UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D. C. 20549

 

FORM N-CSRS

 

Investment Company Act file number 811-642

 

DWS International Fund, Inc.

(Exact Name of Registrant as Specified in Charter)

 

345 Park Avenue

New York, NY 10154-0004

(Address of principal executive offices)             (Zip code)

 

Registrant’s Telephone Number, including Area Code:(212) 454-7190

 

Paul Schubert

345 Park Avenue

New York, NY 10154-0004

(Name and Address of Agent for Service)

 

| Date of fiscal year end: | 10/31 |
|--------------------------|-------|

 

| Date of reporting period: | 04/30/08 |
|---------------------------|----------|

 

 

**ITEM 1.**           **REPORT TO STOCKHOLDERS**

 

 

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|  

APRIL 30, 2008
Semiannual Report                    to Shareholders |
|-----------------------------------------------------------------------------|
|                                                                        |
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**DWS Emerging Markets                    Equity Fund**             |
|                                                                             |

**Contents**

**click here**Performance Summary

**click here**Information About Your Fund's Expenses

**click here**Portfolio Management Review

**click here**Portfolio Summary

**click here**Investment Portfolio

**click here**Financial Statements

**click here**Financial Highlights

**click here**Notes to Financial Statements

**click here**Summary of Management Fee Evaluation by Independent Fee Consultant

**click here**Account Management Resources

**click here**Privacy Statement

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

Investments in mutual funds involve risk. Some funds have more risk than others. This fund is subject to stock market risk. Investing in securities of emerging markets presents certain unique risks not associated with domestic investments, such as currency fluctuation, political and economic changes and market risks. This fund also may focus its investments in certain geographical regions, thereby increasing its        vulnerability to developments in that region. All of these factors may result in greater share price volatility. Please read this fund's prospectus for specific details regarding its investments and risk profile.

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

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

**Performance SummaryApril 30, 2008**

**Classes A, B and C**

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

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

**The total annual fund operating expenses ratios, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated March 1, 2008 are 1.68%, 2.61% and 2.54% for Class A, Class B and Class C shares, respectively. Please see the Information About Your Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for        gross and net expense related disclosure for the period ended April 30, 2008.**

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

Returns and rankings for the 3-year, 5-year and 10-year periods shown reflect a fee waiver and/or expense reimbursement. Without this waiver/reimbursement, returns and rankings would have been lower.

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

Returns shown for Class A, B and C shares prior to their inception on May 29, 2001 are derived from the historical performance of Class S shares of DWS Emerging Markets Equity Fund during such periods and have been adjusted to reflect the higher total annual operating expenses of each specific class. Any difference in expenses will affect performance.

| **Average Annual Total Returns**(Unadjusted for Sales Charge) as of 4/30/08 |
|-----------------------------------------------------------------------------|
| **DWS Emerging Markets Equity Fund**                                        | **6-Month‡** | **1-Year** | **3-Year** | **5-Year** | **10-Year** |
| **Class A**                                                                 | **-9.97%** | **25.54%** | **32.30%** | **34.24%** | **10.48%** |
| **Class B**                                                                 | **-10.39%** | **24.39%** | **31.16%** | **33.12%** | **9.57%** |
| **Class C**                                                                 | **-10.38%** | **24.39%** | **31.21%** | **33.17%** | **9.61%** |
| MSCI Emerging Markets Index+                                                | -10.18% | 25.71% | 34.27% | 35.76% | 13.54% |

*Sources: Lipper Inc. and Deutsche Investment Management Americas Inc.*

| **Net Asset Value and Distribution Information**                         |
|--------------------------------------------------------------------------|
|                                                                     | **Class A** | **Class B** | **Class C** |
| **Net Asset Value:**
4/30/08                                             | $ 22.78 | $ 21.02 | $ 21.12 |
| 10/31/07                                                                 | $ 31.64 | $ 29.76 | $ 29.86 |
| **Distribution Information:**
Six Months as of 4/30/08:
Income Dividends | $ .05 | $ — | $ — |
| Capital Gain Distributions                                               | $ 5.84 | $ 5.84 | $ 5.84 |

| **Class A Lipper Rankings — Emerging Markets Funds Category**as of 4/30/08 |
|--------------------------------------------------------------------------------------------|
| **Period**                                                                                 | **Rank** |   | **Number of Funds Tracked** | **Percentile Ranking (%)** |
| 1-Year                                                                                     | 71 | of | 270 | 27 |
| 3-Year                                                                                     | 96 | of | 195 | 49 |
| 5-Year                                                                                     | 87 | of | 172 | 51 |

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

| **Growth of an Assumed $10,000 Investment**(Adjusted for Maximum Sales Charge) |
|----------------------------------------------------------------------------------------------------|
| **[]DWS Emerging Markets Equity Fund — Class A**

**[]MSCI Emerging Markets Index+**         |
|                                                                                                    |
| Yearly periods ended April 30                                                                      |

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

| **Comparative Results**(Adjusted for Maximum Sales Charge) as of 4/30/08 |
|--------------------------------------------------------------------------|
| **DWS Emerging Markets Equity Fund**                                     | **1-Year** | **3-Year** | **5-Year** | **10-Year** |
| **Class A**                                                              | Growth of $10,000 | $11,832 | $21,824 | $41,084 | $25,538 |
| Average annual total return                                              | 18.32% | 29.71% | 32.66% | 9.83% |
| **Class B**                                                              | Growth of $10,000 | $12,145 | $22,362 | $41,705 | $24,942 |
| Average annual total return                                              | 21.45% | 30.77% | 33.06% | 9.57% |
| **Class C**                                                              | Growth of $10,000 | $12,439 | $22,587 | $41,880 | $25,033 |
| Average annual total return                                              | 24.39% | 31.21% | 33.17% | 9.61% |
| MSCI Emerging Markets Index+                                             | Growth of $10,000 | $12,571 | $24,205 | $46,113 | $35,607 |
| Average annual total return                                              | 25.71% | 34.27% | 35.76% | 13.54% |

*The growth of $10,000 is cumulative.*

**Class S**

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

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

**The total annual fund operating expense ratio, gross of any fee waivers or expense reimbursements, as stated in the fee table of the prospectus dated March 1, 2008 is 1.57% for Class S shares. Please see the Information About Your Fund's Expenses, the Financial Highlights and Notes to the Financial Statements (Note C, Related Parties) sections of this report for gross and net expense related disclosure for the period        ended April 30, 2008.**

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

Returns and rankings for the 1-year, 3-year, 5-year and 10-year periods shown reflect a fee waiver and/or expense reimbursement. Without this waiver/reimbursement, returns and rankings would have been lower.

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

| **Average Annual Total Returns**as of 4/30/08 |
|-----------------------------------------------|
| **DWS Emerging Markets Equity Fund**          | **6-Month‡** | **1-Year** | **3-Year** | **5-Year** | **10-Year** |
| **Class S**                                   | **-9.93%** | **25.63%** | **32.54%** | **34.52%** | **10.75%** |
| MSCI Emerging Markets Index+                  | -10.18% | 25.71% | 34.27% | 35.76% | 13.54% |

*Sources: Lipper Inc. and Deutsche Investment Management Americas Inc.*

| **Net Asset Value and Distribution Information**                         |
|--------------------------------------------------------------------------|
|                                                                     | **Class S** |
| **Net Asset Value:**
4/30/08                                             | $ 23.06 |
| 10/31/07                                                                 | $ 31.96 |
| **Distribution Information:**
Six Months as of 4/30/08:
Income Dividends | $ .08 |
| Capital Gain Distributions                                               | $ 5.84 |

| **Class S Lipper Rankings — Emerging Markets Funds Category**as of 4/30/08 |
|--------------------------------------------------------------------------------------------|
| **Period**                                                                                 | **Rank** |   | **Number of Funds Tracked** | **Percentile Ranking (%)** |
| 1-Year                                                                                     | 68 | of | 270 | 26 |
| 3-Year                                                                                     | 88 | of | 195 | 45 |
| 5-Year                                                                                     | 83 | of | 172 | 48 |
| 10-Year                                                                                    | 76 | of | 97 | 78 |

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

| **Growth of an Assumed $10,000 Investment**                                                |
|--------------------------------------------------------------------------------------------|
| **[]DWS Emerging Markets Equity Fund — Class S**

**[]MSCI Emerging Markets Index+** |
|                                                                                            |
| Yearly periods ended April 30                                                              |

| **Comparative Results**as of 4/30/08 |
|--------------------------------------|
| **DWS Emerging Markets Equity Fund** | **1-Year** | **3-Year** | **5-Year** | **10-Year** |
| **Class S**                          | Growth of $10,000 | $12,563 | $23,281 | $44,044 | $27,760 |
| Average annual total return          | 25.63% | 32.54% | 34.52% | 10.75% |
| MSCI Emerging Markets Index+         | Growth of $10,000 | $12,571 | $24,205 | $46,113 | $35,607 |
| Average annual total return          | 25.71% | 34.27% | 35.76% | 13.54% |

*The growth of $10,000 is cumulative.*

**Information About Your Fund's Expenses**

As an investor of the Fund, you incur two types of costs: ongoing expenses and transaction costs. Ongoing expenses include management fees, distribution and service (12b-1) fees and other Fund expenses. Examples of transaction costs include sales charges (loads), redemption fees and account maintenance fees, which are not shown in this section. The following tables are intended to help you understand your ongoing expenses (in        dollars) of investing in the Fund and to help you compare these expenses with the ongoing expenses of investing in other mutual funds. The example in the table is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period(November 1, 2007 to April 30, 2008).

The tables illustrate your Fund's expenses in two ways:

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

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

Please note that the expenses shown in these tables are meant to highlight your ongoing expenses only and do not reflect any transaction costs. The "Expenses Paid per $1,000" line of the tables is useful in comparing ongoing expenses only and will not help you determine the relative total expense of owning different funds. An account maintenance fee of $6.25 per quarter for Class S shares may apply for certain accounts whose balances        do not meet the applicable minimum initial investment. This fee is not included in these tables. If it was, the estimate of expenses paid for Class S shares during the period would be higher, and account value during the period would be lower, by this amount.

| **Expenses and Value of a $1,000 Investment**for the six months ended April 30, 2008 |
|-------------------------------------------------------------------------------------------------------------------------|
| **Actual Fund Return**                                                                                                  | **Class A** | **Class B** | **Class C** | **Class S** | **Institutional Class*** |
| Beginning Account Value 11/1/07                                                                                         | $ 1,000.00 | $ 1,000.00 | $ 1,000.00 | $ 1,000.00 | $ 1,000.00 |
| Ending Account Value 4/30/08                                                                                            | $ 900.30 | $ 896.10 | $ 896.20 | $ 900.70 | $ 1,042.00 |
| Expenses Paid per $1,000**                                                                                              | $ 7.89 | $ 12.21 | $ 11.98 | $ 7.09 | $ 2.28 |
| **Hypothetical 5% Fund Return**                                                                                         | **Class A** | **Class B** | **Class C** | **Class S** | **Institutional Class** |
| Beginning Account Value 11/1/07                                                                                         | $ 1,000.00 | $ 1,000.00 | $ 1,000.00 | $ 1,000.00 | $ 1,000.00 |
| Ending Account Value 4/30/08                                                                                            | $ 1,016.56 | $ 1,011.98 | $ 1,012.23 | $ 1,017.40 | $ 1,017.85 |
| Expenses Paid per $1,000**                                                                                              | $ 8.37 | $ 12.96 | $ 12.71 | $ 7.52 | $ 7.07 |

| **Annualized Expense Ratios**         | **Class A** | **Class B** | **Class C** | **Class S** | **Institutional Class** |
|---------------------------------------|-------------|-------------|-------------|-------------|-------------------------|
| DWS Emerging Markets Equity Fund | 1.67%       | 2.59%       | 2.54%       | 1.50%       | 1.41%                   |

For more information, please refer to the Fund's prospectus.

**Portfolio Management Review**

In the following interview, the portfolio management team discusses DWS Emerging Markets Equity Fund's strategy and the market environment during the six-month period ended April 30, 2008.

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

**Q: How did emerging markets stocks perform during the semiannual period?**

**A:**Amid an environment of high volatility and elevated investor risk aversion, the emerging markets — as measured by the fund's benchmark, the Morgan Stanley Capital International (MSCI®) Emerging Markets Index — returned -10.18%.1 This return, while negative on an absolute basis, was not far below the -9.37% return for the developed markets, as        measured by the MSCI World Index.2 This stands in contrast to the corrections of the 1990s and the early years of this decade, when reduced investor risk appetites would inevitably lead to substantial underperformance for the emerging markets. We believe this shift is largely due to the continued improvement in the underlying fundamentals of the asset class, which are highlighted by rising exports, stronger currencies, improving financial health for both governments and        corporations, and the growth of a global middle class. Perhaps the best indication of the changing times is the fact that Brazil was upgraded to an investment-grade rating by Standard and Poor's during the reporting period — remarkable progress from where the country stood just a decade ago. These long-term changes are reflected in the substantial outperformance of the emerging markets over all time periods, as shown in the table below:

|                        | **1-year** | **3-year** | **5-year** | **10-year** |
|-----------------------------|------------|------------|------------|-------------|
| MSCI Emerging Markets Index | 25.71%     | 34.27%     | 35.76%     | 13.54%      |
| MSCI World Index            | -2.47%     | 12.36%     | 15.18%     | 5.02%       |

*Performance is historical and no guarantee of future results.*

**Q: How did the fund perform relative to its benchmark and peer group?**

**A:**The total return of the fund's Class A shares for the six-month period ended April 30, 2008 was -9.97%. (Returns are unadjusted for sales charges. If sales charges had been included, returns would have been lower. Past performance is no guarantee of future results. Please see pages 4 through 8 for the performance of other share classes        and for more complete performance information.)

The fund outperformed both the -10.18% return of the benchmark and the -10.71% average return of the funds in its Lipper peer group, Emerging Markets Funds.3

**Q: What elements of the fund's positioning helped and hurt performance?**

**A:**The fund gained a significant benefit from holding an underweight in China, which underperformed by a wide margin during the period.4 Our belief was that China's market was extremely overvalued due in part to euphoria among retail investors. At its peak of 26 times earnings estimates, the valuation of the Chinese market was nearly double that of the broader emerging markets        asset class. Certain individual stocks reached even higher levels: China Life Insurance Co., Ltd. for instance, was at one point the most richly-valued insurance company in the world. These factors led us to hold an underweight in this market, a positive for performance when it subsequently collapsed amid the broader global sell-off of recent months.

Another positive was the fund's position in the "frontier markets," the smaller, less heavily followed countries within the asset class. For instance, the fund's investments in both Egypt and Lebanon performed exceptionally well. Among the larger markets, the fund was helped by holding an overweight in Brazil. The country's market outperformed due in part to rising commodity prices and the upgrade to its sovereign        credit rating.

In terms of negatives, the fund was hurt by its position in the Philippines, a smaller market that was disproportionately affected by the outflow of capital from emerging-markets equities that occurred during first quarter sell off. An underweight in Taiwan, which outperformed sharply following the election of the new president Ma Ying-jeou, also weighed on the fund's relative performance. The major plank of Ma's platform was the        improvement of relations with China, which would be a positive for businesses in Taiwan.

Turning our attention to the fund's sector positioning, we generated outperformance in both energy and financials. However, the fund's overweight position in the consumer discretionary sector — which is based on our belief that the growth of the middle class in the emerging markets will lead to rising consumer spending — hurt returns given the overall weakness in this group. However, this was offset to some        extent by the strong performance of the fund's holdings in infrastructure-related stocks such as South Korea's Samsung Engineering Co., Ltd. and Egypt's Orascom Construction Industries.

**Q: What individual holdings helped and hurt performance?**

**A:**The leading contributor to performance was a position in the energy company Petroleo Brasileiro SA ("Petrobras"). The stock was helped not just by the rising prices of oil and gas, but also by strong organic production growth. At a time when few companies are boosting production, this trait has helped Petrobras deliver a strong return. Most notably, in early October the company        announced the discovery of the Tupi oil field off the coast of Brazil — a find that is expected to yield five to eight billion barrels of recoverable oil. Just three months later, Petrobras announced a second find just east of the Tupi field that could contain five times the level of reserves. These discoveries highlight the strong production growth the company continues to achieve.

The second-largest contributor was Uralkali, a Russian potash producer. The main ingredient in fertilizer, potash is experiencing increased demand as the lack of new land to farm requires higher crop yields from existing land. Potash has one of the most favorable supply/demand dynamics in the commodities universe, as there is little supply coming on over the next few years at the same time as demand across emerging        markets is booming. With this as the backdrop, the price of potash climbed from $250 per ton to $1000 per ton during the past year, boosting shares of Uralkali — one of the world's three largest producers of potash. Also contributing to performance were LG Electronics, Inc., the Korean company that continues to increase sales and market shares across all segments of its business; and Gulf Finance House EC, a Bahrain-based investment bank that is funding infrastructure investments        throughout the booming Persian Gulf region.

Turning to detractors, a position in the Turkish bank Turkiye Garanti Bankasi AS lost ground amid the broader downturn in global financial stocks and the weakness in Turkey's market as a whole. However, as we discuss below, we used this as an opportunity to increase the fund's weighting. Also weighing on returns was Focus Media Holding Ltd., a Chinese company that was hurt by concerns that it would be unable to maintain its growth        rate. We continue to hold the stock in the fund on the belief that there is significant upside potential for advertising spending in China. The third-largest detractor was Kookmin Bank, which lost ground on worries that it would experience weaker loan growth due to the slowdown in the Korean economy. The fund continues to hold the stock, as we believe it is a well managed company with an attractive yield.

**Q: How did you respond to the market volatility of the past six months?**

**A:**We took advantage of the volatile market environment by adding selectively to the fund's core holdings. For example, we added to Tenaris SA, which had fallen on concerns of potential price weakness in its seamless steel pipe business. This fear proved unfounded, as the company released stellar earnings for the fourth quarter. We also added to Turkiye Garanti Bankasi AS in Turkey after        it sold off sharply due to broader concerns about the global economy. The bank maintains a leading market position and has some of the most innovative products in consumer banking. Trading at a ratio of 1.5 times price-to-book value, the stock appeared attractively valued in our view. We intend to use additional market fluctuations as an opportunity to build on core positions that we see as having strong return potential over the next 12 months.

**Q: In what regions have you been finding these types of opportunities?**

**A:**The fund entered the reporting period with an overweight in the Middle East and Africa due to our lingering concerns regarding high valuations elsewhere in the emerging markets, particularly Asia. While at times this led to underperformance for the fund, we could not justify the valuation extremes in markets such as China and India. This positioning ultimately paid off, however, as        these markets have corrected over 40% from their highs and valuations moved to discounted levels in sectors such as financials and industrials.

While we do not believe the global credit crisis is fully behind us, we nonetheless have begun to increase positions in certain oversold Asian stocks. At the same time, we have been taking profits in markets — such as Egypt and Bahrain — where we have seen strong returns over the past 12 months. We recently exited the fund's position in Commercial International Bank, for example, as it is now one of the most expensive        banks in the emerging markets universe with a price-to-book ratio of more than four times. In contrast, Chinese financials have fallen to 2 to 2.5 times price-to-book but with equally compelling growth outlook. With this as the backdrop, we believe Asia has become much more compelling. Even though China's growth is expected to slow, it remains one of the fastest growing economies in the world, and our recent meetings with banks and insurance companies have confirmed that loan growth        remains robust. Further, the market penetration of bank products remains low, meaning that the secular growth story is intact. These factors prompted us to add to Industrial & Commercial Bank of China Ltd., a leading Chinese bank with high market share in both consumer and corporate lending. After correcting nearly 50%, the stock fell to a valuation of 2.2 times price-to-book with a return on equity in the high 20s. This serves a prime example of how we are looking for        opportunities to add to this sector now that valuations have finally become attractive enough for us to do so. Outside of financials, we added to the fund's position in CNOOC Ltd. — a leading energy exploration and production company — when valuations came down to 11 times 2008 earnings estimates. We also added to the fund's position in GOME Electrical Appliances Holdings Ltd., a leading electronics retailer.

India's stock market also experienced a substantial correction, particularly in the banking sector. We sought to take advantage of this by initiating a position in ICICI Bank Ltd. — the third largest bank in India. The stock retreated over 55% from its highs due to concerns about its exposure to some US subprime debt. However, the bank's subprime exposure was minimal and subtracted less than one percent from        its book value. ICICI serves one of the largest and fastest-growing populations in the world, and it has one of the strongest franchises in India.

**Q: Outside of Asia, where else have you been finding opportunities?**

**A:**Mexico is another country in which we have boosted the fund's weighting. Given that 30% of its gross domestic product is tied to the US economy, Mexico's market has lagged on fears of a long-lasting US recession. This obscures the fact that the country has a growing share of the European market and has diversified its export base beyond the United States to other parts of Latin        America. We believe this diversification leaves Mexico much better positioned than it was in the last US slowdown. Further, valuations of Mexican companies have moved in line with valuations in the broader emerging markets asset class after trading at premiums for many years.

Mexico also is home to a number of well-managed companies with compelling global franchises. Two examples are Cemex SAB de CV and Grupo Televisa SA, stocks we believe have become undervalued after lagging during the past year. We initiated positions in both companies during the past six months, based in part on their strong cash flows favorable and competitive positioning.

**Q: Do you have any closing thoughts for investors?**

**A:**We believe investors will have to digest more negative news flow in the months ahead, creating more volatility in the global markets. However, we view this as an opportunity given the attractive values that have emerged throughout the fund's investment universe. The emerging markets continue to feature a wealth of individual companies that are relatively insulated from global turmoil        by virtue of their strong organic growth. What's more, most countries in the asset class are benefiting from powerful longer-term trends, such as rapid infrastructure growth and rising spending power for consumers. We believe these factors should continue to provide a firm fundamental foundation for the emerging markets, even if broader market stresses periodically weights on short-term performance.

**Portfolio SummaryApril 30, 2008**

| **Geographical Diversification**
(As a % of Investment Portfolio excluding Cash Equivalents and Securities Lending Collateral) | **4/30/08** | **10/31/07** |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------|--------------|
|                                                                                                                                                         |        |         |
| Brazil                                                                                                                                                       | 15%         | 15%          |
| Russia                                                                                                                                                       | 13%         | 11%          |
| Korea                                                                                                                                                        | 11%         | 12%          |
| Taiwan                                                                                                                                                       | 9%          | 9%           |
| Hong Kong                                                                                                                                                    | 7%          | 7%           |
| India                                                                                                                                                        | 6%          | 6%           |
| Mexico                                                                                                                                                       | 6%          | 5%           |
| China                                                                                                                                                        | 5%          | 5%           |
| South Africa                                                                                                                                                 | 4%          | 5%           |
| Other                                                                                                                                                        | 24%         | 25%          |
|                                                                                                                                                         | 100%        | 100%         |

| **Sector Diversification**(As a % of Common, Preferred Stocks and Participatory Notes) | **4/30/08** | **10/31/07** |
|----------------------------------------------------------------------------------------------------------------------|-------------|--------------|
|                                                                                                                 |        |         |
| Financials                                                                                                           | 25%         | 26%          |
| Energy                                                                                                               | 18%         | 16%          |
| Materials                                                                                                            | 14%         | 15%          |
| Industrials                                                                                                          | 12%         | 10%          |
| Telecommunication Services                                                                                           | 11%         | 9%           |
| Consumer Discretionary                                                                                               | 8%          | 10%          |
| Information Technology                                                                                               | 8%          | 10%          |
| Consumer Staples                                                                                                     | 4%          | 3%           |
| Health Care                                                                                                          | —     | 1%           |
|                                                                                                                 | 100%        | 100%         |

*Geographical and sector diversification are subject to change.*

| **Ten Largest Equity Holdings at April 30, 2008**(27.1% of Net Assets)                                      | **Country**          | **Percent** |
|------------------------------------------------------------------------------------------------------------------|----------------------|-------------|
| **1. Petroleo Brasileiro SA**Provider and distributor of petroleum                                               | Brazil               | **4.6%**    |
| **2. Gazprom**Extracts, transports and sells natural gas                                                         | Russia               | **3.5%**    |
| **3. China Mobile Ltd.**Provider of cellular telecommunication services                                          | Hong Kong            | **3.3%**    |
| **4. Companhia Vale do Rio Doce**Operator of diverse mining and industrial complex                               | Brazil               | **3.1%**    |
| **5. Samsung Electronics Co., Ltd.**Manufacturer of electronic parts                                             | Korea                | **2.9%**    |
| **6. America Movil SAB de CV**Provider of wireless communications services                                       | Mexico               | **2.3%**    |
| **7. LUKOIL**Extractor, transporter, refiner and provider of oil and gas                                         | Russia               | **2.0%**    |
| **8. Emaar Properties PJSC**Develops, acquires and manages commercial and residential properties                 | United Arab Emirates | **2.0%**    |
| **9. Industrial & Commercial Bank of China Ltd.**Provides personal and corporate commercial banking services | China                | **1.8%**    |
| **10. CNOOC Ltd.**Explores, develops, produces and sells crude oil and natural gas                               | Hong Kong            | **1.6%**    |

*Portfolio holdings are subject to change.*

*For more complete details about the Fund's investment portfolio, see page 20. A quarterly Fact Sheet is available upon request. Information concerning portfolio holdings of the Fund as of month end will be posted to www.dws-scudder.com on or after the last day of the following month. In addition, the Fund's top ten holdings and other information about the Fund is posted on        www.dws-scudder.com as of the calendar quarter-end on or after the 15th day following quarter-end. Please see the Account Management Resources section for contact information.*

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

**Investment Portfolioas of April 30, 2008 (Unaudited)**

|                                                                                                     | **Shares**      | **Value ($)**  |
|----------------------------------------------------------------------------------------------------------|-----------------|----------------|
|                                                                                                     |            |
| **Common Stocks 93.8%**                                                                                  |
| **Australia 0.2%**                                                                                       |
| Sino Gold Mining Ltd.* (Cost $1,217,732)                                                                 | 182,600         | **849,674**    |
| **Bahrain 0.9%**                                                                                         |
| Gulf Finance House EC (GDR) 144A* (Cost $2,035,480)                                                      | 89,470          | **3,444,583**  |
| **Bermuda 0.3%**                                                                                         |
| GP Investments Ltd. "A" (BDR)** (Cost $1,180,764)                                                        | 136,000         | **1,309,108**  |
| **Brazil 13.9%**                                                                                         |
| All America Latina Logistica SA (Unit)                                                                   | 243,200         | 3,174,973      |
| Banco Bradesco SA (ADR) (Preferred) (a)                                                                  | 103,050         | 2,326,869      |
| BR Malls Participacoes SA*                                                                               | 278,600         | 3,067,248      |
| Companhia Vale do Rio Doce "A" (ADR) (Preferred)                                                         | 393,300         | 12,522,672     |
| GVT Holding SA*                                                                                          | 112,700         | 2,745,969      |
| Lojas Renner SA                                                                                          | 139,900         | 3,299,290      |
| Lupatech SA                                                                                              | 112,300         | 4,222,567      |
| Petroleo Brasileiro SA (ADR)                                                                             | 151,400         | 18,382,988     |
| Santos Brasil Participacoes SA (Unit)                                                                    | 123,000         | 2,128,192      |
| Unibanco — Uniao de Bancos Brasileiros SA (GDR)                                                    | 28,900          | 4,202,349      |
| (Cost $29,214,151)                                                                                       | **56,073,117**  |
| **Canada 0.0%**                                                                                          |
| Coalcorp Mining, Inc.* (Cost $419,681)                                                                   | 105,628         | **167,813**    |
| **China 4.9%**                                                                                           |
| China Life Insurance Co., Ltd. "H" (ADR) (a)                                                             | 35,400          | 2,322,240      |
| Dalian Port (PDA) Co., Ltd. "H"                                                                          | 3,392,000       | 2,221,673      |
| Focus Media Holding Ltd. (ADR)* (a)                                                                      | 82,400          | 3,039,736      |
| Hidili Industry International Development Ltd.*                                                          | 1,264,000       | 1,931,838      |
| Industrial & Commercial Bank of China Ltd. "H"                                                       | 9,251,900       | 7,335,551      |
| Sunshine Holdings Ltd.                                                                                   | 5,105,000       | 638,666        |
| WuXi PharmaTech Cayman, Inc. (ADR)* (a)                                                                  | 67,500          | 1,244,700      |
| Yingli Green Energy Holding Co., Ltd. (ADR)* (a)                                                         | 52,800          | 1,163,184      |
| (Cost $21,868,285)                                                                                       | **19,897,588**  |
| **Egypt 0.6%**                                                                                           |
| Orascom Construction Industries (Cost $1,940,137)                                                        | 27,116          | **2,226,299**  |
| **Hong Kong 6.7%**                                                                                       |
| China Mobile Ltd. (ADR)                                                                                  | 151,900         | 13,112,008     |
| CNOOC Ltd.                                                                                               | 3,058,400       | 5,425,265      |
| CNOOC Ltd. (ADR)                                                                                         | 6,000           | 1,065,300      |
| GOME Electrical Appliances Holdings Ltd.                                                                 | 1,240,000       | 2,875,842      |
| Huabao International Holdings Ltd.                                                                       | 2,419,300       | 2,174,303      |
| Lee & Man Paper Manufacturing Ltd.                                                                   | 475,200         | 885,041        |
| Stella International Holdings Ltd.                                                                       | 873,500         | 1,296,215      |
| (Cost $18,329,287)                                                                                       | **26,833,974**  |
| **India 5.8%**                                                                                           |
| Bharti Airtel Ltd.*                                                                                      | 246,909         | 5,472,773      |
| DLF Ltd.                                                                                                 | 154,271         | 2,672,065      |
| ICICI Bank Ltd. (ADR)                                                                                    | 66,600          | 2,969,694      |
| Larsen & Toubro Ltd.                                                                                 | 55,813          | 4,158,463      |
| Reliance Capital Ltd.                                                                                    | 54,900          | 2,031,487      |
| Reliance Industries Ltd.*                                                                                | 91,200          | 5,860,417      |
| (Cost $18,339,737)                                                                                       | **23,164,899**  |
| **Indonesia 1.6%**                                                                                       |
| PT Bank Mandiri                                                                                          | 7,576,800       | 2,353,045      |
| PT Bumi Resources Tbk                                                                                    | 3,032,900       | 2,177,166      |
| PT Holcim Indonesia Tbk*                                                                                 | 21,024,000      | 2,068,741      |
| (Cost $6,383,669)                                                                                        | **6,598,952**   |
| **Israel 0.7%**                                                                                          |
| Elbit Systems Ltd. (Cost $1,380,666)                                                                     | 52,700          | **2,919,653**  |
| **Kazakhstan 0.7%**                                                                                      |
| KazMunaiGas Exploration Production (GDR) 144A (Cost $1,616,566)                                     | 99,100          | **2,913,540**  |
| **Korea 10.8%**                                                                                          |
| Hana Tour Service, Inc.                                                                                  | 37,500          | 2,234,302      |
| Hyundai Development Co.                                                                                  | 20,900          | 1,329,207      |
| Kangwon Land, Inc.                                                                                       | 108,200         | 2,260,921      |
| Kookmin Bank (ADR)                                                                                       | 57,400          | 4,003,650      |
| LG Electronics, Inc.                                                                                     | 37,119          | 5,767,907      |
| LIG Life Insurance Co., Ltd.*                                                                            | 108,000         | 2,304,385      |
| NHN Corp.*                                                                                               | 23,200          | 5,377,614      |
| POSCO (ADR)                                                                                              | 43,000          | 5,306,200      |
| Samsung Electronics Co., Ltd.                                                                            | 16,460          | 11,718,432     |
| Samsung Engineering Co., Ltd.                                                                            | 36,600          | 3,252,945      |
| (Cost $37,258,423)                                                                                       | **43,555,563**  |
| **Lebanon 1.3%**                                                                                         |
| Banque Audi "B" (GDR) (REG S)                                                                            | 13,531          | 1,326,038      |
| Solidere "A" (GDR) (REG S)                                                                               | 162,500         | 3,986,125      |
| (Cost $3,831,228)                                                                                        | **5,312,163**   |
| **Luxembourg 1.5%**                                                                                      |
| Tenaris SA (ADR) (a) (Cost $4,575,831)                                                                   | 115,600         | **6,127,956**  |
| **Malaysia 1.9%**                                                                                        |
| Digi.com Bhd.                                                                                            | 301,200         | 2,315,250      |
| Kuala Lumpur Kepong Bhd.                                                                                 | 511,100         | 2,706,412      |
| Sime Darby Bhd.*                                                                                         | 806,900         | 2,455,823      |
| (Cost $6,286,596)                                                                                        | **7,477,485**   |
| **Mexico 5.4%**                                                                                          |
| America Movil SAB de CV "L" (ADR)                                                                        | 163,100         | 9,453,276      |
| Cemex SAB de CV (ADR)* (a)                                                                               | 105,700         | 2,922,605      |
| Empresas ICA SAB de CV*                                                                                  | 321,100         | 1,944,280      |
| Grupo FAMSA SAB de CV "A"*                                                                               | 548,300         | 1,795,125      |
| Grupo Televisa SA (ADR)                                                                                  | 142,700         | 3,521,836      |
| Mexichem SA de CV                                                                                        | 301,800         | 2,156,588      |
| (Cost $18,952,788)                                                                                       | **21,793,710**  |
| **Netherlands 0.5%**                                                                                     |
| Vimetco NV (GDR) 144A* (Cost $2,196,134)                                                                 | 237,500         | **2,066,250**  |
| **Nigeria 0.7%**                                                                                         |
| Guaranty Trust Bank PLC (GDR) 144A                                                                       | 139,100         | 1,742,923      |
| Guaranty Trust Bank PLC (REG S) (GDR)                                                                    | 73,800          | 925,021        |
| (Cost $2,361,554)                                                                                        | **2,667,944**   |
| **Philippines 0.4%**                                                                                     |
| Filinvest Land, Inc.* (Cost $2,096,613)                                                                  | 58,958,700      | **1,396,730**  |
| **Russia 12.1%**                                                                                         |
| Far Eastern Shipping Co.*                                                                                | 2,865,622       | 3,496,059      |
| Gazprom (ADR)                                                                                            | 262,385         | 13,930,476     |
| LUKOIL (ADR)                                                                                             | 90,300          | 8,154,090      |
| Magnitogorsk Iron & Steel Works (GDR) 144A                                                           | 185,850         | 3,224,497      |
| Novorossiysk Sea Trade Port (GDR) 144A*                                                                  | 94,400          | 1,463,200      |
| Sberbank*                                                                                                | 1,471,580       | 4,765,803      |
| Uralkali (GDR) 144A*                                                                                     | 102,400         | 5,457,920      |
| Vimpel-Communications (ADR)                                                                              | 124,000         | 3,739,840      |
| X5 Retail Group NV (GDR) (REG S)*                                                                        | 23,400          | 819,000        |
| X5 Retail Group NV (GDR) 144A*                                                                           | 106,900         | 3,741,500      |
| (Cost $36,008,260)                                                                                       | **48,792,385**  |
| **Singapore 1.4%**                                                                                       |
| Olam International Ltd.                                                                                  | 1,063,810       | 2,091,282      |
| Straits Asia Resources Ltd.                                                                              | 1,506,000       | 3,694,268      |
| (Cost $5,297,278)                                                                                        | **5,785,550**   |
| **South Africa 4.1%**                                                                                    |
| Anglo Platinum Ltd.                                                                                      | 18,600          | 2,967,574      |
| Gold Fields Ltd.                                                                                         | 209,500         | 2,804,910      |
| MTN Group Ltd.                                                                                           | 203,900         | 3,871,593      |
| Murray & Roberts Holdings Ltd.                                                                       | 125,263         | 1,460,518      |
| Naspers Ltd. "N"                                                                                         | 122,400         | 2,647,609      |
| Raubex Group Ltd.                                                                                        | 524,940         | 2,697,683      |
| (Cost $16,336,148)                                                                                       | **16,449,887**  |
| **Taiwan 8.7%**                                                                                          |
| Advanced Semiconductor Engineering, Inc.                                                                 | 2,935,741       | 3,003,558      |
| Asustek Computer, Inc.                                                                                   | 1,060,383       | 3,420,884      |
| Cathay Financial Holding Co., Ltd.                                                                       | 1,866,900       | 5,240,132      |
| Chunghwa Telecom Co., Ltd. (ADR)                                                                         | 158,400         | 4,040,784      |
| Delta Electronics, Inc.                                                                                  | 1,077,375       | 3,219,606      |
| Hon Hai Precision Industry Co., Ltd.                                                                     | 645,664         | 3,722,794      |
| Hung Poo Real Estate Development Corp.                                                                   | 1,236,000       | 2,358,597      |
| Innolux Display Corp. (GDR) 144A*                                                                        | 262,050         | 1,532,992      |
| Rich Develpment Co., Ltd.                                                                                | 1,912,000       | 1,710,845      |
| Taiwan Tea Corp.*                                                                                        | 2,123,000       | 1,869,885      |
| Walsin Lihwa Corp.                                                                                       | 3,156,000       | 1,600,274      |
| Yuanta Financial Holding Co., Ltd.*                                                                      | 3,383,000       | 3,217,175      |
| (Cost $34,479,659)                                                                                       | **34,937,526**  |
| **Thailand 2.1%**                                                                                        |
| Bangkok Bank PCL (Foreign Registered)                                                                    | 1,174,500       | 5,177,077      |
| Thai Oil PCL (Foreign Registered)                                                                        | 1,454,300       | 3,256,238      |
| (Cost $6,687,313)                                                                                        | **8,433,315**   |
| **Turkey 1.7%**                                                                                          |
| Coca-Cola Icecek AS                                                                                      | 208,300         | 1,844,475      |
| Sinpas Gayrimenkul Yatirim Ortakligi AS*                                                                 | 325,704         | 1,154,588      |
| Turkiye Garanti Bankasi AS (Unit)                                                                        | 703,000         | 3,740,165      |
| (Cost $8,282,583)                                                                                        | **6,739,228**   |
| **United Arab Emirates 2.3%**                                                                            |
| DP World Ltd.*                                                                                           | 1,230,517       | 1,292,043      |
| Emaar Properties PJSC*                                                                                   | 2,556,287       | 8,004,275      |
| (Cost $10,367,564)                                                                                       | **9,296,318**   |
| **United Kingdom 1.2%**                                                                                  |
| LonZim PLC*                                                                                              | 816,713         | 1,776,776      |
| Standard Chartered PLC                                                                                   | 82,054          | 2,881,269      |
| (Cost $4,409,758)                                                                                        | **4,658,045**   |
| **United States 1.0%**                                                                                   |
| Freeport-McMoRan Copper & Gold, Inc. (Cost $3,456,010)                                               | 34,900          | **3,969,875**  |
| **Zambia 0.4%**                                                                                          |
| Zambeef Products PLC (Cost $1,653,239)                                                                   | 883,566         | **1,754,419**  |
| **Total Common Stocks** (Cost $308,463,134)                                                              | **377,613,549** |
|                                                                                                     |
| **Participatory Notes 1.6%**                                                                             |
| **Lebanon 0.4%**                                                                                         |
| Banque Audi (issuer Merrill Lynch International), Expiration Date 9/27/2010* (Cost $1,085,802)      | 15,520          | **1,513,355**  |
| **United Arab Emirates 1.2%**                                                                            |
| Aldar Properties PJSC (issuer Merrill Lynch International), Expiration Date 1/12/2010* (Cost $3,883,077) | 1,560,632       | **4,925,355**  |
| **Total Participatory Notes** (Cost $4,968,879)                                                          | **6,438,710**   |
|                                                                                                     |
| **Preferred Stocks 1.1%**                                                                                |
| **Brazil**                                                                                               |
| Net Servicos de Comunicacao SA*                                                                          | 245,007         | 3,372,494      |
| Usinas Siderurgicas de Minas Gerais SA "A"                                                               | 22,325          | 1,090,060      |
| **Total Preferred Stocks** (Cost $3,203,508)                                                             | **4,462,554**   |
|                                                                                                     |
| **Securities Lending Collateral 3.8%**                                                                   |
| Daily Assets Fund Institutional, 2.88% (b) (c) (Cost $15,455,235)                                   | 15,455,235      | **15,455,235** |
| * *                                                                                                 |
| **Cash Equivalents 2.1%**                                                                                |
| Cash Management QP Trust, 2.54% (b) (Cost $8,415,671)                                                    | 8,415,671       | **8,415,671**  |

|                                                     | **% of Net Assets** | **Value ($)**   |
|----------------------------------------------------------|---------------------|-----------------|
|                                                     |                |
| **Total Investment Portfolio** (Cost $340,506,427)+ | 102.4               | **412,385,719** |
| **Other Assets and Liabilities, Net**                    | (2.4)               | **(9,709,823)** |
| **Net Assets**                                           | 100.0               | **402,675,896** |

*144A: Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.*

*ADR: American Depositary Receipt*

*BDR: Brazilian Depositary Receipt*

*GDR: Global Depositary Receipt*

*The accompanying notes are an integral part of the financial statements.*

**Financial Statements**

| **Statement of Assets and Liabilities**as of April 30, 2008 (Unaudited)                                                      |
|------------------------------------------------------------------------------------------------------------------------------|
| **Assets**                                                                                                                   |
| Investments:
Investments in securities, at value (cost $316,635,521) — including $15,133,386 of securities loaned | $ 388,514,813 |
| Investment in Cash Management QP Trust (cost $8,415,671)                                                                | 8,415,671 |
| Investment in Daily Assets Fund Institutional (cost $15,455,235)*                                                            | 15,455,235 |
| Total investments, at value (cost $340,506,427)                                                                         | 412,385,719 |
| Cash                                                                                                                         | 1,301,388 |
| Foreign currency, at value (cost $2,224,636)                                                                            | 2,226,442 |
| Receivable for investments sold                                                                                              | 4,100,564 |
| Dividends receivable                                                                                                         | 740,515 |
| Interest receivable                                                                                                          | 30,461 |
| Receivable for Fund shares sold                                                                                              | 664,841 |
| Foreign taxes recoverable                                                                                                    | 122,873 |
| Other assets                                                                                                                 | 69,608 |
| Total assets                                                                                                                 | 421,642,411 |
| **Liabilities**                                                                                                              |
| Payable for investments purchased                                                                                            | 2,479,621 |
| Payable upon return of securities loaned                                                                                     | 15,455,235 |
| Payable for Fund shares redeemed                                                                                             | 276,849 |
| Accrued management fee                                                                                                       | 314,996 |
| Other accrued expenses and payables                                                                                          | 439,814 |
| Total liabilities                                                                                                            | 18,966,515 |
| **Net assets, at value**                                                                                                     | **$ 402,675,896** |
| **Net Assets Consist of**                                                                                                    |
| Undistributed net investment income                                                                                          | 200,560 |
| Net unrealized appreciation (depreciation) on:
Investments                                                                   | 71,879,292 |
| Foreign currency                                                                                                             | 13,199 |
| Accumulated net realized gain (loss)                                                                                         | 14,236,484 |
| Paid-in capital                                                                                                              | 316,346,361 |
| **Net assets, at value**                                                                                                     | **$ 402,675,896** |

*The accompanying notes are an integral part of the financial statements.*

| **Statement of Assets and Liabilities**as of April 30, 2008 (Unaudited) (continued)                                                                                                                                                                            |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **Net Asset Value**                                                                                                                                                                                                                                            |
| **Class A**
**Net Asset Value** and redemption price(a) per share ($119,862,495 ÷ 5,262,503 shares of capital stock outstanding, $.01 par value, 50,000,000 shares authorized)                                                      | **$ 22.78** |
| Maximum offering price per share (100 ÷ 94.25 of $22.78)                                                                                                                                                                                      | **$ 24.17** |
| **Class B**
**Net Asset Value,** offering and redemption price(a) (subject to contingent deferred sales charge) per share ($6,731,567 ÷ 320,177 shares of capital stock outstanding, $.01 par value, 50,000,000 shares authorized)  | **$ 21.02** |
| **Class C**
**Net Asset Value,** offering and redemption price(a) (subject to contingent deferred sales charge) per share ($14,084,841 ÷ 666,782 shares of capital stock outstanding, $.01 par value, 20,000,000 shares authorized) | **$ 21.12** |
| **Class S**
**Net Asset Value,** offering and redemption price(a) per share ($228,688,797 ÷ 9,917,321 shares of capital stock outstanding, $.01 par value, 100,000,000 shares authorized)                                           | **$ 23.06** |
| **Institutional Class**
**Net Asset Value,** offering and redemption price(a) per share ($33,308,196 ÷ 1,444,606 shares of capital stock outstanding, $.01 par value, 100,000,000 shares authorized)                                | **$ 23.06** |

*The accompanying notes are an integral part of the financial statements.*

| **Statement of Operation**for the six months ended April 30, 2008 (Unaudited)                                        |
|----------------------------------------------------------------------------------------------------------------------|
| **Investment Income**                                                                                                |
| Income:Dividends (net of foreign taxes withheld of $275,984)                                                    | $ 4,070,488 |
| Interest                                                                                                             | 7,020 |
| Interest — Cash Management QP Trust                                                                       | 58,194 |
| Securities lending income, including income from Daily Assets Fund Institutional, net of borrower rebates            | 106,643 |
| Total Income                                                                                                         | 4,242,345 |
| Expenses:Management fee                                                                                              | 1,980,338 |
| Administration fee                                                                                                   | 196,895 |
| Services to shareholders                                                                                             | 271,374 |
| Custodian fee                                                                                                        | 270,346 |
| Distribution and service fees                                                                                        | 247,622 |
| Professional fees                                                                                                    | 56,513 |
| Directors' fees and expenses                                                                                         | 10,437 |
| Reports to shareholders                                                                                              | 66,236 |
| Registration fees                                                                                                    | 23,782 |
| Other                                                                                                                | 51,065 |
| Total expenses before expense reductions                                                                             | 3,174,608 |
| Expense reductions                                                                                                   | (1,977) |
| Total expenses after expense reductions                                                                              | 3,172,631 |
| **Net investment income (loss)**                                                                                     | **1,069,714** |
| **Realized and Unrealized Gain (Loss)**                                                                              |
| Net realized gain (loss) from:Investments (net of foreign taxes of $135,252)                                         | 14,808,609 |
| Foreign currency (including foreign taxes of $29)                                                                    | (90,386) |
| * *                                                                                                             | 14,718,223 |
| Change in net unrealized appreciation (depreciation) on:Investments (net of deferred foreign tax credit of $797,281) | (61,302,573) |
| Foreign currency                                                                                                     | (42,226) |
| * *                                                                                                             | (61,344,799) |
| **Net gain (loss)**                                                                                                  | **(46,626,576)** |
| **Net increase (decrease) in net assets resulting from operations**                                                  | **$ (45,556,862)** |

*The accompanying notes are an integral part of the financial statements.*

| **Statement of Changes in Net Assets**                                                                            |
|-------------------------------------------------------------------------------------------------------------------|
| **Increase (Decrease) in Net Assets**                                                                             | **Six Months Ended April 30, 2008 (Unaudited)** | **Year Ended October 31, 2007** |
| Operations:Net investment income (loss)                                                                           | $ 1,069,714 | $ 509,089 |
| Net realized gain (loss)                                                                                          | 14,718,223 | 83,923,259 |
| Change in net unrealized appreciation (depreciation)                                                              | (61,344,799) | 93,267,112 |
| Net increase (decrease) in net assets resulting from operations                                                   | (45,556,862) | 177,699,460 |
| Distributions to shareholders:Net investment income:
Class A                                                      | (231,601) | (103,785) |
| Class S                                                                                                           | (688,335) | (758,254) |
| Net realized gains:
Class A                                                                                       | (26,919,314) | (23,073,468) |
| Class B                                                                                                           | (1,818,270) | (1,597,328) |
| Class C                                                                                                           | (3,105,506) | (3,118,397) |
| Class S                                                                                                           | (52,437,670) | (49,709,434) |
| Total distributions                                                                                               | (85,200,696) | (78,360,666) |
| Fund share transactions:Proceeds from shares sold                                                                 | 86,436,014 | 78,675,441 |
| Reinvestment of distributions                                                                                     | 74,965,610 | 66,277,796 |
| Cost of shares redeemed                                                                                           | (86,413,890) | (95,293,217) |
| Redemption fees                                                                                                   | 11,021 | 11,461 |
| Net increase (decrease) in net assets from Fund share transactions                                                | 74,998,755 | 49,671,481 |
| **Increase (decrease) in net assets**                                                                             | (55,758,803) | 149,010,275 |
| Net assets at beginning of year                                                                                   | 458,434,699 | 309,424,424 |
| Net assets at end of period (including undistributed net investment income of $200,560 and $50,782, respectively) | **$ 402,675,896** | **$ 458,434,699** |

*The accompanying notes are an integral part of the financial statements.*

**Financial Highlights**

| **Class A**

**Years Ended October 31,**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | **2008a**   | **2007**    | **2006**    | **2005**    | **2004**    | **2003**    |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------|-------------|-------------|-------------|-------------|-------------|
| **Selected Per Share Data**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| **Net asset value, beginning of period**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | **$ 31.64** | **$ 25.35** | **$ 20.26** | **$ 15.61** | **$ 13.25** | **$ 8.69**  |
| *Income (loss) from investment operations:*

Net investment income (loss)b                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | .05         | .03         | .06e        | .10         | .08         | .04         |
| Net realized and unrealized gain (loss)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | (3.02)      | 12.72       | 6.67        | 4.63        | 2.29        | 4.52        |
| **Total from investment operations**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | (2.97)      | 12.75       | 6.73        | 4.73        | 2.37        | 4.56        |
| *Less distributions from:*

Net investment income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | (.05)       | (.03)       | —     | (.08)       | (.02)       | —     |
| Net realized gains                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | (5.84)      | (6.43)      | (1.64)      | —     | —     | —     |
| **Total distributions**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | (5.89)      | (6.46)      | (1.64)      | (.08)       | (.02)       | —     |
| Redemption fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 | .00***      | .00***      | .00***      | .00***      | .01         | .00***      |
| **Net asset value, end of period**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | **$ 22.78** | **$ 31.64** | **$ 25.35** | **$ 20.26** | **$ 15.61** | **$ 13.25** |
| Total Return (%)c                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | (9.97)**    | 63.41       | 34.49d,e    | 30.48d      | 18.00d      | 52.47d      |
| **Ratios to Average Net Assets and Supplemental Data**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| Net assets, end of period ($ millions)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | 120         | 148         | 90          | 84          | 49          | 16          |
| Ratio of expenses before expense reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | 1.67*       | 1.68        | 1.93        | 2.05        | 2.06        | 2.19        |
| Ratio of expenses after expense reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | 1.67*       | 1.68        | 1.92        | 1.98        | 1.99        | 2.16        |
| Ratio of net investment income (loss) (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | .42*        | .14         | .26e        | .59         | .56         | .38         |
| Portfolio turnover rate (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | 31**        | 98          | 145         | 126         | 146         | 182         |
| a*For the six months ended April 30, 2008 (Unaudited).*b*Based on average shares outstanding during the period.*c*Total return does not reflect the effect of any sales charges.*d*Total return would have been lower had certain expenses not been reduced.*e*Includes non-recurring income from the Advisor recorded as a result of an administrative proceeding regarding disclosure of brokerage allocation practices in connection with sales of DWS Funds. The non-recurring income resulted in an increase in net investment income of $0.00035 per share and an increase in the ratio of net investment income of 0.001%. Excluding this non-recurring income,                total return would have been 0.001% lower.***Annualized****Not annualized*****Amount is less than $.005.* |

| **Class B**

**Years Ended October 31,**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | **2008a**   | **2007**    | **2006**    | **2005**    | **2004**    | **2003**    |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------|-------------|-------------|-------------|-------------|-------------|
| **Selected Per Share Data**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| **Net asset value, beginning of period**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | **$ 29.76** | **$ 24.34** | **$ 19.66** | **$ 15.20** | **$ 12.98** | **$ 8.58**  |
| *Income (loss) from investment operations:*

Net investment income (loss)b                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | (.04)       | (.16)       | (.12)e      | (.03)       | (.02)       | (.04)       |
| Net realized and unrealized gain (loss)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | (2.86)      | 12.01       | 6.44        | 4.49        | 2.23        | 4.44        |
| **Total from investment operations**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | (2.90)      | 11.85       | 6.32        | 4.46        | 2.21        | 4.40        |
| *Less distributions from:*

Net realized gains                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | (5.84)      | (6.43)      | (1.64)      | —     | —     | —     |
| Redemption fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 | .00***      | .00***      | .00***      | .00***      | .01         | .00***      |
| **Net asset value, end of period**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | **$ 21.02** | **$ 29.76** | **$ 24.34** | **$ 19.66** | **$ 15.20** | **$ 12.98** |
| Total Return (%)c                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | (10.39)**   | 61.91       | 33.44d,e    | 29.34d      | 17.10d      | 51.28d      |
| **Ratios to Average Net Assets and Supplemental Data**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| Net assets, end of period ($ millions)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | 7           | 10          | 6           | 4           | 2           | 2           |
| Ratio of expenses before expense reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | 2.59*       | 2.61        | 2.89        | 3.03        | 2.91        | 2.97        |
| Ratio of expenses after expense reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | 2.59*       | 2.61        | 2.79        | 2.76        | 2.75        | 2.93        |
| Ratio of net investment income (loss) (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | (.50)*      | (.79)       | (.61)e      | (.19)       | (.20)       | (.39)       |
| Portfolio turnover rate (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | 31**        | 98          | 145         | 126         | 146         | 182         |
| a*For the six months ended April 30, 2008 (Unaudited).*b*Based on average shares outstanding during the period.*c*Total return does not reflect the effect of any sales charges.*d*Total return would have been lower had certain expenses not been reduced.*e*Includes non-recurring income from the Advisor recorded as a result of an administrative proceeding regarding disclosure of brokerage allocation practices in connection with sales of DWS Funds. The non-recurring income resulted in an increase in net investment income of $0.00035 per share and an increase in the ratio of net investment income of 0.001%. Excluding this non-recurring income,                total return would have been 0.001% lower.***Annualized****Not annualized*****Amount is less than $.005.* |

| **Class C**

**Years Ended October 31,**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | **2008a**   | **2007**    | **2006**    | **2005**    | **2004**    | **2003**    |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------|-------------|-------------|-------------|-------------|-------------|
| **Selected Per Share Data**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| **Net asset value, beginning of period**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | **$ 29.86** | **$ 24.39** | **$ 19.70** | **$ 15.23** | **$ 13.01** | **$ 8.60**  |
| *Income (loss) from investment operations:*

Net investment income (loss)b                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | (.03)       | (.14)       | (.11)e      | (.03)       | (.02)       | (.04)       |
| Net realized and unrealized gain (loss)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | (2.87)      | 12.04       | 6.44        | 4.50        | 2.23        | 4.45        |
| **Total from investment operations**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | (2.90)      | 11.90       | 6.33        | 4.47        | 2.21        | 4.41        |
| *Less distributions from:*

Net realized gains                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 | (5.84)      | (6.43)      | (1.64)      | —     | —     | —     |
| Redemption fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | .00***      | .00***      | .00***      | .00***      | .01         | .00***      |
| **Net asset value, end of period**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | **$ 21.12** | **$ 29.86** | **$ 24.39** | **$ 19.70** | **$ 15.23** | **$ 13.01** |
| Total Return (%)c                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | (10.38)**   | 62.06       | 33.43d,e    | 29.35d      | 17.06d      | 51.28d      |
| **Ratios to Average Net Assets and Supplemental Data**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| Net assets, end of period ($ millions)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 14          | 15          | 12          | 8           | 3           | 2           |
| Ratio of expenses before expense reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | 2.54*       | 2.54        | 2.77        | 2.89        | 2.86        | 2.95        |
| Ratio of expenses after expense reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | 2.54*       | 2.54        | 2.73        | 2.75        | 2.76        | 2.92        |
| Ratio of net investment income (loss) (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 | (.45)*      | (.72)       | (.55)e      | (.18)       | (.21)       | (.38)       |
| Portfolio turnover rate (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | 31**        | 98          | 145         | 126         | 146         | 182         |
| a*For the six months ended April 30, 2008 (Unaudited).*b*Based on average shares outstanding during the period.*c*Total return does not reflect the effect of any sales charges.*d*Total return would have been lower had certain expenses not been reduced.*e*Includes non-recurring income from the Advisor recorded as a result of an administrative proceeding regarding disclosure of brokerage allocation practices in connection with sales of DWS Funds The non-recurring income resulted in an increase in net investment income of $0.00035 per share and an increase in the ratio of net investment income of 0.001%. Excluding this non-recurring income, total                return would have been 0.001% lower.***Annualized****Not annualized*****Amount is less than $.005.* |

| **Class S**

**Years Ended October 31,**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | **2008a**   | **2007**    | **2006**    | **2005**    | **2004**    | **2003**    |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------|-------------|-------------|-------------|-------------|-------------|
| **Selected Per Share Data**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| **Net asset value, beginning of period**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | **$ 31.96** | **$ 25.58** | **$ 20.38** | **$ 15.71** | **$ 13.34** | **$ 8.73**  |
| *Income (loss) from investment operations:*
Net investment income (loss)b                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | .07         | .05         | .12d        | .14         | .11         | .07         |
| Net realized and unrealized gain (loss)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | (3.05)      | 12.86       | 6.72        | 4.66        | 2.31        | 4.54        |
| **Total from investment operations**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | (2.98)      | 12.91       | 6.84        | 4.80        | 2.42        | 4.61        |
| *Less distributions from:*

Net investment income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | (.08)       | (.10)       | —     | (.13)       | (.06)       | —     |
| Net realized gains                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | (5.84)      | (6.43)      | (1.64)      | —     | —     | —     |
| **Total distributions**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | (5.92)      | (6.53)      | (1.64)      | (.13)       | (.06)       | —     |
| Redemption fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | .00***      | .00***      | .00***      | .00***      | .01         | .00***      |
| **Net asset value, end of period**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | **$ 23.06** | **$ 31.96** | **$ 25.58** | **$ 20.38** | **$ 15.71** | **$ 13.34** |
| Total Return (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | (9.93)**    | 63.61c      | 34.90c,d    | 30.67c      | 18.34c      | 52.81c      |
| **Ratios to Average Net Assets and Supplemental Data**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| Net assets, end of period ($ millions)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 229         | 285         | 202         | 128         | 89          | 65          |
| Ratio of expenses before expense reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | 1.50*       | 1.60        | 1.76        | 1.89        | 1.93        | 1.92        |
| Ratio of expenses after expense reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | 1.50*       | 1.59        | 1.67        | 1.76        | 1.76        | 1.90        |
| Ratio of net investment income (loss) (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 | .59*        | .23         | .51d        | .81         | .79         | .64         |
| Portfolio turnover rate (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | 31**        | 98          | 145         | 126         | 146         | 182         |
| a*For the six months ended April 30, 2008 (Unaudited).*b*Based on average shares outstanding during the period.*c*Total return would have been lower had certain expenses not been reduced.*d*Includes non-recurring income from the Advisor recorded as a result of an administrative proceeding regarding disclosure of brokerage allocation practices in connection with sales of DWS Funds. The non-recurring income resulted in an increase in net investment income of $0.00035 per share and an increase in the ratio of net investment income of 0.001%. Excluding this non-recurring income,                total return would have been 0.001% lower.***Annualized****Not annualized*****Amount is less than $.005.* |

| **Institutional Class**

**Years Ended October 31,**                                                                                                                                                                                                  | **2008a**   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------|
| **Selected Per Share Data**                                                                                                                                                                                                                           |
| **Net asset value, beginning of period**                                                                                                                                                                                                              | **$ 22.13** |
| *Income (loss) from investment operations:*
Net investment income (loss)b                                                                                                                                                                             | .13         |
| Net realized and unrealized gain (loss)                                                                                                                                                                                                               | .80         |
| **Total from investment operations**                                                                                                                                                                                                                  | .93         |
| Redemption fees                                                                                                                                                                                                                                       | .00***      |
| **Net asset value, end of period**                                                                                                                                                                                                                    | **$ 23.06** |
| Total Return (%)                                                                                                                                                                                                                                      | 4.20**      |
| **Ratios to Average Net Assets and Supplemental Data**                                                                                                                                                                                                |
| Net assets, end of period ($ millions)                                                                                                                                                                                                           | 33          |
| Ratio of expenses before expense reductions (%)                                                                                                                                                                                                  | 1.41*       |
| Ratio of expenses after expense reductions (%)                                                                                                                                                                                                   | 1.41*       |
| Ratio of net investment income (loss) (%)                                                                                                                                                                                                        | .59**       |
| Portfolio turnover rate (%)                                                                                                                                                                                                                      | 31**        |
| a*For the period from March 3, 2008 (commencement of operations of Institutional Class shares) to April 30, 2008 (Unaudited).*b*Based on average shares outstanding during the period.***Annualized****Not annualized*****Amount is less than $.005.* |

**Notes to Financial Statements(Unaudited)**

**A. Significant Accounting Policies**

DWS Emerging Markets Equity Fund (the "Fund") is a diversified series of DWS International Fund, Inc. (the "Corporation"), which is registered under the Investment Company Act of 1940, as amended (the "1940 Act"), as an open-end management investment company organized as a Maryland Corporation.

The Fund offers multiple classes of shares which provide investors with different purchase options. Class A shares are offered to investors subject to an initial sales charge. Class B shares are offered to investors without an initial sales charge but are subject to higher ongoing expenses than Class A shares and a contingent deferred sales charge payable upon certain redemptions. Class B shares automatically convert to Class A        shares six years after issuance. Class C shares are offered to investors without an initial sales charge but are subject to higher ongoing expenses than Class A shares and a contingent deferred sales charge payable upon certain redemptions within one year of purchase. Class C shares do not convert into another class.On March 3, 2008, the Fund commenced offering Institutional Class shares. Institutional Class shares are offered to a limited group of investors, are not subject        to initial or contingent deferred sales charges and have lower ongoing expenses than other classes. Class S shares are not subject to initial or contingent deferred sales charges and are generally not available to new investors except under certain circumstances.

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

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

**Security Valuation.** Investments are stated at value determined as of the close of regular trading on the New York Stock Exchange on each day the exchange is open for trading. Equity securities are valued at the most recent sale price or official closing price reported on the exchange (US or foreign) or over-the-counter market on which the security is traded most extensively. Securities for which no        sales are reported are valued at the calculated mean between the most recent bid and asked quotations on the relevant market or, if a mean cannot be determined, at the most recent bid quotation.

Money market instruments purchased with an original or remaining maturity of sixty days or less, maturing at par, are valued at amortized cost. Investments in open-end investment companies and Cash Management QP Trust are valued at their net asset value each business day.

Securities and other assets for which market quotations are not readily available or for which the above valuation procedures are deemed not to reflect fair value are valued in a manner that is intended to reflect their fair value as determined in accordance with procedures approved by the Directors. The Fund may use a fair valuation model to value international equity securities in order to adjust for events which may occur between        the close of the foreign exchanges and the close of the New York Stock Exchange.

**New Accounting Pronouncements.** In September 2006, the Financial Accounting Standards Board ("FASB") released Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" ("FAS 157"). FAS 157 defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. FAS 157 is effective for fiscal years beginning after November 15, 2007.        As of April 30, 2008, management does not believe the adoption of FAS 157 will impact the amounts reported in the financial statements, however, additional disclosures will be required about the inputs used to develop the measurements of fair value and the effect of certain of the measurements reported in the statement of operations for a fiscal period.

**Securities Lending.** The Fund may lend securities to financial institutions. The Fund retains beneficial ownership of the securities it has loaned and continues to receive interest and dividends paid by the issuer of securities and to participate in any changes in their market value. The Fund requires the borrowers of the securities to maintain collateral with the Fund consisting of liquid, unencumbered        assets having a value at least equal to the value of the securities loaned. The Fund may invest the cash collateral into a joint trading account in an affiliated money market fund pursuant to Exemptive Orders issued by the SEC. The Fund receives compensation for lending its securities either in the form of fees or by earning interest on invested cash collateral net of borrower rebates and fees paid to the lending agent. Either the Fund or the borrower may terminate the loan. The Fund is        subject to all investment risks associated with the value of any cash collateral received, including, but not limited to, interest rate, credit and liquidity risk associated with such investments.

**Foreign Currency Translations.** The books and records of the Fund are maintained in US dollars. Investment securities and other assets and liabilities denominated in a foreign currency are translated into US dollars at the prevailing exchange rates at period end. Purchases and sales of investment securities, income and expenses are translated into US dollars at the prevailing exchange rates on the        respective dates of the transactions.

Net realized and unrealized gains and losses on foreign currency transactions represent net gains and losses between trade and settlement dates on securities transactions, the disposition of forward foreign currency exchange contracts and foreign currencies, and the difference between the amount of net investment income accrued and the US dollar amount actually received. That portion of both realized and unrealized gains and losses        on investments that results from fluctuations in foreign currency exchange rates is not separately disclosed but is included with net realized and unrealized gain/appreciation and loss/depreciation on investments.

**Taxes.** The Fund's policy is to comply with the requirements of the Internal Revenue Code, as amended, which are applicable to regulated investment companies, and to distribute all of its taxable income to its shareholders.

Additionally, based on the Fund's understanding of the tax rules and rates related to income, gains and transactions for the foreign jurisdictions in which it invests, the Fund will provide for foreign taxes, and where appropriate, deferred foreign taxes.

The Fund has reviewed the tax positions for each of the three open tax years as of October 31, 2007 and has determined that no provision for income tax is required in the Fund's financial statements. The Fund's federal tax returns for the prior three fiscal years remain subject to examination by the Internal Revenue Service.

**Distribution of Income and Gains.** Net investment income of the Fund, if any, is declared and distributed to shareholders annually. Net realized gains from investment transactions, in excess of available capital loss carryforwards, would be taxable to the Fund if not distributed, and, therefore, will be distributed to shareholders at least annually.

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

The tax character of current year distributions will be determined at the end of the current fiscal year.

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

**Expenses.** Expenses of the Corporation arising in connection with a specific fund are allocated to that fund. Other Corporation expenses which cannot be directly attributed to a fund are apportioned among the funds in the Corporation.

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

**Other.** Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment security transactions are reported on trade date. Interest income is recorded on the accrual basis. Dividend income is recorded on the ex-dividend date net of foreign withholding taxes. Certain dividends from foreign securities may        be recorded subsequent to the ex-dividend date as soon as the Fund is informed of such dividends. Realized gains and losses from investment transactions are recorded on an identified cost basis.

**B. Purchases and Sales of Securities**

During the six months ended April 30, 2008, purchases and sales of investment securities (excluding short-term investments) aggregated $121,342,699 and $131,387,188, respectively.

**C. Related Parties**

**Management Agreement.** Under the Investment Management Agreement with Deutsche Investment Management Americas Inc. ("DIMA" or the "Advisor"), an indirect, wholly owned subsidiary of Deutsche Bank AG, the Advisor directs the investments of the Fund in accordance with its investment objectives, policies and restrictions. The Advisor determines the securities, instruments and other contracts relating to        investments to be purchased, sold or entered into by the Fund.

Under the Investment Management Agreement with the Advisor, the Fund pays a monthly management fee based on the Fund's average daily net assets, computed and accrued daily and payable monthly, at the following annual rates:

| First $250 million of the Fund's average daily net assets | 1.015% |
|-----------------------------------------------------------|--------|
| Next $500 million of such net assets                      | .990%  |
| Over $750 million of such net assets                      | .965%  |

Accordingly, for the six months ended April 30, 2008, the fee pursuant to the Investment Management Agreement was equivalent to an annualized effective rate of 1.01% of the Fund's average daily net assets.

For the period from November 1, 2007 through September 30, 2008, the Advisor has contractually agreed to waive all or a portion of its management fee and reimburse or pay certain operating expenses of the Fund (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expenses) to the extent necessary to maintain the operating expenses of Class B shares at 2.71%.

For the period from November 1, 2007 through April 13, 2009, the Advisor has contractually agreed to waive all or a portion of its management fee and reimburse or pay certain operating expenses of the Fund (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expenses) to the extent necessary to maintain the operating expenses of Class S shares at 1.55%.

Effective March 3, 2008 (commencement of operations of Institutional Class shares) through September 30, 2008, the Advisor has contractually agreed to waive all or a portion of its management fee and reimburse or pay certain operating expenses of the Fund (excluding certain expenses such as extraordinary expenses, taxes, brokerage and interest expenses) to the extent necessary to maintain the operating expenses of Institutional        Class shares at 1.71%.

**Administration Fee.** Pursuant to an Administrative Services Agreement, DIMA provides most administrative services to the Fund. For all services provided under the Administrative Services Agreement, the Fund pays the Advisor an annual fee ("Administration Fee") of 0.10% of the Fund's average daily net assets, computed and accrued daily and payable monthly. For the six months ended April 30, 2008, the        Advisor received an Administration Fee of $196,895, of which $31,902 is unpaid.

**Service Provider Fees.** DWS Scudder Investments Service Company ("DWS-SISC"), an affiliate of the Advisor, is the transfer agent, dividend-paying agent and shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement between DWS-SISC and DST Systems, Inc. ("DST"), DWS-SISC has delegated certain transfer agent, dividend-paying agent and shareholder service agent functions to DST.        DWS-SISC compensates DST out of the shareholder servicing fee it receives from the Fund. For the six months ended April 30, 2008 and for the period from March 3, 2008 (commencement of operations) to April 30, 2008 for Institutional Class shares, the amounts charged to the Fund by DWS-SISC were as follows:

| **Services to Shareholders** | **Total Aggregated** | **Unpaid at April 30, 2008** |
|------------------------------|----------------------|-----------------------------------|
| Class A                      | $ 43,009             | $ 16,120                          |
| Class B                      | 7,055                | 2,949                             |
| Class C                      | 10,441               | 4,561                             |
| Class S                      | 120,750              | 88,507                            |
| Institutional Class          | 427                  | 427                               |
|                         | **$ 181,682**        | **$ 112,564**                     |

**Distribution and Service Fees**. Under the Fund's Class B and Class C 12b-1 Plans, DWS Scudder Distributors, Inc. ("DWS-SDI"), an affiliate of the Advisor, receives a fee ("Distribution Fee") of 0.75% of average daily net assets of each of Class B and C shares. In accordance with the Fund's Underwriting and Distribution Services Agreement, DWS-SDI enters into related selling group        agreements with various firms at various rates for sales of Class B and C shares. For the six months ended April 30, 2008, the Distribution Fee was as follows:

| **Distribution Fee** | **Total Aggregated** | **Unpaid at April 30, 2008** |
|----------------------|----------------------|-----------------------------------|
| Class B              | $ 28,329             | $ 3,952                           |
| Class C              | 49,668               | 7,669                             |
|                 | **$ 77,997**         | **$ 11,621**                      |

In addition, DWS-SDI provides information and administrative services for a fee ("Service Fee") to Class A, B and C shareholders at an annual rate of up to 0.25% of average daily net assets for each such class. DWS-SDI in turn has various agreements with financial services firms that provide these services and pays these fees based upon the assets of shareholder accounts the firms service. For the six months ended April 30,        2008, the Service Fee was as follows:

| **Service Fee** | **Total Aggregated** | **Unpaid at April 30, 2008** | **Annualized Effective Rate** |
|-----------------|----------------------|-----------------------------------|------------------------------------|
| Class A         | $ 143,961            | $ 42,151                          | .23%                               |
| Class B         | 9,241                | 2,193                             | .24%                               |
| Class C         | 16,423               | 4,668                             | .25%                               |
|            | **$ 169,625**        | **$ 49,012**                      |                               |

**Underwriting Agreement and Contingent Deferred Sales Charge.** DWS-SDI is the principal underwriter for the Fund. Underwriting commissions paid in connection with the distribution of Class A shares for the six months ended April 30, 2008, aggregated $12,344.

In addition, DWS-SDI receives any contingent deferred sales charge ("CDSC") from Class B share redemptions occurring within six years of purchase and Class C share redemptions occurring within one year of purchase. There is no such charge upon redemption of any share appreciation or reinvested dividends. The CDSC is based on declining rates ranging from 4% to 1% for Class B and 1% for Class C, of the value of the shares        redeemed. For the six months ended April 30, 2008, the CDSC for Class B and Class C shares aggregated $18,439 and $4,037, respectively. A deferred sales charge of up to 1% is assessed on certain redemptions of Class A shares. For the six months ended April 30, 2008, there was no CDSC charged for Class A shares.

**Typesetting and Filing Service Fees.** Under an agreement with DIMA, DIMA is compensated for providing typesetting and certain regulatory filing services to the Fund. For the six months ended April 30, 2008, the amount charged to the Fund by DIMA included in the Statement of Operations under "reports to shareholders" aggregated $13,074, of which $402 is unpaid.

**Directors' Fees and Expenses.** The Fund paid each Director not affiliated with the Advisor retainer fees plus specified amounts for various committee services and for the Board Chairperson.

In connection with the board consolidation on April 1, 2008, of the two DWS Funds Boards of Directors, certain Independent Board Members retired prior to their normal retirement date, and received a one-time retirement benefit. DIMA has agreed to reimburse the Funds for the cost of this benefit. During the period ended April 30, 2008, the Fund paid its allocated portion of the retirement benefit of $1,977 to the non-continuing        Independent Board Members, and the Fund was reimbursed by DIMA for this payment.

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

**D. Investing in Emerging Markets**

Investing in emerging markets may involve special risks and considerations not typically associated with investing in the United States of America. These risks include revaluation of currencies, high rates of inflation, repatriation restrictions on income and capital, and future adverse political, social and economic developments. Moreover, securities issued in these markets may be less liquid, subject to government ownership        controls or delayed settlements and may have prices more volatile than those of comparable securities of issuers in the United States of America.

**E. Line of Credit**

The Fund and other affiliated funds (the ``Participants'') share in a $490 million revolving credit facility administered by JPMorgan Chase Bank, N.A. for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities. The Participants are charged an annual commitment fee which is allocated based on net assets, among each of the        Participants. Interest is calculated at the Federal Funds Rate plus 0.35 percent. The Fund may borrow up to a maximum of 25 percent of its net assets under the agreement.

**F. Share Transactions**

The following table summarizes share and dollar activity in the Fund:

|                                                               | **Six Months Ended April 30, 2008** | **Year Ended October 31, 2007** |
|--------------------------------------------------------------------|-------------------------------------|--------------------------------------|
|                                                               | **Shares**                          | **Dollars**                          | **Shares** | **Dollars** |
| **Shares sold**                                                    |
| Class A                                                            | 667,943                             | $ 16,271,660                         | 1,240,214 | $ 30,999,247 |
| Class B                                                            | 63,831                              | 1,502,583                            | 143,735 | 3,466,940 |
| Class C                                                            | 200,230                             | 4,481,613                            | 254,938 | 6,137,613 |
| Class S                                                            | 1,308,015                           | 32,293,324                           | 1,475,887 | 38,071,641 |
|                                                               |                                |                                 |   |   |
| * *                                                           |                                | **$ 86,436,014**                     |   | **$ 78,675,441** |
| **Shares issued to shareholders in reinvestment of distributions** |
| Class A                                                            | 1,011,530                           | $ 23.781,067                         | 952,329 | $ 19,941,768 |
| Class B                                                            | 78,166                              | 1,701,686                            | 71,452 | 1,418,339 |
| Class C                                                            | 128,217                             | 2,804,107                            | 138,572 | 2,758,978 |
| Class S                                                            | 1,962,206                           | 46,678,750                           | 1,994,227 | 42,158,711 |
| * *                                                           |                                | **$ 74,965,610**                     |   | **$ 66,277,796** |
| **Shares redeemed**                                                |
| Class A                                                            | (1,109,405)                         | $ (26,383,203)                       | (1,036,881) | $ (24,857,312) |
| Class B                                                            | (144,190)                           | (3,159,341)                          | (146,428) | (3,329,061) |
| Class C                                                            | (171,423)                           | (3,634,239)                          | (374,498) | (8,581,725) |
| Class S                                                            | (2,274,926)                         | (53,162,142)                         | (2,429,713) | (58,525,119) |
|                                                               |                                |                                 |   |   |
| * *                                                           |                                | **$ (86,413,890)**                   |   | **$ (95,293,217)** |
| **Redemption fees**                                                | **$ 11,021**                        |                                 | **$ 11,461** |
| **Net increase (decrease)**                                        |
| Class A                                                            | 570,068                             | $ 13,675,366                         | 1,155,662 | $ 26,087,466 |
| Class B                                                            | (2,193)                             | 44,985                               | 68,759 | 1,557,249 |
| Class C                                                            | 157,024                             | 3,652,196                            | 19,012 | 315,223 |
| Class S                                                            | 995,295                             | 25,814,339                           | 1,040,401 | 21,711,543 |
|                                                               |                                |                                 |   |   |
| * *                                                           |                                | **$ 74,998,755**                     |   | **$ 49,671,481** |

**Summary of Management Fee Evaluation by Independent Fee Consultant**

October 26, 2007

Pursuant to an Order entered into by Deutsche Investment Management Americas and affiliates (collectively, "DeAM") with the Attorney General of New York, I, Thomas H. Mack, have been appointed the Independent Fee Consultant for the DWS Scudder Funds. My duties include preparing an annual written evaluation of the management fees DeAM charges the Funds, considering among other factors the management fees charged by other mutual fund        companies for like services, management fees DeAM charges other clients for like services, DeAM's costs of supplying services under the management agreements and related profit margins, possible economies of scale if a Fund grows larger, and the nature and quality of DeAM's services, including fund performance. This report summarizes my evaluation for 2007, including my qualifications, the evaluation process for each of the DWS Scudder Funds, consideration of certain complex-level        factors, and my conclusions.

**Qualifications**

For more than 30 years I have served in various professional capacities within the investment management business. I have held investment analysis and advisory positions, including securities analyst, portfolio strategist and director of investment policy with a large investment firm. I have also performed business management functions, including business development, financial management and marketing research and        analysis.

Since 1991, I have been an independent consultant within the asset management industry. I have provided services to over 125 client organizations, including investment managers, mutual fund boards, product distributors and related organizations. Over the past several years I have completed a number of assignments for mutual fund boards, specifically including assisting boards with management contract renewal.

I hold a Master of Business Administration degree, with highest honors, from Harvard University; and Master of Science and Bachelor of Science (highest honors) degrees from the University of California at Berkeley. I am an independent director and audit committee financial expert for two closed-end mutual funds, serve on the board of directors of a private market research company, and have served in various leadership and financial        oversight capacities with non-profit organizations.

**Evaluation of Fees for each DWS Scudder Fund**

My work focused primarily on evaluating, fund-by-fund, the fees charged to each of the 136 Fund portfolios in the DWS Scudder Fund family. For each Fund, I considered each of the key factors mentioned above, as well as any other relevant information. In doing so I worked closely with the Funds' Independent Directors in their annual contract renewal process, as well as in their approval of contracts for several new funds (documented        separately).

In evaluating each Fund's fees, I reviewed comprehensive materials provided by or on behalf of DeAM, including expense information prepared by Lipper Analytical, comparative performance information, profitability data, manager histories, and other materials. I also accessed certain additional information from the Lipper, Strategic Insight, and Morningstar databases and drew on my industry knowledge and experience.

To facilitate evaluating this considerable body of information, I prepared for each Fund a document summarizing the key data elements in each area as well as additional analytics discussed below. This made it possible to consider each key data element in the context of the others.

In the course of contract renewal, DeAM agreed to implement a number of fee and expense adjustments requested by the Independent Directors which will favorably impact future fees and expenses, and my evaluation includes the effects of these changes.

**Fees and Expenses Compared with Other Funds**

The competitive fee and expense evaluation for each fund focused on two primary comparisons:

The Fund's contractual management fee (the advisory fee plus the administration fee where applicable) compared with those of a group of typically 12-15 funds in the same Lipper investment category (e.g. Large Capitalization Growth) having similar distribution arrangements and being of similar size.

The Fund's total expenses compared with a broader universe of funds from the same Lipper investment category and having similar distribution arrangements.

These two comparisons provide a view of not only the level of the fee compared with funds of similar scale but also the total expense the Fund bears for all the services it receives, in comparison with the investment choices available in the Fund's investment category and distribution channel. The principal figure-of-merit used in these comparisons was the subject Fund's percentile ranking against peers.

**DeAM's Fees for Similar Services to Others**

DeAM provided management fee schedules for all of its US domiciled fund and non-fund investment management accounts in any of the investment categories where there is a DWS Scudder Fund. These similar products included the other DWS Scudder Funds, non-fund pooled accounts, institutional accounts and sub-advisory accounts. Using this information, I calculated for each Fund the fee that would be charged to each similar product, at the        subject Fund's asset level.

Evaluating information regarding non-fund products is difficult because there are varying levels of services required for different types of accounts, with mutual funds generally requiring considerably more regulatory and administrative types of service as well as having more frequent cash flows than other types of accounts. Also, while mutual fund fees for similar fund products can be expected to be similar, there will be some        differences due to different pricing conditions in different distribution channels (e.g. retail funds versus those used in variable insurance products), differences in underlying investment processes and other factors.

**Costs and Profit Margins**

DeAM provided a detailed profitability analysis for each Fund. After making some adjustments so that the presentation would be more comparable to the available industry figures, I reviewed profit margins from investment management alone, from investment management plus other fund services (excluding distribution) provided to the Funds by DeAM (principally shareholder services), and DeAM profits from all sources, including        distribution. A later section comments on overall profitability.

**Economies of Scale**

Economies of scale — an expected decline in management cost per dollar of fund assets as fund assets grow — are very rarely quantified and documented because of inherent difficulties in collecting and analyzing relevant data. However, in virtually every investment category that I reviewed, larger funds tend to have lower fees and lower total expenses than smaller funds. To see how each DWS Scudder Fund compares with this        industry observation, I reviewed:

The trend in Fund assets over the last five years and the accompanying trend in total expenses. This shows if the Fund has grown and, if so, whether total expense (management fees as well as other expenses) have declined as a percent of assets.

Whether the Fund has break-points in its management fee schedule, the extent of the fee reduction built into the schedule and the asset levels where the breaks take effect, and in the case of a sub-advised Fund how the Fund's break-points compare with those of the sub-advisory fee schedule.

How the Fund's contractual fee schedule compares with trends in the industry data. To accomplish this, I constructed a chart showing how actual latest-fiscal-year contractual fees of the Fund and of other similar funds relate to average fund assets, with the subject Fund's contractual fee schedule superimposed.

**Quality of Service — Performance**

The quality-of-service evaluation focused on investment performance, which is the principal result of the investment management service. Each Fund's performance was reviewed over the past 1, 3, 5 and 10 years, as applicable, and compared with that of other funds in the same investment category and with a suitable market index.

In addition, I calculated and reviewed risk-adjusted returns relative to an index of similar mutual funds' returns and a suitable market index. The risk-adjusted returns analysis provides a way of determining the extent to which the Fund's return comparisons are mainly the product of investment value-added (or lack thereof) or alternatively taking considerably more or less risk than is typical in its investment category.

I also received and considered the history of portfolio manager changes for each Fund, as this provided an important context for evaluating the performance results.

**Complex-Level Considerations**

While this evaluation was conducted mainly at the individual fund level, there are some issues relating to the reasonableness of fees that can alternatively be considered across the whole fund complex:

I reviewed DeAM's profitability analysis for all DWS Scudder funds, with a view toward determining if the allocation procedures used were reasonable and how profit levels compared with public data for other investment managers.

I considered whether DeAM and affiliates receive any significant ancillary or "fall-out" benefits that should be considered in interpreting the direct profitability results. These would be situations where serving as the investment manager of the Funds is beneficial to another part of the Deutsche Bank organization.

I considered how aggregated DWS Scudder Fund expenses had varied over the years, by asset class and in the context of trends in asset levels.

I reviewed the structure of the DeAM organization, trends in staffing levels, and information on compensation of investment management and other professionals compared with industry data.

**Findings**

Based on the process and analysis discussed above, which included reviewing a wide range of information from management and external data sources and considering among other factors the fees DeAM charges other clients, the fees charged by other fund managers, DeAM's costs and profits associated with managing the Funds, economies of scale, possible fall-out benefits, and the nature and quality of services provided, in my opinion the        management fees charged the DWS Scudder Funds are reasonable.

        Thomas H. Mack

**Account Management Resources**

|                       |
|----------------------------|
| **For More Information**   | The automated telephone system allows you to access personalized account information and obtain information on other DWS funds using either your voice or your telephone keypad. Certain account types within Classes A, B, C and S also have the ability to purchase, exchange or redeem shares using this system.For more information, contact your financial advisor. You may also access our automated telephone system or speak with a DWS Scudder representative by calling the appropriate number below:
**For shareholders of Classes A, B, C and Institutional Class:**
(800) 621-1048
**For shareholders of Class S:**
(800) 728-3337 |
| **Web Site**               | **www.dws-scudder.com**
View your account transactions and balances, trade shares, monitor your asset allocation, and change your address, 24 hours a day.**Obtain prospectuses and applications,**blank forms, interactive worksheets, news about DWS funds, subscription to fund updates by e-mail, retirement planning information, and more. |
| **Written Correspondence** | **DWS Scudder**
PO Box 219151                    Kansas City, MO 64121-9151 |
| **Proxy Voting**           | A description of the fund's policies and procedures for voting proxies for portfolio securities and information about how the fund voted proxies related to its portfolio securities during the 12-month period endedJune 30is available on our Web site — www.dws-scudder.com (click on "proxy voting"at the bottom                of the page) — or on the SEC's Web site — www.sec.gov. To obtain a written copy of the fund's policies and procedures without charge, upon request, call us toll free at (800) 621-1048. |
| **Principal Underwriter**  | If you have questions, comments or complaints, contact:
**DWS Scudder Distributors, Inc.**
222 South Riverside Plaza                    Chicago, IL 60606-5808(800) 621-1148 |

|              | **Class A** | **Class B** | **Class C** | **Class S** | **Institutional Class** |
|-------------------|-------------|-------------|-------------|-------------|-------------------------|
| **Nasdaq Symbol** | SEKAX       | SEKBX       | SEKCX       | SEMGX       | SEKIX                   |
| **CUSIP Number**  | 23337R 106  | 23337R 205  | 23337R 304  | 23337R 502  | 23337R 619              |
| **Fund Number**   | 479         | 679         | 779         | 2079        | 1479                    |

**Privacy Statement**

This privacy statement is issued by DWS Scudder Distributors, Inc., Deutsche Investment Management Americas Inc., DeAM Investor Services, Inc., DWS Trust Company and the DWS Funds.

We never sell customer lists or individual client information. **We consider privacy fundamental to our client relationships and adhere to the policies and practices described below to protect current and former clients' information.** Internal policies are in place to protect confidentiality, while allowing client needs to be served. Only individuals who need to do so in carrying out their job        responsibilities may access client information. We maintain physical, electronic and procedural safeguards that comply with federal and state standards to protect confidentiality. These safeguards extend to all forms of interaction with us, including the Internet.

In the normal course of business, clients give us nonpublic personal information on applications and other forms, on our Web sites, and through transactions with us or our affiliates. Examples of the nonpublic personal information collected are name, address, Social Security number and transaction and balance information. To be able to serve our clients, certain of this client information is shared with affiliated and nonaffiliated        third-party service providers such as transfer agents, custodians, and broker-dealers to assist us in processing transactions and servicing your account with us. In addition, we may disclose all of the information we collect to companies that perform marketing services on our behalf or to other financial institutions with which we have joint marketing agreements. The organizations described above that receive client information may only use it for the purpose designated by the DWS        Scudder Companies listed in the first paragraph of this Privacy Statement.

We may also disclose nonpublic personal information about you to other parties as required or permitted by law. For example, we are required or we may provide information to government entities or regulatory bodies in response to requests for information or subpoenas, to private litigants in certain circumstances, to law enforcement authorities, or any time we believe it necessary to protect the firm.

Questions on this policy may be sent to:

DWS Scudder        Attention: Correspondence — Chicago        P.O. Box 219415        Kansas City, MO 64121-9415

September 2007

**Notes**

**Notes**

----

 

| **ITEM 2.** | **CODE OF ETHICS**                         |
|-------------|--------------------------------------------|
|        |                                       |
|        | Not applicable.                            |
|        |                                       |
| **ITEM 3.** | **AUDIT COMMITTEE FINANCIAL EXPERT**       |
|        |                                       |
|        | Not applicable.                            |
|        |                                       |
| **ITEM 4.** | **PRINCIPAL ACCOUNTANT FEES AND SERVICES** |
|        |                                       |
|        | Not applicable.                            |

 

| **ITEM 5.** | **AUDIT COMMITTEE OF LISTED REGISTRANTS**                                                             |
|-------------|-------------------------------------------------------------------------------------------------------|
|        |                                                                                                  |
|        | Not Applicable                                                                                        |
|        |                                                                                                  |
| **ITEM 6.** | **SCHEDULE OF INVESTMENTS**                                                                           |
|        |                                                                                                  |
|        | Not Applicable                                                                                        |
|        |                                                                                                  |
| **ITEM 7.** | **DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES** |
|        |                                                                                                  |
|        | Not applicable.                                                                                       |
|        |                                                                                                  |
| **ITEM 8.** | **PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES**                                  |
|        |                                                                                                  |
|        | Not applicable.                                                                                       |

 

| **ITEM 9.** | **PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS** |
|-------------|----------------------------------------------------------------------------------------------------------|
|        |                                                                                                     |
|        | Not Applicable.                                                                                          |

 

| **ITEM 10.** | **SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS**                                                                                                                                                                                                                                                                                                                                                                          |
|--------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|         |                                                                                                                                                                                                                                                                                                                                                                                                                             |
|         | The primary function of the Nominating and Governance Committee is to identify and recommend individuals for membership on the Board and oversee the administration of the Board Governance Guidelines. Shareholders may recommend candidates for Board positions by forwarding their correspondence by U.S. mail or courier service to Chairman of the Board, P.O.                            Box 100176, Cape Coral, FL 33910. |
|         |                                                                                                                                                                                                                                                                                                                                                                                                                             |
| **ITEM 11.** | **CONTROLS AND PROCEDURES**                                                                                                                                                                                                                                                                                                                                                                                                      |
|         |                                                                                                                                                                                                                                                                                                                                                                                                                             |
|         | (a)        The Chief Executive and Financial Officers concluded that the Registrant’s Disclosure Controls and Procedures are effective based on the evaluation of the Disclosure Controls and Procedures as of a date within 90 days of the filing date of this report.                                                                                                                 |
|         |                                                                                                                                                                                                                                                                                                                                                                                                                             |
|         | (b)        There have been no changes in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal controls over                            financial reporting.                       |
|         |                                                                                                                                                                                                                                                                                                                                                                                                                             |

| **ITEM 12.** | **EXHIBITS**                                                                                                                                                                                                |
|--------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|         |                                                                                                                                                                                                        |
|         | (a)(1)   Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT.                             |
|         |                                                                                                                                                                                                        |
|         | (b)       Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is furnished and attached hereto as Exhibit 99.906CERT. |

 

 

 

 

----

Form N-CSRS Item F

 

**SIGNATURES**

 

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

 

| Registrant: | DWS Emerging Markets Equity Fund, a series of DWS International Fund, Inc. |
|-------------|----------------------------------------------------------------------------|

 

| By: | /s/Michael G. Clark |
|-----|---------------------|

|   | Michael G. Clark |
|--------|------------------|

President

 

| Date: | July 2, 2008 |
|-------|--------------|

 

 

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

 

| Registrant: | DWS Emerging Markets Equity Fund, a series of DWS International Fund, Inc. |
|-------------|----------------------------------------------------------------------------|

 

| By: | /s/Michael G. Clark |
|-----|---------------------|

|   | Michael G. Clark |
|--------|------------------|

President

 

| Date: | July 2, 2008 |
|-------|--------------|

 

 

| By: | /s/Paul Schubert |
|-----|------------------|

|   | Paul Schubert |
|--------|---------------|

Chief Financial Officer and Treasurer

 

| Date: | July 2, 2008 |
|-------|--------------|