UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM N-CSR
Investment Company Act file number: 811-02671
Deutsche DWS Municipal Trust
(Exact Name of Registrant as Specified in Charter)
875 Third Avenue
New York, NY 10022-6225
(Address of Principal Executive Offices) (Zip Code)
Registrant’s Telephone Number, including Area Code: (212) 454-4500
Diane Kenneally
100 Summer Street
Boston, MA 02110
(Name and Address of Agent for Service)
Date of fiscal year end: | 5/31 |
Date of reporting period: | 5/31/2024 |
Item 1. | Reports to Stockholders. |
(a) |
DWS Strategic High Yield Tax-Free Fund
Class A: NOTAX
Annual Shareholder Report—May 31, 2024
This annual shareholder report contains important information about DWS Strategic High Yield Tax-Free Fund ("the Fund") for the period June 1, 2023 to May 31, 2024. You can find additional information about the Fund on the Fund's website at www.dws.com/mutualreports. You can also request this information by contacting us at (800) 728-3337.
This report describes changes to the Fund that occurred during the reporting period.
What were the Fund costs for the last year?
(Based on a hypothetical $10,000 investment)
Cost of a $10,000 investment | Costs paid as a percentage of a $10,000 investment | |
---|---|---|
Class A | $86 | 0.83% |
Gross expense ratio as of the latest prospectus: 0.95%. See prospectus for any contractual or voluntary waivers; without a waiver, costs would have been higher.
How did the Fund perform last year and what affected its performance?
Class A shares of the Fund returned 6.33% (unadjusted for sales charges) for the period ended May 31, 2024. The Fund's index, the Bloomberg Municipal Bond Index, returned 2.67% for the same period.
Municipal market prices were pressured over the period by higher U.S. Treasury yields and greater-than-expected new issue supply. Lower quality issues in the BBB and high yield rating categories led municipal market performance as recession fears eased, supporting credit sentiment broadly. In addition, high yield prices benefited from very low new issuance. While yield increases were more muted than for U.S. Treasuries, the municipal curve finished higher along its length for the 12 months.
The Fund was overweight issues rated BBB and below investment grade, supporting returns as lower quality segments of the municipal market outperformed. In sector terms, overweight allocations to senior living, tobacco, and healthcare bonds aided performance. The Fund’s tilt toward longer maturities proved beneficial to performance as the higher income offered by these issues more than offset the negative impact on prices as the municipal yield curve moved higher.
While there were no material detractors, the Fund had exposure to a small number of distressed bonds and education-related issues that weighed marginally on relative performance.
Fund Performance
Cumulative Growth of an Assumed $10,000Investment
(Adjusted for Maximum Sales Charge)
Bloomberg Municipal Bond Index is a market value-weighted index of investment-grade municipal bonds with maturities of one year or more.
Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.
Class A | Bloomberg Municipal Bond Index | |
---|---|---|
'14 | $9,725 | $10,000 |
'14 | $9,661 | $10,009 |
'14 | $9,682 | $10,026 |
'14 | $9,820 | $10,148 |
'14 | $9,864 | $10,158 |
'14 | $9,932 | $10,228 |
'14 | $9,952 | $10,245 |
'14 | $10,019 | $10,297 |
'15 | $10,206 | $10,480 |
'15 | $10,113 | $10,371 |
'15 | $10,141 | $10,401 |
'15 | $10,090 | $10,347 |
'15 | $10,080 | $10,318 |
'15 | $10,021 | $10,309 |
'15 | $10,083 | $10,384 |
'15 | $10,113 | $10,404 |
'15 | $10,175 | $10,479 |
'15 | $10,222 | $10,521 |
'15 | $10,277 | $10,563 |
'15 | $10,355 | $10,637 |
'16 | $10,443 | $10,764 |
'16 | $10,456 | $10,781 |
'16 | $10,561 | $10,815 |
'16 | $10,650 | $10,894 |
'16 | $10,712 | $10,924 |
'16 | $10,911 | $11,098 |
'16 | $10,913 | $11,105 |
'16 | $10,949 | $11,120 |
'16 | $10,905 | $11,064 |
'16 | $10,792 | $10,948 |
'16 | $10,377 | $10,540 |
'16 | $10,459 | $10,663 |
'17 | $10,508 | $10,734 |
'17 | $10,593 | $10,808 |
'17 | $10,617 | $10,832 |
'17 | $10,686 | $10,910 |
'17 | $10,850 | $11,083 |
'17 | $10,840 | $11,044 |
'17 | $10,899 | $11,133 |
'17 | $10,993 | $11,218 |
'17 | $10,953 | $11,161 |
'17 | $10,985 | $11,188 |
'17 | $10,982 | $11,128 |
'17 | $11,114 | $11,244 |
'18 | $10,993 | $11,112 |
'18 | $10,936 | $11,079 |
'18 | $10,978 | $11,120 |
'18 | $10,956 | $11,080 |
'18 | $11,080 | $11,207 |
'18 | $11,094 | $11,216 |
'18 | $11,108 | $11,244 |
'18 | $11,113 | $11,273 |
'18 | $11,045 | $11,200 |
'18 | $10,903 | $11,131 |
'18 | $10,948 | $11,254 |
'18 | $11,024 | $11,388 |
'19 | $11,090 | $11,475 |
'19 | $11,157 | $11,536 |
'19 | $11,355 | $11,718 |
'19 | $11,392 | $11,762 |
'19 | $11,591 | $11,925 |
'19 | $11,647 | $11,969 |
'19 | $11,721 | $12,065 |
'19 | $11,928 | $12,255 |
'19 | $11,868 | $12,157 |
'19 | $11,865 | $12,179 |
'19 | $11,890 | $12,209 |
'19 | $11,947 | $12,247 |
'20 | $12,179 | $12,467 |
'20 | $12,412 | $12,627 |
'20 | $11,290 | $12,169 |
'20 | $10,921 | $12,017 |
'20 | $11,273 | $12,399 |
'20 | $11,655 | $12,501 |
'20 | $11,919 | $12,712 |
'20 | $11,932 | $12,652 |
'20 | $11,917 | $12,655 |
'20 | $11,912 | $12,617 |
'20 | $12,188 | $12,807 |
'20 | $12,431 | $12,885 |
'21 | $12,649 | $12,967 |
'21 | $12,451 | $12,761 |
'21 | $12,547 | $12,840 |
'21 | $12,736 | $12,947 |
'21 | $12,914 | $12,986 |
'21 | $13,033 | $13,022 |
'21 | $13,162 | $13,130 |
'21 | $13,112 | $13,082 |
'21 | $12,978 | $12,987 |
'21 | $12,918 | $12,949 |
'21 | $13,099 | $13,059 |
'21 | $13,153 | $13,081 |
'22 | $12,776 | $12,722 |
'22 | $12,651 | $12,677 |
'22 | $12,106 | $12,266 |
'22 | $11,550 | $11,927 |
'22 | $11,681 | $12,104 |
'22 | $11,196 | $11,906 |
'22 | $11,666 | $12,220 |
'22 | $11,337 | $11,952 |
'22 | $10,614 | $11,494 |
'22 | $10,425 | $11,398 |
'22 | $11,043 | $11,931 |
'22 | $10,997 | $11,965 |
'23 | $11,445 | $12,309 |
'23 | $11,144 | $12,031 |
'23 | $11,333 | $12,298 |
'23 | $11,347 | $12,270 |
'23 | $11,299 | $12,163 |
'23 | $11,491 | $12,285 |
'23 | $11,551 | $12,334 |
'23 | $11,411 | $12,156 |
'23 | $11,037 | $11,800 |
'23 | $10,797 | $11,699 |
'23 | $11,579 | $12,442 |
'23 | $11,938 | $12,731 |
'24 | $12,001 | $12,666 |
'24 | $12,065 | $12,683 |
'24 | $12,140 | $12,682 |
'24 | $11,973 | $12,525 |
'24 | $12,015 | $12,488 |
Yearly periods ended May 31
The Fund's growth of an assumed $10,000 investment is adjusted for the maximum sales charge of 2.75%. This results in a net initial invesment of $9,725.
Average Annual Total Returns
Class/Index | 1-Year | 5-Year | 10-Year |
---|---|---|---|
Class A Unadjusted for Sales Charge | 6.33% | 0.72% | 2.14% |
Class A Adjusted for the Maximum Sales Charge (max 2.75% load) | 3.41% | 0.16% | 1.85% |
Bloomberg Municipal Bond Index | 2.67% | 0.93% | 2.25% |
Performance shown is historical. The Fund's past performance is not a good predictor or guarantee of the Fund's future performance. Investment return and principal fluctuate, so your shares may be worth more or less when redeemed. Current performance may be lower or higher than the performance data quoted. The performance graph and returns table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Please visit dws.com/en-us/products/mutual-funds for the Fund’s most recent month-end performance. Fund performance includes reinvestment of all distributions. Unadjusted returns do not reflect sales charges and would have been lower if they had reflected sales charges.
Key Fund Statistics
Net Assets ($) | 479,336,252 |
Number of Portfolio Holdings | 310 |
Portfolio Turnover Rate (%) | 58 |
Total Net Advisory Fees Paid ($) | 2,033,647 |
Modified Duration to Worst | 8.7 years |
Modified duration to worst is the measure of sensitivity of the prices of bonds held by the Fund to a change in interest rates, computed using each bond's nearest call or maturity date.
What did the Fund invest in?
Holdings-based data is subject to change.
The quality ratings represent the higher of Moody’s Investors Service, Inc. (“Moody’s”), Fitch Ratings, Inc. (“Fitch”) or S&P Global Ratings (“S&P”) credit ratings. The ratings of Moody’s, Fitch and S&P represent their opinions as to the quality of the securities they rate. Credit quality measures a bond issuer’s ability to repay interest and principal in a timely manner. Ratings are relative and subjective and are not absolute standards of quality. Credit quality does not remove market risk and is subject to change.
Asset Allocation
Asset Type | % of Net Assets |
Revenue Bonds | 87% |
General Obligation Bonds | 5% |
Variable Rate Demand Notes | 5% |
Other | 1% |
Lease Obligations | 0% |
Escrow To Maturity/prerefunded Bonds | 0% |
Other Assets and Liabilities, Net | 2% |
Total | 100% |
Credit Quality
Credit Rating | % of Net Assets |
AAA | 2% |
AA | 12% |
A | 12% |
BBB | 19% |
BB | 11% |
Not Rated | 37% |
Total | 93% |
Material Fund Changes
This is a summary of certain changes of the Fund since June 1, 2023. For more information, review the Fund's current prospectus at www.dws.com/mutualreports, or call (800) 728-3337.
Effective October 1, 2023, the Fund’s contractual cap on total annual operating expense for Class A shares changed from 0.85% to 0.82%. The cap excludes certain expenses such as extraordinary expenses, taxes, brokerage, interest expense and acquired fund fees and expenses.
Effective October 1, 2023, the Fund eliminated its investment limitation on high yield debt securities (i.e., debt securities rated BB/Ba and below) of 50% of total assets. The Fund may currently invest without limit in high yield debt securities. The Fund generally intends to invest approximately 50% - 65% in high yield debt securities.
Additional Information
If you wish to view additional information about the Fund, including, but not limited to, its prospectus, quarterly holdings, Board fee evaluation reports, and financial statements and other information, please visit www.dws.com/mutualreports. For information about the Fund's proxy voting policies and procedures and how the Fund voted proxies related to its portfolio securities, please visit dws.com/en-us/resources/proxy-voting. This additional information is also available free of charge by contacting us at (800) 728-3337.
Householding
In order to reduce the amount of mail you receive and to help reduce expenses, we generally send a single copy of any shareholder report and prospectus to each household. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact your financial representative or call DWS toll free at (800) 728-3337.
Bond investments are subject to interest-rate, credit, liquidity, and market risks to varying degrees. When interest rates rise, bond prices generally fall. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. Investments in lower-quality (“junk bonds”) and non-rated securities present greater risk of loss than investments in higher-quality securities. Municipal securities are subject to the risk that litigation, legislation or other political events, local business or economic conditions or the bankruptcy of the issuer could have a significant effect on an issuer’s ability to make payments of principal and/or interest. The market for municipal bonds may be less liquid than for taxable bonds and there may be less information available on the financial condition of issuers of municipal securities than for public corporations. The Fund invests in inverse floaters, which are derivatives that involve leverage and could magnify the Fund's gains or losses. Although the Fund seeks income that is exempt from federal income taxes, a portion of the Fund’s distributions may be subject to federal, state and local taxes, including the alternative minimum tax. Please read the prospectus for details.
This report must be preceded or accompanied by a prospectus. 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, which can be requested by calling (800) 728-3337, contacting your financial representative, or visit www.dws.com/mutualreports to view or download a prospectus. Please read the prospectus carefully before you invest.
The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc., which offers investment products, or DWS Investment Management Americas, Inc. and RREEF America L.L.C., which offer advisory services.
©2024 DWS Group GmbH&Co. KGaA. All rights reserved
DSHYTFF-TSRA-A
R-101128-1 (7/24)
DWS Strategic High Yield Tax-Free Fund
Class S: SHYTX
Annual Shareholder Report—May 31, 2024
This annual shareholder report contains important information about DWS Strategic High Yield Tax-Free Fund ("the Fund") for the period June 1, 2023 to May 31, 2024. You can find additional information about the Fund on the Fund's website at www.dws.com/mutualreports. You can also request this information by contacting us at (800) 728-3337.
This report describes changes to the Fund that occurred during the reporting period.
What were the Fund costs for the last year?
(Based on a hypothetical $10,000 investment)
Cost of a $10,000 investment | Costs paid as a percentage of a $10,000 investment | |
---|---|---|
Class S | $60 | 0.58% |
Gross expense ratio as of the latest prospectus: 0.74%. See prospectus for any contractual or voluntary waivers; without a waiver, costs would have been higher.
How did the Fund perform last year and what affected its performance?
Class S shares of the Fund returned 6.60% for the period ended May 31, 2024. The Fund's index, the Bloomberg Municipal Bond Index, returned 2.67% for the same period.
Municipal market prices were pressured over the period by higher U.S. Treasury yields and greater-than-expected new issue supply. Lower quality issues in the BBB and high yield rating categories led municipal market performance as recession fears eased, supporting credit sentiment broadly. In addition, high yield prices benefited from very low new issuance. While yield increases were more muted than for U.S. Treasuries, the municipal curve finished higher along its length for the 12 months.
The Fund was overweight issues rated BBB and below investment grade, supporting returns as lower quality segments of the municipal market outperformed. In sector terms, overweight allocations to senior living, tobacco, and healthcare bonds aided performance. The Fund’s tilt toward longer maturities proved beneficial to performance as the higher income offered by these issues more than offset the negative impact on prices as the municipal yield curve moved higher.
While there were no material detractors, the Fund had exposure to a small number of distressed bonds and education-related issues that weighed marginally on relative performance.
Fund Performance
Cumulative Growth of an Assumed $10,000Investment
Bloomberg Municipal Bond Index is a market value-weighted index of investment-grade municipal bonds with maturities of one year or more.
Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.
Class S | Bloomberg Municipal Bond Index | |
---|---|---|
'14 | $10,000 | $10,000 |
'14 | $9,936 | $10,009 |
'14 | $9,960 | $10,026 |
'14 | $10,104 | $10,148 |
'14 | $10,152 | $10,158 |
'14 | $10,224 | $10,228 |
'14 | $10,246 | $10,245 |
'14 | $10,318 | $10,297 |
'15 | $10,513 | $10,480 |
'15 | $10,427 | $10,371 |
'15 | $10,450 | $10,401 |
'15 | $10,399 | $10,347 |
'15 | $10,391 | $10,318 |
'15 | $10,341 | $10,309 |
'15 | $10,399 | $10,384 |
'15 | $10,431 | $10,404 |
'15 | $10,498 | $10,479 |
'15 | $10,548 | $10,521 |
'15 | $10,607 | $10,563 |
'15 | $10,690 | $10,637 |
'16 | $10,784 | $10,764 |
'16 | $10,799 | $10,781 |
'16 | $10,910 | $10,815 |
'16 | $11,004 | $10,894 |
'16 | $11,071 | $10,924 |
'16 | $11,278 | $11,098 |
'16 | $11,283 | $11,105 |
'16 | $11,322 | $11,120 |
'16 | $11,279 | $11,064 |
'16 | $11,165 | $10,948 |
'16 | $10,738 | $10,540 |
'16 | $10,834 | $10,663 |
'17 | $10,887 | $10,734 |
'17 | $10,969 | $10,808 |
'17 | $10,996 | $10,832 |
'17 | $11,069 | $10,910 |
'17 | $11,242 | $11,083 |
'17 | $11,234 | $11,044 |
'17 | $11,298 | $11,133 |
'17 | $11,397 | $11,218 |
'17 | $11,368 | $11,161 |
'17 | $11,394 | $11,188 |
'17 | $11,393 | $11,128 |
'17 | $11,532 | $11,244 |
'18 | $11,409 | $11,112 |
'18 | $11,352 | $11,079 |
'18 | $11,398 | $11,120 |
'18 | $11,378 | $11,080 |
'18 | $11,509 | $11,207 |
'18 | $11,526 | $11,216 |
'18 | $11,543 | $11,244 |
'18 | $11,551 | $11,273 |
'18 | $11,483 | $11,200 |
'18 | $11,337 | $11,131 |
'18 | $11,387 | $11,254 |
'18 | $11,469 | $11,388 |
'19 | $11,540 | $11,475 |
'19 | $11,611 | $11,536 |
'19 | $11,820 | $11,718 |
'19 | $11,861 | $11,762 |
'19 | $12,070 | $11,925 |
'19 | $12,131 | $11,969 |
'19 | $12,211 | $12,065 |
'19 | $12,429 | $12,255 |
'19 | $12,369 | $12,157 |
'19 | $12,368 | $12,179 |
'19 | $12,407 | $12,209 |
'19 | $12,459 | $12,247 |
'20 | $12,704 | $12,467 |
'20 | $12,949 | $12,627 |
'20 | $11,782 | $12,169 |
'20 | $11,400 | $12,017 |
'20 | $11,769 | $12,399 |
'20 | $12,170 | $12,501 |
'20 | $12,448 | $12,712 |
'20 | $12,464 | $12,652 |
'20 | $12,451 | $12,655 |
'20 | $12,449 | $12,617 |
'20 | $12,740 | $12,807 |
'20 | $12,996 | $12,885 |
'21 | $13,226 | $12,967 |
'21 | $13,022 | $12,761 |
'21 | $13,125 | $12,840 |
'21 | $13,325 | $12,947 |
'21 | $13,515 | $12,986 |
'21 | $13,642 | $13,022 |
'21 | $13,779 | $13,130 |
'21 | $13,730 | $13,082 |
'21 | $13,593 | $12,987 |
'21 | $13,533 | $12,949 |
'21 | $13,725 | $13,059 |
'21 | $13,784 | $13,081 |
'22 | $13,393 | $12,722 |
'22 | $13,265 | $12,677 |
'22 | $12,697 | $12,266 |
'22 | $12,117 | $11,927 |
'22 | $12,256 | $12,104 |
'22 | $11,750 | $11,906 |
'22 | $12,234 | $12,220 |
'22 | $11,904 | $11,952 |
'22 | $11,148 | $11,494 |
'22 | $10,952 | $11,398 |
'22 | $11,603 | $11,931 |
'22 | $11,557 | $11,965 |
'23 | $12,029 | $12,309 |
'23 | $11,716 | $12,031 |
'23 | $11,917 | $12,298 |
'23 | $11,935 | $12,270 |
'23 | $11,887 | $12,163 |
'23 | $12,079 | $12,285 |
'23 | $12,157 | $12,334 |
'23 | $12,013 | $12,156 |
'23 | $11,622 | $11,800 |
'23 | $11,372 | $11,699 |
'23 | $12,196 | $12,442 |
'23 | $12,576 | $12,731 |
'24 | $12,646 | $12,666 |
'24 | $12,704 | $12,683 |
'24 | $12,798 | $12,682 |
'24 | $12,624 | $12,525 |
'24 | $12,671 | $12,488 |
Yearly periods ended May 31
Average Annual Total Returns
Class/Index | 1-Year | 5-Year | 10-Year |
---|---|---|---|
Class S No Sales Charge | 6.60% | 0.98% | 2.40% |
Bloomberg Municipal Bond Index | 2.67% | 0.93% | 2.25% |
Performance shown is historical. The Fund's past performance is not a good predictor or guarantee of the Fund's future performance. Investment return and principal fluctuate, so your shares may be worth more or less when redeemed. Current performance may be lower or higher than the performance data quoted. The performance graph and returns table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Please visit dws.com/en-us/products/mutual-funds for the Fund’s most recent month-end performance. Fund performance includes reinvestment of all distributions.
Key Fund Statistics
Net Assets ($) | 479,336,252 |
Number of Portfolio Holdings | 310 |
Portfolio Turnover Rate (%) | 58 |
Total Net Advisory Fees Paid ($) | 2,033,647 |
Modified Duration to Worst | 8.7 years |
Modified duration to worst is the measure of sensitivity of the prices of bonds held by the Fund to a change in interest rates, computed using each bond's nearest call or maturity date.
What did the Fund invest in?
Holdings-based data is subject to change.
The quality ratings represent the higher of Moody’s Investors Service, Inc. (“Moody’s”), Fitch Ratings, Inc. (“Fitch”) or S&P Global Ratings (“S&P”) credit ratings. The ratings of Moody’s, Fitch and S&P represent their opinions as to the quality of the securities they rate. Credit quality measures a bond issuer’s ability to repay interest and principal in a timely manner. Ratings are relative and subjective and are not absolute standards of quality. Credit quality does not remove market risk and is subject to change.
Asset Allocation
Asset Type | % of Net Assets |
Revenue Bonds | 87% |
General Obligation Bonds | 5% |
Variable Rate Demand Notes | 5% |
Other | 1% |
Lease Obligations | 0% |
Escrow To Maturity/prerefunded Bonds | 0% |
Other Assets and Liabilities, Net | 2% |
Total | 100% |
Credit Quality
Credit Rating | % of Net Assets |
AAA | 2% |
AA | 12% |
A | 12% |
BBB | 19% |
BB | 11% |
Not Rated | 37% |
Total | 93% |
Material Fund Changes
This is a summary of certain changes of the Fund since June 1, 2023. For more information, review the Fund's current prospectus at www.dws.com/mutualreports, or call (800) 728-3337.
Effective October 1, 2023, the Fund’s contractual cap on total annual operating expense for Class S shares changed from 0.60% to 0.57%. The cap excludes certain expenses such as extraordinary expenses, taxes, brokerage, interest expense and acquired fund fees and expenses.
Effective October 1, 2023, the Fund eliminated its investment limitation on high yield debt securities (i.e., debt securities rated BB/Ba and below) of 50% of total assets. The Fund may currently invest without limit in high yield debt securities. The Fund generally intends to invest approximately 50% - 65% in high yield debt securities.
Additional Information
If you wish to view additional information about the Fund, including, but not limited to, its prospectus, quarterly holdings, Board fee evaluation reports, and financial statements and other information, please visit www.dws.com/mutualreports. For information about the Fund's proxy voting policies and procedures and how the Fund voted proxies related to its portfolio securities, please visit dws.com/en-us/resources/proxy-voting. This additional information is also available free of charge by contacting us at (800) 728-3337.
Householding
In order to reduce the amount of mail you receive and to help reduce expenses, we generally send a single copy of any shareholder report and prospectus to each household. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact your financial representative or call DWS toll free at (800) 728-3337.
Bond investments are subject to interest-rate, credit, liquidity, and market risks to varying degrees. When interest rates rise, bond prices generally fall. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. Investments in lower-quality (“junk bonds”) and non-rated securities present greater risk of loss than investments in higher-quality securities. Municipal securities are subject to the risk that litigation, legislation or other political events, local business or economic conditions or the bankruptcy of the issuer could have a significant effect on an issuer’s ability to make payments of principal and/or interest. The market for municipal bonds may be less liquid than for taxable bonds and there may be less information available on the financial condition of issuers of municipal securities than for public corporations. The Fund invests in inverse floaters, which are derivatives that involve leverage and could magnify the Fund's gains or losses. Although the Fund seeks income that is exempt from federal income taxes, a portion of the Fund’s distributions may be subject to federal, state and local taxes, including the alternative minimum tax. Please read the prospectus for details.
This report must be preceded or accompanied by a prospectus. 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, which can be requested by calling (800) 728-3337, contacting your financial representative, or visit www.dws.com/mutualreports to view or download a prospectus. Please read the prospectus carefully before you invest.
The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc., which offers investment products, or DWS Investment Management Americas, Inc. and RREEF America L.L.C., which offer advisory services.
©2024 DWS Group GmbH&Co. KGaA. All rights reserved
DSHYTFF-TSRA-S
R-101128-1 (7/24)
DWS Strategic High Yield Tax-Free Fund
Class C: NOTCX
Annual Shareholder Report—May 31, 2024
This annual shareholder report contains important information about DWS Strategic High Yield Tax-Free Fund ("the Fund") for the period June 1, 2023 to May 31, 2024. You can find additional information about the Fund on the Fund's website at www.dws.com/mutualreports. You can also request this information by contacting us at (800) 728-3337.
This report describes changes to the Fund that occurred during the reporting period.
What were the Fund costs for the last year?
(Based on a hypothetical $10,000 investment)
Cost of a $10,000 investment | Costs paid as a percentage of a $10,000 investment | |
---|---|---|
Class C | $162 | 1.58% |
Gross expense ratio as of the latest prospectus: 1.71%. See prospectus for any contractual or voluntary waivers; without a waiver, costs would have been higher.
How did the Fund perform last year and what affected its performance?
Class C shares of the Fund returned 5.53% (unadjusted for sales charges) for the period ended May 31, 2024. The Fund's index, the Bloomberg Municipal Bond Index, returned 2.67% for the same period.
Municipal market prices were pressured over the period by higher U.S. Treasury yields and greater-than-expected new issue supply. Lower quality issues in the BBB and high yield rating categories led municipal market performance as recession fears eased, supporting credit sentiment broadly. In addition, high yield prices benefited from very low new issuance. While yield increases were more muted than for U.S. Treasuries, the municipal curve finished higher along its length for the 12 months.
The Fund was overweight issues rated BBB and below investment grade, supporting returns as lower quality segments of the municipal market outperformed. In sector terms, overweight allocations to senior living, tobacco, and healthcare bonds aided performance. The Fund’s tilt toward longer maturities proved beneficial to performance as the higher income offered by these issues more than offset the negative impact on prices as the municipal yield curve moved higher.
While there were no material detractors, the Fund had exposure to a small number of distressed bonds and education-related issues that weighed marginally on relative performance.
Fund Performance
Cumulative Growth of an Assumed $10,000Investment
Bloomberg Municipal Bond Index is a market value-weighted index of investment-grade municipal bonds with maturities of one year or more.
Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.
Class C | Bloomberg Municipal Bond Index | |
---|---|---|
'14 | $10,000 | $10,000 |
'14 | $9,928 | $10,009 |
'14 | $9,943 | $10,026 |
'14 | $10,071 | $10,148 |
'14 | $10,110 | $10,158 |
'14 | $10,173 | $10,228 |
'14 | $10,187 | $10,245 |
'14 | $10,258 | $10,297 |
'15 | $10,434 | $10,480 |
'15 | $10,342 | $10,371 |
'15 | $10,364 | $10,401 |
'15 | $10,297 | $10,347 |
'15 | $10,288 | $10,318 |
'15 | $10,222 | $10,309 |
'15 | $10,279 | $10,384 |
'15 | $10,302 | $10,404 |
'15 | $10,359 | $10,479 |
'15 | $10,392 | $10,521 |
'15 | $10,442 | $10,563 |
'15 | $10,522 | $10,637 |
'16 | $10,606 | $10,764 |
'16 | $10,613 | $10,781 |
'16 | $10,712 | $10,815 |
'16 | $10,787 | $10,894 |
'16 | $10,844 | $10,924 |
'16 | $11,046 | $11,098 |
'16 | $11,033 | $11,105 |
'16 | $11,062 | $11,120 |
'16 | $11,011 | $11,064 |
'16 | $10,890 | $10,948 |
'16 | $10,473 | $10,540 |
'16 | $10,549 | $10,663 |
'17 | $10,592 | $10,734 |
'17 | $10,672 | $10,808 |
'17 | $10,689 | $10,832 |
'17 | $10,752 | $10,910 |
'17 | $10,910 | $11,083 |
'17 | $10,884 | $11,044 |
'17 | $10,946 | $11,133 |
'17 | $11,024 | $11,218 |
'17 | $10,986 | $11,161 |
'17 | $11,011 | $11,188 |
'17 | $11,001 | $11,128 |
'17 | $11,126 | $11,244 |
'18 | $10,989 | $11,112 |
'18 | $10,935 | $11,079 |
'18 | $10,961 | $11,120 |
'18 | $10,932 | $11,080 |
'18 | $11,058 | $11,207 |
'18 | $11,066 | $11,216 |
'18 | $11,072 | $11,244 |
'18 | $11,071 | $11,273 |
'18 | $10,987 | $11,200 |
'18 | $10,847 | $11,131 |
'18 | $10,886 | $11,254 |
'18 | $10,955 | $11,388 |
'19 | $11,003 | $11,475 |
'19 | $11,063 | $11,536 |
'19 | $11,262 | $11,718 |
'19 | $11,292 | $11,762 |
'19 | $11,472 | $11,925 |
'19 | $11,530 | $11,969 |
'19 | $11,587 | $12,065 |
'19 | $11,793 | $12,255 |
'19 | $11,727 | $12,157 |
'19 | $11,716 | $12,179 |
'19 | $11,734 | $12,209 |
'19 | $11,782 | $12,247 |
'20 | $12,003 | $12,467 |
'20 | $12,225 | $12,627 |
'20 | $11,103 | $12,169 |
'20 | $10,744 | $12,017 |
'20 | $11,083 | $12,399 |
'20 | $11,451 | $12,501 |
'20 | $11,703 | $12,712 |
'20 | $11,709 | $12,652 |
'20 | $11,686 | $12,655 |
'20 | $11,664 | $12,617 |
'20 | $11,937 | $12,807 |
'20 | $12,167 | $12,885 |
'21 | $12,371 | $12,967 |
'21 | $12,171 | $12,761 |
'21 | $12,257 | $12,840 |
'21 | $12,433 | $12,947 |
'21 | $12,599 | $12,986 |
'21 | $12,707 | $13,022 |
'21 | $12,824 | $13,130 |
'21 | $12,768 | $13,082 |
'21 | $12,630 | $12,987 |
'21 | $12,564 | $12,949 |
'21 | $12,731 | $13,059 |
'21 | $12,776 | $13,081 |
'22 | $12,402 | $12,722 |
'22 | $12,274 | $12,677 |
'22 | $11,748 | $12,266 |
'22 | $11,192 | $11,927 |
'22 | $11,311 | $12,104 |
'22 | $10,835 | $11,906 |
'22 | $11,282 | $12,220 |
'22 | $10,958 | $11,952 |
'22 | $10,253 | $11,494 |
'22 | $10,064 | $11,398 |
'22 | $10,654 | $11,931 |
'22 | $10,603 | $11,965 |
'23 | $11,027 | $12,309 |
'23 | $10,731 | $12,031 |
'23 | $10,906 | $12,298 |
'23 | $10,913 | $12,270 |
'23 | $10,859 | $12,163 |
'23 | $11,037 | $12,285 |
'23 | $11,088 | $12,334 |
'23 | $10,947 | $12,156 |
'23 | $10,582 | $11,800 |
'23 | $10,345 | $11,699 |
'23 | $11,087 | $12,442 |
'23 | $11,423 | $12,731 |
'24 | $11,476 | $12,666 |
'24 | $11,531 | $12,683 |
'24 | $11,595 | $12,682 |
'24 | $11,428 | $12,525 |
'24 | $11,460 | $12,488 |
Yearly periods ended May 31
Average Annual Total Returns
Class/Index | 1-Year | 5-Year | 10-Year |
---|---|---|---|
Class C Unadjusted for Sales Charge | 5.53% | - 0.02% | 1.37% |
Class C Adjusted for the Maximum Sales Charge (max 1.00% CDSC) | 4.53% | -0.02% | 1.37% |
Bloomberg Municipal Bond Index | 2.67% | 0.93% | 2.25% |
Performance shown is historical. The Fund's past performance is not a good predictor or guarantee of the Fund's future performance. Investment return and principal fluctuate, so your shares may be worth more or less when redeemed. Current performance may be lower or higher than the performance data quoted. The performance graph and returns table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Please visit dws.com/en-us/products/mutual-funds for the Fund’s most recent month-end performance. Fund performance includes reinvestment of all distributions.
Key Fund Statistics
Net Assets ($) | 479,336,252 |
Number of Portfolio Holdings | 310 |
Portfolio Turnover Rate (%) | 58 |
Total Net Advisory Fees Paid ($) | 2,033,647 |
Modified Duration to Worst | 8.7 years |
Modified duration to worst is the measure of sensitivity of the prices of bonds held by the Fund to a change in interest rates, computed using each bond's nearest call or maturity date.
What did the Fund invest in?
Holdings-based data is subject to change.
The quality ratings represent the higher of Moody’s Investors Service, Inc. (“Moody’s”), Fitch Ratings, Inc. (“Fitch”) or S&P Global Ratings (“S&P”) credit ratings. The ratings of Moody’s, Fitch and S&P represent their opinions as to the quality of the securities they rate. Credit quality measures a bond issuer’s ability to repay interest and principal in a timely manner. Ratings are relative and subjective and are not absolute standards of quality. Credit quality does not remove market risk and is subject to change.
Asset Allocation
Asset Type | % of Net Assets |
Revenue Bonds | 87% |
General Obligation Bonds | 5% |
Variable Rate Demand Notes | 5% |
Other | 1% |
Lease Obligations | 0% |
Escrow To Maturity/prerefunded Bonds | 0% |
Other Assets and Liabilities, Net | 2% |
Total | 100% |
Credit Quality
Credit Rating | % of Net Assets |
AAA | 2% |
AA | 12% |
A | 12% |
BBB | 19% |
BB | 11% |
Not Rated | 37% |
Total | 93% |
Material Fund Changes
This is a summary of certain changes of the Fund since June 1, 2023. For more information, review the Fund's current prospectus at www.dws.com/mutualreports, or call (800) 728-3337.
Effective October 1, 2023, the Fund’s contractual cap on total annual operating expense for Class C shares changed from 1.60% to 1.57%. The cap excludes certain expenses such as extraordinary expenses, taxes, brokerage, interest expense and acquired fund fees and expenses.
Effective October 1, 2023, the Fund eliminated its investment limitation on high yield debt securities (i.e., debt securities rated BB/Ba and below) of 50% of total assets. The Fund may currently invest without limit in high yield debt securities. The Fund generally intends to invest approximately 50% - 65% in high yield debt securities.
Additional Information
If you wish to view additional information about the Fund, including, but not limited to, its prospectus, quarterly holdings, Board fee evaluation reports, and financial statements and other information, please visit www.dws.com/mutualreports. For information about the Fund's proxy voting policies and procedures and how the Fund voted proxies related to its portfolio securities, please visit dws.com/en-us/resources/proxy-voting. This additional information is also available free of charge by contacting us at (800) 728-3337.
Householding
In order to reduce the amount of mail you receive and to help reduce expenses, we generally send a single copy of any shareholder report and prospectus to each household. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact your financial representative or call DWS toll free at (800) 728-3337.
Bond investments are subject to interest-rate, credit, liquidity, and market risks to varying degrees. When interest rates rise, bond prices generally fall. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. Investments in lower-quality (“junk bonds”) and non-rated securities present greater risk of loss than investments in higher-quality securities. Municipal securities are subject to the risk that litigation, legislation or other political events, local business or economic conditions or the bankruptcy of the issuer could have a significant effect on an issuer’s ability to make payments of principal and/or interest. The market for municipal bonds may be less liquid than for taxable bonds and there may be less information available on the financial condition of issuers of municipal securities than for public corporations. The Fund invests in inverse floaters, which are derivatives that involve leverage and could magnify the Fund's gains or losses. Although the Fund seeks income that is exempt from federal income taxes, a portion of the Fund’s distributions may be subject to federal, state and local taxes, including the alternative minimum tax. Please read the prospectus for details.
This report must be preceded or accompanied by a prospectus. 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, which can be requested by calling (800) 728-3337, contacting your financial representative, or visit www.dws.com/mutualreports to view or download a prospectus. Please read the prospectus carefully before you invest.
The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc., which offers investment products, or DWS Investment Management Americas, Inc. and RREEF America L.L.C., which offer advisory services.
©2024 DWS Group GmbH&Co. KGaA. All rights reserved
DSHYTFF-TSRA-C
R-101128-1 (7/24)
DWS Strategic High Yield Tax-Free Fund
Institutional Class: NOTIX
Annual Shareholder Report—May 31, 2024
This annual shareholder report contains important information about DWS Strategic High Yield Tax-Free Fund ("the Fund") for the period June 1, 2023 to May 31, 2024. You can find additional information about the Fund on the Fund's website at www.dws.com/mutualreports. You can also request this information by contacting us at (800) 728-3337.
This report describes changes to the Fund that occurred during the reporting period.
What were the Fund costs for the last year?
(Based on a hypothetical $10,000 investment)
Cost of a $10,000 investment | Costs paid as a percentage of a $10,000 investment | |
---|---|---|
Institutional Class | $60 | 0.58% |
Gross expense ratio as of the latest prospectus: 0.69%. See prospectus for any contractual or voluntary waivers; without a waiver, costs would have been higher.
How did the Fund perform last year and what affected its performance?
Institutional Class shares of the Fund returned 6.61% for the period ended May 31, 2024. The Fund's index, the Bloomberg Municipal Bond Index, returned 2.67% for the same period.
Municipal market prices were pressured over the period by higher U.S. Treasury yields and greater-than-expected new issue supply. Lower quality issues in the BBB and high yield rating categories led municipal market performance as recession fears eased, supporting credit sentiment broadly. In addition, high yield prices benefited from very low new issuance. While yield increases were more muted than for U.S. Treasuries, the municipal curve finished higher along its length for the 12 months.
The Fund was overweight issues rated BBB and below investment grade, supporting returns as lower quality segments of the municipal market outperformed. In sector terms, overweight allocations to senior living, tobacco, and healthcare bonds aided performance. The Fund’s tilt toward longer maturities proved beneficial to performance as the higher income offered by these issues more than offset the negative impact on prices as the municipal yield curve moved higher.
While there were no material detractors, the Fund had exposure to a small number of distressed bonds and education-related issues that weighed marginally on relative performance.
Fund Performance
Cumulative Growth of an Assumed $1,000,000Investment
Bloomberg Municipal Bond Index is a market value-weighted index of investment-grade municipal bonds with maturities of one year or more.
Index returns do not reflect any fees or expenses and it is not possible to invest directly into an index.
Institutional Class | Bloomberg Municipal Bond Index | |
---|---|---|
'14 | $1,000,000 | $1,000,000 |
'14 | $994,419 | $1,000,866 |
'14 | $995,991 | $1,002,631 |
'14 | $1,010,413 | $1,014,769 |
'14 | $1,015,196 | $1,015,801 |
'14 | $1,022,395 | $1,022,766 |
'14 | $1,024,656 | $1,024,535 |
'14 | $1,032,604 | $1,029,704 |
'15 | $1,051,268 | $1,047,954 |
'15 | $1,042,707 | $1,037,144 |
'15 | $1,044,978 | $1,040,139 |
'15 | $1,039,936 | $1,034,682 |
'15 | $1,039,113 | $1,031,824 |
'15 | $1,034,047 | $1,030,884 |
'15 | $1,040,664 | $1,038,351 |
'15 | $1,043,830 | $1,040,390 |
'15 | $1,049,562 | $1,047,927 |
'15 | $1,054,556 | $1,052,093 |
'15 | $1,060,412 | $1,056,276 |
'15 | $1,069,523 | $1,063,697 |
'16 | $1,078,883 | $1,076,389 |
'16 | $1,080,467 | $1,078,082 |
'16 | $1,091,529 | $1,081,497 |
'16 | $1,100,011 | $1,089,449 |
'16 | $1,106,735 | $1,092,396 |
'16 | $1,127,448 | $1,109,774 |
'16 | $1,127,916 | $1,110,452 |
'16 | $1,131,831 | $1,111,950 |
'16 | $1,127,607 | $1,106,400 |
'16 | $1,116,293 | $1,094,793 |
'16 | $1,073,607 | $1,053,962 |
'16 | $1,083,212 | $1,066,336 |
'17 | $1,088,512 | $1,073,366 |
'17 | $1,096,692 | $1,080,819 |
'17 | $1,099,374 | $1,083,165 |
'17 | $1,107,642 | $1,091,024 |
'17 | $1,124,918 | $1,108,339 |
'17 | $1,123,186 | $1,104,364 |
'17 | $1,130,457 | $1,113,299 |
'17 | $1,139,442 | $1,121,771 |
'17 | $1,136,549 | $1,116,068 |
'17 | $1,140,111 | $1,118,792 |
'17 | $1,139,071 | $1,112,801 |
'17 | $1,152,981 | $1,124,432 |
'18 | $1,140,692 | $1,111,194 |
'18 | $1,135,022 | $1,107,874 |
'18 | $1,139,604 | $1,111,963 |
'18 | $1,137,593 | $1,107,995 |
'18 | $1,151,634 | $1,120,683 |
'18 | $1,153,378 | $1,121,640 |
'18 | $1,154,153 | $1,124,362 |
'18 | $1,155,906 | $1,127,250 |
'18 | $1,148,095 | $1,119,952 |
'18 | $1,134,530 | $1,113,055 |
'18 | $1,138,510 | $1,125,375 |
'18 | $1,146,712 | $1,138,849 |
'19 | $1,153,782 | $1,147,458 |
'19 | $1,160,928 | $1,153,602 |
'19 | $1,182,823 | $1,171,838 |
'19 | $1,186,931 | $1,176,242 |
'19 | $1,206,865 | $1,192,458 |
'19 | $1,213,979 | $1,196,861 |
'19 | $1,220,892 | $1,206,507 |
'19 | $1,243,716 | $1,225,538 |
'19 | $1,236,733 | $1,215,714 |
'19 | $1,237,659 | $1,217,893 |
'19 | $1,240,563 | $1,220,939 |
'19 | $1,245,739 | $1,224,667 |
'20 | $1,271,249 | $1,246,670 |
'20 | $1,295,783 | $1,262,746 |
'20 | $1,178,044 | $1,216,943 |
'20 | $1,139,868 | $1,201,670 |
'20 | $1,177,825 | $1,239,897 |
'20 | $1,217,919 | $1,250,102 |
'20 | $1,245,662 | $1,271,157 |
'20 | $1,247,341 | $1,265,193 |
'20 | $1,245,012 | $1,265,461 |
'20 | $1,244,770 | $1,261,660 |
'20 | $1,274,902 | $1,280,699 |
'20 | $1,300,540 | $1,288,501 |
'21 | $1,323,577 | $1,296,712 |
'21 | $1,303,207 | $1,276,109 |
'21 | $1,312,406 | $1,283,979 |
'21 | $1,333,461 | $1,294,749 |
'21 | $1,352,423 | $1,298,612 |
'21 | $1,364,105 | $1,302,178 |
'21 | $1,378,900 | $1,312,978 |
'21 | $1,373,986 | $1,308,160 |
'21 | $1,359,195 | $1,298,719 |
'21 | $1,354,303 | $1,294,922 |
'21 | $1,373,459 | $1,305,946 |
'21 | $1,378,310 | $1,308,053 |
'22 | $1,339,185 | $1,272,248 |
'22 | $1,327,452 | $1,267,690 |
'22 | $1,270,644 | $1,226,595 |
'22 | $1,211,564 | $1,192,668 |
'22 | $1,225,509 | $1,210,385 |
'22 | $1,176,062 | $1,190,561 |
'22 | $1,224,459 | $1,222,018 |
'22 | $1,190,303 | $1,195,236 |
'22 | $1,115,850 | $1,149,362 |
'22 | $1,095,111 | $1,139,803 |
'22 | $1,160,241 | $1,193,116 |
'22 | $1,156,782 | $1,196,532 |
'23 | $1,202,911 | $1,230,903 |
'23 | $1,171,543 | $1,203,070 |
'23 | $1,191,649 | $1,229,763 |
'23 | $1,193,469 | $1,226,954 |
'23 | $1,188,647 | $1,216,322 |
'23 | $1,209,045 | $1,228,506 |
'23 | $1,216,808 | $1,233,366 |
'23 | $1,201,240 | $1,215,610 |
'23 | $1,162,193 | $1,179,982 |
'23 | $1,137,227 | $1,169,941 |
'23 | $1,220,890 | $1,244,210 |
'23 | $1,257,724 | $1,273,128 |
'24 | $1,264,711 | $1,266,626 |
'24 | $1,271,716 | $1,268,253 |
'24 | $1,281,057 | $1,268,213 |
'24 | $1,262,521 | $1,252,506 |
'24 | $1,267,177 | $1,248,832 |
Yearly periods ended May 31
Average Annual Total Returns
Class/Index | 1-Year | 5-Year | 10-Year |
---|---|---|---|
Institutional Class No Sales Charge | 6.61% | 0.98% | 2.40% |
Bloomberg Municipal Bond Index | 2.67% | 0.93% | 2.25% |
Performance shown is historical. The Fund's past performance is not a good predictor or guarantee of the Fund's future performance. Investment return and principal fluctuate, so your shares may be worth more or less when redeemed. Current performance may be lower or higher than the performance data quoted. The performance graph and returns table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Please visit dws.com/en-us/products/mutual-funds for the Fund’s most recent month-end performance. Fund performance includes reinvestment of all distributions.
Key Fund Statistics
Net Assets ($) | 479,336,252 |
Number of Portfolio Holdings | 310 |
Portfolio Turnover Rate (%) | 58 |
Total Net Advisory Fees Paid ($) | 2,033,647 |
Modified Duration to Worst | 8.7 years |
Modified duration to worst is the measure of sensitivity of the prices of bonds held by the Fund to a change in interest rates, computed using each bond's nearest call or maturity date.
What did the Fund invest in?
Holdings-based data is subject to change.
The quality ratings represent the higher of Moody’s Investors Service, Inc. (“Moody’s”), Fitch Ratings, Inc. (“Fitch”) or S&P Global Ratings (“S&P”) credit ratings. The ratings of Moody’s, Fitch and S&P represent their opinions as to the quality of the securities they rate. Credit quality measures a bond issuer’s ability to repay interest and principal in a timely manner. Ratings are relative and subjective and are not absolute standards of quality. Credit quality does not remove market risk and is subject to change.
Asset Allocation
Asset Type | % of Net Assets |
Revenue Bonds | 87% |
General Obligation Bonds | 5% |
Variable Rate Demand Notes | 5% |
Other | 1% |
Lease Obligations | 0% |
Escrow To Maturity/prerefunded Bonds | 0% |
Other Assets and Liabilities, Net | 2% |
Total | 100% |
Credit Quality
Credit Rating | % of Net Assets |
AAA | 2% |
AA | 12% |
A | 12% |
BBB | 19% |
BB | 11% |
Not Rated | 37% |
Total | 93% |
Material Fund Changes
This is a summary of certain changes of the Fund since June 1, 2023. For more information, review the Fund's current prospectus at www.dws.com/mutualreports, or call (800) 728-3337.
Effective October 1, 2023, the Fund’s contractual cap on total annual operating expense for Institutional Class shares changed from 0.60% to 0.57%. The cap excludes certain expenses such as extraordinary expenses, taxes, brokerage, interest expense and acquired fund fees and expenses.
Effective October 1, 2023, the Fund eliminated its investment limitation on high yield debt securities (i.e., debt securities rated BB/Ba and below) of 50% of total assets. The Fund may currently invest without limit in high yield debt securities. The Fund generally intends to invest approximately 50% - 65% in high yield debt securities.
Additional Information
If you wish to view additional information about the Fund, including, but not limited to, its prospectus, quarterly holdings, Board fee evaluation reports, and financial statements and other information, please visit www.dws.com/mutualreports. For information about the Fund's proxy voting policies and procedures and how the Fund voted proxies related to its portfolio securities, please visit dws.com/en-us/resources/proxy-voting. This additional information is also available free of charge by contacting us at (800) 728-3337.
Householding
In order to reduce the amount of mail you receive and to help reduce expenses, we generally send a single copy of any shareholder report and prospectus to each household. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact your financial representative or call DWS toll free at (800) 728-3337.
Bond investments are subject to interest-rate, credit, liquidity, and market risks to varying degrees. When interest rates rise, bond prices generally fall. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. Investments in lower-quality (“junk bonds”) and non-rated securities present greater risk of loss than investments in higher-quality securities. Municipal securities are subject to the risk that litigation, legislation or other political events, local business or economic conditions or the bankruptcy of the issuer could have a significant effect on an issuer’s ability to make payments of principal and/or interest. The market for municipal bonds may be less liquid than for taxable bonds and there may be less information available on the financial condition of issuers of municipal securities than for public corporations. The Fund invests in inverse floaters, which are derivatives that involve leverage and could magnify the Fund's gains or losses. Although the Fund seeks income that is exempt from federal income taxes, a portion of the Fund’s distributions may be subject to federal, state and local taxes, including the alternative minimum tax. Please read the prospectus for details.
This report must be preceded or accompanied by a prospectus. 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, which can be requested by calling (800) 728-3337, contacting your financial representative, or visit www.dws.com/mutualreports to view or download a prospectus. Please read the prospectus carefully before you invest.
The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc., which offers investment products, or DWS Investment Management Americas, Inc. and RREEF America L.L.C., which offer advisory services.
©2024 DWS Group GmbH&Co. KGaA. All rights reserved
DSHYTFF-TSRA-I
R-101128-1 (7/24)
(b) Not applicable | |
Item 2. | Code of Ethics. |
As of the end of the period covered by this report, the registrant has adopted 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 Expert. |
The fund’s audit committee is comprised solely of trustees who are "independent" (as such term has been defined by the Securities and Exchange Commission ("SEC") in regulations implementing Section 407 of the Sarbanes-Oxley Act (the "Regulations")). The fund’s Board of Trustees has determined that there are several "audit committee financial experts" (as such term has been defined by the Regulations) serving on the fund’s audit committee including Ms. Catherine Schrand, the chair of the fund’s audit committee. An “audit committee financial expert” is not an “expert” for any purpose, including for purposes of Section 11 of the Securities Act of 1933 and the designation or identification of a person as an “audit committee financial expert” does not impose on such person any duties, obligations or liability that are greater than the duties, obligations and liability imposed on such person as a member of the audit committee and board of directors in the absence of such designation or identification. | |
Item 4. | Principal Accountant Fees and Services. |
DWS strategic high yield tax free Fund
form n-csr disclosure re: AUDIT FEES
The following table shows the amount of fees that Ernst & Young LLP (“EY”), the Fund’s Independent Registered Public Accounting Firm, 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 EY provided to the Fund.
Services that the Fund’s Independent Registered Public Accounting Firm Billed to the Fund
Fiscal Year Ended May 31, | Audit Fees Billed to Fund | Audit-Related Fees Billed to Fund | Tax Fees Billed to Fund | All Other Fees Billed to Fund |
2024 | $53,136 | $0 | $7,629 | $0 |
2023 | $53,136 | $0 | $7,880 | $0 |
The above “Tax Fees” were billed for professional services rendered for tax preparation.
Services that the Fund’s Independent Registered Public Accounting Firm Billed to the Adviser and Affiliated Fund Service Providers
The following table shows the amount of fees billed by EY to DWS Investment Management Americas, Inc. (“DIMA” or the “Adviser”), and any entity controlling, controlled by or under common control with DIMA (“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 Year Ended May 31, | Audit-Related Fees Billed to Adviser and Affiliated Fund Service Providers | Tax Fees Billed to Adviser and Affiliated Fund Service Providers | All Other Fees Billed to Adviser and Affiliated Fund Service Providers |
2024 | $0 | $0 | $0 |
2023 | $0 | $572,355 | $0 |
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 EY billed during the Fund’s last two fiscal years for non-audit services. The Audit Committee pre-approved all non-audit services that EY 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 EY about any non-audit services that EY rendered during the Fund’s last fiscal year to the Adviser and any Affiliated Fund Service Provider. The Committee considered this information in evaluating EY’s independence.
Fiscal Year Ended May 31, | Total Non-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) |
2024 | $7,629 | $0 | $0 | $7,629 |
2023 | $7,880 | $572,355 | $0 | $580,235 |
All other engagement fees were billed for services in connection with agreed upon procedures and tax compliance for DIMA and other related entities.
Audit Committee Pre-Approval Policies and Procedures. Generally, each Fund’s Audit Committee must pre approve (i) all services to be performed for a Fund by a Fund’s Independent Registered Public Accounting Firm and (ii) all non-audit services to be performed by a Fund’s Independent Registered Public Accounting Firm for the DIMA Entities with respect to operations and financial reporting of the Fund, except that the Chairperson or Vice Chairperson of each Fund’s Audit Committee may grant the pre-approval for non-audit services described in items (i) and (ii) above for non-prohibited services for engagements of less than $100,000. All such delegated pre approvals shall be presented to each Fund’s Audit Committee no later than the next Audit Committee meeting.
There were no amounts that were approved by the Audit Committee pursuant to the de minimis exception under Rule 2-01 of Regulation S-X.
According to the registrant’s principal Independent Registered Public Accounting Firm, substantially all of the principal Independent Registered Public Accounting Firm's hours spent on auditing the registrant's financial statements were attributed to work performed by full-time permanent employees of the principal Independent Registered Public Accounting Firm and (i) and (j) are not applicable.
***
In connection with the audit of the 2023 and 2024 financial statements, the Fund entered into an engagement letter with EY. The terms of the engagement letter required by EY, and agreed to by the Audit Committee, include a provision mandating the use of mediation and arbitration to resolve any controversy or claim between the parties arising out of or relating to the engagement letter or services provided thereunder.
***
Item 5. | Audit Committee of Listed Registrants |
Not applicable | |
Item 6. | Investments. |
Not applicable | |
Item 7. | Financial Statements and Financial Highlights for Open-End Management Investment Companies. |
3 | |
22 | |
24 | |
25 | |
26 | |
30 | |
42 | |
44 | |
45 |
2 | | | DWS Strategic High Yield Tax-Free Fund |
Principal Amount ($) | Value ($) | ||
Municipal Investments 96.2% | |||
Alabama 0.4% | |||
Alabama, Black Belt Energy Gas District, Gas Project Revenue, Series D-1, 5.5% (a), 6/1/2049, GTY: Goldman Sachs Group, Inc. | 800,000 | 844,583 | |
Jefferson County, AL, Sewer Revenue, 5.5%, 10/1/2053 | 1,165,000 | 1,257,099 | |
2,101,682 | |||
Arizona 3.0% | |||
Arizona, State Health Facilities Authority Revenue, Banner Health Obligated Group: | |||
Series B, MUNIPSA + 0.25%, 3.61% (a), 1/1/2046 | 1,730,000 | 1,709,759 | |
Series B, Prerefunded, MUNIPSA + 0.25%, 3.61% (a), 1/1/2046 | 320,000 | 320,305 | |
Arizona, State Industrial Development Authority, Education Facility Revenue, Odyssey Preparatory Academy Project, 144A, 5.0%, 7/1/2049 | 2,760,000 | 2,479,464 | |
Arizona, State Industrial Development Authority, Education Revenue, BASIS School Projects: | |||
Series G, 144A, 5.0%, 7/1/2047 | 1,000,000 | 960,272 | |
Series D, 144A, 5.0%, 7/1/2051 | 1,035,000 | 980,610 | |
Series G, 144A, 5.0%, 7/1/2051 | 550,000 | 521,097 | |
Series A, 144A, 5.25%, 7/1/2047 | 1,000,000 | 993,342 | |
Maricopa County, AZ, Industrial Development Authority, Education Revenue, Benjamin Franklin Charter School Project, Series A, 144A, 6.0%, 7/1/2052 | 1,000,000 | 1,021,280 | |
Phoenix, AZ, Industrial Development Authority, Student Housing Revenue, Downtown Phoenix Student Housing LLC, Series A, 5.0%, 7/1/2037 | 2,000,000 | 2,012,415 | |
Pima County, AZ, Industrial Development Authority, Education Revenue, American Leadership Academy Project: | |||
Series 2022, 144A, 4.0%, 6/15/2057 | 2,060,000 | 1,546,416 | |
144A, 5.0%, 6/15/2049 | 1,030,000 | 957,840 | |
144A, 5.0%, 6/15/2052 | 710,000 | 660,476 | |
14,163,276 | |||
California 7.0% | |||
California, Community Housing Agency, Essential Housing Revenue, Verdant at Green Valley Project, Series A, 144A, 5.0%, 8/1/2049 | 1,135,000 | 1,075,815 |
DWS Strategic High Yield Tax-Free Fund | | | 3 |
Principal Amount ($) | Value ($) | ||
California, CSCDA Community Improvement Authority, Essential Housing Revenue: | |||
Series A-1, 144A, 3.5%, 10/1/2046 | 4,500,000 | 3,592,782 | |
Series A, 144A, 5.0%, 7/1/2051 | 750,000 | 716,206 | |
California, Golden State Tobacco Securitization Corp., Tobacco Settlement Revenue: | |||
Series B-2, Zero Coupon, 6/1/2066 | 5,000,000 | 546,812 | |
Series B-1, 3.85%, 6/1/2050 | 2,225,000 | 2,069,176 | |
California, Morongo Band of Mission Indians Revenue, Series B, 144A, 5.0%, 10/1/2042 | 1,145,000 | 1,148,011 | |
California, M-S-R Energy Authority, Series B, 7.0%, 11/1/2034, GTY: Citigroup Global Markets | 5,750,000 | 6,928,875 | |
California, Municipal Finance Authority, Barlow Respiratory Hospital Obligated Group, Series A, 4.0%, 9/1/2040 | 1,635,000 | 1,448,650 | |
California, River Islands Public Financing Authority, Special Tax, Community Facilities District No. 2019-1, Phase 2 Public Improvements: | |||
3.875%, 9/1/2049 | 2,630,000 | 2,069,717 | |
4.0%, 9/1/2046 | 3,825,000 | 3,177,346 | |
California, State Municipal Finance Authority Revenue, Catalyst Impact Fund 1 LLC, “II” , 144A, 7.0%, 1/1/2039 | 3,365,000 | 3,529,772 | |
California, State Public Finance Authority Revenue, ENSO Village Project, Series A, 144A, 5.0%, 11/15/2046 | 270,000 | 245,904 | |
California, Statewide Communities Development Authority Revenue, Loma Linda University Medical Center, Series A, 5.5%, 12/1/2054 | 1,900,000 | 1,905,024 | |
California, Statewide Communities Development Authority, Multi-Family Housing Revenue, Foxwood Apartments Project, Series J, 3.13% (b), 6/7/2024, LOC: Wells Fargo Bank NA | 350,000 | 350,000 | |
California, University of California Revenue, Series Z-2, 5.37% (b), 6/7/2024 | 800,000 | 800,000 | |
Long Beach, CA, Carnival Cruise Terminal Financing, 144A, 7.282%, 11/1/2030, GTY: Carnival Corp. | 1,310,000 | 1,217,887 | |
Los Angeles, CA, Department of Airports Revenue, Series A, AMT, 5.0%, 5/15/2037 | 2,375,000 | 2,567,171 | |
33,389,148 | |||
Colorado 4.9% | |||
Colorado, Aurora Highlands Community Authority Board, Special Tax Revenue, Series A, 5.75%, 12/1/2051 | 5,000,000 | 4,501,414 | |
Colorado, Broadway Station Metropolitan District No. 3, Series B, 0%–7.5% 12/1/2049 (c) | 2,000,000 | 1,303,064 | |
Colorado, North Range Metropolitan District No. 3, Series A, 5.25%, 12/1/2050 | 1,667,000 | 1,640,313 | |
Colorado, Public Energy Authority, Natural Gas Purchased Revenue, 6.25%, 11/15/2028, GTY: Merrill Lynch & Co. | 6,365,000 | 6,646,630 |
4 | | | DWS Strategic High Yield Tax-Free Fund |
Principal Amount ($) | Value ($) | ||
Colorado, State Health Facilities Authority, Hospital Revenue, CommonSpirit Health Obligation Group, Series A-1, 4.0%, 8/1/2037 | 1,695,000 | 1,632,913 | |
Colorado, Sterling Ranch Community Authority Board Revenue, Metropolitan District No. 4 Subdistrict A, Series A, 6.5%, 12/1/2054 | 1,000,000 | 1,019,276 | |
Colorado, Trails At Crowfoot Metropolitan District No. 3, Series A, 5.0%, 12/1/2049 | 1,000,000 | 933,465 | |
Denver City & County, CO, Airport System Revenue: | |||
Series B, AMT, 5.5%, 11/15/2040 | 365,000 | 405,146 | |
Series B, AMT, 5.5%, 11/15/2042 | 335,000 | 369,062 | |
Series B, AMT, 5.5%, 11/15/2043 | 335,000 | 367,553 | |
Denver, CO, Convention Center Hotel Authority Revenue: | |||
5.0%, 12/1/2033 | 500,000 | 508,103 | |
5.0%, 12/1/2034 | 1,000,000 | 1,015,912 | |
Denver, CO, Urban Renewal Authority, Tax Increment Revenue, 9th Urban Redevelopment Area, Series A, 144A, 5.25%, 12/1/2039 | 1,695,000 | 1,697,550 | |
Douglas County, CO, Rampart Range Metropolitan District No. 5: | |||
4.0%, 12/1/2041 | 560,000 | 463,207 | |
4.0%, 12/1/2051 | 1,590,000 | 1,182,022 | |
23,685,630 | |||
District of Columbia 2.3% | |||
District of Columbia, Latin American Montessori Bilingual Public Charter School, 5.0%, 6/1/2050 | 3,370,000 | 3,173,879 | |
District of Columbia, Two Rivers Public Charter School, Inc., 5.0%, 6/1/2040 | 1,000,000 | 928,658 | |
Metropolitan Washington, DC, Airport Authority, Dulles Toll Road Revenue: | |||
Series B, 3.0%, 10/1/2050, INS: AGMC | 1,395,000 | 1,014,581 | |
Series B, 5.0%, 10/1/2047 | 5,600,000 | 5,740,258 | |
10,857,376 | |||
Florida 10.9% | |||
Charlotte County, FL, Industrial Development Authority, Utility System Revenue, Town & Country Utilities Project, Series A, 144A, AMT, 4.0%, 10/1/2051, GTY: Babcock Ranch IRR LLC | 750,000 | 613,037 | |
Collier County, FL, Industrial Development Authority, Continuing Care Community Revenue, Arlington of Naples Project, Series A, 144A, 8.125%, 5/15/2044 * (d) | 1,722,553 | 46,509 | |
Collier County, FL, State Educational Facilities Authority Revenue, Ave Maria University Inc., 5.25%, 6/1/2038 | 1,315,000 | 1,312,724 |
DWS Strategic High Yield Tax-Free Fund | | | 5 |
Principal Amount ($) | Value ($) | ||
Florida, Capital Project Finance Authority, Student Housing Revenue, Loan Program: | |||
Series A-1, 5.0%, 10/1/2032 | 230,000 | 234,289 | |
Series A-1, 5.0%, 10/1/2033 | 230,000 | 233,759 | |
Series A-1, 5.0%, 10/1/2034 | 230,000 | 233,098 | |
Series A-1, 5.0%, 10/1/2035 | 115,000 | 116,463 | |
Florida, Capital Projects Finance Authority Revenue, Provident Group - Continuum Properties LLC: | |||
Series A-1, 5.0%, 11/1/2053 | 185,000 | 178,528 | |
Series A-1, 5.0%, 11/1/2058 | 295,000 | 281,019 | |
Florida, Capital Trust Agency, Educational Facilities Authority, Charter Educational Foundation Project, Series A, 144A, 5.375%, 6/15/2048 | 1,840,000 | 1,730,180 | |
Florida, Capital Trust Agency, Educational Growth Fund LLC, Charter School Portfolio Project, Series A-1, 144A, 5.0%, 7/1/2056 | 1,190,000 | 1,100,744 | |
Florida, Capital Trust Agency, Southeastern University Obligated Group Project: | |||
Series A, 144A, 6.25%, 5/1/2048 | 2,000,000 | 2,018,886 | |
Series A, 144A, 6.375%, 5/1/2053 | 800,000 | 809,965 | |
Florida, Development Finance Corp., AAF Operations Holdings LLC, 144A, AMT, 12.0% (a), 7/15/2032 | 4,860,000 | 5,054,400 | |
Florida, Development Finance Corp., Brightline Trains Florida LLC, AMT, 5.5%, 7/1/2053 | 1,750,000 | 1,821,160 | |
Florida, Development Finance Corp., Educational Facilities Revenue, River City Science Academy Project: | |||
Series A-1, 5.0%, 7/1/2042 | 75,000 | 75,862 | |
Series B, 5.0%, 7/1/2042 | 80,000 | 80,920 | |
Series A-1, 5.0%, 7/1/2051 | 70,000 | 68,896 | |
Series B, 5.0%, 7/1/2051 | 115,000 | 113,187 | |
Series A-1, 5.0%, 2/1/2057 | 100,000 | 97,162 | |
Series B, 5.0%, 7/1/2057 | 120,000 | 116,581 | |
Florida, State Development Finance Corp., Learning Gate Community School Project: | |||
Series A, 5.0%, 2/15/2038 | 500,000 | 489,626 | |
Series A, 5.0%, 2/15/2048 | 1,150,000 | 1,064,412 | |
Florida, State Development Finance Corp., Senior Living Revenue, The Cabana at Jensen Dunes Project: | |||
Series A, 144A, 5.0%, 11/15/2056 | 1,000,000 | 731,982 | |
Series A, 144A, 5.25%, 11/15/2056 | 9,000,000 | 6,870,893 | |
Florida, State Higher Educational Facilities Financial Authority Revenue, Florida Institute of Technology: | |||
4.0%, 10/1/2044 | 1,395,000 | 1,164,501 | |
4.0%, 10/1/2049 | 1,905,000 | 1,517,763 |
6 | | | DWS Strategic High Yield Tax-Free Fund |
Principal Amount ($) | Value ($) | ||
Florida, State Higher Educational Facilities Financial Authority Revenue, Jacksonville University Project, Series A-1, 144A, 4.75%, 6/1/2038 | 1,750,000 | 1,682,479 | |
Florida, Village Community Development District No. 12, Special Assessment Revenue: | |||
4.25%, 5/1/2043 | 2,255,000 | 2,140,512 | |
4.375%, 5/1/2050 | 1,890,000 | 1,772,089 | |
Florida, Village Community Development District No. 13, Special Assessment Revenue, 3.25%, 5/1/2052 | 1,675,000 | 1,260,229 | |
Florida, Village Community Development District No. 14, 5.5%, 5/1/2053 | 2,605,000 | 2,689,303 | |
Florida, Village Community Development District No. 15, Special Assessment Revenue, 144A, 5.25%, 5/1/2054 | 720,000 | 735,045 | |
Jacksonville, FL, Educational Facilities Revenue, Jacksonville University Project, Series B, 144A, 5.0%, 6/1/2053 | 3,250,000 | 2,946,139 | |
Lake County, FL, Educational Facilities Revenue, Imagine South Lake Charter School Project, Series A, 144A, 5.0%, 1/15/2054 | 2,070,000 | 1,852,937 | |
Miami-Dade County, FL, Seaport Revenue, Series A, AMT, 5.0%, 10/1/2040 | 1,500,000 | 1,582,803 | |
Osceola County, FL, Transportation Revenue: | |||
Series A2, Zero Coupon, 10/1/2049 | 3,400,000 | 856,097 | |
Series A2, Zero Coupon, 10/1/2051 | 4,775,000 | 1,066,845 | |
Series A2, Zero Coupon, 10/1/2054 | 4,570,000 | 863,597 | |
Palm Beach County, FL, Health Facilities Authority Revenue, Lifespace Communities, Inc. Obligated Group: | |||
Series C, 7.5%, 5/15/2053 | 340,000 | 371,647 | |
Series C, 7.625%, 5/15/2058 | 455,000 | 497,758 | |
Seminole County, FL, Industrial Development Authority, Legacy Pointe At UCF Project: | |||
Series A, 5.25%, 11/15/2039 | 445,000 | 401,297 | |
Series A, 5.5%, 11/15/2049 | 3,935,000 | 3,357,542 | |
52,252,865 | |||
Georgia 1.8% | |||
George L Smith II, GA, Congress Center Authority, Convention Center Hotel First Tier, Series A, 4.0%, 1/1/2054 | 1,420,000 | 1,213,428 | |
George L Smith II, GA, Congress Center Authority, Convention Center Hotel Second Tier, Series B, 144A, 5.0%, 1/1/2054 | 3,365,000 | 2,998,992 | |
Georgia, Main Street Natural Gas, Inc., Gas Supply Revenue, Series B, 5.0% (a), 7/1/2053, GTY: Royal Bank of Canada | 4,110,000 | 4,320,099 | |
8,532,519 |
DWS Strategic High Yield Tax-Free Fund | | | 7 |
Principal Amount ($) | Value ($) | ||
Illinois 5.2% | |||
Chicago, IL, Board of Education: | |||
Series B, 4.0%, 12/1/2035 | 2,500,000 | 2,387,636 | |
Series A, 5.0%, 12/1/2033 | 740,000 | 763,611 | |
Series A, 6.0%, 12/1/2049 | 1,400,000 | 1,534,733 | |
Chicago, IL, General Obligation: | |||
Series B, 4.0%, 1/1/2036 | 950,000 | 944,484 | |
Series A, 6.0%, 1/1/2038 | 2,180,000 | 2,266,192 | |
Illinois, Finance Authority Revenue, The Carle Foundation, Series C, 3.37% (b), 6/7/2024, LOC: Barclays Bank PLC | 300,000 | 300,000 | |
Illinois, Housing Development Authority Revenue: | |||
Series B, 3.0%, 4/1/2051 | 2,925,000 | 2,796,688 | |
Series E, 5.25%, 10/1/2052 | 3,645,000 | 3,746,526 | |
Illinois, State Finance Authority Revenue, Friendship Village of Schaumburg, 5.125%, 2/15/2045 * (d) | 7,935,000 | 1,825,050 | |
Illinois, State General Obligation: | |||
5.0%, 11/1/2034 | 1,500,000 | 1,529,359 | |
Series A, 5.0%, 12/1/2042 | 3,610,000 | 3,677,156 | |
5.5%, 5/1/2039 | 1,535,000 | 1,662,255 | |
5.75%, 5/1/2045 | 1,470,000 | 1,588,935 | |
25,022,625 | |||
Indiana 1.6% | |||
Indiana, State Finance Authority Revenue, Educational Facilities, Rock Creek Community Academy Inc., Project, Series A, 144A, 6.125%, 7/1/2048 | 3,660,000 | 3,661,733 | |
Indiana, State Housing & Community Development Authority, Single Family Mortgage Revenue, Series C-1, 5.0%, 7/1/2053 | 690,000 | 695,971 | |
Indianapolis, IN, Local Public Improvement Bond Bank, Airport Authority Project: | |||
Series E, 6.0%, 3/1/2053 | 595,000 | 645,269 | |
Series E, 6.125%, 3/1/2057 | 300,000 | 325,398 | |
Series F, 7.75%, 3/1/2067 | 2,000,000 | 2,124,652 | |
7,453,023 | |||
Iowa 1.2% | |||
Iowa, State Finance Authority Revenue, Lifespace Communities, Inc. Obligated Group, Series B, 7.5%, 5/15/2053 | 455,000 | 497,351 | |
Iowa, State Higher Education Loan Authority Revenue, Des Moines University Project, 4.0%, 10/1/2050 | 5,210,000 | 4,404,406 | |
Iowa, State Student Loan Liquidity Corp., Senior Revenue, Series B, AMT, 3.0%, 12/1/2039 | 210,000 | 195,955 |
8 | | | DWS Strategic High Yield Tax-Free Fund |
Principal Amount ($) | Value ($) | ||
Iowa, Tobacco Settlement Authority Revenue: | |||
“2", Series B-2, Zero Coupon, 6/1/2065 | 3,555,000 | 433,391 | |
“2", Series B1, 4.0%, 6/1/2049 | 210,000 | 204,390 | |
5,735,493 | |||
Kansas 0.2% | |||
Wyandotte County, KS, Unified Government, Legends Apartments Garage & West Lawn Project, 4.5%, 6/1/2040 | 1,125,000 | 1,072,467 | |
Kentucky 0.5% | |||
Kentucky, State Economic Development Finance Authority, Owensboro Health, Inc., Obligated Group, Series A, 5.25%, 6/1/2041 | 1,275,000 | 1,283,446 | |
Louisville & Jefferson County, KY, Metropolitan Government Health System Revenue, Norton Healthcare, Inc., Series B, 4.05% (b), 6/3/2024, LOC: PNC Bank NA | 920,000 | 920,000 | |
2,203,446 | |||
Louisiana 0.3% | |||
Louisiana, Public Facilities Authority Revenue, Ochsner Clinic Foundation Project, Prerefunded, 5.0%, 5/15/2047 | 10,000 | 10,253 | |
Louisiana, State Gasoline & Fuels Tax Revenue, Series A-2, 4.0% (b), 6/3/2024, LOC: Toronto-Dominion Bank | 1,300,000 | 1,300,000 | |
1,310,253 | |||
Maryland 0.1% | |||
Maryland, State Community Development Administration, Series B, 5.35% (b), 6/7/2024, SPA: TD Bank NA | 300,000 | 300,000 | |
Massachusetts 1.6% | |||
Massachusetts, Educational Financing Authority Education Loan Revenue, Series B, AMT, 2.0%, 7/1/2037 | 1,000,000 | 843,341 | |
Massachusetts, State Department of Transportation, Metropolitan Highway Systems Revenue, Series A-2, 3.25% (b), 6/7/2024, LOC: TD Bank NA | 400,000 | 400,000 | |
Massachusetts, State Development Finance Agency Revenue, Springfield College, Series A, 4.0%, 6/1/2056 | 450,000 | 358,538 | |
Massachusetts, State Development Financing Agency, College of the Holy Cross, Series A, 3.95% (b), 6/3/2024, LOC: Bank of America NA | 100,000 | 100,000 | |
Massachusetts, State Educational Financing Authority: | |||
Series B, AMT, 3.0%, 7/1/2035 | 90,000 | 89,117 | |
Series B, AMT, 4.25%, 7/1/2044 | 3,800,000 | 3,607,379 |
DWS Strategic High Yield Tax-Free Fund | | | 9 |
Principal Amount ($) | Value ($) | ||
Massachusetts, State Health & Educational Facilities Authority Revenue, Baystate Medical Center: | |||
Series J-2-R, 4.0% (b), 6/3/2024, LOC: TD Bank NA | 600,000 | 600,000 | |
Series K, 4.0% (b), 6/3/2024, LOC: TD Bank NA | 1,450,000 | 1,450,000 | |
7,448,375 | |||
Michigan 1.7% | |||
Kentwood, MI, Economic Development Corp., Holland Home Obligated Group, Series 2022, 4.0%, 11/15/2043 | 1,500,000 | 1,228,595 | |
Michigan, Finance Authority Higher Facilities, Ltd. Obligation Revenue, Kettering University Project: | |||
4.0%, 9/1/2045 | 1,775,000 | 1,605,769 | |
4.0%, 9/1/2050 | 1,660,000 | 1,459,494 | |
Michigan, State Finance Authority Revenue, Detroit Water & Sewer Department, Series C, 5.0%, 7/1/2035 | 910,000 | 918,530 | |
Michigan, State Finance Authority Revenue, Tobacco Settlement Revenue: | |||
“1", Series A, 4.0%, 6/1/2049 | 1,000,000 | 889,977 | |
Series A2, 5.0%, 6/1/2040 | 1,770,000 | 1,833,469 | |
7,935,834 | |||
Minnesota 1.1% | |||
Minnesota, State Housing Finance Agency, Series I, 5.0%, 7/1/2053 | 3,805,000 | 3,838,769 | |
Minnesota, State Office of Higher Education Revenue, AMT, 2.65%, 11/1/2038 | 1,895,000 | 1,605,959 | |
5,444,728 | |||
Missouri 2.2% | |||
Kansas City, MO, Land Clearance Redevelopment Authority Project Revenue, Convention Center Hotel Project, Series A, 144A, 6.25%, 4/15/2049 | 3,750,000 | 3,205,316 | |
Missouri, State Health & Educational Facilities Authority Revenue, Medical Research, Lutheran Senior Services: | |||
4.0%, 2/1/2042 | 1,450,000 | 1,274,934 | |
Series A, 5.0%, 2/1/2046 | 665,000 | 641,924 | |
Missouri, State Health & Educational Facilities Authority Revenue, St Louis University: | |||
Series B-1, 3.95% (b), 6/3/2024, LOC: Barclays Bank PLC | 300,000 | 300,000 | |
Series B, 4.1% (b), 6/3/2024, LOC: U.S. Bank NA | 1,000,000 | 1,000,000 |
10 | | | DWS Strategic High Yield Tax-Free Fund |
Principal Amount ($) | Value ($) | ||
Nodaway County, MO, Industrial Development Authority, Educational Facilities Revenue, North West Foundation, Inc., 3.32% (b), 6/7/2024, LOC: U.S. Bank NA | 1,120,000 | 1,120,000 | |
St. Louis, MO, Industrial Development Authority Financing Revenue, Ballpark Village Development Project, Series A, 4.75%, 11/15/2047 | 3,875,000 | 2,930,267 | |
10,472,441 | |||
Nevada 1.1% | |||
Nevada, Tahoe Douglas Visitors Authority, Stateline Revenue: | |||
5.0%, 7/1/2040 | 1,000,000 | 1,013,816 | |
5.0%, 7/1/2045 | 1,000,000 | 1,001,476 | |
5.0%, 7/1/2051 | 1,000,000 | 982,791 | |
Reno, NV, Sales Tax Revenue, Transportation Rail Access, Series C, 144A, Zero Coupon, 7/1/2058 | 16,000,000 | 2,056,967 | |
5,055,050 | |||
New Hampshire 0.0% | |||
New Hampshire, State Health & Educational Facilities Authority Revenue, Hillside Village: | |||
Series A, 144A, 6.125%, 7/1/2037 * (d) | 562,713 | 56 | |
Series A, 144A, 6.25%, 7/1/2042 * (d) | 681,507 | 68 | |
124 | |||
New Jersey 2.9% | |||
New Jersey, State Covid-19 General Obligation Emergency Bonds, Series A, 4.0%, 6/1/2031 | 415,000 | 430,591 | |
New Jersey, State Economic Development Authority Revenue, Series SSS, 5.25%, 6/15/2038 | 400,000 | 450,147 | |
New Jersey, State Economic Development Authority Revenue, Black Horse EHT Urban Renewal LLC Project, Series A, 144A, 5.0%, 10/1/2039 * (d) | 3,795,000 | 2,423,573 | |
New Jersey, State Economic Development Authority Revenue, White Horse HMT Urban Renewal LLC Project, 144A, 5.0%, 1/1/2040 * (d) | 1,625,000 | 1,112,455 | |
New Jersey, State Economic Development Authority, Special Facilities Revenue, Continental Airlines, Inc. Project, Series B, AMT, 5.625%, 11/15/2030 | 2,500,000 | 2,521,210 | |
New Jersey, State Higher Education Assistance Authority, Student Loan Revenue: | |||
Series B, AMT, 3.25%, 12/1/2039 | 780,000 | 715,612 | |
Series B, AMT, 3.5%, 12/1/2039 | 1,175,000 | 1,109,530 | |
Series B, AMT, 4.25%, 12/1/2045 | 1,450,000 | 1,402,182 | |
Series C, AMT, 5.0%, 12/1/2053 | 605,000 | 579,456 |
DWS Strategic High Yield Tax-Free Fund | | | 11 |
Principal Amount ($) | Value ($) | ||
New Jersey, State Housing & Mortgage Finance Agency, Single Family Housing Revenue, Series I, 5.0%, 10/1/2053 | 1,120,000 | 1,141,262 | |
New Jersey, Transportation Trust Fund Authority, Series BB, 4.0%, 6/15/2040 | 2,025,000 | 1,981,738 | |
13,867,756 | |||
New Mexico 0.4% | |||
New Mexico, State Mortgage Finance Authority, “I” , Series D, 3.25%, 7/1/2044 | 2,460,000 | 2,016,530 | |
New York 6.2% | |||
Buffalo & Erie County, NY, Industrial Land Development Corp., D’Youville College Project: | |||
Series A, 4.0%, 11/1/2040 | 1,200,000 | 1,016,855 | |
Series A, 4.0%, 11/1/2050 | 2,500,000 | 1,931,735 | |
Monroe County, NY, Industrial Development Corp. Revenue, St. Ann’s Community Project, 5.0%, 1/1/2050 | 4,750,000 | 3,695,975 | |
New York, Metropolitan Transportation Authority Revenue: | |||
Series G-1, 3.41% (b), 6/7/2024, LOC: TD Bank NA | 100,000 | 100,000 | |
Series 2012-G1, 4.0% (b), 6/3/2024, LOC: Barclays Bank PLC | 1,340,000 | 1,340,000 | |
Series E-1, 4.0% (b), 6/3/2024, LOC: Barclays Bank PLC | 170,000 | 170,000 | |
New York, State Dormitory Authority Revenues, Non-State Supported Debt, The New School: | |||
Series A, 4.0%, 7/1/2047 | 500,000 | 456,390 | |
Series A, 4.0%, 7/1/2052 | 590,000 | 524,994 | |
New York, State Transportation Development Corp., Special Facilities Revenue, Delta Air Lines, Inc., LaGuardia Airport C&D Redevelopment, AMT, 5.625%, 4/1/2040 | 1,290,000 | 1,407,361 | |
New York, State Transportation Development Corp., Special Facilities Revenue, John F. Kennedy International Airport Project: | |||
AMT, 3.0%, 8/1/2031, GTY: American Airlines Group, Inc. | 500,000 | 467,384 | |
AMT, 4.0%, 12/1/2042 | 1,200,000 | 1,118,655 | |
AMT, 5.375%, 8/1/2036 | 900,000 | 950,511 | |
AMT, 5.375%, 6/30/2060 | 2,085,000 | 2,162,366 | |
AMT, 6.0%, 6/30/2054 | 250,000 | 274,232 | |
New York, Triborough Bridge & Tunnel Authority Revenue: | |||
Series B, 4.0% (b), 6/3/2024, LOC: TD Bank NA | 400,000 | 400,000 | |
Series B-4C, 4.15% (b), 6/3/2024, LOC: U.S. Bank NA | 600,000 | 600,000 | |
New York, TSASC, Inc.: | |||
Series A, 5.0%, 6/1/2041 | 595,000 | 603,412 | |
Series B, 5.0%, 6/1/2048 | 2,800,000 | 2,370,953 |
12 | | | DWS Strategic High Yield Tax-Free Fund |
Principal Amount ($) | Value ($) | ||
New York City, NY, Housing Development Corp., Multi-Family Housing Revenue: | |||
Series E-1, 2.8%, 11/1/2034 | 4,340,000 | 3,657,623 | |
Series E-1, 3.0%, 11/1/2039 | 2,355,000 | 1,935,914 | |
New York Counties, NY, Tobacco Trust IV, Series F, Zero Coupon, 6/1/2060 | 35,000,000 | 2,022,093 | |
Orange County, NY, Senior Care Revenue, Industrial Development Agency, The Glen Arden Project, Series A, 5.7%, 1/1/2028 * (d) | 2,125,000 | 1,275,000 | |
Westchester County, NY, Local Development Corp., Health Care Corp. Obligated Group Revenue, 5.75%, 11/1/2053, INS: AGMC | 1,000,000 | 1,121,572 | |
29,603,025 | |||
North Carolina 0.4% | |||
North Carolina, State Education Assistance Authority Revenue, Series A, AMT, 5.0%, 6/1/2043 | 625,000 | 609,224 | |
North Carolina, State Housing Finance Agency, Series 42, 4.0%, 1/1/2050 | 1,155,000 | 1,143,277 | |
1,752,501 | |||
North Dakota 0.1% | |||
City of Grand Forks, ND, Altru Health System Obligated Group Revenue, Series A, 5.0%, 12/1/2053, INS: AGMC | 315,000 | 320,863 | |
Ohio 3.0% | |||
Buckeye, OH, Tobacco Settlement Financing Authority: | |||
“2", Series B-3, Zero Coupon, 6/1/2057 | 15,000,000 | 1,342,643 | |
“2", Series B-2, 5.0%, 6/1/2055 | 4,300,000 | 3,852,969 | |
Hamilton County, OH, Health Care Revenue, Life Enriching Communities Project: | |||
5.0%, 1/1/2051 | 1,270,000 | 1,165,223 | |
Series A, 5.0%, 1/1/2052 | 1,000,000 | 914,864 | |
Series A, 5.75%, 1/1/2053 | 380,000 | 391,118 | |
Ohio, Akron, Bath & Copley Joint Township Hospital District Revenue, 5.25%, 11/15/2046 | 1,575,000 | 1,588,074 | |
Ohio, State Hospital Revenue, Aultman Health Foundation, 144A, 5.0%, 12/1/2048 | 6,000,000 | 5,312,998 | |
14,567,889 | |||
Oklahoma 0.9% | |||
Oklahoma, State Development Finance Authority, Health System Revenue, OU Medicine Project: | |||
Series B, 5.25%, 8/15/2048 | 1,545,000 | 1,568,189 |
DWS Strategic High Yield Tax-Free Fund | | | 13 |
Principal Amount ($) | Value ($) | ||
Series A, 5.5%, 8/15/2041 | 1,360,000 | 1,368,000 | |
Series A, 5.5%, 8/15/2044 | 1,445,000 | 1,470,447 | |
4,406,636 | |||
Pennsylvania 2.2% | |||
Chester County, PA, Industrial Development Authority, Special Obligation Revenue, Woodlands at Graystone Neighborhood Improvement Project, 144A, 5.125%, 3/1/2048 | 403,000 | 370,543 | |
Lancaster County, PA, Hospital Authority, Brethren Village Project: | |||
5.125%, 7/1/2037 | 900,000 | 865,532 | |
5.25%, 7/1/2041 | 900,000 | 854,232 | |
Pennsylvania, Higher Education Assistance Agency Education Loan Revenue: | |||
Series A, AMT, 2.45%, 6/1/2041 | 2,700,000 | 2,224,146 | |
AMT, 4.125%, 6/1/2045 | 3,000,000 | 2,825,667 | |
Pennsylvania, State Economic Development Financing Authority Revenue, UPMC Obligated Group, Series A-2, 4.0%, 5/15/2043 | 875,000 | 830,452 | |
Pennsylvania, State Housing Finance Agency, Single Family Mortgage Revenue: | |||
Series 132A, 3.5%, 4/1/2051 | 820,000 | 806,902 | |
Series 145A, 6.0%, 10/1/2054 (e) | 1,000,000 | 1,076,224 | |
Pennsylvania, State Turnpike Commission Revenue, Series A-1, 5.0%, 12/1/2041 | 20,000 | 20,200 | |
Philadelphia, PA, Authority For Industrial Development, Philadelphia Electrical and Technology Charter High School Project, Series A, 4.0%, 6/1/2051 | 875,000 | 684,337 | |
10,558,235 | |||
Rhode Island 0.6% | |||
Rhode Island, Student Loan Authority Revenue, Series A, AMT, 4.125%, 12/1/2043 | 3,200,000 | 2,997,526 | |
South Carolina 1.0% | |||
South Carolina, Public Service Authority Revenue, Series A, 4.0%, 12/1/2055 | 1,000,000 | 880,154 | |
South Carolina, State Jobs-Economic Development Authority Revenue, Novant Health Obligated Group, Series A, 5.5%, 11/1/2054 | 500,000 | 543,329 | |
South Carolina, State Public Service Authority Revenue: | |||
Series B, 4.0%, 12/1/2047 | 1,820,000 | 1,674,596 | |
Series A, 4.0%, 12/1/2052 | 2,160,000 | 1,924,773 | |
5,022,852 |
14 | | | DWS Strategic High Yield Tax-Free Fund |
Principal Amount ($) | Value ($) | ||
South Dakota 0.3% | |||
Lincon County, SD, Economic Development Revenue, Augustana College Association Project, Series A, 4.0%, 8/1/2056 | 2,050,000 | 1,595,925 | |
Tennessee 1.8% | |||
Greeneville, TN, Health & Educational Facilities Board Hospital Revenue, Series B, 3.35% (b), 6/7/2024, LOC: U.S. Bank NA | 1,500,000 | 1,500,000 | |
Metropolitan Nashville, TN, Airport Authority Revenue: | |||
Series B, AMT, 4.0%, 7/1/2049 | 1,000,000 | 900,809 | |
Series B, AMT, 4.0%, 7/1/2054 | 500,000 | 438,776 | |
Nashville & Davidson County, TN, Metropolitan Development & Housing Agency, Tax Increment Revenue, Fifth Broadway Development District, 144A, 5.125%, 6/1/2036 | 900,000 | 904,720 | |
Nashville & Davidson County, TN, Metropolitan Government Health & Education Facilities Board Revenue, Blakeford At Green Hills Corp., Series A, 4.0%, 11/1/2055 | 4,000,000 | 2,822,793 | |
Tennessee, New Memphis Arena Public Building Authority, City of Memphis Project, 0%–4.0% 4/1/2031 (c) | 750,000 | 669,602 | |
Tennessee, State Energy Acquisition Corporation Revenue, Series A, 5.0% (a), 5/1/2052, GTY: Goldman Sachs Group, Inc. | 1,200,000 | 1,258,535 | |
8,495,235 | |||
Texas 8.7% | |||
Central Texas, Regional Mobility Authority Revenue, Capital Appreciation: | |||
Zero Coupon, 1/1/2030 | 5,000,000 | 4,001,201 | |
Zero Coupon, 1/1/2032 | 3,500,000 | 2,570,774 | |
Clifton, TX, Higher Education Finance Corp., Education Revenue, Series D, 6.125%, 8/15/2048 | 4,485,000 | 4,553,177 | |
Dallas, TX, Kay Bailey Hutchison Convention Center Project, Senior Lien, Special Tax, 144A, 6.0% (a), 8/15/2053 | 3,015,000 | 3,039,867 | |
Harris County, TX, Industrial Development Corp. Revenue, Energy Transfer LP, 4.05% (a), 11/1/2050 | 1,275,000 | 1,271,189 | |
Matagorda County, TX, Navigation District No. 1, Pollution Control Revenue, AEP Texas Central Co. Project, Series A, 4.4%, 5/1/2030, INS: AMBAC | 4,000,000 | 4,004,830 | |
Newark, TX, Higher Education Finance Corp., Texas Revenue, Abilene Christian University Project, Series A, 4.0%, 4/1/2057 | 3,715,000 | 3,163,715 |
DWS Strategic High Yield Tax-Free Fund | | | 15 |
Principal Amount ($) | Value ($) | ||
San Antonio, TX, Education Facilities Corp., Higher Education Revenue, Hallmark University Project: | |||
Series A, 5.0%, 10/1/2041 | 450,000 | 381,638 | |
Series A, 5.0%, 10/1/2051 | 735,000 | 580,770 | |
Tarrant County, TX, Cultural Education Facilities Finance Corp., Christus Health Obligated Group, Series C-2, 3.43% (b), 6/7/2024, LOC: Bank of NY Mellon | 1,700,000 | 1,700,000 | |
Temple, TX, Tax Increment, Reinvestment Zone No. 1: | |||
Series A, 4.0%, 8/1/2039, INS: BAM | 170,000 | 168,667 | |
Series A, 4.0%, 8/1/2041, INS: BAM | 235,000 | 228,856 | |
Series A, 5.0%, 8/1/2038 | 2,830,000 | 2,762,856 | |
Texas, New Hope Cultural Education Facilities Finance Corp. Revenue, Bridgemoor Plano Project: | |||
Series A-2, Zero Coupon, 12/31/2030 | 1,172,249 | 712,251 | |
Series A-1, 7.25%, 12/31/2030 | 5,450,000 | 5,421,502 | |
Texas, New Hope Cultural Education Facilities Finance Corp., Educational Revenue, Cumberland Academy Project, Series A, 144A, 5.0%, 8/15/2050 | 3,550,000 | 3,361,369 | |
Texas, Private Activity Bond, Surface Transportation Corp. Revenue, North Tarrant Express, AMT, 5.5%, 12/31/2058 | 1,485,000 | 1,586,271 | |
Texas, State Municipal Gas Acquisition & Supply Corp. I, Gas Supply Revenue, Series D, 6.25%, 12/15/2026, GTY: Merrill Lynch & Co. | 2,360,000 | 2,425,081 | |
41,934,014 | |||
Utah 1.3% | |||
Utah, Infrastructure Agency Telecommunication Revenue: | |||
Series A, 4.0%, 10/15/2036 | 1,565,000 | 1,483,346 | |
Series A, 4.0%, 10/15/2041 | 600,000 | 538,032 | |
Series A, 4.0%, 10/15/2042 | 785,000 | 696,908 | |
Utah, State Charter School Financing Authority Revenue, Freedom Academy Foundation Project, 144A, 5.375%, 6/15/2048 | 3,990,000 | 3,610,548 | |
6,328,834 | |||
Vermont 0.6% | |||
Vermont, State Educational & Health Buildings Financing Agency Revenue, Landmark College Project, Series A, 4.01% (b), 6/3/2024, LOC: TD Bank NA | 1,115,000 | 1,115,000 | |
Vermont, State Educational & Health Buildings Financing Agency Revenue, St Michael’s College Inc., 144A, 5.5%, 10/1/2043 | 2,000,000 | 1,999,621 | |
3,114,621 |
16 | | | DWS Strategic High Yield Tax-Free Fund |
Principal Amount ($) | Value ($) | ||
Virginia 3.6% | |||
Prince William County, VA, Industrial Development Authority, Residential Care Facilities, Westminster at Lake Ridge: | |||
5.0%, 1/1/2037 | 1,000,000 | 925,008 | |
5.0%, 1/1/2046 | 1,530,000 | 1,295,412 | |
Roanoke County, VA, Economic Development Authority Revenue, Richfield Living, Series A, 5.25%, 9/1/2049 | 790,000 | 736,263 | |
Roanoke County, VA, Economic Development Authority, RSDL Care Facilities Revenue, Richfield Living, Series A, 5.375%, 9/1/2054 | 685,000 | 638,405 | |
Virginia, Marquis Community Development Authority Revenue: | |||
Series C, 9/1/2041* | 11,070,000 | 27,675 | |
Series B, 5.625%, 9/1/2041 (d) (f) | 7,416,000 | 2,595,600 | |
144A, 7.5%, 9/1/2045 (d) (f) | 2,284,000 | 799,400 | |
Virginia, Peninsula Town Center, Community Development Authority Revenue, Special Obligation: | |||
144A, 5.0%, 9/1/2037 | 1,400,000 | 1,350,418 | |
144A, 5.0%, 9/1/2045 | 4,650,000 | 4,267,977 | |
Virginia, Small Business Financing Authority Revenue, 95 Express Lanes LLC Project, AMT, 4.0%, 1/1/2048 | 1,205,000 | 1,069,965 | |
Virginia, Small Business Financing Authority Revenue, Elizabeth River Crossings OpCo LLC, AMT, 4.0%, 1/1/2038 | 1,000,000 | 976,189 | |
Virginia, Small Business Financing Authority, Elizabeth River Crossings OPCO LLC Project, AMT, 4.0%, 1/1/2039 | 1,500,000 | 1,446,249 | |
Virginia, Small Business Financing Authority, Private Activity Revenue, Transform 66 P3 Project, AMT, 5.0%, 12/31/2049 | 870,000 | 876,370 | |
Virginia Beach, VA, State Beach Development Authority Residential Care Facility, Westminster-Canterbury on Chesapeake Bay Obligated Group, Series B-3, 5.375%, 9/1/2029 | 430,000 | 445,820 | |
17,450,751 | |||
Washington 2.8% | |||
Skagit County, WA, Public Hospital District No. 1 Revenue, 5.5%, 12/1/2054 | 360,000 | 377,617 | |
Washington, State Convention Center Public Facilities District: | |||
Series B, 3.0%, 7/1/2048, INS: AGMC | 4,120,000 | 3,092,809 | |
Series B, 3.0%, 7/1/2058 | 2,080,000 | 1,374,795 |
DWS Strategic High Yield Tax-Free Fund | | | 17 |
Principal Amount ($) | Value ($) | ||
Washington, State Housing Finance Commission, Emerald Heights: | |||
Series B-2, 4.0%, 7/1/2026 | 265,000 | 264,996 | |
Series B-1, 4.75%, 7/1/2027 | 305,000 | 305,030 | |
Washington, State Housing Finance Commission, Panorama Project, 3.35% (b), 6/7/2024, LOC: Wells Fargo Bank NA | 5,435,000 | 5,435,000 | |
Washington, State Housing Finance Commission, The Hearthstone Project: | |||
Series A, 144A, 5.0%, 7/1/2038 | 775,000 | 640,620 | |
Series A, 144A, 5.0%, 7/1/2048 | 1,735,000 | 1,291,799 | |
Series A, 144A, 5.0%, 7/1/2053 | 1,125,000 | 813,502 | |
13,596,168 | |||
Wisconsin 7.0% | |||
Wisconsin, Health Educational Facilities Authority, Covenant Communities, Inc. Project: | |||
Series A-1, 5.0%, 7/1/2043 | 4,150,000 | 3,869,406 | |
Series B, 5.0%, 7/1/2048 | 1,910,000 | 1,471,936 | |
Series B, 5.0%, 7/1/2053 | 2,875,000 | 2,136,307 | |
Wisconsin, Public Finance Authority Educational Facility Revenue, Noorba College of Osteopathic Media Project, Series B, 144A, 6.5%, 6/1/2045 | 6,000,000 | 5,193,264 | |
Wisconsin, Public Finance Authority, Education Revenue, Mountain Island Charter School Ltd.: | |||
5.0%, 7/1/2047 | 2,000,000 | 1,866,304 | |
5.0%, 7/1/2052 | 910,000 | 834,832 | |
Wisconsin, Public Finance Authority, Education Revenue, North Carolina Leadership Academy, Series A, 144A, 5.0%, 6/15/2049 | 520,000 | 481,546 | |
Wisconsin, Public Finance Authority, Fargo-Moorhead Metropolitan Area Flood Risk Management Project, AMT, 4.0%, 9/30/2051 | 3,000,000 | 2,467,217 | |
Wisconsin, Public Finance Authority, Hospital Revenue, Carson Valley Medical Center, Series A, 144A, 4.0%, 12/1/2051 | 1,290,000 | 999,479 | |
Wisconsin, Public Finance Authority, Pollution Control Revenue, Duke Energy Progress Project, Series A-2, 3.7% (a), 10/1/2046 | 2,700,000 | 2,628,512 | |
Wisconsin, Public Finance Authority, Roseman University of Health Sciences Project: | |||
144A, 4.0%, 4/1/2042 | 250,000 | 224,542 | |
144A, Prerefunded, 4.0%, 4/1/2042 | 5,000 | 5,256 | |
144A, Prerefunded, 4.0%, 4/1/2052 | 15,000 | 15,767 |
18 | | | DWS Strategic High Yield Tax-Free Fund |
Principal Amount ($) | Value ($) | ||
Wisconsin, Public Finance Authority, Senior Living Community First Mortgage Revenue, Cedars Obligated Group: | |||
144A, 5.5%, 5/1/2039 | 635,000 | 560,520 | |
144A, 5.75%, 5/1/2054 | 3,490,000 | 2,942,328 | |
Wisconsin, Public Finance Authority, Wisconsin Hotel Revenue, Senior Lien Grand Hyatt San Antonio Hotel, Series B, 144A, 6.0%, 2/1/2062 | 5,000,000 | 5,091,410 | |
Wisconsin, Public Financing Authority, Retirement Facilities Revenue, Southminster, Inc., 144A, 5.0%, 10/1/2053 | 1,000,000 | 882,671 | |
Wisconsin, State Health & Educational Facilities Authority Revenue, Froedtert Health Inc., Obligated Group, Series A, 4.0%, 4/1/2039 | 1,135,000 | 1,094,293 | |
Wisconsin, State Health & Educational Facilities Authority Revenue, Marshfield Clinic Health System, Inc., Series A, 4.0% (b), 6/3/2024, LOC: Barclays Bank Plc | 600,000 | 600,000 | |
33,365,590 | |||
Guam 0.1% | |||
Guam, Government Waterworks Authority, Water & Wastewater System Revenue, Series A, 5.0%, 1/1/2050 | 655,000 | 666,991 | |
Puerto Rico 4.7% | |||
Puerto Rico, Commonwealth Aqueduct and Sewer Authority, Series A, 144A, 4.0%, 7/1/2042 | 2,000,000 | 1,851,398 | |
Puerto Rico, General Obligation: | |||
Series A, Zero Coupon, 7/1/2024 | 41,737 | 41,590 | |
Series A, Zero Coupon, 7/1/2033 | 3,602,431 | 2,392,480 | |
Series A1, 4.0%, 7/1/2033 | 1,255,987 | 1,255,954 | |
Series A1, 4.0%, 7/1/2035 | 230,098 | 226,049 | |
Series A1, 4.0%, 7/1/2037 | 2,007,160 | 1,947,348 | |
Series A1, 4.0%, 7/1/2041 | 2,098,773 | 1,950,865 | |
Series A1, 5.375%, 7/1/2025 | 285,097 | 287,592 | |
Series A1, 5.625%, 7/1/2027 | 282,516 | 295,427 | |
Series A1, 5.75%, 7/1/2031 | 269,953 | 300,926 | |
Puerto Rico, Sales Tax Financing Corp., Sales Tax Revenue: | |||
Series A-1, 4.75%, 7/1/2053 | 6,800,000 | 6,757,301 | |
Series A-1, 5.0%, 7/1/2058 | 1,000,000 | 1,000,324 | |
Puerto Rico, The Childrens Trust Fund, Tobacco Settlement Revenue, Series A, Zero Coupon, 5/15/2057 | 50,000,000 | 4,017,500 | |
22,324,754 |
DWS Strategic High Yield Tax-Free Fund | | | 19 |
Principal Amount ($) | Value ($) | ||
Other 0.5% | |||
Freddie Mac Multi-Family ML Certificates, “A-CA” , Series 2021-ML10, 2.046%, 6/25/2038 | 3,312,817 | 2,553,891 | |
Total Municipal Investments (Cost $493,462,121) | 460,976,942 | ||
Corporate Bonds 1.0% | |||
Consumer Discretionary | |||
Grand Canyon University: | |||
4.125%, 10/1/2024 | 3,000,000 | 2,947,500 | |
5.125%, 10/1/2028 | 2,165,000 | 1,944,993 | |
Total Corporate Bonds (Cost $5,051,812) | 4,892,493 |
Shares | Value ($) | ||
Closed-End Investment Companies 1.0% | |||
Nuveen Quality Municipal Income Fund (Cost $5,256,881) | 412,000 | 4,630,880 | |
Open-End Investment Companies 0.0% | |||
BlackRock Liquidity Funds MuniCash Portfolio, Institutional Shares, 3.23% (g) (Cost $8,584) | 8,583 | 8,584 |
% of Net Assets | Value ($) | ||
Total Investment Portfolio (Cost $503,779,398) | 98.2 | 470,508,899 | |
Other Assets and Liabilities, Net | 1.8 | 8,827,353 | |
Net Assets | 100.0 | 479,336,252 |
* | Non-income producing security. |
(a) | Variable or floating rate security. These securities are shown at their current rate as of May 31, 2024. For securities based on a published reference rate and spread, the reference rate and spread are indicated within the description above. Certain variable rate securities are not based on a published reference rate and spread but adjust periodically based on current market conditions, prepayment of underlying positions and/or other variables. Securities with a floor or ceiling feature are disclosed at the inherent rate, where applicable. |
(b) | Variable rate demand notes are securities whose interest rates are reset periodically (usually daily mode or weekly mode) by remarketing agents based on current market levels, and are not directly set as a fixed spread to a reference rate. These securities may be redeemed at par by the holder through a put or tender feature, and are shown at their current rates as of May 31, 2024. Date shown reflects the earlier of demand date or stated maturity date. |
20 | | | DWS Strategic High Yield Tax-Free Fund |
(c) | Security is a “step-up” bond where the coupon increases or steps-up at a predetermined date. The range of rates shown is the current coupon rate through the final coupon rate, date shown is the final maturity date. |
(d) | Defaulted security or security for which income has been deemed uncollectible. |
(e) | When-issued or delayed delivery securities included. |
(f) | Security currently paying partial interest. The rate shown represents 50% of the original coupon rate. |
(g) | Current yield; not a coupon rate. |
144A: Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. |
AGMC: Assured Guaranty Municipal Corp. |
AMBAC: Ambac Financial Group, Inc. |
AMT: Subject to alternative minimum tax. |
BAM: Build America Mutual |
GTY: Guaranty Agreement |
INS: Insured |
LOC: Letter of Credit |
MUNIPSA: SIFMA Municipal Swap Index Yield |
Prerefunded: Bonds which are prerefunded are collateralized usually by U.S. Treasury securities which are held in escrow and used to pay principal and interest on tax-exempt issues and to retire the bonds in full at the earliest refunding date. |
SIFMA: Securities Industry and Financial Markets Association |
SPA: Standby Bond Purchase Agreement |
Assets | Level 1 | Level 2 | Level 3 | Total |
Municipal Investments (a) | $— | $460,976,942 | $— | $460,976,942 |
Corporate Bonds | — | 4,892,493 | — | 4,892,493 |
Closed-End Investment Companies | 4,630,880 | — | — | 4,630,880 |
Open-End Investment Companies | 8,584 | — | — | 8,584 |
Total | $4,639,464 | $465,869,435 | $— | $470,508,899 |
(a) | See Investment Portfolio for additional detailed categorizations. |
DWS Strategic High Yield Tax-Free Fund | | | 21 |
Assets | |
Investment in securities, at value (cost $503,779,398) | $470,508,899 |
Receivable for investments sold | 3,064,271 |
Receivable for Fund shares sold | 583,540 |
Dividends receivable | 21,424 |
Interest receivable | 7,018,948 |
Other assets | 38,507 |
Total assets | 481,235,589 |
Liabilities | |
Payable for investments purchased — when-issued/delayed-delivery securities | 1,082,340 |
Payable for Fund shares redeemed | 165,001 |
Distributions payable | 229,275 |
Accrued management fee | 131,458 |
Accrued Trustees' fees | 6,456 |
Other accrued expenses and payables | 284,807 |
Total liabilities | 1,899,337 |
Net assets, at value | $479,336,252 |
Net Assets Consist of | |
Distributable earnings (loss) | (156,643,189 ) |
Paid-in capital | 635,979,441 |
Net assets, at value | $479,336,252 |
22 | | | DWS Strategic High Yield Tax-Free Fund |
Net Asset Value | |
Class A | |
Net Asset Value and redemption price per share ($145,007,687 ÷ 13,874,656 outstanding shares of beneficial interest, $.01 par value, unlimited shares authorized) | $10.45 |
Maximum offering price per share (100 ÷ 97.25 of $10.45) | $10.75 |
Class C | |
Net Asset Value, offering and redemption price (subject to contingent deferred sales charge) per share ($4,122,439 ÷ 394,035 outstanding shares of beneficial interest, $.01 par value, unlimited shares authorized) | $10.46 |
Class S | |
Net Asset Value, offering and redemption price per share ($232,976,209 ÷ 22,273,313 outstanding shares of beneficial interest, $.01 par value, unlimited shares authorized) | $10.46 |
Institutional Class | |
Net Asset Value, offering and redemption price per share ($97,229,917 ÷ 9,292,434 outstanding shares of beneficial interest, $.01 par value, unlimited shares authorized) | $10.46 |
DWS Strategic High Yield Tax-Free Fund | | | 23 |
Investment Income | |
Income: | |
Interest | $23,861,932 |
Dividends | 127,223 |
Total income | 23,989,155 |
Expenses: | |
Management fee | 2,085,842 |
Administration fee | 463,854 |
Services to shareholders | 509,764 |
Distribution and service fees | 378,370 |
Custodian fee | 5,277 |
Professional fees | 83,134 |
Reports to shareholders | 45,567 |
Registration fees | 71,082 |
Trustees' fees and expenses | 20,400 |
Other | 33,607 |
Total expenses before expense reductions | 3,696,897 |
Expense reductions | (538,214 ) |
Total expenses after expense reductions | 3,158,683 |
Net investment income | 20,830,472 |
Realized and Unrealized Gain (Loss) | |
Net realized gain (loss) from: | |
Investments | (13,860,052 ) |
Futures | 1,092,860 |
(12,767,192 ) | |
Change in net unrealized appreciation (depreciation) on: | |
Investments | 19,622,249 |
Futures | 212,396 |
19,834,645 | |
Net gain (loss) | 7,067,453 |
Net increase (decrease) in net assets resulting from operations | $27,897,925 |
24 | | | DWS Strategic High Yield Tax-Free Fund |
Years Ended May 31, | ||
Increase (Decrease) in Net Assets | 2024 | 2023 |
Operations: | ||
Net investment income | $20,830,472 | $24,003,961 |
Net realized gain (loss) | (12,767,192 ) | (23,901,024 ) |
Change in net unrealized appreciation (depreciation) | 19,834,645 | (27,160,072 ) |
Net increase (decrease) in net assets resulting from operations | 27,897,925 | (27,057,135 ) |
Distributions to shareholders: | ||
Class A | (5,433,634 ) | (6,129,000 ) |
Class C | (172,920 ) | (241,732 ) |
Class S | (10,738,556 ) | (12,803,544 ) |
Institutional Class | (4,141,076 ) | (4,874,306 ) |
Total distributions | (20,486,186 ) | (24,048,582 ) |
Fund share transactions: | ||
Proceeds from shares sold | 111,960,244 | 120,747,071 |
Reinvestment of distributions | 17,341,866 | 19,312,081 |
Payments for shares redeemed | (177,426,819 ) | (317,686,045 ) |
Net increase (decrease) in net assets from Fund share transactions | (48,124,709 ) | (177,626,893 ) |
Increase (decrease) in net assets | (40,712,970 ) | (228,732,610 ) |
Net assets at beginning of period | 520,049,222 | 748,781,832 |
Net assets at end of period | $479,336,252 | $520,049,222 |
DWS Strategic High Yield Tax-Free Fund | | | 25 |
DWS Strategic High Yield Tax-Free Fund — Class A | |||||
Years Ended May 31, | |||||
2024 | 2023 | 2022 | 2021 | 2020 | |
Selected Per Share Data | |||||
Net asset value, beginning of period | $10.24 | $11.02 | $12.59 | $11.37 | $12.13 |
Income (loss) from investment operations: | |||||
Net investment income | .42 | .41 | .39 | .42 | .45 |
Net realized and unrealized gain (loss) | .21 | (.78 ) | (1.57 ) | 1.23 | (.77 ) |
Total from investment operations | .63 | (.37 ) | (1.18 ) | 1.65 | (.32 ) |
Less distributions from: | |||||
Net investment income | (.42 ) | (.40 ) | (.39 ) | (.42 ) | (.44 ) |
Net realized gains | (.00 )* | (.01 ) | (.00 )* | (.01 ) | (.00 )* |
Total distributions | (.42 ) | (.41 ) | (.39 ) | (.43 ) | (.44 ) |
Net asset value, end of period | $10.45 | $10.24 | $11.02 | $12.59 | $11.37 |
Total Return (%)a,b | 6.33 | (3.27 ) | (9.55 ) | 14.56 | (2.74 ) |
Ratios to Average Net Assets and Supplemental Data | |||||
Net assets, end of period ($ millions) | 145 | 137 | 182 | 216 | 181 |
Ratio of expenses before expense reductions (including interest expense) (%) | .92 | .95 c | .90 c | .90 c | .95 c |
Ratio of expenses after expense reductions (including interest expense) (%) | .83 | .89 c | .87 c | .87 c | .91 c |
Ratio of expenses after expense reductions (excluding interest expense) (%) | .83 | .85 | .84 | .84 | .85 |
Ratio of net investment income (%) | 4.19 | 3.97 | 3.21 | 3.51 | 3.72 |
Portfolio turnover rate (%) | 58 | 70 | 69 | 59 | 52 |
a | Total return does not reflect the effect of any sales charges. |
b | Total return would have been lower had certain expenses not been reduced. |
c | Interest expense represents interest and fees on short-term floating rate notes issued in conjunction with inverse floating rate securities. Interest income from such transactions is included in income from investment operations. |
* | Amount is less than $.005. |
26 | | | DWS Strategic High Yield Tax-Free Fund |
DWS Strategic High Yield Tax-Free Fund — Class C | |||||
Years Ended May 31, | |||||
2024 | 2023 | 2022 | 2021 | 2020 | |
Selected Per Share Data | |||||
Net asset value, beginning of period | $10.25 | $11.03 | $12.60 | $11.38 | $12.13 |
Income (loss) from investment operations: | |||||
Net investment income | .35 | .34 | .30 | .33 | .36 |
Net realized and unrealized gain (loss) | .20 | (.79 ) | (1.57 ) | 1.22 | (.76 ) |
Total from investment operations | .55 | (.45 ) | (1.27 ) | 1.55 | (.40 ) |
Less distributions from: | |||||
Net investment income | (.34 ) | (.32 ) | (.30 ) | (.32 ) | (.35 ) |
Net realized gains | (.00 )* | (.01 ) | (.00 )* | (.01 ) | (.00 )* |
Total distributions | (.34 ) | (.33 ) | (.30 ) | (.33 ) | (.35 ) |
Net asset value, end of period | $10.46 | $10.25 | $11.03 | $12.60 | $11.38 |
Total Return (%)a,b | 5.53 | (4.00 ) | (10.22 ) | 13.68 | (3.39 ) |
Ratios to Average Net Assets and Supplemental Data | |||||
Net assets, end of period ($ millions) | 4 | 6 | 9 | 14 | 33 |
Ratio of expenses before expense reductions (including interest expense) (%) | 1.69 | 1.71 c | 1.66 c | 1.66 c | 1.71 c |
Ratio of expenses after expense reductions (including interest expense) (%) | 1.58 | 1.64 c | 1.62 c | 1.62 c | 1.66 c |
Ratio of expenses after expense reductions (excluding interest expense) (%) | 1.58 | 1.60 | 1.59 | 1.59 | 1.60 |
Ratio of net investment income (%) | 3.44 | 3.22 | 2.46 | 2.77 | 2.97 |
Portfolio turnover rate (%) | 58 | 70 | 69 | 59 | 52 |
a | Total return does not reflect the effect of any sales charges. |
b | Total return would have been lower had certain expenses not been reduced. |
c | Interest expense represents interest and fees on short-term floating rate notes issued in conjunction with inverse floating rate securities. Interest income from such transactions is included in income from investment operations. |
* | Amount is less than $.005. |
DWS Strategic High Yield Tax-Free Fund | | | 27 |
DWS Strategic High Yield Tax-Free Fund — Class S | |||||
Years Ended May 31, | |||||
2024 | 2023 | 2022 | 2021 | 2020 | |
Selected Per Share Data | |||||
Net asset value, beginning of period | $10.25 | $11.03 | $12.60 | $11.38 | $12.14 |
Income (loss) from investment operations: | |||||
Net investment income | .45 | .44 | .42 | .45 | .47 |
Net realized and unrealized gain (loss) | .21 | (.78 ) | (1.57 ) | 1.23 | (.76 ) |
Total from investment operations | .66 | (.34 ) | (1.15 ) | 1.68 | (.29 ) |
Less distributions from: | |||||
Net investment income | (.45 ) | (.43 ) | (.42 ) | (.45 ) | (.47 ) |
Net realized gains | (.00 )* | (.01 ) | (.00 )* | (.01 ) | (.00 )* |
Total distributions | (.45 ) | (.44 ) | (.42 ) | (.46 ) | (.47 ) |
Net asset value, end of period | $10.46 | $10.25 | $11.03 | $12.60 | $11.38 |
Total Return (%)a | 6.60 | (3.01 ) | (9.31 ) | 14.83 | (2.49 ) |
Ratios to Average Net Assets and Supplemental Data | |||||
Net assets, end of period ($ millions) | 233 | 268 | 405 | 567 | 576 |
Ratio of expenses before expense reductions (including interest expense) (%) | .71 | .74 b | .74 b | .73 b | .80 b |
Ratio of expenses after expense reductions (including interest expense) (%) | .58 | .64 b | .62 b | .62 b | .66 b |
Ratio of expenses after expense reductions (excluding interest expense) (%) | .58 | .60 | .59 | .59 | .60 |
Ratio of net investment income (%) | 4.44 | 4.22 | 3.46 | 3.76 | 3.97 |
Portfolio turnover rate (%) | 58 | 70 | 69 | 59 | 52 |
a | Total return would have been lower had certain expenses not been reduced. |
b | Interest expense represents interest and fees on short-term floating rate notes issued in conjunction with inverse floating rate securities. Interest income from such transactions is included in income from investment operations. |
* | Amount is less than $.005. |
28 | | | DWS Strategic High Yield Tax-Free Fund |
DWS Strategic High Yield Tax-Free Fund — Institutional Class | |||||
Years Ended May 31, | |||||
2024 | 2023 | 2022 | 2021 | 2020 | |
Selected Per Share Data | |||||
Net asset value, beginning of period | $10.25 | $11.03 | $12.60 | $11.39 | $12.14 |
Income (loss) from investment operations: | |||||
Net investment income | .45 | .44 | .43 | .45 | .49 |
Net realized and unrealized gain (loss) | .21 | (.78 ) | (1.58 ) | 1.22 | (.77 ) |
Total from investment operations | .66 | (.34 ) | (1.15 ) | 1.67 | (.28 ) |
Less distributions from: | |||||
Net investment income | (.45 ) | (.43 ) | (.42 ) | (.45 ) | (.47 ) |
Net realized gains | (.00 )* | (.01 ) | (.00 )* | (.01 ) | (.00 )* |
Total distributions | (.45 ) | (.44 ) | (.42 ) | (.46 ) | (.47 ) |
Net asset value, end of period | $10.46 | $10.25 | $11.03 | $12.60 | $11.39 |
Total Return (%)a | 6.61 | (3.01 ) | (9.38 ) | 14.82 | (2.41 ) |
Ratios to Average Net Assets and Supplemental Data | |||||
Net assets, end of period ($ millions) | 97 | 109 | 153 | 242 | 207 |
Ratio of expenses before expense reductions (including interest expense) (%) | .69 | .69 b | .68 b | .68 b | .74 b |
Ratio of expenses after expense reductions (including interest expense) (%) | .58 | .64 b | .62 b | .62 b | .66 b |
Ratio of expenses after expense reductions (excluding interest expense) (%) | .58 | .60 | .59 | .59 | .60 |
Ratio of net investment income (%) | 4.43 | 4.23 | 3.46 | 3.76 | 3.97 |
Portfolio turnover rate (%) | 58 | 70 | 69 | 59 | 52 |
a | Total return would have been lower had certain expenses not been reduced. |
b | Interest expense represents interest and fees on short-term floating rate notes issued in conjunction with inverse floating rate securities. Interest income from such transactions is included in income from investment operations. |
* | Amount is less than $.005. |
DWS Strategic High Yield Tax-Free Fund | | | 29 |
30 | | | DWS Strategic High Yield Tax-Free Fund |
DWS Strategic High Yield Tax-Free Fund | | | 31 |
32 | | | DWS Strategic High Yield Tax-Free Fund |
DWS Strategic High Yield Tax-Free Fund | | | 33 |
Undistributed tax-exempt income | $15,182,894 |
Undistributed ordinary income* | $43,744 |
Capital loss carryforwards | $(139,010,070 ) |
Net unrealized appreciation (depreciation) on investments | $(30,393,742 ) |
34 | | | DWS Strategic High Yield Tax-Free Fund |
Years Ended May 31, | ||
2024 | 2023 | |
Distributions from tax-exempt income | $19,389,934 | $22,075,351 |
Distributions from ordinary income* | $1,096,252 | $1,973,231 |
* | For tax purposes, short-term capital gain distributions are considered ordinary income distributions. |
DWS Strategic High Yield Tax-Free Fund | | | 35 |
Realized Gain (Loss) | Futures Contracts |
Interest Rate Contracts (a) | $1,092,860 |
The above derivative is located in the following Statement of Operations account: |
(a) | Net realized gain (loss) from futures contracts |
Change in Net Unrealized Appreciation (Depreciation) | Futures Contracts |
Interest Rate Contracts (a) | $212,396 |
The above derivative is located in the following Statement of Operations account: |
(a) | Change in net unrealized appreciation (depreciation) on futures contracts |
36 | | | DWS Strategic High Yield Tax-Free Fund |
First $300 million of the Fund’s average daily net assets | .455% |
Next $200 million of such net assets | .405% |
Next $500 million of such net assets | .380% |
Next $500 million of such net assets | .360% |
Next $500 million of such net assets | .350% |
Over $2 billion of such net assets | .340% |
Class A | .85% |
Class C | 1.60% |
Class S | .60% |
Institutional Class | .60% |
Class A | .82% | |
Class C | 1.57% | |
Class S | .57% | |
Institutional Class | .57% |
DWS Strategic High Yield Tax-Free Fund | | | 37 |
Class A | $118,225 |
Class C | 5,610 |
Class S | 308,802 |
Institutional Class | 105,577 |
$538,214 |
Services to Shareholders | Total Aggregated | Unpaid at May 31, 2024 |
Class A | $6,337 | $1,073 |
Class C | 304 | 46 |
Class S | 53,941 | 9,001 |
Institutional Class | 732 | 126 |
$61,314 | $10,246 |
38 | | | DWS Strategic High Yield Tax-Free Fund |
Sub-Recordkeeping | Total Aggregated |
Class A | $99,632 |
Class C | 4,800 |
Class S | 228,021 |
Institutional Class | 95,063 |
$427,516 |
Distribution Fee | Total Aggregated | Unpaid at May 31, 2024 |
Class C | $38,557 | $2,678 |
Service Fee | Total Aggregated | Unpaid at May 31, 2024 | Annual Rate |
Class A | $326,963 | $58,673 | .25% |
Class C | 12,850 | 1,717 | .25% |
$339,813 | $60,390 |
DWS Strategic High Yield Tax-Free Fund | | | 39 |
40 | | | DWS Strategic High Yield Tax-Free Fund |
Year Ended May 31, 2024 | Year Ended May 31, 2023 | |||
Shares | Dollars | Shares | Dollars | |
Shares sold | ||||
Class A | 4,222,811 | $44,108,048 | 2,260,857 | $23,374,504 |
Class C | 47,991 | 499,581 | 82,107 | 829,563 |
Class S | 1,269,500 | 12,952,763 | 1,896,618 | 19,549,640 |
Institutional Class | 5,239,769 | 54,399,852 | 7,500,594 | 76,993,364 |
$111,960,244 | $120,747,071 | |||
Shares issued to shareholders in reinvestment of distributions | ||||
Class A | 480,540 | $4,960,808 | 524,515 | $5,389,721 |
Class C | 15,976 | 164,787 | 21,636 | 222,505 |
Class S | 862,386 | 8,903,002 | 1,042,827 | 10,735,471 |
Institutional Class | 320,119 | 3,313,269 | 287,992 | 2,964,384 |
$17,341,866 | $19,312,081 | |||
Shares redeemed | ||||
Class A | (4,178,884 ) | $(43,195,908 ) | (5,930,606 ) | $(61,044,993 ) |
Class C | (285,759 ) | (2,943,803 ) | (343,820 ) | (3,567,125 ) |
Class S | (6,007,829 ) | (61,215,763 ) | (13,496,445 ) | (139,333,290 ) |
Institutional Class | (6,914,501 ) | (70,071,345 ) | (11,001,548 ) | (113,740,637 ) |
$(177,426,819 ) | $(317,686,045 ) | |||
Net increase (decrease) | ||||
Class A | 524,467 | $5,872,948 | (3,145,234 ) | $(32,280,768 ) |
Class C | (221,792 ) | (2,279,435 ) | (240,077 ) | (2,515,057 ) |
Class S | (3,875,943 ) | (39,359,998 ) | (10,557,000 ) | (109,048,179 ) |
Institutional Class | (1,354,613 ) | (12,358,224 ) | (3,212,962 ) | (33,782,889 ) |
$(48,124,709 ) | $(177,626,893 ) |
DWS Strategic High Yield Tax-Free Fund | | | 41 |
42 | | | DWS Strategic High Yield Tax-Free Fund |
DWS Strategic High Yield Tax-Free Fund | | | 43 |
44 | | | DWS Strategic High Yield Tax-Free Fund |
DWS Strategic High Yield Tax-Free Fund | | | 45 |
46 | | | DWS Strategic High Yield Tax-Free Fund |
DWS Strategic High Yield Tax-Free Fund | | | 47 |
48 | | | DWS Strategic High Yield Tax-Free Fund |
DWS Strategic High Yield Tax-Free Fund | | | 49 |
Item 8. | Changes in and Disagreements with Accountants for Open-End Management Investment Companies. | |
Not applicable | ||
Item 9. | Proxy Disclosures for Open-End Management Investment Companies. | |
Not applicable | ||
Item 10. | Remuneration Paid to Directors, Officers, and Others of Open-End Management Investment Companies. | |
See Item 7 | ||
Item 11. | Statement Regarding Basis for Approval of Investment Advisory Contract. | |
See Item 7 | ||
Item 12. | Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies. | |
Not applicable | ||
Item 13. | Portfolio Managers of Closed-End Management Investment Companies. | |
Not applicable | ||
Item 14. | Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers. | |
Not applicable | ||
Item 15. | Submission of Matters to a Vote of Security. | |
There were no material changes to the procedures by which shareholders may recommend nominees to the Fund’s Board. The primary function of the Nominating and Governance Committee is to identify and recommend individuals for membership on the Board and oversee the administration of the Board Governance Guidelines. Shareholders may recommend candidates for Board positions by forwarding their correspondence by U.S. mail or courier service to Keith R. Fox, DWS Funds Board Chair, c/o Thomas R. Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston, MA 02199-3600. | ||
Item 16. | 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 period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal controls over financial reporting. | |
Item 17. | Disclosure of Securities Lending Activities for Closed-End Management Investment Companies. | |
Not applicable | ||
Item 18. | Recovery of Erroneously Awarded Compensation. | |
Not applicable | ||
Item 19. | 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. |
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 Strategic High Yield Tax-Free Fund, a series of Deutsche DWS Municipal Trust |
By: | /s/Hepsen Uzcan Hepsen Uzcan Principal Executive Officer |
Date: | 7/30/2024 |
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.
By: | /s/Hepsen Uzcan Hepsen Uzcan Principal Executive Officer |
Date: | 7/30/2024 |
By: | /s/Diane Kenneally Diane Kenneally Principal Financial Officer |
Date: | 7/30/2024 |