ordinary income*
|
150,170 | 75,000 | ||||||
Distributions from long-term capital gains
|
$ | 513,909 | $ | — |
Boston, Massachusetts
January 24, 2012
|
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
|
Paul K. Freeman (1950)
Chairperson since 2009
Board Member since 1993
|
Consultant, World Bank/Inter-American Development Bank; Executive and Governing Council of the Independent Directors Council (education committees); formerly: Project Leader, International Institute for Applied Systems Analysis (1998-2001); Chief Executive Officer, The Eric Group, Inc. (environmental insurance) (1986-1998)
|
112
|
—
|
John W. Ballantine (1946)
Board Member since 1999
|
Retired; formerly, Executive Vice President and Chief Risk Management Officer, First Chicago NBD Corporation/The First National Bank of Chicago (1996-1998); Executive Vice President and Head of International Banking (1995-1996). Directorships: Chairman of the Board, Healthways, Inc. (provider of disease and care management services); Portland General Electric (utility company); Stockwell Capital Investments PLC (private equity); former Directorships: First Oak Brook Bancshares, Inc. and Oak Brook Bank; Prisma Energy International
|
112
|
—
|
Henry P. Becton, Jr. (1943)
Board Member since 1990
|
Vice Chair and former President, WGBH Educational Foundation. Directorships: Association of Public Television Stations; Public Radio International; Public Radio Exchange (PRX); The PBS Foundation; former Directorships: Boston Museum of Science; American Public Television; Concord Academy; New England Aquarium; Mass. Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service
|
112
|
Lead Director, Becton Dickinson and Company2 (medical technology company); Lead Director, Belo Corporation2 (media company)
|
Dawn-Marie Driscoll (1946)
Board Member since 1987
|
President, Driscoll Associates (consulting firm); Executive Fellow, Center for Business Ethics, Bentley University; formerly, Partner, Palmer & Dodge (1988-1990); Vice President of Corporate Affairs and General Counsel, Filene's (1978-1988). Directorships: Director of ICI Mutual Insurance Company (since 2007); Advisory Board, Center for Business Ethics, Bentley University; Trustee, Southwest Florida Community Foundation (charitable organization); former Directorships: Investment Company Institute (audit, executive, nominating committees) and Independent Directors Council (governance, executive committees)
|
112
|
Trustee, Sun Capital Advisers, Inc. (22 open-end mutual funds advised by Sun Capital Advisers, Inc.) (since 2007)
|
Keith R. Fox, CFA (1954)
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); BoxTop Media Inc. (advertising); The Kennel Shop (retailer); former Chairman, National Association of Small Business Investment Companies
|
112
|
Trustee, Sun Capital Advisers, Inc. (22 open-end mutual funds advised by Sun Capital Advisers, Inc.) (since 2011)
|
Kenneth C. Froewiss (1945)
Board Member since 2001
|
Adjunct Professor of Finance, NYU Stern School of Business (September 2009-present; Clinical Professor from 1997-September 2009); Member, Finance Committee, Association for Asian Studies (2002-present); Director, Mitsui Sumitomo Insurance Group (US) (2004-present); prior thereto, Managing Director, J.P. Morgan (investment banking firm) (until 1996)
|
112
|
—
|
Richard J. Herring (1946)
Board Member since 1990
|
Jacob Safra Professor of International Banking and Professor, Finance Department, The Wharton School, University of Pennsylvania (since July 1972); Co-Director, Wharton Financial Institutions Center (since July 2000); Co-Chair, U.S. Shadow Financial Regulatory Committee; Executive Director, Financial Economists Roundtable; formerly: Vice Dean and Director, Wharton Undergraduate Division (July 1995-June 2000); Director, Lauder Institute of International Management Studies (July 2000-June 2006)
|
112
|
Director, Japan Equity Fund, Inc. (since September 2007), Thai Capital Fund, Inc. (since September 2007), Singapore Fund, Inc. (since September 2007), Independent Director of Barclays Bank Delaware (since September 2010)
|
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
|
112
|
—
|
Rebecca W. Rimel (1951)
Board Member since 1995
|
President and Chief Executive Officer, The Pew Charitable Trusts (charitable organization) (1994 to present); Trustee, Thomas Jefferson Foundation (charitable organization) (1994 to present); Trustee, Executive Committee, Philadelphia Chamber of Commerce (2001-2007); formerly: Executive Vice President, The Glenmede Trust Company (investment trust and wealth management) (1983-2004); Board Member, Investor Education (charitable organization) (2004-2005); Trustee, Pro Publica (charitable organization) (2007-2010)
|
112
|
Director, CardioNet, Inc. (health care) (2009- present); Director, Viasys Health Care2 (January 2007- June 2007)
|
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)
|
112
|
Trustee, Sun Capital Advisers, Inc. (22 open-end mutual funds advised by Sun Capital Advisers, Inc.) (since 1998)
|
Jean Gleason Stromberg (1943)
Board Member since 1997
|
Retired. Formerly, Consultant (1997-2001); Director, Financial Markets US Government Accountability Office (1996-1997); Partner, Fulbright & Jaworski, L.L.P. (law firm) (1978-1996). Directorships: The William and Flora Hewlett Foundation; former Directorships: Service Source, Inc., Mutual Fund Directors Forum (2002-2004), American Bar Retirement Association (funding vehicle for retirement plans) (1987-1990 and 1994-1996)
|
112
|
—
|
Robert H. Wadsworth
(1940)
Board Member since 1999
|
President, Robert H. Wadsworth & Associates, Inc. (consulting firm) (1983 to present); Director, The Phoenix Boys Choir Association
|
115
|
—
|
Officers4
|
|
Name, Year of Birth, Position with the Fund and Length of Time Served5
|
Principal Occupation(s) During Past 5 Years and Other Directorships Held
|
W. Douglas Beck, CFA6 (1967)
President, 2011-present
|
Managing Director3, Deutsche Asset Management (2006-present); President of DWS family of funds and Head of Product Management, U.S. for DWS Investments; formerly, Executive Director, Head of Product Management (2002-2006) and President (2005-2006) of the UBS Funds at UBS Global Asset Management; Co-Head of Manager Research/Managed Solutions Group, Merrill Lynch (1998-2002)
|
John Millette7 (1962)
Vice President and Secretary, 1999-present
|
Director3, Deutsche Asset Management
|
Paul H. Schubert6 (1963)
Chief Financial Officer, 2004-present
Treasurer, 2005-present
|
Managing Director3, Deutsche Asset Management (since July 2004); formerly, Executive Director, Head of Mutual Fund Services and Treasurer for UBS Family of Funds (1998-2004); Vice President and Director of Mutual Fund Finance at UBS Global Asset Management (1994-1998)
|
Caroline Pearson7 (1962)
Chief Legal Officer, 2010-present
|
Managing Director3, Deutsche Asset Management; formerly, Assistant Secretary for DWS family of funds (1997-2010)
|
Rita Rubin6 (1970)
Assistant Secretary, 2009-present
|
Director3 and Senior Counsel, Deutsche Asset Management (since October 2007); formerly, Vice President, Morgan Stanley Investment Management (2004-2007)
|
Paul Antosca7 (1957)
Assistant Treasurer, 2007-present
|
Director3, Deutsche Asset Management (since 2006); Vice President, The Manufacturers Life Insurance Company (U.S.A.) (1990-2006)
|
Jack Clark7 (1967)
Assistant Treasurer, 2007-present
|
Director3, Deutsche Asset Management (since 2007); formerly, Vice President, State Street Corporation (2002-2007)
|
Diane Kenneally7 (1966)
Assistant Treasurer, 2007-present
|
Director3, Deutsche Asset Management
|
John Caruso6 (1965)
Anti-Money Laundering Compliance Officer, 2010-present
|
Managing Director3, Deutsche Asset Management
|
Robert Kloby6 (1962)
Chief Compliance Officer, 2006-present
|
Managing Director3, Deutsche Asset Management
|
Automated Information Line
|
DWS Investments Closed-End Fund Info Line
(800) 349-4281
|
|
Web Site
|
www.dws-investments.com
Obtain fact sheets, financial reports, press releases and webcasts when available.
|
|
Written Correspondence
|
Deutsche Investment Management Americas Inc.
345 Park Avenue
New York, NY 10154
|
|
Proxy Voting
|
The fund's policies and procedures for voting proxies for portfolio securities and information about how the fund voted proxies related to its portfolio securities during the 12-month period ended June 30 are available on our Web site — www.dws-investments.com (click on "proxy voting"at the bottom of the page) — or on the SEC's Web site — www.sec.gov. To obtain a written copy of the fund's policies and procedures without charge, upon request, call us toll free at (800) 621-1048.
|
|
Legal Counsel
|
Vedder Price P.C.
222 North LaSalle Street
Chicago, IL 60601
|
|
Dividend Reinvestment Plan Agent
|
Computershare Inc.
P.O. Box 43078
Providence, RI 02940-3078
|
|
Shareholder Service Agent and Transfer Agent
|
DWS Investments Service Company
P.O. Box 219066
Kansas City, MO 64121-9066
(800) 294-4366
|
|
Custodian
|
State Street Bank and Trust Company
Lafayette Corporate Center
2 Avenue De Lafayette
Boston, MA 02111
|
|
Independent Registered Public Accounting Firm
|
Ernst & Young LLP
200 Clarendon Street
Boston, MA 02116
|
|
NYSE Symbol
|
KSM
|
CUSIP Number
|
Common Shares
|
23338T 101
|
|
Preferred Shares
|
23338T 200
|
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. In accordance with New York Stock Exchange requirements, the Board believes that all members of the fund’s audit committee are financially literate, as such qualification is interpreted by the Board in its business judgment, and that at least one member of the audit committee has accounting or related financial management expertise.
|
|
ITEM 4.
|
PRINCIPAL ACCOUNTANT FEES AND SERVICES
|
Fiscal Year Ended November 30,
|
Audit Fees Billed to Fund
|
Audit-Related
Fees Billed to Fund
|
Tax Fees Billed to Fund
|
All
Other Fees Billed to Fund
|
||||||||||||
2011
|
$ | 41,634 | $ | 0 | $ | 5,731 | $ | 0 | ||||||||
2010
|
$ | 50,983 | $ | 0 | $ | 10,022 | $ | 0 |
Fiscal Year Ended November 30,
|
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
|
|||||||||
2011
|
$ | 0 | $ | 285,550 | $ | 0 | ||||||
2010
|
$ | 0 | $ | 295,930 | $ | 0 |
Fiscal Year Ended November 30,
|
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)
|
||||||||||||
2011
|
$ | 5,731 | $ | 285,550 | $ | 565,608 | $ | 856,889 | ||||||||
2010
|
$ | 10,022 | $ | 295,930 | $ | 645,807 | $ | 951,759 |
ITEM 5.
|
AUDIT COMMITTEE OF LISTED REGISTRANTS
|
The registrant has a separately-designated standing audit committee established in accordance with Section 3(a)(58)(A) of the Securities Exchange Act of 1934, as amended. The registrant's audit committee consists of William McClayton (Chairman), Keith R. Fox, Kenneth C. Froewiss, Henry P. Becton, Jr., Richard J. Herring and William N. Searcy.
|
|
ITEM 6.
|
SCHEDULE OF INVESTMENTS
|
Not applicable
|
|
ITEM 7.
|
DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES
|
(i)
|
adopting, monitoring and updating guidelines, attached as Exhibit A (the “Guidelines”), that provide how AM will generally vote proxies pertaining to a comprehensive list of common proxy voting matters;
|
(ii)
|
voting proxies where (A) the issues are not covered by specific client instruction or the Guidelines; (B) the Guidelines specify that the issues are to be determined on a case-by-case basis; or (C) where an exception to the Guidelines may be in the best economic interest of AM’s clients; and
|
(iii)
|
monitoring the Proxy Vendor Oversight’s proxy voting activities (see below).
|
n
|
Neither the Guidelines nor specific client instructions cover an issue;
|
n
|
ISS does not make a recommendation on the issue;
|
n
|
The GPVSC cannot convene on the proxy proposal at issue to make a determination as to what would be in the client’s best interest. (This could happen, for example, if the Conflicts of Interest Management Sub-committee found that there was a material conflict or if despite all best efforts being made, the GPVSC quorum requirement could not be met).
|
n
|
Deutsche Bank Americas Restricted Activities Policy. This policy provides for, among other things, independence of AM employees from CIB, and information barriers between AM and other affiliates. Specifically, no AM employee may be subject to the supervision or control of any employee of CIB. No AM employee shall have his or her compensation based upon his or her contribution to any business activity within the Bank outside of the business of AM, without the prior approval of Legal or Compliance. Further, no employee of CIB shall have any input into the compensation of a AM employee without the prior approval of Legal or Compliance. Under the information barriers section of this policy, as a general rule, AM employees who are associated with the investment process should have no contact with employees of Deutsche Bank or its affiliates, outside of PCAM, regarding specific clients, business matters, or initiatives. Further, under no circumstances should proxy votes be discussed with any Deutsche Bank employee outside of AM (and should only be discussed on a need-to-know basis within AM).
|
n
|
AM will maintain a record of each vote cast by AM that includes among other things, company name, meeting date, proposals presented, vote cast and shares voted.
|
n
|
The Proxy Vendor Oversight maintains records for each of the proxy ballots it votes. Specifically, the records include, but are not limited to:
|
–
|
The proxy statement (and any additional solicitation materials) and relevant portions of annual statements.
|
–
|
Any additional information considered in the voting process that may be obtained from an issuing company, its agents or proxy research firms.
|
–
|
Analyst worksheets created for stock option plan and share increase analyses.
|
–
|
Proxy Edge print-screen of actual vote election.
|
n
|
AM will retain these Policies and Procedures and the Guidelines; will maintain records of client requests for proxy voting information; and will retain any documents the Proxy Vendor Oversight or the GPVSC prepared that were material to making a voting decision or that memorialized the basis for a proxy voting decision.
|
n
|
The GPVSC also will create and maintain appropriate records documenting its compliance with these Policies and Procedures, including records of its deliberations and decisions regarding conflicts of interest and their resolution.
|
n
|
With respect to AM’s investment company clients, ISS will create and maintain records of each company’s proxy voting record for 12-month periods ended June 30. AM will compile the following information for each matter relating to a portfolio security considered at any shareholder meeting held during the period covered by the report and with respect to which the company was entitled to vote:
|
–
|
The name of the issuer of the portfolio security;
|
–
|
The exchange ticker symbol of the portfolio security (if symbol is available through reasonably practicable means);
|
–
|
The Council on Uniform Securities Identification Procedures number for the portfolio security (if the number is available through reasonably practicable means);
|
–
|
The shareholder meeting date;
|
–
|
A brief identification of the matter voted on;
|
–
|
Whether the matter was proposed by the issuer or by a security holder;
|
–
|
Whether the company cast its vote on the matter;
|
–
|
How the company cast its vote (e.g., for or against proposal, or abstain; for or withhold regarding election of directors); and
|
–
|
Whether the company cast its vote for or against management.
|
1
|
For purposes of these Policies and Procedures, “clients” refers to persons or entities: for which AM serves as investment adviser or sub-adviser; for which AM votes proxies; and that have an economic or beneficial ownership interest in the portfolio securities of issuers soliciting such proxies.
|
2
|
The Proxy Vendor Oversight generally monitors upcoming proxy solicitations for heightened attention from the press or the industry and for novel or unusual proposals or circumstances, which may prompt the Proxy Vendor Oversight to bring the solicitation to the attention of the GPVSC Chair. AM portfolio managers, AM research analysts and sub-advisers also may bring a particular proxy vote to the attention of the GPVSC Chair, as a result of their ongoing monitoring of portfolio securities held by advisory clients and/or their review of the periodic proxy voting record reports that the GPVSC Chair distributes to AM portfolio managers and AM research analysts.
|
3
|
As mentioned above, the GPVSC votes proxies (i) where neither a specific client instruction nor a Guideline directs how the proxy should be voted, (ii) where the Guidelines specify that an issue is to be determined on a case by case basis or (iii) where voting in accordance with the Guidelines may not be in the best economic interests of clients.
|
4
|
The Proxy Vendor Oversight, who serves as the non-voting secretary of the GPVSC, may receive routine calls from proxy solicitors and other parties interested in a particular proxy vote. Any contact that attempts to exert improper pressure or influence shall be reported to the Conflicts of Interest Management Sub-Committee.
|
I
|
Board Of Directors And Executives
|
A
|
Election Of Directors
|
B
|
Classified Boards Of Directors
|
C
|
Board And Committee Independence
|
D
|
Liability And Indemnification Of Directors
|
E
|
Qualifications Of Directors
|
F
|
Removal Of Directors And Filling Of Vacancies
|
G
|
Proposals To Fix The Size Of The Board
|
H
|
Proposals to Restrict Chief Executive Officer’s Service on Multiple Boards
|
I
|
Proposals to Restrict Supervisory Board Members Service on Multiple Boards
|
J
|
Proposals to Establish Audit Committees
|
II
|
Capital Structure
|
A
|
Authorization Of Additional Shares
|
B
|
Authorization Of “Blank Check” Preferred Stock
|
C
|
Stock Splits/Reverse Stock Splits
|
D
|
Dual Class/Supervoting Stock
|
E
|
Large Block Issuance
|
F
|
Recapitalization Into A Single Class Of Stock
|
G
|
Share Repurchases
|
H
|
Reductions In Par Value
|
III
|
Corporate Governance Issues
|
A
|
Confidential Voting
|
B
|
Cumulative Voting
|
C
|
Supermajority Voting Requirements
|
D
|
Shareholder Right To Vote
|
IV
|
Compensation
|
A
|
Establishment of a Remuneration Committee
|
B
|
Executive And Director Stock Option Plans
|
C
|
Employee Stock Option/Purchase Plans
|
D
|
Golden Parachutes
|
E
|
Proposals To Limit Benefits Or Executive Compensation
|
F
|
Option Expensing
|
G
|
Management board election and motion
|
H
|
Remuneration (variable pay)
|
I
|
Long-term incentive plans
|
J
|
Shareholder Proposals Concerning “Pay For Superior Performance”
|
K
|
Executive Compensation Advisory
|
V
|
Anti-Takeover Related Issues
|
A
|
Shareholder Rights Plans (“Poison Pills”)
|
B
|
Reincorporation
|
C
|
Fair-Price Proposals
|
D
|
Exemption From State Takeover Laws
|
E
|
Non-Financial Effects Of Takeover Bids
|
VI
|
Mergers & Acquisitions
|
VII
|
Social & Political Issues
|
A
|
Labor & Human Rights
|
B
|
Diversity & Equality
|
C
|
Health & Safety
|
D
|
Government/Military
|
E
|
Tobacco
|
F
|
Principles for Responsible Investment (“PRI”)Environmental Issues
|
VIII
|
Miscellaneous Items
|
A
|
Ratification Of Auditors
|
B
|
Limitation Of Non-Audit Services Provided By Independent Auditor
|
C
|
Audit Firm Rotation
|
D
|
Transaction Of Other Business
|
E
|
Motions To Adjourn The Meeting
|
F
|
Bundled Proposals
|
G
|
Change Of Company Name
|
H
|
Proposals Related To The Annual Meeting
|
I
|
Reimbursement Of Expenses Incurred From Candidate Nomination
|
J
|
Investment Company Proxies
|
K
|
International Proxy Voting
|
1.
|
“For” proposals that require that a certain percentage (majority up to 66 2/3%) of members of a board of directors be comprised of independent or unaffiliated directors.
|
2.
|
“For” proposals that require all members of a company's compensation, audit, nominating, or other similar committees be comprised of independent or unaffiliated directors.
|
3.
|
“Against” shareholder proposals to require the addition of special interest, or constituency, representatives to boards of directors.
|
4.
|
“For” separation of the Chairman and CEO positions.
|
5.
|
“Against” proposals that require a company to appoint a Chairman who is an independent director.
|
1.
|
“For” proposals to fix the size of the board unless: (a) no specific reason for the proposed change is given; or (b) the proposal is part of a package of takeover defenses.
|
2.
|
“Against” proposals allowing management to fix the size of the board without shareholder approval.
|
1.
|
“Against” proposals to create blank check preferred stock or to increase the number of authorized shares of blank check preferred stock unless the company expressly states that the stock will not be used for anti-takeover purposes and will not be issued without shareholder approval.
|
2.
|
“For” proposals mandating shareholder approval of blank check stock placement.
|
a)
|
The company has a five year return on investment greater than the relevant industry index,
|
b)
|
All directors and executive officers as a group beneficially own less than 10% of the outstanding stock, and
|
c)
|
No shareholder (or voting block) beneficially owns 15% or more of the company.
|
(1)
|
The resulting dilution of existing shares is less than (a) 15 percent of outstanding shares for large capital corporations or (b) 20 percent of outstanding shares for small-mid capital companies (companies having a market capitalization under one billion U.S. dollars.)
|
(2)
|
The transfer of equity resulting from granting options at less than FMV is no greater than 3% of the over-all market capitalization of large capital corporations, or 5% of market cap for small-mid capital companies.
|
(3)
|
The plan does not contain express repricing provisions and, in the absence of an express statement that options will not be repriced; the company does not have a history of repricing options.
|
(4)
|
The plan does not grant options on super-voting stock.
|
1.
|
Proposals to limit benefits, pensions or compensation and
|
2.
|
Proposals that request or require disclosure of executive compensation greater than the disclosure required by Securities and Exchange Commission (SEC) regulations.
|
•
|
the election of board members with positions on either remuneration or audit committees;
|
•
|
the election of supervisory board members with too many supervisory board mandates;
|
•
|
“automatic” election of former board members into the supervisory board.
|
•
|
directly align the interests of members of management boards with those of shareholders;
|
•
|
establish challenging performance criteria to reward only above average performance;
|
•
|
measure performance by total shareholder return in relation to the market or a range of comparable companies;
|
•
|
are long-term in nature and encourage long-term ownership of the shares once exercised through minimum holding periods;
|
•
|
do not allow a repricing of the exercise price in stock option plans.
|
1.
|
AM policy is to vote “against” shareholder proposals to force equal employment opportunity, affirmative action or board diversity.
|
2.
|
AM policy is also to vote “against” proposals to adopt the Mac Bride Principles. The Mac Bride Principles promote fair employment, specifically regarding religious discrimination.
|
1.
|
AM policy is to vote “against” adopting a pharmaceutical price restraint policy or reporting pricing policy changes.
|
2.
|
AM policy is to vote “against” shareholder proposals to control the use or labeling of and reporting on genetically engineered products.
|
1.
|
AM policy is to vote against shareholder proposals regarding the production or sale of military arms or nuclear or space-based weapons, including proposals seeking to dictate a company's interaction with a particular foreign country or agency.
|
2.
|
AM policy is to vote “against” shareholder proposals regarding political contributions and donations.
|
3.
|
AM policy is to vote “against” shareholder proposals regarding charitable contributions and donations.
|
1.
|
AM policy is to vote “against” shareholder proposals requesting additional standards or reporting requirements for tobacco companies as well as “against” requesting companies to report on the intentional manipulation of nicotine content.
|
2.
|
Shareholder requests to spin-off or restructure tobacco businesses will be opposed.
|
ITEM 8.
|
PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES
|
·
|
Head of US Retail Fixed Income Funds.
|
·
|
Joined Deutsche Asset Management in 1983 and the Fund in 1998.
|
·
|
Over 35 years of investment industry experience.
|
·
|
BA and MBA, University of Massachusetts at Amherst.
|
·
|
Joined Deutsche Asset Management in 1986 and the Fund in 1998.
|
·
|
Over 25 years of investment industry experience.
|
·
|
BA, University of Redlands, California
|
·
|
Quantitative measures (e.g. one-, three- and five-year pre-tax returns versus the benchmark and appropriate peer group, taking risk targets into account) are utilized to measure performance.
|
·
|
Qualitative measures (e.g. adherence to, as well as contributions to, the enhancement of the investment process) are included in the performance review.
|
·
|
Other factors (e.g. teamwork, adherence to compliance rules, risk management and "living the values" of Deutsche Asset Management) are included as part of a discretionary component of the review process, giving management the ability to consider additional markers of performance on a subjective basis.
|
Name of Portfolio Manager
|
Dollar Range of
Fund Shares Owned
|
Dollar Range of All DWS Fund Shares Owned
|
||||||
Philip G. Condon
|
- |
Over $1,000,000
|
||||||
Rebecca L. Flinn
|
- | $100,001 - $500,000 |
Name of Portfolio Manager
|
Number of Registered Investment Companies
|
Total Assets of Registered Investment Companies
|
Number of Investment Company Accounts with Performance-Based Fee
|
Total Assets of Performance- Based Fee Accounts
|
||||||||||||
Philip G. Condon
|
10 | $ | 10,985,923,976 | - | - | |||||||||||
Rebecca L. Flinn
|
2 | $ | 2,155,879,461 | - | - |
Name of Portfolio Manager
|
Number of Pooled Investment Vehicles
|
Total Assets of Pooled Investment Vehicles
|
Number of Pooled Investment Vehicle Accounts with Performance-Based Fee
|
Total Assets of Performance- Based Fee Accounts
|
||||||||||||
Philip G. Condon
|
- | - | - | - | ||||||||||||
Rebecca L. Flinn
|
- | - | - | - |
Name of Portfolio Manager
|
Number of Other Accounts
|
Total Assets of Other Accounts
|
Number of Other Accounts with Performance- Based Fee
|
Total Assets of Performance- Based Fee Accounts
|
||||||||||||
Philip G. Condon
|
- | - | - | - | ||||||||||||
Rebecca L. Flinn
|
- | - | - | - |
·
|
Certain investments may be appropriate for the Fund and also for other clients advised by the Advisor, including other client accounts managed by the Fund’s portfolio management team. Investment decisions for the Fund and other clients are made with a view to achieving their respective investment objectives and after consideration of such factors as their current holdings, availability of cash for investment and the size of their investments generally. A particular security may be bought or sold for only one client or in different amounts and at different times for more than one but less than all clients. Likewise, because clients of the Advisor may have differing investment strategies, a particular security may be bought for one or more clients when one or more other clients are selling the security. The investment results achieved for the Fund may differ from the results achieved for other clients of the Advisor. In addition, purchases or sales of the same security may be made for two or more clients on the same day. In such event, such transactions will be allocated among the clients in a manner believed by the Advisor to be most equitable to each client, generally utilizing a pro rata allocation methodology. In some cases, the allocation procedure could potentially have an adverse effect or positive effect on the price or amount of the securities purchased or sold by the Fund. Purchase and sale orders for the Fund may be combined with those of other clients of the Advisor in the interest of achieving the most favorable net results to the Fund and the other clients.
|
·
|
To the extent that a portfolio manager has responsibilities for managing multiple client accounts, a portfolio manager will need to divide time and attention among relevant accounts. The Advisor attempts to minimize these conflicts by aligning its portfolio management teams by investment strategy and by employing similar investment models across multiple client accounts.
|
·
|
In some cases, an apparent conflict may arise where the Advisor has an incentive, such as a performance-based fee, in managing one account and not with respect to other accounts it manages. The Advisor will not determine allocations based on whether it receives a performance-based fee from the client. Additionally, the Advisor has in place supervisory oversight processes to periodically monitor performance deviations for accounts with like strategies.
|
·
|
The Advisor and its affiliates and the investment team of each Fund may manage other mutual funds and separate accounts on a long only or a long-short basis. The simultaneous management of long and short portfolios creates potential conflicts of interest including the risk that short sale activity could adversely affect the market value of the long positions (and vice versa), the risk arising from sequential orders in long and short positions, and the risks associated with receiving opposing orders at the same time. The Advisor has adopted procedures that it believes are reasonably designed to mitigate these and other potential conflicts of interest. Included in these procedures are specific guidelines developed to provide fair and equitable treatment for all clients whose accounts are managed by each Fund’s portfolio management team. The Advisor and the portfolio management team have established monitoring procedures, a protocol for supervisory reviews, as well as compliance oversight to ensure that potential conflicts of interest relating to this type of activity are properly addressed.
|
ITEM 9.
|
PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS
|
Period
|
(a)
|
(b)
|
(c)
|
(d)
|
Total Number of Shares Purchased
|
Average Price Paid per Share
|
Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs
|
Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs
|
|
December 1 through December 31
|
0
|
n/a
|
n/a
|
n/a
|
January 1 through January 31
|
0
|
n/a
|
n/a
|
n/a
|
February 1 through February 28
|
0
|
n/a
|
n/a
|
n/a
|
March 1 through March 31
|
0
|
n/a
|
n/a
|
n/a
|
April 1 through April 30
|
0
|
n/a
|
n/a
|
n/a
|
May 1 through May 31
|
0
|
n/a
|
n/a
|
n/a
|
June 1 through June 30
|
0
|
n/a
|
n/a
|
n/a
|
July 1 through July 31
|
0
|
n/a
|
n/a
|
n/a
|
August 1 through August 31
|
0
|
n/a
|
n/a
|
n/a
|
September 1 through September 30
|
0
|
n/a
|
n/a
|
n/a
|
October 1 through October 31
|
0
|
n/a
|
n/a
|
n/a
|
November 1 through November 30
|
0
|
n/a
|
n/a
|
n/a
|
Total
|
0
|
n/a
|
n/a
|
n/a
|
The Fund may from time to time repurchase shares in the open market.
|
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 Paul K. Freeman, Independent Chairman, DWS Funds, P.O. Box 101833, Denver, CO 80250-1833.
|
||
ITEM 11.
|
CONTROLS AND PROCEDURES
|
|
(a)
|
The Chief Executive and Financial Officers concluded that the Registrant’s Disclosure Controls and Procedures are effective based on the evaluation of the Disclosure Controls and Procedures as of a date within 90 days of the filing date of this report.
|
|
(b)
|
There have been no changes in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal controls over financial reporting.
|
|
ITEM 12.
|
EXHIBITS
|
|
(a)(1)
|
Code of Ethics pursuant to Item 2 of Form N-CSR is filed and attached hereto as EX-99.CODE ETH.
|
|
(a)(2)
|
Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT.
|
|
(b)
|
Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is furnished and attached hereto as Exhibit 99.906CERT.
|
Registrant:
|
DWS Strategic Municipal Income Trust
|
By:
|
/s/W. Douglas Beck
W. Douglas Beck
President
|
Date:
|
January 30, 2012
|
By:
|
/s/W. Douglas Beck
W. Douglas Beck
President
|
Date:
|
January 30, 2012
|
By:
|
/s/Paul Schubert
Paul Schubert
Chief Financial Officer and Treasurer
|
Date:
|
January 30, 2012
|
Page Number
|
I.
|
Overview |
This Principal Executive Officer and Principal Financial Officer Code of Ethics (“Officer Code”) sets forth the policies, practices, and values expected to be exhibited in the conduct of the Principal Executive Officers and Principal Financial Officers of the investment companies (“Funds”) they serve (“Covered Officers”). A list of Covered Officers and Funds is included on Appendix A.
The Boards of the Funds listed on Appendix A have elected to implement the Officer Code, pursuant to Section 406 of the Sarbanes-Oxley Act of 2002 and the SEC’s rules thereunder, to promote and demonstrate honest and ethical conduct in their Covered Officers.
Deutsche Asset Management, Inc. or its affiliates (“DeAM”) serves as the investment adviser to each Fund. All Covered Officers are also employees of DeAM or an affiliate. Thus, in addition to adhering to the Officer Code, these individuals must comply with DeAM policies and procedures, such as the DeAM Code of Ethics governing personal trading activities, as adopted pursuant to Rule 17j-1 under the Investment Company Act of 1940.1 In addition, such individuals also must comply with other applicable Fund policies and procedures.
The DeAM Compliance Officer, who shall not be a Covered Officer and who shall serve as such subject to the approval of the Fund’s Board (or committee thereof), is primarily responsible for implementing and enforcing this Code. The Compliance Officer has the authority to interpret this Officer Code and its applicability to particular circumstances. Any questions about the Officer Code should be directed to the DeAM Compliance Officer.
The DeAM Compliance Officer and his or her contact information can be found in Appendix A.
|
II.
|
Purposes of the Officer Code
|
The purposes of the Officer Code are to deter wrongdoing and to:
|
||
•
|
promote honest and ethical conduct among Covered Officers, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships;
|
•
|
promote full, fair, accurate, timely and understandable disclosures in reports and documents that the Funds file with or submit to the SEC (and in other public communications from the Funds) and that are within the Covered Officer’s responsibilities;
|
•
|
promote compliance with applicable laws, rules and regulations;
|
•
|
encourage the prompt internal reporting of violations of the Officer Code to the DeAM Compliance Officer; and
|
•
|
establish accountability for adherence to the Officer Code.
|
|
Any questions about the Officer Code should be referred to DeAM’s Compliance Officer. |
III.
|
Responsibilities of Covered Officers
|
A.
|
Honest and Ethical Conduct
|
|
It is the duty of every Covered Officer to encourage and demonstrate honest and ethical conduct, as well as adhere to and require adherence to the Officer Code and any other applicable policies and procedures designed to promote this behavior. Covered Officers must at all times conduct themselves with integrity and distinction, putting first the interests of the Fund(s) they serve. Covered Officers must be honest and candid while maintaining confidentiality of information where required by law, DeAM policy or Fund policy.
Covered Officers also must, at all times, act in good faith, responsibly and with due care, competence and diligence, without misrepresenting or being misleading about material facts or allowing their independent judgment to be subordinated. Covered Officers also should maintain skills appropriate and necessary for the performance of their duties for the Fund(s). Covered Officers also must responsibly use and control all Fund assets and resources entrusted to them.
Covered Officers may not retaliate against others for, or otherwise discourage the reporting of, actual or apparent violations of the Officer Code or applicable laws or regulations. Covered Officers should create an environment that encourages the exchange of information, including concerns of the type that this Code is designed to address.
|
B.
|
Conflicts of Interest
|
|
A “conflict of interest” occurs when a Covered Officer’s personal interests interfere with the interests of the Fund for which he or she serves as an officer. Covered Officers may not improperly use their position with a Fund for personal or private gain to themselves, their family, or any other person. Similarly, Covered Officers may not use their personal influence or personal relationships to influence decisions or other Fund business or operational matters where they would benefit personally at the Fund’s expense or to the Fund’s detriment. Covered Officers may not cause the Fund to take action, or refrain from taking action, for their personal benefit at the Fund’s expense or to the Fund’s detriment. Some examples of conflicts of interest follow (this is not an all-inclusive list): being in the position of supervising, reviewing or having any influence on the job evaluation, pay or benefit of any immediate family member who is an employee of a Fund service provider or is otherwise associated with the Fund; or having an ownership interest in, or having any consulting or employment relationship with, any Fund service provider other than DeAM or its affiliates.
Certain conflicts of interest covered by this Code arise out of the relationships between Covered Officers and the Fund that already are subject to conflict of interest provisions in the Investment Company Act and the Investment Advisers Act. For example, Covered Officers may not individually engage in certain transactions (such as the purchase or sale of securities or other property) with the Fund because of their status as “affiliated persons” of the Fund. Covered Officers must comply with applicable laws and regulations. Therefore, any violations of existing statutory and regulatory prohibitions on individual behavior could be considered a violation of this Code.
As to conflicts arising from, or as a result of the advisory relationship (or any other relationships) between the Fund and DeAM, of which the Covered Officers are also officers or employees, it is recognized by the Board that, subject to DeAM’s fiduciary duties to the Fund, the Covered Officers will in the normal course of their duties (whether formally for the Fund or for DeAM, or for both) be involved in establishing policies and implementing decisions which will have different effects on DeAM and the Fund. The Board recognizes that the participation of the Covered Officers in such activities is inherent in the contract relationship between the Fund and DeAM, and is consistent with the expectation of the Board of the performance by the Covered Officers of their duties as officers of the Fund.
Covered Officers should avoid actual conflicts of interest, and appearances of conflicts of interest, between the Covered Officer’s duties to the Fund and his or her personal interests beyond those contemplated or anticipated by applicable regulatory schemes. If a Covered Officer suspects or knows of a conflict or an appearance of one, the Covered Officer must immediately report the matter to the DeAM Compliance Officer. If a Covered Officer, in lieu of reporting such a matter to the DeAM Compliance Officer, may report the matter directly to the Fund’s Board (or committee thereof), as appropriate (e.g., if the conflict involves the DeAM Compliance Officer or the Covered Officer reasonably believes it would be futile to report the matter to the DeAM Compliance Officer).
When actual, apparent or suspected conflicts of interest arise in connection with a Covered Officer, DeAM personnel aware of the matter should promptly contact the DeAM Compliance Officer. There will be no reprisal or retaliation against the person reporting the matter.
Upon receipt of a report of a possible conflict, the DeAM Compliance Officer will take steps to determine whether a conflict exists. In so doing, the DeAM Compliance Officer may take any actions he or she determines to be appropriate in his or her sole discretion and may use all reasonable resources, including retaining or engaging legal counsel, accounting firms or other consultants, subject to applicable law.2 The costs associated with such actions may be borne by the Fund, if appropriate, after consultation with the Fund’s Board (or committee thereof). Otherwise, such costs will be borne by DeAM or other appropriate Fund service provider.
After full review of a report of a possible conflict of interest, the DeAM Compliance Officer may determine that no conflict or reasonable appearance of a conflict exists. If, however, the DeAM Compliance Officer determines that an actual conflict exists, the Compliance Officer will resolve the conflict solely in the interests of the Fund, and will report the conflict and its resolution to the Fund’s Board (or committee thereof). If the DeAM Compliance Officer determines that the appearance of a conflict exists, the DeAM Compliance Officer will take appropriate steps to remedy such appearance. In lieu of determining whether a conflict exists and/or resolving a conflict, the DeAM Compliance Officer instead may refer the matter to the Fund’s Board (or committee thereof), as appropriate. However, the DeAM Compliance Officer must refer the matter to the Fund’s Board (or committee thereof) if the DeAM Compliance Officer is directly involved in the conflict or under similar appropriate circumstances.
After responding to a report of a possible conflict of interest, the DeAM Compliance Officer will discuss the matter with the person reporting it (and with the Covered Officer at issue, if different) for purposes of educating those involved on conflicts of interests (including how to detect and avoid them, if appropriate).
Appropriate resolution of conflicts may restrict the personal activities of the Covered Officer and/or his family, friends or other persons.
Solely because a conflict is disclosed to the DeAM Compliance Officer (and/or the Board or Committee thereof) and/or resolved by the DeAM Compliance Officer does not mean that the conflict or its resolution constitutes a waiver from the Code’s requirements.
Any questions about conflicts of interests, including whether a particular situation might be a conflict or an appearance of one, should be directed to the DeAM Compliance Officer.
|
C.
|
Use of Personal Fund Shareholder Information
|
|
A Covered Officer may not use or disclose personal information about Fund shareholders, except in the performance of his or her duties for the Fund. Each Covered Officer also must abide by the Funds’ and DeAM’s privacy policies under SEC Regulation S-P.
|
D.
|
Public Communications
|
|
In connection with his or her responsibilities for or involvement with a Fund’s public communications and disclosure documents (e.g., shareholder reports, registration statements, press releases), each Covered Officer must provide information to Fund service providers (within the DeAM organization or otherwise) and to the Fund’s Board (and any committees thereof), independent auditors, government regulators and self-regulatory organizations that is fair, accurate, complete, objective, relevant, timely and understandable.
Further, within the scope of their duties, Covered Officers having direct or supervisory authority over Fund disclosure documents or other public Fund communications will, to the extent appropriate within their area of responsibility, endeavor to ensure full, fair, timely, accurate and understandable disclosure in Fund disclosure documents. Such Covered Officers will oversee, or appoint others to oversee, processes for the timely and accurate creation and review of all public reports and regulatory filings. Within the scope of his or her responsibilities as a Covered Officer, each Covered Officer also will familiarize himself or herself with the disclosure requirements applicable to the Fund, as well as the business and financial operations of the Fund. Each Covered Officer also will adhere to, and will promote adherence to, applicable disclosure controls, processes and procedures, including DeAM’s Disclosure Controls and Procedures, which govern the process by which Fund disclosure documents are created and reviewed.
To the extent that Covered Officers participate in the creation of a Fund’s books or records, they must do so in a way that promotes the accuracy, fairness and timeliness of those records.
|
E.
|
Compliance with Applicable Laws, Rules and Regulations
|
|
In connection with his or her duties and within the scope of his or her responsibilities as a Covered Officer, each Covered Officer must comply with governmental laws, rules and regulations, accounting standards, and Fund policies/procedures that apply to his or her role, responsibilities and duties with respect to the Funds (“Applicable Laws”). These requirements do not impose on Covered Officers any additional substantive duties. Additionally, Covered Officers should promote compliance with Applicable Laws.
If a Covered Officer knows of any material violations of Applicable Laws or suspects that such a violation may have occurred, the Covered Officer is expected to promptly report the matter to the DeAM Compliance Officer.
|
IV.
|
Violation Reporting
|
A.
|
Overview
|
|
Each Covered Officer must promptly report to the DeAM Compliance Officer, and promote the reporting of, any known or suspected violations of the Officer Code. Failure to report a violation may be a violation of the Officer Code.
|
Examples of violations of the Officer Code include, but are not limited to, the following: | |||
•
|
Unethical or dishonest behavior
|
•
|
Obvious lack of adherence to policies surrounding review and approval of public communications and regulatory filings
|
•
|
Failure to report violations of the Officer Code
|
•
|
Known or obvious deviations from Applicable Laws
|
•
|
Failure to acknowledge and certify adherence to the Officer Code
|
The DeAM Compliance Officer has the authority to take any and all action he or she considers appropriate in his or her sole discretion to investigate known or suspected Code violations, including consulting with the Fund’s Board, the independent Board members, a Board committee, the Fund’s legal counsel and/or counsel to the independent Board members. The Compliance Officer also has the authority to use all reasonable resources to investigate violations, including retaining or engaging legal counsel, accounting firms or other consultants, subject to applicable law.3 The costs associated with such actions may be borne by the Fund, if appropriate, after consultation with the Fund’s Board (or committee thereof). Otherwise, such costs will be borne by DeAM. |
|
B.
|
How to Report
|
Any known or suspected violations of the Officer Code must be promptly reported to the DeAM Compliance Officer.
|
C.
|
Process for Violation Reporting to the Fund Board
|
|
The DeAM Compliance Officer will promptly report any violations of the Code to the Fund’s Board (or committee thereof).
|
D.
|
Sanctions for Code Violations
|
|
Violations of the Code will be taken seriously. In response to reported or otherwise known violations, DeAM and the relevant Fund’s Board may impose sanctions within the scope of their respective authority over the Covered Officer at issue. Sanctions imposed by DeAM could include termination of employment. Sanctions imposed by a Fund’s Board could include termination of association with the Fund.
|
V.
|
Waivers from the Officer Code
|
A Covered Officer may request a waiver from the Officer Code by transmitting a written request for a waiver to the DeAM Compliance Officer.4 The request must include the rationale for the request and must explain how the waiver would be in furtherance of the standards of conduct described in and underlying purposes of the Officer Code. The DeAM Compliance Officer will present this information to the Fund’s Board (or committee thereof). The Board (or committee) will determine whether to grant the requested waiver. If the Board (or committee) grants the requested waiver, the DeAM Compliance Officer thereafter will monitor the activities subject to the waiver, as appropriate, and will promptly report to the Fund’s Board (or committee thereof) regarding such activities, as appropriate.
The DeAM Compliance Officer will coordinate and facilitate any required public disclosures of any waivers granted or any implicit waivers.
|
VI.
|
Amendments to the Code
|
The DeAM Compliance Officer will review the Officer Code from time to time for its continued appropriateness and will propose any amendments to the Fund’s Board (or committee thereof) on a timely basis. In addition, the Board (or committee thereof) will review the Officer Code at least annually for its continued appropriateness and may amend the Code as necessary or appropriate.
The DeAM Compliance Officer will coordinate and facilitate any required public disclosures of Code amendments.
|
VII.
|
Acknowledgement and Certification of Adherence to the Officer Code
|
Each Covered Officer must sign a statement upon appointment as a Covered Officer and annually thereafter acknowledging that he or she has received and read the Officer Code, as amended or updated, and confirming that he or she has complied with it (see Appendix B: Acknowledgement and Certification of Obligations Under the Officer Code).
Understanding and complying with the Officer Code and truthfully completing the Acknowledgement and Certification Form is each Covered Officer’s obligation.
The DeAM Compliance Officer will maintain such Acknowledgements in the Fund’s books and records.
|
VIII.
|
Scope of Responsibilities
|
A Covered Officer’s responsibilities under the Officer Code are limited to:
|
(1)
|
Fund matters over which the Officer has direct responsibility or control, matters in which the Officer routinely participates, and matters with which the Officer is otherwise involved (i.e., matters within the scope of the Covered Officer’s responsibilities as a Fund officer); and
|
(2)
|
Fund matters of which the Officer has actual knowledge.
|
IX.
|
Recordkeeping
|
The DeAM Compliance Officer will create and maintain appropriate records regarding the implementation and operation of the Officer Code, including records relating to conflicts of interest determinations and investigations of possible Code violations.
|
X.
|
Confidentiality
|
All reports and records prepared or maintained pursuant to this Officer Code shall be considered confidential and shall be maintained and protected accordingly. Except as otherwise required by law or this Officer Code, such matters shall not be disclosed to anyone other than the DeAM Compliance Officer, the Fund’s Board (or committee thereof), legal counsel, independent auditors, and any consultants engaged by the Compliance Officer.
|
Fund Board
|
Principal Executive Officers
|
Principal Financial Officers
|
Treasurer
|
DWS Funds
|
Douglas Beck
|
Paul Schubert
|
Paul Schubert
|
Germany*
|
Douglas Beck
|
Paul Schubert
|
Paul Schubert
|
As of: | June 1, 2011 |
Print Name
|
Department
|
Location
|
Telephone
|
1.
|
I acknowledge and certify that I am a Covered Officer under the DWS Investments Principal Executive and Financial Officer Code of Ethics (“Officer Code”), and therefore subject to all of its requirements and provisions.
|
2.
|
I have received and read the Officer Code and I understand the requirements and provisions set forth in the Officer Code.
|
3.
|
I have disclosed any conflicts of interest of which I am aware to the DeAM Compliance Officer.
|
4.
|
I will act in the best interest of the Funds for which I serve as an officer and have maintained the confidentiality of personal information about Fund shareholders.
|
5.
|
I will report any known or suspected violations of the Officer Code in a timely manner to the DeAM Compliance Officer.
|
Signature | Date |
Print Name
|
Department
|
Location
|
Telephone
|
1.
|
I acknowledge and certify that I am a Covered Officer under the DWS Investments Principal Executive and Financial Officer Code of Ethics (“Officer Code”), and therefore subject to all of its requirements and provisions.
|
2.
|
I have received and read the Officer Code, and I understand the requirements and provisions set forth in the Officer Code.
|
3.
|
I have adhered to the Officer Code.
|
4.
|
I have not knowingly been a party to any conflict of interest, nor have I had actual knowledge about actual or apparent conflicts of interest that I did not report to the DeAM Compliance Officer in accordance with the Officer Code’s requirements.
|
5.
|
I have acted in the best interest of the Funds for which I serve as an officer and have maintained the confidentiality of personal information about Fund shareholders.
|
6.
|
With respect to the duties I perform for the Fund as a Fund officer, I believe that effective processes are in place to create and file public reports and documents in accordance with applicable regulations.
|
7.
|
With respect to the duties I perform for the Fund as a Fund officer, I have complied to the best of my knowledge with all Applicable Laws (as that term is defined in the Officer Code) and have appropriately monitored those persons under my supervision for compliance with Applicable Laws.
|
8.
|
I have reported any known or suspected violations of the Officer Code in a timely manner to the DeAM Compliance Officer.
|
Signature | Date |
1.
|
I have reviewed this report, filed on behalf of DWS Strategic Municipal Income Trust, on Form N-CSR;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change 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 control over financial reporting; and
|
5.
|
The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
January 30, 2012
|
/s/W. Douglas Beck
|
W. Douglas Beck
|
|
President
|
1.
|
I have reviewed this report, filed on behalf of DWS Strategic Municipal Income Trust, on Form N-CSR;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change 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 control over financial reporting; and
|
5.
|
The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
January 30, 2012
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/s/Paul Schubert
|
Paul Schubert
|
|
Chief Financial Officer and Treasurer
|
1.
|
I have reviewed this report, filed on behalf of DWS Strategic Municipal Income Trust, on Form N-CSR;
|
2.
|
Based on my knowledge and pursuant to 18 U.S.C. § 1350, the periodic report on Form N-CSR (the “Report”) fully complies with the requirements of § 13 (a) or § 15 (d), as applicable, of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
1.
|
I have reviewed this report, filed on behalf of DWS Strategic Municipal Income Trust, on Form N-CSR;
|
2.
|
Based on my knowledge and pursuant to 18 U.S.C. § 1350, the periodic report on Form N-CSR (the “Report”) fully complies with the requirements of § 13 (a) or § 15 (d), as applicable, of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
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