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August 31, 2020 Annual Report DBX ETF Trust Xtrackers FTSE Developed ex US Comprehensive Factor ETF (DEEF) Xtrackers MSCI Kokusai Equity ETF (KOKU) Xtrackers Russell 1000 Comprehensive Factor ETF (DEUS) Xtrackers Russell 1000 US Quality at a Reasonable Price ETF (QARP) DBX ETF Trust Table of Contents Page Shareholder Letter ....................................................................... 1 Management’s Discussion of Fund Performance ............................................. 3 Performance Summary Xtrackers FTSE Developed ex US Comprehensive Factor ETF .............................. 5 Xtrackers MSCI Kokusai Equity ETF ..................................................... 7 Xtrackers Russell 1000 Comprehensive Factor ETF ........................................ 9 Xtrackers Russell 1000 US Quality at a Reasonable Price ETF ............................... 11 Fees and Expenses ....................................................................... 13 Schedule of Investments Xtrackers FTSE Developed ex US Comprehensive Factor ETF .............................. 14 Xtrackers MSCI Kokusai Equity ETF ..................................................... 28 Xtrackers Russell 1000 Comprehensive Factor ETF ........................................ 41 Xtrackers Russell 1000 US Quality at a Reasonable Price ETF ............................... 50 Statements of Assets and Liabilities ........................................................ 55 Statements of Operations ................................................................. 56 Statements of Changes in Net Assets ....................................................... 57 Financial Highlights ...................................................................... 59 Notes to Financial Statements ............................................................. 61 Report of Independent Registered Public Accounting Firm .................................... 70 Board Consideration in Approval of Investment Advisory Contracts ............................ 72 Board Members and Officers .............................................................. 74 Additional Information .................................................................... 77 Privacy Policy Notice ..................................................................... 78 To our Shareholders: (Unaudited) Dear Shareholder, We are pleased to provide this annual report for four of our equity ETFs for the period ended August 31, 2020. During the reporting period, the global economy coped with its lowest growth phases on record as the COVID-19 pandemic diverted all funds towards the health crisis, suppressing investment activities. Fiscal measures in the form of relief packages cushioned the fall, ensuring consumption activity, and in some sections, such as equity markets, even sparked an immediate revival. Major central banks, including the Federal Reserve Board, European Central Bank (ECB) and Bank of England, promptly undertook sharp interest rate cuts while continuing their stimulus packages. Furthermore, all revenues from export-driven activities were stalled, and this was a discount on the trade balance, which many nations had to bear. The U.S. economy was the most affected in terms of the number of COVID-19 cases, and hence, also one of the worst impacted in terms of growth over the review period. Unemployment was at the highest level ever witnessed, which surpassed three times its pre-COVID-19 level; however, as lockdown restrictions were increasingly alleviated, labor data started soothing, but is still at double the rate than the historic lows recorded in September 2019. Interest rates were gradually easing for the first half of the year, before taking a sharp cut, shedding a total of 2% in the wake of the virus. Additionally, the U.S. Federal government emerged steadfast amid the unforeseen entry of the pandemic and issued a sizeable USD2.2 trillion under the CARES Act to anchor economic activity1. Riding on optimistic forecasts, business confidence was high, pushing manufacturing PMIs to their highest levels since January 2019. Elsewhere, trade surplus was lower due to lower exports2. Equity markets recovered and reached new highs despite momentary volatility caused by pandemic-induced fears. The Eurozone entered into a recession; its Q2 2020 GDP reading was the lowest on record for the region owing to the impact of COVID-19 lockdown on all major sectors, especially industrial production and exports3. In its attempt to truncate the financial risks that the region could face, the ECB sanctioned EUR1.35trn trillion in the form of a Pandemic Emergency Purchase Programme, while keeping interest rates at 0%. Germany, being one of the bloc’s largest economies, was representative of the broader zone’s state, entering into a recession, weighed by lower household spending and fixed investments. France also entered into a recession as its trade deficit increased considerably and government spending receded. Among other regions, the UK too embraced a recession, mostly dragged down by lower private consumption. The only major economy to avoid a recession and post a positive growth quarter after a lockdown-induced negative quarter was China. The rapid recovery resulted in the largest single quarter growth in the nation’s history. Despite most major economies implied opposition towards the COVID-19 epicenter, both domestic and foreign demand resurged. In contrast, India was one of the major economies that witnessed a steep fall, as it was impacted by a sudden spike in unemployment rates - a shock to its income-generating service sector. In anticipation of a recovery towards normalcy and growth, administrators around the world are focusing their best efforts on developing an effective vaccine quickly. However, risks include a second wave of COVID-19, resurgence of US-China trade tensions and the divide among regional political opponents pertaining to further relief packages and their composition. Manufacturing activity and business sentiment have shown initial recovery in all regions, which provides optimism to broader investor markets. However, whether markets remain relatively calm, or we witness some episodic volatility, our view is that retaining a diversified factor approach is right. It takes advantage of the relatively uncorrelated nature of their excess returns, 1 and mitigates the need to try and time a particular market cycle. Our team appreciates your trust and looks forward to continue serving your investment needs through innovative index-driven strategies. Sincerely, /s/ Freddi Klassen Freddi Klassen President and Chief Executive Officer 1 Coronavirus Aid, Relief and Economic Security (CARES) Act. 2 The Manufacturing Purchasing Managers’ Index measures the performance of the manufacturing sector and is derived from a survey of industrial companies. 3 The gross domestic product (GDP) is the monetary value of all the finished goods and services produced within a country’s borders in a specific time period. Assumptions, estimates and opinions contained in this document constitute our judgment as of the date of the document and are subject to change without notice. Any projections are based on a number of assumptions as to market conditions and there can be no guarantee that any projected results will be achieved. Past performance is not a guarantee of future results. 2 DBX ETF Trust Management’s Discussion of Fund Performance (Unaudited) Xtrackers FTSE Developed Ex US Comprehensive Factor ETF (DEEF) The Xtrackers FTSE Developed ex-US Comprehensive Factor ETF (DEEF) seeks investment results that correspond generally to the performance, before fees and expenses, of the FTSE Developed ex-US Comprehensive Factor Index (the DEEF Index). The DEEF index is designed to provide exposure to developed international equities (except the United States) based on five factors — value, momentum, quality, low volatility and size. For the 12-month period ended August 31, 2020, DEEF shares returned 7.49%, compared to the DEEF Index return of 7.73%. The majority of sectors contributed positively to performance with the greatest contribution coming from Industrials, Materials and Financials. Real Estate, Energy and Communication Services were the only negative contributors to performance. From a geographical perspective, Sweden, Japan and United Kingdom were the major positive contributors, while Hong Kong and Singapore contributed negatively to performance. Xtrackers MSCI Kokusai Equity ETF (KOKU) The Xtrackers MSCI Kokusai Equity ETF (KOKU) seeks investment results that correspond generally to the performance, before fees and expenses, of the MSCI Kokusai Index (the KOKU Index). The KOKU Index is a market capitalization weighted index designed to capture exposure to the large- and mid-cap equity securities in 22 of the 23 developed stock market across the world, excluding Japan. For the period April 8, 2020 (Commencement of Operations) to August 31, 2020, KOKU shares returned 31.66%, compared to the KOKU Index return of 31.48%. All the sectors contributed positively to performance with greatest contribution coming from Information Technology, Consumer Discretionary and Communication. From a geographical perspective, all the countries contributed positively with greatest contribution coming from United States, Germany and Canada. Xtrackers Russell 1000 Comprehensive Factor ETF (DEUS) The Xtrackers Russell 1000 Comprehensive Factor ETF (DEUS) seeks investment results that correspond generally to the performance, before fees and expenses,