DWS Investment S.A

DWS Investment S.A. DWS Invest

Sales Prospectus An investment company with variable capital (SICAV) incorporated under Luxembourg law July 15, 2021 Information for investors in Switzerland

The distribution of some of these collective investment schemes (the “Units”) in Switzerland will be exclusively made to, and directed at, qualified investors, as defined in the Swiss Collective Investment Schemes Act of June 23, 2006, as amended, and its implementing ordinance (“CISO“). Accordingly, some of the collective investment schemes have not been and will not be registered with the Swiss Financial Market Supervisory Authority FINMA. This fund document and/ or any other offering materials relating to the Shares may be made available in Switzerland solely to qualified investors.

The collective investment schemes approved for distribution to non-qualified investors in or from Switzerland by the Swiss Financial Market Supervisory Authority FINMA are listed on www.finma.ch. The Swiss version of the sales prospectus containing these collective investment schemes are available on www.dws.ch.

1. Representative in Switzerland DWS CH AG Hardstrasse 201 8005 Zurich, Switzerland

2. Paying Agent in Switzerland Deutsche Bank (Suisse) SA Place des Bergues 3 1201 Geneva, Switzerland

3. Location where the relevant documents may be obtained The prospectus, key investor information document, investment conditions as well as the annual and semi-annual reports (if applicable) may be obtained free of charge from the representative in Switzerland.

4. Payment of retrocessions and rebates The Management Company and its agents may pay retrocessions as remuneration for distri-bution activity in respect of fund units in or from Switzerland. This remuneration may be deemed payment for the following services in particular: –– Distribution activity; –– Customer care.

Retrocessions are not deemed to be rebates even if they are ultimately passed on, in full or in part, to the investors. The recipients of the retrocessions must ensure transparent disclosure and inform investors, unsolicited and free of charge, about the amount of remuneration they may receive for distribution. On request, the recipients of retrocessions must disclose the amounts they actually receive for distributing the collective investment schemes of the investors concerned. In the case of distribution activity in or from Switzerland, the Management Company and its agents may, upon request, pay rebates directly to investors. The purpose of rebates is to reduce the fees or costs incurred by the investor in question. Rebates are permitted provided that –– they are paid from fees received by the Management Company and therefore do not represent an additional charge on the fund assets; –– they are granted on the basis of objective criteria; –– all investors who meet these objective criteria and demand rebates are also granted these within the same time frame and to the same extent. The objective criteria for the granting of rebates by the Management Company are as follows: –– the volume subscribed by the investor or the total volume being hold in the collective investment scheme or, where applicable, in the product range of the promoter; –– the amount of the fees generated by the investor; –– the investment behavior shown by the investor (e.g. expected investment period); –– the investor’s willingness to provide support in the launch phase of a collective investment scheme.

At the request of the investor, the Management Company must disclose the amounts of such rebates free of charge.

5. Place of performance and jurisdiction In respect of the units distributed in or from Switzerland, the place of performance and jurisdiction is the registered office of the Representative. Contents

A. Sales Prospectus – General Section 4 General information 4 Investor profiles 23 Investment Company 24 Management Company 37 Depositary 37

B. Sales Prospectus – Special Section 43 DWS Invest Africa 43 DWS Invest Artificial Intelligence 48 DWS Invest Asian Bonds 50 DWS Invest Asian Small/Mid Cap 53 DWS Invest Brazilian Equities 55 DWS Invest China Bonds 58 DWS Invest Chinese Equities 61 DWS Invest Conservative Opportunities 64 DWS Invest Convertibles 66 DWS Invest Corporate Hybrid Bonds 68 DWS Invest Credit Opportunities 70 DWS Invest CROCI Euro 72 DWS Invest CROCI Europe SDG 75 DWS Invest CROCI Global Dividends 78 DWS Invest CROCI Intellectual Capital 81 DWS Invest CROCI Japan 85 DWS Invest CROCI Sectors 88 DWS Invest CROCI Sectors Plus 91 DWS Invest CROCI US 94 DWS Invest CROCI US Dividends 97 DWS Invest CROCI World 100 DWS Invest CROCI World SDG 103 DWS Invest Emerging Markets Corporates 106 DWS Invest Emerging Markets IG Sovereign Debt 109 DWS Invest Emerging Markets Opportunities 111 DWS Invest Emerging Markets Sovereign Debt 113 DWS Invest Enhanced Commodity Strategy 115 DWS Invest ESG Arabesque AI Eurozone Equity 118 DWS Invest ESG Asian Bonds1 120 DWS Invest ESG Clean Energy 123 DWS Invest ESG Climate Tech 125 DWS Invest ESG Digital Education 128 DWS Invest ESG Dynamic Opportunities2 130 DWS Invest ESG Emerging Markets Top Dividend3 134 DWS Invest ESG Equity Income 137 DWS Invest ESG Euro Bonds (Short) 140 DWS Invest ESG Euro Corporate Bonds 142 DWS Invest ESG Euro Covered Bonds 145 DWS Invest ESG Euro High Yield 147

1 The sub-fund DWS Invest Asian IG Bonds was renamed DWS Invest ESG Asian Bonds effective July 15, 2021. 2 The sub-fund DWS Invest Dynamic Opportunities was renamed DWS Invest ESG Dynamic Opportunities effective July 15, 2021. 3 The sub-fund DWS Invest Emerging Markets Top Dividend was renamed DWS Invest ESG Emerging Markets Top Dividend effective July 15, 2021.

1 DWS Invest ESG Euro-Gov Bonds 150 DWS Invest ESG European Small/Mid Cap 152 DWS Invest ESG Floating Rate Notes 155 DWS Invest ESG Global Corporate Bonds 157 DWS Invest ESG Global Emerging Markets Equities 160 DWS Invest ESG Global High Yield Corporates 163 DWS Invest ESG Healthy Living 165 DWS Invest ESG Local Emerging Markets Debt 167 DWS Invest ESG Mobility 169 DWS Invest ESG Multi Asset Balance 172 DWS Invest ESG Multi Asset Defensive 175 DWS Invest ESG Multi Asset Dynamic 177 DWS Invest ESG Multi Asset Income4 179 DWS Invest ESG NextGen Consumer 182 DWS Invest ESG Next Generation Infrastructure 184 DWS Invest ESG Qi US Equity5 187 DWS Invest ESG Real Assets Balanced 190 DWS Invest ESG USD Corporate Bonds 193 DWS Invest Euro Corporate Bonds 195 DWS Invest Euro High Yield Corporates 198 DWS Invest Euro-Gov Bonds 201 DWS Invest European Equity High Conviction 203 DWS Invest European Small Cap 205 DWS Invest Financial Hybrid Bonds 207 DWS Invest German Equities 210 DWS Invest Global Agribusiness 212 DWS Invest Global Bonds 214 DWS Invest Global Emerging Markets Equities 216 DWS Invest Global High Yield Corporates 219 DWS Invest Global Impact Bonds 221 DWS Invest Global Infrastructure 223 DWS Invest Global Real Estate Securities 226 DWS Invest Gold and Precious Metals Equities 228 DWS Invest Green Bonds 230 DWS Invest Latin American Equities 232 DWS Invest Low Carbon Bonds 234 DWS Invest Multi Credit 237 DWS Invest Multi Opportunities 239 DWS Invest Multi Strategy 242 DWS Invest Nomura Japan Growth 244 DWS Invest Qi Global Climate Action 246 DWS Invest Qi Global Dynamic Fixed Income 249 DWS Invest Qi LowVol Emerging Markets 251 DWS Invest Qi LowVol World 253 DWS Invest SDG Bonds 255 DWS Invest SDG European Equities 257 DWS Invest SDG Global Equities 260 DWS Invest Short Duration Credit 263

4 The sub-fund DWS Invest Multi Asset Income was renamed DWS Invest ESG Multi Asset Income effective July 15, 2021. 5 The sub-fund DWS Invest Qi US Equity was renamed DWS Invest ESG Qi US Equity effective July 15, 2021

2 DWS Invest Short Duration Income 265 DWS Invest Smart Industrial Technologies 267 DWS Invest StepIn Global Equities 269 DWS Invest Top Asia 271 DWS Invest Top Dividend 273 DWS Invest Top Euroland 276 DWS Invest USD High Yield Corporates 279

Legal structure: Umbrella SICAV according to Part I of the Law of December 17, 2010, on Undertakings for Collective Investment.

General information

The investment company described in this tion of February 8, 2008, the guidelines of the time. Share classes may be consolidated into Sales Prospectus (“Investment Company”) is an Committee of European Securities Regulators categories of shares. open-ended investment company with variable (CESR) set out in the document “CESR’s guide The following provisions apply to all of the sub- capital (“Société d’Investissement à Capital Vari- lines concerning eligible assets for investment by funds set up under DWS Invest. The respective able” or “SICAV”) established in Luxembourg in UCITS,” as amended, provide a set of additional special regulations for each of the individual sub- accordance with Part I of the Luxembourg law explanations that are to be observed in relation funds are contained in the special section of the on Undertakings for Collective Investment of De- to the financial instruments that are applicable Sales Prospectus. cember 17, 2010 (“Law of 2010”), and in compli- for UCITS falling under the UCITS Directive, as ance with the provisions of Directive 2014/91/EU amended.3 (amending Directive, 2009/65/EC (“UCITS Direc- The Investment Company may offer the investor tive“)), Commission Delegated Regulation (EU) one or more sub-funds (umbrella structure) at its 2016/438 of December 17, 2015, supplementing own discretion. The aggregate of the sub-funds Directive 2009/65/EC of the European Parlia- produces the umbrella fund. In relation to third 1 Replaced by the Law of 2010. ment and of the Council with regard to obliga- parties, the assets of a sub-fund are only liable 2 Commission Directive 2007/16/EC of March 19, 2007, tions of depositories, as well as the provisions for the liabilities and payment obligations involv implementing Council Directive 85/611/EEC on the co- of the Grand-Ducal Regulation of February 8, ing such sub-fund. Additional sub-funds may be ordination of laws, regulations and administrative provi- 2008, relating to certain definitions of the Law established and/or one or more existing sub- sions relating to undertakings for collective investment in of December 20, 2002, on Undertakings for funds may be dissolved or merged at any time. transferable securities (UCITS) as regards the clarification of certain definitions. Collective Investment, as amended 1 (“Grand- One or more share classes can be offered to the 3 See CSSF Circular 08/339 in the currently applicable Ducal Regulation of February 8, 2008”), and investor within each sub-fund (multi-share-class version: CESR’s guidelines concerning eligible assets for 2 implementing Directive 2007/16/EC (“Directive construction). The aggregate of the share classes investment by UCITS – March 2007, ref.: CESR/07-044; 2007/16/EC”) in Luxembourg law. produces the sub-fund. Additional share classes CESR’s guidelines concerning eligible assets for invest- With regard to the provisions contained in Direc- may be established and/or one or more existing ment by UCITS – The classification of hedge fund indices tive 2007/16/EC and in the Grand-Ducal Regula- share classes may be dissolved or merged at any as financial indices – July 2007, ref.: CESR/07-434.

3 A. Sales Prospectus – General Section

General information Market risk Custody risk The price or market performance of financial The custody risk describes the risk resulting from The following provisions apply to all of the sub- products depends, in particular, on the per the basic possibility that, in the event of insol- funds set up under DWS Invest, SICAV (the formance of the capital markets, which in turn vency, violation of due diligence or improper “Investment Company”). The respective special are affected by the overall economic situation conduct on the part of the Depositary or any regulations for each of the individual sub-funds and the general economic and political frame- sub-depositary, the investments in custody may are contained in the special section of the Sales work in individual countries. Irrational factors be removed in whole or in part from the Invest- Prospectus. such as sentiment, opinions and rumors have an ment Company’s access to its loss. effect on general price performance, particularly on an exchange. Concentration risk Notes Additional risks may arise from a concentration Market risk in connection of investments in particular assets or markets. The legal basis for the sale of sub-fund shares with sustainability risks The Investment Company’s assets then become is the current Sales Prospectus, to be read in The market price may also be affected by risks particularly heavily dependent on the perfor conjunction with the Investment Company’s from environmental, social or corporate gover- mance of these assets or markets. articles of incorporation. nance aspects. For example, market prices can change if companies do not act sustainably and do Risk of changes in interest rates It is prohibited to provide any information or not invest in sustainable transformations. Similarly, Investors should be aware that investing in deliver any statements other than those of this strategic orientations of companies that do not shares may involve interest rate risks. These Sales Prospectus. The Investment Company shall take sustainability into account can have a nega- risks may occur in the event of interest rate not be liable if such divergent information or tive impact on share prices. The reputational risk fluctuations in the denomination currency of the explanations are supplied. arising from unsustainable corporate actions can securities or the respective sub-fund. also have a negative impact. Additionally, physical The Sales Prospectus, the Key Investor Information damage caused by climate change or measures to Legal and political risks Document (“KIID”) and the annual and semi- transition to a low-carbon economy can also have Investments may be made for the Investment annual reports may be obtained free of charge a negative impact on the market price. Company in jurisdictions in which Luxembourg law from the Investment Company, the Management does not apply, or, in the event of legal disputes, Company or the paying agents. Other important Country or transfer risk the place of jurisdiction is located outside of information will be communicated to shareholders A country risk exists when a foreign borrower, Luxembourg. The resulting rights and obligations of in a suitable form by the Management Company. despite ability to pay, cannot make payments at all, the Investment Company may vary from its rights or not on time, because of the inability or unwill- and obligations in Luxembourg, to the detriment of ingness of its country of domicile to execute the Investment Company and/or the investor. General risk warnings transfers. This means that, for example, payments to which the respective sub-fund is entitled may The Investment Company may be unaware of Investing in the shares of the Investment Com- not occur, or be in a currency that is no longer political or legal developments (or may only pany involves risks. These can encompass or convertible due to restrictions on currency become aware of them at a later date), including involve equity or bond market risks, interest rate, exchange. amendments to the legislative framework in credit, default, liquidity and counterparty risks as these jurisdictions. Such developments may also well as exchange rate, volatility, or political risks. Settlement risk lead to limitations regarding the eligibility of Any of these risks may also occur along with Especially when investing in unlisted securities, assets that may be, or already have been, other risks. Some of these risks are addressed there is a risk that settlement via a transfer system acquired. This situation may also arise if the briefly below. Potential investors should possess is not executed as expected because a payment or Luxembourg legislative framework governing the experience of investing in instruments that are delivery did not take place in time or as agreed. Investment Company and/or the management of employed within the scope of the proposed the Investment Company is amended. investment policy. Investors should also have a Changes in the tax framework, tax risk clear picture of the risks involved in investing in The information provided in this Sales Prospectus Operational risk the shares and should not make a decision to is based on our understanding of current tax laws. The Investment Company may be exposed to a invest until they have fully consulted their legal, The summary of tax regulations is addressed to risk of loss, which can arise, for example, from tax and financial advisors, auditors or other persons subject to unlimited individual or corporate inadequate internal processes and from human advisors about (a) the suitability of investing in income taxation in Germany. However, no respon- error or system failures at the Investment the shares, taking into account their personal sibility can be assumed for potential changes in the Company, the Management Company or at financial and tax situation and other circum- tax structure through legislation, court decisions or external third parties. These risks can affect the stances, (b) the information contained in this the orders of the tax authorities. performance of a sub-fund, and can thus also Sales Prospectus, and (c) the respective sub- adversely affect the net asset value per share fund’s investment policy. Currency risk and the capital invested by the investor. To the extent that the sub-fund’s assets are It must be noted that investments made by invested in currencies other than the respective Risks due to criminal acts, a sub-fund also contain risks in addition to sub-fund currency, the respective sub-fund will maladministration, natural disasters, the opportunities for price increases. The receive income, repayments and proceeds from lack of attention to sustainability Investment Company`s shares are securities, such investments in these other currencies. If The fund may become a victim of fraud or other the value of which is determined by the price the value of this currency depreciates in relation criminal acts. It may suffer losses due to errors fluctuations of the assets contained in the to the sub-fund currency, the value of the sub- by employees of the management company or respective sub-fund. Accordingly, the value of fund’s assets is reduced. external third parties, or be damaged by outside the shares may rise or fall in comparison with events such as natural disasters or pandemics. the purchase price. Sub-funds offering non-base currency share These events may be caused or exacerbated by classes might be exposed to positive or negative a lack of attention to sustainability. The Manage- No assurance can therefore be given that the currency impacts due to time lags attached to ment Company strives to keep operational risks investment objectives will be achieved. necessary order processing and booking steps. and potential financial impacts thereof which

4 may be affecting the value of the assets of a Risks connected to After a trigger event, the recovery of the principal fund as low as reasonably possible by having derivative transactions value mainly depends on the structure of the processes and procedures in place to identify, Buying and selling options, as well as the conclu- CoCo, according to which nominal losses of the manage and mitigate such risks. sion of futures contracts or swaps (including total CoCo can be fully or partially absorbed using one return swaps), involves the following risks: of the three different methodologies: Equity Inflation risk Conversion, Temporary Write-Down or Perma- All assets are subject to a risk of devaluation –– Price changes in the underlying instrument nent Write-Down. In case of temporary amorti through inflation. can cause a decrease in the value of the zation, amortization is fully discretionary and option or future contract, and even result in a subject to certain regulatory restrictions. Any Key individual risk total loss. Changes in the value of the asset distributions of remaining capital payable after The exceptionally positive performance of a underlying a swap or total return swap can the trigger event will be based on the reduced sub-fund during a particular period is also attribut- also result in losses for the respective sub- principal. A CoCo investor may suffer losses able to the abilities of the individuals acting in the fund assets. before equity investors and other debt holders interests of the sub-fund, and therefore to the –– Any necessary back-to-back transactions in relation to the same issuer. correct decisions made by their respective (closing of position) incur costs which can management. Fund management personnel can cause a decrease in the value of the sub- CoCo terms structures may be complex and change, however. New decisionmakers might not fund’s assets. may vary from issuer to issuer and bond to bond, be as successful. –– The leverage effect of options, swaps, following minimum requirements as laid out in futures contracts or other derivatives may the EU Capital Requirements Directive IV / Change in the investment policy alter the value of the sub-fund’s assets more Capital Requirements (CRD IV / CRR). The risk associated with the sub-fund’s assets strongly than the direct purchase of the may change in terms of content due to a change underlying instruments would. There are additional risks which are associated in the investment policy within the range of –– The purchase of options entails the risk that with investing in CoCos like: investments permitted for the respective sub- the options are not exercised because the fund’s assets. prices of the underlying instruments do not a) Risk of falling below the specified trigger level change as expected, meaning that the sub- (trigger level risk) Changes to the Sales Prospectus; fund’s assets lose the option premium they liquidation or merger paid. If options are sold, there is the risk that The probability and the risk of a conversion or of The Investment Company reserves the right to the sub-fund may be obliged to buy assets at a a write-down are determined by the difference change the Sales Prospectus for the respective price that is higher than the current market between the trigger level and the capital ratio of sub-fund(s). In addition, the Investment Company price, or obliged to deliver assets at a price the CoCo issuer currently required for regulatory may, in accordance with the provisions of its which is lower than the current market price. purposes. articles of incorporation and Sales Prospectus, In that case, the sub-fund will suffer from a liquidate the sub-fund entirely or merge it with loss amounting to the price difference minus The mechanical trigger for conversion is when another fund’s assets. For the investor, this the option premium which had been received. the issuer’s required regulatory capital ratio falls entails the risk that the holding period planned –– Futures contracts also entail the risk that the below 5.125% or other specified thresholds, as by the investor will not be realized. sub-fund’s assets may make losses due to set out in the issue prospectus of the respective market prices not having developed as CoCo. Especially in the case of a high trigger, Credit risk expected at maturity. CoCo investors may lose the capital invested, for Bonds or debt instruments involve a credit risk example in the case of a write-down of the nomi- with regard to the issuers, for which the issuer’s Risk connected to the acquisition of nal value or conversion into equity capital (shares). credit rating can be used as a benchmark. Bonds shares of investment funds or debt instruments issued by issuers with a lower When investing in shares of target funds, it must At sub-fund level, this means that the actual risk rating are generally viewed as securities with a be taken into consideration that the fund managers of falling below the trigger level is difficult to higher credit risk and greater risk of default on the of the individual target funds act independently of assess in advance because, for example, the part of the issuer than those instruments that are one another and that therefore multiple target capital ratio of the issuer may only be published issued by issuers with a better rating. If an issuer funds may follow investment strategies which are quarterly and therefore the actual gap between of bonds or debt instruments runs into financial or identical or contrary to one another. This can result the trigger level and the capital ratio is only economic difficulties, this can affect the value of in a cumulative effect of existing risks, and any known at the time of publication. the bonds or debt instruments (this value could opportunities might be offset. drop to zero) and the payments made on the basis b) Risk of suspension of the coupon payment of these bonds or debt instruments (these pay- Risks relating to investments in (coupon cancellation risk) ments could drop to zero). Additionally, some contingent convertibles bonds or debt instruments are subordinated in the Contingent convertibles (“CoCos”) are a form The issuer or the supervisory authority can financial structure of an issuer, so that in the event of hybrid capital security that have the properties suspend the coupon payments at any time. Any of financial difficulties, the losses can be severe of both bonds and equity, and can be counted coupon payments missed out on are not made and the likelihood of the issuer meeting these towards the issuer’s capital requirements up for when coupon payments are resumed. For obligations may be lower than other bonds or debt mandated by regulators. the CoCo investor, there is a risk that not all of instruments, leading to greater volatility in the the coupon payments expected at the time of price of these instruments. Depending on their terms and conditions, CoCos acquisition will be received. intend to either convert into equity or have their Risk of default principal written down upon the occurrence of c) Risk of a change to the coupon In addition to the general trends on capital certain ‘triggers’ linked to regulatory capital thresh- (coupon calculation / reset risk) markets, the particular performance of each olds or the conversion event can be triggered by individual issuer also affects the price of an the supervisory authority beyond the control of the If the CoCo is not bought back by the CoCo investment. The risk of a decline in the assets of issuer, if supervisory authorities question the issuer on the specified call date, the issuer can issuers, for example, cannot be eliminated even continued viability of the issuer or any affiliated redefine the terms and conditions of issue. If the by the most careful selection of the securities. company as a going-concern.

5 issuer does not call the CoCo, the amount of the h) Liquidity risk often extremely volatile. Among other things, coupon can be changed on the call date. changes to these prices are caused by interest CoCos bear a liquidity risk in stressed market rates, changes to the balance of demand and d) Risk due to prudential requirements conditions due to a specialized investor base supply, external forces affecting the market (conversion and write down risk) and lower overall market volume compared to (especially in connection with important trading plain-vanilla bonds. partners), trade-related, tax-related or monetary A number of minimum requirements in relation policies, governmental policies as well as inter to the equity capital of banks were defined in i) Yield valuation risk national political and economic events. CRD IV. The amount of the required capital buffer differs from country to country in accordance Due to the callable nature of CoCos it is not In most cases, the securities markets in the with the respective valid regulatory law appli certain what calculation date to use in yield emerging markets are still in their primary stage cable to the issuer. calculations. At every call date there is the risk of development. This may result in risks and that the maturity of the bond will be extended practices (such as increased volatility) that usu At sub-fund level, the different national require and the yield calculation needs to be changed to ally do not occur in developed securities markets ments have the consequence that the conver the new date, which can result in a yield change. and which may have a negative influence on the sion as a result of the discretionary trigger or the securities listed on the stock exchanges of these suspension of the coupon payments can be j) Unknown risk countries. Moreover, the markets in emerging- triggered accordingly depending on the regula market countries are frequently characterized by tory law applicable to the issuer and that an Due to the innovative character of the CoCos and illiquidity in the form of low turnover of some of additional uncertainty factor exists for the CoCo the ongoing changing regulatory environment for the listed securities. investor, or the investor, depending on the financial institutions, there could occur risks national conditions and the sole judgment of the which cannot be foreseen at the current stage. In comparison to other types of investment that respective competent supervisory authority. carry a smaller risk, it is important to note that For further details, please refer to the ESMA exchange rates, securities and other assets from Moreover, the opinion of the respective supervi statement (ESMA/2014/944) from July 31, 2014 emerging markets are more likely to be sold as a sory authority, as well as the criteria of relevance ‘Potential Risks Associated with Investing in result of the “flight into quality” effect in times for the opinion in the individual case, cannot be Contingent Convertible Instruments’. of economic stagnation. conclusively assessed in advance. Liquidity risk Frontier markets are a subset of emerging e) Call risk and risk of the competent Liquidity risks arise when a particular security is markets that are too small to be considered an supervisory authority preventing a call difficult to dispose of. In principle, acquisitions emerging market. (call extension risk) for a sub-fund must only consist of securities that can be sold again at any time. Nevertheless, CoCos are perpetual long-term debt securities it may be difficult to sell particular securities at Investments in Russia that are callable by the issuer at certain call dates the desired time during certain phases or in defined in the issue prospectus. The decision to particular exchange segments. There is also the If provided for in the special section of the Sales call is made at the discretion of the issuer, but it risk that securities traded in a rather narrow Prospectus for a particular sub-fund, sub-funds does require the approval of the issuer’s com market segment will be subject to considerable may, within the scope of their respective invest petent supervisory authority. The supervisory price volatility. ment policies, invest in securities that are traded authority makes its decision in accordance with on the Moscow Exchange (MICEX-RTS). The applicable regulatory law. exchange is a recognized and regulated market Assets in the emerging markets as defined by Article 41 (1) of the Law 2010. The CoCo investor can only resell the CoCo on Additional details are specified in the special a secondary market, which in turn is associated Investing in assets from the emerging markets section of the Sales Prospectus. with corresponding market and liquidity risks. generally entails a greater risk (potentially includ ing considerable legal, economic and political f) Equity risk and subordination risk risks) than investing in assets from the markets Custody and registration risk (capital structure inversion risk) of industrialized countries. in Russia

In the case of conversion to equities, CoCo Emerging markets are markets that are, by –– Even though commitments in the Russian investors become shareholders when the trigger definition, “in a state of transition” and are equity markets are well covered through the occurs. In the event of insolvency, claims of therefore exposed to rapid political change and use of GDRs and ADRs, individual sub-funds shareholders may have subordinate priority and economic declines. During the past few years, may, in accordance with their investment be dependent on the remaining funds available. there have been significant political, economic policies, invest in securities that might Therefore, the conversion of the CoCo may lead and societal changes in many emerging-market require the use of local depositary and/or to a total loss of capital. countries. In many cases, political considerations custodial services. At present, the proof of have led to substantial economic and societal legal ownership of equities in Russia is g) Industry concentration risk tensions, and in some cases these countries delivered in book-entry form. have experienced both political and economic –– The Shareholder Register is of decisive Industry concentration risk can arise from instability. Political or economic instability can importance in the custody and registration uneven distribution of exposures to financials influence investor confidence, which in turn can procedure. Registrars are not subject to any due to the specific structure of CoCos. CoCos have a negative effect on exchange rates, secu real government supervision, and the sub- are required by law to be part of the capital rity prices or other assets in emerging markets. fund could lose its registration through fraud, structure of financial institutions. negligence or just plain oversight. Moreover, The exchange rates and the prices of securities in practice, there was and is no really strict and other assets in the emerging markets are adherence to the regulation in Russia under

6 which companies having more than 1,000 evenly across different sectors of the PRC implement or pursue its investment objectives or shareholders must employ their own inde- economy. The PRC government has also imple- strategies, due to RQFII investment restrictions, pendent registrars who fulfil the legally mented various measures from time to time to illiquidity of the PRC’s securities markets, and prescribed criteria. Given this lack of indepen- prevent overheating of the economy. Further- delay or disruption in execution of trades or in dence, the management of a company may more, the transformation of the PRC from a settlement of trades. be able to exert potentially considerable socialist economy to a more market-oriented influence over the compilation of the share- economy has led to various economic and social The regulations which regulate investments by holders of the Investment Company. disruptions in the PRC and there can be no RQFIIs in the PRC and the repatriation of capital –– Any distortion or destruction of the register assurance that such transformation will continue from RQFII investments are relatively new. The could have a material adverse effect on the or be successful. All these may have an adverse application and interpretation of such investment interest held by the sub-fund in the corre- impact on the performance of the sub-fund. regulations are therefore relatively untested and sponding shares of the Investment Company there is no certainty as to how they will be or, in some cases, even completely eliminate c) Legal System of the PRC applied as the PRC authorities and regulators such a holding. Neither the sub-fund nor the have been given wide discretion in such invest- fund manager nor the Depositary nor the The legal system of the PRC is based on written ment regulations and there is no precedent or Management Company nor the Board of laws and regulations. However, many of these certainty as to how such discretion may be Directors of the Investment Company (the laws and regulations are still untested and the exercised now or in the future. “Board of Directors”) nor any of the sales enforceability of such laws and regulations agents is in a position to make any represen- remains unclear. In particular, the PRC regulations, Risks in relation to direct investments of tations or warranties or provide any guaran- which govern currency exchange in the PRC are Overseas Institutional Investors in the tees with respect to the actions or services relatively new and their application is uncertain. Interbank Bond Market of the registrar. This risk is borne by the Such regulations also empower the CSRC and On February 24, 2016, the People’s Bank of China sub-fund. the State Administration of Foreign Exchange (PBOC), the central bank, released the Notice on (“SAFE”) to exercise discretion in their respective Issues Concerning Investment of Overseas At present, Russian law does not provide for the interpretation of the regulations, which may result Institutional Investors in the Interbank Bond concept of the “good-faith acquirer” as it is in increased uncertainties in their application. Market. Under this notice, an eligible foreign usually the case in western legislation. As a result investor is permitted to invest in the China of this, under Russian law, an acquirer of securi- d) RQFII systems risk Interbank Bond Market (CIBM) without first ties (with the exception of cash instruments and registering as a qualified foreign institutional bearer instruments), accepts such securities The current RMB Qualified Foreign Institutional investor (QFII) or RQFII. subject to possible restrictions of claims and Investor (“RQFII”) Regulations include rules on For this purpose, the Management Company or ownership that could have existed with respect to investment restrictions applicable to the sub- the Investment Company has to make an applica- the seller or previous owner of these securities. fund. Transaction sizes for RQFIIs are relatively tion to register under this program at PBOC. In The Russian Federal Commission for Securities large (with the corresponding heightened risk of this case PRC Bonds are registered in the name and Capital Markets is currently working on draft exposure to decreased market liquidity and of “the Management Company – the name of legislation to provide for the concept of the “good- significant price volatility leading to possible the sub-fund” or “the Investment Company – the faith acquirer”. However, there is no assurance that adverse effects on the timing and pricing of name of the sub-fund” in accordance with the such a law will apply retroactively to purchases of acquisition or disposal of securities). Onshore relevant rules and regulations, and maintained in shares previously undertaken by the sub-fund. PRC securities are registered in the name of “the electronic form via a securities account with the Accordingly, it is possible at this point in time that full name of the RQFII sub-fund manager – the China Securities Depository and Clearing Cor the ownership of equities by a sub-fund could be name of the sub-fund” in accordance with the poration Limited (“CSDCC”) for the exchange- contested by a previous owner from whom the relevant rules and regulations, and maintained in traded bond market and with China Central equities were acquired; such an event could have electronic form via a securities account with the Depository & Clearing Co., Ltd (“CCDC”) or the an adverse effect on the assets of that sub-fund. China Securities Depository and Clearing Corpo- Shanghai Clearing House (“SCH”) for the inter- ration Limited (“CSDCC”). The sub-fund manager bank bond market. For the direct CIBM Program may select up to three PRC brokers (each a the Depositary shall within its depositary network Investments in People’s Republic “PRC Broker”) to act on its behalf in each of the appoint a PRC Depositary, which shall maintain a of China (PRC) two onshore PRC securities markets as well as a sub-fund’s assets in custody in accordance with depositary (the “PRC Depositary”) to maintain the terms of such PRC Depositary Agreement. In a) Political, Economic and Social Risks its assets in custody in accordance with the the event of any default of the PRC Depositary terms of the PRC Depositary Agreement. (directly or through its delegate) or other agents Any political changes, social instability and unfa (for example, brokers and settlement agents) in vourable diplomatic developments, which may In the event of any default of either the relevant the execution or settlement of any transaction or take place in or in relation to the PRC could result PRC Broker or the PRC Depositary (directly or in the transfer of any funds or securities in the in the imposition of additional governmental through its delegate) in the execution or settle- PRC, a sub-fund may encounter delays in recov- restrictions including expropriation of assets, ment of any transaction or in the transfer of any ering its assets which may in turn adversely confiscatory taxes or nationalisation of some of funds or securities in the PRC, the sub-fund may impact the net asset value of a sub-fund. the constituents of the Reference Index. Investors encounter delays in recovering its assets which There can be no assurance that sufficient CIBM should also note that any change in the policies of may in turn adversely impact the net asset value quota can be obtained by the Management the PRC may adversely impact on the securities of the sub-fund. Company or the Investment Company to fully markets in the PRC as well as the performance of satisfy subscription requests. This may result in a the sub-fund. There can be no assurance that additional RQFII need to close a sub-fund to further subscriptions. quota can be obtained by the sub-fund manager In extreme circumstances, a sub-fund may incur b) PRC Economic Risks to fully satisfy subscription requests. This may significant loss due to limited investment capa result in a need to close the sub-fund to further bilities, or may not be able fully to implement or The economy in the PRC has experienced rapid subscriptions. In extreme circumstances, the pursue its investment objectives or strategies, growth in recent years. However, such growth sub-fund may incur significant loss due to limited due to CIBM investment restrictions, illiquidity may or may not continue, and may not apply investment capabilities, or may not be able fully to

7 of the PRC’s securities markets, and delay or have any proprietary rights to the cash deposited A-shares listed on SSE (such securities, “SSE disruption in execution of trades or in settlement in such cash accounts, and the sub-fund will Securities”) or on SZSE (such securities, “SZSE of trades. become an unsecured creditor, ranking pari passu Securities”, and SSE Securities and SZSE Securities The regulations, which regulate investments with all other unsecured creditors, of the PRC collectively, “Stock Connect Securities”) through under the CIBM Program in the PRC and the Custodian. The sub-fund may face difficulty and/or their Hong Kong brokers, and such orders will be repatriation of capital from CIBM investments, encounter delays in recovering such debt, or may routed by the relevant securities trading service are relatively new. The application and interpreta- not be able to recover it in full or at all, in which company established by the SEHK to the relevant tion of such investment regulations are therefore case the sub-fund will suffer losses. trading platform of SSE or SZSE, as the case may relatively untested and there is no certainty as to be, for matching and execution on SSE or SZSE, how they will be applied as the PRC authorities f) Repatriation risk as the case may be. and regulators have been given wide discretion in such investment regulations and there is no Repatriations by RQFIIs in respect of funds such Further information about Stock Connect is precedent or certainty as to how such discretion as the sub-fund conducted in CNY are permitted available online at the website: may be exercised now or in the future. daily and are not subject to any lock-up periods or https://www.hkex.com.hk/Mutual-Market/ prior approval. There is no assurance, however, Stock-Connect?sc_lang=en. e) Risks relating to the PRC Custodian that PRC rules and regulations will not change or and other Agents that repatriation restrictions will not be imposed in Investment through Stock Connect is subject to the future. Any restrictions on repatriation of the additional risks as described below: Onshore PRC assets will be maintained by the invested capital and net profits may impact on the PRC Custodian in electronic form via securities sub-fund’s ability to meet redemption requests. Quota limitations risk accounts with the CSDCC, CCDC or SCH and Stock Connect is subject to quota limitations on cash accounts with the PRC Custodian. g) RQFII quota risk investment, which may restrict the sub-fund’s ability to invest in A-shares through Stock Connect The Management Company or the sub-fund The sub-fund will utilize the sub-fund manager’s on a timely basis, and the sub-fund may not be manager also appoints agents (such as brokers RQFII quota granted under the RQFII Regula- able to effectively pursue its investment policies. and settlement agents) to execute transactions for tions. This RQFII quota is limited. In such event, the sub-fund in the PRC markets. Should, for any unless the sub-fund manager is able to acquire Suspension risk reason, the sub-fund’s ability to use the relevant additional RQFII quota, it may be necessary to SEHK, SSE and SZSE reserve the right to sus- agent be affected, this could disrupt the opera- suspend subscriptions of Shares. In such event pend trading if necessary for ensuring an orderly tions of the sub-fund and affect the ability of the it is possible that the trading price of a Share on and fair market and managing risks prudently sub-fund to implement the desired investment the relevant stock exchange will be at a signifi- which would adversely affect the sub-fund’s strategy. The sub-fund may also incur losses due cant premium to the intra-day Net Asset Value ability to access the PRC market. to the acts or omissions of either the relevant of each Share (which may also lead to an unex- agent or the PRC Custodian in the execution or pected deviation in the trading price of the Differences in trading day settlement of any transaction or in the transfer of Shares on the secondary market in comparison Stock Connect operates on days when both the any funds or securities. Subject to the applicable to the Net Asset Value of the relevant Shares). relevant PRC market and the Hong Kong market laws and regulations in the PRC, the Custodian are open for trading and when banks in both the will make arrangements to ensure that the PRC h) Shenzhen-Hong Kong and Shanghai-Hong Kong relevant PRC market and the Hong Kong market Custodian has appropriate procedures to properly Stock Connect (“Stock Connect”) risks are open on the corresponding settlement days. safe-keep the sub-fund’s assets. It is possible that there are occasions when it is With Stock Connect, foreign investors (including a normal trading day for the relevant PRC market According to the RQFII regulations and market the sub-fund) may directly trade certain eligible but Hong Kong and overseas investors (such as practice, the securities and cash accounts for the A-shares through the Northbound Trading Link, the sub-fund) cannot carry out any A-shares sub-fund in the PRC are to be maintained in the subject to published laws and regulations in their trading via Stock Connect. As a result, the sub- name of “the full name of the RQFII sub-fund respective applicable version. Stock Connect fund may be subject to a risk of price fluctuations manager – the name of the sub-fund”. Although currently comprises the Shanghai-Hong Kong in A-shares during the time when Stock Connect the sub-fund has obtained a satisfactory legal Stock Connect and the Shenzhen-Hong Kong Stock is not trading. opinion that the assets in such securities account Connect. The Shanghai-Hong Kong Stock Connect would belong to the sub-fund, such opinion is a securities trading and clearing links program Restrictions on selling imposed by cannot be relied on as being conclusive, as the developed by Hong Kong Exchanges and Clearing front-end monitoring RQFII Regulations are subject to the interpreta- Limited (“HKEx”), China Securities Depository and PRC regulations require that before an investor tion of the relevant authorities in the PRC. Clearing Corporation Limited (“China Clear”) and sells any share, there should be sufficient shares Shanghai Stock Exchange (“SSE”) with an aim to in the account; otherwise SSE or SZSE (as the For investments under the CIBM Program, applied achieve mutual stock market access between case may be) will reject the sell order concerned. by the Management Company or the Investment Shanghai and Hong Kong. SEHK will carry out pre-trade checking on Company for any sub-fund directly, the securities A-shares sell orders of its participants (i.e. the and cash accounts for the sub-fund in the PRC are Similarly, the Shenzhen-Hong Kong Stock stock brokers) to ensure there is no over-selling. maintained in the name of “the Management Connect is a securities trading and clearing links Company – the name of the sub-fund”. program developed by HKEx, ChinaClear and Clearing, settlement and custody risks Shenzhen Stock Exchange (“SZSE”) with an aim The Hong Kong Securities Clearing Company Investors should note that cash deposited in the to achieve mutual stock market access between Limited (the “HKSCC”), which is a wholly-owned cash accounts of the sub-fund with the PRC Shenzhen and Hong Kong. subsidiary of HKEx and ChinaClear establish the Custodian will not be segregated but will be a clearing links and each is a participant of each debt owing from the PRC Custodian to the sub- Stock Connect comprises two Northbound Trading other to facilitate clearing and settlement of fund as a depositor. Such cash will be co-mingled Links (for investment in A-shares), one between cross-boundary trades. As the national central with cash belonging to other clients of the PRC SSE and the Stock Exchange of Hong Kong Limited counterparty of the PRC’s securities market, Custodian. In the event of bankruptcy or liquida- (“SEHK”), and the other between SZSE and SEHK. ChinaClear operates a comprehensive network tion of the PRC Custodian, the sub-fund will not Investors may place orders to trade eligible of clearing, settlement and stock holding

8 infrastructure. ChinaClear has established a risk Connect in accordance with applicable laws. made by the stock exchanges in the PRC and management framework and measures that are CSRC has also made statements dated May 15, Hong Kong. Further, new regulations may be approved and supervised by the China Securities 2015 and September 30, 2016 that overseas promulgated in connection with operations and Regulatory Commission (CSRC). The chances of investors that hold Stock Connect Securities cross-border legal enforcement of cross-border a ChinaClear default are considered to be through HKSCC are entitled to proprietary inter- trades under Stock Connect. The regulations are remote. Should the remote event of a ChinaClear ests in such securities as shareholders. However, untested so far and it is uncertain how they will default occur and ChinaClear be declared as a it is possible that the courts in the PRC may be applied. Moreover, the current regulations are defaulter, HKSCC will in good faith, seek recov- consider that any nominee or custodian (as regis- subject to change. There is be no assurance that ery of the outstanding stocks and monies from tered holder of Stock Connect Securities) would Stock Connect will not be abolished. The sub- ChinaClear through available legal channels or have full ownership thereof, and that even if the fund, which may invest in the PRC markets through ChinaClear’s liquidation. In that event, concept of beneficial ownership is recognized through the Stock Connect may be adversely the sub-fund may suffer delay in the recovery under PRC law, those Stock Connect Securities affected as a result of such changes. process or may not be able to fully recover its would form part of the pool of assets of such losses from ChinaClear. entity available for distribution to creditors of such i) Bond Connect risks A-shares are issued in scripless form, so there will entities and/or that a beneficial owner may have be no physical certificates of title representing the no rights whatsoever in respect thereof. Conse- The CIBM has opened up to global investors interests of the sub-fund in any A-shares. Hong quently, the sub-fund and the Depositary cannot through the Mainland China-Hong Kong mutual Kong and overseas investors, such as the sub- ensure that the sub-fund’s ownership of these access program called Bond Connect. Bond fund, who have acquired Stock Connect Securities securities or title thereto is assured in all Connect allows overseas and Mainland China through Northbound Trading Links should maintain circumstances. investors to trade in each other’s bond markets the Stock Connect Securities with their brokers’ or Under the rules of the Central Clearing and through a connection between Mainland China custodians’ stock accounts with the Central Settlement System operated by HKSCC for the and Hong Kong based financial infrastructure Clearing and Settlement System operated by clearing of securities listed or traded on SEHK, institutions and improves the flexibility and effi HKSCC for the clearing securities listed or traded HKSCC as nominee holder shall have no obliga- ciency of the investing process in the CIBM. on SEHK. Further information on the custody tion to take any legal action or court proceeding set-up relating to Stock Connect is available upon to enforce any rights on behalf of the investors in Trading link request at the registered office of the Manage- respect of the Stock Connect Securities in the Participants to Bond Connect register with ment Company. PRC or elsewhere. Therefore, although the Tradeweb, the Bond Connect offshore electronic relevant sub-fund’s ownership may be ultimately trading platform that links directly into China Operational risk recognised, the sub-fund may suffer difficulties Foreign Exchange Trade System (CFETS). This Stock Connect is premised on the functioning of or delays in enforcing their rights in A-shares. platform will allow trading with designated the operational systems of the relevant market To the extent that HKSCC is deemed to be onshore Bond Connect market makers using the participants. Market participants are able to performing safekeeping functions with respect Request for Quotation (RFQ) protocol. The Bond participate in this program subject to meeting to assets held through it, it should be noted that Connect market makers provide tradable prices certain information technology capability, risk the Depositary and the Sub- Fund will have no through CFETS. The quote will include the full management and other requirements as may be legal relationship with HKSCC and no direct legal amount with the clean price, yield to maturity specified by the relevant exchange and/or clear- recourse against HKSCC in the event that the and effective period for the response. The market ing house. sub-fund suffers losses resulting from the per makers can decline to respond to the RFQ and The securities regimes and legal systems of the formance or insolvency of HKSCC. can decline, amend or withdraw the quote as two markets differ significantly and in order for the long as the potential buyer has not accepted it. trial program to operate, market participants may Investor compensation Upon acceptance of the quote by the potential need to address issues arising from the differ- Investments of the sub-fund through northbound buyer, all other quotes automatically become ences on an on-going basis. trading under Stock Connect will not be covered invalid. CFETS then generates a trade confir Further, the “connectivity” in the Stock Connect by Hong Kong’s Investor Compensation Fund as mation on which the market maker, buyers, program requires routing of orders across the the shares are not considered listed or traded in CFETS and depository will use to process the border. This requires the development of new SEHK or Hong Kong Futures Exchange Limited. settlement. information technology systems on the part of The investments are also not protected by the Bonds purchased through Bond Connect will be the SEHK and exchange participants (i.e. a new China Securities Investor Protection Fund in the held onshore with the CCDC in the name of the order routing system (“China Stock Connect PRC as trading is done through securities bro- Hong Kong Monetary Authority (HKMA). Invest System”) to be set up by SEHK to which kers in Hong Kong and not PRC brokers. ors will be the beneficial owners of the bonds via exchange participants need to connect). There a segregated account structure in the Central is no assurance that such systems will function Trading costs Moneymarket Unit (CMU) In Hong Kong. properly or will continue to be adapted to In addition to paying trading fees and stamp Further information about Bond Connect is changes and developments in both markets. If duties in connection with A-share trading, the available online at the website: the relevant systems fail to function properly, sub-fund may be subject to new portfolio fees, http://www.chinabondconnect.com/en/index.htm. trading in both markets through the program dividend tax and tax concerned with income could be disrupted. The sub-fund’s ability to arising from stock transfers, which are yet to be Volatility and liquidity risk access the A-share market (and hence to pursue determined by the relevant authorities. Low trading volume of certain debt securities in their investment strategy) will be adversely the CIBM caused by market volatility and poten- affected. Regulatory risk tial lack of liquidity may result in significant The CSRC Stock Connect rules are departmental fluctuating prices. Accordingly, the investing Nominee arrangements in holding A-shares regulations having legal effect in the PRC. How- sub-funds are subject to volatility and liquidity HKSCC is the “nominee holder” of the Stock ever, the application of such rules is untested and risks. The bid and offer spreads of the prices of Connect Securities acquired by overseas investors the PRC courts may not recognize such rules, such securities may be large, and the relevant (including the sub-fund) through Stock Connect. e.g. in liquidation proceedings of PRC compa- sub-funds may incur significant trading and The CSRC Stock Connect Rules expressly provide nies. Stock Connect is relatively novel in nature, realisation costs, and may even suffer losses that investors enjoy the rights and benefits of the and is subject to regulations promulgated by when selling such investments. It may be diffi- Stock Connect Securities acquired through Stock regulatory authorities and implementation rules cult or impossible to sell the debt securities

9 traded in the CIBM, and this could affect the Taxation Risks markets. CNY and CNH are traded at different relevant sub-fund’s ability to acquire or dispose PRC tax authorities do not currently have specific rates and their movement may not be in the of such securities at their intrinsic value. formal guidance on the treatment of income tax same direction. Although there has been a and other tax categories payable in respect of growing amount of Renminbi held offshore (i.e. Asset segregation trading in CIBM by eligible foreign institutional outside the PRC), CNH cannot be freely remitted Under Bond Connect, assets are distinctly investors via Bond Connect. Any changes in PRC into the PRC and is subject to certain restric- segregated into three levels across the onshore tax law, future clarifications thereof, and/or tions, and vice versa. Investors should note that and offshore central depositories (CSD). It is subsequent retroactive enforcement by the PRC subscriptions and redemptions will be in USD mandatory for investors using Bond Connect to tax authorities of any tax may result in a material and will be converted to/from CNH and the hold their bonds in a segregated account at the loss to the relevant sub-funds. The Management investors will bear the forex expenses associated offshore depository in the name of the end Company will keep the provisioning policy for tax with such conversion and the risk of a potential investor. liability under review. The Management Company difference between the CNY and CNH rates. The may make a provision for potential tax liabilities liquidity and trading price of the sub-fund may Clearing and settlement risks in its discretion, if in their opinion such provision also be adversely affected by the rate and liquid- CCDC and CMU established the clearing links is warranted or as further clarified by the PRC ity of the Renminbi outside the PRC. and each is a participant of each other to facili- authorities in notifications. tate clearing and settlement of cross-boundary l) Dependence upon Trading Market trades. For cross-boundary trades initiated in a Operational risk for Bond Connect for A-shares market, the clearing house of that market will on As Bond Connect utilizes newly developed one hand clear and settle with its own clearing trading platforms and operational systems, there The existence of a liquid trading market for the participants, and on the other hand undertake to is no assurance that such systems will function A-shares may depend on whether there is supply fulfil the clearing and settlement obligations of properly or will continue to be adapted to of, and demand for, A-shares. Investors should its clearing participants with the counterparty changes and developments in the market. In the note that the Shanghai Stock Exchange and clearing house. event of relevant system failures, trading via Shenzhen Stock Exchange on which A-shares are As the national central counterparty of the PRC’s Bond Connect may be disrupted. This might traded are undergoing development and the securities market, CCDC operates a comprehen- (temporarily) restrict the respective sub-fund´s market capitalisation of, and trading volumes on, sive network of clearing, settlement and bond ability to pursue its investment strategy and/or those exchanges may be lower than those in holding infrastructure. CCDC has established a the ability to acquire or dispose of securities at more developed financial markets. Market risk management framework and implemented their intrinsic value. Furthermore, sub-funds volatility and settlement difficulties in the A-share measures that are approved and supervised by investing in the CIBM via Bond Connect may be markets may result in significant fluctuation in the PBOC. The chances of a default by CCDC are subject to risks of delays in the order placing the prices of the securities traded on such considered to be remote. Should the remote and/or settlement systems. markets and thereby changes in the Net Asset event of a default by CCDC occur and CCDC is Value of the sub-fund. declared as a defaulter, CMU will in good faith, Risk of Agents Default seek recovery of the outstanding bonds and For investments via the Bond Connect, the m) Interest Rate Risk monies from CCDC through available legal relevant filings, registration with PBOC and channels or through CCDC’s liquidation. In the account opening have to be carried out via an Sub-funds investing in PRC fixed-income remote event of a CCDC default, CMU’s liabilities onshore settlement agent, offshore custody securities are subject to interest rate risk. in Bond Connect bonds under its market con- agent, registration agent or other third parties. As tracts with clearing participants will be limited to such, relevant sub-funds are subject to the risks Sub-funds investing in bonds issued by the assisting clearing participants in pursuing their of default or errors on the part of such third government of the PRC (PRC Government claims against CCDC. In the event, the relevant parties. Bonds) are additionally subject to policy risk as sub-fund may suffer delay in the recovery pro- changes in macro-economic policies in the PRC cess or may not be able to fully recover its losses j) Government Control of Currency Conversion (including monetary policy and fiscal policy) may from CCDC. and Future Movements in Exchange Rates have an influence over the PRC’s capital markets and affect the pricing of the bonds in the sub- Regulatory risk Since 1994, the conversion of CNY into USD has fund’s portfolio, which may in turn adversely The Bond Connect is novel in nature. The current been based on rates set by the People’s Bank of affect the return of such sub-fund. regulations governing Bond Connect are China, which are set daily based on the previous untested so far, and there is no certainty as to day’s PRC interbank foreign exchange market rate. n) Dependence upon Trading Market how they will be applied. There is no assurance On July 21, 2005, the PRC government introduced for PRC Bonds that PRC courts will recognize such rules, e.g. in a managed floating exchange rate system to allow liquidation proceedings of PRC companies. In the value of CNY to fluctuate within a regulated The existence of a liquid trading market for PRC addition, Bond Connect is subject to regulations band based on market supply and demand and by Bonds may depend on whether there is supply promulgated by regulatory authorities and imple- reference to a basket of currencies. There can be of, and demand for, PRC Bonds. Investors should mentation rules in the PRC and Hong Kong. no assurance that the CNY exchange rate will not note that the Shanghai Stock Exchange, Further, new regulations may be promulgated fluctuate widely against the USD or any other Shenzhen Stock Exchange and PRC inter-bank- from time to time by the regulators in connection foreign currency in the future. Any appreciation of bond market on which PRC Bonds are traded are with operations and cross-border legal enforce- CNY against USD is expected to lead to an undergoing development and the market capital- ment in connection with cross-border trades increase in the Net Asset Value of the sub-fund isation of, and trading volumes on, those markets under the Bond Connect. The current regulations which will be denominated in USD. may be lower than those in more developed are subject to change, which may have potential financial markets. Market volatility and settle- retrospective effects and there can be no assur- k) Onshore versus offshore Renminbi ment difficulties in the PRC Bond markets may ance that Bond Connect will not be abolished. differences risk result in significant fluctuation in the prices of the The sub-fund, which may invest in the PRC securities traded on such markets and thereby markets through the Bond Connect, may be While both onshore Renminbi (“CNY”) and changes in the Net Asset Value of the sub-fund. adversely affected as a result of such changes. offshore Renminbi (“CNH”) are the same currency, they are traded in different and separated

10 o) Liquidity Risk r) Restricted markets risk Trading in the PRC inter-bank bond market may expose investors to certain risks associated with The sub-fund is subject to liquidity risk as contin- The sub-fund may invest in securities in respect settlement procedures and the default of coun- ued regular trading activity and active secondary of which the PRC imposes limitations or restric- terparties. Much of the protection afforded to market for PRC securities (including PRC Bonds) tions on foreign ownership or holdings. Such investors in securities listed on more developed is not guaranteed. The sub-fund may suffer legal and regulatory restrictions or limitations exchanges may not be available in connection losses in trading in such instruments. The bid and may have adverse effects on the liquidity and with transactions on the PRC inter-bank bond offer spread of the price of PRC securities may performance of the sub-fund holdings as com- market which is an over-the-counter market. All be large, so that the sub-fund may incur signifi- pared to the performance of the Reference trades settled through CCDC, the central clearing cant trading and realisation costs and may suffer Index. This may increase the risk of tracking error for the PRC inter-bank bond market, are settled losses accordingly. and, at the worst, the sub-fund may not be able on a delivery versus payment basis i.e. if the to achieve its investment objective and/or the sub-fund is buying certain securities, the sub- p) Issuer Counterparty Risk sub-fund may have to be closed for further fund will only pay the counterparty upon receipt subscriptions. of such securities. If a counterparty defaults Investment in bonds by the sub-fund is exposed in delivering the securities, the trade may be to the credit/insolvency risk of the issuers s) A-share market trading hours difference risk cancelled and this may adversely affect the value which may be unable or unwilling to make of the sub-fund. timely payments on principal and/or interest. Differences in trading hours between foreign PRC Bonds held by the sub-fund are issued on stock exchanges (e.g. Shanghai Stock Exchange v) Changes in PRC taxation risk an unsecured basis without collateral. An issuer and Shenzhen Stock Exchange) and the relevant suffering an adverse change in its financial stock exchange may increase the level of pre- The PRC Government has implemented a number condition could lower the credit quality of a mium/discount of the Share price to its Net Asset of tax reform policies in recent years. The current security, leading to greater price volatility of the Value because if a PRC stock exchange is closed tax laws and regulations may be revised or security. A lowering of the credit rating of a while the relevant stock exchange is open, the amended in the future. Any revision or amendment security or its issuer may also affect the securi- Reference Index level may not be available. in tax laws and regulations may affect the after- ty’s liquidity, making it more difficult to sell. In taxation profit of PRC companies and foreign the event of a default or credit rating downgrad- The prices quoted by the relevant stock exchange investors in such companies. ing of the issuers of the bonds, the bonds and market maker would therefore be adjusted to the sub-fund’s value may be adversely affected take into account any accrued market risk that w) Government intervention and restriction risk and investors may suffer a substantial loss as a arises from such unavailability of the Reference result. The sub-fund may also encounter difficul- Index level and as a result, the level of premium Governments and regulators may intervene in ties or delays in enforcing its rights against the or discount of the Share price of the sub-fund to the financial markets, such as by the imposition issuer of bonds as the issuer is located in the its Net Asset Value may be higher. of trading restrictions, a ban on “naked” short PRC and is subject to PRC laws and regulations. selling or the suspension of short selling for t) A-share market suspension risk certain stocks. This may affect the operation and q) Valuation Risk market making activities of the sub-fund, and A-shares may only be bought from, or sold to, may have an unpredictable impact on the Where the trading volumes of an underlying the sub-fund from time to time where the rele- sub-fund. security is low, it may be more difficult to achieve vant A-shares may be sold or purchased on the fair value when purchasing or selling such under- Shanghai Stock Exchange or the Shenzhen Stock Furthermore, such market interventions may lying security because of the wider bid-ask Exchange, as appropriate. Given that the A-share have a negative impact on the market sentiment, spread. The inability to transact at advantageous market is considered volatile and unstable (with which may in turn affect the performance of the times or prices may result in a reduction in the the risk of suspension of a particular stock or Reference Index and/or the sub-fund. sub-fund’s returns. Further, changing market government intervention), the subscription and conditions or other significant events, such as redemption of Shares may also be disrupted. An x) PRC taxation risk credit rating downgrades affecting issuers, may Authorised Participant is unlikely to redeem or also pose valuation risk to the sub-fund as the subscribe Shares if it considers that A-shares Any changes in tax policies may reduce the value of the sub-fund’s portfolio of fixed income may not be available. after-taxation profits of the investments in PRC instruments may become more difficult or Bonds to which the performance of the sub-fund impossible to ascertain. In such circumstances, u) Operational and Settlement Risk is linked. Whilst it is clear that interests on PRC valuation of the sub-fund’s investments may Bonds are specifically exempted from PRC involve uncertainties as there is a possibility that Settlement procedures in the PRC are less Corporate Income Tax pursuant to the prevailing independent pricing information may at times be developed and may differ from those in countries Corporate Income Tax Law, uncertainties remain unavailable. that have more developed financial markets. The on PRC indirect tax treatment on interest from sub-fund may be subject to a risk of substantial PRC Bonds, as well as PRC Corporate Income If such valuations should prove to be incorrect, loss if an appointed agent (such as a broker or a Tax and Indirect Tax treatments on capital gains the Net Asset Value of the sub-fund may need to settlement agent) defaults in the performance of derived by the sub-fund from investments in PRC be adjusted and may be adversely affected. Such its responsibilities. The sub-fund may incur Bonds. events or credit rating downgrades may also substantial losses if its counterparty fails to pay subject the sub-fund to increased liquidity risk as for securities the sub-fund has delivered, or for In light of the uncertainties on the PRC tax it may become more difficult for the sub-fund to any reason fails to complete its contractual treatments on PRC Bonds and in order to meet dispose of its holdings of bonds at a reasonable obligations owed to the sub-fund. On the other any such potential PRC tax liabilities that may price or at all. hand, significant delays in settlement may occur arise from investments in PRC Bonds, the Board in certain markets in registering the transfer of of Directors reserves the right to put in place a securities. Such delays could result in substantial tax provision (“Capital Gains Tax Provision” or losses for the sub-fund if investment opportuni- “CGTP”) on the relevant gains or income and ties are missed or if the sub-fund is unable to withhold the tax for the account of the sub-fund. acquire or dispose of a security as a result. The Board of Directors determines at present not

11 to make any provision for the account of the Sub-funds may participate in transactions on of the underlying securities and/or other collateral sub-fund in respect of any potential tax on capital over-the-counter markets and interdealer markets. held by the sub-fund in connection with the securi- gains from investments of the sub-fund in PRC The participants in such markets are typically not ties lending transaction or (reverse) repurchase Bonds. In the event that actual tax is collected by subject to credit evaluation and regulatory over- agreement are less than the repurchase price or, the SAT and the sub-fund is required to meet sight as are members of “exchange-based” as the case may be, the value of the underlying actual PRC tax liabilities, the Net Asset Value of markets. To the extent a sub-fund invests in securities. In addition, in the event of bankruptcy the sub-fund may be adversely affected. Further, swaps, derivative or synthetic instruments, or or similar proceedings of the party to a (reverse) there is a possibility of the tax rules being other over-the counter transactions, on these repurchase agreement or a securities lending changed and taxes being applied retrospectively. markets, such sub-fund may take credit risk with transaction or its failure otherwise to perform its As such, any provision for taxation made by the regard to parties with whom it trades and may obligations on the repurchase date, the sub-fund Board of Directors may be excessive or inade- also bear the risk of settlement default. These could suffer losses, including loss of interest on or quate to meet final PRC tax liabilities. risks may differ materially from those entailed in principal of the securities and costs associated exchange-traded transactions which generally are with delay and enforcement of the (reverse) Consequently, Shareholders may be advantaged backed by clearing organisation guarantees, daily repurchase agreement or securities lending trans- or disadvantaged depending upon the final tax marking-to-market and settlement, and segrega- action. The use of such techniques may have a liabilities, the level of provision and when they tion and minimum capital requirements applicable significant effect, either negative or positive, on a subscribed and/or redeemed their Shares. to intermediaries. Transactions entered directly sub-fund’s net asset value (NAV) although it is between two counterparties generally do not expected that the use of repurchase agreements, y) Accounting and Reporting Standards benefit from such protections. reverse repurchase agreements and securities lending transactions will generally not have a Accounting, auditing and financial reporting This exposes the respective sub-fund to the risk material negative impact on a sub-fund’s standards and practices applicable to companies that a counterparty will not settle a transaction in performance. in the PRC may differ from those in countries accordance with its terms and conditions that have more developed financial markets. because of a dispute over the terms of the Operational risks These differences may lie in areas such as contract (whether or not bona fide) or because of Operational risk is inherent in any financial activity, different valuation methods of the properties a credit or liquidity problem, thus causing the including securities financing transactions. Defi- and assets, and the requirements for disclosure sub-fund to suffer a loss. Such “counterparty ciencies from inadequate internal processes and of information to investors. risk” is accentuated for contracts with longer from human error or system failures at service maturities where events may intervene to pre- providers, the Investment Company, the Manage- vent settlement, or where the fund has concen- ment Company or a counterparty can result in an Counterparty risk trated its transactions with a single or small unexpected loss. The costs can be related to either group of counterparties. a loss of a fraction or the whole value of a trans Risks may arise for the Investment Company action, or to penalties imposed on the institution as a result of a contractual commitment with In addition, in the case of a default, the respec- by a counterparty. another party (a “counterparty”). In this context, tive sub-fund could become subject to adverse there is a risk that the contracting party will no market movements while replacement trans Liquidity risks longer be able to fulfil its contractual obligations. actions are executed. The sub-funds are not The respective sub-fund is subject to liquidity risk These risks may compromise the sub-fund’s restricted from dealing with any particular coun- which arise when a particular instrument is difficult performance, and may therefore have a detri- terparty or from concentrating any or all of their to dispose of. mental effect on the share value and the capital transactions with one counterparty The ability of invested by the investor. the sub-funds to transact business with any one Custody risks or number of counterparties, the lack of any Custody risk is the risk of loss of securities held When a sub-fund conducts over-the-counter (OTC) meaningful and independent evaluation of such with a custodian as a result of insolvency, negli- transactions, it may be exposed to risks relating to counterparties’ financial capabilities and the gence or fraudulent action by the custodian. the credit standing of its counterparties and to absence of a regulated market to facilitate Custody risk is influenced by a variety of factors their ability to fulfil the conditions of the contracts settlement may increase the potential for losses including the legal status of the securities, the it enters into with them. The respective sub-fund by the sub-funds. accounting practices and safekeeping procedures may consequently enter into futures, options and employed by the custodian, the custodian’s choice swap transactions or use other derivative tech- of sub-custodians and other intermediaries, and niques, for example total return swaps, which will Risks related to securities the law governing the custody relationship. expose that sub-fund to the risk of a counterparty financing transactions - not fulfilling its obligations under a particular securities lending and (reverse) Legal risks contract. repurchase agreements Legal risks can bear the risk of loss because of the unexpected application of a law or regulation or In the event of a bankruptcy or insolvency of Securities financing transactions, namely securities because a contract cannot be enforced. A (reverse) a counterparty, the respective sub-fund could lending transactions and (reverse) repurchase repurchase or securities lending contract may be experience delays in liquidating the position and agreements, can either represent a risk on its own invalid or unenforceable. Even if the collateral significant losses, including declines in the value or have an impact on other risks and contribute arrangement has been set up correctly, there is the of its investment during the period in which the significantly to the risk, such as counterparty risks, risk that the relevant insolvency law may impose a sub-fund seeks to enforce its rights, inability to operational risks, liquidity risks, custody risks and stay that prevents the collateral taker from liquidat- realise any gains on its investment during such legal risks. Please also refer to the above ing the collateral. period and fees and expenses incurred in enforc- description. ing its rights. There is also a possibility that the Risks associated with the receipt of collateral above agreements and derivative techniques are Counterparty risks The Investment Company may receive collateral terminated due, for instance, to bankruptcy, If the other party (counterparty) to a (reverse) for OTC derivatives transactions, securities supervening illegality or change in the tax or repurchase agreement or securities lending trans- lending transactions and reverse repurchase accounting laws relative to those at the time the action should default, the sub-fund might suffer a agreements. Derivatives, as well as securities agreement was originated. loss to the extent that the proceeds from the sale lent and sold, may increase in value. Therefore,

12 collateral received may no longer be sufficient to Social affairs –– Changes in customer preferences and fully cover the Investments Company’s claim for behaviour delivery or redemption of collateral against a –– Compliance with recognized labour law counterparty. standards (no child and forced labour, Sustainability risks can lead to a significant The Investment Company may deposit cash no discrimination) deterioration in the financial profile, liquidity, collateral in blocked accounts, or invest it in high –– Compliance with employment safety profitability or reputation of the underlying quality government bonds or in money market and health protection investment. Unless the sustainability risks were funds with a short-term maturity structure. –– Appropriate remuneration, fair working already expected and taken into account in the Though, the credit institution that safe keeps the conditions, diversity, and training and valuations of the investments, they may have a deposits may default; the performance of govern- development opportunities significant negative impact on the expected/ ment bonds and money market funds may be –– Trade union rights and freedom of assembly estimated market price and/or the liquidity of negative. Upon completion of the transaction, the –– Guarantee of adequate product safety, the investment and thus on the return of the collateral deposited or invested may no longer be including health protection sub-funds. available to the full extent, although the Invest- –– Application of the same requirements to ment Company is obligated to redeem the collat- entities in the supply chain eral at the amount initially granted. Therefore, the –– Inclusive projects or consideration of the Investment policy Investment Company may be obliged to increase interests of communities and social the collateral to the amount granted and thus minorities Each sub-fund’s assets shall be invested in compensate the losses incurred by the deposit or compliance with the principle of risk-spreading investment of collateral. Corporate Governance and pursuant to the investment policy principles laid down in the respective special section of the Risks associated with collateral management –– Tax honesty Sales Prospectus and in accordance with the Collateral management requires the use of –– Anti-corruption measures investment options and restrictions of Clause 2 systems and certain process definitions. Failure –– Sustainability management by the board of the general section of the Sales Prospectus. of processes as well as human or system errors –– Board remuneration based on at the level of the Investment Company or sustainability criteria third-parties in relation to collateral management –– The facilitation of whistle-blowing Integration of sustainability risks could entail the risk that assets, serving as –– Employee rights guarantees in the investment process collateral, lose value and are no longer sufficient –– Data protection guarantees to fully cover the Investments Company’s claim Regarding the integration of sustainability risks for delivery or transfer back of collateral against a As part of the consideration of environmental into the investment decisions of the sub-funds, counterparty. issues, the management company considers the sub-fund management distinguishes especially the following aspects related to between ESG integration, Smart Integration as climate change: well as individualised approaches of certain Sustainability risk – sub-fund managers. For each sub-fund, the Environment, social and Physical climate events or conditions special section of the sales prospectus discloses governance, ESG the method by which the sub-fund management –– Extreme weather events considers sustainability risks in their investment Sustainability risk means an environmental, –– Heat waves decisions. social, or governance event or condition that, –– Droughts if it occurs, could potentially or actually cause a –– Floods ESG Integration negative material impact on the investment’s –– Storms In its investment decisions, the sub-fund man- value. Sustainability risk can either represent a –– Hailstorms agement considers, in addition to financial data, risk on its own or have an impact on other risks –– Forest fires sustainability risks. This consideration applies to and contribute significantly to the risk, such as –– Avalanches the entire investment process, both in the market risks, operational risks, liquidity risks or –– Long-term climate change fundamental analysis of investments and in the counterparty risks. –– Decreasing amounts of snow decision-making process. –– Changed precipitation frequency and These events or conditions are split into “Envi- volumes In the fundamental analysis, ESG criteria are ronment, Social, and Governance” (ESG), and –– Unstable weather conditions particularly evaluated in the internal market relate, among other things, to the following –– Rising sea levels analysis. In addition, ESG criteria are integrated topics: –– Changes in ocean currents into any further investment research. This –– Changes in winds includes the identification of global sustainability Environment –– Changes in land and soil productivity trends, financially relevant ESG issues and –– Reduced water availability (water risk) challenges. –– Climate mitigation –– Ocean acidification –– Adjustment to climate change –– Global warming including regional Moreover, risks that may arise from the conse- –– Protection of biodiversity extremes quences of climate change, or risks arising from –– Sustainable use and protection of water the violation of internationally recognized guide- and maritime resources Transition events or conditions lines are subject to special examination. The –– Transition to a circular economy, avoidance internationally recognized guidelines include, of waste, and recycling –– Bans and restrictions above all, the ten principles of the United Nations –– The avoidance and reduction of environmen- –– Phasing out of fossil fuels Global Compact, ILO core labor standards, or UN tal pollution –– Other political measures related to guiding principles for business and human rights –– Protection of healthy ecosystems the transition to a low-carbon economy and the OECD guidelines for multinational –– Sustainable land use –– Technological change linked to the companies. transition to a low-carbon economy

13 In order to take ESG criteria into account, the to a special assessment. The internationally buy-sell-back transactions and sell-buy-back sub-fund management uses a specific database recognized guidelines include, above all, the ten transactions, are currently not used. Should the into which ESG data from other research compa- principles of the United Nations Global Compact, Investment Company make use of these types of nies, as well as its own research results, are ILO core labor standards, or UN guiding princi- securities financing transactions in the future, the incorporated. ples for business and human rights and the Sales Prospectus will be amended accordingly. OECD guidelines for multinational companies. If investments are made according to an ESG- Total return swaps and securities financing integrated fundamental analysis, these invest- If investments are made according to an ESG- transactions shall be used in accordance with ments will continue to be monitored also from integrated fundamental analysis, these invest- legal provisions, especially the provisions of the an ESG perspective. In addition, a dialogue is ments will continue to be monitored, also from Regulation (EU) 2015/2365 of the European sought with companies regarding better corpo- an ESG perspective. In addition, a dialogue is Parliament and of the Council of November 25, rate governance and greater consideration of sought with companies regarding better corpo- 2015 on transparency of securities financing ESG criteria (e.g. via participation as a share- rate governance and greater consideration of transactions and of reuse and amending Regula- holder in the company, or by exercising voting ESG criteria (e.g. via participation as a share- tion (EU) No 648/2012 (the “SFTR”). and other shareholder rights). holder in the company, by exercising voting and other shareholder rights). Smart Integration Use of derivatives The sub-fund management considers both ESG Benchmark indices criteria and sustainability risks in its investment A sub-fund may use benchmark indices or a The respective sub-fund may – provided an decision besides the common financial data and combination of benchmark indices. Such indices appropriate risk management system is in excludes certain investments. This consideration are used if the sub-fund has an index tracking place – invest in any type of derivative admitted applies to the entire investment process, both objective or can be used in the explicit or implicit by the Law of 2010 that is derived from assets for the fundamental analysis of investments and definition of the portfolio’s composition, the that may be purchased for the respective sub- for the investment decisions. performance objectives and/or measures. fund or from financial indices, interest rates, exchange rates or currencies. In particular, this For this purpose, the sub-fund management In accordance with the Regulation (EU) 2016/1011 includes options, financial futures contracts and uses a special database into which ESG data of the European Parliament and of the Council of swaps (including total return swaps), as well as from other research companies, as well as its 8 June 2016 on indices used as benchmarks in combinations thereof. Their use needs not be own research results, are incorporated. After financial instruments and financial contracts or to limited to hedging the sub-fund’s assets; they analyzing the data, this database assigns one of measure the performance of investment funds may also be part of the investment policy. six possible scores to each possible investment. (and amending Directives 2008/48/EC and If the investment has the lowest score, the 2014/17/EU and Regulation (EU) No 596/2014) Trading in derivatives is conducted within the investment is not suitable for the fund unless an and taking into account the transitional period, confines of the investment limits and provides individual review of the score by a committee of the sub-fund may only use benchmark indices for the efficient management of the sub-fund’s DWS Investment GmbH determines that the that are or whose administrators are included in assets, while also regulating investment matur- investment is nevertheless suitable. In its review, the respective register maintained by the Euro- ities and risks. the committee considers further criteria, such as pean Securities and Markets Authority (“ESMA”). development prospects in relation to ESG crite- For each such benchmark, the Management ria, voting rights exercise, or general economic Company has established robust, written plans in Swaps development prospects. If in the case of existing which it has stipulated measures that it would investments, the investment receives the lowest take if the benchmark was to change materially The Investment Company may, amongst others valuation based on an updated analysis of the or cease to be provided. conduct the following swap transactions for the database, this valuation is reviewed by the account of the respective sub-fund within the committee. If the committee determines that the The specific section of the sales prospectus scope of the investment principles: investment is still suitable, the investment does clarifies whether the sub-fund is actively or not have to be sold. If the panel confirms the passively managed as well as whether the –– interest-rate swaps, updated valuation, the investment must be sold. sub-fund replicates a benchmark index or is –– currency swaps, managed in reference to one, in which case –– equity swaps, Investments excluded based on the evaluation sub-fund will indicate the degree of freedom –– credit default swaps, or of the database and the panel will no longer be from the benchmark. –– total return swaps. considered. Investments that receive a low, but sufficient score based on the database are Swap transactions are exchange contracts in reviewed, particularly regarding potential sustain- Efficient portfolio which the parties swap the assets or risks ability risks. management techniques underlying the respective transaction.

In the fundamental analysis of investments itself, According to CSSF Circular 14/592 efficient port ESG criteria are considered especially in the folio management techniques can be used for the Total Return Swaps internal market analysis. Investment Company. These include all sorts of derivative transactions, including total return A total return swap is a derivative whereby one In addition, ESG criteria are integrated into the swaps, as well as securities financing transac- counterparty transfers to another counterparty the entire investment research. This includes the tions, namely securities lending transactions and total return of a reference liability including income identification of global sustainability trends, (reverse) repurchase agreements. Such securities from interest and charges, gains and losses from financially relevant ESG topics and challenges. financing transactions may be used for each price fluctuations, as well as credit losses. sub-fund as further provided for in the special Furthermore, risks that may arise due to climate section of the Sales Prospectus. Other securities As far as a sub-fund employs total return swaps change or risks arising from the violation of financing transactions than the types mentioned or other derivatives with similar characteristics internationally recognized guidelines are subject here, such as margin-lending transactions, which are essential for the implementation of the

14 investment strategy of the sub-fund, information The Management Company has appointed (ii) The borrower must be subject to prudential will be provided in the special section of the DWS Investment GmbH for supporting it in supervision rules considered by the CSSF as Sales Prospectus as well as the annual report on initiating, preparing and implementing securities equivalent to those prescribed by Community issues such as the underlying strategy or the lending and borrowing as well as (reverse) law. counterparty. repurchase transactions (Securities Lending (iii) The counterparty risk vis-à-vis a single coun- Agent). terparty (which, for the avoidance of doubt, may be reduced by the use of collateral) Swaptions a) Securities Lending and Borrowing arising from one or more securities lending transaction(s) may not exceed 10% of the Swaptions are options on swaps. A swaption is Unless further restricted by the investment assets of the relevant sub-fund when the the right, but not the obligation, to conduct a swap policies of a specific sub-fund as described in the counterparty is a financial institution falling transaction, the terms of which are precisely special sections below, a sub-fund may enter within Article 41 (1) (f) of the Law of 2010, or specified, at a certain point in time or within a into securities lending and borrowing trans 5% of its assets in all other cases. certain period. actions. The applicable restrictions can be found in CSSF Circular 08/356 as amended from time The Investment Company shall disclose the global to time. As a general rule, securities lending and valuation of the securities lent in the annual and Credit default swaps borrowing transactions may only be performed in semiannual reports. respect of eligible assets under the Law of 2010 Credit default swaps are credit derivatives that and the sub-fund’s investment principles. Securities lending may also be conducted syn- enable the transfer of a volume of potential credit thetically (“synthetic securities lending”). In a defaults to other parties. As compensation for Those transactions may be entered into for one or synthetic securities loan, a security contained in accepting the credit default risk, the seller of the more of the following aims: (i) reduction of risk, a sub-fund is sold to a counterparty at the cur- risk (the protection buyer) pays a premium to its (ii) reduction of cost and (iii) generation of addi- rent market price. This sale is, however, subject counterparty. tional capital or income with a level of risk which to the condition that the sub-fund simultaneously is consistent with the risk profile of the relevant receives from the counterparty a securitized In all other aspects, the information for swaps sub-fund and the applicable risk diversification unleveraged option giving the sub-fund the right applies accordingly. rules. Depending on market conditions and market to demand delivery at a later date of securities of demand, it is expected that up to 70% of the the same kind, quality and quantity as the sold sub-fund’s securities can be transferred to counter- securities. The price of the option (the “option Financial instruments parties by means of securities lending transac- price”) is equal to the current market price certificated in securities tions. However, depending on market demand, the received from the sale of the securities less Investment Company reserves the right to transfer (a) the securities lending fee, (b) the income The respective sub-fund may also acquire the a maximum of up to 100% of a sub-fund’s secu (e.g., dividends, interest payments, corporate financial instruments described above if they are rities to counterparties as a loan. actions) from the securities that can be certificated in securities. The transactions pertain- demanded back upon exercise of the option and ing to financial instruments may also be just An overview of the actual utilization rates per (c) the exercise price associated with the option. partially contained in such securities (e.g. warrant- sub-fund is available in the annual report. Securi- The option will be exercised at the exercise price linked bonds). The statements on opportunities and ties lending and borrowing may be carried out for during the term of the option. If the security risks apply accordingly to such certificated financial the assets held by the relevant sub-fund provided underlying the synthetic securities loan is to be instruments, but with the condition that the risk of (i) that their volume is kept at an appropriate level sold during the term of the option in order to loss in the case of certificated instruments is or that the Investment Company or relevant implement the investment strategy, such a sale limited to the value of the security. sub-fund manager is entitled to request the return may also be executed by selling the option at the of the securities lent in a manner that enables the then prevailing market price less the exercise sub-fund at all times to meet its redemption price. OTC derivative transactions obligations and (ii) that these transactions do not jeopardise the management of the sub-fund’s Securities lending transactions may also, as the The respective sub-fund may conduct both those assets in accordance with its investment policy. case may be, be entered into with respect to derivative transactions admitted for trading on an Their risks shall be captured by the risk manage- individual share classes, taking into account the exchange or included in another regulated mar- ment process of the Management Company. specific characteristics of such share class and/or ket and over-the-counter (OTC) transactions. It its investors, with any right to income and collat- shall include a process for accurate and indepen- The Investment Company or the relevant sub- eral under such securities lending transactions dent assessment of the value of OTC derivative fund manager may enter into securities lending arising at the level of such specific share class. instruments. and borrowing transactions provided that they comply with the following rules: b) (Reverse) Repurchase Agreement Transactions

Securities lending and (reverse) (i) The Investment Company may only lend Unless further restricted by the investment repurchase transactions securities through a standardised system policies of a specific sub-fund as described in the (securities financing transactions) organised by a recognised clearing institution special sections below a sub-fund may enter into or through a first class financial institution (reverse) repurchase agreement transactions. The Investment Company is allowed to transfer subject to prudential supervision rules which The applicable restrictions can be found in CSSF securities from its own assets for a certain time are recognised by the CSSF as equivalent to Circular 08/356 as amended from time to time. to the counterparty against compensation at those laid down in Community law and As a general rule, (reverse) repurchase agree- market rates. The Investment Company ensures specializing in this type of transaction. ment transactions may only be performed in that it is able to recall any security that has been respect of eligible assets under the Law of 2010 lent out or terminate any securities lending and the sub-fund’s investment principles. agreement into which it has entered at any time.

15 Unless otherwise provided for with respect to a (iii) During the life of a repo transaction with the Collateral policy for OTC specific sub-fund in the special sections below, Investment Company acting as purchaser, derivatives transactions and the Investment Company may enter (i) into the Investment Company cannot sell the efficient portfolio management repurchase agreement transactions which con- securities which are the object of the con- techniques sist of the purchase and sale of securities with a tract, either before the right to repurchase The Investment Company can receive collateral clause reserving the seller the right or the obliga- these securities has been exercised by the for OTC derivatives transactions and reverse tion to repurchase from the acquirer the securi- counterparty, or the repurchase term has repurchase agreements to reduce the counter- ties sold at a price and term specified by the two expired, except to the extent it has other party risk. In the context of its securities lending parties in their contractual arrangement and means of coverage. transactions, the Investment Company has to (ii) reverse repurchase agreement transactions, (iv) The securities acquired by the Investment receive collateral, the value of which matches at which consist of a forward transaction at the Company under repo transactions must least 90% of the total value of the securities lent maturity of which the seller (counterparty) has conform to the relevant sub-fund’s invest- during the term of the agreement (with consider- the obligation to repurchase the securities sold ment policy and investment restrictions and ations of interests, dividends, other potential and the Investment Company the obligation to must be limited to: rights and possibly agreed reductions or minimum return the securities received under the trans –– short-term bank certificates or money transfer amounts). action (collectively, the “repo transactions”). market instruments as defined in Direc- tive 2007/16/EC of March 19, 2007; The Investment Company can accept any kind of Those transactions may be entered into for one –– bonds issued or guaranteed by a Member collateral in particular corresponding to the rules or more of the following aims: (i) generating State of the OECD or by their local public of the CSSF circulars 08/356, 11/512 and 14/592 additional revenue; and (ii) collateralized short authorities or by supranational institutions as amended. term investment. and undertakings with EU, regional or world-wide scope; I. In case of securities lending transactions such Depending on market conditions and market –– shares or units issued by money market collateral must be received prior to or simultane- demand, it is expected that up to 50% of the UCIs calculating a daily net asset value ously with the transfer of the securities lent. securities held by a sub-fund may normally be and being assigned a rating of AAA or its When the securities are lent through intermediar- transferred to a transferee (in the case of repur- equivalent; ies, the transfer of the securities lent may be chase agreement transactions); moreover, within –– bonds issued by non-governmental affected prior to receipt of the collateral, if the the limits of the applicable investment terms, issuers offering an adequate liquidity; and relevant intermediary ensures proper completion securities may be received in exchange for cash –– shares quoted or negotiated on a regu- of the transaction. Said intermediary may provide (in the case of reverse repurchase agreement lated market of a EU Member State or on collateral in lieu of the borrower. transactions). a stock exchange of a Member State of the OECD, on the condition that these II. In principle, collateral for securities lending However, depending on market demand, the shares are included in a main index. transactions, reverse repurchase agreements Investment Company reserves the right to trans- and any business with OTC derivatives (except fer a maximum of up to 100% of a sub-fund’s The Investment Company shall disclose the total for currency forward contracts) must be given in securities to a transferee (in the case of repur- amount of the open repo transactions on the the form of: chase agreement transaction) or to receive securi- date of reference of its annual and semi-annual ties in exchange for cash (in the case of reverse reports. –– liquid assets such as cash, short term bank repurchase agreement transactions) within the deposits, money market instruments as limits of the applicable investment terms. Repo transactions may also, as the case may be, defined in Directive 2007/16/EC of March 19, be entered into with respect to individual share 2007, letters of credit and guarantees at first An overview of the actual utilization rates per classes, taking into account the specific charac- demand issued by a first class credit institu- sub-fund is available in the annual report. teristics of such share class and/or its investors, tion not affiliated to the counterparty and/or with any right to income and collateral under bonds, irrespective of their residual term, The Investment Company can act either as such repo transactions arising at the level of such issued or guaranteed by a Member State of purchaser or seller in repo transactions or a specific share class. the OECD or by their local authorities or by series of continuing repo transactions. Its supranational institutions and undertakings of involvement in such transactions is, however, a community, regional or worldwide nature; subject to the following rules: Choice of counterparty –– shares or units issued by money market-type UCIs calculating a daily net asset value and (i) The Investment Company may not buy or sell The conclusion of OTC derivative transactions, having a rating of AAA or its equivalent; securities using a repo transaction unless the including total return swaps, securities lending –– shares or units issued by UCITS investing counterparty in such transactions is subject transactions and repurchase agreements, is only mainly in bonds/shares mentioned in the to prudential supervision rules considered by permitted with credit institutions or financial following two indents; the CSSF as equivalent to those prescribed services institutions on the basis of standardized –– bonds, irrespective of their residual term, by Community law. master agreements. The counterparties, indepen- issued or guaranteed by first class issuers (ii) The counterparty risk vis-à-vis a single coun- dent of their legal form, must be subject to offering an adequate liquidity; or terparty (which, for the avoidance of doubt, ongoing supervision by a public body, be finan- –– shares admitted to or dealt in on a regulated may be reduced by the use of collateral) cially sound and have an organizational structure market of a Member State of the European arising from one (or more) repo transaction(s) and the resources they need to provide the Union or on a stock exchange of a Member may not exceed 10% of the assets of the services. In general, all counterparties have their State of the OECD, provided that these relevant sub-fund when the counterparty is a headquarters in member countries of the Organi- shares are included in a main index. financial institution falling within Article 41 (1) sation for Economic Co-operation and Develop- (f) of the Law of 2010, or 5% of its assets in ment (OECD), the G20 or Singapore. In addition, III. The collateral given under any form other all other cases. either the counterparty itself or its parent com- than cash or shares/units of a UCI/UCITS must pany must have an investment grade rating by be issued by an entity not affiliated to the one of the leading rating agencies. counterparty.

16 Any collateral received other than cash should be secured claim by at least 2% and thus achieve an X. Collateral is held by the Depositary or a highly liquid and traded on a regulated market or overcollateralization ratio of at least 102%. A sub-depositary of the Depositary. Cash collateral multilateral trading facility with transparent correspondingly higher haircut of currently up to in the form of bank deposits may be held in pricing in order that it can be sold quickly at a 33%, and thus a higher overcollateralization ratio blocked accounts by the Depositary of the Invest- price that is close to pre-sale valuation. Collateral of 133%, is applicable to securities with longer ment Company or by another credit institution received should also comply with the provisions maturities or securities issued by lower-rated with the Depositary’s consent, provided that this of article 56 of the UCITS Directive. issuers. In general, overcollateralization in relation other credit institution is subject to supervision by to OTC derivative transactions ranges between the a regulatory authority and has no link to the IV. When the collateral given in the form of cash following values: provider of the collateral. It shall be ensured that exposes the Investment Company to a credit risk the Investment Company is able to claim its rights vis-à-vis the trustee of this collateral, such expo- OTC derivative transactions on the collateral in case of the occurrence of an sure shall be subject to the 20% limitation as laid Overcollateralization ratio 102% to 133% event requiring the execution thereof, meaning down in Article 43 (1) of the Law of 2010. More- that the collateral shall be available at all times, over, such cash collateral shall not be safekept by Within the context of securities lending trans either directly or through the intermediary of a the counterparty unless it is legally protected actions, an excellent credit rating of the counter- first class financial institution or a wholly-owned from consequences of default of the latter. party and of the collateral may prevent the subsidiary of this institution, in such a manner that application of a collateral-specific haircut. How- the Investment Company is able to appropriate or V. The collateral given in a form other than cash ever, for lower-rated shares and other securities, realise the assets given as collateral, without shall not be safekept by the counterparty, except higher haircuts may be applicable, taking into delay, if the counterparty does not comply with its if it is adequately segregated from the latter’s account the creditworthiness of the counter- obligation to return the securities lent. own assets. party. In general, overcollateralization in relation to securities lending transactions ranges XI. Reinvestment of cash collateral may occur VI. Collateral provided must be adequately between the following values: exclusively in high-quality government bonds or diversified with respect to issuers, countries in money market funds with short-term maturity and markets. If the collateral meets a number Securities lending transactions structures. Cash collateral can additionally be of criteria such as the standards for liquidity, Overcollateralization invested by way of a reverse repurchase agree- valuation, solvency of the issuer, correlation and ratio required for government ment with a credit institution if the recovery of diversification, it may be offset against the gross bonds with an excellent the accrued balance is assured at all times. commitment of the counterparty. If the collateral credit rating 103% to 105% Securities collateral, on the other hand, is not is offset, its value can be reduced depending on Overcollateralization permitted to be sold or otherwise provided as the price volatility of the collateral by a certain ratio required for government collateral or pledged. percentage (a “haircut”), which shall absorb bonds with a lower short-term fluctuations to the value of the investment grade 103% to 115% XII. A sub-fund receiving collateral for at least engagement and the collateral. In general, Overcollateralization ratio 30% of its assets should assess the risk involved cash collateral will not be subject to a haircut. required for corporate bonds through regular stress tests carried out under with an excellent credit rating 105% normal and exceptional liquidity conditions to The criterion of sufficient diversification with Overcollateralization ratio assess the consequences of changes to the respect to issuer concentration is considered required for corporate market value and the liquidity risk attached to the to be respected if the sub-fund receives from a bonds with a lower collateral. The liquidity stress testing policy counterparty of OTC derivative transactions or investment grade 107% to 115% should prescribe the following: efficient portfolio management techniques Overcollateralization ratio transactions a basket of collateral with a maxi- required for Blue Chips a) design of stress test scenario analysis includ- mum exposure to a given issuer of 20% of its and Mid Caps 105% ing calibration, certification and sensitivity net asset value. When a sub-fund is exposed to analysis; different counterparties, the different baskets of VIII. The haircuts applied are checked for their b) empirical approach to impact assessment, collateral should be aggregated to calculate the adequacy regularly, at least annually, and will be including back-testing of liquidity risk 20% limit of exposure to a single issuer. adapted if necessary. estimates; c) reporting frequency and limit/loss tolerance VII. The Investment Company pursues a strategy IX. The Investment Company (or its delegates) threshold/s; and for the assessment of haircuts applied to financial shall proceed on a daily basis to the valuation of d) mitigation actions to reduce loss including assets which are accepted as collateral (“haircut the collateral received. In case the value of the haircut policy and gap risk protection. strategy”). collateral already granted appears to be insufficient in comparison with the amount to be covered, the The haircuts applied to the collateral refer to: counterparty shall provide additional collateral at Use of financial indices very short term. If appropriate, safety margins shall a) the creditworthiness of the counterparty; apply in order to take into consideration exchange If it is foreseen in the special section of this b) the liquidity of the collateral; risks or market risks inherent to the assets Sales Prospectus, the aim of the investment c) their price volatility; accepted as collateral. policy may be to replicate the composition of a d) the solvency of the issuer; and/or certain index respectively of a certain index by e) the country or market where the collateral Collateral admitted to trading on a stock use of leverage. However, the index must com- is traded. exchange or admitted on another organized ply with the following conditions: market or included therein, is valued either at the In general, collateral received in relation to OTC closing price of the day before the valuation, or, –– its composition is sufficiently diversified; derivative transactions is subject to a minimum as far as available, at the closing price of the day –– the index represents an adequate benchmark haircut of 2%, e.g. short-term government bonds of the valuation. The valuation of collateral is for the market to which it refers; and with an excellent rating. Consequently, the value performed according to principle to obtain a –– it is published in an appropriate manner. of such collateral must exceed the value of the value close to the market value.

17 When an index is replicated, the frequency of the In addition, the option to borrow 10% of net Furthermore, in some cases a Counterparty may adjustment of the index composition depends on assets is available for the sub-fund, provided that be required to evaluate such derivatives transac- the respective index. Normally, the composition this borrowing is temporary. tions or derivatives contracts. Such evaluations of the index is adjusted semi-annually, quarterly may constitute the basis for calculating the value or monthly. Additional costs may arise due to the An overall commitment thus increased can signi of particular assets of the respective sub-fund. replication and adjustment of the composition of ficantly increase both the opportunities and the The Board of Directors is aware that DB Group the index, which might reduce the value of the risks associated with an investment (see in partic- Members may possibly be involved in a conflict sub-fund’s net assets. ular the risk warnings in the “Risks connected to of interest if they act as Counterparty and/or derivative transactions” section). perform evaluations of this type. The evaluation will be adjusted and carried out in a manner that Risk management is verifiable. However, the Board of Directors Potential conflicts of interest believes that such conflicts can be handled The sub-funds shall include a risk management appropriately and assumes that the Counterparty process that enables the Management Company The directors of the Investment Company, the possesses the aptitude and competence to to monitor and measure at any time the risk of Management Company, the fund manager, the perform such evaluations. the positions and their contribution to the overall designated sales agents and persons appointed risk profile of the portfolio. to carry out sales activities, the Depositary, the In accordance with the respective terms agreed, Transfer Agent, the investment advisor, the DB Group Members may act as directors, sales The Management Company monitors every shareholders, the Securities Lending Agent as agents and sub-agents, depositaries, fund man- sub-fund in accordance with the requirements of well as all subsidiaries, affiliated companies, agers or investment advisors, and may offer to Ordinance 10-04 of the Commission de Surveil- representatives or agents of the aforemen- provide sub-depositary services to the Invest- lance du Secteur Financier (“CSSF”) and in parti tioned entities and persons (“Associated ment Company. The Board of Directors is aware cular CSSF Circular 11-/512 dated May 30, 2011, Persons”) may: that conflicts of interest may arise due to the and the “Guidelines on Risk Measurement functions that DB Group Members perform in and the Calculation of Global Exposure and Coun- –– conduct among themselves any and all kinds relation to the Investment Company. In respect terparty Risk for UCITS” by the Committee of of financial and banking transactions or other of such eventualities, each DB Group Member European Securities Regulators (CESR/10-788) as transactions, such as derivative transactions has undertaken to endeavor, to a reasonable well as CSSF Circular 14/592 dated September 30, (including total return swaps), securities extent, to resolve such conflicts of interest 2014. The Management Company guarantees for lending transactions and (reverse) repurchase equitably (with regard to the Members’ respec- every sub-fund that the overall risk associated agreements, or enter into the corresponding tive duties and responsibilities), and to ensure with derivative financial instruments will comply contracts, including those that are directed at that the interests of the Investment Company with the requirements of Article 42 (3) of the Law investments in securities or at investments and of the shareholders are not adversely of 2010. The market risk of the respective sub- by an Associated Person in a company or affected. The Board of Directors believes that fund does not exceed 200% of the market risk of undertaking, such investment being a constit- DB Group Members possess the required apti- the reference portfolio that does not contain uent part of the respective sub-fund’s assets, tude and competence to perform such duties. derivatives (in case of a relative VaR approach) or or be involved in such contracts or trans does not exceed 20% (in case of an absolute VaR actions; and/or The Board of Directors of the Investment Company approach). –– for their own accounts or for the accounts of believes that the interests of the Investment third parties, invest in shares, securities or Company might conflict with those of the entities The risk management approach used for the assets of the same type as the components mentioned above. The Investment Company has respective sub-fund is indicated in the special of the respective sub-fund’s assets and trade taken reasonable steps to avoid conflicts of inter- section of the Sales Prospectus for the sub-fund in them; and/or est. In the event of unavoidable conflicts of inter- in question. –– in their own names or in the names of third est, the Management Company of the Investment parties, participate in the purchase or sale of Company will endeavor to resolve such conflicts in The Management Company generally seeks to securities or other investments from or to the a fair way and favor of the sub-fund(s). The Man- ensure that the level of investment of the sub- Investment Company, through or jointly with agement Company is guided by the principle of fund through the use of derivatives does not the fund manager, the designated sales undertaking all appropriate steps to create organi- exceed twice the value of the investment sub- agents and persons appointed to carry out zational structures and to implement effective fund’s assets (hereinafter “leverage effect”) sales activities, the Depositary, the investment administrative measures to identify, handle and unless otherwise provided for in the special advisor, or a subsidiary, an affiliated company, monitor such conflicts. In addition, the directors of section of the Sales Prospectus. The leverage representative or agent of these. the Management Company shall ensure the effect is calculated using the sum of notional appropriateness of the systems, controls and approach (Absolute (notional) amount of each Assets of the respective sub-fund in the form of procedures for identifying, monitoring and resolv- derivative position divided by the net present liquid assets or securities may be deposited with ing conflicts of interest. value of the portfolio). an Associated Person in accordance with the legal provisions governing the Depositary. Liquid For each sub-fund, transactions involving the The leverage effect calculation considers deri assets of the respective sub-fund may be respective sub-fund’s assets may be conducted vatives of the portfolio. Any collateral is currently invested in certificates of deposit issued by an with or between Associated Persons, provided not re-invested and therefore not considered. It Associated Person or in bank deposits offered by that such transactions are in the best interests of must be noted, that this leverage effect does an Associated Person. Banking or comparable the investors. fluctuate depending on market conditions and/or transactions may also be conducted with or changes in positions (including hedging against through an Associated Person. Companies in the Particular Conflicts of Interest in Relation unfavorable market movements, among other Deutsche Bank Group and/or employees, repre- to the Depositary or Sub-Depositaries factors), and the targeted level may therefore be sentatives, affiliated companies or subsidiaries of The Depositary is part of an international group exceeded in spite of constant monitoring by the companies in the Deutsche Bank Group (“DB of companies and businesses that, in the ordi- Management Company. The disclosed expected Group Members”) may be counterparties in the nary course of their business, act simultaneously level of leverage is not intended to be an addi- Investment Company’s derivatives transactions for a large number of clients, as well as for their tional exposure limit for the sub-fund. or derivatives contracts (“Counterparty”). own account, which may result in actual or

18 potential conflicts. Conflicts of interest arise Potential conflicts that may arise in the Deposi- Combating money laundering where the Depositary or its affiliates engage in tary’s use of sub-custodians include four broad activities under the depositary agreement or categories: The Transfer Agent may demand such proof of under separate contractual or other arrange- identity as it deems necessary in order to com- ments. Such activities may include: (1) conflicts from sub-custodian selection and ply with the laws applicable in Luxembourg for asset allocation among multiple sub-custodi- combating money laundering. If there is doubt (i) providing nominee, administration, registrar ans influenced by (a) cost factors, including regarding the identity of the investor or if the and transfer agency, research, agent securi- lowest fees charged, fee rebates or similar Transfer Agent does not have sufficient details to ties lending, investment management, incentives and (b) broad two-way commercial establish the identity, the Transfer Agent may financial advice and/or other advisory ser- relationships in which the Depositary may act demand further information and/or documenta- vices to the Investment Company; based on the economic value of the broader tion in order to be able to unequivocally establish (ii) engaging in banking, sales and trading trans- relationship, in addition to objective evalua- the identity of the investor. If the investor actions including foreign exchange, deriva- tion criteria; refuses or fails to submit the requested informa- tive, principal lending, broking, market mak- (2) sub-custodians, both affiliated and non-affili- tion and/or documentation, the Transfer Agent ing or other financial transactions with the ated, act for other clients and in their own may refuse or delay the transfer to the Investors Investment Company either as principal and proprietary interest, which might conflict with Company’s register of shareholders of the in in the interests of itself, or for other clients. clients’ interests; vestor’s data. The information submitted to the (3) sub-custodians, both affiliated and non-affili- Transfer Agent is obtained solely to comply with In connection with the above activities the ated, have only indirect relationships with the laws for combating money laundering. Depositary or its affiliates: clients and look to the Depositary as its counterparty, which might create incentive The Transfer Agent is, in addition, obligated to (i) will seek to profit from such activities and for the Depositary to act in its self-interest, or examine the origin of money collected from a are entitled to receive and retain any profits other clients’ interests to the detriment of financial institution unless the financial institution in or compensation in any form and are not clients; and question is subject to a mandatory proof-of-identity bound to disclose to, the Investment Com- (4) sub-custodians may have market-based procedure that is the equivalent of the proof-of- pany, the nature or amount of any such creditors’ rights against client assets that identity procedure provided for under Luxembourg profits or compensation including any fee, they have an interest in enforcing if not paid law. The processing of subscription applications can charge, commission, revenue share, spread, for securities transactions. be suspended until such a time as the Transfer mark-up, mark-down, interest, rebate, Agent has properly established the origin of the discount, or other benefit received in con- In carrying out its duties the Depositary shall act money. nection with any such activities; honestly, fairly, professionally, independently and (ii) may buy, sell, issue, deal with or hold, securi- solely in the interests of the Investment Company Initial or subsequent subscription applications for ties or other financial products or instruments and its shareholders. shares can also be made indirectly, i.e., via the as principal acting in its own interests, the sales agents. In this case, the Transfer Agent can interests of its affiliates or for its other clients; The Depositary has functionally and hierarchi- forego the aforementioned required proof of (iii) may trade in the same or opposite direction cally separated the performance of its deposi- identity under the following circumstances or to the transactions undertaken, including tary tasks from its other potentially conflicting under the circumstances deemed to be sufficient based upon information in its possession that tasks. The system of internal controls, the in accordance with the money laundering laws is not available to the Investment Company; different reporting lines, the allocation of tasks applicable in Luxembourg: (iv) may provide the same or similar services to and the management reporting allow potential other clients including competitors of the conflicts of interest and the depository issues –– if a subscription application is being pro- Investment Company; to be properly identified, managed and moni- cessed via a sales agent that is under the (v) may be granted creditors’ rights by the tored. Additionally, in the context of the Depo supervision of the responsible authorities Investment Company which it may exercise. sitary’s use of sub-custodians, the Depositary whose regulations provide for a proof-of- imposes contractual restrictions to address identity procedure for customers that is The Investment Company may use an affiliate some of the potential conflicts and maintains equivalent to the proof-of-identity procedure of the Depositary to execute foreign exchange, due diligence and oversight of sub-custodians provided for under Luxembourg law for spot or swap transactions for the account of to ensure a high level of client service by those combating money laundering, and the sales the Investment Company. In such instances the agents. The Depositary further provides fre- agent is subject to these regulations; affiliate shall be acting in a principal capacity and quent reporting on clients’ activity and holdings, –– if a subscription application is being pro- not as a broker, agent or fiduciary of the Invest- with the underlying functions subject to internal cessed via a sales agent whose parent ment Company. The affiliate will seek to profit and external control audits. Finally, the Deposi- company is under the supervision of the from these transactions and is entitled to retain tary internally separates the performance of its responsible authorities whose regulations and not disclose any profit to the Investment custodial tasks from its proprietary activity and provide for a proof of identity procedure for Company. The affiliate shall enter into such follows a Standard of Conduct that requires customers that is equivalent to the proof of transactions on the terms and conditions agreed employees to act ethically, fairly and trans identity procedure in accordance with Lux- with the Investment Company. parently with clients. embourg law and serves to combat money laundering, and if the corporate policy or the Where cash belonging to the Investment Com- Up-to-date information on the Depositary, its law applicable to the parent company also pany is deposited with an affiliate being a bank, a duties, any conflicts that may arise, the imposes the equivalent obligations on its potential conflict arises in relation to the interest safe-keeping functions delegated by the depo subsidiaries or branches. (if any) which the affiliate may pay or charge to sitary, the list of delegates and sub-delegates such account and the fees or other benefits and any conflicts of interest that may arise from In the case of countries that have ratified the which it may derive from holding such cash as such a delegation will be made available by the recommendations of the Financial Action Task banker and not as trustee. Depositary to shareholders on request. Force (FATF), it is assumed that the respective responsible supervisory authorities in these The Investment Company may also be a client or countries have imposed regulations for implement- counterparty of the Depositary or its affiliates. ing proof of identity procedures for customers on

19 physical persons or legal entities operating in the If an investor is classified as a beneficial owner permitted as it violates the conditions of the Sales financial sector and that these regulations are the as defined by the Law of 2019, the Investment Prospectus of the Investment Company, under equivalent of the proof of identity procedure Company is obliged, pursuant to the Law of 2019 which the price at which an order placed after the required in accordance with Luxembourg law. and subject to criminal sanctions, to collect and order acceptance deadline is executed is based on transmit information. Likewise, the respective the next valid net asset value per share. The sales agents can provide a nominee service investor is himself obliged to provide information. to investors that acquire shares through them. Investors may decide at their own discretion If an investor is not able to verify whether or not Total expense ratio whether or not to take up this service, which he is classified as a beneficial owner, he can involves the nominee holding the shares in its contact the Investment Company via the The total expense ratio (TER) is defined as the name for and on behalf of investors; the latter are following e-mail address to seek clarification: proportion of each respective sub-fund‘s expen- entitled to demand direct ownership of the shares [email protected]. ditures to the average assets of the sub-fund, at any time. Notwithstanding the preceding excluding accrued transaction costs. The effec- provisions, investors are free to make investments tive TER is calculated annually and published in directly with the Investment Company without Data protection the annual report. The total expense ratio is availing of the nominee service. stated as “ongoing charges” in the KIID. The personal data of investors provided in the Luxembourg Register of Beneficial Owners application forms, as well as the other information If the investor is advised by third parties (in (transparency register) collected within the scope of the business relation- particular companies providing services related ship with the Investment Company and/or the to financial instruments, such as credit institu- The Luxembourg Law of January 13, 2019, con- Transfer Agent are recorded, stored, compared, tions and investment firms) when acquiring cerning the introduction of a Register of Beneficial transmitted and otherwise processed and used shares, or if the third parties mediate the pur- Owners (“Law of 2019”) entered into force on (“processed”) by the Investment Company, the chase, such third parties provide the investor, as March 1, 2019. The Law of 2019 obliges all entities Transfer Agent, other businesses of DWS, the the case may be, with a breakdown of any costs registered in the Luxembourg Register of Com- Depositary and the financial intermediaries of the or expense ratios that are not laid out in the cost merce and Companies, including the Investment investors. The data is used for the purposes of details in this Sales Prospectus or the KIID, and Company, to collect and store certain information account management, examination of money- which overall may exceed the total expense ratio on their beneficial owners. The Investment Com- laundering activities, determination of taxes as described here. pany is furthermore obliged to enter the collected pursuant to EU Directive 2014/107/EU on the information in the Register of Beneficial Owners, taxation of interest payments and for the develop- In particular, such situations may result from which is administered by the Luxembourg ment of business relationships. regulatory requirements governing how such Business Registers under the supervision of the third parties determine, calculate and report Luxembourg Ministry of Justice. In this respect, For these purposes, the data may also be costs. These requirements may arise in the the Investment Company is obliged to monitor the forwarded to businesses appointed by the course of the national implementation of Direc- existence of beneficial owners continuously and in Investment Company or the Transfer Agent in tive 2014/65/EU of the European Parliament and relation to particular circumstances, and to notify order to support the activities of the Investment of the Council on markets in financial instru- the Register. Company (for example, client communication ments and amending Directive 2002/92/EC and agents and paying agents). Directive 2011/61/EU (also known as “MiFID II”). Article 1 (7) of the Law of November 12, 2004, on It is important to note that the cost statement combating money laundering and terrorist financ- may vary due to these third parties additionally ing defines a beneficial owner, inter alia, as any Acceptance of orders invoicing the costs of its own services (e.g. a natural person that ultimately owns or controls a surcharge or, where applicable, recurrent broker- company. In this case, this includes any natural All subscription, redemption and exchange orders ing or advisory fees, depositary fees, etc.). person in whose ownership or under whose are placed on the basis of an unknown net asset Furthermore, such third parties are subject to control the Investment Company ultimately lies by value per share. Details are listed for each sub-fund partially varying requirements regarding how way of directly or indirectly holding a sufficient in the special section of the Sales Prospectus. costs accruing at sub-fund level are calculated. amount of shares or voting rights or a participa- As an example, the sub-fund’s transaction costs tion, including in the form of bearer shares, or by may be included in the third party’s cost state- means of another form of control. Market timing and ment even though the currently applicable short term trading requirements governing the Investment Com- If a natural person has a shareholding of 25% plus pany stipulate that they are not part of the one share or a participation of more than 25% of The Investment Company prohibits all practices aforementioned total expense ratio. the Investment Company, this is deemed to be an connected with market timing and short term indication of direct ownership. If a company that trading and reserves the right to refuse subscrip- Deviations in the cost statement are not limited is controlled by one or more natural persons or tion and exchange orders if it suspects that such to cost information provided before a contract is if several companies that are owned by the practices are being applied. In such cases, the concluded (i.e. before investment in the Invest- same natural person or the same natural persons, Investment Company will take all measures ment Company). They may also arise if the third has/have a shareholding of 25% plus one share necessary to protect the other investors in the party provides regular cost information about the or a participation of more than 25% of the Invest- respective sub-fund. investor’s current investments in the Investment ment Company, this is deemed to be an indication Company in the context of a long-term business of indirect ownership. relationship with its client. Late trading Besides the stated reference points for direct and indirect ownership, there are other forms of Late trading occurs when an order is accepted control according to which an investor can be after the close of the relevant acceptance dead- classified as a beneficial owner. In this respect, an lines on the respective valuation date, but is analysis is conducted in the individual case if executed at that same day’s price based on the indications of ownership or control are present. net asset value. The practice of late trading is not

20 Repayment to certain investors with regulatory requirements, are monitored by Selling restrictions of management fees collected the relevant governing bodies of DWS Group. DWS Group pursues a total remuneration The shares of the sub-funds that have been The Management Company may, at its discre- approach that comprises fixed and variable remu- issued may be offered for sale or sold to the tion, agree with individual investors the partial neration components and contains portions of public only in countries where such an offer or repayment to them of the management fees deferred remuneration, which are linked both to such a sale is permissible. Provided that no collected. This can be a consideration especially individual future performance and the sustainable permit for public distribution issued by the local in the case of institutional investors who directly development of DWS Group. As part of the supervisory authorities has been acquired by the invest large amounts for the long term. The remuneration strategy, in particular employees at Investment Company or a third party commis- “Institutional Sales” division at DWS Investment first and second management levels receive a sioned by the Investment Company and is S.A. is responsible for these matters. portion of the variable remuneration in the form of available to the Investment Company, this Sales deferred remuneration elements, which are largely Prospectus must not be regarded as a public linked to the long-term performance of DWS offer for the acquisition of sub-fund shares and/or Buy and sell orders for securities share or of investment products. this Sales Prospectus must not be used for the and financial instruments purpose of such a public offer. In addition, the remuneration policy takes the The Management Company submits buy and sell following guidelines into account: The information contained herein and the shares of orders for securities and financial instruments the sub-funds are not intended for distribution in directly to brokers and traders for the account of a) The remuneration policy is consistent with and the United States of America or to U.S. persons the respective sub-fund. The Management promotes sound and effective risk manage- (individuals who are U.S. citizens or whose perma- Company concludes agreements with these ment and does not encourage excessive nent place of residence is in the United States of brokers and traders under customary market risk-taking. America or partnerships or corporations established conditions that comply with first-rate execution b) The remuneration policy is in line with the in accordance with the laws of the United States of standards. When selecting the broker or trader, business strategy, objectives, values and America or of any state, territory or possession of the Management Company takes into account all interests of DWS Group (including the Man- the United States). Correspondingly, shares are relevant factors, such as the credit rating of the agement Company and the UCITS that it neither offered nor sold in the United States of broker or trader and the execution capacities manages and of the investors in such UCITS) America nor for the account of U.S. persons. provided. A prerequisite for the selection of a and includes measures to avoid conflicts of Subsequent transfers of shares into the United broker is that the Management Company always interest. States of America or to U.S. persons are prohibited. ensures that transactions are executed under the c) The assessment of performance is in principle best possible conditions, taking into account the set in context of a multi-year framework. This Sales Prospectus may not be distributed in specific market at the specific time for the d) Fixed and variable components of total remu- the United States of America. The distribution of specific type and size of transaction. neration are appropriately balanced and the this Sales Prospectus and the offering of the fixed component represents a sufficiently high shares may also be subject to restrictions in The Management Company may conclude proportion of the total remuneration to allow other legal systems. agreements with selected brokers, traders and the operation of a fully flexible policy on other analysis service providers, whereby these variable remuneration components, including Investors that are considered “restricted per- service providers acquire market information and the possibility to pay no variable remuneration sons” as defined in Rule 5130 of the Financial research. These services are used by the Man- component. Industry Regulatory Authority in the United agement Company for the purpose of managing States (FINRA Rule 5130) must report their the respective sub-fund of the Investment Further details on the current remuneration policy holdings in the sub-funds to the Management Company. When the Management Company are published on the internet at http://www.dws. Company without delay. uses these services, it adheres to all applicable com/footer/Legal-Resources. This includes a regulatory requirements and industry standards. description of the calculation methods for remu- This Sales Prospectus may be used for sales In particular, the Management Company does neration and bonuses to specific employee purposes only by persons who possess an not require any services if the aforementioned groups, as well as the specification of the persons explicit written permit from the Investment agreements according to prudent judgement do responsible for the allocation including members Company (either directly or indirectly via corre- not support the Management Company in its of the remuneration committee. The Management spondingly commissioned sales agents). Infor- investment decision-making process. Company shall provide this information free of mation or representations by third parties that charge in paper form upon request. In addition, are not contained in this Sales Prospectus or in the Management Company discloses further the documents have not been authorized by the Regular savings or information on employee remuneration in the Investment Company. withdrawal plans annual report.

Regular savings or withdrawal plans are offered Foreign Account Tax Compliance in certain countries in which the respective Mandate to the local Act – “FATCA” sub-fund has been authorized. Additional infor- paying agent mation about these plans is available from the The Foreign Account Tax Compliance provisions Management Company and from the respective In some distribution countries the investors, (commonly known as “FATCA”) are contained in sales agents in the distribution countries of the through the share subscription form, appoint the Hiring Incentives to Restore Employment Act respective sub-fund. the respective local paying agent as their undis- (the “Hire Act”), which was signed into U.S. law in closed agent so that the latter may, in its own March 2010. These provisions are U.S. legislation name but on their behalf, send to the Investment aimed at reducing tax evasion by U.S. citizens. It Remuneration policy Company in grouped way any subscription, requires financial institutions outside the U.S. exchange and redemption orders in relation to (“foreign financial institutions” or “FFIs”) to pass The Management Company is included in the the shares and perform all the necessary rele- information about “Financial Accounts” held by remuneration strategy of DWS Group. All matters vant administrative procedures. related to remuneration as well as compliance

21 “Specified U.S. persons”, directly or indirectly, to Member States had to incorporate into their Each natural person concerned has a right to the U.S. tax authorities, the Internal Revenue national laws by December 31, 2015. DAC 2 was access any data reported to the Luxembourg tax Service (“IRS”) on an annual basis. transposed into Luxembourg law by a law dated authorities for the purpose of the CRS Law and, December 18, 2015 (“CRS Law”). It was as the case may be, to have these data rectified In general, a 30% withholding tax is imposed on published in the Mémorial A – N° 244 on in case of error. certain U.S. source income of FFIs that fail to December 24, 2015. comply with this requirement. This regime will become effective in phases between July 1, The CRS Law requires certain Luxembourg Language 2014 and 2017. Generally, non-U.S. funds, such as Financial Institutions (investment funds such as this Investment Company through its sub-funds, this Fund qualify, in principle, as Luxembourg The Management Company may, on behalf of will be FFIs and will need to enter into FFI agree- Financial Institutions) to identify their account itself and the Investment Company, declare ments with the IRS unless they qualify as holders and establish where they are fiscally translations into particular languages as legally “deemed-compliant” FFIs, or, if subject to a resident. In this respect, a Luxembourg Financial binding versions with respect to those shares model 1 intergovernmental agreement (“IGA”), Institution which is classified as Luxembourg of the sub-funds sold to investors in countries they can qualify as either a “reporting financial Reporting Financial Institution is required to where sub-fund’s shares may be offered for sale institution” or “non-reporting financial institution” obtain a self-certification to establish the CRS to the public and which declaration shall be under their local country IGA. IGAs are agree- status and/or tax residence of its account holders mentioned in the country specific information ments between the U.S. and foreign jurisdictions at account opening. for investors relating to distribution in certain to implement FATCA compliance. On March 28, countries. Otherwise, in the event of any incon- 2014, Luxembourg entered into a model 1 IGA Luxembourg Reporting Financial Institutions will sistency between the English language version with the U.S. and a memorandum of understand- need to perform their first reporting of financial of the Sales Prospectus and any translation, the ing in respect thereof. The Investment Company account information for the year 2016 about English language version shall prevail. would hence in due course have to comply with account holders and (in certain cases) their such Luxembourg IGA. Controlling Persons that are tax resident in a Reportable Jurisdiction (identified in a Grand The Investment Company will continually assess Ducal Decree) to the Luxembourg tax authorities the extent of the requirements that FATCA and (Administration des contributions directes) by notably the Luxembourg IGA places upon it. In June 30, 2017. The Luxembourg tax authorities order to comply, the Investment Company may will automatically exchange this information with inter alia require all shareholders to provide the competent foreign tax authorities by the end mandatory documentary evidence of their tax of September 2017. residence in order to verify whether they qualify as Specified U.S. persons. Data protection Shareholders, and intermediaries acting for shareholders, should note that it is the existing policy of According to the CRS Law and Luxembourg data the Investment Company that Shares are not protection rules, each natural person concerned, being offered or sold for the account of U.S. i.e. potentially reportable, shall be informed on persons and that subsequent transfers of Shares the processing of his/her personal data before to U.S. persons are prohibited. If Shares are the Luxembourg Reporting Financial Institution beneficially owned by any U.S. person, the Invest- processes the data. ment Company may in its discretion compulsorily redeem such Shares. Shareholders should more- If the Investment Company or its sub-funds over note that under the FATCA legislation, the qualify as a Reporting Financial Institution, it definition of Specified U.S. persons will include a informs the natural persons who are Reportable wider range of investors than the current U.S. Persons in the aforementioned context, in accord person definition. The Board of Directors may ance with the Luxembourg data protection law. therefore resolve, once further clarity about the implementation of the Luxembourg IGA becomes –– In this respect, the Reporting Luxembourg available, that it is in the interests of the Invest- Financial Institution is responsible for the ment Company to widen the type of investors personal data processing and will act as data prohibited from further investing in the sub-funds controller for the purpose of the CRS Law. and to make proposals regarding existing investor –– The personal data is intended to be processed holdings in connection therewith. for the purpose of the CRS Law. –– The data may be reported to the Luxembourg tax authorities (Administration des contribu- Common Reporting Standard tions directes), which may in turn forward the (“CRS”) data to the competent authorities of one or more Reportable Jurisdictions. The OECD received a mandate by the G8/G20 –– For each information request for the purpose countries to develop a global reporting standard of the CRS Law sent to the natural person to achieve a comprehensive and multilateral concerned, the answer from the natural automatic exchange of information on a global person will be mandatory. Failure to respond basis. The CRS has been incorporated in the within the prescribed timeframe may result amended Directive on Administrative Coopera- in (incorrect or double) reporting of the tion (now commonly referred to as “DAC 2”), account to the Luxembourg tax authorities. adopted on December 9, 2014, which the EU

22 Investor profiles

The definitions of the following investor profiles expectations are offset by risks in the equity, returns, can tolerate the substantial fluctuations were created based on the premise of normally interest rate and currency areas, as well as by in the values of investments, and the very high functioning markets. Further risks may arise in credit risks and the possibility of incurring risks this entails. Strong price fluctuations and each case in the event of unforeseeable market losses up to and including the total loss of high credit risks result in temporary or permanent situations and market disturbances due to capital invested. The investor is also willing and reductions of the net asset value per unit/share. non-functioning markets. able to bear a financial loss and is not con- Expectations of high returns and tolerance of risk cerned with capital protection. by the investor are offset by the possibility of “Risk-averse” investor profile incurring significant losses up to and including The sub-fund is intended for the safety-oriented “Growth-oriented” investor profile the total loss of capital invested. The investor is investor with little risk appetite, seeking steady The sub-fund is intended for the growth-oriented willing and able to bear such a financial loss and performance but at a low level of return. Short- investor seeking capital appreciation primarily is not concerned with capital protection. term and long-term fluctuations of the unit/ from equity gains and exchange rate movements. share value are possible as well as significant Return expectations are offset by high risks in the The Management Company provides additional losses up to the total loss of capital invested. equity, interest rate and currency areas, as well information to distribution agents and distribu- The investor is willing and able to bear such a as by credit risks and the possibility of incurring tion partners concerning the profile of a typical financial loss and is not concerned with capital significant losses up to and including the total investor or the target client group for this finan- protection. loss of capital invested. The investor is willing and cial product. If the investor is advised on the able to bear such a financial loss and is not acquisition of units/shares by distribution agents “Income-oriented” investor profile concerned with capital protection. or distribution partners, or if such agents or The sub-fund is intended for the income- partners act as intermediaries for the purchase oriented investor seeking higher returns through “Risk-tolerant” investor profile of units/shares, they may therefore present dividend distributions and interest income from The sub-fund is intended for the risk-tolerant additional information to the investor that also bonds and money market instruments. Return investor who, in seeking investments with strong relates to the profile of a typical investor.

Performance

Past performance is not a guarantee of future the possibility that they will not get back the www.dws.com, in the KIID and factsheets, or in results for the respective sub-fund. The returns original amount invested. the semi-annual and annual reports. and the principal value of an investment may Data on current performance can be found rise or fall, so investors must take into account on the Management Company’s website

23 1. The Investment Company d) The capital of the Investment Company is the policies, the requirements to be fulfilled by and the share classes sum of the total net asset values of the individ investors or other special characteristics, such as ual sub-funds. Changes in capital are not hedging features and additional currency expo A. The Investment Company governed by the general rules of commercial sure to a basket of currencies, as specified in a) DWS Invest is an investment company with law on publication and registration in the each case by the Management Company. The net variable capital incorporated under the laws Register of Commerce and Companies in asset value per share is calculated separately for of Luxembourg on the basis of the Law on regard to increasing and reducing share capital. each issued share class of each sub-fund. No Undertakings for Collective Investment and separate portfolio is maintained by a sub-fund for the Law on Trading Companies of August 10, e) The minimum capital of the Investment its individual share classes. In the case of currency- 1915, as a société d’investissement à capital Company is EUR 1,250,000, which was hedged share classes (either on share class variable (“SICAV”). The Investment Company reached within six months after the esta level, marked with the “H” denominator or on was established on the initiative of DWS blishment of the Investment Company. The portfolio level, marked with the “H (P)” denomi Investment S.A., a management company original capital of the Investment Company nator), and share classes that build up an addi under Luxembourg law, which, among other was EUR 31,000, divided into 310 shares tional currency exposure to a basket of curren functions, acts as the main distributor for the with no nominal value. cies (share classes marked with the “CE” Investment Company. denominator), the sub-fund may become subject f) If the Investment Company’s capital falls below to obligations arising from currency hedging b) The Investment Company is organized under two thirds of the minimum capital, its Board of transactions or from currency exposure manage Part I of the Law of 2010, and complies with Directors must propose to the Shareholders’ ment entered into for one particular share class. the provisions of the UCITS Directive, as well Meeting the dissolution of the Investment The assets of the sub-fund are liable for such as the provisions of the Ordinance of the Company; the Shareholders’ Meeting will meet obligations. The different characteristics of the Grand Duchy dated February 8, 2008, pertain without attendance required and will make its individual share classes available with respect to ing to certain definitions of the amended law of resolutions by simple majority of the shares a sub-fund are described in detail in the respec December 20, 20021, on Undertakings for represented and actually voted at the Share tive special section. Collective Investment (“Ordinance of the holders’ Meeting. The same applies if the Grand Duchy dated February 8, 2008”), via Investment Company’s capital falls below 25% While liabilities attributed to a share class will which Directive 2007/16/EC2 was implemented of the minimum capital, except that in this only be allocated to that share class, a creditor of in Luxembourg law. case the dissolution of the Investment Com a sub-fund will generally not be bound to satisfy pany can be passed by 25% of the shares its claims from a particular share class. Rather, With regard to the provisions contained in represented at the Shareholders’ Meeting. such creditor could seek, to the extent the Directive 2007/16/EC and in the Ordinance liabilities exceeded the value of the assets of the Grand Duchy dated February 8, 2008, B. Structure of the allocable to the share class to which the liabilities the guidelines of the Committee of European Investment Company are associated, to satisfy its claim from the Securities Regulators (CESR) set out in the The Investment Company has an umbrella sub-fund as a whole. Thus, if a creditor’s claim document “CESR’s guidelines concerning structure, each compartment corresponding to relating to a particular share class exceeds the eligible assets for investment by UCITS”, as a distinct part of the assets and liabilities of the value of the assets allocable to that share class, amended, provide a set of additional explana Investment Company (a sub-fund) as defined in the remaining assets of the sub-fund may be tions that are to be observed in relation to the Article 181 (1) of the Law of 2010, and that is subject to such claim. financial instruments that are applicable for formed for one or more share classes of the type UCITS falling under the UCITS Directive as described in the articles of incorporation. Each Investors who want to know which share amended.3 sub-fund will be invested in accordance with the classes with the “H”, “H (P)” or “CE” denomi investment objective and policy applicable to that nators exist in the sub-fund they are invested in c) The articles of incorporation were filed with sub-fund, the investment objective, policy are invited to check the up-to-date information the Luxembourg Register of Commerce under (including, as the case may be and allowed under on launched share classes of each sub-fund at the number B 86.435 and can be inspected applicable laws, acting as a feeder sub-fund or www.dws.com. there. Upon request, copies can be obtained master sub-fund), as well as the risk profile and for a fee. The registered office of the Company other specific features of each sub-fund are set The Investment Company reserves the right to is Luxembourg. forth in this Sales Prospectus. Each sub-fund offer only one or certain share classes for pur may have its own funding, share classes, invest chase by investors in certain jurisdictions in order ment policy, capital gains, expenses and losses, to comply with the laws, traditions or business distribution policy or other specific features. practices applicable there. The Investment 1 Replaced by the law of 2010. Company further reserves the right to establish 2 Directive 2007/16/EC adopted by the Com C. Share classes principles to apply to certain investor categories mission on March 19, 2007, for the purposes The Board of Directors of the Company may or transactions with respect to the acquisition of of implementing Council Directive 85/611/EEC at any time elect to launch new share classes certain share classes. on the coordination of laws, regulations and within a sub-fund in accordance with the share administrative provisions relating to certain class features as specified below. The Sales Investors in euro share classes should note that undertakings for collective investment in Prospectus will be updated accordingly and for sub-funds whose currency is the U.S. dollar, transferable securities (UCITS) in regard to the up-to-date information on launched share the net asset value per share of the individual explanation of specific definitions (“Directive classes is available on the internet at euro classes is calculated in U.S. dollars, the 2007/16/EC”). www.dws.com. sub-fund currency, and then expressed in euro 3 See CSSF newsletter 08-339 as amended: using the USD/EUR exchange rate at the time of CESR’s guidelines concerning eligible assets All share classes of a sub-fund are invested the calculation of the net asset value per share. for investment by UCITS – March 2007, Ref.: collectively in line with the investment objectives Likewise, investors in U.S. dollar share classes CESR/07-044; CESR’s guidelines concerning of the respective sub-fund, but they may vary should note that for sub-funds whose currency is eligible assets for investment by UCITS – The particularly in terms of their fee structures, their the euro, the net asset value per share of the classification of hedge fund indices as financial minimum initial or subsequent investment individual U.S. dollar classes is calculated in euro, indices – July 2007, ref.: CESR/07-434. amounts, their currencies, their distribution the sub-fund currency, and then expressed in

24 U.S. dollars using the EUR/USD exchange rate at D. Sub-funds with non-base non-base currency share class, i.e. these influ- the time of the calculation of the net asset value currency share classes – ences could be borne by the respective sub-fund per share. possible currency impacts and all of its share classes. Investors in sub-funds offering non-base currency Depending on the respective sub-fund currency, share classes should note that possible currency E. Description of denominators the same applies to investors in all other share impacts on the net asset value per share may The Investment Company offers various share classes denominated in another currency than occur and are not systematically hedged. These class features. The share class features are the respective sub-fund. impacts are attached to the processing and described by the denominators in the table booking of orders of non-base currency shares below. The denominators are explained in more Exchange rate fluctuations are not system and related time lags of the different necessary detail hereafter: atically hedged by the respective sub-funds, steps possibly leading to exchange rate fluctua- and such fluctuations can have an impact on tions. In particular, this is true for redemption the performance of the share classes that is orders. These possible impacts on the net asset separate from the performance of the invest value per share could be of positive or negative ments of the sub-funds. nature and are not limited to the affected

Allocation of Distribution Type of Investor Hedging Other Income Frequency

Institutional Early Bird EB I Annual Non-hedged

Capitalization Donation Semi-Institutional C W F Hedged H Seeding X Retail Quarterly B, L, N Q Zero Cost Features Portfolio Hedged Z Master-Feeder H (P) J, MF Distribution Placement Fee* D PF Monthly Currency Exposure Trailer free M CE Restricted TF R

Country specific share classes: in Japan: JQI in Switzerland: S (Switzerland), in the UK: DS (Distributor Status), RD (Reporting Fund Status), * tax-intransparent

a) Type of investor with Article 174 (2) of the Law of 2010. Share to receive and keep trailer fees or any classes with the “I” denominator are only other fee, rebate or payment from the The denominators “B”, “L”, “N”, “F”, “I”, “J”, “MF” offered in form of registered shares, unless fund; or and “TF” indicate the types of investors the otherwise provided for in the special section of –– have separate fee arrangements with share classes are offered to. the Sales Prospectus of the respective sub-fund. their clients and do not receive and keep trailer fees or any other fee, rebate or Share classes with the “B”, “L” and “N” denomi- Share classes with the “MF” denominator are payment from the fund; nator are offered to retail investors and share only offered to UCI or their sub-funds, that invest (2) to other UCI; and classes with the “F” denominator are offered to at least 85% of their assets (“Feeder-UCI”) in (3) to insurance-based investment products semi-institutional investors. units of other UCI or their sub-funds within the meaning of Art. 4 sec. 2 Regula- (“Master-UCI”). tion (EU) No. 1286/2014. Share classes with the “J” denominator will only be offered to schemes for mutual investment The shares of the trailer free “TF” share classes For the TF share class, the Investment Company funds according to Japanese law. The Company are only made available does not pay any trailer fees. In consequence, reserves the right to buy back shares from the costs in relation to the TF share class are investors at the redemption price in case in (1) through distributors and intermediaries who: lower than the costs of other share classes vestors do not meet this requirement. –– according to regulatory requirements within the same fund. (e.g. independent advisory services, Share classes with the “I” denominator are discretionary portfolio management or offered to institutional investors in accordance specific local regulations) are not allowed

25 b) Allocation of income (ii) Non-hedged share classes Donation share classes The Board of Directors intends making an annual Share classes denoted with the denominator Share classes without the “H” or “H (P)” desig- distribution for the share class with the suffix “W” “C” (Capitalization) offer a reinvestment of nator are not hedged against currency risks. (the “Donation Share Class”). This distribution is income (reinvesting or accumulating shares). to be made via the respective institution maintain- Share classes with the denominator “D” indicate e) Currency exposure ing the custody account on the instruction of and a distribution of income (distributing shares). in the name of the respective holder of fund The share classes marked (CE) for “Currency shares („shareholder“), where applicable less c) Distribution Frequency Exposure” aim to create for the share class German withholding tax (Kapitalertragsteuer/KESt) currency exposure equal to the currencies in withheld by the institution maintaining the custody The letters “Q” and “M” describe the frequency which the assets in the sub-fund’s portfolio may account (plus solidarity surcharge and, where of distribution. The letter “Q” indicates distribution be denominated. applicable, church tax), to a defined donation on a quarterly basis, while the denominator “M” beneficiary to promote this beneficiary’s tax-privi- describes a monthly distribution. Distributing Under certain circumstances the currency expo- leged purposes as defined in sections 51 et seq. shares without the “Q” and “M” denominators sure may not or only partially be implemented by of the German Fiscal Code (Abgabenordnung/AO) offer annual distribution. unwinding currency hedging position in the (“donation”). The definition of the Donation Bene- sub-fund (e.g. small share class volume or small ficiary and the instruction to pay out the distribu- d) Hedging residual currency positions in the fund) or be tion to a Donation Beneficiary are set out in an imperfectly implemented (e.g.: some currencies appropriation agreement between the shareholder Furthermore, share classes may provide a hedge cannot be traded at any time, or must be approxi- and the institution maintaining the custody of currency risks: mated by another currency). In addition attached account. In this context, it is expressly pointed out to the processing and booking of orders in these that all decisions regarding whether distributions (i) Currency Hedging share classes time lags in the exposure manage- should take place, and in what amount, are at the ment process can lead to a delay in the adapta- discretion of the Board of Directors. For opera- The currency hedging is provided by a hedging tion of the currency exposure to the new share tional reasons and for correct processing of the agent (either from an external service provider or class volume. In case of exchange rate fluctua- donation, shares of a Donation Share Class that internally) on the basis of specified rules. The tions this can impact the net asset value of the are issued in the form of bearer shares and currency hedging is not part of the respective share class. represented by a global certificate must be depos- investment policy and separately seen from the ited in a custody account with a recognized management of the portfolio. Any costs in con- f) Other share class characteristics institution that maintains custody accounts. A list nection with currency hedging are charged against of institutions that maintain custody accounts is the respective share class (see cost section). Early Bird available in the download section of the respective The Management Company reserves the right to Donation Share Class on the Management Com- Share class hedging close any share class with the denominator “EB” pany’s website www.dws.com and www.dws.de. If the currency of the sub-fund differs from the to further investors upon reaching a certain When subscribing for shares in a Donation Share currency of the respective hedged share class, amount of subscriptions. Such amount will be Class, each shareholder shall expressly instruct the the hedging can aim to reduce the risk to the determined per share class per sub-fund. institution maintaining the custody account, in its share class that results from fluctuations in the capacity as representative, to pay out in the name exchange rate between the currency of the Seeding share classes of the shareholder all distributions (where applica- hedged share class and its sub-fund currency Shares of share classes with the “X” denominator ble less German withholding tax withheld by the (denoted by the letter “H”). offer a rebate on the Management Company fee institution maintaining the custody account, includ- that is granted to investors that subscribe to ing solidarity surcharge and, where applicable, Portfolio hedging shares before a certain volume of investments is church tax), to which the shareholder of a Donation The hedging aims to reduce the risk to the reached. Upon reaching the aforementioned Share Class is entitled as a donation to the Dona- hedged share class resulting from fluctuations in volume the share classes with the “X” denomi tion Beneficiary. The institution maintaining the the exchange rate between the currency of the nator will be closed. custody account forwards the shareholder’s hedged share class and each of the underlying personal data to the Donation Beneficiary for the currencies to which the hedged share class is Zero cost share classes processing of the donation. The Donation Benefi- exposed with respect to the sub-fund’s assets Shares of share classes with the “Z” denominator ciary shall, with the aid of this data, issue the (denoted by the letters “H (P)”). are offered to institutional investors in accordance shareholder with a donation receipt as defined in Under certain circumstances the hedging of with article 174 (2) of the Law of 2010. The shares article 50 of the German Income Tax Implementing currency risks may not or only partially be imple- are only offered to investors that have entered into Ordinance (Einkommensteuer-Durchführungsver- mented (e.g. small share class volume or small a separate agreement with the Management ordnung/EStDV hereinafter referred to as EStDV) residual currency positions in the fund) or be Company. as evidence of the donation to the Donation imperfect (e.g. some currencies cannot be traded The share class is charged a pro rata share on the Beneficiary. It is pointed out to shareholders of the at any time, or must be approximated by another fees for the Management Company (excluding Donation Share Class that taxes may be incurred in currency). In these circumstances the hedging compensation for the fund management and the connection with the disbursement of the distribu- may not or may only partially protect against distributors), the Depositary, the administrator as tions. Relevant shareholders are further advised changes of the yield of the underlying of the well as other fees and expenses that are further that the donation of these distributions might not hedge. In addition, attached to the processing and described in article 12. The percentage expense be tax-deductible, or may be tax-deductible only booking of orders in hedged share classes or in cap rule of article 12 b) does not apply to zero cost under certain circumstances. other share classes of the same sub-fund time share classes. Fees of article 12 b) are capped to a This prospectus does not constitute tax advice and lags in the hedging process possibly lead to maximum of ten basis points. The Fund manage- is not intended to replace such advice. Sharehold- exchange rate fluctuations that are not systemati- ment fees are charged directly by the Manage- ers of the Donation Share Class should absolutely cally hedged. ment Company to the investor under the afore- make their own inquiries and obtain independent, mentioned separate agreement. expert tax advice regarding their individual situation Shares are not transferable without the Manage- in terms of the tax treatment of the distribution ment Company`s prior approval. and the associated donation to the Donation

26 Beneficiary that is made in their name. The invest- Corporate Tax Act (Körperschaftsteuergesetz/ calculation, results will be monitored against ment company, the Board of Directors or the KStG), article 9, no. 5, of the German Trade same day data to avoid potential material differ- Management Company do not make any assur- Tax Act (Gewerbesteuergesetz/GewStG), arti- ences. The overall position of pre-paid expenses ances in this regard. The investment company, the cle 13 (1), no. 16 (b) of the German Inheritance is then amortized on a daily basis at a constant Board of Directors and the Management Company and Gift Tax Act (Erbschaftsteuer- und amortization rate of 1.00% p.a. applied to the are not obliged to obtain the following from a Schenkungsteuergesetz/ErbStG), (vi) the granting NAV per share of the relevant placement fee competent tax authority for the shareholders or of a donation receipt as defined in article 50 share class multiplied by the number of out- the Donation Beneficiary: tax-related preliminary EStDV to the shareholders, or (vii) the tax claim standing shares in this share class. decisions, acknowledgments or clearance certifi- in relation to the donation of the shareholder, The pre-paid expenses are defined relative to the cates in relation to the tax treatment of distribu- especially the submission of a tax return or other NAV per share of the placement fee share class. tions or the associated donation. official or non-official written documents in The pre-paid expenses therefore fluctuate with The investment company, the Board of Directors relation to the donation for the respective share- NAV movements and depend on the number of and the Management Company must have the holder for the benefit of this shareholder. shares subscribed and redeemed in the relevant separate determination of compliance with the The shareholders will be informed about the placement fee share class. statute-related preconditions according to arti- distributions via a notification published on the After a pre-defined amortization period of 3 years cles 51, 59, 60 and 61 of the German Fiscal Management Company’s website www.dws.com commencing on the date of subscription or the Code proven to them by the Donation Benefi- and www.dws.de. immediately following valuation date, pre-paid ciary once through submission of the notice expenses assigned to a subscribed share of a according to article 60a of the German Fiscal Placement fee placement fee share class are fully amortized Code; otherwise, they have no knowledge of Shares of share classes with the “PF” designa- and the relevant number of shares will be whether tax-related preliminary decisions, tor are subject to a placement fee (“placement exchanged for a corresponding number of shares acknowledgments or clearance certificates were fee share classes”). The placement fee for each of the corresponding N share class of the same obtained from a competent tax authority. Further- subscribed share amounts to up to 3% and is sub-fund to avoid prolonged amortization. more, the investment company, the Board of multiplied by the NAV per share on the date of Shareholders wishing to redeem their placement Directors and the Management Company are not subscription or the immediately following valua- fee share classes before such exchange takes responsible for (i) establishing the Donation tion date (depending on the date the orders are place may need to pay a dilution adjustment. For Beneficiary, (ii) any amendments to the statutes processed). The so calculated amount is levied further information, please refer to article 5 in of the Donation Beneficiary that may justify the on the relevant placement fee share class. The the general section of the Sales Prospectus. revocation of the notice in accordance with placement fee for each subscribed share of the Placement fee share classes are reserved for article 60a of the German Fiscal Code, (iii) the relevant placement fee share class is paid out as Italian investors subscribing through specific operation of the Donation Beneficiary, particularly compensation for the distribution of the share paying agents in Italy. the actual management activity as defined in class and at the same time booked as an article 63 of the German Fiscal Code, (iv) autho- accounting position (pre-paid expenses), Restricted share classes rizing the Donation Beneficiary to issue donation reflected in the NAV per share of the relevant Share classes denoted by the designator “R” are receipts in accordance with articles 63 (5) and 50 placement fee share class only. The NAV per restricted to investors which place their orders EStDV, (v) granting tax exemption to the Dona- share of the placement fee share class on the via a special portfolio of exclusive sales partners. tion Beneficiary for the assessment period or for respective valuation date is therefore not the time of the donation, especially in accor- affected by the payment of the placement fee. dance with article 5 (1), no. 9, of the German In case prior day data is used for the NAV

F. Share class currencies and initial NAV The share classes are offered in the following currencies:

Denominator no denominator USD SGD GBP CHF NZD AUD RUB

Currency Euro U.S. dollar Singapore Great Britain Swiss francs New Zealand Australian Russian ruble dollar pound dollar dollar

Initial NAV EUR 100 USD 100 SGD 10 GBP 100 CHF 100 NZD 100 AUD 100 RUB 1,000

Denominator JPY CAD NOK SEK HKD CZK PLN RMB

Currency Japanese yen Canadian Norwegian Swedish krona Hong Kong Czech koruna Polish zloty Chinese dollar krone dollar renminbi

Initial NAV JPY 10,000 CAD 100 NOK 100 SEK 1,000 HKD 100 CZK 1,000 PLN 100 RMB 100

Currency-specific characteristics: The value date for purchase and redemption The Chinese renminbi is currently traded on two The “RUB LC” share class is offered in the form orders for Swedish krona, Hong Kong dollar and different markets: Onshore in Mainland China of registered shares. Chinese renminbi share classes may deviate by (CNY) and offshore via Hong Kong (CNH). one day from the value date specified in the special section of the respective sub-funds.

27 CNY is a managed floating exchange rate cur- solicitation to subscribe for JQI share class Professional investors subscribing in their own rency that is currently not freely convertible and offered hereby in Japan constitutes a private name, but on behalf of a third party, must certify subject to exchange control policies and repatria- placement of JQI share class to Qualified Institu- to the Investment Company that such subscription tion restrictions imposed by the Chinese tional Investors only in accordance with article 2, is made on behalf of a professional investor. The government. paragraph 3, item 2(i) of the Financial Instru- Investment Company may require, at its sole CNH is currently freely tradable without restric- ments and Exchange Law of Japan. For this discretion, evidence that the former requirements tions via Hong Kong. For this reason, the purposes, a notification under the Law Concern- are met. exchange rate used for share classes denomi- ing Investment Trusts and Investment Corpora- nated in RMB is the rate of CNH (offshore tions of Japan will be filed with the Commis- Switzerland renminbi). sioner of the Financial Services Agency of Japan. Shares of share classes denoted by the desig Accordingly, in Japan the JQI share class will be nator “S” are initially created for Switzerland. G. Country-specific share classes offered only to Qualified Institutional Investors in At present, the Investment Company offers one accordance with the Financial Instruments and such euro share class, the share class LS, which Japan Exchange Law of Japan. In addition, the JQI does not levy any performance fee in comparison The JQI share class offered hereby has not been, share classes are subject to the transfer restric- to the LC share class. and will not be, registered under the Financial tion: no transfer of such share classes may be Instruments and Exchange Law of Japan and made to persons in Japan other than Qualified United Kingdom accordingly may not be offered or sold in Japan Institutional Investors. “DS” and “RD” share classes are intended to or to or for the account of any resident thereof, have reporting fund status (previously distributor except either pursuant to registration thereunder Spain and Italy status), i.e. the characteristics of these share or pursuant to an exemption from the registra- For the distribution in Spain and Italy the follow- classes satisfy the prerequisites for qualifying for tion requirements of the Financial Instruments ing restriction applies: The subscription of shares reporting fund status. and Exchange Law of Japan. No registration has of the share classes denoted by the designator been made in accordance with article 4, para- “F” will be limited to professional investors graph 1 of the Financial Instruments and according to the MiFID directive. Exchange Law of Japan for the reason that the

I. Minimum initial investment amounts

Institutional Investors General rule for share class codes without numeric extension: 10,000,000 in the share class specific currency except for Japan: 1,500,000,000 JPY and except for Sweden: 100,000,000 SEK Semi-Institutional Investor General rule for share class codes without numeric extension: 2,000,000 for investments in the share class specific currency except for Japan: 250,000,000 JPY and except for Sweden: 20,000,000 SEK Numeric extensions for Semi-Institutional A numeric extension at the end of the share class code states the minimum investment amount in and Institutional Investors million in the share class specific currency Seeding Share Class 2,000,000 for each order in the share class specific currency except for Japan: 250,000,000 JPY

The Investment Company reserves the right to A. Investments d) The sub-fund may invest in securities and deviate from these minimum initial investment a) The sub-fund may invest in securities and money market instruments that are new amounts at its own discretion, e.g. in cases where money market instruments that are listed or issues, provided that distributors have separate fee arrangements with traded on a regulated market. their clients. Subsequent purchases can be made –– the terms of issue include the obligation in any amount. b) The sub-fund may invest in securities and to apply for admission for trading on an money market instruments that are traded on exchange or on another regulated market another market in a member state of the that operates regularly and is recognized 2. Risk spreading European Union that operates regularly and is and open to the public, and recognized, regulated and open to the public. –– such admission is procured no later than The following investment limits and investment one year after the issue. guidelines apply to the investment of the Invest- c) The sub-fund may invest in securities and ment Company`s assets held in the individual money market instruments that are admitted e) The sub-fund may invest in shares of Under- sub-funds. Differing investment limits may be set for official trading on an exchange in a state takings for Collective Investment in Transfer- for individual sub-funds. In this respect we refer that is not a member state of the European able Securities (“UCITS”) and/or other under- to the information in the special section of the Union or traded on another regulated market takings for collective investments (“UCIs”) Sales Prospectus below. in that state that operates regularly and is recognized and open to the public.

28 within the meaning of the UCITS Directive, –– the counterparties to OTC derivative i) Notwithstanding the principle of risk- should they be situated in a member state of transactions are institutions subject to spreading, the sub-fund may invest up to the European Union or not, provided that prudential supervision, and belonging to 100% of its assets in securities and money the categories approved by the CSSF; and market instruments stemming from different –– such other UCIs have been authorized –– the OTC derivatives are subject to reliable issues that are issued or guaranteed by a under laws that provide that they are and verifiable valuation on a daily basis member state of the European Union, its local subject to supervision considered by the and can be sold, liquidated or closed by authorities, any other member state of the CSSF to be equivalent to that laid down in an offsetting transaction at any time at Organisation for Economic Co-operation and Community law, and that cooperation their fair value at the Investment Com Development (OECD), the G20 or Singapore or between authorities is sufficiently pany`s initiative. by a public international body of which one or ensured; more member states of the European Union –– the level of protection for shareholders h) A sub-fund may invest in money market are members, provided that the sub-fund in the other UCIs is equivalent to that instruments not traded on a regulated market holds securities that originated from at least provided for shareholders in an UCITS, that are usually traded on the money market, six different issues and the securities stem- and in particular that the rules on fund are liquid and have a value that can be accu- ming from any one issue do not exceed 30% asset segregation, borrowing, lending, rately determined at any time, if the issue or of the assets of the sub-fund. and short selling of transferable securities issuer of such instruments is itself regulated and money market instruments are for the purpose of protecting investors and j) A sub-fund may not invest in precious metals equivalent to the requirements of the savings, and provided that these instruments or precious-metal certificates; if the invest- UCITS Directive; are ment policy of a sub-fund contains a special –– the business of the other UCIs is reported reference to this clause, this restriction does in semi-annual and annual reports to –– issued or guaranteed by a central, not apply for 1:1 certificates whose underly- enable an assessment to be made of the regional or local authority or central bank ing are single commodities/precious metals assets and liabilities, income and trans of a member state of the European and that meet the requirements of transfer- actions over the reporting period; Union, the European Central Bank, the able securities as determined in Article 1 (34) –– no more than 10% of the assets of the European Union or the European Invest- of the Law of 2010. UCITS or of the other UCIs whose acqui- ment Bank, a state that is not a member sition is being contemplated can, accord- state of the European Union or, in the B. Investment limits ing to its contract terms or articles of case of a federal state, by one of the a) No more than 10% of the sub-fund’s net incorporation, be invested aggregate in members making up the federation, or by assets may be invested in securities or money shares of other UCITS or other UCIs. a public international body of which one market instruments from any one issuer. or more member states of the European Such shares comply with the requirements Union are members; or b) No more than 20% of the sub-fund’s net as set out in article 41 (1) (e) of the Law of –– issued by an undertaking whose securi- assets may be invested in deposits made 2010 and any reference to “funds” in the ties are traded on the regulated markets with any one institution. special section of the Sales Prospectus is to referred to in the preceding subpara- be understood accordingly. graphs (a), (b) or (c); or c) The risk exposure to a counterparty in OTC –– issued or guaranteed by an establishment derivative transactions as well as in OTC f) A sub-fund may invest in deposits with that is subject to prudential supervision in derivative transactions, which are effected financial institutions that are repayable on accordance with the criteria defined by with regard to an efficient portfolio manage- demand or have the right to be withdrawn, Community law, or by an establishment ment may not exceed 10% of the sub-fund’s and mature within twelve months or less, that is subject to and complies with net assets if the counterparty is a credit provided that the financial institution has its prudential rules considered by the CSSF institution as defined in A. (f) above. In all registered office in a member state of the to be at least as stringent as those laid other cases, the exposure limit is 5% of the European Union or, if the registered office of down by Community law; or sub-fund’s net assets. the financial institution is situated in a state –– issued by other bodies belonging to the that is not a member state of the European categories approved by the CSSF, pro- d) No more than 40% of the sub-fund’s net Union, provided that it is subject to prudential vided that investments in such instru- assets may be invested in securities and rules considered by the CSSF as equivalent ments are subject to investor protection money market instruments of issuers in to those laid down in Community law. equivalent to that laid down in the first, which over 5% of the sub-fund’s net assets the second or the third preceding indent are invested. g) A sub-fund may invest in financial derivative and provided that the issuer is a company instruments (“derivatives”), including equiva- whose capital and reserves amount to at This limitation does not apply to deposits and lent cash-settled instruments, that are traded least EUR 10 million and which presents OTC derivative transactions conducted with on a market referred to in (a), (b) and (c) and/or and publishes its annual financial state- financial institutions that are subject to financial derivative instruments that are not ments in accordance with the Fourth prudential supervision. traded on an exchange (“OTC derivatives”), Council Directive 78/660/EEC, is an entity provided that that, within a group of companies that Notwithstanding the individual upper limits includes one or more exchange-listed specified in B. (a), (b) and (c) above, the –– the underlying instruments are instruments companies, is dedicated to the financing sub-fund may not invest more than 20% of covered by this paragraph or financial of the group or is an entity that is dedi- its net assets in a combination of indices, interest rates, foreign exchange cated to the financing of securitization rates or currencies, in which the sub-fund vehicles that benefit from credit lines to –– investments in securities or money may invest according to its investment assure liquidity. market instruments, and/or policy; –– deposits made with, and/or –– exposures arising from OTC derivative transactions undertaken with a single institution.

29 e) The limit of 10% set in B. (a) rises to 35%, i) A sub-fund may invest no more than 10% of The respective sub-fund may acquire no and the limit set in B. (d) does not apply to its net assets in shares of other UCITS and/or more than securities and money market instruments other UCIs as defined in A. (e), unless other- issued or guaranteed by wise provided for in the Special Section of the –– 10% of the non-voting shares of any one Sales Prospectus. However, by way of deroga- issuer; –– a member state of the European Union or tion and in accordance with the provisions and –– 10% of the bonds of any one issuer; its local authorities; or requirements of chapter 9 of the Law of 2010, –– 25% of the shares of any fund or respec- –– a state that is not a member state of the a sub-fund (“Feeder”) may invest at least 85% tively any sub-fund of an umbrella fund; European Union; or of its assets in shares of another UCITS (or a –– 10% of the money market instruments of –– public international bodies of which one sub-fund thereof) that is recognized according any one issuer. or more member states of the European to Directive 2009/65/EC, and, which itself is Union are members. neither a Feeder nor holds any shares in The limits laid down in the second, third and another Feeder. fourth indents may be disregarded at the f) The limit set in B. (a) rises from 10% to 25%, time of acquisition if at that time the gross and the limit set in B. (d) does not apply in In the case of investments in shares of amount of the bonds or of the money market the case of bonds that fulfil the following another UCITS and/or other UCIs, the invest- instruments, or the net amount of outstand- conditions: ments held by that UCITS and/or by other ing fund shares, cannot be calculated. UCI are not taken into consideration for the –– they are issued by a credit institution that purposes of the limits laid down in B. (a), (b), l) The investment limits specified in (k) shall not has its registered office in a member state (c), (d), (e) and (f). be applied to: of the European Union and which is legally subject to special public supervision When a sub-fund invests in the units of –– securities and money market instruments intended to protect the holders of such UCITS and/or other UCIs that are managed, issued or guaranteed by a member state of bonds; and directly or by delegation, by the same man- the European Union or its local authorities; –– sums deriving from the issue of such agement company or by any other company –– securities and money market instruments bonds are invested in conformity with the with which the Management Company is issued or guaranteed by a state that is not law in assets that, during the whole period linked by common management or control, a member state of the European Union; of validity of the bonds, are capable of or by a substantial direct or indirect holding, –– securities and money market instruments covering claims attaching to the bonds; (regarded as more than 10% of the voting issued by public international bodies of and rights or share capital), that management which one or more member states of the –– such assets, in the event of default of the company or other company may not charge European Union are members; issuer, would be used on a priority basis subscription, conversion or redemption fees –– shares held by the fund in the capital of a for the repayment of the principal and on account of the sub-fund’s investment in company incorporated in a state that is payment of the accrued interest. the units of such UCITS and/or other UCIs. not a member state of the European Union, investing its assets mainly in the If the respective sub-fund invests more than If a sub-fund invests a substantial proportion securities of issuing bodies having their 5% of its assets in bonds of this type issued of its assets in other UCITS and/or other registered offices in that state, where by any one issuer, the total value of these UCIs, the maximum level of the management under the legislation of that state such a investments may not exceed 80% of the fees that may be charged both to the sub- holding represents the only way in which value of the net assets of the sub-fund. fund itself and to the other UCITS and/or the fund can invest in the securities of other UCIs in which it intends to invest, shall issuers from that state. This derogation, g) The limits provided for in paragraphs B. (a), (b), be disclosed in the relevant Special Section. however, shall apply only if in its invest- (c), (d), (e) and (f) may not be combined, and ment policy the company from the state thus investments in transferable securities or In the annual report of the Investment that is not a member state of the Euro- money market instruments issued by any one Company it shall be indicated for each sub- pean Union complies with the limits institution or in deposits made with this institu- fund the maximum proportion of manage- specified in B. (a), (b), (c), (d), (e), (f) and tion or in this institution’s derivative instrument fees charged both to the sub-fund and (g), (i) and (k). Where these limits are ments shall under no circumstances exceed in to the UCITS and/or other UCIs in which the exceeded, Article 49 of the Law of 2010, total 35% of the sub-fund’s net assets. sub-fund invests. on Undertakings for Collective Invest- ment shall apply; The sub-fund may cumulatively invest up to j) If admission to one of the markets defined –– shares held by one or more investment 20% of its assets in securities and money under A. (a), (b) or (c) is not obtained within companies in the capital of subsidiary market instruments of any one group of the one-year deadline, new issues shall be companies that only conduct certain companies. considered unlisted securities and money management, advisory or marketing market instruments and counted towards the activities with regard to the repurchase of Companies that are included in the same investment limit stated there. shares at the request of shareholders in group for the purposes of consolidated the country where the subsidiary is financial statements, as defined in accord k) The Investment Company or the Manage- located, and do so exclusively on behalf ance with the Seventh Council Directive ment Company may not purchase for any of of the investment company or investment 83/349/EEC or in accordance with recognized the sub-funds equities with voting rights that companies. international accounting rules, shall be would enable it to exert significant influence regarded as a single issuer for the purpose of on the management policies of the relevant m) Notwithstanding the limits specified in B. (k) calculating the limits contained in this Article. issuer. and (l), the maximum limits specified in B. (a), (b), (c), (d), (e) and (f) for investments in h) A sub-fund may invest no more than 10% of shares and/or debt securities of any one its net assets in securities and money market issuer are 20% when the objective of the instruments other than those specified in A.

30 investment policy is to replicate the composi- D. Cross-investments between are required by an exchange or regulated market tion of a certain index or an index by using sub-funds or imposed by contractual or other terms and leverage. This is subject to the condition that A sub-fund (the cross investing sub-fund) may conditions. invest in one or more other sub-funds. Any acqui- –– the composition of the index is sufficiently sition of shares of another sub-fund (the target H. Regulations for the diversified; sub-fund) by the cross-investing sub-fund is Investment Company –– the index represents an adequate bench- subject to the following conditions (and such other The Investment Company may acquire movable mark for the market to which it refers; conditions as may be applicable in accordance and immovable property that is essential for the –– the index is published in an appropriate with the terms of this Sales Prospectus): direct pursuit of its business. manner. a) the target sub-fund may not invest in the The maximum limit is 35% where that proves cross-investing sub-fund; 3. Shares of the to be justified by exceptional market condi- Investment Company tions, in particular in regulated markets where b) the target sub-fund may not invest more than certain transferable securities or money market 10% of its net assets in UCITS (including A. The capital of the Investment Company shall instruments are highly dominant. An invest- other Sub-funds) or other UCIs; at all times be equal to the sum of the net asset ment up to this limit is only permitted for one values of the Investment Company’s various single issuer. c) the voting rights attached to the shares of the sub-funds (“net asset value of the Investment target sub-fund are suspended during the Company”), and it is represented by shares of no n) The sub-fund’s global exposure relating to investment by the cross-investing sub-fund; nominal value, which may be issued as regis- derivative instruments must not exceed the and tered shares and/or as bearer shares. total net value of its portfolio. The exposure is calculated taking into account the current d) the value of the share of the target sub-fund B. The shares may be issued as registered value of the underlying instruments, the held by the cross-investing sub-fund are not shares or as bearer shares. There is no right to counterparty risk, future market movements taken into account for the purpose of assess- issuance of actual shares. and the time available to liquidate the ing the compliance with the EUR 1,250,000 positions. minimum capital requirement. C. Shares are issued only upon acceptance of a subscription and subject to payment of the price The sub-fund may invest in derivatives as part E. Credit restrictions per share. The subscriber immediately receives a of its investment strategy and within the limits No borrowing may be undertaken by the Invest- confirmation of his shareholding in accordance specified in B. (g), provided that the global ment Company for the account of the sub-fund. A with the provisions that follow. exposure to the underlying instruments does sub-fund may, however, acquire foreign currency not exceed on aggregate the investment limits by means of a “back-to-back” loan. (i) Registered shares specified in B. (a), (b), (c), (d), (e) and (f). If shares are issued as registered shares, the By way of derogation from the preceding para- register of shareholders constitutes definitive If the sub-fund invests in index-based deriva- graph, the sub-fund may borrow proof of ownership of these shares. The tives, these investments are not taken into register of shares is maintained by the Regis- consideration with reference to the invest- –– up to 10% of the sub-fund’s net assets, trar and Transfer Agent. Unless otherwise ment limits specified in B. (a), (b), (c), (d), (e) provided that such borrowing is on a tempo- provided for a particular sub-fund/share class, and (f). rary basis; fractional shares of registered shares are –– up to the equivalent of 10% of the sub-fund’s rounded according to commercial practice to When a security or money market instrument assets, provided that the borrowing is to the nearest one ten-thousandth. Such round- embeds a derivative, the latter must be taken make possible the acquisition of immovable ing may be to the benefit of either the into consideration when complying with the property essential for the direct pursuit of its respective shareholder or the sub-fund. requirements of the investment limits. business; in this case the borrowing and that referred to in the preceding subparagraph Registered shares are issued without share o) In addition, the sub-fund may invest up to may not in any case in total exceed 15% of certificates. Instead of a share certificate, 49% of its assets in liquid assets. In particular, the sub-fund’s net assets. shareholders receive a confirmation of their exceptional cases it is permitted to temporarily shareholding. have more than 49% invested in liquid assets, The Investment Company may not grant loans if and to the extent that this appears to be for the account of the sub-fund, nor may it act as Any payments of distributions to sharehold- justified with regard to the interests of guarantor on behalf of third parties. ers holding registered shares are made by shareholders. check at the risk of the shareholders, which is This shall not prevent the fund from acquiring mailed to the address indicated on the regis- C. Exceptions to the investment limits securities, money market instruments or other ter of shares or to another address communi- a) The sub-fund needs not to comply with the financial instruments that are not yet fully paid in. cated to the Registrar and Transfer Agent in investment limits when exercising subscrip- writing, or else by funds transfer. At the tion rights attaching to securities or money F. Short selling request of the shareholder, distribution market instruments that form part of its The Investment Company may not engage in amounts may also be reinvested on a regular assets. short selling of securities, money market instru- basis. ments or other financial instruments as specified b) While ensuring observance of the principle of in A. (e), (g) and (h) for the account of the All of the registered shares of the sub-funds risk spreading, the sub-fund may derogate sub-fund. are to be entered in the Register of Shares, from the specified investment limits for a which is maintained by the Registrar and period of six months following the date of its G. Encumbrance Transfer Agent or by one or more entities authorization. A sub-fund’s assets may only be pledged as appointed for this purpose by the Registrar collateral, transferred, assigned or otherwise and Transfer Agent; the Register of Shares encumbered to the extent that such transactions contains the name of each and every holder

31 of registered shares, his address and accounts of their financial intermediaries, B. In this case, the Investment Company will selected domicile (in the case of joint owner- which in turn are held directly or indirectly promptly refund payments on subscription ship of registered shares, only the address of with the clearing agents. Such bearer shares applications (without any interest payments) that the first-named joint owner), where such data represented by a global certificate are transfer- have not yet been executed. have been communicated to the Registrar able according to and in compliance with the and Transfer Agent, as well as the number of provisions contained in this Sales Prospectus, C. The Management Company may at any time fund shares held. Each transfer of registered the regulations that apply on the respective and in its sole discretion, restrict or prevent the shares is recorded in the Register of Shares, exchange and/or the regulations of the respec- ownership of shares in the Investment Company in each instance upon payment of a fee tive clearing agent. Shareholders that do not by a Prohibited Person. authorized by the Management Company for participate in such a system can transfer the registration of documents relating to the bearer shares represented by a global certifi- D. “Prohibited Person” means any person, ownership of shares or having an effect cate only via a financial intermediary participat- firm or corporate entity, determined in the sole thereon. ing in the settlement system of the corre- discretion of the Management Company as sponding clearing agent. being not entitled to subscribe for or hold A transfer of registered shares takes place shares in the Investment Company or, as the by way of recording of the transfer in the Payments of distributions for bearer shares case may be, in a specific sub-fund or share Register of Shares by the Registrar and represented by global certificates take place class, (i) if in the opinion of the Investment Transfer Agent upon receipt of the neces- by way of credits to the accounts at the Company such holding may be detrimental to sary documentation and upon fulfilment relevant clearing agent of the financial inter- the Investment Company, (ii) it may result in a of all other preconditions for transfer as mediaries of the shareholders. breach of any law or regulation, whether Lux- required by the Registrar and Transfer Agent. embourg or foreign, (iii) if as a result thereof the D. All shares within a share class have the same Investment Company may become exposed to Each shareholder whose holding has been rights. The rights of shareholders in different disadvantages of a tax, legal or financial nature entered in the Register of Shares must pro- share classes within a sub-fund can differ, pro- that it would not have otherwise incurred or vide the Registrar and Transfer Agent with an vided that such differences have been clarified in (iv) if such person, firm or corporate entity address to which all notices and announce- the sales documentation for the respective would not comply with the eligibility criteria ments by the Management Company of the shares. The differences between the various of any existing share class. Investment Company may be delivered. This share classes are specified in the respective address is also recorded in the Register of special section of the Sales Prospectus. Shares E. If at any time it shall come to the Manage- Shares. In the case of joint ownership of are issued by the Investment Company immedi- ment Company’s attention that shares are benefi- shares (joint ownership is restricted to a ately after the net asset value per share has been cially owned by a Prohibited Person, either alone maximum of four persons), only one address received for the benefit of the Investment or with any other person and the Prohibited is entered, and all notices are sent exclusively Company. Person fails to comply with the instructions of the to that address. Management Company to sell its shares and to Shares are issued and redeemed through the provide the Management Company with evidence If such a shareholder does not provide an Management Company and through all paying of such sale within 30 calendar days after being so address, the Registrar and Transfer Agent may agents. instructed by the Management Company, the enter a remark to this effect in the Register of Investment Company may in its sole discretion Shares; in this case, the address of the regis- E. Each shareholder has the right to vote at the compulsorily redeem such shares at the redemp- tered office of the Registrar and Transfer Agent Shareholders’ Meeting. The voting right may be tion amount immediately after the close of busi- or another address entered in each instance exercised in person or by proxy. Each share is ness specified in the notice given by the Manage- by the Registrar and Transfer Agent is deemed entitled to one vote. Fractional shares may not ment Company to the Prohibited Person of such to be the address of the shareholder until the entitle to voting rights; thus entitle the share- compulsory redemption, the shares will be shareholder provides the Register and Transfer holder to participate in income distribution on a redeemed in accordance with their respective Agent with another address. The shareholder pro-rata-basis. terms and such investor will cease to be the may at any time change the address recorded owner of such shares. in the Register of Shares by way of written notice, which must be sent to the Registrar 4. Restriction of the issue of and Transfer Agent or to another address shares and compulsory 5. Issue and redemption specified for each instance by the Registrar redemption of shares of shares of the and Transfer Agent. Investment Company A. The Management Company may at any time (ii) Bearer shares represented by and at its sole and absolute discretion reject any A. Shares of the respective sub-fund are issued global certificates direct or indirect subscription application or and redeemed on each valuation date. If different The Management Company may resolve to temporarily limit, suspend or permanently dis- share classes are offered for a sub-fund, such issue bearer shares that are represented by continue the issue of shares towards any sub- issue and redemption shall also take place at the one or several global certificates. scribing investor, if such action should appear aforementioned times. The Investment Company necessary in consideration of the interests of the may issue fractional shares. The respective These global certificates are issued in the shareholders or the public, or to protect the special section of the Sales Prospectus contains name of the Management Company and Investment Company or the shareholders. The information on the processed number of decimal deposited with the clearing agents. The trans- issuance of shares as part of existing regular places. ferability of the bearer shares represented by a savings plans is not necessarily affected. In global certificate is subject to the respectively general, all existing regular savings plans will be B. Shares of the Investment Company are applicable laws, and to the regulations and continued even during the suspension of share issued on the basis of subscription applications procedures of the clearing agent undertaking issuance, except if the issuance of shares is received by the Investment Company, a paying the transfer. Investors receive the bearer discontinued for savings plans by the Manage- agent authorized by the Investment Company to shares represented by a global certificate ment Company. issue and redeem shares of the Investment when they are posted to the securities Company, or by the Transfer Agent.

32 C. The number of shares to be issued is deter- bookkeeping standpoint, however, the corre- in the respective special section of the Sales mined by subtracting the front-end load from the sponding shares are already taken into account in Prospectus. The value dates refer to the payment gross investment amount (total amount invested the calculation of the net asset value on the value between the Depositary and the account main- by the investor) and dividing the result by the day following the corresponding securities settle- taining bank of the shareholder. The final credit to applicable net asset value per share (gross- ment, and can be cancelled until the receipt of the investors account may in several distribution method). For illustrative purposes this is shown payment. Insofar as an investor’s shares must be countries deviate due to different conventions. by a sample calculation below1: cancelled due to failure to pay or delayed payment Any other payments to shareholders are also of these shares, it is possible for the respective made through the aforementioned offices. gross investment EUR 10,000.00 sub-fund to incur a loss in value. Shares are redeemed at the redemption amount – front-end load (e.g. 5%) EUR 500.00 determined on the date on which the redemption = net investment EUR 9,500.00 D. The Management Company may, on its own orders are received, provided that the specified ÷ net asset value per share EUR 100.00 responsibility and in compliance with this Sales order acceptance deadlines were adhered to. = number of shares 95 Prospectus, accept securities as payment for a Orders received after an order acceptance subscription (“investment in kind”), as long as deadline will be treated as having been received The current amount of the front-end load is the Management Company believes that such an before the next order acceptance deadline. The regulated for each share class in the respective action is in the interest of the shareholders. The special section of the Sales Prospectus may special section of the Sales Prospectus. nature of the business undertaken by the enter- contain different order acceptance deadlines prises whose securities are accepted as pay- applicable for individual sub-funds and for individ- The Management Company is free to charge a ment for a subscription must, however, be ual share classes. lower front-end load. The main distributor shall compatible with the investment policy and the receive the front-end load and also be entitled investment limits of the respective sub-fund. Dilution Adjustment: to use it to remunerate third parties for any The Investment Company must have its auditor Shares of share classes with the “PF” desig sales services they provide. If different share prepare a valuation report for these securities, nator (“placement fee share classes”) may be classes are offered for a sub-fund, the amount which in particular shall specify the amounts, subject to a dilution adjustment. required for purchasing shares of the respective designations and values arising from these The level of the applicable dilution adjustment share class will be governed by both the net securities, as well as the valuation methods depends on the holding period of the placement asset value per share of the respective share used. As part of the transaction of accepting fee share(s) to be redeemed. Such holding period class and the front-end load specified individu- securities as payment in a subscription, the commences on the date of subscription or the ally for each share class in the special section of securities are valued at the price on the valuation immediately following valuation date. The dilution the Sales Prospectus below. It is payable imme- date on whose basis the net asset value of the adjustment reflects the ongoing amortization of diately after the corresponding valuation date. shares to be issued is being calculated. The pre-paid expenses assigned to each issued The special section of the Sales Prospectus Management Company may, at its own discre- placement fee share and therefore declines with may contain more precise regulations for indi- tion, reject any and all securities offered as the holding period approaching the end of the vidual sub-funds or share classes with respect payment for a subscription, without having to amortization period (see table below). The dilu- to the timing of the payment of the issue give reasons. All costs arising from an invest- tion adjustment charged is a measure to mitigate amount. ment in kind (including the cost of the valuation negative effects on the NAV caused by the report, brokerage costs, expenses, commissions, redemption of shares by investors. A Contingent Deferred Sales Charge (“CDSC”) etc.) shall be borne by the subscriber in their may be assessed in relation to shares of share entirety. Redemption after classes with the “B” designator on the redemp- up to 1 year: up to 3% tion amount. Details are set forth in section “E”. E. Shareholders have the right to request the Redemption after On any issue or sale of such shares a Distributor redemption of their shares through one of the over 1 year up to 2 years: up to 2% (including the main distributor) may, out of its paying agents, the Transfer Agent or the Manage- Redemption after own funds or out of the sales charge, if any, pay ment Company. Redemption will take place only over 2 years up to 3 years: up to 1% commission on applications received through on a valuation date and at the redemption Redemption after brokers and other professional agents or grant amount. Insofar as the special section of the over 3 years: 0% discounts. Sales Prospectus does not stipulate a redemption fee or a Contingent Deferred Sales Charge Thus, the applicable dilution adjustment for Certain additional fees and other costs may be (“CDSC”, see below) or a dilution adjustment each share of a placement fee share class to be charged in some distribution countries. (see below) for individual sub-funds or for individ- redeemed amounts to up to 3%. The applicable ual share classes within a sub-fund, the redemp- dilution adjustment is multiplied by the NAV per Orders received after an order acceptance tion amount per share will always correspond to share of the placement fee share class to be deadline will be treated as having been received the net asset value per share. Where a redemp- redeemed on the date of redemption. The corre- before the next order acceptance deadline. The tion fee, CDSC or a dilution adjustment (see sponding dilution adjustment amount per share respective special section of the Sales Prospec- below) is applicable, the redemption amount is levied on the gross redemption amount per tus may contain different order acceptance payable will be reduced by the amount of the share for the benefit of the sub-fund’s assets. deadlines applicable for individual sub-funds and redemption fee, CDSC or a dilution adjustment The dilution adjustment is charged to protect the for individual share classes. (see below) so that a net redemption amount is sub-fund’s assets attributable to the placement paid. The main distributor shall receive the fee share class from dilution effects related to Newly subscribed shares are only issued to the redemption fee or CDSC and also be entitled to the payment and the amortization of placement investor upon receipt of payment by the Deposi- use it to remunerate third parties for any sales fees. tary or the approved correspondent banks. From a services they provide. The dilution adjustment is An investor redeeming a placement fee share levied for the benefit of the sub-fund’s assets. before the end of the applicable amortization 1 Note: The sample calculations are intended The counter value is paid out promptly after the period without paying the dilution adjustment for illustrative purposes only and do not applicable valuation date. Usually this is com- would not compensate the sub-fund for the drop permit any conclusions to be drawn concern- pleted within 3 bank business days and in any in pre-paid expenses corresponding to the part of ing the performance of the net asset value case no later than within 5 bank business days. the placement fee which has not yet been fully per share of the respective sub-fund. The value dates of each sub-fund are determined amortized. Non-payment would therefore

33 negatively affect the NAV for those investors The Deferred Valuation Date will be determined H. The Investment Company is obligated to holding the relevant placement fee shares until by the Board of Directors taking into account, transfer the redemption price to the country of the the applicable amortization period has elapsed. amongst other things, the liquidity profile of the applicant only if this is not prohibited by law – for Taking into account the principle of equal treat- relevant sub-fund and the applicable market example by foreign exchange regulations – or by ment of the remaining shareholders of the circumstances. other circumstances beyond the control of the placement fee share class and whilst ensuring an Investment Company. adequate compensation for the sub-fund (if In case of a Deferral, redemption requests applicable), the Management Company may, at received with respect to the Original Valuation I. The Investment Company may enter into its discretion, partially or completely dispense Date, will be processed based on the net asset nominee agreements with credit institutions, with the dilution adjustment. value per share calculated as of the Deferred Professionals of the Financial Sector (“PSF”) in For illustrative purposes the application of the Valuation Date. All redemptions request received Luxembourg and/or comparable entities under dilution adjustment is shown by a sample calcu- with respect to the Original Valuation Date will be the laws of other countries that are under obli lation below: processed in full with respect to the Deferred gation to identify shareholders. The nominee Valuation Date. agreements give the respective institutes the number of shares right to sell shares and be entered as nominees to be redeemed 100 Redemption requests received with respect to in the Investment Company’s Register of Shares. holding period (= x) the Original Valuation Date are processed on a The names of the nominees can be requested 50 shares: x = 1.5 years and priority basis over any redemption requests from the Investment Company at any time. The 50 shares: x = 2.5 years received with respect to subsequent valuation nominee shall accept buy, sell and exchange dilution adjustment dates. Redemption requests received with orders from the investors it works for and 1.5% (= 50/100*2%+50/100*1%) respect to any subsequent valuation date will be arrange for the required changes to be made in NAV per share deferred in accordance with the same Deferral the Register of Shares. In this capacity, the of placement process and the same Deferral period described nominee is particularly required to take into fee share class 100.00 above until a final valuation date is determined to account the special prerequisites governing the gross redemption amount EUR 10,000.00 end the process on deferred redemptions. purchase of AUD FCH (P), AUD FDH (P), – dilution adjustment amount EUR 150.00 AUD ICH (P), AUD IDH, AUD IDH (P), CHF FDH, = net redemption amount EUR 9,850.00 Based on these preconditions, exchange CHF FDH (P), CHF FC, CHF FCH, CHF FCH (P), requests are treated like redemption requests. CHF IC, CHF ICH, CHF ICH (P), CHF IDH (P), F. Redemption volume GBP FDH (P), GBP IDH (P), USD FD, USD FDH, Shareholders may submit for redemption all or The Management Company will publish an USD FDH (P), USD FDQ, USD FC, USD FCH, part of their shares of all share classes. information on the decision to start a Deferral USD FCH (P), FC, FC EB, FC (CE), FCH, FCH (P), and the end of the Deferral for the investors who FCR, FD, FD (CE), FDQ, FDH, FDH (P), IC, ICH, The Board of Directors has the right to carry out have applied for redemption on the website ICH (P), ID, IDH, IDH (P), IDQ, USD JC, USD JD, substantial redemptions only once the corre- www.dws.com. The Deferral of the redemption NZD IDH, GBP FC, GBP FCH, GBP FCH (P), sponding assets of the sub-fund have been sold. and the exchange of shares shall have no effect GBP ICH, GBP ICH (P), RMB FC, USD ID, In general, redemption requests above 10% of on any other sub-fund. USD IDH, USD IDH (P), USD IC, USD ICH, the net asset value of a sub-fund are considered USD ICH (P), JPY FC, JPY IC, JPY IDH, PLN LC, as substantial redemptions and the Board of G. In exceptional cases, the Board of Directors SGD FC, SGD FCH, SGD IC and SGD ICH shares. Directors is under no obligation to execute may decide to accept applications for redemption If there are no conflicting practical or legal con- redemption requests if any such request pertains in kind at the explicit request of investors. In a siderations, an investor who acquired shares to shares valued in excess of 10% of the net redemption in kind, the Board of Directors selects through a nominee can submit a written declara- asset value of a sub-fund. securities and instructs the Depositary to transfer tion to the Management Company or the Transfer these securities into a securities account for the Agent demanding that he himself be entered into The Board of Directors reserves the right, taking investor as payment for the return of his shares. the register as a shareholder once all necessary into account the principle of equal treatment of The Investment Company must have its auditor proofs of identity have been supplied. all shareholders, to dispense with minimum prepare a valuation report for these securities, redemption amounts (if provided for). which in particular shall specify the amounts, designations and values arising from these securi- 6. Calculation of the net asset The Board of Directors, having regard to the fair ties, as well as the valuation methods used. value per share and equal treatment of shareholders and taking Moreover, the total value of the securities must into account the interests of the remaining be indicated precisely in the currency of the A. The total net asset value of the Investment shareholders of a sub-fund, may decide to defer sub-fund affected by the redemption. As part of Company is expressed in euro. redemption requests as follows: the transaction of delivering securities as payment in a redemption, the securities are valued at the When information about the condition of the If redemption requests are received with respect price on the valuation date on whose basis the net total net asset value of the Investment Company to a valuation date (the “Original Valuation asset value of the shares to be redeemed is being must be given in the annual and semi-annual Date”) whose value, individually or together calculated. The Board of Directors shall make sure reports and other financial statistics due to legal with other requests received with respect to the that the remaining shareholders are not adversely regulations, or according to the rules specified in Original Valuation Date, exceeds 10% of the net affected by such a redemption in kind. All costs the Sales Prospectus, the asset values of the asset value of a sub-fund, the Board of Directors arising from a redemption in kind (including the respective sub-fund are converted into euro. The reserves the right to defer all redemption cost of the valuation report, brokerage costs, value of a share of the respective sub-fund is requests in full with respect to the Original expenses, commissions, etc.) shall be borne by denominated in the currency specified for the Valuation Date to another valuation date (the the redeeming investor in their entirety. Where particular sub-fund (or in the currency specified “Deferred Valuation Date”) but which shall be a redemption fee or CDSC is applicable, the for the particular share class, if there is more no later than 15 Business Days from the Original redemption in kind will be reduced by the amount than one share class within a sub-fund). The net Valuation Date (a “Deferral”). of the redemption fee or CDSC. asset value of each sub-fund is calculated on each bank business day in Luxembourg, unless otherwise indicated for the respective sub-fund

34 in the special section of the Sales Prospectus f) All assets denominated in a foreign currency The Swing Pricing adjustment will not exceed (“Calculation of the NAV per share”). A bank are converted into the currency of the sub- 2% of the original net asset value. The adjust- business day is any day on which banks are open fund at the latest mean rate of exchange. ment to the net asset value is available on for business and payments are processed. request from the Management Company. C. An income equalization account is maintained. The Management Company has entrusted State In a market environment with extreme illiquidity, Street Bank International GmbH, Luxembourg D. For large-scale redemption requests that the Management Company can increase the Branch, with the calculation of the NAV per share. cannot be met from the liquid assets and allow- Swing Pricing adjustment above 2% of the The net asset value is calculated for each sub- able credit facilities, the Management Company original net asset value. Notice on such increase fund, and for each share class if more than one may determine the NAV per share of the respec- will be published on the website of the Manage- share class was issued for any sub-fund, in tive sub-fund, or if more than one share class has ment Company www.dws.com. accordance with the following principles: If only been issued for a particular sub-fund, the NAV per one share class exists for a particular sub-fund, share of each share class, based on the price on Since the mechanism is only applied when the sub-fund’s net asset value is divided by the the valuation date on which it sells the necessary significant in- and outflows occur and as it is not number of shares of the sub-fund in circulation on assets; this price then also applies to subscription based on usual volumes, it is assumed that the the valuation date. If more than one share class applications submitted at the same time. net asset value adjustment will only be applied was issued for a particular sub-fund, the percent- occasionally. age of the sub-fund’s net assets attributable to the E. Swing Pricing is a mechanism to protect individual share class is divided by the number of shareholders from the impact of transaction Where a performance fee applies to the respec- shares of that share class in circulation on the costs resulting from subscription and redemption tive sub-fund, the calculation will be based on valuation date. activity. Substantial subscriptions and redemp- the unswung net asset value. tions within a sub-fund may lead to a reduction At this time, State Street Bank International of the sub-fund’s assets, due to the fact, that the The mechanism may be applied across all sub- GmbH, Luxembourg Branch, will refrain from net asset value potentially does not entirely funds. If Swing Pricing is considered for a certain calculating the NAV per share on public holidays reflect all trading and other costs that occur, if sub-fund, this will be indicated in the special in Luxembourg, even if they are bank business the portfolio manager has to buy or sell securi- section of the Sales Prospectus. If implemented, days or exchange trading days in one of the ties in order to manage large in- or outflows of it will be disclosed in the fund facts section on countries mentioned for each sub-fund sepa- the sub-fund. In addition to these costs, substan- the website of the Management Company rately in the special section of the Sales Prospec- tial order volumes could lead to market prices, www.dws.com. tus applicable to the valuation date, as well as on which are considerably lower, respectively December 24 and December 31 of each year. higher, than the market prices under normal F. The assets are allocated as follows: Any calculation of the net asset value per share circumstances. Partial Swing Pricing may be that deviates from this specification will be adopted to compensate for trading and other a) the proceeds from the issue of shares of a published in appropriate newspapers, as well as costs in case that the aforementioned in- or share class within a sub-fund are assigned in on the internet at www.dws.com. outflows have a material impact to the sub-fund. the books of the Investment Company to the appropriate sub-fund, and the corresponding B. The value of the net assets of the Investment The Management Company will predefine amount will increase the percentage of that Company held in each respective sub-fund is thresholds for the application of the Swing share class in the net assets of the sub-fund determined according to the following principles: Pricing Mechanism, based – amongst others accordingly. Assets and liabilities, as well as – on the current market conditions, given market income and expenses, are allocated to the a) Securities listed on an exchange are valued at liquidity and estimated dilution costs. In accor- respective sub-fund in accordance with the the most recent available price. dance with these thresholds, the adjustment provisions contained in the following para- b) Securities not listed on an exchange but itself will be initiated automatically. If net inflows/ graphs. If such assets, liabilities, income and traded on another regulated market are net outflows exceed the Swing threshold, the expenses are identified in the provisions of valued at a price no lower than the bid price net asset value will be adjusted upward when the special section of the Sales Prospectus and no higher than the ask price at the time there are large net inflows into the sub-fund and as being allocated exclusively to certain of the valuation, and which the Management downward when there are large net outflows; it specified share classes, they will increase or Company considers the best possible price at will be applied to all subscriptions and redemp- reduce the percentage of those share which the securities can be sold. tions on this trading day equally. classes in the net assets of the sub-fund; c) In the event that such prices are not in line b) assets that are also derived from other with market conditions, or for securities other The Management Company established a Swing assets are allocated in the books of the than those covered in (a) and (b) above for Pricing Committee which determines the Swing Investment Company to the same sub-fund which there are no fixed prices, these securi- Factors individually for each of the respective or the same share class as the assets from ties, as well as all other assets, will be valued sub-funds. Such Swing Factors measure the size which they are derived, and at each revalua- at the current market value as determined in of the net asset value adjustment. tion of an asset the increase or decrease in good faith by the Management Company, value is allocated to the corresponding following generally accepted valuation princi- The Swing Pricing Committee considers sub-fund or share class; ples verifiable by auditors. especially the following factors: c) if the Investment Company enters into an d) Liquid assets are valued at their nominal obligation that is connected to a particular value plus interest. a) The bid-ask spread (Fixed Cost Component); asset of a particular sub-fund or a particular e) Time deposits may be valued at their yield b) Market impact (Price Impact of transactions); share class, or to an action relating to an value if a contract exists between the Invest- c) Additional costs arising through trading asset of a particular sub-fund or a particular ment Company and the credit institution activities for assets. share class, e.g. the obligation attached to stipulating that these time deposits can be the currency hedging of currency hedged withdrawn at any time and that their yield The Swing Factors, operational decisions about share classes, this liability is allocated to the value is equal to the realized value. Swing Pricing, including the Swing Threshold, the corresponding sub-fund or share class; extent of the adjustment and the scope of sub- d) if an asset or a liability of the Investment funds affected are subject to a periodical review. Company cannot be allocated to a particular

35 sub-fund, that asset or liability will be allo- thereof), if a suspension is considered to be C. It is possible to make exchanges between cated to all sub-funds in proportion to the net appropriate in order to protect the rights of share classes that are denominated in different assets of the corresponding sub-funds or in the investors. currencies provided that the Depositary of the such other manner as the Board of Directors investor is able to process such an exchange determines in good faith; the Investment B. Investors who have applied for redemption of request. The investors should note that not all Company as a whole is not liable to third shares will be informed promptly of the suspen- service providers for custody are able to process parties for liabilities of individual sub-funds; sion and will then be notified immediately once the exchanges between share classes that are e) in the event of a distribution of dividends, the the calculation of the net asset value per share is denominated in different currencies from an net asset value per share of the distribution resumed. After resumption, investors will receive operational point of view. share class is decreased by the amount of the the redemption price that is then current. distribution. This decreases the percentage of D. It is not possible to make exchanges the distribution share class in the sub-fund’s C. The suspension of the redemption and the between registered shares and bearer shares net assets, while at the same time increasing exchange of shares, and of the calculation of the represented by a global certificate. the percentages in the sub-fund’s net assets net asset value per share, shall have no effect on of the share classes that do not receive any other sub-fund. E. The following applies for exchanges within distributions. The net effect of the reduction of the EUR/GBP/CHF/AUD/NZD/CAD/JPY/NOK/ the sub-fund’s net asset value, and the corre- D. The beginning and end of a period of suspen- SEK/PLN/CZK/Russian ruble share classes sponding increase of the percentage of the sion is communicated to the Luxembourg super (section 8. C. remains unaffected): sub-fund’s net assets allocated to the share visory authority and to all foreign supervisory classes that do not receive distributions, is authorities at which the respective sub-fund(s) has The exchange commission equals to the front-end that the net asset values of the non-distribut- been registered in accordance with their respec- load less 0.5 percentage points, unless a share ing share classes are not adversely affected by tive regulations. Notice of suspension of the class or sub-fund without a front-end load is being any dividend distribution. calculation of the NAV per share will be published exchanged for a share class or sub-fund with a on the website of the Management Company front-end load. In that case, the exchange com- www.dws.com and, if required, in the official mission may correspond to the full front-end load. 7. Suspension of the issue and publication media of the respective jurisdictions in redemption of shares and which the shares are offered for sale to the public. F. The following applies for exchanges within of the calculation of the net the USD/SGD/HKD/RMB share classes asset value per share (section 8. C. remains unaffected): 8. Exchange of shares A. The Investment Company has the right to The commission for an exchange may amount to suspend temporarily the issue and redemption of The following sections apply to all sub-funds, if as much as 1% of the value of the target share, shares of one or more sub-funds, or one or more not stated differently in the special section of the unless a share class or sub-fund without a share classes, as well as the calculation of the NAV Sales Prospectus. front-end load is being exchanged for a share per share, if and while circumstances exist that class or sub-fund with a front-end load. In that make this suspension necessary and if the suspen- A. Within certain limitations shareholders may case, the exchange commission may correspond sion is justified when taking into consideration the at any time exchange some or all of their shares to the full front-end load. interests of the shareholders, in particular: for shares of a different sub-fund or shares of a different share class upon payment of an ex G. In case of an exchange, the characteristics of a) while an exchange or other regulated market change commission plus any applicable issue the chosen sub-fund/share class (e.g. minimum on which a substantial portion of the securi- taxes and levies. The exchange commission is initial investment amount, institutional character ties of the particular sub-fund are traded is calculated on the amount to be invested in the of the investor) must be fulfilled. (In terms of the closed (excluding normal weekends and new sub-fund, it is charged for the benefit of the minimum initial investment amount the Manage- holidays) or when trading on that exchange main distributor, which in turn may pass it on at ment Company reserves the right to deviate has been suspended or restricted; its discretion. The main distributor may waive the from this rule at its own discretion). b) in an emergency, if the Investment Company commission. If the investor has his shares in the is unable to gain access to its investments or custody of a financial institution, that institution H. The number of shares that are issued in an cannot freely transfer the transaction value of may charge additional fees and costs in excess exchange is based on the respective net asset the sub-fund’s purchases or sales or calculate of the exchange commission. value of the shares of the two relevant sub-funds the NAV per share in an orderly manner; on the valuation date on which the exchange order c) if the assets available for acquisition on the B. Shareholders of share classes with the “PF” was executed in consideration of any applicable market or the possibilities of disposing of designator (“placement fee share classes”) exchange fees, and is calculated as follows: assets of the sub-fund are limited because cannot at any time exchange any or all of their of the limited investment universe of the shares for shares of a different sub-fund or shares B × C × (1-D) A = sub-fund; of a different share class of the same sub-fund. E d) in the event that a sub-fund is feeder of After a pre-defined amortization period of 3 years another undertaking for collective invest- commencing on the date of subscription or the where ment (or a sub-fund thereof), if and so immediately following valuation date, pre-paid long the other undertaking for collective expenses assigned to a subscribed share of a A = the number of shares of the new sub-fund to investment (or the relevant sub-fund placement fee share class are fully amortized and which the shareholder will be entitled; thereof) has temporarily suspended the the relevant number of placement fee shares will B = the number of shares of the original sub- issue and redemption of its shares or the be exchanged for a corresponding number of fund whose exchange the shareholder has calculation of net asset value per share; shares of the corresponding share class of the requested; e) in the event of a merger between a sub-fund same sub-fund to avoid prolonged amortization. C = the net asset value per share of the shares and another sub-fund or another Undertaking In this case no dilution adjustment is charged. to be exchanged; for Collective Investment (or a sub-fund D = applicable exchange commission in %; E = the net asset value per share of the shares to be issued as a result of the exchange.

36 9. Allocation of income Sales Prospectus, the fund manager may Special Notice delegate its fund management services in The Investment Company draws the investors’ For the reinvesting share classes, income is whole or in part, under its supervision, control attention to the fact that any investor will only be continuously reinvested in the assets of the and responsibility, and at its own expense. able to fully exercise his investor rights directly sub-funds and allocated to the respective share against the fund, notably the right to participate classes. For the distributing share classes, the (ii) Administration, Transfer agent, Registrar in general shareholders’ meetings if the investor Board of Directors shall decide each year The Management Company has entered into subscribed the fund shares himself and in his whether a distribution will be made and in what a sub-administration agreement with State own name. In cases where an investor invests in amount. The Board of Directors may elect to pay Street Bank International GmbH, acting the fund through an intermediary investing into out special and interim dividends for each share through its Luxembourg Branch. Under this the fund in his own name but on behalf of the class in accordance with the law. No distribution sub-administration agreement, State Street investor, it may not always be possible for the will reduce the Investment Company’s capital to Bank International GmbH, Luxembourg investor to exercise certain shareholder rights a level below its minimum capital. Branch, assumes significant central adminis- directly against the fund. Investors are advised tration functions, namely fund bookkeeping to take advice on their rights. and net asset value calculation. 10. Management Company, investment management, The sub-administration agreement has no 11. The Depositary administration, Transfer fixed duration and each party may, in princi- Agent and distribution ple, terminate the agreement on not less The Investment Company has appointed State than ninety (90) calendar days’ prior written Street Bank International GmbH, acting through A. The Board of Directors of the Investment notice. The sub-administration agreement State Street Bank International GmbH, Luxem- Company has appointed DWS Investment S.A. may also be terminated on shorter notice in bourg Branch, as Depositary within the meaning as Management Company. certain circumstances, for instance where of the Law of 2010 pursuant to the Depositary one party commits a material breach of a Agreement. B. The Investment Company has entered into material clause of the sub-administration an investment management agreement with agreement. The sub-administration agree- State Street Bank International GmbH is a lim- DWS Investment S.A. Performance of investment may be terminated by the Management ited liability company organized under the laws of ment management service is subject to the Law Company with immediate effect if this is Germany, having its registered office at of 2010. DWS Investment S.A. is a public limited deemed by the Management Company to be Brienner Str. 59, 80333 München, Germany, and company under Luxembourg law. It is estab- in the interest of the investors. registered with the commercial register court, lished for an indeterminate time. The contract Munich, under number HRB 42872. It is a credit may be terminated by any of the parties on three The sub-administration agreement contains institution supervised by the European Central months’ notice. Administration covers all the provisions exempting the sub-administrator Bank (ECB), the German Federal Financial tasks pertaining to joint investment management from liability and indemnifying the sub- Services Supervisory Authority (BaFin) and the as specified in Annex II to the Law of 2010 administrator in certain circumstances. German Central Bank. (investment management, administration, However, the liability of the sub-administrator distribution). towards the Management Company and the State Street Bank International GmbH, Luxem- Investment Company will not be affected by bourg Branch, is authorized by the CSSF in C. The Investment Company’s Board of Directors any delegation of functions by the Luxembourg to act as depositary and is special- remains jointly responsible for investing the Invest- sub-administrator. ized in depositary, fund administration, and ment Company’s assets held in each sub-fund. related services. State Street Bank International DWS Investment S.A. assumes the remain- GmbH, Luxembourg Branch, is registered in the D. The Management Company may, in compli- ing duties of central administration, including Luxembourg Register of Commerce and Compa- ance with the regulations of the Law of 2010, in particular the retrospective monitoring of nies under number B 148 186. State Street Bank delegate one or more tasks to third parties under investment limits and restrictions and the International GmbH is a member of the State its supervision and control. functions of domiciliary agent and registrar Street group of companies having as their ulti- and transfer agent. mate parent State Street Corporation, a U.S. (i) Investment management publicly listed company. The Management Company can appoint, on its With regard to the function as registrar and own responsibility and under its own control, transfer agent, DWS Investment S.A. has Depositary’s functions one or more fund managers for the day-to-day entered into a sub-transfer agent agreement The relationship between the Investment Com- implementation of the investment policy. In with RBC Investor Services Bank S.A. in pany and the Depositary is subject to the terms this respect, fund management shall encom- Luxembourg and another agreement with of the Depositary Agreement. Under the terms pass day-to-day implementation of the invest- State Street Bank International GmbH. Within of the Depositary Agreement, the Depositary is ment policy and direct investment decisions. the scope of these agreements, RBC Investor entrusted with following main functions: The fund manager shall implement the invest- Services Bank S.A. assumes the duties as ment policy, make investment decisions and registrar and transfer agent for orders from –– ensuring that the sale, issue, repurchase, continuously adapt them to market develop- investors that can be carried out by means of redemption and cancellation of shares are ments as appropriate, taking into account the NSCC systems. State Street Bank Interna- carried out in accordance with applicable law interests of the sub-fund. The respective tional GmbH assumes the duties of managing and the articles of incorporation; contract may be terminated by any of the the global certificate, which is deposited with –– ensuring that the value of the shares is parties on three months’ notice. Clearstream Banking AG in Frankfurt/Main, calculated in accordance with applicable law Germany. and the articles of incorporation; The respective fund manager designated for –– carrying out the instructions of the Invest- each sub-fund is specified in the respective (iii) Distribution ment Company unless they conflict with special section of the Sales Prospectus. Sub- DWS Investment S.A. acts as the main applicable law and the articles of ject to applicable legal requirements, regulatory distributor. incorporation; approval and appropriate disclosure in the

37 –– ensuring that in transactions involving the sub-custodian have appointed local sub-custodi- benchmark as the basis for calculating the assets of a sub-fund any consideration is ans within the State Street Global Custody performance-related fee in the place of the remitted within the usual time limits; Network. obsolete index. If such a comparable bench- –– ensuring that the income of a sub-fund is mark does not exist, the Management Com- applied in accordance with applicable law and Information about the safe-keeping functions pany may create a suitable benchmark for the the articles of incorporation; which have been delegated and the identification sub-fund on a basis that is recognized. As –– monitoring of a sub-fund’s cash and cash of the relevant delegates and sub-delegates are this would be an internal benchmark created flows; available at the registered office of the Invest- by the Management Company itself, conflicts –– safe-keeping of a sub-fund’s assets, including ment Company or at the following internet of interest may occur. However, the Manage- the safekeeping of financial instruments to be site: http://www.statestreet.com/about/ ment Company will set the benchmark to the held in custody and ownership verification office-locations/luxembourg/subcustodians.html. best of its knowledge and belief in an effort and record keeping in relation to other to avoid such conflicts of interest. If a share- assets. holder wants information on the composition 12. Costs and services received of the benchmark, he can request it at no Depositary’s liability cost from the Management Company. In the event of a loss of a financial instrument a) The Investment Company shall pay to the held in custody, determined in accordance with Management Company a fee from the assets b) In addition to the aforementioned remune the UCITS Directive, and in particular article 18 of of the sub-fund based on the respective ration of the Management Company, the the UCITS Regulation, the Depositary shall return sub-fund’s net asset value calculated on the following fees and expenses may also be financial instruments of identical type or the valuation date, in each case relative to the charged to the Investment Company: corresponding amount to the Investment Com- percentage of the sub-fund’s assets attribut- pany without undue delay. able to the respective individual share class. –– The administration fee, the amount of For all share-classes of sub-funds launched which is generally dependent on the net The Depositary shall not be liable if it can prove before July 1, 2008, the fee of the Manage- assets of the respective sub-fund. The that the loss of a financial instrument held in ment Company does not exceed 2.1% p.a.; Management Company and the adminis- custody has arisen as a result of an external for share classes of sub-funds launched on trator shall set the specific amount of this event beyond its reasonable control, the conse- July 1, 2008, or thereafter the fee of the fee in the administration agreement in quences of which would have been unavoidable Management Company may be up to 3% p.a. accordance with customary market despite all reasonable efforts to the contrary The current Management Company fee rates practice in Luxembourg. The fee may pursuant to the UCITS Directive. for the respective share classes are disclosed differ for each share class. The exact in the special section of the Sales Prospec- amount of the fee charged can be viewed In case of a loss of financial instruments held in tus. This fee shall in particular serve as com- in the Investment Company’s annual custody, the shareholders may invoke the liability pensation for the Management Company, report. In addition to the administration of the Depositary directly or indirectly through the fund management and the distribution fee, the administrator shall receive com- the Investment Company provided that this does (if applicable) of the sub-fund. pensation for costs and outlays incurred not lead to a duplication of redress or to unequal through activities in relation to the admin- treatment of the shareholders. The Management Company may pass on istration not already covered by the fee. some of its management fee to intermediar- Administration includes the performance The Depositary will be liable to the Investment ies. This is paid as remuneration for sales of all bookkeeping and other administra- Company for all other losses suffered by the services performed on an agency basis. This tive duties required for the central admin- Investment Company as a result of the Deposi- may constitute a substantial amount. The fee istration of a Luxembourg fund by law tary’s negligent or intentional failure to properly may differ for each share class. The annual and supplementary regulations. fulfil its obligations pursuant to the UCITS report contains additional information on this. –– The Registrar and Transfer Agent fee, and Directive. The Management Company does not receive the remuneration of any sub-transfer any reimbursement of the fees and expense agents, for the maintenance of the register The Depositary shall not be liable for conse reimbursements payable out of a sub-fund to of shares and the settlement of transac- quential or indirect or special damages or losses, the Depositary and third parties. tions to buy, sell and exchange shares. The arising out of or in connection with the perform amount of this fee is dependent on the ance or non-performance by the Depositary of its The Management Company may additionally number of share registers being main- duties and obligations. receive from the assets of the respective tained. The fee may differ for each share sub-fund a performance-related fee for class. The exact amount of the fee charged Delegation individual or all share classes, the level of can be viewed in the Investment Compa- The Depositary has full power to delegate the which is specified in the respective special ny’s annual report. In addition to this fee, whole or any part of its safe-keeping functions section of the Sales Prospectus. If a perform the Registrar and Transfer Agent shall also but its liability will not be affected by the fact that ance-related fee is provided for, the calcula- receive compensation for costs and it has entrusted to a third party some or all of tion of the fee takes place at the level of the outlays incurred through activities in the assets in its safekeeping. The Depositary’s respective share classes. relation to the Registrar and Transfer Agent liability shall not be affected by any delegation of services not already covered by the fee. its safe-keeping functions under the Depositary The performance-related fee is generally –– The Depositary fee for the custody of the Agreement. based on a benchmark specified in the Investment Company’s assets, the amount respective special section of the Sales Pro- of which is generally dependent on the The Depositary has delegated those safekeeping spectus. A hurdle rate may also be used as a assets held (excluding transaction costs duties set out in article 22 (5) (a) of the UCITS measure for the performance-related fee to incurred by the Depositary). The Invest- Directive to State Street Bank and Trust Company be assessed for individual sub-funds. If the ment Company and the Depositary shall with registered office at One Lincoln Street, specified benchmark should cease to apply set the specific amount of this fee in the Boston, Massachusetts 02111, USA, whom it during the term of the sub-fund, the Manage- Depositary agreement in accordance with has appointed as its global sub-custodian. State ment Company may, in the interest of share- customary market practice in Luxembourg. Street Bank and Trust Company as global holders, employ a comparable recognized The exact amount of the fee charged may

38 be viewed in the fund’s annual report. In Zero Cost Share Classes are excluded from d) The respective sub-fund pays 33% of the addition to this fee, the Depositary can/ the percentage expense cap application rule of gross revenues generated from securities shall also receive compensation for costs article 12 b. A maximum cap is used instead. lending or (reverse) repurchase agreement and outlays incurred through activities not transactions as costs/fees to the Manage already covered by the fee. c) In addition to the aforementioned costs and ment Company and retains 67% of the gross –– Remuneration of the Board of Directors. remunerations, the following expenses may revenues generated from such transactions. –– The cost of the auditors, representative also be charged to the sub-funds: Out of the 33% the Management Company agents and tax representatives. retains 5% for its own coordination and –– Any costs incurred in relation to achieve –– A service fee of up to 0.3% p.a. charged oversight tasks and pays the direct costs ment of distributor status/reporting status to the respective sub-fund. The amount of (e.g. transaction and collateral management in the UK, if applicable, will be borne by the service fee may differ depending on costs) to external service providers. The the relevant class of shares. the sub-fund and share class. The service remaining amount (after deduction of the –– Costs incurred for the printing, mailing fees currently granted by the Investment Management Company costs and the direct and translation of all statutory sales Company are disclosed in the product costs) is paid to DWS Investment GmbH for documentation, as well as for the printing annex for the respective share classes in supporting the Management Company in and distribution of all other reports and the special section of the Sales Prospec initiating, preparing and implementing securi documents required according to appli tus. The Service Fee could be completely ties lending as well as (reverse) repurchase cable laws or regulations issued by the or partly passed on to distributors. transactions. The Management Company is a authorities. –– The service functions of the main distrib related party to DWS Investment GmbH. –– Costs arising from any potential domestic utor include, in addition to selling the or foreign market listing or registration. shares, the performance of other admin e) Shares of share classes with the “PF” designa –– Other costs of investing and managing istrative duties reserved for the main tor are subject to a placement fee (“placement the assets of the respective sub-fund. administration of a fund in Luxembourg fee share classes”). The placement fee for –– Formation costs and other costs in con by law and supplementary regulations. each subscribed share amounts to up to 3% nection thereto may be charged to the –– All of the taxes charged to the assets of a and is multiplied by the NAV per share on the assets of the sub-fund to which they sub-fund and to a sub-fund itself (espe date of subscription or the immediately follow pertain. Any such charges are amortized cially the taxe d’abonnement), as well as ing valuation date. The so calculated amount is during a period not exceeding five years. any taxes that may arise in connection levied on the relevant placement fee share Formation costs are not expected to with administrative and custodial costs. class. On the valuation date immediately exceed EUR 50,000. –– Legal fees incurred by the Management following the date of subscription, the place –– Costs incurred for the preparation, filing Company, the administrator, the fund ment fee for each subscribed share of the and publication of the articles of incor manager, the Depositary or the Transfer relevant placement fee share class is paid out poration and other documents relating to Agent, or by a third party appointed by as compensation for the distribution of the the Investment Company, including the Management Company, when acting share class and at the same time booked as registration applications, prospectuses or in the interests of the shareholders. an accounting position (pre-paid expenses), written explanations to all registration –– Any costs that may arise in connection reflected in the NAV per share of the relevant authorities and exchanges (including local with the acquisition and disposal of placement fee share class only. The NAV per securities traders’ associations) that must assets (including transaction costs share of the placement fee share class on the be undertaken in connection with the incurred by the Depositary that are not respective valuation date is therefore not sub-funds or the offering of the shares of covered by the Depositary fee). affected by the payment of the placement fee. the sub-funds. –– Any costs that may arise in connection The overall position of pre-paid expenses is –– The cost of the publications intended for with currency hedging of currency hedged then amortized on a daily basis. After a pre- the shareholders. share classes are charged against the defined amortization period of 3 years com –– Insurance premiums, postage, telephone respective share class. The costs may differ mencing on the date of subscription or the and fax costs. depending on the sub-fund and share class. immediately following valuation date, pre-paid –– Costs incurred for the rating of a sub- –– Certain costs and fees may be incurred in expenses assigned to a subscribed share of a fund by internationally recognized rating connection with total return swaps, in placement fee share class are fully amortized. agencies. particular upon entering into these trans –– The cost of the dissolution of a share actions and/or any increase or decrease f) Costs incurred for marketing activities are not class or a sub-fund. of their notional amount. The amount of charged to the Investment Company. –– Association membership costs. such fees may be fixed or variable. Fur –– Costs connected to the attainment and ther information on costs and fees g) Fees are paid out at the end of the month. All maintenance of a status that authorizes incurred by each sub-fund, as well as the costs shall first be deducted from current direct investment in assets in a country or identity of the recipients and any affilia income, then from capital gains and lastly direct participation as a contracting party tion they may have with the Management from the assets of the sub-fund. The speci in markets in a country. Company, the fund manager, or the fied costs are listed in the annual reports. –– Costs incurred in connection with the use Depositary, if applicable, will be disclosed of index names, particularly license fees. in the annual report. h) Investment in shares of target funds –– Networking costs for the use of clearing –– Extraordinary costs (e.g. court costs) that Investments in target funds may lead to systems. The costs incurred will be may be incurred in order to protect the duplicate costs, since fees are incurred at charged to the respective share class. interests of shareholders of a sub-fund; the level of the sub-fund as well as at the the Board of Directors shall decide in level of a target fund. Regarding invest The accumulated costs specified under (b) will each individual case whether or not to ments in shares of target funds the follow not exceed the expense cap of 30%, 15% or assume such costs and will report these ing costs are directly or indirectly borne by 7.5% of the Management Company fee. The separately in the annual report. the investors of the sub-fund: expense cap applicable to a sub-fund can be found in the respective sub-fund overview.

39 –– the management fee/all-in fee of the –– sub-funds whose sole object is the collec- The UK offshore funds regime is now target fund; tive investment in deposits with credit contained in the Offshore Funds (Tax) –– the performance fees of the target fund; institutions; Regulations 2009 (Statutory Instrument –– the front-end load and back-end load of –– individual sub-funds as well as for individ- 2009/3001). the target fund; ual classes of shares, provided that the –– reimbursements of expenses of the shares of such compartments or classes For a UK taxpayer to benefit from capital target fund; are reserved to one or more institutional gains tax treatment on the disposal of –– other costs. investors. their investment in a share class in this sub-fund, that class must be certified as a The annual and semi-annual reports include According to article 175 of the Law of 2010, “reporting fund” (and previously, where disclosures of the amounts of the front-end under certain circumstances, the assets of a relevant, a “distributing fund”) in respect load and back-end load that have been sub-fund or a respective share class may also of all accounting periods during which the charged to the sub-fund, over the period be completely exempt. UK taxpayer owned the shares. covered by the reports, for the acquisition and redemption of shares of target funds. The tax rate applicable to a sub-fund or share HMRC maintains a list of offshore funds Furthermore, the annual and semi-annual class can be found in the respective special with reporting fund status at www.hmrc. reports include a disclosure of the total section of the Sales Prospectus. gov.uk/collective/rep-funds.xls. Prospective amount of management fees/all-in fees investors are advised to check the status charged to the sub-fund by target funds. b) The sub-fund’s income may be subject to of the relevant share class before invest- withholding tax in the countries where the ing. In the case of a share class with If the sub-fund’s assets are invested in shares sub-fund’s assets are invested. In such cases, reporting fund status, in order to comply of a target fund that is managed directly or neither the Depositary nor the Management with the requirements of the reporting indirectly by the Investment Company itself, Company is required to obtain tax funds regime, it will be necessary to report the same Management Company or by another certificates. to both investors and HMRC the income company that is affiliated with it by virtue of attributable to that share class for each joint management or control, or by material c) The tax treatment of fund income at investor relevant accounting period. Where the direct or indirect shareholding, the Investment level is dependent on the individual tax regula- reported income exceeds what has been Company, the Management Company or the tions applicable to the investor. For information distributed to investors, then that excess other company will not charge to the fund’s about individual taxation at investor level will be treated as additional distributions to assets any fees for the acquisition or redemp- (especially non-resident investors), a tax the investors and investors will be liable to tion of shares of such other fund. adviser should be consulted. tax accordingly.

If a sub-fund invests a substantial proportion of (i) UK Taxation Dividends paid (and any retained income its assets in other UCITS and/or other UCIs, The Directors intend to apply for reporting reported) to a UK resident individual will the maximum level of the management fees fund status in respect of RD and DS constitute a dividend (with a notional that may be charged both to the sub-fund itself share classes and exceptionally also dividend tax credit attached) for UK and to the other UCITS and/or other UCIs in certain other share classes made avail- income tax purposes and will generally which it intends to invest, shall be disclosed in able to UK investors. be taxable. Dividends paid (and any the relevant special section of the Sales retained income reported) to a UK Prospectus. The following information is a general resident company will also constitute guide to the anticipated UK tax treatment dividend income in its hands and will The amount of the management fee/all-in of UK-resident investors. Investors should generally be exempt from tax. fee attributable to shares of a target fund be aware that UK tax law and practice can associated to the sub-fund (double charging change. Prospective investors therefore The UK tax rules contain a number of of costs or difference method) can be found need to consider their specific position at anti-avoidance codes that can apply to UK in the special section of the Sales the time they invest, and should seek investors in offshore funds in particular Prospectus. their own advice where appropriate. circumstances. It is not anticipated that they will normally apply to investors. Any The separate share classes are “offshore UK taxpaying investor who (together with 13. Taxes funds” for the purposes of the UK off- connected persons) holds over 25% of shore funds legislation. Under this legisla- DWS Invest should take specific advice. a) Pursuant to articles 174-176 of the Law of tion, any gain arising on the sale, redemp- 2010, the assets of each respective sub-fund tion or other disposal of shares in an The intended category of investors for the or the respective share class are generally offshore fund held by persons who are share class registered in the UK is retail subject to a tax in the Grand Duchy of resident in the UK for tax purposes will investors. The shares in it will be widely Luxembourg (the “taxe d‘abonnement”) of be taxed at the time of such sale, dis- available and marketed and made avail- 0.05% or 0.01% p.a. at present, payable posal or redemption as income and not as able sufficiently widely to reach them and quarterly on the net assets of each sub-fund a capital gain. This does not apply, how- in a manner appropriate to attract them. reported at the end of each quarter. ever, where a share class is certified by HM Revenue & Customs (“HMRC”) as a This rate is 0.01% for: “reporting fund” (and previously, where 14. Shareholders’ Meetings relevant, a “distributing fund”) throughout –– sub-funds whose sole object is the collec- the period during which the shares have A. The shareholders‘ meeting represents the tive investment in money market instru- been held by that investor. entire body of shareholders, regardless of which ments and the placing of deposits with particular sub-fund a shareholder has invested in. credit institutions; It shall have the power to take decisions on all

40 matters pertaining to the Investment Company. case, the right of any shareholder to participate the decision takes effect. Furthermore, the Board Resolutions passed at a shareholders‘ meeting in the meeting will be determined by reference of Directors may declare the cancellation of the on matters pertaining to the Investment Com to his/her/its holding as at the Record Date. issued shares of a share class of such a sub-fund pany as a whole shall be binding upon all and the allocation of shares of another share shareholders. class of the same sub-fund, provided that for the 15. Establishment, closing period of one month after publication according B. The Shareholders’ Meetings take place annu and merger of sub-funds or to the provision below, the shareholders of the ally at the registered office of the Investment share classes share class of the sub-fund to be cancelled shall Company or at any other place determined in the have the right to demand the redemption or invitation. They are generally held on every fourth A. Establishment exchange of all or part of their shares at the Wednesday in April of each year at 11:00 AM CET. Resolutions to establish sub-funds or Share applicable net asset value and in accordance with In years when such fourth Wednesday in April falls Classes are adopted by the Board of Directors. the procedure described in articles 14 and 15 of on a bank holiday, the Shareholders’ Meeting will the articles of incorporation at no additional cost. be held on the next bank business day. Share B. Closing holders may appoint proxies to represent them In the event that the net asset value of a sub- The closure of the liquidation of a sub-fund shall at a shareholders‘ meeting. fund has decreased to an amount determined by in principle take place within a period of nine (9) the Board of Directors to be the minimum level months starting from the decision relating to the C. The shareholders of a sub-fund can also hold for such sub-fund to be operated in an economi liquidation. At the closure of the liquidation of a a shareholders’ meeting at any time in order to cally efficient manner, or if a change in the sub-fund any residue shall be deposited as soon decide on actions pertaining exclusively to that economic or political situation relating to a as possible at the Caisse de Consignation. sub-fund. Similarly, the shareholders of a particu sub-fund have occurred, or if necessary in the lar share class of a sub-fund can also hold a interest of the shareholders or the Investment C. In accordance with the definitions and condi shareholders’ meeting at any time in order to Company, the Board of Directors may resolve to tions set out in the Law of 2010, any sub-fund decide on actions pertaining exclusively to that dissolve the Investment Company’s assets held may be merged, either as a merging sub-fund or share class. in a sub-fund and to pay out to shareholders the as a receiving sub-fund, with another sub-fund of net asset value of their shares on the valuation the Investment Company, with a foreign or a D. Resolutions are passed by simple majority of date on which the decision takes effect. If a Luxembourg UCITS or sub-fund of a foreign the shares represented in person or by proxy and situation arises resulting in the dissolution of the UCITS or Luxembourg UCITS. The Board of actually voted at the meeting. In all other aspects, sub-fund, the issue of shares of the respective Directors is competent to decide on such the Law on Trading Companies of August 10, 1915, sub-fund will be halted. If not otherwise decided mergers. applies. Subject to Clause 2.D. (c), each share of by the Board of Directors, the redemption of any share class is entitled to one vote, in accord shares remains possible provided the equal Unless otherwise provided for in individual ance with Luxembourg law and the articles of treatment of shareholders can be ensured. On cases, the execution of the merger shall be incorporation. order of the Investment Company or the liqui carried out as if the merging sub-fund were dators appointed by the shareholders’ meetings, dissolved without going into liquidation and all E. Invitations to general and extraordinary if applicable, the Depositary will divide the assets were simultaneously taken over by the shareholders’ meetings are published at least proceeds of the liquidation less the costs of receiving (sub-)fund or UCITS as the case may fifteen days before the meeting in the Recueil liquidation and fees among the shareholders of be, in accordance with statutory provisions. The Electronique des Sociétés et Associations the respective sub-fund according to their entitle investors in the merging sub-fund receive units (“RESA”) of the Trade and Companies Register, ment. The net proceeds of liquidation not col of the receiving (sub-)fund or UCITS as the case in a Luxembourg newspaper and in additional lected by shareholders upon completion of the may be, the number of which is based on the newspapers, if required by law or if considered liquidation proceedings will at that time be ratio of the net asset values per unit of the (sub-) appropriate by the Board of Directors in each deposited by the Depositary with the Caisse de funds or UCITS as the case may be, involved at distribution country. Invitations may also be sent Consignation in Luxembourg for the account of the time of the merger, with a provision for by mail to shareholders holding registered shares shareholders entitled to them, where such settlement of fractions if necessary. at least eight days before the meeting. amounts will be forfeited if not claimed by the statutory deadline. Notice of the merger will be given to the share If all shares are issued in registered form, the holders on the website of the Management Investment Company may for any general meet Furthermore, the Board of Directors may declare Company and, if required, in the official publi ing communicate the invitation at least eight the cancellation of the issued shares in such a cation media of the respective jurisdictions in days before the meeting by registered letters sub-fund and the allocation of shares in another which the units are offered for sale to the public. only. sub-fund, subject to approval by the Sharehold Shareholders will be given the possibility, during ers’ Meeting of the shareholders of that other a period of at least thirty days to request either If all shareholders are represented in person or sub-fund, provided that for the period of one the repurchase or the conversion of shares free by proxy and have confirmed that they are aware month after publication according to the provi of any charges, as further disclosed in the rele of the agenda, the requirement for a formal sion below the shareholders of the correspond vant publication. invitation may be waived. ing sub-fund shall have the right to demand the redemption or exchange of all or part of their The Board of Directors can decide to merge F. The Board of Directors may determine all shares at the applicable net asset value without share classes within a sub-fund. Such a merger other conditions that must be fulfilled by Share additional cost. means that the investors in the share class to holders in order to attend any meeting of Share be cancelled receive shares of the receiving holders. To the extent permitted by law, the The Board of Directors may resolve to dissolve a share class, the number of which is based on convening notice to a shareholders‘ meeting may share class within a sub-fund and to pay out to the ratio of the net asset values per share of provide that the quorum and majority require the shareholders of this share class the net asset the share classes involved at the time of the ments will be assessed against the number of value of their shares (taking into consideration merger, with a provision for settlement of shares issued and outstanding at midnight the actual realization values and realization costs fractions if necessary. (Luxembourg time) on the fifth day prior to the with respect to investments in connection with relevant meeting (the Record Date) in which this cancellation) on the valuation date on which

41 16. Dissolution or merger of the 17. Publications Management Company is not availing itself of Investment Company this option. The Management Company is aware A. The net asset value per share may be that – without its consent – as of the date of A. The Investment Company can be dissolved obtained from the Management Company and all creation of this Sales Prospectus, the shares of at any time by the Shareholders’ Meeting. The paying agents and it may be published in each the following sub-funds are being traded or are quorum required by law is necessary for such distribution country through appropriate media listed on the following exchanges and markets: resolutions to be valid. (such as the Internet, electronic information systems, newspapers, etc.). In order to provide DWS Invest Asian Small/Mid Cap: B. The dissolution of the Investment Company better information for the investors and to satisfy –– Düsseldorf Stock Exchange shall be announced in the Trade and Companies different customary market practices, the Man- (Börse Düsseldorf) Register (RESA) by the Investment Company and agement Company may also publish an issue/ –– Hamburg Stock Exchange (Börse Hamburg) in at least two national daily newspapers, one of redemption price in consideration of a front-end which must be a Luxembourg newspaper. load and redemption fee. Such information may DWS Invest Convertibles, DWS Invest ESG Euro be obtained from the Investment Company, the Bonds (Short), DWS Invest Euro-Gov Bonds: C. If a situation arises resulting in the dissolution Management Company, the Transfer Agent or the –– Hamburg Stock Exchange (Börse Hamburg) of the Investment Company, the issue of shares sales agent on every day such information is –– Munich Stock Exchange (Börse München) will be halted. If not otherwise decided by the published. –– Düsseldorf Stock Exchange Board of Directors, the redemption of shares (Börse Düsseldorf) remains possible provided the equal treatment of B. The Investment Company produces an –– Berlin-Bremen Stock Exchange shareholders can be ensured. On order of the audited annual report and a semi-annual report (Börse Berlin-Bremen) Investment Company or, where applicable, those according to the laws of the Grand Duchy of –– Frankfurt Stock Exchange (Börse Frankfurt) of the liquidators appointed by the shareholders’ Luxembourg which are available for inspection at meeting, the Depositary will divide the proceeds the registered office of the Investment Company. DWS Invest Chinese Equities: of the liquidation less the costs of liquidation and –– Stuttgart Stock Exchange (Börse Stuttgart) fees among the shareholders of the respective C. The Sales Prospectus, the Key Investor sub-funds according to their entitlement. Information Document (KIID), the articles of DWS Invest Global Agribusiness: incorporation, and the annual and semi-annual –– Stuttgart Stock Exchange (Börse Stuttgart) D. The closure of the dissolution of the Invest- reports are available free of charge to share –– Munich Stock Exchange (Börse München) ment Company shall in principle take place holders at the registered office of the Investment –– Düsseldorf Stock Exchange within a period of nine (9) months starting from Company and at all sales and paying agents. (Börse Düsseldorf) the decision relating to the liquidation. At the Copies of the following documents may also be –– Berlin-Bremen Stock Exchange closure of the dissolution any residue shall be inspected free of charge on any bank business (Börse Berlin-Bremen) deposited as soon as possible at the Caisse de day in Luxembourg during customary business –– Frankfurt Stock Exchange (Börse Frankfurt) Consignation. hours at the registered office of the company at 2, Boulevard Konrad Adenauer, DWS Invest Global Emerging Markets Equities, E. The Investment Company may, either as a 1115 Luxembourg, Luxembourg: DWS Invest European Equity High Conviction, merging UCITS or as a receiving UCITS, be sub- DWS Invest Top Asia, DWS Invest Top Euroland: ject to cross-border and domestic mergers in (i) the Management Company agreement, –– Hamburg Stock Exchange (Börse Hamburg) accordance with the definitions and conditions set (ii) the Depositary agreement, –– Stuttgart Stock Exchange (Börse Stuttgart) out in the Law of 2010. The Board of Directors is (iii) the administration agreement, and –– Munich Stock Exchange (Börse München) competent to decide on such a merger and on the (iv) the fund management agreement. –– Düsseldorf Stock Exchange effective date of such a merger in case the Invest- (Börse Düsseldorf) ment Company is the receiving UCITS. D. Important information will be disclosed to –– Berlin-Bremen Stock Exchange the investors on the website of the Management (Börse Berlin-Bremen) The Shareholders’ Meeting, deciding by simple Company www.dws.com. If required in certain –– Frankfurt Stock Exchange (Börse Frankfurt) majority of the votes cast by shareholders pres- distribution countries, publications will also be ent or represented at the meeting, shall be made in a newspaper or in other means of DWS Invest Africa: competent to decide on the merger and on the publication required by law. In cases where it is –– Hamburg Stock Exchange (Börse Hamburg) effective date of merger, in case the Investment required by law in Luxemburg, publications will Company is the merging UCITS and thereby additionally be made in at least one Luxemburg The possibility that such trading might be dis ceases to exist. The effective date of merger newspaper and, if applicable, in the Trade and continued at short notice, or that the shares of shall be recorded by notarial deed. Companies Register (RESA). the sub-funds may be trading or introduced for trading on other markets – including at short Notice of the merger will be given to the share- notice, where applicable – cannot be excluded. holders on the website of the Management 18. Incorporation, The Management Company has no knowledge Company and, if required, in the official publica- fiscal year, term of this. tion media of the respective jurisdictions in which the units are offered for sale to the public. The Investment Company was established on The market price underlying exchange trading Shareholders will be given the possibility, during March 15, 2002, for an indeterminate period. Its or trading on other markets is not determined a period of at least thirty days to request either fiscal year ends on December 31 of each year. exclusively by the value of the assets held in the the repurchase or the conversion of shares free sub-funds. Supply and demand are also contrib- of any charges, as further disclosed in the rele- uting factors. The market price may therefore vant publication. 19. Exchanges and markets deviate from the calculated net asset value per share. The Management Company may have the sub- funds’ shares admitted for listing on an exchange or traded on regulated markets; currently the

42 B. Sales Prospectus – Special Section

DWS Invest Africa

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI EFM AFRICA – Total Return Net Dividend in EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited five bank business days after issue of the shares. The equivalent value is credited five bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class* Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)** sub-fund)** LC EUR up to 5% up to 1.75% 0% 0.05% July 10, 2008 LD EUR up to 5% up to 1.75% 0% 0.05% July 10, 2008 NC EUR up to 3% up to 2.2% 0.2% 0.05% July 10, 2008 FC EUR 0% up to 0.85% 0% 0.05% July 10, 2008 USD LC USD up to 5% up to 1.8% 0% 0.05% July 10, 2008 GBP D RD GBP 0% up to 0.9% 0% 0.05% January 20, 2009

* The sub-fund DWS Invest Africa and its share classes are excluded from the option “exchanges of shares” stated in paragraph 8 of the general part of the Sales Prospectus. ** For additional costs, see Article 12 in the general section of the Sales Prospectus.

Due to its composition and the techniques applied by its fund management, the sub-fund is subject to markedly increased volatility, which means that the price per share may be subject to substantial downward or upward fluctuation, even within short periods of time. The sub-fund is therefore only suitable for experienced investors who are familiar with the opportunities and risks of volatile investments and who are in a position to temporarily bear substantial losses.

For the sub-fund with the name DWS Invest companies registered in Africa, particularly in A maximum of 30% of the sub-fund’s assets Africa, the following provisions shall apply in South-Africa, Egypt, Mauritius, Nigeria, Morocco (after deduction of liquid assets) may be invested addition to the terms contained in the general and Kenya. in shares, stock certificates, convertible bonds section of the Sales Prospectus. and warrant-linked bonds whose underlying The securities issued by these companies may warrants are for securities, participation and Investment policy be listed on the African or other foreign securities dividend-right certificates, and equity warrants of The objective of the investment policy of exchanges or traded on other regulated markets in foreign and domestic issuers that do not satisfy DWS Invest Africa is to achieve an appreciation a member country of the Organisation for Eco- the requirements of the preceding paragraphs, as high as possible of capital invested. nomic Co-operation and Development (OECD) that as well as in all other permissible assets speci- operate regularly and are recognized and open to fied in Article 2 of the general section of the The sub-fund is actively managed and is not the public. The exchanges and other regulated Sales Prospectus. managed in reference to a benchmark. markets must comply with requirements of Article 41 of the Law of 2010. Notwithstanding the investment limit of 10% At least 70% of the sub-fund’s total assets (after specified in Article 2 B. (i) concerning invest- deduction of liquid assets) are invested in shares, Investments in the securities mentioned above ments in shares of other UCITS and/or other stock certificates, participation and dividend-right may also be made through Global Depository UCIs as defined in A. (e), an investment limit certificates, and equity warrants of issuers which Receipts (GDRs) and American Depository of 5% shall apply to this sub-fund. have their registered offices or their principal Receipts (ADRs) listed on recognized exchanges business activity in Africa or which, as holding and markets issued by international financial The sub-fund will not invest in contingent companies, hold the majority of interests in institutions. convertibles.

43 The sub-fund intends to use securities financing meets the criteria of article 50 of the UCITS The sub-fund may also invest in Non-African transactions under the conditions and to the Directive. companies, which may be listed on Non-African extent further described in the general part of Stock Exchanges, and the liquidity in respect of the Sales Prospectus. The respective risks connected with investments such investments may also be limited. in this sub-fund are disclosed in the general The sub-fund may endeavour to realise invest- For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. ments in unlisted companies through listing on tion within the meaning of the German Invest- the relevant African stock exchange. However, ment Tax Act and in addition to the investment Integration of sustainability risks there is no guarantee that such stock exchanges limits described in the Articles of Incorporation The sub-fund management integrates sustain- will provide liquidity for the sub-funds investment and this Sales Prospectus (equity fund) at least ability risks into their investment decisions by in unlisted companies. The Investment Company 51% of the sub-fund´s gross assets (determined means of Smart Integration. Further information may have to resell the investments of the sub- as being the value of the sub-fund´s assets on how sustainability risks are taken into account fund in privately negotiated transactions and the without taking into account liabilities) are in the investment decisions can be found in the prices realised from these sales could be less invested in equities admitted to official trading on general section of the Sales Prospectus. than those originally paid by the sub-fund or less a stock exchange or admitted to, or included in, than what may be considered to be the fair value another organized market and which are not: Specific Risks or actual market value of such securities. Investment in or relating to Africa carries a –– units of investment funds; high degree of risk. If any of the following 2. Investment restrictions in listed companies –– equities indirectly held via partnerships; risks occurs, the sub-funds business, financial in Africa –– units of corporations, associations of persons condition or results of operations could be Trading on the African stock exchanges could be or estates at least 75% of the gross assets of materially and adversely affected. The risks subject to various restrictions. There may also be which consist of immovable property in listed below are not exhaustive and are not restrictions on the total foreign ownership of accordance with statutory provisions or their ranked in any order. The sub-fund’s invest- listed companies in certain African countries. investment conditions, if such corporations, ments will be subject to certain special risks associations of persons or estates are subject associated with the jurisdictions in which 3. Investments in unlisted companies and to corporate income tax of at least 15% and investments by the Investment Company are in unlisted non-African companies are not exempt from it or if their distributions made, as well as normal investment risks. Generally, where the sub-fund invests in securities are subject to tax of at least 15% and the Additional risks and uncertainties not pres- of unlisted companies or unlisted non-African sub-fund is not exempt from said taxation; ently known to the Investment Company, or companies, whether or not traded on an OTC –– units of corporations which are exempt from that the Investment Company deem immate- Market, there is no guarantee that the sub-fund corporate income taxation to the extent they rial, may also have an adverse effect on the will be able to realise the fair value of such securi- conduct distributions unless such distributions sub-fund’s business. There can be no assur- ties due to the tendency of such companies to are subject to taxation at a minimum rate of ance that the investments of the sub-fund have limited liquidity and comparatively high price 15% and the sub-fund is not exempt from said will be successful or that its objectives will be volatility. Furthermore, there may be no reliable taxation; attained. Accordingly, investment in the price source available. Estimates of fair market –– units of corporations the income of which sub-fund should be considered to be specula- value of such investments are inherently difficult originates, directly or indirectly, to an extent of tive in nature and only suitable for investors to establish and are the subject of substantial more than 10%, from units of corporations, who are aware of the risks involved in invest- uncertainty. Furthermore, any companies whose that are (i) real estate companies or (ii) are not ment in the sub-fund and who have the securities are not publicly traded may not be real estate companies, but (a) are domiciled in ability and willingness to accept the antici- subject to disclosure and other legal requirements member state of the European Union or a pated lack of liquidity in the investments of that would otherwise be applicable if their securi- member state of the European Economic Area the sub-fund, the illiquid nature of investment ties were traded on a public exchange. and are not subject in said domicile to corpo- in the shares and the risk of the total loss of rate income tax or are exempt from it or capital resulting from investment in the Risks specific to investment in the OTC Market (b) are domiciled in a third country and are not sub-fund. in Africa subject in said domicile to corporate income Many unlisted companies in Africa trade on the tax of at least 15% or are exempt from it; If you are in any doubt about the action you OTC Market in Africa, which acts as an interme- –– units of corporations which hold, directly or should take, you are advised to consult an diary for the trading of shares of Africa unlisted indirectly, units of corporations, that are (i) real investment advisor who is duly qualified in companies. Transactions on the OTC Market are estate companies or (ii) are not real estate your jurisdiction and specialised in advising negotiated and agreed upon directly between companies, but (a) are domiciled in a member on the acquisition of shares and other buyers and sellers, often with the involvement of state of the European Union or a member securities. facilitating broker-dealers or other intermediaries. state of the European Economic Area and are The clearance and settlement process with not subject in said domicile to corporate Risks relating to investments respect to securities that trade on the OTC income tax or are exempt from it or (b) are made by the sub-fund Market may be time consuming, often requiring domiciled in a third country and are not sub- Prospective investors should be aware of certain endorsement by officials of the subject company. ject in said domicile to corporate income tax specific risk factors relating to Africa, other of at least 15% or are exempt from it if the fair jurisdictions in which the sub-fund may invest Investments in domestic unlisted companies market value of units of such corporations and the nature of the sub-fund’s investments. The Investment Company’s investments in equal more than 10% of the fair market value These include: unlisted companies could be subject to foreign of those corporations. ownership restrictions in certain African countries. 1. Limited liquidity While investments in unlisted companies may For the purpose of this investment policy and in It may be considerably more difficult for the offer the opportunity for significant capital gains, accordance with the definition in the German sub-fund to invest or exit its investments in such investments also involve a high degree of Investment Code (KAGB), an organized market is African countries or Africa related products financial risk. Generally, the sub-fund’s invest- a market which is recognized, open to the public than it would be for investors in more developed ments in unlisted companies may be illiquid and and which functions correctly, unless expressly countries. Limited liquidity may adversely affect difficult to value, and there will be little or no specified otherwise. Such organized market also the Net Asset Value and the price of the shares. protection for the value of such investments. In

44 many cases, investments will be long-term in 6. Other risks relating to investing in companies The sub-fund could be adversely affected by nature and may have to be held for many years in Africa delays in, or a refusal to grant, any required from the date of initial investment before dis- In addition to the risks specified above, investee approvals for investment in any particular com- posal, especially if a subsequent listing of these companies, and in particular former SOEs, pany, as well as by the delays in investment investments on an African stock exchange is whether they are listed or not, may face a number caused by the competition the Investment not possible. Sales of securities in unlisted of risks which could cause them to significantly Company expects to face in the market or by companies, which fail to obtain a listing, may not under-perform or even result in their bankruptcy. restrictions imposed on investments made in be possible and, if possible, may only occur at a These include, but are not limited to: certain jurisdictions. Pending investment of the substantial discount to the Fund Manager’s proceeds of the placing the company may invest perception of the market value of or the price –– risk of insufficient financing; in temporary investments, which could remain originally paid by the sub-fund for such securities. –– lack of customer diversification and under- invested for longer than anticipated and are The sub-fund’s investments in unlisted companies standing of the product market; expected to generate returns that are substan- may require extensive due diligence. However, –– internal management deficiencies; tially lower than the returns that the Investment good due diligence may be difficult to achieve in –– incorrect or lack of strategy or failure to antici- Company anticipates receiving from investments some contexts, especially where limited informa- pate industry trends due to inexperience; in investee companies. tion is publicly available. As the sub-fund is likely –– overstaffing; and to be a minority shareholder in any unlisted –– changes in competitiveness due to changes to 9. Legal systems company in which it invests, the Investment currency exchange rates. The laws and regulations affecting the certain Company will endeavour in appropriate situations markets where the sub-fund may invest are in an to obtain suitable minority shareholder protection These and other risks may be particularly acute early stage of development and are not well by way of a shareholders’ agreement and/or for small companies. The Investment Company established. There can be no assurance that the observer rights on boards, where possible. How- may invest in small capitalisation companies. sub-fund will be able to obtain effective enforce- ever, the Investment Company may not succeed ment of its rights through legal proceedings, nor in obtaining such protection and even where the Risks relating to market conditions is there any assurance that improvements will Investment Company obtains such shareholders’ take place. As these legal systems, there may be agreement or board representation, they may only 7. Market environment inconsistencies and gaps in laws and regulations, offer limited protection. Investee companies will be exposed to the risk the administration of laws and regulations by of a changing market environment including but government agencies may be subject to consid- 4. Investments in SOEs not limited to increased competition in both local erable discretion, and in many areas the legal Investment in SOEs (state-owned enterprises) markets and export markets in certain sectors framework is vague, contradictory and subject to involves a number of special risks. The Investment due to further liberalisation of the African econ- different interpretations. Furthermore, the judicial Company may obtain only very limited financial omy resulting from some African countries system may not be reliable or objective, and the information available to it in order to evaluate opening their markets for foreign investors. As a ability to enforce legal rights is often lacking. As potential investments in equitizing SOEs, either result of, and due to, other market forces, any of such, there can be no assurance that the sub- because it may buy shares in a process that the sub-fund’s investments could be subject to a fund will be able to enforce its rights effectively allows only limited due diligence or because the substantial decline in value at any time. through legal proceedings. SOEs’ records are incomplete or unavailable. Legal systems may also unreliable, as a result of, Furthermore, the managers of former SOEs may 8. Limited investment opportunities for example, corruption or political instability. have difficulties in adjusting to the private sector There are other companies, institutions and following equitisation, in following good corporate investors, both African and foreign, actively 10. Political and economic risks governance practices, in being transparent and in seeking and making investments in Africa. The sub-fund’s investments into African coun- appointing and retaining talented and qualified Several of these competitors, are expected to tries and other countries may be affected by staff. It is not uncommon for SOEs after equiti raise, significant amounts of capital, and may unquantifiable changes in economic conditions in sation to remain majority-owned by the relevant have similar investment objectives to those of such countries or in international political devel- government and to continue to respond to the the sub-fund, which may create additional com- opments, changes in government policies, the requirements of the relevant government rather petition for investment opportunities. The Invest- imposition of restrictions on the transfer of than acting in the best interests of its share ment Company therefore expects to face signifi- capital or changes in regulatory, tax and legal holders. Former SOEs may in some cases inherit cant competition for investment opportunities. requirements. The value of the sub-fund’s assets business legacies from their former status, such Competition for a limited number of potential and of an investment in the sub-fund may be as excessively large workforces, and on-going and investment opportunities may lead to a delay in adversely affected by changes in government, unresolved breaches of environmental regulations. making investments and may increase the price government personnel or government policies, at which investments may be made or divested whether relating to the Government or the 5. Investments in existing closed-end funds by the sub-fund, reducing the potential profitabil- government of any overseas market in which the Closed-end funds operating in the African market ity of the sub-fund’s investments. sub-fund is investing, which may include, among may be subject to the same investment risks as Foreign entities may be subject to certain restric- other things, changes in policies relating to outlined herein, including but not limited to politi- tions regarding investments made into certain expropriation, nationalisation and confiscation of cal and economic risks and deficiencies in the African countries, and certain investments may assets, and changes in legislation relating to current legal system in African countries. Invest- require prior evaluation or approval by the relevant foreign ownership, economic policy, taxation, ment by the sub-fund in unlisted closed-end funds African government. This may increase the compe- investment regulations, securities regulations will be subject to additional risk as unlisted closed- tition for a limited number of investments consid- and foreign currency conversion or repatriation. end funds will not be subject to the regulations of ered to be attractive by the Investment Company, Political uncertainties have been striking the any listing authority. The sub-fund may also be and result in investment delays for the sub-fund. African continent from time to time and political subject to capital calls in its investments. In the Additionally, in order for the sub-fund to make sentiments vary from nation to nation. Certain event that the sub-fund fails to meet any future investments in Non-African companies located in African states have been and are affected by capital calls, the sub-fund’s investments may be certain non-African jurisdictions it may also need civil war and terrorist-linked violence. Certain forfeited. to comply with as-yet unknown local investment countries are experiencing and may continue to restrictions. experience an unstable and volatile political environment. Political uncertainties in certain

45 African countries may affect other countries in accounting reporting standards do not provide the value of its investments, its ability to the region or even Africa as a whole. All these the same degree of shareholder protection or declare dividends and remit profits, and the tax events and uncertainties may have a negative information to investors as would generally apply obligations imposed on it. impact on the sub-fund’s investments. Not only in many developed OECD member countries. In In addition, the Investment Company, its wholly or the value of the sub-fund’s investments may be particular, greater reliance may be placed by the partly owned SPVs and the investee companies affected significantly, in the event that any clo- auditors on representations made by managers may be subject to capital gains tax, corporate tax, sure of market, state of emergency or morato- of a company, and there may be less indepen- withholding tax and other taxes, duties, levies, rium is declared, the sub-fund may not be able to dent verification of information than would apply tariffs or imposts which may have an adverse repatriate the value of its investments or such in more developed countries. The valuation of impact on the sub-funds returns. value may be seriously diminished. assets, depreciation, exchange differences, deferred taxation, contingent liabilities and 18. Transfer and settlement risk 11. Operational risks consolidation may also be treated differently The collection, transfer and deposit of securities The sub-fund will be exposed to a credit risk on from the manner in which they would be treated and cash expose the sub-fund to a number of parties with whom it trades and will also bear under international accounting standards. risks including theft, loss, fraud, destruction and the risk of settlement default. Market practices in delay. Procedures for registration may be unreli- the African markets in relation to the settlement 16. Currency conversion and capital controls able in Africa and may be subject to fraud. Many of securities transactions and custody of assets The sub-fund’s investments in certain African and unlisted securities are still evidenced by paper will provide increased risk. Although the African non-African markets may be in securities that are certificates and not electronically, and the trans- markets are developing, the clearing, settlement denominated in currencies other than Euro or fer process may be subject to delay. In addition, and registration systems available to effect U.S. dollars. Fluctuations in the exchange rate the infrastructure and information technology of trades on certain of such markets are signifi- between Euro/U.S. dollars and the currency of professional entities operating within the secu cantly less developed than those in more mature such assets may lead to a depreciation of the rities industry in African countries and other world markets which can result in delays and value of the sub-fund’s assets as expressed in developing countries (including depositary banks other material difficulties in settling trades and in Euro/U.S. dollars affect, among other things, the and depositories) are not as advanced as those registering transfers of securities. Problems of foreign currency value of dividend and capital in more developed countries. settlement in these markets may affect the Net distributions and the Net Asset Value. Further- Asset Value and liquidity of the sub-fund. more, certain currencies are not convertible 19. Contagious diseases currencies. Conversion of such currencies may An epidemic of human immune deficiency virus 12. Geographic risks and risk of war require approvals from the relevant governments. (“HIV”) or any other contagious disease could Certain African countries are susceptible to military Any delay in obtaining approvals will increase the potentially cause a significant drop in economic coups, internal wars and political instability, all of sub-funds exposure to any depreciation of such activity in Africa. In the Sub-Saharan region of which may cause adverse political and/or economic currencies against other hard currencies such as Africa, an estimated 22.5 million people were impacts in Africa in general. Such political and/or Euro/U.S. dollar. If the conversion cannot be living with HIV at the end of 2007 and approxi- economic impacts may in turn adversely affect the effected, some of the sub-fund’s assets may be mately 1.7 million additional people were infected operation and profitability of the investments of dominated in a non-convertible currency, and thus with HIV during 2007. In four of the southern the sub-fund in Africa. the sub-fund may be unable to make distributions African countries, namely Botswana, Lesotho, to Shareholders of such assets. Swaziland and Zimbabwe, the national adult HIV 13. Corruption risks The Investment Company may seek to hedge prevalence rate has increased significantly and Many African countries have very low score on against a decline in the value of the sub-fund’s now exceeds 20%. Furthermore, an epidemic of the Corruption Perceptions Index published by the assets resulting from currency depreciation but HIV or any other contagious disease such as Transparency International. This indicates that the only if and when suitable hedging instruments are Severe Acute Respiratory Syndrome and avian levels of corruption in African countries are very available on a timely basis and on terms accept- influenza can occur in any jurisdiction in which high as opposed to those developed countries. able to the Fund Manager. There is no assurance the sub-fund may invest, whether in a developed High levels of corruption could have an adverse that any hedging transactions engaged in by the or a developing country, and could result in the impact on the political and economic stability of Investment Company will be successful in pro- performance of investments in such jurisdictions African countries and as a result, the sub-fund’s tecting against currency depreciation or that the yielding lower than expected results. investments in such countries may be adversely Investment Company will have opportunities to affected. hedge on commercially acceptable terms. 20. Risk of default The default of an issuer of securities or of a 14. Inflation risk 17. Tax uncertainty counterparty may result in losses for the sub- All the assets of the sub-funds are subject to The tax regulations in many African countries fund. The risk of default (or issuer risk) is the risk devaluation through inflation. The exposure to the are under development. There are many areas of the other party to a reciprocal contract failing, risk of inflation may be increased in certain where sufficiently detailed regulations do not in whole or in part, to fulfil its obligation with jurisdictions in which the sub-funds invests due currently exist and where there is a lack of respect to a claim. This applies to all contracts to political, economic or geographic instability or clarity. The implementation and enforcement of that are entered into for the account of the otherwise. tax regulations in some African countries can sub-fund. Default resulting from the bankruptcy vary depending on numerous factors, including or insolvency of a counterparty may result in the 15. Regulatory risks and accounting, auditing and the identity of the tax authority involved. Fur- sub-funds experiencing delays in liquidating its financial reporting standards thermore, the tax regulations in other jurisdic- position and, possibly, significant losses, includ- Financial disclosure and regulatory standards tions in which the sub-fund may make investing the costs of enforcing the Investment Com- may be less stringent in African countries and ments may also not be fully developed. Any pany’s rights against the counterparty. other securities markets where the Investment change in the Investment Company’s tax status, To the extent that the wholly-owned or partly- Company may invest than they are in developed the Fund Manager’s tax status, taxation legisla- owned subsidiaries of the Investment Company OECD member countries, and there may be less tion in African countries in which the sub-fund grant security over their assets, and there is a publicly available information on potential has investments or the taxation requirements in default on the part of such wholly-owned or part- investee companies than is published by or about any other non-African jurisdiction in which the ly-owned subsidiaries of the Investment Company, an issuer in such OECD member countries. In sub-fund has made an investment could the Investment Company’s investments through some countries the legal infrastructure and adversely affect the sub-fund’s performance, such subsidiaries may be lost entirely.

46 Furthermore, bankruptcy laws in African coun- Dilution policy When investing in target funds associated to the tries and other jurisdictions in which the sub-fund Substantial subscriptions and redemptions of the sub-fund, the part of the management fee may have investments may be unreliable. As a sub-fund could lead to a dilution of the sub-fund’s attributable to shares of these target funds is result, the sub-fund may have limited recourse in assets, due to the fact, that the NAV potentially reduced by the management fee/all-in fee of the realising its investment in the event an investee does not entirely reflect all trading- and other acquired target funds, and as the case may be, company becomes insolvent. costs. These costs occur, if the portfolio manager up to the full amount (difference method). has to buy or sell securities in order to manage 21. Custody risk large in- or outflows of the sub-fund. In addition The sub-fund faces a risk of loss of assets arising to these costs, substantial order volumes could from insolvency of the Depositary or any sub- lead to market prices, which are considerable depositary appointed by it, poor due diligence in lower, respectively higher than the market prices choosing the Depositary, or improper conduct on under general circumstances. To enhance the the part of the Depositary or its officers and shareholder protection of already existing inves- employees, or any sub-depositary appointed by it. tors the following option allows the usage of the dilution policy in favour of the sub-fund’s assets 22. Lack of Diversification during exceptional market situations to compen- The sub-fund will not be subject to any diversifi- sate trading and other costs in case of material cation requirements and portfolio diversification impact to the sub-fund. is at the sole discretion of the Fund Manager. The sub-fund may invest in a limited number of The Management Company will define limits companies, regions or industry sectors. To the for the application of the dilution policy, based – extent the sub-fund concentrates its investments amongst others – on the current market condi- in a particular company, region or sector; it will tions, given market liquidity and estimated dilution become more susceptible to fluctuations in value costs. If an exceptional market situation occurs, resulting from adverse business or economic as defined by the Management Company, the net conditions affecting that particular company, asset value of the sub-fund can be adjusted to a region or sector. As a consequence, the aggre- higher or lower value to reflect the transactions gate return of investments may be adversely costs and other dilution effects associated to this affected by the unfavourable performance of one trading activity. In accordance with these limits, or a small number of companies or regions in the adjustment itself will be initiated automatically. which the sub-fund has invested. The adjusted net asset value will be applied to all subscriptions and redemptions of this trading day 23. Restrictions on foreign ownership equally. The African and non-African regions where investments of the sub-fund are located may restrict the The impact of the dilution policy will not exceed movement of foreign capital in the future. The 2% of the original NAV. As the mentioned dilu- sub-fund may be subject to controls on foreign tion policy methodology will only be executed investment, including those related to the level of when it comes to exceptional market situations foreign ownership, which may include the risk of and significant in- and outflows and as it is not expropriation, nationalisation and confiscation of based on regular volumes, it is assumed that assets, together with possible limitations on the NAV adjustment will only be executed repatriation of invested capital. There may be more occasionally. substantial government intervention in the economy, including industries deemed sensitive to Risk Management relevant national interests. The value of the sub- The relative Value-at-Risk (VaR) approach is used fund’s assets may also be affected by uncertain- to limit market risk in the sub-fund. ties such as changes in the government or its policies regarding inward investment, taxation and In addition to the provisions of the general the restrictions on currency repatriation and other section of the Sales Prospectus, the potential developments in the laws and regulations impact- market risk of the sub-fund is measured using a ing on foreign investments. reference portfolio that does not contain derivatives (“risk benchmark”). Due to the specifics of these markets the Investment Company and the Management Leverage is not expected to exceed twice the Company notably advert to the right of the value of the investment sub-fund’s assets. The Investment Company – for detailed informa- leverage effect is calculated using the sum of tion refer to Articles 5 F./G. and 7 of the gen- notional approach (absolute (notional) amount of eral section of the Sales Prospectus to tempo- each derivative position divided by the net present rarily suspend the redemption of shares of value of the portfolio). However, the disclosed the sub-fund, or one or more share classes of expected level of leverage is not intended to be the sub-fund, as well as the calculation of the an additional exposure limit for the sub-fund. NAV per share, if and while circumstances exist that make this suspension necessary Investment in shares of target funds and if the suspension is justified when taking In addition to the information in the general into consideration the interests of the section of the Sales Prospectus the following shareholders. is applicable to this sub-fund:

47 DWS Invest Artificial Intelligence

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark –

Reference portfolio 50% MSCI World Information Tech Index Net Return in EUR, 35% MSCI All Country World Index in EUR and (risk benchmark) 15% MSCI China 50 Capped Index in EUR Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest certificates, convertible bonds and equity warrants The sub-fund will not invest in contingent Artificial Intelligence, the following provisions issued by foreign and domestic companies. The convertibles. shall apply in addition to the terms contained in securities issued by these companies may be the general section of the Sales Prospectus. listed on Chinese (including the Shenzhen-Hong The sub-fund intends to use securities financing Kong and Shanghai-Hong Kong Stock Connect) or transactions under the conditions and to the Investment policy other foreign securities exchanges or traded on extent further described in the general part of The objective of the investment policy of other regulated markets in a member country of the Sales Prospectus. DWS Invest Artificial Intelligence is to achieve long the Organisation for Economic Co-operation and term capital appreciation by investing primarily in Development (OECD) that operate regularly and In addition, the sub-fund’s assets may be invested the global equity markets of companies whose are recognized and open to the public. in all other permissible assets specified in Article 2, business will benefit from/or is currently related to including the assets mentioned in Article 2 A. (j) of the evolution of artificial intelligence. At least 60% of the sub-fund`s assets are the general section of the Sales Prospectus. invested in equities. The sub-fund is actively managed and is not Notwithstanding the investment limit specified in managed in reference to a benchmark. Up to 30% of the sub-fund’s assets may be Article 2 B. (n) concerning the use of derivatives, invested in short-term deposits, money market the following investment restrictions shall apply At least 70% of the sub-fund’s assets are invested instruments and bank balances. with regard to the investment restrictions currently in equities of all market capitalizations, stock applicable in individual distribution countries: certificates, participation and dividend right

48 Derivatives that constitute short positions must of at least 15% or are exempt from it if the fair In addition to the provisions of the general have adequate coverage at all times and may be market value of units of such corporations section of the Sales Prospectus, the potential used exclusively for hedging purposes. Hedging equal more than 10% of the fair market value market risk of the sub-fund is measured using a is limited to 100% of the underlying instrument of those corporations. reference portfolio that does not contain deriva- covering the derivative. Conversely, no more than tives (“risk benchmark”). 35% of the net value of the assets of the sub- For the purpose of this investment policy and in fund may be invested in derivatives that consti- accordance with the definition in the German Leverage is not expected to exceed twice the tute long positions and do not have correspond- Investment Code (KAGB), an organized market is value of the investment sub-fund’s assets. The ing coverage. a market which is recognized, open to the public leverage effect is calculated using the sum of and which functions correctly, unless expressly notional approach (absolute (notional) amount of Notwithstanding the investment limit of 10% specified otherwise. Such organized market also each derivative position divided by the net present specified in Article 2 B. (i) concerning invest- meets the criteria of article 50 of the UCITS value of the portfolio). However, the disclosed ments in shares of other UCITS and/or other Directive. expected level of leverage is not intended to be an UCIs as defined in Article 2 A. (e), an investment additional exposure limit for the sub-fund. limit of 5% shall apply to this sub-fund. The respective risks connected with investments in this sub-fund are disclosed in the general Investment in shares of target funds For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. In addition to the information in the general tion within the meaning of the German Invest- section of the Sales Prospectus the following is ment Tax Act and in addition to the investment Integration of sustainability risks applicable to this sub-fund: limits described in the Articles of Incorporation The sub-fund management integrates sustain- and this Sales Prospectus (equity fund) at least ability risks into their investment decisions by When investing in target funds associated to 60% of the sub-fund´s gross assets (determined means of Smart Integration. Further information the sub-fund, the part of the management fee as being the value of the sub-fund´s assets on how sustainability risks are taken into account attributable to shares of these target funds is without taking into account liabilities) are in the investment decisions can be found in the reduced by the management fee/all-in fee of the invested in equities admitted to official trading on general section of the Sales Prospectus. acquired target funds, and as the case may be, a stock exchange or admitted to, or included in, up to the full amount (difference method). another organized market and which are not: Benchmark The sub-fund is actively managed and is man- –– units of investment funds; aged in reference to one or a combination of –– equities indirectly held via partnerships; benchmarks as further detailed in the sub-fund –– units of corporations, associations of persons specific table. All benchmarks respectively their or estates at least 75% of the gross assets of administrators are registered with the ESMA, which consist of immovable property in either in the public register of administrators of accordance with statutory provisions or their benchmark indices or the public register of third investment conditions, if such corporations, country benchmarks. associations of persons or estates are subject to corporate income tax of at least 15% and The majority of the sub-fund’s securities or are not exempt from it or if their distributions their issuers are not necessarily expected to be are subject to tax of at least 15% and the components of the benchmark and the portfolio sub-fund is not exempt from said taxation; is not necessarily expected to have a similar –– units of corporations which are exempt from weighting to the benchmark. The sub-fund corporate income taxation to the extent they management will use its discretion to invest in conduct distributions unless such distributions securities and sectors that are not included in are subject to taxation at a minimum rate of the benchmark in order to take advantage of 15% and the sub-fund is not exempt from said specific investment opportunities. In regard to its taxation; benchmark, the sub-fund positioning can deviate –– units of corporations the income of which significantly (e.g., by a positioning outside of the originates, directly or indirectly, to an extent of benchmark as well as a significant underweight- more than 10%, from units of corporations, ing or overweighting) and the actual degree of that are (i) real estate companies or (ii) are not freedom is typically relatively high. A deviation real estate companies, but (a) are domiciled in generally reflects the sub-fund manager’s evalua- member state of the European Union or a tion of the specific market situation, which may member state of the European Economic Area lead to a defensive and closer or a more active and are not subject in said domicile to corpo- and wider positioning compared to the bench- rate income tax or are exempt from it or mark. Despite the fact that the sub-fund aims to (b) are domiciled in a third country and are not outperform the return of the benchmark, the subject in said domicile to corporate income potential outperformance might be limited tax of at least 15% or are exempt from it; depending on the prevailing market environment –– units of corporations which hold, directly or (e.g. less volatile market environment) and actual indirectly, units of corporations, that are (i) real positioning versus the benchmark. estate companies or (ii) are not real estate companies, but (a) are domiciled in a member Risk Management state of the European Union or a member The relative Value-at-Risk (VaR) approach is used state of the European Economic Area and are to limit market risk in the sub-fund. not subject in said domicile to corporate income tax or are exempt from it or (b) are domiciled in a third country and are not subject in said domicile to corporate income tax

49 DWS Invest Asian Bonds

Investor profile Risk-tolerant Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments Hong Kong Limited, Level 60, International Commerce Centre, 1 Austin Road West, Kowloon, Hong Kong. Performance benchmark JPMorgan ASIA CREDIT INDEX, administered by J. P. Morgan Securities LLC Reference portfolio (risk benchmark) JPMorgan ASIA CREDIT INDEX in USD TR – JACI Index Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg that is also an exchange trading day on the Hong Kong Stock Exchange Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* FCH EUR 0% up to 0.6% 0% 0.05% June 16, 2014 USD FC USD 0% up to 0.6% 0% 0.05% June 16, 2014 LDH EUR up to 3% up to 1.1% 0% 0.05% November 30, 2016 USD LDM USD up to 3% up to 1.1% 0% 0.05% December 15, 2016 USD IC USD 0% up to 0.40% 0% 0.01% April 13, 2017 USD IC500 USD 0% up to 0.15% 0% 0.01% April 13, 2017 USD XC USD 0% up to 0.20% 0% 0.05% April 13, 2017 TFCH EUR 0% up to 0.6% 0% 0.05% December 5, 2017 TFDH EUR 0% up to 0.6% 0% 0.05% December 5, 2017 USD TFC USD 0% up to 0.6% 0% 0.05% December 5, 2017 LCH EUR up to 3% up to 1.1% 0% 0.05% January 15, 2018 USD LC USD up to 3% up to 1.1% 0% 0.05% January 29, 2018 HKD LDM HKD up to 3% up to 1.1% 0% 0.05% February 15, 2018 SGD LDM SGD up to 3% up to 1.1% 0% 0.05% February 15, 2018 IDH** EUR 0% up to 0.4% 0% 0.01% April 16, 2018 HKD LDMH HKD up to 3% up to 1.1% 0% 0.05% May 15, 2018 SGD LDMH SGD up to 3% up to 1.1% 0% 0.05% May 15, 2018 AUD LDMH AUD up to 3% up to 1.1% 0% 0.05% October 31, 2018 HKD TFDMH HKD 0% up to 0.6% 0% 0.05% October 31, 2018 LDMH EUR up to 3% up to 1.1% 0% 0.05% October 31, 2018 SGD TFDMH SGD 0% up to 0.6% 0% 0.05% October 31, 2018 TFDMH EUR 0% up to 0.6% 0% 0.05% October 31, 2018 NCH EUR up to 1.5% up to 1.4% 0% 0.05% December 14, 2018 USD FC50 USD 0% up to 0.3% 0% 0.05% February 28, 2019 USD TFDM USD 0% up to 0.6% 0% 0.05% March 15, 2019 RMB FCH3500 CNY 0% up to 0.2% 0% 0.05% April 15, 2019 RMB FCH350 CNY 0% up to 0.3% 0% 0.05% April 15, 2019 CHF LCH CHF up to 3% up to 1.1% 0% 0.05% June 28, 2019

50 Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* CHF TFCH CHF 0% up to 0.6% 0% 0.05% June 28, 2019 FCH500 EUR 0% up to 0.2% 0% 0.05% July 31, 2019 GBP TFDMH GBP 0% up to 0.6% 0% 0.05% November 29, 2019 NDH EUR up to 1.5 % up to 1.4% 0% 0.05% February 15, 2021 PFDH EUR 0% up to 0.8% 0% 0.05% February 15, 2021

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** In contrast with Article 1 of the general section the IDH share class is not exclusively offered in the form of registered shares.

For the sub-fund with the name DWS Invest Asian Alternatively, investments may be made through In compliance with the investment limits specified Bonds, the following provisions shall apply in the Renminbi Qualified Foreign Institutional in Article 2 B. of the general section of the Sales addition to the terms contained in the general (R-QFII) scheme, which requires the sub-fund Prospectus, the investment policy may also be section of the Sales Prospectus. manager to be granted a R-QFII license granted implemented through the use of suitable derivative by the China Securities Regulatory Commission financial instruments. These derivative financial Investment policy (CSRC). In addition, the sub-fund manager may instruments may include, among others, options, The objective of the investment policy of need to be granted a R-QFII investment quota by forwards, futures, futures contracts on financial DWS Invest Asian Bonds is to achieve an the State Administration of Foreign Exchange instruments and options on such contracts, as well above-average return for the fund. (SAFE). as privately negotiated OTC contracts on any type of financial instrument, including swaps, forward- The sub-fund’s assets may be invested in interest- Up to 30% of the sub-fund’s assets may be starting swaps, inflation swaps, total return swaps, bearing securities and convertible bonds issued by: invested in interest-bearing debt securities excess return swaps, swaptions, constant maturity denominated in Asian currency, U.S. dollars and swaps and credit default swaps. –– Governments of Asian jurisdictions. other G7 currencies from issuers that do not –– Asian government agencies. meet the above-mentioned criteria and cash The sub-fund will not invest in ABS or MBS –– Asian jurisdictions municipals. deposits. In extreme market situations, the fund securities. –– Companies which have their registered office in manager may diverge from the above investment an Asian jurisdiction or that conduct their princi- strategy to avoid a liquidity squeeze. Up to 100% The sub-fund will not invest in contingent pal business activity in an Asian jurisdiction. of the sub-fund’s assets may temporarily be convertibles. –– Supra-national institutions such as World Bank invested in interest-bearing securities of United (IBRD), European Investment Bank (EIB) and States of America and Japanese and European The Management Company currently does not European Bank for Reconstruction and Develop- (EU-Member States and the United Kingdom) intend to enter into any securities lending or ment (EBRD) denominated in Asian currencies. government bonds. (reverse) repurchase transactions or other similar –– Non-Asian corporates that are issued in Asian over-the counter transactions in respect of the currencies. The sub-fund will invest less than 30% of its sub-fund. assets in unrated securities. These interest-bearing securities may be denom- In addition, the sub-fund’s assets may be invested inated in U.S. dollars, other G7 currencies and The sub-fund may invest no more than 10% of in all other permissible assets specified in Article 2, various Asian currencies. The rating of issues can its net asset value in debt securities issued and/ including the assets mentioned in Article 2 A. (j) of range from Aaa to B3 (Moody’s) and AAA to or guaranteed by a single sovereign issuer the general section of the Sales Prospectus. B- (Standard & Poor’s) or its equivalent. In case (including its government, public or local author- of a split rating involving three rating agencies, ity, government agency, or municipal) which is Specific Risks the second best will prevail. If a security is rated below investment grade. However, the sub-fund Debt instruments with loss-absorption features by only two agencies, the lower of the two will only purchase debt securities that are rated are subject to greater risks as a result of being ratings will be used for the rating classification. If at least D by S&P or its equivalent by another partly or wholly written off or converted into the a security only has one rating, the single rating rating agency or, if unrated, deemed to be of issuer’s equity upon the occurrence of a pre- will be used. If there is no official rating, an comparable quality by the fund manager. In defined trigger event, when compared to tradi- internal rating will be applied in accordance with applying this requirement, if more than one tional debt instruments. Such trigger events are DWS internal guidelines. rating agency rates the security and the ratings likely to be outside of the issuer’s control and are not equivalent, the second highest rating will commonly include a reduction in the issuer’s Investments in domestic securities via the be considered the security’s rating. capital ratio below a specified level or upon Chinese onshore market will be done in listed specific government or regulatory action being securities, via direct access to the inter-bank Up to 5% of the sub-fund’s assets may be in taken as a result of the issuer’s ongoing financial bond market (CIBM) or the Bond Connect. When vested in instruments with loss-absorption fea- viability. Trigger events are complex and difficult investing via Bond Connect the investment limit tures which typically include terms and conditions to predict and can result in a significant or total of 10% as described in Article 41 (2) a) of the specifying that the instrument is subject to being reduction in the value of such instruments, giving Law of 2010 must be respected. written off, written down, or converted to ordinary rise to consequential loss of the sub-fund. shares on the occurrence of a trigger event.

51 The respective risks connected with investments If redemption requests are received on a valua- in this sub-fund are disclosed in the general tion date (the “First Valuation Date”) whose section of the Sales Prospectus. value, individually or together with other requests received, is in excess of 10% of the net Integration of sustainability risks asset value of a sub-fund, the Board of Directors The sub-fund management integrates sustain- reserves the right, at its own discretion (and ability risks into their investment decisions by taking into consideration the interests of the means of Smart Integration. Further information remaining shareholders), to reduce the number on how sustainability risks are taken into account of shares of every individual redemption request in the investment decisions can be found in the on a pro-rata basis for this First Valuation Date, general section of the Sales Prospectus. so that the value of the shares redeemed or exchanged on this First Valuation Date does not Benchmark exceed 10% of the net asset value of the respec- The sub-fund is actively managed and is man- tive sub-fund. If as a result of the exercise of the aged in reference to one or a combination of right to effect a pro-rata reduction on this First benchmarks as further detailed in the sub-fund Valuation Date, a redemption request is not specific table. All benchmarks respectively their executed in full, such request must be treated administrators are registered with the ESMA, with respect of the unexecuted portion as either in the public register of administrators of though the shareholder submitted a further benchmark indices or the public register of third redemption request for the next valuation date, country benchmarks. and if necessary, for the at most seven subsequent valuation dates as well. Requests received The majority of the sub-fund’s securities or for the First Valuation Date are processed on a their issuers are not necessarily expected to priority basis over any subsequent requests that be components of the benchmark and the port are received for redemption on the subsequent folio is not necessarily expected to have a similar valuation dates. Subject to this reservation, weighting to the benchmark. The sub-fund however, redemption requests received at a later management will use its discretion to invest in time are processed as specified in the preceding securities and sectors that are not included in sentence. the benchmark in order to take advantage of specific investment opportunities. In regard to its Based on these preconditions, exchange benchmark, the sub-fund positioning can deviate requests are treated like redemption requests. significantly (e.g., by a positioning outside of the benchmark as well as a significant underweight- The Management Company has the right to carry ing or overweighting) and the actual degree of out substantial redemptions only once the freedom is typically relatively high. A deviation corresponding assets of the sub-fund have been generally reflects the sub-fund manager’s evalua- sold without delay. tion of the specific market situation, which may lead to a defensive and closer or a more active Risk Management and wider positioning compared to the bench- The relative Value-at-Risk (VaR) approach is used mark. Despite the fact that the sub-fund aims to to limit market risk in the sub-fund. outperform the return of the benchmark, the potential outperformance might be limited In addition to the provisions of the general section depending on the prevailing market environment of the Sales Prospectus, the potential market risk (e.g. less volatile market environment) and actual of the sub-fund is measured using a reference positioning versus the benchmark. portfolio that does not contain derivatives (“risk benchmark”). Redemption Volume Contrary to the general rule regarding substantial Leverage is not expected to exceed twice the redemptions as described in detail in section 5. F value of the investment sub-fund’s assets. The of the general section of the Sales Prospectus, leverage effect is calculated using the sum of the following applies to this sub-fund: notional approach (absolute (notional) amount of each derivative position divided by the net present Shareholders may submit for redemption all or value of the portfolio). However, the disclosed part of their shares of all share classes. expected level of leverage is not intended to be an additional exposure limit for the sub-fund. The Management Company is under no obligation to execute redemption requests if any such Investment in shares of target funds request pertains to shares valued in excess of In addition to the information in the general 10% of the net asset value of a sub-fund. The section of the Sales Prospectus the following Management Company reserves the right, taking is applicable to this sub-fund: into account the principle of equal treatment of all shareholders, to dispense with minimum When investing in target funds associated to the redemption amounts (if provided for). sub-fund, the part of the management fee attributable to shares of these target funds is Special procedure for redemptions valued in reduced by the management fee/all-in fee of the excess of 10% of the net asset value of a acquired target funds, and as the case may be, sub-fund up to the full amount (difference method).

52 DWS Invest Asian Small/Mid Cap

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments Hong Kong Limited, Level 60, International Commerce Centre, 1 Austin Road West, Kowloon, Hong Kong. Performance benchmark MSCI AC Asia ex Japan Small Cap, administered by MSCI Limited. Reference portfolio MSCI AC Asia ex Japan Small Cap (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg that is also an exchange trading day on the Hong Kong Stock Exchange Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest Asian In so doing, at least 70% of the sub-fund’s other regulated markets in a member country of Small/Mid Cap, the following provisions shall apply assets are invested in shares and other equity the Organisation for Economic Co-operation and in addition to the terms contained in the general securities and uncertificated equity instruments Development (OECD) that operate regularly and section of the Sales Prospectus. of small and medium-sized companies registered are recognized and open to the public. in an Asian jurisdiction, or in companies that Investment policy conduct their principal business activity in Asia Up to 30% of the sub-fund’s assets may be The main investment objective of the sub-fund or which, as holding companies, hold primarily invested in: DWS Invest Asian Small/Mid Cap is to achieve interests in companies registered in Asia. The long-term capital appreciation by investing in a securities issued by these companies may be –– shares and other equity securities and uncer- portfolio of small and medium-sized companies listed on Chinese (including the Shenzhen-Hong tificated equity instruments (participation and in the Asian markets. Kong and Shanghai-Hong Kong Stock Connect) or dividend-right certificates, etc.) of companies other foreign securities exchanges or traded on of any size from around the world that do not

53 fulfil the requirements of the preceding –– units of corporations the income of which generally reflects the sub-fund manager’s evalua- paragraph; originates, directly or indirectly, to an extent of tion of the specific market situation, which may –– interest-bearing securities, as well as convert- more than 10%, from units of corporations, lead to a defensive and closer or a more active ible bonds and warrant-linked bonds that are that are (i) real estate companies or (ii) are not and wider positioning compared to the bench- denominated in any freely convertible currency; real estate companies, but (a) are domiciled in mark. Despite the fact that the sub-fund aims –– short-term deposits, money market instruments member state of the European Union or a to outperform the return of the benchmark, and bank balances. member state of the European Economic Area the potential outperformance might be limited and are not subject in said domicile to corpo- depending on the prevailing market environment Small and medium-sized companies as defined rate income tax or are exempt from it or (e.g. less volatile market environment) and actual above are companies included in a market index (b) are domiciled in a third country and are not positioning versus the benchmark. for small and medium-sized companies (until subject in said domicile to corporate income April 11, 2012, e.g. FTSE Asia Pacific Small Cap tax of at least 15% or are exempt from it; Specific Risks Index (excluding Japan) or companies that have –– units of corporations which hold, directly or Because the sub-fund is specialized on a a comparable market capitalization; effective indirectly, units of corporations, that are (i) real specific geographic area, it presents increased April 12, 2012: e.g. MSCI AC Asia ex Japan Small estate companies or (ii) are not real estate opportunities, but these opportunities are Cap TR Net). companies, but (a) are domiciled in a member countered by equally elevated risks. state of the European Union or a member A maximum of 20% of the sub-fund´s assets state of the European Economic Area and are The sub-fund is focused on investments in Asia. may be invested in securities such as A-Shares, not subject in said domicile to corporate Asian exchanges and markets are sometimes B-Shares, bonds and other securities listed and income tax or are exempt from it or (b) are subject to substantial fluctuations. Fluctuations traded in Mainland China. domiciled in a third country and are not sub- in the rate of exchange of the local currencies ject in said domicile to corporate income tax against the euro can also impact on investment In addition, techniques and instruments based on of at least 15% or are exempt from it if the fair performance. The credit risk associated with an securities may be employed on behalf of the market value of units of such corporations investment in securities, i.e., the risk of a decline sub-fund’s assets if this is done for the purpose of equal more than 10% of the fair market value in the assets of issuers, cannot be entirely efficient portfolio management of the sub-fund. of those corporations. eliminated even by the most careful selection of the instruments to be purchased. Political The sub-fund will not invest in contingent For the purpose of this investment policy and in changes, restrictions on currency exchange, convertibles. accordance with the definition in the German exchange monitoring, taxes, limitations on Investment Code (KAGB), an organized market is foreign capital investments and capital repatria- The sub-fund intends to use securities financing a market which is recognized, open to the public tion etc. can also affect investment performance. transactions under the conditions and to the and which functions correctly, unless expressly extent further described in the general part of specified otherwise. Such organized market also The respective risks connected with investments the Sales Prospectus. meets the criteria of article 50 of the UCITS in this sub-fund are disclosed in the general Directive. section of the Sales Prospectus. For the purpose of inducing a partial tax exemption within the meaning of the German Invest- Integration of sustainability risks Risk Management ment Tax Act and in addition to the investment The sub-fund management integrates sustain- The relative Value-at-Risk (VaR) approach is used limits described in the Articles of Incorporation ability risks into their investment decisions by to limit market risk in the sub-fund. and this Sales Prospectus (equity fund) at least means of Smart Integration. Further information 51% of the sub-fund´s gross assets (determined on how sustainability risks are taken into account In addition to the provisions of the general section as being the value of the sub-fund´s assets in the investment decisions can be found in the of the Sales Prospectus, the potential market risk without taking into account liabilities) are general section of the Sales Prospectus. of the sub-fund is measured using a reference invested in equities admitted to official trading on portfolio that does not contain derivatives a stock exchange or admitted to, or included in, Benchmark (“risk benchmark”). another organized market and which are not: The sub-fund is actively managed and is managed in reference to one or a combination of Leverage is not expected to exceed twice the –– units of investment funds; benchmarks as further detailed in the sub-fund value of the investment sub-fund’s assets. The –– equities indirectly held via partnerships; specific table. All benchmarks respectively their leverage effect is calculated using the sum of –– units of corporations, associations of persons administrators are registered with the ESMA, notional approach (absolute (notional) amount of or estates at least 75% of the gross assets of either in the public register of administrators of each derivative position divided by the net present which consist of immovable property in benchmark indices or the public register of third value of the portfolio). However, the disclosed accordance with statutory provisions or their country benchmarks. expected level of leverage is not intended to be investment conditions, if such corporations, an additional exposure limit for the sub-fund. associations of persons or estates are subject The majority of the sub-fund’s securities or to corporate income tax of at least 15% and their issuers are not necessarily expected to Investment in shares of target funds are not exempt from it or if their distributions be components of the benchmark and the port In addition to the information in the general are subject to tax of at least 15% and the folio is not necessarily expected to have a similar section of the Sales Prospectus the following sub-fund is not exempt from said taxation; weighting to the benchmark. The sub-fund is applicable to this sub-fund: –– units of corporations which are exempt from management will use its discretion to invest in corporate income taxation to the extent they securities and sectors that are not included in When investing in target funds associated to the conduct distributions unless such distributions the benchmark in order to take advantage of sub-fund, the part of the management fee are subject to taxation at a minimum rate of specific investment opportunities. In regard to its attributable to shares of these target funds is 15% and the sub-fund is not exempt from said benchmark, the sub-fund positioning can deviate reduced by the management fee/all-in fee of the taxation; significantly (e.g., by a positioning outside of the acquired target funds, and as the case may be, benchmark as well as a significant underweight- up to the full amount (difference method). ing or overweighting) and the actual degree of freedom is typically relatively high. A deviation

54 DWS Invest Brazilian Equities

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager Itau USA Asset Management Inc., 540 Madison Avenue – 24th Floor, New York – 10022, United States of America. Performance benchmark MSCI Brazil 10/40 index in EUR, administered by MSCI Limited. Reference portfolio MSCI Brazil 10/40 index in EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg, Frankfurt/Main and exchange trading day on the Sao Paolo Stock Exchange Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest The securities issued by these companies may (the 2008 Regulation) and Article 41 (1) or (2) of Brazilian Equities, the following provisions shall be listed on Brazilian or other foreign securities the Law of 2010 through Participatory Notes apply in addition to the terms contained in the exchanges or traded on other regulated markets (P-Notes). general section of the Sales Prospectus. in a member country of the Organisation for Economic Co-operation and Development In compliance with Article 2 B. of the general Investment policy (OECD) that operate regularly and are recognized section of the Sales Prospectus, the sub-fund The objective of the investment policy of and open to the public. may use suitable derivative financial instruments DWS Invest Brazilian Equities is to generate and techniques in order to implement the invest- an above-average return. Investments in the securities mentioned above ment strategy and to achieve the investment may also be made through Global Depository objective, including in particular – but not limited At least 70% of the sub-fund’s assets are invested Receipts (GDRs) and American Depository to – forwards, futures, single-stock futures, in equities, stock certificates, participation and Receipts (ADRs) listed on recognized exchanges options or equity swaps. dividend-right certificates, convertible bonds and and markets issued by international financial equity warrants of issuers registered in Brazil, or institutions or to the extent permitted by the Where liquid assets cover obligations arising of issuers registered outside Brazil that conduct Grand Ducal Regulation of February 8, 2008, from derivative financial instruments, such liquid their principal business activity in Brazil. relating to certain definitions of the Law of 2010 assets are attributed to the relevant 70%.

55 A maximum of 30% of the sub-fund’s assets –– units of corporations which hold, directly or The majority of the sub-fund’s securities or may be invested in equities, stock certificates, indirectly, units of corporations, that are (i) real their issuers are not necessarily expected to be participation and dividend right certificates, estate companies or (ii) are not real estate components of the benchmark and the portfolio convertible bonds and equity warrants of issuers companies, but (a) are domiciled in a member is not necessarily expected to have a similar that do not fulfill the requirements of the preced- state of the European Union or a member state weighting to the benchmark. The sub-fund ing paragraph. of the European Economic Area and are not management will use its discretion to invest in subject in said domicile to corporate income tax securities and sectors that are not included in Up to 30% of the sub-fund’s assets may be or are exempt from it or (b) are domiciled in a the benchmark in order to take advantage of invested in short-term deposits, money market third country and are not subject in said domi- specific investment opportunities. In regard to instruments and bank balances. cile to corporate income tax of at least 15% or its benchmark, the sub-fund positioning can are exempt from it if the fair market value of deviate significantly (e.g., by a positioning The sub-fund’s investments in contingent units of such corporations equal more than 10% outside of the benchmark as well as a signifi- convertibles shall be limited to 10% of the of the fair market value of those corporations. cant underweighting or overweighting) and the sub-fund’s net asset value. actual degree of freedom is typically relatively For the purpose of this investment policy and in high. A deviation generally reflects the sub-fund The sub-fund intends to use securities financing accordance with the definition in the German manager’s evaluation of the specific market transactions under the conditions and to the Investment Code (KAGB), an organized market is a situation, which may lead to a defensive and extent further described in the general part of market which is recognized, open to the public and closer or a more active and wider positioning the Sales Prospectus. which functions correctly, unless expressly speci- compared to the benchmark. Despite the fact fied otherwise. Such organized market also meets that the sub-fund aims to outperform the return In addition, the sub-fund’s assets may be invested the criteria of article 50 of the UCITS Directive. of the benchmark, the potential outperformance in all other permissible assets specified in Article 2, might be limited depending on the prevailing including the assets mentioned in Article 2 A. (j) of Integration of sustainability risks market environment (e.g. less volatile market the general section of the Sales Prospectus. The sub-fund management makes all management environment) and actual positioning versus the decisions for the sub-fund taking into account the benchmark. For the purpose of inducing a partial tax exemption legal and contractual investment restrictions within the meaning of the German Investment Tax considering the sustainability risks. Specific Risks Act and in addition to the investment limits Because the sub-fund is specialized on described in the Articles of Incorporation and this The following applies to the consideration of companies operating in Brazil, it presents Sales Prospectus (equity fund) at least 51% of the sustainability risks in investment decisions: The increased opportunities, but these opportuni- sub-fund´s gross assets (determined as being the sub-fund management also considers sustainabil- ties are countered by equally elevated risks. value of the sub-fund´s assets without taking into ity risks in its investment decisions besides the account liabilities) are invested in equities admitted common financial data. This consideration applies Brazilian exchanges and markets are sometimes to official trading on a stock exchange or admitted to the entire investment process, both for the subject to substantial fluctuations. The sub-fund to, or included in, another organized market and fundamental analysis of investments and for the is suitable for risk-tolerant investors who are which are not: investment decisions. familiar with the opportunities and risks of volatile investments. A medium to long-term –– units of investment funds; The sub-fund management’s responsible invest- investment horizon is recommended for this –– equities indirectly held via partnerships; ment approach is centered in ESG-integrated sub-fund. Investors should be in a position to –– units of corporations, associations of persons or fundamental analysis, proxy voting activities and bear potentially substantial losses. The sub-fund estates at least 75% of the gross assets of engagement with investee companies. The ESG pursues an investment policy focused on oppor- which consist of immovable property in accord integration approach is centered in the investment tunities, and is particularly suited for inclusion in ance with statutory provisions or their invest- research process, with a focus on fundamental a highly diversified investment portfolio. ment conditions, if such corporations, associa- equity research. The sub-fund manager’s propri- tions of persons or estates are subject to etary method projects ESG issues into the dis- Disclaimer corporate income tax of at least 15% and are count cash flow models focusing on the cash flow In Brazil a tax might be imposed on foreign not exempt from it or if their distributions are lines, thus influencing target prices of analyzed investors who purchase securities denominated subject to tax of at least 15% and the sub-fund companies. The objective is to estimate the net in the Brazilian currency (Real). Currently, a is not exempt from said taxation; present value of material ESG issues to anticipate Financial Operating Tax (IOF Tax) applies to –– units of corporations which are exempt from events that may result in value creation or foreign exchange inflows into the Brazilian corporate income taxation to the extent they destruction. market. IOF Tax imposed will adversely affect the conduct distributions unless such distributions Sub-fund’s Net Asset Value at the time of the are subject to taxation at a minimum rate of Itaú Asset Management exercises active owner- inflow of the foreign exchange. 15% and the sub-fund is not exempt from said ship through voting on investee companies’ annual taxation; general meetings and through engagements with The respective risks connected with investments –– units of corporations the income of which investee companies. The objective is to have a in this sub-fund are disclosed in the general originates, directly or indirectly, to an extent of positive dialogue with companies regarding the section of the Sales Prospectus. more than 10%, from units of corporations, that promotion of best ESG practices. are (i) real estate companies or (ii) are not real Risk Management estate companies, but (a) are domiciled in Benchmark The relative Value-at-Risk (VaR) approach is used member state of the European Union or a The sub-fund is actively managed and is managed to limit market risk in the sub-fund. member state of the European Economic Area in reference to one or a combination of bench- and are not subject in said domicile to corporate marks as further detailed in the sub-fund specific In addition to the provisions of the general section income tax or are exempt from it or (b) are table. All benchmarks respectively their administra- of the Sales Prospectus, the potential market risk domiciled in a third country and are not subject tors are registered with the ESMA, either in the of the sub-fund is measured using a reference in said domicile to corporate income tax of at public register of administrators of benchmark portfolio that does not contain derivatives least 15% or are exempt from it; indices or the public register of third country (“risk benchmark”). benchmarks.

56 Leverage is not expected to exceed twice the value of the investment sub-fund’s assets. The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net present value of the portfolio). However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

When investing in target funds associated to the sub-fund, the part of the management fee attributable to shares of these target funds is reduced by the management fee/all-in fee of the acquired target funds, and as the case may be, up to the full amount (difference method).

57 DWS Invest China Bonds

Investor profile Risk-tolerant Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments Hong Kong Limited, Level 60, International Commerce Centre, 1 Austin Road West, Kowloon, Hong Kong. Performance benchmark – Reference portfolio – (absolute VaR) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg, that is also an exchange trading day on the Hong Kong Stock Exchange Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* FCH EUR 0% up to 0.6% 0% 0.05% August 16, 2011 LCH EUR up to 3% up to 1.1% 0% 0.05% August 16, 2011 USD FC USD 0% up to 0.6% 0% 0.05% August 16, 2011 USD LC USD up to 3% up to 1.1% 0% 0.05% August 16, 2011 LDH EUR up to 3% up to 1.1% 0% 0.05% April 2, 2012 NCH EUR up to 1.5% up to 1.4% 0.1% 0.05% April 2, 2012 CHF FCH CHF 0% up to 0.6% 0% 0.05% December 10, 2012 CHF LCH CHF up to 3% up to 1.1% 0% 0.05% December 10, 2012 RMB FC RMB 0% up to 0.6% 0% 0.05% February 18, 2013 RMB LC RMB up to 3% up to 1.1% 0% 0.05% February 18, 2013 NC EUR up to 1.5% up to 1.4% 0.1% 0.05% August 19, 2013 NDH EUR up to 1.5% up to 1.4% 0.1% 0.05% January 20, 2014 PFCH EUR 0% up to 0.6% 0% 0.05% May 26, 2014 PFDQH EUR 0% up to 0.6% 0% 0.05% May 26, 2014 FDH EUR 0% up to 0.6% 0% 0.05% August 31, 2015 USD FCH (P) USD 0% up to 0.6% 0% 0.05% December 1, 2015 USD LDH (P) USD up to 3% up to 1.1% 0% 0.05% December 1, 2015 USD LDMH (P) USD up to 3% up to 1.1% 0% 0.05% December 1, 2015 SEK FCH SEK 0% up to 0.6% 0% 0.05% December 1, 2015 SEK LCH SEK up to 3% up to 1.1% 0% 0.05% December 1, 2015 NDQH EUR up to 1.5% up to 1.4% 0.1% 0.05% April 28, 2017 TFCH EUR 0% up to 0.6% 0% 0.05% December 5, 2017 USD TFC USD 0% up to 0.6% 0% 0.05% December 5, 2017 RMB FCH CNY 0% up to 0.6% 0% 0.05% January 31, 2020 RMB LCH CNY up to 3% up to 1.1% 0% 0.05% January 31, 2020

58 Dilution adjustment PFCH and PFDQH: (payable by the shareholder)** A dilution adjustment of up to 3% based on the gross redemption amount may be charged. Please see the general section for further explanation. Placement fee PFCH and PFDQH: (payable from the sub-fund’s assets) Up to 3% for the benefit of the distributor. Please see the general section for further explanation.

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

For the sub-fund with the name DWS Invest China Due to the fact that investments made by the options, forwards, futures, futures contracts on Bonds, the following provisions shall apply in sub-fund and income received by the sub-fund financial instruments and options on such con- addition to the terms contained in the general may be denominated in Renminbi, investors tracts, as well as privately negotiated OTC section of the Sales Prospectus. should be aware of a possible depreciation of the contracts on any type of financial instrument, Renminbi. including swaps, forward-starting swaps, infla- Investment policy tion swaps, total return swaps, excess return The objective of the investment policy of DWS The above-mentioned securities may be listed on swaps, swaptions, constant maturity swaps and Invest China Bonds is to achieve an above aver- Asian or other foreign securities exchanges or credit default swaps. age return for the sub-fund by investing at least traded on other regulated markets that operate 60% of net assets in securities of issuers that regularly and are recognized and open to the The sub-fund’s investments in contingent con- have their head office or majority of their activity public. The exchanges and other regulated mar- vertibles shall be limited to 10% of the sub- in the Greater China region. kets must comply with requirements of Article fund’s net asset value. 41 of the Law of 2010. The sub-fund is actively managed and is not The sub-fund intends to use securities financing managed in reference to a benchmark. In extreme market situations, the fund manager transactions under the conditions and to the may diverge from the above investment strategy extent further described in the general part of The sub-fund’s assets may be invested in to avoid a liquidity squeeze. This is dependent on the Sales Prospectus. interest-bearing debt securities issued by: the market context but can generally be understood as a sustained and severe period of market In addition, the sub-fund’s assets may be –– the Chinese government, volatility. Up to 100% of the sub-fund’s assets invested in all other permissible assets specified –– Chinese government agencies, may temporarily (potentially several months) be in Article 2, including the assets mentioned in –– Chinese municipals, invested in interest-bearing securities of United Article 2 A. (j) of the general part of the Sales –– companies which have their registered office States of America and Japanese and European Prospectus. in China or that conduct their principal busi- (EU-Member States and the United Kingdom) ness activity in China. government bonds. The respective risks connected with investments in this sub-fund are disclosed in the general The sub-fund’s assets are generally hedged to Notwithstanding the principle of risk spreading section of the Sales Prospectus. the U.S. dollar, and are invested in interest-bearing and in accordance with Article 45 of the Law of debt securities denominated in or hedged to the 2010, the sub-fund may invest up to 100% of its Integration of sustainability risks U.S. dollar as well as in U.S. dollar-denominated assets in interest-bearing debt securities that The sub-fund management integrates sustain- cash deposits. Renminbi-denominated assets may are issued or guaranteed by the Chinese ability risks into their investment decisions by be invested via the Chinese offshore as well as government. means of Smart Integration. Further information the Chinese onshore market. on how sustainability risks are taken into account The sub-fund may also invest up to 100% of its in the investment decisions can be found in the Investments in domestic securities via the assets in interest-bearing debt securities issued general section of the Sales Prospectus. Chinese onshore market will be done in listed or guaranteed by a member state of the Euro- securities, via direct access to the inter-bank pean Union, its local authorities, an OECD mem- Specific Risks bond market (CIBM) or via Bond Connect. When ber country, or by a public international body of Investments in or related to China carry specific investing via Bond Connect the investment limit which one or more member states of the Euro- risks, we refer in that context to the specific risk of 10% as described in Article 41 (2) a) of the pean Union are members. The sub-fund must factors outlined in the general section of the Law of 2010 must be respected. hold securities from at least six different issues, Sales Prospectus. but securities from any one issue may not Alternatively, investments may be made through account for more than 30% of the sub-fund’s Liquidity Risk the Renminbi Qualified Foreign Institutional net assets. The sub-fund may be investing parts of its assets (R-QFII) scheme, which requires the sub-fund in RMB-denominated interest-bearing debt manager to be granted a R-QFII license granted In compliance with the investment limits speci- securities issued or distributed via the RMB by the China Securities Regulatory Commission fied in Article 2 B. of the general section of the offshore markets, such as Hong Kong and Singa- (CSRC).In addition, the sub-fund manager may Sales Prospectus, the investment policy may pore. The quantity of RMB-denominated inter- need to be granted a R-QFII investment quota by also be implemented through the use of suitable est-bearing debt securities issued or distributed the State Administration of Foreign Exchange derivative financial instruments. These derivative via the RMB offshore markets is currently lim- (SAFE). financial instruments may include, among others, ited. The sub-fund may therefore under certain

59 market conditions have to invest a significant The Chinese government exercises significant portion of its assets in RMB-denominated depos- control over China’s economic growth through its. This may have an impact on the NAV of the the allocation of resources, controlling payment sub-fund’s share classes. of foreign currency denominated obligations, setting monetary policy and providing preferen- Trading Costs tial treatment to particular industries or compa- Due to potentially limited liquidity of RMB- nies. The willingness and ability of the Chinese denominated interest-bearing debt securities government to support the Chinese and Hong issued or distributed via the RMB offshore Kong economies is uncertain. The growing market the spread between bid and offer prices interconnectivity of global economies and finan- for these securities may be higher compared to cial markets has increased the possibility that those of other fixed income securities. conditions in one country or region might adversely impact the issuers of securities in a Credit Risk different country or region. In particular, the Parts of the interest-bearing debt securities the adoption or continuation of protectionist trade sub-fund invests in may not be rated. Unrated policies by one or more countries could lead to a interest-bearing debt securities are generally decrease in demand for Chinese products and more susceptible to the credit risk of their issu- reduced flows of private capital to these econo- ers. Defaults of interest-bearing debt securities mies. Government supervision and regulation of will have an impact on the NAV of the sub-fund’s Chinese stock exchanges, currency markets, share classes. Furthermore, the sub-fund may trading systems and brokers may be less than in encounter difficulties or delays if having to developed countries. enforce its rights against the Chinese issuers of interest-bearing debt securities. This is due to the Companies in China may not be subject to the fact that such issuers may be incorporated same disclosure, accounting, auditing and finan- outside the jurisdiction in which the sub-fund has cial reporting standards and practices as in devel- been authorized or registered and subject to oped countries. Thus, there may be less informa- foreign laws. tion publicly available about Chinese companies than about other companies. Political, social or Exchange Rate Risk economic disruptions in the region, including Investors will be exposed to exchange rate risks conflicts and currency devaluations, even in if the currency of the share class (e.g. EUR) countries in which the Fund is not invested, may differs from the currency of the sub-fund (USD). adversely affect security values in other countries in the region and thus the Fund’s holdings. Since the Renminbi is not a freely convertible currency and is subject to exchange control Risk Management policies and repatriation restrictions put in place The absolute Value-at-Risk (VaR) approach is used by the Chinese government, the sub-fund’s to limit market risk in the sub-fund. assets may directly or indirectly be impacted by exchange control regulations or possible changes Leverage is not expected to exceed twice the thereto. value of the investment sub-fund’s assets. The leverage effect is calculated using the sum of The exchange rate used for Share Classes notional approach (absolute (notional) amount of denominated in RMB is the offshore Chinese each derivative position divided by the net pres- Renminbi. The value of the offshore Chinese ent value of the portfolio). However, the dis- Renminbi may deviate significantly from that of closed expected level of leverage is not intended the onshore Chinese Renminbi due to various to be an additional exposure limit for the reasons, such as foreign exchange control poli- sub-fund. cies and repatriation restrictions pursued by the Chinese government and other external market Investment in shares of target funds forces. In addition to the information in the general section of the Sales Prospectus the following China Market Risk is applicable to this sub-fund: Investment in China is subject to legal, regulatory, monetary and economic risks. China is When investing in target funds associated to the dominated by the one-party rule of the Commu- sub-fund, the part of the management fee nist Party. Investments in China involve greater attributable to shares of these target funds is control over the economy, political and legal reduced by the management fee/all-in fee of the uncertainties and currency fluctuations or block- acquired target funds, and as the case may be, age, the risk that the Chinese government may up to the full amount (difference method). decide not to continue to support the economic reform programs implemented in 1978 and possibly return to the completely centrally planned economy that existed prior to 1978, and the risk of confiscatory taxation, and nationaliza- tion or expropriation of assets.

60 DWS Invest Chinese Equities

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments Hong Kong Limited, Level 60, International Commerce Centre, 1 Austin Road West, Kowloon, Hong Kong. Performance benchmark MSCI China 10/40 Index in EUR, administered by MSCI Limited. Reference portfolio MSCI China 10/40 Index in EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg, that is also an exchange trading day on the Hong Kong Stock Exchange Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)** sub-fund)** LC EUR up to 5% up to 1.5% plus an additional 0% 0.05% December 15, 2006 performance-related fee* NC EUR up to 3% up to 2% plus an additional 0.2% 0.05% December 15, 2006 performance-related fee* FC EUR 0% up to 0.75% plus an additional 0% 0.05% December 15, 2006 performance-related fee* USD LC USD up to 5% up to 1.7% 0% 0.05% December 15, 2006 USD FC USD 0% up to 0.85% 0% 0.05% December 15, 2006 GBP D RD GBP 0% up to 0.85% 0% 0.05% December 21, 2007 TFC EUR 0% up to 0.75% plus an additional 0% 0.05% December 5, 2017 performance-related fee* USD TFC USD 0% up to 0.85% 0% 0.05% December 5, 2017

* The Management Company shall receive from the sub-fund a performance-based fee of 25% of the amount by which the performance of the respective share class exceeds the performance of the MSCI China 10/40 Index (positive benchmark deviation); such amount shall, however, not exceed 4% of the average value of the share class during this settlement period. If the net asset value per share underperforms the benchmark at the end of a settlement period (benchmark underperformance) the Management Company shall receive no performance-based fee. In a manner corresponding to the calculation for benchmark outperformance, the negative amount for each net asset value per share is calculated based on the agreed maximum amount and carried forward to the next settlement period. The Management Company shall receive a performance-based fee for the subsequent settlement period only if the amount calculated from benchmark outperformance at the end of that settlement period exceeds the negative carryforward from the previous settlement period. In this case, the fee entitlement is equal to the difference between the two amounts. Any remaining negative amount for each net asset value per share is again carried forward to the new settlement period. If the result at the end of the next settlement period is yet another benchmark underperformance, the existing negative carryforward is increased by the amount calculated from this new benchmark underperformance. When calculating the fee entitlement, negative carryforwards from the previous five settlement periods are taken into account. The accounting period commences on January 1 and ends on December 31 of a calendar year. The first accounting period starts on January 1, 2015, and ends at December 31, 2015. A negative performance deviation will be taken into account as of this accounting period. The performance-based fee is determined by comparing the performance of the benchmark with that of the net asset value per share in the settlement period. The costs charged to the sub-fund may not be deducted from the performance of the benchmark prior to comparison. In accordance with the result of the daily comparison, any performance-based fee incurred is deferred in the sub-fund. If the performance of the shares during any settlement period falls short of that of the benchmark, any performance-based fee amounts already deferred in that settlement period shall be eliminated in accordance with the daily comparison. The amount of the deferred performance-based fee existing at the end of the settlement period may be withdrawn. The performance-based fee may be withdrawn even if the net asset value per share at the end of the settlement period is less than the net asset value per shares at the beginning of the settlement period (negative absolute performance). MSCI China 10/40 Index is administered by MSCI. MSCI is listed in the official register of benchmark administrators at the European Securities and Markets Authority (ESMA). The Management Company has established robust, written plans in which it has stipulated measures that it would take if the benchmark were to change materially or were no longer to be provided. ** For additional costs, see Article 12 in the general section of the Sales Prospectus.

61 Due to its composition and the techniques applied by its fund management, the sub-fund is subject to markedly increased volatility, which means that the price per share may be subject to substantial downward or upward fluctuation, even within short periods of time. The sub-fund is therefore only suitable for experienced and risk-tolerant investors who are familiar with the opportunities and risks of volatile investments and who are in a position to temporarily bear substantial losses. A medium to long-term investment horizon is recommended for this sub-fund. Investors should be in a position to bear potentially substantial losses. The sub-fund pursues an investment policy focused on opportunities, and is particularly suited for inclusion in a highly diversified investment portfolio.

For the sub-fund with the name DWS Invest Notwithstanding the investment limit of 10% –– units of corporations which hold, directly or Chinese Equities, the following provisions shall specified in Article 2 B. (i) concerning invest- indirectly, units of corporations, that are (i) real apply in addition to the terms contained in the ments in shares of other UCITS and/or other estate companies or (ii) are not real estate general section of the Sales Prospectus. UCIs as defined in Article 2 A. (e), an investment companies, but (a) are domiciled in a member limit of 5% shall apply to this sub-fund. state of the European Union or a member Investment policy state of the European Economic Area and are The objective of the investment policy of The sub-fund will not invest in contingent not subject in said domicile to corporate DWS Invest Chinese Equities is to participate in convertibles. income tax or are exempt from it or (b) are the opportunities presented by the emerging domiciled in a third country and are not sub- country China (including Hong Kong) and to The Management Company currently does not ject in said domicile to corporate income tax achieve sustained capital appreciation that intend to enter into any securities lending or of at least 15% or are exempt from it if the fair exceeds the benchmark for the sub-fund (MSCI (reverse) repurchase transactions or other similar market value of units of such corporations China 10/40 (EUR)). The majority of the sub- over-the counter transactions in respect of the equal more than 10% of the fair market value fund’s securities are expected to be components sub-fund. of those corporations. of the benchmark. The sub-fund management will use its discretion to invest in securities and For the purpose of inducing a partial tax exemp- For the purpose of this investment policy and in sectors that are not included in the benchmark in tion within the meaning of the German Invest- accordance with the definition in the German order to take advantage of specific investment ment Tax Act and in addition to the investment Investment Code (KAGB), an organized market is opportunities. The strategy offers investors broad limits described in the Articles of Incorporation a market which is recognized, open to the public access to the Chinese equity markets. In regard and this Sales Prospectus (equity fund) at least and which functions correctly, unless expressly to the benchmark the sub-fund offers a broader 51% of the sub-fund´s gross assets (determined specified otherwise. Such organized market also risk diversification approach (e.g. by avoiding high as being the value of the sub-fund´s assets meets the criteria of article 50 of the UCITS single stock rates). Due to the characteristic of without taking into account liabilities) are Directive. the Chinese market (e.g. dominated by relatively invested in equities admitted to official trading on few companies), the deviation of the portfolio a stock exchange or admitted to, or included in, The respective risks connected with investments from the benchmark is typically relatively low. another organized market and which are not: in this sub-fund are disclosed in the general Despite the fact that the sub-fund aims to out- section of the Sales Prospectus. perform the benchmark, the potential outper –– units of investment funds; formance might be limited depending on the –– equities indirectly held via partnerships; Integration of sustainability risks prevailing market environment (e.g. less volatile –– units of corporations, associations of persons The sub-fund management integrates sustain- market environment) and actual positioning or estates at least 75% of the gross assets of ability risks into their investment decisions by versus the benchmark. which consist of immovable property in means of Smart Integration. Further information accordance with statutory provisions or their on how sustainability risks are taken into account At least 70% of the sub-fund’s assets are investment conditions, if such corporations, in the investment decisions can be found in the invested in shares, stock certificates, participa- associations of persons or estates are subject general section of the Sales Prospectus. tion and dividend-right certificates, and equity to corporate income tax of at least 15% and warrants of issuers registered in China, or of are not exempt from it or if their distributions Benchmark issuers registered outside China that conduct are subject to tax of at least 15% and the The sub-fund is actively managed and is man- their principal business activity in China. The sub-fund is not exempt from said taxation; aged in reference to one or a combination of securities issued by these companies may be –– units of corporations which are exempt from benchmarks as further detailed in the sub-fund listed on Chinese (including the Shenzhen-Hong corporate income taxation to the extent they specific table. All benchmarks respectively their Kong and Shanghai-Hong Kong Stock Connect) or conduct distributions unless such distributions administrators are registered with the ESMA, other foreign securities exchanges or traded on are subject to taxation at a minimum rate of either in the public register of administrators of other regulated markets in a member country of 15% and the sub-fund is not exempt from said benchmark indices or the public register of third the Organisation for Economic Co-operation and taxation; country benchmarks. Development (OECD) that operate regularly and –– units of corporations the income of which are recognized and open to the public. originates, directly or indirectly, to an extent of The majority of the sub-fund’s securities or their more than 10%, from units of corporations, issuers are expected to be components of the A maximum of 30% of the sub-fund’s assets that are (i) real estate companies or (ii) are not benchmark and the portfolio is expected to have may be invested in shares, stock certificates, real estate companies, but (a) are domiciled in a similar weighting to the benchmark. The sub- convertible bonds and warrant-linked bonds member state of the European Union or a fund management will use its discretion to invest whose underlying warrants are for securities, member state of the European Economic Area in securities and sectors that are not included in participation and dividend-right certificates, and and are not subject in said domicile to corpo- the benchmark in order to take advantage of equity warrants of foreign and domestic issuers rate income tax or are exempt from it or (b) specific investment opportunities. In regard to its that do not satisfy the requirements of the are domiciled in a third country and are not benchmark, the sub-fund positioning can deviate preceding paragraph, as well as in all other subject in said domicile to corporate income to a limited extent (e.g., by a positioning outside permissible assets specified in Article 2 of the tax of at least 15% or are exempt from it; of the benchmark as well as underweighting or general section of the Sales Prospectus. overweighting) and the actual degree of freedom

62 is typically relatively low. Despite the fact that Specific Risks the sub-fund aims to outperform the return of Because the sub-fund is specialized on com- the benchmark, the potential outperformance panies operating in China, it presents might be limited depending on the prevailing increased opportunities, but these opportuni- market environment (e.g. less volatile market ties are countered by equally elevated risks. environment) and actual positioning versus the Chinese exchanges and markets are some- benchmark. times subject to substantial fluctuations. The sub-fund is suitable for risk-tolerant investors Redemption Volume who are familiar with the opportunities and Contrary to the general rule regarding substantial risks of volatile investments. redemptions as described in detail in section 5. F of the general section of the Sales Prospectus, Risk Management the following applies to this sub-fund: The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund. Shareholders may submit for redemption all or part of their shares of all share classes. In addition to the provisions of the general section of the Sales Prospectus, the potential The Management Company is under no obliga- market risk of the sub-fund is measured using a tion to execute redemption requests if any such reference portfolio that does not contain deriva- request pertains to shares valued in excess of tives (“risk benchmark”). 10% of the net asset value of a sub-fund. The Management Company reserves the right, taking Leverage is not expected to exceed twice the into account the principle of equal treatment of value of the investment sub-fund’s assets. The all shareholders, to dispense with minimum leverage effect is calculated using the sum of redemption amounts (if provided for). notional approach (absolute (notional) amount of each derivative position divided by the net pres- Special procedure for redemptions valued in ent value of the portfolio). However, the dis- excess of 10% of the net asset value of a closed expected level of leverage is not intended sub-fund. to be an additional exposure limit for the sub-fund. If redemption requests are received on a valuation date (the “First Valuation Date”) whose Investment in shares of target funds value, individually or together with other In addition to the information in the general requests received, is in excess of 10% of the net section of the Sales Prospectus the following asset value of a sub-fund, the Board of Directors is applicable to this sub-fund: reserves the right, at its own discretion (and taking into consideration the interests of the When investing in target funds associated to the remaining shareholders), to reduce the number sub-fund, the part of the management fee of shares of every individual redemption request attributable to shares of these target funds is on a pro-rata basis for this First Valuation Date, reduced by the management fee/all-in fee of the so that the value of the shares redeemed or acquired target funds, and as the case may be, exchanged on this First Valuation Date does not up to the full amount (difference method). exceed 10% of the net asset value of the respective sub-fund. If as a result of the exercise of the right to effect a pro-rata reduction on this First Valuation Date, a redemption request is not executed in full, such request must be treated with respect of the unexecuted portion as though the shareholder submitted a further redemption request for the next valuation date, and if necessary, for the at most seven subsequent valuation dates as well. Requests received for the First Valuation Date are processed on a priority basis over any subsequent requests that are received for redemption on the subsequent valuation dates. Subject to this reservation, however, redemption requests received at a later time are processed as specified in the preceding sentence.

Based on these preconditions, exchange requests are treated like redemption requests.

The Management Company has the right to carry out substantial redemptions only once the corresponding assets of the sub-fund have been sold without delay.

63 DWS Invest Conservative Opportunities

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio iBoxx EUR Overall Total Return in EUR (70%) and MSCI AC WORLD INDEX Constituents in EUR (30%) (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg. A bank business day is any day on which banks are open for business and payments are processed in Luxembourg. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time (CET) on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time (CET) are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest dividend-right certificates, in money market Notwithstanding Article 2 B. (i), the following Conservative Opportunities, the following provi- instruments and cash. applies: sions shall apply in addition to the terms contained in the general section of the Sales Prospectus. Depending on the targeted volatility, the portfolio The sub-fund’s assets may be used to acquire manager will weight such asset classes in the shares of UCITS and/or other UCI as defined in Investment policy portfolio of the sub-fund and, if necessary, may Article 2 A. (e), provided that no more than 20% The objective of the investment policy of the fully invest the sub-fund’s assets in one of these of the sub-fund’s assets are invested in one and sub-fund DWS Invest Conservative Opportunities categories. the same UCITS and/or UCIs. is to achieve an above-average return. At least 25% of the sub-fund‘s assets will be Every sub-fund of an umbrella fund is to be The sub-fund is actively managed and is not invested in investment funds such as equity, regarded as an independent issuer, provided that managed in reference to a benchmark. balanced, bond and money market funds. the principle of individual liability per sub-fund is applicable in terms of liability to third parties. The sub-fund combines eligible investment Equity investments may also be made through vehicles from different asset classes in order to Global Depository Receipts (GDRs) listed on Investments in shares of other UCI other than achieve a defensive risk-reward investment recognized exchanges and markets, through UCITS must not exceed 30% of the sub-fund’s profile and targets an annualized volatility American Depository Receipts (ADRs) issued by net assets in total. between 2% and 5% over a rolling 5-year period. top-rated international financial institutions or, to However, it cannot be guaranteed that the the extent permitted by the Grand Ducal Regula- In the case of investments in shares of another volatility range will be met at any time. tion of February 8, 2008 and Article 41 (1) of the UCITS and/or other UCIs, the investments held Law of 2010. In case that a derivative is embedded by that UCITS and/or by other UCIs are not taken The sub-fund may invest in equities, in interest- into the depository receipt, such derivative com- into consideration for the purposes of the limits bearing securities, in certificates on, for example, plies with the provisions as set out in Article 41 (1) specified in Article 2 B. (a), (b), (c), (d), (e) and (f). equities, bonds and indices, in investment funds, of the Law of 2010 and Articles 2 and 10 of the in derivatives, in convertible and warrant-linked Grand-Ducal Regulation of February 8, 2008. The sub-fund will not invest in ABS or MBS bonds whose warrants relate to securities, securities. in warrants on securities, in participation and

64 When using financial indices, legal provisions Risk Management apply as set out in Article 44 (1) of the Law of The relative Value-at-Risk (VaR) approach is used 2010, and Article 9 of the Grand-Ducal Regulation to limit market risk in the sub-fund. of February 8, 2008. In addition to the provisions of the general section In compliance with the investment limits specified of the Sales Prospectus, the potential market risk in Article 2 B. of the general section of the Sales of the sub-fund is measured using a reference Prospectus, the investment policy may also be portfolio that does not contain derivatives implemented through the use of suitable derivative (“risk benchmark”). financial instruments. These derivative financial instruments may include, among others, options, Contrary to the provision of the general section of forwards, futures, futures contracts on financial the Sales Prospectus, because of the investment instruments and options on such contracts, as well strategy of the sub-fund it is expected that the as privately negotiated OTC contracts on any type leverage effect from the use of derivatives will not of financial instrument, including swaps, forward- be any higher than five times the sub-fund assets. starting swaps, inflation swaps, swaptions, con- The leverage effect is calculated using the sum of stant maturity swaps and credit default swaps. notional approach (absolute (notional) amount of each derivative position divided by the net present The sub-fund also intends from time to time to value of the portfolio). However, the disclosed utilize the developments on the international expected level of leverage is not intended to be an natural resources and commodity markets up to additional exposure limit for the sub-fund. 10% of the sub-fund’s assets. For this purpose and within this 10% limit, the sub-fund may Investment in shares of target funds acquire derivative financial instruments whose In addition to the information in the general underlying instruments are commodity indices section of the Sales Prospectus the following and sub-indices in accordance with the 2008 is applicable to this sub-fund: Regulation, equities, interest-bearing securities, convertible bonds, convertible debentures and When investing in target funds associated to the warrant-linked bonds, index certificates, partici- sub-fund, the part of the management fee pation and dividend-right certificates and equity attributable to shares of these target funds is warrants, as well as 1:1 certificates (including reduced by the management fee/all-in fee of the Exchange Traded Commodities (ETCs)) the acquired target funds, and as the case may be, underlying of which are single commodities/ up to the full amount (difference method). precious metals and that meet the requirements of transferable securities as determined in A. a).

The sub-fund does not invest into futures on soft commodities, e.g. cotton, sugar, rice and wheat as well as all manner of livestock.

The sub-fund will not invest in contingent convertibles.

The sub-fund intends to use securities financing transactions under the conditions and to the extent further described in the general part of the Sales Prospectus.

In addition, the sub-fund‘s assets may be invested in all other permissible assets as specified in Article 2 of the general section of the Sales Prospectus.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

Integration of sustainability risks The sub-fund management integrates sustainability risks into their investment decisions by means of Smart Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

65 DWS Invest Convertibles

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio Citi – EuroBIG Corporate Index-A sector (25%), Citi – WorldBIG Corporate A in EUR (25%), (risk benchmark) MSCI THE WORLD INDEX in EUR (25%) and STOXX 50 (25%) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg. Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* FC EUR 0% up to 0.65% 0% 0.05% January 12, 2004 LC EUR up to 3% up to 1.2% 0% 0.05% January 12, 2004 LD EUR up to 3% up to 1.2% 0% 0.05% January 12, 2004 NC EUR up to 1.5% up to 1.5% 0.1% 0.05% January 12, 2004 USD LCH USD up to 5% up to 1.2% 0% 0.05% November 20, 2006 USD FCH USD 0% up to 0.65% 0% 0.05% November 20, 2006 GBP DH RD GBP 0% up to 0.65% 0% 0.05% March 23, 2009 CHF FCH CHF 0% up to 0.65% 0% 0.05% September 8, 2011 FC (CE) EUR 0% up to 0.65% 0% 0.05% April 10, 2012 FD EUR 0% up to 0.65% 0% 0.05% December 13, 2013 CHF LCH CHF up to 3% up to 1.2% 0% 0.05% March 24, 2014 PFC EUR 0% up to 0.8% 0% 0.05% May 26, 2014 LC (CE) EUR up to 3% up to 1.2% 0% 0.05% June 4, 2014 SEK FCH SEK 0% up to 0.65% 0% 0.05% September 30, 2015 SEK LCH SEK up to 3% up to 1.2% 0% 0.05% September 30, 2015 RC (CE) EUR 0% up to 0.65% 0% 0.01% September 15, 2016 TFC EUR 0% up to 0.65% 0% 0.05% December 5, 2017 TFD EUR 0% up to 0.65% 0% 0.05% December 5, 2017 USD TFCH USD 0% up to 0.65% 0% 0.05% December 5, 2017

Dilution adjustment PFC: (payable by the shareholder)** A dilution adjustment of up to 3% based on the gross redemption amount may be charged. Please see the general section for further explanation. Placement fee PFC: (payable from the sub-fund’s assets) Up to 3% for the benefit of the distributor. Please see the general section for further explanation.

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

66 For the sub-fund with the name DWS Invest 35% of the net value of the assets of the sub-fund Integration of sustainability risks Convertibles, the following provisions shall apply may be invested in derivatives that constitute long The sub-fund management integrates sustain- in addition to the terms contained in the general positions and do not have corresponding cover- ability risks into their investment decisions by section of the Sales Prospectus. age. The sub-fund manager aims to hedge any means of Smart Integration. Further information currency risk versus the euro in the portfolio. on how sustainability risks are taken into account Investment policy in the investment decisions can be found in the The objective of the investment policy of The sub-fund may use, particularly in accordance general section of the Sales Prospectus. DWS Invest Convertibles is to generate an with the investment limits stated in Article 2 B. above-average return for the sub-fund in Euros. of the general section of the Sales Prospectus, Risk Management However, no assurance can be given that the derivatives to optimize the investment objective. The relative Value-at-Risk (VaR) approach is used investment objective will be achieved. to limit market risk in the sub-fund. The derivatives may only be used in compliance The sub-fund is actively managed and is not with the investment policy and the investment In addition to the provisions of the general section managed in reference to a benchmark. objective of DWS Invest Convertibles. The perfor- of the Sales Prospectus, the potential market risk mance of the sub-fund is therefore besides other of the sub-fund is measured using a reference At least 70% of the sub-fund’s assets shall be factors depending on the respective proportion portfolio that does not contain derivatives invested in convertible bonds, warrant-linked of derivatives, e.g. swaps in the sub-fund’s total (“risk benchmark”). bonds and similar convertible instruments of assets. national and international issuers. Contrary to the provision of the general section To implement the investment policy and achieve of the Sales Prospectus, because of the invest- Up to 30% of the sub-fund’s assets may be the investment objective it is anticipated that the ment strategy of the sub-fund it is expected that invested in fixed-interest and variable-interest derivatives, such as swaps, will be entered with the leverage effect from the use of derivatives securities excluding conversion rights and in at least BBB3 (Moody’s) /BBB- (S&P, Fitch) rated will not be any higher than five times the sub- equities, equity warrants and participation certifi- financial institutions specializing in such trans fund assets. The leverage effect is calculated cates, with the aggregate percentage of equities, actions. Such OTC-agreements are standardized using the sum of notional approach (absolute equity warrants and participation certificates not agreements. (notional) amount of each derivative position to exceed 10%. In conjunction with the manage- divided by the net present value of the portfolio). ment of credit risks linked with the sub-fund, the In conjunction with the OTC transactions, it is The disclosed expected level of leverage is not sub-fund may also use credit derivatives such as important to note the associated counterparty intended to be an additional exposure limit for default swaps (CDS). Such instruments may be risk. The sub-fund’s counterparty risk resulting the sub-fund. used both for transferring credit risks to a coun- from the use of portfolio total return swaps will terparty and for accepting additional credit risks. be fully collateralized. The use of swaps may Investment in shares of target funds furthermore entail specific risks that are In addition to the information in the general A maximum of 20% of the sub-fund´s assets explained in the general risk warnings. section of the Sales Prospectus the following may be invested in securities such as A-Shares, is applicable to this sub-fund: B-Shares, bonds and other securities listed and The sub-fund can be invested in total or in parts traded in Mainland China. in one or several OTC-transactions negotiated When investing in target funds associated to the with a counterparty under customary market sub-fund, the part of the management fee In addition, the sub-fund may invest in all other conditions. Therefore, the sub-fund can be attributable to shares of these target funds is permissible assets as specified in Article 2 of the invested in total or in parts in one or several reduced by the management fee/all-in fee of the general section of the Sales Prospectus. transactions. acquired target funds, and as the case may be, up to the full amount (difference method). Besides various types of fixed interest payment, Notwithstanding the investment limit of 10% convertible bonds vest in the holder the right to specified in Article 2 B. (i) concerning investments convert these securities into shares in the com- in shares of other UCITS and/or other UCIs as pany concerned. Bonds with warrants can simul- defined in Article 2 A. (e), an investment limit of taneously vest in the holder the right to interest 5% shall apply to this sub-fund. payments and repayment and the right to acquire shares, i.e., the shares can be acquired in addi- The sub-fund will not invest in contingent tion to the bond by exercising the option. Con- convertibles. vertible preference shares regularly include the right or obligation to convert the preference The sub-fund intends to use securities financing shares into ordinary shares at a later date. The transactions under the conditions and to the respective price of these securities depends extent further described in the general part of the both on the assessment of the share price and Sales Prospectus. on changes in interest rates. The following investment restriction applies to the Notwithstanding the investment limit specified in sub-fund due to a possible registration in Korea: Article 2 B. (n) concerning the use of derivatives, The sub-fund must invest more than 70% of the the following investment restrictions shall apply net assets in non-Korean Won-denominated with regard to the investment restrictions currently assets. applicable in individual distribution countries. The respective risks connected with investments Derivatives that constitute short positions must in this sub-fund are disclosed in the general have adequate coverage at all times and may be section of the Sales Prospectus. used exclusively for hedging purposes. Hedging is limited to 100% of the underlying instrument covering the derivative. Conversely, no more than

67 DWS Invest Corporate Hybrid Bonds

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio – (absolute VaR) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest The sub-fund is actively managed and is not At least 50% of the sub-fund’s assets shall be Corporate Hybrid Bonds, the following provisions managed in reference to a benchmark. invested globally in hybrid bonds issued by shall apply in addition to the terms contained in corporate issuers. the general section of the Sales Prospectus. The sub-fund may invest globally in interest- bearing securities, in convertible bonds, in Hybrid bonds are bonds, which due to their Investment policy warrant-linked bonds whose underlying warrants structure have both debt and equity capital The objective of the investment policy of relate to securities, in participation and dividend- characteristics. Equity-like features can include DWS Invest Corporate Hybrid Bonds is to gener- right certificates, in derivatives as well as in loss participations and profit-linked interest ate an above-average return for the sub-fund. money market instruments and liquid assets. payments.

68 Debt-like features can include a fixed maturity The proportion of the sub-fund’s net assets date or call dates fixed on issue, which are subject to total return swaps, expressed as the frequently associated with hybrid bonds. sum of notionals of the total return swaps divided by the sub-fund’s net asset value, is Hybrid bonds also encompass subordinated bonds expected to reach up to 50%, but depending on (Tier 1 and Tier 2 bonds), dividend-right certifi- the respective market conditions, with the cates, convertible and warrant-linked bonds as objective of efficient portfolio management and well as insurance company subordinated bonds. in the interest of the investors, it may reach up to 100%. The calculation is performed in line with Up to 49% of the sub-fund’s assets may be the guidelines CESR/10-788. However, the invested in interest-bearing debt securities that disclosed expected level of leverage is not do not meet the above mentioned criteria as well intended to be an additional exposure limit as money market instruments and liquid assets. for the sub-fund.

Up to 100% of the sub-fund’s assets may be Additional information on total return swaps invested in subordinated bonds. may be found in the general section of the Sales Prospectus, amongst others, in the section Up to 10% of the sub-fund’s assets may be “Efficient portfolio management techniques”. invested in equities (via exercising conversion The selection of counterparties to any total rights), including convertible preference shares, return swap is subject to the principles as perpetual preferred stock and perpetual preferred described in the section “Choice of counter- securities. party” of the Sales Prospectus. Further infor mation on the counterparties is disclosed in the The sub-fund manager aims to hedge any annual report. For special risk considerations currency risk versus the euro in the portfolio. linked to total return swaps, investors should refer to the section “General Risk Warnings”, and The sub-fund will not invest in ABS or MBS in particular the section “Risks connected to securities. derivative transactions” of the Sales Prospectus.

Derivatives may be used for hedging and invest- The respective risks connected with investments ment purposes. in this sub-fund are disclosed in the general section of the Sales Prospectus. In compliance with the investment limits specified in Article 2 B. of the general section of the Sales Integration of sustainability risks Prospectus, the investment policy may also be The sub-fund management integrates sustain- implemented through the use of suitable derivative ability risks into their investment decisions by financial instruments. These derivative financial means of Smart Integration. Further information instruments may include, among others, options, on how sustainability risks are taken into account forwards, futures, futures contracts on financial in the investment decisions can be found in the instruments and options on such contracts, as well general section of the Sales Prospectus. as privately negotiated OTC contracts on any type of financial instrument, including swaps, forward- Risk Management starting swaps, inflation swaps, total return swaps, The absolute Value-at-Risk (VaR) approach is used excess return swaps, swaptions, constant maturity to limit market risk in the sub-fund. swaps and credit default swaps. Leverage is not expected to exceed twice the The sub-fund will not invest in contingent value of the investment sub-fund’s assets. The convertibles. leverage effect is calculated using the sum of notional approach (absolute (notional) amount of The sub-fund intends to use securities financing each derivative position divided by the net present transactions under the conditions and to the value of the portfolio). However, the disclosed extent further described in the general part of expected level of leverage is not intended to be an the Sales Prospectus. additional exposure limit for the sub-fund.

In addition, the sub-fund may invest in all other Investment in shares of target funds permissible assets as specified in Article 2 of the In addition to the information in the general general section of the Sales Prospectus, includ- section of the Sales Prospectus the following ing the assets mentioned in Article 2 A. (j). is applicable to this sub-fund:

The respective risks connected with investments When investing in target funds associated to the in this sub-fund are disclosed in the general sub-fund, the part of the management fee section of the Sales Prospectus. attributable to shares of these target funds is reduced by the management fee/all-in fee of the Additional information acquired target funds, and as the case may be, When using total return swaps to implement the up to the full amount (difference method). investment strategy as described above, the following shall be noted:

69 DWS Invest Credit Opportunities

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio (absolute VaR) (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest The sub-fund’s investments in the above- options, forwards, futures, futures contracts on Credit Opportunities, the following provisions shall mentioned assets may account for up to 100% financial instruments and options on such con- apply in addition to the terms contained in the of the sub-fund’s assets each. Furthermore, tracts, as well as privately negotiated OTC general section of the Sales Prospectus. equity-linked derivatives may be used to achieve contracts on any type of financial instrument, the sub-fund’s objective. At least 90% of the including swaps, forward-starting swaps, infla- Investment policy sub-fund’s assets have a rating of B or higher. tion swaps, total return swaps, excess return The objective of the investment policy of Not more than 10% may have a rating of CCC+, swaps, swaptions, constant maturity swaps and DWS Invest Credit Opportunities is to generate CCC or CCC- or the equivalent rating of a differ- credit default swaps. an above-average return for the sub-fund. ent rating agency. In the due course of a re-structuring of fixed The sub-fund is actively managed and is not Derivatives may be used for hedging and invest- income instruments held by the sub-fund, the managed in reference to a benchmark. ment purposes. sub-fund manager may also invest up to a maximum of 10% of the sub-fund’s assets into listed The sub-fund’s assets may be invested globally The sub-fund’s investments in asset-backed or non-listed equities. Furthermore, the sub-fund in the following instruments: securities shall be limited to 20% of the sub- manager may also participate in capital increases fund’s net asset value. The term “assetbacked or other corporate actions (e.g. for convertible –– interest-bearing debt securities issued by securities” is always used in the extended bonds or warrant linked bonds) that are part of a sovereign institutions (central banks, govern- sense, i.e., including mortgage backed securities re-structuring or take place after a re-structuring. ment agencies, government authorities and and collateralized debt obligations. supra-national institutions) from developed The sub-fund’s investments in contingent countries or Emerging Markets; At least 95% of the sub-fund’s assets will be convertibles shall be limited to 10% of the –– corporate bonds issued by companies from in EUR or hedged into EUR. sub-fund’s net asset value. developed countries or Emerging Markets that may or may not offer an investment-grade In compliance with the investment limits speci- The sub-fund intends to use securities financing status at the time of acquisition; fied in Article 2 B. of the general section of the transactions under the conditions and to the –– covered bonds; Sales Prospectus, the investment policy may extent further described in the general part of –– convertible bonds; also be implemented through the use of suitable the Sales Prospectus. –– contingent convertibles; derivative financial instruments. These derivative –– subordinated bonds. financial instruments may include, among others,

70 In addition, the sub-fund’s assets may be Additional information on total return swaps may invested in all other permissible assets specified be found in the general section of the Sales in Article 2, including the assets mentioned in Prospectus, amongst others, in the section Article 2 A. (j) of the general part of the Sales “Efficient portfolio management techniques”. The Prospectus. selection of counterparties to any total return swap is subject to the principles as described in Asset-backed securities are interest-bearing debt the section “Choice of counterparty” of the securities backed by a range of receivables and/ Sales Prospectus. Further information on the or securities, including in particular securitized counterparties is disclosed in the annual report. credit card receivables, private and commercial For special risk considerations linked to total mortgage receivables, consumer loans, vehicle return swaps, investors should refer to the leasing receivables, small business loans, mort- section “General Risk Warnings”, and in particular gage bonds, collateralized loan obligations and the section “Risks connected to derivative collateralized bond obligations. transactions” of the Sales Prospectus.

The term “asset-backed securities” is always Risk Management used in the extended sense, i.e., including The absolute Value-at-Risk (VaR) approach is used mortgage backed securities and collateralized to limit market risk in the sub-fund. debt obligations. Contrary to the provision of the general section The respective risks connected with investments of the Sales Prospectus, because of the invest- in this sub-fund are disclosed in the general ment strategy of the sub-fund, it is expected section of the Sales Prospectus. that the leverage effect from the use of derivatives will not be any higher than five times the Integration of sustainability risks sub-fund’s assets. The leverage effect is calcu- The sub-fund management integrates sustain- lated using the sum of notional approach (abso- ability risks into their investment decisions by lute (notional) amount of each derivative position means of Smart Integration. Further information divided by the net present value of the portfolio). on how sustainability risks are taken into account The disclosed expected level of leverage is not in the investment decisions can be found in the intended to be an additional exposure limit for general section of the Sales Prospectus. the sub-fund.

Risk Disclaimer Investment in shares of target funds The sub-fund may invest in different types of In addition to the information in the general asset-backed securities. Among others, invest- section of the Sales Prospectus the following is ments may also include securities that may applicable to this sub-fund: become subject to strong market volatility, such as collateralized debt obligations and collateral- When investing in target funds associated to ized loan obligations. In some cases, these the sub-fund, the part of the management fee securities may be very illiquid during periods of attributable to shares of these target funds is market uncertainty and may be sold only at a reduced by the management fee/all-in fee of the discount. Individual securities may, in such acquired target funds, and as the case may be, extreme market phases, suffer a total loss or a up to the full amount (difference method). significant decrease in value. High losses of value at the level of the sub-fund can therefore not be excluded.

Additional information When using total return swaps to implement the investment strategy as described above, the following shall be noted:

The proportion of the sub-fund’s net assets subject to total return swaps, expressed as the sum of notionals of the total return swaps divided by the sub-fund’s net asset value, is expected to reach up to 100%, but depending on the respective market conditions, with the objective of efficient portfolio management and in the interest of the investors, it may reach up to 200%. The calculation is performed in line with the guidelines CESR/10-788. However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

71 DWS Invest CROCI Euro

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark EURO STOXX 50 Net Return EUR, administered by STOXX Ldt. Reference portfolio EURO STOXX 50 Net Return EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt, that is also an exchange trading day on London Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest Eurozone equities by market capitalisation for replacement share. Consequently, in some CROCI Euro, the following provisions shall apply in which CROCI Economic P/Es are calculated. cases, a share may not be added during a sub- addition to the terms contained in the general Companies in the Financial and Real Estate fund re-composition despite having one of the section of the Sales Prospectus. sectors are not eligible for selection. In addition, thirty lowest CROCI Economic P/Es among stocks with low liquidity may be excluded from shares eligible for selection. Equally, a share may Investment Policy selection. In the event that fewer than thirty remain in the sub-fund despite no longer being The objective of the investment policy of DWS shares have a positive CROCI Economic P/E, amongst the thirty shares with the lowest Invest CROCI Euro is to achieve long term capital only those shares with a positive CROCI Eco- CROCI Economic P/Es. These techniques have appreciation by investing predominantly in large nomic P/E will be investment strategy. The no impact on the investment strategy maintain- cap Eurozone equities that are considered under- investment strategy may also utilise rules-based ing approximately thirty constituents. In addition, valued according to the CROCI methodology and techniques which aim to reduce unnecessary the investment strategy may consider other the CROCI Euro investment strategy. portfolio turnover in order to reduce market factors such as liquidity, transaction costs and, impact and transaction costs. These techniques upon notification to the CROCI Investment and The investment strategy will generally select include, but are not limited to, limiting the Valuation Group, market events in respect of the shares of approximately thirty issuers with the replacement of an existing share from the invest- eligible shares. The sub-fund manager may lowest positive CROCI Economic Price Earnings ment strategy during re-compositions to circum- consider risk limits when determining the imple- Ratio (“CROCI Economic P/E”) from a universe stances when the CROCI Economic P/E is mentation of the investment strategy into the comprising approximately 100 of the largest sufficiently higher than that of the proposed sub-fund.

72 The sub-fund’s assets are periodically reconsti- –– units of corporations the income of which CROCI Economic P/E, which is a proprietary tuted in accordance with the investment strate- originates, directly or indirectly, to an extent of measure of company valuation using the same gy’s rules (re-selecting the approximately thirty more than 10%, from units of corporations, relationships between valuation and return as an shares that the sub-fund will invest in) with the that are (i) real estate companies or (ii) are not accounting P/E ratio (i.e. price/book value divided intention that each constituent share is equally real estate companies, but (a) are domiciled in by return on equity). weighted. However, in order to minimise impacts member state of the European Union or a on performance when trading the sub-fund’s member state of the European Economic Area However, the CROCI Economic P/E substitutes assets, the sub-fund manager may take neces- and are not subject in said domicile to corpo- alternative calculation inputs as follows: sary steps to reduce the costs related to trading rate income tax or are exempt from it or (b) and market impact, including effecting the are domiciled in a third country and are not (i) Instead of price (market capitalisation), the re-composition in stages over a period of time. subject in said domicile to corporate income CROCI Enterprise Value is used as the eco- Consequently, the sub-fund may at certain times tax of at least 15% or are exempt from it; nomic measure of the market value of a hold more or less than thirty different shares and –– units of corporations which hold, directly or company. It includes not only financial liabili- may not therefore be equally weighted at all indirectly, units of corporations, that are (i) real ties (e.g. debts) but also operational liabilities times. The sub-fund operates on a total return estate companies or (ii) are not real estate (e.g. warranties, pension underfunding, lease basis, re-investing dividends received in the companies, but (a) are domiciled in a member obligations and specific provisions). purchase of additional shares. state of the European Union or a member (ii) Instead of book value, the CROCI Net Capital state of the European Economic Area and are Invested is used as the economic measure of Further information on the investment strategy not subject in said domicile to corporate the book value of a company. This is an and the CROCI methodology can be found on income tax or are exempt from it or (b) are assessment of the inflation-adjusted value of the website of the CROCI Investment and domiciled in a third country and are not sub- net assets. Valuation Group www.dws.com/croci. ject in said domicile to corporate income tax (iii) Instead of return on equity, the Cash Return of at least 15% or are exempt from it if the fair on Capital Invested or ‘CROCI’ is used as the In compliance with Article 2 B. of the general market value of units of such corporations economic measure of return on equity. It is a section of the Sales Prospectus, the sub-fund equal more than 10% of the fair market value measure of the cash earnings yield (or cash may use derivative techniques to implement the of those corporations. return) and is standardised for all companies, investment objective, including in particular – but regardless of their sector or geographic not limited to – forwards, futures,single-stock For the purpose of this investment policy and in location. futures, options or equity swaps. accordance with the definition in the German Investment Code (KAGB), an organized market is CROCI Strategies The sub-fund will not invest in contingent a market which is recognized, open to the public The CROCI strategies (each a “Strategy” and convertibles. and which functions correctly, unless expressly together the “Strategies”) are devised by the specified otherwise. Such organized market also CROCI Investment and Valuation Group, which is The sub-fund intends to use securities financing meets the criteria of article 50 of the UCITS part of DWS Investments UK Limited (“CROCI”), transactions under the conditions and to the Directive. and have been licensed for use by DWS Invest. extent further described in the general part of CROCI is a registered trademark of DWS. The the Sales Prospectus. The respective risks connected with investments CROCI sub-funds in the DWS Invest SICAV (the in this sub-fund are disclosed in the general “Sub-Funds”) are not sponsored or sold by DWS For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. CROCI and DWS CROCI has no obligation or tion within the meaning of the German Invest- liability in connection with the administration, ment Tax Act and in addition to the investment Integration of sustainability risks marketing or trading of the Sub-Funds. No repre- limits described in the Articles of Incorporation The sub-fund management integrates sustain- sentation, warranty or condition, express or and this Sales Prospectus (equity fund) at least ability risks into their investment decisions by implied, is given or assumed by DWS CROCI 51% of the sub-fund´s gross assets (determined means of Smart Integration. Further information with respect to any Sub-Fund and DWS CROCI as being the value of the sub-fund´s assets on how sustainability risks are taken into account shall have no liability or responsibility whatsoever without taking into account liabilities) are in the investment decisions can be found in the to any party for any loss or charges arising in invested in equities admitted to official trading on general section of the Sales Prospectus. connection with any Sub-Fund. DWS CROCI has a stock exchange or admitted to, or included in, no obligation to take the needs of any of its another organized market and which are not: CROCI Methodology licensees or the owners of the Sub-Funds into The CROCI (Cash Return On Capital Invested) consideration in determining or composing the –– units of investment funds; methodology is based on the belief that the data Strategies. –– equities indirectly held via partnerships; used in traditional valuations (i.e. accounting –– units of corporations, associations of persons data) does not accurately appraise assets, reflect DWS CROCI does not undertake any discretion- or estates at least 75% of the gross assets of all liabilities or represent the real value of a ary or non-discretionary asset management and which consist of immovable property in company. This is because accounting rules are does not make any suggestions or recommen- accordance with statutory provisions or their not always designed specifically for investors and dations (including, without limitation, any invest- investment conditions, if such corporations, often utilise widely differing standards which can ment recommendations), whether express or associations of persons or estates are subject make measuring the real asset value of compa- implied, in relation to any financial instruments, to corporate income tax of at least 15% and nies difficult. For example, it is difficult to com- issuers, Sub-Funds or the Strategies and does are not exempt from it or if their distributions pare the price-to-earnings or “P/E” Ratio of a car not express any opinions in relation to the are subject to tax of at least 15% and the manufacturing stock to that of a technology stock present or future value or price of financial sub-fund is not exempt from said taxation; and equally difficult to compare a Japanese instruments. Inclusion of a financial instrument –– units of corporations which are exempt from Utility to a U.S. Utility. The CROCI methodology in a Strategy is not a recommendation by corporate income taxation to the extent they seeks to generate data that will enable valuation CROCI to buy, sell or hold such security, nor conduct distributions unless such distributions comparisons on a consistent basis, resulting in shall it be considered investment advice or a are subject to taxation at a minimum rate of an effective and efficient stock selection process recommendation in any manner or form. 15% and the sub-fund is not exempt from said targeting investment in real value. The invest- taxation; ment strategy will primarily make use of the

73 DWS CROCI provides no representation, guaran- Investment in shares of target funds tee or warranty, whether express or implied, as In addition to the information in the general to the accuracy, adequacy, timeliness, complete- section of the Sales Prospectus the following ness or fitness for a particular purpose of the is applicable to this sub-fund: Strategies, any data or information related thereto nor as to the results obtained by any of When investing in target funds associated to the its users. DWS CROCI shall in no way be liable sub-fund, the part of the management fee for any errors, inaccuracies, omissions or delays attributable to shares of these target funds is relating to the Strategies or any related data and reduced by the management fee/all-in fee of the shall have no obligation to update, modify or acquired target funds, and as the case may be, amend any Strategy or any related data in the up to the full amount (difference method). event that it proves inaccurate.

Benchmark The sub-fund is actively managed and is managed in reference to one or a combination of benchmarks as further detailed in the sub-fund specific table. All benchmarks respectively their administrators are registered with the ESMA, either in the public register of administrators of benchmark indices or the public register of third country benchmarks.

The majority of the sub-fund’s securities or their issuers are not necessarily expected to be components of the benchmark and the port folio is not necessarily expected to have a similar weighting to the benchmark. The sub-fund management will use its discretion to invest in securities and sectors that are not included in the benchmark in order to take advantage of specific investment opportunities. In regard to its benchmark, the sub-fund positioning can deviate significantly (e.g., by a positioning outside of the benchmark as well as a significant underweighting or overweighting) and the actual degree of freedom is typically relatively high. A deviation generally reflects the sub-fund manager’s evaluation of the specific market situation, which may lead to a defensive and closer or a more active and wider positioning compared to the benchmark. Despite the fact that the sub-fund aims to outperform the return of the benchmark, the potential outperformance might be limited depending on the prevailing market environment (e.g. less volatile market environment) and actual positioning versus the benchmark.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

In addition to the provisions of the general section of the Sales Prospectus, the potential market risk of the sub-fund is measured using a reference portfolio that does not contain derivatives (“risk benchmark”).

Leverage is not expected to exceed twice the value of the investment sub-fund’s assets. The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net present value of the portfolio). However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

74 DWS Invest CROCI Europe SDG

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark - Reference portfolio MSCI Europe Net Return EUR Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt, that is also an exchange trading day on the London Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest and economic trends and themes which help to objectives and to at least one of the UN Sustain- CROCI Europe SDG, the following provisions shall achieve the sustainable development goals of able development goals (‘SDG’). apply in addition to the terms contained in the the UN as part of the Agenda 2030. general section of the Sales Prospectus. The sub-fund management seeks to attain its The sub-fund is actively managed and is not sustainable objective by assessing potential Investment Policy managed in reference to a benchmark. investments via proprietary ESG investment This sub-fund has sustainable investment as its methodology. This methodology incorporates objective and qualifies as product in accordance The outcome of following the rules-based and investment standards according to an ESG with article 9 of Regulation (EU) 2019/2088 on systematic investment strategy will be a concen- database, which uses data from multiple leading sustainability‐related disclosures in the financial trated portfolio derived by selecting shares based ESG data providers as well as internal and public services sector. on CROCI metrics including, but not limited to, sources to derive proprietary combined scores low positive CROCI Economic Price Earnings for various environmental and social objectives. The objective of the investment policy of DWS Ratio (“CROCI Economic P/E”). Eligible shares The methodology assigns one of six possible Invest CROCI Europe SDG is to achieve long are selected from a universe comprising the proprietary scores to each possible issuer. These term capital appreciation by investing in predomi- predominantly largest European companies by scores encompass assessments for (i) contro nantly large cap, European equities that are market capitalisation for which CROCI Economic versial sectors (which include coal, tobacco, considered undervalued according to the CROCI P/Es are calculated. defence industry, pornography, gambling and methodology and the CROCI Europe SDG invest- nuclear power), (ii) involvement in controversial ment strategy, and that are considered by the The sub-fund management invests at least 80% weapons (nuclear weapons, depleted uranium, DWS Sustainability Office to be in a position to of the sub-fund’s assets in economic activities cluster munitions and anti-personnel mines) or profit from present or future geopolitical, social that contribute to environmental and/or social (iii) violation of internationally accepted norms,

75 but also allow for an active issuer selection –– Workplace health and safety; in stages over a period of time. The sub-fund based on categories such as climate and transi- –– Fair workplace and appropriate remuneration. operates on a total return basis, re-investing tion risk, norm compliance or best in class ESG dividends received in the purchase of additional evaluations in respect to the above-mentioned Corporate Governance shares and may consider risk limits when deter- environmental and/or social objectives. The mining the implementation of the investment methodology assigns one of six possible propri- –– Global Governance Principles by the Inter strategy into the sub-fund. etary scores to each possible issuer based on a national Corporate Governance Network; letter scoring from A to F, whereby issuers with –– Global Compact Anti-Corruption Principles. Further information on the investment strategy A and B scores are considered as leading in their and the CROCI methodology can be found on categories and issuers with C scores are consid- UN Sustainable Development Goals the website of the CROCI Investment and ered as within the upper midfield of their cate- Valuation Group www.dws.com/croci. gory. These letter scores can originate from –– Climate Change revenues generated from controversial sectors –– Water Scarcity In compliance with Article 2 B. of the general or the degree of involvement in controversial –– Waste Management section of the Sales Prospectus, the sub-fund weapons, the degree of severity that an issuer –– Food Availability may use derivative techniques to implement the may be involved in the violation of international –– Health & Wellness investment objective, including in particular – but norms, the assessment on climate and transition –– Improving Lives and Demographics not limited to – forwards, futures, single-stock risk, which is based on for example carbon futures, options or equity swaps. intensity or the risk of stranded assets, or from At least 90% of the sub-fund`s portfolio holdings best in class ESG evaluations. will be screened according to non-financial The sub-fund will not invest in contingent criteria available via the ESG database. convertibles. The SDG contribution of an issuer will be measured by dedicated SDG scores, which are More information about the functioning of the The sub-fund intends to use securities financing the result of a double-layered algorithm in the ESG investment methodology, its integration in transactions under the conditions and to the ESG investment methodology. In the first layer, the investment process, the selection criteria as extent further described in the general part of issuers are identified and scored by the reve- well as our ESG related policies can be found on the Sales Prospectus. nues they generate that can be linked to the our website www.dws.com/solutions/esg. SDGs (positive contribution) and where those For the purpose of inducing a partial tax exemp- revenues by comparison measures exceed the In addition, an engagement activity can be tion within the meaning of the German Invest- corresponding measures of other issuers. The initiated with the individual issuers regarding ment Tax Act and in addition to the investment second layer confirms the ESG quality of such matters such as strategy, financial and non-finan- limits described in the Articles of Incorporation issuers in respect to defined minimum stan- cial performance, risk, capital structure, social and this Sales Prospectus (equity fund) at least dards in respect to environmental, social and and environmental impact as well as corporate 51% of the sub-fund´s gross assets (determined corporate governance factors. Further, next to governance including topics like disclosure, as being the value of the sub-fund´s assets their SDG contribution issuers will be assessed culture and remuneration. The dialogue can be without taking into account liabilities) are to ensure that they do not obstruct the SDG exercised by, for example, proxy voting, company invested in equities admitted to official trading on objective (with negative total net SDG meetings or engagement letters. a stock exchange or admitted to, or included in, contribution). another organized market and which are not: Portfolio optimization techniques may be utilised The sub-fund manager considers in its asset by the investment strategy in analysing the risk –– units of investment funds; allocation the resulting scores from the ESG profile of eligible shares (in absolute terms or –– equities indirectly held via partnerships; database. At least 80% of the sub-fund’s assets relative to a benchmark) and in determining the –– units of corporations, associations of persons are invested in issuers that are classified in the final investment strategy constituents and or estates at least 75% of the gross assets of highest three scores (scores A-C) of the propri- weights. The investment strategy may also utilise which consist of immovable property in etary SDG score from the application of the ESG techniques and consider factors which aim to accordance with statutory provisions or their investment methodology. reduce unnecessary portfolio turnover in order to investment conditions, if such corporations, reduce market impact and transaction costs. associations of persons or estates are subject The ESG and SDG performance of an issuer is These techniques include, but are not limited to, to corporate income tax of at least 15% and evaluated independently from financial success limiting the replacement of an existing share are not exempt from it or if their distributions based on a variety of factors. These factors from the sub-fund during re-compositions to are subject to tax of at least 15% and the include, for example, the following fields of circumstances when the CROCI Economic P/E sub-fund is not exempt from said taxation; interest: is sufficiently higher than that of the proposed –– units of corporations which are exempt from replacement share. In addition, the strategy may corporate income taxation to the extent they Environment consider other factors such as liquidity and conduct distributions unless such distributions transaction costs and, upon notification by the are subject to taxation at a minimum rate of –– Conservation of flora and fauna; sub-fund to the CROCI Investment and Valuation 15% and the sub-fund is not exempt from said –– Protection of natural resources, atmosphere Group, market events in respect of the eligible taxation; and inshore waters; shares. The sub-fund manager may consider risk –– units of corporations the income of which –– Limitation of land degradation and limits when determining the implementation of originates, directly or indirectly, to an extent of climate change; the investment strategy into the sub-fund. more than 10%, from units of corporations, –– Avoidance of encroachment on ecosystems that are (i) real estate companies or (ii) are not and loss of biodiversity. The sub-fund’s assets are periodically reconsti- real estate companies, but (a) are domiciled in tuted in accordance with the investment strate- member state of the European Union or a Social gy’s rules. In order to minimise impacts on member state of the European Economic Area performance when trading the sub-fund’s assets, and are not subject in said domicile to corpo- –– General human rights; the sub-fund manager may take necessary steps rate income tax or are exempt from it or (b) –– Prohibition of child labour and forced labour; to reduce the costs related to trading and market –– Imperative Non-discrimination; impact, including effecting the re-composition

76 are domiciled in a third country and are not (ii) Instead of book value, the CROCI Net Capital Integration of sustainability risks subject in said domicile to corporate income Invested is used as the economic measure The sub-fund management integrates sustain- tax of at least 15% or are exempt from it; of the book value of a company. This is an ability risks into their investment decisions by –– units of corporations which hold, directly or assessment of the inflation-adjusted value of means of ESG Integration. Further information on indirectly, units of corporations, that are (i) real net assets. how sustainability risks are taken into account in estate companies or (ii) are not real estate (iii) Instead of return on equity, the Cash Return the investment decisions can be found in the companies, but (a) are domiciled in a member on Capital Invested or ‘CROCI’ is used as the general section of the Sales Prospectus. state of the European Union or a member economic measure of return on equity. It is a state of the European Economic Area and are measure of the cash earnings yield (or cash Risk Management not subject in said domicile to corporate return) and is standardised for all companies, The relative Value-at-Risk (VaR) approach is used income tax or are exempt from it or (b) are regardless of their sector or geographic to limit market risk in the sub-fund. domiciled in a third country and are not sub- location. ject in said domicile to corporate income tax In addition to the provisions of the general section of at least 15% or are exempt from it if the fair CROCI Strategies of the Sales Prospectus, the potential market risk market value of units of such corporations The CROCI strategies (each a “Strategy” and of the sub-fund is measured using a reference equal more than 10% of the fair market value together the “Strategies”) are devised by the portfolio that does not contain derivatives of those corporations. CROCI Investment and Valuation Group, which is (“risk benchmark”). part of DWS Investments UK Limited (“CROCI”), For the purpose of this investment policy and in and have been licensed for use by DWS Invest. Leverage is not expected to exceed twice the accordance with the definition in the German CROCI is a registered trademark of DWS. The value of the investment sub-fund’s assets. The Investment Code (KAGB), an organized market is CROCI sub-funds in the DWS Invest SICAV (the leverage effect is calculated using the sum of a market which is recognized, open to the public “Sub-Funds”) are not sponsored or sold by DWS notional approach (absolute (notional) amount of and which functions correctly, unless expressly CROCI and DWS CROCI has no obligation or each derivative position divided by the net present specified otherwise. Such organized market also liability in connection with the administration, value of the portfolio). However, the disclosed meets the criteria of article 50 of the UCITS marketing or trading of the Sub-Funds. No repre- expected level of leverage is not intended to be an Directive. sentation, warranty or condition, express or additional exposure limit for the sub-fund. implied, is given or assumed by DWS CROCI The respective risks connected with investments with respect to any Sub-Fund and DWS CROCI Investment in shares of target funds in this sub-fund are disclosed in the general shall have no liability or responsibility whatsoever In addition to the information in the general section of the Sales Prospectus. to any party for any loss or charges arising in section of the Sales Prospectus the following connection with any Sub-Fund. DWS CROCI has is applicable to this sub-fund: CROCI Methodology no obligation to take the needs of any of its The CROCI (Cash Return On Capital Invested) licensees or the owners of the Sub-Funds into When investing in target funds associated to the methodology is based on the belief that the data consideration in determining or composing the sub-fund, the part of the management fee used in traditional valuations (i.e. accounting Strategies. attributable to shares of these target funds is data) does not accurately appraise assets, reflect reduced by the management fee/all-in fee of the all liabilities or represent the real value of a DWS CROCI does not undertake any discretion- acquired target funds, and as the case may be, company. This is because accounting rules are ary or non-discretionary asset management and up to the full amount (difference method). not always designed specifically for investors and does not make any suggestions or recommenda- often utilise widely differing standards which can tions (including, without limitation, any invest- make measuring the real asset value of compa- ment recommendations), whether express or nies difficult. For example, it is difficult to com- implied, in relation to any financial instruments, pare the price-to-earnings or “P/E” Ratio of a car issuers, Sub-Funds or the Strategies and does manufacturing stock to that of a technology stock not express any opinions in relation to the, and equally difficult to compare a Japanese present or future value or price of financial Utility to a U.S. Utility. The CROCI methodology instruments. Inclusion of a financial instrument in seeks to generate data that will enable valuation a Strategy is not a recommendation by CROCI to comparisons on a consistent basis, resulting in buy, sell or hold such security, nor shall it be an effective and efficient stock selection process considered investment advice or a recommen targeting investment in real value. The invest- dation in any manner or form. ment strategy will primarily make use of the CROCI Economic P/E which is a proprietary DWS CROCI provides no representation, guaran- measure of company valuation using the same tee or warranty, whether express or implied, as relationships between valuation and return as an to the accuracy, adequacy, timeliness, complete- accounting P/E ratio (i.e. price/book value divided ness or fitness for a particular purpose of the by return on equity). Strategies, any data or information related thereto nor as to the results obtained by any of However, the CROCI Economic P/E substitutes its users. DWS CROCI shall in no way be liable alternative calculation inputs as follows: for any errors, inaccuracies, omissions or delays relating to the Strategies or any related data and (i) Instead of price (market capitalisation), the shall have no obligation to update, modify or CROCI Enterprise Value is used as the eco- amend any Strategy or any related data in the nomic measure of the market value of a event that it proves inaccurate. company. It includes not only financial liabilities (e.g. debts) but also operational liabilities (e.g. warranties, pension underfunding, lease obligations and specific provisions).

77 DWS Invest CROCI Global Dividends

Investor profile Risk-tolerant Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark MSCI World Net Total Return Index, administered by MSCI Limited. Reference portfolio MSCI World Net Total Return Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt, that is also an exchange trading day on the New York Stock Exchange (NYSE) and London Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

78 For the sub-fund with the name DWS Invest The sub-fund’s assets are periodically reconsti- –– units of corporations which are exempt from CROCI Global Dividends, the following provisions tuted in accordance with the investment strate- corporate income taxation to the extent they shall apply in addition to the terms contained in gy’s rules (re-selecting the approximately fifty conduct distributions unless such distributions the general section of the Sales Prospectus. selected shares that the sub-fund will invest in) are subject to taxation at a minimum rate of with the intention that each constituent share is 15% and the sub-fund is not exempt from said Investment Policy equally weighted. However, in order to minimise taxation; The objective of the investment policy of DWS impacts on performance when trading the –– units of corporations the income of which Invest CROCI Global Dividends is to achieve long sub-fund’s assets, the sub-fund manager may originates, directly or indirectly, to an extent of term capital appreciation by investing predomi- take necessary steps to reduce the costs related more than 10%, from units of corporations, nantly in large cap developed market global to trading and market impact, including effecting that are (i) real estate companies or (ii) are not equities that are considered undervalued and the re-composition in stages over a period of real estate companies, but (a) are domiciled in offer comparatively high and sustainable dividend time. Consequently, the sub-fund may at certain member state of the European Union or a yield according to the CROCI methodology and times hold more or less than fifty different shares member state of the European Economic Area the CROCI Global Dividends investment strategy. and may not therefore be equally weighted at all and are not subject in said domicile to corpo- times. The sub-fund operates on a total return rate income tax or are exempt from it or The investment strategy will generally select basis, re-investing dividends received in the (b) are domiciled in a third country and are not shares of approximately fifty issuers with the purchase of additional shares. subject in said domicile to corporate income lowest positive CROCI Economic Price Earnings tax of at least 15% or are exempt from it; Ratio (“CROCI Economic P/E”) from a universe Further information on the investment strategy –– units of corporations which hold, directly or comprising of the largest developed market and the CROCI methodology can be found on indirectly, units of corporations, that are (i) real global equities by market capitalisation for which the website of the CROCI Investment and estate companies or (ii) are not real estate CROCI Economic P/Es are calculated. Compa- Valuation Group www.dws.com/croci. companies, but (a) are domiciled in a member nies in the Financial and Real Estate sectors are state of the European Union or a member not eligible for selection. The investment strategy In compliance with Article 2 B. of the general state of the European Economic Area and are will also exclude from selection any stocks that section of the Sales Prospectus, the sub-fund not subject in said domicile to corporate do not pass a series of dividend sustainability may use derivative techniques to implement the income tax or are exempt from it or (b) are screens based on cash returns (further described investment objective, including in particular – but domiciled in a third country and are not sub- below under “CROCI Sustainable Dividends not limited to – forwards, futures, single-stock ject in said domicile to corporate income tax Process”), financial leverage and volatility, stocks futures, options or equity swaps. of at least 15% or are exempt from it if the fair paying zero dividends and stocks with a below market value of units of such corporations median current dividend yield. In addition, stocks The sub-fund will not invest in contingent equal more than 10% of the fair market value with low liquidity may be excluded from selec- convertibles. of those corporations. tion. In the event that fewer than fifty shares have a positive CROCI Economic P/E, only those The sub-fund intends to use securities financing For the purpose of this investment policy and in shares with a positive CROCI Economic P/E will transactions under the conditions and to the accordance with the definition in the German be included in the investment strategy. The extent further described in the general part of Investment Code (KAGB), an organized market is investment strategy may also utilise rules-based the Sales Prospectus. a market which is recognized, open to the public techniques which aim to reduce unnecessary and which functions correctly, unless expressly portfolio turnover in order to reduce market For the purpose of inducing a partial tax exemp- specified otherwise. Such organized market also impact and transaction costs. These techniques tion within the meaning of the German Invest- meets the criteria of article 50 of the UCITS include, but are not limited to, limiting the ment Tax Act and in addition to the investment Directive. replacement of an existing share from the invest- limits described in the Articles of Incorporation ment strategy during re-compositions to circum- and this Sales Prospectus (equity fund) at least The respective risks connected with investments stances when its CROCI Economic P/E is suffi- 51% of the sub-fund´s gross assets (determined in this sub-fund are disclosed in the general ciently higher or its dividend yield is sufficiently as being the value of the sub-fund´s assets section of the Sales Prospectus. lower than that of the proposed replacement without taking into account liabilities) are share. Consequently, in some cases, a share invested in equities admitted to official trading on Integration of sustainability risks may not be added during a sub-fund re- a stock exchange or admitted to, or included in, The sub-fund management integrates sustain- composition despite having one of the fifty another organized market and which are not: ability risks into their investment decisions by lowest CROCI Economic P/Es or above median means of Smart Integration. Further information dividend yield of shares eligible for selection. –– units of investment funds; on how sustainability risks are taken into account Equally, a share may remain in the sub-fund –– equities indirectly held via partnerships; in the investment decisions can be found in the despite no longer being amongst the fifty shares –– units of corporations, associations of persons general section of the Sales Prospectus. with the lowest CROCI Economic P/Es or having or estates at least 75% of the gross assets of an above median dividend yield. These tech- which consist of immovable property in CROCI Methodology niques have no impact on the investment strat- accordance with statutory provisions or their The CROCI (Cash Return On Capital Invested) egy maintaining approximately fifty constituents. investment conditions, if such corporations, methodology is based on the belief that the data In addition, the investment strategy may con- associations of persons or estates are subject used in traditional valuations (i.e. accounting sider other factors such as liquidity and transac- to corporate income tax of at least 15% and data) does not accurately appraise assets, reflect tion costs and, upon notification by the sub-fund are not exempt from it or if their distributions all liabilities or represent the real value of a to the CROCI Investment and Valuation Group, are subject to tax of at least 15% and the company. This is because accounting rules are market events in respect of the eligible shares. sub-fund is not exempt from said taxation; not always designed specifically for investors and The sub-fund manager may consider risk limits often utilise widely differing standards which can when determining the implementation of the make measuring the real asset value of compa- investment strategy into the sub-fund. nies difficult. For example, it is difficult to compare the price-to-earnings or “P/E” Ratio of a car manufacturing stock to that of a technology stock

79 and equally difficult to compare a Japanese with respect to any Sub-Fund and DWS CROCI depending on the prevailing market environment Utility to a U.S. Utility. The CROCI methodology shall have no liability or responsibility whatsoever (e.g. less volatile market environment) and actual seeks to generate data that will enable valuation to any party for any loss or charges arising in positioning versus the benchmark. comparisons on a consistent basis, resulting in connection with any Sub-Fund. DWS CROCI has an effective and efficient stock selection process no obligation to take the needs of any of its Risk Management targeting investment in real value. The invest- licensees or the owners of the Sub-Funds into The relative Value-at-Risk (VaR) approach is used ment strategy will primarily make use of the consideration in determining or composing the to limit market risk in the sub-fund. CROCI Economic P/E which is a proprietary Strategies. measure of company valuation using the same In addition to the provisions of the general relationships between valuation and return as an DWS CROCI does not undertake any discretion- section of the Sales Prospectus, the potential accounting P/E ratio (i.e. price/book value divided ary or non-discretionary asset management and market risk of the sub-fund is measured using a by return on equity). does not make any suggestions or recommenda- reference portfolio that does not contain deriva- tions (including, without limitation, any invest- tives (“risk benchmark”). However, the CROCI Economic P/E substitutes ment recommendations), whether express or alternative calculation inputs as follows: implied, in relation to any financial instruments, Leverage is not expected to exceed twice the issuers, Sub-Funds or the Strategies and does value of the investment sub-fund’s assets. The (i) Instead of price (market capitalisation), the not express any opinions in relation to the pres- leverage effect is calculated using the sum of CROCI Enterprise Value is used as the eco- ent or future value or price of financial instru- notional approach (absolute (notional) amount of nomic measure of the market value of a ments. Inclusion of a financial instrument in a each derivative position divided by the net present company. It includes not only financial liabili- Strategy is not a recommendation by CROCI to value of the portfolio). However, the disclosed ties (e.g. debts) but also operational liabilities buy, sell or hold such security, nor shall it be expected level of leverage is not intended to be an (e.g. warranties, pension underfunding, lease considered investment advice or a recommen additional exposure limit for the sub-fund. obligations and specific provisions). dation in any manner or form. (ii) Instead of book value, the CROCI Net Capital Investment in shares of target funds Invested is used as the economic measure of DWS CROCI provides no representation, guaran- In addition to the information in the general the book value of a company. This is an tee or warranty, whether express or implied, as section of the Sales Prospectus the following assessment of the inflation-adjusted value of to the accuracy, adequacy, timeliness, complete- is applicable to this sub-fund: net assets. ness or fitness for a particular purpose of the (iii) Instead of return on equity, the Cash Return Strategies, any data or information related When investing in target funds associated to the on Capital Invested or ‘CROCI’ is used as the thereto nor as to the results obtained by any of sub-fund, the part of the management fee economic measure of return on equity. It is a its users. DWS CROCI shall in no way be liable attributable to shares of these target funds is measure of the cash earnings yield (or cash for any errors, inaccuracies, omissions or delays reduced by the management fee/all-in fee of the return) and is standardised for all companies, relating to the Strategies or any related data and acquired target funds, and as the case may be, regardless of their sector or geographic shall have no obligation to update, modify or up to the full amount (difference method). location. amend any Strategy or any related data in the event that it proves inaccurate. CROCI Sustainable Dividends Process The CROCI Investment and Valuation Group Benchmark believe that the ability of a company to continue The sub-fund is actively managed and is man- to pay dividends may be dependent upon both aged in reference to one or a combination of the financial strength and cash-generation capa- benchmarks as further detailed in the sub-fund bilities of the company. This has led to the devel- specific table. All benchmarks respectively their opment of a “sustainable dividends” investment administrators are registered with the ESMA, strategy that attempts to identify and exclude either in the public register of administrators of shares that may have a higher risk of a future benchmark indices or the public register of third dividend cut. Therefore, when attempting to country benchmarks. identify companies that are attractive in the dividend investment strategy, shares with the The majority of the sub-fund’s securities or highest financial leverage and lowest cash their issuers are not necessarily expected to returns are filtered from the selection process. In be components of the benchmark and the port addition, shares with the highest price volatility folio is not necessarily expected to have a similar and those with a below- median dividend yield weighting to the benchmark. The sub-fund are also excluded. management will use its discretion to invest in securities and sectors that are not included in CROCI Strategies the benchmark in order to take advantage of The CROCI strategies (each a “Strategy” and specific investment opportunities. In regard to its together the “Strategies”) are devised by the benchmark, the sub-fund positioning can deviate CROCI Investment and Valuation Group, which is significantly (e.g., by a positioning outside of the part of DWS Investments UK Limited (“CROCI”), benchmark as well as a significant underweight- and have been licensed for use by DWS Invest. ing or overweighting) and the actual degree of CROCI is a registered trademark of DWS. The freedom is typically relatively high. A deviation CROCI sub-funds in the DWS Invest SICAV (the generally reflects the sub-fund manager’s evalua- “Sub-Funds”) are not sponsored or sold by DWS tion of the specific market situation, which may CROCI and DWS CROCI has no obligation or lead to a defensive and closer or a more active liability in connection with the administration, and wider positioning compared to the bench- marketing or trading of the Sub-Funds. No repre- mark. Despite the fact that the sub-fund aims to sentation, warranty or condition, express or outperform the return of the benchmark, the implied, is given or assumed by DWS CROCI potential outperformance might be limited

80 DWS Invest CROCI Intellectual Capital

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark MSCI World NR in EUR, administered by MSCI Limited. Reference portfolio MSCI World NR in EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt that is also an exchange trading day on the New York Stock Exchange (NYSE) and London Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest Group) that have intellectual capital according to of only one year and are therefore categorized as CROCI Intellectual Capital, the following provisions the CROCI methodology and the systematic operating expenditures rather than capital invest- shall apply in addition to the terms contained in the CROCI Intellectual Capital investment strategy. ment. However, capital expenditures are invest- general section of the Sales Prospectus. ment in buying or developing assets, which are The investment strategy will generally select expected to generate sales well beyond the Investment Policy shares that are identified by the CROCI Invest- current year, which is why the CROCI Investment This sub-fund promotes environmental and social ment and Valuation Group as having intellectual and Valuation Group include them as assets on characteristics and qualifies as product in accord capital, which is defined and calculated by the the balance sheet. The CROCI Investment and ance with article 8(1) of Regulation (EU) CROCI Investment and Valuation Group as Valuation Group include R&D and Brands on the 2019/2088 on sustainability-related disclosures in research & development (R&D) and advertising balance sheet because they believe that invest- the financial services sector. (brand) assets. Company accounts generally do ment into these intellectual property assets can not treat intellectual capital as an asset because continue to generate revenues in the years after The objective of the investment policy of DWS an asset is financed by a capital expenditure. they are spent. Therefore, R&D Investment for Invest CROCI Intellectual Capital is to achieve R&D and advertising are typically represented as product development and advertising investment long term capital appreciation by investing in operating expenses, which appear as costs on to establish and grow brands should be treated large and mid-cap firms in any industry (in those the income statement but not as assets on the as capital expenditures rather than annual countries classified as developed or emerging balance sheet. These expenses are traditionally expenses. Companies, which do not report either markets by the CROCI Investment and Valuation assumed to have an expected economic benefit R&D expense or Advertising expense do not

81 have intellectual capital and are therefore not The sub-fund will not invest in contingent Environment eligible to be in the Strategy. convertibles. –– Conservation of flora and fauna The investment strategy will generally select The sub-fund intends to use securities financing –– Protection of natural resources, atmosphere approximately one hundred shares out of the transactions under the conditions and to the and inshore waters CROCI company coverage universe using the extent further described in the general part of –– Limitation of land degradation and climate following rules-based approach: the Sales Prospectus. change –– Avoidance of encroachment on ecosystems (1) Identify companies with intellectual capital as The sub-fund’s assets are predominantly invested and loss of biodiversity determined by the CROCI Investment and in securities from issuers that comply with defined Valuation Group; minimum standards in respect to environmental, Social (2) Exclude companies with low growth potential social and corporate governance characteristics. (lowest risk-adjusted cash returns) and high –– General human rights financial risk (high financial leverage) as The sub-fund management seeks to attain a –– Prohibition of child labor and forced labor determined by the CROCI Intellectual Capital variety of the environmental, social and corporate –– Imperative Non-discrimination investment strategy; and other risks including governance characteristics by assessing potential –– Workplace health and safety but not limited to ESG risks; and investments via proprietary ESG investment –– Fair workplace and appropriate remuneration (3) Utilise portfolio optimisation to further reduce methodology. This methodology incorporates the number of remaining eligible shares in portfolio investment standards according to an Corporate Governance order to select approximately one hundred ESG database, which uses data from multiple shares whose portfolio weights will be based leading ESG data providers as well as internal –– Corporate Governance Principles by the on each company’s CROCI Equity Earnings, and public sources to derive proprietary combined International Corporate Governance Network; having a risk profile that is similar to that of scores for various environmental, social and –– Global Compact Anti-Corruption Principles the entire list of remaining eligible shares corporate governance characteristics. These while also accounting for residual ESG risks. encompass assessments for (i) controversial At least 90% of the sub-fund`s portfolio holdings In addition, the Strategy may consider other sectors (which include coal, tobacco, defence will be screened according to non-financial factors such as liquidity, transaction costs industry, pornography, gambling and nuclear criteria available via the ESG database. and, upon notification by the sub-fund to the power), (ii) involvement in controversial weapons CROCI Investment and Valuation Group, (nuclear weapons, depleted uranium, cluster The reference benchmark of this sub-fund is not market events in respect of the eligible munitions and anti-personnel mines) or (iii) vio consistent with the environmental and social shares. lation of internationally accepted norms, but characteristics promoted by this sub-fund. Infor- also allow for an active issuer selection based mation on the reference benchmark can be In the event that fewer than one hundred shares on categories such as climate and transition risk, found on www.msci.com. under CROCI coverage are identified as having norm compliance or best-in-class ESG evaluations. intellectual capital, the Strategy and therefore the The methodology assigns one of six possible More information about the functioning of the sub-fund may have fewer than one hundred proprietary scores to each possible issuer based ESG investment methodology, its integration in different shares. The sub-fund operates on a net on a letter scoring from A to F, whereby issuers the investment process, the selection criteria as total return basis, re-investing dividends received with A and B scores are considered as leading in well as our ESG related policies can be found on in the purchase of additional shares with the their categories and issuers with C scores are our website www.dws.com/solutions/esg. appropriate local withholding taxes applied. considered as within the upper midfield of their category. These letter scoring can originate from In addition, an engagement activity can be The sub-fund`s assets are periodically reconsti- revenues generated from controversial sectors or initiated with the individual issuers regarding tuted in accordance with the investment strate- the degree of involvement in controversial weap- matters such as strategy, financial and non- gy’s rules (re-selecting the approximately one ons, the degree of severity that an issuer may be financial performance, risk, capital structure, hundred shares that the sub-fund will invest in). involved in the violation of international norms, the social and environmental impact as well as In order to minimise impacts on performance assessment on climate and transition risk, which corporate governance including topics like dis when trading the sub-fund’s assets, the sub-fund is based on for example carbon intensity or the closure, culture and remuneration. The dialogue manager may take necessary steps to reduce risk of stranded assets, or from best-in-class can be exercised by, for example, proxy voting, the costs related to trading and market impact, ESG evaluations. company meetings or engagement letters. including effecting the re-composition in stages over a period of time. The sub-fund manager considers in its asset For the purpose of inducing a partial tax exemp- allocation the resulting scores from the ESG tion within the meaning of the German Invest- The sub-fund manager may consider risk limits database. The sub-fund’s investment in low ment Tax Act and in addition to the investment when determining the implementation of the scored issuers (scores D and E) is limited or limits described in the Articles of Incorporation Strategy into the sub-fund. excluded whereas issuers with the lowest and this Sales Prospectus (equity fund) at least scores (e.g. score F) are always excluded from 51% of the sub-fund´s gross assets (determined Further information on the investment strategy the investable universe. as being the value of the sub-fund´s assets and the CROCI methodology can be found on without taking into account liabilities) are the website www.dws.com/croci. The ESG performance of an issuer is evaluated invested in equities admitted to official trading on independently from financial success based on a stock exchange or admitted to, or included in, In compliance with Article 2 B. of the general a variety of characteristics. These characteristics another organized market and which are not: section of the Sales Prospectus, the sub-fund include, for example, the following fields of may use derivative techniques to implement the interest: –– units of investment funds; investment objective, including in particular – but –– equities indirectly held via partnerships; not limited to – forwards, futures, single-stock –– units of corporations, associations of persons futures, options or equity swaps. or estates at least 75% of the gross assets of which consist of immovable property in accordance with statutory provisions or their

82 investment conditions, if such corporations, CROCI Intellectual Capital Methodology CROCI Investment and Valuation Group has no associations of persons or estates are subject The CROCI (Cash Return on Capital Invested) obligation or liability in connection with the to corporate income tax of at least 15% and methodology is based on the belief that the data administration, marketing or trading of the are not exempt from it or if their distributions used in traditional financial analysis (i.e. account- Sub-Funds. No representation, warranty or are subject to tax of at least 15% and the ing data) does not accurately appraise assets, condition, express or implied, is given or sub-fund is not exempt from said taxation; reflect all liabilities or represent the real value of assumed by the CROCI Investment and Valuation –– units of corporations which are exempt from a company. This is because accounting rules are Group with respect to any Sub-Fund and the corporate income taxation to the extent they not always designed specifically for investors and CROCI Investment and Valuation Group shall conduct distributions unless such distributions often utilise widely differing standards which can have no liability or responsibility whatsoever to are subject to taxation at a minimum rate of make measuring the real asset value of com any party for any loss or charges arising in con- 15% and the sub-fund is not exempt from said panies difficult. CROCI Intellectual Capital is a nection with any Sub-Fund. The CROCI Invest- taxation; proprietary measure of a company’s intangible ment and Valuation Group has no obligation to –– units of corporations the income of which assets which are capitalised by the CROCI take the needs of any of its licensees or the originates, directly or indirectly, to an extent of Investment and Valuation Group for the purpose owners of the Sub-Funds into consideration in more than 10%, from units of corporations, of providing a better economic understanding of determining or composing the Strategies. that are (i) real estate companies or (ii) are not the company. The CROCI Intellectual Capital real estate companies, but (a) are domiciled in methodology considers operating expenses such The CROCI Investment and Valuation Group does member state of the European Union or a as research and development expense (which not undertake any discretionary or non-discretion- member state of the European Economic Area create R&D intellectual capital) and advertising ary asset management and does not make any and are not subject in said domicile to corpo- expenses (which creates brand intellectual suggestions or recommendations (including, rate income tax or are exempt from it or property) as genuine assets if they are deemed without limitation, any investment recommenda- (b) are domiciled in a third country and are not by the CROCI Investment and Valuation Group to tions), whether express or implied, in relation to subject in said domicile to corporate income potentially contribute to revenue generation in any financial instruments, Sub-Funds or the Strate- tax of at least 15% or are exempt from it; the years after those expenses are reported. gies and their past, present or future value. Inclu- –– units of corporations which hold, directly or Therefore, for the purposes of the CROCI Intel- sion of a financial instrument in a Strategy is not a indirectly, units of corporations, that are (i) real lectual Capital investment strategy, the CROCI recommendation by the CROCI Investment and estate companies or (ii) are not real estate Investment and Valuation Group will systemati- Valuation Group to buy, sell or hold such security, companies, but (a) are domiciled in a member cally treat R&D and advertising expenses as nor shall it be considered investment advice or a state of the European Union or a member capital expenditures rather than operating expen- recommendation in any manner or form. state of the European Economic Area and are ditures, which results in the addition of intellec- not subject in said domicile to corporate tual capital assets on the company’s balance The CROCI Investment and Valuation Group income tax or are exempt from it or (b) are sheet and an adjustment to depreciation of those provides no representation, guarantee or warranty, domiciled in a third country and are not sub- assets. whether express or implied, as to the accuracy, ject in said domicile to corporate income tax adequacy, timeliness, completeness or fitness for of at least 15% or are exempt from it if the fair Among others, this sub-fund will make use of a particular purpose of the Strategies, any data or market value of units of such corporations CROCI Capitalised Intangibles, CROCI Equity information related thereto nor as to the results equal more than 10% of the fair market value Earnings and the CROCI Economic Earnings obtained by any of its users. The CROCI Invest- of those corporations. proprietary information which are determined ment and Valuation Group shall in no way be liable by the CROCI Investment and Valuation Group. for any errors, inaccuracies, omissions or delays For the purpose of this investment policy and in CROCI Capitalised Intangibles represent the relating to the Strategies or any related data and accordance with the definition in the German treatment of company reported research and shall have no obligation to update, modify or Investment Code (KAGB), an organized market is development expense and advertising expense amend any Strategy or any related data in the a market which is recognized, open to the public as depreciable fixed assets which are capitalised event that it proves inaccurate. and which functions correctly, unless expressly on the company’s balance sheet and impact the specified otherwise. Such organized market also company’s depreciation accordingly. CROCI Equity Benchmark meets the criteria of article 50 of the UCITS Earnings is the share of CROCI Economic Earn- The sub-fund is actively managed and is managed Directive. ings attributable to shareholders by taking into in reference to one or a combination of bench- account the impact of financial leverage on a marks as further detailed in the sub-fund specific The respective risks connected with investments company’s total earnings. CROCI Economic table. All benchmarks respectively their adminis- in this sub-fund are disclosed in the general Earnings are the earnings of a company as deter- trators are registered with the ESMA, either in the section of the Sales Prospectus. mined by the CROCI Investment and Valuation public register of administrators of benchmark Group based upon detailed assessment and indices or the public register of third country Integration of sustainability risks adjustment of company financial statements benchmarks. The sub-fund management integrates sustain- according to the CROCI methodology. ability risks into their investment decisions by The majority of the sub-fund’s securities or means of ESG Integration. Further information on CROCI Strategies their issuers are not necessarily expected to how sustainability risks are taken into account in The CROCI strategies (each a “Strategy” and be components of the benchmark and the the investment decisions can be found in the together the “Strategies”) are devised by the portfolio is not necessarily expected to have general section of the Sales Prospectus. CROCI Investment and Valuation Group, which is a similar weighting to the benchmark. The part of DWS Investments UK Limited, and have sub-fund management will use its discretion been licensed for use by DWS Invest SICAV. to invest in securities and sectors that are not CROCI is a registered trademark of DWS. The included in the benchmark in order to take CROCI sub-funds in the DWS Invest SICAV (the advantage of specific investment opportunities. “Sub-Funds”) are not sponsored or sold by the In regard to its benchmark, the sub-fund posi- CROCI Investment and Valuation Group and the tioning can deviate significantly (e.g., by a

83 positioning outside of the benchmark as well as a significant underweighting or overweighting) and the actual degree of freedom is typically relatively high. A deviation generally reflects the sub-fund manager’s evaluation of the specific market situation, which may lead to a defensive and closer or a more active and wider positioning compared to the benchmark. Despite the fact that the sub-fund aims to outperform the return of the benchmark, the potential outperformance might be limited depending on the prevailing market environment (e.g. less volatile market environment) and actual positioning versus the benchmark.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk for the sub-fund assets.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

84 DWS Invest CROCI Japan

Investor profile Risk-tolerant Currency of sub-fund JPY Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark TOPIX 100, administered by Tokyo Stock Exchange. Reference portfolio TOPIX 100 (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt, that is also an exchange trading day on the Tokyo Stock Exchange and Osaka Securities Exchange and London Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest which CROCI Economic P/Es are calculated. sub-fund re-composition despite having one of the CROCI Japan, the following provisions shall apply Companies in the Financial and Real Estate thirty lowest CROCI Economic P/Es among shares in addition to the terms contained in the general sectors are not eligible for selection. In addition, eligible for selection. Equally, a share may remain section of the Sales Prospectus. stocks with low liquidity may be excluded from in the sub-fund despite no longer being amongst selection. In the event that fewer than thirty the thirty shares with the lowest CROCI Economic Investment Policy shares have a positive CROCI Economic P/E, only P/Es. These techniques have no impact on the The objective of the investment policy of DWS those shares with a positive CROCI Economic P/E investment strategy maintaining approximately Invest CROCI Japan is to achieve long term capital will be included in the sub-fund. The investment thirty constituents. In addition, the investment appreciation by investing predominantly in large strategy may also utilise rules-based techniques strategy may consider other factors such as cap Japanese equities that are considered under- which aim to reduce unnecessary portfolio turn- liquidity, transaction costs and, upon notification valued according to the CROCI methodology and over in order to reduce market impact and trans by the sub-fund to the CROCI Investment and the CROCI Japan investment strategy. action costs. These techniques include, but are not Valuation Group, market events in respect of the limited to, limiting the replacement of an existing eligible shares. The sub-fund manager may con- The investment strategy will generally select the share from the investment strategy during re- sider risk limits when determining the implemen- thirty shares with the lowest positive CROCI compositions to circumstances when its CROCI tation of the investment strategy into the Economic Price Earnings Ratio (“CROCI Economic Economic P/E is sufficiently higher than the sub-fund. P/E”) from a universe comprising the largest proposed replacement share. Consequently, in Japanese equities by market capitalisation for some cases, a share may not be added during a

85 The sub-fund’s assets are periodically reconsti- –– units of corporations the income of which CROCI Economic P/E which is a proprietary tuted in accordance with the investment strate- originates, directly or indirectly, to an extent of measure of company valuation using the same gy’s rules (re-selecting the approximately thirty more than 10%, from units of corporations, relationships between valuation and return as an shares that the sub-fund will invest in) with the that are (i) real estate companies or (ii) are not accounting P/E ratio (i.e. price/book value divided intention that each constituent share is equally real estate companies, but (a) are domiciled in by return on equity). weighted. However, in order to minimise impacts member state of the European Union or a on performance when trading the sub-fund’s member state of the European Economic Area However, the CROCI Economic P/E substitutes assets, the sub-fund manager may take necessary and are not subject in said domicile to corpo- alternative calculation inputs as follows: steps to reduce the costs related to trading and rate income tax or are exempt from it or (b) are market impact, including effecting the re-composi- domiciled in a third country and are not subject (i) Instead of price (market capitalisation), the tion in stages over a period of time. Consequently, in said domicile to corporate income tax of at CROCI Enterprise Value is used as the eco- the sub-fund may at certain times hold more or least 15% or are exempt from it; nomic measure of the market value of a less than thirty different shares and may not –– units of corporations which hold, directly or company. It includes not only financial liabili- therefore be equally weighted at all times. The indirectly, units of corporations, that are (i) real ties (e.g. debts) but also operational liabilities sub-fund operates on a total return basis, re- estate companies or (ii) are not real estate (e.g. warranties, pension underfunding, lease investing dividends received in the purchase of companies, but (a) are domiciled in a member obligations and specific provisions). additional shares. state of the European Union or a member state (ii) Instead of book value, the CROCI Net Capital of the European Economic Area and are not Invested is used as the economic measure of Further information on the investment strategy subject in said domicile to corporate income the book value of a company. This is an and the CROCI methodology can be found on the tax or are exempt from it or (b) are domiciled in assessment of the inflation-adjusted value of website of the CROCI Investment and Valuation a third country and are not subject in said net assets. Group www.dws.com/croci. domicile to corporate income tax of at least (iii) Instead of return on equity, the Cash Return 15% or are exempt from it if the fair market on Capital Invested or ‘CROCI’ is used as the In compliance with Article 2 B. of the general value of units of such corporations equal more economic measure of return on equity. It is a section of the Sales Prospectus, the sub-fund may than 10% of the fair market value of those measure of the cash earnings yield (or cash use derivative techniques to implement the corporations. return) and is standardised for all companies, investment objective, including in particular – but regardless of their sector or geographic not limited to – forwards, futures, single-stock For the purpose of this investment policy and in location. futures, options or equity swaps. accordance with the definition in the German Investment Code (KAGB), an organized market is a CROCI Strategies The sub-fund will not invest in contingent market which is recognized, open to the public The CROCI strategies (each a “Strategy” and convertibles. and which functions correctly, unless expressly together the “Strategies”) are devised by the specified otherwise. Such organized market also CROCI Investment and Valuation Group, which is The sub-fund intends to use securities financing meets the criteria of article 50 of the UCITS part of DWS Investments UK Limited (“CROCI”), transactions under the conditions and to the Directive. and have been licensed for use by DWS Invest. extent further described in the general part of the CROCI is a registered trademark of DWS. The Sales Prospectus. The respective risks connected with investments CROCI sub-funds in the DWS Invest SICAV (the in this sub-fund are disclosed in the general “Sub-Funds”) are not sponsored or sold by DWS For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. CROCI and DWS CROCI has no obligation or tion within the meaning of the German Invest- liability in connection with the administration, ment Tax Act and in addition to the investment Integration of sustainability risks marketing or trading of the Sub-Funds. No repre- limits described in the Articles of Incorporation The sub-fund management integrates sustain- sentation, warranty or condition, express or and this Sales Prospectus (equity fund) at least ability risks into their investment decisions by implied, is given or assumed by DWS CROCI 51% of the sub-fund´s gross assets (determined means of Smart Integration. Further information with respect to any Sub-Fund and DWS CROCI as being the value of the sub-fund´s assets with- on how sustainability risks are taken into account shall have no liability or responsibility whatsoever out taking into account liabilities) are invested in in the investment decisions can be found in the to any party for any loss or charges arising in equities admitted to official trading on a stock general section of the Sales Prospectus. connection with any Sub-Fund. DWS CROCI has exchange or admitted to, or included in, another no obligation to take the needs of any of its organized market and which are not: CROCI Methodology licensees or the owners of the Sub-Funds into The CROCI (Cash Return On Capital Invested) consideration in determining or composing the –– units of investment funds; methodology is based on the belief that the data Strategies. –– equities indirectly held via partnerships; used in traditional valuations (i.e. accounting –– units of corporations, associations of persons data) does not accurately appraise assets, reflect DWS CROCI does not undertake any discretion- or estates at least 75% of the gross assets of all liabilities or represent the real value of a ary or non-discretionary asset management and which consist of immovable property in accord company. This is because accounting rules are does not make any suggestions or recommenda- ance with statutory provisions or their invest- not always designed specifically for investors and tions (including, without limitation, any investment conditions, if such corporations, associa- often utilise widely differing standards, which can ment recommendations), whether express or tions of persons or estates are subject to make measuring the real asset value of compa- implied, in relation to any financial instruments, corporate income tax of at least 15% and are nies difficult. For example, it is difficult to com- issuers, Sub-Funds or the Strategies and does not exempt from it or if their distributions are pare the price-to-earnings or “P/E” Ratio of a car not express any opinions in relation to the pres- subject to tax of at least 15% and the sub-fund manufacturing stock to that of a technology stock ent or future value or price of financial instru- is not exempt from said taxation; and equally difficult to compare a Japanese ments. Inclusion of a financial instrument in a –– units of corporations which are exempt from Utility to a U.S. Utility. The CROCI methodology Strategy is not a recommendation by CROCI to corporate income taxation to the extent they seeks to generate data that will enable valuation buy, sell or hold such security, nor shall it be conduct distributions unless such distributions comparisons on a consistent basis, resulting in considered investment advice or a recommen are subject to taxation at a minimum rate of an effective and efficient stock selection process dation in any manner or form. 15% and the sub-fund is not exempt from said targeting investment in real value. The invest- taxation; ment strategy will primarily make use of the

86 DWS CROCI provides no representation, guaran- Leverage is not expected to exceed twice the tee or warranty, whether express or implied, as value of the investment sub-fund’s assets. The to the accuracy, adequacy, timeliness, complete- leverage effect is calculated using the sum of ness or fitness for a particular purpose of the notional approach (absolute (notional) amount of Strategies, any data or information related each derivative position divided by the net present thereto nor as to the results obtained by any of value of the portfolio). However, the disclosed its users. DWS CROCI shall in no way be liable expected level of leverage is not intended to be an for any errors, inaccuracies, omissions or delays additional exposure limit for the sub-fund. relating to the Strategies or any related data and shall have no obligation to update, modify or Investment in shares of target funds amend any Strategy or any related data in the In addition to the information in the general event that it proves inaccurate. section of the Sales Prospectus the following is applicable to this sub-fund: Benchmark The sub-fund is actively managed and is man- When investing in target funds associated to the aged in reference to one or a combination of sub-fund, the part of the management fee benchmarks as further detailed in the sub-fund attributable to shares of these target funds is specific table. All benchmarks respectively their reduced by the management fee/all-in fee of the administrators are registered with the ESMA, acquired target funds, and as the case may be, either in the public register of administrators of up to the full amount (difference method). benchmark indices or the public register of third country benchmarks.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

87 DWS Invest CROCI Sectors

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark MSCI World Net TR in EUR, administered by MSCI Limited. Reference portfolio MSCI World Net TR in EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt that is also an exchange trading day on the New York Stock Exchange (NYSE) and London Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest are: Communication Services, Consumer Discre- (2) the approximately ten shares with the lowest CROCI Sectors, the following provisions shall tionary, Consumer Staples, Energy, Health Care, positive CROCI Economic P/E are selected apply in addition to the terms contained in the Industrials, Information Technology, Materials and from each of the sectors selected above general section of the Sales Prospectus. Utilities. Companies in the Financial and Real in (1). Estate sectors are not eligible for selection. Investment Policy Within each sector the shares are selected from In addition, stocks with low liquidity may be The objective of the investment policy of DWS a universe comprising the largest developed excluded from selection. In the event that fewer Invest CROCI Sectors is to achieve long term market global equities by market capitalisation than ten shares in a selected sector have a capital appreciation by investing predominantly in from the U.S., Europe and Japan and for which positive CROCI Economic P/E, this sector will large cap global equities that are considered CROCI Economic P/Es are calculated. include only those shares that do have a positive undervalued according to the CROCI methodol- CROCI Economic P/E and the sub-fund will have ogy and the CROCI Sectors investment strategy. The investment strategy will generally select fewer than thirty different shares. The investment approximately thirty shares using the following strategy may also utilise rules-based techniques The investment strategy will generally select approach: which aim to reduce unnecessary portfolio shares with the lowest CROCI Economic Price turnover in order to reduce market impact and Earnings Ratio (“CROCI Economic P/E”) from (1) the three global sectors (from nine) with the transaction costs. These techniques include, but the three sectors with the lowest median CROCI lowest median CROCI Economic P/Es are are not limited to limiting the replacement of an Economic P/Es. The sectors eligible for selection determined; and existing sector from the investment strategy

88 during re-compositions to circumstances when The sub-fund intends to use securities financing and which functions correctly, unless expressly its median CROCI Economic P/E is sufficiently transactions under the conditions and to the extent specified otherwise. Such organized market also higher than the proposed replacement sector or further described in the general part of the Sales meets the criteria of article 50 of the UCITS limiting the replacement of an existing share Prospectus. Directive. from the investment strategy during re-compositions to circumstances when its CROCI Eco- For the purpose of inducing a partial tax exemp- The respective risks connected with investments nomic P/E is sufficiently higher than the pro- tion within the meaning of the German Invest- in this sub-fund are disclosed in the general posed replacement share. Consequently, in ment Tax Act and in addition to the investment section of the Sales Prospectus. some cases a sector or a share may not be limits described in the Articles of Incorporation added during a sub-fund re-composition despite and this Sales Prospectus (equity fund) at least Integration of sustainability risks having one of the three lowest median CROCI 51% of the sub-fund´s gross assets (determined The sub-fund management integrates sustain- Economic P/Es or one of the ten lowest CROCI as being the value of the sub-fund´s assets ability risks into their investment decisions by Economic P/Es among shares eligible for selec- without taking into account liabilities) are means of Smart Integration. Further information tion. Equally, a sector may remain as a selected invested in equities admitted to official trading on on how sustainability risks are taken into account sector even it if is no longer one of the three a stock exchange or admitted to, or included in, in the investment decisions can be found in the sectors with the lowest median CROCI Eco- another organized market and which are not: general section of the Sales Prospectus. nomic P/E and a share may remain in the sub- fund despite no longer being amongst the ten –– units of investment funds; CROCI methodology shares with the lowest CROCI Economic P/Es in –– equities indirectly held via partnerships; The CROCI (Cash Return on Capital Invested) a selected sector. These techniques have no –– units of corporations, associations of persons methodology is based on the belief that the impact on the investment strategy maintaining or estates at least 75% of the gross assets of data used in traditional valuations (i.e. accounting three sectors and approximately thirty constitu- which consist of immovable property in data) does not accurately appraise assets, reflect ents. In addition, the investment strategy may accordance with statutory provisions or their all liabilities or represent the real value of a consider other factors such as liquidity, transac- investment conditions, if such corporations, company. This is because accounting rules are tion costs and, upon notification by the sub-fund associations of persons or estates are subject not always designed specifically for investors to the CROCI Investment and Valuation Group, to corporate income tax of at least 15% and and often utilise widely differing standards, which market events in respect of the eligible shares. are not exempt from it or if their distributions can make measuring the real asset value of The sub-fund manager may consider risk limits are subject to tax of at least 15% and the companies difficult. For example, it is difficult to when determining the implementation of the sub-fund is not exempt from said taxation; compare the price-to-earnings or “P/E” Ratio of a investment strategy into the sub-fund. The –– units of corporations which are exempt from car manufacturing stock to that of a technology sub-fund`s assets are periodically reconstituted corporate income taxation to the extent they stock and equally difficult to compare a Japanese in accordance with the investment strategy’s conduct distributions unless such distributions Utility to a U.S. Utility. The CROCI methodology rules (re-selecting the three sectors and approxi- are subject to taxation at a minimum rate of seeks to generate data that will enable valuation mately thirty shares that the sub-fund will invest 15% and the sub-fund is not exempt from said comparisons on a consistent basis, resulting in in) with the intention that each constituent share taxation; an effective and efficient stock selection process is equally weighted. However, in order to mini- –– units of corporations the income of which targeting investment in real value. The invest- mise impacts on performance when trading the originates, directly or indirectly, to an extent of ment strategy will primarily make use of the sub-fund’s assets, the sub-fund manager may more than 10%, from units of corporations, CROCI Economic P/E which is a proprietary take necessary steps to reduce the costs related that are (i) real estate companies or (ii) are not measure of company valuation using the same to trading and market impact, including effecting real estate companies, but (a) are domiciled in relationships between valuation and return as an the re-composition in stages over a period of member state of the European Union or a accounting P/E ratio (i.e. price/book value divided time. Consequently, the sub-fund may at certain member state of the European Economic Area by return on equity). times hold more or less than thirty different and are not subject in said domicile to corpo- shares and may not therefore be equally rate income tax or are exempt from it or However, the CROCI Economic P/E substitutes weighted at all times. The sub-fund operates on a (b) are domiciled in a third country and are not alternative calculation inputs as follows: total return basis, re-investing dividends received subject in said domicile to corporate income in the purchase of additional shares. tax of at least 15% or are exempt from it; (i) Instead of price (market capitalisation), the –– units of corporations which hold, directly or CROCI Enterprise Value is used as the eco- Further information on the investment strategy indirectly, units of corporations, that are (i) real nomic measure of the market value of a and the CROCI methodology can be found on estate companies or (ii) are not real estate company. It includes not only financial liabili- the website of the CROCI Investment and companies, but (a) are domiciled in a member ties (e.g. debts) but also operational liabilities Valuation Group www.dws.com/croci. state of the European Union or a member (e.g. warranties, pension underfunding, lease state of the European Economic Area and are obligations and specific provisions). In compliance with Article 2 B. of the general not subject in said domicile to corporate (ii) Instead of book value, the CROCI Net Capital section of the Sales Prospectus, the sub-fund income tax or are exempt from it or (b) are Invested is used as the economic measure of may use derivative techniques to implement the domiciled in a third country and are not sub- the book value of a company. This is an investment objective, including in particular – but ject in said domicile to corporate income tax assessment of the inflation-adjusted value of not limited to – forwards, futures, single-stock of at least 15% or are exempt from it if the fair net assets. futures, options or equity swaps. market value of units of such corporations (iii) Instead of return on equity, the Cash Return equal more than 10% of the fair market value on Capital Invested or ‘CROCI’ is used as the The sub-fund will not invest in contingent of those corporations. economic measure of return on equity. It is a convertibles. measure of the cash earnings yield (or cash For the purpose of this investment policy and in return) and is standardised for all companies, accordance with the definition in the German regardless of their sector or geographic Investment Code (KAGB), an organized market is location. a market which is recognized, open to the public

89 CROCI Strategies the benchmark in order to take advantage of The CROCI strategies (each a “Strategy” and specific investment opportunities. In regard to its together the “Strategies”) are devised by the benchmark, the sub-fund positioning can deviate CROCI Investment and Valuation Group, which is significantly (e.g., by a positioning outside of the part of DWS Investments UK Limited (“CROCI”), benchmark as well as a significant underweight- and have been licensed for use by DWS Invest. ing or overweighting) and the actual degree of DWS CROCI is a registered trademark of DWS. freedom is typically relatively high. A deviation The DWS CROCI sub-funds in the DWS Invest generally reflects the sub-fund manager’s evalua- SICAV (the “Sub-Funds”) are not sponsored or tion of the specific market situation, which may sold by DWS CROCI and DWS CROCI has no lead to a defensive and closer or a more active obligation or liability in connection with the and wider positioning compared to the bench- administration, marketing or trading of the mark. Despite the fact that the sub-fund aims Sub-Funds. No representation, warranty or to outperform the return of the benchmark, the condition, express or implied, is given or potential outperformance might be limited assumed by DWS CROCI with respect to any depending on the prevailing market environment Sub-Fund and DWS CROCI shall have no liability (e.g. less volatile market environment) and actual or responsibility whatsoever to any party for any positioning versus the benchmark. loss or charges arising in connection with any Sub-Fund. DWS CROCI has no obligation to take Risk Management the needs of any of its licensees or the owners The relative Value-at-Risk (VaR) approach is used of the Sub-Funds into consideration in determin- to limit market risk for the sub-fund assets. ing or composing the Strategies. In addition to the provisions of the general DWS CROCI does not undertake any discretion- section of the Sales Prospectus, the potential ary or non-discretionary asset management and market risk of the sub-fund is measured using a does not make any suggestions or recommenda- reference portfolio that does not contain deriva- tions (including, without limitation, any invest- tives (“risk benchmark”). Leverage is not ment recommendations), whether express or expected to exceed twice the value of the implied, in relation to any financial instruments, investment sub-fund’s assets. The leverage effect issuers, Sub-Funds or the Strategies and does is calculated using the sum of notional approach not express any opinions in relation to the pres- (absolute (notional) amount of each derivative ent or future value or price of financial instru- position divided by the net present value of the ments. Inclusion of a financial instrument in a portfolio). However, the disclosed expected level Strategy is not a recommendation by CROCI to of leverage is not intended to be an additional buy, sell or hold such security, nor shall it be exposure limit for the sub-fund. considered investment advice or a recommen dation in any manner or form. Investment in shares of target funds In addition to the information in the general DWS CROCI provides no representation, gua section of the Sales Prospectus the following rantee or warranty, whether express or implied, is applicable to this sub-fund: as to the accuracy, adequacy, timeliness, completeness or fitness for a particular purpose of When investing in target funds associated to the the Strategies, any data or information related sub-fund, the part of the management fee thereto nor as to the results obtained by any of attributable to shares of these target funds is its users. DWS CROCI shall in no way be liable reduced by the management fee/all-in fee of the for any errors, inaccuracies, omissions or delays acquired target funds, and as the case may be, relating to the Strategies or any related data and up to the full amount (difference method). shall have no obligation to update, modify or amend any Strategy or any related data in the event that it proves inaccurate.

90 DWS Invest CROCI Sectors Plus

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark MSCI World Net TR in EUR, administered by MSCI Limited. Reference portfolio MSCI World Net TR in EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt that is also an exchange trading day on the New York Stock Exchange (NYSE) and London Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest The investment strategy is designed to select The investment strategy will generally select CROCI Sectors Plus, the following provisions shall shares with the lowest CROCI Economic approximately thirty shares using the following apply in addition to the terms contained in the Price Earnings Ratio (“CROCI Economic P/E”) approach: general section of the Sales Prospectus. from the three sectors with the lowest median CROCI Economic P/Es. The sectors eligible for (1) the three global sectors (from nine) with the Investment Policy selection are: Communication Services, Con- lowest median CROCI Economic P/E are The objective of the investment policy of sumer Discretionary, Consumer Staples, determined; and DWS Invest CROCI Sectors Plus is to achieve Energy, Health Care, Industrials, Information (2) the approximately ten shares with the lowest long term capital appreciation by investing Technology, Materials and Utilities. Within each positive CROCI Economic P/E are selected predominantly in large cap global equities which sector the shares are selected from a universe from each of the sectors selected above in (1). are considered undervalued according to the comprising the largest developed market global CROCI methodology and the CROCI Sectors equities by market capitalisation from the U.S., The investment strategy may exclude stocks with Plus investment strategy. Europe and Japan and for which CROCI Eco- low liquidity from selection. In the event that nomic P/Es are calculated. fewer than ten shares in a selected sector have a positive CROCI Economic P/E, this sector will

91 include only those shares that do have a positive The sub-fund will not invest in contingent a market which is recognized, open to the public CROCI Economic P/E and the sub-fund will have convertibles. and which functions correctly, unless expressly fewer than 30 different shares. The investment specified otherwise. Such organized market also strategy may also utilise rules-based techniques The sub-fund intends to use securities financing meets the criteria of article 50 of the UCITS which aim to reduce unnecessary portfolio turn- transactions under the conditions and to the Directive. over in order to reduce market impact and transac- extent further described in the general part of the tion costs. These techniques include, but are not Sales Prospectus. The respective risks connected with investments limited to limiting the replacement of an existing in this sub-fund are disclosed in the general sector from the investment strategy during For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. re-compositions to circumstances when its tion within the meaning of the German Invest- median CROCI Economic P/E is sufficiently higher ment Tax Act and in addition to the investment Integration of sustainability risks than the proposed replacement sector or limiting limits described in the Articles of Incorporation The sub-fund management integrates sustainabil- the replacement of an existing share from the and this Sales Prospectus (equity fund) at least ity risks into their investment decisions by means investment strategy during re-compositions to 51% of the sub-fund´s gross assets (determined of Smart Integration. Further information on how circumstances when its CROCI Economic P/E is as being the value of the sub-fund´s assets with- sustainability risks are taken into account in the sufficiently higher than the proposed replacement out taking into account liabilities) are invested in investment decisions can be found in the general share. Consequently, in some cases, a sector or a equities admitted to official trading on a stock section of the Sales Prospectus. share may not be added during a sub-fund re-com- exchange or admitted to, or included in, another position despite having one of the three lowest organized market and which are not: CROCI methodology median CROCI Economic P/Es or one of the ten The CROCI (Cash Return on Capital Invested) lowest CROCI Economic P/Es among shares –– units of investment funds; methodology is based on the belief that the data eligible for selection. Equally, a sector may remain –– equities indirectly held via partnerships; used in traditional valuations (i.e. accounting data) as a selected sector even it if is no longer one of –– units of corporations, associations of persons does not accurately appraise assets, reflect all the three sectors with the lowest median CROCI or estates at least 75% of the gross assets of liabilities or represent the real value of a company. Economic P/E and a share may remain in the which consist of immovable property in accor- This is because accounting rules are not always sub-fund despite no longer being amongst the ten dance with statutory provisions or their invest- designed specifically for investors and often utilise shares with the lowest CROCI Economic P/Es in a ment conditions, if such corporations, associa- widely differing standards which can make selected sector. These techniques have no impact tions of persons or estates are subject to measuring the real asset value of companies on the investment strategy maintaining three corporate income tax of at least 15% and are difficult. For example, it is difficult to compare the sectors and approximately thirty constituents. In not exempt from it or if their distributions are price-to-earnings or “P/E” Ratio of a car manu addition, the investment strategy may consider subject to tax of at least 15% and the sub-fund facturing stock to that of a technology stock and other factors such as liquidity, transaction costs is not exempt from said taxation; equally difficult to compare a Japanese Utility to and, upon notification by the sub-fund to the –– units of corporations which are exempt from a U.S. Utility. The CROCI methodology seeks to CROCI Investment and Valuation Group, market corporate income taxation to the extent they generate data that will enable valuation compari- events in respect of the eligible shares. The conduct distributions unless such distributions sons on a consistent basis, resulting in an effec- sub-fund manager may consider risk limits when are subject to taxation at a minimum rate of tive and efficient stock selection process targeting determining the implementation of the investment 15% and the sub-fund is not exempt from said investment in real value. The investment strategy strategy into the sub-fund. taxation; will primarily make use of the CROCI Economic –– units of corporations the income of which P/E which is a proprietary measure of company The sub-funds assets are periodically reconsti- originates, directly or indirectly, to an extent of valuation using the same relationships between tuted in accordance with the investment strate- more than 10%, from units of corporations, valuation and return as an accounting P/E ratio gy’s rules (re-selecting the thirty selected shares that are (i) real estate companies or (ii) are not (i.e. price/book value divided by return on equity). that will make up the sub-fund) with the intention real estate companies, but (a) are domiciled in that each constituent share is equally weighted. member state of the European Union or a However, the CROCI Economic P/E substitutes However, in order to minimise impacts on perfor- member state of the European Economic Area alternative calculation inputs as follows: mance from trading large quantities of single and are not subject in said domicile to corpo- stocks at one point in time, this re-composition rate income tax or are exempt from it or (b) are (i) Instead of price (market capitalisation), the may take place in stages over a period. Conse- domiciled in a third country and are not subject CROCI Enterprise Value is used as the eco- quently, the sub-fund may at certain times consist in said domicile to corporate income tax of at nomic measure of the market value of a of more than thirty different shares and may not least 15% or are exempt from it; company. It includes not only financial liabili- therefore be equally weighted at all times. The –– units of corporations which hold, directly or ties (e.g. debts) but also operational liabilities sub-fund operates on a total return basis, re- indirectly, units of corporations, that are (i) real (e.g. warranties, pension underfunding, lease investing any dividends received in the purchase estate companies or (ii) are not real estate obligations and specific provisions). of additional shares. companies, but (a) are domiciled in a member (ii) Instead of book value, the CROCI Net Capital state of the European Union or a member state Invested is used as the economic measure of Further information on the investment strategy of the European Economic Area and are not the book value of a company. This is an and the CROCI methodology can be found on the subject in said domicile to corporate income assessment of the inflation-adjusted value of website of the CROCI Investment and Valuation tax or are exempt from it or (b) are domiciled in net assets. Group www.dws.com/croci. a third country and are not subject in said (iii) Instead of return on equity, the Cash Return domicile to corporate income tax of at least on Capital Invested or ‘CROCI’ is used as the In compliance with Article 2 B. of the general 15% or are exempt from it if the fair market economic measure of return on equity. It is a section of the Sales Prospectus, the sub-fund may value of units of such corporations equal more measure of the cash earnings yield (or cash use derivative techniques to implement the than 10% of the fair market value of those return) and is standardised for all companies, investment objective, including in particular – but corporations. regardless of their sector or geographic not limited to – forwards, futures, single-stock location. futures, options or equity swaps. For the purpose of this investment policy and in accordance with the definition in the German Investment Code (KAGB), an organized market is

92 CROCI Strategies specific investment opportunities. In regard to its The CROCI strategies (each a “Strategy” and benchmark, the sub-fund positioning can deviate together the “Strategies”) are devised by the significantly (e.g., by a positioning outside of the CROCI Investment and Valuation Group, which is benchmark as well as a significant underweight- part of DWS Investments UK Limited (“CROCI”), ing or overweighting) and the actual degree of and have been licensed for use by DWS Invest. freedom is typically relatively high. A deviation CROCI is a registered trademark of DWS. The generally reflects the sub-fund manager’s evalua- CROCI sub-funds in the DWS Invest SICAV (the tion of the specific market situation, which may “Sub-Funds”) are not sponsored or sold by DWS lead to a defensive and closer or a more active CROCI and DWS CROCI has no obligation or and wider positioning compared to the bench- liability in connection with the administration, mark. Despite the fact that the sub-fund aims marketing or trading of the Sub-Funds. No repre- to outperform the return of the benchmark, sentation, warranty or condition, express or the potential outperformance might be limited implied, is given or assumed by DWS CROCI with depending on the prevailing market environment respect to any Sub-Fund and DWS CROCI shall (e.g. less volatile market environment) and actual have no liability or responsibility whatsoever to positioning versus the benchmark. any party for any loss or charges arising in connection with any Sub-Fund. DWS CROCI has no Risk Management obligation to take the needs of any of its licensees The relative Value-at-Risk (VaR) approach is used or the owners of the Sub-Funds into consideration to limit market risk for the sub-fund assets. in determining or composing the Strategies. In addition to the provisions of the general DWS CROCI does not undertake any discretionary section of the Sales Prospectus, the potential or non-discretionary asset management and does market risk of the sub-fund is measured using not make any suggestions or recommendations a reference portfolio that does not contain (including, without limitation, any investment derivatives (“risk benchmark”). Leverage is not recommendations), whether express or implied, in expected to exceed twice the value of the relation to any financial instruments, issuers, investment sub-fund’s assets. The leverage effect Sub-Funds or the Strategies and does not express is calculated using the sum of notional approach any opinions in relation to the present or future (absolute (notional) amount of each derivative value or price of financial instruments. Inclusion of position divided by the net present value of the a financial instrument in a Strategy is not a recom- portfolio). However, the disclosed expected level mendation by CROCI to buy, sell or hold such of leverage is not intended to be an additional security, nor shall it be considered investment exposure limit for the sub-fund. advice or a recommendation in any manner or form. Investment in shares of target funds In addition to the information in the general DWS CROCI provides no representation, guaran- section of the Sales Prospectus the following tee or warranty, whether express or implied, as to is applicable to this sub-fund: the accuracy, adequacy, timeliness, completeness or fitness for a particular purpose of the Strate- When investing in target funds associated to the gies, any data or information related thereto nor sub-fund, the part of the management fee as to the results obtained by any of its users. attributable to shares of these target funds is DWS CROCI shall in no way be liable for any reduced by the management fee/all-in fee of the errors, inaccuracies, omissions or delays relating acquired target funds, and as the case may be, to the Strategies or any related data and shall have up to the full amount (difference method). no obligation to update, modify or amend any Strategy or any related data in the event that it proves inaccurate.

Benchmark The sub-fund is actively managed and is managed in reference to one or a combination of benchmarks as further detailed in the sub-fund specific table. All benchmarks respectively their administrators are registered with the ESMA, either in the public register of administrators of benchmark indices or the public register of third country benchmarks.

93 DWS Invest CROCI US

Investor profile Risk-tolerant Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark S&P 500 Net Total Return Index, administered by S&P Dow Jones Indices LLC. Reference portfolio S&P 500 Net Total Return Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt, that is also an exchange trading day on the New York Stock Exchange (NYSE), NASDAQ Stock Market, American Stock Exchange and London Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest The investment strategy will generally select investment strategy. The investment strategy CROCI US, the following provisions shall apply in approximately forty shares with the lowest may also utilise rules-based techniques which addition to the terms contained in the general positive CROCI Economic Price Earnings Ratio aim to reduce unnecessary portfolio turnover in section of the Sales Prospectus. (“CROCI Economic P/E”) from a universe com- order to reduce market impact and transaction prising the largest US equities by market capital- costs. These techniques include, but are not Investment Policy isation for which CROCI Economic P/Es are limited to, limiting the replacement of an existing The objective of the investment policy of DWS calculated. Companies in the Financial and Real share from the investment strategy during Invest CROCI US is to achieve long term capital Estate sectors are not eligible for selection. In re-compositions to circumstances when its appreciation by investing predominantly in large addition, stocks with low liquidity may be CROCI Economic P/E is sufficiently higher than cap US equities that are considered undervalued excluded from selection. In the event that fewer the proposed replacement share. Consequently, according to the CROCI methodology and the than forty shares have a positive CROCI Eco- in some cases, a share may not be added during CROCI US investment strategy. nomic P/E, only those shares with a positive a sub-fund re-composition despite having one of CROCI Economic P/E will be included in the the forty lowest CROCI Economic P/Es among

94 shares eligible for selection. Equally, a share may –– units of corporations, associations of persons CROCI Methodology remain in the sub-fund despite no longer being or estates at least 75% of the gross assets of The CROCI (Cash Return On Capital Invested) amongst the forty shares with the lowest CROCI which consist of immovable property in methodology is based on the belief that the data Economic P/Es. These techniques have no accordance with statutory provisions or their used in traditional valuations (i.e. accounting data) impact on the investment strategy maintaining investment conditions, if such corporations, does not accurately appraise assets, reflect all approximately forty constituents. In addition, the associations of persons or estates are subject liabilities or represent the real value of a company. investment strategy may consider other factors to corporate income tax of at least 15% and This is because accounting rules are not always such as liquidity, transaction costs and, upon are not exempt from it or if their distributions designed specifically for investors and often utilise notification by the sub-fund to the CROCI Invest- are subject to tax of at least 15% and the widely differing standards which can make mea- ment and Valuation Group, market events in sub-fund is not exempt from said taxation; suring the real asset value of companies difficult. respect of the eligible shares. The sub-fund –– units of corporations which are exempt from For example, it is difficult to compare the price-to- manager may consider risk limits when deter- corporate income taxation to the extent they earnings or “P/E” Ratio of a car manufacturing mining the implementation of the investment conduct distributions unless such distributions stock to that of a technology stock and equally strategy into the sub-fund. are subject to taxation at a minimum rate of difficult to compare a Japanese Utility to a U.S. 15% and the sub-fund is not exempt from said Utility. The CROCI methodology seeks to generate The sub-funds assets are periodically reconsti- taxation; data that will enable valuation comparisons on a tuted in accordance with the investment strate- –– units of corporations the income of which consistent basis, resulting in an effective and gy’s rules (re-selecting the approximately forty originates, directly or indirectly, to an extent of efficient stock selection process targeting invest- selected shares that the sub-fund will invest in) more than 10%, from units of corporations, ment in real value. The investment strategy will with the intention that each constituent share is that are (i) real estate companies or (ii) are not primarily make use of the CROCI Economic P/E equally weighted. However, in order to minimise real estate companies, but (a) are domiciled in which is a proprietary measure of company impacts on performance when trading the member state of the European Union or a valuation using the same relationships between sub-fund’s assets, the sub-fund manager may member state of the European Economic Area valuation and return as an accounting P/E ratio (i.e. take necessary steps to reduce the costs related and are not subject in said domicile to corpo- price/book value divided by return on equity). to trading and market impact, including effecting rate income tax or are exempt from it or the re-composition in stages over a period of (b) are domiciled in a third country and are not However, the CROCI Economic P/E substitutes time. Consequently, the sub-fund may at certain subject in said domicile to corporate income alternative calculation inputs as follows: times hold more or less than forty different tax of at least 15% or are exempt from it; shares and may not therefore be equally –– units of corporations which hold, directly or (i) Instead of price (market capitalization), the weighted at all times. The sub-fund operates on a indirectly, units of corporations, that are (i) real CROCI Enterprise Value is used as the eco- total return basis, re-investing dividends received estate companies or (ii) are not real estate nomic measure of the market value of a in the purchase of additional shares. companies, but (a) are domiciled in a member company. It includes not only financial liabili- state of the European Union or a member ties (e.g. debts) but also operational liabilities Further information on the investment strategy state of the European Economic Area and are (e.g. warranties, pension underfunding, lease and the CROCI methodology can be found on not subject in said domicile to corporate obligations and specific provisions). the website of the CROCI Investment and income tax or are exempt from it or (b) are (ii) Instead of book value, the CROCI Net Capital Valuation Group www.dws.com/croci. domiciled in a third country and are not sub- Invested is used as the economic measure ject in said domicile to corporate income tax of the book value of a company. This is an In compliance with Article 2 B. of the general of at least 15% or are exempt from it if the fair assessment of the inflation-adjusted value of section of the Sales Prospectus, the sub-fund market value of units of such corporations net assets. may use derivative techniques to implement the equal more than 10% of the fair market value (iii) Instead of return on equity, the Cash Return investment objective, including in particular – but of those corporations. on Capital Invested or ‘CROCI’ is used as the not limited to – forwards, futures, single-stock economic measure of return on equity. It is a futures, options or equity swaps. For the purpose of this investment policy and in measure of the cash earnings yield (or cash accordance with the definition in the German return) and is standardised for all companies, The sub-fund will not invest in contingent Investment Code (KAGB), an organized market is regardless of their sector or geographic convertibles. a market which is recognized, open to the public location. and which functions correctly, unless expressly The sub-fund intends to use securities financing specified otherwise. Such organized market also CROCI Strategies transactions under the conditions and to the meets the criteria of article 50 of the UCITS The CROCI strategies (each a “Strategy” and extent further described in the general part of Directive. together the “Strategies”) are devised by the the Sales Prospectus. CROCI Investment and Valuation Group, which is The respective risks connected with investments part of DWS Investments UK Limited (“CROCI”), For the purpose of inducing a partial tax exemp- in this sub-fund are disclosed in the general and have been licensed for use by DWS Invest. tion within the meaning of the German Invest- section of the Sales Prospectus. CROCI is a registered trademark of DWS. The ment Tax Act and in addition to the investment CROCI sub-funds in the DWS Invest SICAV (the limits described in the Articles of Incorporation Integration of sustainability risks “Sub-Funds”) are not sponsored or sold by DWS and this Sales Prospectus (equity fund) at least The sub-fund management integrates sustain- CROCI and DWS CROCI has no obligation or 51% of the sub-fund´s gross assets (determined ability risks into their investment decisions by liability in connection with the administration, as being the value of the sub-fund´s assets means of Smart Integration. Further information marketing or trading of the Sub-Funds. No repre- without taking into account liabilities) are on how sustainability risks are taken into account sentation, warranty or condition, express or invested in equities admitted to official trading on in the investment decisions can be found in the implied, is given or assumed by DWS CROCI a stock exchange or admitted to, or included in, general section of the Sales Prospectus. with respect to any Sub-Fund and DWS CROCI another organized market and which are not: shall have no liability or responsibility whatsoever to any party for any loss or charges arising in –– units of investment funds; connection with any Sub-Fund. DWS CROCI has –– equities indirectly held via partnerships; no obligation to take the needs of any of its

95 licensees or the owners of the Sub-Funds into Risk Management consideration in determining or composing the The relative Value-at-Risk (VaR) approach is used Strategies. to limit market risk in the sub-fund.

DWS CROCI does not undertake any discretion- In addition to the provisions of the general ary or non-discretionary asset management and section of the Sales Prospectus, the potential does not make any suggestions or recommen market risk of the sub-fund is measured using a dations (including, without limitation, any invest- reference portfolio that does not contain deriva- ment recommendations), whether express or tives (“risk benchmark”). implied, in relation to any financial instruments, issuers, Sub-Funds or the Strategies and does Leverage is not expected to exceed twice the not express any opinions in relation to the pres- value of the investment sub-fund’s assets. The ent or future value or price of financial instru- leverage effect is calculated using the sum of ments. Inclusion of a financial instrument in a notional approach (absolute (notional) amount of Strategy is not a recommendation by CROCI to each derivative position divided by the net present buy, sell or hold such security, nor shall it be value of the portfolio). However, the disclosed considered investment advice or a recommen expected level of leverage is not intended to be an dation in any manner or form. additional exposure limit for the sub-fund.

DWS CROCI provides no representation, guaran- Investment in shares of target funds tee or warranty, whether express or implied, as In addition to the information in the general to the accuracy, adequacy, timeliness, complete- section of the Sales Prospectus the following ness or fitness for a particular purpose of the is applicable to this sub-fund: Strategies, any data or information related thereto nor as to the results obtained by any of When investing in target funds associated to the its users. DWS CROCI shall in no way be liable sub-fund, the part of the management fee for any errors, inaccuracies, omissions or delays attributable to shares of these target funds is relating to the Strategies or any related data and reduced by the management fee/all-in fee of the shall have no obligation to update, modify or acquired target funds, and as the case may be, amend any Strategy or any related data in the up to the full amount (difference method). event that it proves inaccurate.

96 DWS Invest CROCI US Dividends

Investor profile Risk-tolerant Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark S&P 500 Net Total Return Index, administered by S&P Dow Jones Indices LLC. Reference portfolio S&P 500 Net Total Return Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt, that is also an exchange trading day on the New York Stock Exchange (NYSE), NASDAQ Stock Market, American Stock Exchange and London Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest (“CROCI Economic P/E”) from a universe com- utilise rules-based techniques which aim to CROCI US Dividends, the following provisions prising the largest US equities by market capital- reduce unnecessary portfolio turnover in order shall apply in addition to the terms contained in isation for which CROCI Economic P/Es are to reduce market impact and transaction costs. the general section of the Sales Prospectus. calculated. Companies in the Financial and Real These techniques include, but are not limited to, Estate sectors are not eligible for selection. The limiting the replacement of an existing share Investment Policy investment strategy will also exclude from from the investment strategy during re-compo The objective of the investment policy of DWS selection any stocks that do not pass a series of sitions to circumstances when its CROCI Eco- Invest CROCI US Dividends is to achieve long dividend sustainability screens based on cash nomic P/E is sufficiently higher or its dividend term capital appreciation by investing predomi- returns (further described below under “CROCI yield is sufficiently lower than that of the pro- nantly in large cap US equities that are consid- Sustainable Dividends Process”), financial lever- posed replacement share. Consequently, in ered undervalued and offer comparatively high age and volatility, stocks paying zero dividends some cases, a share may not be added during a and sustainable dividend yield according to the and stocks with a below median current dividend sub-fund re-composition despite having one of CROCI methodology and the CROCI US yield. In addition, stocks with low liquidity may the forty lowest CROCI Economic P/Es or above Dividends investment strategy. be excluded from selection. In the event that median dividend yield of shares eligible for fewer than forty shares have a positive CROCI selection. Equally, a share may remain in the The investment strategy will generally select Economic P/E, only those shares with a positive sub-fund despite no longer being amongst the approximately forty shares with the lowest CROCI Economic P/E will be included in the forty shares with the lowest CROCI Economic positive CROCI Economic Price Earnings Ratio sub-fund. The investment strategy may also P/E or having an above median dividend yield.

97 These techniques have no impact on the invest- associations of persons or estates are subject make measuring the real asset value of compa- ment strategy maintaining approximately forty to corporate income tax of at least 15% and nies difficult. For example, it is difficult to com- constituents. In addition, the investment strategy are not exempt from it or if their distributions pare the price-to-earnings or “P/E” Ratio of a car may consider other factors such as liquidity, are subject to tax of at least 15% and the manufacturing stock to that of a technology stock transaction costs and, upon notification by the sub-fund is not exempt from said taxation; and equally difficult to compare a Japanese sub-fund to the CROCI Investment and Valuation –– units of corporations which are exempt from Utility to a U.S. Utility. The CROCI methodology Group, market events in respect of the eligible corporate income taxation to the extent they seeks to generate data that will enable valuation shares. The sub-fund manager may consider risk conduct distributions unless such distributions comparisons on a consistent basis, resulting in limits when determining the implementation of are subject to taxation at a minimum rate of an effective and efficient stock selection process the investment strategy into the sub-fund. 15% and the sub-fund is not exempt from said targeting investment in real value. The invest- taxation; ment strategy will primarily make us of the The sub-fund‘s assets are periodically reconsti- –– units of corporations the income of which CROCI Economic P/E, which is a proprietary tuted in accordance with the investment strate- originates, directly or indirectly, to an extent of measure of company valuation using the same gy’s rules (re-selecting the approximately forty more than 10%, from units of corporations, relationships between valuation and return as an shares that the sub-fund will invest in) with the that are (i) real estate companies or (ii) are not accounting P/E ratio (i.e. price/book value divided intention that each constituent share is equally real estate companies, but (a) are domiciled in by return on equity). weighted. However, in order to minimise impacts member state of the European Union or a on performance when trading the sub-fund’s member state of the European Economic Area However, the CROCI Economic P/E substitutes assets, the sub-fund manager may take neces- and are not subject in said domicile to corpo- alternative calculation inputs as follows: sary steps to reduce the costs related to trading rate income tax or are exempt from it or and market impact, including effecting the (b) are domiciled in a third country and are not (i) Instead of price (market capitalisation), the re-composition in stages over a period of time. subject in said domicile to corporate income CROCI Enterprise Value is used as the eco- Consequently, the sub-fund may at certain times tax of at least 15% or are exempt from it; nomic measure of the market value of a hold more or less than forty different shares and –– units of corporations which hold, directly or company. It includes not only financial liabili- may not therefore be equally weighted at all indirectly, units of corporations, that are (i) real ties (e.g. debts) but also operational liabilities times. The sub-fund operates on a total return estate companies or (ii) are not real estate (e.g. warranties, pension underfunding, lease basis, re-investing dividends received in the companies, but (a) are domiciled in a member obligations and specific provisions). purchase of additional shares. state of the European Union or a member (ii) Instead of book value, the CROCI Net Capital state of the European Economic Area and are Invested is used as the economic measure Further information on the investment strategy not subject in said domicile to corporate of the book value of a company. This is an and the CROCI methodology can be found on income tax or are exempt from it or (b) are assessment of the inflation-adjusted value of the website of the CROCI Investment and domiciled in a third country and are not sub- net assets. Valuation Group www.dws.com/croci. ject in said domicile to corporate income tax (iii) Instead of return on equity, the Cash Return of at least 15% or are exempt from it if the fair on Capital Invested or ‘CROCI’ is used as the In compliance with Article 2 B. of the general market value of units of such corporations economic measure of return on equity. It is a section of the Sales Prospectus, the sub-fund equal more than 10% of the fair market value measure of the cash earnings yield (or cash may use derivative techniques to implement the of those corporations. return) and is standardised for all companies, investment objective, including in particular – but regardless of their sector or geographic not limited to – forwards, futures, single-stock For the purpose of this investment policy and in location. futures, options or equity swaps. accordance with the definition in the German Investment Code (KAGB), an organized market is CROCI Sustainable Dividends Process The sub-fund will not invest in contingent a market which is recognized, open to the public The CROCI Investment and Valuation Group convertibles. and which functions correctly, unless expressly believe that the ability of a company to continue specified otherwise. Such organized market also to pay dividends may be dependent upon both The sub-fund intends to use securities financing meets the criteria of article 50 of the UCITS the financial strength and cash-generation capa- transactions under the conditions and to the Directive. bilities of the company. This has led to the devel- extent further described in the general part of opment of a “sustainable dividends” investment the Sales Prospectus. The respective risks connected with investments strategy that attempts to identify and exclude in this sub-fund are disclosed in the general shares that may have a higher risk of a future For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. dividend cut. Therefore, when attempting to tion within the meaning of the German Invest- identify companies that are attractive in the ment Tax Act and in addition to the investment Integration of sustainability risks dividend investment strategy, shares with the limits described in the Articles of Incorporation The sub-fund management integrates sustain- highest financial leverage and lowest cash and this Sales Prospectus (equity fund) at least ability risks into their investment decisions by returns are filtered from the selection process. 51% of the sub-fund´s gross assets (determined means of Smart Integration. Further information In addition, shares with the highest price volatil- as being the value of the sub-fund´s assets on how sustainability risks are taken into account ity and those with a below-median dividend yield without taking into account liabilities) are in the investment decisions can be found in the are also excluded. invested in equities admitted to official trading on general section of the Sales Prospectus. a stock exchange or admitted to, or included in, CROCI Strategies another organized market and which are not: CROCI Methodology The CROCI strategies (each a “Strategy” and The CROCI (Cash Return On Capital Invested) together the “Strategies”) are devised by the –– units of investment funds; methodology is based on the belief that the data CROCI Investment and Valuation Group, which is –– equities indirectly held via partnerships; used in traditional valuations (i.e. accounting part of DWS Investments UK Limited (“CROCI”), –– units of corporations, associations of persons data) does not accurately appraise assets, reflect and have been licensed for use by DWS Invest. or estates at least 75% of the gross assets of all liabilities or represent the real value of a CROCI is a registered trademark of DWS. The which consist of immovable property in company. This is because accounting rules are CROCI sub-funds in the DWS Invest SICAV (the accordance with statutory provisions or their not always designed specifically for investors and “Sub-Funds”) are not sponsored or sold by DWS investment conditions, if such corporations, often utilise widely differing standards which can CROCI and DWS CROCI has no obligation or

98 liability in connection with the administration, and wider positioning compared to the bench- marketing or trading of the Sub-Funds. No repre- mark. Despite the fact that the sub-fund aims sentation, warranty or condition, express or to outperform the return of the benchmark, implied, is given or assumed by DWS CROCI the potential outperformance might be limited with respect to any Sub-Fund and DWS CROCI depending on the prevailing market environment shall have no liability or responsibility whatsoever (e.g. less volatile market environment) and actual to any party for any loss or charges arising in positioning versus the benchmark. connection with any Sub-Fund. DWS CROCI has no obligation to take the needs of any of its Risk Management licensees or the owners of the Sub-Funds into The relative Value-at-Risk (VaR) approach is used consideration in determining or composing the to limit market risk in the sub-fund. Strategies. In addition to the provisions of the general DWS CROCI does not undertake any discretion- section of the Sales Prospectus, the potential ary or non-discretionary asset management and market risk of the sub-fund is measured using a does not make any suggestions or recommen reference portfolio that does not contain deriva- dations (including, without limitation, any invest- tives (“risk benchmark”). ment recommendations), whether express or implied, in relation to any financial instruments, Leverage is not expected to exceed twice the issuers ,Sub-Funds or the Strategies and does value of the investment sub-fund’s assets. The not express any opinions in relation to the pres- leverage effect is calculated using the sum of ent or future value or price of financial instru- notional approach (absolute (notional) amount of ments. Inclusion of a financial instrument in a each derivative position divided by the net present Strategy is not a recommendation by CROCI to value of the portfolio). However, the disclosed buy, sell or hold such security, nor shall it be expected level of leverage is not intended to be an considered investment advice or a recommen additional exposure limit for the sub-fund. dation in any manner or form. Investment in shares of target funds DWS CROCI provides no representation, guaran- In addition to the information in the general tee or warranty, whether express or implied, as section of the Sales Prospectus the following to the accuracy, adequacy, timeliness, complete- is applicable to this sub-fund: ness or fitness for a particular purpose of the Strategies, any data or information related When investing in target funds associated to the thereto nor as to the results obtained by any of sub-fund, the part of the management fee its users. DWS CROCI shall in no way be liable attributable to shares of these target funds is for any errors, inaccuracies, omissions or delays reduced by the management fee/all-in fee of the relating to the Strategies or any related data and acquired target funds, and as the case may be, shall have no obligation to update, modify or up to the full amount (difference method). amend any Strategy or any related data in the event that it proves inaccurate.

99 DWS Invest CROCI World

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark MSCI Daily TR Net World, administered by MSCI Limited. Reference portfolio MSCI Daily TR Net World (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt, that is also an exchange trading day on the New York Stock Exchange (NYSE) and London Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest equities by market capitalisation for which CROCI limiting the replacement of an existing share CROCI World, the following provisions shall apply Economic P/Es are calculated. Companies in the from the investment strategy during re-compo in addition to the terms contained in the general Financial and Real Estate sectors are not eligible sitions to circumstances when its CROCI Eco- section of the Sales Prospectus. for selection. The investment strategy attempts nomic P/E is sufficiently higher than the pro- to match specific regional weightings and also posed replacement share. Consequently, in Investment Policy limits exposure to a single economic sector to no some cases, a share may not be added during a The objective of the investment policy of DWS more than 25%. As a result of the regional and sub-fund re-composition despite having one of Invest CROCI World is to achieve long term sector constraints, fewer than 100 shares may the one hundred lowest CROCI Economic P/Es capital appreciation by investing predominantly in be included in the investment strategy. In addi- among shares eligible for selection. Equally, a large cap developed market global equities that tion, shares with low liquidity may be excluded share may remain in the sub-fund despite no are considered undervalued according to the from selection. In the event that fewer than one longer being amongst the one hundred shares CROCI methodology and the CROCI World hundred shares have a positive CROCI Economic with the lowest CROCI Economic P/Es. These investment strategy. P/E, only those shares with a positive CROCI techniques have no impact on the investment Economic P/E will be included in the investment strategy maintaining approximately one hundred The investment strategy will generally select strategy. The investment strategy may also utilise constituents. In addition, the investment strategy approximately one hundred shares with the rules-based techniques which aim to reduce may consider other factors such as liquidity, lowest positive CROCI Economic Price Earnings unnecessary portfolio turnover in order to reduce transaction costs and, upon notification by the Ratio (“CROCI Economic P/E”) from a universe market impact and transaction costs. These sub-fund to the CROCI Investment and Valuation comprising the largest developed market global techniques include, but are not limited to, Group, market events in respect of the eligible

100 shares. The sub-fund manager may consider risk –– units of corporations which are exempt from Utility. The CROCI methodology seeks to generate limits when determining the implementation of corporate income taxation to the extent they data that will enable valuation comparisons on a the investment strategy into the sub-fund. conduct distributions unless such distributions consistent basis, resulting in an effective and are subject to taxation at a minimum rate of efficient stock selection process targeting invest- The sub-fund’s assets are periodically reconsti- 15% and the sub-fund is not exempt from said ment in real value. The investment strategy will tuted in accordance with the investment strate- taxation; primarily make use of the CROCI Economic P/E gy’s rules (re-selecting the approximately one –– units of corporations the income of which which is a proprietary measure of company hundred shares that the sub-fund will invest in) originates, directly or indirectly, to an extent of valuation using the same relationships between with the intention that each constituent share is more than 10%, from units of corporations, valuation and return as an accounting P/E ratio equally weighted. However, in order to mini- that are (i) real estate companies or (ii) are not (i.e. price/book value divided by return on equity). mise impacts on performance when trading the real estate companies, but (a) are domiciled in sub-fund’s assets, the sub-fund manager may member state of the European Union or a However, the CROCI Economic P/E substitutes take necessary steps to reduce the costs member state of the European Economic Area alternative calculation inputs as follows: related to trading and market impact, including and are not subject in said domicile to corpo- effecting the re-composition in stages over a rate income tax or are exempt from it or (i) Instead of price (market capitalisation), the period of time. Consequently, the sub-fund may (b) are domiciled in a third country and are not CROCI Enterprise Value is used as the eco- at certain times hold more or less than one subject in said domicile to corporate income nomic measure of the market value of a hundred different shares and may not therefore tax of at least 15% or are exempt from it; company. It includes not only financial liabili- be equally weighted at all times. The sub-fund –– units of corporations which hold, directly or ties (e.g. debts) but also operational liabilities operates on a total return basis, re-investing indirectly, units of corporations, that are (i) real (e.g. warranties, pension underfunding, lease dividends received in the purchase of additional estate companies or (ii) are not real estate obligations and specific provisions). shares. companies, but (a) are domiciled in a member (ii) Instead of book value, the CROCI Net Capital state of the European Union or a member Invested is used as the economic measure of Further information on the investment strategy state of the European Economic Area and are the book value of a company. This is an and the CROCI methodology can be found on not subject in said domicile to corporate assessment of the inflation-adjusted value of the website of the CROCI Investment and income tax or are exempt from it or (b) are net assets. Valuation Group www.dws.com/croci. domiciled in a third country and are not sub- (iii) Instead of return on equity, the Cash Return ject in said domicile to corporate income tax on Capital Invested or ‘CROCI’ is used as the In compliance with Article 2 B. of the general of at least 15% or are exempt from it if the fair economic measure of return on equity. It is a section of the Sales Prospectus, the sub-fund market value of units of such corporations measure of the cash earnings yield (or cash may use derivative techniques to implement the equal more than 10% of the fair market value return) and is standardised for all companies, investment objective, including in particular – but of those corporations. regardless of their sector or geographic not limited to – forwards, futures, single-stock location. futures, options or equity swaps. For the purpose of this investment policy and in accordance with the definition in the German CROCI Strategies The sub-fund will not invest in contingent Investment Code (KAGB), an organized market is The CROCI strategies (each a “Strategy” and convertibles. a market which is recognized, open to the public together the “Strategies”) are devised by the and which functions correctly, unless expressly CROCI Investment and Valuation Group, which is The sub-fund intends to use securities financing specified otherwise. Such organized market also part of DWS Investments UK Limited (“CROCI”), transactions under the conditions and to the meets the criteria of article 50 of the UCITS and have been licensed for use by DWS Invest. extent further described in the general part of Directive. DWS CROCI is a registered trademark of DWS. the Sales Prospectus. The CROCI sub-funds in the DWS Invest SICAV The respective risks connected with investments (the “Sub-Funds”) are not sponsored or sold by For the purpose of inducing a partial tax exemp- in this sub-fund are disclosed in the general DWS CROCI and DWS CROCI has no obligation or tion within the meaning of the German Invest- section of the Sales Prospectus. liability in connection with the administration, ment Tax Act and in addition to the investment marketing or trading of the Sub-Funds. No repre- limits described in the Articles of Incorporation Integration of sustainability risks sentation, warranty or condition, express or and this Sales Prospectus (equity fund) at least The sub-fund management integrates sustain- implied, is given or assumed by DWS CROCI with 51% of the sub-fund´s gross assets (determined ability risks into their investment decisions by respect to any Sub-Fund and CROCI shall have no as being the value of the sub-fund´s assets means of Smart Integration. Further information liability or responsibility whatsoever to any party without taking into account liabilities) are on how sustainability risks are taken into account for any loss or charges arising in connection with invested in equities admitted to official trading on in the investment decisions can be found in the any Sub-Fund. DWS CROCI has no obligation to a stock exchange or admitted to, or included in, general section of the Sales Prospectus. take the needs of any of its licensees or the another organized market and which are not: owners of the Sub-Funds into consideration in CROCI Methodology determining or composing the Strategies. –– units of investment funds; The CROCI (Cash Return On Capital Invested) –– equities indirectly held via partnerships; methodology is based on the belief that the data DWS CROCI does not undertake any discretion- –– units of corporations, associations of persons used in traditional valuations (i.e. accounting data) ary or non-discretionary asset management and or estates at least 75% of the gross assets of does not accurately appraise assets, reflect all does not make any suggestions or recommenda- which consist of immovable property in liabilities or represent the real value of a company. tions (including, without limitation, any invest- accordance with statutory provisions or their This is because accounting rules are not always ment recommendations), whether express or investment conditions, if such corporations, designed specifically for investors and often utilise implied, in relation to any financial instruments, associations of persons or estates are subject widely differing standards which can make mea- issuers, Sub-Funds or the Strategies and does to corporate income tax of at least 15% and suring the real asset value of companies difficult. not express any opinions in relation to the pres- are not exempt from it or if their distributions For example, it is difficult to compare the price- ent or future value or price of financial instru- are subject to tax of at least 15% and the to-earnings or “P/E” Ratio of a car manufacturing ments. Inclusion of a financial instrument in a sub-fund is not exempt from said taxation; stock to that of a technology stock and equally Strategy is not a recommendation by CROCI to difficult to compare a Japanese Utility to a U.S.

101 buy, sell or hold such security, nor shall it be value of the portfolio). However, the disclosed considered investment advice or a recommen expected level of leverage is not intended to be an dation in any manner or form. additional exposure limit for the sub-fund.

DWS CROCI provides no representation, guaran Investment in shares of target funds tee or warranty, whether express or implied, as In addition to the information in the general to the accuracy, adequacy, timeliness, complete section of the Sales Prospectus the following ness or fitness for a particular purpose of the is applicable to this sub-fund: Strategies, any data or information related thereto nor as to the results obtained by any of When investing in target funds associated to the its users. DWS CROCI shall in no way be liable sub-fund, the part of the management fee for any errors, inaccuracies, omissions or delays attributable to shares of these target funds is relating to the Strategies or any related data and reduced by the management fee/all-in fee of the shall have no obligation to update, modify or acquired target funds, and as the case may be, amend any Strategy or any related data in the up to the full amount (difference method). event that it proves inaccurate.

Benchmark The sub-fund is actively managed and is man aged in reference to one or a combination of benchmarks as further detailed in the sub-fund specific table. All benchmarks respectively their administrators are registered with the ESMA, either in the public register of administrators of benchmark indices or the public register of third country benchmarks.

The majority of the sub-fund’s securities or their issuers are not necessarily expected to be components of the benchmark and the port folio is not necessarily expected to have a similar weighting to the benchmark. The sub-fund management will use its discretion to invest in securities and sectors that are not included in the benchmark in order to take advantage of specific investment opportunities. In regard to its benchmark, the sub-fund positioning can deviate significantly (e.g., by a positioning outside of the benchmark as well as a significant underweight ing or overweighting) and the actual degree of freedom is typically relatively high. A deviation generally reflects the sub-fund manager’s evalua tion of the specific market situation, which may lead to a defensive and closer or a more active and wider positioning compared to the bench mark. Despite the fact that the sub-fund aims to outperform the return of the benchmark, the potential outperformance might be limited depending on the prevailing market environment (e.g. less volatile market environment) and actual positioning versus the benchmark.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

102 DWS Invest CROCI World SDG

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments UK Limited, 1 Great Winchester Street, London EC2N 2DB, United Kingdom. Performance benchmark - Reference portfolio MSCI Daily TR Net World (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt, that is also an exchange trading day on the New York Stock Exchange (NYSE) and London Stock Exchange Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest and economic trends and themes which help to objectives and to at least one of the UN Sustain- CROCI World SDG, the following provisions shall achieve the sustainable development goals of the able development goals (‘SDG’). apply in addition to the terms contained in the UN as part of the Agenda 2030. general section of the Sales Prospectus. The sub-fund management seeks to attain its The sub-fund is actively managed and is not sustainable objective by assessing potential Investment Policy managed in reference to a benchmark. investments via proprietary ESG investment This sub-fund has sustainable investment as its methodology. This methodology incorporates objective and qualifies as product in accordance The outcome of following the rules-based and investment standards according to an ESG data- with article 9 of Regulation (EU) 2019/2088 on systematic investment strategy will be a concen- base, which uses data from multiple leading ESG sustainability-related disclosures in the financial trated portfolio derived by selecting shares based data providers as well as internal and public services sector. on CROCI metrics including, but not limited to, sources to derive proprietary combined scores for low positive CROCI Economic Price Earnings various environmental and social objectives. The The objective of the investment policy of DWS Ratio (“CROCI Economic P/E”). Eligible shares methodology assigns one of six possible propri- Invest CROCI World SDGis to achieve long term are selected from a universe comprising the etary scores to each possible issuer. These scores capital appreciation by investing predominantly in largest global developed market companies by encompass assessments for (i) controversial large cap, global developed market equities that market capitalisation for which CROCI Economic sectors (which include coal, tobacco, defence are considered undervalued according to the P/Es are calculated. industry, pornography, gambling and nuclear CROCI methodology and the CROCI World SDG power), (ii) involvement in controversial weapons investment strategy, and that are considered by The sub-fund management invests at least 80% (nuclear weapons, depleted uranium, cluster the DWS Sustainability Office to be in a position of the sub-fund’s assets in economic activities munitions and anti-personnel mines) or (iii) viola- to profit from present or future geopolitical, social that contribute to environmental and/or social tion of internationally accepted norms, but also

103 allow for an active issuer selection based on Corporate Governance re-investing dividends received in the purchase categories such as climate and transition risk, of additional shares. norm compliance or best in class ESG evaluations –– Global Governance Principles by the Inter in respect to the above-mentioned environmental national Corporate Governance Network; Further information on the investment strategy and/or social objectives. The methodology assigns –– Global Compact Anti-Corruption Principles. and the CROCI methodology can be found on the one of six possible proprietary scores to each website of the CROCI Investment and Valuation possible issuer based on a letter scoring from A to UN Sustainable Development Goals Group www.dws.com/croci. F, whereby issuers with A and B scores are considered as leading in their categories and issuers –– Climate Change In compliance with Article 2 B. of the general with C scores are considered as within the upper –– Water Scarcity section of the Sales Prospectus, the sub-fund may midfield of their category. These letter scores can –– Waste Management use derivative techniques to implement the originate from revenues generated from contro- –– Food Availability investment objective, including in particular – but versial sectors or the degree of involvement in –– Health & Wellness not limited to – forwards, futures, single-stock controversial weapons, the degree of severity that –– Improving Lives and Demographics futures, options or equity swaps. an issuer may be involved in the violation of international norms, the assessment on climate At least 90% of the sub-fund`s portfolio holdings The sub-fund will not invest in contingent and transition risk, which is based on for example will be screened according to non-financial criteria convertibles. carbon intensity or the risk of stranded assets, or available via the ESG database. from best in class ESG evaluations. The sub-fund intends to use securities financing More information about the functioning of the transactions under the conditions and to the The SDG contribution of an issuer will be mea- ESG investment methodology, its integration in extent further described in the general part of the sured by dedicated SDG scores, which are the the investment process, the selection criteria as Sales Prospectus. result of a double-layered algorithm in the ESG well as our ESG related policies can be found on investment methodology. In the first layer, our website www.dws.com/solutions/esg. For the purpose of inducing a partial tax exemp- issuers are identified and scored by the revenues tion within the meaning of the German Invest- they generate that can be linked to the SDGs In addition, an engagement activity can be initi- ment Tax Act and in addition to the investment (positive contribution) and where those revenues ated with the individual issuers regarding matters limits described in the Articles of Incorporation by comparison measures exceed the correspond- such as strategy, financial and non-financial perfor- and this Sales Prospectus (equity fund) at least ing measures of other issuers. The second layer mance, risk, capital structure, social and environ- 51% of the sub-fund´s gross assets (deter- confirms the ESG quality of such issuers in mental impact as well as corporate governance mined as being the value of the sub-fund´s respect to defined minimum standards in including topics like disclosure, culture and remu- assets without taking into account liabilities) are respect to environmental, social and corporate neration. The dialogue can be exercised by, for invested in equities admitted to official trading governance factors. Further, next to their SDG example, proxy voting, company meetings or on a stock exchange or admitted to, or included contribution issuers will be assessed to ensure engagement letters. in, another organized market and which are not: that they do not obstruct the SDG objective (with negative total net SDG contribution). Portfolio optimization techniques may be utilized –– units of investment funds; by the investment strategy in analysing the risk –– equities indirectly held via partnerships; The sub-fund manager considers in its asset profile of eligible shares (in absolute terms or –– units of corporations, associations of persons allocation the resulting scores from the ESG relative to a benchmark) and in determining the or estates at least 75% of the gross assets of database. At least 80% of the sub-fund’s assets final investment strategy constituents and which consist of immovable property in accor- are invested in issuers that are classified in the weights. The investment strategy may also dance with statutory provisions or their invest- highest three scores (scores A-C) of the propri- utilize techniques and consider factors which ment conditions, if such corporations, associa- etary SDG score from the application of the ESG aim to reduce unnecessary portfolio turnover in tions of persons or estates are subject to investment methodology. order to reduce market impact and transaction corporate income tax of at least 15% and are costs. These techniques include, but are not not exempt from it or if their distributions are The ESG and SDG performance of an issuer is limited to, limiting the replacement of an exist- subject to tax of at least 15% and the sub-fund evaluated independently from financial success ing share from the sub-fund during re-composi- is not exempt from said taxation; based on a variety of factors. These factors tions to circumstances when the CROCI Eco- –– units of corporations which are exempt from include, for example, the following fields of nomic P/E is sufficiently higher than that of the corporate income taxation to the extent they interest: proposed replacement share. In addition, the conduct distributions unless such distributions strategy may consider other factors such as are subject to taxation at a minimum rate of Environment liquidity, transaction costs and, upon notification 15% and the sub-fund is not exempt from said by the sub-fund to the CROCI Investment and taxation; –– Conservation of flora and fauna; Valuation Group, market events in respect of –– units of corporations the income of which –– Protection of natural resources, atmosphere the eligible shares. The sub-fund manager may originates, directly or indirectly, to an extent of and inshore waters; consider risk limits when determining the more than 10%, from units of corporations, –– Limitation of land degradation and implementation of the investment strategy into that are (i) real estate companies or (ii) are not climate change; the sub-fund. real estate companies, but (a) are domiciled in –– Avoidance of encroachment on ecosystems member state of the European Union or a and loss of biodiversity. The sub-fund’s assets are periodically reconsti- member state of the European Economic Area tuted in accordance with the investment strate- and are not subject in said domicile to corpo- Social gy’s rules. In order to minimise impacts on rate income tax or are exempt from it or (b) are performance when trading the sub-fund’s domiciled in a third country and are not subject –– General human rights; assets, the sub-fund manager may take neces- in said domicile to corporate income tax of at –– Prohibition of child labour and forced labour; sary steps to reduce the costs related to trading least 15% or are exempt from it; –– Imperative Non-discrimination; and market impact, including effecting the –– Workplace health and safety; re-composition in stages over a period of time. –– Fair workplace and appropriate remuneration. The sub-fund operates on a total return basis,

104 –– units of corporations which hold, directly or (iii) Instead of return on equity, the Cash Return Risk Management indirectly, units of corporations, that are (i) real on Capital Invested or ‘CROCI’ is used as the The relative Value-at-Risk (VaR) approach is used estate companies or (ii) are not real estate economic measure of return on equity. It is a to limit market risk in the sub-fund. companies, but (a) are domiciled in a member measure of the cash earnings yield (or cash state of the European Union or a member state return) and is standardised for all companies, In addition to the provisions of the general of the European Economic Area and are not regardless of their sector or geographic section of the Sales Prospectus, the potential subject in said domicile to corporate income location. market risk of the sub-fund is measured using a tax or are exempt from it or (b) are domiciled in reference portfolio that does not contain deriva- a third country and are not subject in said CROCI Strategies tives (“risk benchmark”). domicile to corporate income tax of at least The CROCI strategies (each a “Strategy” and 15% or are exempt from it if the fair market together the “Strategies”) are devised by the Leverage is not expected to exceed twice the value of units of such corporations equal more CROCI Investment and Valuation Group, which is value of the investment sub-fund’s assets. The than 10% of the fair market value of those part of DWS Investments UK Limited (“CROCI”), leverage effect is calculated using the sum of corporations. and have been licensed for use by DWS Invest. notional approach (absolute (notional) amount of CROCI is a registered trademark of DWS. The each derivative position divided by the net present For the purpose of this investment policy and in CROCI sub-funds in the DWS Invest SICAV (the value of the portfolio). However, the disclosed accordance with the definition in the German “Sub-Funds”) are not sponsored or sold by DWS expected level of leverage is not intended to be an Investment Code (KAGB), an organized market is CROCI and DWS CROCI has no obligation or additional exposure limit for the sub-fund. a market which is recognized, open to the public liability in connection with the administration, and which functions correctly, unless expressly marketing or trading of the Sub-Funds. No repre- Investment in shares of target funds specified otherwise. Such organized market also sentation, warranty or condition, express or In addition to the information in the general meets the criteria of article 50 of the UCITS implied, is given or assumed by DWS CROCI with section of the Sales Prospectus the following Directive. respect to any Sub-Fund and DWS CROCI shall is applicable to this sub-fund: have no liability or responsibility whatsoever to The respective risks connected with investments any party for any loss or charges arising in connec- When investing in target funds associated to the in this sub-fund are disclosed in the general tion with any Sub-Fund. DWS CROCI has no sub-fund, the part of the management fee attribut- section of the Sales Prospectus. obligation to take the needs of any of its licensees able to shares of these target funds is reduced by or the owners of the Sub-Funds into consideration the management fee/all-in fee of the acquired CROCI Methodology in determining or composing the Strategies. target funds, and as the case may be, up to the full The CROCI (Cash Return On Capital Invested) amount (difference method). methodology is based on the belief that the data DWS CROCI does not undertake any discretion- used in traditional valuations (i.e. accounting data) ary or non-discretionary asset management and does not accurately appraise assets, reflect all does not make any suggestions or recommen liabilities or represent the real value of a company. dations (including, without limitation, any invest- This is because accounting rules are not always ment recommendations), whether express or designed specifically for investors and often utilise implied, in relation to any financial instruments, widely differing standards which can make mea- issuers, Sub-Funds or the Strategies and does suring the real asset value of companies difficult. not express any opinions in relation to the pres- For example, it is difficult to compare the price- ent or future value or price of financial instru- to-earnings or “P/E” Ratio of a car manufacturing ments. Inclusion of a financial instrument in a stock to that of a technology stock and equally Strategy is not a recommendation by CROCI to difficult to compare a Japanese Utility to a U.S. buy, sell or hold such security, nor shall it be Utility. The CROCI methodology seeks to generate considered investment advice or a recommen data that will enable valuation comparisons on a dation in any manner or form. consistent basis, resulting in an effective and efficient stock selection process targeting invest- DWS CROCI provides no representation, guaran- ment in real value. The investment strategy will tee or warranty, whether express or implied, as to primarily make use of the CROCI Economic P/E the accuracy, adequacy, timeliness, completeness which is a proprietary measure of company or fitness for a particular purpose of the Strate- valuation using the same relationships between gies, any data or information related thereto nor valuation and return as an accounting P/E ratio (i.e. as to the results obtained by any of its users. price/book value divided by return on equity). DWS CROCI shall in no way be liable for any errors, inaccuracies, omissions or delays relating However, the CROCI Economic P/E substitutes to the Strategies or any related data and shall have alternative calculation inputs as follows: no obligation to update, modify or amend any Strategy or any related data in the event that it (i) Instead of price (market capitalisation), the proves inaccurate. CROCI Enterprise Value is used as the economic measure of the market value of a Integration of sustainability risks company. It includes not only financial liabili- The sub-fund management integrates sustainabil- ties (e.g. debts) but also operational liabilities ity risks into their investment decisions by means (e.g. warranties, pension underfunding, lease of ESG Integration. Further information on how obligations and specific provisions). sustainability risks are taken into account in the (ii) Instead of book value, the CROCI Net Capital investment decisions can be found in the general Invested is used as the economic measure of section of the Sales Prospectus. the book value of a company. This is an assessment of the inflation-adjusted value of net assets.

105 DWS Invest Emerging Markets Corporates

Investor profile Risk-tolerant Currency of sub-fund USD Sub-fund manager DWS Investment GmbH Performance benchmark JPM CEMBI Broad Diversified, administered by J. P. Morgan Securities LLC. Reference portfolio JPM CEMBI Broad Diversified (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* USD LD USD up to 3% up to 1.1% 0% 0.05% November 20, 2006 USD LC USD up to 3% up to 1.1% 0% 0.05% November 20, 2006 USD FC USD 0% up to 0.6% 0% 0.05% November 20, 2006 NCH EUR up to 1.5% up to 1.4% 0.1% 0.05% November 16, 2010 LCH EUR up to 3% up to 1.1% 0% 0.05% November 16, 2010 LDH EUR up to 3% up to 1.1% 0% 0.05% November 16, 2010 FCH EUR 0% up to 0.6% 0% 0.05% November 16, 2010 NDH EUR up to 1.5% up to 1.4% 0.1% 0.05% November 16, 2010 SGD LDMH SGD up to 3% up to 1.1% 0% 0.05% October 2, 2013 USD LDM USD up to 3% up to 1.1% 0% 0.05% October 2, 2013 PFCH EUR 0% up to 0.8% 0% 0.05% May 26, 2014 PFDQH EUR 0% up to 0.8% 0% 0.05% May 26, 2014 ND EUR up to 1.5% up to 1.4% 0.1% 0.05% November 3, 2014 CHF FCH CHF 0% up to 0.6% 0% 0.05% January 15, 2015 SEK LCH SEK up to 3% up to 1.1% 0% 0.05% December 1, 2015 NDQH EUR up to 1.5% up to 1.4% 0.1% 0.05% April 28, 2017 USD RC USD 0% up to 0.15% 0% 0.01% May 31, 2017 TFCH EUR 0% up to 0.6% 0% 0.05% December 5, 2017 TFDH EUR 0% up to 0.6% 0% 0.05% December 5, 2017 USD TFC USD 0% up to 0.6% 0% 0.05% December 5, 2017 USD TFD USD 0% up to 0.6% 0% 0.05% December 5, 2017

Dilution adjustment PFCH and PFDQH: (payable by the shareholder)** A dilution adjustment of up to 3% based on the gross redemption amount may be charged. Please see the general section for further explanation. Placement fee PFCH and PFDQH: (payable from the sub-fund’s assets) Up to 3% for the benefit of the distributor. Please see the general section for further explanation.

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

106 Due to its composition and the techniques applied by its fund management, the sub-fund is subject to markedly increased volatility, which means that the price per share may be subject to substantial downward or upward fluctuation, even within short periods of time. The sub-fund is therefore only suitable for experienced investors who are familiar with the opportunities and risks of volatile investments and who are in a position to temporarily bear substantial losses.

For the sub-fund with the name DWS Invest The sub-fund’s investments in contingent convert- evaluation of the specific market situation, which Emerging Markets Corporates, the following ibles shall be limited to 10% of the sub-fund’s net may lead to a defensive and closer or a more provisions shall apply in addition to the terms asset value. active and wider positioning compared to the contained in the general section of the Sales benchmark. Despite the fact that the sub-fund Prospectus. The sub-fund intends to use securities financing aims to outperform the return of the benchmark, transactions under the conditions and to the the potential outperformance might be limited Investment policy extent further described in the general part of the depending on the prevailing market environment The objective of the investment policy of DWS Sales Prospectus. (e.g. less volatile market environment) and actual Invest Emerging Markets Corporates is to gener- positioning versus the benchmark. ate an above-average return for the sub-fund. In the due course of a re-structuring of fixed income instruments held by the sub-fund, the Specific Risk At least 70% of the sub-fund’s assets are sub-fund manager may also invest up to a maxi- Investments in or related to China carry specific invested in interest-bearing debt securities that mum of 10% of the sub-fund’s assets into listed risks. We refer in that context to the specific risk are issued by companies based in an Emerging or non-listed equities. Furthermore, the sub-fund factors outlined in the general section of the Market or those that conduct their principal manager may also participate in capital increases Sales Prospectus. business activity in such a country. or other corporate actions (e.g. for convertible bonds or warrant linked bonds) that are part of a Additional information Emerging Markets are countries that are part re-structuring or take place after a re-structuring. When using total return swaps to implement the of the index ‘JPM Corporate Emerging Market investment strategy as described above, the Bond Index Broad (CEMBI Broad)’ or that are In addition, the sub-fund may invest in all other following shall be noted: classified as ‘emerging market and developing permissible assets as specified in Article 2 of the economies’ by the International Monetary Fund general section of the Sales Prospectus. The proportion of the sub-fund’s net assets (World Economic Outlook). Countries listed as subject to total return swaps, expressed as low or middle (both lower middle and higher The respective risks connected with investments the sum of notionals of the total return swaps middle) income by the World Bank will determine in this sub-fund are disclosed in the general divided by the sub-fund’s net asset value, is if a country is an emerging market if such coun- section of the Sales Prospectus. expected to reach up to 50%, but depending try is not listed in the CEMBI Broad index and if on the respective market conditions, with the it is not classified as ‘emerging market and Integration of sustainability risks objective of efficient portfolio management and developing economy’ by the International Mone- The sub-fund management integrates sustain- in the interest of the investors, it may reach up tary Fund. ability risks into their investment decisions by to 100%. The calculation is performed in line means of Smart Integration. Further information with the guidelines CESR/10-788. However, the Renminbi-denominated assets may be invested on how sustainability risks are taken into account disclosed expected level of leverage is not via the Chinese offshore as well as the Chinese in the investment decisions can be found in the intended to be an additional exposure limit for onshore market. general section of the Sales Prospectus. the sub-fund.

Investments in domestic securities via the Benchmark Additional information on total return swaps Chinese onshore market will be done in listed The sub-fund is actively managed and is man- may be found in the general section of the securities or via direct access to the interbank aged in reference to one or a combination of Sales Prospectus, amongst others, in the bond market (CIBM). Alternatively, investments benchmarks as further detailed in the sub-fund section “Efficient portfolio management tech- may be made through the Renminbi Qualified specific table. All benchmarks respectively their niques”. The selection of counterparties to any Foreign Institutional (R-QFII) scheme, which administrators are registered with the ESMA, total return swap is subject to the principles as requires the sub-fund manager to be granted a either in the public register of administrators of described in the section “Choice of counter- R-QFII license granted by the China Securities benchmark indices or the public register of third party” of the Sales Prospectus. Further infor Regulatory Commission (CSRC). In addition, the country benchmarks. mation on the counterparties is disclosed in the sub-fund manager may need to be granted a annual report. For special risk considerations R-QFII investment quota by the State Administra- The majority of the sub-fund’s securities or linked to total return swaps, investors should tion of Foreign Exchange (SAFE). their issuers are not necessarily expected to refer to the section “General Risk Warnings”, be components of the benchmark and the port and in particular the section “Risks connected Credit derivatives such as credit default swaps on folio is not necessarily expected to have a similar to derivative transactions” of the Sales single issuers and indices as well as tranches on weighting to the benchmark. The sub-fund Prospectus. CDS indices may be acquired for investment and management will use its discretion to invest in hedging purposes to the extent permitted by law. securities and sectors that are not included in The respective risks connected with investments the benchmark in order to take advantage of in this sub-fund are disclosed in the general The sub-fund’s assets are mainly denominated specific investment opportunities. In regard to its section of the Sales Prospectus. in USD. benchmark, the sub-fund positioning can deviate significantly (e.g., by a positioning outside of the Risk Management A maximum of 30% of the sub-fund’s assets benchmark as well as a significant underweight- The relative Value-at-Risk (VaR) approach is used may be invested in interest-bearing debt securi- ing or overweighting) and the actual degree of to limit market risk in the sub-fund. ties that do not meet the above mentioned freedom is typically relatively high. A deviation criteria, cash and money market instruments. generally reflects the sub-fund manager’s

107 In addition to the provisions of the general section of the Sales Prospectus, the potential market risk of the sub-fund is measured using a reference portfolio that does not contain derivatives (“risk benchmark”).

The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net present value of the portfolio). The disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

108 DWS Invest Emerging Markets IG Sovereign Debt

Investor profile Growth-oriented Currency of sub-fund USD Sub-fund manager DWS Investment GmbH Performance benchmark JPM EMBI Global Diversified Investment-Grade, administered by J. P. Morgan Securities LLC. Reference portfolio JPM EMBI Global Diversified (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest At least 80% of the sub-fund’s assets shall be Countries listed as low or middle (both lower Emerging Markets IG Sovereign Debt, the invested into interest-bearing debt securities that middle and higher middle) income by the World following provisions shall apply in addition to the have an investment grade (IG) status. Up to 20% Bank will determine if a country is an emerging terms contained in the general section of the of the sub-fund’s assets may be invested into market if such country is not listed in the Sales Prospectus. interest-bearing debt securities with a non-in- JP Morgan EMBI Global Div. index and if it is not vestment grade status with a minimum credit classified as ‘emerging market and developing Investment policy rating of B3 (rated by Moody’s) or B- (rated by economy’ by the International Monetary Fund. The objective of the investment policy of DWS S&P and Fitch) at time of acquisition. Invest Emerging Markets IG Sovereign Debt is to The sub-fund will not invest in any securities that achieve sustained capital appreciation that In case of a split rating involving three rating are rated below B- by S&P or an equivalent rating exceeds the benchmark JPM EMBI Global agencies, the second-best will prevail. If a from another rating agency as at the date of Diversified Investment-Grade. security is rated by only two agencies, the lower investment. In the event that any securities held by of the two ratings will be used for the rating the sub-fund are subsequently downgraded to a At least 80% of the sub-fund’s assets shall be classification. If a security only has one rating, rating below B-, the fund manager may maintain a invested globally in debt securities issued by the single rating will be used. If there is no maximum total exposure of 3% of the sub-fund’s sovereigns and quasi-sovereigns (government official rating, an internal rating will be applied in NAV to such downgraded securities but will divest owned corporates/companies/agencies) from accordance with DWS internal guidelines. When any such security that has not been upgraded to emerging markets or quasi-sovereigns conduct- a holding asset is downgraded to lower than a rating of at least B- within six months of its ing their principal business activity in such a B3/B-, such asset will be sold within 6 months. downgrade. country. Emerging Markets are countries that are part of In compliance with the investment limits specified A maximum of 20% of the sub-fund’s assets the index ‘JP Morgan EMBI Global Diversified’ in Art. 2 B. of the general section of the Sales may be invested in interest-bearing debt or that are classified as ‘emerging market and Prospectus, the investment policy may also be securities that do not meet the above mentioned developing economies’ by the International implemented through the use of suitable derivative criteria, cash and money market instruments. Monetary Fund (World Economic Outlook). financial instruments. These derivative financial

109 instruments may include, among others, options, Benchmark forwards (e.g. FX-forwards, non-deliverable The sub-fund is actively managed and is forwards (NDFs), futures, futures contracts on managed in reference to one or a combination financial instruments and options on such of benchmarks as further detailed in the sub-fund contracts, as well as privately negotiated OTC specific table. All benchmarks respectively their contracts on any type of financial instrument, administrators are registered with the ESMA, including swaps, forward-starting swaps, inflation either in the public register of administrators of swaps, total return swaps, excess return swaps, benchmark indices or the public register of third swaptions, constant maturity swaps and credit country benchmarks. default swaps. The majority of the sub-fund’s securities or The sub-fund’s investments in contingent their issuers are not necessarily expected to convertibles shall be limited to 10% of the be components of the benchmark and the sub-fund’s net asset value. portfolio is not necessarily expected to have a similar weighting to the benchmark. The sub-fund The sub-fund intends to use securities financing management will use its discretion to invest in transactions under the conditions and to the securities and sectors that are not included in extent further described in the general part of the the benchmark in order to take advantage of Sales Prospectus. specific investment opportunities. In regard to its benchmark, the sub-fund positioning can deviate The sub-fund will not invest in ABS or MBS significantly (e.g., by a positioning outside of the securities. benchmark as well as a significant underweighting or overweighting) and the actual degree of In addition, the sub-fund may invest in all other freedom is typically relatively high. A deviation permissible assets specified in Article 2 of the generally reflects the sub-fund manager’s general section of the Sales Prospectus. evaluation of the specific market situation, which Non-deliverable forwards (NDFs) are forward may lead to a defensive and closer or a more currency transactions, which can be used to active and wider positioning compared to the hedge the exchange rate between a freely benchmark. Despite the fact that the sub-fund convertible currency (usually the U.S. dollar or aims to outperform the return of the benchmark, the euro) and a currency that is not freely the potential outperformance might be limited convertible. depending on the prevailing market environment (e.g. less volatile market environment) and actual The following is stipulated in the NDF positioning versus the benchmark. agreement: Risk Management –– a specified amount in one of the two The relative Value-at-Risk (VaR) approach is used currencies, to limit market risk in the sub-fund. –– the forward price (NDF price), –– the maturity date, In addition to the provisions of the general –– the direction (purchase or sale). section of the Sales Prospectus, the potential market risk of the sub-fund is measured using a Unlike with a normal forward transaction, only a reference portfolio that does not contain compensatory payment is made in the freely derivatives (“risk benchmark”). convertible currency on the maturity date. The amount of the compensatory payment is Leverage is not expected to exceed twice the calculated from the difference between the value of the investment sub-fund’s assets. The agreed NDF price and the reference price (price leverage effect is calculated using the sum of on the maturity date). Depending on the price notional approach (absolute (notional) amount of performance, the compensatory payment is either each derivative position divided by the net made to the purchaser or the seller of the NDF. present value of the portfolio). However, the disclosed expected level of leverage is not The respective risks connected with investments intended to be an additional exposure limit for in this sub-fund are disclosed in the general the sub-fund. section of the Sales Prospectus. Investment in shares of target funds Integration of sustainability risks In addition to the information in the general The sub-fund management integrates sustain- section of the Sales Prospectus the following ability risks into their investment decisions by is applicable to this sub-fund: means of Smart Integration. Further information on how sustainability risks are taken into account When investing in target funds associated to in the investment decisions can be found in the the sub-fund, the part of the management fee general section of the Sales Prospectus. attributable to shares of these target funds is reduced by the management fee/all-in fee of the acquired target funds, and as the case may be, up to the full amount (difference method).

110 DWS Invest Emerging Markets Opportunities

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio JPMorgan Emerging Markets Bond Index Global Diversified High Yield (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** In contrast with Article 1 of the general section the IC share class is not exclusively offered in the form of registered shares.

For the sub-fund with the name DWS Invest Emerging Markets are defined as non-G7 and agencies (Moody’s and S&P) or, if only one of Emerging Markets Opportunities, the following non-Western European countries. these recognised rating agencies has rated the provisions shall apply in addition to the terms relevant investment, this rating shall be decisive, contained in the general section of the Sales Up to 30% of the sub-fund’s assets may be or, if no such external rating is available, there Prospectus. invested in interest-bearing debt securities that must be a positive assessment by the fund do not meet the above mentioned criteria. manager of the credit quality of the receivables Investment Policy portfolio and of the security and profitability of The objective of the investment policy of DWS The sub-fund’s investments in asset-backed the investment as a whole that is documented Invest Emerging Markets Opportunities is to securities and mortgage backed securities shall be transparently. generate an above-average return for the limited to 10% of the sub-fund’s net asset value. sub-fund. The sub-fund will not invest in any securities Asset-backed securities and mortgage backed that are rated below B- by S&P or an equivalent The sub-fund is actively managed and is not securities may only be invested into if (i) the rating from another rating agency as at the date managed in reference to a benchmark. debtor or issuing company of such investments is of investment. In the event that any securities domiciled in the EEA or in a full member state of held by the sub-fund are subsequently down- At least 70% of the sub-fund’s assets are the OECD or (ii) if listed at a regulated market graded to a rating below B-, the fund manager invested in interest-bearing debt securities of inside the EEA or admitted to the official market may maintain a maximum total exposure of 3% issuers based in an Emerging Market or those on an exchange in a state outside the EEA, or of the sub-fund’s NAV to such downgraded that conduct their principal business activity in being included into a regulated market in such securities but will divest any such security that such a country. state. Such investments must be rated invest- has not been upgraded to a rating of at least ment grade by the relevant recognised rating B- within six months of its downgrade.

111 In compliance with the investment limits speci- However, the disclosed expected level of lever- fied in Article 2 B. of the general section of the age is not intended to be an additional exposure Sales Prospectus, the investment policy may limit for the sub-fund. also be implemented through the use of suitable derivative financial instruments. Investment in shares of target funds In addition to the information in the general These derivative financial instruments may include, section of the Sales Prospectus the following among others, options, forwards, futures, futures is applicable to this sub-fund: contracts on financial instruments and options on such contracts, as well as privately negotiated OTC When investing in target funds associated to the contracts on any type of financial instrument, sub-fund, the part of the management fee including swaps, forward-starting swaps, inflation attributable to shares of these target funds is swaps, total return swaps, excess return swaps, reduced by the management fee/all-in fee of the swaptions, constant maturity swaps and credit acquired target funds, and as the case may be, default swaps. up to the full amount (difference method).

The sub-fund’s investments in contingent convertibles shall be limited to 10% of the sub-fund’s net asset value.

The sub-fund intends to use securities financing transactions under the conditions and to the extent further described in the general part of the Sales Prospectus.

In addition, the sub-fund’s assets may be invested in all other permissible assets.

In extreme market situations, the Portfolio Manager may diverge from the above investment strategy to avoid a liquidity squeeze. Up to 100% of the sub-fund’s assets may temporarily be invested in interest-bearing debt securities and money market instruments permissible under Directive 2009/65/EC of the European Parliament and of the Council of July 13, 2009, on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS).

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

Integration of sustainability risks The sub-fund management integrates sustainability risks into their investment decisions by means of Smart Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

112 DWS Invest Emerging Markets Sovereign Debt

Investor profile Growth-oriented Currency of sub-fund USD Sub-fund manager DWS Investment GmbH Performance benchmark JPM EMBI Global Diversified, administered by J. P. Morgan Securities LLC. Reference portfolio JPM EMBI Global Diversified (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** In contrast with Article 1 of the general section the IDH and USD IC share classes are not exclusively offered in the form of registered shares.

For the sub-fund with the name DWS Invest Monetary Fund (World Economic Outlook). any such security that has not been upgraded to a Emerging Markets Sovereign Debt, the following Countries listed as low or middle (both lower rating of at least B- within six months of its provisions shall apply in addition to the terms middle and higher middle) income by the World downgrade. contained in the general section of the Sales Bank will determine if a country is an emerging Prospectus. market if such country is not listed in the JP The sub-fund will not invest in ABS or MBS Morgan EMBI Global Div. index and if it is not securities. Investment policy classified as ‘emerging market and developing The objective of the investment policy of DWS economy’ by the International Monetary Fund. In compliance with the investment limits Invest Emerging Markets Sovereign Debt is to specified in Article 2 B. of the general section achieve sustained capital appreciation that exceeds A maximum of 30% of the sub-fund’s assets may of the Sales Prospectus, the investment policy the benchmark JPM EMBI Global Diversified. be invested in interest-bearing debt securities that may also be implemented through the use of do not meet the above mentioned criteria, cash suitable derivative financial instruments. At least 70% of the sub-fund’s assets shall be and money market instruments. These derivative financial instruments may invested globally in debt securities issued by include, among others, options, forwards (e.g. sovereigns and quasi-sovereigns (government The sub-fund will only invest into interest-bearing FX-forwards, non-deliverable forwards (NDFs), owned corporates/companies/agencies) from debt securities with a minimum credit rating of B3 futures, futures contracts on financial instru- emerging markets or quasi-sovereigns (rated by Moody’s) or B- (rated by S&P and Fitch) ments and options on such contracts, as well conducting their principal business activity in at time of acquisition. as privately negotiated OTC contracts on any such a country, denominated in USD or euro. type of financial instrument, including swaps, In the event that any securities held by the forward-starting swaps, inflation swaps, total Emerging Markets are countries that are part of sub-fund are subsequently downgraded to a rating return swaps, excess return swaps, swaptions, the index ‘JP Morgan EMBI Global Diversified’ or below B-, the sub-fund manager may maintain a constant maturity swaps and credit default that are classified as ‘emerging market and maximum total exposure of 3% of the sub-fund’s swaps. developing economies’ by the International NAV to such downgraded securities but will divest

113 The sub-fund’s investments in contingent positioning can deviate to a limited extent (e.g., convertibles shall be limited to 10% of the by a positioning outside of the benchmark as sub-fund’s net asset value. well as underweighting or overweighting) and the actual degree of freedom is typically The sub-fund intends to use securities financing relatively low. Despite the fact that the sub-fund transactions under the conditions and to the aims to outperform the return of the benchmark, extent further described in the general part of the potential outperformance might be limited the Sales Prospectus. depending on the prevailing market environment (e.g. less volatile market environment) and actual In addition, the sub-fund may invest in all other positioning versus the benchmark. permissible assets specified in Article 2 of the general section of the Sales Prospectus. Risk Management Non-deliverable forwards (NDFs) are forward The relative Value-at-Risk (VaR) approach is used currency transactions, which can be used to to limit market risk in the sub-fund. hedge the exchange rate between a freely convertible currency (usually the U.S. dollar or In addition to the provisions of the general the euro) and a currency that is not freely section of the Sales Prospectus, the potential convertible. market risk of the sub-fund is measured using a reference portfolio that does not contain The following is stipulated in the NDF agreement: derivatives (“risk benchmark”).

–– a specified amount in one of the two Leverage is not expected to exceed twice the currencies, value of the investment sub-fund’s assets. The –– the forward price (NDF price), leverage effect is calculated using the sum of –– the maturity date, notional approach (absolute (notional) amount of –– the direction (purchase or sale). each derivative position divided by the net present value of the portfolio). However, the Unlike with a normal forward transaction, only a disclosed expected level of leverage is not compensatory payment is made in the freely intended to be an additional exposure limit for convertible currency on the maturity date. The the sub-fund. amount of the compensatory payment is calculated from the difference between the Investment in shares of target funds agreed NDF price and the reference price (price In addition to the information in the general on the maturity date). Depending on the price section of the Sales Prospectus the following performance, the compensatory payment is either is applicable to this sub-fund: made to the purchaser or the seller of the NDF. When investing in target funds associated to the The respective risks connected with investments sub-fund, the part of the management fee in this sub-fund are disclosed in the general attributable to shares of these target funds is section of the Sales Prospectus. reduced by the management fee/all-in fee of the acquired target funds, and as the case may be, Integration of sustainability risks up to the full amount (difference method). The sub-fund management integrates sustainability risks into their investment decisions by means of Smart Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

Benchmark The sub-fund is actively managed and is managed in reference to one or a combination of benchmarks as further detailed in the sub-fund specific table. All benchmarks respectively their administrators are registered with the ESMA, either in the public register of administrators of benchmark indices or the public register of third country benchmarks.

The majority of the sub-fund’s securities or their issuers are expected to be components of the benchmark and the portfolio is expected to have a similar weighting to the benchmark. The sub-fund management will use its discretion to invest in securities and sectors that are not included in the benchmark in order to take advantage of specific investment opportunities. In regard to its benchmark, the sub-fund

114 DWS Invest Enhanced Commodity Strategy

Investor profile Risk-tolerant Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investment Management Americas Inc., 345 Park Avenue, New York, NY 10154, United States of America. Performance benchmark Bloomberg Commodity Index Total Return, administered by Bloomberg Index Services Limited. Reference portfolio Bloomberg Commodity Index Total Return (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each day that is a bank business day in Luxembourg and a day on which the New York Stock Exchange is open for regular trading Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee. The applied expense cap of a share class will not exceed 0.10% p.a. based on the net asset value of the relevant share class.

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest Index Total Return by investing primarily in the a relative value strategy, a tactical strategy, and a Enhanced Commodity Strategy the following commodity markets. The sub-fund will gain “roll enhancement” strategy. In implementing the provisions shall apply in addition to the terms exposure to a broad range of commodity sectors relative value strategy, the fund manager will use contained in the general section of the Sales including, but not limited to agriculture, industrial a proprietary, quantitative, rules- based metho Prospectus. and precious metals and energy. dology in determining the sub-fund’s commodity sector weightings relative to the benchmark index. Investment policy The fund manager will generally allocate the The fund manager normally will rebalance com- The objective of the investment policy of DWS sub-fund’s commodity-linked investments among modity sector positions when a sector undergoes Invest Enhanced Commodity Strategy is to a variety of different commodity sectors. Portfolio a “trigger event” (meaning a commodity price achieve a long term capital appreciation that management employs three main strategies increase or decline relative to historical trend exceeds the benchmark Bloomberg Commodity with respect to its commodity-linked investments: prices or relative to the change in prices in other

115 commodities), reducing the sub-fund’s exposure USA and c) bonds issued or guaranteed by inter- information on the counterparties is disclosed in to commodity sectors that are believed to be national organizations (i.e. IBRD, ADB, IFC, ESM, the annual report. For special risk considerations “expensive” and increasing its exposure to sec- EFSF) is up to 10%. linked to total return swaps, investors should tors that are believed to be “cheap.” The tactical refer to the section “General Risk Warnings”, and strategy focuses on the direction of commodity With respect to the sub-fund’s fixed income in particular the section “Risks connected to markets as a whole. The fund manager will use investments, the fund manager uses a relative derivative transactions” of the Sales Prospectus. a proprietary quantitative formula to adjust com- value style to seek to construct a diversified modity exposure by using the returns from the portfolio of fixed income securities. With respect The respective risks connected with investments most recent 12 months to create indicators to these investments, the fund manager nor- in this sub-fund are disclosed in the general based on whether the returns for the last up to mally targets a dollar-weighted average portfolio section of the Sales Prospectus. 12 months were positive or negative. These duration of three years or less, and primarily indicators are then combined to determine the invests in fixed income securities that are at least Integration of sustainability risks sub-fund`s effective exposure in relation to rated BBB (rated by S&P and Fitch) or Baa (rated The sub-fund management integrates sustain- Bloomberg commodity index. The exposure will by Moody‘s), at the time of purchase. In the case ability risks into their investment decisions by be scaled from at least 50% of the sub-fund´s net of no rating, an Advisor rating of similar quality or means of Smart Integration. Further information asset value to a maximum of 130% of its net an internal rating is applied. on how sustainability risks are taken into account asset value, depending on the sum of the positive in the investment decisions can be found in the indicators. The formula will exclude agriculture and A maximum of 10% of the sub-fund’s assets may general section of the Sales Prospectus. livestock sectors, so far as any momentum based be invested into interest-bearing debt securities strategies are concerned. In implementing the with a non-investment grade status at time of Benchmark “roll enhancement” strategy, portfolio manage- acquisition. Non-investment grade encompasses The sub-fund is actively managed and is man- ment seeks to invest in commodity contracts BB+ and below rated bonds, including bonds with aged in reference to one or a combination of whose expiration is further out on the “commod- D rating and non-rated bonds. benchmarks as further detailed in the sub-fund ity curve” than the subsequent month so as to specific table. All benchmarks respectively their avoid continually paying premiums to replace The sub-fund will not invest in the instruments administrators are registered with the ESMA, expiring contracts. “Commodity contracts” are other than listed above. either in the public register of administrators of commodity futures contracts which comprise the benchmark indices or the public register of third commodity indices in which the sub-fund may be The sub-fund will not invest in contingent country benchmarks. invested. A commodity futures contract is a convertibles. standardised agreement to buy or sell a set The majority of the sub-fund’s securities or their amount of a commodity, such as oil or gold, at The sub-fund intends to use securities financing issuers are expected to be components of the pre-determined price and date. The fund manager transactions under the conditions and to the benchmark and the portfolio is expected to have may reduce the sub-fund’s exposure to all com- extent further described in the general part of a similar weighting to the benchmark. The sub- modity sectors when commodities in general the Sales Prospectus. fund management will use its discretion to invest appear overvalued. in securities and sectors that are not included in In addition, the sub-fund’s assets may be invested the benchmark in order to take advantage of The sub-fund may invest in financial derivatives in all other permissible assets as specified in specific investment opportunities. In regard to its whose underlying include commodity indices. Article 2, including the assets mentioned in benchmark, the sub-fund positioning can deviate Such commodity indices will qualify as financial Article 2 A. (j) of the general section of the Sales to a limited extent (e.g., by a positioning outside indices comprised of various non-correlated, and Prospectus. of the benchmark as well as underweighting or sufficiently diversified commodities in accordance overweighting) and the actual degree of freedom with ESMA guidelines (ESMA/2012/832). The Additional information is typically relatively low. Despite the fact that sub-fund may not enter into any obligations When using total return swaps to implement the sub-fund aims to outperform the return of regarding the transfer of physical commodities. the investment strategy as described above, the the benchmark, the potential outperformance following shall be noted: might be limited depending on the prevailing The sub-fund may also invest in listed bond market environment (e.g. less volatile market futures. The proportion of the sub-fund’s net assets environment) and actual positioning versus the subject to total return swaps, expressed as the benchmark. The sub-fund may also invest in currency forward sum of notionals of the total return swaps contracts whose maturities are within 120 days or divided by the sub-fund’s net asset value, is Risk Management less except NDF. expected to reach up to 400%, but depending The relative Value-at-Risk (VaR) approach is used on the respective market conditions, with the to limit market risk in the sub-fund. The sub-fund may also invest up to 100% of its objective of efficient portfolio management and assets in fixed Income investments of varying in the interest of the investors, it may reach up In addition to the provisions of the general types and maturities including (i) government to 500%. The calculation is performed in line section of the Sales Prospectus, the potential bonds, T-Bills, covered bonds, corporate bonds and with the guidelines CESR/10-788. However, the market risk of the sub-fund is measured using a bonds issued by financial institutions and inflation- disclosed expected level of leverage is not reference portfolio that does not contain deriva- linked bonds, ABS and MBS (ii) money market intended to be an additional exposure limit for tives (“risk benchmark”). instruments excluding CPs and (iii) deposits and the sub-fund. CPs whose maturities are within 120 days and Leverage is not expected to exceed five times (iv) cash and cash equivalents. The exposure to Additional information on total return swaps may the value of the investment sub-fund’s assets. single issuer of fixed income investments includ- be found in the general section of the Sales The leverage effect is calculated using the sum ing above (i) (ii) (iii) except a) deposits and CPs Prospectus, amongst others, in the section of notional approach (absolute (notional) amount whose maturities are within 120 days, b) bonds “Efficient portfolio management techniques”. of each derivative position divided by the net issued or guaranteed by central/local government, The selection of counterparties to any total present value of the portfolio). However, the central bank or quasi-government organizations in return swap is subject to the principles as disclosed expected level of leverage is not described in the section “Choice of counter- intended to be an additional exposure limit for party” of the Sales Prospectus. Further the sub-fund.

116 Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

117 DWS Invest ESG Arabesque AI Eurozone Equity

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark EURO STOXX NDR, administered by STOXX Ldt Reference portfolio EURO STOXX NDR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt/Main Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

The Board of Directors of the Investment Company may at any time elect to launch new share classes in accordance with the share class features as specified in the general section of the Sales Prospectus. The Sales Prospectus will be updated accordingly.

For the sub-fund with the name DWS Invest At least 51% of the sub-fund’s assets are invested corporate governance characteristics. These ESG Arabesque AI Eurozone Equity, the following in Eurozone equities. encompass assessments for (i) controversial provisions shall apply in addition to the terms sectors, (which include coal, tobacco, defence contained in the general section of the Sales Up to 49% of the assets of the sub-fund may be industry, pornography, gambling and nuclear Prospectus. invested in money market instruments, term power), (ii) involvement in controversial weapons deposits and cash respectively. (nuclear weapons, depleted uranium, cluster Investment policy munitions and anti-personnel mines) or (iii) viola- This sub-fund promotes environmental and social The sub-fund will not invest in contingent tion of internationally accepted norms, but also characteristics and qualifies as product in accord convertibles. allow for an active issuer selection based on ance with article 8(1) of Regulation (EU) 2019/2088 categories such as climate and transition risk, on sustainability related disclosures in the financial The sub-fund intends to use securities financing norm compliance or best-in-class ESG evaluations. services sector. transactions under the conditions and to the The methodology assigns one of six possible extent further described in the general part of proprietary scores to each possible issuer based The objective of the investment policy of DWS the Sales Prospectus. on a letter scoring from A to F, whereby issuers Invest ESG Arabesque AI Eurozone Equity is to with A and B scores are considered as leading in achieve long-term capital appreciation. In addition, the sub-fund’s assets may be their categories and issuers with C scores are invested in all other permissible assets speci- considered as within the upper midfield of their “AI” relates to “Artificial Intelligence”. “Ara- fied in Article 2, including the assets mentioned category. These letter scoring can originate from besque AI” is a UK-based company focusing in Article 2 A. (j) of the general part of the Sales revenues generated from controversial sectors or on applying Artificial Intelligence (AI) to predict Prospectus. the degree of involvement in controversial weap- stock price developments. Specifically, it applies ons, the degree of severity that an issuer may be high-performance computing to a massive The sub-fund’s assets are predominantly invested involved in the violation of international norms, the combination of machine learning algorithms, in securities from issuers that comply with defined assessment on climate and transition risk, which such as neural networks, support vector minimum standards in respect to environmental, is based on for example carbon intensity or the machines, etc., applied to fundamental, alter social and corporate governance characteristics. risk of stranded assets, or from best-in-class ESG native and technical data to generate signals evaluations. which help identifying securities with attractive The sub-fund management seeks to attain a relative return potential over a given time hori- variety of the environmental, social and corporate The sub-fund manager considers in its asset zon. These signals are provided by Arabesque AI governance characteristics by assessing potential allocation the resulting scores from the ESG Ltd, and are an essential input to DWS’ propri- investments via proprietary ESG investment database. The sub-fund’s investment in low scored etary quantitative portfolio construction, which methodology. This methodology incorporates issuers (scores D and E) is limited or excluded also takes risks and costs into consideration. portfolio investment standards according to an whereas issuers with the lowest scores (e.g. score These signals are designed to identify attractive ESG database, which uses data from multiple F) are always excluded from the investable investment opportunities and are not meant to leading ESG data providers as well as internal and universe. constitute investment advice as such. public sources to derive proprietary combined scores for various environmental, social and

118 The ESG performance of an issuer is evaluated 51% of the sub-fund´s gross assets (determined sustainability risks are taken into account in the independently from financial success based on a as being the value of the sub-fund´s assets with- investment decisions can be found in the general variety of characteristics. These characteristics out taking into account liabilities) are invested in section of the Sales Prospectus. include, for example, the following fields of equities admitted to official trading on a stock interest: exchange or admitted to, or included in, another Benchmark organized market and which are not: The sub-fund is actively managed and is managed Environment in reference to one or a combination of bench- –– units of investment funds; marks as further detailed in the sub-fund specific –– Conservation of flora and fauna –– equities indirectly held via partnerships; table. All benchmarks respectively their adminis- –– Protection of natural resources, atmosphere –– units of corporations, associations of persons trators are registered with the ESMA, either in the and inshore waters or estates at least 75% of the gross assets of public register of administrators of benchmark –– Limitation of land degradation and climate which consist of immovable property in accord indices or the public register of third country change ance with statutory provisions or their invest- benchmarks. –– Avoidance of encroachment on ecosystems ment conditions, if such corporations, associa- and loss of biodiversity tions of persons or estates are subject to The majority of the sub-fund’s securities or corporate income tax of at least 15% and are their issuers are not necessarily expected to be Social not exempt from it or if their distributions are components of the benchmark and the portfolio is subject to tax of at least 15% and the sub-fund not necessarily expected to have a similar weight- –– General human rights is not exempt from said taxation; ing to the benchmark. The sub-fund management –– Prohibition of child labor and forced labor –– units of corporations which are exempt from will use its discretion to invest in securities and –– Imperative Non-discrimination corporate income taxation to the extent they sectors that are not included in the benchmark in –– Workplace health and safety conduct distributions unless such distributions order to take advantage of specific investment –– Fair workplace and appropriate remuneration are subject to taxation at a minimum rate of opportunities. In regard to its benchmark, the 15% and the sub-fund is not exempt from said sub-fund positioning can deviate significantly (e.g., Corporate Governance taxation; by a positioning outside of the benchmark as well –– units of corporations the income of which as a significant underweighting or overweighting) –– Corporate Governance Principles by the Inter- originates, directly or indirectly, to an extent of and the actual degree of freedom is typically national Corporate Governance Network; more than 10%, from units of corporations, relatively high. A deviation generally reflects the –– Global Compact Anti-Corruption Principles that are (i) real estate companies or (ii) are not sub-fund manager’s evaluation of the specific real estate companies, but (a) are domiciled in market situation, which may lead to a defensive At least 90% of the sub-fund`s portfolio holdings member state of the European Union or a and closer or a more active and wider positioning will be screened according to non-financial criteria member state of the European Economic Area compared to the benchmark. Despite the fact that available via the ESG database. and are not subject in said domicile to corpo- the sub-fund aims to outperform the return of the rate income tax or are exempt from it or (b) are benchmark, the potential outperformance might be The reference benchmark of this sub-fund is not domiciled in a third country and are not subject limited depending on the prevailing market environ- consistent with the environmental and social in said domicile to corporate income tax of at ment (e.g. less volatile market environment) and characteristics promoted by this sub-fund. Infor- least 15% or are exempt from it; actual positioning versus the benchmark. mation on the reference benchmark can be found –– units of corporations which hold, directly or on www.qontigo.com. indirectly, units of corporations, that are (i) real Risk Management estate companies or (ii) are not real estate The relative Value-at-Risk (VaR) approach is used companies, but (a) are domiciled in a member to limit market risk in the sub-fund. More information about the functioning of the state of the European Union or a member state ESG investment methodology, its integration in of the European Economic Area and are not In addition to the provisions of the general section the investment process, the selection criteria as subject in said domicile to corporate income of the Sales Prospectus, the potential market risk well as our ESG related policies can be found on tax or are exempt from it or (b) are domiciled in of the sub-fund is measured using a reference our website www.dws.com/solutions/esg. a third country and are not subject in said portfolio that does not contain derivatives (“risk domicile to corporate income tax of at least benchmark”). In addition, an engagement activity can be 15% or are exempt from it if the fair market initiated with the individual issuers regarding value of units of such corporations equal more Leverage is not expected to exceed twice the matters such as strategy, financial and non- than 10% of the fair market value of those value of the investment sub-fund’s assets. The financial performance, risk, capital structure, corporations. leverage effect is calculated using the sum of social and environmental impact as well as notional approach (absolute (notional) amount of corporate governance including topics like dis For the purpose of this investment policy and in each derivative position divided by the net present closure, culture and remuneration. The dialogue accordance with the definition in the German value of the portfolio). However, the disclosed can be exercised by, for example, proxy voting, Investment Code (KAGB), an organized market is a expected level of leverage is not intended to be an company meetings or engagement letters. market which is recognized, open to the public and additional exposure limit for the sub-fund. which functions correctly, unless expressly speci- Taking into account the investment limits set out fied otherwise. Such organized market also meets Investment in shares of target funds in Article 2 B. (n), the investment policy can also the criteria of article 50 of the UCITS Directive. In addition to the information in the general be implemented through the use of derivatives, section of the Sales Prospectus the following is including, but not limited to, forwards, futures, The respective risks connected with investments applicable to this sub-fund: single-stock futures, options or equity swaps. in this sub-fund are disclosed in the general section of the Sales Prospectus. When investing in target funds associated to the For the purpose of inducing a partial tax exemp- sub-fund, the part of the management fee attribut- tion within the meaning of the German Invest- Integration of sustainability risks able to shares of these target funds is reduced by ment Tax Act and in addition to the investment The sub-fund management integrates sustainabil- the management fee/all-in fee of the acquired limits described in the Articles of Incorporation ity risks into their investment decisions by means target funds, and as the case may be, up to the and this Sales Prospectus (equity fund) at least of ESG Integration. Further information on how full amount (difference method).

119 DWS Invest ESG Asian Bonds

Investor profile Risk-tolerant Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments Hong Kong Limited, Level 60, International Commerce Centre, 1 Austin Road West, Kowloon, Hong Kong Performance benchmark J.P. Morgan JACI Investment Grade Total Return, administered by J. P. Morgan Securities LLC Reference portfolio J.P. Morgan JACI Investment Grade Total Return (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg that is also an exchange trading day on the Hong Kong Stock Exchange Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on that subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class* Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* ICH EUR 0% up to 0.4% 0% 0.01% October 31, 2018 TFCH EUR 0% up to 0.6% 0% 0.05% October 31, 2018 USD IC USD 0% up to 0.4% 0% 0.01% October 31, 2018 USD LC USD up to 5% up to 1.1% 0% 0.05% October 31, 2018 USD TFC USD 0% up to 0.6% 0% 0.05% October 31, 2018 USD FC100 USD 0% up to 0.2% 0% 0.05% February 28, 2019 USD IC500 USD 0% up to 0.15% 0% 0.01% August 16, 2019

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest ESG The sub-fund will predominantly invest in inter- The sub-fund’s assets are predominately invested Asian Bonds, the following provisions shall apply est-bearing debt securities denominated in USD into interest-bearing debt securities that have an in addition to the terms contained in the general that are issued by companies based in Asia or investment grade status at the time of the section of the Sales Prospectus. those that conduct their principal business activity acquisition. in an Asian jurisdiction. U.S. dollar bonds refer to Investment policy APAC government related bonds (Agency, Local Essentially, an instrument would be classified as This sub-fund promotes environmental and social Authority, Supranationals and Sovereign) and investment grade if the second best rating of the characteristics and qualifies as product in accor- corporate bonds (for e.g., Industrial, Utility, three agencies (S&P, Moody’s Fitch) is classified dance with article 8(1) of Regulation (EU) Financial Institutions). as investment grade. 2019/2088 on sustainability‐related disclosures in the financial services sector. A maximum of 49% of the sub-fund’s assets If a security is rated by only two agencies instead may be invested in interest-bearing securities of three, the lower of the two ratings will be used The objective of the investment policy of that do not meet the above-mentioned criteria, for the rating classification. If a security only has DWS Invest ESG Asian Bonds is to generate an cash and money market instruments. one rating, the single rating will be used. If there is above benchmark return for the sub-fund. no official rating, an internal rating will be applied in accordance with DWS internal guidelines.

120 A maximum of 10% of the sub-fund’s assets sectors (which include coal, tobacco, defence The reference benchmark of this sub-fund is not may be invested into interest-bearing debt industry, pornography, gambling and nuclear consistent with the environmental and social securities with a non-investment grade status power), (ii) involvement in controversial weapons characteristics promoted by this sub-fund. Infor- with a minimum credit rating of B3 (Moody’s) or (nuclear weapons, depleted uranium, cluster mation on the reference benchmark can be B- (S&P/Fitch) at time of acquisition. In case of a munitions and anti-personnel mines) or (iii) viola- found on www.jpmorgan.com. split rating involving three rating agencies, the tion of internationally accepted norms, but also second best will prevail. If a security is rated by allow for an active issuer selection based on More information about the functioning of the only two agencies, the lower of the two ratings categories such as climate and transition risk, ESG investment methodology, its integration in will be used for the rating classification. If a norm compliance or best-in-class ESG evalua- the investment process, the selection criteria as security only has one rating, the single rating will tions. The methodology assigns one of six possi- well as our ESG related policies can be found on be used. If there is no official rating, an internal ble proprietary scores to each possible issuer our website www.dws.com/solutions/esg. rating will be applied in accordance with DWS based on a letter scoring from A to F, whereby internal guidelines. issuers with A and B scores are considered as In addition, an engagement activity can be leading in their categories and issuers with C initiated with the individual issuers regarding When a holding asset is downgraded to lower than scores are considered as within the upper mid- matters such as strategy, financial and non-finan- B3/B-, such asset will be sold within 6 months. field of their category. These letter scoring can cial performance, risk, capital structure, social originate from revenues generated from contro- and environmental impact as well as corporate In compliance with the investment limits speci- versial sectors or the degree of involvement in governance including topics like disclosure, fied in Article 2 B. of the general section of the controversial weapons, the degree of severity culture and remuneration. The dialogue can be Sales Prospectus, the investment policy may that an issuer may be involved in the violation of exercised by, for example, proxy voting, company also be implemented through the use of suitable international norms, the assessment on climate meetings or engagement letters. derivative financial instruments. These derivative and transition risk, which is based on for example financial instruments may include, among others, carbon intensity or the risk of stranded assets, or The respective risks connected with investments options, forwards, futures, futures contracts on from best-in-class ESG evaluations. in this sub-fund are disclosed in the general financial instruments and options on such con- section of the Sales Prospectus. tracts, as well as privately negotiated OTC The sub-fund manager considers in its asset contracts on any type of financial instrument, allocation the resulting scores from the ESG Integration of sustainability risks including swaps, forward- starting swaps, infla- database. The sub-fund’s investment in low The sub-fund management integrates sustain- tion swaps, total return swaps, excess return scored issuers (scores D and E) is limited or ability risks into their investment decisions by swaps, swaptions, constant maturity swaps and excluded whereas issuers with the lowest means of ESG Integration. Further information on credit default swaps. At present, the sub-fund scores (e.g. score F) are always excluded from how sustainability risks are taken into account in will not make use of total return swaps within the investable universe. the investment decisions can be found in the the meaning of the SFTR. general section of the Sales Prospectus. The ESG performance of an issuer is evaluated The sub-fund will not invest in ABS or MBS independently from financial success based on a Benchmark securities. variety of characteristics. These characteristics The sub-fund is actively managed and is man- include, for example, the following fields of aged in reference to one or a combination of The sub-fund’s investments in contingent convert- interest: benchmarks as further detailed in the sub-fund ibles shall be limited to 10% of the sub-fund’s net specific table. All benchmarks respectively their asset value. Environment administrators are registered with the ESMA, either in the public register of administrators of The sub-fund intends to use securities financing –– Conservation of flora and fauna; benchmark indices or the public register of third transactions under the conditions and to the –– Protection of natural resources, atmosphere country benchmarks. extent further described in the general part of the and inshore waters; Sales Prospectus. –– Limitation of land degradation and climate The majority of the sub-fund’s securities or their change issuers are expected to be components of the In addition, the sub-fund may invest in all other –– Avoidance of encroachment on ecosystems benchmark and the portfolio is expected to have permissible assets as specified in Article 2 of the and loss of biodiversity. a similar weighting to the benchmark. The sub- general section of the Sales Prospectus. fund management will use its discretion to invest Social in securities and sectors that are not included in The sub-fund’s assets are predominantly the benchmark in order to take advantage of invested in securities from issuers that comply –– General human rights; specific investment opportunities. In regard to its with defined minimum standards in respect to –– Prohibition of child labour and forced labour; benchmark, the sub-fund positioning can deviate environmental, social and corporate governance –– Imperative Non-discrimination; to a limited extent (e.g., by a positioning outside characteristics. –– Workplace health and safety; of the benchmark as well as underweighting or –– Fair workplace and appropriate remuneration. overweighting) and the actual degree of freedom The sub-fund management seeks to attain a is typically relatively low. Despite the fact that variety of the environmental, social and corpo- Corporate Governance the sub-fund aims to outperform the return of rate governance characteristics by assessing the benchmark, the potential outperformance potential investments via proprietary ESG invest- –– Corporate Governance Principles by the might be limited depending on the prevailing ment methodology. This methodology incorpo- International Corporate Governance Network; market environment (e.g. less volatile market rates portfolio investment standards according to –– Global Compact Anti-Corruption Principles. environment) and actual positioning versus the an ESG database, which uses data from multiple benchmark. leading ESG data providers as well as internal At least 90% of the sub-fund`s portfolio holdings and public sources to derive proprietary com- will be screened according to non-financial bined scores for various environmental, social criteria available via the ESG database. and corporate governance characteristics. These encompass assessments for (i) controversial

121 Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

In addition to the provisions of the Sales Prospec- tus, the potential market risk of the sub-fund is measured using a reference portfolio that does not contain derivatives (“risk benchmark”).

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

122 DWS Invest ESG Clean Energy

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark - Reference portfolio S&P Global Clean Energy Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest ESG energy production, energy transportation and with defined minimum standards in respect to Clean Energy, the following provisions shall apply energy storage. Clean energy either encom- environmental, social and corporate governance in addition to the terms contained in the general passes technologies that clean the carbon out of characteristics. section of the Sales Prospectus. fossil fuels, or carbon free fuel sources. This includes solar, wind, geothermal, hydro, thermo, The sub-fund management seeks to attain a Investment policy and nuclear. The sub-fund management intends variety of the environmental, social and corpo- This sub-fund promotes environmental and social to invest in the upstream and downstream rate governance characteristics by assessing characteristics and qualifies as product in accor- supply chains of these companies. potential investments via proprietary ESG invest- dance with article 8(1) of Regulation (EU) ment methodology. This methodology incorpo- 2019/2088 on sustainability‐related disclosures in A total of up to 20% of the sub-fund’s assets rates portfolio investment standards according to the financial services sector. (after deduction of liquid assets) may be invested an ESG database, which uses data from multiple in leading ESG data providers as well as internal The sub-fund is actively managed and is not and public sources to derive proprietary com- managed in reference to a benchmark. a) equities and/or securities similar to equities bined scores for various environmental, social issued by companies worldwide that do not and corporate governance characteristics. These The main investment objective of the sub-fund meet the requirements as mentioned above. encompass assessments for (i) controversial DWS Invest ESG Clean Energy is to achieve a b) interest-bearing securities, as well as con- sectors (which include coal, tobacco, defence long-term sustained capital appreciation in Euros. vertible bonds and warrant-linked bonds industry, pornography, gambling and nuclear issued by companies in the global infrastruc- power), (ii) involvement in controversial weapons The sub-fund may acquire equities, interest-bear- ture sector or by issuers in accordance with (nuclear weapons, depleted uranium, cluster ing securities, convertible bonds, warrant-linked (a) above and which are denominated in any munitions and anti-personnel mines) or (iii) viola- bonds whose underlying warrants are for securi- freely convertible currency. tion of internationally accepted norms, but also ties, equity warrants and participation certifi- allow for an active issuer selection based on cates. In addition, the sub-fund’s assets may be The sub-fund will not invest in contingent categories such as climate and transition risk, invested in index certificates on recognized convertibles. norm compliance or best-in-class ESG evalua- equity indices. When using financial indices, legal tions. The methodology assigns one of six possi- provisions apply as set out in Article 44 (1) of the The sub-fund intends to use securities financing ble proprietary scores to each possible issuer Law of 2010, and Article 9 of the Grand-Ducal transactions under the conditions and to the based on a letter scoring from A to F, whereby Regulation of February 8, 2008. extent further described in the general part of issuers with A and B scores are considered as the Sales Prospectus. leading in their categories and issuers with At least 80% of the sub-fund’s total assets are C scores are considered as within the upper invested in equities of companies, which benefit The sub-fund will not invest in ABS or MBS midfield of their category. These letter scoring from a shift to Clean Energy. The term “clean securities. can originate from revenues generated from energy” is considering several aspects and controversial sectors or the degree of involve- nuances of non-fossil fuel based business mod- The sub-fund’s assets are predominantly ment in controversial weapons, the degree of els besides the classical fields of application like invested in securities from issuers that comply severity that an issuer may be involved in the

123 violation of international norms, the assessment In compliance with Article 2 of the general of at least 15% or are exempt from it if the fair on climate and transition risk, which is based on section of the Sales Prospectus, the investment market value of units of such corporations for example carbon intensity or the risk of policy can also be implemented through the use equal more than 10% of the fair market value stranded assets, or from best-in-class ESG of suitable derivative financial instruments. These of those corporations. evaluations. derivative financial instruments may include, among others, options, forward contracts, For the purpose of this investment policy and in iThe sub-fund manager considers in its asset futures contracts on financial instruments and accordance with the definition in the German allocation the resulting scores from the ESG options on such contracts, as well as privately Investment Code (KAGB), an organized market is database. The sub-fund’s investment in low negotiated swap contracts on any type of finan- a market which is recognized, open to the public scored issuers (scores D and E) is limited or cial instrument. and which functions correctly, unless expressly excluded whereas issuers with the lowest specified otherwise. Such organized market also scores (e.g. score F) are always excluded from In particular, derivatives based on equities, meets the criteria of article 50 of the UCITS the investable universe. bonds, currencies or recognized financial indices Directive. The ESG performance of an issuer is evaluated may also be acquired. independently from financial success based on a The respective risks connected with investments variety of characteristics. These characteristics For the purpose of inducing a partial tax exemp- in this sub-fund are disclosed in the general include, for example, the following fields of tion within the meaning of the German Invest- section of the Sales Prospectus. interest: ment Tax Act and in addition to the investment limits described in the Articles of Incorporation The respective risks connected with investments Environment and this Sales Prospectus (equity fund) at least in this sub-fund are disclosed in the general 51% of the sub-fund´s gross assets (determined section of the Sales Prospectus. –– Conservation of flora and fauna as being the value of the sub-fund´s assets –– Protection of natural resources, without taking into account liabilities) are Integration of sustainability risks atmosphere and inshore waters invested in equities admitted to official trading on The sub-fund management integrates sustain- –– Limitation of land degradation and a stock exchange or admitted to, or included in, ability risks into their investment decisions by climate change another organized market and which are not: means of ESG Integration. Further information on –– Avoidance of encroachment on how sustainability risks are taken into account in ecosystems and loss of biodiversity –– units of investment funds; the investment decisions can be found in the –– equities indirectly held via partnerships; general section of the Sales Prospectus. Social –– units of corporations, associations of persons or estates at least 75% of the gross assets of Benchmark –– General human rights which consist of immovable property in The opportunities afforded by an investment of –– Prohibition of child labor and forced labor accordance with statutory provisions or their this type are therefore countered by significant –– Imperative Non-discrimination investment conditions, if such corporations, risks. –– Workplace health and safety associations of persons or estates are subject –– Fair workplace and appropriate remuneration to corporate income tax of at least 15% and Risk Management are not exempt from it or if their distributions The relative Value-at-Risk (VaR) approach is used Corporate Governance are subject to tax of at least 15% and the to limit market risk in the sub-fund. sub-fund is not exempt from said taxation; –– Corporate Governance Principles by the –– units of corporations which are exempt from In addition to the provisions of the general International Corporate Governance Network; corporate income taxation to the extent they section of the Sales Prospectus, the potential –– Global Compact Anti-Corruption Principles conduct distributions unless such distributions market risk of the sub-fund is measured using a are subject to taxation at a minimum rate of reference portfolio that does not contain deriva- At least 90% of the sub-fund`s portfolio holdings 15% and the sub-fund is not exempt from said tives (“risk benchmark”). will be screened according to non-financial taxation; criteria available via the ESG database. –– units of corporations the income of which Leverage is not expected to exceed twice the originates, directly or indirectly, to an extent of value of the investment sub-fund’s assets. The More information about the functioning of the more than 10%, from units of corporations, leverage effect is calculated using the sum of ESG investment methodology, its integration in that are (i) real estate companies or (ii) are not notional approach (absolute (notional) amount of the investment process, the selection criteria as real estate companies, but (a) are domiciled in each derivative position divided by the net pres- well as our ESG related policies can be found on member state of the European Union or a ent value of the portfolio). However, the dis- our website www.dws.com/solutions/esg. member state of the European Economic Area closed expected level of leverage is not intended and are not subject in said domicile to corpo- to be an additional exposure limit for the In addition, an engagement activity can be rate income tax or are exempt from it or (b) sub-fund. initiated with the individual issuers regarding are domiciled in a third country and are not matters such as strategy, financial and non-finan- subject in said domicile to corporate income Investment in shares of target funds cial performance, risk, capital structure, social tax of at least 15% or are exempt from it; In addition to the information in the general and environmental impact as well as corporate –– units of corporations which hold, directly or section of the Sales Prospectus the following is governance including topics like disclosure, indirectly, units of corporations, that are (i) real applicable to this sub-fund: culture and remuneration. The dialogue can be estate companies or (ii) are not real estate exercised by, for example, proxy voting, company companies, but (a) are domiciled in a member When investing in target funds associated to the meetings or engagement letters. state of the European Union or a member sub-fund, the part of the management fee state of the European Economic Area and are attributable to shares of these target funds is In addition, the sub-fund may invest in all other not subject in said domicile to corporate reduced by the management fee/all-in fee of the permissible assets specified in Article 2 of the income tax or are exempt from it or (b) are acquired target funds, and as the case may be, general section of the Sales Prospectus. domiciled in a third country and are not sub- up to the full amount (difference method). ject in said domicile to corporate income tax

124 DWS Invest ESG Climate Tech

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI World AC Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest The sub-fund may acquire equities, stock certifi- At least 75% of the sub-fund’s assets are ESG Climate Tech, the following provisions shall cates, participation and dividend right certificates, invested in equities of all market capitalizations, apply in addition to the terms contained in the convertible bonds and equity warrants issued by stock certificates, participation and dividend right general section of the Sales Prospectus. foreign and domestic companies that are primarily certificates, convertible bonds and equity war- active in business areas suited to restricting or rants issued by foreign and domestic companies. Investment policy reducing climate change and its effects or help to This sub-fund promotes environmental and social adapt to it, specifically companies offering prod- Up to 25% of the sub-fund’s assets may be characteristics and qualifies as product in accord ucts, services and solutions helping to lower invested in short-term deposits, money market ance with article 8(1) of Regulation (EU) 2019/2088 emissions by generating clean energy, transmit instruments and bank balances. on sustainability-related disclosures in the financial energy efficiently or increase energy efficiency, services sector. but also companies that are active in climate The sub-fund will not invest in contingent change impact management across areas like convertibles. The objective of the investment policy of DWS health, water, agriculture or disaster prevention/ Invest ESG Climate Tech is to achieve an above recovery. average appreciation of capital in Euros.

125 The sub-fund intends to use securities financing and transition risk, which is based on for example For the purpose of inducing a partial tax exemp- transactions under the conditions and to the carbon intensity or the risk of stranded assets, or tion within the meaning of the German Invest- extent further described in the general part of from best-in-class ESG evaluations. ment Tax Act and in addition to the investment the Sales Prospectus. limits described in the Articles of Incorporation The sub-fund manager considers in its asset and this Sales Prospectus (equity fund) at least In addition, the sub-fund’s assets may be allocation the resulting scores from the ESG 60% of the sub-fund´s gross assets (determined invested in all other permissible assets specified database. The sub-fund’s investment in low as being the value of the sub-fund´s assets in Article 2, including the assets mentioned in scored issuers (scores D and E) is limited or without taking into account liabilities) are Article 2 A. (j) of the general section of the Sales excluded whereas issuers with the lowest invested in equities admitted to official trading on Prospectus. scores (e.g. score F) are always excluded from a stock exchange or admitted to, or included in, the investable universe. another organized market and which are not: Notwithstanding the investment limit specified in Article 2 B. (n) concerning the use of derivatives, The ESG performance of an issuer is evaluated –– units of investment funds; the following investment restrictions shall apply independently from financial success based on a –– equities indirectly held via partnerships; with regard to the investment restrictions currently variety of characteristics. These characteristics –– units of corporations, associations of persons applicable in individual distribution countries: include, for example, the following fields of or estates at least 75% of the gross assets of interest: which consist of immovable property in Derivatives that constitute short positions must accordance with statutory provisions or their have adequate coverage at all times and may be Environment investment conditions, if such corporations, used exclusively for hedging purposes. Hedging associations of persons or estates are subject is limited to 100% of the underlying instrument –– Conservation of flora and fauna to income tax of at least 15% and are not covering the derivative. Conversely, no more than –– Protection of natural resources, exempt from it or if their distributions are 35% of the net value of the assets of the sub- atmosphere and inshore waters subject to tax of at least 15% and the sub- fund may be invested in derivatives that consti- –– Limitation of land degradation and fund is not exempt from said taxation; tute long positions and do not have correspond- climate change –– units of corporations which are exempt from ing coverage. –– Avoidance of encroachment on corporate income taxation to the extent they ecosystems and loss of biodiversity conduct distributions unless such distributions The sub-fund’s assets are predominantly are subject to taxation at a minimum rate of invested in securities from issuers that comply Social 15% and the sub-fund is not exempt from said with defined minimum standards in respect to taxation; environmental, social and corporate governance –– General human rights –– units of corporations the income of which characteristics. –– Prohibition of child labor and forced labor originates, directly or indirectly, to an extent of –– Imperative Non-discrimination more than 10%, from units of corporations, The sub-fund management seeks to attain a –– Workplace health and safety that are (i) real estate companies or (ii) are not variety of the environmental, social and corpo- –– Fair workplace and appropriate remuneration real estate companies, but (a) are domiciled in rate governance characteristics by assessing member state of the European Union or a potential investments via proprietary ESG invest- Corporate Governance member state of the European Economic Area ment methodology. This methodology incorpo- and are not subject in said domicile to corporates portfolio investment standards according to –– Corporate Governance Principles by the rate income tax or are exempt from it or an ESG database, which uses data from multiple International Corporate Governance Network; (b) are domiciled in a third country and are not leading ESG data providers as well as internal –– Global Compact Anti-Corruption Principles subject in said domicile to corporate income and public sources to derive proprietary com- tax of at least 15% or are exempt from it; bined scores for various environmental, social At least 90% of the sub-fund`s portfolio holdings –– units of corporations which hold, directly or and corporate governance characteristics. These will be screened according to non-financial indirectly, units of corporations, that are (i) real encompass assessments for (i) controversial criteria available via the ESG database. estate companies or (ii) are not real estate sectors (which include coal, tobacco, defence companies, but (a) are domiciled in a member industry, pornography, gambling and nuclear More information about the functioning of the state of the European Union or a member power), (ii) involvement in controversial weapons ESG investment methodology, its integration in state of the European Economic Area and are (nuclear weapons, depleted uranium, cluster the investment process, the selection criteria as not subject in said domicile to corporate munitions and anti-personnel mines) or (iii) viola- well as our ESG related policies can be found on income tax or are exempt from it or (b) are tion of internationally accepted norms, but also our website www.dws.com/solutions/esg. domiciled in a third country and are not sub- allow for an active issuer selection based on ject in said domicile to corporate income tax categories such as climate and transition risk, In addition, an engagement activity can be of at least 15% or are exempt from it if the fair norm compliance or best-in-class ESG evalua- initiated with the individual issuers regarding market value of units of such corporations tions. The methodology assigns one of six possi- matters such as strategy, financial and non-finan- equal more than 10% of the fair market value ble proprietary scores to each possible issuer cial performance, risk, capital structure, social of those corporations. based on a letter scoring from A to F, whereby and environmental impact as well as corporate issuers with A and B scores are considered as governance including topics like disclosure, For the purpose of this investment policy and in leading in their categories and issuers with C culture and remuneration. The dialogue can be accordance with the definition in the German scores are considered as within the upper mid- exercised by, for example, proxy voting, company Investment Code (KAGB), an organized market is a field of their category. These letter scoring can meetings or engagement letters. market which is recognized, open to the public and originate from revenues generated from contro- which functions correctly, unless expressly speci- versial sectors or the degree of involvement in Notwithstanding the investment limit of 10% fied otherwise. Such organized market also meets controversial weapons, the degree of severity specified in Article 2 B. (i) concerning invest- the criteria of article 50 of the UCITS Directive. that an issuer may be involved in the violation of ments in shares of other UCITS and/or other international norms, the assessment on climate UCIs as defined in Article 2 A. (e), an investment The respective risks connected with investments limit of 5% shall apply to this sub-fund. in this sub-fund are disclosed in the general section of the Sales Prospectus.

126 Integration of sustainability risks The sub-fund management integrates sustainability risks into their investment decisions by means of ESG Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

127 DWS Invest ESG Digital Education

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI AC World Index (Total return net) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest ESG Up to 25% of the sub-fund’s assets may be The sub-fund’s assets are predominantly Digital Education, the following provisions shall invested in short-term deposits, money market invested in securities from issuers that comply apply in addition to the terms contained in the instruments and bank balances. with defined minimum standards in respect to general section of the Sales Prospectus. environmental, social and corporate governance The sub-fund will not invest in contingent characteristics. Investment policy convertibles. This sub-fund promotes environmental and social The sub-fund management seeks to attain a characteristics and qualifies as product in accor- The sub-fund intends to use securities financing variety of the environmental, social and corpo- dance with article 8(1) of Regulation (EU) transactions under the conditions and to the rate governance characteristics by assessing 2019/2088 on sustainability‐related disclosures in extent further described in the general part of potential investments via proprietary ESG invest- the financial services sector. the Sales Prospectus. ment methodology. This methodology incorporates portfolio investment standards according to The objective of the investment policy of DWS In addition, the sub-fund’s assets may be an ESG database, which uses data from multiple Invest ESG Digital Education is to achieve an invested in all other permissible assets specified leading ESG data providers as well as internal above average appreciation of capital in Euros. in Article 2, including the assets mentioned in and public sources to derive proprietary com- Article 2 A. (j) of the general section of the Sales bined scores for various environmental, social At least 75% of the sub-fund’s assets are Prospectus. and corporate governance characteristics. These invested in equities, stock certificates, participa- encompass assessments for (i) controversial tion and dividend right certificates, convertible Notwithstanding the investment limit specified in sectors (which include coal, tobacco, defense bonds and equity warrants issued by interna- Article 2 B. (n) concerning the use of derivatives, industry, pornography, gambling and nuclear tional companies that are active in the field of the following investment restrictions shall apply power), (ii) involvement in controversial weapons education through the complete value chain: with regard to the investment restrictions cur- (nuclear weapons, depleted uranium, cluster from content creation to platform and delivery, to rently applicable in individual distribution munitions and anti-personnel mines) or (iii) infrastructure and devices. Investing in the countries: violation of internationally accepted norms, but education area will include next generation also allow for an active issuer selection based on providers of content, platforms as well as com- Derivatives that constitute short positions must categories such as climate and transition risk, panies which provide the technology which have adequate coverage at all times and may be norm compliance or best-in-class ESG evalua- enables education in general and in particular used exclusively for hedging purposes. Hedging tions. The methodology assigns one of six possi- edutainment (educational entertainment). is limited to 100% of the underlying instrument ble proprietary scores to each possible issuer covering the derivative. Conversely, no more than based on a letter scoring from A to F, whereby Furthermore, the sub-fund may invest in compa- 35% of the net value of the assets of the sub- issuers with A and B scores are considered as nies which obtain the majority of their revenues fund may be invested in derivatives that consti- leading in their categories and issuers with by financing the above activities. tute long positions and do not have correspond- C scores are considered as within the upper ing coverage. midfield of their category. These letter scoring

128 can originate from revenues generated from Notwithstanding the investment limit of 10% a market which is recognized, open to the public controversial sectors or the degree of involve- specified in Article 2 B. (i) concerning invest- and which functions correctly, unless expressly ment in controversial weapons, the degree of ments in shares of other UCITS and/or other specified otherwise. Such organized market also severity that an issuer may be involved in the UCIs as defined in Article 2 A. (e), an investment meets the criteria of article 50 of the UCITS violation of international norms, the assessment limit of 5% shall apply to this sub-fund. Directive. on climate and transition risk, which is based on for example carbon intensity or the risk of For the purpose of inducing a partial tax exemp- The respective risks connected with investments stranded assets, or from best-in-class ESG tion within the meaning of the German Invest- in this sub-fund are disclosed in the general evaluations. ment Tax Act and in addition to the investment section of the Sales Prospectus. limits described in the Articles of Incorporation The sub-fund manager considers in its asset and this Sales Prospectus (equity fund) at least Integration of sustainability risks allocation the resulting scores from the ESG 60% of the sub-fund´s gross assets (determined The sub-fund management integrates sustain- database. The sub-fund’s investment in low as being the value of the sub-fund´s assets ability risks into their investment decisions by scored issuers (scores D and E) is limited or without taking into account liabilities) are means of ESG Integration. Further information on excluded whereas issuers with the lowest invested in equities admitted to official trading on how sustainability risks are taken into account in scores (e.g. score F) are always excluded from a stock exchange or admitted to, or included in, the investment decisions can be found in the the investable universe. another organized market and which are not: general section of the Sales Prospectus.

The ESG performance of an issuer is evaluated –– units of investment funds; Risk Management independently from financial success based on a –– equities indirectly held via partnerships; The relative Value-at-Risk (VaR) approach is used variety of characteristics. These characteristics –– units of corporations, associations of persons to limit market risk in the sub-fund. include, for example, the following fields of or estates at least 75% of the gross assets of interest: which consist of immovable property in In addition to the provisions of the general accordance with statutory provisions or their section of the Sales Prospectus, the potential Environment investment conditions, if such corporations, market risk of the sub-fund is measured using a associations of persons or estates are subject reference portfolio that does not contain deriva- –– Conservation of flora and fauna; to income tax of at least 15% and are not tives (“risk benchmark”). –– Protection of natural resources, exempt from it or if their distributions are atmosphere and inshore waters; subject to tax of at least 15% and the sub- Leverage is not expected to exceed twice the –– Limitation of land degradation and fund is not exempt from said taxation; value of the investment sub-fund’s assets. The climate change –– units of corporations which are exempt from leverage effect is calculated using the sum of –– Avoidance of encroachment on corporate income taxation to the extent they notional approach (absolute (notional) amount of ecosystems and loss of biodiversity. conduct distributions unless such distributions each derivative position divided by the net pres- are subject to taxation at a minimum rate of ent value of the portfolio). However, the dis- Social 15% and the sub-fund is not exempt from said closed expected level of leverage is not intended taxation; to be an additional exposure limit for the –– General human rights; –– units of corporations the income of which sub-fund. –– Prohibition of child labour and forced labour; originates, directly or indirectly, to an extent of –– Imperative Non-discrimination; more than 10%, from units of corporations, Investment in shares of target funds –– Workplace health and safety; that are (i) real estate companies or (ii) are not In addition to the information in the general –– Fair workplace and appropriate remuneration. real estate companies, but (a) are domiciled in section of the Sales Prospectus the following is member state of the European Union or a applicable to this sub-fund: Corporate Governance member state of the European Economic Area and are not subject in said domicile to corpo- When investing in target funds associated to –– Corporate Governance Principles by the rate income tax or are exempt from it or (b) the sub-fund, the part of the management fee International Corporate Governance Network; are domiciled in a third country and are not attributable to shares of these target funds is –– Global Compact Anti-Corruption Principles. subject in said domicile to corporate income reduced by the management fee/all-in fee of the tax of at least 15% or are exempt from it; acquired target funds, and as the case may be, At least 90% of the sub-fund`s portfolio holdings –– units of corporations which hold, directly or up to the full amount (difference method). will be screened according to non-financial indirectly, units of corporations, that are (i) real criteria available via the ESG database. estate companies or (ii) are not real estate companies, but (a) are domiciled in a member More information about the functioning of the state of the European Union or a member ESG investment methodology, its integration in state of the European Economic Area and are the investment process, the selection criteria as not subject in said domicile to corporate well as our ESG related policies can be found on income tax or are exempt from it or (b) are our website www.dws.com/solutions/esg. domiciled in a third country and are not sub- In addition, an engagement activity can be ject in said domicile to corporate income tax initiated with the individual issuers regarding of at least 15% or are exempt from it if the fair matters such as strategy, financial and non-finan- market value of units of such corporations cial performance, risk, capital structure, social equal more than 10% of the fair market value and environmental impact as well as corporate of those corporations. governance including topics like disclosure, culture and remuneration. The dialogue can be For the purpose of this investment policy and in exercised by, for example, proxy voting, company accordance with the definition in the German meetings or engagement letters. Investment Code (KAGB), an organized market is

129 DWS Invest ESG Dynamic Opportunities

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio 80% MSCI WORLD ALL COUNTRY and 20% IBOXX EUR Overall (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

For the sub-fund with the name DWS Invest ESG 1. Investment objective and policy of accordance with article 8(1) SFDR. The ESG Dynamic Opportunities, the following provisions DWS Invest ESG Dynamic Opportunities methodology is further described in section 2.B. shall apply in addition to the terms contained in DWS Invest ESG Dynamic Opportunities is a At least 60% of the master fund’s assets are the general section of the Sales Prospectus. directive-compliant feeder fund (the “feeder invested in equities. fund”) of the UCITS master fund DWS ESG Investment Policy Dynamic Opportunities (the “master fund”). The objective of the investment policy of the This sub-fund promotes environmental and social feeder fund is to enable investors to participate characteristics and qualifies as product in accor- As such, the feeder fund permanently invests at in the performance of the master fund. For this dance with article 8(1) of Regulation (EU) least 85% of the sub-fund assets in units of the reason, the fund management actually strives to 2019/2088 on sustainability-related disclosures in master fund. The master fund qualifies as prod- invest the full value of the feeder in the master the financial services sector (‘SFDR’). uct in accordance with article 8(1) SFDR. Due to fund, so that share certificate holders are able to its substantial investment in the master fund, the participate in the performance of the master fund feeder fund shares this qualification as product in almost in full.

130 The sub-fund is actively managed and is not The Sales Prospectus, Key Investor Information Governance managed in reference to a benchmark. Document, the annual and semiannual reports and further information about the master fund –– Corporate principles in accordance with the The feeder fund may hold up to 15% of its are available on request from the Management ICGN (International Corporate Governance assets in ancillary liquid assets, including cash, Company, as is the master feeder agreement Network), cash equivalents and short term bank deposits in between this feeder fund and the master fund. –– Compliance with business ethics and princi- accordance with the provisions of article 41 (2) ples of combating corruption in accordance of the Law of 2010 and financial derivative instru- B. Investment objective and policy with the UN Global Compact. ments, which may be used for hedging and of the master fund investment purposes only in accordance with The objective of the investment policy of DWS The ESG criteria are combined in a proprietary article 41 (1) g) and article 42 (2) and (3) of the ESG Dynamic Opportunities is to achieve an ESG rating calculated on the basis of various Law of 2010. above average appreciation of capital in Euros ESG data providers. The rating is used to assess taking in account the opportunities and risks of the performance of a company based on recog- The sub-fund intends to use securities financing the international capital markets. nized environmental and social standards as well transactions under the conditions and to the as on good corporate governance principles. extent further described in the general part of The master fund acquires and sells the assets the Sales Prospectus. permitted under the German Investment Code The master fund applies accepted strategies for (KAGB) and the Terms and Conditions of Invest- the implementation of the ESG approach. Exclu- For the purpose of inducing a partial tax exemp- ment in accordance with its assessment of sion criteria are therefore worked with (“negative tion within the meaning of the German Invest- economic and capital-market conditions and of screening strategy”) and investments are made ment Tax Act and in addition to the investment future prospects on the exchanges. in companies, government bonds and suprana- limits described in the Articles of Incorporation tional issuers that provide the best services in and this Sales Prospectus at least 85% of the At least 60% of the master fund’s asset are terms of the aforementioned ESG criteria (“best- feeder fund´s gross assets (determined as being invested in equities. in-class strategy”). In addition, dialog with com- the value of the sub-fund´s assets without taking panies regarding better corporate governance into account liabilities) are invested in units of the Up to 40% of the master fund’s assets may be and a more sustainable or more socially-oriented master fund (equity fund). invested in interest-bearing securities. way of doing business is sought after. This dialog can also be exercised by means of proxy voting The respective risks connected with investments Up to 40% of the master fund`s assets may be (“engagement strategy”). in this sub- fund are disclosed in the general invested in money market instruments, term section of the Sales Prospectus. deposits and bank balances respectively. Through the fund, the master fund promotes environmental and social characteristics as Integration of sustainability risks The master fund may invest up to 10% of its defined by article 8 of the Regulation (EU) The sub-fund management integrates sustain- assets in units of other funds (“investment fund 2019/2088 on sustainability-related disclosure ability risks into their investment decisions by units”). obligations in the financial services sector. means of ESG Integration. Further information on Besides the usual financial data, the master fund how sustainability risks are taken into account in Within the framework of the securities selection takes sustainability risks into account when the investment decisions can be found in the process, the environmental and social perfor- making investment decisions. This consideration general section of the Sales Prospectus. mance of a company as well as its corporate applies to the entire investment process, i.e., for governance (ESG criteria) are taken into consider- both the fundamental analysis of investments 2. The master fund ation alongside the financial performance. and for the decision itself. A. General information The master fund, a collective investment under They are evaluated independently of the financial In the fundamental analysis, ESG criteria are taking with variable capital, was incorporated success of a company using a compendium of taken into account in particular in the proprietary pursuant to Directive 2009/65/EC of the European ESG criteria. The criteria relate to the following market analysis. Parliament and of the Council of July 13, 2009, on topics, among others: the coordination of laws, regulations and adminis- In addition, ESG criteria are integrated into the trative provisions relating to Undertakings for Environmental entire investment research process. This includes Collective Investment in Transferable Securities, identifying global sustainability trends, financially which was most recently amended by Directive –– Avoidance of climate transition risks relevant ESG topics and challenges. 2014/91/EU of the European Parliament and of the –– Conservation of flora and fauna, Council of July 23, 2014, amending Directive –– Protection of natural resources, the Furthermore, risks that could arise from the 2009/65/EC on the coordination of laws, regula- atmosphere and inland waters, effects of climate change or risks arising from tions and administrative provisions relating to –– Limitation of soil degradation and the violation of internationally accepted guide- Undertakings for Collective Investment in Transfer- climate change, lines are subjected to a special review. The able Securities as regards depositary functions, –– Avoidance of interference with ecosystems internationally recognized guidelines include, remuneration policies and sanctions, as defined by and losses of biological diversity. in particular, the ten principles of the United the German Investment Code (KAGB). The regis- Nations Global Compact, the ILO Core Labor tered office of the master fund is Mainzer Land- Social Standards, the UN Guiding Principles on Busi- straße 17-19, 60329 Frankfurt/Main, Germany. ness and Human Rights and the OECD Guide- –– General human rights, lines for Multinational Enterprises. The management company of the master fund is –– Ban on child labor and forced labor, DWS Investment GmbH, Mainzer Landstr. 11-17, –– Mandatory non-discrimination, In order to take ESG criteria into consideration, in 60329 Frankfurt/Main, Germany. –– Health and safety in the workplace, the master fund primarily uses a special data- –– Fair working conditions and appropriate base which collates ESG data from other The Depositary of the master fund is remuneration. research companies as well as its own research State Street Bank International GmbH, results. After analyzing the data, this database Brienner Straße 59, 80333 Munich, Germany. allocates the investments one of six possible

131 ratings. The master fund focuses on investments request, the manner and timing of transmission, –– The costs incurred by the master fund`s man- that have received one of the top three ratings or the coordination of involvement of each deposi- agement company for asserting and enforcing that would receive similar ratings on the basis of tary in operational matters in view of their duties legal claims for the account of the master fund, the research results. under their respective national law, the coordina- and for defending any claims asserted against tion of accounting year-end procedures, report- the master fund`s management company to If an investment is made in a company following able breaches committed by the master fund, the detriment of the master fund. the ESG-integrated fundamental analysis, these the procedure for hedging purposes and in order –– The cost of informing investors by durable investments continue to be monitored taking into to achieve the investment objective, ad hoc medium, not including the cost of informing account ESG aspects. In addition, a dialog is requests for assistance and particular contingent investors by durable medium in cases of sought with the companies regarding improving events reportable on an ad hoc basis. –– fund mergers and corporate governance and stronger consideration –– measures taken in connection with of ESG criteria. This occurs, e.g., through involve- The auditors of the feeder fund and the master computation errors in the determination ment as a shareholder in the company, in particu- fund have entered into an information sharing of the net asset value per unit, or in cases lar through the exercise of voting rights and other agreement in accordance with the Law of 2010. of investment limit violations. shareholder rights. More information about the It specifies, inter alia, the documents and cate functioning of the ESG investment methodology, gories of information to be routinely shared Further costs can be incurred in connection with its integration in the investment process, the between the auditors and those which must be securities lending and repurchase agreements, selection criteria as well as our ESG related made available upon request, the manner and such as: policies can be found on our website timing of transmission of information, the coordi- www.dws.com/solutions/esg. nation of involvement of each auditor in account- The master fund is entitled to any net income ing year-end procedures of the feeder fund and from securities lending transactions and securi- The master -fund will not invest in contingent the master fund, reportable irregularities identi- ties repurchase agreements. The master fund`s convertibles. fied in the master fund and standard arrange- management company shall receive a flat fee for ments for ad hoc requests for assistance. initiating, preparing and implementing securities In addition to the investment limits of the master lending transactions (including synthetic securi- fund described above and for the purpose of D. Risk profile of the master fund ties lending transactions) and (reverse) repur- inducing a partial tax exemption within the The performance of the master fund is influenced chase agreement transactions for the account of meaning of the German Investment Tax Act at in particular by the following factors, which give the sub-fund amounting to up to one third of the least 60% of the master fund´s gross assets rise to both opportunities and risks: income from these transactions. This fee is up to (determined as being the value of the fund´s 50% of the income from these transactions. assets without taking into account liabilities) are –– Risk of price changes in equities; Additional costs may be incurred in connection invested in such equity capital investments as –– Increased volatility. with securities lending transactions and securi- defined in article 2 (8) of the German Investment ties repurchase agreements, such as: Tax Act admitted to official trading on a stock In addition, the master fund may temporarily exchange or admitted to, or included in, another concentrate more or less intensively on particular –– Depositary fees; organized market (equity fund). sectors, countries or market segments. This, too, –– account fees in line with normal banking may give rise to opportunities and risks. practice (including, where applicable, normal No assurance can be given that the objectives of costs for holding foreign securities in custody the investment strategy will actually be achieved. Please consult the master fund´s prospectus for abroad); and further detailed description of such risks and the –– fees payable to external service providers C. Special agreements general risks described in section “Risk Factors” engaged by the master fund`s management The Management Company of the feeder fund of the master fund prospectus. company to conduct the transactions (see also and the management company of the master fund the section on securities lending transactions have entered into an information sharing agree- 3. Costs and expenses to be borne and repurchase agreements earlier in this ment in accordance with the Law of 2010. It by the feeder fund when investing sales prospectus). specifies, inter alia, the documents and categories in the master fund of information to be routinely shared between the The fees and expenses for the units of the These additional transaction costs are borne by Management Company and the management master fund held in the feeder fund shall also be the master fund`s management company. company of the master fund, the information to charged in the feeder fund. The fees charged by be transmitted by the management company of the management company of the master fund to Further fees and expenses to be paid at the level the master fund to the Management Company in the feeder fund include: of the master fund are described in the prospec- case the master fund breaches any of its legal or tus and in the terms and conditions of invest- contractual obligations, the transmission of sub- –– The all-in fee of the master fund of 0.40%. ment of the master fund. scription and redemption orders and the suspension of subscriptions and redemptions. The following additional fees may also apply: The master fund`s management company is not In addition to the all-in fee payable to the master permitted to impose initial sales charges or The Shareholders may obtain further information fund`s management company, the following redemption fees upon acquisition or redemption on the master fund and the information sharing additional expenses may also be charged to the of units of the master fund. The annual and agreement on request and free of charge at the feeder fund: semiannual reports will disclose the remunera- registered office of the Management Company. tion charged to the feeder fund as the all-in fee –– Costs incurred in connection with the for the units in the master fund by the relevant The Depositary of the feeder fund and the acquisition and sale of assets. management company. In addition, the annual depositary of the master fund have entered into –– Taxes imposed in connection with the fees report contains an explanation of the combined an information sharing agreement in accordance payable to the master fund`s management fee deducted from the feeder fund and master with the Law of 2010. It specifies, inter alia, the company, the Depositary and third parties, as fund. documents and categories of information to be well as with the expenses mentioned herein- routinely shared between both depositary and after, including taxes arising in connection those which must be made available upon with administration and custody.

132 Additionally, to the costs in consequence of the feeder fund investing in the master fund, the shareholder will be charged with the fees of the feeder fund as stated in the chart above.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Performance of feeder and master The performance of the feeder fund and the master fund will be similar but not identical due to costs and expenses incurred and cash held by the feeder fund.

Tax implications Tax effects of an investment in a master fund at the level of the feeder fund.

At the level of a Luxembourg fund serving as a feeder fund that acquires units/shares of a German fund serving as the master fund, the following applies:

No withholding tax is levied on the investment income within the meaning of article 16 of the German Investment Tax Act – distributions, advance lump-sum amount (“Vorabpauschale”), gains on the redemption/sale of units/shares in the master fund – that flows into the feeder fund from the master fund or that is attributable to the feeder fund.

A refund at the level of the master fund of any corporate income tax on domestic participation income (“inländische Beteiligungseinnahmen”) and on other domestic income in the sense of the limited income tax liability, with the exception of gains from the sale of shares of corporations, is not possible for investors in the feeder fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

133 DWS Invest ESG Emerging Markets Top Dividend

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI EM (Emerging Markets) in EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Dilution adjustment PFC and PFD: (payable by the shareholder)** A dilution adjustment of up to 3% based on the gross redemption amount may be charged. Please see the general section for further explanation. Placement fee PFC and PFD: (payable from the sub-fund’s assets) Up to 3% for the benefit of the distributor. Please see the general section for further explanation.

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

134 For the sub-fund with the name DWS Invest ESG requirements of the preceding paragraph, as well Environment Emerging Markets Top Dividend, the following as in all other permissible assets specified in provisions shall apply in addition to the terms Article 2 of the general section of the Sales –– Conservation of flora and fauna; contained in the general section of the Sales Prospectus. –– Protection of natural resources, atmosphere Prospectus. and inshore waters; A maximum of 20% of the sub-fund´s assets may –– Limitation of land degradation and climate Investment policy be invested in securities such as A-Shares, change This sub-fund promotes environmental and social B-Shares, bonds and other securities listed and –– Avoidance of encroachment on ecosystems characteristics and qualifies as product in traded in Mainland China. and loss of biodiversity. accordance with article 8(1) of Regulation (EU) 2019/2088 on sustainability - related disclosures in The sub-fund’s assets are predominantly invested Social the financial services sector. in securities from issuers that comply with defined minimum standards in respect to –– General human rights; The objective of the investment policy of DWS environmental, social and corporate governance –– Prohibition of child labour and forced labour; Invest ESG Emerging Markets Top Dividend is to characteristics. –– Imperative Non-discrimination; achieve an above average appreciation of capital –– Workplace health and safety; in Euros. The sub-fund management seeks to attain a –– Fair workplace and appropriate remuneration. variety of the environmental, social and corporate The sub-fund is actively managed and is not governance characteristics by assessing potential Corporate Governance managed in reference to a benchmark. investments via proprietary ESG investment methodology. This methodology incorporates –– Corporate Governance Principles by the The sub-fund may acquire equities, interest-bear- portfolio investment standards according to an International Corporate Governance Network; ing securities, convertible bonds, warrant-linked ESG database, which uses data from multiple –– Global Compact Anti-Corruption Principles. bonds, warrants, dividend-right certificates, index leading ESG data providers as well as internal and certificates and financial instruments certificated public sources to derive proprietary combined At least 90% of the sub-fund`s portfolio holdings in securities of well-established issuers based in scores for various environmental, social and will be screened according to non-financial criteria Emerging Markets. corporate governance characteristics. These available via the ESG database. encompass assessments for (i) controversial At least 70% (after deduction of liquid assets) of sectors (which include coal, tobacco, defence More information about the functioning of the the sub-fund’s asset must be invested in equities industry, pornography, gambling and nuclear ESG investment methodology, its integration in of companies registered in Emerging Markets power), (ii) involvement in controversial weapons the investment process, the selection criteria as countries or in companies that conduct their (nuclear weapons, depleted uranium, cluster well as our ESG related policies can be found on principal business activity in Emerging Markets munitions and anti-personnel mines) or (iii) viola- our website www.dws.com/solutions/esg. countries or which, as holding companies, hold tion of internationally accepted norms, but also primarily interest in companies registered in allow for an active issuer selection based on In addition, an engagement activity can be Emerging Markets countries, that can be categories such as climate and transition risk, initiated with the individual issuers regarding expected to deliver an above-average dividend norm compliance or best-in-class ESG evaluations. matters such as strategy, financial and non-finan- yield. Emerging markets are countries listed in The methodology assigns one of six possible cial performance, risk, capital structure, social the MSCI Emerging Markets Index or listed in proprietary scores to each possible issuer based and environmental impact as well as corporate the Standard & Poor’s Emerging Markets on a letter scoring from A to F, whereby issuers governance including topics like disclosure, culture Database (EMDB). Further, countries which are with A and B scores are considered as leading in and remuneration. The dialogue can be exercised listed as low or middle income (including both their categories and issuers with C scores are by, for example, proxy voting, company meetings lower middle and higher middle income) by the considered as within the upper midfield of their or engagement letters. World Bank will be considered as Emerging category. These letter scoring can originate from Markets even if such countries are neither listed revenues generated from controversial sectors or The sub-fund will not invest in contingent in the MSCI Emerging Markets Index nor in the the degree of involvement in controversial convertibles. EMDB but must not be included in the MSCI weapons, the degree of severity that an issuer World Index. may be involved in the violation of international The sub-fund intends to use securities financing norms, the assessment on climate and transition transactions under the conditions and to the When selecting equities, the following criteria risk, which is based on for example carbon extent further described in the general part of shall be of decisive importance: dividend yield intensity or the risk of stranded assets, or from the Sales Prospectus. above the market average; sustainability of best-in-class ESG evaluations. dividend yield and growth; historical and forecast For the purpose of inducing a partial tax profit growth; attractive price/earnings ratio. In The sub-fund manager considers in its asset exemption within the meaning of the German addition to these criteria, the proven stock- allocation the resulting scores from the ESG Investment Tax Act and in addition to the picking process of the fund manager will be database. The sub-fund’s investment in low scored investment limits described in the Articles of applied. This means that a company’s fundamen- issuers (scores D and E) is limited or excluded Incorporation and this Sales Prospectus (equity tal data, such as asset quality, management whereas issuers with the lowest scores (e.g. fund) at least 51% of the sub-fund´s gross assets skills, profitability, competitive position and score F) are always excluded from the investable (determined as being the value of the sub-fund´s valuation, are analyzed and applied in decision universe. assets without taking into account liabilities) are making. These criteria and fundamental data may invested in equities admitted to official trading on be weighted differently and do not always have The ESG performance of an issuer is evaluated a stock exchange or admitted to, or included in, to be present at the same time. independently from financial success based on a another organized market and which are not: variety of characteristics. These characteristics A maximum of 30% of the sub-fund’s assets include, for example, the following fields of –– units of investment funds; (after deduction of liquid assets) may be invested interest: –– equities indirectly held via partnerships; in equities, other equity securities and uncertificated equity instruments that do not fulfil the

135 –– units of corporations, associations of persons Risk Management or estates at least 75% of the gross assets of The relative Value-at-Risk (VaR) approach is used which consist of immovable property in to limit market risk in the sub-fund. accordance with statutory provisions or their investment conditions, if such corporations, In addition to the provisions of the general associations of persons or estates are subject section of the Sales Prospectus, the potential to corporate income tax of at least 15% and market risk of the sub-fund is measured using are not exempt from it or if their distributions a reference portfolio that does not contain are subject to tax of at least 15% and the derivatives (“risk benchmark”). sub-fund is not exempt from said taxation; –– units of corporations which are exempt from Leverage is not expected to exceed twice the corporate income taxation to the extent they value of the investment sub-fund’s assets. The conduct distributions unless such distributions leverage effect is calculated using the sum of are subject to taxation at a minimum rate of notional approach (absolute (notional) amount 15% and the sub-fund is not exempt from said of each derivative position divided by the net taxation; present value of the portfolio). However, the –– units of corporations the income of which disclosed expected level of leverage is not originates, directly or indirectly, to an extent intended to be an additional exposure limit for of more than 10%, from units of corporations, the sub-fund. that are (i) real estate companies or (ii) are not real estate companies, but (a) are domiciled in Investment in shares of target funds member state of the European Union or a In addition to the information in the general member state of the European Economic section of the Sales Prospectus the following Area and are not subject in said domicile to is applicable to this sub-fund: corporate income tax or are exempt from it or (b) are domiciled in a third country and are not When investing in target funds associated to the subject in said domicile to corporate income sub-fund, the part of the management fee tax of at least 15% or are exempt from it; attributable to shares of these target funds is –– units of corporations which hold, directly or reduced by the management fee/all-in fee of the indirectly, units of corporations, that are (i) real acquired target funds, and as the case may be, estate companies or (ii) are not real estate up to the full amount (difference method). companies, but (a) are domiciled in a member state of the European Union or a member state of the European Economic Area and are not subject in said domicile to corporate income tax or are exempt from it or (b) are domiciled in a third country and are not subject in said domicile to corporate income tax of at least 15% or are exempt from it if the fair market value of units of such corporations equal more than 10% of the fair market value of those corporations.

For the purpose of this investment policy and in accordance with the definition in the German Investment Code (KAGB), an organized market is a market which is recognized, open to the public and which functions correctly, unless expressly specified otherwise. Such organized market also meets the criteria of article 50 of the UCITS Directive.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

Integration of sustainability risks The sub-fund management integrates sustainability risks into their investment decisions by means of ESGIntegration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

136 DWS Invest ESG Equity Income

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI World High Dividend Yield TR net (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* FC EUR 0% up to 0.75% 0% 0.05% August 7, 2017 FD EUR 0% up to 0.75% 0% 0.05% August 7, 2017 LC EUR up to 5% up to 1.5% 0% 0.05% August 7, 2017 LD EUR up to 5% up to 1.5% 0% 0.05% August 7, 2017 XC EUR 0% up to 0.35% 0% 0.05% August 7, 2017 XD EUR 0% up to 0.35% 0% 0.05% August 7, 2017 LCH (P) EUR up to 5% up to 1.5% 0% 0.05% January 29, 2018 NC EUR up to 3% up to 2% 0% 0.05% January 29, 2018 NCH (P) EUR up to 3% up to 2% 0% 0.05% February 15, 2018 PFC EUR 0% up to 1.6% 0% 0.05% February 15, 2018 PFCH (P) EUR 0% up to 1.6% 0% 0.05% February 15, 2018 TFC EUR 0% up to 0.75% 0% 0.05% February 15, 2018 TFD EUR 0% up to 0.75% 0% 0.05% February 15, 2018 WFD EUR 0% up to 0.75% 0% 0.05% May 30, 2018 GBP D RD GBP 0% up to 0.75% 0% 0.05% June, 15, 2018 USD FCH (P) USD 0% up to 0.75% 0% 0.05% February 15, 2019 USD LCH (P) USD up to 5% up to 1.5% 0% 0.05% February 15, 2019 TFCH (P) EUR 0% up to 0.75% 0% 0.05% May 15, 2019 USD IC USD 0% up to 0.5% 0% 0.01% July 31, 2019 IC EUR 0% up to 0.5% 0% 0.01% September 30, 2019 ID EUR 0% up to 0.5% 0% 0.01% September 30, 2019 ND EUR up to 3% up to 2% 0% 0.05% February 7, 2020 PFD EUR 0% up to 1.6% 0% 0.05% February 7, 2020 CHF LCH (P) CHF up to 5% up to 1.5% 0% 0.05% September 30, 2020 CHF LDH (P) CHF up to 5% up to 1.5% 0% 0.05% September 30, 2020 ID100 EUR 0% up to 0.25% 0% 0.01% October 30, 2020

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

137 For the sub-fund with the name DWS Invest Up to 30% of the sub-fund’s assets may be excluded whereas issuers with the lowest ESG Equity Income, the following provisions invested in instruments that do not meet the scores (e.g. score F) are always excluded from shall apply in addition to the terms contained in above mentioned criteria. the investable universe. the general section of the Sales Prospectus. Up to 30% of the sub-fund’s assets may be The ESG performance of an issuer is evaluated Investment policy invested in money market instruments and bank independently from financial success based on a This sub-fund promotes environmental and social balances. variety of characteristics. These characteristics characteristics and qualifies as product in accor- include, for example, the following fields of dance with article 8(1) of Regulation (EU) The sub-fund will not invest in contingent interest: 2019/2088 on sustainability-related disclosures in convertibles. the financial services sector. Environment The sub-fund intends to use securities financing The objective of the investment policy of DWS transactions under the conditions and to the –– Conservation of flora and fauna Invest ESG Equity Income is to achieve an above extent further described in the general part of –– Protection of natural resources, atmosphere average return. the Sales Prospectus. and inshore waters –– Limitation of land degradation and climate The sub-fund is actively managed and is not In addition, the sub-fund’s assets may be invested change managed in reference to a benchmark. in all other permissible assets as specified in –– Avoidance of encroachment on ecosystems Article 2, including the assets mentioned in and loss of biodiversity At least 70% of the sub-fund’s assets are Article 2 A. (j) of the general section of the Sales invested in equities from international issuers Prospectus. Social that are expected to deliver an above-average dividend yield. The sub-fund’s assets are predominantly invested –– General human rights in securities from issuers that comply with defined –– Prohibition of child labor and forced labor When selecting equities, the following criteria minimum standards in respect to environmental, –– Imperative Non-discrimination shall be of decisive importance: dividend yield social and corporate governance characteristics. –– Workplace health and safety above the market average; sustainability of –– Fair workplace and appropriate remuneration dividend yield and growth; historical and future The sub-fund management seeks to attain a earnings growth; price/earnings ratio. In addition variety of the environmental, social and corporate Corporate Governance to these criteria, the proven stock-picking pro- governance characteristics by assessing potential cess of the Fund Manager will be applied. This investments via proprietary ESG investment –– Corporate Governance Principles by the Inter- means that a company’s fundamental data, such methodology. This methodology incorporates national Corporate Governance Network; as asset quality, management skills, profitability, portfolio investment standards according to an –– Global Compact Anti-Corruption Principles competitive position and valuation, are analyzed. ESG database, which uses data from multiple leading ESG data providers as well as internal and At least 90% of the sub-fund`s portfolio holdings These criteria may be weighted differently and do public sources to derive proprietary combined will be screened according to non-financial criteria not always have to be present at the same time. scores for various environmental, social and available via the ESG database. corporate governance characteristics. These In compliance with Article 2 B. of the general encompass assessments for (i) controversial More information about the functioning of the section of the Sales Prospectus, the sub-fund sectors (which include coal, tobacco, defence ESG investment methodology, its integration in may use derivative techniques to implement the industry, pornography, gambling and nuclear the investment process, the selection criteria as investment objective, including in particular – but power), (ii) involvement in controversial weapons well as our ESG related policies can be found on not limited to – forwards, futures, single-stock (nuclear weapons, depleted uranium, cluster our website www.dws.com/solutions/esg. futures, options or equity swaps. munitions and anti-personnel mines) or (iii) violation of internationally accepted norms, but also In addition, an engagement activity can be initi- Against this background, positions could be built allow for an active issuer selection based on ated with the individual issuers regarding matters up that anticipate declining stock prices and categories such as climate and transition risk, such as strategy, financial and non-financial perfor- index levels. norm compliance or best-in-class ESG evaluations. mance, risk, capital structure, social and environ- The methodology assigns one of six possible mental impact as well as corporate governance According to the prohibition stipulated in proprietary scores to each possible issuer based including topics like disclosure, culture and remu- Article 2 F. of the general section of the Sales on a letter scoring from A to F, whereby issuers neration. The dialogue can be exercised by, for Prospectus, no short sales of securities will with A and B scores are considered as leading in example, proxy voting, company meetings or be undertaken. their categories and issuers with C scores are engagement letters. considered as within the upper midfield of their Short positions are achieved by using securitized category. These letter scoring can originate from For the purpose of inducing a partial tax exemp- and non-securitized derivative instruments. revenues generated from controversial sectors or tion within the meaning of the German Invest- the degree of involvement in controversial weap- ment Tax Act and in addition to the investment Investments in the securities mentioned above ons, the degree of severity that an issuer may be limits described in the Articles of Incorporation may also be made through Global Depository involved in the violation of international norms, the and this Sales Prospectus (equity fund) at least Receipts (GDRs) listed on recognized exchanges assessment on climate and transition risk, which 51% of the sub-fund´s gross assets (determined and markets, or through American Depository is based on for example carbon intensity or the as being the value of the sub-fund´s assets with- Receipts (ADRs) issued by international financial risk of stranded assets, or from best-in-class ESG out taking into account liabilities) are invested in institutions. evaluations. equities admitted to official trading on a stock exchange or admitted to, or included in, another The sub-fund manager considers in its asset organized market and which are not: allocation the resulting scores from the ESG database. The sub-fund’s investment in low –– units of investment funds; scored issuers (scores D and E) is limited or –– equities indirectly held via partnerships;

138 –– units of corporations, associations of persons Integration of sustainability risks or estates at least 75% of the gross assets of The sub-fund management integrates sustain- which consist of immovable property in ability risks into their investment decisions by accordance with statutory provisions or their means of ESG Integration. Further information on investment conditions, if such corporations, how sustainability risks are taken into account in associations of persons or estates are subject the investment decisions can be found in the to corporate income tax of at least 15% and are general section of the Sales Prospectus. not exempt from it or if their distributions are subject to tax of at least 15% and the sub-fund Risk Management is not exempt from said taxation; The relative Value-at-Risk (VaR) approach is used –– units of corporations which are exempt from to limit market risk in the sub-fund. corporate income taxation to the extent they conduct distributions unless such distributions In addition to the provisions of the general are subject to taxation at a minimum rate of section of the Sales Prospectus, the potential 15% and the sub-fund is not exempt from said market risk of the sub-fund is measured using a taxation; reference portfolio that does not contain deriva- –– units of corporations the income of which tives (“risk benchmark”). originates, directly or indirectly, to an extent of more than 10%, from units of corporations, Leverage is not expected to exceed twice the that are (i) real estate companies or (ii) are not value of the investment sub-fund’s assets. The real estate companies, but (a) are domiciled in leverage effect is calculated using the sum of member state of the European Union or a notional approach (absolute (notional) amount of member state of the European Economic Area each derivative position divided by the net present and are not subject in said domicile to corpo- value of the portfolio). However, the disclosed rate income tax or are exempt from it or (b) are expected level of leverage is not intended to be an domiciled in a third country and are not subject additional exposure limit for the sub-fund. in said domicile to corporate income tax of at least 15% or are exempt from it; Investment in shares of target funds –– units of corporations which hold, directly or In addition to the information in the general indirectly, units of corporations, that are (i) real section of the Sales Prospectus the following estate companies or (ii) are not real estate is applicable to this sub-fund: companies, but (a) are domiciled in a member state of the European Union or a member state When investing in target funds associated to the of the European Economic Area and are not sub-fund, the part of the management fee subject in said domicile to corporate income attributable to shares of these target funds is tax or are exempt from it or (b) are domiciled in reduced by the management fee/all-in fee of the a third country and are not subject in said acquired target funds, and as the case may be, domicile to corporate income tax of at least up to the full amount (difference method). 15% or are exempt from it if the fair market value of units of such corporations equal more than 10% of the fair market value of those corporations.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

139 DWS Invest ESG Euro Bonds (Short)

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark iBoxx Euro overall 1-3Y, administered by IHS Markit Benchmark Administration Limited. Reference portfolio (absolute VaR) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order Acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 7.5% of the Management Company fee

Dilution adjustment PFC and PFDQ: (payable by the shareholder)** A dilution adjustment of up to 3% based on the gross redemption amount may be charged. Please see the general section for further explanation. Placement fee PFC and PFDQ: (payable from the sub-fund’s assets) Up to 3% for the benefit of the distributor. Please see the general section for further explanation.

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment. *** In contrast with Article 1 of the general section the IC100 share class is not exclusively offered in the form of registered shares.

For the sub-fund with the name DWS Invest The objective of the investment policy of DWS Economic Co-operation and Development (OECD) ESG Euro Bonds (Short), the following provisions Invest ESG Euro Bonds (Short) is to generate an that operates regularly and is recognized and open shall apply in addition to the terms contained in above-average return for the sub-fund. The to the public. Furthermore, at least 70% of the the general section of the Sales Prospectus. sub-fund may acquire interest-bearing securities, sub-fund’s assets with the securities having convertible bonds and warrant-linked bonds, maturities classified as short-term. “Short term” Investment policy participation and dividend-right certificates, relates to a term to maturity of investments This sub-fund promotes environmental and equities and equity warrants. ranging between zero and three years. social characteristics and qualifies as product in accordance with article 8(1) of Regulation (EU) At least 70% of the sub-fund’s assets are invested No more than 25% of the sub-fund’s assets may 2019/2088 on sustainability-related disclosures in in interest-bearing securities denominated in be invested in convertible bonds and warrant- the financial services sector. Euros. At least 70% of the sub-fund’s assets are linked bonds; no more than 10% may be traded on exchanges or on other regulated mar- invested in participation and dividend-right kets in a member country of the Organisation for certificates, equities and equity warrants.

140 A maximum of 30% of the sub-fund’s total The ESG performance of an issuer is evaluated Benchmark assets may be invested in debt instruments or independently from financial success based on a The sub-fund is actively managed and is man- other securities of other countries that do not variety of characteristics. These characteristics aged in reference to one or a combination of meet the above criteria. include, for example, the following fields of benchmarks as further detailed in the sub-fund interest: specific table. All benchmarks respectively their The sub-fund will not invest in contingent administrators are registered with the ESMA, convertibles. either in the public register of administrators of Environment benchmark indices or the public register of third The sub-fund intends to use securities financing country benchmarks. transactions under the conditions and to the –– Conservation of flora and fauna extent further described in the general part of –– Protection of natural resources, atmosphere The majority of the sub-fund’s securities or the Sales Prospectus. and inshore waters their issuers are not necessarily expected to –– Limitation of land degradation and climate be components of the benchmark and the port In addition, the sub-fund’s assets may be invested change folio is not necessarily expected to have a similar in all other permissible assets. –– Avoidance of encroachment on ecosystems weighting to the benchmark. The sub-fund and loss of biodiversity management will use its discretion to invest in The sub-fund’s assets are predominantly invested securities and sectors that are not included in in securities from issuers that comply with defined Social the benchmark in order to take advantage of minimum standards in respect to environmental, specific investment opportunities. In regard to its social and corporate governance characteristics. –– General human rights benchmark, the sub-fund positioning can deviate –– Prohibition of child labor and forced labor significantly (e.g., by a positioning outside of the The sub-fund management seeks to attain a –– Imperative Non-discrimination benchmark as well as a significant underweight- variety of the environmental, social and corporate –– Workplace health and safety ing or overweighting) and the actual degree of governance characteristics by assessing potential –– Fair workplace and appropriate remuneration freedom is typically relatively high. A deviation investments via proprietary ESG investment generally reflects the sub-fund manager’s evalua- methodology. This methodology incorporates Corporate Governance tion of the specific market situation, which may portfolio investment standards according to an lead to a defensive and closer or a more active ESG database, which uses data from multiple –– Corporate Governance Principles by the Inter- and wider positioning compared to the bench- leading ESG data providers as well as internal and national Corporate Governance Network; mark. Despite the fact that the sub-fund aims public sources to derive proprietary combined –– Global Compact Anti-Corruption Principles to outperform the return of the benchmark, the scores for various environmental, social and potential outperformance might be limited corporate governance characteristics. These At least 90% of the sub-fund`s portfolio holdings depending on the prevailing market environment encompass assessments for (i) controversial will be screened according to non-financial criteria (e.g. less volatile market environment) and actual sectors (which include coal, tobacco, defence available via the ESG database. positioning versus the benchmark. industry, pornography, gambling and nuclear power), (ii) involvement in controversial weapons The reference benchmark of this sub-fund is not Risk Management (nuclear weapons, depleted uranium, cluster consistent with the environmental and social The absolute value-at-risk (VaR) approach is used munitions and anti-personnel mines) or (iii) viola- characteristics promoted by this sub-fund. Infor- to limit market risk for the sub-fund assets. tion of internationally accepted norms, but also mation on the reference benchmark can be found allow for an active issuer selection based on on www.ihsmarkit.com. Due to the limitation of the Global Exposure of categories such as climate and transition risk, the sub-fund with the absolute VaR approach, it norm compliance or best-in-class ESG evaluations. More information about the functioning of the may occur that the risk profile of the sub-fund The methodology assigns one of six possible ESG investment methodology, its integration in differs significantly from the risk profile of the proprietary scores to each possible issuer based the investment process, the selection criteria as performance benchmark. on a letter scoring from A to F, whereby issuers well as our ESG related policies can be found on with A and B scores are considered as leading in our website www.dws.com/solutions/esg. Leverage is not expected to exceed twice the their categories and issuers with C scores are value of the investment sub-fund’s assets. The considered as within the upper midfield of their In addition, an engagement activity can be initi- leverage effect is calculated using the sum of category. These letter scoring can originate from ated with the individual issuers regarding matters notional approach (absolute (notional) amount of revenues generated from controversial sectors or such as strategy, financial and non-financial perfor- each derivative position divided by the net present the degree of involvement in controversial weap- mance, risk, capital structure, social and environ- value of the portfolio). However, the disclosed ons, the degree of severity that an issuer may be mental impact as well as corporate governance expected level of leverage is not intended to be an involved in the violation of international norms, the including topics like disclosure, culture and remu- additional exposure limit for the sub-fund. assessment on climate and transition risk, which neration. The dialogue can be exercised by, for is based on for example carbon intensity or the example, proxy voting, company meetings or Investment in shares of target funds risk of stranded assets, or from best-in-class ESG engagement letters. In addition to the information in the general evaluations. section of the Sales Prospectus the following The respective risks connected with investments is applicable to this sub-fund: The sub-fund manager considers in its asset in this sub-fund are disclosed in the general allocation the resulting scores from the ESG section of the Sales Prospectus. When investing in target funds associated to database. The sub-fund’s investment in low scored the sub-fund, the part of the management fee issuers (scores D and E) is limited or excluded Integration of sustainability risks attributable to shares of these target funds is whereas issuers with the lowest scores (e.g. The sub-fund management integrates sustain- reduced by the management fee/all-in fee of the score F) are always excluded from the investable ability risks into their investment decisions by acquired target funds, and as the case may be, universe. means of ESG Integration. Further information on up to the full amount (difference method). how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

141 DWS Invest ESG Euro Corporate Bonds

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark iBoxx EUR Corporates, administered by IHS Markit Benchmark Administration Limited. Reference portfolio iBoxx EUR Corporates (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest the sub-fund’s assets are invested in corporate The sub-fund may also conclude credit default ESG Euro Corporate Bonds, the following pro bonds denominated in Euros that offer returns swaps. Their use need not be limited to hedging visions shall apply in addition to the terms higher than those of comparable government the sub-fund’s assets; they may also be part of contained in the general section of the Sales bonds; investments are deliberately focused the investment strategy. Prospectus. almost exclusively on issuers whose credit standing is considered by the market to be No more than 25% of the sub-fund’s assets Investment policy relatively good but not first-rate (investment- may be invested in convertible bonds and This sub-fund promotes environmental and social grade bonds). The Investment Company will only warrant-linked bonds; no more than 10% may characteristics and qualifies as product in accor- purchase those securities for the sub-fund for be invested in participation and dividend-right dance with article 8(1) of Regulation (EU) which, after appropriate analysis, it can assume certificates, equities and equity warrants. 2019/2088 on sustainability-related disclosures in that the interest and repayment obligations will the financial services sector. be fulfilled. Nevertheless, the risk of a total loss The sub-fund’s investments in asset backed of the value of individual securities purchased for securities and mortgage backed securities shall The objective of the investment policy of DWS the sub-fund cannot be ruled out completely. In be limited to 20% of the sub-fund’s net asset Invest ESG Euro Corporate Bonds is to generate order to take account of the remaining risks, care value. an above-average return for the sub-fund. shall be taken to spread investments among issuers. In compliance with the investment limits specified The sub-fund may acquire euro-denominated in Article 2 B. of the general section of the Sales fixed and/or variable interest-bearing securities, If a potential increase in value is expected on the Prospectus, the investment policy may also be convertible bonds and warrant-linked bonds, basis of rating changes, the sub-fund’s assets implemented through the use of suitable derivative participation and dividend-right certificates, may also include high-yield bonds, but only to a financial instruments. These derivative financial equities and equity warrants. At least 70% of very limited extent. instruments may include, among others, options,

142 forwards, futures, futures contracts on financial combined scores for various environmental, The reference benchmark of this sub-fund is not instruments and options on such contracts, as well social and corporate governance characteristics. consistent with the environmental and social as privately negotiated OTC contracts on any type These encompass assessments for (i) controver- characteristics promoted by this sub-fund. Infor- of financial instrument, including swaps, forward- sial sectors (which include coal, tobacco, defence mation on the reference benchmark can be starting swaps, inflation swaps, excess return industry, pornography, gambling and nuclear found on www.ihsmarkit.com. swaps, swaptions, constant maturity swaps and power), (ii) involvement in controversial weapons credit default swaps. (nuclear weapons, depleted uranium, cluster More information about the functioning of the munitions and anti-personnel mines) or (iii) viola- ESG investment methodology, its integration in The sub-fund may use, particularly in accordance tion of internationally accepted norms, but also the investment process, the selection criteria as with the investment limits stated in Article 2 B. allow for an active issuer selection based on well as our ESG related policies can be found on of the Sales Prospectus – general section, deriva- categories such as climate and transition risk, our website www.dws.com/solutions/esg. tives to optimize the investment objective. norm compliance or best-in-class ESG evaluations. The methodology assigns one of six possi- In addition, an engagement activity can be The derivatives may only be used in compliance ble proprietary scores to each possible issuer initiated with the individual issuers regarding with the investment policy and the investment based on a letter scoring from A to F, whereby matters such as strategy, financial and non-finan- objective of DWS Invest ESG Euro Corporate issuers with A and B scores are considered as cial performance, risk, capital structure, social Bonds. The performance of the sub-fund is leading in their categories and issuers with C and environmental impact as well as corporate therefore besides other factors depending on scores are considered as within the upper mid- governance including topics like disclosure, the respective proportion of derivatives, e.g. field of their category. These letter scoring can culture and remuneration. The dialogue can be swaps in the sub-fund’s total assets. originate from revenues generated from contro- exercised by, for example, proxy voting, company versial sectors or the degree of involvement in meetings or engagement letters. To implement the investment policy and achieve controversial weapons, the degree of severity the investment objective it is anticipated that the that an issuer may be involved in the violation of Furthermore, the sub-fund may invest in all other derivatives, such as swaps, will be entered with international norms, the assessment on climate permissible assets as specified in Article 2 of the at least BBB3 (Moody’s) /BBB- (S&P, Fitch) rated and transition risk, which is based on for example general section of the Sales Prospectus, includ- financial institutions specializing in such transac- carbon intensity or the risk of stranded assets, or ing the assets mentioned in Article 2 A. (j). tions. Such OTC-agreements are standardized from best-in-class ESG evaluations. agreements. The respective risks connected with investments The sub-fund manager considers in its asset in this sub-fund are disclosed in the general In conjunction with the OTC transactions, it is allocation the resulting scores from the ESG section of the Sales Prospectus. important to note the associated counterparty database. The sub-fund’s investment in low risk. The sub-fund’s counterparty risk resulting scored issuers (scores D and E) is limited or Integration of sustainability risks from the use of portfolio total return swaps will be excluded whereas issuers with the lowest The sub-fund management integrates sustain- fully collateralized. The use of swaps may further- scores (e.g. score F) are always excluded from ability risks into their investment decisions by more entail specific risks that are explained in the the investable universe. means of ESG Integration. Further information on general risk warnings. The ESG performance of an issuer is evaluated how sustainability risks are taken into account in independently from financial success based on a the investment decisions can be found in the The sub-fund can be invested in total or in parts variety of characteristics. These characteristics general section of the Sales Prospectus. in one or several OTC-transactions negotiated include, for example, the following fields of with a counterparty under customary market interest: Benchmark conditions. Therefore, the sub-fund can be The sub-fund is actively managed and is man- invested in total or in parts in one or several Environment aged in reference to one or a combination of transactions. benchmarks as further detailed in the sub-fund –– Conservation of flora and fauna specific table. All benchmarks respectively their The sub-fund’s investments in contingent –– Protection of natural resources, atmosphere administrators are registered with the ESMA, convertibles shall be limited to 10% of the and inshore waters either in the public register of administrators of sub-fund’s net asset value. –– Limitation of land degradation and climate benchmark indices or the public register of third change country benchmarks. The sub-fund intends to use securities financing –– Avoidance of encroachment on ecosystems transactions under the conditions and to the and loss of biodiversity The majority of the sub-fund’s securities or extent further described in the general part of their issuers are not necessarily expected to the Sales Prospectus. Social be components of the benchmark and the port folio is not necessarily expected to have a similar The sub-fund’s assets are predominantly –– General human rights weighting to the benchmark. The sub-fund invested in securities from issuers that comply –– Prohibition of child labor and forced labor management will use its discretion to invest in with defined minimum standards in respect to –– Imperative Non-discrimination securities and sectors that are not included in environmental, social and corporate governance –– Workplace health and safety the benchmark in order to take advantage of characteristics. –– Fair workplace and appropriate remuneration specific investment opportunities. In regard to its benchmark, the sub-fund positioning can deviate The sub-fund management seeks to attain a Corporate Governance significantly (e.g., by a positioning outside of the variety of the environmental, social and corpo- benchmark as well as a significant underweight- rate governance characteristics by assessing –– Corporate Governance Principles by the ing or overweighting) and the actual degree of potential investments via proprietary ESG invest- International Corporate Governance Network; freedom is typically relatively high. A deviation ment methodology. This methodology incorpo- –– Global Compact Anti-Corruption Principles generally reflects the sub-fund manager’s evalua- rates portfolio investment standards according to tion of the specific market situation, which may an ESG database, which uses data from multiple At least 90% of the sub-fund`s portfolio holdings lead to a defensive and closer or a more active leading ESG data providers as well as internal will be screened according to non-financial and wider positioning compared to the bench- and public sources to derive proprietary criteria available via the ESG database. mark. Despite the fact that the sub-fund aims to

143 outperform the return of the benchmark, the potential outperformance might be limited depending on the prevailing market environment (e.g. less volatile market environment) and actual positioning versus the benchmark.

Specific risks The sub-fund deliberately purchases the securities of issuers whose credit standing is considered by the market to be relatively good but not first rate (investment grade bonds). The opportunities resulting from the higher rates of interest in comparison to government bonds are thus countered by corresponding risks. Despite careful examination of the economic conditions and the financial condition and earnings capacity of issuers, the risk of a total loss of the value of individual securities purchased for the sub-fund cannot be ruled out completely.

The opportunities afforded by an investment of this type are therefore countered by significant risks.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Contrary to the provision of the general section of the Sales Prospectus, because of the investment strategy of the sub-fund it is expected that the leverage effect from the use of derivatives will not be any higher than five times the sub- fund assets. The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net present value of the portfolio). The disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

144 DWS Invest ESG Euro Covered Bonds

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark iBoxx Euro Covered, administered by IHS Markit Benchmark Administration Limited. Reference portfolio iBoxx Euro Covered (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest instruments purchased under repurchase agree- incorporates portfolio investment standards ESG Euro Covered Bonds, the following provi- ments shall be attributed to the investment limits according to an ESG database, which uses data sions shall apply in addition to the terms con- of stated in Article 2 B. of the general section of from multiple leading ESG data providers as well tained in the general section of the Sales the Sales Prospectus. as internal and public sources to derive propri- Prospectus. etary combined scores for various environmen- In compliance with the investment limits speci- tal, social and corporate governance characteris- Investment policy fied in Art. 2 B. of the general section of the tics. These encompass assessments for This sub-fund promotes environmental and social Sales Prospectus, the investment policy may (i) controversial sectors (which include coal, characteristics and qualifies as product in accor- also be implemented through the use of suitable tobacco, defence industry, pornography, gam- dance with article 8(1) of Regulation (EU) derivative financial instruments. These derivative bling and nuclear power), (ii) involvement in 2019/2088 on sustainability-related disclosures financial instruments may include, among others, controversial weapons (nuclear weapons, in the financial services sector. options, forwards (e.g. FX-forwards, non-deliver- depleted uranium, cluster munitions and anti- able forwards (NDFs), futures, futures contracts personnel mines) or (iii) violation of internationally The objective of the investment policy of DWS on financial instruments and options on such accepted norms, but also allow for an active Invest ESG Euro Covered Bonds is to generate contracts, as well as privately negotiated OTC issuer selection based on categories such as an above-average return in Euros. contracts on any type of financial instrument, climate and transition risk, norm compliance or including swaps, forward-starting swaps, infla- best-in-class ESG evaluations. The methodology At least 70% of the sub-fund’s assets must be tion swaps, excess return swaps, swaptions, assigns one of six possible proprietary scores to invested in covered bonds that are denominated constant maturity swaps and credit default each possible issuer based on a letter scoring in Euro and possess an investment-grade rating. swaps. from A to F, whereby issuers with A and B scores In case of split rating between three agencies, are considered as leading in their categories and the lower rating of the two best ratings should The sub-fund will not invest in contingent issuers with C scores are considered as within be applicable. In case of split rating between two convertibles. the upper midfield of their category. These letter agencies, the lower rating should be applicable. scoring can originate from revenues generated In the case of no rating, an internal rating may be The sub-fund intends to use securities financing from controversial sectors or the degree of applied. transactions under the conditions and to the involvement in controversial weapons, the extent further described in the general part of degree of severity that an issuer may be involved Up to 30% of the sub-fund’s assets may be the Sales Prospectus. in the violation of international norms, the invested in fixed-interest and variable-interest assessment on climate and transition risk, which securities that are not covered bonds. The sub-fund’s assets are predominantly is based on for example carbon intensity or the invested in securities from issuers that comply risk of stranded assets, or from best-in-class All securities following the description in the with defined minimum standards in respect to ESG evaluations. previous paragraphs that are purchased under environmental, social and corporate governance repurchase agreements shall be attributed to the characteristics. The sub-fund manager considers in its asset investment limits stated in Article 2 B. of the allocation the resulting scores from the ESG general section of the Sales Prospectus. The sub-fund management seeks to attain a database. The sub-fund’s investment in low variety of the environmental, social and corpo- scored issuers (scores D and E) is limited or Up to 30% of the sub-fund’s assets may be rate governance characteristics by assessing excluded whereas issuers with the lowest invested in money market instruments and potential investments via proprietary ESG invest- scores (e.g. score F) are always excluded from bank balances, respectively. Money market ment methodology. This methodology the investable universe.

145 The ESG performance of an issuer is evaluated Integration of sustainability risks Investment in shares of target funds independently from financial success based on a The sub-fund management integrates sustain- In addition to the information in the general variety of characteristics. These characteristics ability risks into their investment decisions by section of the Sales Prospectus the following is include, for example, the following fields of means of ESG Integration. Further information on applicable to this sub-fund: interest: how sustainability risks are taken into account in the investment decisions can be found in the When investing in target funds associated to Environment general section of the Sales Prospectus. the sub-fund, the part of the management fee attributable to shares of these target funds is –– Conservation of flora and fauna reduced by the management fee/all-in fee of the –– Protection of natural resources, atmosphere Benchmark acquired target funds, and as the case may be, and inshore waters The sub-fund is actively managed and is man- up to the full amount (difference method). –– Limitation of land degradation and climate aged in reference to one or a combination of change benchmarks as further detailed in the sub-fund –– Avoidance of encroachment on ecosystems specific table. All benchmarks respectively their and loss of biodiversity administrators are registered with the ESMA, either in the public register of administrators of Social benchmark indices or the public register of third country benchmarks. –– General human rights –– Prohibition of child labor and forced labor The majority of the sub-fund’s securities or –– Imperative Non-discrimination their issuers are not necessarily expected to –– Workplace health and safety be components of the benchmark and the port –– Fair workplace and appropriate remuneration folio is not necessarily expected to have a similar weighting to the benchmark. The sub-fund Corporate Governance management will use its discretion to invest in securities and sectors that are not included in –– Corporate Governance Principles by the the benchmark in order to take advantage of International Corporate Governance Network; specific investment opportunities. In regard to its –– Global Compact Anti-Corruption Principles benchmark, the sub-fund positioning can deviate significantly (e.g., by a positioning outside of the At least 90% of the sub-fund`s portfolio holdings benchmark as well as a significant underweight- will be screened according to non-financial ing or overweighting) and the actual degree of criteria available via the ESG database. freedom is typically relatively high. A deviation generally reflects the sub-fund manager’s evalua- The reference benchmark of this sub-fund is not tion of the specific market situation, which may consistent with the environmental and social lead to a defensive and closer or a more active characteristics promoted by this sub-fund. and wider positioning compared to the benchmark. Despite the fact that the sub-fund aims to Information on the reference benchmark can be outperform the return of the benchmark, the found on www.ihsmarkit.com. potential outperformance might be limited depending on the prevailing market environment More information about the functioning of the (e.g. less volatile market environment) and actual ESG investment methodology, its integration in positioning versus the benchmark. the investment process, the selection criteria as well as our ESG related policies can be found on Risk Management our website www.dws.com/solutions/esg. The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund. In addition, an engagement activity can be initiated with the individual issuers regarding matters In addition to the provisions of the general such as strategy, financial and non-financial perfor- section of the Sales Prospectus, the potential mance, risk, capital structure, social and environ- market risk of the sub-fund is measured using a mental impact as well as corporate governance reference portfolio that does not contain deriva- including topics like disclosure, culture and remu- tives (“risk benchmark”). neration. The dialogue can be exercised by, for example, proxy voting, company meetings or Leverage is not expected to exceed twice the engagement letters. value of the investment sub-fund’s assets. The leverage effect is calculated using the sum of In addition, the sub-fund’s assets may be notional approach (absolute (notional) amount of invested in all other permissible assets, specified each derivative position divided by the net present in Article 2 of the general section of the Sales value of the portfolio). However, the disclosed Prospectus. expected level of leverage is not intended to be an additional exposure limit for the sub-fund. The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

146 DWS Invest ESG Euro High Yield

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark Bank of Amercia Merrill Lynch Euro High Yield BB-B Constrained Index, administered by Merrill Lynch International. Reference portfolio Bank of Amercia Merrill Lynch Euro High Yield BB-B Constrained Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* FC EUR 0% up to 0.65% 0% 0.05% February 14, 2020 FD EUR 0% up to 0.65% 0% 0.05% February 14, 2020 LC EUR up to 3% up to 1.1% 0% 0.05% February 14, 2020 LD EUR up to 3% up to 1.1% 0% 0.05% February 14, 2020 TFC EUR 0% up to 0.65% 0% 0.05% February 14, 2020 TFD EUR 0% up to 0.65% 0% 0.05% February 14, 2020 XC EUR 0% up to 0.2% 0% 0.05% February 14, 2020 XD EUR 0% up to 0.2% 0% 0.05% February 14, 2020

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest At least 70% of the sub-fund’s assets are invested The sub-fund manager aims to hedge any ESG Euro High Yield, the following provisions shall globally in corporate bonds (including Financials) currency risk versus the euro in the portfolio. apply in addition to the terms contained in the that offer a non-investment grade status at the general section of the Sales Prospectus. time of acquisition. Non-investment grade encom- In the due course of a re-structuring of fixed passes BB+ and below rated bonds, including income instruments held by the sub-fund, the Investment policy bonds with D rating and non-rated bonds. In case sub-fund manager may also invest up to a maxi- This sub-fund promotes environmental and social of a split rating involving three rating agencies, the mum of 10% of the sub-fund’s assets into listed characteristics and qualifies as product in accor- second best will prevail. If a security is rated by or non-listed equities. Furthermore, the sub-fund dance with article 8(1) of Regulation (EU) only two agencies, the lower of the two ratings manager may also participate in capital increases 2019/2088 on sustainability related disclosures will be used for the rating classification. If a or other corporate actions (e.g. for convertible in the financial services sector. security only has one rating, the single rating will bonds or warrant linked bonds) that are part of a be used. If there is no official rating, an internal re-structuring or take place after a re-structuring. The objective of the investment policy of rating will be applied in accordance with DWS DWS Invest ESG Euro High Yield is to generate internal guidelines. In compliance with the investment limits speci- an above-average return for the sub-fund. fied in Article 2 B. of the general section of the Up to 30% of the sub-fund’s assets may be Sales Prospectus, the investment policy may invested in corporate bonds that do not meet also be implemented through the use of suitable the above mentioned criteria. derivative financial instruments.

147 These derivative financial instruments may include, revenues generated from controversial sectors or including topics like disclosure, culture and among others, options, forwards, futures, futures the degree of involvement in controversial weap- remuneration. The dialogue can be exercised by, contracts on financial instruments and options on ons, the degree of severity that an issuer may be for example, proxy voting, company meetings or such contracts, as well as privately negotiated OTC involved in the violation of international norms, the engagement letters. contracts on any type of financial instrument, assessment on climate and transition risk, which including swaps, forward-starting swaps, inflation is based on for example carbon intensity or the The respective risks connected with investments swaps, total return swaps, excess return swaps, risk of stranded assets, or from best-in-class ESG in this sub-fund are disclosed in the general swaptions, constant maturity swaps and credit evaluations. section of the Sales Prospectus. default swaps. The sub-fund manager considers in its asset Integration of sustainability risks The sub-fund’s investments in contingent convert- allocation the resulting scores from the ESG The sub-fund management integrates sustain- ibles shall be limited to 10% of the sub-fund’s net database. The sub-fund’s investment in low ability risks into their investment decisions by asset value. scored issuers (scores D and E) is limited or means of ESG Integration. Further information on excluded whereas issuers with the lowest how sustainability risks are taken into account in The sub-fund intends to use securities financing scores (e.g. score F) are always excluded from the investment decisions can be found in the transactions under the conditions and to the the investable universe. general section of the Sales Prospectus. extent further described in the general part of the Sales Prospectus. The ESG performance of an issuer is evaluated Benchmark independently from financial success based on a The sub-fund is actively managed and is man- In addition, the sub-fund’s assets may be variety of characteristics. These characteristics aged in reference to one or a combination of invested in all other permissible assets. include, for example, the following fields of benchmarks as further detailed in the sub-fund interest: specific table. All benchmarks respectively their In extreme market situations, the Portfolio administrators are registered with the ESMA, Manager may diverge from the above investment Environment either in the public register of administrators of strategy to avoid a liquidity squeeze. Up to 100% benchmark indices or the public register of third of the sub-fund’s assets may temporarily be –– Conservation of flora and fauna country benchmarks. invested in interest-bearing debt securities and –– Protection of natural resources, atmosphere money market instruments permissible under and inshore waters The majority of the sub-fund’s securities or Directive 2009/65/EC of the European Parliament –– Limitation of land degradation and climate their issuers are not necessarily expected to and of the Council of July 13, 2009 on the coor change be components of the benchmark and the port dination of laws, regulations and administrative –– Avoidance of encroachment on ecosystems folio is not necessarily expected to have a similar provisions relating to undertakings for collective and loss of biodiversity weighting to the benchmark. The sub-fund investment in transferable securities (UCITS). management will use its discretion to invest in Social securities and sectors that are not included in The sub-fund’s assets are predominantly the benchmark in order to take advantage of invested in securities from issuers that comply –– General human rights specific investment opportunities. In regard to its with defined minimum standards in respect to –– Prohibition of child labor and forced labor benchmark, the sub-fund positioning can deviate environmental, social and corporate governance –– Imperative Non-discrimination significantly (e.g., by a positioning outside of the characteristics. –– Workplace health and safety benchmark as well as a significant underweight- –– Fair workplace and appropriate remuneration ing or overweighting) and the actual degree of The sub-fund management seeks to attain a freedom is typically relatively high. A deviation variety of the environmental, social and corporate Corporate Governance generally reflects the sub-fund manager’s evalua- governance characteristics by assessing potential tion of the specific market situation, which may investments via proprietary ESG investment –– Corporate Governance Principles by the lead to a defensive and closer or a more active methodology. This methodology incorporates International Corporate Governance Network; and wider positioning compared to the bench- portfolio investment standards according to an –– Global Compact Anti-Corruption Principles mark. Despite the fact that the sub-fund aims to ESG database, which uses data from multiple outperform the return of the benchmark, the leading ESG data providers as well as internal At least 90% of the sub-fund`s portfolio holdings potential outperformance might be limited and public sources to derive proprietary combined will be screened according to non-financial depending on the prevailing market environment scores for various environmental, social and criteria available via the ESG database. (e.g. less volatile market environment) and actual corporate governance characteristics. These positioning versus the benchmark. encompass assessments for (i) controversial The reference benchmark of this sub-fund is not sectors (which include coal, tobacco, defence consistent with the environmental and social Risk Management industry, pornography, gambling and nuclear characteristics promoted by this sub-fund. Infor- The relative Value-at-Risk (VaR) approach is used power), (ii) involvement in controversial weapons mation on the reference benchmark can be to limit market risk in the sub-fund. (nuclear weapons, depleted uranium, cluster found on www.theice.com. munitions and anti-personnel mines) or (iii) viola- In addition to the provisions of the general section tion of internationally accepted norms, but also More information about the functioning of the of the Sales Prospectus, the potential market risk allow for an active issuer selection based on ESG investment methodology, its integration in of the sub-fund is measured using a reference categories such as climate and transition risk, the investment process, the selection criteria as portfolio that does not contain derivatives norm compliance or best-in-class ESG evaluations. well as our ESG related policies can be found on (“risk benchmark”). The methodology assigns one of six possible our website www.dws.com/solutions/esg. proprietary scores to each possible issuer based Leverage is not expected to exceed twice the on a letter scoring from A to F, whereby issuers In addition, an engagement activity can be initi- value of the investment sub-fund’s assets. The with A and B scores are considered as leading in ated with the individual issuers regarding matters leverage effect is calculated using the sum of their categories and issuers with C scores are such as strategy, financial and non-financial perfor- notional approach (absolute (notional) amount of considered as within the upper midfield of their mance, risk, capital structure, social and environ- each derivative position divided by the net pres- category. These letter scoring can originate from mental impact as well as corporate governance ent value of the portfolio).

148 However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

149 DWS Invest ESG Euro-Gov Bonds

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark iBoxx Sovereign Eurozone Overall, administered by IHS Markit Benchmark Administration Limited. Reference portfolio iBoxx Sovereign Eurozone (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest The derivatives may only be used in compliance The sub-fund management seeks to attain a ESG Euro-Gov Bonds, the following provisions with the investment policy and the investment variety of the environmental, social and corporate shall apply in addition to the terms contained in objective of DWS Invest ESG Euro-Gov Bonds. governance characteristics by assessing potential the general section of the Sales Prospectus. The performance of the sub-fund is therefore investments via proprietary ESG investment besides other factors depending on the respec- methodology. This methodology incorporates Investment policy tive proportion of derivatives, e.g. swaps in the portfolio investment standards according to an This sub-fund promotes environmental and social sub-fund’s total assets. To implement the invest- ESG database, which uses data from multiple characteristics and qualifies as product in accor- ment policy and achieve the investment objective leading ESG data providers as well as internal and dance with article 8(1) of Regulation (EU) it is anticipated that the derivatives, such as public sources to derive proprietary combined 2019/2088 on sustainability‐related disclosures swaps will be entered with at least BBB3 scores for various environmental, social and in the financial services sector. (Moody’s) /BBB- (S&P, Fitch) rated financial corporate governance characteristics. These institutions specializing in such transactions. encompass assessments for (i) controversial The objective of the investment policy of DWS Such OTC-agreements are standardized sectors (which include coal, tobacco, defence Invest ESG Euro-Gov Bonds is to generate an agreements. industry, pornography, gambling and nuclear above-average return in Euros. power), (ii) involvement in controversial weapons In conjunction with the OTC transactions, it is (nuclear weapons, depleted uranium, cluster At least 70% of the sub-fund’s assets are important to note the associated counterparty munitions and anti-personnel mines) or (iii) viola- invested in euro-denominated interest-bearing risk. tion of internationally accepted norms, but also debt securities issued by states of the European allow for an active issuer selection based on Economic Area or the United Kingdom, govern- The sub-fund can be invested in total or in parts in categories such as climate and transition risk, ment institutions within these states and one or several OTC-transactions negotiated with a norm compliance or best-in-class ESG evaluations. supra-national public international bodies of counterparty under customary market conditions. The methodology assigns one of six possible which one or more of the states of the European Therefore, the sub-fund can be invested in total or proprietary scores to each possible issuer based Economic Area or the United Kingdom are in parts in one or several transactions. on a letter scoring from A to F, whereby issuers members. with A and B scores are considered as leading in The sub-fund will not invest in contingent their categories and issuers with C scores are A maximum of 30% of the sub-fund’s total convertibles. considered as within the upper midfield of their assets (after deduction of liquid assets) may be category. These letter scoring can originate from invested in other interest bearing debt securities The sub-fund intends to use securities financing revenues generated from controversial sectors or issued by other states, government institutions transactions under the conditions and to the the degree of involvement in controversial weap- and supra-national public international bodies extent further described in the general part of ons, the degree of severity that an issuer may be that do not meet the above criteria. the Sales Prospectus. involved in the violation of international norms, the assessment on climate and transition risk, which The sub-fund may use, particularly in accordance The sub-fund’s assets are predominantly is based on for example carbon intensity or the with the investment limits stated in Article 2 B. invested in securities from issuers that comply risk of stranded assets, or from best-in-class ESG of the general section of the Sales Prospectus, with defined minimum standards in respect to evaluations. derivatives to optimize the investment objective. environmental, social and corporate governance characteristics.

150 The sub-fund manager considers in its asset In addition, the sub-fund’s assets may be present value of the portfolio). However, the allocation the resulting scores from the ESG invested in all other permissible assets, specified disclosed expected level of leverage is not database. The sub-fund’s investment in low in Article 2 of the general section of the Sales intended to be an additional exposure limit for scored issuers (scores D and E) is limited or Prospectus. the sub-fund. excluded whereas issuers with the lowest scores (e.g. score F) are always excluded from The respective risks connected with investments Investment in shares of target funds the investable universe. in this sub-fund are disclosed in the general In addition to the information in the general section of the Sales Prospectus. section of the Sales Prospectus the following is The ESG performance of an issuer is evaluated applicable to this sub-fund: independently from financial success based on a Integration of sustainability risks variety of characteristics. These characteristics The sub-fund management integrates sustain- When investing in target funds associated to the include, for example, the following fields of ability risks into their investment decisions by sub-fund, the part of the management fee interest: means of ESG Integration. Further information on attributable to shares of these target funds is how sustainability risks are taken into account in reduced by the management fee/all-in fee of the Environment the investment decisions can be found in the acquired target funds, and as the case may be, general section of the Sales Prospectus. up to the full amount (difference method). –– Conservation of flora and fauna –– Protection of natural resources, atmosphere Benchmark and inshore waters The sub-fund is actively managed and is man- –– Limitation of land degradation and climate aged in reference to one or a combination of change benchmarks as further detailed in the sub-fund –– Avoidance of encroachment on ecosystems specific table. All benchmarks respectively their and loss of biodiversity administrators are registered with the ESMA, either in the public register of administrators of Social benchmark indices or the public register of third country benchmarks. –– General human rights –– Prohibition of child labor and forced labor The majority of the sub-fund’s securities or –– Imperative Non-discrimination their issuers are not necessarily expected to be –– Workplace health and safety components of the benchmark and the portfolio –– Fair workplace and appropriate remuneration is not necessarily expected to have a similar weighting to the benchmark. The sub-fund Corporate Governance management will use its discretion to invest in securities and sectors that are not included in –– Corporate Governance Principles by the the benchmark in order to take advantage of International Corporate Governance Network; specific investment opportunities. In regard to its –– Global Compact Anti-Corruption Principles benchmark, the sub-fund positioning can deviate significantly (e.g., by a positioning outside of the At least 90% of the sub-fund`s portfolio holdings benchmark as well as a significant underweight- will be screened according to non-financial ing or overweighting) and the actual degree of criteria available via the ESG database. freedom is typically relatively high. A deviation generally reflects the sub-fund manager’s evalua- The reference benchmark of this sub-fund is not tion of the specific market situation, which may consistent with the environmental and social lead to a defensive and closer or a more active characteristics promoted by this sub-fund. and wider positioning compared to the benchmark. Despite the fact that the sub-fund aims to Information on the reference benchmark can be outperform the return of the benchmark, the found on www.ihsmarkit.com. potential outperformance might be limited depending on the prevailing market environment More information about the functioning of the (e.g. less volatile market environment) and actual ESG investment methodology, its integration in positioning versus the benchmark. the investment process, the selection criteria as well as our ESG related policies can be found on Risk Management our website www.dws.com/solutions/esg. The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund. In addition, an engagement activity can be initiated with the individual issuers regarding matters such In addition to the provisions of the general as strategy, financial and non-financial perfor- section of the Sales Prospectus, the potential mance, risk, capital structure, social and environ- market risk of the sub-fund is measured using a mental impact as well as corporate governance reference portfolio that does not contain deriva- including topics like disclosure, culture and remu- tives (“risk benchmark”). neration. The dialogue can be exercised by, for example, proxy voting, company meetings or Leverage is not expected to exceed twice the engagement letters. value of the investment sub-fund’s assets. The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net

151 DWS Invest ESG European Small/Mid Cap

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Nature of shares Registered or bearer shares represented by a global certificate Performance benchmark – Reference portfolio 50% STOXX Europe Mid 200 Net and 50% STOXX Europe Small 200 Net (risk benchmark) Leverage effect Up to 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Expense cap 15% of the Management Company Fee Fractional shares Up to three decimal places

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

Due to its composition and the techniques applied by its fund management, the sub-fund is subject to increased volatility, which means that the price per share may be subject to substantial downward or upward fluctuation, even within short periods of time.

For the sub-fund with the name DWS Invest ESG At least 51% of the sub-fund’s assets will be All securities following the description in the European Small/Mid Cap, the following provisions invested in equities of medium and small Euro- previous paragraphs that are purchased under shall apply in addition to the terms contained in pean issuers (mid caps and small caps). repurchase agreements shall be attributed to the the general section of the Sales Prospectus. investment limits stated in Article 2 B. of the European issuers are defined as companies that general section of the Sales Prospectus. Investment policy have either their registered offices in a member This sub-fund promotes environmental and social state of the European Union, the United King- Up to 20% of the sub-fund’s assets may be characteristics and qualifies as product in accor- dom or in another state, which is a signatory to invested in interest-bearing securities. Convertible dance with article 8(1) of Regulation (EU) the agreement on the European economic area bonds and warrant-linked bonds do not constitute 2019/2088 on sustainability-related disclosures or are traded on another regulated market in one interest-bearing securities as defined in sentence 1. in the financial services sector. of these previous mentioned states. Small and medium-sized companies as defined above are Derivatives relating to interest-bearing securities The sub-fund’s investment objective is to achieve companies included in a market index for small and not intended for hedging shall be attributed the highest possible appreciation of capital in and medium-sized companies (e.g. 50% STOXX to the investment limit applicable to interest- euro, in combination with a reasonable annual Europe Mid 200 Net and 50% STOXX Europe bearing securities. distribution of income. Small 200 Net) or companies that have a com parable market capitalization. Up to 20% of the sub-fund’s assets may be The sub-fund is actively managed and is not invested in money market instruments. Money managed in reference to a benchmark. Up to 20% of the sub-fund’s assets may be market instruments purchased under repurchase invested in equities that do not meet the agreements shall be attributed to the investment At least 80% of the sub-fund`s assets are above-mentioned criteria. limits of stated in Article 2 B. of the general invested in equities. section of the Sales Prospectus.

152 Up to 20% of the sub-fund’s assets may be held The sub-fund manager considers in its asset as being the value of the sub-fund´s assets in bank balances. allocation the resulting scores from the ESG without taking into account liabilities) are database. The sub-fund’s investment in low invested in equities admitted to official trading on Up to 10% of the sub-fund’s assets may be scored issuers (scores D and E) is limited or a stock exchange or admitted to, or included in, invested in all permissible investment fund units excluded whereas issuers with the lowest another organized market and which are not: in accordance with Article 2 B. (i). The portion in scores (e.g. score F) are always excluded from excess of 5% of the value of the sub-fund’s the investable universe. –– units of investment funds; assets may consist only of money market fund –– equities indirectly held via partnerships; units. The ESG performance of an issuer is evaluated –– units of corporations, associations of persons independently from financial success based on a or estates at least 75% of the gross assets of The sub-fund will not invest in contingent variety of characteristics. These characteristics which consist of immovable property in convertibles. include, for example, the following fields of accordance with statutory provisions or their interest: investment conditions, if such corporations, The sub-fund intends to use securities financing associations of persons or estates are subject transactions under the conditions and to the Environment to income tax of at least 15% and are not extent further described in the general part of exempt from it or if their distributions are the Sales Prospectus. –– Conservation of flora and fauna subject to tax of at least 15% and the –– Protection of natural resources, atmosphere sub-fund is not exempt from said taxation; The sub-fund’s assets are predominantly and inshore waters –– units of corporations which are exempt from invested in securities from issuers that comply –– Limitation of land degradation and climate corporate income taxation to the extent they with defined minimum standards in respect to change conduct distributions unless such distributions environmental, social and corporate governance –– Avoidance of encroachment on ecosystems are subject to taxation at a minimum rate of characteristics. and loss of biodiversity 15% and the sub-fund is not exempt from said taxation; The sub-fund management seeks to attain a Social –– units of corporations the income of which variety of the environmental, social and corporate originates, directly or indirectly, to an extent of governance characteristics by assessing potential –– General human rights more than 10%, from units of corporations, investments via proprietary ESG investment –– Prohibition of child labor and forced labor that are (i) real estate companies or (ii) are not methodology. This methodology incorporates –– Imperative Non-discrimination real estate companies, but (a) are domiciled in portfolio investment standards according to an –– Workplace health and safety member state of the European Union or a ESG database, which uses data from multiple –– Fair workplace and appropriate remuneration member state of the European Economic Area leading ESG data providers as well as internal and and are not subject in said domicile to public sources to derive proprietary combined Corporate Governance corporate income tax or are exempt from it or scores for various environmental, social and (b) are domiciled in a third country and are not corporate governance characteristics. These –– Corporate Governance Principles by the subject in said domicile to corporate income encompass assessments for (i) controversial International Corporate Governance Network; tax of at least 15% or are exempt from it; sectors (which include coal, tobacco, defence –– Global Compact Anti-Corruption Principles –– units of corporations which hold, directly or industry, pornography, gambling and nuclear indirectly, units of corporations, that are (i) real power), (ii) involvement in controversial weapons At least 90% of the sub-fund`s portfolio holdings estate companies or (ii) are not real estate (nuclear weapons, depleted uranium, cluster will be screened according to non-financial companies, but (a) are domiciled in a member munitions and anti-personnel mines) or (iii) viola- criteria available via the ESG database. state of the European Union or a member tion of internationally accepted norms, but also state of the European Economic Area and are allow for an active issuer selection based on More information about the functioning of the not subject in said domicile to corporate categories such as climate and transition risk, ESG investment methodology, its integration in income tax or are exempt from it or (b) are norm compliance or best-in-class ESG evaluations. the investment process, the selection criteria as domiciled in a third country and are not The methodology assigns one of six possible well as our ESG related policies can be found on subject in said domicile to corporate income proprietary scores to each possible issuer based our website www.dws.com/solutions/esg. tax of at least 15% or are exempt from it if the on a letter scoring from A to F, whereby issuers fair market value of units of such corporations with A and B scores are considered as leading in In addition, an engagement activity can be equal more than 10% of the fair market value their categories and issuers with C scores are initiated with the individual issuers regarding of those corporations. considered as within the upper midfield of their matters such as strategy, financial and non-finan- category. These letter scoring can originate from cial performance, risk, capital structure, social For the purpose of this investment policy and in revenues generated from controversial sectors or and environmental impact as well as corporate accordance with the definition in the German the degree of involvement in controversial weap- governance including topics like disclosure, Investment Code (KAGB), an organized market is ons, the degree of severity that an issuer may be culture and remuneration. The dialogue can be a market which is recognized, open to the public involved in the violation of international norms, the exercised by, for example, proxy voting, company and which functions correctly, unless expressly assessment on climate and transition risk, which meetings or engagement letters. specified otherwise. Such organized market also is based on for example carbon intensity or the meets the criteria of article 50 of the UCITS risk of stranded assets, or from best-in-class ESG For the purpose of inducing a partial tax exemp- Directive. evaluations. tion within the meaning of the German Invest- ment Tax Act and in addition to the investment The respective risks connected with investments limits described in the Articles of Incorporation in this sub-fund are disclosed in the general and this Sales Prospectus (equity fund) at least section of the Sales Prospectus. 80% of the sub-fund´s gross assets (determined

153 Integration of sustainability risks The sub-fund management integrates sustainability risks into their investment decisions by means of ESG Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

154 DWS Invest ESG Floating Rate Notes

Investor profile Risk-avers Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio (absolute VaR) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt/Main Order Acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited two bank business days after issue of the shares. The equivalent value is credited two bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 7.5% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest invested in convertible bonds or fixed rate bonds At least 10% of the sub-fund’s assets shall be ESG Floating Rate Notes, the following provisions that are traded on exchanges or an another regu- invested in assets that have a residual term to shall apply in addition to the terms contained in lated market that is recognized, open to the public maturity that exceeds 24 months. the general section of the Sales Prospectus. and operates regularly and that is located in a member country of the Organisation for Economic Up to 10% of the sub-fund’s assets may be Investment policy Co-operation and Development (OECD), in the invested in ABS/MBS and asset-backed bonds. This sub-fund promotes environmental and social G20, the EU, Singapore, as well as in investment These must have an investment-grade rating. An characteristics and qualifies as product in accord funds and money market instruments. investment instrument is categorized as invest- ance with article 8(1) of Regulation (EU) 2019/2088 ment grade if the lowest rating assigned by the on sustainability-related disclosures in the financial Money market instruments, such as commercial three rating agencies (S&P, Moody’s and Fitch) is services sector. paper, certificates of deposit and time deposits, investment grade. If the investment is down- do not have to be admitted for trading on an graded to a rating lower than Baa3 (by Moody’s) The objective of the investment policy of the exchange or included in an organized market. or BBB- (by S&P and FITCH), it must be sold DWS Invest ESG Floating Rate Notes sub-fund is within six months. to generate a return in euro. At least 70% of the The sub-fund is actively managed and is not sub-fund’s assets shall be invested in floating rate managed in reference to a benchmark. bonds. Furthermore, the sub-fund’s assets may be

155 Up to 5% of the sub-fund’s assets may excluded whereas issuers with the lowest Integration of sustainability risks be invested in securities that do not have an scores (e.g. score F) are always excluded from The sub-fund management integrates sustain- investment-grade rating at the time of the investable universe. ability risks into their investment decisions by acquisition. means of ESG Integration. Further information on The ESG performance of an issuer is evaluated how sustainability risks are taken into account in If the three rating agencies assign different independently from financial success based on a the investment decisions can be found in the ratings, the lowest rating shall be used as a variety of characteristics. These characteristics general section of the Sales Prospectus. basis. If there is no official rating, an internal include, for example, the following fields of rating in line with the DWS internal guidelines interest: Risk Management shall be applied. The absolute value-at-risk (VaR) approach is used Environment to limit market risk for the net assets. The sub-fund will not invest in contingent convertibles. –– Conservation of flora and fauna Leverage is not expected to exceed twice the –– Protection of natural resources, atmosphere value of the investment sub-fund’s assets. The sub-fund intends to use securities financing and inshore waters However, the expected leverage should not be transactions under the conditions and to the –– Limitation of land degradation and climate viewed as an additional risk limit for the fund. extent further described in the general part of change the Sales Prospectus. –– Avoidance of encroachment on ecosystems Investment in shares of target funds and loss of biodiversity In addition to the information in the general The sub-fund’s assets are predominantly section of the Sales Prospectus the following invested in securities from issuers that comply Social is applicable to this sub-fund: with defined minimum standards in respect to environmental, social and corporate governance –– General human rights When investing in target funds associated to characteristics. –– Prohibition of child labor and forced labor the sub-fund, the part of the management fee –– Imperative Non-discrimination attributable to shares of these target funds is The sub-fund management seeks to attain a –– Workplace health and safety reduced by the management fee/all-in fee of the variety of the environmental, social and corporate –– Fair workplace and appropriate remuneration acquired target funds, and as the case may be, governance characteristics by assessing potential up to the full amount (difference method). investments via proprietary ESG investment Corporate Governance methodology. This methodology incorporates portfolio investment standards according to an –– Corporate Governance Principles by the ESG database, which uses data from multiple International Corporate Governance Network; leading ESG data providers as well as internal and –– Global Compact Anti-Corruption Principles public sources to derive proprietary combined scores for various environmental, social and At least 90% of the sub-fund`s portfolio holdings corporate governance characteristics. These will be screened according to non-financial encompass assessments for (i) controversial criteria available via the ESG database. sectors (which include coal, tobacco, defence industry, pornography, gambling and nuclear More information about the functioning of the power), (ii) involvement in controversial weapons ESG investment methodology, its integration in (nuclear weapons, depleted uranium, cluster the investment process, the selection criteria as munitions and anti-personnel mines) or (iii) viola- well as our ESG related policies can be found on tion of internationally accepted norms, but also our website www.dws.com/solutions/esg. allow for an active issuer selection based on categories such as climate and transition risk, In addition, an engagement activity can be norm compliance or best-in-class ESG evaluations. initiated with the individual issuers regarding The methodology assigns one of six possible matters such as strategy, financial and non-finan- proprietary scores to each possible issuer based cial performance, risk, capital structure, social on a letter scoring from A to F, whereby issuers and environmental impact as well as corporate with A and B scores are considered as leading in governance including topics like disclosure, their categories and issuers with C scores are culture and remuneration. The dialogue can be considered as within the upper midfield of their exercised by, for example, proxy voting, company category. These letter scoring can originate from meetings or engagement letters. revenues generated from controversial sectors or the degree of involvement in controversial weap- In addition, the sub-fund’s assets may be invested ons, the degree of severity that an issuer may be in all other permissible assets specified in Article 2, involved in the violation of international norms, the including the assets mentioned in Article 2 A. (j) of assessment on climate and transition risk, which the general part of the Sales Prospectus. is based on for example carbon intensity or the risk of stranded assets, or from best-in-class ESG The respective risks connected with investments evaluations. in this sub-fund are disclosed in the general section of the Sales Prospectus. The sub-fund manager considers in its asset allocation the resulting scores from the ESG database. The sub-fund’s investment in low scored issuers (scores D and E) is limited or

156 DWS Invest ESG Global Corporate Bonds

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark Barclays Global Aggregate Corporate TR (EUR hedged) Index, administered by Barclays Bank Plc. Reference portfolio Barclays Global Aggregate Corporate TR (EUR hedged) Index (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to four places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** In contrast with Article 1 of the general section the ID share class is not exclusively offered in the form of registered shares.

For the sub-fund with the name DWS Invest ESG a return above that of the benchmark, Barclays that do not meet the above mentioned criteria as Global Corporate Bonds, the following provisions Capital Global Aggregate Credit hedged (EUR), well as money market instruments and cash. shall apply in addition to the terms contained in for the sub-fund. the general section of the Sales Prospectus. The sub-fund’s investments in covered bonds At least 80% of the sub-fund’s assets shall be shall be limited to 40% of the sub-fund’s net Investment policy invested globally in interest-bearing debt securi- asset value, asset-backed securities shall be This sub-fund promotes environmental and social ties denominated in euro or hedged against the limited to 20% of the sub-fund’s net asset value. characteristics and qualifies as product in accord euro that have an investment grade status at the At least 50% of the sub-fund’s assets shall be ance with article 8(1) of Regulation (EU) 2019/2088 time of the acquisition. invested globally in corporate bonds. on sustainability-related disclosures in the financial services sector. Up to 20% of the sub-fund’s assets may be In compliance with the investment limits speci- invested in interest-bearing debt securities fied in Article 2 B. of the general section of the The objective of the investment policy of DWS denominated in euro or hedged against the euro Sales Prospectus, the investment policy may, Invest ESG Global Corporate Bonds is to achieve amongst others, also be implemented through

157 the use of the following derivative financial The ESG performance of an issuer is evaluated Integration of sustainability risks instruments: Bond index future contracts, FX- independently from financial success based on The sub-fund management integrates sustain- forwards, currency option futures, interest rate a variety of characteristics. These characteristics ability risks into their investment decisions by swaps, total return swaps, forward starting include, for example, the following fields of means of ESG Integration. Further information on interest rate swaps, interest rate options, single interest: how sustainability risks are taken into account in name and index credit default swaps. the investment decisions can be found in the Environment general section of the Sales Prospectus. The sub-fund’s investments in contingent convertibles shall be limited to 10% of the sub-fund’s net –– Conservation of flora and fauna Benchmark asset value. –– Protection of natural resources, atmosphere The sub-fund is actively managed and is man- and inshore waters aged in reference to one or a combination of The sub-fund intends to use securities financing –– Limitation of land degradation and benchmarks as further detailed in the sub-fund transactions under the conditions and to the extent climate change specific table. All benchmarks respectively their further described in the general part of the Sales –– Avoidance of encroachment on ecosystems administrators are registered with the ESMA, Prospectus. and loss of biodiversity either in the public register of administrators of benchmark indices or the public register of third The sub-fund’s assets are predominantly invested Social country benchmarks. in securities from issuers that comply with defined minimum standards in respect to environmental, –– General human rights The majority of the sub-fund’s securities or their social and corporate governance characteristics. –– Prohibition of child labor and forced labor issuers are expected to be components of the –– Imperative Non-discrimination benchmark and the portfolio is expected to have The sub-fund management seeks to attain a –– Workplace health and safety a similar weighting to the benchmark. The sub- variety of the environmental, social and corpo- –– Fair workplace and appropriate remuneration fund management will use its discretion to invest rate governance characteristics by assessing in securities and sectors that are not included in potential investments via proprietary ESG invest- Corporate Governance the benchmark in order to take advantage of ment methodology. This methodology incorpo- specific investment opportunities. In regard to its rates portfolio investment standards according to –– Corporate Governance Principles by the Inter benchmark, the sub-fund positioning can deviate an ESG database, which uses data from multiple national Corporate Governance Network; to a limited extent (e.g., by a positioning outside leading ESG data providers as well as internal –– Global Compact Anti-Corruption Principles of the benchmark as well as underweighting or and public sources to derive proprietary com- overweighting) and the actual degree of freedom bined scores for various environmental, social At least 90% of the sub-fund`s portfolio holdings is typically relatively low. Despite the fact that and corporate governance characteristics. These will be screened according to non-financial criteria the sub-fund aims to outperform the return of encompass assessments for (i) controversial available via the ESG database. the benchmark, the potential outperformance sectors (which include coal, tobacco, defence might be limited depending on the prevailing industry, pornography, gambling and nuclear The reference benchmark of this sub-fund is not market environment (e.g. less volatile market power), (ii) involvement in controversial weapons consistent with the environmental and social environment) and actual positioning versus the (nuclear weapons, depleted uranium, cluster characteristics promoted by this sub-fund. benchmark. munitions and anti-personnel mines) or (iii) violation of internationally accepted norms, but also Information on the reference benchmark can be Specific risks allow for an active issuer selection based on found on www.bloomberg.com. The sub-fund deliberately purchases the securi- categories such as climate and transition risk, ties of issuers whose credit standing is consid- norm compliance or best-in-class ESG evalua- More information about the functioning of the ESG ered by the market to be relatively good but not tions. The methodology assigns one of six possi- investment methodology, its integration in the first rate (investment grade bonds). The opportu- ble proprietary scores to each possible issuer investment process, the selection criteria as well nities resulting from the higher rates of interest based on a letter scoring from A to F, whereby as our ESG related policies can be found on our in comparison to government bonds are thus issuers with A and B scores are considered as website www.dws.com/solutions/esg. countered by corresponding risks. Despite leading in their categories and issuers with careful examination of the economic conditions C scores are considered as within the upper In addition, an engagement activity can be initiated and the financial condition and earnings capacity midfield of their category. These letter scoring with the individual issuers regarding matters such of issuers, the risk of a total loss of the value of can originate from revenues generated from as strategy, financial and non-financial perfor- individual securities purchased for the sub-fund controversial sectors or the degree of involve- mance, risk, capital structure, social and environ- cannot be ruled out completely. ment in controversial weapons, the degree of mental impact as well as corporate governance severity that an issuer may be involved in the including topics like disclosure, culture and remu- The opportunities afforded by an investment of this violation of international norms, the assessment neration. The dialogue can be exercised by, for type are therefore countered by significant risks. on climate and transition risk, which is based on example, proxy voting, company meetings or for example carbon intensity or the risk of engagement letters. Additional information stranded assets, or from best-in-class ESG When using total return swaps to implement the evaluations. In addition, the sub-fund may invest in all other investment strategy as described above, the permissible assets as specified in Article 2 of the following shall be noted: The sub-fund manager considers in its asset general section of the Sales Prospectus, includ- allocation the resulting scores from the ESG ing the assets mentioned in Article 2 A. (j). The proportion of the sub-fund’s net assets database. The sub-fund’s investment in low subject to total return swaps, expressed as the scored issuers (scores D and E) is limited or The respective risks connected with investments sum of notionals of the total return swaps excluded whereas issuers with the lowest in this sub-fund are disclosed in the general divided by the sub-fund’s net asset value, is scores (e.g. score F) are always excluded from section of the Sales Prospectus. expected to reach up to 50%, but depending on the investable universe. the respective market conditions, with the objective of efficient portfolio management and in the interest of the investors, it may reach up to

158 100%. The calculation is performed in line with the guidelines CESR/10-788. However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

Additional information on total return swaps may be found in the general section of the Sales Prospectus, amongst others, in the section “Efficient portfolio management techniques”. The selection of counterparties to any total return swap is subject to the principles as described in the section “Choice of counterparty” of the Sales Prospectus. Further infor mation on the counterparties is disclosed in the annual report. For special risk considerations linked to total return swaps, investors should refer to the section “General Risk Warn- ings”, and in particular the section “Risks connected to derivative transactions” of the Sales Prospectus.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

159 DWS Invest ESG Global Emerging Markets Equities

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments Hong Kong Limited, Level 60, International Commerce Centre, 1 Austin Road West, Kowloon, Hong Kong. Performance benchmark – Reference portfolio MSCI EM (Emerging Markets) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg that is also an exchange trading day on the Hong Kong Stock Exchange. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest ESG Emerging Markets countries or which, as holding low or middle income (including both lower Global Emerging Markets Equities, the following companies, hold primarily interest in companies middle and higher middle income) by the World provisions shall apply in addition to the terms registered in Emerging Markets countries. The Bank, will be considered as Emerging Markets contained in the general section of the Sales securities issued by these companies may be even if such countries are neither listed in the Prospectus. listed on Chinese (including the Shenzhen-Hong MSCI Emerging Markets Index nor in the Kong and Shanghai-Hong Kong Stock Connect) or EMDB but must not be included in the MSCI Investment policy other foreign securities exchanges or traded on World Index. This sub-fund promotes environmental and social other regulated markets in a member country of characteristics and qualifies as product in accord the Organisation for Economic Co-operation and At present, the emerging countries most ance with article 8(1) of Regulation (EU) 2019/2088 Development (OECD) that operate regularly and significant for the sub-fund are mostly, but not on sustainability-related disclosures in the financial are recognized and open to the public. exclusively, located in Asia, Eastern Europe services sector. and South America and include, among oth- At least 60% of the sub-fund`s assets are ers, Brazil, China, India, Indonesia, Korea, The objective of the investment policy of DWS invested in equities. Malaysia, Mexico, Russia, South Africa, Invest ESG Global Emerging Markets Equities is Taiwan, Thailand and Turkey. to achieve an above average return. A company is viewed as having its principal business activity in emerging-market coun- If investments are effected in countries that The sub-fund is actively managed and is not tries if a significant part of its earnings or do not yet possess a regulated market, these managed in reference to a benchmark. revenues is generated there. securities shall be considered as unlisted financial instruments. At least 70% of the sub-fund’s assets are Emerging markets are countries listed in the invested in equities of companies registered in MSCI Emerging Markets Index or listed in the In compliance with the investment limits speci- Emerging Markets countries or companies that Standard & Poor’s Emerging Markets Database fied in Article 2 B. of the general section of the conduct their principal business activity in (EMDB). Further, countries, which are listed as Sales Prospectus, the investment policy may use

160 derivative techniques to achieve the investment leading ESG data providers as well as internal At least 90% of the sub-fund`s portfolio holdings objective and implement the investment strat- and public sources to derive proprietary com- will be screened according to non-financial egy, including in particular – but not limited bined scores for various environmental, social criteria available via the ESG database. to – forwards, futures, single-stock futures, and corporate governance characteristics. These options or equity swaps. encompass assessments for (i) controversial More information about the functioning of the sectors (which include coal, tobacco, defence ESG investment methodology, its integration in Investments in the securities mentioned above industry, pornography, gambling and nuclear the investment process, the selection criteria as may also be made through Global Depository power), (ii) involvement in controversial weapons well as our ESG related policies can be found on Receipts (GDRs) and American Depository (nuclear weapons, depleted uranium, cluster our website www.dws.com/solutions/esg. Receipts (ADRs) listed on recognized exchanges munitions and anti-personnel mines) or (iii) viola- and markets issued by international financial tion of internationally accepted norms, but also In addition, an engagement activity can be institutions or to the extent permitted by the allow for an active issuer selection based on initiated with the individual issuers regarding Grand-Ducal Regulation of February 8, 2008 and categories such as climate and transition risk, matters such as strategy, financial and non-finan- Article 41 (1) of the Law of 2010. In case that a norm compliance or best-in-class ESG evalua- cial performance, risk, capital structure, social derivative is embedded into the depository tions. The methodology assigns one of six possi- and environmental impact as well as corporate receipt, such derivative complies with the provi- ble proprietary scores to each possible issuer governance including topics like disclosure, sions as set out in Article 41 (1) of the Law of based on a letter scoring from A to F, whereby culture and remuneration. The dialogue can be 2010 and Articles 2 and 10 of the Grand-Ducal issuers with A and B scores are considered as exercised by, for example, proxy voting, company Regulation of February 8, 2008. leading in their categories and issuers with meetings or engagement letters. C scores are considered as within the upper The sub-fund may invest more than 10% of the midfield of their category. These letter scoring In addition, the sub-fund’s assets may be sub-fund’s assets in securities that are traded on can originate from revenues generated from invested in all other permissible assets specified the Moscow Exchange (MICEX-RTS). controversial sectors or the degree of involve- in Article 2, including the assets mentioned in ment in controversial weapons, the degree of Article 2 A. (j) of the general part of the Sales A maximum of 30% of the sub-fund’s assets severity that an issuer may be involved in the Prospectus. may be invested in equities, stock certificates, violation of international norms, the assessment participation and dividend right certificates, on climate and transition risk, which is based on For the purpose of inducing a partial tax exemp- convertible bonds and equity warrants of issuers for example carbon intensity or the risk of tion within the meaning of the German Invest- that do not fulfill the requirements of the preced- stranded assets, or from best-in-class ESG ment Tax Act and in addition to the investment ing paragraphs. evaluations. limits described in the Articles of Incorporation and this Sales Prospectus (equity fund) at least Up to 30% of the sub-fund’s assets may be The sub-fund manager considers in its asset 60% of the sub-fund´s gross assets (determined invested in short-term deposits, money market allocation the resulting scores from the ESG as being the value of the sub-fund´s assets instruments and bank balances. Notwithstanding database. The sub-fund’s investment in low without taking into account liabilities) are the investment limit of 10% specified in Article 2 scored issuers (scores D and E) is limited or invested in equities admitted to official trading on B. (i) concerning investments in shares of UCITS excluded whereas issuers with the lowest a stock exchange or admitted to, or included in, and/or other UCI as defined in A. (e), an invest- scores (e.g. score F) are always excluded from another organized market and which are not: ment limit of 5% shall apply to this sub-fund. the investable universe. –– units of investment funds; The sub-fund will not invest in contingent The ESG performance of an issuer is evaluated –– equities indirectly held via partnerships; convertibles. independently from financial success based on a –– units of corporations, associations of persons variety of characteristics. These characteristics or estates at least 75% of the gross assets of The sub-fund intends to use securities financing include, for example, the following fields of which consist of immovable property in transactions under the conditions and to the interest: accordance with statutory provisions or their extent further described in the general part of investment conditions, if such corporations, the Sales Prospectus. Environment associations of persons or estates are subject to corporate income tax of at least 15% and The following investment restriction applies to –– Conservation of flora and fauna are not exempt from it or if their distributions the sub-fund due to a possible registration in –– Protection of natural resources, atmosphere are subject to tax of at least 15% and the Korea: and inshore waters sub-fund is not exempt from said taxation; –– Limitation of land degradation and climate –– units of corporations which are exempt from The sub-fund must invest more than 70% of the change corporate income taxation to the extent they net assets in non-Korean Won-denominated –– Avoidance of encroachment on ecosystems conduct distributions unless such distributions assets. and loss of biodiversity are subject to taxation at a minimum rate of 15% and the sub-fund is not exempt from said The sub-fund’s assets are predominantly Social taxation; invested in securities from issuers that comply –– units of corporations the income of which with defined minimum standards in respect to –– General human rights originates, directly or indirectly, to an extent environmental, social and corporate governance –– Prohibition of child labor and forced labor of more than 10%, from units of corporations, characteristics. –– Imperative Non-discrimination that are (i) real estate companies or (ii) are not –– Workplace health and safety real estate companies, but (a) are domiciled in The sub-fund management seeks to attain a –– Fair workplace and appropriate remuneration member state of the European Union or a variety of the environmental, social and corpo- member state of the European Economic Area rate governance characteristics by assessing Corporate Governance and are not subject in said domicile to corpo- potential investments via proprietary ESG invest- rate income tax or are exempt from it or ment methodology. This methodology incorpo- –– Corporate Governance Principles by the (b) are domiciled in a third country and are not rates portfolio investment standards according to International Corporate Governance Network; subject in said domicile to corporate income an ESG database, which uses data from multiple –– Global Compact Anti-Corruption Principles tax of at least 15% or are exempt from it;

161 –– units of corporations which hold, directly or Investment in shares of target funds indirectly, units of corporations, that are (i) real In addition to the information in the general estate companies or (ii) are not real estate section of the Sales Prospectus the following is companies, but (a) are domiciled in a member applicable to this sub-fund: state of the European Union or a member state of the European Economic Area and are When investing in target funds associated to the not subject in said domicile to corporate sub-fund, the part of the management fee income tax or are exempt from it or (b) are attributable to shares of these target funds is domiciled in a third country and are not sub- reduced by the management fee/all-in fee of the ject in said domicile to corporate income tax acquired target funds, and as the case may be, of at least 15% or are exempt from it if the fair up to the full amount (difference method). market value of units of such corporations equal more than 10% of the fair market value of those corporations.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

Integration of sustainability risks The sub-fund management integrates sustainability risks into their investment decisions by means of ESG Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

Specific risks The exchanges and markets of emerging-market countries are subject to substantial fluctuations. The opportunities afforded by an investment are therefore countered by substantial risks. Political changes, restrictions on currency exchange, exchange monitoring, taxes, limitations on foreign capital investments and capital repatriation etc. can also affect investment performance.

Detailed information concerning custody and registration risks in Russia is provided in the general section of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

162 DWS Invest ESG Global High Yield Corporates

Investor profile Growth-oriented Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investment Management Americas Inc., 345 Park Avenue, New York, NY 10154, United States of America Performance benchmark – Reference portfolio BofA ML Global High Yield Constrained (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest be used. If there is no official rating, an internal In the due course of a re-structuring of fixed ESG Global High Yield Corporates, the following rating will be applied in accordance with DWS income instruments held by the sub-fund, the provisions shall apply in addition to the terms internal guidelines. sub-fund manager may also invest up to a maxi- contained in the general section of the Sales mum of 10% of the sub-fund’s assets into listed Prospectus. Up to 30% of the sub-fund’s assets may be or non-listed equities. Furthermore, the sub-fund invested in corporate bonds that do not meet the manager may also participate in capital increases Investment policy above-mentioned criteria, money market instru- or other corporate actions (e.g. for convertible This sub-fund promotes environmental and social ments and liquid assets. bonds or warrant linked bonds) that are part of a characteristics and qualifies as product in accord re-structuring or take place after a re-structuring. ance with article 8(1) of Regulation (EU) 2019/2088 In compliance with the investment limits speci- on sustainability-related disclosures in the financial fied in Article 2 B. of the general section of the In addition, the sub-fund’s assets may be services sector. Sales Prospectus, the investment policy may invested in all other permissible assets. also be implemented through the use of suitable The objective of the investment policy of DWS derivative financial instruments. These derivative The sub-fund’s assets are predominantly Invest ESG Global High Yield Corporates is to financial instruments may include, among others, invested in securities from issuers that comply generate an above-average return for the sub-fund. options, forwards, futures, futures contracts on with defined minimum standards in respect to financial instruments and options on such con- environmental, social and corporate governance The sub-fund is actively managed and is not tracts, as well as privately negotiated OTC characteristics. managed in reference to a benchmark. contracts on any type of financial instrument, including swaps, forward-starting swaps, infla- The sub-fund management seeks to attain a At least 70% of the sub-fund’s assets are tion swaps, total return swaps, excess return variety of the environmental, social and corporate invested globally in corporate bonds that offer a swaps, swaptions, constant maturity swaps and governance characteristics by assessing potential non-investment grade status at the time of credit default swaps. investments via proprietary ESG investment acquisition. Non-investment grade encompasses methodology. This methodology incorporates BB+ and below rated bonds, including bonds The sub-fund will not invest in contingent portfolio investment standards according to an with D rating and non-rated bonds. In case of a convertibles. ESG database, which uses data from multiple split rating involving three rating agencies, the leading ESG data providers as well as internal and second best will prevail. If a security is rated by The sub-fund intends to use securities financing public sources to derive proprietary combined only two agencies, the lower of the two ratings transactions under the conditions and to the scores for various environmental, social and will be used for the rating classification. If a extent further described in the general part of corporate governance characteristics. These security only has one rating, the single rating will the Sales Prospectus. encompass assessments for (i) controversial

163 sectors (which include coal, tobacco, defence At least 90% of the sub-fund`s portfolio holdings Risk Management industry, pornography, gambling and nuclear will be screened according to non-financial The relative Value-at-Risk (VaR) approach is used power), (ii) involvement in controversial weapons criteria available via the ESG database. to limit market risk in the sub-fund. (nuclear weapons, depleted uranium, cluster munitions and anti-personnel mines) or (iii) viola- More information about the functioning of the In addition to the provisions of the general tion of internationally accepted norms, but also ESG investment methodology, its integration in section of the Sales Prospectus, the potential allow for an active issuer selection based on the investment process, the selection criteria as market risk of the sub-fund is measured using a categories such as climate and transition risk, well as our ESG related policies can be found on reference portfolio that does not contain deriva- norm compliance or best-in-class ESG evaluations. our website www.dws.com/solutions/esg. tives (“risk benchmark”). The methodology assigns one of six possible proprietary scores to each possible issuer based In addition, an engagement activity can be Leverage is not expected to exceed twice the on a letter scoring from A to F, whereby issuers initiated with the individual issuers regarding value of the investment sub-fund’s assets. The with A and B scores are considered as leading in matters such as strategy, financial and non-finan- leverage effect is calculated using the sum of their categories and issuers with C scores are cial performance, risk, capital structure, social notional approach (absolute (notional) amount of considered as within the upper midfield of their and environmental impact as well as corporate each derivative position divided by the net pres- category. These letter scoring can originate from governance including topics like disclosure, ent value of the portfolio). However, the dis- revenues generated from controversial sectors or culture and remuneration. The dialogue can be closed expected level of leverage is not intended the degree of involvement in controversial weap- exercised by, for example, proxy voting, company to be an additional exposure limit for the ons, the degree of severity that an issuer may be meetings or engagement letters. sub-fund. involved in the violation of international norms, the assessment on climate and transition risk, which The respective risks connected with investments Investment in shares of target funds is based on for example carbon intensity or the in this sub-fund are disclosed in the general In addition to the information in the general risk of stranded assets, or from best-in-class ESG section of the Sales Prospectus. section of the Sales Prospectus the following is evaluations. applicable to this sub-fund: Additional information The sub-fund manager considers in its asset When using total return swaps to implement the When investing in target funds associated to the allocation the resulting scores from the ESG investment strategy as described above, the sub-fund, the part of the management fee database. The sub-fund’s investment in low following shall be noted: attributable to shares of these target funds is scored issuers (scores D and E) is limited or reduced by the management fee/all-in fee of the excluded whereas issuers with the lowest The proportion of the sub-fund’s net assets acquired target funds, and as the case may be, scores (e.g. score F) are always excluded from subject to total return swaps, expressed as the up to the full amount (difference method). the investable universe. sum of notionals of the total return swaps divided by the sub-fund’s net asset value, is The ESG performance of an issuer is evaluated expected to reach up to 10%, but depending on independently from financial success based on the respective market conditions, with the a variety of characteristics. These characteristics objective of efficient portfolio management and include, for example, the following fields of in the interest of the investors, it may reach up to interest: 20%. The calculation is performed in line with the guidelines CESR/10-788. However, the Environment disclosed expected level of leverage is not intended to be an additional exposure limit for –– Conservation of flora and fauna the sub-fund. –– Protection of natural resources, atmosphere and inshore waters Additional information on total return swaps may –– Limitation of land degradation and be found in the general section of the Sales climate change Prospectus, amongst others, in the section –– Avoidance of encroachment on ecosystems “Efficient portfolio management techniques”. The and loss of biodiversity selection of counterparties to any total return swap is subject to the principles as described in Social the section “Choice of counterparty” of the Sales Prospectus. Further information on the –– General human rights counterparties is disclosed in the annual report. –– Prohibition of child labor and forced labor For special risk considerations linked to total –– Imperative Non-discrimination return swaps, investors should refer to the –– Workplace health and safety section “General Risk Warnings”, and in particular –– Fair workplace and appropriate remuneration the section “Risks connected to derivative transactions” of the Sales Prospectus. Corporate Governance Integration of sustainability risks –– Corporate Governance Principles by the The sub-fund management integrates sustain- International Corporate Governance Network; ability risks into their investment decisions by –– Global Compact Anti-Corruption Principles means of ESG Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

164 DWS Invest ESG Healthy Living

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI World Healthcare (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest ESG applications, e.g. cell analysis, sample prepara- In addition, the sub-fund’s assets may be invested Healthy Living, the following provisions shall tion and separation instrumentations, reagents, in all other permissible assets specified in Article apply in addition to the terms contained in the cell culture media, bioreactors, next generation 2, including the assets mentioned in Article 2 A. (j) general section of the Sales Prospectus. DNA sequencing applications etc. Portfolio of the general section of the Sales Prospectus. management considers consumer health care Investment policy sector companies to include companies that The sub-fund’s assets are predominantly invested This sub-fund promotes environmental and social provide products or services that promote or aid in securities from issuers that comply with defined characteristics and qualifies as product in accor- in achieving a healthy lifestyle (for example, minimum standards in respect to environmental, dance with article 8(1) of Regulation (EU) healthy food and nutrition companies, athletic social and corporate governance characteristics. 2019/2088 on sustainability‐related disclosures in apparel and gym operators). the financial services sector. The sub-fund management seeks to attain a The sub-fund is actively managed and is not variety of the environmental, social and corporate The objective of the investment policy of DWS managed in reference to a benchmark. governance characteristics by assessing potential Invest ESG Healthy Living is to achieve long term investments via proprietary ESG investment capital appreciation by investing at least 80% of At least 70% of the sub-fund’s assets are invested methodology. This methodology incorporates net assets in equity securities of companies in in equities of all market capitalizations, stock portfolio investment standards according to an the health care and consumer health sectors. certificates, participation and dividend right certifi- ESG database, which uses data from multiple cates, convertible bonds and equity warrants leading ESG data providers as well as internal and The sub-fund’s objective is to invest in the whole issued by international companies. public sources to derive proprietary combined healthcare continuum ranging widely from scores for various environmental, social and prevention through promotion of physical and Up to 30% of the sub-fund’s assets may be corporate governance characteristics. These mental well-being to treatment of chronic dis- invested in short-term deposits, money market encompass assessments for (i) controversial eases. To be considered part of the health care or instruments and bank balances. sectors (which include coal, tobacco, defence consumer health sector, companies must gener- industry, pornography, gambling and nuclear ate a part of their revenues from that sector. The sub-fund will not invest in contingent power), (ii) involvement in controversial weapons Industries in the health care sector include convertibles. (nuclear weapons, depleted uranium, cluster pharmaceuticals, biotechnology, medical technol- munitions and anti-personnel mines) or (iii) viola- ogy, medical equipment and supplies, health care The sub-fund intends to use securities financing tion of internationally accepted norms, but also services and technology as well as managed transactions under the conditions and to the allow for an active issuer selection based on care and life sciences tools. Life Science Tools extent further described in the general part of categories such as climate and transition risk, companies are suppliers of products and solu- the Sales Prospectus. norm compliance or best-in-class ESG evaluations. tions for biopharma research and manufacturing The methodology assigns one of six possible

165 proprietary scores to each possible issuer based corporate governance including topics like disclo- –– units of corporations which hold, directly or on a letter scoring from A to F, whereby issuers sure, culture and remuneration. The dialogue can indirectly, units of corporations, that are (i) real with A and B scores are considered as leading in be exercised by, for example, proxy voting, estate companies or (ii) are not real estate their categories and issuers with C scores are company meetings or engagement letters. companies, but (a) are domiciled in a member considered as within the upper midfield of their state of the European Union or a member category. These letter scoring can originate from Notwithstanding the investment limit specified in state of the European Economic Area and are revenues generated from controversial sectors or Article 2 B. (n) concerning the use of derivatives, not subject in said domicile to corporate the degree of involvement in controversial weap- the following investment restrictions shall apply income tax or are exempt from it or (b) are ons, the degree of severity that an issuer may be with regard to the investment restrictions currently domiciled in a third country and are not sub- involved in the violation of international norms, the applicable in individual distribution countries. ject in said domicile to corporate income tax assessment on climate and transition risk, which of at least 15% or are exempt from it if the fair is based on for example carbon intensity or the Derivatives that constitute short positions must market value of units of such corporations risk of stranded assets, or from best-in-class ESG have adequate coverage at all times and may be equal more than 10% of the fair market value evaluations. used exclusively for hedging purposes. Hedging is of those corporations. limited to 100% of the underlying instrument The sub-fund manager considers in its asset covering the derivative. Conversely, no more than For the purpose of this investment policy and in allocation the resulting scores from the ESG 35% of the net asset value of the sub-fund may be accordance with the definition in the German database. The sub-fund’s investment in low invested in derivatives that constitute long posi- Investment Code (KAGB), an organized market is a scored issuers (scores D and E) is limited or tions and do not have corresponding coverage. market which is recognized, open to the public and excluded whereas issuers with the lowest which functions correctly, unless expressly speci- scores (e.g. score F) are always excluded from Notwithstanding the investment limit of 10% fied otherwise. Such organized market also meets the investable universe. specified in Article 2 B. (i) concerning invest- the criteria of article 50 of the UCITS Directive. ments in shares of other UCITS and/or other The ESG performance of an issuer is evaluated UCIs as defined in Article 2 A. (e), an investment The respective risks connected with investments independently from financial success based on a limit of 5% shall apply to this sub-fund. in this sub-fund are disclosed in the general variety of characteristics. These characteristics section of the Sales Prospectus. include, for example, the following fields of For the purpose of inducing a partial tax exemp- interest: tion within the meaning of the German Invest- Integration of sustainability risks ment Tax Act and in addition to the investment The sub-fund management integrates sustain- Environment limits described in the Articles of Incorporation ability risks into their investment decisions by and this Sales Prospectus (equity fund) at least means of ESG Integration. Further information on –– Conservation of flora and fauna; 60% of the sub-fund´s gross assets (determined how sustainability risks are taken into account in –– Protection of natural resources, atmosphere as being the value of the sub-fund´s assets the investment decisions can be found in the and inshore waters; without taking into account liabilities) are general section of the Sales Prospectus. –– Limitation of land degradation and climate invested in equities admitted to official trading on change a stock exchange or admitted to, or included in, Risk Management –– Avoidance of encroachment on ecosystems another organized market and which are not: The relative Value-at-Risk (VaR) approach is used and loss of biodiversity. to limit market risk in the sub-fund. –– units of investment funds; Social –– equities indirectly held via partnerships; In addition to the provisions of the general –– units of corporations, associations of persons section of the Sales Prospectus, the potential –– General human rights; or estates at least 75% of the gross assets of market risk of the sub-fund is measured using a –– Prohibition of child labour and forced labour; which consist of immovable property in reference portfolio that does not contain deriva- –– Imperative Non-discrimination; accordance with statutory provisions or their tives (“risk benchmark”). –– Workplace health and safety; investment conditions, if such corporations, –– Fair workplace and appropriate remuneration. associations of persons or estates are subject Leverage is not expected to exceed twice the to corporate income tax of at least 15% and value of the investment sub-fund’s assets. The Corporate Governance are not exempt from it or if their distributions leverage effect is calculated using the sum of are subject to tax of at least 15% and the notional approach (absolute (notional) amount –– Corporate Governance Principles by the sub-fund is not exempt from said taxation; of each derivative position divided by the net International Corporate Governance Network; –– units of corporations which are exempt from present value of the portfolio). However, the –– Global Compact Anti-Corruption Principles. corporate income taxation to the extent they disclosed expected level of leverage is not conduct distributions unless such distributions intended to be an additional exposure limit for At least 90% of the sub-fund`s portfolio holdings are subject to taxation at a minimum rate of the sub-fund. will be screened according to non-financial 15% and the sub-fund is not exempt from said criteria available via the ESG database. taxation; Investment in shares of target funds –– units of corporations the income of which In addition to the information in the general More information about the functioning of the originates, directly or indirectly, to an extent of section of the Sales Prospectus the following is ESG investment methodology, its integration in more than 10%, from units of corporations, applicable to this sub-fund: the investment process, the selection criteria as that are (i) real estate companies or (ii) are not well as our ESG related policies can be found on real estate companies, but (a) are domiciled in When investing in target funds associated to the our website www.dws.com/solutions/esg. member state of the European Union or a sub-fund, the part of the management fee member state of the European Economic Area attributable to shares of these target funds is In addition, an engagement activity can be and are not subject in said domicile to corpo- reduced by the management fee/all-in fee of the initiated with the individual issuers regarding rate income tax or are exempt from it or (b) acquired target funds, and as the case may be, matters such as strategy, financial and non- are domiciled in a third country and are not up to the full amount (difference method). financial performance, risk, capital structure, subject in said domicile to corporate income social and environmental impact as well as tax of at least 15% or are exempt from it;

166 DWS Invest ESG Local Emerging Markets Debt

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark JPM GBI-EM Diversified in EUR, administered by J. P. Morgan Securities LLC. Reference portfolio JPM GBI-EM Diversified in EUR, administered by J. P. Morgan Securities LLC. Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest ESG market if such country is not listed in the JP involving three rating agencies, the second-best Local Emerging Markets Debt, the following Morgan EMBI Global Div. index and if it is not will prevail. If a security is rated by only two provisions shall apply in addition to the terms classified as ‘emerging market and developing agencies, the lower of the two ratings will be used contained in the general section of the Sales economy’ by the International Monetary Fund. for the rating classification. If a security only has Prospectus. one rating, the single rating will be used. If there is A maximum of 20% of the sub-fund’s assets no official rating, an internal rating will be applied in Investment policy may be invested in interest-bearing debt securi- accordance with DWS internal guidelines. This sub-fund promotes environmental and social ties that do not meet the above-mentioned characteristics and qualifies as product in accor- criteria, cash and money market instruments. In compliance with the investment limits speci- dance with article 8(1) of Regulation (EU) fied in Art. 2 B. of the general section of the 2019/2088 on sustainability - related disclosures The sub-fund’s investments in contingent con- Sales Prospectus, the investment policy may in the financial services sector. vertibles shall be limited to 10% of the sub- also be implemented through the use of suitable fund’s net asset value. derivative financial instruments. These derivative The objective of the investment policy of DWS financial instruments may include, among others, Invest ESG Local Emerging Markets Debt is to The sub-fund intends to use securities financing options, forwards (e.g. FX-forwards, non-deliver- achieve high income and capital appreciation that transactions under the conditions and to the able forwards (NDFs), futures, futures contracts exceeds the benchmark J.P. Morgan ESG GBI - extent further described in the general part of on financial instruments and options on such EM Global Diversified in EUR. the Sales Prospectus. contracts, as well as privately negotiated OTC contracts on any type of financial instrument, At least 80% of the sub-fund’s assets shall be The sub-fund will not invest in ABS or MBS including swaps, forward-starting swaps, infla- invested globally in debt securities denominated in securities. tion swaps, total return swaps, excess return emerging market currencies issued by sovereigns, swaps, swaptions, constant maturity swaps and quasi-sovereigns (government owned corporates/ The sub-fund will not invest in any securities that credit default swaps. companies/agencies) or supra-nationals. are rated below B- by S&P or an equivalent rating from another rating agency as at the date of In addition, the sub-fund may invest in all other Emerging Markets are defined as countries that investment. In the event that any securities held by permissible assets specified in Article 2 of the are part of the index ‘JP Morgan EMBI Global the sub-fund are subsequently downgraded to a general section of the Sales Prospectus. Diversified’ or that are classified as ‘emerging rating below B-, the sub-fund manager may main- market and developing economies’ by the Interna- tain a maximum total exposure of 3% of the Non-deliverable forwards (NDFs) are forward tional Monetary Fund (World Economic Outlook). sub-fund’s NAV to such downgraded securities but currency transactions, which can be used to Countries listed as low or middle (both lower will divest any such security that has not been hedge the exchange rate between a freely con- middle and higher middle) income by the World upgraded to a rating of at least B- within six vertible currency (usually the U.S. dollar or the Bank will determine if a country is an emerging months of its downgrade. In case of a split rating euro) and a currency that is not freely convertible.

167 The following is stipulated in the NDF The ESG performance of an issuer is evaluated Benchmark agreement: independently from financial success based on a The sub-fund is actively managed and is man- variety of characteristics. These characteristics aged in reference to one or a combination of –– a specified amount in one of the two include, for example, the following fields of benchmarks as further detailed in the sub-fund currencies, interest: specific table. All benchmarks respectively their –– the forward price (NDF price), administrators are registered with the ESMA, –– the maturity date, Environment either in the public register of administrators of –– the direction (purchase or sale). benchmark indices or the public register of third –– Conservation of flora and fauna; country benchmarks. Unlike with a normal forward transaction, only a –– Protection of natural resources, atmosphere compensatory payment is made in the freely and inshore waters; The majority of the sub-fund’s securities or their convertible currency on the maturity date. The –– Limitation of land degradation and climate issuers are not necessarily expected to be amount of the compensatory payment is calcu- change components of the benchmark and the portfolio lated from the difference between the agreed –– Avoidance of encroachment on ecosystems is not necessarily expected to have a similar NDF price and the reference price (price on the and loss of biodiversity. weighting to the benchmark. The sub-fund maturity date). Depending on the price perfor- management will use its discretion to invest in mance, the compensatory payment is either Social securities and sectors that are not included in made to the purchaser or the seller of the NDF. the benchmark in order to take advantage of –– General human rights; specific investment opportunities. In regard to its The sub-fund’s assets are predominantly invested –– Prohibition of child labour and forced labour; benchmark, the sub-fund positioning can deviate in securities from issuers that comply with defined –– Imperative Non-discrimination; significantly (e.g., by a positioning outside of the minimum standards in respect to environmental, –– Workplace health and safety; benchmark as well as a significant underweight- social and corporate governance characteristics. –– Fair workplace and appropriate remuneration. ing or overweighting) and the actual degree of freedom is typically relatively high. A deviation The sub-fund management seeks to attain a Corporate Governance generally reflects the sub-fund manager’s evalua- variety of the environmental, social and corpo- tion of the specific market situation, which may rate governance characteristics by assessing –– Corporate Governance Principles by the lead to a defensive and closer or a more active potential investments via proprietary ESG invest- International Corporate Governance Network; and wider positioning compared to the bench- ment methodology. This methodology incorpo- –– Global Compact Anti-Corruption Principles. mark. Despite the fact that the sub-fund aims to rates portfolio investment standards according to outperform the return of the benchmark, the an ESG database, which uses data from multiple At least 90% of the sub-fund’s portfolio holdings potential outperformance might be limited leading ESG data providers as well as internal will be screened according to non-financial depending on the prevailing market environment and public sources to derive proprietary com- criteria available via the ESG database. (e.g. less volatile market environment) and actual bined scores for various environmental, social positioning versus the benchmark. and corporate governance characteristics. These The reference benchmark of this sub-fund is not encompass assessments for (i) controversial consistent with the environmental and social Risk Management sectors (which include coal, tobacco, defence characteristics promoted by this sub-fund. Infor- The relative Value-at-Risk (VaR) approach is used industry, pornography, gambling and nuclear mation on the reference benchmark can be to limit market risk in the sub-fund. power), (ii) involvement in controversial weapons found on www.jpmorgan.com. (nuclear weapons, depleted uranium, cluster In addition to the provisions of the general munitions and anti-personnel mines) or (iii) viola- More information about the functioning of the section of the Sales Prospectus, the potential tion of internationally accepted norms, but also ESG investment methodology, its integration in market risk of the sub-fund is measured using a allow for an active issuer selection based on the investment process, the selection criteria as reference portfolio that does not contain deriva- categories such as climate and transition risk, well as our ESG related policies can be found on tives (“risk benchmark”). norm compliance or best-in-class ESG evalua- our website www.dws.com/solutions/esg. tions. The methodology assigns one of six possi- Leverage is not expected to exceed twice the ble proprietary scores to each possible issuer In addition, an engagement activity can be value of the investment sub-fund’s assets. The based on a letter scoring from A to F, whereby initiated with the individual issuers regarding leverage effect is calculated using the sum of issuers with A and B scores are considered as matters such as strategy, financial and non-finan- notional approach (absolute (notional) amount of leading in their categories and issuers with C cial performance, risk, capital structure, social each derivative position divided by the net pres- scores are considered as within the upper mid- and environmental impact as well as corporate ent value of the portfolio). However, the dis- field of their category. These letter scoring can governance including topics like disclosure, closed expected level of leverage is not intended originate from revenues generated from contro- culture and remuneration. The dialogue can be to be an additional exposure limit for the versial sectors or the degree of involvement in exercised by, for example, proxy voting, company sub-fund. controversial weapons, the degree of severity meetings or engagement letters. that an issuer may be involved in the violation of Investment in shares of target funds international norms, the assessment on climate The respective risks connected with investments In addition to the information in the general and transition risk, which is based on for example in this sub-fund are disclosed in the general section of the Sales Prospectus the following is carbon intensity or the risk of stranded assets, or section of the Sales Prospectus. applicable to this sub-fund: from best-in-class ESG evaluations. Integration of sustainability risks When investing in target funds associated to the The sub-fund manager considers in its asset The sub-fund management integrates sustain- sub-fund, the part of the management fee allocation the resulting scores from the ESG ability risks into their investment decisions by attributable to shares of these target funds is database. The sub-fund’s investment in low means of ESG Integration. Further information on reduced by the management fee/all-in fee of the scored issuers (scores D and E) is limited or how sustainability risks are taken into account in acquired target funds, and as the case may be, excluded whereas issuers with the lowest the investment decisions can be found in the up to the full amount (difference method). scores (e.g. score F) are always excluded from general section of the Sales Prospectus. the investable universe.

168 DWS Invest ESG Mobility

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI World TR net (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest ESG and working environment. The relevant compa- whose underlying warrants are for securities, Mobility, the following provisions shall apply in nies operate within the multi-layered mobility participation and dividend-right certificates of addition to the terms contained in the general value chain/industries. This includes companies international issuers that do not satisfy the section of the Sales Prospectus. and their suppliers involved in the area like requirements of the preceding paragraph. transportation, logistics, clean energy, autono- Investment policy mous driving, hydrogen application, battery Up to 30% of the sub-fund’s assets may be This sub-fund promotes environmental and social technology, cloud computing, real estate, consu- invested in short-term deposits, money market characteristics and qualifies as product in mer discretionary, IT, real estate, online platform, instruments and bank balances. accordance with article 8(1) of Regulation (EU) food delivery, sport & lifestyle vehicles. 2019/2088 on sustainability-related disclosures in Notwithstanding the investment limit specified in the financial services sector. Investments in the securities mentioned above Article 2 B. (n) concerning the use of derivatives, may also be made through Global Depository the following investment restrictions shall apply The objective of the investment policy of DWS Receipts (GDRs) and American Depository with regard to the investment restrictions Invest ESG Mobility is to achieve an appreciation Receipts (ADRs) listed on recognized exchanges currently applicable in individual distribution as high as possible of capital invested. and markets issued by international financial countries. institutions. Equity investments may also be The sub-fund is actively managed and is not made through Global Depository Receipts Derivatives that constitute short positions must managed in reference to a benchmark. (GDRs) listed on recognized exchanges and have adequate coverage at all times and may be markets, through American Depository Receipts used exclusively for hedging purposes. Hedging At least 70% of the sub-fund’s assets are inves- (ADRs) issued by international financial institu- is limited to 100% of the underlying instrument ted in shares, stock certificates and warrant- tions or, to the extent permitted by the Grand covering the derivative. Conversely, no more than linked bonds whose underlying warrants are for Ducal Regulation of February 8, 2008 and Article 35% of the net value of the assets of the sub- securities, participation and dividend-right certifi- 41 (1) of the Law of 2010. In case that a deriva- fund may be invested in derivatives that consti- cates, and equity warrants of foreign and dome- tive is embedded into the depository receipt, tute long positions and do not have correspon- stic issuers having their principal business acti- such derivative complies with the provisions as ding coverage. vity in or profiting from the theme “mobility”. set out in Article 41 (1) of the Law of 2010 and Articles 2 and 10 of the Grand-Ducal Regulation Notwithstanding the investment limit of 10% The term “mobility” considers several aspects of February 8, 2008. specified in Article 2 B. (i) concerning investments and nuances of mobility besides the classical in shares of other Undertakings for Collective fields of application like transportation and A maximum of 30% of the sub-fund’s total Investment in Securities and/or other collective logistics it is also taking account the changing assets may be invested in shares, stock certifica- investment undertakings as defined in A. (e), an pattern of reachability and its impact on lifestyle tes, convertible bonds and warrant-linked bonds investment limit of 5% shall apply to this sub-fund.

169 The sub-fund’s assets are predominantly inves- Social to corporate income tax of at least 15% and ted in securities from issuers that comply with are not exempt from it or if their distributions defined minimum standards in respect to envi- –– General human rights; are subject to tax of at least 15% and the ronmental, social and corporate governance –– Prohibition of child labour and forced labour; sub-fund is not exempt from said taxation; characteristics. –– Imperative Non-discrimination; –– units of corporations which are exempt from –– Workplace health and safety; corporate income taxation to the extent they The sub-fund management seeks to attain a –– Fair workplace and appropriate remuneration. conduct distributions unless such distributions variety of the environmental, social and corpo- are subject to taxation at a minimum rate of rate governance characteristics by assessing Corporate Governance 15% and the sub-fund is not exempt from said potential investments via proprietary ESG invest- taxation; ment methodology. This methodology incorpo- –– Corporate Governance Principles by the –– units of corporations the income of which rates portfolio investment standards according to International Corporate Governance Network; originates, directly or indirectly, to an extent of an ESG database, which uses data from multiple –– Global Compact Anti-Corruption Principles. more than 10%, from units of corporations, leading ESG data providers as well as internal that are (i) real estate companies or (ii) are not and public sources to derive proprietary com- At least 90% of the sub-fund`s portfolio holdings real estate companies, but (a) are domiciled in bined scores for various environmental, social will be screened according to non-financial member state of the European Union or a and corporate governance characteristics. These criteria available via the ESG database. member state of the European Economic Area encompass assessments for (i) controversial and are not subject in said domicile to corpo- sectors (which include coal, tobacco, defense More information about the functioning of the rate income tax or are exempt from it or (b) industry, pornography, gambling and nuclear ESG investment methodology, its integration in are domiciled in a third country and are not power), (ii) involvement in controversial weapons the investment process, the selection criteria as subject in said domicile to corporate income (nuclear weapons, depleted uranium, cluster well as our ESG related policies can be found on tax of at least 15% or are exempt from it; munitions and anti-personnel mines) or (iii) our website www.dws.com/solutions/esg. –– units of corporations which hold, directly or violation of internationally accepted norms, but indirectly, units of corporations, that are (i) real also allow for an active issuer selection based on In addition, an engagement activity can be estate companies or (ii) are not real estate categories such as climate and transition risk, initiated with the individual issuers regarding companies, but (a) are domiciled in a member norm compliance or best-in-class ESG evalua- matters such as strategy, financial and non-finan- state of the European Union or a member tions. The methodology assigns one of six possi- cial performance, risk, capital structure, social state of the European Economic Area and are ble proprietary scores to each possible issuer and environmental impact as well as corporate not subject in said domicile to corporate based on a letter scoring from A to F, whereby governance including topics like disclosure, income tax or are exempt from it or (b) are issuers with A and B scores are considered as culture and remuneration. The dialogue can be domiciled in a third country and are not sub- leading in their categories and issuers with C exercised by, for example, proxy voting, company ject in said domicile to corporate income tax scores are considered as within the upper mid- meetings or engagement letters. of at least 15% or are exempt from it if the fair field of their category. These letter scoring can market value of units of such corporations originate from revenues generated from contro- The sub-fund will not invest in contingent equal more than 10% of the fair market value versial sectors or the degree of involvement in convertibles. of those corporations. controversial weapons, the degree of severity that an issuer may be involved in the violation of The sub-fund intends to use securities financing For the purpose of this investment policy and in international norms, the assessment on climate transactions under the conditions and to the accordance with the definition in the German and transition risk, which is based on for example extent further described in the general part of Investment Code (KAGB), an organized market is carbon intensity or the risk of stranded assets, or the Sales Prospectus. a market which is recognized, open to the public from best-in-class ESG evaluations. and which functions correctly, unless expressly In addition, the sub-fund’s assets may be inves- specified otherwise. Such organized market also The sub-fund manager considers in its asset ted in all other permissible assets specified in meets the criteria of article 50 of the UCITS allocation the resulting scores from the ESG Article 2, including the assets mentioned in Directive. database. The sub-fund‘s investment in low Article 2 A. (j) of the general part of the Sales scored issuers (scores D and E) is limited or Prospectus. The respective risks connected with investments excluded whereas issuers with the lowest in this sub-fund are disclosed in the general scores (e.g. score F) are always excluded from For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. the investable universe. tion within the meaning of the German Invest- ment Tax Act and in addition to the investment Integration of sustainability risks The ESG performance of an issuer is evaluated limits described in the Articles of Incorporation The sub-fund management integrates sustain- independently from financial success based on a and this Sales Prospectus (equity fund) at least ability risks into their investment decisions by variety of characteristics. These characteristics 51% of the sub-fund´s gross assets (determined means of ESG Integration. Further information on include, for example, the following fields of as being the value of the sub-fund´s assets how sustainability risks are taken into account in interest: without taking into account liabilities) are inves- the investment decisions can be found in the ted in equities admitted to official trading on a general section of the Sales Prospectus Environment stock exchange or admitted to, or included in, another organized market and which are not: Risk Management –– Conservation of flora and fauna; The relative Value-at-Risk (VaR) approach is used –– Protection of natural resources, atmosphere –– units of investment funds; to limit market risk in the sub-fund. and inshore waters; –– equities indirectly held via partnerships; –– Limitation of land degradation and climate –– units of corporations, associations of persons In addition to the provisions of the general change or estates at least 75% of the gross assets of section of the Sales Prospectus, the potential –– Avoidance of encroachment on ecosystems which consist of immovable property in market risk of the sub-fund is measured using a and loss of biodiversity. accordance with statutory provisions or their reference portfolio that does not contain derivati- investment conditions, if such corporations, ves (“risk benchmark”). associations of persons or estates are subject

170 Leverage is not expected to exceed twice the value of the investment sub-fund’s assets. The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net present value of the portfolio). However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

171 DWS Invest ESG Multi Asset Balance

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio 50% MSCI AC World and 50% Barclays Global Aggregate Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee Maximum management fee charged 3.25% in respect of investments in shares of target funds (payable by the sub-fund)

For the sub-fund with the name DWS Invest ESG Up to 49% of the investment sub-fund’s assets 2010, and Article 9 of the Grand-Ducal Regulation Multi Asset Balance, the following provisions may be invested in money market instruments, of February 8, 2008. The sub-fund does not shall apply in addition to the terms contained in in money market funds and in money market invest into futures on soft commodities, e.g. the general section of the Sales Prospectus. funds with a short maturity structure or in cash. cotton, sugar, rice and wheat as well as all manner of livestock. Investment policy The sub-fund’s investments in asset-backed This sub-fund promotes environmental and social securities and mortgage backed securities shall Notwithstanding Article 2 B. (i), the following characteristics and qualifies as product in accord be limited to 20% of the sub-fund’s net asset applies: ance with article 8(1) of Regulation (EU) 2019/2088 value. on sustainability-related disclosures in the financial The sub-fund’s assets may be used to acquire services sector. The sub-fund also intends from time to time to shares of other UCITS and/or UCIs as defined in utilize the developments on the international Article 2 A. (e), provided that no more than 20% The objective of the investment policy of the natural resources and commodity markets up to of the sub-fund’s assets are invested in one and sub-fund DWS Invest ESG Multi Asset Balance is 10% of the sub-fund‘s assets. For this purpose the same UCITS and/or UCIs. to achieve a positive mid- to long-term invest- and within this 10% limit, the sub-fund may ment performance taking in account the oppor acquire derivative financial instruments whose Every sub-fund of an umbrella fund is to be tunities and risks of the international capital underlying instruments are commodity indices regarded as an independent issuer, provided that markets. and sub-indices in accordance with the 2008 the principle of individual liability per sub-fund is Regulation, equities, interest-bearing securities, applicable in terms of liability to third parties. Up to 65% of the sub-fund’s assets will be convertible bonds, convertible debentures and invested in equities, equity funds, certificates on warrant-linked bonds, index certificates, partici- Investments in shares of other UCIs other than equities or equity indices and equity warrants. pation and dividend-right certificates and equity UCITS must not exceed 30% of the sub-fund’s warrants, as well as 1:1 certificates (including net assets in total. At least 35% of the investment sub-fund’s Exchange Traded Commodities (ETCs)) the assets must be invested in interest-bearing underlying of which are single commodities/ The sub-fund’s assets are predominantly securities such as government bonds, corporate precious metals and that meet the requirements invested in securities from issuers that comply bonds or convertible bonds of domestic and of transferable securities as determined in 2 A.a) with defined minimum standards in respect to foreign issuers, in certificates on bonds or bond of the general section of the Sales Prospectus. environmental, social and corporate governance indices, or in bond funds. When using financial indices, legal provisions characteristics. apply as set out in Article 44 (1) of the Law of

172 The sub-fund management seeks to attain a Corporate Governance Equity capital investments in this respect are variety of the environmental, social and corporate governance characteristics by assessing potential –– Corporate Governance Principles by the –– equities admitted to official trading on a stock investments via proprietary ESG investment International Corporate Governance Network; exchange or admitted to, or included in, methodology. This methodology incorporates –– Global Compact Anti-Corruption Principles another organized market and which are not: portfolio investment standards according to an i) units of investment funds; ESG database, which uses data from multiple At least 90% of the sub-fund`s portfolio holdings ii) units of corporations, associations of leading ESG data providers as well as internal and will be screened according to non-financial persons or estates at least 75% of the public sources to derive proprietary combined criteria available via the ESG database. gross assets of which consist of immov- scores for various environmental, social and able property in accordance with statu- corporate governance characteristics. These More information about the functioning of the tory provisions or their investment condi- encompass assessments for (i) controversial ESG investment methodology, its integration in tions, if such corporations, associations of sectors (which include coal, tobacco, defence the investment process, the selection criteria as persons or estates are subject to corpo- industry, pornography, gambling and nuclear well as our ESG related policies can be found on rate income tax of at least 15% and are power), (ii) involvement in controversial weapons our website www.dws.com/solutions/esg. not exempt from it or if their distributions (nuclear weapons, depleted uranium, cluster are subject to tax of at least 15% and the munitions and anti-personnel mines) or (iii) viola- In addition, an engagement activity can be sub-/fund is not exempt from said tion of internationally accepted norms, but also initiated with the individual issuers regarding taxation; allow for an active issuer selection based on matters such as strategy, financial and non-finan- iii) units of corporations which are exempt categories such as climate and transition risk, cial performance, risk, capital structure, social from corporate income taxation to the norm compliance or best-in-class ESG evaluations. and environmental impact as well as corporate extent they conduct distributions unless The methodology assigns one of six possible governance including topics like disclosure, such distributions are subject to taxation proprietary scores to each possible issuer based culture and remuneration. The dialogue can be at a minimum rate of 15% and the sub- on a letter scoring from A to F, whereby issuers exercised by, for example, proxy voting, company fund is not exempt from said taxation; with A and B scores are considered as leading in meetings or engagement letters. iv) units of corporations the income of which their categories and issuers with C scores are originates, directly or indirectly, to an considered as within the upper midfield of their In the case of investments in shares of another extent of more than 10%, from units of category. These letter scoring can originate from UCITS and/or other UCIs, the investments held corporations, that are (i) real estate revenues generated from controversial sectors or by that UCITS and/or by other UCIs are not taken companies or (ii) are not real estate the degree of involvement in controversial weap- into consideration for the purposes of the limits companies, but (a) are domiciled in a ons, the degree of severity that an issuer may be specified in Article 2 B. (a), (b), (c), (d), (e) and (f). member state of the European Union or a involved in the violation of international norms, the member state of the European Economic assessment on climate and transition risk, which In compliance with the investment limits speci- Area and are not subject in said domicile is based on for example carbon intensity or the fied in Article 2 B. of the general section of the to corporate income tax or are exempt risk of stranded assets, or from best-in-class ESG Sales Prospectus, the investment policy may from it or (b) are domiciled in a third evaluations. also be implemented through the use of suitable country and are not subject in said domi- derivative financial instruments. These derivative cile to corporate income tax of at least The sub-fund manager considers in its asset financial instruments may include, among others, 15% or are exempt from it; allocation the resulting scores from the ESG options, forwards, futures, futures contracts on v) units of corporations which hold, directly database. The sub-fund’s investment in low financial instruments and options on such con- or indirectly, units of corporations, that scored issuers (scores D and E) is limited or tracts, as well as privately negotiated OTC are (i) real estate companies or (ii) are not excluded whereas issuers with the lowest contracts on any type of financial instrument, real estate companies, but (a) are domi- scores (e.g. score F) are always excluded from including swaps, forward-starting swaps, infla- ciled in a member state of the European the investable universe. tion swaps, swaptions, constant maturity swaps Union or a member state of the European and credit default swaps. Economic Area and are not subject in said The ESG performance of an issuer is evaluated domicile to corporate income tax or are independently from financial success based on a The sub-fund will not invest in contingent exempt from it or (b) are domiciled in a variety of characteristics. These characteristics convertibles. third country and are not subject in said include, for example, the following fields of domicile to corporate income tax of at interest: The sub-fund intends to use securities financing least 15% or are exempt from it if the fair transactions under the conditions and to the market value of units of such corporations Environment extent further described in the general part of equal more than 10% of the fair market the Sales Prospectus. value of those corporations. –– Conservation of flora and fauna –– Protection of natural resources, atmosphere For the purpose of inducing a partial tax exemp- –– units of investment funds, which in accordance and inshore waters tion within the meaning of the German Invest- with their terms and conditions of investment –– Limitation of land degradation and ment Tax Act and in addition to the investment invest more than 50% of their value or more climate change limits described in the Articles of Incorporation than 50% of their gross assets (determined as –– Avoidance of encroachment on ecosystems and this Sales Prospectus at least 25% of the being the value of the investment fund´s assets and loss of biodiversity sub-fund´s gross assets (determined as being without taking into account liabilities) them- the value of the sub-fund´s assets without taking selves or as a fund of fund indirectly in units of Social into account liabilities) are invested in such equity corporations in the amount of 51% of their capital investments as defined in article 2 (8) of value; if the terms and conditions of an equity –– General human rights the German Investment Tax Act that may be fund make provisions for a percentage higher –– Prohibition of child labor and forced labor acquired for the sub-fund in accordance with the than 51% of its value or its gross assets, the –– Imperative Non-discrimination Articles of Incorporation and this Sales Prospec- share of the equity capital investment is, by –– Workplace health and safety tus (mixed fund). way of derogation, deemed to be the amount –– Fair workplace and appropriate remuneration of the higher percentage;

173 –– units of investment funds, which in accord specified otherwise. Such organized market also ance with their terms and conditions of invest meets the criteria of article 50 of the UCITS ment invest at least 25% of their value or at Directive. least 25% of their gross assets (determined as being the value of the investment fund´s In addition, the sub-fund’s assets may be assets without taking into account liabilities) invested in all other permissible assets as speci themselves or as a fund of fund indirectly in fied in Article 2 of the general section of the units of corporations in the amount of 25% Sales Prospectus. of their value; if the terms and conditions of a balanced fund make provisions for a percent The respective risks connected with investments age higher than 25% of its value or its gross in this sub-fund are disclosed in the general assets, the share of the equity capital invest section of the Sales Prospectus. ment is, by way of derogation, deemed to be the amount of the higher percentage; Integration of sustainability risks –– units of investment funds that carry out a The sub-fund management integrates sustain valuation at least once per week in the ability risks into their investment decisions by amount of the percentage of their assets means of ESG Integration. Further information on published on each valuation date that they how sustainability risks are taken into account in actually invest themselves, or as a fund of the investment decisions can be found in the fund, in units of corporations. general section of the Sales Prospectus.

Units of corporations as defined in indents Risk Management 2 through 4 are The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund. –– units of corporations admitted to official trading on a stock exchange or admitted to, or In addition to the provisions of the general included in, another organized market; section of the Sales Prospectus, the potential –– units of corporations that are not real estate market risk of the sub-fund is measured using a companies and that are domiciled in a mem reference portfolio that does not contain deriva ber state of the European Union or in another tives (“risk benchmark”). state that is a party to the Agreement on the European Economic Area and are subject Leverage is not expected to exceed twice the there to corporate income tax and are not value of the investment sub-fund’s assets. The exempt from it; leverage effect is calculated using the sum of –– units of corporations that are not real estate notional approach (absolute (notional) amount of companies and that are domiciled in a third each derivative position divided by the net pres country and are subject there to corporate ent value of the portfolio). However, the dis income tax of at least 15% and are not closed expected level of leverage is not intended exempt from it; and to be an additional exposure limit for the –– units of other investment funds, which in turn sub-fund. meet the requirements of indents 2 through 4 and of this sentence, in the respective amount Investment in shares of target funds specified there. In addition to the information in the general section of the Sales Prospectus the following is However, units of corporations are not those applicable to this sub-fund: that correspond to the categories as defined in indent 1 (i) to (v) above or are held indirectly via When investing in target funds associated to partnerships. the sub-fund, the part of the management fee attributable to shares of these target funds is Equity capital investments indirectly held by the reduced by the management fee/all-in fee of the sub-fund via partnerships are not equity capital acquired target funds, and as the case may be, investments. up to the full amount (difference method).

For the purpose of this paragraph, “member state of the European Union” shall include the United Kingdom until 31 December 2020.

Individual investment fund units may only be taken into consideration once for the purposes of determining the daily equity capital investment rate.

174 DWS Invest ESG Multi Asset Defensive

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio iBoxx EUR Overall (65%) and MSCI THE WORLD HIGH DIVIDEND INDEX in EUR (35%) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee Maximum management fee charged 3.25% in respect of investments in shares of target funds (payable by the sub-fund)

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest ESG The sub-fund is actively managed and is not Up to 10% of the sub-fund’s assets may be Multi Asset Defensive, the following provisions managed in reference to a benchmark. invested in certificates on precious metals and shall apply in addition to the terms contained in precious metals indices, as well as in funds. the general section of the Sales Prospectus. Up to 100% of the sub-fund`s assets may be According to Article 2 A. (j), investment in the invested in interest-bearing securities, in certifi- certificates listed here is only permitted if they Investment policy cates on, for example bonds, indices, in convert- are 1:1 certificates qualifying as transferable This sub-fund promotes environmental and social ible bonds, in warrant-linked bonds whose securities. When using financial indices, legal characteristics and qualifies as product in accord underlying warrants relate to securities, in partici- provisions apply as set out in Article 44 (1) of the ance with article 8(1) of Regulation (EU) 2019/2088 pation and dividend-right certificates, in deriva- Law of 2010, and Article 9 of the Grand-Ducal on sustainability-related disclosures in the financial tives as well as in money market instruments, Regulation of February 8, 2008. services sector. deposits and cash. The sub-fund will not invest more than 10% of its The objective of the investment policy of the Up to 35% of the sub-fund’s assets will be assets in units or shares of other UCITS or other sub-fund DWS Invest ESG Multi Asset Defensive invested in equities, equity funds, certificates on UCIs in order to be eligible for investment by is to achieve a positive mid- to long-term invest- equities or equity indices and equity warrants. UCITS governed by the UCITS Directive. ment performance taking in account the opportunities and risks of the international capital mar- The sub-fund’s investments in asset-backed The sub-fund’s assets are predominantly kets. The defensive character of the strategy is securities and mortgage backed securities shall invested in securities from issuers that comply achieved through an overweighting of fixed be limited to 20% of the sub-fund’s net asset with defined minimum standards in respect to income investments and a limitation of equity value. environmental, social and corporate governance investments. characteristics.

175 The sub-fund management seeks to attain a Corporate Governance The sub-fund intends to use securities financing variety of the environmental, social and corporate transactions under the conditions and to the governance characteristics by assessing potential –– Corporate Governance Principles by the extent further described in the general part of investments via proprietary ESG investment International Corporate Governance Network; the Sales Prospectus. methodology. This methodology incorporates –– Global Compact Anti-Corruption Principles portfolio investment standards according to an In addition, the sub-fund’s assets may be invested ESG database, which uses data from multiple At least 90% of the sub-fund`s portfolio holdings in all other permissible assets as specified in leading ESG data providers as well as internal and will be screened according to non-financial Article 2 of the general section of the Sales public sources to derive proprietary combined criteria available via the ESG database. Prospectus. scores for various environmental, social and corporate governance characteristics. These More information about the functioning of the The respective risks connected with investments encompass assessments for (i) controversial ESG investment methodology, its integration in in this sub-fund are disclosed in the general sectors (which include coal, tobacco, defence the investment process, the selection criteria as section of the Sales Prospectus. industry, pornography, gambling and nuclear well as our ESG related policies can be found on power), (ii) involvement in controversial weapons our website www.dws.com/solutions/esg. Integration of sustainability risks (nuclear weapons, depleted uranium, cluster The sub-fund management integrates sustain- munitions and anti-personnel mines) or (iii) viola- In addition, an engagement activity can be ability risks into their investment decisions by tion of internationally accepted norms, but also initiated with the individual issuers regarding means of ESG Integration. Further information on allow for an active issuer selection based on matters such as strategy, financial and non-finan- how sustainability risks are taken into account in categories such as climate and transition risk, cial performance, risk, capital structure, social the investment decisions can be found in the norm compliance or best-in-class ESG evaluations. and environmental impact as well as corporate general section of the Sales Prospectus. The methodology assigns one of six possible governance including topics like disclosure, proprietary scores to each possible issuer based culture and remuneration. The dialogue can be Risk Management on a letter scoring from A to F, whereby issuers exercised by, for example, proxy voting, company The relative Value-at-Risk (VaR) approach is used with A and B scores are considered as leading in meetings or engagement letters. to limit market risk in the sub-fund. their categories and issuers with C scores are considered as within the upper midfield of their Notwithstanding Article 2 B. (i), the following In addition to the provisions of the general category. These letter scoring can originate from applies: section of the Sales Prospectus, the potential revenues generated from controversial sectors or market risk of the sub-fund is measured using a the degree of involvement in controversial weap- The sub-fund’s assets may be used to acquire reference portfolio that does not contain deriva- ons, the degree of severity that an issuer may be shares of other UCITS and/or UCIs as defined in tives (“risk benchmark”). involved in the violation of international norms, the Article 2 A. (e), provided that no more than 20% assessment on climate and transition risk, which of the sub-fund’s assets are invested in one and Leverage is not expected to exceed twice the is based on for example carbon intensity or the the same UCITS and/or UCIs. value of the investment sub-fund’s assets. The risk of stranded assets, or from best-in-class ESG leverage effect is calculated using the sum of evaluations. Every sub-fund of an umbrella fund is to be notional approach (absolute (notional) amount of regarded as an independent issuer, provided that each derivative position divided by the net present The sub-fund manager considers in its asset the principle of individual liability per sub-fund is value of the portfolio). However, the disclosed allocation the resulting scores from the ESG applicable in terms of liability to third parties. expected level of leverage is not intended to be an database. The sub-fund’s investment in low additional exposure limit for the sub-fund. scored issuers (scores D and E) is limited or Investments in shares of other UCIs other than excluded whereas issuers with the lowest UCITS must not exceed 30% of the sub-fund’s Investment in shares of target funds scores (e.g. score F) are always excluded from net assets in total. In addition to the information in the general the investable universe. section of the Sales Prospectus the following In the case of investments in shares of another is applicable to this sub-fund: The ESG performance of an issuer is evaluated UCITS and/or other UCIs, the investments held independently from financial success based on a by that UCITS and/or by other UCIs are not taken When investing in target funds associated to the variety of characteristics. These characteristics into consideration for the purposes of the limits sub-fund, the part of the management fee include, for example, the following fields of specified in Article 2 B. (a), (b), (c), (d), (e) and (f). attributable to shares of these target funds is interest: reduced by the management fee/all-in fee of the In compliance with the investment limits speci- acquired target funds, and as the case may be, Environment fied in Article 2 B. of the general section of the up to the full amount (difference method). Sales Prospectus, the investment policy may –– Conservation of flora and fauna also be implemented through the use of suitable –– Protection of natural resources, atmosphere derivative financial instruments. These derivative and inshore waters financial instruments may include, among others, –– Limitation of land degradation and climate options, forwards, futures, futures contracts on change financial instruments and options on such con- –– Avoidance of encroachment on ecosystems tracts, as well as privately negotiated OTC and loss of biodiversity contracts on any type of financial instrument, including swaps, forward-starting swaps, infla- Social tion swaps, swaptions, constant maturity swaps and credit default swaps. –– General human rights –– Prohibition of child labor and forced labor The sub-fund will not invest in contingent –– Imperative Non-discrimination convertibles. –– Workplace health and safety –– Fair workplace and appropriate remuneration

176 DWS Invest ESG Multi Asset Dynamic

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio 75% MSCI AC World Index in EUR, Net Return; (risk benchmark) 25% BBG Barc Global Aggregate Index in EUR Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest ESG In compliance with the investment limits speci- The sub-fund’s assets are predominantly Multi Asset Dynamic, the following provisions fied in Article 2 B. of the general section of the invested in securities from issuers that comply shall apply in addition to the terms contained in Sales Prospectus, the investment policy may with defined minimum standards in respect to the general section of the Sales Prospectus. also be implemented through the use of suitable environmental, social and corporate governance derivative financial instruments. These derivative characteristics. Investment policy financial instruments may include, among others, This sub-fund promotes environmental and social options, forwards, futures, futures contracts on The sub-fund management seeks to attain a characteristics and qualifies as product in accord financial instruments and options on such con- variety of the environmental, social and corpo- ance with article 8(1) of Regulation (EU) 2019/2088 tracts, as well as privately negotiated OTC rate governance characteristics by assessing on sustainability-related disclosures in the financial contracts on any type of financial instrument, potential investments via proprietary ESG invest- services sector. including swaps, forward-starting swaps, infla- ment methodology. This methodology incorpo- tion swaps, swaptions, constant maturity swaps rates portfolio investment standards according to The objective of the investment policy of the and credit default swaps. an ESG database, which uses data from multiple sub-fund DWS Invest ESG Multi Asset Dynamic leading ESG data providers as well as internal is to achieve the highest possible capital The sub-fund will not invest more than 10% of its and public sources to derive proprietary com- appreciation. assets in units or shares of other UCITS or other bined scores for various environmental, social UCIs in order to be eligible for investment by and corporate governance characteristics. These The sub-fund invests variably worldwide in fixed UCITS governed by the UCITS Directive. encompass assessments for (i) controversial and floating rate securities issued by govern- sectors (which include coal, tobacco, defence ments or companies and in equities. Moreover, The sub-fund will not invest in contingent industry, pornography, gambling and nuclear the net assets can be invested in share certifi- convertibles. power), (ii) involvement in controversial weapons cates, convertible debentures and warrant-linked (nuclear weapons, depleted uranium, cluster bonds or in participation and dividend-right The sub-fund intends to use securities financing munitions and anti-personnel mines) or (iii) viola- certificates. transactions under the conditions and to the tion of internationally accepted norms, but also extent further described in the general part of allow for an active issuer selection based on The sub-fund’s investments in asset-backed the Sales Prospectus. categories such as climate and transition risk, securities and mortgage backed securities shall norm compliance or best-in-class ESG evalua- be limited to 20% of the sub-fund’s net asset tions. The methodology assigns one of six possi- value. ble proprietary scores to each possible issuer based on a letter scoring from A to F, whereby

177 issuers with A and B scores are considered as culture and remuneration. The dialogue can be For the purpose of this investment policy and in leading in their categories and issuers with C exercised by, for example, proxy voting, company accordance with the definition in the German scores are considered as within the upper mid- meetings or engagement letters. Investment Code (KAGB), an organized market is field of their category. These letter scoring can a market which is recognized, open to the public originate from revenues generated from contro- For the purpose of inducing a partial tax exemp- and which functions correctly, unless expressly versial sectors or the degree of involvement in tion within the meaning of the German Invest- specified otherwise. Such organized market also controversial weapons, the degree of severity ment Tax Act and in addition to the investment meets the criteria of article 50 of the UCITS that an issuer may be involved in the violation of limits described in the Articles of Incorporation Directive. international norms, the assessment on climate and this Sales Prospectus (equity fund) at least and transition risk, which is based on for example 51% of the sub-fund´s gross assets (deter- In addition, the sub-fund’s assets may be carbon intensity or the risk of stranded assets, or mined as being the value of the sub-fund´s invested in all other permissible assets as speci- from best-in-class ESG evaluations. assets without taking into account liabilities) are fied in Article 2 of the general section of the invested in equities admitted to official trading Sales Prospectus. The sub-fund manager considers in its asset on a stock exchange or admitted to, or included allocation the resulting scores from the ESG in, another organized market and which are not: The respective risks connected with investments database. The sub-fund’s investment in low in this sub-fund are disclosed in the general scored issuers (scores D and E) is limited or –– units of investment funds; section of the Sales Prospectus. excluded whereas issuers with the lowest –– equities indirectly held via partnerships; scores (e.g. score F) are always excluded from –– units of corporations, associations of persons Integration of sustainability risks the investable universe. or estates at least 75% of the gross assets of The sub-fund management integrates sustain- which consist of immovable property in ability risks into their investment decisions by The ESG performance of an issuer is evaluated accordance with statutory provisions or their means of ESG Integration. Further information on independently from financial success based on a investment conditions, if such corporations, how sustainability risks are taken into account in variety of characteristics. These characteristics associations of persons or estates are subject the investment decisions can be found in the include, for example, the following fields of to corporate income tax of at least 15% and general section of the Sales Prospectus. interest: are not exempt from it or if their distributions are subject to tax of at least 15% and the Risk Management Environment sub-fund is not exempt from said taxation; The relative Value-at-Risk (VaR) approach is used –– units of corporations which are exempt from to limit market risk in the sub-fund. –– Conservation of flora and fauna corporate income taxation to the extent they –– Protection of natural resources, atmosphere conduct distributions unless such distributions In addition to the provisions of the general and inshore waters are subject to taxation at a minimum rate of section of the Sales Prospectus, the potential –– Limitation of land degradation and climate 15% and the sub-fund is not exempt from said market risk of the sub-fund is measured using a change taxation; reference portfolio that does not contain deriva- –– Avoidance of encroachment on ecosystems –– units of corporations the income of which tives (“risk benchmark”). and loss of biodiversity originates, directly or indirectly, to an extent of more than 10%, from units of corporations, Leverage is not expected to exceed twice the Social that are (i) real estate companies or (ii) are not value of the investment sub-fund’s assets. The real estate companies, but (a) are domiciled in leverage effect is calculated using the sum of –– General human rights member state of the European Union or a notional approach (absolute (notional) amount of –– Prohibition of child labor and forced labor member state of the European Economic Area each derivative position divided by the net pres- –– Imperative Non-discrimination and are not subject in said domicile to corpo- ent value of the portfolio). However, the dis- –– Workplace health and safety rate income tax or are exempt from it or closed expected level of leverage is not intended –– Fair workplace and appropriate remuneration (b) are domiciled in a third country and are not to be an additional exposure limit for the subject in said domicile to corporate income sub-fund. Corporate Governance tax of at least 15% or are exempt from it; –– units of corporations which hold, directly or Investment in shares of target funds –– Corporate Governance Principles by the indirectly, units of corporations, that are (i) real In addition to the information in the general International Corporate Governance Network; estate companies or (ii) are not real estate section of the Sales Prospectus the following is –– Global Compact Anti-Corruption Principles companies, but (a) are domiciled in a member applicable to this sub-fund: state of the European Union or a member At least 90% of the sub-fund`s portfolio holdings state of the European Economic Area and are When investing in target funds associated to will be screened according to non-financial not subject in said domicile to corporate the sub-fund, the part of the management fee criteria available via the ESG database. income tax or are exempt from it or (b) are attributable to shares of these target funds is domiciled in a third country and are not sub- reduced by the management fee/all-in fee of the More information about the functioning of the ject in said domicile to corporate income tax acquired target funds, and as the case may be, ESG investment methodology, its integration in of at least 15% or are exempt from it if the fair up to the full amount (difference method). the investment process, the selection criteria as market value of units of such corporations well as our ESG related policies can be found on equal more than 10% of the fair market value our website www.dws.com/solutions/esg. of those corporations.

In addition, an engagement activity can be For the purpose of this paragraph, “member initiated with the individual issuers regarding state of the European Union” shall include the matters such as strategy, financial and non-finan- United Kingdom until 31 December 2020. cial performance, risk, capital structure, social and environmental impact as well as corporate governance including topics like disclosure,

178 DWS Invest ESG Multi Asset Income

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI AC World Index (55%), Barclays U.S. High Yield 2% Issuer Cap Index hedged in EUR (35%), (risk benchmark) JP Morgan GBI EM Global Composite (10%) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance For the share class LDH (P): All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. For all other share classes: All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on that valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the next valuation date.. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Dilution adjustment PFD: (payable by the shareholder)** A dilution adjustment of up to 3% based on the gross redemption amount may be charged. Please see the general section for further explanation. Placement fee PFD: (payable from the sub-fund’s assets) Up to 3% for the benefit of the distributor. Please see the general section for further explanation.

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

179 For the sub-fund with the name DWS Invest ESG The sub-fund’s assets are predominantly invested Social Multi Asset Income, the following provisions shall in securities from issuers that comply with apply in addition to the terms contained in the defined minimum standards in respect to environ- –– General human rights; general section of the Sales Prospectus. mental, social and corporate governance –– Prohibition of child labour and forced labour; characteristics. –– Imperative Non-discrimination; Investment policy –– Workplace health and safety; This sub-fund promotes environmental and social The sub-fund management seeks to attain a –– Fair workplace and appropriate remuneration. characteristics and qualifies as product in accor- variety of the environmental, social and corporate dance with article 8(1) of Regulation (EU) governance characteristics by assessing potential Corporate Governance 2019/2088 on sustainability‐related disclosures in investments via proprietary ESG investment the financial services sector. methodology. This methodology incorporates –– Corporate Governance Principles by the Inter- portfolio investment standards according to an national Corporate Governance Network; The objective of the investment policy of the ESG database, which uses data from multiple –– Global Compact Anti-Corruption Principles. sub-fund DWS Invest ESG Multi Asset Income is leading ESG data providers as well as internal and to achieve a positive mid- to long-term invest- public sources to derive proprietary combined At least 90% of the sub-fund`s portfolio holdings ment performance taking in account the opportu- scores for various environmental, social and will be screened according to non-financial criteria nities and risks of the international capital mar- corporate governance characteristics. These available via the ESG database. kets. The sub-fund generally has an investment encompass assessments for (i) controversial focus on income-oriented assets such as inter- sectors (which include coal, tobacco, defence More information about the functioning of the est-bearing securities and equities industry, pornography, gambling and nuclear ESG investment methodology, its integration in power), (ii) involvement in controversial weapons the investment process, the selection criteria as The sub-fund is actively managed and is not (nuclear weapons, depleted uranium, cluster well as our ESG related policies can be found on managed in reference to a benchmark. munitions and anti-personnel mines) or (iii) viola- our website www.dws.com/solutions/esg. tion of internationally accepted norms, but also The sub-fund may invest in interest-bearing allow for an active issuer selection based on In addition, an engagement activity can be initi- securities, in equities, in certificates on, for categories such as climate and transition risk, ated with the individual issuers regarding matters example, equities, bonds, indices, commodities norm compliance or best-in-class ESG evaluations. such as strategy, financial and non-financial perfor- and precious metals, in convertible bonds, in The methodology assigns one of six possible mance, risk, capital structure, social and environ- warrant-linked bonds whose underlying warrants proprietary scores to each possible issuer based mental impact as well as corporate governance relate to securities, in equity warrants, in partici- on a letter scoring from A to F, whereby issuers including topics like disclosure, culture and remu- pation and dividend-right certificates, in invest- with A and B scores are considered as leading in neration. The dialogue can be exercised by, for ment funds, such as equity, bond and money their categories and issuers with C scores are example, proxy voting, company meetings or market funds, in investment funds that reflect considered as within the upper midfield of their engagement letters. the performance of an index, in derivatives as category. These letter scoring can originate from well as in money market instruments, deposits revenues generated from controversial sectors or In compliance with the investment limits speci- and cash. the degree of involvement in controversial weap- fied in Article 2 B. of the general section of the ons, the degree of severity that an issuer may be Sales Prospectus, the investment policy may Up to 75% of the sub-fund’s assets will be involved in the violation of international norms, the also be implemented through the use of suitable invested in interest-bearing securities, convert- assessment on climate and transition risk, which derivative financial instruments. These derivative ible bonds, bond funds, certificates on bonds or is based on for example carbon intensity or the financial instruments may include, among others, bond indices and warrant-linked bonds. risk of stranded assets, or from best-in-class ESG options, forwards, futures, futures contracts on evaluations. financial instruments and options on such con- Up to 65% of the sub-fund’s assets will be tracts, as well as privately negotiated OTC invested in equities, equity funds, certificates on The sub-fund manager considers in its asset contracts on any type of financial instrument, equities or equity indices and equity warrants. allocation the resulting scores from the ESG including swaps, forward-starting swaps, infla- database. The sub-fund’s investment in low scored tion swaps, swaptions, constant maturity swaps The sub-fund’s investments in asset-backed issuers (scores D and E) is limited or excluded and credit default swaps. securities and mortgage backed securities shall whereas issuers with the lowest scores (e.g. be limited to 20% of the sub-fund’s net asset score F) are always excluded from the investable The sub-fund will not invest in contingent value. universe. convertibles.

Up to 10% of the sub-fund’s assets may be The ESG performance of an issuer is evaluated The sub-fund intends to use securities financing invested in investment funds. independently from financial success based on a transactions under the conditions and to the variety of characteristics. These characteristics extent further described in the general part of Up to 10% of the sub-fund’s assets may be include, for example, the following fields of the Sales Prospectus. invested in certificates on commodities, commo interest: dities indices, precious metals and precious In addition, the sub-fund’s assets may be invested metals indices, as well as in funds. According Environment in all other permissible assets as specified in Article 2 A. (j), investment in the certificates listed Article 2 of the general section of the Sales here is only permitted if they are 1:1 certificates –– Conservation of flora and fauna; Prospectus. qualifying as transferable securities. When using –– Protection of natural resources, atmosphere financial indices, legal provisions apply as set out and inshore waters; For the purpose of inducing a partial tax exemp- in Article 44 (1) of the Law of 2010, and Article 9 –– Limitation of land degradation and tion within the meaning of the German Invest- of the Grand-Ducal Regulation of February 8, climate change ment Tax Act and in addition to the investment 2008. The sub-fund does not invest into futures on –– Avoidance of encroachment on ecosystems limits described in the Articles of Incorporation soft commodities, e.g. cotton, sugar, rice and and loss of biodiversity. and this Sales Prospectus (mixed fund) at least wheat as well as all manner of livestock. 25% of the sub-fund´s gross assets (determined as being the value of the sub-fund´s assets

180 without taking into account liabilities) are invested Integration of sustainability risks in equities admitted to official trading on a stock The sub-fund management integrates sustain exchange or admitted to, or included in, another ability risks into their investment decisions by organized market and which are not: means of ESG Smart Integration. Further infor mation on how sustainability risks are taken into –– units of investment funds; account in the investment decisions can be –– equities indirectly held via partnerships; found in the general section of the Sales –– units of corporations, associations of persons Prospectus.. or estates at least 75% of the gross assets of which consist of immovable property in accord Risk Management ance with statutory provisions or their invest The relative Value-at-Risk (VaR) approach is used ment conditions, if such corporations, associa to limit market risk for the sub-fund assets. tions of persons or estates are subject to corporate income tax of at least 15% and are In addition to the provisions of the general not exempt from it or if their distributions are section of the Sales Prospectus, the potential subject to tax of at least 15% and the sub-fund market risk of the sub-fund is measured using a is not exempt from said taxation; reference portfolio that does not contain deriva –– units of corporations which are exempt from tives (“risk benchmark”). corporate income taxation to the extent they conduct distributions unless such distributions Contrary to the provision of the general section are subject to taxation at a minimum rate of of the Sales Prospectus, because of the invest 15% and the sub-fund is not exempt from said ment strategy of the sub-fund it is expected that taxation; the leverage effect from the use of derivatives –– units of corporations the income of which will not be any higher than five times the sub- originates, directly or indirectly, to an extent of fund assets. The leverage effect is calculated more than 10%, from units of corporations, using the sum of notional approach (absolute that are (i) real estate companies or (ii) are not (notional) amount of each derivative position real estate companies, but (a) are domiciled in divided by the net present value of the portfolio). member state of the European Union or a The disclosed expected level of leverage is not member state of the European Economic Area intended to be an additional exposure limit for and are not subject in said domicile to corpo the sub-fund. rate income tax or are exempt from it or (b) are domiciled in a third country and are not subject Investment in shares of target funds in said domicile to corporate income tax of at In addition to the information in the general least 15% or are exempt from it; section of the Sales Prospectus the following –– units of corporations which hold, directly or is applicable to this sub-fund: indirectly, units of corporations, that are (i) real estate companies or (ii) are not real estate When investing in target funds associated to companies, but (a) are domiciled in a member the sub-fund, the part of the management fee state of the European Union or a member state attributable to shares of these target funds is of the European Economic Area and are not reduced by the management fee/all-in fee of the subject in said domicile to corporate income acquired target funds, and as the case may be, tax or are exempt from it or (b) are domiciled in up to the full amount (difference method). a third country and are not subject in said domicile to corporate income tax of at least 15% or are exempt from it if the fair market value of units of such corporations equal more than 10% of the fair market value of those corporations.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

181 DWS Invest ESG NextGen Consumer

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI All Countries World TR net Index (Risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest ESG the world will soon experience the rise of Gener- issued by companies in the global infrastruc- NextGen Consumer, the following provisions ation Z (born between 1995 and 2009), which ture sector or by issuers in accordance with shall apply in addition to the terms contained in represents the largest consumer base through to (a) above and which are denominated in any the general section of the Sales Prospectus. 2030. Generation Z will shape the ways busi- freely convertible currency. nesses create and market their products tomor- Investment policy row. Brands that can accomplish Gen Z’s expec- The sub-fund will not invest in contingent This sub-fund promotes environmental and tations for authenticity, technology and social convertibles. social characteristics and qualifies as product in equality will capitalize on this growingly influen- accordance with article 8(1) of Regulation tial consumer segment. The sub-fund focuses on The sub-fund intends to use securities financing (EU) 2019/2088 on sustainability-related disclo- affected sectors like food, luxury, consumer transactions under the conditions and to the sures in the financial services sector. goods, financials & financial services, IT, Commu- extent further described in the general part of nication services, mobility, energy, healthcare, the Sales Prospectus. The sub-fund is actively managed and is not education. managed in reference to a benchmark. The sub-fund will not invest in ABS or MBS Investments in the securities mentioned above securities. The main investment objective of the sub-fund may also be made through Global Depository DWS Invest ESG NextGen Consumer is to Receipts (GDRs) and American Depository The sub-fund’s assets are predominantly invested achieve a long-term sustained capital apprecia- Receipts (ADRs) listed on recognized exchanges in securities from issuers that comply with defined tion in Euros. and markets issued by international financial minimum standards in respect to environmental, institutions or, to the extent permitted by the social and corporate governance characteristics. The sub-fund may acquire equities, interest- Grand Ducal Regulation of February 8, 2008 and bearing securities, convertible bonds, war- Article 41 (1) of the Law of 2010. In case that a The sub-fund management seeks to attain a rant-linked bonds whose underlying warrants are derivative is embedded into the depository variety of the environmental, social and corporate for securities, equity warrants and participation receipt, such derivative complies with the provi- governance characteristics by assessing potential certificates. In addition, the sub-fund’s assets sions as set out in Article 41 (1) of the Law of investments via proprietary ESG investment may be invested in index certificates on recog- 2010 and Articles 2 and 10 of the Grand-Ducal methodology. This methodology incorporates nized equity indices. When using financial indi- Regulation of February 8, 2008. portfolio investment standards according to an ces, legal provisions apply as set out in Arti- ESG database, which uses data from multiple cle 44 (1) of the Law of 2010, and Article 9 of the A total of up to 30% of the sub-fund’s assets (after leading ESG data providers as well as internal and Grand-Ducal Regulation of February 8, 2008. deduction of liquid assets) may be invested in public sources to derive proprietary combined scores for various environmental, social and At least 70% of the sub-fund’s total assets are a) equities and/or securities similar to equities corporate governance characteristics. These invested in equities of companies, which benefit issued by companies worldwide that do not encompass assessments for (i) controversial from a shift in consumption patterns driven by meet the requirements as mentioned above. sectors (which include coal, tobacco, defence millennials and subsequent (next) generations. b) interest-bearing securities, as well as con- industry, pornography, gambling and nuclear Generation shifts are occurring at a fast pace and vertible bonds and warrant-linked bonds power), (ii) involvement in controversial weapons

182 (nuclear weapons, depleted uranium, cluster In addition, an engagement activity can be are domiciled in a third country and are not munitions and anti-personnel mines) or (iii) viola- initiated with the individual issuers regarding subject in said domicile to corporate income tion of internationally accepted norms, but also matters such as strategy, financial and non-finan- tax of at least 15% or are exempt from it; allow for an active issuer selection based on cial performance, risk, capital structure, social –– units of corporations which hold, directly or categories such as climate and transition risk, and environmental impact as well as corporate indirectly, units of corporations, that are (i) real norm compliance or best-in-class ESG evaluations. governance including topics like disclosure, estate companies or (ii) are not real estate The methodology assigns one of six possible culture and remuneration. The dialogue can be companies, but (a) are domiciled in a member proprietary scores to each possible issuer based exercised by, for example, proxy voting, company state of the European Union or a member on a letter scoring from A to F, whereby issuers meetings or engagement letters. state of the European Economic Area and are with A and B scores are considered as leading in not subject in said domicile to corporate their categories and issuers with C scores are In addition, the sub-fund may invest in all other income tax or are exempt from it or (b) are considered as within the upper midfield of their permissible assets specified in Article 2 of the domiciled in a third country and are not sub- category. These letter scoring can originate from general section of the Sales Prospectus. ject in said domicile to corporate income tax revenues generated from controversial sectors or of at least 15% or are exempt from it if the fair the degree of involvement in controversial weap- In compliance with Article 2 of the general section market value of units of such corporations ons, the degree of severity that an issuer may be of the Sales Prospectus, the investment policy can equal more than 10% of the fair market value involved in the violation of international norms, the also be implemented through the use of suitable of those corporations. assessment on climate and transition risk, which is derivative financial instruments. These derivative based on for example carbon intensity or the risk financial instruments may include, among others, For the purpose of this investment policy and in of stranded assets, or from best-in-class ESG options, forward contracts, futures contracts on accordance with the definition in the German evaluations. financial instruments and options on such con- Investment Code (KAGB), an organized market is a tracts, as well as privately negotiated swap con- market which is recognized, open to the public and The sub-fund manager considers in its asset tracts on any type of financial instrument. which functions correctly, unless expressly speci- allocation the resulting scores from the ESG fied otherwise. Such organized market also meets database. The sub-fund’s investment in low In particular, derivatives based on equities, the criteria of article 50 of the UCITS Directive. scored issuers (scores D and E) is limited or bonds, currencies or recognized financial indices excluded whereas issuers with the lowest may also be acquired. The respective risks connected with investments scores (e.g. score F) are always excluded from in this sub-fund are disclosed in the general the investable universe. For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. tion within the meaning of the German Invest- The ESG performance of an issuer is evaluated ment Tax Act and in addition to the investment Integration of sustainability risks independently from financial success based on a limits described in the Articles of Incorporation The sub-fund management integrates sustain- variety of characteristics. These characteristics and this Sales Prospectus (equity fund) at least ability risks into their investment decisions by include, for example, the following fields of 51% of the sub-fund´s gross assets (determined means of ESG Integration. Further information on interest: as being the value of the sub-fund´s assets how sustainability risks are taken into account in without taking into account liabilities) are the investment decisions can be found in the Environment invested in equities admitted to official trading on general section of the Sales Prospectus. a stock exchange or admitted to, or included in, –– Conservation of flora and fauna; another organized market and which are not: Risk Management –– Protection of natural resources, The relative Value-at-Risk (VaR) approach is used atmosphere and inshore waters; –– units of investment funds; to limit market risk in the sub-fund. –– Limitation of land degradation and –– equities indirectly held via partnerships; climate change –– units of corporations, associations of persons In addition to the provisions of the general –– Avoidance of encroachment on ecosystems or estates at least 75% of the gross assets of section of the Sales Prospectus, the potential and loss of biodiversity. which consist of immovable property in market risk of the sub-fund is measured using a accordance with statutory provisions or their reference portfolio that does not contain deriva- Social investment conditions, if such corporations, tives (“risk benchmark”). associations of persons or estates are subject –– General human rights; to corporate income tax of at least 15% and Leverage is not expected to exceed twice the –– Prohibition of child labour and forced labour; are not exempt from it or if their distributions value of the investment sub-fund’s assets. The –– Imperative Non-discrimination; are subject to tax of at least 15% and the leverage effect is calculated using the sum of –– Workplace health and safety; sub-fund is not exempt from said taxation; notional approach (absolute (notional) amount of –– Fair workplace and appropriate remuneration. –– units of corporations which are exempt from each derivative position divided by the net present corporate income taxation to the extent they value of the portfolio). However, the disclosed Corporate Governance conduct distributions unless such distributions expected level of leverage is not intended to be an are subject to taxation at a minimum rate of additional exposure limit for the sub-fund. –– Corporate Governance Principles by the 15% and the sub-fund is not exempt from said International Corporate Governance Network; taxation; Investment in shares of target funds –– Global Compact Anti-Corruption Principles. –– units of corporations the income of which In addition to the information in the general originates, directly or indirectly, to an extent of section of the Sales Prospectus the following is At least 90% of the sub-fund`s portfolio holdings more than 10%, from units of corporations, applicable to this sub-fund: will be screened according to non-financial that are (i) real estate companies or (ii) are not criteria available via the ESG database. real estate companies, but (a) are domiciled in When investing in target funds associated to the member state of the European Union or a sub-fund, the part of the management fee More information about the functioning of the member state of the European Economic Area attributable to shares of these target funds is ESG investment methodology, its integration in and are not subject in said domicile to corpo- reduced by the management fee/all-in fee of the the investment process, the selection criteria as rate income tax or are exempt from it or (b) acquired target funds, and as the case may be, well as our ESG related policies can be found on up to the full amount (difference method). our website www.dws.com/solutions/esg.

183 DWS Invest ESG Next Generation Infrastructure

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager RREEF America LLC, 222 S. Riverside Plaza, Floor 24, Chicago, IL 60606, United States of America Performance benchmark – Reference portfolio 70% MSCI World Infrastructure Index; 30% FTSE EPRA/NAREIT Developed Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest ESG The main investment objective of the sub-fund The sub-fund is actively managed and is not Next Generation Infrastructure, the following DWS Invest ESG Next Generation Infrastructure managed in reference to a benchmark. provisions shall apply in addition to the terms is to achieve a long-term sustained capital appre- contained in the general section of the Sales ciation in Euros. Next Generation Infrastructure is The sub-fund invests primarily in the equities of Prospectus. a body of key architectural changes in infrastruc- listed companies that own, develop or manage ture e.g. in telecommunication, IT and utility. It´s real estate, provided that these equities are Investment policy more focused on changing consumption patterns considered to be transferable securities as This sub-fund promotes environmental and social and demand from new consumers and it takes defined by Article 41 (1) of the Law of 2010, as characteristics and qualifies as product in accord care on the evolution in infrastructure towards well as in equities and other instruments of ance with article 8(1) of Regulation (EU) 2019/2088 “smart” solutions based on technological prog- issuers of the “Global Infrastructure” sector. on sustainability-related disclosures in the financial ress (smart cities, smart homes, smart buildings services sector. etc.).

184 The sub-fund may acquire equities, inter- These high barriers to entry have the effect of controversial weapons, the degree of severity est-bearing securities, convertible bonds, protecting the cash flows generated by these that an issuer may be involved in the violation of warrant-linked bonds whose underlying war- infrastructure assets, because services provided international norms, the assessment on climate rants are for securities, equity warrants and such as parking, roads, and communications and transition risk, which is based on for example participation certificates. In addition, the sub- towers can generally only be delivered by rela- carbon intensity or the risk of stranded assets, fund’s assets may be invested in index certifi- tively large and costly physical assets in close or from best-in-class ESG evaluations. cates on recognized equity indices. When using proximity to customers. This is a critical distinc- financial indices, legal provisions apply as set tion between infrastructure and other industries. The sub-fund manager considers in its asset out in Article 44 (1) of the Law of 2010, and allocation the resulting scores from the ESG Article 9 of the Grand-Ducal Regulation of A total of up to 30% of the sub-fund’s assets (after database. The sub-fund’s investment in low February 8, 2008. deduction of liquid assets) may be invested in scored issuers (scores D and E) is limited or a) equities and/or securities similar to equities excluded whereas issuers with the lowest At least 70% of the sub-fund’s total assets are issued by companies worldwide that do not scores (e.g. score F) are always excluded from invested in: meet the requirements of (a), (b) and (d) above; the investable universe. b) interest-bearing securities, as well as con- a) equities of real estate companies, real estate vertible bonds and warrant-linked bonds The ESG performance of an issuer is evaluated investment companies including closed issued by companies in the global infrastruc- independently from financial success based on a ended real estate investment trusts (REITs) ture sector or by issuers in accordance with variety of characteristics. These characteristics of any legal form, (a) above and which are denominated in any include, for example, the following fields of b) securities similar to equities, such as partici- freely convertible currency. interest: pation and dividend-right certificates of companies according to (a) above, The sub-fund will not invest in contingent Environment c) derivative financial instruments whose under- convertibles. lying instruments directly or indirectly (i.e., via –– Conservation of flora and fauna equity indices) constitute investments The sub-fund intends to use securities financing –– Protection of natural resources, atmosphere according to (a), and transactions under the conditions and to the and inshore waters d) equities, other equity securities and uncertifi- extent further described in the general part of –– Limitation of land degradation and climate cated equity instruments of issuers of the the Sales Prospectus. change “Global Infrastructure” sector. –– Avoidance of encroachment on ecosystems The sub-fund will not invest in ABS or MBS and loss of biodiversity Global infrastructure includes securities. Social –– Transport (roads, airports, seaports, rail) The sub-fund’s assets are predominantly –– Energy (gas and electricity transmission, invested in securities from issuers that comply –– General human rights distribution and generation) with defined minimum standards in respect to –– Prohibition of child labor and forced labor –– Water (irrigation, potable water, waste environmental, social and corporate governance –– Imperative Non-discrimination treatment) characteristics. –– Workplace health and safety –– Communications (broadcast/mobile towers, –– Fair workplace and appropriate remuneration satellites, fiber and copper cables) The sub-fund management seeks to attain a variety of the environmental, social and corpo- Corporate Governance Where liquid assets cover obligations arising rate governance characteristics by assessing from derivative financial instruments according to potential investments via proprietary ESG invest- –– Corporate Governance Principles by the (c) above, such liquid assets are attributed to the ment methodology. This methodology incorpo- International Corporate Governance Network; relevant 70%. Investments according to (a) and rates portfolio investment standards according to –– Global Compact Anti-Corruption Principles (b) herein must not include open-ended real an ESG database, which uses data from multiple estate investment funds deemed to be collective leading ESG data providers as well as internal At least 90% of the sub-fund`s portfolio holdings investment undertakings under Luxembourg law. and public sources to derive proprietary com- will be screened according to non-financial bined scores for various environmental, social criteria available via the ESG database. Infrastructure companies according to (d) provide and corporate governance characteristics. These an essential product or service to a segment of the encompass assessments for (i) controversial More information about the functioning of the population at a given time and cost, and often sectors (which include coal, tobacco, defence ESG investment methodology, its integration in retain these characteristics for an extended period industry, pornography, gambling and nuclear the investment process, the selection criteria as of time. The strategic competitive advantage of power), (ii) involvement in controversial weapons well as our ESG related policies can be found on infrastructure assets is often protected by high (nuclear weapons, depleted uranium, cluster our website www.dws.com/solutions/esg. barriers to entry of alternative suppliers. These high munitions and anti-personnel mines) or (iii) viola- barriers to entry can take various forms, including: tion of internationally accepted norms, but also In addition, an engagement activity can be allow for an active issuer selection based on initiated with the individual issuers regarding –– requirements imposed by legislation and/or categories such as climate and transition risk, matters such as strategy, financial and non-finan- regulation; norm compliance or best-in-class ESG evalua- cial performance, risk, capital structure, social –– natural barriers like planning or environmental tions. The methodology assigns one of six possi- and environmental impact as well as corporate restrictions, or availability of land; ble proprietary scores to each possible issuer governance including topics like disclosure, –– high costs of new development, such as the based on a letter scoring from A to F, whereby culture and remuneration. The dialogue can be cost to build roads; issuers with A and B scores are considered as exercised by, for example, proxy voting, company –– long-term exclusive concessions and cus- leading in their categories and issuers with C meetings or engagement letters. tomer contracts; scores are considered as within the upper mid- –– efficiencies provided by economies of scale field of their category. These letter scoring can In addition, the sub-fund may invest in all other such as reductions in marketing or other originate from revenues generated from contro- permissible assets specified in Article 2 of the services. versial sectors or the degree of involvement in general section of the Sales Prospectus.

185 In compliance with Article 2 of the general domiciled in a third country and are not sub- Investment in shares of target funds section of the Sales Prospectus, the investment ject in said domicile to corporate income tax In addition to the information in the general policy can also be implemented through the use of at least 15% or are exempt from it if the fair section of the Sales Prospectus the following is of suitable derivative financial instruments. These market value of units of such corporations applicable to this sub-fund: derivative financial instruments may include, equal more than 10% of the fair market value among others, options, forward contracts, of those corporations. When investing in target funds associated to the futures contracts on financial instruments and sub-fund, the part of the management fee options on such contracts, as well as privately For the purpose of this investment policy and in attributable to shares of these target funds is negotiated swap contracts on any type of finan- accordance with the definition in the German reduced by the management fee/all-in fee of the cial instrument. Investment Code (KAGB), an organized market is acquired target funds, and as the case may be, a market which is recognized, open to the public up to the full amount (difference method). In particular, derivatives based on equities, and which functions correctly, unless expressly bonds, currencies or recognized financial indices specified otherwise. Such organized market also may also be acquired. meets the criteria of article 50 of the UCITS Directive. For the purpose of inducing a partial tax exemption within the meaning of the German Invest- The respective risks connected with investments ment Tax Act and in addition to the investment in this sub-fund are disclosed in the general limits described in the Articles of Incorporation section of the Sales Prospectus. and this Sales Prospectus (equity fund) at least 51% of the sub-fund´s gross assets (determined Integration of sustainability risks as being the value of the sub-fund´s assets The sub-fund management integrates sustain- without taking into account liabilities) are ability risks into their investment decisions by invested in equities admitted to official trading on means of ESG Integration. Further information on a stock exchange or admitted to, or included in, how sustainability risks are taken into account in another organized market and which are not: the investment decisions can be found in the general section of the Sales Prospectus. –– units of investment funds; –– equities indirectly held via partnerships; Specific risks –– units of corporations, associations of persons The sub-fund’s performance will largely be or estates at least 75% of the gross assets of determined by the following factors, which give which consist of immovable property in rise to both upside and downside potential: accordance with statutory provisions or their investment conditions, if such corporations, –– the performance of international equity associations of persons or estates are subject markets; to corporate income tax of at least 15% and –– company and sector specific developments; are not exempt from it or if their distributions –– exchange-rate movements of non-euro curren- are subject to tax of at least 15% and the cies against the euro. sub-fund is not exempt from said taxation; –– units of corporations which are exempt from The sub-fund may focus its investments on corporate income taxation to the extent they different sub-sectors, countries and market conduct distributions unless such distributions segments for a certain time period on a variable are subject to taxation at a minimum rate of basis. In addition, the sub-fund could use deriva- 15% and the sub-fund is not exempt from said tives. These investments could also lead to taxation; further performance and risks. –– units of corporations the income of which originates, directly or indirectly, to an extent of Risk Management more than 10%, from units of corporations, The relative Value-at-Risk (VaR) approach is used that are (i) real estate companies or (ii) are not to limit market risk in the sub-fund. real estate companies, but (a) are domiciled in member state of the European Union or a In addition to the provisions of the general member state of the European Economic Area section of the Sales Prospectus, the potential and are not subject in said domicile to corpo- market risk of the sub-fund is measured using a rate income tax or are exempt from it or reference portfolio that does not contain deriva- (b) are domiciled in a third country and are not tives (“risk benchmark”). subject in said domicile to corporate income tax of at least 15% or are exempt from it; Leverage is not expected to exceed twice the –– units of corporations which hold, directly or value of the investment sub-fund’s assets. The indirectly, units of corporations, that are (i) real leverage effect is calculated using the sum of estate companies or (ii) are not real estate notional approach (absolute (notional) amount of companies, but (a) are domiciled in a member each derivative position divided by the net pres- state of the European Union or a member ent value of the portfolio). However, the dis- state of the European Economic Area and are closed expected level of leverage is not intended not subject in said domicile to corporate to be an additional exposure limit for the income tax or are exempt from it or (b) are sub-fund.

186 DWS Invest ESG Qi US Equity

Investor profile Growth-oriented Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS International GmbH, Mainzer Landstr. 11–17, 60329 Frankfurt/Main, Germany Performance benchmark MSCI USA TR net, administered by MSCI Limited. Reference portfolio MSCI USA TR net (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg, Frankfurt/Main and Cologne that is also an exchange trading day on New York Stock Exchange Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest ESG weightings take into account a balance between Taking into account the investment limits set out Qi US Equity, the following provisions shall apply opportunity and risk. The sub-fund will acquire only in Article 2 B. (n), the investment policy can also in addition to the terms contained in the general such assets that in combination can be expected be implemented through the use of derivatives, section of the Sales Prospectus. to generate income and/or growth or are expected including, but not limited to, forwards, futures, to improve the risk profile of the overall portfolio. In single-stock futures, options or equity swaps. Investment policy these investments, the sub-fund manager takes Positions may also be established which antici- This sub-fund promotes environmental and social care to ensure a flexible weighting of the invest- pate declines in equities or indices. characteristics and qualifies as product in accor- ment focuses. dance with article 8(1) of Regulation (EU) In accordance with Article 2 F. of the general 2019/2088 on sustainability‐related disclosures in The stock selection is based on a proprietary section of the Sales Prospectus, no short sales the financial services sector. quantitative investment approach managed by of securities will be undertaken. Short positions our Quantitative investments (Qi) group. Invest- are achieved by using securitized and non- The objective of the investment policy of DWS ment decisions are the result of a trade-off securitized derivative instruments. Invest ESG Qi US Equity is to achieve a long- between investment opportunities that are term capital appreciation in excess of its identified by analyzing fundamental and technical The sub-fund will not invest in contingent benchmark. data and risk as well as cost considerations. convertibles.

The sub-fund acquires and sells the assets in Up to 25% of the assets of the sub-fund may be The sub-fund intends to use securities financing accordance with its assessment of economic invested in money market instruments, term transactions under the conditions and to the and capital-market conditions and of future deposits and cash respectively. extent further described in the general part of prospects on the exchanges. the Sales Prospectus. Notwithstanding the investment limit of 10% At least 75% of the sub-fund`s assets are specified in Article 2 B. (i) concerning invest- The sub-fund’s assets are predominantly invested in U.S. equities. ments in shares of other UCITS and/or other invested in securities from issuers that comply UCIs as defined in Article 2 A. (e), an investment with defined minimum standards in respect to Individual stocks are picked primarily according limit of 5% shall apply to this sub-fund. environmental, social and corporate governance to the criteria of fundamental analysis; their characteristics.

187 The sub-fund management seeks to attain a Corporate Governance are subject to taxation at a minimum rate of variety of the environmental, social and corpo- 15% and the sub-fund is not exempt from said rate governance characteristics by assessing –– Corporate Governance Principles by the taxation; potential investments via proprietary ESG invest- International Corporate Governance Network; –– units of corporations the income of which ment methodology. This methodology incorpo- –– Global Compact Anti-Corruption Principles. originates, directly or indirectly, to an extent rates portfolio investment standards according to of more than 10%, from units of corporations, an ESG database, which uses data from multiple At least 90% of the sub-fund`s portfolio holdings that are (i) real estate companies or (ii) are not leading ESG data providers as well as internal will be screened according to non-financial real estate companies, but (a) are domiciled in and public sources to derive proprietary com- criteria available via the ESG database. member state of the European Union or a bined scores for various environmental, social member state of the European Economic Area and corporate governance characteristics. These The reference benchmark of this sub-fund is not and are not subject in said domicile to corpo- encompass assessments for (i) controversial consistent with the environmental and social rate income tax or are exempt from it or sectors (which include coal, tobacco, defence characteristics promoted by this sub-fund. Infor- (b) are domiciled in a third country and are not industry, pornography, gambling and nuclear mation on the reference benchmark can be subject in said domicile to corporate income power), (ii) involvement in controversial weapons found on www.msci.com. tax of at least 15% or are exempt from it; (nuclear weapons, depleted uranium, cluster –– units of corporations which hold, directly or munitions and anti-personnel mines) or (iii) viola- More information about the functioning of the indirectly, units of corporations, that are (i) real tion of internationally accepted norms, but also ESG investment methodology, its integration in estate companies or (ii) are not real estate allow for an active issuer selection based on the investment process, the selection criteria as companies, but (a) are domiciled in a member categories such as climate and transition risk, well as our ESG related policies can be found on state of the European Union or a member norm compliance or best-in-class ESG evalua- our website www.dws.com/solutions/esg. state of the European Economic Area and are tions. The methodology assigns one of six possi- not subject in said domicile to corporate ble proprietary scores to each possible issuer In addition, an engagement activity can be income tax or are exempt from it or (b) are based on a letter scoring from A to F, whereby initiated with the individual issuers regarding domiciled in a third country and are not sub- issuers with A and B scores are considered as matters such as strategy, financial and non-finan- ject in said domicile to corporate income tax leading in their categories and issuers with C cial performance, risk, capital structure, social of at least 15% or are exempt from it if the fair scores are considered as within the upper mid- and environmental impact as well as corporate market value of units of such corporations field of their category. These letter scoring can governance including topics like disclosure, equal more than 10% of the fair market value originate from revenues generated from contro- culture and remuneration. The dialogue can be of those corporations. versial sectors or the degree of involvement in exercised by, for example, proxy voting, company controversial weapons, the degree of severity meetings or engagement letters. For the purpose of this investment policy and that an issuer may be involved in the violation of in accordance with the definition in the German international norms, the assessment on climate In addition, the sub-fund’s assets may be Investment Code (KAGB), an organized market is and transition risk, which is based on for example invested in all other permissible assets specified a market which is recognized, open to the public carbon intensity or the risk of stranded assets, or in Article 2, including the assets mentioned in and which functions correctly, unless expressly from best-in-class ESG evaluations. Article 2 A. (j) of the general section of the Sales specified otherwise. Such organized market also Prospectus. meets the criteria of article 50 of the UCITS The sub-fund manager considers in its asset Directive. allocation the resulting scores from the ESG The sub-fund will not invest in contingent database. The sub-fund’s investment in low convertibles. The respective risks connected with investments scored issuers (scores D and E) is limited or in this sub-fund are disclosed in the general excluded whereas issuers with the lowest For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. scores (e.g. score F) are always excluded from tion within the meaning of the German Invest- the investable universe. ment Tax Act and in addition to the investment Integration of sustainability risks limits described in the Articles of Incorporation The sub-fund management integrates sustain- The ESG performance of an issuer is evaluated and this Sales Prospectus (equity fund) at least ability risks into their investment decisions by independently from financial success based on a 60% of the sub-fund´s gross assets (determined means of ESG Integration. Further information on variety of characteristics. These characteristics as being the value of the sub-fund´s assets how sustainability risks are taken into account in include, for example, the following fields of without taking into account liabilities) are the investment decisions can be found in the interest: invested in equities admitted to official trading on general section of the Sales Prospectus. a stock exchange or admitted to, or included in, Environment another organized market and which are not: Benchmark The sub-fund is actively managed and is man- –– Conservation of flora and fauna; - units of investment funds; aged in reference to one or a combination of –– Protection of natural resources, –– equities indirectly held via partnerships; benchmarks as further detailed in the sub-fund atmosphere and inshore waters; –– units of corporations, associations of persons specific table. All benchmarks respectively their –– Limitation of land degradation and or estates at least 75% of the gross assets of administrators are registered with the ESMA, climate change which consist of immovable property in either in the public register of administrators of –– Avoidance of encroachment on ecosystems accordance with statutory provisions or their benchmark indices or the public register of third and loss of biodiversity. investment conditions, if such corporations, country benchmarks. associations of persons or estates are subject Social to corporate income tax of at least 15% and The majority of the sub-fund’s securities or their are not exempt from it or if their distributions issuers are expected to be components of the –– General human rights; are subject to tax of at least 15% and the benchmark and the portfolio is expected to have –– Prohibition of child labour and forced labour; sub-fund is not exempt from said taxation; a similar weighting to the benchmark. The sub- –– Imperative Non-discrimination; –– units of corporations which are exempt from fund management will use its discretion to invest –– Workplace health and safety; corporate income taxation to the extent they in securities and sectors that are not included in –– Fair workplace and appropriate remuneration. conduct distributions unless such distributions the benchmark in order to take advantage of

188 specific investment opportunities. In regard to its benchmark, the sub-fund positioning can deviate to a limited extent (e.g., by a positioning outside of the benchmark as well as underweighting or overweighting) and the actual degree of freedom is typically relatively low. Despite the fact that the sub-fund aims to outperform the return of the benchmark, the potential outperformance might be limited depending on the prevailing market environment (e.g. less volatile market environment) and actual positioning versus the benchmark.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Leverage is not expected to exceed twice the value of the investment sub-fund’s assets. The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net present value of the portfolio). However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus, the following is applicable to this sub-fund:

189 DWS Invest ESG Real Assets Balanced

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio 60% MSCI World TRN Index + 30% BBG Global Aggregate Bond Index + 10% Gold Bullion Spot Price (Risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest ESG Listed Real Estate does not only refer to REITS The sub-fund may acquire equities, interest- Real Assets Balanced, the following provisions but also all equities that are classified as real bearing securities, convertibles, derivatives, shall apply in addition to the terms contained in estate as per Global Industry Classification investment trusts, warrant-linked bonds whose the general section of the Sales Prospectus. Standard (GICS) or Bloomberg Industry Classifi- underlying warrants are for securities, equity cation System (BICS). warrants and participation certificates, fixed Investment Policy income securities, exchange traded funds and This sub-fund promotes environmental and social An investment trust is a type of fund typically set units of other investment undertakings and characteristics and qualifies as product in accor- up as a closed-ended listed company (Invest- certificates on commodity indices. In addition, dance with article 8(1) of Regulation (EU) ment Trust). As such its shares can’t be the sub-fund’s assets may be invested in index 2019/2088 on sustainability-related disclosures in redeemed and will be traded on a stock certificates on recognized equity indices. the financial services sector. exchange. Investment trusts include but are not limited to equities of real asset companies, real At least 70% of the sub-fund’s assets are The objective of the investment policy of DWS asset investment companies including closed invested in publicly traded real assets. In detail: Invest ESG Real Assets Balanced is to achieve real estate investment trusts (REITs) of any legal sustainable capital growth through investing form. a) Companies which belong to the Real Estate globally in publicly traded real assets. Sector or Asset Management Industry The Global Industry Classification Standard according to a recognized classification The sub-fund is actively managed and is not (GICS) is a hierarchical industry classification system like GICS and BICS managed in reference to a benchmark. system developed by MSCI and Standard & b) Infrastructure companies, which include the Poor’s. GICS consists of 11 sectors, 24 industry utilities, industrials, energy (including renew- The portfolio manager uses a balanced concept groups, 69 industries and 158 sub-industries. ables) and communications sector according for the asset allocation containing equity, fixed Each company is assigned a single GICS classifi- to a recognized classification system like income and commodity instruments. Depending cation at the sub-industry level according to its GICS and BICS on the evaluation of the market situation, the principal business activity. c) Companies which belong to the material portfolio manager will weight such asset classes sector including, metals & mining, agricultural in the portfolio of the sub-fund. The Bloomberg Industry Classification Systems and paper & forest companies or Packaged Real assets are a collective term and include (BICS), an industry classification system devel- Foods & Meats Industry according to a among others listed real estate, investment oped and maintained by Bloomberg independent recognized classification system like GICS trusts, listed infrastructure companies, materials of the index business that classifies securities and BICS companies, convertibles as well as certificates based on business, economic function, and other d) Investment Trusts on commodities and commodities indices. characteristics. The sub-fund may not directly invest in commodities or real estate.

190 e) Exchange traded funds and units of other The sub-fund’s assets are predominantly Social investment undertakings with a focus on: real invested in securities from issuers that comply assets and the topics described in a) to d), with defined minimum standards in respect to –– General human rights; f) Certificates on commodity indices environmental, social and corporate governance –– Prohibition of child labour and forced labour; g) Treasury Inflation-Protected Securities (TIPS), characteristics. –– Imperative Non-discrimination; Floating Rate Notes, convertibles and fixed –– Workplace health and safety; income securities including issuers named in The sub-fund management seeks to attain a –– Fair workplace and appropriate remuneration. a) to c) variety of the environmental, social and corporate governance characteristics by assessing Corporate Governance Up to 30% of the sub-fund’s assets may be potential investments via proprietary ESG invest- invested among others in equities, interest-bear- ment methodology. This methodology incorpo- –– Corporate Governance Principles by the ing securities, warrant-linked bonds, equity rates portfolio investment standards according to International Corporate Governance Network; warrants, exchange traded funds and units of an ESG database, which uses data from multiple –– Global Compact Anti-Corruption Principles. other investment undertakings and cash that do leading ESG data providers as well as internal not satisfy the requirements of a) to g) and public sources to derive proprietary com- At least 90% of the sub-fund`s portfolio holdings bined scores for various environmental, social will be screened according to non-financial Furthermore, the sub-fund also intends from and corporate governance characteristics. These criteria available via the ESG database. This time to time to establish an exposure of up to encompass assessments for (i) controversial excludes cash and alternative asset classes 25% of the sub-fund‘s assets to the international sectors (which include coal, tobacco, defence where DWS cannot perform a comprehensive precious metals and commodity (ex agriculture) industry, pornography, gambling and nuclear ESG assessment. markets. However, this limit can be utilized by power), (ii) involvement in controversial weapons establishing an exposure to one single precious (nuclear weapons, depleted uranium, cluster More information about the functioning of the metal or commodity. For this purpose and within munitions and anti-personnel mines) or (iii) viola- ESG investment methodology, its integration in this 25% limit, the sub-fund may acquire deriva- tion of internationally accepted norms, but also the investment process, the selection criteria as tive financial instruments whose underlying allow for an active issuer selection based on well as our ESG related policies can be found on instruments are precious metals or commodities categories such as climate and transition risk, our website www.dws.com/solutions/esg. indices and sub-indices in accordance with the norm compliance or best-in-class ESG evalua- 2008 Regulation, as well as ETFs and 1:1 certifi- tions. The methodology assigns one of six possi- In addition, an engagement activity can be cates (including Exchange Traded Commodities ble proprietary scores to each possible issuer initiated with the individual issuers regarding (ETCs)) the underlying of which are single pre- based on a letter scoring from A to F, whereby matters such as strategy, financial and non-finan- cious metals or commodities and that meet the issuers with A and B scores are considered as cial performance, risk, capital structure, social requirements of transferable securities as deter- leading in their categories and issuers with and environmental impact as well as corporate mined in Article 2 A. (j) of the general section of C scores are considered as within the upper governance including topics like disclosure, the Sales Prospectus. midfield of their category. These letter scoring culture and remuneration. The dialogue can be can originate from revenues generated from exercised by, for example, proxy voting, company The sub-fund does not invest into futures on soft controversial sectors or the degree of involve- meetings or engagement letters. commodities, e.g. cotton, sugar, rice and wheat ment in controversial weapons, the degree of as well as all manner of livestock. severity that an issuer may be involved in the The sub-fund will not invest in contingent violation of international norms, the assessment convertibles. In compliance with the investment limits speci- on climate and transition risk, which is based on fied in Article 2 B. of the general section of the for example carbon intensity or the risk of The sub-fund intends to use securities financing Sales Prospectus, the investment policy may be stranded assets, or from best-in-class ESG transactions under the conditions and to the implemented partially through the use of suitable evaluations. extent further described in the general part of derivative financial instruments. These derivative the Sales Prospectus. financial instruments may be acquired for hedg- The sub-fund manager considers in its asset ing and investment purposes and may include, allocation the resulting scores from the ESG The sub-fund will not engage in short selling of among others, futures, options, forwards, and database. The sub-fund’s investment in low any transferrable securities. privately negotiated swap contracts on any type scored issuers (scores D and E) is limited or of financial instrument whose underlyings con- excluded whereas issuers with the lowest The sub-fund may not enter into any obligations sist of securities covered by Article 41(1) of the scores (e.g. score F) are always excluded from regarding the transfer of physical commodities. Law of 2010, financial indices, interest rates, the investable universe. foreign exchange rates or currencies. The sub- For the purpose of inducing a partial tax exemp- fund’s assets may also be invested in certificates The ESG performance of an issuer is evaluated tion within the meaning of the German Invest- on commodities and commodities indices. independently from financial success based on a ment Tax Act and in addition to the investment According to Article 2 A. (j), investment in the variety of characteristics. These characteristics limits described in the Articles of Incorporation certificates listed here is only permitted if they include, for example, the following fields of and this Sales Prospectus (mixed fund) at least are 1:1 certificates qualifying as transferable interest: 25% of the sub-fund´s gross assets (determined securities. as being the value of the sub-fund´s assets Environment without taking into account liabilities) are When using financial indices, legal provisions invested in equities admitted to official trading on apply as set out in Article 44 (1) of the Law of –– Conservation of flora and fauna; a stock exchange or admitted to, or included in, 2010, and Article 9 of the Grand-Ducal Regulation –– Protection of natural resources, another organized market and which are not: of February 8, 2008. atmosphere and inshore waters; –– Limitation of land degradation and –– units of investment funds; In addition, the sub-fund may invest in all other climate change –– equities indirectly held via partnerships; permissible assets specified in Article 2 of the –– Avoidance of encroachment on ecosystems general section of the Sales Prospectus. and loss of biodiversity.

191 –– units of corporations, associations of persons Risk Management or estates at least 75% of the gross assets of The relative Value-at-Risk (VaR) approach is used which consist of immovable property in to limit market risk in the sub-fund. accordance with statutory provisions or their investment conditions, if such corporations, In addition to the provisions of the general associations of persons or estates are subject section of the Sales Prospectus, the potential to corporate income tax of at least 15% and market risk of the sub-fund is measured using a are not exempt from it or if their distributions reference portfolio that does not contain deriva- are subject to tax of at least 15% and the tives („risk benchmark“). sub-fund is not exempt from said taxation; –– units of corporations which are exempt from Leverage is not expected to exceed twice the corporate income taxation to the extent they value of the investment sub-fund’s assets. The conduct distributions unless such distributions leverage effect is calculated using the sum of are subject to taxation at a minimum rate of notional approach (absolute (notional) amount 15% and the sub-fund is not exempt from said of each derivative position divided by the net taxation; present value of the portfolio). However, the –– units of corporations the income of which disclosed expected level of leverage is not originates, directly or indirectly, to an extent of intended to be an additional exposure limit for more than 10%, from units of corporations, the sub-fund. that are (i) real estate companies or (ii) are not real estate companies, but (a) are domiciled in Investment in shares of target funds member state of the European Union or a In addition to the information in the general member state of the European Economic Area section of the Sales Prospectus the following is and are not subject in said domicile to corpo- applicable to this sub-fund: rate income tax or are exempt from it or (b) are domiciled in a third country and are not When investing in target funds associated to subject in said domicile to corporate income the sub-fund, the part of the management fee tax of at least 15% or are exempt from it; attributable to shares of these target funds is –– units of corporations which hold, directly or reduced by the management fee/all-in fee of the indirectly, units of corporations, that are (i) real acquired target funds, and as the case may be, estate companies or (ii) are not real estate up to the full amount (difference method). companies, but (a) are domiciled in a member state of the European Union or a member state of the European Economic Area and are not subject in said domicile to corporate income tax or are exempt from it or (b) are domiciled in a third country and are not subject in said domicile to corporate income tax of at least 15% or are exempt from it if the fair market value of units of such corporations equal more than 10% of the fair market value of those corporations.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

Integration of sustainability risks The sub-fund management integrates sustainability risks into their investment decisions by means of ESG Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

192 DWS Invest ESG USD Corporate Bonds

Investor profile Growth-oriented Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investment Management Americas Inc., 345 Park Avenue, New York, NY 10154, United States of America. Performance benchmark Barclays Capital U.S. Credit Index, administered by Barclays Bank Plc. Reference portfolio Barclays Capital U.S. Credit Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg, which is also an exchange trading day at the New York Stock Exchange Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* LCH EUR up to 3% up to 1.1% 0% 0.05% January 15, 2016 FCH EUR 0% up to 0.6% 0% 0.05% January 15, 2016 XCH EUR 0% up to 0.2% 0% 0.05% January 15, 2016 USD LD USD up to 3% up to 1.1% 0% 0.05% January 15, 2016 USD FC USD 0% up to 0.6% 0% 0.05% January 15, 2016 USD XC USD 0% up to 0.2% 0% 0.05% January 15, 2016 TFCH EUR 0% up to 0.6% 0% 0.05% December 5, 2017 USD TFC USD 0% up to 0.6% 0% 0.05% December 5, 2017 USD TFD USD 0% up to 0.6% 0% 0.05% December 5, 2017

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest ESG At least 80% of the sub-fund’s assets shall be The sub-fund assets are either denominated in USD Corporate Bonds, the following provisions invested globally in credit bonds. Credit bonds USD or hedged against the USD. shall apply in addition to the terms contained in refer to government related bonds (Agency, Local the general section of the Sales Prospectus. Authority, Supranationals and Sovereign) and A maximum of 20% of the sub-fund’s assets corporate bonds (Industrial, Utility, Financial may be invested into interest-bearing debt Investment Policy Institutions). securities with a non-investment grade status This sub-fund promotes environmental and social with a minimum credit rating of B3 (rated by characteristics and qualifies as product in accord Up to 20% of the sub-fund’s assets may be Moody’s) or B- (rated by S&P and Fitch) at time ance with article 8(1) of Regulation (EU) 2019/2088 invested in interest-bearing debt securities of acquisition. In case of split rating between on sustainability related disclosures in the financial that do not meet the above mentioned criteria, three agencies, the lower rating of the two best services sector. including but not limited to a max of 20% ratings should be applicable. In case of split investment in US Treasuries, ABS/MBS and rating between two agencies, the lower rating The objective of the investment policy of DWS Covered Bonds. Investments in ABS need to should be applicable. In the case of no rating, an Invest ESG USD Corporate Bonds is to generate have an investment-grade rating. When a hold- internal rating may be applied. When a holding an above average return for the sub-fund. ing ABS asset is downgraded to lower than asset is downgraded to lower than B3/B-, such BBB3/BBB-, such asset will be sold within asset will be sold within 6 months. 6 months.

193 The sub-fund’s investments in contingent con- Environment Integration of sustainability risks vertibles shall be limited to 10% of the sub- The sub-fund management integrates sustain- fund’s net asset value. –– Conservation of flora and fauna ability risks into their investment decisions by –– Protection of natural resources, atmosphere means of ESG Integration. Further information on The sub-fund intends to use securities financing and inshore waters how sustainability risks are taken into account in transactions under the conditions and to the –– Limitation of land degradation and the investment decisions can be found in the extent further described in the general part of climate change general section of the Sales Prospectus. the Sales Prospectus. –– Avoidance of encroachment on ecosystems and loss of biodiversity Benchmark The sub-fund’s assets are predominantly The sub-fund is actively managed and is man- invested in securities from issuers that comply Social aged in reference to one or a combination of with defined minimum standards in respect to benchmarks as further detailed in the sub-fund environmental, social and corporate governance –– General human rights specific table. All benchmarks respectively their characteristics. –– Prohibition of child labor and forced labor administrators are registered with the ESMA, –– Imperative Non-discrimination either in the public register of administrators of The sub-fund management seeks to attain a –– Workplace health and safety benchmark indices or the public register of third variety of the environmental, social and corporate –– Fair workplace and appropriate remuneration country benchmarks. governance characteristics by assessing potential investments via proprietary ESG investment Corporate Governance The majority of the sub-fund’s securities or their methodology. This methodology incorporates issuers are expected to be components of the portfolio investment standards according to an –– Corporate Governance Principles by the benchmark and the portfolio is expected to have ESG database, which uses data from multiple International Corporate Governance Network; a similar weighting to the benchmark. The sub- leading ESG data providers as well as internal and –– Global Compact Anti-Corruption Principles fund management will use its discretion to invest public sources to derive proprietary combined in securities and sectors that are not included in scores for various environmental, social and At least 90% of the sub-fund`s portfolio holdings the benchmark in order to take advantage of corporate governance characteristics. These will be screened according to non-financial specific investment opportunities. In regard to its encompass assessments for (i) controversial criteria available via the ESG database. benchmark, the sub-fund positioning can deviate sectors (which include coal, tobacco, defence to a limited extent (e.g., by a positioning outside industry, pornography, gambling and nuclear The reference benchmark of this sub-fund is not of the benchmark as well as underweighting or power), (ii) involvement in controversial weapons consistent with the environmental and social overweighting) and the actual degree of freedom (nuclear weapons, depleted uranium, cluster characteristics promoted by this sub-fund. Infor- is typically relatively low. Despite the fact that munitions and anti-personnel mines) or (iii) viola- mation on the reference benchmark can be the sub-fund aims to outperform the return of tion of internationally accepted norms, but also found on www.bloomberg.com. the benchmark, the potential outperformance allow for an active issuer selection based on might be limited depending on the prevailing categories such as climate and transition risk, More information about the functioning of the market environment (e.g. less volatile market norm compliance or best-in-class ESG evaluations. ESG investment methodology, its integration in environment) and actual positioning versus the The methodology assigns one of six possible the investment process, the selection criteria as benchmark. proprietary scores to each possible issuer based well as our ESG related policies can be found on on a letter scoring from A to F, whereby issuers our website www.dws.com/solutions/esg. Risk Management with A and B scores are considered as leading in The relative Value-at-Risk (VaR) approach is used their categories and issuers with C scores are In addition, an engagement activity can be to limit market risk in the sub-fund. considered as within the upper midfield of their initiated with the individual issuers regarding category. These letter scoring can originate from matters such as strategy, financial and non-finan- In addition to the provisions of the general revenues generated from controversial sectors or cial performance, risk, capital structure, social section of the Sales Prospectus, the potential the degree of involvement in controversial weap- and environmental impact as well as corporate market risk of the sub-fund is measured using a ons, the degree of severity that an issuer may be governance including topics like disclosure, reference portfolio that does not contain involved in the violation of international norms, the culture and remuneration. The dialogue can be derivatives. assessment on climate and transition risk, which exercised by, for example, proxy voting, company is based on for example carbon intensity or the meetings or engagement letters. Leverage is not expected to exceed twice the risk of stranded assets, or from best-in-class ESG value of the investment sub-fund’s assets. The evaluations. In compliance with the investment limits specified leverage effect is calculated using the sum of in Article 2 B. of general section of the Sales notional approach (absolute (notional) amount of The sub-fund manager considers in its asset Prospectus, the investment policy may, amongst each derivative position divided by the net present allocation the resulting scores from the ESG others, also be implemented through the use of value of the portfolio). However, the disclosed database. The sub-fund’s investment in low the following derivative financial instruments: Bond expected level of leverage is not intended to be an scored issuers (scores D and E) is limited or index future contracts, FX-forwards, currency additional exposure limit for the sub-fund. excluded whereas issuers with the lowest option futures, interest rate swaps, forward start- scores (e.g. score F) are always excluded from ing interest rate swaps, interest rate options, Investment in shares of target funds the investable universe. single name and index credit default swaps. In addition to the information in the general section of the Sales Prospectus the following The ESG performance of an issuer is evaluated In addition the sub-fund may invest in all other is applicable to this sub-fund: independently from financial success based on a permissible assets as specified in Article 2 of the variety of characteristics. These characteristics general section of the Sales Prospectus, includ- When investing in target funds associated to the include, for example, the following fields of ing the assets mentioned in Article 2 A. (j). sub-fund, the part of the management fee interest: attributable to shares of these target funds is The respective risks connected with investments reduced by the management fee/all-in fee of the in this sub-fund are disclosed in the general acquired target funds, and as the case may be, section of the Sales Prospectus. up to the full amount (difference method).

194 DWS Invest Euro Corporate Bonds

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark iBoxx EUR Corporates, administered by IHS Markit Benchmark Administration Limited. Reference portfolio iBoxx EUR Corporates (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

195 For the sub-fund with the name DWS Invest The sub-fund’s investments in asset backed Furthermore, the sub-fund may invest in all other Euro Corporate Bonds, the following provisions securities and mortgage backed securities shall permissible assets as specified in Article 2 of the shall apply in addition to the terms contained in be limited to 20% of the sub-fund’s net asset general section of the Sales Prospectus, includ- the general section of the Sales Prospectus. value. ing the assets mentioned in Article 2 A. (j).

Investment policy In compliance with the investment limits specified The respective risks connected with investments The objective of the investment policy of DWS in Article 2 B. of the general section of the Sales in this sub-fund are disclosed in the general Invest Euro Corporate Bonds is to generate an Prospectus, the investment policy may also be section of the Sales Prospectus. above-average return for the sub-fund. implemented through the use of suitable derivative financial instruments. These derivative finan- Integration of sustainability risks The majority of the sub-fund’s securities or their cial instruments may include, among others, The sub-fund management integrates sustain- issuers are expected to be components of the options, forwards, futures, futures contracts on ability risks into their investment decisions by benchmark. The sub-fund management will use its financial instruments and options on such con- means of Smart Integration. Further information discretion to invest in e.g. securities, sectors, tracts, as well as privately negotiated OTC con- on how sustainability risks are taken into account ratings that are not included in the benchmark in tracts on any type of financial instrument, includ- in the investment decisions can be found in the order to take advantage of specific investment ing swaps, forward-starting swaps, inflation general section of the Sales Prospectus. opportunities. The strategy offers investors access swaps, total return swaps, excess return swaps, to the EUR Corporate Bond market. In regard to swaptions, constant maturity swaps and credit Benchmark the benchmark the sub-fund positioning can default swaps. The sub-fund is actively managed and is man- deviate substantially (e.g. by off-benchmark aged in reference to one or a combination of positioning or significant under- and overweights). The sub-fund may use, particularly in accordance benchmarks as further detailed in the sub-fund Due to the before mentioned characteristic of the with the investment limits stated in Article 2 B. specific table. All benchmarks respectively their sub-fund strategy the deviation of the portfolio of the Sales Prospectus – general section, deriva- administrators are registered with the ESMA, from the benchmark is typically relatively high. tives to optimize the investment objective. either in the public register of administrators of Despite the fact that the sub-fund aims to outper- benchmark indices or the public register of third form the benchmark, the potential outperform The derivatives may only be used in compliance country benchmarks. ance might be limited depending on the prevailing with the investment policy and the investment market environment (e.g. less volatile market objective of DWS Invest Euro Corporate Bonds. The majority of the sub-fund’s securities or environment) and actual positioning versus the The performance of the sub-fund is therefore their issuers are not necessarily expected to be benchmark. besides other factors depending on the respec- components of the benchmark and the portfolio tive proportion of derivatives, e.g. swaps in the is not necessarily expected to have a similar The sub-fund may acquire euro-denominated fixed sub-fund’s total assets. weighting to the benchmark. The sub-fund and/or variable interest-bearing securities, convert- management will use its discretion to invest in ible bonds and warrant-linked bonds, participation To implement the investment policy and achieve securities and sectors that are not included in and dividend-right certificates, equities and equity the investment objective it is anticipated that the the benchmark in order to take advantage of warrants. At least 70% of the sub-fund’s assets derivatives, such as swaps, will be entered with specific investment opportunities. In regard to its are invested in corporate bonds denominated in at least BBB3 (Moody’s) /BBB- (S&P, Fitch) rated benchmark, the sub-fund positioning can deviate Euros that offer returns higher than those of financial institutions specializing in such trans significantly (e.g., by a positioning outside of the comparable government bonds; investments are actions. Such OTC-agreements are standardized benchmark as well as a significant underweight- deliberately focused almost exclusively on issuers agreements. ing or overweighting) and the actual degree of whose credit standing is considered by the market freedom is typically relatively high. A deviation to be relatively good but not first-rate (investment- In conjunction with the OTC transactions, it is generally reflects the sub-fund manager’s evalua- grade bonds). The Investment Company will only important to note the associated counterparty tion of the specific market situation, which may purchase those securities for the sub-fund for risk. The sub-fund’s counterparty risk resulting lead to a defensive and closer or a more active which, after appropriate analysis, it can assume from the use of portfolio total return swaps will and wider positioning compared to the bench- that the interest and repayment obligations will be be fully collateralized. The use of swaps may mark. Despite the fact that the sub-fund aims to fulfilled. Nevertheless, the risk of a total loss of furthermore entail specific risks that are outperform the return of the benchmark, the the value of individual securities purchased for the explained in the general risk warnings. potential outperformance might be limited sub-fund cannot be ruled out completely. In order depending on the prevailing market environment to take account of the remaining risks, care shall The sub-fund can be invested in total or in parts (e.g. less volatile market environment) and actual be taken to spread investments among issuers. in one or several OTC-transactions negotiated positioning versus the benchmark. with a counterparty under customary market If a potential increase in value is expected on the conditions. Therefore, the sub-fund can be Specific risks basis of rating changes, the fund’s assets may invested in total or in parts in one or several The sub-fund deliberately purchases the securi- also include high-yield bonds, but only to a very transactions. ties of issuers whose credit standing is consid- limited extent. ered by the market to be relatively good but not The sub-fund’s investments in contingent first rate (investment grade bonds). The opportu- The sub-fund may also conclude credit default convertibles shall be limited to 10% of the nities resulting from the higher rates of interest swaps. Their use need not be limited to hedging sub-fund’s net asset value. in comparison to government bonds are thus the fund’s assets; they may also be part of the countered by corresponding risks. Despite investment strategy. The sub-fund intends to use securities financing careful examination of the economic conditions transactions under the conditions and to the and the financial condition and earnings capacity No more than 25% of the sub-fund’s assets extent further described in the general part of of issuers, the risk of a total loss of the value of may be invested in convertible bonds and the Sales Prospectus. individual securities purchased for the sub-fund warrant-linked bonds; no more than 10% may cannot be ruled out completely. be invested in participation and dividend-right certificates, equities and equity warrants.

196 The opportunities afforded by an investment of When investing in target funds associated to the this type are therefore countered by significant sub-fund, the part of the management fee risks. attributable to shares of these target funds is reduced by the management fee/all-in fee of the Additional information acquired target funds, and as the case may be, When using total return swaps to implement the up to the full amount (difference method). investment strategy as described above, the following shall be noted:

The proportion of the sub-fund’s net assets subject to total return swaps, expressed as the sum of notionals of the total return swaps divided by the sub-fund’s net asset value, is expected to reach up to 50%, but depending on the respective market conditions, with the objective of efficient portfolio management and in the interest of the investors, it may reach up to 100%. The calculation is performed in line with the guidelines CESR/10-788. However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

Additional information on total return swaps may be found in the general section of the Sales Prospectus, amongst others, in the section “Efficient portfolio management techniques”. The selection of counterparties to any total return swap is subject to the principles as described in the section “Choice of counterparty” of the Sales Prospectus. Further information on the counterparties is disclosed in the annual report. For special risk considerations linked to total return swaps, investors should refer to the section “General Risk Warnings”, and in particular the section “Risks connected to derivative transactions” of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

197 DWS Invest Euro High Yield Corporates

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark Bank of America Merrill Lynch Euro BB-B Non-Financial Fixed & FRN HY Constrained, administered by Merrill Lynch International. Reference portfolio Bank of America Merrill Lynch Euro BB-B Non-Financial Fixed & FRN HY Constrained (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* FC EUR 0% up to 0.65% 0% 0.05% July 30, 2012 LC EUR up to 3% up to 1.1% 0% 0.05% July 30, 2012 LD EUR up to 3% up to 1.1% 0% 0.05% July 30, 2012 NC EUR up to 1.5% up to 1.4% 0.1% 0.05% December 3, 2012 FD EUR 0% up to 0.65% 0% 0.05% April 8, 2013 ND EUR up to 1.5% up to 1.4% 0.1% 0.05% January 31, 2014 PFC EUR 0% up to 0.8% 0% 0.05% May 26, 2014 PFDQ EUR 0% up to 0.8% 0% 0.05% May 26, 2014 USD LCH USD up to 3% up to 1.1% 0% 0.05% July 21, 2014 USD FCH USD 0% up to 0.65% 0% 0.05% July 21, 2014 SEK LCH SEK up to 3% up to 1.1% 0% 0.05% December 1, 2015 USD LDMH USD up to 3% up to 1.1% 0% 0.05% February 16, 2015 CHF FCH CHF 0% up to 0.65% 0% 0.05% June 15, 2016 ID50 EUR 0% up to 0.35% 0% 0.01% July 15, 2016 IC50 EUR 0% up to 0.35% 0% 0.01% October 31, 2016 NDQ EUR up to 1.5% up to 1.4% 0.1% 0.05% April 28, 2017 IC EUR 0% up to 0.45% 0% 0.01% April 28, 2017 TFC EUR 0% up to 0.65% 0% 0.05% December 5, 2017 TFD EUR 0% up to 0.65% 0% 0.05% December 5, 2017 USD TFCH USD 0% up to 0.65% 0% 0.05% December 5, 2017 RDQ EUR 0% up to 0.2% 0% 0.01% April 30, 2018 ID EUR 0% up to 0.45% 0% 0.01% October 15, 2019 CHF ICH50 CHF 0% up to 0.35% 0% 0.01% July 31, 2020 PFD EUR 0% up to 0.8% 0% 0.05% February 15, 2021

198 Dilution adjustment PFC and PFDQ: (payable by the shareholder)** A dilution adjustment of up to 3% based on the gross redemption amount may be charged. Please see the general section for further explanation. Placement fee PFC and PFDQ: (payable from the sub-fund’s assets) Up to 3% for the benefit of the distributor. Please see the general section for further explanation.

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

For the sub-fund with the name DWS Invest Euro contracts on any type of financial instrument, the guidelines CESR/10-788. However, the High Yield Corporates, the following provisions including swaps, forward-starting swaps, infla- disclosed expected level of leverage is not shall apply in addition to the terms contained in tion swaps, total return swaps, excess return intended to be an additional exposure limit for the general section of the Sales Prospectus. swaps, swaptions, constant maturity swaps and the sub-fund. credit default swaps. Investment policy Additional information on total return swaps may The objective of the investment policy of A maximum of 20% of the sub-fund´s assets be found in the general section of the Sales DWS Invest Euro High Yield Corporates is to may be invested in securities such as A-Shares, Prospectus, amongst others, in the section generate an above-average return for the B-Shares, bonds and other securities listed and “Efficient portfolio management techniques”. sub-fund. traded in Mainland China. The selection of counterparties to any total return swap is subject to the principles as At least 70% of the sub-fund’s assets are The sub-fund will not invest in contingent described in the section “Choice of counter- invested globally in corporate bonds that offer a convertibles. party” of the Sales Prospectus. Further infor non-investment grade status at the time of mation on the counterparties is disclosed in the acquisition. Non-investment grade encompasses The sub-fund intends to use securities financing annual report. For special risk considerations BB+ and below rated bonds, including bonds transactions under the conditions and to the linked to total return swaps, investors should with D rating and non-rated bonds. In case of a extent further described in the general part of refer to the section “General Risk Warnings”, and split rating involving three rating agencies, the the Sales Prospectus. in particular the section “Risks connected to second best will prevail. If a security is rated by derivative transactions” of the Sales Prospectus. only two agencies, the lower of the two ratings In addition, the sub-fund’s assets may be will be used for the rating classification. If a invested in all other permissible assets. Integration of sustainability risks security only has one rating, the single rating will The sub-fund management integrates sustain- be used. If there is no official rating, an internal In extreme market situations, the Portfolio ability risks into their investment decisions by rating will be applied in accordance with DWS Manager may diverge from the above investment means of Smart Integration. Further information internal guidelines. strategy to avoid a liquidity squeeze. Up to 100% on how sustainability risks are taken into account of the sub-fund’s assets may temporarily be in the investment decisions can be found in the Up to 30% of the sub-fund’s assets may be invested in interest-bearing debt securities and general section of the Sales Prospectus. invested in corporate bonds that do not meet money market instruments permissible under the above mentioned criteria. Directive 2009/65/EC of the European Parliament Benchmark and of the Council of July 13, 2009, on the The sub-fund is actively managed and is man- The sub-fund manager aims to hedge any coordination of laws, regulations and administra- aged in reference to one or a combination of currency risk versus the euro in the portfolio. tive provisions relating to undertakings for collec- benchmarks as further detailed in the sub-fund tive investment in transferable securities (UCITS). specific table. All benchmarks respectively their In the due course of a re-structuring of fixed administrators are registered with the ESMA, income instruments held by the sub-fund, the The respective risks connected with investments either in the public register of administrators of sub-fund manager may also invest up to a maxi- in this sub-fund are disclosed in the general benchmark indices or the public register of third mum of 10% of the sub-fund’s assets into listed section of the Sales Prospectus. country benchmarks. or non-listed equities. Furthermore, the sub-fund manager may also participate in capital increases Additional information The majority of the sub-fund’s securities or or other corporate actions (e.g. for convertible When using total return swaps to implement the their issuers are not necessarily expected to be bonds or warrant linked bonds) that are part of a investment strategy as described above, the components of the benchmark and the portfolio re-structuring or take place after a re-structuring. following shall be noted: is not necessarily expected to have a similar weighting to the benchmark. The sub-fund In compliance with the investment limits The proportion of the sub-fund’s net assets management will use its discretion to invest in specified in Article 2 B. of the general section of subject to total return swaps, expressed as the securities and sectors that are not included in the Sales Prospectus, the investment policy may sum of notionals of the total return swaps the benchmark in order to take advantage of also be implemented through the use of suitable divided by the sub-fund’s net asset value, is specific investment opportunities. In regard to its derivative financial instruments. These derivative expected to reach up to 50%, but depending on benchmark, the sub-fund positioning can deviate financial instruments may include, among others, the respective market conditions, with the significantly (e.g., by a positioning outside of the options, forwards, futures, futures contracts on objective of efficient portfolio management and benchmark as well as a significant underweight- financial instruments and options on such in the interest of the investors, it may reach up to ing or overweighting) and the actual degree of contracts, as well as privately negotiated OTC 100%. The calculation is performed in line with freedom is typically relatively high. A deviation

199 generally reflects the sub-fund manager’s evaluation of the specific market situation, which may lead to a defensive and closer or a more active and wider positioning compared to the benchmark. Despite the fact that the sub-fund aims to outperform the return of the benchmark, the potential outperformance might be limited depending on the prevailing market environment (e.g. less volatile market environment) and actual positioning versus the benchmark.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

200 DWS Invest Euro-Gov Bonds

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark iBoxx Sovereign Eurozone Overall, administered by IHS Markit Benchmark Administration Limited. Reference portfolio iboxx Sovereign Eurozone (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest issued by other states, government institutions In conjunction with the OTC transactions, it is Euro-Gov Bonds, the following provisions shall and supra-national public international bodies important to note the associated counterparty apply in addition to the terms contained in the that do not meet the above criteria. risk. The sub-fund’s counterparty risk resulting general section of the Sales Prospectus. from the use of portfolio total return swaps will The sub-fund may use, particularly in accordance be fully collateralized. The use of swaps may Investment policy with the investment limits stated in Article 2 B. furthermore entail specific risks that are The objective of the investment policy of of the Sales Prospectus – general section, deriva- explained in the general risk warnings. DWS Invest Euro-Gov Bonds is to generate an tives to optimize the investment objective. above-average return in Euros. The sub-fund can be invested in total or in parts The derivatives may only be used in compliance in one or several OTC-transactions negotiated At least 70% of the sub-fund’s assets (after with the investment policy and the investment with a counterparty under customary market deduction of liquid assets) are invested in objective of DWS Invest Euro-Gov Bonds. The conditions. Therefore, the sub-fund can be euro-denominated interest-bearing debt securi- performance of the sub-fund is therefore besides invested in total or in parts in one or several ties issued by states of the European Economic other factors depending on the respective propor- transactions. Area or the United Kingdom, government institution of derivatives, e.g. swaps in the sub-fund’s tions within these states and supra-national total assets. The sub-fund will not invest in contingent public international bodies of which one or more convertibles. of the states of the European Economic Area or To implement the investment policy and achieve the United Kingdom are members. the investment objective it is anticipated that the The sub-fund intends to use securities financing derivatives, such as swaps will be entered with at transactions under the conditions and to the A maximum of 30% of the sub-fund’s total least BBB3 (Moody’s) /BBB- (S&P, Fitch) rated extent further described in the general part of assets (after deduction of liquid assets) may be financial institutions specializing in such trans the Sales Prospectus. invested in other interest bearing debt securities actions. Such OTC-agreements are standardized agreements.

201 In addition, the sub-fund’s assets may be value of the portfolio). However, the disclosed invested in all other permissible assets, specified expected level of leverage is not intended to be an in Article 2 of the general section of the Sales additional exposure limit for the sub-fund. Prospectus. Investment in shares of target funds The respective risks connected with investments In addition to the information in the general in this sub-fund are disclosed in the general section of the Sales Prospectus the following is section of the Sales Prospectus. applicable to this sub-fund:

Integration of sustainability risks When investing in target funds associated to the The sub-fund management integrates sustain- sub-fund, the part of the management fee ability risks into their investment decisions by attributable to shares of these target funds means of Smart Integration. Further information is reduced by the management fee/all-in fee of on how sustainability risks are taken into account the acquired target funds, and as the case may in the investment decisions can be found in the be, up to the full amount (difference method). general section of the Sales Prospectus.

The majority of the sub-fund’s securities or their issuers are not necessarily expected to be components of the benchmark and the portfolio is not necessarily expected to have a similar weighting to the benchmark. The sub-fund management will use its discretion to invest in securities and sectors that are not included in the benchmark in order to take advantage of specific investment opportunities. In regard to its benchmark, the sub-fund positioning can deviate significantly (e.g., by a positioning outside of the benchmark as well as a significant underweighting or overweighting) and the actual degree of freedom is typically relatively high. A deviation generally reflects the sub-fund manager’s evaluation of the specific market situation, which may lead to a defensive and closer or a more active and wider positioning compared to the benchmark. Despite the fact that the sub-fund aims to outperform the return of the benchmark, the potential outperformance might be limited depending on the prevailing market environment (e.g. less volatile market environment) and actual positioning versus the benchmark.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

202 DWS Invest European Equity High Conviction

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark MSCI EUROPE in EUR, administered by MSCI Limited. Reference portfolio MSCI EUROPE in EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest The term „High Conviction” refers to the sub- Company-specific characteristics are emphasized European Equity High Conviction, the following fund concept. High Conviction implies that – in the selection of stocks (bottom-up approach). provisions shall apply in addition to the terms based on the investment decision of the portfolio The focus is on companies that have a good contained in the general section of the Sales management – single stocks are implemented market position, future-oriented products and Prospectus. with greater weightings and less diversification competent management. Furthermore, the com- than a benchmark oriented product. “Conviction” panies should concentrate on their strengths, aim Investment policy means that single equity positions might have for a yield-oriented use of resources and sustain- The objective of the investment policy of DWS significant weightings, exceeding 5%. The able, above-average profit growth. In addition to Invest European Equity High Conviction is to conviction should be expressed by clearly these criteria, the companies should have share- achieve an appreciation as high as possible of deviating from the benchmark with single stock holder-centered information policies, including capital invested in Euros. The sub-fund may weightings, if a stock is regarded as attractive. detailed accounting and regular communication acquire equities, interest-bearing securities, As a consequence, the portfolio will have less with investors. Accordingly, equities of companies convertible bonds and warrant-linked bonds, positions and diversification. Although there are shall be acquired that are expected to achieve participation and dividend-right certificates, no limitations regarding country or sector weight- results and/or share prices that are above average equity warrants and index certificates. At least ings, it can be expected that due to the convic- compared to the broad market. 75% of the sub-fund’s assets are invested in tion approach certain sectors or regions might equities of issuers having their headquarters in a have no or low weightings, if more attractive Up to 25% of the sub fund’s assets may be member state of the EU, the United Kingdom, in stocks from other sectors/regions have been invested in interest-bearing securities. Convert- Norway and/or in Iceland. identified. ible bonds and warrant-linked bonds do not constitute interest-bearing securities for the purposes of this sub-fund’s investment policy.

203 Up to 25% of the sub fund’s assets may be –– units of corporations which hold, directly or outperform the return of the benchmark, the invested in money market instruments and bank indirectly, units of corporations, that are (i) real potential outperformance might be limited balances. estate companies or (ii) are not real estate depending on the prevailing market environment companies, but (a) are domiciled in a member (e.g. less volatile market environment) and actual Up to 10% of the sub fund’s assets may be state of the European Union or a member positioning versus the benchmark. invested in units of other funds (investment fund state of the European Economic Area and are units). The proportion of fund units exceeding 5% not subject in said domicile to corporate Risk Management of the sub fund’s assets may consist only of income tax or are exempt from it or (b) are The relative Value-at-Risk (VaR) approach is used money market fund units. domiciled in a third country and are not sub- to limit market risk in the sub-fund. ject in said domicile to corporate income tax A maximum of 20% of the sub-fund´s assets of at least 15% or are exempt from it if the fair In addition to the provisions of the general may be invested in securities such as A-Shares, market value of units of such corporations section of the Sales Prospectus, the potential B-Shares, bonds and other securities listed and equal more than 10% of the fair market value market risk of the sub-fund is measured using a traded in Mainland China. of those corporations. reference portfolio that does not contain derivatives (“risk benchmark”). The sub-fund will not invest in contingent For the purpose of this investment policy and in convertibles. accordance with the definition in the German Leverage is not expected to exceed twice the Investment Code (KAGB), an organized market is value of the investment sub-fund’s assets. The The sub-fund intends to use securities financing a market which is recognized, open to the public leverage effect is calculated using the sum of transactions under the conditions and to the and which functions correctly, unless expressly notional approach (absolute (notional) amount of extent further described in the general part of specified otherwise. Such organized market also each derivative position divided by the net pres- the Sales Prospectus. meets the criteria of article 50 of the UCITS ent value of the portfolio). However, the dis- Directive. closed expected level of leverage is not intended For the purpose of inducing a partial tax exemp- to be an additional exposure limit for the tion within the meaning of the German Invest- The respective risks connected with investments sub-fund. ment Tax Act and in addition to the investment in this sub-fund are disclosed in the general limits described in the Articles of Incorporation section of the Sales Prospectus. Investment in shares of target funds and this Sales Prospectus (equity fund) at least In addition to the information in the general 51% of the sub-fund´s gross assets (determined Integration of sustainability risks section of the Sales Prospectus the following is as being the value of the sub-fund´s assets The sub-fund management integrates sustain- applicable to this sub-fund: without taking into account liabilities) are ability risks into their investment decisions by invested in equities admitted to official trading on means of Smart Integration. Further information When investing in target funds associated to a stock exchange or admitted to, or included in, on how sustainability risks are taken into account the sub-fund, the part of the management fee another organized market and which are not: in the investment decisions can be found in the attributable to shares of these target funds is general section of the Sales Prospectus. reduced by the management fee/all-in fee of the –– units of investment funds; acquired target funds, and as the case may be, –– equities indirectly held via partnerships; Benchmark up to the full amount (difference method). –– units of corporations, associations of persons The sub-fund is actively managed and is man- or estates at least 75% of the gross assets of aged in reference to one or a combination of which consist of immovable property in benchmarks as further detailed in the sub-fund accordance with statutory provisions or their specific table. All benchmarks respectively their investment conditions, if such corporations, administrators are registered with the ESMA, associations of persons or estates are subject either in the public register of administrators of to corporate income tax of at least 15% and benchmark indices or the public register of third are not exempt from it or if their distributions country benchmarks. are subject to tax of at least 15% and the sub-fund is not exempt from said taxation; The majority of the sub-fund’s securities or –– units of corporations which are exempt from their issuers are not necessarily expected to be corporate income taxation to the extent they components of the benchmark and the portfolio conduct distributions unless such distributions is not necessarily expected to have a similar are subject to taxation at a minimum rate of weighting to the benchmark. The sub-fund 15% and the sub-fund is not exempt from said management will use its discretion to invest in taxation; securities and sectors that are not included in –– units of corporations the income of which the benchmark in order to take advantage of originates, directly or indirectly, to an extent specific investment opportunities. In regard to its of more than 10%, from units of corporations, benchmark, the sub-fund positioning can deviate that are (i) real estate companies or (ii) are not significantly (e.g., by a positioning outside of the real estate companies, but (a) are domiciled in benchmark as well as a significant underweight- member state of the European Union or a ing or overweighting) and the actual degree of member state of the European Economic Area freedom is typically relatively high. A deviation and are not subject in said domicile to corpo- generally reflects the sub-fund manager’s evalua- rate income tax or are exempt from it or tion of the specific market situation, which may (b) are domiciled in a third country and are not lead to a defensive and closer or a more active subject in said domicile to corporate income and wider positioning compared to the bench- tax of at least 15% or are exempt from it; mark. Despite the fact that the sub-fund aims to

204 DWS Invest European Small Cap

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark DJ Stoxx Europe Small 200 TR EUR, administered by STOXX Ldt. Reference portfolio DJ Stoxx Europe Small 200 TR EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on that valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest Up to 20% of the sub-fund’s assets may be Index) or companies that have a comparable European Small Cap, the following provisions invested in: market capitalization. shall apply in addition to the terms contained in the general section of the Sales Prospectus. a) shares and other equity securities of compa- Instead of direct investments, the sub-fund’s nies of any size from around the world that assets may also be invested in index certificates Investment policy do not fulfil the requirements of the preced- on equity indices whose underlying instruments The main investment objective of the sub-fund ing paragraph; are investments. DWS Invest European Small Cap is to achieve an b) interest-bearing securities, as well as con- above average return by investing in a portfolio of vertible bonds and warrant-linked bonds that The index certificates must be sufficiently small-sized companies in the European markets. are issued by companies according to (2) or diversified for the market to which they refer, be (a) above, and which are denominated in any representative and be published. The index At least 80% of the sub-fund’s assets are freely convertible currency; certificates are securities issued on the capital invested in shares and other equity securities of c) short-term deposits, money market instru- markets, and their terms of issue guarantee that small-sized companies registered in a European ments and bank balances. index certificate prices are generally governed by country, or in companies that conduct their the performance of the shares contained in the principal business activity in Europe or which, as Small-sized companies as defined above are respective index. These index certificates track holding companies, hold primarily interests in companies included in a market index for small- the performance of the index to a large extent or companies registered in Europe. sized companies (e.g. STOXX-EuropeSmall-200 even entirely. As index certificates do not have

205 any leverage effect, they do not have any specu- –– units of corporations the income of which significantly (e.g., by a positioning outside of the lative potential. originates, directly or indirectly, to an extent of benchmark as well as a significant underweight- more than 10%, from units of corporations, ing or overweighting) and the actual degree of In addition, techniques and instruments based on that are (i) real estate companies or (ii) are not freedom is typically relatively high. A deviation securities may be employed on behalf of the real estate companies, but (a) are domiciled in generally reflects the sub-fund manager’s evalua- sub-fund’s assets if this is done for the purpose of member state of the European Union or a tion of the specific market situation, which may efficient portfolio management of the sub-fund. member state of the European Economic Area lead to a defensive and closer or a more active and are not subject in said domicile to corpo- and wider positioning compared to the bench- In compliance with Article 2 B. of the general rate income tax or are exempt from it or mark. Despite the fact that the sub-fund aims to section of the Sales Prospectus, the sub-fund (b) are domiciled in a third country and are not outperform the return of the benchmark, the may use derivative techniques to achieve the subject in said domicile to corporate income potential outperformance might be limited investment objective and implement the invest- tax of at least 15% or are exempt from it; depending on the prevailing market environment ment strategy, including in particular – but not –– units of corporations which hold, directly or (e.g. less volatile market environment) and actual limited to – forwards, futures, single-stock indirectly, units of corporations, that are (i) real positioning versus the benchmark. futures, options or equity swaps. estate companies or (ii) are not real estate companies, but (a) are domiciled in a member Risk Management A maximum of 20% of the sub-fund´s assets state of the European Union or a member The relative Value-at-Risk (VaR) approach is used may be invested in securities such as A-Shares, state of the European Economic Area and are to limit market risk in the sub-fund. B-Shares, bonds and other securities listed and not subject in said domicile to corporate traded in Mainland China. income tax or are exempt from it or (b) are In addition to the provisions of the general section domiciled in a third country and are not sub- of the Sales Prospectus, the potential market risk The sub-fund will not invest in contingent ject in said domicile to corporate income tax of the sub-fund is measured using a reference convertibles. of at least 15% or are exempt from it if the fair portfolio that does not contain derivatives market value of units of such corporations (“risk benchmark”). The sub-fund intends to use securities financing equal more than 10% of the fair market value transactions under the conditions and to the of those corporations. Leverage is not expected to exceed twice the extent further described in the general part of value of the investment sub-fund’s assets. The the Sales Prospectus. For the purpose of this investment policy and in leverage effect is calculated using the sum of accordance with the definition in the German notional approach (absolute (notional) amount of In addition, the sub-fund’s assets may be Investment Code (KAGB), an organized market is each derivative position divided by the net invested in all other permissible assets specified a market which is recognized, open to the public present value of the portfolio). However, the in Article 2 of the general section of the Sales and which functions correctly, unless expressly disclosed expected level of leverage is not Prospectus, including the assets mentioned in specified otherwise. Such organized market also intended to be an additional exposure limit for Article 2 A. of the general section of the Sales meets the criteria of article 50 of the UCITS the sub-fund. Prospectus. Directive. Investment in shares of target funds For the purpose of inducing a partial tax exemp- The respective risks connected with investments In addition to the information in the general tion within the meaning of the German Invest- in this sub-fund are disclosed in the general section of the Sales Prospectus the following ment Tax Act and in addition to the investment section of the Sales Prospectus. is applicable to this sub-fund: limits described in the Articles of Incorporation and this Sales Prospectus (equity fund) at least Integration of sustainability risks When investing in target funds associated to the 51% of the sub-fund´s gross assets (determined The sub-fund management integrates sustain- sub-fund, the part of the management fee as being the value of the sub-fund´s assets ability risks into their investment decisions by attributable to shares of these target funds is without taking into account liabilities) are means of Smart Integration. Further information reduced by the management fee/all-in fee of the invested in equities admitted to official trading on on how sustainability risks are taken into account acquired target funds, and as the case may be, a stock exchange or admitted to, or included in, in the investment decisions can be found in the up to the full amount (difference method). another organized market and which are not: general section of the Sales Prospectus.

–– units of investment funds; Benchmark –– equities indirectly held via partnerships; The sub-fund is actively managed and is man- –– units of corporations, associations of persons aged in reference to one or a combination of or estates at least 75% of the gross assets of benchmarks as further detailed in the sub-fund which consist of immovable property in specific table. All benchmarks respectively their accordance with statutory provisions or their administrators are registered with the ESMA, investment conditions, if such corporations, either in the public register of administrators of associations of persons or estates are subject benchmark indices or the public register of third to corporate income tax of at least 15% and country benchmarks. are not exempt from it or if their distributions are subject to tax of at least 15% and the The majority of the sub-fund’s securities or sub-fund is not exempt from said taxation; their issuers are not necessarily expected to be –– units of corporations which are exempt from components of the benchmark and the portfolio corporate income taxation to the extent they is not necessarily expected to have a similar conduct distributions unless such distributions weighting to the benchmark. The sub-fund are subject to taxation at a minimum rate of management will use its discretion to invest in 15% and the sub-fund is not exempt from said securities and sectors that are not included in taxation; the benchmark in order to take advantage of specific investment opportunities. In regard to its benchmark, the sub-fund positioning can deviate

206 DWS Invest Financial Hybrid Bonds

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio – (absolute VaR) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

This sub-fund is aimed at semi-institutional and Hybrid bonds are bonds, which due to their The sub-fund manager aims to hedge any institutional clients only. structure have both debt and equity capital currency risk versus the euro in the portfolio. characteristics. Equity-like features can include For the sub-fund with the name DWS Invest loss participations and profit-linked interest The sub-fund intends to use securities financing Financial Hybrid Bonds, the following provisions payments. transactions under the conditions and to the shall apply in addition to the terms contained in extent further described in the general part of the general section of the Sales Prospectus. Debt-like features can include a fixed maturity the Sales Prospectus. date or call dates fixed on issue, which are Investment policy frequently associated with hybrid bonds. The sub-fund will not invest in ABS or MBS The objective of the investment policy of securities. DWS Invest Financial Hybrid Bonds is to generate Hybrid bonds also encompass subordinated an above average return for the sub-fund. bonds (Tier 1 and Tier 2 bonds), dividend-right Derivatives may be used for hedging and certificates, convertible and warrant-linked bonds investment purposes. The sub-fund is actively managed and is not as well as insurance company subordinated managed in reference to a benchmark. bonds and contingent convertibles. In compliance with the investment limits specified in Article 2 B. of the general section of the Sales The sub-fund may invest globally in interest- Up to 49% of the sub-fund’s assets may be Prospectus, the investment policy may also be bearing securities, in convertible bonds, in invested in interest-bearing debt securities that implemented through the use of suitable derivative contingent convertibles, in warrant-linked bonds do not meet the above mentioned criteria as well financial instruments. These derivative financial whose underlying warrants relate to securities, as money market instruments and liquid assets. instruments may include, among others, options, in participation and dividend-right certificates, forwards, futures, futures contracts on financial in derivatives as well as in money market Up to 100% of the sub-fund’s assets may be instruments and options on such contracts, as well instruments and liquid assets. invested in subordinated bonds. as privately negotiated OTC contracts on any type of financial instrument, including swaps, At least 50% of the sub-fund’s assets shall be Up to 10% of the sub-fund’s assets may be forward-starting swaps, inflation swaps, total invested globally in hybrid bonds issued by invested in equities (via exercising conversion return swaps, excess return swaps, swaptions, financial issuers. rights), including convertible preference shares. constant maturity swaps and credit default swaps.

207 In addition, the sub-fund may invest in all other partially converted to equity capital (shares) of the c) Temporary full or partial write-down of the permissible assets as specified in Article 2 of the issuer or fully or partially written down (see nominal value: Unlike the second type of general section of the Sales Prospectus, point 2) if certain trigger events that are defined conversion, the full or partial reduction of including the assets mentioned in Article 2 A. (j). precisely in the issue prospectus for the CoCo the nominal value initially only takes place bond occur. temporarily. The duration of the reduction is, The respective risks connected with investments however, not foreseeable and is at the sole in this sub-fund are disclosed in the general The exact configuration of the trigger events in the discretion of the issuer, taking into account section of the Sales Prospectus. issue prospectus can be quite different, depending the applicable regulatory requirements. on the CoCo bond. Therefore from the perspective “Temporary” also means that the issuer, at Integration of sustainability risks of the CoCo investor, it is difficult to conduct a its sole discretion and in accordance with The sub-fund management integrates sustain- standardized, transparent risk assessment of the prudential regulations, has the option ability risks into their investment decisions by CoCos. There are different types of trigger events, of increasing the nominal value again. means of Smart Integration. Further information which can also be combined with other triggers on how sustainability risks are taken into account specified in the issue prospectus. The following In the event of a partial write-down of the in the investment decisions can be found in the trigger events, among others, may be defined in nominal value pursuant to point 2 (b) and (c), the general section of the Sales Prospectus. the issue prospectus for a CoCo bond: subsequent coupon payments are based on the reduced nominal value (for the duration of the Specific risk warnings Technical trigger: A trigger event is a technical write-down). Pursuant to the new banking regulations (Basel III, trigger if it is linked to a specific accounting- implemented in the EU by Directive 2013/36/EU related key figure such as the equity ratio of the In summary, it can be said that every conversion (hereinafter “CRD IV”), of the European Parliament issuer. is associated with a loss of capital from the and of the Council of June 26, 2013, on access to perspective of the CoCo investor, with the the activity of credit institutions and the prudential Discretionary trigger: A trigger event is a amount of the capital loss depending primarily supervision of credit institutions and investment discretionary trigger if it is specified in the issue on the terms and conditions set out in the issue firms, amending Directive 2002/87/EC and prospectus that the issuer’s competent super prospectus. repealing Directives 2006/48/EC and 2006/49/EC visory authority can initiate a conversion of the and Regulation (EU) No. 575/2013 (hereinafter nominal value of the CoCo bond into share capital. 3. Selected risks “CRR”) of the European Parliament and of the That is the case when the issuer’s competent CoCos are associated in particular with the risks Council of June 26, 2013, on prudential require- supervisory authority has, at its sole discretion, listed below, which must be taken into ments for credit institutions and investment firms determined that the issuer has reached the point consideration for an investment in CoCos. and amending Regulation (EU) No. 648/2012 banks at which it can no longer survive without must have higher capital buffers and also meet additional equity capital. a) Risk of falling below the specified higher regulatory requirements regarding capital trigger level (trigger level risk) adequacy. This is the reason why credit institutions Combined triggers: In addition to a trigger at the in particular issue mandatory convertible bonds level of the credit institution, a trigger at the level The probability and the risk of a conversion or called “contingent convertibles” (“CoCos”). of the associated corporate group of the issuer write-down are determined by the difference can also be specified in the issue prospectus. between the trigger level and the applicable CoCos are perpetual subordinated bonds that regulatory equity ratio of the CoCo issuer. reward the investors risks with a high fixed 2. Types of conversion following the occurrence interest rate (“coupon”) and can be called by the of a trigger event The technical trigger is at least 5.125% of the issuer at the dates specified in the issue There are three different types of conversion, regulatory equity ratio specified in the issue documents (“issue prospectus(es)”). In the depending on the configuration of the CoCo prospectus of the respective CoCo bond. event that the CoCo is called by the issuer, the bond specified in the issue prospectus. Especially in the case of a high trigger, CoCo CoCo investor (in this case the sub-fund), investors may lose the capital invested, for receives the nominal value (“nominal value”) of a) Conversion into shares: If the issuer falls example in the case of a write-down of the the CoCo position held. This, however, does not below the specified trigger level, the nominal nominal value or conversion into equity capital apply if a criterion that initiates a conversion value of the CoCo bond is converted into (shares). (“conversion trigger”) occurs beforehand – with shares at a conversion ratio already specified the possible consequence of a total loss or a in the issue prospectus. After conversion, At the level of the sub-fund, this means that the reduction of the nominal value (point 2). the CoCo investor holds shares of the issuer actual risk of falling below the trigger level is of the CoCo bond. This shareholding may difficult to assess in advance, as, for example, These types of conversions (point 2) – which are lead to a total loss of capital invested. the equity ratio of the issuer is only published disadvantageous for CoCo investors – and which quarterly and the actual gap between the trigger are initiated by trigger events (point 1) are b) Permanent full or partial write-down of the level and the equity ratio only becomes known at described in more detail below. From the nominal value: With this variant, the nominal the time of publication. perspective of the issuer, CoCos have loss- value of the CoCo bond is fully or partially balancing properties, as the issuer’s risk is reduced (i.e. written down) without the CoCo b) Risk of suspension of the coupon payment transferred to the CoCo investor. Compared to investor receiving compensation for this. This (coupon cancellation risk) other bonds and debt securities, CoCos are is initially synonymous with a correspond- therefore associated with an increased risk of ing loss of capital for the CoCo investor. The issuer or the supervisory authority can loss for the CoCo investor, and therefore for the In the case of a full write-down, the CoCo suspend the coupon payments at any time. investor in the sub-fund. investor suffers a loss of the nominal value, Coupon payments that are canceled are not and therefore the entire capital invested made up for when coupon payments are 1. Criteria that initiate a conversion (total loss). In the event of a partial write- resumed. For the CoCo investor, there is a risk (“trigger events”) down, the nominal value of the CoCo bond that not all of the coupon payments expected at From the perspective of the issuer, the loss- is reduced by the corresponding amount the time of acquisition will be received. balancing characteristic of a CoCo bond lies in the (loss or proportional loss applicable to it). fact that the nominal value of the CoCo is fully or

208 c) Risk of a change to the coupon g) Risk of concentration on a sector counterparty” of the Sales Prospectus. Further (coupon resetting risk) information on the counterparties is disclosed in Due to the special structure of CoCos, the risk of the annual report. For special risk considerations If the CoCo bond is not called by the CoCo issuer concentration on one sector may arise due to the linked to total return swaps, investors should on the specified call date, the issuer can redefine uneven distribution of risks with regard to financial refer to the section “General Risk Warnings”, and the terms and conditions of issue. If the CoCo securities. Due to legal regulations, CoCos are part in particular the section “Risks connected to bond is not called by the issuer, the amount of of the capital structure of financial institutions. derivative transactions” of the Sales Prospectus. the coupon can be changed on the call date. h) Liquidity risk Risk Management d) Risk due to prudential requirements The absolute Value-at-Risk (VaR) approach is used (risk of a reversal of the capital structure) CoCos entail a liquidity risk in a tense market to limit market risk for the sub-fund assets. situation. This is due to the special investor base A number of minimum requirements in relation and the lower total volume on the market Leverage is not expected to exceed twice the to the equity capital of banks were defined in compared to normal bonds. value of the investment sub-fund’s assets. The CRD IV. The amount of the required capital buffer leverage effect is calculated using the sum of differs from country to country (depending on i) Income valuation risk notional approach (absolute (notional) amount of the prudential regulations applicable to the each derivative position divided by the net issuer). Due to the fact that CoCos can be called on a present value of the portfolio). However, the flexible basis, it is not clear which date should be disclosed expected level of leverage is not At sub-fund level, the different national used for calculating the income. There is a risk on intended to be an additional exposure limit for requirements have the consequence that the each call date that the maturity of the bond will the sub-fund’s assets. The disclosed expected conversion based on a discretionary trigger or be postponed and the income calculation must level of leverage is not intended to be an suspension of the coupon payments can take then be adjusted to the new date, which can lead additional exposure limit for the sub-fund. place depending on the legal regulations to a different yield. applicable to the issuer and that an additional Investment in shares of target funds uncertainty factor exists for the CoCo investor or j) Unknown risk In addition to the information in the general the investor arising from the national terms and section of the Sales Prospectus the following conditions and the discretionary decisions of the Due to the innovative nature of the CoCos and is applicable to this sub-fund: respective competent supervisory authority. the highly changeable regulatory environment for financial institutions, risks may arise that cannot When investing in target funds associated to the Moreover, the opinion of the competent be foreseen at the present time. sub-fund, the part of the management fee supervisory authority, as well as the relevance attributable to shares of these target funds is criteria for the opinion cannot be conclusively Please also refer to the “Risks of investments in reduced by the management fee/all-in fee of the assessed in advance. contingent convertibles” section in the general acquired target funds, and as the case may be, section of the Sales Prospectus. up to the full amount (difference method). e) Call risk and risk of the competent supervisory authority preventing a call Additional information (prolongation risk) When using total return swaps to implement the investment strategy as described above, the CoCos are perpetual long-term debt securities following shall be noted: that are callable by the issuer at call dates specified in the issue prospectus. The decision to The proportion of the sub-fund’s net assets call the bond is made at the sole discretion of subject to total return swaps, expressed as the the issuer but it does require the approval of the sum of notionals of the total return swaps issuer’s competent supervisory authority. The divided by the sub-fund’s net asset value, is supervisory authority makes its decision in expected to reach up to 50%, but depending on accordance with applicable prudential provisions. the respective market conditions, with the objective of efficient portfolio management and The CoCo investor can only resell the CoCo bond in the interest of the investors, it may reach up to on a secondary market, which in turn is associated 100%. The calculation is performed in line with with corresponding market and liquidity risks. the guidelines CESR/10-788. However, the disclosed expected level of leverage is not f) Equity capital and subordination risk intended to be an additional exposure limit for (risk of a reversal of the capital structure) the sub-fund.

In the case of conversion to shares, CoCo Additional information on total return swaps investors become shareholders when the trigger may be found in the general section of the Sales occurs. In the event of insolvency, claims of Prospectus, amongst others, in the section shareholders may have subordinate priority and “Efficient portfolio management techniques”. their settlement is dependent on the remaining The selection of counterparties to any total funds available. The conversion of CoCos can return swap is subject to the principles as therefore lead to a total loss of capital. described in the section “Choice of

209 DWS Invest German Equities

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark CDAX (RI), administered by STOXX Ltd. Reference portfolio CDAX (RI) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt/Main Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on that valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

210 For the sub-fund with the name DWS Invest –– units of corporations which are exempt from weighting to the benchmark. The sub-fund German Equities, the following provisions shall corporate income taxation to the extent they management will use its discretion to invest in apply in addition to the terms contained in the conduct distributions unless such distributions securities and sectors that are not included in general section of the Sales Prospectus. are subject to taxation at a minimum rate of the benchmark in order to take advantage of 15% and the sub-fund is not exempt from said specific investment opportunities. In regard to its Investment policy taxation; benchmark, the sub-fund positioning can deviate The objective of the investment policy of –– units of corporations the income of which significantly (e.g., by a positioning outside of the DWS Invest German Equities is to achieve an originates, directly or indirectly, to an extent of benchmark as well as a significant underweight- above average return. more than 10%, from units of corporations, ing or overweighting) and the actual degree of that are (i) real estate companies or (ii) are not freedom is typically relatively high. A deviation At least 75% of the sub-fund’s assets are real estate companies, but (a) are domiciled in generally reflects the sub-fund manager’s evalua- invested in equities, investment certificates, member state of the European Union or a tion of the specific market situation, which may equity warrants, equity-linked warrants and member state of the European Economic Area lead to a defensive and closer or a more active subscription rights of German issuers. German and are not subject in said domicile to corpo- and wider positioning compared to the bench- issuers are defined as companies headquartered rate income tax or are exempt from it or mark. Despite the fact that the sub-fund aims to in Germany. (b) are domiciled in a third country and are not outperform the return of the benchmark, the subject in said domicile to corporate income potential outperformance might be limited In compliance with Article 2 B. of the general tax of at least 15% or are exempt from it; depending on the prevailing market environment section of the Sales Prospectus, the sub-fund may –– units of corporations which hold, directly or (e.g. less volatile market environment) and actual use suitable derivative financial instruments and indirectly, units of corporations, that are (i) real positioning versus the benchmark. techniques for hedging purposes and in order to estate companies or (ii) are not real estate achieve the investment objective, including in companies, but (a) are domiciled in a member PEA-compatibility particular – but not limited to – forwards, futures, state of the European Union or a member The sub-fund is eligible to the PEA (Plan single-stock futures, options or equity swaps. state of the European Economic Area and are d’Epargne en Actions), a fiscal advantage for not subject in said domicile to corporate French subscribers. A maximum of 25% of the sub-fund’s assets may income tax or are exempt from it or (b) are be invested in instruments that do not fulfill the domiciled in a third country and are not sub- Risk Management requirements of the preceding paragraph and in all ject in said domicile to corporate income tax The relative Value-at-Risk (VaR) approach is used other permissible assets specified in Article 2, of at least 15% or are exempt from it if the fair to limit market risk in the sub-fund. including the assets mentioned in Article 2 A. (j) of market value of units of such corporations the general section of the Sales Prospectus. equal more than 10% of the fair market value In addition to the provisions of the general section of those corporations. of the Sales Prospectus, the potential market risk The sub-fund will not invest in contingent of the sub-fund is measured using a reference convertibles. For the purpose of this investment policy and portfolio that does not contain derivatives in accordance with the definition in the German (“risk benchmark”). The sub-fund intends to use securities financing Investment Code (KAGB), an organized market is transactions under the conditions and to the a market which is recognized, open to the public Leverage is not expected to exceed twice the extent further described in the general part of and which functions correctly, unless expressly value of the investment sub-fund’s assets. The the Sales Prospectus. specified otherwise. Such organized market also leverage effect is calculated using the sum of meets the criteria of article 50 of the UCITS notional approach (absolute (notional) amount of There can be no assurance that the sub-fund will Directive. each derivative position divided by the net present achieve its investment objective. value of the portfolio). However, the disclosed The respective risks connected with investments expected level of leverage is not intended to be an For the purpose of inducing a partial tax exemp- in this sub-fund are disclosed in the general additional exposure limit for the sub-fund. tion within the meaning of the German Invest- section of the Sales Prospectus. ment Tax Act and in addition to the investment Investment in shares of target funds limits described in the Articles of Incorporation Integration of sustainability risks In addition to the information in the general and this Sales Prospectus (equity fund) at least The sub-fund management integrates sustain- section of the Sales Prospectus the following 51% of the sub-fund´s gross assets (determined ability risks into their investment decisions by is applicable to this sub-fund: as being the value of the sub-fund´s assets means of Smart Integration. Further information without taking into account liabilities) are on how sustainability risks are taken into account When investing in target funds associated to the invested in equities admitted to official trading on in the investment decisions can be found in the sub-fund, the part of the management fee a stock exchange or admitted to, or included in, general section of the Sales Prospectus. attributable to shares of these target funds is another organized market and which are not: reduced by the management fee/all-in fee of the Benchmark acquired target funds, and as the case may be, –– units of investment funds; The sub-fund is actively managed and is man- up to the full amount (difference method). –– equities indirectly held via partnerships; aged in reference to one or a combination of –– units of corporations, associations of persons benchmarks as further detailed in the sub-fund or estates at least 75% of the gross assets of specific table. All benchmarks respectively their which consist of immovable property in administrators are registered with the ESMA, accordance with statutory provisions or their either in the public register of administrators of investment conditions, if such corporations, benchmark indices or the public register of third associations of persons or estates are subject country benchmarks. to corporate income tax of at least 15% and are not exempt from it or if their distributions The majority of the sub-fund’s securities or are subject to tax of at least 15% and the their issuers are not necessarily expected to be sub-fund is not exempt from said taxation; components of the benchmark and the portfolio is not necessarily expected to have a similar

211 DWS Invest Global Agribusiness

Investor profile Risk-tolerant Currency of sub-fund USD Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio S&P Global Agribusiness Equity Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg that is also an exchange trading day on the New York Stock Exchange (NYSE) Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

212 For the sub-fund with the name DWS Invest A maximum of 20% of the sub-fund´s assets –– units of corporations which hold, directly or Global Agribusiness, the following provisions shall may be invested in securities such as A-Shares, indirectly, units of corporations, that are (i) real apply in addition to the terms contained in the B-Shares, bonds and other securities listed and estate companies or (ii) are not real estate general section of the Sales Prospectus. traded in Mainland China. companies, but (a) are domiciled in a member state of the European Union or a member Investment policy Notwithstanding the investment limit of 10% state of the European Economic Area and The objective of the investment policy of specified in Article 2 B. (i) concerning invest- are not subject in said domicile to corporate DWS Invest Global Agribusiness is to achieve ments in shares of other Undertakings for income tax or are exempt from it or (b) are an appreciation as high as possible of capital Collective Investment in Securities and/or other domiciled in a third country and are not invested. collective investment undertakings as defined subject in said domicile to corporate income in A. (e), an investment limit of 5% shall apply to tax of at least 15% or are exempt from it if the The sub-fund is actively managed and is not this sub-fund. fair market value of units of such corporations managed in reference to a benchmark. equal more than 10% of the fair market value The sub-fund will not invest in contingent of those corporations. At least 70% of the sub-fund’s assets are invested convertibles. in shares, stock certificates, convertible bonds and For the purpose of this investment policy and in warrant-linked bonds whose underlying warrants The sub-fund intends to use securities financing accordance with the definition in the German are for securities, participation and dividend-right transactions under the conditions and to the Investment Code (KAGB), an organized market is certificates, and equity warrants of foreign and extent further described in the general part of a market which is recognized, open to the public domestic issuers having their principal business the Sales Prospectus. and which functions correctly, unless expressly activity in or profiting from the agricultural specified otherwise. Such organized market also industry. The relevant companies operate within In addition, the sub-fund’s assets may be invested meets the criteria of article 50 of the UCITS the multi-layered food value chain. This includes in all other permissible assets specified in Article 2, Directive. companies involved in the cultivation, harvesting, including the assets mentioned in Article 2 A. (j) of planning, production, processing, service and the general part of the Sales Prospectus. The respective risks connected with investments distribution of agricultural products (forestry and in this sub-fund are disclosed in the general agriculture companies, tool and agricultural For the purpose of inducing a partial tax section of the Sales Prospectus. machine manufacturers, companies in the food exemption within the meaning of the German industry such as wine, cattle and meat producers Investment Tax Act and in addition to the Integration of sustainability risks and processors, supermarkets and chemical investment limits described in the Articles of The sub-fund management integrates sustain- companies). Incorporation and this Sales Prospectus (equity ability risks into their investment decisions by fund) at least 51% of the sub-fund´s gross assets means of Smart Integration. Further information Investments in the securities mentioned above (determined as being the value of the sub-fund´s on how sustainability risks are taken into account may also be made through Global Depository assets without taking into account liabilities) are in the investment decisions can be found in the Receipts (GDRs) and American Depository invested in equities admitted to official trading on general section of the Sales Prospectus. Receipts (ADRs) listed on recognized exchanges a stock exchange or admitted to, or included in, and markets issued by international financial another organized market and which are not: Risk Management institutions. The relative Value-at-Risk (VaR) approach is used –– units of investment funds; to limit market risk in the sub-fund. A maximum of 30% of the sub-fund’s total assets –– equities indirectly held via partnerships; may be invested in shares, stock certificates, –– units of corporations, associations of persons In addition to the provisions of the general convertible bonds and warrant-linked bonds or estates at least 75% of the gross assets of section of the Sales Prospectus, the potential whose underlying warrants are for securities, which consist of immovable property in market risk of the sub-fund is measured using participation and dividend-right certificates of accordance with statutory provisions or their a reference portfolio that does not contain foreign and domestic issuers that do not satisfy investment conditions, if such corporations, derivatives (“risk benchmark”). the requirements of the preceding paragraph. associations of persons or estates are subject to corporate income tax of at least 15% and Leverage is not expected to exceed twice the Up to 30% of the sub-fund’s assets may be are not exempt from it or if their distributions value of the investment sub-fund’s assets. The invested in short-term deposits, money market are subject to tax of at least 15% and the leverage effect is calculated using the sum of instruments and bank balances. sub-fund is not exempt from said taxation; notional approach (absolute (notional) amount of –– units of corporations which are exempt from each derivative position divided by the net present Notwithstanding the investment limit specified in corporate income taxation to the extent they value of the portfolio). However, the disclosed Article 2 B. (n) concerning the use of derivatives, conduct distributions unless such distributions expected level of leverage is not intended to be an the following investment restrictions shall apply are subject to taxation at a minimum rate of additional exposure limit for the sub-fund. with regard to the investment restrictions 15% and the sub-fund is not exempt from said currently applicable in individual distribution taxation; Investment in shares of target funds countries. –– units of corporations the income of which In addition to the information in the general originates, directly or indirectly, to an extent of section of the Sales Prospectus the following Derivatives that constitute short positions must more than 10%, from units of corporations, is applicable to this sub-fund: have adequate coverage at all times and may be that are (i) real estate companies or (ii) are not used exclusively for hedging purposes. Hedging real estate companies, but (a) are domiciled When investing in target funds associated to the is limited to 100% of the underlying instrument in member state of the European Union or a sub-fund, the part of the management fee covering the derivative. Conversely, no more than member state of the European Economic Area attributable to shares of these target funds is 35% of the net value of the assets of the and are not subject in said domicile to reduced by the management fee/all-in fee of the sub-fund may be invested in derivatives that corporate income tax or are exempt from it or acquired target funds, and as the case may be, constitute long positions and do not have (b) are domiciled in a third country and are not up to the full amount (difference method). corresponding coverage. subject in said domicile to corporate income tax of at least 15% or are exempt from it;

213 DWS Invest Global Bonds

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio (absolute VaR) (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* FC EUR 0% up to 0.5% 0% 0.05% December 22, 2011 LD EUR up to 3% up to 0.9% 0% 0.05% February 17, 2014 PFC EUR 0% up to 0.6% 0% 0.05% May 26, 2014 PFDQ EUR 0% up to 0.6% 0% 0.05% May 26, 2014 LC EUR up to 3% up to 0.9% 0% 0.05% June 4, 2014 NC EUR up to 1.5% up to 1.3% 0.1% 0.05% June 4, 2014 GBP IDH GBP 0% up to 0.35% 0% 0.01% June 16, 2014 GBP DH RD GBP 0% up to 0.5% 0% 0.05% July 21, 2014 USD LCH USD up to 3% up to 0.9% 0% 0.05% September 8, 2014 USD FCH USD 0% up to 0.5% 0% 0.05% December 1, 2014 IC EUR 0% up to 0.35% 0% 0.01% January 30, 2015 FD EUR 0% up to 0.5% 0% 0.05% March 16, 2015 CHF FCH CHF 0% up to 0.5% 0% 0.05% April 30, 2015 CHF LCH CHF up to 3% up to 0.9% 0% 0.05% April 30, 2015 GBP CH RD GBP 0% up to 0.5% 0% 0.05% August 17, 2015 SEK LCH SEK up to 3% up to 0.9% 0% 0.05% September 30, 2015 NDQ EUR up to 1.5% up to 1.3% 0.1% 0.05% April 28, 2017 TFC EUR 0% up to 0.5% 0% 0.05% December 5, 2017 TFD EUR 0% up to 0.5% 0% 0.05% December 5, 2017 USD TFCH USD 0% up to 0.5% 0% 0.05% December 5, 2017

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

214 For the sub-fund with the name DWS Invest Asset-backed securities are interest-bearing debt When investing in target funds associated to the Global Bonds, the following provisions shall apply securities backed by a range of receivables and/ sub-fund, the part of the management fee in addition to the terms contained in the general or securities, including in particular securitized attributable to shares of these target funds is section of the Sales Prospectus. credit card receivables, private and commercial reduced by the management fee/all-in fee of the mortgage receivables, consumer loans, vehicle acquired target funds, and as the case may be, Investment policy leasing receivables, small business loans, mort- up to the full amount (difference method). The objective of the investment policy of gage bonds, collateralized loan obligations and DWS Invest Global Bonds is to generate an collateralized bond obligations. above-average return for the sub-fund. The term “asset-backed securities” is always The sub-fund is actively managed and is not used in the extended sense, i.e., including managed in reference to a benchmark. mortgage backed securities and collateralized debt obligations. The sub-fund’s assets may be invested globally in the following instruments: The respective risks connected with investments in this sub-fund are disclosed in the general –– interest-bearing debt securities issued by section of the Sales Prospectus. sovereign institutions (central banks, government agencies, government authorities and Integration of sustainability risks supra-national institutions) from developed The sub-fund management integrates sustain- countries or Emerging Markets; ability risks into their investment decisions by –– corporate bonds issued by companies from means of Smart Integration. Further information developed countries or Emerging Markets that on how sustainability risks are taken into account may or may not offer an investment-grade in the investment decisions can be found in the status at the time of acquisition; general section of the Sales Prospectus. –– covered bonds; –– convertible bonds; Risk Disclaimer –– subordinated bonds; The sub-fund may invest in different types of –– asset-backed securities. asset-backed securities. Among others, investments may also include securities that may The sub-fund’s investments in the above- become subject to strong market volatility, such mentioned assets may account for up to 100% as collateralized debt obligations and collateral- of the sub-fund’s assets each. Furthermore, ized loan obligations. In some cases, these equity-linked derivatives may be used to achieve securities may be very illiquid during periods of the sub-fund’s objective. Derivatives may be market uncertainty and may be sold only at a used for hedging and investment purposes. discount. Individual securities may, in such extreme market phases, suffer a total loss or a At least 95% of the sub-fund’s assets will be significant decrease in value. High losses of in EUR or hedged into EUR. value at the level of the sub-fund can therefore not be excluded. In compliance with the investment limits specified in Article 2 B. of the general section of the Risk Management Sales Prospectus, the investment policy may The absolute Value-at-Risk (VaR) approach is used also be implemented through the use of suitable to limit market risk in the sub-fund. derivative financial instruments. These derivative financial instruments may include, among others, Contrary to the provision of the general section options, forwards, futures, futures contracts on of the Sales Prospectus, because of the invest- financial instruments and options on such con- ment strategy of the sub-fund, it is expected that tracts, as well as privately negotiated OTC the leverage effect from the use of derivatives contracts on any type of financial instrument, will not be any higher than five times the sub- including swaps, forward-starting swaps, infla- fund’s assets. The leverage effect is calculated tion swaps, total return swaps, excess return using the sum of notional approach (absolute swaps, swaptions, constant maturity swaps and (notional) amount of each derivative position credit default swaps. divided by the net present value of the portfolio). The disclosed expected level of leverage is not The sub-fund will not invest in contingent intended to be an additional exposure limit for convertibles. the sub-fund.

The sub-fund intends to use securities financing Investment in shares of target funds transactions under the conditions and to the In addition to the information in the general extent further described in the general part of section of the Sales Prospectus the following the Sales Prospectus. is applicable to this sub-fund:

In addition, the sub-fund’s assets may be invested in all other permissible assets.

215 DWS Invest Global Emerging Markets Equities

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments Hong Kong Limited, Level 60, International Commerce Centre, 1 Austin Road West, Kowloon, Hong Kong. Performance benchmark MSCI EM (Emerging Markets), administered by MSCI Limited. Reference portfolio MSCI EM (Emerging Markets) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg that is also an exchange trading day on the Hong Kong Stock Exchange Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

216 For the sub-fund with the name DWS Invest Receipts (ADRs) listed on recognized exchanges –– units of corporations, associations of persons Global Emerging Markets Equities, the following and markets issued by international financial or estates at least 75% of the gross assets of provisions shall apply in addition to the terms institutions. which consist of immovable property in contained in the general section of the Sales accordance with statutory provisions or their Prospectus. The fund may invest more than 10% of the investment conditions, if such corporations, sub-fund’s assets in securities that are traded on associations of persons or estates are subject Investment policy the Moscow Exchange (MICEX-RTS). to corporate income tax of at least 15% and The objective of the investment policy of are not exempt from it or if their distributions DWS Invest Global Emerging Markets Equities A maximum of 30% of the sub-fund’s assets are subject to tax of at least 15% and the is to achieve an above average return. may be invested in equities, stock certificates, sub-fund is not exempt from said taxation; participation and dividend right certificates, –– units of corporations which are exempt from At least 70% of the sub-fund’s assets are invested convertible bonds and equity warrants of issu- corporate income taxation to the extent they in equities of companies registered in Emerging ers that do not fulfill the requirements of the conduct distributions unless such distributions Markets countries or companies that conduct their preceding paragraphs. are subject to taxation at a minimum rate of principal business activity in Emerging Markets 15% and the sub-fund is not exempt from said countries or which, as holding companies, hold Up to 30% of the sub-fund’s assets may be taxation; primarily interest in companies registered in invested in short-term deposits, money market –– units of corporations the income of which Emerging Markets countries. The securities issued instruments and bank balances. Notwithstand- originates, directly or indirectly, to an extent by these companies may be listed on Chinese ing the investment limit of 10% specified in of more than 10%, from units of corporations, (including the Shenzhen-Hong Kong and Shanghai- Article 2 B. (i) concerning investments in shares that are (i) real estate companies or (ii) are not Hong Kong Stock Connect) or other foreign securi- of other Undertakings for Collective Investment real estate companies, but (a) are domiciled in ties exchanges or traded on other regulated in Securities and/or other collective investment member state of the European Union or a markets in a member country of the Organisation undertakings as defined in A. (e), an investment member state of the European Economic Area for Economic Co-operation and Development limit of 5% shall apply to this sub-fund. and are not subject in said domicile to corpo- (OECD) that operate regularly and are recognized rate income tax or are exempt from it or and open to the public. A maximum of 20% of the sub-fund´s assets (b) are domiciled in a third country and are not may be invested in securities such as A-Shares, subject in said domicile to corporate income A company is viewed as having its principal B-Shares, bonds and other securities listed and tax of at least 15% or are exempt from it; business activity in emerging-market countries if traded in Mainland China. –– units of corporations which hold, directly or a significant part of its earnings or revenues is indirectly, units of corporations, that are (i) real generated there. The sub-fund will not invest in contingent estate companies or (ii) are not real estate convertibles. companies, but (a) are domiciled in a member Emerging markets are countries listed in the state of the European Union or a member MSCI Emerging Markets Index or listed in the The sub-fund intends to use securities financing state of the European Economic Area and are Standard & Poor’s Emerging Markets Database transactions under the conditions and to the not subject in said domicile to corporate (EMDB). Further, countries which are listed as extent further described in the general part of income tax or are exempt from it or (b) are low or middle income (including both lower the Sales Prospectus. domiciled in a third country and are not sub- middle and higher middle income) by the World ject in said domicile to corporate income tax Bank will be considered as Emerging Markets The following investment restriction applies to the of at least 15% or are exempt from it if the fair even if such countries are neither listed in the sub-fund due to a possible registration in Korea: market value of units of such corporations MSCI Emerging Markets Index nor in the equal more than 10% of the fair market value EMDB but must not be included in the MSCI The sub-fund must invest more than 70% of the of those corporations. World Index. net assets in non-Korean Won-denominated assets. For the purpose of this investment policy and in At present, the emerging countries most signi accordance with the definition in the German ficant for the sub-fund are mostly, but not exclu- In addition, the sub-fund’s assets may be Investment Code (KAGB), an organized market is sively, located in Asia, Eastern Europe and South invested in all other permissible assets specified a market which is recognized, open to the public America and include, among others, Brazil, in Article 2, including the assets mentioned in and which functions correctly, unless expressly China, India, Indonesia, Korea, Malaysia, Mexico, Article 2 A. (j) of the general part of the Sales specified otherwise. Such organized market also Russia, South Africa, Taiwan, Thailand and Turkey. Prospectus. meets the criteria of article 50 of the UCITS Directive. If investments are effected in countries that For the purpose of inducing a partial tax exemp- do not yet possess a regulated market, these tion within the meaning of the German Invest- The respective risks connected with investments securities shall be considered as unlisted finan- ment Tax Act and in addition to the investment in this sub-fund are disclosed in the general cial instruments. limits described in the Articles of Incorporation section of the Sales Prospectus. and this Sales Prospectus (equity fund) at least In compliance with Article 2 B. of the general 51% of the sub-fund´s gross assets (determined Integration of sustainability risks section of the Sales Prospectus, the sub-fund as being the value of the sub-fund´s assets The sub-fund management integrates sustain- may use derivative techniques to achieve the without taking into account liabilities) are ability risks into their investment decisions by investment objective and implement the invest- invested in equities admitted to official trading on means of Smart Integration. Further information ment strategy, including in particular – but not a stock exchange or admitted to, or included in, on how sustainability risks are taken into account limited to – forwards, futures, single-stock another organized market and which are not: in the investment decisions can be found in the futures, options or equity swaps. general section of the Sales Prospectus. –– units of investment funds; Investments in the securities mentioned above –– equities indirectly held via partnerships; may also be made through Global Depository Receipts (GDRs) and American Depository

217 Benchmark Leverage is not expected to exceed twice the The sub-fund is actively managed and is man- value of the investment sub-fund’s assets. The aged in reference to one or a combination of leverage effect is calculated using the sum of benchmarks as further detailed in the sub-fund notional approach (absolute (notional) amount of specific table. All benchmarks respectively their each derivative position divided by the net present administrators are registered with the ESMA, value of the portfolio). However, the disclosed either in the public register of administrators of expected level of leverage is not intended to be benchmark indices or the public register of third an additional exposure limit for the sub-fund. country benchmarks. Investment in shares of target funds The majority of the sub-fund’s securities or In addition to the information in the general their issuers are not necessarily expected to be section of the Sales Prospectus the following components of the benchmark and the portfolio is applicable to this sub-fund: is not necessarily expected to have a similar weighting to the benchmark. The sub-fund When investing in target funds associated to management will use its discretion to invest in the sub-fund, the part of the management fee securities and sectors that are not included in attributable to shares of these target funds is the benchmark in order to take advantage of reduced by the management fee/all-in fee of the specific investment opportunities. In regard to its acquired target funds, and as the case may be, benchmark, the sub-fund positioning can deviate up to the full amount (difference method). significantly (e.g., by a positioning outside of the benchmark as well as a significant underweighting or overweighting) and the actual degree of freedom is typically relatively high. A deviation generally reflects the sub-fund manager’s evaluation of the specific market situation, which may lead to a defensive and closer or a more active and wider positioning compared to the benchmark. Despite the fact that the sub-fund aims to outperform the return of the benchmark, the potential outperformance might be limited depending on the prevailing market environment (e.g. less volatile market environment) and actual positioning versus the benchmark.

Detailed information concerning custody and registration risks in Russia is provided in the general section of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

218 DWS Invest Global High Yield Corporates

Investor profile Growth-oriented Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investment Management Americas Inc., 345 Park Avenue, New York, NY 10154, United States of America Performance benchmark ICE BoA ML Global High Yield Developed Markets Non-Fin Constrained hedged to USD administrated by ICE Data Indices, LLC. Reference portfolio ICE BoA ML Global High Yield Developed Markets Non-Fin Constrained hedged to USD (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest At least 70% of the sub-fund’s assets are The sub-fund’s investments in asset backed Global High Yield Corporates, the following provi- invested globally in corporate bonds that offer a securities and mortgage backed securities shall sions shall apply in addition to the terms con- non-investment grade status at the time of be limited to 20% of the sub-fund’s net asset tained in the general section of the Sales acquisition. value. Prospectus. Up to 30% of the sub-fund’s assets may be In compliance with the investment limits speci- Investment policy invested in corporate bonds that do not meet fied in Article 2 B. of the general section of the The objective of the investment policy of DWS the above mentioned criteria, money market Sales Prospectus, the investment policy may Invest Global High Yield Corporates is to gener- instruments and liquid assets. also be implemented through the use of suitable ate an above-average return for the sub-fund. derivative financial instruments. These derivative Up to 20% of the sub-fund’s assets may be financial instruments may include, among others, invested in equities, equity certificates and options, forwards, futures, futures contracts on dividend-rights. financial instruments and options on such

219 contracts, as well as privately negotiated OTC benchmark. Despite the fact that the sub-fund contracts on any type of financial instrument, aims to outperform the return of the benchmark, including swaps, forward-starting swaps, infla- the potential outperformance might be limited tion swaps, total return swaps, excess return depending on the prevailing market environment swaps, swaptions, constant maturity swaps and (e.g. less volatile market environment) and actual credit default swaps. positioning versus the benchmark.

The sub-fund will not invest in contingent Risk Management convertibles. The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund. The sub-fund intends to use securities financing transactions under the conditions and to the In addition to the provisions of the general extent further described in the general part of section of the Sales Prospectus, the potential the Sales Prospectus. market risk of the sub-fund is measured using a reference portfolio that does not contain deriva- In the due course of a re-structuring of fixed tives (“risk benchmark”). income instruments held by the sub-fund, the sub-fund manager may also invest up to a maxi- Leverage is not expected to exceed twice the mum of 10% of the sub-fund’s assets into listed value of the investment sub-fund’s assets. The or non-listed equities. Furthermore, the sub-fund leverage effect is calculated using the sum of manager may also participate in capital increases notional approach (absolute (notional) amount of or other corporate actions (e.g. for convertible each derivative position divided by the net pres- bonds or warrant linked bonds) that are part of a ent value of the portfolio). However, the dis- re-structuring or take place after a re-structuring. closed expected level of leverage is not intended to be an additional exposure limit for the In addition, the sub-fund’s assets may be sub-fund. invested in all other permissible assets. Investment in shares of target funds The respective risks connected with investments In addition to the information in the general in this sub-fund are disclosed in the general section of the Sales Prospectus the following section of the Sales Prospectus. is applicable to this sub-fund:

Integration of sustainability risks When investing in target funds associated to The sub-fund management integrates sustain- the sub-fund, the part of the management fee ability risks into their investment decisions by attributable to shares of these target funds is means of Smart Integration. Further information reduced by the management fee/all-in fee of the on how sustainability risks are taken into account acquired target funds, and as the case may be, in the investment decisions can be found in the up to the full amount (difference method). general section of the Sales Prospectus.

The majority of the sub-fund’s securities or their issuers are not necessarily expected to be components of the benchmark and the portfolio is not necessarily expected to have a similar weighting to the benchmark. The sub-fund management will use its discretion to invest in securities and sectors that are not included in the benchmark in order to take advantage of specific investment opportunities. In regard to its benchmark, the sub-fund positioning can deviate significantly (e.g., by a positioning outside of the benchmark as well as a significant underweighting or overweighting) and the actual degree of freedom is typically relatively high. A deviation generally reflects the sub-fund manager’s evaluation of the specific market situation, which may lead to a defensive and closer or a more active and wider positioning compared to the

220 DWS Invest Global Impact Bonds

Investor profile Income-oriented Currency of sub-fund USD Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio – (absolute VaR) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest tax compliance. At least 80% of the sub-fund’s The sub-fund’s investments in contingent con- Global Impact Bonds, the following provisions assets shall be invested globally in interest- vertibles shall be limited to 10% of the sub- shall apply in addition to the terms contained in bearing debt securities denominated in USD or fund’s net asset value. the general section of the Sales Prospectus. hedged against the USD that have an investment grade status at the time of the acquisition. A The sub-fund intends to use securities financing Investment policy maximum of 20% of the sub-fund’s assets may transactions under the conditions and to the This sub-fund has sustainable investment as its be invested into interest-bearing debt securities extent further described in the general part of objective and qualifies as product in accordance denominated in USD or hedged against the USD the Sales Prospectus. with article 9 of Regulation (EU) 2019/2088 on with a non-investment grade status with a sustainability-related disclosures in the financial minimum credit rating of B3 (rated by Moody’s) The sub-fund management invests at least 80% services sector. or B- (rated by S&P and Fitch) at time of acquisi- of the sub-fund’s assets in economic activities tion. In case of split rating between three agen- that contribute to environmental and/or social The objective of the investment policy of the cies, the lower rating of the two best ratings objectives and to at least one of the UN Sustain- sub-fund DWS Invest Global Impact Bonds is to should be applicable. In case of split rating able development goals (‘SDG’). generate an above-average return in USD. between two agencies, the lower rating should be applicable. In the case of no rating, an internal The sub-fund management seeks to attain its The sub-fund is actively managed and is not rating may be applied. When a holding asset is sustainable objective by assessing potential managed in reference to a benchmark. downgraded to lower than B3/B-, such asset will investments via proprietary ESG investment be sold within 6 months. methodology. This methodology incorporates The sub-fund primarily invests into global investment standards according to an ESG fixed income debt securities that are issued by The sub-fund’s investments in asset-backed database, which uses data from multiple leading organizations or institutions that the sub-fund securities shall be limited to 20% of the sub- ESG data providers as well as internal and public management considers to be in a position to fund’s net asset value. sources to derive proprietary combined scores profit from present or future geopolitical, social for various environmental and social objectives. and economic trends and themes which help to Asset-backed securities are interest-bearing debt The methodology assigns one of six possible achieve the sustainable development goals of securities backed by a range of receivables and/ proprietary scores to each possible issuer. the UN as part of the Agenda 2030 or into global or securities, including in particular securitized These scores encompass assessments for fixed income debt securities whose proceeds are credit card receivables, private and commercial (i) controversial sectors (which include coal, contributing to the defined goals of the United mortgage receivables, consumer loans, vehicle tobacco, defence industry, pornography, gam- Nations for sustainable development. In this leasing receivables, small business loans, mort- bling and nuclear power), (ii) involvement in context, the sub-fund primarily invests in eco- gage bonds, collateralized loan obligations and controversial weapons (nuclear weapons, nomic activities that contribute to measurable collateralized bond obligations. The term “asset- depleted uranium, cluster munitions and anti- environmental or social objectives provided that backed securities” is always used in the personnel mines) or (iii) violation of internationally such investments do not significantly harm any extended sense, i.e., including mortgage backed accepted norms, but also allow for an active of those objectives and that the issuers follow securities and collateralized debt obligations. issuer selection based on categories such as good governance practices, in particular with climate and transition risk, norm compliance or respect to sound management structures, best in class ESG evaluations in respect to the employee relations, remuneration of staff and above-mentioned environmental and/or social

221 objectives. The methodology assigns one of Corporate Governance Risk Disclaimer six possible proprietary scores to each possible The sub-fund may invest in different types of issuer based on a letter scoring from A to F, –– Global Governance Principles by the Inter asset-backed securities. Among others, invest- whereby issuers with A and B scores are consid- national Corporate Governance Network; ments may also include securities that may ered as leading in their categories and issuers –– Global Compact Anti-Corruption Principles. become subject to strong market volatility, such with C scores are considered as within the upper as collateralized debt obligations and collateral- midfield of their category. These letter scores can UN Sustainable Development Goals ized loan obligations. In some cases, these originate from revenues generated from contro- securities may be very illiquid during periods of versial sectors or the degree of involvement in –– Climate Change market uncertainty and may be sold only at a controversial weapons, the degree of severity –– Water Scarcity discount. Individual securities may, in such that an issuer may be involved in the violation of –– Waste Management extreme market phases, suffer a total loss or a international norms, the assessment on climate –– Food Availability significant decrease in value. High losses of and transition risk, which is based on for example –– Health & Wellness value at the level of the sub-fund can therefore carbon intensity or the risk of stranded assets, or –– Improving Lives and Demographics not be excluded. from best in class ESG evaluations. At least 90% of the sub-fund`s portfolio holdings Risk Management The SDG contribution of an issuer will be mea- will be screened according to non-financial The absolute Value-at-Risk (VaR) approach is sured by dedicated SDG scores, which are the criteria available via the ESG database. used to limit market risk for the sub-fund assets. result of a double-layered algorithm in the ESG investment methodology. In the first layer, More information about the functioning of the The leverage is not expected to exceed twice the issuers are identified and scored by the revenues ESG investment methodology, its integration in value of the net assets of the fund. However, the they generate that can be linked to the SDGs the investment process, the selection criteria as expected leverage should not be viewed as an (positive contribution) and where those revenues well as our ESG related policies can be found on additional risk limit for the fund. by comparison measures exceed the correspond- our website www.dws.com/solutions/esg. ing measures of other issuers. The second layer Investment in shares of target funds confirms the ESG quality of such issuers in In addition, an engagement activity can be In addition to the information in the general respect to defined minimum standards in initiated with the individual issuers regarding section of the Sales Prospectus the following is respect to environmental, social and corporate matters such as strategy, financial and non-finan- applicable to this sub-fund: governance factors. Further, next to their SDG cial performance, risk, capital structure, social contribution issuers will be assessed to ensure and environmental impact as well as corporate When investing in target funds associated to that they do not obstruct the SDG objective (with governance including topics like disclosure, the sub-fund, the part of the management fee negative total net SDG contribution). culture and remuneration. The dialogue can be attributable to shares of these target funds is exercised by, for example, proxy voting, company reduced by the management fee/all-in fee of the The sub-fund manager considers in its asset meetings or engagement letters. acquired target funds, and as the case may be, allocation the resulting scores from the ESG up to the full amount (difference method). database. At least 80% of the sub-fund’s assets In compliance with the investment limits speci- are invested in issuers that are classified in the fied in Article 2 B. of the general section of the highest three scores (scores A-C) of the propri- Sales Prospectus, the investment policy may etary SDG score from the application of the ESG also be implemented through the use of suitable investment methodology. derivative financial instruments. These derivative financial instruments may be acquired for hedg- The ESG and SDG performance of an issuer is ing and investment purposes and may include, evaluated independently from financial success among others, options, forwards, futures, based on a variety of factors. These factors futures contracts on financial instruments and include, for example, the following fields of options on such contracts, as well as privately interest: negotiated OTC contracts on any type of financial instrument, including swaps, forward-starting Environment swaps, inflation swaps, excess return swaps, swaptions, constant maturity swaps and credit –– Conservation of flora and fauna; default swaps. –– Protection of natural resources, atmosphere and inshore waters; In addition, the sub-fund’s assets may be –– Limitation of land degradation and climate invested in all other permissible assets specified change; in Article 2, including the assets mentioned in –– Avoidance of encroachment on ecosystems Article 2 A. (j) of the general part of the Sales and loss of biodiversity. Prospectus.

Social The respective risks connected with investments in this sub-fund are disclosed in the general –– General human rights; section of the Sales Prospectus. –– Prohibition of child labour and forced labour; –– Imperative Non-discrimination; Integration of sustainability risks –– Workplace health and safety; The sub-fund management integrates sustain- –– Fair workplace and appropriate remuneration. ability risks into their investment decisions by means of ESG Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

222 DWS Invest Global Infrastructure

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager RREEF America LLC, 222 S. Riverside Plaza, Floor 24, Chicago, IL 60606, United States of America Performance benchmark – Reference portfolio Dow Jones Brookfield Global Infrastructure Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* FC EUR 0% up to 0.75% 0% 0.05% January 14, 2008 LC EUR up to 5% up to 1.5% 0% 0.05% January 14, 2008 NC EUR up to 3% up to 2% 0.2% 0.05% January 14, 2008 LD EUR up to 5% up to 1.5% 0% 0.05% July 1, 2008 USD LC USD up to 5% up to 1.5% 0% 0.05% July 1, 2008 CHF LCH CHF up to 5% up to 1.5 % 0% 0.05% November 29, 2013 USD FC USD 0% up to 0.75% 0% 0.05% March 24, 2014 GBP D RD GBP 0% up to 0.75% 0% 0.05% June 4, 2014 FCH (P) EUR 0% up to 0.75% 0% 0.05% November 14, 2014 SGD LDMH (P) SGD up to 5% up to 1.5% 0% 0.05% February 16, 2015 FD EUR 0% up to 0.75% 0% 0.05% May 15, 2015 FDH (P) EUR 0% up to 0.75% 0% 0.05% May 15, 2015 GBP DH (P) RD GBP 0% up to 0.75% 0% 0.05% May 15, 2015 IDH (P) EUR 0% up to 0.6% 0% 0.01% May 15, 2015 USD LCH (P) USD up to 5% up to 1.5% 0% 0.05% May 15, 2015 CHF FDH (P) CHF 0% up to 0.75% 0% 0.05% September 14, 2015 LDH (P) EUR up to 5% up to 1.5% 0% 0.05% September 14, 2015 SEK FCH (P) SEK 0% up to 0.75% 0% 0.05% September 14, 2015 SEK LCH (P) SEK up to 5% up to 1.5% 0% 0.05% September 14, 2015 USD FDM USD 0% up to 0.75% 0% 0.05% September 14, 2015 USD ID USD 0% up to 0.6% 0% 0.01% September 14, 2015 USD LD USD up to 5% up to 1.5% 0% 0.05% September 14, 2015 USD LDMH (P) USD up to 5% up to 1.5% 0% 0.05% September 14, 2015 IC EUR 0% up to 0.6% 0% 0.01% August 16, 2016 ID EUR 0% up to 0.6% 0% 0.01% August 16, 2016 LCH (P) EUR up to 5% up to 1.5% 0% 0.05% February 15, 2017 SEK FDH (P) SEK 0% up to 0.75% 0% 0.05% February 15, 2017

223 Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* PFC EUR 0% up to 1.6% 0% 0.05% July 31, 2017 TFC EUR 0% up to 0.75% 0% 0.05% December 5, 2017 TFCH (P) EUR 0% up to 0.75% 0% 0.05% December 5, 2017 TFD EUR 0% up to 0.75% 0% 0.05% December 5, 2017 ND EUR up to 3% up to 2% 0% 0.05% May 7, 2019 USD IDQ USD 0% up to 0.6% 0% 0.01% May 7, 2019 USD IC250 USD 0% up to 0.35% 0% 0.01% September 16, 2019 USD ID250 USD 0% up to 0.35% 0% 0.01% September 16, 2019 USD ICH (P)100 USD 0% up to 0.45% 0% 0.01% April 15, 2020 PFD EUR 0% up to 1.6% 0% 0.05% August 31, 2020 USD TFCH (P) USD 0% up to 0.75% 0% 0.05% February 15, 2021 SEK FC1000 SEK 0% up to 0.45% 0% 0.05% April 15, 2021 USD IC USD 0% up to 0.5% 0% 0.01% July 15, 2021

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

For the sub-fund with the name DWS Invest –– natural barriers like planning or environmental –– Water (irrigation, potable water, waste Global Infrastructure, the following provisions restrictions, or availability of land; treatment). shall apply in addition to the terms contained in –– high costs of new development, such as the –– Communications (broadcast/mobile towers, the general section of the Sales Prospectus. cost to build roads; satellites, fiber and copper cables). –– long-term exclusive concessions and cus- Investment policy tomer contracts; The potential investment universe comprises The main investment objective of the sub-fund –– efficiencies provided by economies of scale more than 400 stocks, broadly representing all DWS Invest Global Infrastructure is to achieve a such as reductions in marketing or other the listed infrastructure assets in the world. long-term sustained capital appreciation in Euros services. through investments in promising companies of The social infrastructure comprises companies the “Global Infrastructure” sector. These high barriers to entry have the effect of for instance in the health sector (hospitals, protecting the cash flows generated by these nursing homes). The sub-fund is actively managed and is not infrastructure assets, because services provided managed in reference to a benchmark. such as parking, roads, and communications A total of up to 30% of the sub-fund’s assets towers can generally only be delivered by rela- (after deduction of liquid assets) may be At least 70% of the sub-fund’s assets (after tively large and costly physical assets in close invested in deduction of liquid assets) are invested in equi- proximity to customers. This is a critical distinc- ties, other equity securities and uncertificated tion between infrastructure and other industries. a) equity, other equity securities and uncertifi- equity instruments of issuers of the “Global cated equity instruments of international Infrastructure” sector. The sub-fund manager distinguishes between issuers that do not operate predominantly in social infrastructure and economic infrastructure. the Global Infrastructure sector; Infrastructure companies provide an essential The sub-fund will be more focused on the latter b) interest-bearing securities, as well as con- product or service to a segment of the population one. The sub-fund manager understands under vertible bonds and warrant-linked bonds at a given time and cost, and often retain these “economic infrastructure” the services for which issued by companies in the global infrastruc- characteristics for an extended period of time. the user is prepared to pay such as transport, ture sector or by issuers in accordance with gas, electricity, water and communications. Due (a) above and which are denominated in any The strategic competitive advantage of infra- to the large size and cost and often monopoly freely convertible currency. structure assets is often protected by high characteristics of these assets, Infrastructure has barriers to entry of alternative suppliers. These historically been financed, built, owned and A maximum of 20% of the sub-fund´s assets high barriers to entry can take various forms, operated by the state. Infrastructure includes: may be invested in securities such as A-Shares, including: B-Shares, bonds and other securities listed and –– Transport (roads, airports, seaports, rail). traded in Mainland China. –– requirements imposed by legislation and/or –– Energy (gas and electricity transmission, regulation; distribution and generation).

224 The sub-fund will not invest in contingent (b) are domiciled in a third country and are not Leverage is not expected to exceed twice the convertibles. subject in said domicile to corporate income value of the investment sub-fund’s assets. The tax of at least 15% or are exempt from it; leverage effect is calculated using the sum of The sub-fund intends to use securities financing –– units of corporations which hold, directly or notional approach (absolute (notional) amount of transactions under the conditions and to the indirectly, units of corporations, that are (i) real each derivative position divided by the net present extent further described in the general part of estate companies or (ii) are not real estate value of the portfolio). However, the disclosed the Sales Prospectus. companies, but (a) are domiciled in a member expected level of leverage is not intended to be an state of the European Union or a member additional exposure limit for the sub-fund. In addition, the sub-fund may invest in all other state of the European Economic Area and are permissible assets specified in Article 2 of the not subject in said domicile to corporate Investment in shares of target funds general section of the Sales Prospectus. income tax or are exempt from it or (b) are In addition to the information in the general domiciled in a third country and are not sub- section of the Sales Prospectus the following Notwithstanding the investment limit specified in ject in said domicile to corporate income tax is applicable to this sub-fund: Article 2 B. (n) concerning the use of derivatives, of at least 15% or are exempt from it if the fair the following investment restrictions shall apply market value of units of such corporations When investing in target funds associated to with regard to the investment restrictions cur- equal more than 10% of the fair market value the sub-fund, the part of the management fee rently applicable in individual distribution of those corporations. attributable to shares of these target funds is countries: reduced by the management fee/all-in fee of the For the purpose of this investment policy and in acquired target funds, and as the case may be, Derivatives that constitute short positions must accordance with the definition in the German up to the full amount (difference method). have adequate coverage at all times and may be Investment Code (KAGB), an organized market is used exclusively for hedging purposes. Hedging a market which is recognized, open to the public is limited to 100% of the underlying instrument and which functions correctly, unless expressly covering the derivative. Conversely, no more than specified otherwise. Such organized market also 35% of the net value of the assets of the sub- meets the criteria of article 50 of the UCITS fund may be invested in derivatives that consti- Directive. tute long positions and do not have corresponding coverage. The respective risks connected with investments in this sub-fund are disclosed in the general For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. tion within the meaning of the German Invest- ment Tax Act and in addition to the investment Integration of sustainability risks limits described in the Articles of Incorporation The sub-fund management integrates sustain- and this Sales Prospectus (equity fund) at least ability risks into their investment decisions by 51% of the sub-fund´s gross assets (determined means of Smart Integration. Further information as being the value of the sub-fund´s assets on how sustainability risks are taken into account without taking into account liabilities) are in the investment decisions can be found in the invested in equities admitted to official trading on general section of the Sales Prospectus. a stock exchange or admitted to, or included in, another organized market and which are not: Specific risks The sub-fund’s performance will largely be –– units of investment funds; determined by the following factors, which give –– equities indirectly held via partnerships; rise to both upside and downside potential: –– units of corporations, associations of persons or estates at least 75% of the gross assets of –– the performance of international equity which consist of immovable property in markets; accordance with statutory provisions or their –– company and sector specific developments; investment conditions, if such corporations, –– exchange-rate movements of non-euro curren- associations of persons or estates are subject cies against the euro. to corporate income tax of at least 15% and are not exempt from it or if their distributions The sub-fund may focus its investments on are subject to tax of at least 15% and the different sub-sectors, countries and market sub-fund is not exempt from said taxation; segments for a certain time period on a variable –– units of corporations which are exempt from basis. In addition, the sub-fund could use deriva- corporate income taxation to the extent they tives. These investments could also lead to conduct distributions unless such distributions further performance and risks. are subject to taxation at a minimum rate of 15% and the sub-fund is not exempt from said Risk Management taxation; The relative Value-at-Risk (VaR) approach is used –– units of corporations the income of which to limit market risk in the sub-fund. originates, directly or indirectly, to an extent of more than 10%, from units of corporations, In addition to the provisions of the general that are (i) real estate companies or (ii) are not section of the Sales Prospectus, the potential real estate companies, but (a) are domiciled in market risk of the sub-fund is measured using a member state of the European Union or a reference portfolio that does not contain deriva- member state of the European Economic Area tives (“risk benchmark”). and are not subject in said domicile to corporate income tax or are exempt from it or

225 DWS Invest Global Real Estate Securities

Investor profile Growth-oriented Currency of sub-fund USD Sub-fund manager RREEF America LLC, 222 S. Riverside Plaza, Floor 24, Chicago, IL 60606, United States of America. RREEF America LLC has partially delegated its fund management services to the sub-managers DWS Alternatives Global Limited and DWS Investments Australia Limited. Performance benchmark – Reference portfolio FTSE EPRA/NAREIT Developed Index (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

226 For the sub-fund with the name DWS Invest Global Up to 30% of the sub-fund’s assets may be Real Estate Securities, the following provisions invested in equities and/or securities similar to shall apply in addition to the terms contained in the equities issued by companies worldwide that do general section of the Sales Prospectus. not meet the requirements of (a) and (b) above.

Investment policy The sub-fund will not invest in contingent The objective of the investment policy of DWS convertibles. Invest Global Real Estate Securities is to generate an above average return for the sub-fund. The sub-fund intends to use securities financing transactions under the conditions and to the The sub-fund is actively managed and is not extent further described in the general part of managed in reference to a benchmark. the Sales Prospectus.

The sub-fund invests primarily in the equities of In addition, the sub-fund may invest in all other listed companies that own, develop or manage permissible assets specified in Article 2 of the real estate, provided that these equities are general section of the Sales Prospectus. considered to be transferable securities as defined by Article 41 (1) of the Law of 2010, on The respective risks connected with investments Undertakings for Collective Investment. in this sub-fund are disclosed in the general section of the Sales Prospectus. In particular, the sub-fund may acquire equities, interest-bearing securities, convertible bonds, Integration of sustainability risks warrant-linked bonds whose underlying warrants The sub-fund management integrates sustain- are for securities, equity warrants and participa- ability risks into their investment decisions by tion certificates. In addition, the sub-fund’s means of Smart Integration. Further information assets may be invested in index certificates on on how sustainability risks are taken into account recognized equity indices. in the investment decisions can be found in the general section of the Sales Prospectus. At least 70% of the fund’s total assets are invested in Risk Management The relative Value-at-Risk (VaR) approach is used a) equities of real estate companies, real estate to limit market risk in the sub-fund. investment companies including closed real estate investment trusts (REITs) of any legal In addition to the provisions of the general form, as well as section of the Sales Prospectus, the potential b) securities similar to equities, such as partici- market risk of the sub-fund is measured using a pation and dividend-right certificates of reference portfolio that does not contain deriva- companies according to (a) above, and tives (“risk benchmark”). c) derivative financial instruments whose under lying instruments directly or indirectly (i.e., via Contrary to the provision of the general section equity indices) constitute investments of the Sales Prospectus, because of the invest- according to (a). ment strategy of the sub-fund it is expected that the leverage effect from the use of derivatives Where liquid assets cover obligations arising will not be any higher than five times the sub- from derivative financial instruments according to fund assets. The leverage effect is calculated (c) above, such liquid assets are attributed to the using the sum of notional approach (absolute relevant 70%. Investments according to (a) and (notional) amount of each derivative position (b) herein must not include open-ended real divided by the net present value of the portfolio). estate investment funds deemed to be collective The disclosed expected level of leverage is not investment undertakings under Luxembourg law. intended to be an additional exposure limit for the sub-fund. In compliance with Article 2 of the general section of the Sales Prospectus, the investment Investment in shares of target funds policy can also be implemented through the use In addition to the information in the general of suitable derivative financial instruments. These section of the Sales Prospectus the following is derivative financial instruments may include, applicable to this sub-fund: among others, options, forward contracts, futures contracts on financial instruments and When investing in target funds associated to options on such contracts, as well as privately the sub-fund, the part of the management fee negotiated swap contracts on any type of finan- attributable to shares of these target funds is cial instrument. reduced by the management fee/all-in fee of the acquired target funds, and as the case may be, In particular, derivatives based on equities, up to the full amount (difference method). bonds, currencies or recognized financial indices may also be acquired.

227 DWS Invest Gold and Precious Metals Equities

Investor profile Risk-tolerant Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investment Management Americas Inc., 345 Park Avenue, New York, NY 10154, United States of America. Performance benchmark – Reference portfolio S&P – Gold & Precious Metals Mining Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg that is also an exchange trading day on the New York Stock Exchange (NYSE) Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest domestic issuers whose revenues or earnings Furthermore, the Sub-fund also intends from time Gold and Precious Metals Equities, the following were generated primarily from the exploration for to time to establish an exposure of up to 25% of provisions shall apply in addition to the terms and the extraction and processing of gold, silver, the Sub-fund‘s assets to the international precious contained in the general section of the Sales platinum or other precious metals. The targeted metals markets (including an exposure to gold, Prospectus. companies can be active in exploration, silver, palladium and platinum). However this limit extraction, production, processing and sales. can be utilised by establishing an exposure to one Investment policy single precious metal. For this purpose and within The objective of the investment policy of In compliance with Article 2 B. of the general this 25% limit, the Sub-fund may acquire deriva- DWS Invest Gold and Precious Metals Equities section of the Sales Prospectus, the sub-fund tive financial instruments whose underlying is to achieve as high an appreciation as possible may use suitable derivative financial instruments instruments are precious metals indices and of capital invested in U.S. dollars by investing and techniques in order to implement the invest- sub-indices in accordance with the 2008 Regula- globally in companies in the precious-metals ment strategy and to achieve the investment tion, as well as ETFs and 1:1 certificates (including sector deemed to be promising. objective, including in particular – but not limited Exchange Traded Commodities (ETCs)) the under- to – forwards, futures, single-stock futures, lying of which are single precious metals and that The sub-fund is actively managed and is not options or equity swaps. Where liquid assets meet the requirements of transferable securities managed in reference to a benchmark. cover obligations arising from derivative financial as determined in Article 2 A. (j) of the general instruments, such liquid assets are attributed to section of the Sales Prospectus. In doing so, at least 70% of the sub-fund’s the relevant 70%. assets are invested in equities of foreign and

228 The sub-fund may not enter into any obligations –– units of corporations which hold, directly or regarding the transfer of physical commodities. indirectly, units of corporations, that are (i) real estate companies or (ii) are not real estate A maximum of 30% of the sub-fund’s assets may companies, but (a) are domiciled in a member be invested in instruments that do not satisfy the state of the European Union or a member requirements of the preceding paragraphs as well state of the European Economic Area and are as in all other permissible assets specified in not subject in said domicile to corporate Article 2 of the general section of the Sales income tax or are exempt from it or (b) are Prospectus. domiciled in a third country and are not subject in said domicile to corporate income tax A maximum of 20% of the sub-fund´s assets of at least 15% or are exempt from it if the fair may be invested in securities such as A-Shares, market value of units of such corporations B-Shares, bonds and other securities listed and equal more than 10% of the fair market value traded in Mainland China. of those corporations.

The sub-fund’s investments in contingent For the purpose of this investment policy and in convertibles shall be limited to 10% of the accordance with the definition in the German sub-fund’s net asset value. Investment Code (KAGB), an organized market is a market which is recognized, open to the public The sub-fund intends to use securities financing and which functions correctly, unless expressly transactions under the conditions and to the specified otherwise. Such organized market also extent further described in the general part of meets the criteria of article 50 of the UCITS the Sales Prospectus. Directive.

For the purpose of inducing a partial tax exemp- The respective risks connected with investments tion within the meaning of the German Invest- in this sub-fund are disclosed in the general ment Tax Act and in addition to the investment section of the Sales Prospectus. limits described in the Articles of Incorporation and this Sales Prospectus (equity fund) at least Integration of sustainability risks 51% of the sub-fund´s gross assets (determined The sub-fund management integrates sustain- as being the value of the sub-fund´s assets ability risks into their investment decisions by without taking into account liabilities) are means of Smart Integration. Further information invested in equities admitted to official trading on on how sustainability risks are taken into account a stock exchange or admitted to, or included in, in the investment decisions can be found in the another organized market and which are not: general section of the Sales Prospectus.

–– units of investment funds; Risk Management –– equities indirectly held via partnerships; The relative Value-at-Risk (VaR) approach is used –– units of corporations, associations of persons to limit market risk in the sub-fund. or estates at least 75% of the gross assets of which consist of immovable property in In addition to the provisions of the general section accordance with statutory provisions or their of the Sales Prospectus, the potential market risk investment conditions, if such corporations, of the sub-fund is measured using a reference associations of persons or estates are subject portfolio that does not contain derivatives to corporate income tax of at least 15% and (“risk benchmark”). are not exempt from it or if their distributions are subject to tax of at least 15% and the Leverage is not expected to exceed twice the sub-fund is not exempt from said taxation; value of the investment sub-fund’s assets. The –– units of corporations which are exempt from leverage effect is calculated using the sum of corporate income taxation to the extent they notional approach (absolute (notional) amount of conduct distributions unless such distributions each derivative position divided by the net pres- are subject to taxation at a minimum rate of ent value of the portfolio). However, the dis- 15% and the sub-fund is not exempt from said closed expected level of leverage is not intended taxation; to be an additional exposure limit for the –– units of corporations the income of which sub-fund. originates, directly or indirectly, to an extent of more than 10%, from units of corporations, Investment in shares of target funds that are (i) real estate companies or (ii) are not In addition to the information in the general real estate companies, but (a) are domiciled in section of the Sales Prospectus the following is member state of the European Union or a applicable to this sub-fund: member state of the European Economic Area and are not subject in said domicile to corpo- When investing in target funds associated to rate income tax or are exempt from it or the sub-fund, the part of the management fee (b) are domiciled in a third country and are not attributable to shares of these target funds is subject in said domicile to corporate income reduced by the management fee/all-in fee of the tax of at least 15% or are exempt from it; acquired target funds, and as the case may be, up to the full amount (difference method).

229 DWS Invest Green Bonds

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio (risk benchmark) 70% ICE BofA Merrill Lynch Green Bond Index Euro hedged; 20% ICE BofA Merrill Lynch Global Corporate Index Euro hedged; 10% ICE BofA Merrill Lynch Global High Yield Index Euro hedged. Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt/Main Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest (Environmental, Social and Corporate Gover- sectors (which include coal, tobacco, defence Green Bonds, the following provisions shall apply nance) related/themed projects. Mainly that industry, pornography, gambling and nuclear in addition to the terms contained in the general covers Green Bonds, which are debt instruments power), (ii) involvement in controversial weapons section of the Sales Prospectus. where the use of proceeds is limited to projects (nuclear weapons, depleted uranium, cluster with environmental and/or climate benefits. munitions and anti-personnel mines) or (iii) viola- Investment policy tion of internationally accepted norms, but also This sub-fund has sustainable investment as its The sub-fund management invests at least 80% allow for an active issuer selection based on objective and qualifies as product in accordance of the sub-fund’s assets in economic activities categories such as climate and transition risk, with article 9 of Regulation (EU) 2019/2088 on that contribute to environmental and/or social norm compliance or best in class ESG evaluations sustainability-related disclosures in the financial objectives. in respect to the above-mentioned environmental services sector. and/or social objectives. The methodology assigns The sub-fund management seeks to attain its one of six possible proprietary scores to each The objective of the investment policy of DWS sustainable objective by assessing potential possible issuer based on a letter scoring from A to Invest Green Bonds is to generate an above- investments via proprietary ESG investment F, whereby issuers with A and B scores are con- average return for the sub-fund. methodology. This methodology incorporates sidered as leading in their categories and issuers investment standards according to an ESG data- with C scores are considered as within the upper The sub-fund is actively managed and is not base, which uses data from multiple leading ESG midfield of their category. These letter scores can managed in reference to a benchmark. data providers as well as internal and public originate from revenues generated from contro- sources to derive proprietary combined scores for versial sectors or the degree of involvement in The sub-fund’s assets are predominantly various environmental and social objectives. The controversial weapons, the degree of severity that invested in interest-bearing debt securities methodology assigns one of six possible propri- an issuer may be involved in the violation of issued by public, private and semi-private issuers etary scores to each possible issuer. These scores international norms, the assessment on climate worldwide that finance special ESG encompass assessments for (i) controversial

230 and transition risk, which is based on for example hedged against the euro with a non-investment carbon intensity or the risk of stranded assets, or grade status with a minimum credit rating of B3 from best in class ESG evaluations. (rated by Moody’s) or B- (rated by S&P and Fitch) at time of acquisition. In case of split rating The sub-fund manager considers in its asset between three agencies, the lower rating of the allocation the resulting scores from the ESG two best ratings should be applicable. In case of database. At least 80% of the sub-fund’s assets split rating between two agencies, the lower are invested in issuers that are classified in the rating should be applicable. In the case of no highest three scores (scores A-C) of the propri- rating, an internal rating may be applied. When a etary ESG score from the application of the ESG holding asset is downgraded to lower than B3/B-, investment methodology. such asset will be sold within 6 months.

The ESG performance of an issuer is evaluated The sub-fund will not invest in contingent independently from financial success based on a convertibles. variety of factors. These factors include, for example, the following fields of interest: The sub-fund intends to use securities financing transactions under the conditions and to the Environment extent further described in the general part of the Sales Prospectus. –– Conservation of flora and fauna; –– Protection of natural resources, atmosphere In addition, the sub-fund’s assets may be and inshore waters; invested in all other permissible assets specified –– Limitation of land degradation and in Article 2, including the assets mentioned in climate change; Article 2 A. (j) of the general part of the Sales –– Avoidance of encroachment on ecosystems Prospectus. and loss of biodiversity. The respective risks connected with investments Social in this sub-fund are disclosed in the general section of the Sales Prospectus. –– General human rights; –– Prohibition of child labour and forced labour; Integration of sustainability risks –– Imperative Non-discrimination; The sub-fund management integrates sustain- –– Workplace health and safety; ability risks into their investment decisions by –– Fair workplace and appropriate remuneration. means of ESG Integration. Further information on how sustainability risks are taken into account in Corporate Governance the investment decisions can be found in the general section of the Sales Prospectus. –– Global Governance Principles by the Inter national Corporate Governance Network; Risk Management –– Global Compact Anti-Corruption Principles. The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund. In addition At least 90% of the sub-fund`s portfolio holdings to the provisions of the general section of the will be screened according to non-financial criteria Sales Prospectus, the potential market risk of available via the ESG database. the sub-fund is measured using a reference portfolio that does not contain derivatives More information about the functioning of the (“risk benchmark”). ESG investment methodology, its integration in the investment process, the selection criteria as The leverage is not expected to exceed twice the well as our ESG related policies can be found on value of the net assets of the fund. However, the our website www.dws.com/solutions/esg. expected leverage should not be viewed as an additional risk limit for the fund. In addition, an engagement activity can be initiated with the individual issuers regarding matters Investment in shares of target funds such as strategy, financial and non-financial perfor- In addition to the information provided in the mance, risk, capital structure, social and environ- general section of the sales prospectus, the mental impact as well as corporate governance following applies to this fund: including topics like disclosure, culture and remuneration. The dialogue can be exercised by, for When investments are made in affiliated target example, proxy voting, company meetings or funds, the all-in fee attributable to units of affili- engagement letters. ated target funds is reduced by the all-in fee/ management fee charged by the acquired target At least 80% of the sub-fund’s assets shall be funds, if necessary up to the full amount (differ- invested globally in interest-bearing debt securi- ence method). ties denominated in euro or hedged against the euro that have an investment grade status at the time of the acquisition. A maximum of 20% of the sub-fund’s assets may be invested into interest-bearing debt securities denominated in euro or

231 DWS Invest Latin American Equities

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager Itau USA Asset Management Inc., 540 Madison Avenue - 24th Floor, New York, 10022, United States of America. Performance benchmark MSCI EM Latin America 10/40 Index in EUR, administered by MSCI Limited. Reference portfolio MSCI EM Latin America 10/40 Index in EUR (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt/Main that is also an exchange trading day on the Sao Paolo Stock Exchange Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest interest in companies registered in a Latin- The still-developing exchanges in some of the Latin American Equities, the following provisions American country such as e.g. Argentina, Brazil, Latin-American countries present increased shall apply in addition to the terms contained in Chile, Colombia, Mexico, Peru or Venezuela. opportunities and risks, and are not currently the general section of the Sales Prospectus. deemed to be regulated markets as defined by Investments in the securities mentioned above Article 41 of the Law of 2010; investment in Investment policy may also be made through Global Depository those countries is therefore limited to 10% of The objective of the investment policy for the Receipts (GDRs) and American Depository the fund’s assets and counted towards the DWS Invest Latin American Equities is to achieve Receipts (ADRs) listed on recognized exchanges investment limit stated in Article 2 B. (h) of the an above-average return. At least 70% of the and markets issued by international financial general section of the Sales Prospectus. sub-fund’s assets are invested in equities, stock institutions or, to the extent permitted by the certificates, participation and dividend right Grand Ducal Regulation of February 8, 2008, In compliance with Article 2 B. of the general certificates, convertible bonds and equity war- relating to certain definitions of the Law of 2010 section of the Sales Prospectus, the sub-fund rants issued by companies registered in a Latin- (the 2008 Regulation) and Article 41 (1) or (2) of may use suitable derivative financial instruments American country (or having their principal the Law of 2010 through Participatory Notes and techniques in order to implement the invest- business activity in a Latin-American country or (P-Notes). ment policy and achieve the investment objec- which, as holding companies, hold primarily tive, including in particular – but not limited

232 to – forwards, futures, single-stock-futures, and are not subject in said domicile to corpo- Benchmark options or equity swaps. Where liquid assets rate income tax or are exempt from it or (b) The sub-fund is actively managed and is man- cover obligations arising from derivative financial are domiciled in a third country and are not aged in reference to one or a combination of instruments such liquid assets are attributed to subject in said domicile to corporate income benchmarks as further detailed in the sub-fund the relevant 70%. tax of at least 15% or are exempt from it; specific table. All benchmarks respectively their –– units of corporations which hold, directly or administrators are registered with the ESMA, A maximum of 30% of the sub-fund’s assets indirectly, units of corporations, that are (i) real either in the public register of administrators of may be invested in equities, stock certificates, estate companies or (ii) are not real estate benchmark indices or the public register of third participation and dividend right certificates, companies, but (a) are domiciled in a member country benchmarks. convertible bonds and equity warrants of issu- state of the European Union or a member ers that do not fulfil the requirements of the state of the European Economic Area and are The majority of the sub-fund’s securities or preceding paragraphs. not subject in said domicile to corporate their issuers are not necessarily expected to be income tax or are exempt from it or (b) are components of the benchmark and the portfolio Up to 30% of the sub-fund’s assets may be domiciled in a third country and are not sub- is not necessarily expected to have a similar invested in short-term deposits, money market ject in said domicile to corporate income tax weighting to the benchmark. The sub-fund instruments and bank balances. of at least 15% or are exempt from it if the fair management will use its discretion to invest in market value of units of such corporations securities and sectors that are not included in The sub-fund’s investments in contingent equal more than 10% of the fair market value the benchmark in order to take advantage of convertibles shall be limited to 10% of the of those corporations. specific investment opportunities. In regard to its sub-fund’s net asset value. benchmark, the sub-fund positioning can deviate For the purpose of this investment policy and in significantly (e.g., by a positioning outside of the The sub-fund intends to use securities financing accordance with the definition in the German benchmark as well as a significant underweight- transactions under the conditions and to the Investment Code (KAGB), an organized market is ing or overweighting) and the actual degree of extent further described in the general part of a market which is recognized, open to the public freedom is typically relatively high. A deviation the Sales Prospectus. and which functions correctly, unless expressly generally reflects the sub-fund manager’s evalua- specified otherwise. Such organized market also tion of the specific market situation, which may In addition, the sub-fund’s assets may be meets the criteria of article 50 of the UCITS lead to a defensive and closer or a more active invested in all other permissible assets specified Directive. and wider positioning compared to the bench- in Article 2, including the assets mentioned in mark. Despite the fact that the sub-fund aims to Article 2 A. (j). The respective risks connected with investments outperform the return of the benchmark, the in this sub-fund are disclosed in the general potential outperformance might be limited For the purpose of inducing a partial tax exemp- section of the Sales Prospectus. depending on the prevailing market environment tion within the meaning of the German Invest- (e.g. less volatile market environment) and actual ment Tax Act and in addition to the investment Integration of sustainability risks positioning versus the benchmark. limits described in the Articles of Incorporation The sub-fund management makes all manage- and this Sales Prospectus (equity fund) at least ment decisions for the sub-fund taking into Risk Management 51% of the sub-fund´s gross assets (determined account the legal and contractual investment The relative Value-at-Risk (VaR) approach is used as being the value of the sub-fund´s assets restrictions considering the sustainability risks. to limit market risk in the sub-fund. without taking into account liabilities) are invested in equities admitted to official trading on The following applies to the consideration of In addition to the provisions of the general a stock exchange or admitted to, or included in, sustainability risks in investment decisions: The section of the Sales Prospectus, the potential another organized market and which are not: sub-fund management also considers sustain- market risk of the sub-fund is measured using a ability risks in its investment decisions besides reference portfolio that does not contain deriva- –– units of investment funds; the common financial data. This consideration tives (“risk benchmark”). –– equities indirectly held via partnerships; applies to the entire investment process, both –– units of corporations, associations of persons for the fundamental analysis of investments and Leverage is not expected to exceed twice the or estates at least 75% of the gross assets of for the investment decisions. value of the investment sub-fund’s assets. The which consist of immovable property in leverage effect is calculated using the sum of accordance with statutory provisions or their The sub-fund management’s responsible invest- notional approach (absolute (notional) amount of investment conditions, if such corporations, ment approach is centered in ESG-integrated each derivative position divided by the net pres- associations of persons or estates are subject fundamental analysis, proxy voting activities and ent value of the portfolio). However, the dis- to corporate income tax of at least 15% and engagement with investee companies. The ESG closed expected level of leverage is not intended are not exempt from it or if their distributions integration approach is centered in the invest- to be an additional exposure limit for the are subject to tax of at least 15% and the ment research process, with a focus on funda- sub-fund. sub-fund is not exempt from said taxation; mental equity research. The sub-fund manager’s –– units of corporations which are exempt from proprietary method projects ESG issues into the Investment in shares of target funds corporate income taxation to the extent they DCF models focusing on the cash flow lines, In addition to the information in the general conduct distributions unless such distributions thus influencing target prices of analyzed compa- section of the Sales Prospectus the following are subject to taxation at a minimum rate of nies. The objective is to estimate the NPV of is applicable to this sub-fund: 15% and the sub-fund is not exempt from said material ESG issues to anticipate events that taxation; may result in value creation or destruction. When investing in target funds associated to –– units of corporations the income of which the sub-fund, the part of the management fee originates, directly or indirectly, to an extent Itaú Asset Management exercises active owner- attributable to shares of these target funds is of more than 10%, from units of corporations, ship through voting on investee companies’ reduced by the management fee/all-in fee of the that are (i) real estate companies or (ii) are not AGMs and through engagements with investee acquired target funds, and as the case may be, real estate companies, but (a) are domiciled in companies. The objective is to have a positive up to the full amount (difference method). member state of the European Union or a dialogue with companies regarding the promo- member state of the European Economic Area tion of best ESG practices.

233 DWS Invest Low Carbon Bonds

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark Solactive ISS Paris Aligned Select Euro Corporate IG Index, administered by Solactive AG Reference portfolio Solactive ISS Paris Aligned Select Euro Corporate IG Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest The sub-fund’s assets are predominantly The sub-fund management seeks to attain its Low Carbon Bonds, the following provisions shall invested in interest-bearing debt securities sustainable objective by a two-step approach. apply in addition to the terms contained in the issued by corporates worldwide that are very low general section of the Sales Prospectus. CO2 emitters, as well as issuers that are in the In a first step, potential investments are process of transition to low emissions. assessed via proprietary ESG investment meth- Investment policy odology. This methodology incorporates invest- This sub-fund has sustainable investment as its At least 70% of the sub-fund’s assets shall be ment standards according to an ESG database, objective and qualifies as product in accordance invested globally in interest-bearing debt securi- which uses data from multiple leading ESG data with article 9 (3) of Regulation (EU) 2019/2088 on ties that have an investment grade status at the providers as well as internal and public sources sustainability‐related disclosures in the financial time of the acquisition. A maximum of 30% of to derive proprietary combined scores for various services sector, whereby Solactive ISS Paris the sub-fund’s assets may be invested into environmental and social objectives. The method- Aligned Select Euro Corporate IG Index has been interest-bearing debt securities with a non-in- ology assigns one of six possible proprietary designated as reference benchmark of the vestment grade status with a minimum credit scores to each possible issuer. These scores sub-fund. DWS Invest Low Carbon Bonds fund rating of B3 (rated by Moody’s) or B- (rated by encompass assessments for (i) controversial will predominantly invested in interest-bearing S&P and Fitch) at time of acquisition. In case of sectors (which include coal, tobacco, defense debt securities issued by corporates worldwide split rating between three agencies, the lower industry, pornography, gambling and nuclear that are low CO2 emitters, as well as issuers that rating of the two best ratings should be applica- power), (ii) involvement in controversial weapons are in the process of transition to low emissions. ble. In case of split rating between two agencies, (nuclear weapons, depleted uranium, cluster The objective of reducing carbon emissions in the lower rating should be applicable. In the case munitions and anti-personnel mines) or (iii) viola- view of achieving the long-term global warming of no rating, an internal rating may be applied. tion of internationally accepted norms, but also objectives of the Paris Agreement adopted under When a holding asset is downgraded to lower allow for an active issuer selection based on the United Nations Framework Convention on than B3/B-, such asset will be sold within categories such as climate and transition risk, Climate Change (the ‘Paris agreement’) is hence 6 months. norm compliance or best in class ESG evalua- an integral part of the sub-fund concept. tions in respect to the above-mentioned environ- At least 70% of the sub-fund’s assets will be mental and/or social objectives. The methodology The objective of the investment policy of DWS in EUR or hedged into EUR. assigns one of six possible proprietary scores to Invest Low Carbon Bonds is to generate an each possible issuer based on a letter scoring above-average return for the sub-fund. from A to F, whereby issuers with A and B scores

234 are considered as leading in their categories and compared to the underlying investible universe culture and remuneration. The dialogue can be issuers with C scores are considered as within (i.e. the Solactive Euro IG Corporate Index) as exercised by, for example, proxy voting, company the upper midfield of their category. These letter defined in the Paris agreement. Detailed informa- meetings or engagement letters. scores can originate from revenues generated tion on the index’ alignment with the objectives from controversial sectors or the degree of of the Paris agreement, the underlying calcula- In compliance with the investment limits speci- involvement in controversial weapons, the tion methodology as well as further details can fied in Article 2 B. of the general section of the degree of severity that an issuer may be involved be found at https://www.solactive.com/indices/. Sales Prospectus, the investment policy may in the violation of international norms, the also be implemented through the use of suitable assessment on climate and transition risk, which To reach the sub-funds’ low carbon objective, the derivative financial instruments. These derivative is based on for example carbon intensity or the portfolio manager takes the carbon intensity on financial instruments may include, among others, risk of stranded assets, or from best in class asset level into account based on certain mini- options, forwards, futures, futures contracts on ESG evaluations. The sub-fund manager consid- mum technical standards, whereby the carbon financial instruments and options on such con- ers in its asset allocation the resulting scores intensity is calculated based on data derived tracts, as well as privately negotiated OTC from the ESG database. The sub-fund’s invest- from the ESG database. Theses minimum stan- contracts on any type of financial instrument, ment in low scored issuers (scores D and E) is dards are inter alia: including swaps, forward-starting swaps, infla- limited or excluded whereas issuers with the tion swaps, total return swaps, excess return lowest scores (e.g. score F) are always excluded –– Reduction of the carbon intensity of the swaps, swaptions, constant maturity swaps and from the investable universe. portfolio credit default swaps.

The ESG performance of an issuer is evaluated The carbon intensity of the portfolio shall not The sub-fund’s investments in contingent con- independently from financial success based on a exceed 50% of the carbon intensity (Scope 1, vertibles shall be limited to 10% of the sub- variety of factors. These factors include, for 2 and 3 greenhouse gas (GHG) emissions and fund’s net asset value. example, the following fields of interest: avoided emissions) of the investible universe and stay below 500 tonnes of carbon emissions per The sub-fund intends to use securities financing Environment million USD revenues (500t/$m). transactions under the conditions and to the extent further described in the general part of –– Conservation of flora and fauna; –– Exposure to coal the Sales Prospectus. –– Protection of natural resources, atmosphere and inshore waters; The exposure to any coal (i.e. issuers who gener- The sub-fund’s investments in asset-backed –– Limitation of land degradation and ate more than 1% of their revenues from coal) is securities shall be limited to 20% of the sub- climate change; reduced to zero. fund’s net asset value. The term “asset backed –– Avoidance of encroachment on ecosystems securities” is always used in the extended and loss of biodiversity. –– Significant exposure to fossil fuel sense, i.e., including mortgage backed securities and collateralized debt obligations. Asset-backed Social The significant exposure to power generated securities are interest-bearing debt securities from fossil fuels (i.e. issuers who generate more backed by a range of receivables and/or securi- –– General human rights; than 50% of their revenues from fossil power) is ties, including in particular securitized credit card –– Prohibition of child labour and forced labour; reduced to zero. receivables, private and commercial mortgage –– Imperative Non-discrimination; receivables, consumer loans, vehicle leasing –– Workplace health and safety; –– Yearly decarbonization rate of 7% receivables, small business loans, mortgage –– Fair workplace and appropriate remuneration. bonds, collateralized loan obligations and collater- The portfolio manager reduces the upper limit alized bond obligations. Corporate Governance for the overall portfolio carbon intensity year over year by 7%. The reduction starts at the launch In addition, the sub-fund’s assets may be –– Global Governance Principles by the Inter date of the first share class of the sub-fund. invested in all other permissible assets specified national Corporate Governance Network; Starting point is the fixed reference value of in Article 2, including the assets mentioned in –– Global Compact Anti-Corruption Principles. 500t/$m and will end with a value of zero for Article 2 A. (j) of the general part of the Sales the carbon intensity. The target reduction of 7% Prospectus. At least 90% of the sub-fund`s portfolio holdings year over year shall be calculated geometrically. will be screened according to non-financial The respective risks connected with investments criteria available via the ESG database. Taking carbon intensity and climate transition in this sub-fund are disclosed in the general risks into account, the sub-fund management section of the Sales Prospectus. In a second step and to achieve the Paris-aligned targets to mitigate climate related risks and investment objective, the sub-fund management focuses on supporting potential opportunities Integration of sustainability risks builds a corporate debt portfolio in reference to arising from a transition into lower carbon world. The sub-fund management integrates sustain- the Solactive ISS Paris Aligned Select Euro ability risks into their investment decisions by Corporate IG Index (the ‘index’). The index is a More information about the functioning of the means of ESG Integration. Further information on rules-based index, engineered to measure the ESG database, its integration in the investment how sustainability risks are taken into account in performance of liquid, euro denominated, invest- process, the selection criteria as well as our ESG the investment decisions can be found in the ment grade corporate debt. It qualifies as EU related policies can be found on our website general section of the Sales Prospectus. Paris-aligned Benchmark under Chapter 3a of www.dws.com/solutions/esg. Title III of Regulation (EU) 2016/1011 on indices Additional information used as benchmarks in financial instruments and In addition, an engagement activity can be When using total return swaps to implement financial contracts or to measure the perfor- initiated with the individual issuers regarding the investment strategy as described above, the mance of investment funds and provides expo- matters such as strategy, financial and non-finan- following shall be noted: sure to a IG corporate debt portfolio, which cial performance, risk, capital structure, social bases upon the ISS ESG climate analysis and is and environmental impact as well as corporate aligned with the 1.5°C scenario through 2050 governance including topics like disclosure,

235 The proportion of the sub-fund’s net assets Risk Disclaimer subject to total return swaps, expressed as The sub-fund may invest in different types of the sum of notionals of the total return swaps asset-backed securities. Among others, invest- divided by the sub-fund’s net asset value, is ments may also include securities that may expected to reach up to 100%, but depending become subject to strong market volatility, such on the respective market conditions, with the as collateralized debt obligations and collateral- objective of efficient portfolio management and ized loan obligations. In some cases, these in the interest of the investors, it may reach up to securities may be very illiquid during periods of 200%. The calculation is performed in line with market uncertainty and may be sold only at a the guidelines CESR/10-788. However, the discount. Individual securities may, in such disclosed expected level of leverage is not extreme market phases, suffer a total loss or a intended to be an additional exposure limit for significant decrease in value. High losses of the sub-fund. value at the level of the sub-fund can therefore not be excluded. Additional information on total return swaps may be found in the general section of the Sales Risk Management Prospectus, amongst others, in the section The relative Value-at-Risk (VaR) approach is used “Efficient portfolio management techniques”. to limit market risk in the sub-fund. In addition to The selection of counterparties to any total the provisions of the general section of the Sales return swap is subject to the principles as Prospectus, the potential market risk of the described in the section “Choice of counter- sub-fund is measured using a reference portfolio party” of the Sales Prospectus. Further informa- that does not contain derivatives (“risk tion on the counterparties is disclosed in the benchmark”).. annual report. For special risk considerations linked to total return swaps, investors should Leverage is not expected to exceed twice the refer to the section “General Risk Warnings”, value of the investment sub-fund’s assets. and in particular the section “Risks connected to However, the expected leverage should not be derivative transactions” of the Sales Prospectus. viewed as an additional risk limit for the fund.

Benchmark Investment in shares of target funds The sub-fund is actively managed and is man- In addition to the information in the general aged in reference to one or a combination of section of the Sales Prospectus the following is benchmarks as further detailed in the sub-fund applicable to this sub-fund: specific table. All benchmarks respectively their administrators are registered with the ESMA, When investing in target funds associated to the either in the public register of administrators of sub-fund, the part of the management fee benchmark indices or the public register of third attributable to shares of these target funds is country benchmarks. reduced by the management fee/all-in fee of the acquired target funds, and as the case may be, The majority of the sub-fund’s securities or up to the full amount (difference method). their issuers are not necessarily expected to be components of the benchmark and the portfolio is not necessarily expected to have a similar weighting to the benchmark. The sub-fund management will use its discretion to invest in securities and sectors that are not included in the benchmark in order to take advantage of specific investment opportunities. In regard to its benchmark, the sub-fund positioning can deviate significantly (e.g., by a positioning outside of the benchmark as well as a significant underweighting or overweighting) and the actual degree of freedom is typically relatively high. A deviation generally reflects the sub-fund manager’s evaluation of the specific market situation, which may lead to a defensive and closer or a more active and wider positioning compared to the benchmark. Despite the fact that the sub-fund aims to outperform the return of the benchmark, the potential outperformance might be limited depending on the prevailing market environment (e.g. less volatile market environment) and actual positioning versus the benchmark.

236 DWS Invest Multi Credit

Investor profile Growth-oriented Currency of sub-fund USD Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio Barclays Global Aggregate Corporate 1-10yrs (50%) and the BofA Merrill Lynch BB-B Global High Yield Index (50%) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest At least 70% of the sub-fund’s assets are S&P or its equivalent by another rating agency, Multi Credit, the following provisions shall apply invested in corporate bonds denominated in the security will be sold by the sub-fund within in addition to the terms contained in the general U.S. dollar or hedged against the U.S. dollar. 6 months of the downgrade. section of the Sales Prospectus. The sub-fund may invest in debt securities The sub-fund will not invest in any securities that Investment policy that are rated investment grade, debt securities are rated below B- by S&P or an equivalent rating The objective of the investment policy of rated below investment grade, and unrated debt from another rating agency as at the date of DWS Invest Multi Credit is to generate an securities. The investment in debt securities investment. In the event that any securities held above-average return for the sub-fund. rated below investment grade and unrated debt by the sub-fund are subsequently downgraded securities is limited to 50% of the sub-fund´s net to a rating below B-, the fund manager may The sub-fund is actively managed and is not assets; however, the sub-fund will only purchase maintain a maximum total exposure of 3% of the managed in reference to a benchmark. debt securities that are rated at least B- by S&P sub-fund’s NAV to such downgraded securities or its equivalent by another rating agency or, if but will divest any such security that has not The sub-fund may invest globally in interest- unrated, deemed to be of comparable quality by been upgraded to a rating of at least B- within bearing securities, in convertible bonds, in the fund manager. In applying this requirement, six months of its downgrade. warrant-linked bonds whose underlying warrants if more than one rating agency rates the security relate to securities, in participation and dividend- and the ratings are not equivalent, the second The sub-fund’s investments in asset-backed right certificates, in derivatives as well as in highest rating will be considered the security’s securities and mortgage backed securities shall money market instruments and liquid assets. rating. In the event that a security is downgraded be limited to 20% of the sub-fund’s net asset after its purchase by the sub-fund to below B- by value.

237 Asset-backed securities and mortgage backed objective of efficient portfolio management and securities may only be invested into if (i) the in the interest of the investors, it may reach up to debtor or issuing company of such investments 200%. The calculation is performed in line with is domiciled in the EEA or in a full member state the guidelines CESR/10-788. However, the of the OECD or (ii) if listed at a regulated market disclosed expected level of leverage is not inside the EEA or admitted to the official market intended to be an additional exposure limit for on an exchange in a state outside the EEA, or the sub-fund. being included into a regulated market in such state. Such investments must be rated invest- Additional information on total return swaps ment grade by the relevant recognised rating may be found in the general section of the Sales agencies (Moody’s and S&P) or, if only one of Prospectus, amongst others, in the section these recognised rating agencies has rated the “Efficient portfolio management techniques”. relevant investment, this rating shall be decisive, The selection of counterparties to any total or, if no such external rating is available, there return swap is subject to the principles as must be a positive assessment by the fund described in the section “Choice of counter- manager of the credit quality of the receivables party” of the Sales Prospectus. Further infor portfolio and of the security and profitability of mation on the counterparties is disclosed in the the investment as a whole that is documented annual report. For special risk considerations transparently. linked to total return swaps, investors should refer to the section “General Risk Warnings”, and The sub-fund manager aims to hedge any cur- in particular the section “Risks connected to rency risk versus the U.S. dollar in the portfolio. derivative transactions” of the Sales Prospectus.

Derivatives may be used for hedging and invest- Integration of sustainability risks ment purposes. The sub-fund management integrates sustainability risks into their investment decisions by In compliance with the investment limits specified means of Smart Integration. Further information in Article 2 B. of the general section of the Sales on how sustainability risks are taken into account Prospectus, the investment policy may also be in the investment decisions can be found in the implemented through the use of suitable deriva- general section of the Sales Prospectus. tive financial instruments. These derivative financial instruments may include, among others, Risk Management options, forwards, futures, futures contracts on The relative Value-at-Risk (VaR) approach is used financial instruments and options on such con- to limit market risk for the sub-fund assets. tracts, as well as privately negotiated OTC contracts on any type of financial instrument, includ- In addition to the provisions of the general ing swaps, forward-starting swaps, inflation section of the Sales Prospectus, the potential swaps, total return swaps, excess return swaps, market risk of the sub-fund is measured using a swaptions, constant maturity swaps and credit reference portfolio that does not contain deriva- default swaps. tives (“risk benchmark”).

The sub-fund’s investments in contingent Leverage is not expected to exceed twice the convertibles shall be limited to 10% of the value of the investment sub-fund’s assets. The sub-fund’s net asset value. leverage effect is calculated using the sum of notional approach (absolute (notional) amount of The sub-fund intends to use securities financing each derivative position divided by the net pres- transactions under the conditions and to the ent value of the portfolio). However, the dis- extent further described in the general part of closed expected level of leverage is not intended the Sales Prospectus. to be an additional exposure limit for the sub-fund. In addition, the sub-fund’s assets may be invested in all other permissible assets. Investment in shares of target funds In addition to the information in the general The respective risks connected with investments section of the Sales Prospectus the following in this sub-fund are disclosed in the general is applicable to this sub-fund: section of the Sales Prospectus. When investing in target funds associated to Additional information the sub-fund, the part of the management fee When using total return swaps to implement attributable to shares of these target funds is the investment strategy as described above, the reduced by the management fee/all-in fee of the following shall be noted: acquired target funds, and as the case may be, up to the full amount (difference method). The proportion of the sub-fund’s net assets subject to total return swaps, expressed as the sum of notionals of the total return swaps divided by the sub-fund’s net asset value, is expected to reach up to 100%, but depending on the respective market conditions, with the

238 DWS Invest Multi Opportunities

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio 60% MSCI All Country World Index, in EUR and 40% iBoxx Euro Overall Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee Maximum management fee charged 3.25% in respect of investments in shares of target funds (payable by the sub-fund)

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* LC EUR up to 4% up to 1.3% 0% 0.05% June 4, 2014 LDQ EUR up to 4% up to 1.3% 0% 0.05% June 4, 2014 NC EUR up to 2% up to 1.7% 0.1% 0.05% June 4, 2014 NDQ EUR up to 2% up to 1.7% 0.1% 0.05% June 4, 2014 PFC EUR 0% up to 1.2% 0% 0.05% June 4, 2014 PFDQ EUR 0% up to 1.2% 0% 0.05% June 4, 2014 FC EUR 0% up to 0.75% 0% 0.05% October 1, 2014 SGD LDMH SGD up to 4% up to 1.3% 0% 0.05% March 16, 2015 USD FCH USD 0% up to 0.75% 0% 0.05% May 5, 2015 AUD LCH AUD up to 4% up to 1.3% 0% 0.05% May 15, 2015 GBP CH RD GBP 0% up to 0.75% 0% 0.05% May 15, 2015 USD LCH USD up to 4% up to 1.3% 0% 0.05% May 15, 2015 HKD LDMH HKD up to 4% up to 1.3% 0% 0.05% May 22, 2015 AUD LDMH AUD up to 4% up to 1.3% 0% 0.05% August 17, 2015 FD EUR 0% up to 0.75% 0% 0.05% August 17, 2015 LD EUR up to 4% up to 1.3% 0% 0.05% August 17, 2015 USD LDMH USD up to 4% up to 1.3% 0% 0.05% August 17, 2015 RMB LDMH CNY up to 4% up to 1.3% 0% 0.05% October 15, 2015 SEK LCH SEK up to 4% up to 1.3% 0% 0.05% October 15, 2015 USD RDMH USD 0% up to 0.6% 0% 0.01% June 30, 2016 TFC EUR 0% up to 0.75% 0% 0.05% December 5, 2017 TFD EUR 0% up to 0.75% 0% 0.05% December 5, 2017 USD TFCH USD 0% up to 0.75% 0% 0.05% December 5, 2017

239 Dilution adjustment PFC and PFDQ: (payable by the shareholder)** A dilution adjustment of up to 3% based on the gross redemption amount may be charged. Please see the general section for further explanation. Placement fee PFC and PFDQ: (payable from the sub-fund’s assets) Up to 3% for the benefit of the distributor. Please see the general section for further explanation.

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

For the sub-fund with the name DWS Invest Multi In the case of investments in shares of another precious metals and that meet the requirements Opportunities, the following provisions shall apply UCITS and/or other UCIs, the investments held of transferable securities as determined in 2 A. a. in addition to the terms contained in the general by that UCITS and/or by other UCIs are not taken of the general section of the Sales Prospectus. section of the Sales Prospectus. into consideration for the purposes of the limits The sub-fund does not invest into futures on soft specified in Article 2 B. (a), (b), (c), (d), (e) and (f). commodities, e.g. cotton, sugar, rice and wheat Investment policy as well as all manner of livestock. The objective of the investment policy of the The sub-fund’s investments in asset-backed sub-fund DWS Invest Multi Opportunities is to securities and mortgage backed securities shall In addition the sub-fund‘s assets may be achieve an above-average return. be limited to 20% of the sub-fund’s net asset invested in all other permissible assets as speci- value. fied in Article 2 of the general section of the The sub-fund is actively managed and is not Sales Prospectus. managed in reference to a benchmark. When using financial indices, legal provisions apply as set out in Article 44 (1) of the Law of For the purpose of inducing a partial tax exemp- The sub-fund may invest in equities, in interest- 2010, and Article 9 of the Grand-Ducal Regulation tion within the meaning of the German Invest- bearing securities, in certificates on, for example, of February 8, 2008. ment Tax Act and in addition to the investment equities, bonds and indices, in investment funds, limits described in the Articles of Incorporation in derivatives, in convertible and warrant-linked In compliance with the investment limits specified and this Sales Prospectus at least 25% of the bonds whose warrants relate to securities, in in Article 2 B. of the general section of the Sales sub-fund´s gross assets (determined as being warrants on securities, in participation and divi- Prospectus, the investment policy may also be the value of the sub-fund´s assets without taking dend-right certificates, in money market instru- implemented through the use of suitable deriva- into account liabilities) are invested in such equity ments and cash. tive financial instruments. These derivative finan- capital investments as defined in article 2 (8) of Depending on the evaluation of the market situa- cial instruments may include, among others, the German Investment Tax Act that may be tion, the portfolio manager will weight such asset options, forwards, futures, futures contracts on acquired for the sub-fund in accordance with the classes in the portfolio of the sub-fund and, if financial instruments and options on such con- Articles of Incorporation and this Sales Prospec- necessary, may fully invest the sub-fund’s assets tracts, as well as privately negotiated OTC con- tus (mixed fund). in one of these categories. tracts on any type of financial instrument, including swaps, forward-starting swaps, inflation Equity capital investments in this respect are At least 25% of the sub-fund‘s assets will be swaps, swaptions, constant maturity swaps and invested in investment funds such as equity, credit default swaps. –– equities admitted to official trading on a stock balanced, bond and money market funds. exchange or admitted to, or included in, The sub-fund will not invest in contingent another organized market and which are not: Notwithstanding Article 2 B. (i), the following convertibles. (i) units of investment funds; applies: (ii) units of corporations, associations of The sub-fund intends to use securities financing persons or estates at least 75% of the The sub-fund’s assets may be used to acquire transactions under the conditions and to the gross assets of which consist of immov- shares of other Undertakings for Collective extent further described in the general part of able property in accordance with statutory Investment in Transferable Securities and/or the Sales Prospectus. provisions or their investment conditions, collective investment undertakings as defined in if such corporations, associations of Article 2 A. (e), provided that no more than 20% The sub-fund also intends from time to time to persons or estates are subject to corpo- of the sub-fund’s assets are invested in one and utilize the developments on the international rate income tax of at least 15% and are the same UCITS and/or UCIs. natural resources and commodity markets up to not exempt from it or if their distributions 10% of the sub-fund‘s assets. For this purpose are subject to tax of at least 15% and the Every sub-fund of an umbrella fund is to be and within this 10% limit, the sub-fund may sub-/fund is not exempt from said taxation; regarded as an independent issuer, provided that acquire derivative financial instruments whose (iii) units of corporations which are exempt the principle of individual liability per sub-fund is underlying instruments are commodity indices from corporate income taxation to the applicable in terms of liability to third parties. and sub-indices in accordance with the 2008 extent they conduct distributions unless Regulation, equities, interest-bearing securities, such distributions are subject to taxation Investments in shares of other collective invest- convertible bonds, convertible debentures and at a minimum rate of 15% and the sub- ment undertakings other than Undertakings for warrant-linked bonds, index certificates, partici- fund is not exempt from said taxation; Collective Investment in Transferable Securities pation and dividend-right certificates and equity (iv) units of corporations the income of which must not exceed 30% of the sub-fund’s net warrants, as well as 1:1 certificates (including originates, directly or indirectly, to an assets in total. Exchange Traded Commodities (ETCs)) the extent of more than 10%, from units of underlying of which are single commodities/ corporations, that are (i) real estate

240 companies or (ii) are not real estate –– units of corporations that are not real estate disclosed expected level of leverage is not companies, but (a) are domiciled in a companies and that are domiciled in a mem intended to be an additional exposure limit for member state of the European Union or a ber state of the European Union or in another the sub-fund. member state of the European Economic state that is a party to the Agreement on the Area and are not subject in said domicile European Economic Area and are subject Investment in shares of target funds to corporate income tax or are exempt there to corporate income tax and are not In addition to the information in the general from it or (b) are domiciled in a third exempt from it; section of the Sales Prospectus the following country and are not subject in said domi –– units of corporations that are not real estate is applicable to this sub-fund: cile to corporate income tax of at least companies and that are domiciled in a third 15% or are exempt from it; country and are subject there to corporate When investing in target funds associated to (v) units of corporations which hold, directly income tax of at least 15% and are not the sub-fund, the part of the management fee or indirectly, units of corporations, that exempt from it; and attributable to shares of these target funds is are (i) real estate companies or (ii) are not –– units of other investment funds, which in turn reduced by the management fee/all-in fee of the real estate companies, but (a) are domi meet the requirements of indents 2 through 4 acquired target funds, and as the case may be, ciled in a member state of the European and of this sentence, in the respective amount up to the full amount (difference method). Union or a member state of the European specified there. Economic Area and are not subject in said domicile to corporate income tax or are However, units of corporations are not those exempt from it or (b) are domiciled in a that correspond to the categories as defined in third country and are not subject in said indent 1 (i) to (v) above or are held indirectly via domicile to corporate income tax of at partnerships. least 15% or are exempt from it if the fair market value of units of such corporations Equity capital investments indirectly held by the equal more than 10% of the fair market sub-fund via partnerships are not equity capital value of those corporations. investments. –– units of investment funds, which in accord ance with their terms and conditions of invest Individual investment fund units may only be ment invest more than 50% of their value or taken into consideration once for the purposes of more than 50% of their gross assets (deter determining the daily equity capital investment mined as being the value of the investment rate. fund´s assets without taking into account liabilities) themselves or as a fund of fund For the purposes of this investment policy and indirectly in units of corporations in the in accordance with the definition in the German amount of 51% of their value; if the terms and Investment Code (KAGB), an organized market is conditions of an equity fund make provisions a market which is recognized, open to the public for a percentage higher than 51% of its value and which functions correctly, unless expressly or its gross assets, the share of the equity specified otherwise. This organized market also capital investment is, by way of derogation, meets the criteria of article 50 of the UCITS deemed to be the amount of the higher Directive. percentage; –– units of investment funds, which in accor The respective risks connected with investments dance with their terms and conditions of in this sub-fund are disclosed in the general investment invest at least 25% of their value section of the Sales Prospectus. or at least 25% of their gross assets (deter mined as being the value of the investment Integration of sustainability risks fund´s assets without taking into account The sub-fund management integrates sustain liabilities) themselves or as a fund of fund ability risks into their investment decisions by indirectly in units of corporations in the means of Smart Integration. Further information amount of 25% of their value; if the terms and on how sustainability risks are taken into account conditions of a balanced fund make provisions in the investment decisions can be found in the for a percentage higher than 25% of its value general section of the Sales Prospectus. or its gross assets, the share of the equity capital investment is, by way of derogation, Risk Management deemed to be the amount of the higher The relative Value-at-Risk (VaR) approach is used percentage; to limit market risk in the sub-fund. –– units of investment funds that carry out a valuation at least once per week in the In addition to the provisions of the general amount of the percentage of their assets section of the Sales Prospectus, the potential published on each valuation date that they market risk of the sub-fund is measured using a actually invest themselves, or as a fund of reference portfolio that does not contain deri fund, in units of corporations. vatives (“risk benchmark”).

Units of corporations as defined in indents 2 Leverage is not expected to exceed twice the through 4 are value of the investment sub-fund’s assets. The leverage effect is calculated using the sum of –– units of corporations admitted to official notional approach (absolute (notional) amount of trading on a stock exchange or admitted to, or each derivative position divided by the net pres included in, another organized market; ent value of the portfolio). However, the

241 DWS Invest Multi Strategy

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio 45% BBG Barc Global Aggregate Corporate EUR Index, 35% MSCI World Net TR Index in EUR, (risk benchmark) 15% BBG Barc Global High Yield Index, 5% JPM EMBI Global Diversified Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest –– exchange traded commodities (no embedded financial instruments may include, among others, Multi Strategy, the following provisions shall apply derivatives), if they are 1:1 certificates qualify- options, forwards, futures, futures contracts on in addition to the terms contained in the general ing as transferable securities; financial instruments and options on such con- section of the Sales Prospectus. –– equities; tracts, as well as privately negotiated OTC con- –– participation and dividend-right certificates; tracts on any type of financial instrument, includ- Investment policy –– money market instruments; ing swaps, forward-starting swaps, inflation The objective of the investment policy of DWS –– deposits; swaps, total return swaps, excess return swaps, Invest Multi Strategy is to generate an above- –– cash. swaptions, constant maturity swaps and credit average return for the sub-fund. default swaps. The sub-fund’s investments in the above- The sub-fund is actively managed and is not mentioned assets may account for up to 100% The sub-fund will not invest in contingent managed in reference to a benchmark. of the sub-fund’s assets each. Though, the convertibles. sub-fund`s investments in equities, in partici The sub-fund’s assets may be invested globally pation and dividend-right certificates shall be The sub-fund intends to use securities financing in the following instruments: limited to 35% and the sub-fund`s investments transactions under the conditions and to the in investment funds shall be limited to 10%. extent further described in the general part of –– interest-bearing debt securities issued by the Sales Prospectus. sovereign institutions (central banks, govern- Up to 10% of the sub-fund’s assets may be ment agencies, government authorities and invested in investment funds. In addition, the sub-fund’s assets may be supra-national institutions) from Developed invested in all other permissible assets. countries or Emerging Markets; Derivatives may be used for hedging and invest- –– corporate bonds issued by companies from ment purposes. Asset-backed securities are interest-bearing debt Developed Countries or Emerging Markets; securities backed by a range of receivables and/ –– covered bonds; In compliance with the investment limits specified or securities, including in particular securitized –– convertible bonds and warrant-linked bonds; in Article 2 B. of the general section of the Sales credit card receivables, private and commercial –– subordinated bonds; Prospectus, the investment policy may also be mortgage receivables, consumer loans, vehicle –– asset-backed securities; implemented through the use of suitable deriva- –– investment funds; tive financial instruments. These derivative

242 leasing receivables, small business loans, mort- attributable to shares of these target funds is gage bonds, collateralized loan obligations and reduced by the management fee/all-in fee of the collateralized bond obligations. acquired target funds, and as the case may be, up to the full amount (difference method). The term “asset-backed securities” is always used in the extended sense, i.e., including mortgage backed securities and collateralized debt obligations. Investments in asset-backed securities may be done in physical asset-backed securities as well as in synthetic asset-backed securities.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

Risk Disclaimer The sub-fund may invest in different types of asset-backed securities. Among others, investments may also include securities that may become subject to strong market volatility, such as collateralized debt obligations and collateralized loan obligations. In some cases, these securities may be very illiquid during periods of market uncertainty and may be sold only at a discount. Individual securities may, in such extreme market phases, suffer a total loss or a significant decrease in value. High losses of value at the level of the sub-fund can therefore not be excluded.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Contrary to the provision of the general section of the Sales Prospectus, because of the investment strategy of the sub-fund, it is expected that the leverage effect from the use of derivatives will not be any higher than five times the sub-fund’s assets. The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net present value of the portfolio). The disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

When investing in target funds associated to the sub-fund, the part of the management fee

243 DWS Invest Nomura Japan Growth

Investor profile Risk-tolerant Currency of sub-fund JPY Sub-fund manager DWS Investment GmbH has sub-delegated the fund management to Nomura Asset Management Europe KVG mbH, Gräfstr. 109, 60487 Frankfurt/Main, Germany, which has sub-delegated the fund management to Nomura Asset Management Co Ltd. Tokyo, 2-2-1, Toyosu, Koto-ku, Tokyo 135-0061, Japan Performance benchmark – Reference portfolio TOPIX (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt/Main that is also an exchange trading day on the Tokyo Stock Exchange Order acceptance For the share class MFCH: All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. For all other share classes: All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on that valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest Up to 20% of the sub-fund’s assets may be In addition, the sub-fund’s assets may be Nomura Japan Growth, the following provisions invested in interest-bearing securities. Convert- invested in all other permissible assets specified shall apply in addition to the terms contained in ible bonds and warrant-linked bonds do not in Article 2, including the assets mentioned in the general section of the Sales Prospectus. constitute interest-bearing securities in this Article 2 A. (j) of the general part of the Sales respect. Prospectus. Investment policy The objective of the investment policy of DWS Up to 40% of the assets of the sub-fund may be For the purpose of inducing a partial tax exemp- Invest Nomura Japan Growth is to achieve the invested in money market instruments, term tion within the meaning of the German Invest- highest possible capital appreciation. deposits and cash respectively. ment Tax Act and in addition to the investment limits described in the Articles of Incorporation The sub-fund is actively managed and is not The sub-fund will not invest in contingent and this Sales Prospectus (equity fund) at least managed in reference to a benchmark. convertibles. 60% of the sub-fund´s gross assets (determined as being the value of the sub-fund´s assets At least 60% of the sub-fund’s assets must be The sub-fund intends to use securities financing without taking into account liabilities) are invested in equities of companies having their transactions under the conditions and to the invested in equities admitted to official trading registered office in Japan. extent further described in the general part of on a stock exchange or admitted to, or included the Sales Prospectus. in, another organized market and which are not:

244 –– units of investment funds; The following applies to the consideration of Investment in shares of target funds –– equities indirectly held via partnerships; sustainability risks in investment decisions: The In addition to the information in the general –– units of corporations, associations of persons sub-fund management also considers sustain- section of the Sales Prospectus the following is or estates at least 75% of the gross assets of ability risks in its investment decisions besides applicable to this sub-fund: which consist of immovable property in the common financial data. This consideration accordance with statutory provisions or their applies to the entire investment process, both When investing in target funds associated to investment conditions, if such corporations, for the fundamental analysis of investments and the sub-fund, the part of the management fee associations of persons or estates are subject for the investment decisions. attributable to shares of these target funds is to corporate income tax of at least 15% and reduced by the management fee/all-in fee of the are not exempt from it or if their distributions In its portfolio management, the sub-fund man- acquired target funds, and as the case may be, are subject to tax of at least 15% and the ager considers, in addition to financial informa- up to the full amount (difference method). sub-fund is not exempt from said taxation; tion, sustainability risks of portfolio companies. –– units of corporations which are exempt from corporate income taxation to the extent they In the fundamental analysis, sustainability risks conduct distributions unless such distributions may affect the corporate value of portfolio com- are subject to taxation at a minimum rate of panies from the perspective of long-term valua- 15% and the sub-fund is not exempt from said tion. Therefore, ESG analysis is integrated into taxation; any investment research. This includes the –– units of corporations the income of which identification of global sustainability trends, originates, directly or indirectly, to an extent financially relevant ESG issues and materiality. of more than 10%, from units of corporations, that are (i) real estate companies or (ii) are not Moreover, sustainability risks that may arise from real estate companies, but (a) are domiciled in issues of climate change or the violation of member state of the European Union or a internationally recognized guidelines are subject member state of the European Economic Area to further consideration as the ESG aspects. The and are not subject in said domicile to corpo- internationally recognized guidelines include the rate income tax or are exempt from it or ten principles of the United Nations Global (b) are domiciled in a third country and are not Compact, ILO core labour standards, UN guiding subject in said domicile to corporate income principles for business and human rights, and the tax of at least 15% or are exempt from it; OECD guidelines for multinational companies. –– units of corporations which hold, directly or indirectly, units of corporations, that are (i) real In order to take sustainability risks into account, estate companies or (ii) are not real estate the sub-fund manager uses non-financial infor- companies, but (a) are domiciled in a member mation into which ESG data from its own state of the European Union or a member research activities, as well as other research state of the European Economic Area and are companies, are incorporated. not subject in said domicile to corporate income tax or are exempt from it or (b) are Portfolio management is conducted by an domiciled in a third country and are not sub- ESG-integrated fundamental analysis, and these ject in said domicile to corporate income tax investments continue to be monitored from a of at least 15% or are exempt from it if the fair sustainability risk perspective. In addition, a market value of units of such corporations dialogue or engagement is also sought with equal more than 10% of the fair market value portfolio companies for aiming better corporate of those corporations. governance and greater management of ESG criteria. For the purpose of this investment policy and in accordance with the definition in the German Risk Management Investment Code (KAGB), an organized market is The relative Value-at-Risk (VaR) approach is used a market which is recognized, open to the public to limit market risk in the sub-fund. and which functions correctly, unless expressly specified otherwise. Such organized market also In addition to the provisions of the general meets the criteria of article 50 of the UCITS section of the Sales Prospectus, the potential Directive. market risk of the sub-fund is measured using a reference portfolio that does not contain deriva- The respective risks connected with investments tives (“risk benchmark”). in this sub-fund are disclosed in the general section of the Sales Prospectus. Leverage is not expected to exceed twice the value of the investment sub-fund’s assets. The Integration of sustainability risks leverage effect is calculated using the sum of The sub-fund management makes all manage- notional approach (absolute (notional) amount of ment decisions for the sub-fund taking into each derivative position divided by the net present account the legal and contractual investment value of the portfolio). However, the disclosed restrictions considering the sustainability risks. expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

245 DWS Invest Qi Global Climate Action

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS International GmbH, Mainzer Landstr. 11–17, 60329 Frankfurt/Main, Germany Performance benchmark - Reference portfolio MSCI World TR net (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg, Frankfurt/Main and Cologne Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest approach managed by the quantitative invest- environmental and social objectives. The method- Qi Global Climate Action, the following provisions ments (Qi) group. Investment decisions are the ology assigns one of six possible proprietary shall apply in addition to the terms contained in result of a trade-off between investment oppor- scores to each possible issuer. These scores the general section of the Sales Prospectus. tunities that are identified by analysing funda- encompass assessments for (i) controversial mental and technical data and risk as well as cost sectors (which include coal, tobacco, defence Investment policy considerations. industry, pornography, gambling and nuclear This sub-fund has sustainable investment as its power), (ii) involvement in controversial weapons objective and qualifies as product in accordance At least 80% of the sub-fund`s assets are (nuclear weapons, depleted uranium, cluster with article 9 of Regulation (EU) 2019/2088. DWS invested in global equities. munitions and anti-personnel mines) or (iii) viola- Invest Qi Global Climate Action will invest in tion of internationally accepted norms, but also economic activities that contribute to the objec- Up to 20% of the sub-fund’s assets may be allow for an active issuer selection based on tive of reducing carbon emissions in view of invested in interest-bearing securities. Convert- categories such as climate and transition risk, achieving the long-term global warming objec- ible bonds and warrant-linked bonds do not norm compliance or best in class ESG evalua- tives of the Paris Agreement adopted under the constitute interest-bearing securities in this tions in respect to the above-mentioned environ- United Nations Framework Convention on Cli- respect. mental and/or social objectives. The methodology mate Change. assigns one of six possible proprietary scores to The sub-fund management seeks to attain its each possible issuer based on a letter scoring Therefore, the objective of the investment policy sustainable objective by a two-step approach. from A to F, whereby issuers with A and B of DWS Invest Qi Global Climate Action is to scores are considered as leading in their catego- achieve a sustainable capital appreciation. In a first step, potential investments are ries and issuers with C scores are considered as assessed via proprietary ESG investment meth- within the upper midfield of their category. These The sub-fund is actively managed and is not odology. This methodology incorporates invest- letter scores can originate from revenues gener- managed in reference to a benchmark. ment standards according to an ESG database, ated from controversial sectors or the degree of which uses data from multiple leading ESG data involvement in controversial weapons, the “Qi” relates to the stock selection, which is providers as well as internal and public sources degree of severity that an issuer may be involved based on a proprietary quantitative investment to derive proprietary combined scores for various in the violation of international norms, the

246 assessment on climate and transition risk, which Exposure to coal and this Sales Prospectus (Equity Fund) at least is based on for example carbon intensity or the The exposure to any coal (i.e. issuers who gener- 60% of the sub-fund´s gross assets (deter- risk of stranded assets, or from best in class ate more than 1% of their revenues from coal) is mined as being the value of the sub-fund´s ESG evaluations. The sub-fund manager consid- reduced to zero. assets without taking into account liabilities) are ers in its asset allocation the resulting scores invested in equities admitted to official trading from the ESG database. The sub-fund’s invest- Significant exposure to fossil fuel on a stock exchange or admitted to, or included ment in low scored issuers (scores D and E) is The significant exposure to power generated in, another organized market and which are not: limited or excluded whereas issuers with the from fossil fuels (i.e. issuers who generate more lowest scores (e.g. score F) are always excluded than 50% of their revenues from fossil power) is –– units of investment funds; from the investable universe. reduced to zero. –– equities indirectly held via partnerships; –– units of corporations, associations of persons The ESG performance of an issuer is evaluated As an additional action to reduce the climate risk or estates at least 75% of the gross assets of independently from financial success based on a even further, the portfolio manager reduces the which consist of immovable property in variety of factors. These factors include, for upper limit for the overall portfolio carbon inten- accordance with statutory provisions or their example, the following fields of interest: sity year over year by 7% against the global investment conditions, if such corporations, investment universe. The reduction starts on 15 associations of persons or estates are subject Environment February 2021. Starting point is the fixed refer- to corporate income tax of at least 15% and ence value of 425t/$m and will end with a value are not exempt from it or if their distributions –– Conservation of flora and fauna; of zero for the carbon intensity. The target reduc- are subject to tax of at least 15% and the –– Protection of natural resources, atmosphere tion of 7% year over year shall be calculated sub-fund is not exempt from said taxation; and inshore waters; geometrically. –– units of corporations which are exempt from –– Limitation of land degradation and corporate income taxation to the extent they climate change; Taking carbon intensity and climate transition conduct distributions unless such distributions –– Avoidance of encroachment on ecosystems risks into account, the sub-fund management are subject to taxation at a minimum rate of and loss of biodiversity. targets to mitigate climate related risks and 15% and the sub-fund is not exempt from said focuses on supporting potential opportunities taxation; Social arising from a transition into lower carbon world. –– units of corporations the income of which The characteristic of a climate transition equity originates, directly or indirectly, to an extent –– General human rights; portfolio is reflected by the supplement “Climate of more than 10%, from units of corporations, –– Prohibition of child labour and forced labour; Action” in the sub-fund’s name. that are (i) real estate companies or (ii) are not –– Imperative Non-discrimination; real estate companies, but (a) are domiciled in –– Workplace health and safety; More information about the functioning of the member state of the European Union or a –– Fair workplace and appropriate remuneration. ESG database, its integration in the investment member state of the European Economic Area process, the selection criteria as well as our ESG and are not subject in said domicile to corpo- Corporate Governance related policies can be found on our website rate income tax or are exempt from it or www.dws.com/solutions/esg. (b) are domiciled in a third country and are not –– Global Governance Principles by the Inter subject in said domicile to corporate income national Corporate Governance Network; In addition, an engagement activity can be tax of at least 15% or are exempt from it; –– Global Compact Anti-Corruption Principles. initiated with the individual issuers regarding –– units of corporations which hold, directly or matters such as strategy, financial and non-finan- indirectly, units of corporations, that are (i) real At least 90% of the sub-fund`s portfolio holdings cial performance, risk, capital structure, social estate companies or (ii) are not real estate will be screened according to non-financial and environmental impact as well as corporate companies, but (a) are domiciled in a member criteria available via the ESG database. governance including topics like disclosure, state of the European Union or a member culture and remuneration. The dialogue can be state of the European Economic Area and are In a second step and to achieve the Paris-aligned exercised by, for example, proxy voting, company not subject in said domicile to corporate investment objective, the sub-fund management meetings or engagement letters. income tax or are exempt from it or (b) are defines an equity portfolio that has a 50% domiciled in a third country and are not sub- reduced carbon intensity (Scope 1, 2 and 3 green- In addition, the sub-fund’s assets may be ject in said domicile to corporate income tax house gas (GHC) emissions and avoided emis- invested in all other permissible assets speci- of at least 15% or are exempt from it if the fair sions) in comparison to the global investable fied in Article 2, including the assets mentioned market value of units of such corporations universe (i.e. liquid equities listed globally on stock in Article 2 A. (j) of the general section of the equal more than 10% of the fair market value exchanges) and that is at no time allowed to fall Sales Prospectus. of those corporations. short beyond this limit. To reach this objective, the portfolio manager takes the carbon intensity on The sub-fund will not invest in contingent For the purpose of this investment policy and in asset level into account based on certain maxi- convertibles. accordance with the definition in the German mum thresholds, whereby the carbon intensity Investment Code (KAGB), an organized market is is calculated based on data derived from the The sub-fund intends to use securities financing a market which is recognized, open to the public ESG database. Theses maximum thresholds are transactions under the conditions and to the and which functions correctly, unless expressly inter alia: extent further described in the general part of specified otherwise. Such organized market also the Sales Prospectus. meets the criteria of article 50 of the UCITS Reduction of the carbon intensity of the portfolio Directive. The carbon intensity of the portfolio shall not For the purpose of inducing a partial tax exemp- exceed 50% of the carbon intensity of the invest- tion within the meaning of the German Invest- The respective risks connected with investments ible universe and stay below 425 tonnes of carbon ment Tax Act and in addition to the investment in this sub-fund are disclosed in the general emissions per million USD revenues (425t/$m). limits described in the Articles of Incorporation section of the Sales Prospectus.

247 Integration of sustainability risks The sub-fund management integrates sustainability risks into their investment decisions by means of ESG Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

248 DWS Invest Qi Global Dynamic Fixed Income

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS International GmbH, Mainzer Landstr. 11–17, 60329 Frankfurt/Main, Germany Performance benchmark – Reference portfolio (absolute VaR) (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg, Frankfurt/Main and Cologne Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest The sub-fund’s assets may be invested globally CCC, CCC- or the equivalent rating of a different Qi Global Dynamic Fixed Income, the following in the following instruments: rating agency. Derivatives may be used for provisions shall apply in addition to the terms hedging and investment purposes. contained in the general section of the Sales –– interest-bearing debt securities issued by Prospectus. sovereign institutions (central banks, govern- The sub-fund’s investments in asset-backed ment agencies, government authorities and securities shall be limited to 20% of the sub- Investment policy supra-national institutions) from developed fund’s net asset value. The term “assetbacked The objective of the investment policy of DWS countries or Emerging Markets; securities” is always used in the extended Invest Qi Global Dynamic Fixed Income is to –– corporate bonds issued by companies from sense, i.e., including mortgage backed securities generate an above-average return for the developed countries or Emerging Markets that and collateralized debt obligations. sub-fund. may or may not offer an investment-grade status at the time of acquisition; In compliance with the investment limits specified The sub-fund is actively managed and is not –– covered bonds; in Article 2 B. of the general section of the Sales managed in reference to a benchmark. –– convertible bonds; Prospectus, the investment policy may also be –– subordinated bonds. implemented through the use of suitable deriva- “Qi” relates to the asset selection, which is tive financial instruments. These derivative finan- based on a proprietary quantitative investment The sub-fund’s investments in the above- cial instruments may include, among others, approach managed by the quantitative invest- mentioned assets may account for up to 100% options, forwards, futures, futures contracts on ments (Qi) group. Investment decisions are the of the sub-fund’s assets each. Furthermore, financial instruments and options on such con- result of a trade-off between investment oppor- equity-linked derivatives may be used to achieve tracts, as well as privately negotiated OTC tunities that are identified by analyzing funda- the sub-fund’s objective. At least 90% of the contracts on any type of financial instrument, mental and technical data and risk as well as cost sub-fund’s assets have a rating of B or higher. including swaps, forward-starting swaps, inflation considerations. Not more than 10% may have a rating of CCC+, swaps, excess return swaps, swaptions, constant maturity swaps and credit default swaps.

249 The sub-fund will not invest in contingent Investment in shares of target funds convertibles. In addition to the information in the general section of the Sales Prospectus the following is The sub-fund intends to use securities financing applicable to this sub-fund: transactions under the conditions and to the extent further described in the general part of When investing in target funds associated to the Sales Prospectus. the sub-fund, the part of the management fee attributable to shares of these target funds is In addition, the sub-fund’s assets may be reduced by the management fee/all-in fee of the invested in all other permissible assets specified acquired target funds, and as the case may be, in Article 2, including the assets mentioned in up to the full amount (difference method). Article 2 A. (j) of the general part of the Sales Prospectus.

Asset-backed securities are interest-bearing debt securities backed by a range of receivables and/ or securities, including in particular securitized credit card receivables, private and commercial mortgage receivables, consumer loans, vehicle leasing receivables, small business loans, mortgage bonds, collateralized loan obligations and collateralized bond obligations.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

Risk Management The absolute Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Contrary to the provision of the general section of the Sales Prospectus, because of the investment strategy of the sub-fund, it is expected that the leverage effect from the use of derivatives will not be any higher than five times the sub- fund’s assets. The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net present value of the portfolio). The disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

250 DWS Invest Qi LowVol Emerging Markets

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS International GmbH, Mainzer Landstr. 11–17, 60329 Frankfurt/Main, Germany Performance benchmark MSCI Emerging Markets Daily Net, administered by MSCI Limited. Reference portfolio MSCI Emerging Markets Daily Net (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg, Frankfurt/Main and Cologne Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest securities issued by these companies may be In compliance with Article 2 B. of the general Qi LowVol Emerging Markets, the following listed on Chinese (including the Shenzhen-Hong section of the Sales Prospectus, the sub-fund provisions shall apply in addition to the terms Kong and Shanghai- Hong Kong Stock Connect) may use derivative techniques to achieve the contained in the general section of the Sales or other foreign securities exchanges or traded investment objective and implement the invest- Prospectus. on other regulated markets in a member country ment strategy, including in particular – but not of the Organisation for Economic Co-operation limited to – forwards, futures, single-stock Investment policy and Development (OECD) that operate regularly futures, options or equity swaps. The objective of the investment policy of DWS and are recognized and open to the public. Invest Qi LowVol Emerging Markets is to achieve Investments in the securities mentioned above a sustainable capital appreciation. A company is viewed as having its principal may also be made through Global Depository business activity in emerging-market countries if Receipts (GDRs) and American Depository “Qi” relates to the stock selection, which is a significant part of its earnings or revenues is Receipts (ADRs) listed on recognized exchanges based on a proprietary quantitative investment generated there. Emerging markets are countries and markets issued by international financial approach managed by the quantitative invest- listed in the MSCI Emerging Markets Index or institutions. The sub-fund may invest more than ments (Qi) group. Investment decisions are the listed in the Standard & Poor’s Emerging Markets 10% of the sub-fund’s assets in securities that result of a trade-off between investment oppor- Database (EMDB). Further, countries which are are traded on the Moscow Exchange tunities that are identified by analyzing funda- listed as low or middle income (including both (MICEX-RTS). mental and technical data and risk as well as cost lower middle and higher middle income) by the considerations. World Bank will be considered as Emerging Up to 40% of the assets of the sub-fund may be Markets even if such countries are neither listed invested in money market instruments, term In the portfolio construction the sub-fund in the MSCI Emerging Markets Index nor in the deposits and cash respectively. management is focusing on equities that are EMDB but must not be included in the MSCI expected to have a lower volatility in comparison World Index. At present, the emerging countries The sub-fund will not invest in contingent to the broad equity market. most significant for the sub-fund are mostly, but convertibles. not exclusively, located in Asia, Eastern Europe At least 60% of the sub-fund’s assets are and South America and include, among others, The sub-fund intends to use securities financing invested in equities of companies registered in Brazil, China, India, Indonesia, Korea, Malaysia, transactions under the conditions and to the Emerging Markets countries or companies that Mexico, Russia, South Africa, Taiwan, Thailand extent further described in the general part of conduct their principal business activity in and Turkey. If investments are effected in coun- the Sales Prospectus. Emerging Markets countries or which, as holding tries that do not yet possess a regulated market, companies, hold primarily interest in companies these securities shall be considered as unlisted registered in Emerging Markets countries. The financial instruments.

251 In addition, the sub-fund’s assets may be For the purpose of this investment policy and in disclosed expected level of leverage is not invested in all other permissible assets specified accordance with the definition in the German intended to be an additional exposure limit for in Article 2, including the assets mentioned in Investment Code (KAGB), an organized market is the sub-fund. Article 2 A. (j) of the general part of the Sales a market which is recognized, open to the public Prospectus. and which functions correctly, unless expressly Investment in shares of target funds specified otherwise. Such organized market also In addition to the information in the general For the purpose of inducing a partial tax exemp- meets the criteria of article 50 of the UCITS section of the Sales Prospectus the following is tion within the meaning of the German Invest- Directive. applicable to this sub-fund: ment Tax Act and in addition to the investment limits described in the Articles of Incorporation The respective risks connected with investments When investing in target funds associated to and this Sales Prospectus (equity fund) at least in this sub-fund are disclosed in the general the sub-fund, the part of the management fee 51% of the sub-fund´s gross assets (determined section of the Sales Prospectus. attributable to shares of these target funds is as being the value of the sub-fund´s assets reduced by the management fee/all-in fee of the without taking into account liabilities) are Integration of sustainability risks acquired target funds, and as the case may be, invested in equities admitted to official trading on The sub-fund management integrates sustain- up to the full amount (difference method). a stock exchange or admitted to, or included in, ability risks into their investment decisions by another organized market and which are not: means of Smart Integration. Further information on how sustainability risks are taken into account –– units of investment funds; in the investment decisions can be found in the –– equities indirectly held via partnerships; general section of the Sales Prospectus. –– units of corporations, associations of persons or estates at least 75% of the gross assets of Benchmark which consist of immovable property in The sub-fund is actively managed and is man- accordance with statutory provisions or their aged in reference to one or a combination of investment conditions, if such corporations, benchmarks as further detailed in the sub-fund associations of persons or estates are subject specific table. All benchmarks respectively their to corporate income tax of at least 15% and administrators are registered with the ESMA, are not exempt from it or if their distributions either in the public register of administrators of are subject to tax of at least 15% and the benchmark indices or the public register of third sub-fund is not exempt from said taxation; country benchmarks. –– units of corporations which are exempt from corporate income taxation to the extent they The majority of the sub-fund’s securities or their conduct distributions unless such distributions issuers are expected to be components of the are subject to taxation at a minimum rate of benchmark and the portfolio is expected to have 15% and the sub-fund is not exempt from said a similar weighting to the benchmark. The sub- taxation; fund management will use its discretion to invest –– units of corporations the income of which in securities and sectors that are not included in originates, directly or indirectly, to an extent of the benchmark in order to take advantage of more than 10%, from units of corporations, specific investment opportunities. In regard to its that are (i) real estate companies or (ii) are not benchmark, the sub-fund positioning can deviate real estate companies, but (a) are domiciled in to a limited extent (e.g., by a positioning outside member state of the European Union or a of the benchmark as well as underweighting or member state of the European Economic Area overweighting) and the actual degree of freedom and are not subject in said domicile to corpo- is typically relatively low. Despite the fact that rate income tax or are exempt from it or the sub-fund aims to outperform the return of (b) are domiciled in a third country and are not the benchmark, the potential outperformance subject in said domicile to corporate income might be limited depending on the prevailing tax of at least 15% or are exempt from it; market environment (e.g. less volatile market –– units of corporations which hold, directly or environment) and actual positioning versus the indirectly, units of corporations, that are (i) real benchmark. estate companies or (ii) are not real estate companies, but (a) are domiciled in a member Risk Management state of the European Union or a member The relative Value-at-Risk (VaR) approach is used state of the European Economic Area and are to limit market risk in the sub-fund. not subject in said domicile to corporate income tax or are exempt from it or (b) are In addition to the provisions of the general domiciled in a third country and are not sub- section of the Sales Prospectus, the potential ject in said domicile to corporate income tax market risk of the sub-fund is measured using a of at least 15% or are exempt from it if the fair reference portfolio that does not contain deriva- market value of units of such corporations tives (“risk benchmark”). equal more than 10% of the fair market value of those corporations. Leverage is not expected to exceed twice the value of the investment sub-fund’s assets. The For the purpose of this paragraph, “member leverage effect is calculated using the sum of state of the European Union” shall include the notional approach (absolute (notional) amount of United Kingdom until December 31, 2020. each derivative position divided by the net present value of the portfolio). However, the

252 DWS Invest Qi LowVol World

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS International GmbH, Mainzer Landstr. 11–17, 60329 Frankfurt/Main, Germany Performance benchmark – Reference portfolio MSCI World TR Net (MSDEWIN Index) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg, Frankfurt/Main and Cologne Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest opportunities that are identified by analyzing The sub-fund will not invest in contingent Qi LowVol World, the following provisions shall fundamental and technical data and risk as well convertibles. apply in addition to the terms contained in the as cost considerations. general section of the Sales Prospectus. The sub-fund intends to use securities financing At least 60% of the sub-fund’s assets are transactions under the conditions and to the Investment policy invested globally in equities. In the portfolio extent further described in the general part of The objective of the investment policy of DWS construction the sub-fund management is focus- the Sales Prospectus. Invest Qi LowVol World is to achieve a sustain- ing on constructing an equity portfolio that is able capital appreciation. expected to have lower volatility in comparison In addition, the sub-fund’s assets may be to the broad equity market. invested in all other permissible assets specified The sub-fund is actively managed and is not in Article 2, including the assets mentioned in managed in reference to a benchmark. Convertible bonds and warrant-linked bonds do Article 2 A. (j) of the general part of the Sales not constitute interest-bearing securities in this Prospectus. “Qi” relates to the stock selection, which is respect. based on a proprietary quantitative investment For the purpose of inducing a partial tax exemp- approach managed by the quantitative invest- Up to 40% of the assets of the sub-fund may be tion within the meaning of the German Invest- ments (Qi) group. Investment decisions are the invested in money market instruments, term ment Tax Act and in addition to the investment result of a trade-off between investment deposits and cash respectively. limits described in the Articles of Incorporation

253 and this Sales Prospectus (equity fund) at least The respective risks connected with investments 51% of the sub-fund´s gross assets (determined in this sub-fund are disclosed in the general as being the value of the sub-fund´s assets section of the Sales Prospectus. without taking into account liabilities) are invested in equities admitted to official trading Integration of sustainability risks on a stock exchange or admitted to, or included The sub-fund management integrates sustain- in, another organized market and which are not: ability risks into their investment decisions by means of Smart Integration. Further information –– units of investment funds; on how sustainability risks are taken into account –– equities indirectly held via partnerships; in the investment decisions can be found in the –– units of corporations, associations of persons general section of the Sales Prospectus. or estates at least 75% of the gross assets of which consist of immovable property in Risk Management accordance with statutory provisions or their The relative Value-at-Risk (VaR) approach is used investment conditions, if such corporations, to limit market risk in the sub-fund. associations of persons or estates are subject to corporate income tax of at least 15% and In addition to the provisions of the general are not exempt from it or if their distributions section of the Sales Prospectus, the potential are subject to tax of at least 15% and the market risk of the sub-fund is measured using a sub-fund is not exempt from said taxation; reference portfolio that does not contain deriva- –– units of corporations which are exempt from tives (“risk benchmark”). corporate income taxation to the extent they conduct distributions unless such distributions Leverage is not expected to exceed twice the are subject to taxation at a minimum rate of value of the investment sub-fund’s assets. The 15% and the sub-fund is not exempt from said leverage effect is calculated using the sum of taxation; notional approach (absolute (notional) amount –– units of corporations the income of which of each derivative position divided by the net originates, directly or indirectly, to an extent present value of the portfolio). However, the of more than 10%, from units of corporations, disclosed expected level of leverage is not that are (i) real estate companies or (ii) are not intended to be an additional exposure limit for real estate companies, but (a) are domiciled in the sub-fund. member state of the European Union or a member state of the European Economic Area Investment in shares of target funds and are not subject in said domicile to corpo- In addition to the information in the general rate income tax or are exempt from it or section of the Sales Prospectus the following (b) are domiciled in a third country and are not is applicable to this sub-fund: subject in said domicile to corporate income tax of at least 15% or are exempt from it; When investing in target funds associated to –– units of corporations which hold, directly or the sub-fund, the part of the management fee indirectly, units of corporations, that are (i) real attributable to shares of these target funds is estate companies or (ii) are not real estate reduced by the management fee/all-in fee of the companies, but (a) are domiciled in a member acquired target funds, and as the case may be, state of the European Union or a member up to the full amount (difference method). state of the European Economic Area and are not subject in said domicile to corporate income tax or are exempt from it or (b) are domiciled in a third country and are not subject in said domicile to corporate income tax of at least 15% or are exempt from it if the fair market value of units of such corporations equal more than 10% of the fair market value of those corporations.

For the purpose of this paragraph, “member state of the European Union” shall include the United Kingdom until December 31, 2020.

254 DWS Invest SDG Bonds

Investor profile Income-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio – (absolute VaR) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest split rating between two agencies, the lower each possible issuer based on a letter scoring SDG Bonds, the following provisions shall apply rating should be applicable. In the case of no from A to F, whereby issuers with A and B scores in addition to the terms contained in the general rating, an internal rating may be applied. When a are considered as leading in their categories and section of the Sales Prospectus. holding asset is downgraded to lower than B3/B-, issuers with C scores are considered as within such asset will be sold within 6 months. the upper midfield of their category. These letter Investment policy scores can originate from revenues generated This sub-fund has sustainable investment as its At least 80% of the sub-fund’s assets will be from controversial sectors or the degree of objective and qualifies as product in accordance in EUR or hedged into EUR. involvement in controversial weapons, the with article 9 of Regulation (EU) 2019/2088 on degree of severity that an issuer may be involved sustainability-related disclosures in the financial The sub-fund management invests at least 80% in the violation of international norms, the services sector. of the sub-fund’s assets in economic activities assessment on climate and transition risk, which that contribute to environmental and/or social is based on for example carbon intensity or the The objective of the investment policy of objectives and to at least one of the UN Sustain- risk of stranded assets, or from best in class DWS Invest SDG Bonds is to generate an able development goals (‘SDG’). ESG evaluations. above-average return for the sub-fund. The sub-fund management seeks to attain its The SDG contribution of an issuer will be mea- The sub-fund is actively managed and is not sustainable objective by assessing potential sured by dedicated SDG scores, which are the managed in reference to a benchmark. investments via proprietary ESG investment result of a double-layered algorithm in the ESG methodology. This methodology incorporates investment methodology. In the first layer, The sub-fund’s assets are predominantly investment standards according to an ESG issuers are identified and scored by the revenues invested in interest-bearing debt securities database, which uses data from multiple leading they generate that can be linked to the SDGs issued by public, private and semi-private issuers ESG data providers as well as internal and public (positive contribution) and where those revenues worldwide that (i) have a positive contribution to sources to derive proprietary combined scores by comparison measures exceed the correspond- the fulfillment of the United Nations Sustainable for various environmental and social objectives. ing measures of other issuers. The second layer Development Goals (SDG) or (ii) that finance The methodology assigns one of six possible confirms the ESG quality of such issuers in special SDG related/themed projects (use of proprietary scores to each possible issuer. These respect to defined minimum standards in proceeds bonds). scores encompass assessments for (i) controver- respect to environmental, social and corporate sial sectors (which include coal, tobacco, defence governance factors. Further, next to their SDG At least 70% of the sub-fund’s assets shall be industry, pornography, gambling and nuclear contribution issuers will be assessed to ensure invested globally in interest-bearing debt securi- power), (ii) involvement in controversial weapons that they do not obstruct the SDG objective (with ties that have an investment grade status at the (nuclear weapons, depleted uranium, cluster negative total net SDG contribution). time of the acquisition. A maximum of 30% of the munitions and anti-personnel mines) or (iii) viola- sub-fund’s assets may be invested into inter- tion of internationally accepted norms, but also The sub-fund manager considers in its asset est-bearing debt securities with a non-investment allow for an active issuer selection based on allocation the resulting scores from the ESG grade status with a minimum credit rating of B3 categories such as climate and transition risk, database. At least 80% of the sub-fund’s assets (rated by Moody’s) or B- (rated by S&P and Fitch) norm compliance or best in class ESG evalua- are invested in issuers that are classified in the at time of acquisition. In case of split rating tions in respect to the above-mentioned environ- highest three scores (scores A-C) of the propri- between three agencies, the lower rating of the mental and/or social objectives. The methodology etary SDG score from the application of the ESG two best ratings should be applicable. In case of assigns one of six possible proprietary scores to investment methodology.

255 The ESG and SDG performance of an issuer is contracts on any type of financial instrument, special risk considerations linked to total return evaluated independently from financial success including swaps, forward-starting swaps, infla- swaps, investors should refer to the section based on a variety of factors. These factors tion swaps, total return swaps, excess return “General Risk Warnings”, and in particular the include, for example, the following fields of swaps, swaptions, constant maturity swaps and section “Risks connected to derivative transac- interest: credit default swaps. tions” of the Sales Prospectus.

Environment The sub-fund’s investments in contingent Risk Disclaimer convertibles shall be limited to 10% of the The sub-fund may invest in different types of –– Conservation of flora and fauna; sub-fund’s net asset value. asset-backed securities. Among others, invest- –– Protection of natural resources, atmosphere ments may also include securities that may and inshore waters; The sub-fund intends to use securities financing become subject to strong market volatility, such –– Limitation of land degradation and transactions under the conditions and to the as collateralized debt obligations and collateral- climate change; extent further described in the general part of ized loan obligations. In some cases, these –– Avoidance of encroachment on ecosystems the Sales Prospectus. securities may be very illiquid during periods of and loss of biodiversity. market uncertainty and may be sold only at a The sub-fund’s investments in asset-backed discount. Individual securities may, in such Social securities shall be limited to 20% of the sub- extreme market phases, suffer a total loss or a fund’s net asset value. The term “asset backed significant decrease in value. High losses of –– General human rights; securities” is always used in the extended value at the level of the sub-fund can therefore –– Prohibition of child labour and forced labour; sense, i.e., including mortgage backed securities not be excluded. –– Imperative Non-discrimination; and collateralized debt obligations. Asset-backed –– Workplace health and safety; securities are interest-bearing debt securities Integration of sustainability risks –– Fair workplace and appropriate remuneration. backed by a range of receivables and/or securi- The sub-fund management integrates sustain- ties, including in particular securitized credit card ability risks into their investment decisions by Corporate Governance receivables, private and commercial mortgage means of ESG Integration. Further information on receivables, consumer loans, vehicle leasing how sustainability risks are taken into account in –– Global Governance Principles by the Inter receivables, small business loans, mortgage the investment decisions can be found in the national Corporate Governance Network; bonds, collateralized loan obligations and colla general section of the Sales Prospectus. –– Global Compact Anti-Corruption Principles. teralized bond obligations. Risk Management UN Sustainable Development Goals In addition, the sub-fund’s assets may be The absolute Value-at-Risk (VaR) approach is used invested in all other permissible assets specified to limit market risk in the sub-fund. –– Climate Change in Article 2, including the assets mentioned in –– Water Scarcity Article 2 A. (j) of the general part of the Sales Leverage is not expected to exceed twice the –– Waste Management Prospectus. value of the investment sub-fund’s assets. –– Food Availability However, the expected leverage should not be –– Health & Wellness The respective risks connected with investments viewed as an additional risk limit for the fund. –– Improving Lives and Demographics in this sub-fund are disclosed in the general section of the Sales Prospectus. Investment in shares of target funds At least 90% of the sub-fund`s portfolio holdings In addition to the information in the general will be screened according to non-financial Additional information section of the Sales Prospectus the following is criteria available via the ESG database. When using total return swaps to implement the applicable to this sub-fund: investment strategy as described above, the More information about the functioning of the following shall be noted: When investing in target funds associated to ESG investment methodology, its integration in the sub-fund, the part of the management fee the investment process, the selection criteria as The proportion of the sub-fund’s net assets attributable to shares of these target funds is well as our ESG related policies can be found on subject to total return swaps, expressed as the reduced by the management fee/all-in fee of the our website www.dws.com/solutions/esg. sum of notionals of the total return swaps acquired target funds, and as the case may be, divided by the sub-fund’s net asset value, is up to the full amount (difference method). In addition, an engagement activity can be expected to reach up to 100%, but depending on initiated with the individual issuers regarding the respective market conditions, with the matters such as strategy, financial and non-finan- objective of efficient portfolio management and cial performance, risk, capital structure, social in the interest of the investors, it may reach up to and environmental impact as well as corporate 200%. The calculation is performed in line with governance including topics like disclosure, the guidelines CESR/10-788. However, the culture and remuneration. The dialogue can be disclosed expected level of leverage is not exercised by, for example, proxy voting, company intended to be an additional exposure limit for meetings or engagement letters. the sub-fund.

In compliance with the investment limits speci- Additional information on total return swaps fied in Article 2 B. of the general section of the may be found in the general section of the Sales Sales Prospectus, the investment policy may Prospectus, amongst others, in the section also be implemented through the use of suitable “Efficient portfolio management techniques”. derivative financial instruments. These derivative The selection of counterparties to any total return financial instruments may include, among others, swap is subject to the principles as described in options, forwards, futures, futures contracts on the section “Choice of counterparty” of the Sales financial instruments and options on such con- Prospectus. Further information on the counter- tracts, as well as privately negotiated OTC parties is disclosed in the annual report. For

256 DWS Invest SDG European Equities

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI Europe TR Net (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order Acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest At least 80% of the sub-fund’s assets are The sub-fund management invests at least 80% SDG European Equities, the following provisions invested in equities of foreign and domestic of the sub-fund’s assets in economic activities shall apply in addition to the terms contained in issuers that operate in a business field included that contribute to environmental and/or social the general section of the Sales Prospectus. in the central themes favoured according to the objectives and to at least one of the UN Sustain- market situation, profit from the selected trends able development goals (‘SDG’). Investment policy or are active in an industrial sector that can This sub-fund has sustainable investment as its directly or indirectly contribute to one of sustain- The sub-fund management seeks to attain its objective and qualifies as product in accordance able development goals of the Agenda 2030. sustainable objective by assessing potential with article 9 of Regulation (EU) 2019/2088 on Investments in the securities mentioned above investments via proprietary ESG investment sustainability‐related disclosures in the financial may also be made through Global Depository methodology. This methodology incorporates services sector. Receipts (GDRs) and American Depository investment standards according to an ESG Receipts (ADRs) listed on recognized exchanges database, which uses data from multiple leading The objective of the investment policy of DWS and markets issued by international financial ESG data providers as well as internal and public Invest SDG European Equities is to achieve a institutions. sources to derive proprietary combined scores positive mid- to long-term investment perfor- for various environmental and social objectives. mance by investing in companies that the sub- Up to 20% of the sub-fund’s assets may be The methodology assigns one of six possible fund management considers to be in a position invested in short-term deposits, money market proprietary scores to each possible issuer. These to profit from present or future geopolitical, instruments and bank balances. scores encompass assessments for (i) controver- social and economic trends and themes which sial sectors (which include coal, tobacco, defence help to achieve the sustainable development The sub-fund will not invest in contingent industry, pornography, gambling and nuclear goals of the UN as part of the Agenda 2030. convertibles. power), (ii) involvement in controversial weapons (nuclear weapons, depleted uranium, cluster The sub-fund is actively managed and is not The sub-fund intends to use securities financing munitions and anti-personnel mines) or (iii) viola- managed in reference to a benchmark. transactions under the conditions and to the tion of internationally accepted norms, but also extent further described in the general part of allow for an active issuer selection based on the Sales Prospectus. categories such as climate and transition risk,

257 norm compliance or best in class ESG evalua- Corporate Governance and this Sales Prospectus (equity fund) at least tions in respect to the above-mentioned environ- 51% of the sub-fund´s gross assets (determined mental and/or social objectives. The methodology –– Global Governance Principles by the Inter as being the value of the sub-fund´s assets assigns one of six possible proprietary scores to national Corporate Governance Network; without taking into account liabilities) are each possible issuer based on a letter scoring –– Global Compact Anti-Corruption Principles. invested in equities admitted to official trading on from A to F, whereby issuers with A and B scores a stock exchange or admitted to, or included in, are considered as leading in their categories and UN Sustainable Development Goals another organized market and which are not: issuers with C scores are considered as within the upper midfield of their category. These letter –– Climate Change –– units of investment funds; scores can originate from revenues generated –– Water Scarcity –– equities indirectly held via partnerships; from controversial sectors or the degree of –– Waste Management –– units of corporations, associations of persons involvement in controversial weapons, the –– Food Availability or estates at least 75% of the gross assets of degree of severity that an issuer may be involved –– Health & Wellness which consist of immovable property in in the violation of international norms, the –– Improving Lives and Demographics accordance with statutory provisions or their assessment on climate and transition risk, which investment conditions, if such corporations, is based on for example carbon intensity or the At least 90% of the sub-fund`s portfolio holdings associations of persons or estates are subject risk of stranded assets, or from best in class will be screened according to non-financial to corporate income tax of at least 15% and ESG evaluations. criteria available via the ESG database. are not exempt from it or if their distributions are subject to tax of at least 15% and the The SDG contribution of an issuer will be mea- More information about the functioning of the sub-fund is not exempt from said taxation; sured by dedicated SDG scores, which are the ESG investment methodology, its integration in –– units of corporations which are exempt from result of a double-layered algorithm in the ESG the investment process, the selection criteria as corporate income taxation to the extent they investment methodology. In the first layer, well as our ESG related policies can be found on conduct distributions unless such distributions issuers are identified and scored by the revenues our website www.dws.com/solutions/esg. are subject to taxation at a minimum rate of they generate that can be linked to the SDGs 15% and the sub-fund is not exempt from said (positive contribution) and where those revenues In addition, an engagement activity can be taxation; by comparison measures exceed the correspond- initiated with the individual issuers regarding –– units of corporations the income of which ing measures of other issuers. The second layer matters such as strategy, financial and non-finan- originates, directly or indirectly, to an extent confirms the ESG quality of such issuers in cial performance, risk, capital structure, social of more than 10%, from units of corporations, respect to defined minimum standards in and environmental impact as well as corporate that are (i) real estate companies or (ii) are not respect to environmental, social and corporate governance including topics like disclosure, real estate companies, but (a) are domiciled in governance factors. Further, next to their SDG culture and remuneration. The dialogue can be member state of the European Union or a contribution issuers will be assessed to ensure exercised by, for example, proxy voting, company member state of the European Economic Area that they do not obstruct the SDG objective (with meetings or engagement letters. and are not subject in said domicile to corpo- negative total net SDG contribution). rate income tax or are exempt from it or In addition, the sub-fund’s assets may be invested (b) are domiciled in a third country and are not The sub-fund manager considers in its asset in all other permissible assets specified in Article 2, subject in said domicile to corporate income allocation the resulting scores from the ESG including the assets mentioned in Article 2 A. (j) of tax of at least 15% or are exempt from it; database. At least 80% of the sub-fund’s assets the general section of the Sales Prospectus. –– units of corporations which hold, directly or are invested in issuers that are classified in the indirectly, units of corporations, that are (i) real highest three scores (scores A-C) of the propri- Notwithstanding the investment limit specified in estate companies or (ii) are not real estate etary SDG score from the application of the ESG Article 2 B. (n) concerning the use of derivatives, companies, but (a) are domiciled in a member investment methodology. the following investment restrictions shall apply state of the European Union or a member with regard to the investment restrictions cur- state of the European Economic Area and are The ESG and SDG performance of an issuer is rently applicable in individual distribution not subject in said domicile to corporate evaluated independently from financial success countries: income tax or are exempt from it or (b) are based on a variety of factors. These factors include, domiciled in a third country and are not sub- for example, the following fields of interest: Derivatives that constitute short positions must ject in said domicile to corporate income tax have adequate coverage at all times and may be of at least 15% or are exempt from it if the fair Environment used exclusively for hedging purposes. Hedging market value of units of such corporations is limited to 100% of the underlying instrument equal more than 10% of the fair market value –– Conservation of flora and fauna; covering the derivative. Conversely, no more than of those corporations. –– Protection of natural resources, 35% of the net value of the assets of the sub- atmosphere and inshore waters; fund may be invested in derivatives that consti- For the purpose of this investment policy and in –– Limitation of land degradation and tute long positions and do not have correspond- accordance with the definition in the German climate change; ing coverage. Investment Code (KAGB), an organized market is –– Avoidance of encroachment on ecosystems a market which is recognized, open to the public and loss of biodiversity. Notwithstanding the investment limit of 10% and which functions correctly, unless expressly specified in Article 2 B. (i) concerning invest- specified otherwise. Such organized market also Social ments in shares of other UCITS and/or other meets the criteria of article 50 of the UCITS UCIs as defined in Article 2 A. (e), an investment Directive. –– General human rights; limit of 5% shall apply to this sub-fund. –– Prohibition of child labour and forced labour; The respective risks connected with investments –– Imperative Non-discrimination; For the purpose of inducing a partial tax exemp- in this sub-fund are disclosed in the general –– Workplace health and safety; tion within the meaning of the German Invest- section of the Sales Prospectus. –– Fair workplace and appropriate remuneration. ment Tax Act and in addition to the investment limits described in the Articles of Incorporation

258 Integration of sustainability risks The sub-fund management integrates sustainability risks into their investment decisions by means of ESG Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Leverage is not expected to exceed twice the value of the investment sub-fund’s assets. The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net present value of the portfolio). However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

259 DWS Invest SDG Global Equities

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI World AC Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order Acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest by investing in companies that the sub-fund or are active in an industrial sector that can SDG Global Equities, the following provisions management considers to be in a position to directly or indirectly contribute to one of sustain- shall apply in addition to the terms contained in profit from present or future geopolitical, social able development goals of the Agenda 2030. the general section of the Sales Prospectus. and economic trends and themes which help to Investments in the securities mentioned above achieve the sustainable development goals of may also be made through Global Depository Investment policy the UN as part of the Agenda 2030. Receipts (GDRs) and American Depository This sub-fund has sustainable investment as its Receipts (ADRs) listed on recognized exchanges objective and qualifies as product in accordance The sub-fund is actively managed and is not and markets issued by international financial with article 9 of Regulation (EU) 2019/2088 on managed in reference to a benchmark. institutions. sustainability related disclosures in the financial services sector. At least 80% of the sub-fund’s assets are Up to 20% of the sub-fund’s assets may be invested in equities of foreign and domestic invested in short-term deposits, money market The objective of the investment policy of DWS issuers that operate in a business field included instruments and bank balances. Invest SDG Global Equities is to achieve a posi- in the central themes favoured according to the tive mid- to long-term investment performance market situation, profit from the selected trends

260 The sub-fund will not invest in contingent The sub-fund manager considers in its asset In addition, the sub-fund’s assets may be convertibles. allocation the resulting scores from the ESG invested in all other permissible assets specified database. At least 80% of the sub-fund’s assets in Article 2, including the assets mentioned in The sub-fund intends to use securities financing are invested in issuers that are classified in the Article 2 A. (j) of the general section of the Sales transactions under the conditions and to the highest three scores (scores A-C) of the propri- Prospectus. extent further described in the general part of etary SDG score from the application of the ESG the Sales Prospectus. investment methodology. Notwithstanding the investment limit specified in Article 2 B. (n) concerning the use of derivatives, The sub-fund management invests at least 80% The ESG and SDG performance of an issuer is the following investment restrictions shall apply of the sub-fund’s assets in economic activities evaluated independently from financial success with regard to the investment restrictions cur- that contribute to environmental and/or social based on a variety of factors. These factors rently applicable in individual distribution objectives and to at least one of the UN Sustain- include, for example, the following fields of countries: able development goals (‘SDG’). interest: Derivatives that constitute short positions must The sub-fund management seeks to attain its Environment have adequate coverage at all times and may be sustainable objective by assessing potential used exclusively for hedging purposes. Hedging investments via proprietary ESG investment –– Conservation of flora and fauna; is limited to 100% of the underlying instrument methodology. This methodology incorporates –– Protection of natural resources, covering the derivative. Conversely, no more than investment standards according to an ESG data- atmosphere and inshore waters; 35% of the net value of the assets of the sub-fund base, which uses data from multiple leading ESG –– Limitation of land degradation and climate may be invested in derivatives that constitute long data providers as well as internal and public change; positions and do not have corresponding sources to derive proprietary combined scores for –– Avoidance of encroachment on ecosystems coverage. various environmental and social objectives. The and loss of biodiversity. methodology assigns one of six possible propri- Notwithstanding the investment limit of 10% etary scores to each possible issuer. These scores Social specified in Article 2 B. (i) concerning investments encompass assessments for (i) controversial in shares of other UCITS and/or other UCIs as sectors (which include coal, tobacco, defence –– General human rights; defined in Article 2 A. (e), an investment limit of industry, pornography, gambling and nuclear –– Prohibition of child labour and forced labour; 5% shall apply to this sub-fund. power), (ii) involvement in controversial weapons –– Imperative Non-discrimination; (nuclear weapons, depleted uranium, cluster –– Workplace health and safety; For the purpose of inducing a partial tax exemp- munitions and anti-personnel mines) or (iii) viola- –– Fair workplace and appropriate remuneration. tion within the meaning of the German Invest- tion of internationally accepted norms, but also ment Tax Act and in addition to the investment allow for an active issuer selection based on Corporate Governance limits described in the Articles of Incorporation categories such as climate and transition risk, and this Sales Prospectus (equity fund) at least norm compliance or best in class ESG evaluations –– Global Governance Principles by the 51% of the sub-fund´s gross assets (determined in respect to the above-mentioned environmental International Corporate Governance Network; as being the value of the sub-fund´s assets with- and/or social objectives. The methodology assigns –– Global Compact Anti-Corruption Principles. out taking into account liabilities) are invested in one of six possible proprietary scores to each equities admitted to official trading on a stock possible issuer based on a letter scoring from A to UN Sustainable Development Goals exchange or admitted to, or included in, another F, whereby issuers with A and B scores are con- organized market and which are not: sidered as leading in their categories and issuers –– Climate Change with C scores are considered as within the upper –– Water Scarcity –– units of investment funds; midfield of their category. These letter scores can –– Waste Management –– equities indirectly held via partnerships; originate from revenues generated from contro- –– Food Availability –– units of corporations, associations of persons versial sectors or the degree of involvement in –– Health & Wellness or estates at least 75% of the gross assets of controversial weapons, the degree of severity that –– Improving Lives and Demographics which consist of immovable property in accor- an issuer may be involved in the violation of dance with statutory provisions or their invest- international norms, the assessment on climate At least 90% of the sub-fund`s portfolio holdings ment conditions, if such corporations, associa- and transition risk, which is based on for example will be screened according to non-financial tions of persons or estates are subject to carbon intensity or the risk of stranded assets, or criteria available via the ESG database. corporate income tax of at least 15% and are from best in class ESG evaluations. not exempt from it or if their distributions are More information about the functioning of the subject to tax of at least 15% and the sub-fund The SDG contribution of an issuer will be mea- ESG investment methodology, its integration in is not exempt from said taxation; sured by dedicated SDG scores, which are the the investment process, the selection criteria as –– units of corporations which are exempt from result of a double-layered algorithm in the ESG well as our ESG related policies can be found on corporate income taxation to the extent they investment methodology. In the first layer, our website www.dws.com/solutions/esg. conduct distributions unless such distributions issuers are identified and scored by the revenues are subject to taxation at a minimum rate of they generate that can be linked to the SDGs In addition, an engagement activity can be 15% and the sub-fund is not exempt from said (positive contribution) and where those revenues initiated with the individual issuers regarding taxation; by comparison measures exceed the correspond- matters such as strategy, financial and non-finan- –– units of corporations the income of which ing measures of other issuers. The second layer cial performance, risk, capital structure, social originates, directly or indirectly, to an extent of confirms the ESG quality of such issuers in and environmental impact as well as corporate more than 10%, from units of corporations, respect to defined minimum standards in governance including topics like disclosure, that are (i) real estate companies or (ii) are not respect to environmental, social and corporate culture and remuneration. The dialogue can be real estate companies, but (a) are domiciled in governance factors. Further, next to their SDG exercised by, for example, proxy voting, company member state of the European Union or a contribution issuers will be assessed to ensure meetings or engagement letters. member state of the European Economic Area that they do not obstruct the SDG objective (with and are not subject in said domicile to corpo- negative total net SDG contribution). rate income tax or are exempt from it or (b) are

261 domiciled in a third country and are not subject Investment in shares of target funds in said domicile to corporate income tax of at In addition to the information in the general least 15% or are exempt from it; section of the Sales Prospectus the following –– units of corporations which hold, directly or is applicable to this sub-fund: indirectly, units of corporations, that are (i) real estate companies or (ii) are not real estate When investing in target funds associated to companies, but (a) are domiciled in a member the sub-fund, the part of the management fee state of the European Union or a member state attributable to shares of these target funds is of the European Economic Area and are not reduced by the management fee/all-in fee of the subject in said domicile to corporate income acquired target funds, and as the case may be, tax or are exempt from it or (b) are domiciled up to the full amount (difference method). in a third country and are not subject in said domicile to corporate income tax of at least 15% or are exempt from it if the fair market value of units of such corporations equal more than 10% of the fair market value of those corporations.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

Integration of sustainability risks The sub-fund management integrates sustainability risks into their investment decisions by means of ESG Integration. Further information on how sustainability risks are taken into account in the investment decisions can be found in the general section of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Leverage is not expected to exceed twice the value of the investment sub-fund’s assets. The leverage effect is calculated using the sum of notional approach (absolute (notional) amount of each derivative position divided by the net present value of the portfolio). However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

262 DWS Invest Short Duration Credit

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark iBoxx Euro Corporates 1-3 Y, administered by IHS Markit Benchmark Administration Limited. Reference portfolio (absolute VaR) (risk benchmark) Leverage effect 5 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

For the sub-fund with the name DWS Invest Short The sub-fund’s assets may be invested globally –– subordinated bonds, Duration Credit, the following provisions shall in the following instruments: –– asset-backed securities. apply in addition to the terms contained in the general section of the Sales Prospectus. –– corporate bonds issued by companies from The sub-fund’s investments in subordinated Developed Countries or Emerging Markets bonds shall be limited to 30% of the sub-fund’s Investment policy that may or may not offer an investment grade assets value. The sub-fund’s investments in asset The objective of the investment policy of status at the time of acquisition, backed securities shall be limited to 20% of the DWS Invest Short Duration Credit is to achieve –– covered bonds, sub-fund’s net asset value. an above-average return for the sub-fund. –– convertible bonds,

263 The average duration of the overall portfolio shall In addition, the sub-fund’s assets may be either in the public register of administrators of not exceed three years. The sub-fund manager invested in all other permissible assets specified benchmark indices or the public register of third aims to hedge any currency risk versus the euro in Article 2 of the general section of the Sales country benchmarks. in the portfolio. Prospectus, including the assets mentioned in Article 2 A. (j). The majority of the sub-fund’s securities or In compliance with the investment limits speci- their issuers are not necessarily expected to be fied in Article 2 B. of the general section of the The respective risks connected with investments components of the benchmark and the portfolio Sales Prospectus, the investment policy may in this sub-fund are disclosed in the general is not necessarily expected to have a similar also be implemented through the use of suitable section of the Sales Prospectus. weighting to the benchmark. The sub-fund derivative financial instruments. These derivative management will use its discretion to invest in financial instruments may include, among others, Specific risks securities and sectors that are not included in options, forwards, futures, futures contracts on The use of credit default swaps may entail the benchmark in order to take advantage of financial instruments and options on such con- greater risks than direct investment in debt specific investment opportunities. In regard to its tracts, as well as privately negotiated OTC securities. The market for credit default swaps benchmark, the sub-fund positioning can deviate contracts on any type of financial instrument, can at times be less liquid than the markets for significantly (e.g., by a positioning outside of the including swaps, forward-starting swaps, infla- debt securities. The use of swaps may entail benchmark as well as a significant underweight- tion swaps, total return swaps, excess return specific risks that are explained in more detail ing or overweighting) and the actual degree of swaps, swaptions, constant maturity swaps and in the “Notes” section. freedom is typically relatively high. A deviation credit default swaps. generally reflects the sub-fund manager’s evalua- Additional information tion of the specific market situation, which may The sub-fund may use, particularly in accordance When using total return swaps to implement the lead to a defensive and closer or a more active with the investment limits stated in Article 2 B. investment strategy as described above, the and wider positioning compared to the bench- of the Sales Prospectus – general section, deriva- following shall be noted: mark. Despite the fact that the sub-fund aims tives to optimize the investment objective. to outperform the return of the benchmark, the The proportion of the sub-fund’s net assets potential outperformance might be limited The derivatives may only be used in compliance subject to total return swaps, expressed as the depending on the prevailing market environment with the investment policy and the investment sum of notionals of the total return swaps (e.g. less volatile market environment) and actual objective of DWS Invest Short Duration Credit. divided by the sub-fund’s net asset value, is positioning versus the benchmark. The performance of the sub-fund is therefore expected to reach up to 50%, but depending on besides other factors depending on the respec- the respective market conditions, with the Risk Management tive proportion of derivatives, e.g. swaps in the objective of efficient portfolio management and The absolute Value-at-Risk (VaR) approach is used sub-fund’s total assets. in the interest of the investors, it may reach up to to limit market risk for the sub-fund assets. 100%. The calculation is performed in line with To implement the investment policy and achieve the guidelines CESR/10-788. However, the Contrary to the provision of the general section of the investment objective it is anticipated that the disclosed expected level of leverage is not the Sales Prospectus, because of the investment derivatives, such as swaps, will be entered with intended to be an additional exposure limit for strategy of the sub-fund it is expected that the at least BBB3 (Moody’s) /BBB- (S&P, Fitch) rated the sub-fund. leverage effect from the use of derivatives will not financial institutions specializing in such trans be any higher than five times the sub-fund assets. actions. Such OTC-agreements are standardized Additional information on total return swaps The leverage effect is calculated using the sum of agreements. may be found in the general section of the notional approach (absolute (notional) amount of Sales Prospectus, amongst others, in the section each derivative position divided by the net present In conjunction with the OTC transactions, it is “Efficient portfolio management techniques”. value of the portfolio). The disclosed expected important to note the associated counterparty The selection of counterparties to any total level of leverage is not intended to be an addi- risk. The sub-fund’s counterparty risk resulting return swap is subject to the principles as tional exposure limit for the sub-fund. from the use of portfolio total return swaps will described in the section “Choice of counter- be fully collateralized. The use of swaps may party” of the Sales Prospectus. Further informa- Investment in shares of target funds furthermore entail specific risks that are tion on the counterparties is disclosed in the In addition to the information in the general explained in the general risk warnings. annual report. For special risk considerations section of the Sales Prospectus the following linked to total return swaps, investors should is applicable to this sub-fund: The sub-fund can be invested in total or in parts in refer to the section “General Risk Warnings”, and one or several OTC-transactions negotiated with a in particular the section “Risks connected to When investing in target funds associated to counterparty under customary market conditions. derivative transactions” of the Sales Prospectus. the sub-fund, the part of the management fee Therefore, the sub-fund can be invested in total or attributable to shares of these target funds is in parts in one or several transactions. Integration of sustainability risks reduced by the management fee/all-in fee of the The sub-fund management integrates sustain- acquired target funds, and as the case may be, The sub-fund’s investments in contingent convert- ability risks into their investment decisions by up to the full amount (difference method). ibles shall be limited to 10% of the sub-fund’s net means of Smart Integration. Further information asset value. on how sustainability risks are taken into account in the investment decisions can be found in the The sub-fund intends to use securities financing general section of the Sales Prospectus. transactions under the conditions and to the extent further described in the general part of the Benchmark Sales Prospectus. The sub-fund is actively managed and is managed in reference to one or a combination of benchmarks as further detailed in the sub-fund specific table. All benchmarks respectively their administrators are registered with the ESMA,

264 DWS Invest Short Duration Income

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark Barclays Global Aggregate 1-3y (hedged EUR), administered by Barclays Bank Plc. Reference portfolio – (absolute VaR) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest At least 70% of the sub-fund’s assets are A maximum of 30% of the sub-fund’s total Short Duration Income, the following provisions invested in interest-bearing securities having assets may be invested in debt instruments or shall apply in addition to the terms contained in maturities classified as short-term. “Short term” other securities that do not meet the above the general section of the Sales Prospectus. relates to a term to maturity or fixed-rate term of criteria. investments ranging between zero and three Investment policy years. At least 25% of the sub-fund´s assets are No more than 25% of the sub-fund’s assets may The objective of the investment policy of DWS invested in assets that have a residual term to be invested in convertible bonds and warrant- Invest Short Duration Income is to generate an maturity that exceeds 24 months. linked bonds; no more than 10% may be above-average return for the sub-fund. invested in participation and dividend right This sub-fund does not comply with the provi- certificates. The sub-fund may acquire interest-bearing securi- sions of the EU Regulation 2017/1131 on money ties, convertible bonds and warrant-linked bonds, market funds and hence will not qualify as a The sub-fund’s investments in asset backed participation and dividend right certificates, money money market fund. securities and mortgage backed securities shall markets instruments and liquid assets. be limited to 20% of the sub-fund’s net asset value.

265 At least 90% of the sub-fund’s assets will be in lead to a defensive and closer or a more active EUR or hedged into EUR. and wider positioning compared to the benchmark. Despite the fact that the sub-fund aims In compliance with the investment limits speci- to outperform the return of the benchmark, the fied in Article 2 B. of the general section of the potential outperformance might be limited Sales Prospectus, the investment policy may depending on the prevailing market environment also be implemented through the use of suitable (e.g. less volatile market environment) and actual derivative financial instruments. These derivative positioning versus the benchmark. financial instruments may include, among others, options, forwards, futures, futures contracts on Risk Management financial instruments and options on such con- The absolute Value-at-Risk (VaR) approach is used tracts, as well as privately negotiated OTC to limit market risk for the sub-fund assets. contracts on any type of financial instrument, including swaps, forward-starting swaps, infla- Leverage is not expected to exceed twice the tion swaps, total return swaps, excess return value of the investment sub-fund’s assets. The swaps, swaptions, constant maturity swaps and leverage effect is calculated using the sum of credit default swaps. notional approach (absolute (notional) amount of each derivative position divided by the net pres- The sub-fund’s investments in contingent ent value of the portfolio). However, the dis- convertibles shall be limited to 10% of the closed expected level of leverage is not intended sub-fund’s net asset value. to be an additional exposure limit for the sub-fund. The sub-fund intends to use securities financing transactions under the conditions and to the Additional information extent further described in the general part of When using total return swaps to implement the the Sales Prospectus. investment strategy as described above, the following shall be noted: In addition, the sub-fund’s assets may be invested in all other permissible assets. The proportion of the sub-fund’s net assets subject to total return swaps, expressed as the The respective risks connected with investments sum of notionals of the total return swaps in this sub-fund are disclosed in the general divided by the sub-fund’s net asset value, is section of the Sales Prospectus. expected to reach up to 50%, but depending on the respective market conditions, with the Integration of sustainability risks objective of efficient portfolio management and The sub-fund management integrates sustain- in the interest of the investors, it may reach up to ability risks into their investment decisions by 100%. The calculation is performed in line with means of Smart Integration. Further information the guidelines CESR/10-788. However, the on how sustainability risks are taken into account disclosed expected level of leverage is not in the investment decisions can be found in the intended to be an additional exposure limit for general section of the Sales Prospectus. the sub-fund.

Benchmark Additional information on total return swaps The sub-fund is actively managed and is man- may be found in the general section of the aged in reference to one or a combination of Sales Prospectus, amongst others, in the section benchmarks as further detailed in the sub-fund “Efficient portfolio management techniques”. specific table. All benchmarks respectively their The selection of counterparties to any total administrators are registered with the ESMA, return swap is subject to the principles as either in the public register of administrators of described in the section “Choice of counter- benchmark indices or the public register of third party” of the Sales Prospectus. Further infor country benchmarks. mation on the counterparties is disclosed in the annual report. For special risk considerations The majority of the sub-fund’s securities or linked to total return swaps, investors should their issuers are not necessarily expected to be refer to the section “General Risk Warnings”, and components of the benchmark and the portfolio in particular the section “Risks connected to is not necessarily expected to have a similar derivative transactions” of the Sales Prospectus. weighting to the benchmark. The sub-fund management will use its discretion to invest in Investment in shares of target funds securities and sectors that are not included in In addition to the information in the general the benchmark in order to take advantage of section of the Sales Prospectus the following is specific investment opportunities. In regard to its applicable to this sub-fund: benchmark, the sub-fund positioning can deviate significantly (e.g., by a positioning outside of the When investing in target funds associated to benchmark as well as a significant underweight- the sub-fund, the part of the management fee ing or overweighting) and the actual degree of attributable to shares of these target funds is freedom is typically relatively high. A deviation reduced by the management fee/all-in fee of the generally reflects the sub-fund manager’s evalua- acquired target funds, and as the case may be, tion of the specific market situation, which may up to the full amount (difference method).

266 DWS Invest Smart Industrial Technologies

Investor profile Risk-tolerant Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark MSCI World Industrial Net TR Index, administered by MSCI Limited. Reference portfolio MSCI World Industrial Net TR Index (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest business solutions while in parallel offering provision of forward-looking infrastructure and Smart Industrial Technologies the following provi- different growth drivers and diversification the production of future-oriented industrial goods sions shall apply in addition to the terms con- benefits. and that derive at least 20% of their revenues in tained in the general section of the Sales these areas. Prospectus. As part of its discretionary management policy for the sub-fund, the Investment Company Up to one third of the sub-fund’s assets may be Investment policy engages in active selection of the assets permit- invested in money market instruments and bank The objective of the investment policy of DWS ted under the UCITS law and the permissible balances, respectively. Invest Smart Industrial Technologies is to achieve assets specified in Article 2 of the general part of the highest possible return, in combination with the Sales Prospectus. Decisions on asset selec- The Company may invest up to 10% of the a reasonable annual distribution of income. tion are based on well-founded evaluations by sub-fund’s assets in units of other funds (invest- the globally networked investment specialists of ment fund units). The proportion of such invest- The sub-fund invests into future technologies of the fund management. ment fund units in excess of 5% of the sub- various sectors in a smart fashion, as it focuses fund’s assets may consist only of money market on companies that are able to extend technologi- At least two-thirds of the sub-fund’s assets must fund units. cal and thought leadership in industrial produc- be invested in equities of German and foreign tion. Core areas as “automation & robotics”, issuers. In doing so, investments must be made The sub-fund will not invest in contingent “digitalisation” or “infrastructure” offer smart in equities that are active in the areas of convertibles.

267 The sub-fund intends to use securities financing and which functions correctly, unless expressly each derivative position divided by the net transactions under the conditions and to the specified otherwise. Such organized market also present value of the portfolio). However, the extent further described in the general part of meets the criteria of article 50 of the UCITS disclosed expected level of leverage is not the Sales Prospectus. Directive. intended to be an additional exposure limit for the sub-fund. For the purpose of inducing a partial tax exemp- The respective risks connected with investments tion within the meaning of the German Invest- in this sub-fund are disclosed in the general Investment in shares of target funds ment Tax Act and in addition to the investment section of the Sales Prospectus. In addition to the information in the general limits described in the Articles of Incorporation section of the Sales Prospectus the following is and this Sales Prospectus (equity fund) at least Integration of sustainability risks applicable to this sub-fund: two thirds of the sub-fund´s gross assets (deter- The sub-fund management integrates sustain- mined as being the value of the sub-fund´s ability risks into their investment decisions by When investing in target funds associated to assets without taking into account liabilities) are means of Smart Integration. Further information the sub-fund, the part of the management fee invested in equities admitted to official trading on on how sustainability risks are taken into account attributable to shares of these target funds is a stock exchange or admitted to, or included in, in the investment decisions can be found in the reduced by the management fee/all-in fee of the another organized market and which are not: general section of the Sales Prospectus. acquired target funds, and as the case may be, up to the full amount (difference method). –– units of investment funds; Benchmark –– equities indirectly held via partnerships; The sub-fund is actively managed and is man- –– units of corporations, associations of persons aged in reference to one or a combination of or estates at least 75% of the gross assets of benchmarks as further detailed in the sub-fund which consist of immovable property in specific table. All benchmarks respectively their accordance with statutory provisions or their administrators are registered with the ESMA, investment conditions, if such corporations, either in the public register of administrators of associations of persons or estates are subject benchmark indices or the public register of third to corporate income tax of at least 15% and country benchmarks. are not exempt from it or if their distributions are subject to tax of at least 15% and the The majority of the sub-fund’s securities or sub-fund is not exempt from said taxation; their issuers are not necessarily expected to be –– units of corporations which are exempt from components of the benchmark and the portfolio corporate income taxation to the extent they is not necessarily expected to have a similar conduct distributions unless such distributions weighting to the benchmark. The sub-fund are subject to taxation at a minimum rate of management will use its discretion to invest in 15% and the sub-fund is not exempt from said securities and sectors that are not included in taxation; the benchmark in order to take advantage of –– units of corporations the income of which specific investment opportunities. In regard to its originates, directly or indirectly, to an extent benchmark, the sub-fund positioning can deviate of more than 10%, from units of corporations, significantly (e.g., by a positioning outside of the that are (i) real estate companies or (ii) are not benchmark as well as a significant underweight- real estate companies, but (a) are domiciled in ing or overweighting) and the actual degree of member state of the European Union or a freedom is typically relatively high. A deviation member state of the European Economic Area generally reflects the sub-fund manager’s evalua- and are not subject in said domicile to corpo- tion of the specific market situation, which may rate income tax or are exempt from it or lead to a defensive and closer or a more active (b) are domiciled in a third country and are not and wider positioning compared to the bench- subject in said domicile to corporate income mark. Despite the fact that the sub-fund aims to tax of at least 15% or are exempt from it; outperform the return of the benchmark, the –– units of corporations which hold, directly or potential outperformance might be limited indirectly, units of corporations, that are (i) real depending on the prevailing market environment estate companies or (ii) are not real estate (e.g. less volatile market environment) and actual companies, but (a) are domiciled in a member positioning versus the benchmark. state of the European Union or a member state of the European Economic Area and are Risk Management not subject in said domicile to corporate The relative Value-at-Risk (VaR) approach is used income tax or are exempt from it or (b) are to limit market risk in the sub-fund. domiciled in a third country and are not subject in said domicile to corporate income tax In addition to the provisions of the general of at least 15% or are exempt from it if the fair section of the Sales Prospectus, the potential market value of units of such corporations market risk of the sub-fund is measured using a equal more than 10% of the fair market value reference portfolio that does not contain deriva- of those corporations. tives (“risk benchmark”).

For the purpose of this investment policy and in Leverage is not expected to exceed twice the accordance with the definition in the German value of the investment sub-fund’s assets. The Investment Code (KAGB), an organized market is leverage effect is calculated using the sum of a market which is recognized, open to the public notional approach (absolute (notional) amount of

268 DWS Invest StepIn Global Equities

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark MSCI World TR Net, administered by MSCI Limited. Reference portfolio MSCI World TR Net (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg and Frankfurt/Main Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the valuation date. Orders received after 4:00 PM Luxembourg time are processed on the basis of the net asset value per share on the next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee Maximum management fee charged 3.25% in respect of investments in shares of target funds (payable by the sub-fund)

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

For the sub-fund with the name DWS Invest At launch date 90% of the sub-fund’s assets are The sub-fund’s assets may be used to acquire StepIn Global Equities, the following provisions invested in interest-bearing securities, convert- shares of other Undertakings for Collective shall apply in addition to the terms contained in ible bonds, warrant-linked bonds, investment Investment in Transferable Securities and/or the general section of the Sales Prospectus. funds, money market instruments or liquid collective investment undertakings as defined in assets. Article 2 A. (e), provided that no more than 20% Investment policy of the sub-fund’s assets are invested in one and The objective of the investment policy of DWS Starting at launch date the sub-fund’s assets will the same UCITS and/or UCIs. Invest StepIn Global Equities is to generate an be shifted monthly step-by-step over a three year above average return for the sub-fund. period into instruments with higher yield and Every sub-fund of an umbrella fund is to be higher risk, i.e. mainly equities and equity related regarded as an independent issuer, provided that The sub-fund will invest in interest-bearing securities and its derivatives. After three years the principle of individual liability per sub-fund is securities, convertible bonds, money-market the percentage amount invested in those securi- applicable in terms of liability to third parties. instruments, bank balances, other low-risk ties can be increased to a level of up to 100%. Investments in shares of other collective invest- assets, investment funds, equities, securities ment undertakings other than Undertakings for equivalent to equities and derivatives. Notwithstanding Article 2 B. (i) the sub-fund may Collective Investment in Transferable Securities invest up to 100% of the sub-fund’s assets into must not exceed 30% of the sub-fund’s net From launch until the date, when the shifting other funds until 3 years after the launch and the assets in total. period described below is completed, the follow- following applies: ing shall apply:

269 In the case of investments in shares of another benchmark as well as a significant underweight- UCITS and/or other UCIs, the investments held ing or overweighting) and the actual degree of by that UCITS and/or by other UCIs are not taken freedom is typically relatively high. A deviation into consideration for the purposes of the limits generally reflects the sub-fund manager’s evalua- specified in Article 2 B. (a), (b), (c), (d), (e) and (f). tion of the specific market situation, which may lead to a defensive and closer or a more active After the above mentioned shifting period, the and wider positioning compared to the bench- following shall apply: mark. Despite the fact that the sub-fund aims to outperform the return of the benchmark, the At least 51% of the sub-fund’s assets must be potential outperformance might be limited invested in equities of well-established and depending on the prevailing market environment growth oriented national and international enter- (e.g. less volatile market environment) and actual prises which, after return expectations or with positioning versus the benchmark. taking advantage of short term market movements, have a promising performance or in equity Risk Management investment funds. The fund management ensures The relative Value-at-Risk (VaR) approach is used a flexible focus weighting and invests if neces- to limit market risk in the sub-fund. sary – for defensive purposes – additionally in Fixed Income Securities. In addition to the provisions of the general section of the Sales Prospectus, the potential Up to 49% of the sub-fund’s assets may be market risk of the sub-fund is measured using a invested in money market instruments (includ- reference portfolio that does not contain deriva- ing investment funds), and bank balances, tives (“risk benchmark”). respectively. Leverage is not expected to exceed twice the The sub-fund’s investments in contingent value of the investment sub-fund’s assets. The convertibles shall be limited to 10% of the leverage effect is calculated using the sum of sub-fund’s net asset value. notional approach (absolute (notional) amount of each derivative position divided by the net pres- The sub-fund intends to use securities financing ent value of the portfolio). However, the dis- transactions under the conditions and to the closed expected level of leverage is not intended extent further described in the general part of to be an additional exposure limit for the the Sales Prospectus. sub-fund.

The respective risks connected with investments Investment in shares of target funds in this sub-fund are disclosed in the general In addition to the information in the general section of the Sales Prospectus. section of the Sales Prospectus the following is applicable to this sub-fund: Integration of sustainability risks The sub-fund management integrates sustain- When investing in target funds associated to ability risks into their investment decisions by the sub-fund, the part of the management fee means of Smart Integration. Further information attributable to shares of these target funds is on how sustainability risks are taken into account reduced by the management fee/all-in fee of the in the investment decisions can be found in the acquired target funds, and as the case may be, general section of the Sales Prospectus. up to the full amount (difference method).

270 DWS Invest Top Asia

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investments Hong Kong Limited, Level 60, International Commerce Centre, 1 Austin Road West, Kowloon, Hong Kong. Performance benchmark MSCI AC Asia ex Japan EUR Nt Index (MAASJ Index), administered by MSCI Limited. Reference portfolio MSCI AC Asia ex Japan EUR Nt Index (MAASJ Index) (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg that is also an exchange trading day on the Hong Kong Stock Exchange Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus.

For the sub-fund with the name DWS Invest Top A company is viewed as having its principal are recognized and open to the public. The Asia, the following provisions shall apply in addi- business activity in Asia (ex. Japan) if the great- following aspects shall be considered when tion to the terms contained in the general section est part of its earnings or revenues is generated selecting equities: of the Sales Prospectus. there. Considered as Asian (ex Japan) issuers are companies having their registered offices or –– strong market position of an issuer in its Investment policy principal business activity in Hong Kong, India, field of business, The objective of the investment policy of DWS Indonesia, Korea, Malaysia, the Philippines, –– financial ratios that are sound for the Invest Top Asia is to achieve as high an apprecia- Singapore, Taiwan, Thailand and the People’s circumstances, tion as possible of capital invested in Euros. The Republic of China. The securities issued by –– better-than-average corporate management sub-fund may acquire equities, interest-bearing these companies may be listed on Chinese that is focused on achieving solid long-term securities, convertible bonds and warrant-linked (including the Shenzhen-Hong Kong and Shang- earnings, bonds, participation and dividend-right certifi- hai-Hong Kong Stock Connect) or other foreign –– strategic orientation of the company, cates and equity warrants. At least 70% of the securities exchanges or traded on other regu- –– shareholder-centered information policies. sub-fund’s assets are invested in equities of lated markets in a member country of the companies having their registered offices or Organisation for Economic Co-operation and Accordingly, the sub-fund acquires equities of principal business activity in Asia (ex Japan). Development (OECD) that operate regularly and companies it expects to achieve results and/or

271 share prices that are above average with respect 15% and the sub-fund is not exempt from said specific investment opportunities. In regard to its to the broad market. taxation; benchmark, the sub-fund positioning can deviate –– units of corporations the income of which significantly (e.g., by a positioning outside of the A maximum of 30% of the sub-fund’s assets originates, directly or indirectly, to an extent benchmark as well as a significant underweight- (after deduction of liquid assets) may be invested of more than 10%, from units of corporations, ing or overweighting) and the actual degree of in equities of foreign and domestic issuers that that are (i) real estate companies or (ii) are not freedom is typically relatively high. A deviation do not satisfy the requirements of the preceding real estate companies, but (a) are domiciled generally reflects the sub-fund manager’s evalua- sentence. in member state of the European Union or a tion of the specific market situation, which may member state of the European Economic Area lead to a defensive and closer or a more active A maximum of 20% of the sub-fund´s assets and are not subject in said domicile to corpo- and wider positioning compared to the bench- may be invested in securities such as A-Shares, rate income tax or are exempt from it or mark. Despite the fact that the sub-fund aims to B-Shares, bonds and other securities listed and (b) are domiciled in a third country and are not outperform the return of the benchmark, the traded in Mainland China. subject in said domicile to corporate income potential outperformance might be limited tax of at least 15% or are exempt from it; depending on the prevailing market environment The sub-fund will not invest in contingent –– units of corporations which hold, directly or (e.g. less volatile market environment) and actual convertibles. indirectly, units of corporations, that are (i) real positioning versus the benchmark. estate companies or (ii) are not real estate The sub-fund intends to use securities financing companies, but (a) are domiciled in a member Specific Risks transactions under the conditions and to the state of the European Union or a member Because the sub-fund is specialized on a specific extent further described in the general part of state of the European Economic Area and are geographic area, it presents increased opportuni- the Sales Prospectus. not subject in said domicile to corporate ties, but these opportunities are countered by income tax or are exempt from it or (b) are equally elevated risks. In addition, the sub-fund’s assets may be domiciled in a third country and are not sub- invested in all other permissible assets. ject in said domicile to corporate income tax The sub-fund is focused on investments in Asia. of at least 15% or are exempt from it if the fair Asian exchanges and markets are sometimes Notwithstanding the investment limit of 10% market value of units of such corporations subject to substantial fluctuations. Fluctuations specified in Article 2 B. (i) concerning invest- equal more than 10% of the fair market value in the rate of exchange of the local currencies ments in shares of other Undertakings for of those corporations. against the euro can also impact on investment Collective Investment in Securities and/or other performance. The credit risk associated with an collective investment undertakings as defined in For the purpose of this investment policy and in investment in securities, i.e., the risk of a decline Article 2 A. (e), an investment limit of 5% shall accordance with the definition in the German in the assets of issuers, cannot be entirely apply to this sub-fund. Investment Code (KAGB), an organized market is eliminated even by the most careful selection a market which is recognized, open to the public of the instruments to be purchased. Political The respective risks connected with investments and which functions correctly, unless expressly changes, restrictions on currency exchange, in this sub-fund are disclosed in the general specified otherwise. Such organized market also exchange monitoring, taxes, limitations on section of the Sales Prospectus. meets the criteria of article 50 of the UCITS foreign capital investments and capital repatria- Directive. tion etc. can also affect investment performance. The following investment restriction applies to the sub-fund due to a possible registration in Korea: The sub-fund must invest more than 70% of the Risk Management net assets in non-Korean Won-denominated The relative Value-at-Risk (VaR) approach is used For the purpose of inducing a partial tax exemp- assets. to limit market risk in the sub-fund. tion within the meaning of the German Invest- ment Tax Act and in addition to the investment Integration of sustainability risks In addition to the provisions of the general limits described in the Articles of Incorporation The sub-fund management integrates sustain- section of the Sales Prospectus, the potential and this Sales Prospectus (equity fund) at least ability risks into their investment decisions by market risk of the sub-fund is measured using a 51% of the sub-fund´s gross assets (determined means of Smart Integration. Further information reference portfolio that does not contain deriva- as being the value of the sub-fund´s assets on how sustainability risks are taken into account tives (“risk benchmark”). without taking into account liabilities) are in the investment decisions can be found in the invested in equities admitted to official trading on general section of the Sales Prospectus. Leverage is not expected to exceed twice the a stock exchange or admitted to, or included in, value of the investment sub-fund’s assets. The another organized market and which are not: Benchmark leverage effect is calculated using the sum of The sub-fund is actively managed and is man- notional approach (absolute (notional) amount of –– units of investment funds; aged in reference to one or a combination of each derivative position divided by the net present –– equities indirectly held via partnerships; benchmarks as further detailed in the sub-fund value of the portfolio). However, the disclosed –– units of corporations, associations of persons specific table. All benchmarks respectively their expected level of leverage is not intended to be an or estates at least 75% of the gross assets of administrators are registered with the ESMA, additional exposure limit for the sub-fund. which consist of immovable property in either in the public register of administrators of accordance with statutory provisions or their benchmark indices or the public register of third Investment in shares of target funds investment conditions, if such corporations, country benchmarks. In addition to the information in the general associations of persons or estates are subject section of the Sales Prospectus the following to corporate income tax of at least 15% and The majority of the sub-fund’s securities or is applicable to this sub-fund: are not exempt from it or if their distributions their issuers are not necessarily expected to be are subject to tax of at least 15% and the components of the benchmark and the portfolio When investing in target funds associated to sub-fund is not exempt from said taxation; is not necessarily expected to have a similar the sub-fund, the part of the management fee –– units of corporations which are exempt from weighting to the benchmark. The sub-fund attributable to shares of these target funds is corporate income taxation to the extent they management will use its discretion to invest in reduced by the management fee/all-in fee of the conduct distributions unless such distributions securities and sectors that are not included in acquired target funds, and as the case may be, are subject to taxation at a minimum rate of the benchmark in order to take advantage of up to the full amount (difference method).

272 DWS Invest Top Dividend

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark – Reference portfolio MSCI WORLD HIGH DIVIDEND YIELD (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* LC EUR up to 5% up to 1.5% 0% 0.05% July 1, 2010 LD EUR up to 5% up to 1.5% 0% 0.05% July 1, 2010 FC EUR 0% up to 0.75% 0% 0.05% July 1, 2010 GBP LD DS GBP up to 5% up to 1.5% 0% 0.05% July 1, 2010 NC EUR up to 3% up to 2% 0.2% 0.05% July 1, 2010 USD LC USD up to 5% up to 1.5% 0% 0.05% September 13, 2010 ND EUR up to 3% up to 2% 0.2% 0.05% November 16, 2010 SGD LDQ SGD up to 5% up to 1.5% 0% 0.05% August 16, 2011 CHF FCH (P) CHF 0% up to 0.75% 0% 0.05% October 21, 2011 CHF LCH (P) CHF up to 5% up to 1.5% 0% 0.05% October 21, 2011 SGD LC SGD up to 5% up to 1.5% 0% 0.05% April 24, 2012 SGD LCH (P) SGD up to 5% up to 1.5% 0% 0.05% April 24, 2012 USD LCH (P) USD up to 5% up to 1.5% 0% 0.05% May 30, 2012 USD LDH (P) USD up to 5% up to 1.5% 0% 0.05% January 28, 2013 FD EUR 0% up to 0.75% 0% 0.05% March 1, 2013 GBP D RD GBP 0% up to 0.75% 0% 0.05% May 27, 2013 USD FC USD 0% up to 0.75% 0% 0.05% June 24, 2013 SGD LDQH (P) SGD up to 5% up to 1.5% 0% 0.05% September 23, 2013 USD LDQ USD up to 5% up to 1.5% 0% 0.05% September 23, 2013 PFC EUR 0% up to 1.6% 0% 0.05% May 26, 2014 PFD EUR 0% up to 1.6% 0% 0.05% May 26, 2014 LDQH (P) EUR up to 5% up to 1.5% 0% 0.05% June 4, 2014 USD LDM USD up to 5% up to 1.5% 0% 0.05% August 11, 2014 LCH (P) EUR up to 5% up to 1.5% 0% 0.05% December 11, 2014 GBP C RD GBP 0% up to 0.75% 0% 0.05% September 30, 2015 USD LDQH (P) USD up to 5% up to 1.5% 0% 0.05% September 30, 2015 SEK LCH (P) SEK up to 5% up to 1.5% 0% 0.05% September 30, 2015

273 Share class Currency of Front-end load Management Company Service Fee p.a. Taxe d’abonnement p.a. Launch date share class (payable by the Fee p.a. (payable by the (payable by the (payable by the sub-fund) investor) sub-fund)* sub-fund)* USD FCH (P) USD 0% up to 0.75% 0% 0.05% June 30, 2016 GBP DH (P) RD GBP 0% up to 0.75% 0% 0.05% September 1, 2016 IC EUR 0% up to 0.5% 0% 0.01% September 1, 2016 IDQ EUR 0% up to 0.5% 0% 0.01% April 13, 2017 TFC EUR 0% up to 0.75% 0% 0.05% December 5, 2017 TFCH (P) EUR 0% up to 0.75% 0% 0.05% April 30, 2019 AUD TFCH (P) AUD 0% up to 0.75% 0% 0.05% May 15, 2020

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

For the sub-fund with the name DWS Invest According to the prohibition stipulated in Arti- For the purpose of inducing a partial tax exemp- Top Dividend, the following provisions shall apply cle 2 F. of the general section of the Sales tion within the meaning of the German Invest- in addition to the terms contained in the general Prospectus, no short sales of securities will be ment Tax Act and in addition to the investment section of the Sales Prospectus. undertaken. Short positions are achieved by limits described in the Articles of Incorporation using securitized and non-securitized derivative and this Sales Prospectus (equity fund) at least Investment policy instruments. 51% of the sub-fund´s gross assets (deter- The objective of the investment policy of DWS mined as being the value of the sub-fund´s Invest Top Dividend is to achieve an above Investments in the securities mentioned above assets without taking into account liabilities) average return. may also be made through Global Depository are invested in equities admitted to official Receipts (GDRs) and American Depository trading on a stock exchange or admitted to, or The sub-fund is actively managed and is not Receipts (ADRs) listed on recognized exchanges included in, another organized market and managed in reference to a benchmark. and markets issued by international financial which are not: institutions. At least 70% of the sub-fund’s assets are –– units of investment funds; invested in equities of international issuers that Up to 30% of the sub-fund’s assets may be –– equities indirectly held via partnerships; are expected to deliver an above-average invested in instruments that do not meet the –– units of corporations, associations of persons dividend yield. above mentioned criteria. or estates at least 75% of the gross assets of which consist of immovable property in When selecting equities, the following criteria Up to 30% of the sub-fund’s assets may be accordance with statutory provisions or their shall be of decisive importance: dividend yield invested in money market instruments and bank investment conditions, if such corporations, above the market average; sustainability of divi- balances. associations of persons or estates are subject dend yield and growth; historical and future to corporate income tax of at least 15% and earnings growth; price/earnings ratio. In addition A maximum of 20% of the sub-fund´s assets are not exempt from it or if their distributions to these criteria, the proven stock-picking process may be invested in securities such as A-Shares, are subject to tax of at least 15% and the of the Fund Manager will be applied. This means B-Shares, bonds and other securities listed and sub-fund is not exempt from said taxation; that a company’s fundamental data, such as asset traded in Mainland China. –– units of corporations which are exempt from quality, management skills, profitability, competi- corporate income taxation to the extent they tive position and valuation, are analyzed. These The sub-fund will not invest in contingent conduct distributions unless such distributions criteria may be weighted differently and do not convertibles. are subject to taxation at a minimum rate of always have to be present at the same time. 15% and the sub-fund is not exempt from said The sub-fund intends to use securities financing taxation; In compliance with Article 2 B. of the general transactions under the conditions and to the –– units of corporations the income of which section of the Sales Prospectus, the sub-fund extent further described in the general part of originates, directly or indirectly, to an extent may use derivative techniques to implement the the Sales Prospectus. of more than 10%, from units of corporations, investment objective, including in particular – but that are (i) real estate companies or (ii) are not not limited to – forwards, futures, single-stock- In addition, the sub-fund’s assets may be real estate companies, but (a) are domiciled in futures, options or equity swaps. invested in all other permissible assets as speci- member state of the European Union or a fied in Article 2, including the assets mentioned member state of the European Economic Area Against this background, positions could be built in Article 2 A. (j) of the general section of the and are not subject in said domicile to corpo- up that anticipate declining stock prices and Sales Prospectus. rate income tax or are exempt from it or index levels. (b) are domiciled in a third country and are not

274 subject in said domicile to corporate income tax of at least 15% or are exempt from it; –– units of corporations which hold, directly or indirectly, units of corporations, that are (i) real estate companies or (ii) are not real estate companies, but (a) are domiciled in a member state of the European Union or a member state of the European Economic Area and are not subject in said domicile to corporate income tax or are exempt from it or (b) are domiciled in a third country and are not subject in said domicile to corporate income tax of at least 15% or are exempt from it if the fair market value of units of such corporations equal more than 10% of the fair market value of those corporations.

The respective risks connected with investments in this sub-fund are disclosed in the general section of the Sales Prospectus.

Risk Management The relative Value-at-Risk (VaR) approach is used to limit market risk in the sub-fund.

Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

275 DWS Invest Top Euroland

Investor profile Growth-oriented Currency of sub-fund EUR Sub-fund manager DWS Investment GmbH Performance benchmark Euro Stoxx 50, administered by STOXX Ldt. Reference portfolio Euro Stoxx 50 (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

* For additional costs, see Article 12 in the general section of the Sales Prospectus. ** The Management Company may, at its discretion, partially or completely dispense with the dilution adjustment.

276 For the sub-fund with the name DWS Invest Top trading on a stock exchange or admitted to, or Integration of sustainability risks Euroland, the following provisions shall apply in included in, another organized market and The sub-fund management integrates sustain- addition to the terms contained in the general which are not: ability risks into their investment decisions by section of the Sales Prospectus. means of Smart Integration. Further information –– units of investment funds; on how sustainability risks are taken into account Investment policy –– equities indirectly held via partnerships; in the investment decisions can be found in the The objective of the investment policy of DWS –– units of corporations, associations of persons general section of the Sales Prospectus. Invest Top Euroland is to achieve an above aver- or estates at least 75% of the gross assets age return. At least 75% of the sub-fund’s assets of which consist of immovable property in Benchmark are invested in equities of issuers having their accordance with statutory provisions or their The sub-fund is actively managed and is man- headquarters in a member state of the European investment conditions, if such corporations, aged in reference to one or a combination of Economic and Monetary Union (EMU). associations of persons or estates are sub- benchmarks as further detailed in the sub-fund ject to corporate income tax of at least 15% specific table. All benchmarks respectively their The sub-fund focuses on companies with a and are not exempt from it or if their distribu- administrators are registered with the ESMA, higher market capitalization. Additionally, the tions are subject to tax of at least 15% and either in the public register of administrators of fund-manager aims to run a concentrated port the sub-fund is not exempt from said benchmark indices or the public register of third folio, e.g. 40–60 different stocks. Depending on taxation; country benchmarks. the market situation it is possible to deviate from –– units of corporations which are exempt from the mentioned diversification target. corporate income taxation to the extent they The majority of the sub-fund’s securities or conduct distributions unless such distribu- their issuers are not necessarily expected to be A maximum of 25% of the sub-fund’s assets tions are subject to taxation at a minimum components of the benchmark and the portfolio may be invested in equities of issuers that do not rate of 15% and the sub-fund is not exempt is not necessarily expected to have a similar meet the above mentioned criteria. from said taxation; weighting to the benchmark. The sub-fund –– units of corporations the income of which management will use its discretion to invest in Up to 25% of the sub-fund’s assets may be originates, directly or indirectly, to an extent securities and sectors that are not included in invested in short-term deposits, money market of more than 10%, from units of corpora- the benchmark in order to take advantage of instruments and bank balances. tions, that are (i) real estate companies or specific investment opportunities. In regard to its (ii) are not real estate companies, but (a) are benchmark, the sub-fund positioning can deviate Notwithstanding the investment limit specified in domiciled in member state of the European significantly (e.g., by a positioning outside of the Article 2 B. (n) concerning the use of derivatives, Union or a member state of the European benchmark as well as a significant underweight- the following investment restrictions shall apply Economic Area and are not subject in said ing or overweighting) and the actual degree of with regard to the investment restrictions cur- domicile to corporate income tax or are freedom is typically relatively high. A deviation rently applicable in individual distribution exempt from it or (b) are domiciled in a third generally reflects the sub-fund manager’s evalua- countries: country and are not subject in said domicile tion of the specific market situation, which may to corporate income tax of at least 15% or lead to a defensive and closer or a more active Derivatives that constitute short positions must are exempt from it; and wider positioning compared to the bench- have adequate coverage at all times and may be –– units of corporations which hold, directly or mark. Despite the fact that the sub-fund aims used exclusively for hedging purposes. Hedging indirectly, units of corporations, that are to outperform the return of the benchmark, the is limited to 100% of the underlying instrument (i) real estate companies or (ii) are not real potential outperformance might be limited covering the derivative. Conversely, no more than estate companies, but (a) are domiciled in a depending on the prevailing market environment 35% of the net value of the assets of the sub- member state of the European Union or a (e.g. less volatile market environment) and actual fund may be invested in derivatives that consti- member state of the European Economic positioning versus the benchmark. tute long positions and do not have correspond- Area and are not subject in said domicile to ing coverage. corporate income tax or are exempt from it PEA-compatibility or (b) are domiciled in a third country and are The sub-fund is eligible to the PEA (Plan The sub-fund will not invest in contingent not subject in said domicile to corporate d’Epargne en Actions), a fiscal advantage for convertibles. income tax of at least 15% or are exempt French subscribers. from it if the fair market value of units of The sub-fund intends to use securities financing such corporations equal more than 10% of Risk Management transactions under the conditions and to the the fair market value of those corporations. The relative Value-at-Risk (VaR) approach is used extent further described in the general part of to limit market risk in the sub-fund. the Sales Prospectus. For the purpose of this investment policy and in accordance with the definition in the German In addition to the provisions of the general In addition, the sub-fund’s assets may be Investment Code (KAGB), an organized market section of the Sales Prospectus, the potential invested in all other permissible assets as speci- is a market which is recognized, open to the market risk of the sub-fund is measured using a fied in Article 2 of the general section of the public and which functions correctly, unless reference portfolio that does not contain deriva- Sales Prospectus. expressly specified otherwise. Such organized tives (“risk benchmark”). market also meets the criteria of article 50 of For the purpose of inducing a partial tax exemp- the UCITS Directive. Leverage is not expected to exceed twice the tion within the meaning of the German Invest- value of the investment sub-fund’s assets. The ment Tax Act and in addition to the investment The respective risks connected with invest- leverage effect is calculated using the sum of limits described in the Articles of Incorporation ments in this sub-fund are disclosed in the notional approach (absolute (notional) amount of and this Sales Prospectus (equity fund) at least general section of the Sales Prospectus. each derivative position divided by the net pres- 51% of the sub-fund´s gross assets (deter- ent value of the portfolio). However, the dis- mined as being the value of the sub-fund´s closed expected level of leverage is not intended assets without taking into account liabilities) to be an additional exposure limit for the are invested in equities admitted to official sub-fund.

277 Investment in shares of target funds In addition to the information in the general section of the Sales Prospectus the following is applicable to this sub-fund:

278 DWS Invest USD High Yield Corporates

Investor profile Growth-oriented Currency of sub-fund USD Sub-fund manager DWS Investment GmbH and as sub-manager DWS Investment Management Americas Inc., 345 Park Avenue, New York, NY 10154, United States of America. Performance benchmark ICE BoAML US HY Constrained, administrated by ICE Data Indices, LLC. Reference portfolio ICE BoAML US HY Constrained (risk benchmark) Leverage effect 2 times the value of the investment sub-fund’s assets Calculation of the NAV per share Each bank business day in Luxembourg Swing Pricing The sub-fund may apply Swing Pricing. If implemented, it will be disclosed in the fund facts section on the website of the Management Company www.dws.com. Order acceptance All subscription, redemption and exchange orders are placed on the basis of an unknown net asset value per share. Orders received by the Transfer Agent at or before 4:00 PM Luxembourg time on a valuation date are processed on the basis of the net asset value per share on the subsequent valuation date. Orders received after 4:00 PM Luxem- bourg time are processed on the basis of the net asset value per share on the valuation date immediately following that next valuation date. Value date In a purchase, the equivalent value is debited three bank business days after issue of the shares. The equivalent value is credited three bank business days after redemption of the shares. The value date for purchase and redemption orders of certain currencies may deviate by one day from the value date as specified in the description of share classes in the general section of the Sales Prospectus. Fractional shares Up to three places after the decimal point Expense cap Not to exceed 15% of the Management Company fee

For the sub-fund with the name DWS Invest The sub-fund manager aims to hedge any The sub-fund intends to use securities financing USD High Yield Corporates, the following provi- currency risk versus the USD in the portfolio. transactions under the conditions and to the sions shall apply in addition to the terms con- extent further described in the general part of tained in the general section of the Sales In the due course of a re-structuring of fixed the Sales Prospectus. Prospectus. income instruments held by the sub-fund, the sub-fund manager may also invest up to a maxi- In addition, the sub-fund’s assets may be Investment policy mum of 10% of the sub-fund’s assets into listed invested in all other permissible assets. The objective of the investment policy of DWS or non-listed equities. Furthermore, the sub-fund Invest USD High Yield Corporates is to generate manager may also participate in capital increases In extreme market situations, the Portfolio an above-average return for the sub-fund. or other corporate actions (e.g. for convertible Manager may diverge from the above investment bonds or warrant linked bonds) that are part of a strategy to avoid a liquidity squeeze. Up to 100% At least 70% of the sub-fund’s assets are re-structuring or take place after a re-structuring. of the sub-fund’s assets may temporarily be invested globally in corporate bonds that offer a invested in interest-bearing debt securities and non-investment grade status. Non-investment In compliance with the investment limits speci- money market instruments permissible under grade encompasses BB+ and below rated fied in Article 2 B. of the general section of the Directive 2009/65/EC of the European Parliament bonds, including bonds with D rating and non- Sales Prospectus, the investment policy may and of the Council of July 13, 2009, on the rated bonds. also be implemented through the use of suitable coordination of laws, regulations and administra- derivative financial instruments. These derivative tive provisions relating to undertakings for collec- In case of a split rating involving three rating financial instruments may include, among others, tive investment in transferable securities (UCITS). agencies, the second best will prevail. If a secu- options, forwards, futures, futures contracts on rity is rated by only two agencies, the lower of financial instruments and options on such con- The respective risks connected with investments the two ratings will be used for the rating classifi- tracts, as well as privately negotiated OTC in this sub-fund are disclosed in the general cation. If a security only has one rating, the contracts on any type of financial instrument, section of the Sales Prospectus. single rating will be used. If there is no official including swaps, forward-starting swaps, infla- rating, an internal rating will be applied in accord tion swaps, total return swaps, excess return Integration of sustainability risks ance with DWS internal guidelines. swaps, swaptions, constant maturity swaps and The sub-fund management integrates sustain- credit default swaps. ability risks into their investment decisions by Up to 30% of the sub-fund’s assets may be means of Smart Integration. Further information invested in corporate bonds that do not meet the The sub-fund’s investments in contingent on how sustainability risks are taken into account above-mentioned criteria. convertibles shall be limited to 10% of the in the investment decisions can be found in the sub-fund’s net asset value. general section of the Sales Prospectus.

279 Benchmark Risk Management The sub-fund is actively managed and is man- The relative Value-at-Risk (VaR) approach is used aged in reference to one or a combination of to limit market risk in the sub-fund. benchmarks as further detailed in the sub-fund specific table. All benchmarks respectively their In addition to the provisions of the general administrators are registered with the ESMA, section of the Sales Prospectus, the potential either in the public register of administrators of market risk of the sub-fund is measured using a benchmark indices or the public register of third reference portfolio that does not contain deriva- country benchmarks. tives (“risk benchmark”).

The majority of the sub-fund’s securities or Leverage is not expected to exceed twice the their issuers are not necessarily expected to be value of the investment sub-fund’s assets. The components of the benchmark and the portfolio leverage effect is calculated using the sum of is not necessarily expected to have a similar notional approach (absolute (notional) amount weighting to the benchmark. The sub-fund of each derivative position divided by the net management will use its discretion to invest in present value of the portfolio). However, the securities and sectors that are not included in disclosed expected level of leverage is not the benchmark in order to take advantage of intended to be an additional exposure limit for specific investment opportunities. In regard to its the sub-fund. benchmark, the sub-fund positioning can deviate significantly (e.g., by a positioning outside of the Investment in shares of target funds benchmark as well as a significant underweight- In addition to the information in the general ing or overweighting) and the actual degree of section of the Sales Prospectus the following is freedom is typically relatively high. A deviation applicable to this sub-fund: generally reflects the sub-fund manager’s evaluation of the specific market situation, which may When investing in target funds associated to lead to a defensive and closer or a more active the sub-fund, the part of the management fee and wider positioning compared to the bench- attributable to shares of these target funds is mark. Despite the fact that the sub-fund aims reduced by the management fee/all-in fee of the to outperform the return of the benchmark, the acquired target funds, and as the case may be, potential outperformance might be limited up to the full amount (difference method). depending on the prevailing market environment (e.g. less volatile market environment) and actual positioning versus the benchmark.

Additional information When using total return swaps to implement the investment strategy as described above, the following shall be noted:

The proportion of the sub-fund’s net assets subject to total return swaps, expressed as the sum of notionals of the total return swaps divided by the sub-fund’s net asset value, is expected to reach up to 50%, but depending on the respective market conditions, with the objective of efficient portfolio management and in the interest of the investors, it may reach up to 100%. The calculation is performed in line with the guidelines CESR/10-788. However, the disclosed expected level of leverage is not intended to be an additional exposure limit for the sub-fund.

280 Management and Administration

Investment Company Supervisory Board of the Sales, Information and Paying Agents Management Company DWS Invest Luxembourg 2, Boulevard Konrad Adenauer Claire Peel Deutsche Bank Luxembourg S.A. 1115 Luxembourg, Luxembourg Chairwoman 2, Boulevard Konrad Adenauer DWS Management GmbH, 1115 Luxembourg, Luxembourg Frankfurt/Main Board of Directors of the Investment Company Manfred Bauer DWS Management GmbH, Niklas Seifert Frankfurt/Main Chairman DWS Investment S.A., Stefan Kreuzkamp Luxembourg DWS Investment GmbH, Frankfurt/Main Thilo Hubertus Wendenburg Medius Capital, Frank Krings Frankfurt/Main Deutsche Bank Luxembourg S.A., Luxembourg Sven Sendmeyer DWS Investment GmbH, Dr. Matthias Liermann Frankfurt/Main DWS Investment GmbH, Frankfurt/Main Gero Schomann DWS International GmbH, Holger Naumann Frankfurt/Main DWS Investments Hong Kong Ltd., Hong Kong Elena Wichmann DWS Investment S.A. Luxembourg Management Board of the Management Company

Fund Management Nathalie Bausch Chairwoman DWS Investment GmbH DWS Investment S.A., Luxembourg Mainzer Landstr. 11–17 60329 Frankfurt/Main, Germany Leif Bjurstroem DWS Investment S.A., Luxembourg The address of an additional sub-fund manager and/or investment advisor is specified in the Dr. Stefan Junglen special section of the affected sub-fund. DWS Investment S.A., Luxembourg

Barbara Schots Management Company, Central DWS Investment S.A., Luxembourg Administration Agent, Registrar and Transfer Agent, Main Distributor The address of an additional (sub-)fund manager is listed (for each sub-fund) in the special section DWS Investment S.A. of the Sales Prospectus. 2, Boulevard Konrad Adenauer 1115 Luxembourg, Luxembourg Depositary and Sub-Administrator Sub-Registrar and Sub-Transfer Agent for the sub-funds State Street Bank International GmbH DWS Invest CROCI Euro, DWS Invest CROCI Luxembourg Branch Europe SDG, DWS Invest CROCI Global 49, Avenue John F. Kennedy Dividends, DWS Invest CROCI Intellectual 1855 Luxembourg, Luxembourg Capital, DWS Invest CROCI Japan, DWS Invest CROCI Sectors, DWS Invest CROCI Sectors Plus, DWS Invest CROCI US, DWS Invest CROCI Auditor US Dividends, DWS Invest CROCI World and DWS Invest CROCI World SDG: KPMG Luxembourg, Société Coopérative 39, Avenue John F. Kennedy RBC Investor Services Bank S.A. 1855 Luxembourg, Luxembourg 14, Porte de France 4360 Esch-sur-Alzette Grand Duchy of Luxembourg

As of: October 3, 2020 DWS Invest 2, Boulevard Konrad Adenauer 1115 Luxembourg, Luxembourg Tel.: +352 4 21 01-1 Fax: +352 4 21 01-900 www.dws.com