UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

 

**FORM N-Q**

**QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED**

**MANAGEMENT INVESTMENT COMPANY**

**_______________________________**

Investment Company Act file number  811-5565

DWS Mutual Funds, Inc.

(Exact name of registrant as specified in charter)

 

345 Park Avenue

New York, NY  10154

(Address of principal executive offices)             (Zip code)

 

Paul Schubert

345 Park Avenue

New York, NY  10154-0004

(Name and address of agent for service)

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

Date of fiscal year end:  10/31

Date of reporting period: 1/31/09

 

ITEM 1.  SCHEDULE OF INVESTMENTS

 

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

 

 

**DWS Gold & Precious Metals Fund**

 

 

|   | **Shares**                           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | **Value ($)** |
|--------|--------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------|
|        |
|   | **Common Stocks and Warrants 94.2%** |  
**Australia 11.0%**

 
Andean Resources Ltd.*  

 

7,386,953 

 

6,141,581

Centamin Egypt Ltd.*  

 

3,298,100 

 

1,963,395 

Dragon Mountain Gold Ltd.*  

 

3,376,746 

 

235,742 

Kingsgate Consolidated Ltd.*  

 

1,465,925 

 

3,448,655 

Mineral Deposits Ltd.*  

 

5,888,000 

 

2,416,288 

Newcrest Mining Ltd.  

 

1,131,971 

 

22,037,283

Sino Gold Mining Ltd.*  

 

4,280,083 

 

13,285,692 

Sylvania Resources Ltd.*  

 

3,554,829 

 

1,585,821 

(Cost $65,160,941)

 

**51,114,457**

 

 

 

**Bermuda 0.7%**

 
Aquarius Platinum Ltd. (a) (Cost $2,840,262)

 

1,392,264 

 

**3,172,558**

**Canada 50.7%**

 
Agnico-Eagle Mines Ltd.  

 

366,360 

 

19,431,734 

Anatolia Minerals Development Ltd.*  

 

2,163,100 

 

3,386,872 

Barrick Gold Corp.  

 

1,465,164 

 

55,129,596 

Bear Creek Mining Corp.*  

 

1,104,070 

 

1,305,526 

Eldorado Gold Corp.*  

 

2,097,400 

 

16,420,012 

Franco-Nevada Corp.  

 

126,900 

 

2,633,725 

Gammon Gold, Inc.*  

 

815,400 

 

5,386,129 

Goldcorp, Inc.  

 

1,444,765

 

42,746,411

Great Basin Gold Ltd.*  

 

1,594,400 

 

2,145,370 

Guyana Goldfields, Inc.*  

 

757,000 

 

1,827,295 

IAMGOLD Corp.  

 

2,152,160 

 

14,742,625 

Kinross Gold Corp.  

 

2,507,111 

 

44,427,745 

Kinross Gold Corp. (Warrants) Expiration Date 9/3/2013*  

 

134,683 

 

571,133 

Red Back Mining, Inc.*  

 

908,500 

 

5,838,108 

Silver Wheaton Corp.*  

 

822,400 

 

5,370,272 

Yamana Gold, Inc.  

 

1,809,898 

 

14,588,798

(Cost $224,580,475)

 

**235,951,351**

**Mexico 1.1%**

 
Fresnillo PLC  (Cost $1,698,383)

 

1,025,800 

 

**5,258,121**

**Papua New Guinea 5.1%**

 
Lihir Gold Ltd.*  (Cost $25,563,117)

 

11,858,458 

 

**23,797,434**

**South Africa 9.1%**

 
AngloGold Ashanti Ltd.  

 

665,772 

 

18,896,543 

AngloGold Ashanti Ltd. (ADR)  

 

103,276 

 

2,962,988 

Gold Fields Ltd.  

 

605,800 

 

6,409,589 

Impala Platinum Holdings Ltd. (ADR)  

 

1,220,050 

 

14,103,778 

(Cost $67,556,891)

 

**42,372,898**

**United Kingdom 3.5%**

 
Randgold Resources Ltd. (ADR)  (Cost $11,620,089)

 

360,201 

 

**16,014,536**

**United States 13.0%**

 
Newmont Mining Corp. (Cost $60,682,831)

 

1,514,800 

 

**60,258,744**

**Total Common Stocks** (Cost $459,702,989)

 

**437,940,099**

 

**Exchange Traded Fund 3.8%**

 
**United States**

 
SPDR Gold Trust*  (Cost $13,707,912)

 

194,000 

 

**17,714,140**

 

 

**Troy Ounces**

 

**Value ($)**

 

 

**Commodities 1.0%**

 
**United States**

 
Gold Bullion*  (Cost $4,255,879)

 

5,171 

 

**4,798,079**

 

 

**Shares**

 

**Value ($)**

 

 

 

 
 
 

**Cash Equivalents 1.5%**

 
 
Cash Management QP Trust, 1.12% (b)(Cost $6,805,753)

 

 

6,805,753

 

**6,805,753**

 
 

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

 

**Value ($)**

 
 
**Total Investment Portfolio** (Cost $484,472,533) †

100.5

 

**467,258,071**

 
**Other Assets and Liabilities, Net**

(0.5)

 

**(2,172,872)**

 
 
**Net Assets**

100.0

 

**465,085,199**

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

 
***

*Non-income producing security.*

 
*†*

*The cost for federal income tax purposes was $493,453,417.  At January 31, 2009, net unrealized depreciation for all securities based on tax cost was $26,195,346.  This consisted of aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost of $55,826,823 and aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value of $82,022,169.*

 
*(a)*

*Security is listed in country of domicile.  Significant business activities of company are in Africa.*

 
*(b)*

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

 
*ADR: American Depositary Receipt*

 
*SPDR: Standard & Poor's Depositary Receipt*

 
*At January31, 2009, the DWS Gold & Precious Metals Fund had the following Quality Distribution:*

***Quality Distribution (As a % of Common Stocks)*****

* *

 
***Group breakdown of the Fund's common stocks*****

* *

 
***Group I:*****

* *

 
*Premier producing companies***

*61 %***

 
* *

* *

 
***Group II:*****

* *

 
*Major established producers***

*23%***

 
* *

* *

 
***Group III:*****

* *

 
*Junior producers with medium cost production***

*11 %***

 
* *

* *

 
***Group IV:*****

* *

 
*Companies with some production on stream or in start-up***

*3 %***

 
* *

* *

 
***Group V:*****

* *

 
*Primarily exploration companies with or without mineral resources***

*2 %***

 
 **

*100%***

 
 

 

 

***Fair Value Measurements***

 

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

*Various inputs are used in determining the value of the Fund's investments. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, and credit risk). Level 3 includes significant unobservable*

 

*inputs (including the Fund's own assumptions in determining the fair value of investments). The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.*

 

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

 

**Valuation Inputs**

**Investments in  Securities**

Level 1 

$             324,582,893   

Level 2 

142,675,178   

Level 3 

-   

**Total**

**$             467,258,071**

 

 

**ITEM 2.**

**CONTROLS AND PROCEDURES**

 

 

 

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

 

 

 

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

 

 

**ITEM 3.**

**EXHIBITS**

 

 

 

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

 

 

**SIGNATURES**

 

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

 

Registrant: 

DWS Gold & Precious Metals Fund, a series of DWS Mutual Funds, Inc.

 

By:

/s/Michael G. Clark

 

Michael G. Clark

President

 

Date:

March 23, 2009

 

 

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

 

Registrant: 

DWS Gold & Precious Metals Fund, a series of DWS Mutual Funds, Inc.

 

By:

/s/Michael G. Clark

 

Michael G. Clark

President

 

Date:

March 23, 2009

 

 

By:

/s/Paul Schubert

 

Paul Schubert

Chief Financial Officer and Treasurer

 

Date:                                        March 23, 2009

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