UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D. C. 20549  FORM N-CSR  Investment Company Act file number
        811-5357
  DWS Blue Chip Fund (Exact Name of Registrant as Specified in Charter)  222 South Riverside Plaza Chicago, IL  60606 (Address of principal executive offices)             (Zip code)  Registrants Telephone Number, including Area Code:(212) 454-7190  Paul Schubert 345 Park Avenue New York, NY 10154 (Name and Address of Agent for Service)  Date of fiscal year end:
        10/31
  Date of reporting period:
        10/31/07
   ITEM 1.REPORT TO STOCKHOLDERS


OCTOBER 31, 2007

# Annual Report
to Shareholders

DWS Blue Chip Fund

|bcf_cover2d0
|------------

Contents

click herePerformance Summary

click hereInformation About Your Fund's Expenses

click herePortfolio Management Review

click herePortfolio Summary

click hereInvestment Portfolio

click hereFinancial Statements

click hereFinancial Highlights

click hereNotes to Financial Statements

click hereReport of Independent Registered Public Accounting Firm

click hereTax Information

click hereInvestment Management Agreement Approval

click hereSummary of Management Fee Evaluation by Independent
Fee Consultant

click hereTrustees and Officers

click hereAccount Management Resources

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

Investments in mutual funds involve risk. Some funds have more risk than others. This
fund is subject to stock market risk. The fund may invest in various industries and
certain economic sectors, thereby increasing its vulnerability to any single economic,
political or regulatory development. This may result in greater share price volatility.
Please read this fund's prospectus for specific details regarding its investments and
risk profile.

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

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

Performance SummaryOctober 31, 2007

Classes A, B, C and Institutional Class

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

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

The total annual fund operating expense ratios, gross of any fee waivers or
expense reimbursements, as stated in the fee table of the prospectus dated
February 1, 2007 are 1.11%, 1.97%, 1.77% and .68% for Class A, Class B, Class C
and Institutional Class shares, respectively. Please see the Information About
Your Fund's Expenses, the Financial Highlights and Notes to the Financial
Statements (Note C, Related Parties) sections of this report for gross and net
expense related disclosure for the year ended October 31, 2007.

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

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

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

|Average Annual Total Returns(Unadjusted for Sales Charge) as of 10/31/07
|------------------------------------------------------------------------
|DWS Blue Chip Fund                                                      
|Class A                                                                 
|Class B                                                                 
|Class C                                                                 
|Institutional Class                                                     
|Russell 1000® Index+                                                    
|S&P 500® Index++                                                        

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

|Net Asset Value and Distribution Information                           
|-----------------------------------------------------------------------
|                                                                       
|Net Asset Value:
10/31/07                                              
|10/31/06                                                               
|Distribution Information:
Twelve Months as of 10/31/07:Income Dividends
|Capital Gain Distributions                                             

|Class A Lipper Rankings  Multi-Cap Core Funds Categoryas of 10/31/07
|---------------------------------------------------------------------
|Period                                                               
|1-Year                                                               
|3-Year                                                               
|5-Year                                                               
|10-Year                                                              

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

|Growth of an Assumed $10,000 Investment(Adjusted for Maximum Sales Charge)
|--------------------------------------------------------------------------
|[]DWS Blue Chip Fund  Class A
[]Russell 1000 Index+
[]S&P 500 Index++    
|bcf_g10k260                                                               
|Yearly periods ended October 31                                           

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

|Comparative Results(Adjusted for Maximum Sales Charge) as of 10/31/07
|---------------------------------------------------------------------
|DWS Blue Chip Fund                                                   
|Class A                                                              
|Average annual total return                                          
|Class B                                                              
|Average annual total return                                          
|Class C                                                              
|Average annual total return                                          
|Russell 1000 Index+                                                  
|Average annual total return                                          
|S&P 500 Index++                                                      
|Average annual total return                                          

The growth of $10,000 is cumulative.

|Growth of an Assumed $1,000,000 Investment                                        
|----------------------------------------------------------------------------------
|[]DWS Blue Chip Fund  Institutional Class
[]Russell 1000 Index+
[]S&P 500 Index++
|bcf_g10k250                                                                       
|Yearly periods ended October 31                                                   

|Comparative Resultsas of 10/31/07
|---------------------------------
|DWS Blue Chip Fund               
|Institutional
Class              
|Average annual total return      
|Russell 1000
Index+              
|Average annual total return      
|S&P 500
Index++                  
|Average annual total return      

The growth of $1,000,000 is cumulative.

The minimum initial investment for the Institutional Class is $1,000,000.

Class S

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

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

The total annual fund operating expense ratio, gross of any fee waivers or
expense reimbursements, as stated in the fee table of the prospectus dated
February 1, 2007 is 1.37% for Class S shares. Please see the Information About
Your Fund's Expenses, the Financial Highlights and Notes to the Financial
Statements (Note C, Related Parties) sections of this report for gross and net
expense related disclosure for the year ended October 31, 2007.

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

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

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

|Average Annual Total Returnsas of 10/31/07
|------------------------------------------
|DWS Blue Chip Fund                        
|Class S                                   
|Russell 1000 Index+                       
|S&P 500 Index++                           

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

|Net Asset Value and Distribution Information                           
|-----------------------------------------------------------------------
|                                                                       
|Net Asset Value:
10/31/07                                              
|10/31/06                                                               
|Distribution Information:
Twelve Months as of 10/31/07:Income Dividends
|Capital Gain Distributions                                             

|Class S Lipper Rankings  Multi-Cap Core Funds Categoryas of 10/31/07
|---------------------------------------------------------------------
|Period                                                               
|1-Year                                                               

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

|Growth of an Assumed $10,000 Investment                               
|----------------------------------------------------------------------
|[]DWS Blue Chip Fund  Class S
[]Russell 1000 Index+
[]S&P 500 Index++
|bcf_g10k240                                                           
|                                                                      

|Comparative Resultsas of 10/31/07
|---------------------------------
|DWS Blue Chip Fund               
|Class S                          
|Average annual total return      
|Russell 1000 Index+              
|Average annual total return      
|S&P 500 Index++                  
|Average annual total return      

The growth of $10,000 is cumulative.

Information About Your Fund's Expenses

As an investor of the Fund, you incur two types of costs: ongoing
expenses and transaction costs. Ongoing expenses include management
fees, distribution and service (12b-1) fees and other Fund expenses.
Examples of transaction costs include sales charges (loads), redemption
fees and account maintenance fees, which are not shown in this section.
The following tables are intended to help you understand your ongoing
expenses (in dollars) of investing in the Fund and to help you compare
these expenses with the ongoing expenses of investing in other mutual
funds. The example in the table is based on an investment of $1,000
invested at the beginning of the six-month period and held for the entire
period(May 1, 2007 to October 31, 2007).

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

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

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

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

|Expenses and Value of a $1,000 Investmentfor the six months ended October 31, 2007
|----------------------------------------------------------------------------------
|Actual Fund Return                                                                
|Beginning Account Value 5/1/07                                                    
|Ending Account Value 10/31/07                                                     
|Expenses Paid per $1,000*                                                         
|Hypothetical 5% Fund Return                                                       
|Beginning Account Value 5/1/07                                                    
|Ending Account Value 10/31/07                                                     
|Expenses Paid per $1,000*                                                         

|Annualized Expense Ratios | Class A | Class B | Class C | Class S | Institutional
Class
|------------------------- | ------- | ------- | ------- | ------- | -------------------
|DWS Blue Chip Fund        | 1.15%   | 1.87%   | 1.97%   | .90%    | .57%               

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

Portfolio Management Review

DWS Blue Chip Fund: A Team Approach to Investing

Deutsche Investment Management Americas Inc. ("DIMA" or the
"Advisor"), which is part of Deutsche Asset Management, is the
investment advisor for DWS Blue Chip Fund. DIMA and its predecessors
have more than 80 years of experience managing mutual funds and DIMA
provides a full range of investment advisory services to institutional and
retail clients.

Deutsche Asset Management is a global asset management organization
that offers a wide range of investing expertise and resources. This
well-resourced global investment platform brings together a wide variety
of experience and investment insight across industries, regions, asset
classes and investing styles.

DIMA is an indirect, wholly owned subsidiary of Deutsche Bank AG.
Deutsche Bank AG is a major global banking institution that is engaged in
a wide range of financial services, including investment management,
mutual funds, retail, private and commercial banking, investment banking
and insurance.

Portfolio Management Team

Robert Wang

Managing Director of Deutsche Asset Management and Portfolio Manager of the fund.

Joined Deutsche Asset Management in 1995 as portfolio manager for asset allocation
after 13 years of experience of trading fixed income, foreign exchange and derivative
products at J.P. Morgan.

Senior portfolio manager for Multi Asset Class Quantitative Strategies: New York.

Joined the fund in 2003.

BS, The Wharton School, University of Pennsylvania.

Jin Chen, CFA

Director of Deutsche Asset Management and Portfolio Manager of the fund.

Senior portfolio manager for Global Strategies: New York.

Joined Deutsche Asset Management in 1999; prior to that, served as portfolio manager
for Absolute Return Strategies and as a fundamental equity analyst and portfolio
manager for Thomas White Asset Management.

Joined the fund in 2005.

BS, Nanjing University; MS, Michigan State University.

Julie Abbett

Director of Deutsche Asset Management and Portfolio Manager of the fund.

Senior portfolio manager for Global Quantitative Equity: New York.

Joined Deutsche Asset Management in 2000 after four years of combined experience
as a consultant with equity trading services for BARRA, Inc. and a product developer for
FactSet Research.

Joined the fund in 2005.

BA, University of Connecticut.

In the following interview Portfolio Managers Robert Wang, Julie
Abbett and Jin Chen discuss DWS Blue Chip Fund's performance,
management strategy and the market environment during the
12-month period ended October 31, 2007.

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

Q: How would you describe the market environment over the
last year?

A:It was a generally positive period for the US equity market,
although with considerable volatility. After a period of strength in
late 2006, there was a dip in late February and early March.
Markets began to rise again through mid-July, drifted lower in the
late summer, then rallied again in September, responding in part
to the US Federal Reserve Board's (the Fed's) mid-September
interest rate reduction. Volatility returned in October, as markets
weakened a bit, then moved up again to end the month near the
level at the end of September and significantly higher than a year
earlier.

The Russell 3000® Index, which is generally regarded as a good
indicator of the broad stock market, returned 14.53% for the
12 months ended October 2007.1 Large-cap stocks performed
better than small-cap issues: the Russell 1000® Index posted a
return of 15.03% for the 12-month period, while the Russell
2000® Index returned 9.27%.2 Growth stocks performed better
than value stocks: the return of the Russell 1000® Growth Index
was 19.23%, compared with 10.83% for the Russell 1000® Value
Index.3 The strongest industry sectors within the Russell 1000
Index were materials, energy and internet, all of which posted
returns above 30%. Sectors with negative returns were banks,
real estate, diversified financials, retailing and media.

Q: How did the fund perform during this period?

A:DWS Blue Chip Fund (Class A shares) produced a total return
of 12.68% for the 12 months ended October 31, 2007. (Returns
are unadjusted for sales charges. If sales charges had been
included, returns would have been lower. Past performance is
no guarantee of future results. Please see pages 4 through 9
for the performance of other share classes and more complete
performance information.) The fund underperformed its
benchmarks, the Russell 1000 Index, which had a return of
15.03%, and the Standard & Poor's 500® (S&P 500) Index,
which returned 14.56% for the period.4

Q: How is this fund managed?

A:Our investment process is focused on stock selection, using a
quantitative model to evaluate a company's growth prospects and
financial characteristics relative to its stock price.5 Our process is
designed to identify attractively valued stocks with above-average
capital appreciation potential from the fund's potential investment
universe of approximately 1,000 large-cap companies. We begin
by sorting the universe of 1,000 stocks into 24 clearly defined
industry groups. Next, we compare the stocks based on current
and historical data, including valuation, a measure of how
expensive a stock is; earnings growth and growth potential; and
market sentiment, which enables us to pinpoint short-term price
movements.

Using all of this information, our model ranks stocks by their
potential expected level of performance. Our model also creates
an "optimal" portfolio, suggesting which stocks should be
included in the fund and which ones should be omitted, as well
as proportions of individual stocks to be held. We carefully analyze
our model's suggestions, double-checking data and seeking
additional information about each potential holding. This
step-by-step approach leads to a portfolio of approximately
130 stocks. By diversifying holdings among a large number of
stocks, we reduce the risk associated with each individual stock.
We generally maintain weights of our 24 industry groups within
one percentage point of the benchmark.

This model makes it possible to analyze far more stocks than can
most traditional active portfolio managers, who rely primarily on
their own talent and experience as well as the analytic skills of
research professionals to assess each stock. We believe that our
approach provides a way to help manage risk by allowing us
choose stocks that are attractively valued in an objective,
consistent and repeatable manner.

Q: What decisions had the most positive effects on the fund's
performance relative to its benchmarks?

A:Three sectors in which performance was particularly positive
were materials, energy, and health care equipment and services.
In materials, Lyondell Chemical Co. and Southern Copper Corp.
were top performers. Lyondell, which was strong throughout the
year, moved up further on the July 2007 announcement that the
company has agreed to be acquired by Luxembourg-based Basell
AF SCA; we sold this stock in advance of the completion of the
merger. We originally selected Southern Copper for its good
quality earnings and cash flow; these measures, along with rising
copper prices and growing global demand for copper and other
metals, have driven the stock's performance; the stock was sold
on strength.

In energy, overweight positions in Tesoro Corp. and Devon Energy
Corporation were key factors in the fund's performance.6 Both of
these companies announced strong earnings and also made
strategic acquisitions that are expected to contribute to future
earnings. In the health care equipment and services sector, a
position in Dade Behring Holdings, Inc. made a significant
contribution to performance. Shares of this manufacturer and
distributor of diagnostic products and services appreciated
sharply on the July announcement that it has agreed to be
acquired by German engineering conglomerate Siemens AG; we
sold the stock in advance of the completion of the merger.

Q: Which holdings detracted from performance?

A:Positions in the consumer durables & apparel, technology
hardware & equipment, and food, beverage & tobacco sectors
detracted from relative performance. In consumer durables &
apparel, positions in home builder NVR, Inc. and apparel marketer
Polo Ralph Lauren Corp. detracted from performance. Although
shares of these companies have weakened on disappointing
earnings reports, we continue to hold both of these stocks, which
we consider to be industry leaders with the potential to perform
well when consumer spending trends eventually improve.

In technology hardware & equipment, performance was hurt by
an overweight in Lexmark International, Inc. and an underweight
in Intel Corporation, which performed well. Lexmark reported
disappointing revenue and earnings, as the company struggles to
reduce the importance of commodity products such as printer
cartridges in its sales mix; this stock has been sold.

In food, beverages & tobacco, relative performance was hurt by
not owning The Coca-Cola Company, which performed well, and
by an overweight position during much of the period in ConAgra
Foods, Inc., which was hurt by several product recalls; this
position has been eliminated.

Q: Do you have other comments for shareholders?

A:Although the fund had a strongly positive return for the
12-month period, we are disappointed that it underperformed its
benchmark. We have confidence in our quantitative process for
stock selection, which we believe can enable the fund to perform
well over the long term.

Portfolio Summary

|Asset Allocation(As a % of Investment Portfolio excluding
Securities Lending Collateral) | 10/31/07 | 10/31/06
|---------------------------------------------------------------------------------------- | -------- | --------
|                                                                                         |          |         
|Common Stocks                                                                            | 100%     | 100%    

|Sector Diversification(As a % of Common Stocks) | 10/31/07 | 10/31/06
|----------------------------------------------- | -------- | --------
|                                                |          |         
|Information Technology                          | 16%      | 12%     
|Financials                                      | 15%      | 20%     
|Energy                                          | 14%      | 10%     
|Health Care                                     | 13%      | 14%     
|Consumer Discretionary                          | 13%      | 12%     
|Industrials                                     | 11%      | 12%     
|Consumer Staples                                | 8%       | 8%      
|Telecommunication Services                      | 4%       | 5%      
|Materials                                       | 4%       | 4%      
|Utilities                                       | 2%       | 3%      
|                                                | 100%     | 100%    

Asset allocation and sector diversification are subject to change.

|Ten Largest Equity Holdings at October 31, 2007(23.0% of Net Assets)                                                   
|-----------------------------------------------------------------------------------------------------------------------
|1.      Microsoft Corp.
Developer of computer software                                                                 
|2.      Citigroup, Inc.
Provider of diversified financial services                                                     
|3.      Chevron Corp.
Operator of petroleum exploration, delivery and refining facilities                              
|4.      International Business Machines Corp.
Manufacturer of computers and provider of information processing services
|5.      The Goldman Sachs Group, Inc.
Provider of global investment banking services                                   
|6.      Boeing Co.
Manufacturer of jet airplanes                                                                       
|7.      Verizon Communications, Inc.
Provider of advanced communication and information technology services            
|8.      Apple, Inc.
Manufacturer of personal computers and related personal computing and
communication solutions      
|9.      Lockheed Martin Corp.
Manufacturer of aircraft, missiles and space equipment                                   
|10.     Morgan Stanley
Provider of investment banking and brokerage services                                           

Portfolio holdings are subject to change.

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

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

Investment Portfolioas of October 31, 2007

|                                              | Shares      | Value ($) 
|--------------------------------------------- | ----------- | ----------
|                                              |            
|Common Stocks 99.9%                          
|Consumer Discretionary 12.7%                 
|Auto Components 0.2%                         
|Lear Corp.*                                   | 14,700      | 522,291   
|TRW Automotive Holdings Corp.*                | 17,200      | 510,668   
|                                              | 1,032,959  
|Hotels Restaurants & Leisure 2.7%            
|Brinker International, Inc.                   | 35,100      | 891,189   
|Darden Restaurants, Inc.                      | 47,300      | 2,033,900 
|McDonald's Corp.                              | 136,200     | 8,131,140 
|Yum! Brands, Inc.                             | 110,600     | 4,453,862 
|                                              | 15,510,091 
|Household Durables 1.4%                      
|Garmin Ltd.                                   | 44,200      | 4,747,080 
|NVR, Inc.* (a)                                | 6,400       | 3,044,800 
|                                              | 7,791,880  
|Leisure Equipment & Products 0.2%            
|Hasbro, Inc.                                  | 40,800      | 1,217,880 
|Media 2.9%                                   
|CBS Corp. "B"                                 | 26,400      | 757,680   
|Comcast Corp. "A"*                            | 95,900      | 2,018,695 
|McGraw-Hill Companies, Inc.                   | 74,800      | 3,742,992 
|Omnicom Group, Inc.                           | 22,000      | 1,121,560 
|The DIRECTV Group, Inc.*                      | 339,200     | 8,982,016 
|                                              | 16,622,943 
|Multiline Retail 1.3%                        
|Big Lots, Inc.*                               | 51,000      | 1,222,980 
|Dollar Tree Stores, Inc.*                     | 70,800      | 2,711,640 
|Family Dollar Stores, Inc.                    | 140,700     | 3,566,745 
|                                              | 7,501,365  
|Specialty Retail 2.3%                        
|AutoZone, Inc.*                               | 45,700      | 5,685,537 
|Dick's Sporting Goods, Inc.*                  | 99,000      | 3,303,630 
|RadioShack Corp.                              | 91,600      | 1,888,792 
|The Men's Wearhouse, Inc.                     | 15,600      | 659,256   
|The Sherwin-Williams Co.                      | 15,800      | 1,009,936 
|TJX Companies, Inc.                           | 24,100      | 697,213   
|                                              | 13,244,364 
|Textiles, Apparel & Luxury Goods 1.7%        
|Coach, Inc.*                                  | 47,600      | 1,740,256 
|NIKE, Inc. "B"                                | 37,100      | 2,458,246 
|Polo Ralph Lauren Corp.                       | 76,400      | 5,256,320 
|                                              | 9,454,822  
|Consumer Staples 7.8%                        
|Beverages 2.0%                               
|Anheuser-Busch Companies, Inc.                | 43,000      | 2,205,040 
|Coca-Cola Enterprises, Inc.                   | 136,900     | 3,533,389 
|PepsiCo, Inc.                                 | 76,500      | 5,639,580 
|                                              | 11,378,009 
|Food & Staples Retailing 1.4%                
|BJ's Wholesale Club, Inc.*                    | 72,000      | 2,583,360 
|Costco Wholesale Corp.                        | 27,400      | 1,842,924 
|Kroger Co.                                    | 73,600      | 2,163,104 
|Safeway, Inc.                                 | 15,600      | 530,400   
|Sysco Corp.                                   | 21,000      | 720,090   
|                                              | 7,839,878  
|Food Products 1.3%                           
|General Mills, Inc.                           | 85,100      | 4,912,823 
|H.J. Heinz Co.                                | 14,300      | 668,954   
|Kellogg Co.                                   | 16,700      | 881,593   
|Pilgrim's Pride Corp.                         | 15,200      | 451,440   
|The J.M. Smucker Co.                          | 11,600      | 619,788   
|                                              | 7,534,598  
|Household Products 1.6%                      
|Colgate-Palmolive Co.                         | 75,400      | 5,750,758 
|Energizer Holdings, Inc.*                     | 12,300      | 1,282,890 
|Kimberly-Clark Corp.                          | 27,300      | 1,935,297 
|                                              | 8,968,945  
|Tobacco 1.5%                                 
|Altria Group, Inc.                            | 84,500      | 6,162,585 
|Loews Corp. - Carolina Group                  | 32,400      | 2,779,272 
|                                              | 8,941,857  
|Energy 13.7%                                 
|Energy Equipment & Services 4.4%             
|ENSCO International, Inc.                     | 51,600      | 2,863,284 
|Global Industries Ltd.* (a)                   | 107,700     | 2,651,574 
|GlobalSantaFe Corp.                           | 19,300      | 1,563,879 
|Noble Corp.                                   | 89,000      | 4,712,550 
|Patterson-UTI Energy, Inc.                    | 24,100      | 480,554   
|Tidewater, Inc.                               | 61,000      | 3,334,870 
|Transocean, Inc.*                             | 69,800      | 8,332,026 
|Unit Corp.*                                   | 24,700      | 1,179,919 
|                                              | 25,118,656 
|Oil, Gas & Consumable Fuels 9.3%             
|Chevron Corp.                                 | 154,100     | 14,101,691
|Devon Energy Corp.                            | 28,000      | 2,615,200 
|ExxonMobil Corp.                              | 67,986      | 6,254,032 
|Frontier Oil Corp.                            | 87,900      | 4,024,941 
|Hess Corp.                                    | 53,400      | 3,823,974 
|Marathon Oil Corp.                            | 81,300      | 4,807,269 
|Royal Dutch Shell PLC "A" (ADR)               | 32,900      | 2,879,079 
|Sunoco, Inc.                                  | 52,300      | 3,849,280 
|Tesoro Corp.                                  | 100,900     | 6,107,477 
|Valero Energy Corp.                           | 52,800      | 3,718,704 
|Western Refining, Inc.                        | 28,400      | 1,041,712 
|                                              | 53,223,359 
|Financials 15.2%                             
|Capital Markets 4.6%                         
|Merrill Lynch & Co., Inc.                     | 56,500      | 3,730,130 
|Morgan Stanley                                | 151,700     | 10,203,342
|The Goldman Sachs Group, Inc.                 | 49,100      | 12,172,872
|                                              | 26,106,344 
|Commercial Banks 0.9%                        
|Wells Fargo & Co.                             | 154,100     | 5,240,941 
|Diversified Financial Services 5.1%          
|Bank of America Corp.                         | 140,000     | 6,759,200 
|Citigroup, Inc.                               | 360,466     | 15,103,526
|JPMorgan Chase & Co.                          | 152,900     | 7,186,300 
|                                              | 29,049,026 
|Insurance 3.9%                               
|ACE Ltd.                                      | 66,100      | 4,006,321 
|Arch Capital Group Ltd.*                      | 12,700      | 949,579   
|Berkshire Hathaway, Inc. "B"*                 | 400         | 1,765,600 
|Endurance Specialty Holdings Ltd.             | 11,800      | 462,678   
|Genworth Financial, Inc. "A"                  | 47,400      | 1,294,020 
|Hartford Financial Services Group, Inc.       | 11,500      | 1,115,845 
|MetLife, Inc.                                 | 85,400      | 5,879,790 
|W.R. Berkley Corp.                            | 51,200      | 1,540,608 
|XL Capital Ltd. "A"                           | 73,700      | 5,302,715 
|                                              | 22,317,156 
|Real Estate Investment Trusts 0.4%           
|ProLogis (REIT)                               | 19,100      | 1,370,234 
|Simon Property Group, Inc. (REIT)             | 6,900       | 718,359   
|Vornado Realty Trust (REIT)                   | 3,600       | 402,192   
|                                              | 2,490,785  
|Real Estate Management & Development 0.3%    
|Jones Lang LaSalle, Inc.                      | 16,500      | 1,572,945 
|Health Care 13.4%                            
|Biotechnology 1.5%                           
|Gilead Sciences, Inc.*                        | 188,300     | 8,697,577 
|Health Care Equipment & Supplies 1.4%        
|Advanced Medical Optics, Inc.* (a)            | 22,300      | 612,135   
|Baxter International, Inc.                    | 27,700      | 1,662,277 
|Becton, Dickinson & Co.                       | 60,600      | 5,057,676 
|Kinetic Concepts, Inc.*                       | 12,800      | 769,280   
|                                              | 8,101,368  
|Health Care Providers & Services 4.7%        
|Aetna, Inc.                                   | 143,800     | 8,077,246 
|Coventry Health Care, Inc.*                   | 57,000      | 3,437,670 
|Health Net, Inc.*                             | 57,300      | 3,071,853 
|Humana, Inc.*                                 | 85,800      | 6,430,710 
|Medco Health Solutions, Inc.*                 | 46,600      | 4,398,108 
|UnitedHealth Group, Inc.                      | 11,100      | 545,565   
|WellPoint, Inc.*                              | 10,800      | 855,684   
|                                              | 26,816,836 
|Life Sciences Tools & Services 0.6%          
|Invitrogen Corp.*                             | 35,800      | 3,253,146 
|Pharmaceuticals 5.2%                         
|Abbott Laboratories                           | 130,100     | 7,106,062 
|Bristol-Myers Squibb Co.                      | 281,100     | 8,430,189 
|Eli Lilly & Co.                               | 160,800     | 8,707,320 
|Endo Pharmaceuticals Holdings, Inc.*          | 44,000      | 1,289,200 
|Merck & Co., Inc.                             | 58,700      | 3,419,862 
|Sepracor, Inc.*                               | 39,700      | 1,093,338 
|                                              | 30,045,971 
|Industrials 11.2%                            
|Aerospace & Defense 5.6%                     
|Boeing Co.                                    | 122,600     | 12,087,134
|Honeywell International, Inc.                 | 157,600     | 9,520,616 
|Lockheed Martin Corp.                         | 95,600      | 10,519,824
|                                              | 32,127,574 
|Airlines 1.6%                                
|AMR Corp.*                                    | 144,500     | 3,468,000 
|Continental Airlines, Inc. "B"*               | 114,900     | 3,946,815 
|Delta Air Lines, Inc.*                        | 74,800      | 1,555,840 
|                                              | 8,970,655  
|Commercial Services & Supplies 0.5%          
|Allied Waste Industries, Inc.*                | 46,000      | 581,440   
|Dun & Bradstreet Corp.                        | 16,300      | 1,578,655 
|The Brink's Co.                               | 12,400      | 776,860   
|                                              | 2,936,955  
|Construction & Engineering 0.8%              
|Fluor Corp.                                   | 27,000      | 4,266,000 
|Industrial Conglomerates 1.0%                
|General Electric Co.                          | 118,400     | 4,873,344 
|Teleflex, Inc.                                | 13,000      | 951,730   
|                                              | 5,825,074  
|Machinery 1.3%                               
|Caterpillar, Inc.                             | 23,700      | 1,768,257 
|PACCAR, Inc.                                  | 102,250     | 5,681,010 
|                                              | 7,449,267  
|Road & Rail 0.4%                             
|Ryder System, Inc.                            | 48,700      | 2,330,295 
|Information Technology 15.8%                 
|Communications Equipment 0.5%                
|Cisco Systems, Inc.*                          | 14,800      | 489,288   
|Nokia OYJ (ADR)                               | 54,700      | 2,172,684 
|                                              | 2,661,972  
|Computers & Peripherals 5.1%                 
|Apple, Inc.*                                  | 57,700      | 10,960,115
|Hewlett-Packard Co.                           | 100,200     | 5,178,336 
|International Business Machines Corp.         | 113,000     | 13,121,560
|                                              | 29,260,011 
|Internet Software & Services 1.4%            
|eBay, Inc.*                                   | 56,000      | 2,021,600 
|Google, Inc. "A"*                             | 8,600       | 6,080,200 
|                                              | 8,101,800  
|IT Services 2.2%                             
|Accenture Ltd. "A"                            | 214,800     | 8,387,940 
|Computer Sciences Corp.*                      | 68,900      | 4,023,071 
|                                              | 12,411,011 
|Semiconductors & Semiconductor Equipment 2.5%
|Analog Devices, Inc.                          | 17,500      | 585,550   
|Applied Materials, Inc.                       | 375,300     | 7,288,326 
|Linear Technology Corp.                       | 10,800      | 356,616   
|MEMC Electronic Materials, Inc.*              | 19,300      | 1,413,146 
|National Semiconductor Corp.                  | 142,600     | 3,584,964 
|Teradyne, Inc.*                               | 112,800     | 1,391,952 
|                                              | 14,620,554 
|Software 4.1%                                
|Microsoft Corp.                               | 599,200     | 22,056,552
|Symantec Corp.*                               | 66,800      | 1,254,504 
|                                              | 23,311,056 
|Materials 4.0%                               
|Chemicals 1.0%                               
|Albemarle Corp.                               | 26,100      | 1,246,536 
|Celanese Corp. "A"                            | 62,700      | 2,630,892 
|Dow Chemical Co.                              | 10,800      | 486,432   
|Terra Industries, Inc.*                       | 32,300      | 1,191,547 
|                                              | 5,555,407  
|Containers & Packaging 0.5%                  
|Ball Corp.                                    | 20,000      | 991,600   
|Packaging Corp. of America                    | 38,700      | 1,232,208 
|Pactiv Corp.*                                 | 28,800      | 791,136   
|                                              | 3,014,944  
|Metals & Mining 2.5%                         
|Alcoa, Inc.                                   | 176,000     | 6,967,840 
|Freeport-McMoRan Copper & Gold, Inc.          | 61,800      | 7,272,624 
|                                              | 14,240,464 
|Telecommunication Services 4.3%              
|Diversified Telecommunication Services 4.0%  
|AT&T, Inc.                                    | 87,500      | 3,656,625 
|CenturyTel, Inc.                              | 45,100      | 1,986,655 
|Embarq Corp.                                  | 65,900      | 3,487,428 
|Telefonos de Mexico SAB de CV "L" (ADR)       | 17,100      | 625,347   
|Verizon Communications, Inc.                  | 243,700     | 11,227,259
|Windstream Corp.                              | 154,400     | 2,076,680 
|                                              | 23,059,994 
|Wireless Telecommunication Services 0.3%     
|Mobile TeleSystems (ADR)                      | 13,900      | 1,153,700 
|United States Cellular Corp.*                 | 6,600       | 621,390   
|                                              | 1,775,090  
|Utilities 1.8%                               
|Electric Utilities 1.0%                      
|FirstEnergy Corp.                             | 24,400      | 1,700,680 
|Southern Co.                                  | 110,000     | 4,032,600 
|                                              | 5,733,280  
|Multi-Utilities 0.8%                         
|Sempra Energy                                 | 77,300      | 4,754,723 
|Total Common Stocks (Cost $512,569,550)       | 571,479,827

|                                                         | Principal
Amount ($) | Value ($)
|-------------------------------------------------------- | -------------------- | ---------
|                                                         |                     
|Government & Agency Obligations 0.2%                    
|US Treasury Obligations                                 
|US Treasury Bill, 3.70%**, 1/17/2008 (b) (Cost $989,110) | 997,000              | 988,868  

|                                                                 | Shares    | Value ($)
|---------------------------------------------------------------- | --------- | ---------
|                                                                 |          
|Securities Lending Collateral 0.9%                              
|Daily Assets Fund Institutional, 5.26% (c) (d)
(Cost $5,437,500) | 5,437,500 | 5,437,500
|                                                                
|Cash Equivalents 0.1%                                           
|Cash Management QP Trust, 5.06% (c) (Cost $634,888)              | 634,888   | 634,888  

|                                               | % of Net
Assets | Value ($)  
|---------------------------------------------- | --------------- | -----------
|                                               |                
|Total Investment Portfolio(Cost $519,631,048)+ | 101.1           | 578,541,083
|Other Assets and Liabilities, Net              | (1.1)           | (6,331,220)
|Net Assets                                     | 100.0           | 572,209,863

ADR: American Depository Receipt

REIT: Real Estate Investment Trust

At October 31 2007, open futures contracts purchased were as follows:

|Futures | Expiration
Date | Contracts | Aggregate
Face Value ($) | Value ($) | Unrealized
Appreciation ($)
|------- | --------------- | --------- | ------------------------ | --------- | ---------------------------

|Futures       | Expiration
Date | Contracts | Aggregate
Face Value ($) | Value ($) | Unrealized
Appreciation ($)
|------------- | --------------- | --------- | ------------------------ | --------- | ---------------------------
|S&P 500 Index | 12/20/2007      | 3         | 1,122,838                | 1,166,175 | 43,337                     

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

Financial Statements

|Statement of Assets and Liabilitiesas of October 31, 2007                                                      
|---------------------------------------------------------------------------------------------------------------
|Assets                                                                                                         
|Investments:Investments in securities, at value (cost $513,558,660)  including
$5,313,428 of securities loaned
|Investments in Daily Assets Fund Institutional (cost $5,437,500)*                                              
|Investment in Cash Management QP Trust (cost $634,888)                                                         
|Total investments, at value (cost $519,631,048)                                                                
|Dividends receivable                                                                                           
|Interest receivable                                                                                            
|Receivable for Fund shares sold                                                                                
|Receivable for daily variation margin on open futures contracts                                                
|Other assets                                                                                                   
|Total assets                                                                                                   
|Liabilities                                                                                                    
|Payable upon return of securities loaned                                                                       
|Payable for Fund shares redeemed                                                                               
|Accrued management fee                                                                                         
|Other accrued expenses and payables                                                                            
|Total liabilities                                                                                              
|Net assets, at value                                                                                           
|Net Assets Consist of                                                                                          
|Undistributed net investment income                                                                            
|Net unrealized appreciation (depreciation) on:Investments                                                      
|Futures                                                                                                        
|Accumulated net realized gain (loss)                                                                           
|Paid-in capital                                                                                                
|Net assets, at value                                                                                           

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

|Statement of Assets and Liabilitiesas of October 31, 2007 (continued)                                                                                                                                                                       
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Net Asset Value                                                                                                                                                                                                                             
|Class A
Net Asset Value and redemption price(a) per share
($436,263,917 ÷ 19,333,345 outstanding shares of beneficial interest,
$.01 par value, unlimited number of shares authorized)                                                      
|Maximum offering price per share (100 ÷ 94.25 of $22.57)                                                                                                                                                                                    
|Class B
Net Asset Value, offering and redemption price(a) (subject to contingent
deferred sales charge) per share ($52,070,915 ÷ 2,488,585 outstanding
shares of beneficial interest, $.01 par value, unlimited number of shares
authorized)
|Class C
Net Asset Value, offering and redemption price(a) (subject to contingent
deferred sales charge) per share ($40,305,228 ÷ 1,899,386 outstanding
shares of beneficial interest, $.01 par value, unlimited number of shares
authorized)
|Class S
Net Asset Value, offering and redemption price(a)per share
($14,548,033 ÷ 644,025 outstanding shares of beneficial interest,
$.01 par value, unlimited number of shares authorized)                                                 
|Institutional Class
Net Asset Value, offering and redemption price(a)per share
($29,021,770 ÷ 1,238,847 outstanding shares of beneficial interest,
$.01 par value, unlimited number of shares authorized)                                   

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

|Statement of Operationsfor the year ended October 31, 2007                                               
|---------------------------------------------------------------------------------------------------------
|Investment Income                                                                                        
|Income:Dividends (net of foreign taxes withheld of $3,553)                                               
|Interest  Cash Management QP Trust                                                                      
|Securities lending income, including income from Daily Assets Fund
Institutional, net of borrower rebates
|Interest                                                                                                 
|Total Income                                                                                             
|Expenses:Management fee                                                                                  
|Services to shareholders                                                                                 
|Custodian fees                                                                                           
|Distribution and service fees                                                                            
|Professional fees                                                                                        
|Trustees' fees and expenses                                                                              
|Reports to shareholders                                                                                  
|Registration fees                                                                                        
|Other                                                                                                    
|Total expenses before expense reductions                                                                 
|Expense reductions                                                                                       
|Total expenses after expense reductions                                                                  
|Net investment income (loss)                                                                             
|Realized and Unrealized Gain (Loss)                                                                      
|Net realized gain (loss) from:Investments                                                                
|Futures                                                                                                  
|                                                                                                         
|Change in net unrealized appreciation (depreciation) on:Investments                                      
|Futures                                                                                                  
|                                                                                                         
|Net gain (loss)                                                                                          
|Net increase (decrease) in net assets resulting from operations                                          

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

|Statement of Changes in Net Assets                                                                                    
|----------------------------------------------------------------------------------------------------------------------
|Increase (Decrease) in Net Assets                                                                                     
|2007                                                                                                                  
|Operations:Net investment income (loss)                                                                               
|Net realized gain (loss)                                                                                              
|Change in net unrealized appreciation (depreciation)                                                                  
|Net increase (decrease) in net assets resulting from
operations                                                       
|Distributions to shareholders from:Net investment income:Class A                                                      
|Institutional Class                                                                                                   
|Class S                                                                                                               
|Net realized gains:Class A                                                                                            
|Class B                                                                                                               
|Class C                                                                                                               
|Institutional Class                                                                                                   
|Class S                                                                                                               
|Fund share transactions:Proceeds from shares sold                                                                     
|Reinvestment of distributions                                                                                         
|Cost of shares redeemed                                                                                               
|Redemption fees                                                                                                       
|Net increase (decrease) in net assets from Fund share
transactions                                                    
|Increase (decrease) in net assets                                                                                     
|Net assets at beginning of period                                                                                     
|Net assets at end of period (including undistributed net
investment income of $3,194,057 and $3,133,993,
respectively)

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

Financial Highlights

|Class A
Years Ended October 31,                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | 2007       | 2006       | 2005       | 2004       | 2003      
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------- | ---------- | ---------- | ---------- | ----------
|Selected Per Share Data                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|Net asset value, beginning of period                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | $    22.16 | $    19.07 | $    17.30 | $    15.24 | $    12.92
|Income (loss) from investment operations:
Net investment income (loss)a                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | .14        | .17c       | .09        | .06        | .04       
|Net realized and unrealized gain (loss)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | 2.47       | 2.98       | 1.73       | 2.00       | 2.28      
|Total from investment operations                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 2.61       | 3.15       | 1.82       | 2.06       | 2.32      
|Less distributions from:
Net investment income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | (.14)      | (.06)      | (.05)      |           |          
|Net realized gains                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | (2.06)     |           |           |           |          
|Total distributions                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | (2.20)     | (.06)      | (.05)      |           |          
|Redemption fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | 00*        | .00*       | .00*       |           |          
|Net asset value, end of period                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | $    22.57 | $    22.16 | $    19.07 | $    17.30 | $    15.24
|Total Return (%)b                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | 12.68      | 16.54c     | 10.54      | 13.52      | 17.96     
|Ratios to Average Net Assets and Supplemental Data                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|Net assets, end of period ($ millions)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | 436        | 429        | 405        | 382        | 349       
|Ratio of expenses (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 1.13       | 1.12       | 1.19       | 1.13       | 1.19      
|Ratio of net investment income (loss) (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | .68        | .82c       | .49        | .42        | .34       
|Portfolio turnover rate (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | 266        | 259        | 329        | 222        | 185       
|aBased on average shares outstanding during the period.bTotal return does not reflect the effect of any sales charges.cIncludes non-recurring income from the Advisor recorded as a result of an
administrative proceeding regarding disclosure of brokerage allocation practices in
connection with sales of DWS Scudder Funds. The non-recurring income resulted in an
increase in net investment income of $0.012 per share and an increase in the ratio of
net investment income of 0.06%. Excluding this non-recurring income, total return
would have been 0.06% lower.*Amount is less than $.005.

|Class B
Years Ended October 31,                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 2007       | 2006       | 2005       | 2004       | 2003      
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------- | ---------- | ---------- | ---------- | ----------
|Selected Per Share Data                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|Net asset value, beginning of period                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | $    20.72 | $    17.94 | $    16.37 | $    14.55 | $    12.43
|Income (loss) from investment operations:
Net investment income (loss)a                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | (.01)      | (.01)d     | (.04)      | (.06)      | (.05)     
|Net realized and unrealized gain (loss)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | 2.27       | 2.79       | 1.61       | 1.88       | 2.17      
|Total from investment operations                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | 2.26       | 2.78       | 1.57       | 1.82       | 2.12      
|Less distributions from:
Net realized gains                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | (2.06)     |           |           |           |          
|Redemption fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 00*        | .00*       | .00*       |           |          
|Net asset value, end of period                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | $    20.92 | $    20.72 | $    17.94 | $    16.37 | $    14.55
|Total Return (%)b                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | 11.72      | 15.50c,d   | 9.59c      | 12.51c     | 17.06     
|Ratios to Average Net Assets and Supplemental Data                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|Net assets, end of period ($ millions)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | 52         | 74         | 100        | 138        | 178       
|Ratio of expenses before expense
reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 1.99       | 2.11       | 2.16       | 2.09       | 2.00      
|Ratio of expenses after expense
reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | 1.99       | 2.02       | 2.01       | 2.01       | 2.00      
|Ratio of net investment income (loss) (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | (.18)      | (.06)d     | (.33)      | (.46)      | (.47)     
|Portfolio turnover rate (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | 266        | 259        | 329        | 222        | 185       
|aBased on average shares outstanding during the period.bTotal return does not reflect the effect of any sales charges.cTotal return would have been lower had certain expenses not been reduced.dIncludes non-recurring income from the Advisor recorded as a result of an
administrative proceeding regarding disclosure of brokerage allocation practices in
connection with sales of DWS Scudder Funds. The non-recurring income resulted in an
increase in net investment income of $0.012 per share and an increase in the ratio of
net investment income of 0.06%. Excluding this non-recurring income, total return
would have been 0.06% lower.*Amount is less than $.005.

|Class C
Years Ended October 31,                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 2007       | 2006       | 2005       | 2004       | 2003      
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------- | ---------- | ---------- | ---------- | ----------
|Selected Per Share Data                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|Net asset value, beginning of period                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | $    20.97 | $    18.12 | $    16.53 | $    14.69 | $    12.55
|Income (loss) from investment operations:
Net investment income (loss)a                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | (.00)*     | .02d       | (.04)      | (.07)      | (.06)     
|Net realized and unrealized gain (loss)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | 2.31       | 2.83       | 1.63       | 1.91       | 2.20      
|Total from investment operations                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | 2.31       | 2.85       | 1.59       | 1.84       | 2.14      
|Less distributions from:
Net realized gains                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | (2.06)     |           |           |           |          
|Redemption fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 00*        | .00*       | .00*       |           |          
|Net asset value, end of period                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | $    21.22 | $    20.97 | $    18.12 | $    16.53 | $    14.69
|Total Return (%)b                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | 11.77      | 15.73d     | 9.62c      | 12.53c     | 17.05     
|Ratios to Average Net Assets and Supplemental Data                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|Net assets, end of period ($ millions)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | 40         | 43         | 43         | 46         | 47        
|Ratio of expenses before expense
reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 1.91       | 1.83       | 2.02       | 2.06       | 1.99      
|Ratio of expenses after expense
reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | 1.91       | 1.83       | 2.00       | 2.00       | 1.99      
|Ratio of net investment income (loss) (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | (.10)      | .11d       | (.32)      | (.45)      | (.46)     
|Portfolio turnover rate (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | 266        | 259        | 329        | 222        | 185       
|aBased on average shares outstanding during the period.bTotal return does not reflect the effect of any sales charges.cTotal return would have been lower had certain expenses not been reduced.dIncludes non-recurring income from the Advisor recorded as a result of an
administrative proceeding regarding disclosure of brokerage allocation practices in
connection with sales of DWS Scudder Funds. The non-recurring income resulted in an
increase in net investment income of $0.012 per share and an increase in the ratio of
net investment income of 0.06%. Excluding this non-recurring income, total return
would have been 0.06% lower.*Amount is less than $.005.

|Class S
Years Ended October 31,                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | 2007       | 2006       | 2005a     
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------- | ---------- | ----------
|Selected Per Share Data                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
|Net asset value, beginning of period                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | $    22.15 | $    19.10 | $    18.44
|Income (loss) from investment operations:
Net investment income (loss)b                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | .19        | .19d       | .07       
|Net realized and unrealized gain (loss)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | 2.48       | 2.98       | .59       
|Total from investment operations                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | 2.67       | 3.17       | .66       
|Less distributions from:Net investment income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | (.17)      | (.12)      |          
|Net realized gains                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | (2.06)     |           |          
|Total distributions                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | (2.23)     | (.12)      |          
|Redemption fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | 00***      | .00***     | .00***    
|Net asset value, end of period                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | $    22.59 | $    22.15 | $    19.10
|Total Return (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | 12.91      | 16.72c,d   | 3.58c**   
|Ratios to Average Net Assets and Supplemental Data                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|Net assets, end of period ($ millions)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 15         | 4          | 1         
|Ratio of expenses before expense reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | .91        | 1.02       | 1.12*     
|Ratio of expenses after expense reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | .91        | 1.01       | 1.00*     
|Ratio of net investment income (loss) (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 | .90        | .91d       | .49*      
|Portfolio turnover rate (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | 266        | 259        | 329       
|aFor the period from February 1, 2005 (commencement of operations of Class S shares)
to October 31, 2005.bBased on average shares outstanding during the period.cTotal return would have been lower had certain expenses not been reduced.dIncludes non-recurring income from the Advisor recorded as a result of an
administrative proceeding regarding disclosure of brokerage allocation practices in
connection with sales of DWS Scudder Funds. The non-recurring income resulted in an
increase in net investment income of $0.012 per share and an increase in the ratio of
net investment income of 0.06%. Excluding this non-recurring income, total return
would have been 0.06% lower.*Annualized**Not annualized***Amount is less than $.005.

|Institutional Class
Years Ended October 31,                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 2007       | 2006       | 2005       | 2004       | 2003      
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------- | ---------- | ---------- | ---------- | ----------
|Selected Per Share Data                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|Net asset value, beginning of period                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | $    22.91 | $    19.73 | $    17.90 | $    15.70 | $    13.25
|Income (loss) from investment operations:
Net investment income (loss)a                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | .24        | .26c       | .17        | .12        | .11       
|Net realized and unrealized gain (loss)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | 2.58       | 3.07       | 1.80       | 2.08       | 2.34      
|Total from investment operations                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 2.82       | 3.33       | 1.97       | 2.20       | 2.45      
|Less distributions from:
Net investment income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | (.24)      | (.15)      | (.14)      |           |          
|Net realized gains                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | (2.06)     |           |           |           |          
|Total distributions                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 | (2.30)     | (.15)      | (.14)      |           |          
|Redemption fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | 00*        | .00*       | .00*       |           |          
|Net asset value, end of period                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | $    23.43 | $    22.91 | $    19.73 | $    17.90 | $    15.70
|Total Return (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 13.21      | 17.02b,c   | 11.04b     | 14.01b     | 18.49     
|Ratios to Average Net Assets and Supplemental Data                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|Net assets, end of period ($ millions)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | 29         | 41         | 73         | 50         | .2        
|Ratio of expenses before expense
reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | .67        | .78        | .77        | .74        | .72       
|Ratio of expenses after expense
reductions (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | .67        | .73        | .73        | .74        | .72       
|Ratio of net investment income (loss) (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | 1.14       | 1.25c      | .95        | .81        | .81       
|Portfolio turnover rate (%)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 266        | 259        | 329        | 222        | 185       
|aBased on average shares outstanding during the period.bTotal return would have been lower had certain expenses not been reduced.cIncludes non-recurring income from the Advisor recorded as a result of an
administrative proceeding regarding disclosure of brokerage allocation practices in
connection with sales of DWS Scudder Funds. The non-recurring income resulted in an
increase in net investment income of $0.012 per share and an increase in the ratio of
net investment income of 0.06%. Excluding this non-recurring income, total return
would have been 0.06% lower.*Amount is less than $.005.

Notes to Financial Statements

A. Significant Accounting Policies

DWS Blue Chip Fund (the ``Fund'') is registered under the Investment
Company Act of 1940, as amended (the ``1940 Act''), as an open-end,
diversified management investment company organized as a
Massachusetts business trust.

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

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

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

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

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

Securities and other assets for which market quotations are not readily
available or for which the above valuation procedures are deemed not to
reflect fair value are valued in a manner that is intended to reflect their fair
value as determined in accordance with procedures approved by the
Trustees.

In September 2006, the Financial Accounting Standards Board ("FASB")
released Statement of Financial Accounting Standards No. 157, "Fair Value
Measurements" ("FAS 157"). FAS 157 defines fair value, establishes a
framework for measuring fair value and expands disclosures about fair
value measurements. FAS 157 is effective for fiscal years beginning after
November 15, 2007. As of October 31, 2007, management does not
believe the adoption of FAS 157 will impact the amounts reported in the
financial statements, however, additional disclosures will be required
about the inputs used to develop the measurements of fair value and the
effect of certain of the measurements reported in the statement of
operations for a fiscal period.

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

Futures Contracts. A futures contract is an agreement between a buyer or
seller and an established futures exchange or its clearinghouse in which
the buyer or seller agrees to take or make a delivery of a specific amount
of a financial instrument at a specified price on a specific date (settlement
date). The Fund may enter into futures contracts as a hedge against
anticipated interest rate, currency or equity market changes, and for
duration management, risk management and return enhancement
purposes.

Upon entering into a futures contract, the Fund is required to deposit with
a financial intermediary an amount ("initial margin") equal to a certain
percentage of the face value indicated in the futures contract. Subsequent
payments ("variation margin") are made or received by the Fund
dependent upon the daily fluctuations in the value of the underlying
security and are recorded for financial reporting purposes as unrealized
gains or losses by the Fund. When entering into a closing transaction, the
Fund will realize a gain or loss equal to the difference between the value
of the futures contract to sell and the futures contract to buy. Futures
contracts are valued at the most recent settlement price.

Certain risks may arise upon entering into futures contracts, including the
risk that an illiquid secondary market will limit the Fund's ability to close
out a futures contract prior to the settlement date and that a change in the
value of a futures contract may not correlate exactly with the changes in
the value of the securities or currencies hedged. When utilizing futures
contracts to hedge, the Fund gives up the opportunity to profit from
favorable price movements in the hedged positions during the term of the
contract.

Federal Income Taxes. The Fund's policy is to comply with the
requirements of the Internal Revenue Code, as amended, which are
applicable to regulated investment companies, and to distribute all of its
taxable income to its shareholders. Accordingly, the Fund paid no federal
income taxes and no federal income tax provision was required.

In July 2006, FASB issued Interpretation No. 48 ("FIN 48"), "Accounting
for Uncertainty in Income Taxes  an interpretation of FASB Statement
No. 109" (the "Interpretation"). The Interpretation establishes for the
Fund a minimum threshold for financial statement recognition of the
benefit of positions taken in filing tax returns (including whether the Fund
is taxable in certain jurisdictions), and requires certain expanded tax
disclosures. The Interpretation is effective for fiscal years beginning after
December 15, 2006. On December 22, 2006, the SEC indicated that they
would not object if a Fund implements FIN 48 in the first required financial
statement reporting period for its fiscal year beginning after December 15,
2006. Management is evaluating the application of the Interpretation to
the Fund and is not in a position at this time to estimate the significance
of its impact, if any, on the Fund's financial statements.

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

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

At October 31, 2007, the Fund's components of distributable earnings on
a tax-basis were as follows:

|Undistributed ordinary income*                            | $       38,403,861
|--------------------------------------------------------- | ------------------
|Undistributed long-term capital gains                     | $       36,944,365
|Net unrealized appreciation (depreciation) on investments | $       54,228,469

In addition, the tax character of distributions paid to shareholders by the
Fund is summarized as follows:

|                                           | Years Ended October 31,
|------------------------------------------ | -----------------------
|                                           | 2007                   
|Distributions from ordinary income*        | $       33,719,403     
|Distributions from long-term capital gains | $       24,293,084     

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

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

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

B. Purchases and Sales of Securities

During the year ended October 31, 2007, purchases and sales of
investment securities (excluding short-term instruments) aggregated
$1,522,692,748 and $1,604,253,133, respectively.

C. Related Parties

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

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

|First $250 million of the Fund's average daily net assets | .58%
|--------------------------------------------------------- | ----
|Next $750 million of such net assets                      | .55%
|Next $1.5 billion of such net assets                      | .53%
|Next $2.5 billion of such net assets                      | .51%
|Next $2.5 billion of such net assets                      | .48%
|Next $2.5 billion of such net assets                      | .46%
|Next $2.5 billion of such net assets                      | .44%
|Over $12.5 billion of such net assets                     | .42%

Accordingly, for the year ended October 31, 2007, the fee pursuant to the
Investment Management Agreement was equivalent to an annual
effective rate of 0.57% of the Fund's average daily net assets.

Service Provider Fees. DWS Scudder Investments Service Company
("DWS-SISC"), an affiliate of the Advisor, is the transfer agent,
dividend-paying agent and shareholder service agent for the Fund. Prior to
April 1, 2007, DWS Scudder Service Corporation ("DWS-SSC"), an affiliate
of the Advisor, was the transfer agent, dividend-paying agent and
shareholder service agent for Class S shares of the Fund. Effective April 1,
2007, DWS-SSC merged with DWS-SISC. The Board of the Fund approved
a new transfer agency agreement between the Fund and DWS-SISC. The
new transfer agency agreement is identical in substance to the previous
transfer agency agreement for the Fund, except for the named transfer
agent. Pursuant to a sub-transfer agency agreement among DWS-SISC,
DWS-SSC (through March 31, 2007) and DST Systems, Inc. ("DST"),
DWS-SISC and DWS-SSC have delegated certain transfer agent and
dividend paying agent functions to DST. DWS-SISC and DWS-SSC
compensate DST out of the shareholder servicing fee they receive from
the Fund. For the year ended October 31, 2007, the amounts charged to
the Fund by DWS-SISC and DWS-SSC (through March 31, 2007) were as
follows:

|Services to Shareholders | Total
Aggregated | Unpaid at
October 31,
2007
|------------------------ | ---------------- | --------------------------
|Class A                  | $       891,882  | $       163,337           
|Class B                  | 187,641          | 39,516                    
|Class C                  | 96,162           | 19,525                    
|Class S                  | 15,363           | 2,809                     
|Institutional Class      | (5,290)          | 817                       
|                         | $    1,185,758   | $    226,004              

Distribution and Service Fees. Under the Fund's Class B and Class C
12b-1 Plans, DWS Scudder Distributors, Inc., ("DWS-SDI"), an affiliate of
the Advisor, receives a fee ("Distribution Fee") of 0.75% of average daily
net assets of each of Class B and C shares. In accordance with the Fund's
Underwriting and Distribution Service Agreement, DWS-SDI enters into
related selling group agreements with various firms at various rates for
sales of Class B and C shares. For the year ended October 31, 2007, the
Distribution Fee was as follows:

|Distribution Fee | Total
Aggregated | Unpaid at
October 31,
2007
|---------------- | ---------------- | --------------------------
|Class B          | $       460,385  | $       30,651            
|Class C          | 315,307          | 25,361                    
|                 | $    775,692     | $    56,012               

In addition, DWS-SDI provides information and administrative services for
a fee ("Service Fee") to Class A, B and C shareholders at an annual rate of
up to 0.25% of average daily net assets for each such class. DWS-SDI in
turn has various agreements with financial services firms that provide
these services and pays these fees based upon the assets of shareholder
accounts the firms service. For the year ended October 31, 2007, the
Service Fee was as follows:

|Service Fee | Total
Aggregated  | Unpaid at
October 31,
2007 | Annual
Effective Rate
|----------- | ----------------- | -------------------------- | ---------------------
|Class A     | $       1,060,693 | $       87,199             | .24%                 
|Class B     | 152,368           | 10,280                     | .25%                 
|Class C     | 104,159           | 9,569                      | .25%                 
|            | $    1,317,220    | $    107,048               |                      

Underwriting Agreement and Contingent Deferred Sales Charge.
DWS-SDI is the principal underwriter for the Fund. Underwriting
commissions paid in connection with the distribution of Class A shares for
the year ended October 31, 2007 aggregated $2,506.

In addition, DWS-SDI receives any contingent deferred sales charge
("CDSC") from Class B share redemptions occurring within six years of
purchase and Class C share redemptions occurring within one year of
purchase. There is no such charge upon redemption of any share
appreciation or reinvested dividends. The CDSC is based on declining
rates ranging from 4% to 1% for Class B and 1% for Class C, of the value
of shares redeemed. For the year ended October 31, 2007, the CDSC for
Class B and C shares aggregated $142,737 and $1,754, respectively. A
deferred sales charge of up to 1% is assessed on certain redemptions of
Class A shares.

Typesetting and Filing Service Fees. Under an agreement with DIMA,
DIMA is compensated for providing typesetting and certain regulatory
filing services to the Fund. For the year ended October 31, 2007, the
amount charged to the Fund by DIMA included in the Statement of
Operations under "reports to shareholders" aggregated $27,602, of which
$8,023 is unpaid.

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

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

D. Fee Reductions

For the year ended October 31, 2007, the Advisor agreed to reimburse the
Fund $7,904, which represents a portion of the fee savings expected to be
realized by the Advisor related to the outsourcing by the Advisor of certain
administrative services to an unaffiliated service provider.

The Fund has entered into an arrangement with its custodian whereby
credits realized as a result of uninvested cash balances are used to reduce
a portion of the Fund's custodian expenses. During the year ended
October 31, 2007, the custodian fees were reduced by $86 and $22,510,
respectively, for custody and transfer agent credits earned.

E. Line of Credit

The Fund and other affiliated funds (the ``Participants'') share in a
$750 million revolving credit facility administered by JPMorgan Chase
Bank N.A. for temporary or emergency purposes, including the meeting of
redemption requests that otherwise might require the untimely
disposition of securities. The Participants are charged an annual
commitment fee which is allocated, based upon net assets, among each
of the Participants. Interest is calculated at the Federal Funds Rate plus
0.35 percent. The Fund may borrow up to a maximum of 33 percent of its
net assets under the agreement.

F. Share Transactions

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

|                                                               | Year Ended October 31, 2007 | Year Ended October 31, 2006
|-------------------------------------------------------------- | --------------------------- | ---------------------------
|                                                               | Shares                      | Dollars                    
|Shares sold                                                   
|Class A                                                        | 3,383,059                   | $       72,810,915         
|Class B                                                        | 216,780                     | 4,347,300                  
|Class C                                                        | 273,143                     | 5,537,440                  
|Institutional Class                                            | 64,138                      | 1,372,867                  
|Class S                                                        | 599,054                     | 12,783,952                 
|                                                               |                             | $    96,852,474            
|Shares issued to shareholders in reinvestment of distributions
|Class A                                                        | 1,920,225                   | $       39,767,959         
|Class B                                                        | 345,793                     | 6,687,628                  
|Class C                                                        | 203,871                     | 3,997,992                  
|Institutional Class                                            | 193,817                     | 4,149,628                  
|Class S                                                        | 17,156                      | 354,752                    
|                                                               |                             | $    54,957,959            
|Shares redeemed                                               
|Class A                                                        | (5,348,862)                 | $       (115,295,115)      
|Class B                                                        | (1,653,405)                 | (33,099,618)               
|Class C                                                        | (637,890)                   | (12,957,691)               
|Institutional Class                                            | (819,589)                   | (18,523,664)               
|Class S                                                        | (133,211)                   | (2,902,423)                
|                                                               |                             | $    (182,778,511)         
|Redemption fees                                                | $    6,136                  |                            
|Net increase (decrease)                                       
|Class A                                                        | (45,577)                    | $       (2,711,015)        
|Class B                                                        | (1,090,833)                 | (22,064,615)               
|Class C                                                        | (160,876)                   | (3,421,766)                
|Institutional Class                                            | (561,634)                   | (13,001,169)               
|Class S                                                        | 482,989                     | 10,236,623                 
|                                                               |                             | $    (30,961,942)          

Report of Independent Registered
Public Accounting Firm

To the Shareholders and Board of Trustees of DWS Blue Chip Fund:

We have audited the accompanying statement of assets and liabilities of
DWS Blue Chip Fund (the "Fund"), including the investment portfolio, as
of October 31, 2007, and the related statement of operations for the year
then ended, the statement of changes in net assets for each of the two
years in the period then ended, and the financial highlights for each of the
periods indicated therein. These financial statements and financial
highlights are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public
Company Accounting Oversight Board (United States). Those standards
require that we plan and perform the audit to obtain reasonable assurance
about whether the financial statements and financial highlights are free of
material misstatement. We were not engaged to perform an audit of the
Fund's internal control over financial reporting. Our audits included
consideration of internal control over financial reporting as a basis for
designing audit procedures that are appropriate in the circumstances, but
not for the purpose of expressing an opinion on the effectiveness of the
Fund's internal control over financial reporting. Accordingly, we express no
such opinion. An audit also includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements and
financial highlights, assessing the accounting principles used and
significant estimates made by management, and evaluating the overall
financial statement presentation. Our procedures included confirmation of
securities owned as of October 31, 2007, by correspondence with the
custodian and brokers. We believe that our audits provide a reasonable
basis for our opinion.

In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of DWS
Blue Chip Fund at October 31, 2007, the results of its operations for the
year then ended, the changes in its net assets for each of the two years in
the period then ended, and the financial highlights for each of the periods
indicated therein, in conformity with U.S. generally accepted accounting
principles.

|Boston, Massachusetts
December 21, 2007 |  | bcf_eny0
|--------------------------------------- |  | --------

Tax Information(Unaudited)

The Fund paid distributions of $.91 per share from net long-term capital
gains during its year ended October 31, 2007, of which 100% represents
15% rate gains.

Pursuant to Section 852 of the Internal Revenue Code, the Fund
designates $40,658,000 as capital gain dividends for its year ended
October 31, 2007, of which 100% represents 15% rate gains.

For corporate shareholders, 25% of the income dividends paid during the
Fund's fiscal year ended October 31, 2007, qualified for the dividends
received deduction.

For Federal Income Tax purposes, the Fund designates $10,796,000, or
the maximum amount allowable under tax law, as qualified dividend
income.

Please consult a tax advisor if you have questions about federal or state
income tax laws, or on how to prepare your tax returns. If you have
specific questions about your account, please call (800) 621-1048.

Investment Management Agreement
Approval

The Board of Trustees, including the Independent Trustees, approved the
renewal of your Fund's investment management agreement (the
"Agreement") with Deutsche Investment Management Americas Inc.
("DIMA" or the "Advisor") in September 2007. As part of its review
process, the Board requested and evaluated all information it deemed
reasonably necessary to evaluate the Agreement. Over the course of
several months, the Contract Review Committee, in coordination with the
Equity Oversight Committee and the Operations Committee of the Board,
reviewed comprehensive materials received from the Advisor,
independent third parties and independent counsel. These materials
included an analysis of the Fund's performance, fees and expenses, and
profitability compiled by an independent fee consultant. The Board also
received extensive information throughout the year regarding
performance and operating results of the Fund. Based on their evaluation
of the information provided, the Committees presented their findings and
recommendations to the Independent Trustees as a group. The
Independent Trustees then reviewed the Committees' findings and
recommendations and presented their recommendations to the full
Board. Throughout their consideration of the Agreement, the Independent
Trustees were advised by their independent legal counsel and by an
independent fee consultant.

In connection with the contract review process, the various Committees
and the Board considered the factors discussed below, among others. The
Board also considered that the Advisor and its predecessors have
managed the Fund since its inception, and the Board believes that a
long-term relationship with a capable, conscientious advisor is in the best
interests of the Fund. The Board considered, generally, that shareholders
invested in the Fund, or approved the investment management
agreement for the Fund, knowing that the Advisor managed the Fund and
knowing the investment management fee schedule. The Board
considered Deutsche Bank's commitment that it will devote to the Advisor
and its affiliates all attention and resources that are necessary to provide
the Fund with top-quality investment management and shareholder,
administrative and product distribution services.

Nature, Quality and Extent of Services. The Board considered the nature,
extent and quality of services provided under the Agreement, including
portfolio management services and administrative services. The Board
considered the experience and skills of senior management and
investment personnel, the resources made available to such personnel,
the ability of the Advisor to attract and retain high-quality personnel, and
the organizational depth and stability of the Advisor. The Board reviewed
the Fund's performance over short-term and long-term periods and
compared those returns to various agreed-upon performance measures,
including market indices and a peer universe compiled by the independent
fee consultant using information supplied by Lipper Inc. ("Lipper"). The
Board considered whether investment results were consistent with the
Fund's investment objective and policies. The Board also noted that it has
put a process into place of identifying "Focus Funds" (e.g., funds
performing poorly relative to their benchmark or a peer group compiled by
Lipper), and receives more frequent reporting and information from the
Advisor regarding such funds, along with the Advisor's remedial plans to
address underperformance. The Board believes this process is an
effective manner of addressing poorly performing funds at this time.

On the basis of this evaluation and the ongoing review of investment
results by the Equity Oversight Committee, the Board concluded that the
nature, quality and extent of services provided by the Advisor historically
have been and continue to be satisfactory, and that the Fund's
performance over time was satisfactory.

Fees and Expenses. The Board considered the Fund's management fee
rate, operating expenses and total expense ratios and compared
management fees to a peer group and total expenses to a broader
peer universe based on information and data supplied by Lipper and
supplemented by the independent fee consultant. The information
provided to the Board, showed that the Fund's management fee rate was
at the 1stpercentile of the peer group, and that the Fund's total expense
ratios (excluding any 12b-1 plans) were at the following percentiles of the
peer universe: the 22ndpercentile for Class A shares, the 63rdpercentile
for Class B shares, the 30thpercentile for Class C shares, the 5thpercentile for Institutional Class shares and the 30thpercentile for
Class S shares. The Board also considered the Fund's management fee
rate as compared to fees charged by the Advisor and certain of its
affiliates for comparable mutual funds and considered differences in fund
and fee structures among the DWS Funds.

On the basis of the information provided, the Board concluded that
management fees were reasonable and appropriate in light of the nature,
quality and extent of services provided by the Advisor. The Board noted
that, although the total expense ratio for Class B shares was above the
median of the peer universe, such total expense ratio was within an
acceptable range of the peer universe and consistent with reasonable
expectations in light of the nature, quality and extent of services provided
by the Advisor.

Profitability. The Board reviewed detailed information regarding revenues
received by the Advisor under the Agreement. The Board considered the
estimated costs and pre-tax profits realized by the Advisor from advising
the DWS Funds, as well as estimates of the pre-tax profits attributable to
managing the Fund in particular. The Board also received information
regarding the estimated enterprise-wide profitability of the DWS Scudder
organization with respect to all fund services in totality and by fund. The
Board reviewed DIMA's methodology in allocating its costs to the
management of the Fund. Although the Board noted the inherently
subjective nature of any allocation methodology, the Board received an
attestation report from an accounting firm affirming that the allocation
methods were consistently applied and were based upon practices
commonly used in the investment management industry. Based on the
information provided, the Board concluded that the pre-tax profits realized
by DIMA in connection with the management of the Fund were not
unreasonable.

Economies of Scale. The Board considered whether there are economies
of scale with respect to the management of the Fund and whether the
Fund benefits from any economies of scale. The Board considered
whether the management fee rate under the Agreement is reasonable in
relation to the asset size of the Fund. The Board noted that the
management fee schedule included seven breakpoints, designed to share
economies of scale with Fund shareholders. The Board concluded that the
management fee schedule reflects an appropriate level of sharing of any
economies of scale.

Other Benefits to DIMA and Its Affiliates. The Board also considered the
character and amount of other incidental benefits received by DIMA and
its affiliates, including any fees received by the Advisor for administrative
services provided to the Fund and any fees received by an affiliate of the
Advisor for distribution services. The Board also considered benefits to
DIMA related to brokerage and soft-dollar allocations, which pertain
primarily to funds investing in equity securities, along with the incidental
public relations benefits to DIMA related to DWS Funds advertising and
cross-selling opportunities among DeAM products and services. The
Board concluded that management fees were reasonable in light of these
fallout benefits.

Based on all of the information considered and the conclusions reached,
the Board (including a majority of the Independent Trustees) determined
that the terms of the Agreement continue to be fair and reasonable and
that the continuation of the Agreement is in the best interests of the
Fund. No single factor was determinative in the Board's analysis.

Summary of Management Fee Evaluation
by Independent Fee Consultant

October 26, 2007

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

Qualifications

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

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

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

Evaluation of Fees for each DWS Scudder Fund

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

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

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

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

Fees and Expenses Compared with Other Funds

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

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

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

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

DeAM's Fees for Similar Services to Others

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

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

Costs and Profit Margins

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

Economies of Scale

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

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

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

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

Quality of Service  Performance

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

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

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

Complex-Level Considerations

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

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

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

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

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

Findings

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

bcf_m0Thomas H. Mack

Trustees and Officers

The following table presents certain information regarding the Board
Members and Officers of the fund as of October 31, 2007. Each
individual's year of birth is set forth in parentheses after his or her name.
Unless otherwise noted; (i) each individual has engaged in the principal
occupation(s) noted in the table for at least the most recent five years,
although not necessarily in the same capacity, and (ii) the address of each
individual is c/o Deutsche Asset Management, 222 South Riverside Plaza,
Chicago, Illinois 60606. Each Board Member's term of office extends until
the next shareholders' meeting called for the purpose of electing such
Board Members and until the election and qualification of a successor, or
until such Board Member sooner dies, retires, resigns or is removed as
provided in the governing documents of the fund.

|Independent Board Members                                                     
|------------------------------------------------------------------------------
|Name, Year of
Birth, Position(s)
Held with the
Fund and Length
of Time Served1
|Paul K. Freeman
(1950)Chairperson since
2007, and Board
Member,
2002-present  
|John W. Ballantine
(1946)Board Member,
1999-present                           
|Donald L. Dunaway
(1937)Board Member,
1980-present                            
|James R. Edgar
(1946)Board Member,
1999-present                               
|Robert B. Hoffman
(1936)Board Member,
1981-present                            
|William McClayton
(1944)Board Member,
2004-present                            
|Shirley D. Peterson
(1941)Board Member,
1995-present                          
|Robert H.
Wadsworth(1940)Board Member,
2004-present                           

|Officers2                                                                           
|------------------------------------------------------------------------------------
|Name, Year of
Birth, Position(s)
Held with the
Fund and Length
of Time Served1      
|Michael G. Clark4
(1965)President,
2006-present                                     
|Philip J. Collora
(1945)Vice President and
Assistant Secretary,
1986-present        
|Paul H. Schubert4
(1963)Chief Financial
Officer,
2004-presentTreasurer,
2005-present
|John Millette5
(1962)Secretary,
2001-present                                        
|Patricia DeFilippis4(1963)Assistant Secretary,
2005-present                         
|Elisa D. Metzger4,(1962)Assistant Secretary
2005-present                            
|Caroline Pearson5
(1962)Assistant Secretary,
1998-present                           
|Paul Antosca5
(1957)Assistant Treasurer,
2007-present                               
|Kathleen Sullivan
D'Eramo5(1957)Assistant Treasurer,
2003-present                   
|Jason Vazquez4
(1972)Anti-Money
Laundering
Compliance Officer,
2007-present         
|Robert Kloby4(1962)Chief Compliance
Officer,
2006-present                           

The fund's Statement of Additional Information ("SAI") includes additional information about
the Board Members. The SAI is available, without charge, upon request. If you would like to
request a copy of the SAI, you may do so by calling the following toll-free number:
(800) 621-1048.

Account Management Resources

|                      
|----------------------
|For More
Information  
|Web Site              
|Written
Correspondence
|Proxy Voting          
|Principal
Underwriter 

|              | Class A    | Class B    | Class C    | Class S    | Institutional
Class
|------------- | ---------- | ---------- | ---------- | ---------- | -------------------
|Nasdaq Symbol | KBCAX      | KBCBX      | KBCCX      | KBCSX      | KBCIX              
|CUSIP Number  | 233372 101 | 233372 200 | 233372 309 | 233372 507 | 233372 408         
|Fund Number   | 031        | 231        | 331        | 2331       | 1431               

bcf_backcover0

ITEM 2.
        CODE OF ETHICSAs of the end of the period, October 31, 2007, DWS Blue Chip Fund has a code of ethics, as defined in Item 2 of Form N-CSR, that applies to its Principal Executive Officer and Principal Financial Officer.

There have been no amendments to, or waivers from, a provision of the code of ethics during the period covered by this report that would require disclosure under Item 2.

A copy of the code of ethics is filed as an exhibit to this Form N-CSR.ITEM 3.
        AUDIT COMMITTEE FINANCIAL EXPERTThe Funds Board of Directors/Trustees has determined that the Fund has at least one audit committee financial expert serving on its audit  committee: Mr. William McClayton, Mr. Donald Dunaway and Mr. Robert Hoffman. Each of these audit committee members is independent, meaning that he is not an interested person of the Fund (as that term is defined in Section 2(a)(19) of the Investment Company Act of 1940) and he does not accept any consulting, advisory, or other compensatory fee from the Fund (except in the capacity as a Board or committee member).

An audit committee financial expert is not an expert for any purpose, including for purposes of Section 11 of the Securities Act of 1933, as a result of being designated as an audit committee financial expert. Further, the designation of a person as an audit committee financial expert does not mean that the person has any greater duties, obligations, or liability than those imposed on the person without the audit committee financial expert designation. Similarly, the designation of a person as an audit committee financial expert does not affect the duties, obligations, or liability of any other member of the audit committee or board of directors.ITEM 4.
        PRINCIPAL ACCOUNTANT FEES AND SERVICES
  DWS BLUE CHIP FUND FORM N-CSR DISCLOSURE RE: AUDIT FEES The following table shows the amount of fees that Ernst & Young, LLP (E&Y), the Funds Independent Registered Public Accountant, billed to the Fund during the Funds last two fiscal years.  The Audit Committee approved in advance all audit services and non-audit services that E&Y provided to the Fund. The Audit Committee has delegated certain pre-approval responsibilities to its Chairman (or, in his absence, any other member of the Audit Committee). Services that the Funds Independent Registered Public Accountant Billed to the Fund  Fiscal YearEndedOctober 31
        Audit Fees Billed to Fund
        Audit-RelatedFees Billed to Fund
        Tax Fees Billed to Fund
        AllOther Fees Billed to Fund2007
        $48,731
        $0
        $6,645
        $02006
        $46,564
        $0
        $6,350
        $0
  The above "Tax Fees" were billed for professional services rendered for tax return preparation.   Services that the Funds Independent Registered Public Accountant Billed to the Adviser and Affiliated Fund Service Providers

The following table shows the amount of fees billed by E&Y to Deutsche Investment Management Americas, Inc. (DeIM or the Adviser), and any entity controlling, controlled by or under common control with DeIM (Control Affiliate) that provides ongoing services to the Fund (Affiliated Fund Service Provider), for engagements directly related to the Funds operations and financial reporting, during the Funds last two fiscal years.




Fiscal YearEndedOctober 31
        Audit-RelatedFees Billedto Adviser and Affiliated Fund Service Providers
        Tax Fees Billed to Adviser and Affiliated Fund Service Providers
        AllOther Fees Billed to Adviser and Affiliated Fund Service Providers2007
        $250,000
        $486,614
        $02006
        $80,000
        $316,254
        $0



The Audit-Related Fees were billed for services in connection with agreed upon procedures related to fund mergers and the above Tax Fees were billed in connection with tax compliance services and agreed upon procedures.

Non-Audit Services

The following table shows the amount of fees that E&Y billed during the Funds last two fiscal years for non-audit services. The Audit Committee pre-approved all non-audit services that E&Y provided to the Adviser and any Affiliated Fund Service Provider that related directly to the Funds operations and financial reporting. The Audit Committee requested and received information from E&Y about any non-audit services that E&Y rendered during the Funds last fiscal year to the Adviser and any Affiliated Fund Service Provider.  The Committee considered this information in evaluating E&Ys independence.




Fiscal YearEndedOctober 31
        TotalNon-Audit Fees Billed to Fund
(A)
        Total Non-Audit Fees billed to Adviser and Affiliated Fund Service Providers (engagements related directly to the operations and financial reporting of the Fund)
(B)
        Total Non-Audit Fees billed to Adviser and Affiliated Fund Service Providers (all other engagements)
(C)
        Total of (A), (B)and (C)2007
        $6,645
        $486,614
        $1,129,726
        $1,622,9852006
        $6,350
        $316,254
        $891,699
        $1,214,303





All other engagement fees were billed for services in connection with internal control reviews, agreed upon procedures and tax compliance for DeIM and other related entities that provide support for the operations of the fund.



***

In connection with the audit of the 2006 and 2007 financial statements, the Fund entered into an engagement letter with E&Y.  The terms of the engagement letter required by E&Y, and agreed to by the Audit Committee, include provisions in which the parties consent to the sole jurisdiction of federal courts in New York, Boston or the Northern District of Illinois, as well as a waiver of right to a trial by jury and an exclusion of punitive damages.



***

E&Y recently advised the Funds Audit Committee that certain arrangements between the Ernst & Young member firm in Germany (E&Y Germany) and Deutsche Bank AG (DB) had been determined to be inconsistent with the SEC auditor independence rules.  DB is within the Investment Company Complex (as defined by SEC rules) and therefore covered by the SEC auditor independence rules applicable to the Fund.  In 2006 and 2007, DB provided standard overdraft protection on a depository account and a guarantee of certain lease deposits to E&Y Germany.  E&Y advised the Audit Committee that while neither of these arrangements was ever utilized by E&Y Germany, they could constitute lending type arrangements in violation of Rule 2-01 of Regulation S-X.  (Rule 2-01(c)(1)(ii)(A) provides that an accountant is not independent when
an accounting firm has a loan to or from an audit client.)  E&Y advised the Audit Committee that E&Y believes its independence has not been impacted as it relates to the audits of the Fund.  In reaching this conclusion, E&Y noted a number of factors, including that neither of the arrangements was ever utilized and, accordingly, E&Y Germany never had amounts outstanding to DB, these arrangements were immaterial to E&Y Germany and DB and the E&Y professionals responsible for the Funds audits were not aware of these arrangements.  E&Y informed the Audit Committee that E&Y Germany has cancelled the overdraft arrangements and has terminated the guarantee on the lease deposits.




ITEM 5.
        AUDIT COMMITTEE OF LISTED REGISTRANTSNot ApplicableITEM 6.
        SCHEDULE OF INVESTMENTSNot ApplicableITEM 7.
        DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIESNot applicable.ITEM 8.
        PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIESNot applicable.




ITEM 9.
        PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERSNot Applicable.




ITEM 10.
        SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS





The primary function of the Nominating and Governance Committee is to identify and recommend individuals for membership on the Board and oversee the administration of the Board Governance Procedures and Guidelines. Shareholders may recommend candidates for Board positions by forwarding their correspondence by U.S. mail or courier service to the Fund's Secretary for the attention of the Chairman of the Nominating and Governance Committee, Two International Place, Boston, MA 02110. Suggestions for candidates must include a resume of the candidate.ITEM 11.
        CONTROLS AND PROCEDURES(a)          The Chief Executive and Financial Officers concluded that the Registrants Disclosure Controls and Procedures are effective based on the evaluation of the Disclosure Controls and Procedures as of a date within 90 days of the filing date of this report.(b)          There have been no changes in the registrants internal control over financial reporting that occurred during the registrants last half-year (the registrants second fiscal half-year in the case of the annual report) that has materially affected, or is reasonably likely to materially affect, the registrants internal controls over financial reporting.ITEM 12.
        EXHIBITS(a)(1)     Code of Ethics pursuant to Item 2 of Form N-CSR is filed and attached hereto as EX-99.CODE ETH.(a)(2)     Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT.(b)         Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is furnished and attached hereto as Exhibit 99.906CERT.


Form N-CSR Item F  SIGNATURES  Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.  Registrant:
        DWS Blue Chip Fund
  By:
        /s/Michael G. Clark
 Michael G. Clark
 President  Date:
        December 28, 2007
   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 Blue Chip Fund
  By:
        /s/Michael G. Clark
 Michael G. Clark
 President  Date:
        December 28, 2007
   By:
        /s/Paul Schubert
 Paul Schubert
 Chief Financial Officer and Treasurer  Date:
        December 28, 2007