UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

 

**FORM N-Q**

**QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED**

**MANAGEMENT INVESTMENT COMPANY**

**_______________________________**

Investment Company Act file number  811-06071

DWS Institutional Funds

(Exact name of registrant as specified in charter)

 

345 Park Avenue

New York, NY  10154

(Address of principal executive offices)             (Zip code)

 

Paul Schubert

345 Park Avenue

New York, NY  10154-0004

(Name and address of agent for service)

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

Date of fiscal year end:  09/30

Date of reporting period: 06/30/08

 

ITEM 1.  SCHEDULE OF INVESTMENTS

 

| Investment Portfolio | **as of June 30, 2008  (Unaudited)** |
|----------------------|--------------------------------------|

 

 

**DWS Inflation Protected Plus Fund**

 

|   | **Principal****Amount ($)** |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | **Value ($)** |
|--------|-----------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------|
|        |
|   | **Corporate Bonds 3.2%**    |  
**Financials**

 

 

 

 

 

Pacific Life Global Funding, 144A, 6.057% *, 6/2/2018 (Cost $5,000,000)

 

 

5,000,000 

 

**5,000,000**

 

**US Treasury Obligations 94.0%**

 
US Treasury Bill, 1.08% **, 7/17/2008 (a) 

 

 

1,177,000 

 

1,176,261 

US Treasury Inflation-Indexed Bonds:

 
 

1.75%, 1/15/2028 

 

7,432,845 

 

7,071,653 

 

2.375%, 1/15/2025 

 

33,613,480 

 

35,252,137 

 

3.375%, 4/15/2032 

 

6,231,655 

 

7,841,658 

US Treasury Inflation-Indexed Notes:

 
 

0.875%, 4/15/2010 

 

9,636,705 

 

9,803,092 

 

1.625%, 1/15/2018 

 

8,253,021 

 

8,383,906 

 

1.875%, 7/15/2013 

 

14,032,920 

 

14,835,435 

 

 

 

 

 

2.0%, 4/15/2012 

 

16,670,430 

 

17,587,304 

 

2.0%, 1/15/2014 

 

5,811,950 

 

6,170,204 

 

2.0%, 1/15/2016 

 

16,069,779 

 

16,925,993 

 

3.0%, 7/15/2012 

 

21,501,900 

 

23,613,452 

**Total US Treasury Obligations** (Cost $148,424,743)

 

**148,661,095**

 

**Shares**

 

**Value ($)**

 

**Cash Equivalents 1.5%**

 
Cash Management QP Trust, 2.49%  (b)(Cost $2,326,160)

 

 

2,326,160

 

**2,326,160**

 

**% of****Net Assets**

 

**Value ($)**

**Total Investment Portfolio** (Cost $155,750,903)† 

98.7

 

**155,987,255**

**Other Assets and Liabilities, Net**

1.3

 

**2,060,040**

**Net Assets**

100.0

 

**158,047,295**

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

***

*Floating rate notes are securities whose yields vary with a designated market index or market rate, such as the coupon-equivalent of the US Treasury bill rate. These securities are shown at their current rate as of June 30, 2008.*

****

*Annualized yield at time of purchase; not a coupon rate.*

*†*

*The cost for federal income tax purposes was $156,100,510.  At June 30, 2008, net unrealized depreciation for all securities based on tax cost was $113,255.  This consisted of aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost of $991,318 and aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value of $1,104,573.*

*(a)*

*At June 30, 2008, this security has been pledged, in whole or in part, to cover initial margin requirements for open futures contracts.*

*(b)*

*Affiliated fund managed by Deutsche Investment Management Americas Inc. The rate shown is the annualized seven-day yield at period end.*

*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.*

 

 

 

 

 

 

 

 

*At June 30, 2008, open futures contracts purchased were as follows:*

**Futures**

 

**Expiration****Date**

 

**Contracts**

 

**Aggregated****Face****Value ($)**

 

**Value ($)**

 

**Unrealized****Appreciation/****(Depreciation) ($)**

 

10 Year Australian Bond 

 

9/15/2008 

 

1 

 

90,734 

 

92,722 

 

1,988

 
10 Year Canadian Government Bond 

 

9/19/2008 

 

48 

 

5,562,543 

 

5,529,626 

 

(32,917)

 
10 Year US Treasury Note 

 

9/19/2008 

 

160 

 

18,233,089 

 

18,227,501 

 

(5,588)

 
United Kingdom Treasury Bond 

 

9/26/2008 

 

45 

 

9,508,455 

 

9,356,812 

 

(151,643)

 
**Total net unrealized depreciation**

 

**(188,160)**

 
 

*At June 30, 2008, open futures contracts sold were as follows:*

 

 

 

 

**Futures**

 

 

**Expiration****Date**

 

**Contracts**

 

**Aggregated****Face****Value ($)**

 

**Value ($)**

 

**Unrealized****Appreciation/****(Depreciation) ($)**

 

10 Year Federal Republic of Germany Bond 

 

9/8/2008 

 

104 

 

18,244,935 

 

18,105,054 

 

139,881

 
10 Year Japanese Government Bond 

 

9/10/2008 

 

10 

 

12,652,267 

 

12,756,039 

 

(103,772)

 
**Total net unrealized appreciation**

 

**36,109**

 
 

*The Fund had the following open forward foreign currency exchange contracts as of June 30, 2008:*

***Contracts to Deliver*****

***In Exchange For*****

***Settlement Date*****

***Unrealized***

***Appreciation***

***(US $)*****

 
*USD***

*6,128,655***

*EUR***

*3,975,000***

*9/17/2008***

*104,851***

 
*USD***

*1,942,313***

*JPY***

*207,272,000***

*9/17/2008***

*18,020***

 
*USD***

*10,640,327***

*NOK***

*55,451,000***

*9/17/2008***

*161,749***

 
*USD***

*12,846,977***

*SGD***

*17,557,000***

*9/17/2008***

*104,678***

 
***Total unrealized appreciation*****

 **

 **

***389,298*****

 
 

 

 

 

 

 

 
***Contracts to Deliver*****

***In Exchange For*****

***Settlement Date*****

***Unrealized Depreciation***

***(US $)*****

 
*AUD***

*5,116,000***

*USD***

*4,782,386***

*9/17/2008***

*(71,964)***

 
*CHF***

*5,293,000***

*USD***

*5,095,449***

*9/17/2008***

*(89,478)***

 
*GBP***

*1,380,000***

*USD***

*2,684,790***

*9/17/2008***

*(47,544)***

 
*SEK***

*7,107,000***

*USD***

*1,171,999***

*9/17/2008***

*(3,008)***

 
***Total unrealized depreciation*****

 **

 **

***(211,994)*****

 
 

***Currency Abbreviations*****

 

 

*AUD***

*Australian Dollar***

*NOK***

*Norwegian Krone***

 
*CHF***

*Swiss Franc***

*SEK***

*Swedish Krona***

 
*EUR***

*Euro***

*SGD***

*Singapore Dollar***

 
*GBP***

*British Pound***

*USD***

*United States Dollar***

 
*JPY***

*Japanese Yen***

* *

* *

 
 

**ITEM 2.**

**CONTROLS AND PROCEDURES**

 

 

 

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

 

 

 

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

 

 

**ITEM 3.**

**EXHIBITS**

 

 

 

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

 

 

 

 

 

**SIGNATURES**

 

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

 

Registrant: 

DWS Inflation Protected Plus Fund, a series of DWS Institutional Funds

 

By:

/s/Michael G. Clark

 

Michael G. Clark

President

 

Date:

August 20, 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 Inflation Protected Plus Fund, a series of DWS Institutional Funds

 

By:

/s/Michael G. Clark

 

Michael G. Clark

President

 

Date:

August 20, 2008

 

 

By:

/s/Paul Schubert

 

Paul Schubert

Chief Financial Officer and Treasurer

 

Date:                                        August 20, 2008

 

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