Semiannual Report to Shareholders

Transcription

1 June 30, 2018 Semiannual Report to Shareholders DWS RREEF Real Estate Securities Fund (formerly Deutsche Real Estate Securities Fund)

2 Contents 3 Letter to Shareholders 4 Performance Summary 7 Portfolio Management Team 7 Portfolio Summary 9 Investment Portfolio 13 Statement of Assets and Liabilities 15 Statement of Operations 16 Statements of Changes in Net Assets 18 Financial Highlights 25 Notes to Financial Statements 36 Information About Your Fund s Expenses 38 Advisory Agreement Board Considerations and Fee Evaluation 43 Account Management Resources 45 Privacy Statement This report must be preceded or accompanied by a prospectus. To obtain a summary prospectus, if available, or prospectus for any of our funds, refer to the Account Management Resources information provided in the back of this booklet. We advise you to consider the Fund s objectives, risks, charges and expenses carefully before investing. The summary prospectus and prospectus contain this and other important information about the Fund. Please read the prospectus carefully before you invest. Any fund that concentrates in a particular segment of the market will generally be more volatile than a fund that invests more broadly. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. This Fund is non-diversified and can take larger positions in fewer issues, increasing its potential risk. There are special risks associated with an investment in real estate, including REITS. These risks include credit risk, interest rate fluctuations and the impact of varied economic conditions. The Fund may lend securities to approved institutions. Stocks may decline in value. Please read the prospectus for details. The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services. NOT FDIC/NCUA INSURED NO BANK GUARANTEE MAY LOSE VALUE NOT A DEPOSIT NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY 2 DWS RREEF Real Estate Securities Fund

3 Letter to Shareholders Dear Shareholder: As you know, we as Deutsche Asset Management adopted our existing European brand, DWS, globally, earlier this year. In connection with that change, DWS will now replace Deutsche in most of our open-end mutual fund names, including share classes for certain money market funds which previously included the Deutsche in their names. Building on more than 60 years of experience and a reputation for excellence in Germany and across Europe, DWS is known for the values that we see as core elements to our investors success: Excellence, Entrepreneurship, Sustainability and Integrity. We aim to demonstrate these qualities in all that we do. Please remember that, as part of this name change, our website also has a new address: DWS.com. For your convenience, the deutschefunds.com address will remain live and automatically redirect you to our new site. As always, we invite you to visit us online frequently to access the most current insights from our CIO, economists and investment specialists. Thank you for your ongoing trust in us. We look forward to bringing you the very best in investment insight, strategies and solutions for many years to come. Best regards, Hepsen Uzcan President, DWS Funds Assumptions, estimates and opinions contained in this document constitute our judgment as of the date of the document and are subject to change without notice. Any projections are based on a number of assumptions as to market conditions and there can be no guarantee that any projected results will be achieved. Past performance is not a guarantee of future results. DWS RREEF Real Estate Securities Fund 3

4 Performance Summary June 30, 2018 (Unaudited) Class A 6-Month 1-Year 5-Year 10-Year Average Annual Total Returns as of 6/30/18 Unadjusted for Sales Charge 1.09% 4.06% 8.01% 7.46% Adjusted for the Maximum Sales Charge (max 5.75% load) 4.72% 1.92% 6.74% 6.83% S&P 500 Index 2.65% 14.37% 13.42% 10.17% MSCI US REIT Index 1.19% 3.57% 8.26% 7.95% Class T 6-Month 1-Year 5-Year 10-Year Average Annual Total Returns as of 6/30/18 Unadjusted for Sales Charge 1.12% 4.14% 8.05% 7.52% Adjusted for the Maximum Sales Charge (max 2.50% load) 1.41% 1.53% 7.51% 7.24% S&P 500 Index 2.65% 14.37% 13.42% 10.17% MSCI US REIT Index 1.19% 3.57% 8.26% 7.95% Class C 6-Month 1-Year 5-Year 10-Year Average Annual Total Returns as of 6/30/18 Unadjusted for Sales Charge 0.69% 3.31% 7.25% 6.74% Adjusted for the Maximum Sales Charge (max 1.00% CDSC) 0.31% 3.31% 7.25% 6.74% S&P 500 Index 2.65% 14.37% 13.42% 10.17% MSCI US REIT Index 1.19% 3.57% 8.26% 7.95% Class R 6-Month 1-Year 5-Year 10-Year Average Annual Total Returns as of 6/30/18 No Sales Charges 0.93% 3.73% 7.67% 7.16% S&P 500 Index 2.65% 14.37% 13.42% 10.17% MSCI US REIT Index 1.19% 3.57% 8.26% 7.95% Class R6 6-Month 1-Year Life of Class* Average Annual Total Returns as of 6/30/18 No Sales Charges 1.32% 4.56% 7.10% S&P 500 Index 2.65% 14.37% 10.73% MSCI US REIT Index 1.19% 3.57% 5.22% 4 DWS RREEF Real Estate Securities Fund

5 Class S 6-Month 1-Year 5-Year 10-Year Average Annual Total Returns as of 6/30/18 No Sales Charges 1.18% 4.34% 8.29% 7.73% S&P 500 Index 2.65% 14.37% 13.42% 10.17% MSCI US REIT Index 1.19% 3.57% 8.26% 7.95% Institutional Class 6-Month 1-Year 5-Year 10-Year Average Annual Total Returns as of 6/30/18 No Sales Charges 1.27% 4.44% 8.38% 7.85% S&P 500 Index 2.65% 14.37% 13.42% 10.17% MSCI US REIT Index 1.19% 3.57% 8.26% 7.95% Performance in the Average Annual Total Returns table above and the Growth of an Assumed $10,000 Investment line graph that follows is historical and does not guarantee future results. Investment return and principal fluctuate, so your shares may be worth more or less when redeemed. Current performance may differ from performance data shown. Please visit dws.com for the Fund s most recent month-end performance. Fund performance includes reinvestment of all distributions. Unadjusted returns do not reflect sales charges and would have been lower if they had. The gross expense ratios of the Fund, as stated in the fee table of the prospectus dated May 1, 2018 are 0.99%, 0.94%, 1.68%, 1.31%, 0.54%, 0.72% and 0.64% for Class A, Class T, Class C, Class R, Class R6, Class S and Institutional Class shares, respectively, and may differ from the expense ratios disclosed in the Financial Highlights tables in this report. Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index. Performance figures do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Returns shown for Class T shares for the period prior to its inception on June 5, 2017 are derived from the historical performance of Institutional Class shares of DWS RREEF Real Estate Securities Fund during such periods and have been adjusted to reflect the higher total annual operating expenses and applicable sales charges of Class T. Any difference in expenses will affect performance. Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes only, and as such, the total return based on the unadjusted net asset value per share may differ from the total return reported in the financial highlights. DWS RREEF Real Estate Securities Fund 5

6 Growth of an Assumed $10,000 Investment (Adjusted for Maximum Sales Charge) DWS RREEF Real Estate Securities Fund Class A S&P 500 Index MSCI US REIT (Morgan Stanley US Real Estate Investment Trust) Index $30,000 $20,000 $26,340 $21,491 $19,362 $10,000 $0 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 Yearly periods ended June 30 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. The growth of $10,000 is cumulative. Performance of other share classes will vary based on the sales charges and the fee structure of those classes. * Class R6 shares commenced operations on August 25, The Standard and Poor s 500 (S&P 500) Index is an unmanaged, capitalization-weighted index of 500 stocks. The index is designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. The MSCI US REIT Index is an unmanaged free float-adjusted market capitalization index that is comprised of equity REITs. The index is based on MSCI USA Investable Market Index, its parent index, which captures large, mid and small caps securities. With 155 constituents, it represents about 99% of the U.S. REIT universe and securities are classified in the Equity REITs Industry (under the Real Estate sector) according to the Global Industry Classification Standard (GICS ). It however excludes Mortgage REIT and selected Specialized REITs. Total returns shown for periods less than one year are not annualized. Class A Class T Class C Class R Class R6 Class S Institutional Class Net Asset Value 6/30/18 $20.34 $20.35 $20.59 $20.34 $20.31 $20.46 $ /31/17 $20.39 $20.40 $20.65 $20.39 $20.37 $20.52 $20.36 Distribution Information as of 6/30/18 Income Dividends, Six Months $.17 $.17 $.10 $.14 $.21 $.19 $.20 Capital Gain Distributions, Six Months $.10 $.10 $.10 $.10 $.10 $.10 $.10 6 DWS RREEF Real Estate Securities Fund

7 Portfolio Management Team John W. Vojticek, Managing Director Portfolio Manager of the Fund. Began managing the Fund in Joined DWS in 2004; previously worked as Principal at KG Redding and Associates, March 2004 September 2004; and previously Managing Director of Deutsche Asset Management from 1996 March Head and Chief Investment Officer of Liquid Real Assets for DWS. BS in Business Administration, University of Southern California. David W. Zonavetch, CPA, Managing Director Portfolio Manager of the Fund. Began managing the Fund in Joined DWS in 1998; previously worked as Senior Accountant in Corporate Finance; and as an Analyst at Cendant Mobility. Co-Head of Real Estate Securities, Americas and Co-Lead Portfolio Manager: Chicago. Investment industry experience began in BS in Finance, University of Illinois at Urbana-Champaign. Robert Thomas, Managing Director Portfolio Manager of the Fund. Began managing the Fund in Joined DWS in 2017; previously served as the Head of North American Property Equities and Portfolio Manager at Henderson Global Investors; and previously was Co-Head of North American Listed Real Estate at AMP Capital Investors. Co-Head of Real Estate Securities, Americas and Co-Lead Portfolio Manager: Chicago. Investment industry experience began in BA in Economics, Duke University; MBA, Finance / Management and Strategy, Kellogg School of Management, Northwestern University. Portfolio Summary (Unaudited) Asset Allocation (As a % of Investment Portfolio excluding Securities Lending Collateral) 6/30/18 12/31/17 Common Stocks 99% 100% Cash Equivalents 1% 0% 100% 100% Sector Diversification (As a % of Investment Portfolio excluding Cash Equivalents and Securities Lending Collateral) 6/30/18 12/31/17 Apartments 15% 12% Industrials 11% 9% Storage 11% 8% Office 11% 14% Health Care 11% 8% Hotels 9% 7% Regional Malls 8% 10% Diversified 8% 16% Specialty Services 7% 5% Shopping Centers 5% 5% Manufactured Homes 3% 4% Software 1% 2% Telecommunications 0% 100% 100% DWS RREEF Real Estate Securities Fund 7

8 Ten Largest Equity Holdings at June 30, 2018 (42.9% of Net Assets) 1 Simon Property Group, Inc. 8.4% Owner and operator of regional shopping malls 2 Equity Residential 4.8% Acquirer, developer and manager of rental apartments 3 Welltower, Inc. 4.6% Investor in senior housing and assisted living facilities 4 Alexandria Real Estate Equities, Inc. 4.1% Acquirer, manager and developer of office and laboratory space properties 5 Camden Property Trust 3.9% Owner and manager of multifamily residential apartment communities 6 Extra Space Storage, Inc. 3.6% Owner and operator of self-storage properties 7 CubeSmart 3.5% Owns, operates, acquires and develops self-storage facilities in the United States 8 Equity LifeStyle Properties, Inc. 3.4% Owner of properties such as camping grounds and seasonal resort communities 9 CoreSite Realty Corp. 3.4% Develops, owns and operates data centers in the United States 10 Douglas Emmett, Inc. 3.2% Invests in office and multifamily properties Portfolio holdings and characteristics are subject to change. For more complete details about the Fund s investment portfolio, see page 9. A quarterly Fact Sheet is available on dws.com or upon request. Please see the Account Management Resources section on page 43 for contact information. 8 DWS RREEF Real Estate Securities Fund

9 Investment Portfolio as of June 30, 2018 (Unaudited) Common Stocks 99.1% Real Estate Investment Trusts ( REITs ) 99.1% Shares Value ($) Apartments 14.5% Camden Property Trust 555,008 50,577,879 Education Realty Trust, Inc. 287,060 11,912,990 Equity Residential 993,024 63,245,699 Essential Properties Realty Trust, Inc.* (a) 364,071 4,929,521 Invitation Homes, Inc. 804,048 18,541,347 Mid-America Apartment Communities, Inc. 401,659 40,435, ,642,447 Diversified 7.7% CoreSite Realty Corp. 398,798 44,194,795 Cousins Properties, Inc. 1,835,687 17,787,807 Digital Realty Trust, Inc. 31,723 3,539,652 Rayonier, Inc. 426,954 16,518,850 VICI Properties, Inc. 903,484 18,647, ,689,014 Health Care 10.4% HCP, Inc. 805,252 20,791,607 Omega Healthcare Investors, Inc. (a) 748,158 23,192,898 Physicians Realty Trust 923,029 14,713,082 Ventas, Inc. 310,394 17,676,938 Welltower, Inc. 954,941 59,865, ,239,776 Hotels 8.4% Extended Stay America, Inc. (Units) 901,381 19,478,844 Host Hotels & Resorts, Inc. 408,268 8,602,207 LaSalle Hotel Properties 163,488 5,596,194 MGM Growth Properties LLC A (a) 556,631 16,954,980 Ryman Hospitality Properties, Inc. 378,098 31,438,849 Sunstone Hotel Investors, Inc. 1,693,810 28,151, ,222,196 Industrials 11.2% CyrusOne, Inc. 566,230 33,045,183 DCT Industrial Trust, Inc. 508,046 33,901,910 First Industrial Realty Trust, Inc. 674,018 22,471,760 Prologis, Inc. 460,979 30,281,710 Rexford Industrial Realty, Inc. 850,345 26,692, ,392,892 The accompanying notes are an integral part of the financial statements. DWS RREEF Real Estate Securities Fund 9

10 Shares Value ($) Manufactured Homes 3.4% Equity LifeStyle Properties, Inc. 488,379 44,882,030 Office 10.9% Alexandria Real Estate Equities, Inc. 422,520 53,309,348 Boston Properties, Inc. 129,078 16,188,963 Columbia Property Trust, Inc. 867,289 19,696,133 Douglas Emmett, Inc. 1,056,658 42,456,519 JBG SMITH Properties 288,430 10,519, ,170,005 Regional Malls 8.4% Simon Property Group, Inc. 645, ,847,604 Shopping Centers 5.2% Acadia Realty Trust 516,803 14,144,898 Brixmor Property Group, Inc. 1,082,946 18,875,749 Federal Realty Investment Trust 54,785 6,933,042 Kimco Realty Corp. 396,677 6,739,542 Retail Properties of America, Inc. A 1,658,618 21,197,138 67,890,369 Software 0.7% InterXion Holding NV* 152,159 9,497,765 Specialty Services 7.3% Agree Realty Corp. 520,020 27,441,455 National Retail Properties, Inc. 653,186 28,714,057 STORE Capital Corp. 1,433,774 39,285,408 95,440,920 Storage 11.0% Americold Realty Trust 848,108 18,675,338 CubeSmart 1,414,400 45,571,968 Extra Space Storage, Inc. 479,483 47,857,199 Life Storage, Inc. 160,039 15,573,395 Public Storage 75,027 17,020, ,698,525 Total Common Stocks (Cost $1,123,677,671) 1,297,613,543 The accompanying notes are an integral part of the financial statements. 10 DWS RREEF Real Estate Securities Fund

11 Securities Lending Collateral 1.2% Shares Value ($) DWS Government & Agency Securities Portfolio DWS Government Cash Institutional Shares, 1.80% (b) (c) (Cost $15,955,759) 15,955,759 15,955,759 Cash Equivalents 0.8% DWS Central Cash Management Government Fund, 1.85% (b) (Cost $10,180,233) 10,180,233 10,180,233 % of Net Assets Value ($) Total Investment Portfolio (Cost $1,149,813,663) ,323,749,535 Other Assets and Liabilities, Net (1.1) (14,430,734) Net Assets ,309,318,801 A summary of the Fund s transactions with affiliated investments during the period ended June 30, 2018 are as follows: Value ($) at 12/31/2017 Purchases Cost ($) Sales Proceeds ($) Net Realized Gain/ (Loss) ($) Net Change in Unrealized Appreciation (Depreciation) ($) Income ($) Capital Gain Distributions Shares at Number of ($) 6/30/2018 Value ($) at 6/30/2018 Securities Lending Collateral 1.2% DWS Government & Agency Securities Portfolio DWS Government Cash Institutional Shares, 1.80% (b) (c) 39,307,740 23,351,981 39,653 15,955,759 15,955,759 Cash Equivalents 0.8% DWS Central Cash Management Government Fund, 1.85% (b) 4,573, ,767, ,160,138 36,950 10,180,233 10,180,233 43,881, ,767, ,512,119 76,603 26,135,992 26,135,992 * Non-income producing security. (a) All or a portion of these securities were on loan. In addition, Other Assets and Liabilities, Net may include pending sales that are also on loan. The value of securities loaned at June 30, 2018 amounted to $15,444,578, which is 1.2% of net assets. (b) Affiliated fund managed by DWS Investment Management Americas, Inc. The rate shown is the annualized seven-day yield at period end. (c) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates. Represents the net increase (purchase cost) or decrease (sales proceeds) in the amount invested for the period ended June 30, The accompanying notes are an integral part of the financial statements. DWS RREEF Real Estate Securities Fund 11

12 Fair Value Measurements Various inputs are used in determining the value of the Fund s investments. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities. The following is a summary of the inputs used as of June 30, 2018 in valuing the Fund s investments. For information on the Fund s policy regarding the valuation of investments, please refer to the Security Valuation section of Note A in the accompanying Notes to Financial Statements. Assets Level 1 Level 2 Level 3 Total Common Stocks (d) $1,297,613,543 $ $ $1,297,613,543 Short-Term Investments (d) 26,135,992 26,135,992 Total $1,323,749,535 $ $ $1,323,749,535 There have been no transfers between fair value measurement levels during the period ended June 30, (d) See Investment Portfolio for additional detailed categorizations. The accompanying notes are an integral part of the financial statements. 12 DWS RREEF Real Estate Securities Fund

13 Statement of Assets and Liabilities as of June 30, 2018 (Unaudited) Assets Investments in non-affiliated securities, at value (cost $1,123,677,671) including $15,444,578 of securities loaned $ 1,297,613,543 Investment in DWS Government & Agency Securities Portfolio (cost $15,955,759)* 15,955,759 Investment in DWS Central Cash Management Government Fund (cost $10,180,233) 10,180,233 Cash 10,803 Receivable for investments sold 38,953,979 Receivable for Fund shares sold 1,371,730 Dividends receivable 6,005,666 Interest receivable 12,919 Other assets 69,760 Total assets 1,370,174,392 Liabilities Payable upon return of securities loaned 15,955,759 Payable for investments purchased 41,557,188 Payable for Fund shares redeemed 2,025,826 Accrued management fee 416,753 Accrued Trustees fees 16,814 Other accrued expenses and payables 883,251 Total liabilities 60,855,591 Net assets, at value $ 1,309,318,801 Net Assets Consist of Undistributed net investment income 11,364,491 Net unrealized appreciation (depreciation) on investments 173,935,872 Accumulated net realized gain (loss) (22,841,160) Paid-in capital 1,146,859,598 Net assets, at value $ 1,309,318,801 * Represents collateral on securities loaned. The accompanying notes are an integral part of the financial statements. DWS RREEF Real Estate Securities Fund 13

14 Statement of Assets and Liabilities as of June 30, 2018 (Unaudited) (continued) Net Asset Value Class A Net Asset Value and redemption price per share ($211,668,537 10,408,417 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) $ Maximum offering price per share ( of $20.34) $ Class T Net Asset Value and redemption price per share ($10, outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) $ Maximum offering price per share ( of $20.35) $ Class C Net Asset Value, offering and redemption price (subject to contingent deferred sales charge) per share ($29,581,115 1,436,387 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) $ Class R Net Asset Value, offering and redemption price per share ($27,449,113 1,349,355 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) $ Class R6 Net Asset Value, offering and redemption price per share ($239,622,518 11,795,444 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) $ Class S Net Asset Value, offering and redemption price per share ($279,119,705 13,641,463 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) $ Institutional Class Net Asset Value, offering and redemption price per share ($521,867,343 25,697,448 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) $ The accompanying notes are an integral part of the financial statements. 14 DWS RREEF Real Estate Securities Fund

15 Statement of Operations for the six months ended June 30, 2018 (Unaudited) Investment Income Income: Dividends $ 21,792,561 Income distributions DWS Central Cash Management Government Fund 36,950 Securities lending income, net of borrower rebates 39,653 Total income 21,869,164 Expenses: Management fee 2,435,104 Administration fee 619,601 Services to shareholders 946,272 Distribution and service fees 474,711 Custodian fee 15,084 Professional fees 56,877 Reports to shareholders 59,697 Registration fees 54,194 Trustees fees and expenses 39,039 Other 43,083 Total expenses 4,743,662 Net investment income 17,125,502 Realized and Unrealized Gain (Loss) Net realized gain (loss) from investments (3,350,927) Change in net unrealized appreciation (depreciation) on investments (1,067,462) Net gain (loss) (4,418,389) Net increase (decrease) in net assets resulting from operations $ 12,707,113 The accompanying notes are an integral part of the financial statements. DWS RREEF Real Estate Securities Fund 15

16 Statements of Changes in Net Assets Six Months Ended June 30, 2018 Year Ended December 31, Increase (Decrease) in Net Assets (Unaudited) 2017 Operations: Net investment income $ 17,125,502 $ 28,180,373 Net realized gain (loss) (3,350,927) 75,817,354 Change in net unrealized appreciation (depreciation) (1,067,462) (16,239,793) Net increase (decrease) in net assets resulting from operations 12,707,113 87,757,934 Distributions to shareholders from: Net investment income: Class A (1,790,875) (4,350,763) Class T (87) (133)* Class C (150,714) (388,627) Class R (184,840) (460,051) Class R6 (2,306,244) (4,344,104) Class S (2,649,667) (6,222,391) Institutional Class (5,160,121) (11,266,245) Net realized gain: Class A (1,012,405) (6,759,098) Class T (50) (289)* Class C (139,502) (981,727) Class R (130,288) (902,976) Class R6 (1,140,048) (5,612,944) Class S (1,325,952) (8,383,702) Institutional Class (2,477,827) (15,285,287) Total distributions (18,468,620) (64,958,337) * For the period from June 5, 2017 (commencement of operations of Class T) to December 31, The accompanying notes are an integral part of the financial statements. 16 DWS RREEF Real Estate Securities Fund

17 Statements of Changes in Net Assets (continued) Six Months Ended June 30, 2018 Year Ended December 31, Increase (Decrease) in Net Assets (Unaudited) 2017 Fund share transactions: Proceeds from shares sold 197,175, ,140,280 Reinvestment of distributions 15,667,571 55,071,091 Payments for shares redeemed (248,918,078) (552,964,032) Redemption fees 4,464 Net increase (decrease) in net assets from Fund share transactions (36,075,358) (118,748,197) Increase (decrease) in net assets (41,836,865) (95,948,600) Net assets at beginning of period 1,351,155,666 1,447,104,266 Net assets at end of period (including undistributed net investment income of $11,364,491 and $6,481,537, respectively) $ 1,309,318,801 $ 1,351,155,666 The accompanying notes are an integral part of the financial statements. DWS RREEF Real Estate Securities Fund 17

18 Financial Highlights Six Months Ended 6/30/18 Years Ended December 31, Class A (Unaudited) Selected Per Share Data Net asset value, beginning of period $20.39 $20.11 $21.20 $23.62 $19.55 $21.23 Income (loss) from investment operations: Net investment income a Net realized and unrealized gain (loss) (.01) (.49) Total from investment operations (.07) Less distributions from: Net investment income (.17) (.35) (.51) (.40) (.41) (.52) Net realized gains (.10) (.59) (1.94) (2.53) (1.60) (1.09) Return of capital (.06) Total distributions (.27) (.94) (2.51) (2.93) (2.01) (1.61) Redemption fees.00 ***.00 ***.00 ***.00 ***.00 *** Net asset value, end of period $20.34 $20.39 $20.11 $21.20 $23.62 $19.55 Total Return (%) b 1.09 ** (.44) Ratios to Average Net Assets and Supplemental Data Net assets, end of period ($ millions) Ratio of expenses (%) 1.04 * Ratio of net investment income (%) 2.44 * Portfolio turnover rate (%) 89 ** a Based on average shares outstanding during the period. b Total return does not reflect the effect of any sales charges. * Annualized ** Not annualized *** Amount is less than $.005. The accompanying notes are an integral part of the financial statements. 18 DWS RREEF Real Estate Securities Fund

19 Six Months Ended 6/30/18 Period Ended Class T (Unaudited) 12/31/17 a Selected Per Share Data Net asset value, beginning of period $20.40 $20.54 Income (loss) from investment operations: Net investment income b Net realized and unrealized gain (loss) (.03).48 Total from investment operations Less distributions from: Net investment income (.17) (.27) Net realized gains (.10) (.59) Total distributions (.27) (.86) Net asset value, end of period $20.35 $20.40 Total Return (%) c 1.12 ** 3.54 ** Ratios to Average Net Assets and Supplemental Data Net assets, end of period ($ thousands) Ratio of expenses (%).91 *.94 * Ratio of net investment income (%) 2.65 * 1.98 * Portfolio turnover rate (%) 89 ** 168 d a For the period from June 5, 2017 (commencement of operations) to December 31, b Based on average shares outstanding during the period. c Total return does not reflect the effect of any sales charges. d Represents the Fund s turnover rate for the year ended December 31, * Annualized ** Not annualized The accompanying notes are an integral part of the financial statements. DWS RREEF Real Estate Securities Fund 19

20 Six Months Ended 6/30/18 Years Ended December 31, Class C (Unaudited) Selected Per Share Data Net asset value, beginning of period $20.65 $20.35 $21.44 $23.86 $19.73 $21.42 Income (loss) from investment operations: Net investment income a Net realized and unrealized gain (loss) (.02) (.50) Total from investment operations (.23) Less distributions from: Net investment income (.10) (.21) (.37) (.25) (.25) (.37) Net realized gains (.10) (.59) (1.94) (2.53) (1.60) (1.09) Return of capital (.06) Total distributions (.20) (.80) (2.37) (2.78) (1.85) (1.46) Redemption fees.00 ***.00 ***.00 ***.00 ***.00 *** Net asset value, end of period $20.59 $20.65 $20.35 $21.44 $23.86 $19.73 Total Return (%) b.69 ** (1.16) Ratios to Average Net Assets and Supplemental Data Net assets, end of period ($ millions) Ratio of expenses (%) 1.73 * Ratio of net investment income (%) 1.68 * Portfolio turnover rate (%) 89 ** a Based on average shares outstanding during the period. b Total return does not reflect the effect of any sales charges. * Annualized ** Not annualized *** Amount is less than $.005. The accompanying notes are an integral part of the financial statements. 20 DWS RREEF Real Estate Securities Fund

21 Six Months Ended 6/30/18 Years Ended December 31, Class R (Unaudited) Selected Per Share Data Net asset value, beginning of period $20.39 $20.11 $21.21 $23.64 $19.56 $21.24 Income (loss) from investment operations: Net investment income a Net realized and unrealized gain (loss) (.01) (.50) Total from investment operations (.14) Less distributions from: Net investment income (.14) (.28) (.44) (.34) (.34) (.45) Net realized gains (.10) (.59) (1.94) (2.53) (1.60) (1.09) Return of capital (.06) Total distributions (.24) (.87) (2.44) (2.87) (1.94) (1.54) Redemption fees.00 ***.00 ***.00 ***.00 ***.00 *** Net asset value, end of period $20.34 $20.39 $20.11 $21.21 $23.64 $19.56 Total Return (%).93 ** (.74) Ratios to Average Net Assets and Supplemental Data Net assets, end of period ($ millions) Ratio of expenses (%) 1.33 * Ratio of net investment income (%) 2.12 * Portfolio turnover rate (%) 89 ** a Based on average shares outstanding during the period. * Annualized ** Not annualized *** Amount is less than $.005. The accompanying notes are an integral part of the financial statements. DWS RREEF Real Estate Securities Fund 21

22 Six Months Ended 6/30/18 Years Ended December 31, Period Ended Class R6 (Unaudited) /31/14 a Selected Per Share Data Net asset value, beginning of period $20.37 $20.09 $21.18 $23.60 $ Income (loss) from investment operations: Net investment income b Net realized and unrealized gain (loss) (.07) Total from investment operations Less distributions from: Net investment income (.21) (.45) (.62) (.50) (.29) Net realized gains (.10) (.59) (1.94) (2.53) (1.50) Return of capital (.06) Total distributions (.31) (1.04) (2.62) (3.03) (1.79) Redemption fees.00 ***.00 ***.00 ***.00 *** Net asset value, end of period $20.31 $20.37 $20.09 $21.18 $ Total Return (%) 1.32 ** ** Ratios to Average Net Assets and Supplemental Data Net assets, end of period ($ millions) Ratio of expenses (%).54 * * Ratio of net investment income (%) 3.31 * * Portfolio turnover rate (%) 89 ** c a For the period from August 25, 2014 (commencement of operations) to December 31, b Based on average shares outstanding during the period. c Represents the Fund s portfolio turnover for the year ended December 31, * Annualized ** Not annualized *** Amount is less than $.005. The accompanying notes are an integral part of the financial statements. 22 DWS RREEF Real Estate Securities Fund

23 Six Months Ended 6/30/18 Years Ended December 31, Class S (Unaudited) Selected Per Share Data Net asset value, beginning of period $20.52 $20.23 $21.32 $23.74 $19.64 $21.33 Income (loss) from investment operations: Net investment income a Net realized and unrealized gain (loss) (.04) (.52) Total from investment operations (.04) Less distributions from: Net investment income (.19) (.41) (.58) (.47) (.46) (.56) Net realized gains (.10) (.59) (1.94) (2.53) (1.60) (1.09) Return of capital (.06) Total distributions (.29) (1.00) (2.58) (3.00) (2.06) (1.65) Redemption fees.00 ***.00 ***.00 ***.00 ***.00 *** Net asset value, end of period $20.46 $20.52 $20.23 $21.32 $23.74 $19.64 Total Return (%) 1.18 ** (.26) Ratios to Average Net Assets and Supplemental Data Net assets, end of period ($ millions) Ratio of expenses (%).76 * Ratio of net investment income (%) 2.75 * Portfolio turnover rate (%) 89 ** a Based on average shares outstanding during the period. * Annualized ** Not annualized *** Amount is less than $.005. The accompanying notes are an integral part of the financial statements. DWS RREEF Real Estate Securities Fund 23

24 Six Months Ended 6/30/18 Years Ended December 31, Institutional Class (Unaudited) Selected Per Share Data Net asset value, beginning of period $20.36 $20.08 $21.18 $23.60 $19.54 $21.22 Income (loss) from investment operations: Net investment income a Net realized and unrealized gain (loss) (.02) (.48) Total from investment operations Less distributions from: Net investment income (.20) (.42) (.59) (.48) (.49) (.59) Net realized gains (.10) (.59) (1.94) (2.53) (1.60) (1.09) Return of capital (.06) Total distributions (.30) (1.01) (2.59) (3.01) (2.09) (1.68) Redemption fees.00 ***.00 ***.00 ***.00 ***.00 *** Net asset value, end of period $20.31 $20.36 $20.08 $21.18 $23.60 $19.54 Total Return (%) 1.27 ** (.09) Ratios to Average Net Assets and Supplemental Data Net assets, end of period ($ millions) Ratio of expenses (%).66 * Ratio of net investment income (%) 2.78 * Portfolio turnover rate (%) 89 ** a Based on average shares outstanding during the period. * Annualized ** Not annualized *** Amount is less than $.005. The accompanying notes are an integral part of the financial statements. 24 DWS RREEF Real Estate Securities Fund

25 Notes to Financial Statements (Unaudited) A. Organization and Significant Accounting Policies DWS RREEF Real Estate Securities Fund (formerly Deutsche Real Estate Securities Fund) (the Fund ) is a non-diversified series of Deutsche DWS Securities Trust (formerly Deutsche Securities Trust) (the Trust ), which is registered under the Investment Company Act of 1940, as amended (the 1940 Act ), as an open-end management investment company organized as a Massachusetts business trust. The Fund offers multiple classes of shares which provide investors with different purchase options. Class A shares are subject to an initial sales charge. Class T shares are subject to an initial sales charge and are only available through certain financial intermediaries. Class C shares are not subject to 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. Effective on August 10, 2018, Class C shares automatically convert to Class A shares in the same fund after 10 years, provided that the fund or the financial intermediary through which the shareholder purchased the Class C shares has records verifying that the Class C shares have been held for at least 10 years. Class R shares are not subject to initial or contingent deferred sales charges and are generally available only to certain retirement plans. Class R6 shares are not subject to initial or contingent deferred sales charges and are generally available only to certain retirement plans. Class S shares are not subject to initial or contingent deferred sales charges and are only available to a limited group of investors. Institutional Class shares are not subject to initial or contingent deferred sales charges and are generally available only to qualified institutions. Investment income, realized and unrealized gains and losses, and certain fund-level expenses and expense reductions, if any, are borne pro rata on the basis of relative net assets by the holders of all classes of shares, except that each class bears certain expenses unique to that class such as distribution and service fees, services to shareholders and certain other class-specific expenses. Differences in class-level expenses may result in payment of different per share dividends by class. All shares of the Fund have equal rights with respect to voting subject to class-specific arrangements. The Fund s financial statements are prepared in accordance with accounting principles generally accepted in the United States of America ( U.S. GAAP ) which require the use of management estimates. Actual results could differ from those estimates. The Fund qualifies as an investment company under Topic 946 of Accounting Standards Codification of U.S. GAAP. The policies described below are followed consistently by the Fund in the preparation of its financial statements. DWS RREEF Real Estate Securities Fund 25

26 Security Valuation. Investments are stated at value determined as of the close of regular trading on the New York Stock Exchange on each day the exchange is open for trading. Various inputs are used in determining the value of the Fund s investments. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities. Equity securities are valued at the most recent sale price or official closing price reported on the exchange (U.S. or foreign) or over-the-counter market on which they trade. Securities for which no sales are reported are valued at the calculated mean between the most recent bid and asked quotations on the relevant market or, if a mean cannot be determined, at the most recent bid quotation. Equity securities are generally categorized as Level 1. Investments in open-end investment companies are valued at their net asset value each business day and are categorized as Level 1. Securities and other assets for which market quotations are not readily available or for which the above valuation procedures are deemed not to reflect fair value are valued in a manner that is intended to reflect their fair value as determined in accordance with procedures approved by the Board and are generally categorized as Level 3. In accordance with the Fund s valuation procedures, factors considered in determining value may include, but are not limited to, the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security s disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer, analysts, and/or the appropriate stock exchange (for exchange-traded securities); an analysis of the company s or issuer s financial statements; an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold; and with respect to debt securities, the maturity, coupon, creditworthiness, currency denomination and the movement of the market in which the security is normally traded. The value determined under these procedures may differ from published values for the same securities. Disclosure about the classification of fair value measurements is included in a table following the Fund s Investment Portfolio. Securities Lending. Deutsche Bank AG, as security lending agent, lends securities of the Fund to certain financial institutions under the terms of its securities lending agreement. During the term of the loans, the Fund 26 DWS RREEF Real Estate Securities Fund

27 continues to receive interest and dividends generated by the securities and to participate in any changes in their market value. The Fund requires the borrowers of the securities to maintain collateral with the Fund consisting of either cash or liquid, unencumbered assets having a value at least equal to the value of the securities loaned. When the collateral falls below specified amounts, the lending agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the securities lending agreement. As of period end, any securities on loan were collateralized by cash. During the six months ended June 30, 2018, the Fund invested the cash collateral into a joint trading account in affiliated money market funds, managed by DWS Investment Management Americas, Inc. As of June 30, 2018, the Fund invested the cash collateral in DWS Government & Agency Securities Portfolio. DWS Investment Management Americas, Inc. receives a management/administration fee (0.14% annualized effective rate as of June 30, 2018) on the cash collateral invested in DWS Government & Agency Securities Portfolio. The Fund receives compensation for lending its securities either in the form of fees or by earning interest on invested cash collateral net of borrower rebates and fees paid to a lending agent. Either the Fund or the borrower may terminate the loan at any time, and the borrower, after notice, is required to return borrowed securities within a standard time period. There may be risks of delay and costs in recovery of securities or even loss of rights in the collateral should the borrower of the securities fail financially. If the Fund is not able to recover securities lent, the Fund may sell the collateral and purchase a replacement investment in the market, incurring the risk that the value of the replacement security is greater than the value of the collateral. The Fund is also subject to all investment risks associated with the reinvestment of any cash collateral received, including, but not limited to, interest rate, credit and liquidity risk associated with such investments. As of June 30, 2018, the Fund had securities on loan, which were classified as common stock in the Investment Portfolio. The value of the related collateral exceeded the value of the securities loaned at period end. As of period end, the remaining contractual maturity of the collateral agreements was overnight and continuous. Federal Income Taxes. The Fund s policy is to comply with the requirements of the Internal Revenue Code, as amended, which are applicable to regulated investment companies, and to distribute all of its taxable income to its shareholders. At December 31, 2017, the aggregate cost of investments for federal income tax purposes was $1,235,539,862. The net unrealized appreciation for all investments based on tax cost was $156,063,888. This consisted of aggregate gross unrealized appreciation for all investments in which there was an excess of value over tax cost of $187,934,582 and DWS RREEF Real Estate Securities Fund 27

28 aggregate gross unrealized depreciation for all investments in which there was an excess of tax cost over value of $31,870,694. The Fund has reviewed the tax positions for the open tax years as of December 31, 2017 and has determined that no provision for income tax and/or uncertain tax positions is required in the Fund s financial statements. The Fund s federal tax returns for the prior three fiscal years remain open subject to examination by the Internal Revenue Service. Distribution of Income and Gains. Distributions from net investment income of the Fund are declared and distributed to shareholders quarterly. Net realized gains from investment transactions, in excess of available capital loss carryforwards, would be taxable to the Fund if not distributed, and, therefore, will be distributed to shareholders at least annually. The Fund may also make additional distributions for tax purposes if necessary. The timing and characterization of certain income and capital gain distributions are determined annually in accordance with federal tax regulations which may differ from accounting principles generally accepted in the United States of America. These differences primarily relate to certain securities sold at a loss. As a result, net investment income and net realized gain (loss) on investment transactions for a reporting period may differ significantly from distributions during such period. Accordingly, the Fund may periodically make reclassifications among certain of its capital accounts without impacting the net asset value of the Fund. The tax character of current year distributions will be determined at the end of the current fiscal year. Redemption Fees. Prior to February 1, 2017, the Fund imposed a redemption fee of 2% of the total redemption amount on Fund shares redeemed or exchanged within 15 days of buying them, either by purchase or exchange (subject to certain exceptions). This fee was assessed and retained by the Fund for the benefit of the remaining shareholders. The redemption fee was accounted for as an addition to paid-in capital. Expenses. Expenses of the Trust arising in connection with a specific fund are allocated to that fund. Other Trust expenses which cannot be directly attributed to a fund are apportioned among the funds in the Trust based upon the relative net assets or other appropriate measures. Contingencies. In the normal course of business, the Fund may enter into contracts with service providers that contain general indemnification clauses. The Fund s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Fund that have not yet been made. However, based on experience, the Fund expects the risk of loss to be remote. 28 DWS RREEF Real Estate Securities Fund

29 Real Estate Investment Trusts. The Fund at its fiscal year end recharacterizes distributions received from a Real Estate Investment Trust ( REIT ) investment based on information provided by the REIT into the following categories: ordinary income, long-term and short-term capital gains, and return of capital. If information is not available timely from a REIT, the recharacterization will be estimated for financial reporting purposes and a recharacterization will be made to the accounting records in the following year when such information becomes available. Distributions received from REITs in excess of income are recorded as either a reduction of cost of investments or realized gains. Other. Investment transactions are accounted for on the trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment transactions are reported on trade date. Interest income is recorded on the accrual basis. Dividend income is recorded on the ex-dividend date net of foreign withholding taxes. Realized gains and losses from investment transactions are recorded on an identified cost basis. Proceeds from litigation payments, if any, are included in net realized gain (loss) from investments. B. Purchases and Sales of Securities During the six months ended June 30, 2018, purchases and sales of investment securities (excluding short-term investments) aggregated $1,119,610,599 and $1,165,280,189, respectively. C. Related Parties Management Agreement. Under the Investment Management Agreement with DWS Investment Management Americas, Inc. (formerly Deutsche Investment Management Americas Inc.) ( DIMA or the Advisor ), an indirect, wholly owned subsidiary of DWS Group GmbH & Co. KGaA ( DWS Group ), the Advisor directs the investments of the Fund in accordance with its investment objectives, policies and restrictions. The Advisor determines the securities, instruments and other contracts relating to investments to be purchased, sold or entered into by the Fund or delegates such responsibility to the Fund s subadvisor. RREEF America L.L.C. ( RREEF ), also an indirect, wholly owned subsidiary of DWS Group, is the subadvisor for the Fund. While DIMA is the investment advisor to the Fund, the day-to-day activities of managing the Fund s portfolio have been delegated to RREEF. RREEF is responsible for decisions to buy and sell securities for the Fund and conducts the research that leads to the purchase and sale decisions. DIMA compensates RREEF out of its management fee. DWS RREEF Real Estate Securities Fund 29

30 Under the Investment Management Agreement with the Advisor, the Fund pays a monthly management fee based on the Fund s average daily net assets, computed and accrued daily and payable monthly, at the following annual rates: First $100 million of the Fund s average daily net assets.565% Next $100 million of such net assets.465% Next $100 million of such net assets.415% Over $300 million of such net assets.365% Accordingly, for the six months ended June 30, 2018, the fee pursuant to the Investment Management Agreement was equivalent to an annualized rate (exclusive of any applicable waivers/reimbursements) of 0.39% of the Fund s average daily net assets. For the period from January 1, 2018 through September 30, 2018 (through April 30, 2018 for Class T shares), the Advisor has contractually agreed to waive all or a portion of its fees and/or reimburse certain operating expenses of the Fund to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest) of certain classes as follows: Class A 1.39% Class T 1.32% Class C 2.14% Class R 1.64% Class R6 1.14% Class S 1.14% Class Institutional 1.14% Effective May 1, 2018 through September 30, 2018 for Class T shares, the Advisor has contractually agreed to waive its fees and/or reimburse certain operating expenses to the extent necessary to maintain the total annual operating expenses (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expense) at 1.39%. Administration Fee. Pursuant to the Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays the Advisor an annual fee ( Administration Fee ) of 0.10% of the Fund s average daily net assets, computed and accrued daily and payable monthly. For the six months ended June 30, 2018, the Administration Fee was $619,601, of which $106,298 is unpaid. 30 DWS RREEF Real Estate Securities Fund