UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

 

**FORM N-Q**

**QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED**

**MANAGEMENT INVESTMENT COMPANY**

**_______________________________**

Investment Company Act file number  811-04760

DWS Advisor Funds

(Exact name of registrant as specified in charter)

 

345 Park Avenue

New York, NY  10154

(Address of principal executive offices)             (Zip code)

 

Paul Schubert

345 Park Avenue

New York, NY  10154-0004

(Name and address of agent for service)

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

Date of fiscal year end:  10/31

Date of reporting period: 1/31/09

 

ITEM 1.  SCHEDULE OF INVESTMENTS

 

| Investment Portfolio | **as of January 31, 2009  (Unaudited)** |
|----------------------|-----------------------------------------|

 

 

**DWS Short Duration Fund**

 

 

|   | **Principal****Amount ($)** |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | **Value ($)** |
|--------|-----------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------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|        |
|   | **Corporate Bonds 19.6%**   |  
**Consumer Discretionary 1.8%**

 
Comcast Cable Communications LLC, 6.875%, 6/15/2009  

 

 

1,295,000 

 

1,307,782 

Time Warner Cable, Inc., 5.4%, 7/2/2012  

 

 

550,000 

 

533,152 

Viacom, Inc., 5.75%, 4/30/2011  

 

 

1,185,000 

 

1,133,383 

 

**2,974,317**

**Consumer Staples 2.4%**

 
CVS Caremark Corp.:

 
 

2.503% **, 6/1/2010 

 

2,252,000 

 

2,147,757 

 

6.302%, 6/1/2037 

 

915,000 

 

498,675 

 

 

 

H.J. Heinz Co., 5.35%, 7/15/2013  

 

 

700,000 

 

706,587 

Procter & Gamble Co., 4.6%, 1/15/2014  

 

 

600,000 

 

635,119 

 

**3,988,138**

**Energy 0.7%**

 
ConocoPhillips, 4.75%, 2/1/2014  

 

 

810,000 

 

811,228 

Enterprise Products Operation LP, 7.5%, 2/1/2011  

 

 

80,000 

 

81,618 

Hess Corp., 7.0%, 2/15/2014  

 

 

230,000 

 

233,266 

 

**1,126,112**

**Financials 9.0%**

 
American Express Bank, FSB, 5.55%, 10/17/2012

 

 

1,000,000 

 

960,909 

American General Finance Corp., Series H, 4.625%, 9/1/2010  

 

 

625,000 

 

371,269 

Australia & New Zealand Banking Group Ltd., Series 1150, 4.066% **, 3/25/2018  

 

 

400,000 

 

374,584 

Bank of New York Mellon Corp., Series G, 4.95%, 11/1/2012  

 

 

1,200,000 

 

1,221,934 

BB&T Corp., 6.5%, 8/1/2011  

 

 

1,000,000 

 

1,025,557 

Caterpillar Financial Services Corp., Series F, 4.85%, 12/7/2012  

 

 

500,000 

 

502,548 

Countrywide Financial Corp., 5.8%, 6/7/2012  

 

 

1,000,000 

 

983,010 

Discover Financial Services, 2.629% **, 6/11/2010  

 

 

560,000 

 

478,993 

General Electric Capital Corp., Series A, 5.25%, 10/19/2012

 

 

800,000 

 

795,295 

ING Bank NV, 144A, 2.625%, 2/9/2012

 

 

1,000,000

 

997,020

Kreditanstalt fuer Wiederaufbau, 2.0%, 1/17/2012  

 

 

1,370,000 

 

1,362,823 

Merrill Lynch & Co., Inc., 5.77%, 7/25/2011  

 

 

600,000 

 

596,003 

Morgan Stanley, Series F, 5.625%, 1/9/2012  

 

 

600,000 

 

563,383 

Rio Tinto Finance (USA) Ltd., 5.875%, 7/15/2013  

 

 

800,000 

 

703,778 

Simon Property Group LP, (REIT), 5.375%, 6/1/2011  

 

 

2,305,000 

 

2,050,595 

Sovereign Bancorp., Inc., 4.8%, 9/1/2010  

 

 

500,000 

 

484,453 

Verizon Wireless Capital LLC, 144A, 5.25%, 2/1/2012

 

 

750,000

 

739,338

Xstrata Finance Canada Ltd., 144A, 5.5%, 11/16/2011  

 

 

613,000 

 

528,597 

 

**14,740,089**

**Industrials 1.3%**

 
Burlington Northern Santa Fe Corp., 7.0%, 2/1/2014  

 

 

1,250,000 

 

1,324,708 

General Dynamics Corp., 5.25%, 2/1/2014  

 

 

750,000 

 

781,239 

 

**2,105,947**

**Information Technology 1.9%**

 
Cisco Systems, Inc., 5.25%, 2/22/2011  

 

 

850,000 

 

888,996 

Tyco Electronics Group SA, 6.0%, 10/1/2012  

 

 

305,000 

 

282,379 

Xerox Corp., 7.125%, 6/15/2010  

 

 

2,000,000 

 

2,002,860 

 

**3,174,235**

**Telecommunication Services 2.1%**

 
British Telecommunications PLC, 8.625%, 12/15/2010  

 

 

1,879,000 

 

1,972,843 

Telecom Italia Capital SA, 6.2%, 7/18/2011  

 

 

1,432,000 

 

1,383,025 

 

**3,355,868**

**Utilities 0.4%**

 
Commonwealth Edison Co., Series 98, 6.15%, 3/15/2012  

 

 

140,000 

 

142,314 

Duke Energy Corp., 6.3%, 2/1/2014  

 

 

540,000 

 

553,854 

 

**696,168**

**Total Corporate Bonds** (Cost $33,341,484)

 

**32,160,874**

 

**Asset-Backed 27.0%**

 
**Automobile Receivables 21.8%**

 
AmeriCredit Automobile Receivables Trust:

 
 

"A4", Series 2004-DF, 3.43%, 7/6/2011 

 

207,385 

 

196,136 

 

 

 

 

"A2", Series 2006-RM, 5.42%, 8/8/2011 

 

775,242 

 

720,020 

 

"A2", Series 2007-CM, 5.43%, 11/8/2010 

 

54,519 

 

54,480 

 

"A3A", Series 2007-DF, 5.49%, 7/6/2012 

 

550,000 

 

512,412 

AmeriCredit Prime Automobile Receivables Trust:

 
 

"A3", Series 2007-2M, 5.22%, 6/8/2012 

 

1,925,000 

 

1,716,705 

 

"A2A", Series 2007-2M, 5.34%, 11/8/2010 

 

402,453 

 

399,004 

Capital One Prime Auto Receivables Trust, "A3", Series 2007-1, 5.47%, 6/15/2011  

 

 

933,437 

 

933,029 

Credit Acceptance Auto Dealer Loan Trust, "A1A", Series 2007-2, 144A, 6.16%, 4/15/2013  

 

 

1,959,263 

 

1,820,190 

Daimler Chrysler Auto Trust, "A2A", Series 2008-B, 3.81%, 7/8/2011  

 

 

1,244,513 

 

1,203,798 

Drive Auto Receivables Trust:

 
 

"A2", Series 2006-2, 144A, 5.3%, 7/15/2011 

 

103,953 

 

103,609 

 

"A3", Series 2006-1, 144A, 5.49%, 5/15/2011 

 

44,618 

 

44,488 

GS Auto Loan Trust, "A4", Series 2006-1, 5.38%, 1/15/2014  

 

 

1,375,000 

 

1,360,521 

Household Automotive Trust:

 
 

"A4", Series 2005-1, 4.35%, 6/18/2012 

 

681,627 

 

664,385 

 

"A4", Series 2005-3, 4.94%, 11/19/2012 

 

1,440,000 

 

1,373,505 

 

"A4", Series 2006-3, 5.34%, 9/17/2013 

 

1,355,000 

 

1,257,160 

 

"A4", Series 2006-1, 5.52%, 3/18/2013 

 

1,590,000 

 

1,478,252 

Huntington Auto Trust, "A3A", Series 2008-1A, 144A, 4.81%, 4/16/2012  

 

 

3,000,000 

 

2,896,754 

Hyundai Auto Receivables Trust:

 
 

"A3", Series 2008-A, 4.93%, 12/17/2012 

 

1,975,000 

 

1,949,200 

 

"A3A", Series 2007-A, 5.04%, 1/17/2012 

 

1,685,000 

 

1,688,943 

 

"D", Series 2006-A, 5.52%, 11/15/2012 

 

303,237 

 

289,228 

LAI Vehicle Lease Securitization Trust, "A", Series 2005-A, 144A, 4.56%, 11/15/2012  

 

 

124,322 

 

124,768 

Long Beach Auto Receivables Trust, "A3", Series 2006-B, 5.17%, 8/15/2011  

 

 

416,669 

 

408,376 

Nissan Auto Receivables Owner Trust, "A4", Series 2005-C, 4.31%, 3/15/2011  

 

 

994,124 

 

993,992 

Triad Auto Receivables Owner Trust:

 
 

"A4", Series 2005-A, 4.22%, 6/12/2012 

 

590,581 

 

534,926 

 

"A4", Series 2006-A, 4.88%, 4/12/2013 

 

3,110,000 

 

2,696,791 

 

"A2", Series 2007-A, 5.35%, 3/14/2011 

 

130,378 

 

130,329 

Wachovia Auto Owner Trust:

 
 

"A4", Series 2005-A, 4.23%, 11/21/2011 

 

774,892 

 

766,073 

 

"A3A", Series 2008-A, 4.81%, 9/20/2012 

 

3,975,000 

 

3,906,941 

 

"A3", Series 2006-2A, 144A, 5.23%, 8/22/2011 

 

967,957 

 

961,904 

 

"A4", Series 2006-A, 5.38%, 3/20/2013 

 

1,635,000 

 

1,480,282 

WFS Financial Owner Trust:

 
 

"C", Series 2005-2, 4.62%, 11/19/2012 

 

1,000,000 

 

963,129 

 

"D", Series 2005-3, 4.76%, 5/17/2013 

 

710,000 

 

465,336 

World Omni Auto Receivables Trust, "A3A", Series 2007-B, 5.28%, 1/17/2012  

 

 

1,578,352 

 

1,560,998 

 

**35,655,664**

**Home Equity Loans 2.9%**

 
Carrington Mortgage Loan Trust, "A1", Series 2006-NC4, 0.439% **, 10/25/2036  

 

 

288,616 

 

278,437 

Citifinancial Mortgage Securities, Inc., "AF2", Series 2004-1, 2.645%, 4/25/2034  

 

 

175,788 

 

157,816 

Countrywide Asset-Backed Certificates, "A1B", Series 2007-S1, 5.888%, 11/25/2036  

 

 

546,298 

 

346,651 

Credit-Based Asset Servicing and Securitization LLC:

 
 

"A4", Series 2004-CB4, 5.497%, 5/25/2035 

 

40,055 

 

36,363 

 

"A2A", Series 2007-CB2, 5.891%, 2/25/2037 

 

572,102 

 

513,965 

First Franklin Mortgage Loan Asset-Backed Certificates, "A2A", Series 2007-FFC, 0.539% **, 6/25/2027  

 

 

756,827 

 

239,955 

Household Home Equity Loan Trust:

 
 

"A2F", Series 2006-4, 5.32%, 3/20/2036 

 

590,000 

 

542,540 

 

"A1F", Series 2006-4, 5.79%, 3/20/2036 

 

99,961 

 

98,138 

 

"A1F", Series 2006-3, 5.98%, 3/20/2036 

 

155,444 

 

151,716 

JPMorgan Mortgage Acquisition Corp., "AF1B", Series 2007-CH1, 5.935%, 11/25/2036  

 

 

692,886 

 

665,410 

Renaissance Home Equity Loan Trust:

 
 

 

 

 

"AF3", Series 2005-2, 4.499%, 8/25/2035 

 

568,288 

 

511,539 

 

"AF1", Series 2006-4, 5.545%, 1/25/2037 

 

204,963 

 

196,207 

 

"AF2", Series 2006-3, 5.58%, 11/25/2036 

 

522,478 

 

485,999 

 

"AF1", Series 2007-2, 5.893%, 6/25/2037 

 

527,849 

 

485,820 

Securitized Asset-Backed NIM Trust, "NIM", Series 2005-FR4, 144A, 6.0%, 1/25/2036 * 

 

 

209,756 

 

21 

Southern Pacific Secured Assets Corp., "A8", Series 1998-2, 6.37%, 7/25/2029  

 

 

60,556 

 

49,753 

 

**4,760,330**

**Miscellaneous 2.3%**

 
Caterpillar Financial Asset Trust, "A2A", Series 2008-A, 4.09%, 12/27/2010  

 

 

1,639,632 

 

1,634,930 

CNH Equipment Trust, "A3A", Series 2008-B, 4.78%, 7/16/2012  

 

 

2,280,000 

 

2,211,255 

 

**3,846,185**

**Total Asset-Backed** (Cost $47,089,130)

 

**44,262,179**

 

**Mortgage-Backed Securities Pass-Throughs 2.0%**

 
Federal Home Loan Mortgage Corp.:

 
 

5.5%, 3/1/2010 

 

125,031 

 

126,797 

 

6.0%, 11/1/2009 

 

20,516 

 

20,741 

 

7.0%, 3/1/2013 

 

36,627 

 

37,414 

Federal National Mortgage Association:

 
 

5.35% **, 9/1/2038 

 

1,432,689 

 

1,470,533 

 

6.0%,with various maturities from 6/1/2009 until 2/1/2010 

 

61,818 

 

62,210 

 

7.0%, 4/1/2038 

 

641,126 

 

674,860 

Government National Mortgage Association, 6.5%, 8/20/2034  

 

 

907,958 

 

945,128 

**Total Mortgage-Backed Securities Pass-Throughs** (Cost $3,321,334)

 

**3,337,683**

 

**Commercial and Non-Agency Mortgage-Backed Securities 24.1%**

 
ABN AMRO Mortgage Corp., "A5", Series 2003-4, 4.75%, 3/25/2033  

 

 

36,437 

 

36,364 

American Home Mortgage Investment Trust, "5A3", Series 2005-2, 5.077%, 9/25/2035  

 

 

707,642 

 

587,965 

Banc of America Commercial Mortgage, Inc., "A1", Series 2005-4, 4.432%, 7/10/2045  

 

 

414,574 

 

411,315 

Banc of America Mortgage Securities:

 
 

"3A1", Series 2003-H, 4.538% **, 9/25/2033 

 

892,707 

 

744,179 

 

"1A1", Series 2004-G, 4.717% **, 8/25/2034 

 

353,832 

 

293,029 

 

"2A2", Series 2003-1, 5.25%, 2/25/2018 

 

216,442 

 

209,919 

Bear Stearns Adjustable Rate Mortgage Trust, "A1", Series 2006-1, 4.625% **, 2/25/2036  

 

 

779,644 

 

535,041 

Bear Stearns Alternative-A Trust, "6A1", Series 2004-9, 5.471% **, 9/25/2034  

 

 

226,611 

 

130,839 

Bear Stearns Commercial Mortgage Securities, Inc.:

 
 

"A1", Series 2002-PBW1, 3.97%, 11/11/2035 

 

379,712 

 

372,139 

 

"A1", Series 2002-TOP8, 4.06%, 8/15/2038 

 

435,927 

 

423,583 

Cendant Mortgage Corp.:

 
 

"1A1", Series 2003-9, 5.25%, 11/25/2033 

 

266,718 

 

263,694 

 

"A5", Series 2003-1, 5.5%, 2/25/2033 

 

396,765 

 

390,405 

Chase Mortgage Finance Corp., "2A1", Series 2004-S3, 5.25%, 3/25/2034  

 

 

781,876 

 

748,520 

Citicorp Mortgage Securities, Inc.:

 
 

"1A1", Series 2003-5, 5.5%, 4/25/2033 

 

65,308 

 

65,291 

 

"1A1", Series 2004-8, 5.5%, 10/25/2034 

 

860,102 

 

762,536 

Citigroup Mortgage Loan Trust, Inc.:

 
 

"1A4A", Series 2006-AR7, 5.775% **, 11/25/2036 

 

838,959 

 

588,489 

 

"1CB2", Series 2004-NCM2, 6.75%, 8/25/2034 

 

610,736 

 

519,317 

Countrywide Alternative Loan Trust:

 
 

"1A1", Series 2004-2CB, 4.25%, 3/25/2034 

 

312,808 

 

273,692 

 

"2A1", Series 2004-28CB, 5.0%, 1/25/2035 

 

180,574 

 

175,629 

 

"A2", Series 2004-29CB, 5.0%, 1/25/2035 

 

316,045 

 

252,840 

 

"A2", Series 2002-18, 5.25%, 2/25/2033 

 

556,301 

 

483,139 

 

"1A1", Series 2004-J1, 6.0%, 2/25/2034 

 

75,817 

 

62,976 

 

 

 

 

"A4", Series 2002-11, 6.25%, 10/25/2032 

 

95,484 

 

92,779 

Countrywide Home Loan Mortgage Pass-Through Trust:

 
 

"A15", Series 2002-34, 4.75%, 1/25/2033 

 

448,774 

 

420,509 

 

"2A17", Series 2004-13, 5.75%, 8/25/2034 

 

612,161 

 

603,874 

Countrywide Home Loans:

 
 

"3A6", Series 2003-56, 4.49%, 12/25/2033 

 

479,538 

 

449,603 

 

"5A1", Series 2005-HY10, 5.608% **, 2/20/2036 

 

624,725 

 

322,414 

Credit Suisse First Boston Mortgage Securities Corp., "F", Series 2001-CK1, 144A, 6.65%, 12/18/2035  

 

 

1,300,000 

 

1,294,093 

First Horizon Mortgage Pass-Through Trust, "1A1", Series 2007-AR1, 5.828% **, 5/25/2037  

 

 

614,013 

 

365,097 

GMAC Commercial Mortgage Securities, Inc.:

 
 

"A2", Series 1999-C3, 7.179%, 8/15/2036 

 

2,131,697 

 

2,134,050 

 

"A1B", Series 1999-C3, 7.273%, 8/15/2036 

 

782,320 

 

783,853 

Greenwich Capital Commercial Funding Corp., "A2", Series 2007-GG9, 5.381%, 3/10/2039  

 

 

675,000 

 

521,046 

GSR Mortgage Loan Trust:

 
 

"1A2" Series 2004-7, 4.524% **, 6/25/2034 

 

248,784 

 

141,314 

 

"1A1", Series 2007-AR2, 5.775% **, 5/25/2047 

 

674,224 

 

396,832 

 

"1A2", Series 2005-AR2, 5.828% **, 4/25/2035 

 

359,752 

 

259,744 

IndyMac Index Mortgage Loan Trust, "3A1", Series 2006-AR33, 5.766% **, 1/25/2037  

 

 

347,646 

 

249,687 

JPMorgan Alternative Loan Trust, "3A1A", Series 2006-S1, 5.35%, 3/25/2036  

 

 

307,495 

 

281,477 

JPMorgan Chase Commercial Mortgage Securities Corp.:

 
 

"A2", Series 2004-PNC1, 4.555%, 6/12/2041 

 

136,993 

 

136,450 

 

"A2", Series 2005-LDP1, 4.625%, 3/15/2046 

 

280,000 

 

269,759 

 

"A2", Series 2002-C1, 4.914%, 7/12/2037 

 

803,295 

 

788,848 

JPMorgan Mortgage Trust:

 
 

"2A7", Series 2005-A8, 4.947% **, 11/25/2035 

 

990,000 

 

550,036 

 

"3A2", Series 2005-A4, 5.167% **, 7/25/2035 

 

803,873 

 

770,228 

LB-UBS Commercial Mortgage Trust:

 
 

"A2", Series 2003-C7, 4.064%, 9/15/2027 

 

1,430,392 

 

1,401,679 

 

"A3", Series 2002-C4, 4.071%, 9/15/2026 

 

606,070 

 

587,646 

 

"A3", Series 2001-C7, 5.642%, 12/15/2025 

 

636,572 

 

628,647 

MASTR Adjustable Rate Mortgages Trust, "3A6", Series 2004-13, 3.788% **, 11/21/2034  

 

 

1,640,000 

 

1,269,141 

MASTR Asset Securitization Trust, "2A1", Series 2004-4, 5.0%, 4/25/2034  

 

 

658,799 

 

638,202 

Merrill Lynch Mortgage Investors Trust, "A2", Series 2005-A5, 4.566%, 6/25/2035  

 

 

110,000 

 

62,638 

MLCC Mortgage Investors, Inc., "1A", Series 2004-1, 5.555% **, 12/25/2034  

 

 

181,819 

 

149,390 

Morgan Stanley Capital I:

 
 

"A2", Series 2005-HQ5, 4.809%, 1/14/2042 

 

1,463,055 

 

1,448,569 

 

"A2", Series 2007-HQ11, 5.359%, 2/12/2044 

 

900,000 

 

699,655 

Morgan Stanley Mortgage Loan Trust, "5A2", Series 2006-8AR, 5.416% **, 6/25/2036  

 

 

808,354 

 

661,925 

Prudential Securities Secured Financing Corp., "F", Series 1999-C2, 7.643% **, 6/16/2031  

 

 

1,500,000 

 

1,501,385 

 

 
Residential Accredit Loans, Inc.:

 
 

"A6", Series 2002-QS19, 5.125%, 12/25/2032 

 

603,366 

 

600,766 

 

"1A1", Series 2004-QS16, 5.5%, 12/25/2034 

 

527,785 

 

370,195 

Residential Asset Mortgage Products, Inc., "A4", Series 2004-SL4, 7.0%, 7/25/2032  

 

 

647,400 

 

563,440 

Residential Asset Securitization Trust:

 
 

"2A1", Series 2003-A15, 5.25%, 2/25/2034 

 

207,181 

 

204,169 

 

"A1", Series 2004-A1, 5.25%, 4/25/2034 

 

304,472 

 

207,933 

Residential Funding Mortgage Securities I, Inc., "A2", Series 2003-S3, 5.25%, 2/25/2018  

 

 

244,572 

 

243,674 

Sequoia Mortgage Trust, "4A1", Series 2007-1, 5.782% **, 9/20/2046  

 

 

891,312 

 

612,585 

Structured Asset Securities Corp., "3A2", 2003-24A, 5.144% **, 7/25/2033  

 

 

878,691 

 

465,474 

TIAA Real Estate CDO Ltd., "A4", Series 2001-C1A, 144A, 6.68%, 6/19/2031  

 

 

1,028,811 

 

1,027,877 

 

 

 

Wachovia Bank Commercial Mortgage Trust, "A1", Series 2007-C30, 5.031%, 12/15/2043  

 

 

1,858,392 

 

1,789,925 

Washington Mutual Mortgage Pass-Through Certificates:

 
 

"1A3", Series 2005-AR16, 5.102% **, 12/25/2035 

 

390,000 

 

225,509 

 

"1A3A", Series 2005-AR18, 5.253% **, 1/25/2036 

 

1,550,000 

 

833,796 

 

"A7", Series 2003-AR4, 5.26% **, 5/25/2033 

 

413,357 

 

315,170 

 

"1A3", Series 2006-AR8, 5.85% **, 8/25/2046 

 

1,165,000 

 

594,289 

Wells Fargo Mortgage-Backed Securities Trust:

 
 

"1A1", Series 2005-9, 4.75%, 10/25/2035 

 

573,400 

 

529,490 

 

"4A2", Series 2005-AR16, 4.993% **, 10/25/2035 

 

1,105,000 

 

630,670 

 

"A5", Series 2003-A, 5.501% **, 2/25/2033 

 

298,838 

 

245,680 

 

"4A1", Series 2006-AR10, 5.557% **, 7/25/2036 

 

1,680,633 

 

983,031 

 

"1A3", Series 2006-6, 5.75%, 5/25/2036 

 

1,027,189 

 

833,377 

**Total Commercial and Non-Agency Mortgage-Backed Securities** (Cost $46,806,274)

 

**39,488,521**

 

**Collateralized Mortgage Obligations 6.5%**

 
Federal Home Loan Mortgage Corp.:

 
 

"ND", Series 2715, 4.5%, 3/15/2016 

 

1,915,000 

 

1,938,851 

 

"WJ", Series 2557, 5.0%, 7/15/2014 

 

257,499 

 

259,279 

 

"QA", Series 3113, 5.0%, 11/15/2025 

 

681,539 

 

692,468 

 

"HL", Series 3176, 5.0%, 2/15/2028 

 

1,955,405 

 

1,973,362 

 

"AB", Series 3197, 5.5%, 8/15/2013 

 

722,986 

 

731,908 

 

"WB", Series 2665, 5.5%, 7/15/2027 

 

1,922,948 

 

1,943,320 

 

"QE", Series 2113, 6.0%, 11/15/2027 

 

8,820 

 

8,807 

 

"PE", Series 2123, 6.0%, 12/15/2027 

 

8,970 

 

8,961 

 

"LA", Series 1343, 8.0%, 8/15/2022 

 

208,754 

 

217,800 

 

"PK", Series 1751, 8.0%, 9/15/2024 

 

687,124 

 

698,343 

Federal National Mortgage Association:

 
 

"QK", Series 2003-37, 4.0%, 7/25/2027 

 

533,978 

 

534,044 

 

"BX", Series 2005-77, 4.5%, 7/25/2028 

 

1,667,905 

 

1,677,560 

**Total Collateralized Mortgage Obligations** (Cost $10,710,643)

 

**10,684,703**

 

**Government & Agency Obligations 18.8%**

 
**US Government Sponsored Agencies 7.5%**

 
American Express Bank, FSB, FDIC Guaranteed, 3.15%, 12/9/2011

 

 

1,000,000 

 

1,025,128 

Bank of America Corp., Series L, FDIC Guaranteed, 2.1%, 4/30/2012  

 

 

1,000,000 

 

989,969 

Bank of America NA, FDIC Guaranteed, 1.7%, 12/23/2010  

 

 

1,000,000 

 

1,002,383 

Citigroup, Inc., FDIC Guaranteed, 2.125%, 4/30/2012  

 

 

1,000,000 

 

990,436 

Federal Home Loan Bank:

 
 

1.625%, 1/21/2011 

 

1,500,000 

 

1,496,466 

 

7.125% **, 5/2/2022 

 

550,000 

 

550,000 

Federal National Mortgage Association, 2.0%, 1/9/2012  

 

 

1,000,000 

 

998,354 

General Electric Capital Corp., Series G, FDIC Guaranteed, 3.0%, 12/9/2011

 

 

1,000,000 

 

1,021,011 

HSBC USA, Inc., FDIC Guaranteed , 3.125%, 12/16/2011  

 

 

500,000 

 

511,898 

John Deere Capital Corp., Series D, FDIC Guaranteed, 2.875%, 6/19/2012  

 

 

935,000 

 

948,253 

Keybank National Association, FDIC Guaranteed, 3.2%, 6/15/2012  

 

 

500,000 

 

512,973 

PNC Funding Corp., FDIC Guaranteed, 1.875%, 6/22/2011  

 

 

950,000 

 

945,888 

Sovereign Bank, FDIC Guaranteed, 2.75%, 1/17/2012  

 

 

680,000 

 

687,645 

Wells Fargo & Co., FDIC Guaranteed, 3.0%, 12/9/2011  

 

 

695,000 

 

713,868 

 

**12,394,272**

**US Treasury Obligations 11.3%**

 
US Treasury Bill, 0.02% ***, 5/21/2009 (a) 

 

 

62,000 

 

61,954 

US Treasury Notes:

 
 

0.875%, 12/31/2010 (b) 

 

12,250,000 

 

12,243,299 

 

1.125%, 12/15/2011 

 

3,700,000 

 

3,681,500 

 

 

 

 

1.5%, 12/31/2013 

 

2,487,000 

 

2,450,667 

 
 
 

**18,437,420**

 
 
**Total Government & Agency Obligations** (Cost $30,812,558)

 

**30,831,692**

 
 

**Municipal Bonds and Notes 0.9%**

 
La Vernia, TX, Higher Education Finance Corp. Revenue, Southwest Winners, Series B, 144A, 5.7%, 2/15/2011 (c) 

 

300,000

 

298,635

 
Sacramento County, CA, Airport System Revenue, Series C, 5.2%, 7/1/2012 (c) 

 

1,075,000

 

1,074,817

 
 
**Total Municipal Bonds and Notes** (Cost $1,376,062)

 

**1,373,452**

 
 

 

 

 

 
 

**Shares**

 

**Value ($)**

 
 
 

**Securities Lending Collateral 7.7%**

 
Daily Assets Fund Institutional, 1.25% (d) (e)(Cost $12,525,625)

 

 

12,525,625

 

**12,525,625**

 
 

**Cash Equivalents 3.0%**

 
Cash Management QP Trust, 1.12% (d)(Cost $4,841,778)

 

 

4,841,778

 

**4,841,778**

 
 

 

 

 

 
 

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

 

**Value ($)**

 
 
**Total Investment Portfolio** (Cost $190,824,888) †

109.6

 

**179,506,507**

 
**Other Assets and Liabilities, Net**

(9.6)

 

**(15,811,756)**

 
 
**Net Assets**

100.0

 

**163,694,751**

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

 
***

*Non-income producing security.  Issuer has defaulted on the payment of principal or interest or has filed for bankruptcy.  The following table represents bonds that are in default:*

 
**Security**

 

**Coupon**

 

**Maturity****Date**

 

**Principal Amount ($)**

**Acquisition****Cost ($)**

 

**Value ($)**

 
Securitized Asset-Backed NIM Trust, "NIM", Series 2005-FR4, 144A

 

6.0

 

1/25/2036

 

209,756

 

USD

 

209,625

 

**21**

 
****

*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 January 31, 2009.*

 
*****

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

 
*†*

*The cost for federal income tax purposes was $190,863,596.  At January 31, 2009, net unrealized depreciation for all securities based on tax cost was $11,357,089.  This consisted of aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost of $447,655 and aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value of $11,804,744.*

 
*(a)*

*At January 31, 2009, this security has been pledged, in whole or in part, to cover initial margin requirements for open futures contracts.*

 
*(b)*

*All or a portion of these securities were on loan.  The value of all securities loaned at January 31, 2009 amounted to $12,243,299 which is 7.5% of net assets.*

 
 

 

 

 

 
*(c)*

*Bond is insured by one of these companies:*

 
**Insurance Coverage**

**As a % of Total****Investment Portfolio**

American Capital Assurance

0.2

Financial Security Assurance, Inc.

0.6

 

 

 

*(d)*

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

*(e)*

*Represents collateral held in connection with securities lending.  Income earned by the Fund is net of borrower rebates.*

*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.*

*FDIC: Federal Deposit Insurance Corp.*

*CDO: Collateralized Debt Obligation*

*REIT: Real Estate Investment Trust*

*At January 31, 2009, open futures contracts sold were as follows:*

**Futures**

 

 

**Expiration****Date**

 

**Contracts**

 

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

 

**Value ($)**

 

**Unrealized****Depreciation ($)**

 

5 Year US Treasury Note 

 

3/31/2009 

 

30 

 

3,527,634 

 

3,545,156 

 

**(17,522)**

 
*At January 31, 2009, open credit default swap contracts purchased were as follows:*

**Effective/****Expiration****Dates**

**Notional****Amount ($)**

**Fixed****Cash****Flows****Paid**

**Underlying Debt****Obligation/****Quality Rating (f)**

**Value ($)**

**Upfront Premiums****Paid/****(Received) ($)**

**Unrealized****Appreciation ($)**

1/30/2009 3/20/2014

800,0001

1.15%

News America, Inc.,7.25%, 5/18/2018, BBB+

0

—

0

 
*(f)*

*The quality ratings represent the lower of Moody's Investors Service, Inc. ("Moody's") or Standard & Poor's Corporation ("S&P") credit ratings.*

*Counterparty:*

*1*

*JPMorgan Chase Securities, Inc.*

*Included in the portfolio are investments in mortgage or asset-backed securities which are interests in separate pools of mortgages or assets.  Effective maturities of these investments may be shorter than stated maturities due to prepayments.  Some separate investments in the Federal National Mortgage Association issues which have similar coupon rates have been aggregated for presentation purposes in this investment portfolio.*

 

 

***Fair Value Measurements***

 

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

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

*The following is a summary of the inputs used as of January 31, 2009 in valuing the Fund's investments. Please see below for information on the Fund’s policy regarding valuation inputs, and their aggregate levels used in the table below:*

 

 

**Valuation Inputs**

**Investments in  Securities**

**Other Financial Instruments***††*

Level 1 

$                 12,525,625   

$                   (17,522)   

Level 2 

166,430,882   

0   

Level 3 

550,000   

-   

**Total**

**$              179,506,507**

**$                  (17,522)**

 

 

*†† Other financial instruments are derivative instruments not reflected in the Investment Portfolio, such as futures contracts and swap contracts, which are valued at the unrealized appreciation (depreciation) on the instrument.*

 

*The following is a reconciliation of the Fund's Level 3 investments for which significant unobservable inputs were used in determining the value at January 31, 2009:*

 

 

 

**Investments in  Securities**

**Balance as of November 1, 2008**

$                      224,805

Total realized gain (loss)

(436,654)                                       

Change in unrealized appreciation (depreciation)

301,140   

Amortization Premium/Discount

(41)

Net purchases (sales)

460,750   

Net transfers in (out) of Level 3 

-   

**Balance as of January 31, 2009**

**$                     550,000**

 

 

**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 Short Duration Fund, a series of DWS Advisor Funds

 

By:

/s/Michael G. Clark

 

Michael G. Clark

President

 

Date:

March 23, 2009

 

 

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

 

Registrant: 

DWS Short Duration Fund, a series of DWS Advisor Funds

 

By:

/s/Michael G. Clark

 

Michael G. Clark

President

 

Date:

March 23, 2009

 

 

By:

/s/Paul Schubert

 

Paul Schubert

Chief Financial Officer and Treasurer

 

Date:                                        March 23, 2009

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