This report must be preceded or accompanied by a prospectus. To obtain a prospectus for any of our funds, refer to the Account Management Resources information provided in the back of this booklet. We advise you to consider a fund's objectives, risks, charges and expenses carefully before investing. The prospectus contains this and other important information about the funds. Please read the prospectus carefully before you invest.

Diversification does not eliminate risk. The funds are subject to stock market risk, meaning stocks in the underlying funds may decline in value for extended periods of time due to the activities and financial prospects of individual companies, or due to general market and economic conditions. Asset allocation risk: although asset allocation among different asset classes generally limits risk and exposure to any one class, the risk remains that the investment advisor may favor an asset class that performs poorly relative to the other asset classes. Investing in foreign securities presents certain unique risks not associated with domestic investments, such as currency fluctuation, political and economic changes and market risks. The underlying funds invest in individual bonds whose yields and market values fluctuate so that your investment may be worth more or less than its original cost. Bond investments are subject to interest rate risk such that when interest rates rise, the prices of the bonds, and thus the value of the fund, can decline and the investor can lose principal value. Derivatives may be more volatile and less liquid than traditional securities, and the funds could suffer losses on an underlying fund's derivative position. An investment in underlying money market funds is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although money market funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in them. Please read each fund's prospectus for specific details regarding its risk profile.

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

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

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

The maximum sales charge for Class A shares is 5.75%. For Class B shares, the maximum contingent deferred sales charge (CDSC) is 4% within the first year after purchase, declining to 0% after six years. Class C shares have no adjustment for front-end sales charges but redemptions within one year of purchase may be subject to a CDSC of 1%. Unadjusted returns do not reflect sales charges and would have been lower if they had.

The total annual fund direct operating expense ratios, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated December 15, 2006 are 0.72%, 1.47% and 1.48% for Class A, Class B and Class C shares, respectively. The total annual fund direct and estimated indirect Underlying DWS Fund operating expense ratios, gross of any fee waivers or expense reimbursements, as presented in the fee table of the prospectus dated December 15, 2006 are 1.20%, 1.95% and 1.96% for Class A, Class B and Class C shares, respectively. Please see the Information About Each Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the year ended August 31, 2007.

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

Returns and rankings during all periods shown for Class A and Class C shares and for the 3-year, 5-year and 10-year periods shown for Class B shares reflect a fee waiver and/or expense reimbursement for DWS Conservative Allocation Fund as well as for some Underlying DWS Funds. Without these waivers/reimbursements, returns and rankings would have been lower.

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

Returns shown for Class A, B and C shares for the periods prior to their inception on December 29, 2000 are derived from the historical performance of Class S shares of DWS Conservative Allocation Fund during such periods and have been adjusted to reflect the higher gross annual total operating expenses of each specific class. Any difference in expenses will affect performance.

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

Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.

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

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

The total annual fund direct operating expense ratio, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated December 15, 2006 is 0.41% for Class S shares. The total fund direct and estimated indirect Underlying DWS Fund operating expense ratio, gross of any fee waivers or expense reimbursements, as presented in the fee table of the prospectus dated December 15, 2006 is 0.89% for Class S shares. Please see the Information About Each Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the year ended August 31, 2007.

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

Returns and rankings during all periods shown for Class S shares reflect a fee waiver and/or expense reimbursement for DWS Conservative Allocation Fund as well as for some Underlying DWS Funds. Without these waivers/reimbursements, returns and rankings would have been lower.

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

Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.

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

The total annual fund direct operating expense ratios, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated December 15, 2006 are 0.71%, 1.47% and 1.43% for Class A, Class B and Class C shares, respectively. The total annual fund direct and estimated indirect Underlying DWS Fund operating expense ratios, gross of any fee waivers or expense reimbursements, as presented in the fee table of the prospectus dated December 15, 2006 are 1.32%, 2.08% and 2.04% for Class A, Class B and Class C shares, respectively. Please see the Information About Each Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the period ended August 31, 2007.

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

Returns and rankings during all periods shown reflect a fee waiver and/or expense reimbursement for DWS Moderate Allocation Fund as well as for some Underlying DWS Funds. Without these waivers/reimbursements, returns and rankings would have been lower.

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

Returns shown for Class A, B and C shares for the periods prior to their inception on December 29, 2000 are derived from the historical performance of Class S shares of the DWS Moderate Allocation Fund during such periods and have been adjusted to reflect the higher gross annual total operating expenses of each specific class. Any difference in expenses will affect performance.

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

Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.

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

The total annual fund direct operating expense ratio, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated December 15, 2006 is 0.43% for Class S shares. The total annual fund direct and estimated indirect Underlying DWS Fund operating expense ratio, gross of any fee waivers or expense reimbursements, as presented in the fee table of the prospectus dated December 15, 2006 is 1.04% for Class S shares. Please see the Information About Each Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the year ended August 31, 2007.

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

Returns and rankings during all periods shown for Class S shares reflect a fee waiver and/or expense reimbursement for DWS Moderate Allocation Fund as well as for some Underlying DWS Funds. Without these waivers/reimbursements, returns and rankings would have been lower.

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

Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.

The total annual fund direct operating expense ratios, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated December 15, 2006 are 0.73%, 1.52% and 1.52% for Class A, Class B and Class C shares, respectively. The total annual fund direct and estimated indirect Underlying DWS Fund operating expense ratios, gross of any fee waivers or expense reimbursements, as presented in the fee table of the prospectus dated December 15, 2006 are 1.35%, 2.14% and 2.14% for Class A, Class B and Class C shares, respectively. Please see the Information About Each Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the period ended August 31, 2007.

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

Returns and rankings during all periods shown reflect a fee waiver and/or expense reimbursement for DWS Growth Allocation Fund as well as for some Underlying DWS Funds. Without these waivers/reimbursements, returns and rankings would have been lower.

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

Returns shown for Class A, B and C shares for the periods prior to their inception on December 29, 2000 are derived from the historical performance of Class S shares of the DWS Growth Allocation Fund during such periods and have been adjusted to reflect the higher gross annual total operating expenses of each specific class. Any difference in expenses will affect performance.

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

Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.

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

The total annual fund direct operating expense ratio, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated December 15, 2006 is 0.45% for Class S shares. The total annual fund direct and estimated indirect Underlying DWS Fund operating expense ratio, gross of any fee waivers or expense reimbursements, as presented in the fee table of the prospectus dated December 15, 2006 is 1.07% for Class S shares. Please see the Information About Each Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the year ended August 31, 2007.

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

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

Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.

The total annual fund direct operating expense ratios, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated December 15, 2006 are 1.20%, 2.04% and 1.99% for Class A, Class B and Class C shares, respectively. The total annual fund direct and estimated indirect Underlying DWS Fund operating expense ratios, gross of any fee waivers or expense reimbursements, as presented in the fee table of the prospectus dated December 15, 2006 are 1.85%, 2.69% and 2.64% for Class A, Class B and Class C shares, respectively. Please see the Information About Each Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the period ended August 31, 2007.

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

Returns and rankings during all periods shown reflect a fee waiver and/or expense reimbursement for DWS Growth Plus Allocation Fund as well as for some Underlying DWS Funds. Without these waivers/reimbursements, returns and rankings would have been lower.

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

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

Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.

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

The total annual fund direct operating expense ratio, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated December 15, 2006 is 1.03% for Class S shares. The total annual fund direct and estimated indirect Underlying DWS Fund operating expense ratio, gross of any fee waivers or expense reimbursements, as presented in the fee table of the prospectus dated December 15, 2006 is 1.68% for Class S shares. Please see the Information About Each Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the year ended August 31, 2007.

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

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

Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.

As an investor, you incur two types of costs: ongoing expenses and transaction costs. Ongoing expenses include distribution and service (12b-1) fees and other Fund expenses. Examples of transaction costs include sales charges (loads), redemption fees and account maintenance fees, which are not shown in this section. The following tables are intended to help you understand your ongoing expenses (in dollars) of investing in the Fund and to help you compare these expenses with the ongoing expenses of investing in other mutual funds. In addition to the ongoing expenses which the Fund bears directly, the Fund's shareholders indirectly bear the expenses of the Underlying DWS Funds in which the Fund invests. The Fund's estimated indirect expense from investing in the Underlying DWS Funds is based on the expense ratios from the Underlying DWS Fund's most recent shareholder report. In the most recent six-month period, Class C shares of DWS Conservative Allocation Fund and DWS Moderate Allocation Fund and Class A, B, C and S shares of DWS Growth Allocation Fund and DWS Growth Plus Allocation Fund limited these expenses; had they not done so, expenses would have been higher. In addition, certain of the Underlying DWS Funds limited expenses; had they not done so, expenses would have been higher. The examples in the tables are based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period (March 1, 2007 to August 31, 2007).

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

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

Please note that the expenses shown in these tables are meant to highlight your ongoing expenses only and do not reflect any transaction costs. The "Expenses Paid per $1,000" line of the tables is useful in comparing ongoing expenses only and will not help you determine the relative total expense of owning different funds. If these transaction costs had been included, your costs would have been higher.

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

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

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

Joined Deutsche Asset Management in 1999 as a quantitative analyst, becoming an associate portfolio manager in 2001.

MS, Moscow State University; MBA, University of Chicago Graduate School of Business.

Managing Director of Deutsche Asset Management and Portfolio Manager of the funds.

Joined Deutsche Asset Management in 1995 as portfolio manager for asset allocation after 13 years of experience of trading fixed income, foreign exchange and derivative products at J.P. Morgan.

In the following interview, Portfolio Managers Inna Okounkova and Robert Wang discuss the market environment, portfolio management strategy and resulting performance of the DWS Allocation Funds during the 12 months ended August 31, 2007.

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

Q: How would you characterize the economic and market environment over the last 12 months?

A: It was a generally positive period for the US equity market, although with considerable volatility. After exhibiting strength in late 2006, there was a dip in late February and early March of 2007. Markets began to rise again through mid-July, drifted lower in late July and then moved up again in August. The Russell 3000^® Index, which is generally regarded as a good indicator of the broad stock market, returned 14.94% for the 12 months ended August 2007.¹ The Standard & Poor's 500^® (S&P 500) Index returned 15.13%, and the Russell 1000^® Index returned 15.27%; both of these indices measure performance of large-cap stocks.² The Russell MidCap™ Index returned 16.18% for the period, and the small-cap Russell 2000^® Index posted a return of 11.36% for the 12-month period.³ Within the large-cap category, growth stocks performed better than value stocks: The return of the Russell 1000^® Growth Index was 17.70%, compared with 12.85% for the Russell 1000^® Value Index.⁴

Foreign equity markets were also strong, but with considerable variation among markets: Return of the Morgan Stanley Capital International (MSCI) Europe, Australasia, Far East (EAFE) Index, which measures performance of a broad range of international markets, was 18.71%.⁵ Emerging markets were generally stronger than developed markets; Japan was one of the weakest major markets.

Returns in the US fixed-income market were also positive, though considerably lower than equity returns. The Lehman Brothers US Aggregate Index, which measures returns of the bond market as a whole, posted a return of 5.26%.⁶ High-yield bonds, as measured by the Credit Suisse High Yield Index, outperformed investment-grade bonds, although investment- grade bonds rallied near the end of the period, as investors became less comfortable with risk.⁷ Returns on cash equivalents were similar to bond returns.

A: Our strategy for managing the fund-of-funds portfolios and evaluating how they perform consists of three components: strategic asset allocation, tactical asset allocation and allocation to the underlying funds.

The first component, strategic asset allocation (SAA), has the largest influence on performance. We review strategic asset allocation once a year, usually in July, using a proprietary methodology to find optimal allocations with the appropriate risk level for each of the four funds — Conservative, Moderate, Growth and Growth Plus.

The second component of our investment process is tactical asset allocation (TAA), which is implemented as underweight or overweight of a particular asset class relative to its longer-term SAA target.⁸ TAAs are updated every month using both fundamental analysis and quantitative models.⁹ The investment team's views are combined and adjusted to appropriate risk levels to specify a tactical asset allocation for each of the four portfolios.

The final element of the process is fund allocation, which involves much more than simply selecting funds by style based on strategic and tactical asset allocation. Each month we analyze the holdings in each fund (using holdings lists readily available on the DWS Web site), measuring exposure to factors such as specific industries, beta, size and style.¹⁰ Our goal is to identify combinations of funds that help implement our targeted asset allocations, capturing the ability of the fund managers to select the best stocks, while neutralizing unintended factor bets.

Q: How do you evaluate performance of the funds, and how did they perform over the last year?

A: Since there are no published indices that accurately reflect the asset mixes of these funds, we evaluate performance using indices that represent the major asset classes in which we invest. These are the Russell 1000 Index for large-cap equities; the Russell 2000 Index for small-cap equities; the Lehman Brothers US Aggregate Index for investment-grade bonds; the Credit Suisse High Yield Index for high-yield bonds; the 3-Month T- Bill for cash equivalents; and the Morgan Stanley Capital International (MSCI) EAFE Index for international equities.

We also compare the performance of our funds with that of similar funds, using categories defined and published by Lipper. These peer groups are: Mixed Asset Target Allocation Conservative Funds for DWS Conservative Allocation Fund; Mixed Asset Target Allocation Moderate Funds for DWS Moderate Allocation Fund; Mixed Asset Target Allocation Growth Funds for DWS Growth Allocation Fund; and Multi-Cap Core Funds for DWS Growth Plus Allocation Fund.¹¹

For the 12-month period ended August 2007, the Conservative Allocation Fund ranked in the top quartile of its peer group; the other three funds ranked below the midpoints of their peer groups. For all four funds, both strategic and tactical allocation added significant value, while performance of the underlying funds detracted from performance relative to the peer groups.

Q: What were the major strategic and tactical decisions that drove fund performance?

A: Both strategic and tactical asset allocation contributed to performance. Consistent with our policy of an annual review of strategic allocations, we implemented several strategic changes to the previous year's asset allocations as of July 1, 2007. Accordingly, during the 12-month period under review, two different sets of SAAs were used in managing the funds. From September 2006 through June 2007, we were using the 2006/2007 SAAs, which we implemented in July 2006. For the last two months of the fund's fiscal year (July and August 2007), we used new 2007/2008 SAAs.

Separated international equities into three regions — Europe, Japan and Pacific ex-Japan — in order to implement regional asset allocation calls

Increased the overall allocation to international equities, emphasizing European and Pacific ex-Japan equities

Reduced the position in large-cap equities, particularly large-cap value equities

Reduced the allocation to Japanese equities and increased the allocation to markets in Europe and Pacific markets other than Japan

In the two months since they were implemented, these new SAAs added value by producing higher returns than would have been achieved under the old SAAs.

The table on this page summarizes the asset classes and strategic allocations for 2006-2007 and for 2007-2008.

For all four funds, our major tactical decision was to overweight equities relative to the strategic allocation. This decision was positive for performance, as equity returns were significantly higher than bond returns. Also beneficial was an underweight in Japanese equities throughout the period; since the strategic allocations to Japanese equities were quite low, this tactical underweight took representation in Japan quite close to zero, and this was positive for performance, since Japan had one of the worst-performing stock markets in the world.

Within fixed income, we overweighted cash equivalents and underweighted bonds for most of the 12-month period. The contribution of that decision was negligible since returns on bonds and cash equivalents were quite similar. In the Conservative Allocation fund we underweighted short-term bonds and overweighted longer-term bonds. That positioning had a minimal impact on performance since the two bond categories had similar returns.

A: During the past year, the portfolios have had the potential to invest in approximately 50 different funds, providing exposure to multiple categories of US equities, international equities, commodities and a variety of fixed-income securities. Performance of each fund is compared with returns of indices of securities in the appropriate asset classes. Since these indices represent broad asset classes in which the managers of the DWS Allocation funds invest, they serve mainly as points of comparison for returns of asset classes within the portfolios (such as US equities or intermediate-term bonds), but they are not necessarily benchmarks against which the underlying funds are managed.

During the last year, we added several funds to the universe in which we can invest: DWS International Value Opportunities Fund; DWS RREEF Global Real Estate Securities Fund; DWS Disciplined Long/Short Value and Growth Funds and DWS Disciplined Market Neutral Fund, which are large-cap equity funds with the ability to take short positions; and two bond funds, DWS Short Duration Plus Fund and DWS Floating Rate Plus Fund. We also established an allocation to the DWS Emerging Markets Fixed Income Fund, which was previously included in the investable universe.

For the 12 months ending August 2007, performance of the underlying funds detracted from relative performance, although most funds had positive returns. Cash funds and international equity funds contributed to relative performance, outperforming their respective benchmarks. However, US large-cap and small-cap equity and bond funds underperformed their benchmarks and detracted from performance. The most significant negative contribution came from the US large-cap equity category.

A: We are pleased to report the positive results of our strategic and tactical asset allocation system over the last 12 months, as this provides evidence of the value of the proprietary process we use for asset allocation. We continue to believe that a rigorous approach to strategic and tactical asset allocation, combined with diligent risk management, offers investors the potential for superior risk-adjusted returns. We take a disciplined approach to adjusting allocations on a regular basis, while attempting to avoid excessive turnover. We believe that the investment processes we use, combining in-depth research with long-term forecasting, have the potential to add significant value.

We believe that ours is a much more forward-looking approach to asset allocation than the methods used by competing funds. As markets continue to evolve, we will review these strategic allocations annually and alter the asset mix as we deem appropriate and in the best interest of investors in DWS Allocation funds.

DWS Conservative Allocation Fund seeks current income and, as a secondary objective, long-term growth of capital. The portfolio's target allocation is 40% equity funds and 60% fixed-income funds. The managers have the flexibility to adjust this allocation within the following ranges: equity funds 25%-55%, fixed-income funds 45%-75%.

DWS Conservative Allocation Fund provided a total return of 7.90% (Class A shares) for the 12-month period ended August 31, 2007. (Returns are unadjusted for sales charges. If sales charges had been included, returns would have been lower. Past performance is no guarantee of future results. Please see pages 4 through 10 for the performance of other share classes and for more complete performance information.) This performance placed the fund in the 20th percentile of its peer group in the Lipper Mixed-Asset Target Allocation Conservative Funds category, which had an average return of 6.79%.

The portfolio's equity position was above the midpoint of its normal range of 25%-55% throughout the 12-month period. This tactical decision to overweight equities, with a corresponding underweight in bonds, contributed to performance, since equities significantly outperformed bonds.

Within the equity portion of the portfolio, performance benefited from the decision to underweight Japan, since Japan was the weakest of the major international markets.

In the fixed-income portion of the portfolio, an overweight in cash equivalents, with corresponding underweights in bonds throughout the period, had a minimal impact on performance, as bonds and cash equivalents had very similar returns. An underweight in short-term bonds balanced by an overweight in longer-term bonds also had a minimal impact on performance since the two bond categories had similar returns.

DWS Moderate Allocation Fund seeks a balance of current income and growth of capital. The portfolio's target allocation is 60% equity funds and 40% fixed-income funds. The managers have the flexibility to adjust this allocation within the following ranges: equity funds 45%-75%, fixed-income funds 25%-55%.

DWS Moderate Allocation Fund provided a total return of 9.78% (Class A shares) for 12-month period ended August 31, 2007. (Returns are unadjusted for sales charges. If sales charges had been included, returns would have been lower. Past performance is no guarantee of future results. Please see pages 11 through 17 for the performance of other share classes and for more complete performance information.) This performance placed the fund in the 54th percentile of its peer group in the Lipper Mixed-Asset Target Allocation Moderate Funds category, which had an average return of 10.18%.

The portfolio's equity position was above the midpoint of its normal range of 45%-75% throughout the 12-month period. This tactical overweight of equities was positive for performance, since equities significantly outperformed bonds. However, performance relative to the peer group was hurt by underperformance of the underlying equity funds. The most significant underperformance occurred in the US large-cap equity category.

Within the equity portion of the portfolio, performance benefited from the decision to underweight Japan, since Japan was the weakest of the major international markets. In addition, the international equity funds outperformed their benchmarks.

In the fixed-income portion of the portfolio, an overweight in cash equivalents, with corresponding underweights in bonds throughout the period, had a minimal impact on performance, as bonds and cash equivalents had very similar returns. Performance relative to the peer group was hurt by underperformance of the underlying bond funds. Good performance of the cash equivalent funds contributed to performance.

DWS Growth Allocation Fund seeks long-term growth of capital and, as a secondary objective, current income. The portfolio's target allocation is 75% equity funds and 25% fixed-income funds. The managers have the flexibility to adjust this allocation within the following ranges: equity funds 60%-90%, fixed-income funds 10%-40%.

DWS Growth Allocation Fund provided a total return of 11.33% (Class A shares) for the 12-month period ended August 31, 2007. (Returns are unadjusted for sales charges. If sales charges had been included, returns would have been lower. Past performance is no guarantee of future results. Please see pages 18 through 24 for the performance of other share classes and for more complete performance information.) This performance placed the fund in the 57th percentile of its peer group in the Lipper Mixed-Asset Target Allocation Growth Funds category, which had an average return of 12.09%.

The portfolio's equity position was above the midpoint of its normal range of 60%-90% throughout the 12-month period. This tactical overweight of equities was positive for performance, since equities significantly outperformed bonds. However, performance relative to the peer group was hurt by underperformance of the underlying equity funds. The most significant underperformance occurred in the US large-cap equity category.

In the fixed-income portion of the portfolio, an overweight in cash equivalents, with corresponding underweights in bonds throughout the period, had a minimal impact on performance, as bonds and cash equivalents had very similar returns. Performance relative to the peer group was hurt by underperformance of the underlying bond funds. Good performance of the cash equivalent funds contributed to performance.

DWS Growth Plus Allocation Fund seeks long-term growth of capital by investing primarily in equity mutual funds. While the target allocation is 100% equity funds, the managers may invest up to 30% of the portfolio in bond funds when bond market conditions suggest the potential for capital appreciation.

DWS Growth Plus Allocation Fund provided a total return of 13.17% (Class A shares) for the 12-month period ended August 31, 2007. (Returns are unadjusted for sales charges. If sales charges had been included, returns would have been lower. Past performance is no guarantee of future results. Please see pages 25 through 30 for the performance of other share classes and for more complete performance information.) This performance placed the fund in the 67th percentile of its peer group in the Lipper Multi-Cap Core Funds category, which had an average return of 14.86%.

The target allocation for this portfolio is 100% equity funds, although fixed-income funds may represent up to 30% of the total. Equity exposure was maintained near the maximum level throughout the period. This equity position was positive for performance, since equities significantly outperformed bonds. However, performance relative to the peer group was hurt by underperformance of the underlying equity funds. The most significant underperformance occurred in the US large-cap equity category.

For more complete details about the Fund's investment portfolio, see page 52. A quarterly Fact Sheet is available upon request. Information concerning portfolio holdings of the Fund as of month end will be posted to www.dws-scudder.com on or after the last day of the following month. In addition, the Fund's top ten holdings and other information about the Fund is posted on www.dws-scudder.com as of the calendar quarter-end on or after the 15th day following quarter-end. Please see the Account Management Resources section for contact information.

For more complete details about the Fund's investment portfolio, see page 54. A quarterly Fact Sheet is available upon request. Information concerning portfolio holdings of the Fund as of month end will be posted to www.dws-scudder.com on or after the last day of the following month. In addition, the Fund's top ten holdings and other information about the Fund is posted on www.dws-scudder.com as of the calendar quarter-end on or after the 15th day following quarter-end. Please see the Account Management Resources section for contact information.

For more complete details about the Fund's investment portfolio, see page 56. A quarterly Fact Sheet is available upon request. Information concerning portfolio holdings of the Fund as of month end will be posted to www.dws-scudder.com on or after the last day of the following month. In addition, the Fund's top ten holdings and other information about the Fund is posted on www.dws-scudder.com as of the calendar quarter-end on or after the 15th day following quarter-end. Please see the Account Management Resources section for contact information.

For more complete details about the Fund's investment portfolio, see page 58. A quarterly Fact Sheet is available upon request. Information concerning portfolio holdings of the Fund as of month end will be posted to www.dws-scudder.com on or after the last day of the following month. In addition, the Fund's top ten holdings and other information about the Fund is posted on www.dws-scudder.com as of the calendar quarter-end on or after the 15th day following quarter-end. Please see the Account Management Resources section for contact information.

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

During the year ended August 31, 2007, purchases and sales of mutual funds (excluding Cash Management QP Trust and money market funds) aggregated $43,098,071 and $25,029,033, respectively.

During the year ended August 31, 2007, purchases and sales of mutual funds (excluding Cash Management QP Trust and money market funds) aggregated $75,370,428 and $66,031,244, respectively.

During the year ended August 31, 2007, purchases and sales of mutual funds (excluding Cash Management QP Trust and money market funds) aggregated $70,458,873 and $68,190,743, respectively.

During the year ended August 31, 2007, purchases and sales of mutual funds (excluding Cash Management QP Trust and money market funds) aggregated $17,490,196 and $6,641,209, respectively.

DWS Conservative Allocation Fund, DWS Moderate Allocation Fund, DWS Growth Allocation Fund and DWS Growth Plus Allocation Fund are each a diversified series of DWS Allocation Series (the "Trust") which is registered under the Investment Company Act of 1940, as amended (the "1940 Act"), as an open-end management investment company organized as a Massachusetts business trust. The Funds invest mainly in other existing DWS funds (the "Underlying DWS Funds") and securities of non-affiliated investment management companies (e.g., Exchange Traded Funds). Each Underlying DWS Fund's accounting policies and investment holdings are outlined in the Underlying DWS Fund's financial statements and are available upon request.

Each Fund offers multiple classes of shares which provide investors with different purchase options. Class A shares are offered to investors subject to an initial sales charge. Class B shares are offered to investors without an initial sales charge but are subject to higher ongoing expenses than Class A shares and a contingent deferred sales charge payable upon certain redemptions. Class B shares automatically convert to Class A shares six years after issuance. Class C shares are offered to investors without an initial sales charge but are subject to higher ongoing expenses than Class A shares and a contingent deferred sales charge payable upon certain redemptions within one year of purchase. Class C shares do not convert into another class. Class S shares are not subject to initial or contingent deferred sales charges and are generally not available to new investors except under certain circumstances.

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

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

Security Valuation. Investments in the Underlying DWS Funds are valued at the net asset value per share of each class of the Underlying DWS Fund as of the close of regular trading on the New York Stock Exchange on each day the exchange is open for trading. Money market instruments purchased with an original or remaining maturity of sixty days or less, maturing at par, are valued at amortized cost.

In September 2006, the Financial Accounting Standards Board ("FASB") released Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" ("FAS 157"). FAS 157 defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. FAS 157 is effective for fiscal years beginning after November 15, 2007. As of August 31, 2007, management does not believe the adoption of FAS 157 will impact the amounts reported in the financial statements, however, additional disclosures will be required about the inputs used to develop the measurements of fair value and the effect of certain of the measurements reported in the statement of operations for a fiscal period.

Federal Income Taxes. Each Fund's policy is to comply with the requirements of the Internal Revenue Code, as amended, which are applicable to regulated investment companies, and to distribute all of its taxable income to its shareholders. Each Fund is treated as a single corporate taxpayer. Accordingly, the Funds paid no federal income taxes and no federal income tax provisions were required.

At August 31, 2007, DWS Conservative Allocation Fund had a net tax basis capital loss carryforward of approximately $3,267,000, which may be applied against any realized net taxable capital gains of each succeeding year until fully utilized or until August 31, 2012, the expiration date, whichever occurs first. During the year ended August 31, 2007, the Fund utilized approximately $4,962,000 of prior year capital loss carryforward.

At August 31, 2007, DWS Moderate Allocation Fund had a net tax basis capital loss carryforward of approximately $19,928,000, which may be applied against any realized net taxable capital gains of each succeeding year until fully utilized or until August 31, 2012 the expiration date, whichever occurs first. During the year ended August 31, 2007 the Fund utilized $12,564,997 of prior year capital loss carryforward.

At August 31, 2007, DWS Growth Allocation Fund had a net tax basis capital loss carryforward of approximately $16,829,000, which may be applied against any realized net taxable capital gains of each succeeding year until fully utilized or until August 31, 2012, the expiration date, whichever occurs first. During the year ended August 31, 2007, the Fund utilized $16,096,254 of prior year capital loss carryforward.

In July 2006, FASB issued Interpretation No. 48 ("FIN 48"), "Accounting for Uncertainty in Income Taxes — an interpretation of FASB Statement No. 109" (the "Interpretation"). The Interpretation establishes for each Fund a minimum threshold for financial statement recognition of the benefit of positions taken in filing tax returns (including whether each Fund is taxable in certain jurisdictions), and requires certain expanded tax disclosures. The Interpretation is effective for fiscal years beginning after December 15, 2006. On December 22, 2006, the SEC indicated that they would not object if a Fund implements FIN 48 in the first required financial statement reporting period for its fiscal year beginning after December 15, 2006. Management is evaluating the application of the Interpretation to each Fund and is not in a position at this time to estimate the significance of its impact, if any, on each Fund's financial statements.

Distribution of Income and Gains. Net investment income from DWS Conservative Allocation Fund and DWS Moderate Allocation Fund, if any, is declared and distributed to shareholders quarterly. Net investment income from DWS Growth Allocation Fund and DWS Growth Plus Allocation Fund, if any, is declared and distributed to shareholders annually. Net realized gains from investment transactions, in excess of available capital loss carryforwards, would be taxable to each Fund if not distributed, and, therefore, will be distributed to shareholders at least annually. An additional distribution may be made to the extent necessary to avoid payment of a four percent federal excise tax.

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

At August 31, 2007, DWS Conservative Allocation Fund's components of distributable earnings (accumulated losses) on a tax-basis are as follows:

In addition, during the years ended August 31, 2007 and August 31, 2006, the tax character of distributions paid to shareholders by DWS Conservative Allocation Fund is summarized as follows:

At August 31, 2007, DWS Moderate Allocation Fund's components of distributable earnings (accumulated losses) on a tax-basis are as follows:

In addition, during the years ended August 31, 2007 and August 31, 2006, the tax character of distributions paid to shareholders by DWS Moderate Allocation Fund is summarized as follows:

At August 31, 2007, DWS Growth Allocation Fund's components of distributable earnings (accumulated losses) on a tax-basis are as follows:

In addition, during the years ended August 31, 2007 and August 31, 2006, the tax character of distributions paid to shareholders by DWS Growth Allocation Fund is summarized as follows:

At August 31, 2007, DWS Growth Plus Allocation Fund's components of distributable earnings (accumulated losses) on a tax-basis are as follows:

In addition, during the years ended August 31, 2007 and August 31, 2006 the tax character of distributions paid to shareholders by DWS Growth Plus Allocation Fund is summarized as follows:

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

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

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

Management Agreement. Under the Investment Management Agreement with Deutsche Investment Management Americas Inc. ("DIMA" or the "Advisor"), an indirect, wholly owned subsidiary of Deutsche Bank AG, the Advisor directs the investments of each Fund in accordance with its investment objectives, policies and restrictions. The Advisor determines the securities, instruments and other contracts relating to investments in Underlying DWS Funds to be purchased, sold or entered into by each Fund. The Advisor has agreed not to be paid a management fee for performing its services for the Funds. However, the Advisor will receive management fees from managing the Underlying DWS Funds in which each Fund invests.

The Funds do not invest in the Underlying DWS Funds for the purpose of exercising management or control; however, investments within the set limits may represent 5% or more of an Underlying DWS Fund's net assets. At August 31, 2007, DWS Conservative Allocation Fund held the following Underlying DWS Funds' outstanding shares: approximately 6% of DWS Disciplined Long/Short Value Fund, 17% of DWS Floating Rate Plus Fund, 18% of DWS Inflation Protected Plus Fund and 6% of DWS International Value Opportunities Fund. At August 31, 2007, DWS Moderate Allocation Fund held the following Underlying DWS Funds' outstanding shares: approximately 5% of DWS Core Fixed Income Fund, 9% of DWS Disciplined Long/Short Value Fund, 12% of DWS Floating Rate Plus Fund, 15% of DWS International Value Opportunities Fund, 30% of DWS Inflation Protected Plus Fund and 9% of DWS Small Cap Core Fund. At August 31, 2007, DWS Growth Allocation Fund held the following Underlying DWS Funds' outstanding shares: approximately 7% of DWS Disciplined Long/Short Value Fund, 10% of DWS Inflation Protected Plus Fund, 15% of DWS International Value Opportunities Fund and 10% of DWS Small Cap Core Fund. At August 31, 2007, DWS Growth Plus Allocation Fund held the following Underlying DWS Funds' outstanding shares: approximately 5% of DWS Disciplined Long/Short Value Fund and 5% of DWS International Value Opportunities Fund.

For the period from September 1, 2006 through December 31, 2006, the Advisor had contractually agreed to reimburse or pay certain operating expenses to the extent necessary to maintain DWS Conservative Allocation Fund's, DWS Moderate Allocation Fund's and DWS Growth Allocation Fund's operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage, interest, organizational and offering expenses and indirect expenses of Underlying DWS Funds) as a percentage of average daily net assets as follows:

For the period from September 1, 2006, through September 30, 2007, the Advisor has contractually agreed to reimburse or pay certain operating expenses to the extent necessary to maintain DWS Growth Plus Allocation Fund's operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage, proxy, interest, and indirect expenses of Underlying DWS Funds) as a percentage of average daily net assets as follows:

Effective January 1, 2007, through December 14, 2007, the Advisor has contractually agreed to reimburse or pay certain operating expenses to the extent necessary to maintain DWS Conservative Allocation Fund's, DWS Moderate Allocation Fund's and DWS Growth Allocation Fund's operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage, proxy, interest, organizational and offering expenses and indirect expenses of Underlying DWS Funds) as a percentage of average daily net assets as follows:

Each Fund will continue to indirectly bear its proportionate share of fees and expenses incurred by the Underlying DWS Funds in which it is invested.

For the year ended August 31, 2007, the Advisor has agreed to reimburse DWS Growth Plus Allocation Fund an additional $46,362 for expenses.

Administration Fee. Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Funds. For all services provided under the Administrative Services Agreement, the Funds pay the Advisor an annual fee ("Administration Fee") of 0.10% of each Funds' average daily net assets or $50,000 minimum per year, whichever is greater, computed and accrued daily and payable monthly. For the year ended August 31, 2007, DIMA received an Administration Fee for each Fund as follows:

Service Provider Fees. DWS Scudder Investments Service Company ("DWS-SISC"), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Funds. Prior to April 1, 2007, DWS Scudder Service Corporation ("DWS-SSC"), an affiliate of the Advisor, was the transfer agent, dividend-paying agent and shareholder service agent for Class S shares of the Funds. Effective April 1, 2007, DWS-SSC merged with DWS-SISC. The Board of the Funds approved a new transfer agency agreement between the Funds and DWS-SISC. The new transfer agency agreement is identical in substance to the previous transfer agency agreement for the Funds, except for the named transfer agent. Pursuant to a sub-transfer agency agreement among DWS-SISC, DWS-SSC (through March 31, 2007) and DST Systems, Inc. ("DST"), DWS-SISC and DWS-SSC have delegated certain transfer agent and dividend paying agent functions to DST. DWS-SISC and DWS-SSC compensate DST out of the shareholder servicing fee they receive from the Funds. For the year ended August 31, 2007, the amounts charged to the Funds by DWS-SISC and DWS-SSC (through March 31, 2007) were as follows:

Distribution Service Agreement. Under the Distribution Service Agreement, in accordance with Rule 12b-1 under the 1940 Act, DWS Scudder Distributors, Inc. ("DWS-SDI"), an affiliate of the Advisor, receives a fee ("Distribution Fee") of 0.75% of average daily net assets of Class B and C shares. Pursuant to the agreement, DWS-SDI enters into related selling group agreements with various firms at various rates for sales of Class B and C shares. For the year ended August 31, 2007, the Distribution Fees were as follows:

In addition, DWS-SDI provides information and administrative services for a fee ("Service Fee") to Classes A, B and C shareholders at an annual rate of up to 0.25% of average daily net assets for each such class. DWS-SDI in turn has various agreements with financial services firms that provide these services and pays these fees based upon the assets of shareholder accounts the firms service. For the year ended August 31, 2007, the Service Fees were as follows:

Underwriting Agreement and Contingent Deferred Sales Charge. DWS-SDI is the principal underwriter for the Funds. Underwriting commissions paid in connection with the distribution of Class A shares for the year ended August 31, 2007 for DWS Conservative Allocation Fund, DWS Moderate Allocation Fund, DWS Growth Allocation Fund and DWS Growth Plus Allocation Fund aggregated $12,251, $35,802, $39,373 and $20,016, respectively.

In addition, DWS-SDI receives any contingent deferred sales charge ("CDSC") from Class B share redemptions occurring within six years of purchase and Class C share redemptions occurring within one year of purchase. There is no such charge upon redemption of any share appreciation or reinvested dividends. The CDSC is based on declining rates, ranging from 4% to 1% for Class B and 1% for Class C, of the value of the shares redeemed. For the year ended August 31, 2007, the CDSC for Class B and Class C shares aggregated $23,988, $46,078, $61,005 and $9,591, respectively, for DWS Conservative Allocation Fund, DWS Moderate Allocation Fund, DWS Growth Allocation Fund and DWS Growth Plus Allocation Fund. A deferred sales charge of up to 1% is assessed on certain redemptions of Class A shares. For the year ended August 31, 2007 DWS-SDI received $19, $226 and $133 for Class A shares of DWS Conservative Allocation Fund, DWS Growth Allocation Fund and DWS Growth Plus Allocation Fund.

Typesetting and Filing Service Fees. Under an agreement with DIMA, DIMA is compensated for providing typesetting and certain regulatory filing services to the Funds. For the year ended August 31, 2007, the amount charged to the Funds by DIMA included the Statement of Operations under "reports to shareholders" were as follows:

Trustees' Fees and Expenses. As compensation for his or her services, each Independent Trustee receives an aggregated annual fee, plus a fee for each meeting attended (plus reimbursement for reasonable out-of-pocket expenses incurred in connection with his or her attendance at board and committee meetings) from each fund in the Fund Complex for which he or she serves. In addition, the Chairperson of the Board and the Chairperson of each committee of the Board receive additional compensation for their services. Payment of such fees and expenses is allocated among all such funds described above in direct proportion to their relative net assets.

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

The Funds and other affiliated funds (the "Participants") share in a $750 million revolving credit facility administered by JPMorgan Chase Bank, N.A. for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities. The Participants are charged an annual commitment fee which is allocated, based upon net assets, among each of the Participants. Interest is calculated at the Federal Funds Rate plus 0.35 percent. Each Fund may borrow up to a maximum of 33 percent of its net assets under the agreement.

Regulatory Settlements. On December 21, 2006, Deutsche Asset Management ("DeAM") settled proceedings with the Securities and Exchange Commission ("SEC") and the New York Attorney General on behalf of Deutsche Asset Management, Inc. ("DAMI") and Deutsche Investment Management Americas Inc. ("DIMA"), the investment advisors to many of the DWS Scudder funds, regarding allegations of improper trading of fund shares at DeAM and at the legacy Scudder and Kemper organizations prior to their acquisition by DeAM in April 2002. These regulators alleged that although the prospectuses for certain funds in the regulators' view indicated that the funds did not permit market timing, DAMI and DIMA breached their fiduciary duty to those funds in that their efforts to limit trading activity in the funds were not effective at certain times. The regulators also alleged that DAMI and DIMA breached their fiduciary duty to certain funds by entering into certain market timing arrangements with investors. These trading arrangements originated in businesses that existed prior to the currently constituted DeAM organization, which came together as a result of various mergers of the legacy Scudder, Kemper and Deutsche fund groups, and all of the arrangements were terminated prior to the start of the regulatory investigations that began in the summer of 2003. No current DeAM employee approved these trading arrangements. Under the terms of the settlements, DAMI and DIMA neither admitted nor denied any wrongdoing.

The terms of the SEC settlement, which identified improper trading in the legacy Deutsche and Kemper mutual funds only, provide for payment of disgorgement in the amount of $17.2 million. The terms of the settlement with the New York Attorney General provide for payment of disgorgement in the amount of $102.3 million, which is inclusive of the amount payable under the SEC settlement, plus a civil penalty in the amount of $20 million. The total amount payable by DeAM, approximately $122.3 million, would be distributed in accordance with a distribution plan to be developed by a distribution consultant. The funds' investment advisors do not believe these amounts will have a material adverse financial impact on them or materially affect their ability to perform under their investment management agreements with the DWS funds. The above-described amounts are not material to Deutsche Bank, and have already been reserved.

Among the terms of the settled orders, DeAM is subject to certain undertakings regarding the conduct of its business in the future, including: formation of a Code of Ethics Oversight Committee to oversee all matters relating to issues arising under the advisors' Code of Ethics; establishment of an Internal Compliance Controls Committee having overall compliance oversight responsibility of the advisors; engagement of an Independent Compliance Consultant to conduct a comprehensive review of the advisors' supervisory compliance and other policies and procedures designed to prevent and detect breaches of fiduciary duty, breaches of the Code of Ethics and federal securities law violations by the advisors and their employees; and commencing in 2008, the advisors shall undergo a compliance review by an independent third party.

In addition, DeAM is subject to certain further undertakings relating to the governance of the mutual funds, including that: at least 75% of the members of the Boards of Trustees/Directors overseeing the DWS Funds continue to be independent of DeAM; the Chairmen of the DWS Funds' Boards of Trustees/Directors continue to be independent of DeAM; DeAM maintain existing management fee reductions for certain funds for a period of five years and not increase management fees for these certain funds during this period; the funds retain a senior officer (or independent consultants, as applicable) responsible for assisting in the review of fee arrangements and monitoring compliance by the funds and the investment advisors with securities laws, fiduciary duties, codes of ethics and other compliance policies, the expense of which shall be borne by DeAM; and periodic account statements, fund prospectuses and the mutual funds' web site contain additional disclosure and/or tools that assist investors in understanding the fees and costs associated with an investment in the funds and the impact of fees and expenses on fund returns.

DeAM has also settled proceedings with the Illinois Secretary of State regarding market timing matters. The terms of the Illinois settlement provide for investor education contributions totaling approximately $4 million and a payment in the amount of $2 million to the Securities Audit and Enforcement Fund.

On September 28, 2006, the SEC and the National Association of Securities Dealers ("NASD") announced final agreements in which Deutsche Investment Management Americas Inc. ("DIMA"), Deutsche Asset Management, Inc. ("DAMI") and Scudder Distributors, Inc. ("SDI") (now known as DWS Scudder Distributors, Inc.) settled administrative proceedings regarding disclosure of brokerage allocation practices in connection with sales of the Scudder Funds' (now known as the DWS Scudder Funds) shares during 2001-2003. The agreements with the SEC and NASD are reflected in orders which state, among other things, that DIMA and DAMI failed to disclose potential conflicts of interest to the fund Boards and to shareholders relating to SDI's use of certain funds' brokerage commissions to reduce revenue sharing costs to broker-dealer firms with whom it had arrangements to market and distribute Scudder Fund shares. These directed brokerage practices were discontinued in October 2003.

Under the terms of the settlements, in which DIMA, DAMI and SDI neither admitted nor denied any of the regulators' findings, DIMA, DAMI and SDI agreed to pay disgorgement, prejudgment interest and civil penalties in the total amount of $19.3 million. The portion of the settlements distributed to the funds was approximately $17.8 million and was paid to the funds as prescribed by the settlement orders based upon the amount of brokerage commissions from each fund used to satisfy revenue sharing agreements with broker-dealers who sold fund shares. Based on the prescribed settlement order, the Funds were not entitled to a portion of the settlement.

As part of the settlements, DIMA, DAMI and SDI also agreed to implement certain measures and undertakings relating to revenue sharing payments including making additional disclosures in the fund Prospectuses or Statements of Additional Information, adopting or modifying relevant policies and procedures and providing regular reporting to the fund Boards.

Private Litigation Matters. The matters alleged in the regulatory settlements described above also serve as the general basis of a number of private class action lawsuits involving the DWS funds. These lawsuits name as defendants various persons, including certain DWS funds, the funds' investment advisors and their affiliates, and certain individuals, including in some cases fund Trustees/Directors, officers, and other parties. Each DWS fund's investment advisor has agreed to indemnify the applicable DWS funds in connection with these lawsuits, or other lawsuits or regulatory actions that may be filed making similar allegations.

Based on currently available information, the funds' investment advisors believe the likelihood that the pending lawsuits will have a material adverse financial impact on a DWS fund is remote and such actions are not likely to materially affect their ability to perform under their investment management agreements with the DWS funds.

On July 31, 2007, the Board of Directors of the DWS Allocation Series approved a name change, pursuant to which, effective November 1, 2007, the Trust currently known as DWS Allocation Series will be renamed DWS Target Date Series.

In connection with these changes, the Board has also approved a change to the investment objective and investment strategies of the Funds such that each Fund (except the DWS LifeCompass Retirement Fund) will be managed as a target date fund. As a Fund approaches its target year, the Fund will decrease its emphasis on growth of capital and increase its emphasis on current income and the Fund's target asset allocation will approach that of the DWS LifeCompass Retirement Fund. The change to the Funds' investment objectives and investment strategies will take effect on November 1, 2007.

To the Trustees of DWS Allocation Series and the Shareholders of DWS Conservative Allocation Fund, DWS Moderate Allocation Fund, DWS Growth Allocation Fund and DWS Growth Plus Allocation Fund:

In our opinion, the accompanying statements of assets and liabilities, including the investment portfolios, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of DWS Conservative Allocation Fund, DWS Moderate Allocation Fund, DWS Growth Allocation Fund and DWS Growth Plus Allocation Fund, respectively (the four funds constituting DWS Allocation Series) (the "Trust") at August 31, 2007 and the results of each of their operations, the changes in each of their net assets and the financial highlights for each of the periods indicated therein, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Trusts' management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at August 31, 2007 by correspondence with the custodian and transfer agent, provide a reasonable basis for our opinion.

For federal income tax purposes, DWS Conservative Allocation Fund, DWS Moderate Allocation Fund, DWS Growth Allocation Fund and DWS Growth Plus Allocation Fund designate $5,120,000, $11,230,000, $11,628,000 and $1,027,000, respectively, or the maximum amount allowable under tax law, as qualified dividend income.

The DWS Growth Plus Allocation Fund paid distributions of $0.22 per share from net long-term capital gains during its year ended August 31, 2007, of which 100% represents 15% rate gains.

Pursuant to Section 852 of the Internal Revenue Code, the DWS Growth Plus Allocation Fund designates $1,605,000, as capital gain dividends for its fiscal year ended August 31, 2007, of which 100% represents 15% rate gains.

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

The following table presents certain information regarding the Board Members and Officers of the Trust as of August 31, 2007. Each Board Member's year of birth is set forth in parentheses after his or her name. Unless otherwise noted, (i) each Board Member has engaged in the principal occupation(s) noted in the table for at least the most recent five years, although not necessarily in the same capacity; and (ii) the address of each Independent Board Member is c/o Dawn-Marie Driscoll, PO Box 100176, Cape Coral, FL 33904. The term of office for each Board Member is until the election and qualification of a successor, or until such Board Member sooner dies, resigns, is removed or as otherwise provided in the governing documents of the fund. Because the fund does not hold an annual meeting of shareholders, each Board Member will hold office for an indeterminate period. The Board Members may also serve in similar capacities with other funds in the fund complex.

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

ITEM 2.	CODE OF ETHICS

	As of the end of the period, August 31, 2007, DWS Allocation Series has a code of ethics, as defined in Item 2 of Form N-CSR, that applies to its Principal Executive Officer and Principal Financial Officer. There have been no amendments to, or waivers from, a provision of the code of ethics during the period covered by this report that would require disclosure under Item 2. A copy of the code of ethics is filed as an exhibit to this Form N-CSR.

ITEM 3.	AUDIT COMMITTEE FINANCIAL EXPERT

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

ITEM 4.	PRINCIPAL ACCOUNTANT FEES AND SERVICES

DWS MODERATE ALLOCATION FUND

FORM N-CSR DISCLOSURE RE: AUDIT FEES

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

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

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

Fiscal Year Ended August 31,	Audit Fees Billed to Fund	Audit-Related Fees Billed to Fund	Tax Fees Billed to Fund	All Other Fees Billed to Fund
2007	$38,000	$0	$0	$0
2006	$34,400	$128	$0	$0

The above “Audit- Related Fees” were billed for agreed upon procedures performed.

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

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

Fiscal Year August 31,	Audit-Related Fees Billedto Adviser and Affiliated Fund Service Providers	Tax Fees Billed to Adviser and Affiliated Fund Service Providers	All Other Fees Billed to Adviser and Affiliated Fund Service Providers
2007	$98,500	$25,000	$0
2006	$115,500	$73,180	$0

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

Non-Audit Services

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

Fiscal Year
Ended
August 31,

Total
Non-Audit Fees Billed to Fund

(A)

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

(B)

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

(C)

Total of (A), (B)

and (C)

2007

$25,000

2006

$73,180

$15,000

$88,180

All other engagement fees were billed for services in connection with industry updates for DeIM and other related entities that provide support for the operations of the fund.

DWS CONSERVATIVE ALLOCATION FUND

FORM N-CSR DISCLOSURE RE: AUDIT FEES

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

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

Fiscal Year Ended August 31,	Audit Fees Billed to Fund	Audit-Related Fees Billed to Fund	Tax Fees Billed to Fund	All Other Fees Billed to Fund
2007	$38,000	$0	$0	$0
2006	$34,400	$128	$0	$0

The above “Audit- Related Fees” were billed for agreed upon procedures performed.

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

Fiscal Year August 31,	Audit-Related Fees Billedto Adviser and Affiliated Fund Service Providers	Tax Fees Billed to Adviser and Affiliated Fund Service Providers	All Other Fees Billed to Adviser and Affiliated Fund Service Providers
2007	$98,500	$25,000	$0
2006	$115,500	$73,180	$0

Non-Audit Services

Fiscal Year
Ended
August 31,

Total
Non-Audit Fees Billed to Fund

(A)

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

(B)

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

(C)

Total of (A), (B)

and (C)

2007

$25,000

2006

$73,180

$15,000

$88,180

All other engagement fees were billed for services in connection with industry updates for DeIM and other related entities that provide support for the operations of the fund.

DWS GROWTH ALLOCATION FUND

FORM N-CSR DISCLOSURE RE: AUDIT FEES

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

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

Fiscal Year Ended August 31,	Audit Fees Billed to Fund	Audit-Related Fees Billed to Fund	Tax Fees Billed to Fund	All Other Fees Billed to Fund
2007	$38,000	$0	$0	$0
2006	$34,400	$128	$0	$0

The above “Audit- Related Fees” were billed for agreed upon procedures performed.

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

Fiscal Year August 31,	Audit-Related Fees Billedto Adviser and Affiliated Fund Service Providers	Tax Fees Billed to Adviser and Affiliated Fund Service Providers	All Other Fees Billed to Adviser and Affiliated Fund Service Providers
2007	$98,500	$25,000	$0
2006	$115,500	$73,180	$0

Non-Audit Services

Fiscal Year
Ended
August 31,

Total
Non-Audit Fees Billed to Fund

(A)

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

(B)

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

(C)

Total of (A), (B)

and (C)

2007

$25,000

2006

$73,180

$15,000

$88,180

All other engagement fees were billed for services in connection with industry updates for DeIM and other related entities that provide support for the operations of the fund.

DWS GROWTH PLUS ALLOCATION FUND

FORM N-CSR DISCLOSURE RE: AUDIT FEES

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

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

Fiscal Year Ended August 31,	Audit Fees Billed to Fund	Audit-Related Fees Billed to Fund	Tax Fees Billed to Fund	All Other Fees Billed to Fund
2007	$38,000	$0	$0	$0
2006	$34,400	$128	$0	$0

The above “Audit- Related Fees” were billed for agreed upon procedures performed.

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

Fiscal Year August 31,	Audit-Related Fees Billedto Adviser and Affiliated Fund Service Providers	Tax Fees Billed to Adviser and Affiliated Fund Service Providers	All Other Fees Billed to Adviser and Affiliated Fund Service Providers
2007	$98,500	$25,000	$0
2006	$115,500	$73,180	$0

Non-Audit Services

Fiscal Year
Ended
August 31,

Total
Non-Audit Fees Billed to Fund

(A)

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

(B)

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

(C)

Total of (A), (B)

and (C)

2007

$25,000

2006

$73,180

$15,000

$88,180

All other engagement fees were billed for services in connection with industry updates for DeIM and other related entities that provide support for the operations of the fund.


ITEM 5.	AUDIT COMMITTEE OF LISTED REGISTRANTS

	Not Applicable

ITEM 6.	SCHEDULE OF INVESTMENTS

	Not Applicable

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

	Not applicable.

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

	Not applicable.

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

	Not Applicable.

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

	The Committee on Independent Trustees/Directors selects and nominates Independent Trustees/Directors. Fund shareholders may submit nominees that will be considered by the committee when a Board vacancy occurs. Submissions should be mailed to: c/o Dawn-Marie Driscoll, PO Box 100176, Cape Coral, FL 33910.

ITEM 11.	CONTROLS AND PROCEDURES

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


	(b) There have been no changes in the registrant’s internal control over financial reporting that occurred during the registrant’s last half-year (the registrant’s second fiscal half-year in the case of the annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal controls over financial reporting.

ITEM 12.	EXHIBITS

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

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

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

Average Annual Total Returns (Unadjusted for Sales Charge) as of 8/31/07
DWS Conservative Allocation Fund	1-Year	3-Year	5-Year	10-Year
Class A	7.90%	7.52%	7.41%	4.14%
Class B	7.16%	6.75%	6.59%	3.38%
Class C	7.26%	6.79%	6.62%	3.38%
Russell^® 1000 Index⁺	15.27%	12.83%	12.53%	7.03%
Russell^® 2000 Index⁺⁺	11.36%	14.45%	16.60%	7.80%
Lehman Brothers Intermediate U.S. Aggregate Index⁺⁺⁺	5.33%	3.59%	4.06%	5.81%

Net Asset Value and Distribution Information
	Class A	Class B	Class C
Net Asset Value: 8/31/07	$ 12.51	$ 12.52	$ 12.52
8/31/06	$ 12.16	$ 12.16	$ 12.16
Distribution Information: Twelve Months as of 8/31/07: Income Dividends	$ .60	$ .50	$ .50

Comparative Results (Adjusted for Maximum Sales Charge) as of 8/31/07
DWS Conservative Allocation Fund		1-Year	3-Year	5-Year	10-Year
Class A	Growth of $10,000	$10,169	$11,717	$13,471	$14,140
Class A	Average annual total return	1.69%	5.42%	6.14%	3.52%
Class B	Growth of $10,000	$10,416	$11,964	$13,661	$13,941
Class B	Average annual total return	4.16%	6.16%	6.44%	3.38%
Class C	Growth of $10,000	$10,726	$12,179	$13,778	$13,945
Class C	Average annual total return	7.26%	6.79%	6.62%	3.38%

Comparative Results as of 8/31/07
DWS Conservative Allocation Fund		1-Year	3-Year	5-Year	10-Year
Russell 1000 Index⁺	Growth of $10,000	$11,527	$14,363	$18,046	$19,730
Russell 1000 Index⁺	Average annual total return	15.27%	12.83%	12.53%	7.03%
Russell 2000 Index⁺⁺	Growth of $10,000	$11,136	$14,992	$21,549	$21,185
Russell 2000 Index⁺⁺	Average annual total return	11.36%	14.45%	16.60%	7.80%
Lehman Brothers Intermediate U.S. Aggregate Index⁺⁺⁺	Growth of $10,000	$10,533	$11,115	$12,201	$17,590
Lehman Brothers Intermediate U.S. Aggregate Index⁺⁺⁺	Average annual total return	5.33%	3.59%	4.06%	5.81%

Class A Lipper Rankings — Mixed-Asset Target Allocation Conservative Funds Category as of 8/31/07
Period	Rank		Number of Funds Tracked	Percentile Ranking (%)
1-Year	105	of	395	27
3-Year	40	of	246	17
5-Year	44	of	131	34

Average Annual Total Returns as of 8/31/07
DWS Conservative Allocation Fund	1-Year	3-Year	5-Year	10-Year
Class S	8.18%	7.80%	7.67%	4.40%
Russell 1000 Index⁺	15.27%	12.83%	12.53%	7.03%
Russell 2000 Index⁺⁺	11.36%	14.45%	16.60%	7.80%
Lehman Brothers Intermediate U.S. Aggregate Index⁺⁺⁺	5.33%	3.59%	4.06%	5.81%

Class S Lipper Rankings — Mixed-Asset Target Allocation Conservative Funds Category as of 8/31/07
Period	Rank		Number of Funds Tracked	Percentile Ranking (%)
1-Year	79	of	395	20
3-Year	24	of	246	10
5-Year	35	of	131	27
10-Year	47	of	52	89

Class A Lipper Rankings — Multi-Cap Core Funds Category as of 8/31/07
Period	Rank		Number of Funds Tracked	Percentile Ranking (%)
1-Year	609	of	856	72

Class S Lipper Rankings — Multi-Cap Core Funds Category as of 8/31/07
Period	Rank		Number of Funds Tracked	Percentile Ranking (%)
1-Year	569	of	856	67

Direct Fund Expenses and Value of a $1,000 Investment for the six months ended August 31, 2007
Actual Fund Return	Class A	Class B	Class C	Class S
Beginning Account Value 3/1/07	$ 1,000.00	$ 1,000.00	$ 1,000.00	$ 1,000.00
Ending Account Value 8/31/07	$ 1,022.40	$ 1,018.50	$ 1,019.40	$ 1,023.70
Expenses Paid per $1,000*	$ 3.31	$ 6.82	$ 6.46	$ 2.09
Hypothetical 5% Fund Return	Class A	Class B	Class C	Class S
Beginning Account Value 3/1/07	$ 1,000.00	$ 1,000.00	$ 1,000.00	$ 1,000.00
Ending Account Value 8/31/07	$ 1,021.93	$ 1,018.45	$ 1,018.80	$ 1,023.14
Expenses Paid per $1,000*	$ 3.31	$ 6.82	$ 6.46	$ 2.09

Direct Fund Expenses and Acquired Funds (Underlying Funds) Fees and Expenses and Value of a $1,000 Investment for the six months ended August 31, 2007
Actual Fund Return	Class A	Class B	Class C	Class S
Beginning Account Value 3/1/07	$ 1,000.00	$ 1,000.00	$ 1,000.00	$ 1,000.00
Ending Account Value 8/31/07	$ 1,022.40	$ 1,018.50	$ 1,019.40	$ 1,023.70
Expenses Paid per $1,000**	$ 6.07	$ 9.56	$ 9.21	$ 4.85
Hypothetical 5% Fund Return	Class A	Class B	Class C	Class S
Beginning Account Value 3/1/07	$ 1,000.00	$ 1,000.00	$ 1,000.00	$ 1,000.00
Ending Account Value 8/31/07	$ 1,019.21	$ 1,015.73	$ 1,016.08	$ 1,020.42
Expenses Paid per $1,000**	$ 6.06	$ 9.55	$ 9.20	$ 4.84

Annualized Expense Ratios	Class A	Class B	Class C	Class S
Direct Fund Expense Ratios	.65%	1.34%	1.27%	.41%
Acquired Funds (Underlying Funds) Fees and Expenses	.54%	.54%	.54%	.54%
Net Annual Fund and Acquired Funds (Underlying Funds) Operating Expenses	1.19%	1.88%	1.81%	.95%


	DWS Conservative Allocation Fund		DWS Moderate Allocation Fund		DWS Growth Allocation Fund		DWS Growth Plus Allocation Fund
	2007- 2008	2006- 2007	2007- 2008	2006- 2007	2007- 2008	2006- 2007	2007- 2008	2006- 2007
Russell 1000 Growth	13%	14%	20%	20%	24%	25%	33%	33%
Russell 1000 Value	15%	16%	22%	24%	28%	29%	36%	40%
Russell 2000 Growth	2%	1%	3%	2%	3%	2%	5%	3%
Russell 2000 Value	3%	3%	4%	5%	5%	6%	7%	9%
MSCI Canada	0%	0%	0%	0%	1%	0%	1%	0%
MSCI Japan	1%	1%	1%	2%	2%	3%	2%	3%
MSCI Pacific ex Japan	1%	1%	1%	1%	2%	1%	2%	1%
MSCI Europe	0%	4%	0%	5%	0%	8%	0%	9%
MSCI Europe ex UK	3%	0%	5%	0%	6%	0%	8%	0%
MSCI UK	1%	0%	2%	0%	2%	0%	3%	0%
MSCI EMF NET	0%	0%	1%	1%	1%	1%	2%	2%
Goldman Sachs Commodity	1%	1%	1%	1%	1%	1%	1%	0%
Lehman Brothers U.S. Aggregate Index	0%	0%	25%	27%	15%	18%	0%	0%
Lehman Brothers Intermediate U.S. Aggregate Bond	35%	35%	0%	0%	0%	0%	0%	0%
CSFB High Yield	3%	4%	3%	3%	1%	1%	0%	0%
Lehman US TIPS¹²	4%	5%	3%	4%	1%	0%	0%	0%
SB World Govt Bond ex US-HGD¹³	2%	0%	1%	0%	1%	0%	0%	0%
JPM EMBI¹⁴	1%	0%	1%	0%	1%	0%	0%	0%
3 month T Bill	15%	15%	7%	5%	6%	5%	0%	0%
Total	100%	100%	100%	100%	100%	100%	100%	100%

Asset Allocation	8/31/07	8/31/06

Fixed Income — Money Market	13%	21%
Fixed Income — Bonds	46%	37%
Equity	41%	42%
	100%	100%

Asset Class Ranges	8/31/07	8/31/06

Fixed Income Funds	45-75%	45-75%
Equity Funds	25-55%	25-55%

	Shares	Value ($)

Equity Funds 41.2%
DWS Blue Chip Fund "Institutional"	88,793	1,950,783
DWS Capital Growth Fund "Institutional"	367	19,964
DWS Commodity Securities Fund "Institutional"	111,810	1,454,644
DWS Communications Fund "Institutional"	5,902	155,212
DWS Disciplined Long/Short Value Fund "Institutional"	94,378	964,544
DWS Dreman Concentrated Value Fund "Institutional"	52,886	663,715
DWS Dreman High Return Equity Fund "Institutional"	24,758	1,283,964
DWS Dreman Mid Cap Value Fund "Institutional"	29,664	377,915
DWS Dreman Small Cap Value Fund "Institutional"	7,203	284,754
DWS Equity 500 Index Fund "Institutional"	110,532	18,505,290
DWS Equity Partners Fund "Institutional"	138,339	4,444,846
DWS Europe Equity Fund "Institutional"	128,016	5,184,650
DWS Global Thematic Fund "S"	81,889	2,925,903
DWS Growth & Income Fund "Institutional"	129,635	2,880,483
DWS Health Care Fund "Institutional"	34,034	928,448
DWS International Fund "Institutional"	7,018	472,616
DWS International Select Equity Fund "Institutional"	40,816	521,628
DWS International Value Opportunities Fund "Institutional"	93,036	1,142,481
DWS Japan Equity Fund "S"	1,011	15,089
DWS Large Cap Value Fund "Institutional"	282,820	6,654,743
DWS Large Company Growth Fund "Institutional"	62,120	1,826,315
DWS Micro Cap Fund "Institutional"	13,985	285,440
DWS RREEF Global Real Estate Securities Fund "Institutional"	64,260	744,125
DWS RREEF Real Estate Securities Fund "Institutional"	24,753	603,487
DWS Small Cap Core Fund "S"	165,821	3,664,646
DWS Small Cap Growth Fund "Institutional"	34,689	902,619
DWS Small Cap Value Fund "S"	98,778	2,240,281
DWS Technology Fund "Institutional"	69,894	933,088
Total Equity Funds (Cost $54,374,817)		62,031,673

Fixed Income — Bond Funds 46.0%
DWS Core Fixed Income Fund "Institutional"	4,481,334	47,546,951
DWS Core Plus Income Fund "Institutional"	152	1,884
DWS Emerging Markets Fixed Income Fund "S"	124,836	1,479,307
DWS Floating Rate Plus Fund "Institutional"	494,808	4,764,998
DWS Global Bond Fund "S"	116,978	1,137,023
DWS GNMA Fund "S"	130,334	1,895,050
DWS High Income Fund "Institutional"	581,510	3,006,407
DWS High Income Plus Fund "Institutional"	206,490	1,528,029
DWS Inflation Protected Plus Fund "Institutional"	612,574	6,027,729
DWS Short Duration Fund "Institutional"	680	6,728
DWS Short Duration Plus Fund "S"	189,924	1,874,546
Total Fixed Income — Bond Funds (Cost $69,964,968)		69,268,652

Fixed Income — Money Market Funds 12.9%
Cash Management QP Trust	19,321,463	19,321,463
DWS Money Market Prime Series	7,712	7,712
DWS Money Market Series "Institutional"	18,937	18,937
Total Fixed Income — Money Market Funds (Cost $19,348,112)		19,348,112

	% of Net Assets	Value ($)

Total Investment Portfolio (Cost $143,687,897)⁺	100.1	150,648,437
Other Assets and Liabilities, Net	(0.1)	(161,813)
Net Assets	100.0	150,486,624

	Shares	Value ($)

Equity Funds 62.0%
DWS Blue Chip Fund "Institutional"	499,332	10,970,334
DWS Capital Growth Fund "Institutional"	675	36,756
DWS Commodity Securities Fund "Institutional"	245,356	3,192,088
DWS Communications Fund "Institutional"	34,569	909,158
DWS Disciplined Long/Short Value Fund "Institutional"	126,905	1,296,968
DWS Dreman Concentrated Value Fund "Institutional"	136,141	1,708,575
DWS Dreman High Return Equity Fund "Institutional"	64,601	3,350,220
DWS Dreman Mid Cap Value Fund "Institutional"	270,139	3,441,572
DWS Dreman Small Cap Value Fund "Institutional"	7,227	285,700
DWS Emerging Markets Equity Fund "S"	124,471	3,211,341
DWS Enhanced S&P 500 Index Fund "S"	190,048	2,653,069
DWS Equity 500 Index Fund "Institutional"	355,604	59,535,256
DWS Equity Partners Fund "Institutional"	370,195	11,894,352
DWS Europe Equity Fund "Institutional"	450,019	18,225,767
DWS Global Thematic Fund "S"	204,409	7,303,520
DWS Growth & Income Fund "Institutional"	504,401	11,207,788
DWS Health Care Fund "Institutional"	90,087	2,457,578
DWS International Fund "Institutional"	32,034	2,157,166
DWS International Select Equity Fund "Institutional"	164,716	2,105,076
DWS International Value Opportunities Fund "Institutional"	255,253	3,134,509
DWS Japan Equity Fund "S"	3,987	59,524
DWS Large Cap Value Fund "Institutional"	823,497	19,376,886
DWS Large Company Growth Fund "Institutional"	199,172	5,855,671
DWS Micro Cap Fund "Institutional"	8,225	167,875
DWS RREEF Global Real Estate Securities Fund "Institutional"	70,576	817,273
DWS RREEF Real Estate Securities Fund "Institutional"	88,393	2,155,016
DWS Small Cap Core Fund "S"	544,645	12,036,663
DWS Small Cap Growth Fund "Institutional"	105,445	2,743,690
DWS Small Cap Value Fund "S"	330,226	7,489,534
DWS Technology Fund "Institutional"	189,614	2,531,344
Total Equity Funds (Cost $177,194,247)		202,310,269

Fixed Income — Bond Funds 32.6%
DWS Core Fixed Income Fund "Institutional"	7,539,933	79,998,693
DWS Core Plus Income Fund "Institutional"	708	8,795
DWS Emerging Markets Fixed Income Fund "S"	273,932	3,246,091
DWS Floating Rate Plus Fund "Institutional"	338,760	3,262,260
DWS GNMA Fund "S"	399	5,796
DWS High Income Fund "Institutional"	1,193,922	6,172,574
DWS High Income Plus Fund "Institutional"	509,697	3,771,761
DWS Inflation Protected Plus Fund "Institutional"	1,007,842	9,917,167
DWS Short Duration Plus Fund "S"	776	7,662
Total Fixed Income — Bond Funds (Cost $107,509,672)		106,390,799

Fixed Income — Money Market Funds 6.5%
Cash Management QP Trust	21,271,886	21,271,886
DWS Money Market Prime Series	11,256	11,256
DWS Money Market Series "Institutional"	21,799	21,799
Total Fixed Income — Money Market Funds (Cost $21,304,941)		21,304,941

	% of Net Assets	Value ($)

Total Investment Portfolio (Cost $306,008,860)⁺	101.1	330,006,009
Other Assets and Liabilities, Net	(1.1)	(3,676,134)
Net Assets	100.0	326,329,875

	Shares	Value ($)

Equity Funds 77.4%
DWS Blue Chip Fund "Institutional"	594,812	13,068,023
DWS Capital Growth Fund "Institutional"	292	15,926
DWS Commodity Securities Fund "Institutional"	241,978	3,148,132
DWS Communications Fund "Institutional"	39,184	1,030,527
DWS Disciplined Long/Short Value Fund "Institutional"	98,349	1,005,127
DWS Dreman Concentrated Value Fund "Institutional"	150,188	1,884,861
DWS Dreman High Return Equity Fund "Institutional"	60,301	3,127,189
DWS Dreman Mid Cap Value Fund "Institutional"	120,657	1,537,164
DWS Dreman Small Cap Value Fund "Institutional"	30,406	1,201,953
DWS Emerging Markets Equity Fund "S"	122,663	3,164,703
DWS Equity 500 Index Fund "Institutional"	456,665	76,454,778
DWS Equity Partners Fund "Institutional"	415,680	13,355,802
DWS Europe Equity Fund "Institutional"	517,697	20,966,731
DWS Global Thematic Fund "S"	322,568	11,525,359
DWS Growth & Income Fund "Institutional"	667,333	14,828,146
DWS Health Care Fund "Institutional"	80,611	2,199,061
DWS International Fund "Institutional"	58,566	3,943,849
DWS International Select Equity Fund "Institutional"	322,646	4,123,421
DWS International Value Opportunities Fund "Institutional"	242,880	2,982,561
DWS Japan Equity Fund "S"	60,055	896,624
DWS Large Cap Value Fund "Institutional"	1,159,594	27,285,247
DWS Large Company Growth Fund "Institutional"	315,464	9,274,651
DWS Micro Cap Fund "Institutional"	8,505	173,579
DWS RREEF Global Real Estate Securities Fund "Institutional"	167,549	1,940,215
DWS RREEF Real Estate Securities Fund "Institutional"	92,181	2,247,378
DWS Small Cap Core Fund "S"	611,990	13,524,982
DWS Small Cap Growth Fund "Institutional"	110,184	2,866,994
DWS Small Cap Value Fund "S"	345,253	7,830,327
DWS Technology Fund "Institutional"	195,997	2,616,555
Total Equity Funds (Cost $212,596,564)		248,219,865

Fixed Income — Bond Funds 18.5%
DWS Core Fixed Income Fund "Institutional"	4,646,626	49,300,701
DWS Core Plus Income Fund "Institutional"	1,848	22,969
DWS Emerging Markets Fixed Income Fund "S"	272,771	3,232,335
DWS GNMA Fund "S"	1,097	15,952
DWS High Income Fund "Institutional"	659,642	3,410,348
DWS High Income Plus Fund "Institutional"	2,355	17,428
DWS Inflation Protected Plus Fund "Institutional"	330,936	3,256,414
Total Fixed Income — Bond Funds (Cost $59,350,987)		59,256,147

Fixed Income — Money Market Funds 4.8%
Cash Management QP Trust	15,358,928	15,358,928
DWS Money Market Prime Series	8,398	8,398
DWS Money Market Series "Institutional"	25,013	25,013
Total Fixed Income — Money Market Funds (Cost $15,392,339)		15,392,339

	% of Net Assets	Value ($)

Total Investment Portfolio (Cost $287,339,890)⁺	100.7	322,868,351
Other Assets and Liabilities, Net	(0.7)	(2,222,500)
Net Assets	100.0	320,645,851

	Shares	Value ($)

Equity Funds 97.3%
DWS Blue Chip Fund "Institutional"	72,720	1,597,665
DWS Commodity Securities Fund "Institutional"	28,867	375,565
DWS Communications Fund "Institutional"	6,384	167,890
DWS Disciplined Long/Short Value Fund "Institutional"	77,378	790,800
DWS Dreman Concentrated Value Fund "Institutional"	21,982	275,869
DWS Dreman High Return Equity Fund "Institutional"	9,613	498,555
DWS Dreman Mid Cap Value Fund "Institutional"	62,068	790,741
DWS Dreman Small Cap Value Fund "Institutional"	9,742	385,094
DWS Emerging Markets Equity Fund "S"	29,114	751,148
DWS Equity 500 Index Fund "Institutional"	67,722	11,337,969
DWS Equity Partners Fund "Institutional"	66,053	2,122,297
DWS Europe Equity Fund "Institutional"	76,191	3,085,732
DWS Global Thematic Fund "S"	13,765	491,806
DWS Growth & Income Fund "Institutional"	122,260	2,716,607
DWS Health Care Fund "Institutional"	27,939	762,188
DWS International Fund "Institutional"	12,672	853,354
DWS International Select Equity Fund "Institutional"	32,576	416,316
DWS International Value Opportunities Fund "Institutional"	91,041	1,117,986
DWS Japan Equity Fund "S"	3,045	45,468
DWS Large Cap Value Fund "Institutional"	160,171	3,768,829
DWS Large Company Growth Fund "Institutional"	16,671	490,136
DWS Micro Cap Fund "Institutional"	5,909	120,603
DWS Mid Cap Growth Fund "Institutional"	617	11,361
DWS RREEF Global Real Estate Securities Fund "Institutional"	23,255	269,288
DWS RREEF Real Estate Securities Fund "Institutional"	15,748	383,926
DWS Small Cap Core Fund "S"	77,922	1,722,072
DWS Small Cap Growth Fund "Institutional"	22,302	580,288
DWS Small Cap Value Fund "S"	82,078	1,861,521
DWS Technology Fund "Institutional"	68,269	911,389
Total Equity Funds (Cost $36,376,362)		38,702,463

Fixed Income — Money Market Funds 3.0%
Cash Management QP Trust	1,164,137	1,164,137
DWS Money Market Prime Series	7,619	7,619
DWS Money Market Series "Institutional"	6,530	6,530
Total Fixed Income — Money Market Funds (Cost $1,178,286)		1,178,286

	% of Net Assets	Value ($)

Total Investment Portfolio (Cost $37,554,648)⁺	100.3	39,880,749
Other Assets and Liabilities, Net	(0.3)	(112,673)
Net Assets	100.0	39,768,076

Statements of Assets and Liabilities as of August 31, 2007
Assets	DWS Conservative Allocation Fund	DWS Moderate Allocation Fund	DWS Growth Allocation Fund	DWS Growth Plus Allocation Fund
Investments in Underlying Affiliated Funds, at value (cost $143,687,897, $306,008,860, $287,339,890 and $37,554,648)	150,648,437	330,006,009	322,868,351	39,880,749
Dividends receivable	14,005	24,082	13,478	—
Interest receivable	90,775	97,201	76,074	1,264
Receivable for Fund shares sold	583,427	371,219	285,481	32,895
Other assets	17,504	23,641	19,692	9,999
Total assets	151,354,148	330,522,152	323,263,076	39,924,907
Liabilities
Payable for Fund shares redeemed	646,798	3,908,472	2,236,530	75,315
Other accrued expenses and liabilities	220,726	283,805	380,695	81,516
Total liabilities	867,524	4,192,277	2,617,225	156,831
Net assets, at value	$ 150,486,624	$ 326,329,875	$ 320,645,851	$ 39,768,076
Net Assets Consist of
Undistributed net investment income	—	—	4,082,609	2,693
Net unrealized appreciation (depreciation) on investments	6,960,540	23,997,149	35,528,461	2,326,101
Accumulated net realized gain (loss)	(3,776,768)	(21,675,947)	(17,623,403)	1,387,778
Paid-in capital	147,302,852	324,008,673	298,658,184	36,051,504
Net assets, at value	$ 150,486,624	$ 326,329,875	$ 320,645,851	$ 39,768,076

Statements of Assets and Liabilities as of August 31, 2007 (continued)
Net Asset Value	DWS Conservative Allocation Fund	DWS Moderate Allocation Fund	DWS Growth Allocation Fund	DWS Growth Plus Allocation Fund
Class A Net assets applicable to shares outstanding	$ 47,073,350	$ 130,883,317	$ 99,722,505	$ 20,817,917
Shares outstanding of beneficial interest, $.01 par value, unlimited number of shares authorized	3,762,313	10,495,855	6,447,920	1,696,405
Net Asset Value and redemption price^(a) per share	$ 12.51	$ 12.47	$ 15.47	$ 12.27
Maximum offering price per share (100 ÷ 94.25 of net asset value)	$ 13.27	$ 13.23	$ 16.41	$ 13.02
Class B Net assets applicable to shares outstanding	$ 8,049,905	$ 23,510,739	$ 28,407,786	$ 3,749,086
Shares outstanding of beneficial interest, $.01 par value, unlimited number of shares authorized	642,901	1,885,406	1,854,506	306,959
Net Asset Value, offering and redemption price^(a) (subject to contingent deferred sales charge) per share	$ 12.52	$ 12.47	$ 15.32	$ 12.21
Class C Net assets applicable to shares outstanding	$ 14,231,829	$ 36,836,652	$ 39,671,973	$ 11,443,482
Shares outstanding of beneficial interest, $.01 par value, unlimited number of shares authorized	1,136,935	2,954,349	2,588,784	937,149
Net Asset Value, offering and redemption price^(a) (subject to contingent deferred sales charge) per share	$ 12.52	$ 12.47	$ 15.32	$ 12.21
Class S Net assets applicable to shares outstanding	$ 81,131,540	$ 135,099,167	$ 152,843,587	$ 3,757,591
Shares outstanding of beneficial interest, $.01 par value, unlimited number of shares authorized	6,484,282	10,847,902	9,862,008	305,757
Net Asset Value, offering and redemption price^(a) per share	$ 12.51	$ 12.45	$ 15.50	$ 12.29

Annual Report to Shareholders

Annual Report
to Shareholders

Statements of Operations for the year ended August 31, 2007
Investment Income	DWS Conservative Allocation Fund	DWS Moderate Allocation Fund	DWS Growth Allocation Fund	DWS Growth Plus Allocation Fund
Income distributions from Underlying Affiliated Funds	$ 3,829,926	$ 8,448,649	$ 6,791,553	$ 469,058
Interest — Cash Management QP Trust	1,495,015	720,713	704,594	21,775
Total Income	5,324,941	9,169,362	7,496,147	490,833
Expenses: Administration fees	145,630	321,480	323,731	50,000
Distribution service fees	301,967	877,942	912,337	168,977
Services to shareholders	310,450	661,098	869,831	73,756
Custodian fees	9,249	7,716	7,376	6,655
Auditing	47,709	46,737	46,805	38,367
Legal	8,676	18,753	2,199	11,631
Trustees' fees and expenses	9,013	15,240	14,765	5,111
Reports to shareholders	46,193	73,156	112,179	24,110
Registration fees	49,854	59,894	58,745	47,796
Other	7,931	12,444	13,104	5,329
Total expenses before expense reductions	936,672	2,094,460	2,361,072	431,732
Expense reductions	(101,760)	(126,712)	(260,210)	(154,334)
Total expenses after expense reductions	834,912	1,967,748	2,100,862	277,398
Net investment income	4,490,029	7,201,614	5,395,285	213,435
Realized and Unrealized Gain (Loss)
Net realized gain (loss) from sale of Underlying Affiliated Funds	3,023,680	5,801,238	8,563,238	390,256
Capital Gain Distributions from Underlying Affiliated Funds	2,709,396	9,701,616	12,274,625	1,556,828
	5,733,076	15,502,854	20,837,863	1,947,084
Change in net unrealized appreciation (depreciation) on investments	717,961	6,190,605	7,643,665	1,346,124
Net gain (loss)	6,451,037	21,693,459	28,481,528	3,293,208
Net increase (decrease) in net assets resulting from operations	$ 10,941,066	$ 28,895,073	$ 33,876,813	$ 3,506,643

Statement of Changes in Net Assets — DWS Conservative Allocation Fund
Increase (Decrease) in Net Assets	Years Ended August 31,
Increase (Decrease) in Net Assets	2007	2006
Operations: Net investment income	$ 4,490,029	$ 3,955,661
Net realized gain (loss)	5,733,076	5,859,662
Change in net unrealized appreciation (depreciation)	717,961	(1,815,842)
Net increase (decrease) in net assets resulting from operations	10,941,066	7,999,481
Distributions to shareholders from: Net investment income: Class A	(2,072,009)	(1,047,579)
Class B	(314,048)	(160,512)
Class C	(483,880)	(200,975)
Class AARP	—	(1,548,806)
Class S	(4,082,856)	(1,035,038)
Fund share transactions: Proceeds from shares sold	39,111,769	41,739,535
Reinvestment of distributions	6,253,241	3,615,802
Cost of shares redeemed	(38,236,621)	(51,759,143)
Redemption fees	5,017	1,436
Net increase (decrease) in net assets from Fund share transactions	7,133,406	(6,402,370)
Increase (decrease) in net assets	11,121,679	(2,395,799)
Net assets at beginning of period	139,364,945	141,760,744
Net assets at end of period (including undistributed net investment income of $0 and $503,018, respectively)	$ 150,486,624	$ 139,364,945

DWS Conservative Allocation Fund — Class A
Years Ended August 31,	2007	2006	2005	2004	2003
Selected Per Share Data
Net asset value, beginning of period	$ 12.16	$ 11.83	$ 11.17	$ 10.69	$ 10.30
Income (loss) from investment operations: Net investment income^a	.38	.33	.28	.29	.29
Net realized and unrealized gain (loss)	.57	.33	.72	.52	.40
Total from investment operations	.95	.66	1.00	.81	.69
Less distributions from: Net investment income	(.60)	(.33)	(.34)	(.33)	(.30)
Redemption fees	.00^*	.00^*	.00^*	—	—
Net asset value, end of period	$ 12.51	$ 12.16	$ 11.83	$ 11.17	$ 10.69
Total Return (%)^b,d	7.90^c	5.66^c	9.04^c	7.61^c	6.85
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	47	41	36	17	11
Ratio of expenses before expense reductions (%)^g	.63	.88	.77	.57^f	.23^e
Ratio of expenses after expense reductions (%)^g	.62	.61	.55	.39^f	.23^e
Ratio of net investment income (%)	3.04	2.74	2.42	2.58	2.77
Portfolio turnover rate (%)	21	69	55	56	104
^a Based on average shares outstanding during the period. ^b Total return does not reflect the effect of any sales charge. ^c Total return would have been lower had certain expenses not been reduced. ^d Total return would have been lower if the Advisor had not maintained some Underlying Funds' expenses. ^e The Fund invests in other DWS funds and although this class did not incur any fees or expenses other than distribution/service fees for the period, the Fund did bear its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^f Effective April 1, 2004, the Fund implemented a new expense structure in which the Fund directly bears the fees and expenses of the Fund in addition to its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^g Does not include expenses of the Underlying DWS Funds in which the Fund invests. ^* Amount is less than $.005.

DWS Moderate Allocation Fund — Class A
Years Ended August 31,	2007	2006	2005	2004	2003
Selected Per Share Data
Net asset value, beginning of period	$ 11.98	$ 11.55	$ 10.63	$ 9.91	$ 9.38
Income (loss) from investment operations: Net investment income^a	.29	.25	.21	.22	.21
Net realized and unrealized gain (loss)	.86	.50	.95	.70	.55
Total from investment operations	1.15	.75	1.16	.92	.76
Less distributions from: Net investment income	(.66)	(.32)	(.24)	(.20)	(.23)
Redemption fees	.00^*	.00^*	.00^*	—	—
Net asset value, end of period	$ 12.47	$ 11.98	$ 11.55	$ 10.63	$ 9.91
Total Return (%)^b,d	9.78^c	6.59^c	10.95^c	9.34^c	8.28
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	131	104	113	.56	35
Ratio of expenses before expense reductions (%)^g	.61	.80	.77	.54^f	.23^e
Ratio of expenses after expense reductions (%)^g	.57	.61	.55	.38^f	.23^e
Ratio of net investment income (%)	2.28	2.14	1.84	2.12	2.30
Portfolio turnover rate (%)	21	52	35	37	101
^a Based on average shares outstanding during the period. ^b Total return does not reflect the effect of any sales charge. ^c Total return would have been lower had certain expenses not been reduced. ^d Total return would have been lower if the Advisor had not maintained some Underlying Funds' expenses. ^e The Fund invests in other DWS funds and although this class did not incur any fees or expenses other than distribution/service fees for the period, the Fund did bear its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^f Effective April 1, 2004, the Fund implemented a new expense structure in which the Fund directly bears the fees and expenses of the Fund in addition to its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^g Does not include expenses of the Underlying DWS Funds in which the Fund invests. ^* Amount is less than $.005.

DWS Moderate Allocation Fund — Class B
Years Ended August 31,	2007	2006	2005	2004	2003
Selected Per Share Data
Net asset value, beginning of period	$ 11.98	$ 11.54	$ 10.63	$ 9.91	$ 9.38
Income (loss) from investment operations: Net investment income^a	.19	.16	.12	.14	.14
Net realized and unrealized gain (loss)	.86	.51	.95	.70	.55
Total from investment operations	1.05	.67	1.07	.84	.69
Less distributions from: Net investment income	(.56)	(.23)	(.16)	(.12)	(.16)
Redemption fees	.00^*	.00^*	.00^*	—	—
Net asset value, end of period	$ 12.47	$ 11.98	$ 11.54	$ 10.63	$ 9.91
Total Return (%)^b,d	8.94^c	5.78^c	10.17^c	8.49^c	7.46
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	24	24	23	13	9
Ratio of expenses before expense reductions (%)^g	1.37	1.42	1.35	1.21^f	1.00^e
Ratio of expenses after expense reductions (%)^g	1.34	1.37	1.30	1.12^f	1.00^e
Ratio of net investment income (%)	1.51	1.38	1.09	1.37	1.53
Portfolio turnover rate (%)	21	52	35	37	101
^a Based on average shares outstanding during the period. ^b Total return does not reflect the effect of any sales charge. ^c Total return would have been lower had certain expenses not been reduced. ^d Total return would have been lower if the Advisor had not maintained some Underlying Funds' expenses. ^e The Fund invests in other DWS funds and although this class did not incur any fees or expenses other than distribution/service fees for the period, the Fund did bear its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^f Effective April 1, 2004, the Fund implemented a new expense structure in which the Fund directly bears the fees and expenses of the Fund in addition to its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^g Does not include expenses of the Underlying DWS Funds in which the Fund invests. ^* Amount is less than $.005.

DWS Moderate Allocation Fund — Class C
Years Ended August 31,	2007	2006	2005	2004	2003
Selected Per Share Data
Net asset value, beginning of period	$ 11.97	$ 11.54	$ 10.62	$ 9.90	$ 9.37
Income (loss) from investment operations: Net investment income^a	.20	.16	.13	.14	.14
Net realized and unrealized gain (loss)	.86	.50	.95	.70	.54
Total from investment operations	1.06	.66	1.08	.84	.68
Less distributions from: Net investment income	(.56)	(.23)	(.16)	(.12)	(.15)
Redemption fees	.00^*	.00^*	.00^*	—	—
Net asset value, end of period	$ 12.47	$ 11.97	$ 11.54	$ 10.62	$ 9.90
Total Return (%)^b.d	8.96^c	5.82^c	10.28	8.50^c	7.44
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	37	34	27	9	4
Ratio of expenses before expense reductions (%)^g	1.31	1.35	1.26	1.18^f	.99^e
Ratio of expenses after expense reductions (%)^g	1.30	1.34	1.26	1.13^f	.99^e
Ratio of net investment income (%)	1.55	1.41	1.13	1.36	1.54
Portfolio turnover rate (%)	21	52	35	37	101
^a Based on average shares outstanding during the period. ^b Total return does not reflect the effect of any sales charge. ^c Total return would have been lower had certain expenses not been reduced. ^d Total return would have been lower if the Advisor had not maintained some Underlying Funds' expenses. ^e The Fund invests in other DWS funds and although this class did not incur any fees or expenses other than distribution/service fees for the period, the Fund did bear its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^f Effective April 1, 2004, the Fund implemented a new expense structure in which the Fund directly bears the fees and expenses of the Fund in addition to its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^g Does not include expenses of the Underlying DWS Funds in which the Fund invests. ^* Amount is less than $.005.

DWS Moderate Allocation Fund — Class S
Years Ended August 31,	2007	2006	2005	2004	2003
Selected Per Share Data
Net asset value, beginning of period	$ 11.96	$ 11.54	$ 10.62	$ 9.90	$ 9.38
Income (loss) from investment operations: Net investment income^a	.32	.28	.24	.25	.24
Net realized and unrealized gain (loss)	.86	.49	.95	.70	.53
Total from investment operations	1.18	.77	1.19	.95	.77
Less distributions from: Net investment income	(.69)	(.35)	(.27)	(.23)	(.25)
Redemption fees	.00^*	.00^*	.00^*	—	—
Net asset value, end of period	$ 12.45	$ 11.96	$ 11.54	$ 10.62	$ 9.90
Total Return (%)^c	9.97^b	6.78^b	11.23^b	9.70^b	8.43
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	135	142	126	124	145
Ratio of expenses before expense reductions (%)^f	.40	.54	.36	.23^e	—^d
Ratio of expenses after expense reductions (%)^f	.35	.36	.30	.12^e	—^d
Ratio of net investment income (%)	2.50	2.39	2.09	2.37	2.53
Portfolio turnover rate (%)	21	52	35	37	101
^a Based on average shares outstanding during the period. ^b Total return would have been lower had certain expenses not been reduced. ^c Total return would have been lower if the Advisor had not maintained some Underlying Funds' expenses. ^d The Fund invests in other DWS funds, and although this class did not incur any direct expenses for the period, the Fund did bear its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^e Effective April 1, 2004, the Fund implemented a new expense structure in which the Fund directly bears the fees and expenses of the Fund in addition to its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^f Does not include expenses of the Underlying DWS Funds in which the Fund invests. ^* Amount is less than $.005.

DWS Growth Allocation Fund — Class A
Years Ended August 31,	2007	2006	2005	2004	2003
Selected Per Share Data
Net asset value, beginning of period	$ 14.29	$ 13.49	$ 12.14	$ 11.08	$ 10.21
Income (loss) from investment operations: Net investment income^a	.26	.23	.19	.17	.15
Net realized and unrealized gain (loss)	1.35	.84	1.35	1.07	.85
Total from investment operations	1.61	1.07	1.54	1.24	1.00
Less distributions from: Net investment income	(.43)	(.27)	(.19)	(.18)	(.13)
Redemption fees	.00^*	.00^*	.00^*	—	—
Net asset value, end of period	$ 15.47	$ 14.29	$ 13.49	$ 12.14	$ 11.08
Total Return (%)^b,c,d	11.33	8.06	12.76	11.19	10.00
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	100	86	74	39	24
Ratio of expenses before expense reductions (%)^g	.67	.76	.74	.46^f	.22^e
Ratio of expenses after expense reductions (%)^g	.62	.61	.55	.39^f	.22^e
Ratio of net investment income (%)	1.70	1.59	1.46	1.40	1.52
Portfolio turnover rate (%)	22	59	31	43	93
^a Based on average shares outstanding during the period. ^b Total return does not reflect the effect of any sales charge. ^c Total return would have been lower had certain expenses not been reduced. ^d Total return would have been lower if the Advisor had not maintained some Underlying Funds' expenses. ^e The Fund invests in other DWS funds and although this class did not incur any fees or expenses other than distribution/service fees for the period, the Fund did bear its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^f Effective April 1, 2004, the Fund implemented a new expense structure in which the Fund directly bears the fees and expenses of the Fund in addition to its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^g Does not include expenses of the Underlying DWS Funds in which the Fund invests. ^* Amount is less than $.005.

DWS Growth Allocation Fund — Class B
Years Ended August 31,	2007	2006	2005	2004	2003
Selected Per Share Data
Net asset value, beginning of period	$ 14.15	$ 13.35	$ 12.02	$ 10.97	$ 10.11
Income (loss) from investment operations: Net investment income^a	.15	.12	.09	.08	.08
Net realized and unrealized gain (loss)	1.33	.85	1.33	1.06	.84
Total from investment operations	1.48	.97	1.42	1.14	.92
Less distributions from: Net investment income	(.31)	(.17)	(.09)	(.09)	(.06)
Redemption fees	.00^*	.00^*	.00^*	—	—
Net asset value, end of period	$ 15.32	$ 14.15	$ 13.35	$ 12.02	$ 10.97
Total Return (%)^b,c,d	10.49	7.31	11.86	10.36	9.17
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	28	29	26	14	11
Ratio of expenses before expense reductions (%)^g	1.40	1.46	1.46	1.23^f	.97^e
Ratio of expenses after expense reductions (%)^g	1.35	1.36	1.30	1.13^f	.97^e
Ratio of net investment income (%)	.97	.84	.71	.66	.77
Portfolio turnover rate (%)	22	59	31	43	93
^a Based on average shares outstanding during the period. ^b Total return does not reflect the effect of any sales charge. ^c Total return would have been lower had certain expenses not been reduced. ^d Total return would have been lower if the Advisor had not maintained some Underlying Funds' expenses. ^e The Fund invests in other DWS funds and although this class did not incur any fees or expenses other than distribution/service fees for the period, the Fund did bear its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^f Effective April 1, 2004, the Fund implemented a new expense structure in which the Fund directly bears the fees and expenses of the Fund in addition to its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^g Does not include expenses of the Underlying DWS Funds in which the Fund invests. ^* Amount is less than $.005.

DWS Growth Allocation Fund — Class C
Years Ended August 31,	2007	2006	2005	2004	2003
Selected Per Share Data
Net asset value, beginning of period	$ 14.15	$ 13.35	$ 12.02	$ 10.97	$ 10.11
Income (loss) from investment operations: Net investment income^a	.15	.12	.09	.08	.08
Net realized and unrealized gain (loss)	1.33	.85	1.33	1.05	.84
Total from investment operations	1.48	.97	1.42	1.13	.92
Less distributions from: Net investment income	(.31)	(.17)	(.09)	(.08)	(.06)
Redemption fees	.00^*	.00^*	.00^*	—	—
Net asset value, end of period	$ 15.32	$ 14.15	$ 13.35	$ 12.02	$ 10.97
Total Return (%)^b,c,d	10.49	7.30	11.86	10.34	9.17
Ratios to Average Net Assets and Supplemental Data
Net assets, end of period ($ millions)	40	36	28	9	4
Ratio of expenses before expense reductions (%)^g	1.37	1.41	1.39	1.21^f	.99^e
Ratio of expenses after expense reductions (%)^g	1.32	1.36	1.30	1.15^f	.99^e
Ratio of net investment income (%)	1.00	.84	.71	.65	.75
Portfolio turnover rate (%)	22	59	31	43	93
^a Based on average shares outstanding during the period. ^b Total return does not reflect the effect of any sales charge. ^c Total return would have been lower had certain expenses not been reduced. ^d Total return would have been lower if the Advisor had not maintained some Underlying Funds' expenses. ^e The Fund invests in other DWS funds and although this class did not incur any fees or expenses other than distribution/service fees for the period, the Fund did bear its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^f Effective April 1, 2004, the Fund implemented a new expense structure in which the Fund directly bears the fees and expenses of the Fund in addition to its proportionate share of the fees and expenses incurred by the Underlying DWS Funds in which the Fund is invested. ^g Does not include expenses of the Underlying DWS Funds in which the Fund invests. ^* Amount is less than $.005.