N-Q 1 cover.htm DWS SMALL CAP GROWTH FUND

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

 

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

_______________________________

Investment Company Act file number 811-04760

DWS Advisor Funds

(Exact name of registrant as specified in charter)

 

345 Park Avenue

New York, NY 10154

(Address of principal executive offices)             (Zip code)

 

Paul Schubert

345 Park Avenue

New York, NY 10154-0004

(Name and address of agent for service)

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

Date of fiscal year end: 09/30

Date of reporting period: 6/30/09

 

ITEM 1. SCHEDULE OF INVESTMENTS

 

Investment Portfolio

as of June 30, 2009 (Unaudited)

 

DWS Small Cap Growth Fund

 

 

Shares

 

Value ($)

 

 

Common Stocks 99.7%

 

Consumer Discretionary 13.2%

 

Diversified Consumer Services 1.5%

 

Capella Education Co.* (a)

 

18,000

 

1,079,100

 

Hotels Restaurants & Leisure 2.7%

 

Buffalo Wild Wings, Inc.* (a)

 

30,690

 

998,039

 

Burger King Holdings, Inc.

 

22,300

 

385,121

 

Red Robin Gourmet Burgers, Inc.*

 

27,700

 

519,375

 

 

1,902,535

 

Specialty Retail 7.2%

 

Advance Auto Parts, Inc.

 

26,000

 

1,078,740

 

Children's Place Retail Stores, Inc.*

 

36,700

 

969,981

 

DSW, Inc. "A"* (a)

 

58,900

 

580,165

 

Guess?, Inc.

 

44,800

 

1,154,944

 

 

 

 

hhgregg, Inc.*

 

37,900

 

574,564

 

Urban Outfitters, Inc.*

 

38,300

 

799,321

 

 

5,157,715

 

Textiles, Apparel & Luxury Goods 1.8%

 

True Religion Apparel, Inc.*

 

56,000

 

1,248,800

 

Consumer Staples 4.3%

 

Food & Staples Retailing 0.8%

 

Casey's General Stores, Inc.

 

21,700

 

557,473

 

Food Products 2.1%

 

Darling International, Inc.*

 

77,200

 

509,520

 

Green Mountain Coffee Roasters, Inc.* (a)

 

17,400

 

1,028,688

 

 

1,538,208

 

Personal Products 1.4%

 

Chattem, Inc.* (a)

 

14,300

 

973,830

 

Energy 9.0%

 

Energy Equipment & Services 2.2%

 

Dril-Quip, Inc.*

 

26,400

 

1,005,840

 

T-3 Energy Services, Inc.*

 

43,300

 

515,703

 

 

1,521,543

 

Oil, Gas & Consumable Fuels 6.8%

 

Arena Resources, Inc.*

 

29,800

 

949,130

 

BPZ Resources, Inc.* (a)

 

203,500

 

995,115

 

Carrizo Oil & Gas, Inc.* (a)

 

65,540

 

1,124,011

 

EXCO Resources, Inc.*

 

74,610

 

963,961

 

Goodrich Petroleum Corp.* (a)

 

33,700

 

828,683

 

 

4,860,900

 

Financials 8.6%

 

Capital Markets 3.2%

 

Duff & Phelps Corp. "A"

 

42,400

 

753,872

 

Riskmetrics Group, Inc.* (a)

 

36,800

 

649,888

 

Waddell & Reed Financial, Inc. "A"

 

32,700

 

862,299

 

 

2,266,059

 

Commercial Banks 0.7%

 

PrivateBancorp., Inc.

 

23,200

 

515,968

 

Consumer Finance 0.7%

 

Dollar Financial Corp.*

 

38,900

 

536,431

 

Diversified Financial Services 2.1%

 

Portfolio Recovery Associates, Inc.* (a)

 

38,890

 

1,506,210

 

Insurance 1.9%

 

eHealth, Inc.* (a)

 

74,700

 

1,319,202

 

Health Care 23.3%

 

Biotechnology 4.2%

 

Alexion Pharmaceuticals, Inc.*

 

28,500

 

1,171,920

 

BioMarin Pharmaceutical, Inc.*

 

29,500

 

460,495

 

Myriad Genetics, Inc.*

 

27,800

 

991,070

 

Myriad Pharmaceuticals, Inc.*

 

6,450

 

29,993

 

United Therapeutics Corp.*

 

4,300

 

358,319

 

 

3,011,797

 

Health Care Equipment & Supplies 5.4%

 

Hologic, Inc.*

 

52,300

 

744,229

 

 

 

 

Masimo Corp.*

 

33,000

 

795,630

 

NuVasive, Inc.* (a)

 

21,900

 

976,740

 

Thoratec Corp.*

 

50,700

 

1,357,746

 

 

3,874,345

 

Health Care Providers & Services 6.8%

 

AMERIGROUP Corp.*

 

19,200

 

515,520

 

Centene Corp.*

 

32,100

 

641,358

 

Genoptix, Inc.*

 

34,100

 

1,090,859

 

Gentiva Health Services, Inc.*

 

40,600

 

668,276

 

MEDNAX, Inc.*

 

15,000

 

631,950

 

Psychiatric Solutions, Inc.*

 

55,300

 

1,257,522

 

 

4,805,485

 

Health Care Technology 0.8%

 

Cerner Corp.*

 

8,800

 

548,152

 

Life Sciences Tools & Services 2.6%

 

Covance, Inc.*

 

10,400

 

511,680

 

ICON PLC (ADR)

 

35,600

 

768,248

 

Illumina, Inc.*

 

15,100

 

587,994

 

 

1,867,922

 

Pharmaceuticals 3.5%

 

Flamel Technologies SA (ADR)* (a)

 

36,319

 

254,233

 

MiddleBrook Pharmaceuticals, Inc.* (a)

 

242,000

 

326,700

 

Mylan, Inc.*

 

75,700

 

987,885

 

Par Pharmaceutical Companies, Inc.*

 

59,900

 

907,485

 

 

2,476,303

 

Industrials 15.0%

 

Aerospace & Defense 2.2%

 

BE Aerospace, Inc.*

 

55,140

 

791,810

 

Curtiss-Wright Corp.

 

25,600

 

761,088

 

 

1,552,898

 

Commercial Services & Supplies 0.6%

 

Team, Inc.* (a)

 

29,000

 

454,430

 

Construction & Engineering 0.7%

 

MYR Group, Inc.*

 

22,600

 

456,972

 

Electrical Equipment 5.4%

 

A-Power Energy Generation Systems Ltd.* (a)

 

63,100

 

503,538

 

AZZ, Inc.*

 

23,200

 

798,312

 

Baldor Electric Co. (a)

 

44,800

 

1,065,792

 

General Cable Corp.*

 

19,500

 

732,810

 

Polypore International, Inc.*

 

67,300

 

748,376

 

 

3,848,828

 

Machinery 3.5%

 

Astec Industries, Inc.*

 

21,800

 

647,242

 

Badger Meter, Inc.

 

19,100

 

783,100

 

RBC Bearings, Inc.*

 

32,100

 

656,445

 

Terex Corp.*

 

35,300

 

426,071

 

 

2,512,858

 

Professional Services 0.9%

 

FTI Consulting, Inc.*

 

12,500

 

634,000

 

Road & Rail 1.7%

 

Genesee & Wyoming, Inc. "A"*

 

21,300

 

564,663

 

 

 

 

Knight Transportation, Inc.

 

38,800

 

642,140

 

 

1,206,803

 

Information Technology 24.2%

 

Electronic Equipment, Instruments & Components 2.1%

 

Itron, Inc.* (a)

 

27,770

 

1,529,294

 

Internet Software & Services 3.3%

 

LogMeIn, Inc.*

 

3,300

 

52,800

 

LoopNet, Inc.*

 

120,300

 

932,325

 

MercadoLibre, Inc.*

 

26,300

 

706,944

 

Omniture, Inc.*

 

51,900

 

651,864

 

 

2,343,933

 

IT Services 4.7%

 

CyberSource Corp.*

 

100,000

 

1,530,000

 

Forrester Research, Inc.*

 

51,000

 

1,252,050

 

ManTech International Corp. "A"*

 

12,700

 

546,608

 

 

3,328,658

 

Semiconductors & Semiconductor Equipment 5.7%

 

Atheros Communications*

 

54,100

 

1,040,884

 

Cavium Networks, Inc.* (a)

 

55,950

 

940,519

 

Microsemi Corp.*

 

49,400

 

681,720

 

Netlogic Microsystems, Inc.* (a)

 

37,300

 

1,359,958

 

 

4,023,081

 

Software 8.4%

 

ArcSight, Inc.*

 

21,800

 

387,386

 

Blackboard, Inc.* (a)

 

35,400

 

1,021,644

 

Concur Technologies, Inc.*

 

34,800

 

1,081,584

 

FalconStor Software, Inc.*

 

236,140

 

1,121,665

 

Rosetta Stone, Inc.*

 

17,900

 

491,176

 

Taleo Corp. "A"*

 

57,700

 

1,054,179

 

VanceInfo Technologies, Inc. (ADR)* (a)

 

55,500

 

819,735

 

 

5,977,369

 

Materials 2.1%

 

Chemicals 0.9%

 

Airgas, Inc.

 

16,100

 

652,533

 

Containers & Packaging 1.2%

 

Silgan Holdings, Inc.

 

17,200

 

843,316

 

Total Common Stocks (Cost $71,562,102)

 

70,932,951

 

 

Warrants 0.0%

 

Information Technology

 

Lantronix, Inc., Expiration Date 2/9/2011* (Cost $0)

 

865

 

26

 

 

Securities Lending Collateral 17.5%

 

Daily Assets Fund Institutional, 0.48% (b) (c)
(Cost $12,447,290)

 

 

12,447,290

 

12,447,290

 

 

Cash Equivalents 0.9%

 

Cash Management QP Trust, 0.27% (b)
(Cost $616,773)

 

 

616,773

 

616,773

 

 

 

 

 

% of
Net Assets

 

Value ($)

 

Total Investment Portfolio (Cost $84,626,165) †

118.1

 

83,997,040

 

Other Assets and Liabilities, Net

(18.1)

 

(12,876,579)

 

Net Assets

100.0

 

71,120,461

 

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

 

*

Non-income producing security.

 

†

The cost for federal income tax purposes was $88,224,051. At June 30, 2009, net unrealized depreciation for all securities based on tax cost was $4,227,011. This consisted of aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost of $8,684,637 and aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value of $12,911,648.

 

(a)

All or a portion of these securities were on loan. The value of all securities loaned at June 30, 2009 amounted to $12,015,008 which is 16.9% of net assets.

 

(b)

Affiliated fund managed by Deutsche 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.

 

ADR: American Depositary Receipt

 

 

Fair Value Measurements

 

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

 

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

 

The following is a summary of the inputs used as of June 30, 2009 in valuing the Fund's investments:

 

Level 1

Level 2

Level 3

Total

 

Assets

 

 

 

 

 

Common Stock and/or Other Equity Investments(d)

 

 

 

 

 

Consumer Discretionary

$ 9,388,150

$ —

$ —

$ 9,388,150

 

Consumer Staples

3,069,511

—

—

3,069,511

 

Energy

6,382,443

—

—

6,382,443

 

Financials

6,143,870

—

—

6,143,870

 

Health Care

16,584,004

—

—

16,584,004

 

Industrials

10,666,789

—

—

10,666,789

 

Information Technology

17,202,335

—

26

17,202,361

 

Materials

1,495,849

—

—

1,495,849

 

Short-Term Investments(d)

12,447,290

616,773

—

13,064,063

 

Total

$ 83,380,241

$ 616,773

$ 26

$ 83,997,040

 

 

 

 

 

 

 

(d)

See Investment Portfolio for additional detailed categorizations.

 

The following is a reconciliation of the Portfolio's Level 3 investments for which significant unobservable inputs were used in determining the value:

Level 3 Reconciliation

Common Stock and/or Other Equity Investments

Balance as of September 30, 2008

$ 19

Realized gains (loss)

—

Change in unrealized appreciation (depreciation)

7

Amortization premium/discount

—

 

 

 

Net purchase (sales)

—

Net transfers in (out) of Level 3

—

Balance as of June 30, 2009

$ 26

Net change in unrealized appreciation (depreciation) from investments still held as of June 30, 2009

$ 7

 

ITEM 2.

CONTROLS AND PROCEDURES

 

 

 

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

 

 

 

(b)          There have been no changes in the registrant’s internal control over financial reporting that occurred during the registrant’s last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal controls over financial reporting.

 

 

ITEM 3.

EXHIBITS

 

 

 

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

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

Registrant:

DWS Small Cap Growth Fund, a series of DWS Advisor Funds

 

 

By:

/s/Michael G. Clark

Michael G. Clark

President

 

 

Date:

August 17, 2009

 

 

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

 

Registrant:

DWS Small Cap Growth Fund, a series of DWS Advisor Funds

 

 

By:

/s/Michael G. Clark

Michael G. Clark

President

 

 

Date:

August 17, 2009

 

 

 

 

 

 

By:

/s/Paul Schubert

Paul Schubert

Chief Financial Officer and Treasurer

 

 

Date:

August 17, 2009