annual report to shareholders - fundsus.dws.com 3 letter to shareholders 4 portfolio management...

December 31, 2017

Annual Report

to Shareholders

Deutsche Real Estate Securities Fund

Contents

3 Letter to Shareholders

4 Portfolio ManagementReview

8 Performance Summary

11 Portfolio Summary

13 Investment Portfolio

16 Statement of Assets andLiabilities

18 Statement of Operations

19 Statements of Changes inNet Assets

21 Financial Highlights

28 Notes to FinancialStatements

39 Report of IndependentRegistered PublicAccounting Firm

41 Information About YourFund’s Expenses

43 Tax Information

44 Advisory Agreement BoardConsiderations and FeeEvaluation

49 Board Members and Officers

54 Account ManagementResources

This report must be preceded or accompanied by a prospectus. To

obtain a summary prospectus, if available, or prospectus for any of our

funds, refer to the Account Management Resources information

provided in the back of this booklet. We advise you to consider the

Fund’s objectives, risks, charges and expenses carefully before

investing. The summary prospectus and prospectus contain this and

other important information about the Fund. Please read the prospectus

carefully before you invest.

Any fund that concentrates in a particular segment of the market will generally bemore volatile than a fund that invests more broadly. Investing in derivatives entailsspecial risks relating to liquidity, leverage and credit that may reduce returns and/orincrease volatility. This Fund is non-diversified and can take larger positions in fewerissues, increasing its potential risk. There are special risks associated with aninvestment in real estate, including REITS. These risks include credit risk, interest ratefluctuations and the impact of varied economic conditions. The Fund may lendsecurities to approved institutions. Stocks may decline in value. Please read theprospectus for details.

Deutsche Asset Management represents the asset management activities conducted byDeutsche Bank AG or any of its subsidiaries.

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

2 Deutsche Real Estate Securities Fund

Letter to Shareholders

Dear Shareholder:

“Synchronous growth” is the catchphrase for the current marketenvironment — positive momentum in the U.S. as well as for most of themajor economies of the globe.

Overseas, both developed and emerging markets continue to improve,marked by low inflation rates, growing corporate earnings and attractivevaluations. Here in the U.S., activity remains solid with only limited signsof overheating. Given the notable gains of the past year, a short-termpullback would not be a surprise. Nevertheless, strong fundamentalsremain supportive of this expansion.

Solid income growth, improvements in net worth, manageable debt,elevated confidence and firm labor markets should continue to supportconsumer spending. Business investment is also showing signs of pickingup, supported by improved confidence, favorable financial conditions andthe recent tax reform bill.

The full effect of the new tax policy remains to be seen. While marketscan respond almost instantly, and seem to have done so, the economyitself takes time to respond. Our economists believe that the net benefitmay be fairly modest with the main beneficiaries being consumption andbusiness investment.

All told, we believe this environment favors a long-term approach, with afocus on thoughtful asset, geographic and sector allocation, rather thanmarket timing calls.

As always, we invite you to visit our website — deutschefunds.com —where you will find the most current insights from our CIO, economistsand investment specialists.

Thank you for allowing us to help you address your investment needs.

Best regards,

Hepsen UzcanPresident, Deutsche Funds

Assumptions, estimates and opinions contained in this document constitute our judgment as ofthe date of the document and are subject to change without notice. Any projections are based ona number of assumptions as to market conditions and there can be no guarantee that anyprojected results will be achieved. Past performance is not a guarantee of future results.

Deutsche Real Estate Securities Fund 3

Portfolio Management Review (Unaudited)

Market Overview and Fund Performance

All performance information below is historical and does not guarantee future

results. Returns shown are for Class A shares, unadjusted for sales charges.

Investment return and principal fluctuate, so your shares may be worth more or

less when redeemed. Current performance may differ from performance data

shown. Please visit deutschefunds.com for the most recent month-end

performance of all share classes. Fund performance includes reinvestment of all

distributions. Unadjusted returns do not reflect sales charges and would have

been lower if they had. Please refer to pages 8 through 10 for more complete

performance information.

For the 12-month period ended December 31, 2017, Deutsche RealEstate Securities Fund returned 6.11%. In comparison, the Standard &Poor’s 500® (S&P 500) Index returned 21.83% and the MSCI US REITIndex returned 5.07%.

Investment Strategy

The Fund seeks long-term capital appreciation and current income. The Fundnormally invests at least 80% of its net assets, plus the amount of anyborrowings for investment purposes, in equity securities of real estateinvestment trusts (REITs) and real estate companies.

For 2017, despite a volatile start, U.S. REITs delivered a positive return, theninth consecutive year of positive total returns for the asset class.However, REITs underperformed the broad stock market. Toward the endof the first quarter, a stronger labor market, healthy consumer data and anudge upward in inflation contributed to a spike in 10-year U.S. Treasuryyields. This resulted in a short-term sell-off in REITs, though Treasury yieldssoon retreated. In the second quarter, amid an uncertain geopoliticalbackdrop, the U.S. administration’s unveiling of its much anticipatedproposal for a significant federal tax overhaul — as well as positive U.S.earnings results — provided a boost for REITs. During the second half of2017, the U.S. stock market powered to new highs based on healthycorporate results, positive economic news and receding geopoliticaltensions. Over the course of the past 12 months, the U.S. Federal ReserveBoard (the Fed) raised short-term interest rates three times.

Within the REIT market, shorter-lease-duration sectors that are moreeconomically sensitive generally posted the strongest returns during the


year. These included data centers, industrials, hotels and apartments.Conversely, the retail and mall sectors encountered significant headwindsas store closings weighed on investor sentiment and growth.

Positive Contributors to Fund Performance

During the Fund’s most recent fiscal year, overweight positions inCoreSite Realty Corp. and InterXion Holding NV were the largest individualcontributors to performance. Overweight positions in DuPont FabrosTechnology Inc.* and Rexford Industrial Realty, Inc. also added to returns.

“The Fund retains a bias toward property stocks with highquality assets or business models that operate in marketsegments with favorable supply/demand dynamics and,importantly, solid management teams with a track record ofadding value for shareholders.”

Negative Contributors to Fund Performance

Conversely, an overweight position in GGP, Inc. and an underweight inVentas, Inc. detracted from performance. In addition, the Fund’sunderweight to Prologis, Inc. and overweight to Vornado Realty Trust*weighed on relative return.

Outlook and Positioning

We believe that a positive fundamental backdrop for property stockscombined with favorable supply/demand dynamics could potentiallycontinue to drive ample cash flow growth for REITs in the comingmonths. Additionally, we believe that stock selection will be the key drivergoing forward in this market. We also expect REIT performance to beprimarily dictated by underlying fundamentals rather than uncertaintysurrounding future monetary policy and fluctuating Treasury yields.

The Fund retains a bias toward property stocks with high quality assets orbusiness models that operate in market segments with favorable supply/demand dynamics and, importantly, solid management teams with a trackrecord of adding value for shareholders. We tend to favor sectors witheither shorter-lease-duration or economically-sensitive demand drivers.These include data centers, industrial REITs and hotels. While, in ouropinion, overall growth has likely peaked within most property types, we


nonetheless believe that U.S. real estate markets remain poised for severalyears of income, cash flow and dividend expansion within the continuedU.S. recovery. We also think that the strong bid for real estate assetscoming from the private market, including sovereign wealth funds, pensionfunds and institutional advisors, is supportive of current asset values. TheFund remains focused on companies that are typically more able towithstand higher interest rates. Therefore, we think that minimal exposureto the health care REIT sector is warranted, as the sector tends to beviewed as more “bond-like,” and thus more sensitive to rate fluctuations.* Not held in the portfolio as of December 31, 2017.

The views expressed reflect those of the portfolio management team only through the endof the period of the report as stated on the cover. The management team’s views aresubject to change at any time based on market and other conditions and should not beconstrued as a recommendation. Past performance is no guarantee of future results.Current and future portfolio holdings are subject to risk.

Portfolio Management Team

John W. Vojticek, Managing DirectorPortfolio Manager of the Fund. Began managing the Fund in 2004.� Joined Deutsche Asset Management in 2004; previously worked as Principal at

KG Redding and Associates, March 2004–September 2004; and previously ManagingDirector of Deutsche Asset Management from 1996–March 2004.

� Head and Chief Investment Officer of Liquid Real Assets for Deutsche AssetManagement.

� BS, University of Southern California.

David W. Zonavetch, CPA, Managing DirectorPortfolio Manager of the Fund. Began managing the Fund in 2013.� Joined Deutsche Asset Management in 1998; previously worked as Senior Accountant in

Corporate Finance; and as an Analyst at Cendant Mobility.� Co-Head of Real Estate Securities, Americas and Co-Lead Portfolio Manager: Chicago.� Investment industry experience began in 1996.� BS, University of Illinois at Urbana-Champaign.

Robert Thomas, Managing DirectorPortfolio Manager of the Fund. Began managing the Fund in 2017.� Joined Deutsche Asset Management in 2017; previously served as the Head of North

American Property Equities and Portfolio Manager at Henderson Global Investors; andpreviously was Co-Head of North American Listed Real Estate at AMP Capital Investors.

� Co-Head of Real Estate Securities, Americas and Co-Lead Portfolio Manager: Chicago.� Investment industry experience began in 2002.� BA in Economics, Duke University; MBA, Finance / Management and Strategy, Kellogg

School of Management, Northwestern University.

The views expressed reflect those of the portfolio management team only through the endof the period of the report as stated on the cover. The management team’s views are


subject to change at any time based on market and other conditions and should not beconstrued as a recommendation. Past performance is no guarantee of future results. Currentand future portfolio holdings are subject to risk.

Terms to Know

The Standard and Poor’s 500 (S&P 500) Index is an unmanaged, capitalization-weighted index of 500 stocks. The index is designed to measure performance of thebroad domestic economy through changes in the aggregate market value of 500stocks representing all major industries. The MSCI US REIT Index is an unmanagedfree-float-adjusted market capitalization index that is comprised of equity REITs. Theindex is based on the MSCI USA Investable Market Index, its parent index, whichcaptures large-, mid- and small-cap securities. With 152 constituents, it representsapproximately 99% of the U.S. REIT universe, and securities are classified in the equityREITs industry (under the real estate sector) according to the Global IndustryClassification Standard (GICS®). However, it excludes mortgage REITs and selectedspecialized REITs. Index returns do not reflect fees or expenses and it is not possibleto invest directly into an index.

Overweight means the Fund holds a higher weighting in a given sector or securitythan the benchmark. Underweight means the Fund holds a lower weighting.


Performance Summary December 31, 2017 (Unaudited)

Class A 1-Year 5-Year 10-Year

Average Annual Total Returns as of 12/31/17

Unadjusted for Sales Charge 6.11% 8.73% 6.99%

Adjusted for the Maximum Sales Charge(max 5.75% load) 0.01% 7.45% 6.36%

S&P 500® Index† 21.83% 15.79% 8.50%

MSCI US REIT Index†† 5.07% 9.34% 7.44%

Class T 1-Year 5-Year 10-Year



Adjusted for the Maximum Sales Charge(max 2.50% load) 3.53% 8.21% 6.77%

S&P 500® Index† 21.83% 15.79% 8.50%


Class C 1-Year 5-Year 10-Year



Adjusted for the Maximum Sales Charge(max 1.00% CDSC) 5.43% 7.97% 6.27%

S&P 500® Index† 21.83% 15.79% 8.50%


Class R 1-Year 5-Year 10-Year


No Sales Charges 5.77% 8.38% 6.69%

S&P 500® Index† 21.83% 15.79% 8.50%


Class R6 1-Year

Life of

Class*


No Sales Charges 6.62% 7.77%

S&P 500® Index† 21.83% 11.54%

MSCI US REIT Index†† 5.07% 5.85%


Class S 1-Year 5-Year 10-Year



S&P 500® Index† 21.83% 15.79% 8.50%


Institutional Class 1-Year 5-Year 10-Year



S&P 500® Index† 21.83% 15.79% 8.50%


Performance in the Average Annual Total Returns table above and the Growth of

an Assumed $10,000 Investment line graph that follows is historical and does not

guarantee future results. Investment return and principal fluctuate, so your

shares may be worth more or less when redeemed. Current performance may

differ from performance data shown. Please visit deutschefunds.com 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.

The gross expense ratios of the Fund, as stated in the fee table of the prospectus

dated March 31, 2017 are 0.98%, 0.93%, 1.66%, 1.30%, 0.53%, 0.71% and 0.63%

for Class A, Class T, Class C, Class R, Class R6, Class S and Institutional

Class shares, respectively, and may differ from the expense ratios disclosed in

the Financial Highlights tables in this report.

Index returns do not reflect any fees or expenses and it is not possible to investdirectly into an index.

Performance figures do not reflect the deduction of taxes that a shareholder would payon fund distributions or the redemption of fund shares.

Returns shown for Class T shares for the period prior to its inception on June 5, 2017are derived from the historical performance of Institutional Class shares of DeutscheReal Estate Securities Fund during such periods and have been adjusted to reflect thehigher total annual operating expenses. Any difference in expenses will affectperformance.

Generally accepted accounting principles require adjustments to be made to the netassets of the Fund at period end for financial reporting purposes only, and as such, thetotal return based on the unadjusted net asset value per share may differ from the totalreturn reported in the financial highlights.


Growth of an Assumed $10,000 Investment(Adjusted for Maximum Sales Charge)

Deutsche Real Estate Securities Fund — Class A

MSCI US REIT (Morgan Stanley US Real Estate Investment Trust) Index

S&P 500 Index

'07

$20,505

$25,000

$20,000

$0

'16 '17'15

$10,000

$5,000

'08 '09

$22,603

'10 '11 '12

$15,000

$18,531

'13 '14

Yearly periods ended December 31

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

The growth of $10,000 is cumulative.

Performance of other share classes will vary based on the sales charges and the feestructure of those classes.

* Class R6 shares commenced operations on August 25, 2014.† The MSCI US REIT Index is an unmanaged free float-adjusted market capitalization index

that is comprised of equity REITs. The index is based on MSCI USA Investable MarketIndex, its parent index, which captures large, mid and small caps securities. With152 constituents, it represents about 99% of the US REIT universe and securities areclassified in the Equity REITs Industry (under the Real Estate sector) according to theGlobal Industry Classification Standard (GICS®). It however excludes Mortgage REIT andselected Specialized REITs.

†† The Standard and Poor’s 500 (S&P 500) Index is an unmanaged, capitalization-weightedindex of 500 stocks. The index is designed to measure performance of the broaddomestic economy through changes in the aggregate market value of 500 stocksrepresenting all major industries.

Class A Class T Class C Class R Class R6 Class S

Institutional

Class

Net Asset Value

12/31/17 $20.39 $20.40 $20.65 $20.39 $20.37 $20.52 $20.366/5/17(commencement ofoperations of Class T) $ — $20.54 $ — $ — $ — $ — $ —12/31/16 $20.11 $ — $20.35 $20.11 $20.09 $20.23 $20.08Distribution Information as of 12/31/17Income Dividends,Twelve Months $ .35 $ .27** $ .21 $ .28 $ .45 $ .41 $ .42Capital GainDistributions,Twelve Months $ .59 $ 59** $ .59 $ .59 $ .59 $ .59 $ .59

** For the period from June 5, 2017 (commencement of operations) to December 31, 2017.


Portfolio Summary (Unaudited)

Asset Allocation (As a % of Investment Portfolio excludingSecurities Lending Collateral) 12/31/17 12/31/16

Common Stocks 100% 100%Cash Equivalents 0% 0%

100% 100%

Sector Diversification (As a % of Investment Portfolioexcluding Cash Equivalents and Securities Lending Collateral) 12/31/17 12/31/16

Diversified 16% 12%Office 14% 14%Apartments 12% 14%Regional Malls 10% 12%Industrials 9% 8%Health Care 8% 12%Storage 8% 7%Hotels 7% 7%Shopping Centers 5% 8%Specialty Services 5% 5%Manufactured Homes 4% 1%Software 2% —Telecommunications 0% —

100% 100%


Ten Largest Equity Holdings at December 31, 2017 (39.0% of Net Assets)

1 Simon Property Group, Inc. 5.5%

Owner and operator of regional shopping malls

2 Equinix, Inc. 4.8%

Global company offering data center space and power to customers

3 Alexandria Real Estate Equities, Inc. 4.3%

Acquirer, manager and developer of office and laboratory space properties

4 Camden Property Trust 4.1%

Owner and manager of multifamily residential apartment communities

5 Boston Properties, Inc. 3.9%

Developer of commercial and industrial real estate

6 Prologis, Inc. 3.7%

Owner, operator and developer of industrial real estate

7 Equity LifeStyle Properties, Inc. 3.6%

Owner of properties such as camping grounds and seasonal resort communities

8 Extra Space Storage, Inc. 3.3%

Owner and operator of self-storage properties

9 Ventas, Inc. 2.9%

Owns and leases long-term health care facilities

10 Sunstone Hotel Investors, Inc. 2.9%

A hospitality and lodging real estate investment trust that owns primarily upperscale and upscale hotels in the United States

Portfolio holdings and characteristics are subject to change.For more complete details about the Fund’s investment portfolio, see page 13. A quarterlyFact Sheet is available on deutschefunds.com or upon request. Please see the AccountManagement Resources section on page 53 for contact information.


Investment Portfolio as of December 31, 2017

Shares Value ($)

Common Stocks 99.8%

Real Estate Investment Trusts (“REITs”) 99.8%

Apartments 12.1%

Camden Property Trust 603,826 55,588,222Equity Residential 521,371 33,247,829Essex Property Trust, Inc. 124,542 30,060,702Invitation Homes, Inc. 836,633 19,719,440Mid-America Apartment Communities, Inc. 78,523 7,896,273UDR, Inc. 439,364 16,924,301

163,436,767

Diversified 15.3%

American Tower Corp. 218,483 31,170,970CoreSite Realty Corp. 295,410 33,647,199Duke Realty Corp. 532,369 14,485,760Equinix, Inc. 144,564 65,519,296Forest City Realty Trust, Inc. “A” 375,756 9,055,720Four Corners Property Trust, Inc. 874,583 22,476,783Weyerhaeuser Co. 876,119 30,891,956

207,247,684

Health Care 8.4%

CareTrust REIT, Inc. 906,968 15,200,784Healthcare Realty Trust, Inc. 922,036 29,615,796Omega Healthcare Investors, Inc. (a) 351,398 9,677,501Ventas, Inc. 651,601 39,102,576Welltower, Inc. 310,569 19,804,985

113,401,642

Hotels 7.2%

Extended Stay America, Inc. (Units) 1,695,134 32,207,546Pebblebrook Hotel Trust (a) 723,108 26,877,924Sunstone Hotel Investors, Inc. 2,339,801 38,676,911

97,762,381

Industrials 8.5%

EastGroup Properties, Inc. 361,418 31,942,123Prologis, Inc. 766,211 49,428,271Rexford Industrial Realty, Inc. 1,146,129 33,421,122

114,791,516

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


Shares Value ($)

Manufactured Homes 3.6%

Equity LifeStyle Properties, Inc. 540,384 48,104,984

Office 14.0%

Alexandria Real Estate Equities, Inc. 447,450 58,432,495Boston Properties, Inc. 405,917 52,781,388Douglas Emmett, Inc. 874,645 35,912,924Empire State Realty Trust, Inc. “A” 951,595 19,536,245Hudson Pacific Properties, Inc. 438,248 15,009,994JBG SMITH Properties 204,920 7,116,872

188,789,918

Regional Malls 10.3%

GGP, Inc. 994,581 23,263,249Simon Property Group, Inc. 431,204 74,054,975Taubman Centers, Inc. 180,869 11,834,259The Macerich Co. 449,310 29,510,681

138,663,164

Shopping Centers 5.1%

Regency Centers Corp. 376,051 26,015,208Retail Properties of America, Inc. “A” 1,905,293 25,607,138Urban Edge Properties 709,749 18,091,502

69,713,848

Software 2.3%

InterXion Holding NV* 527,100 31,062,003

Specialty Services 4.5%

Agree Realty Corp. 494,430 25,433,479STORE Capital Corp. 1,360,906 35,437,992

60,871,471

Storage 8.1%

CubeSmart 690,577 19,971,487Extra Space Storage, Inc. 518,020 45,300,849Iron Mountain, Inc. 606,331 22,876,868Public Storage 99,353 20,764,777

108,913,981

Telecommunications 0.4%

Switch, Inc. “A” (a) 272,859 4,963,305

Total Common Stocks (Cost $1,172,719,330) 1,347,722,664



Shares Value ($)

Securities Lending Collateral 2.9%

Deutsche Government & Agency Securities Portfolio“Deutsche Government Cash Institutional Shares”,1.21% (b) (c) (Cost $39,307,740) 39,307,740 39,307,740

Cash Equivalents 0.3%

Deutsche Central Cash Management Government Fund,1.30% (b) (Cost $4,573,346) 4,573,346 4,573,346

% of NetAssets Value ($)

Total Investment Portfolio (Cost $1,216,600,416) 103.0 1,391,603,750

Other Assets and Liabilities, Net (3.0) (40,448,084)

Net Assets 100.0 1,351,155,666

* Non-income producing security.(a) All or a portion of these securities were on loan. In addition, “Other Assets and

Liabilities, Net” may include pending sales that are also on loan. The value of securitiesloaned at December 31, 2017 amounted to $37,930,521, which is 2.8% of net assets.

(b) Affiliated fund managed by Deutsche Investment Management Americas Inc. The rateshown is the annualized seven-day yield at period end.

(c) Represents collateral held in connection with securities lending. Income earned by theFund is net of borrower rebates.

Fair Value Measurements

Various inputs are used in determining the value of the Fund’s investments. These inputsare summarized in three broad levels. Level 1 includes quoted prices in active markets foridentical securities. Level 2 includes other significant observable inputs (including quotedprices for similar securities, interest rates, prepayment speeds and credit risk). Level 3includes significant unobservable inputs (including the Fund’s own assumptions indetermining the fair value of investments). The level assigned to the securities valuationsmay not be an indication of the risk or liquidity associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2017 in valuing theFund’s investments. For information on the Fund’s policy regarding the valuation ofinvestments, please refer to the Security Valuation section of Note A in the accompanyingNotes to Financial Statements.

Assets Level 1 Level 2 Level 3 Total

Common Stocks (d) $1,347,722,664 $ — $ — $1,347,722,664

Short-Term Investments (d) 43,881,086 — — 43,881,086

Total $1,391,603,750 $ — $ — $1,391,603,750

There have been no transfers between fair value measurement levels during the year endedDecember 31, 2017.(d) See Investment Portfolio for additional detailed categorizations.



Statement of Assets and Liabilities

as of December 31, 2017

Assets

Investments in non-affiliated securities, at value (cost $1,172,719,330) —including $37,930,521 of securities loaned $ 1,347,722,664

Investment in Government & Agency Securities Portfolio(cost $39,307,740)* 39,307,740

Investment in Deutsche Central Cash Management Government Fund(cost $4,573,346) 4,573,346

Cash 10,000

Receivable for investments sold 9,680,467

Receivable for Fund shares sold 3,007,563

Dividends receivable 7,040,141

Interest receivable 14,961

Other assets 58,976

Total assets 1,411,415,858

Liabilities

Payable upon return of securities loaned 39,307,740

Payable for investments purchased 12,111,051

Payable for Fund shares redeemed 7,146,988

Accrued management fee 449,932

Accrued Trustees’ fees 24,742

Other accrued expenses and payables 1,219,739

Total liabilities 60,260,192

Net assets, at value $ 1,351,155,666

Net Assets Consist of

Undistributed net investment income 6,481,537

Net unrealized appreciation (depreciation) on investments 175,003,334

Accumulated net realized gain (loss) (13,264,161)

Paid-in capital 1,182,934,956

Net assets, at value $ 1,351,155,666

* Represents collateral on securities loaned.



Statement of Assets and Liabilities as of December 31, 2017 (continued)

Net Asset Value

Class A

Net Asset Value and redemption price per share($237,655,964 ÷ 11,654,713 shares of beneficial interest,$.01 par value, unlimited number of shares authorized) $ 20.39

Maximum offering price per share (100 ÷ 94.25 of $20.39) $ 21.63

Class T

Net Asset Value offering and redemption price per share($10,353 ÷ 507.5 shares of beneficial interest,$.01 par value, unlimited number of shares authorized) $ 20.40

Maximum offering price per share (100 ÷ 97.50 of $20.40) $ 20.92

Class C

Net Asset Value offering and redemption price per share($35,617,302 ÷ 1,724,959 shares of beneficial interest,$.01 par value, unlimited number of shares authorized) $ 20.65

Class R


Class R6


Class S


Institutional Class




Statement of Operations

for the year ended December 31, 2017

Investment Income

Income:Dividends $ 38,748,228

Income distributions — Deutsche Central Cash ManagementGovernment Fund 34,550

Securities lending income, net of borrower rebates 47,553

Total income 38,830,331

Expenses:Management fee 5,515,410

Administration fee 1,415,181

Services to shareholders 1,939,304

Distribution and service fees 1,212,300

Custodian fee 32,802

Professional fees 122,833

Reports to shareholders 118,644

Registration fees 112,386

Trustees’ fees and expenses 84,329

Other 96,769

Total expenses 10,649,958

Net investment income 28,180,373

Realized and Unrealized Gain (Loss)

Net realized gain (loss) from investments 75,817,354

Change in net unrealized appreciation (depreciation) on investments (16,239,793)

Net gain (loss) 59,577,561

Net increase (decrease) in net assets resulting from operations $ 87,757,934



Statements of Changes in Net Assets

Years Ended December 31,

Increase (Decrease) in Net Assets 2017 2016

Operations:Net investment income $ 28,180,373 $ 31,848,198

Net realized gain (loss) 75,817,354 106,023,598

Change in net unrealized appreciation (depreciation) (16,239,793) (48,455,477)

Net increase (decrease) in net assets resulting fromoperations 87,757,934 89,416,319

Distributions to shareholders from:Net investment income:

Class A (4,350,763) (7,099,023)

Class T* (133) —

Class C (388,627) (839,258)

Class R (460,051) (723,055)

Class R6 (4,344,104) (5,234,725)

Class S (6,222,391) (8,332,171)

Institutional Class (11,266,245) (15,552,208)

Net realized gain:Class A (6,759,098) (25,739,085)

Class T* (289) —

Class C (981,727) (4,217,039)

Class R (902,976) (3,113,877)

Class R6 (5,612,944) (17,314,026)

Class S (8,383,702) (27,660,190)

Institutional Class (15,285,287) (49,781,021)

Return of capital:Class A — (717,926)

Class C — (84,875)

Class R — (73,123)

Class R6 — (529,390)

Class S — (842,636)

Institutional Class — (1,572,801)

Total distributions (64,958,337) (169,426,429)

* For the period from June 5, 2017 (commencement of operations of Class T) toDecember 31, 2017.



Statements of Changes in Net Assets (continued)


Increase (Decrease) in Net Assets 2017 2016

Fund share transactions:Proceeds from shares sold 379,140,280 511,356,346

Reinvestment of distributions 55,071,091 144,414,770

Payments for shares redeemed (552,964,032) (539,739,900)

Redemption fees 4,464 39,031

Net increase (decrease) in net assets from Fundshare transactions (118,748,197) 116,070,247

Increase (decrease) in net assets (95,948,600) 36,060,137

Net assets at beginning of period 1,447,104,266 1,411,044,129

Net assets at end of period (including undistributednet investment income of $6,481,537 and$4,791,699, respectively) $ 1,351,155,666 $ 1,447,104,266



Financial Highlights

Years Ended December 31,Class A 2017 2016 2015 2014 2013

Selected Per Share Data

Net asset value, beginning of period $20.11 $21.20 $23.62 $19.55 $21.23

Income (loss) from investment operations:Net investment incomea .36 .41 .35 .34 .42

Net realized and unrealized gain (loss) .86 1.01 .16 5.74 (.49)

Total from investment operations 1.22 1.42 .51 6.08 (.07)

Less distributions from:Net investment income (.35) (.51) (.40) (.41) (.52)

Net realized gains (.59) (1.94) (2.53) (1.60) (1.09)

Return of capital — (.06) — — —

Total distributions (.94) (2.51) (2.93) (2.01) (1.61)

Redemption fees .00* .00* .00* .00* .00*

Net asset value, end of period $20.39 $20.11 $21.20 $23.62 $19.55

Total Return (%)b 6.11 6.75 2.58 31.34 (.44)

Ratios to Average Net Assets and Supplemental Data

Net assets, end of period ($ millions) 238 287 321 458 471

Ratio of expenses (%) .99 .98 .98 .96 .96

Ratio of net investment income (%) 1.75 1.88 1.50 1.51 1.92

Portfolio turnover rate (%) 168 153 150 134 108

a Based on average shares outstanding during the period.b Total return does not reflect the effect of any sales charges.* Amount is less than $.005.


PeriodEnded

Class T 12/31/17a


Net asset value, beginning of period $ 20.54

Income (loss) from investment operations:Net investment incomeb .24

Net realized and unrealized gain (loss) .48

Total from investment operations .72

Less distributions from:Net investment income (.27)

Net realized gains (.59)

Total distributions (.86)

Net asset value, end of period $ 20.40

Total Return (%)c 3.54**


Net assets, end of period ($ thousands) 10

Ratio of expenses (%) .94*

Ratio of net investment income (%) 1.98*

Portfolio turnover rate (%) 168d

a For the period from June 5, 2017 (commencement of operations) to December 31,2017.

b Based on average shares outstanding during the period.c Total return does not reflect the effect of any sales charges.d Represents the Fund’s turnover rate for the year ended December 31, 2017.* Annualized** Not annualized


Years Ended December 31,Class C 2017 2016 2015 2014 2013










Redemption fees .00* .00* .00* .00* .00*


Total Return (%)b 5.43 5.98 1.87 30.44 (1.16)



Ratio of expenses (%) 1.68 1.66 1.66 1.66 1.68

Ratio of net investment income (%) 1.04 1.25 .93 .87 1.22


a Based on average shares outstanding during the period.b Total return does not reflect the effect of any sales charges.* Amount is less than $.005.


Years Ended December 31,Class R 2017 2016 2015 2014 2013




Net realized and unrealized gain (loss) .85 .98 .12 5.72 (.50)






Redemption fees .00* .00* .00* .00* .00*


Total Return (%) 5.77 6.36 2.24 30.98 (.74)



Ratio of expenses (%) 1.31 1.30 1.31 1.27 1.26



a Based on average shares outstanding during the period.* Amount is less than $.005.


Years Ended December 31,PeriodEnded

Class R6 2017 2016 2015 12/31/14a


Net asset value, beginning of period $20.09 $21.18 $23.60 $ 23.30

Income (loss) from investment operations:Net investment incomeb .46 .54 .60 .26

Net realized and unrealized gain (loss) .86 .99 .01 1.83

Total from investment operations 1.32 1.53 .61 2.09

Less distributions from:Net investment income (.45) (.62) (.50) (.29)

Net realized gains (.59) (1.94) (2.53) (1.50)

Return of capital — (.06) — —

Total distributions (1.04) (2.62) (3.03) (1.79)

Redemption fees .00*** .00*** .00*** .00***

Net asset value, end of period $20.37 $20.09 $21.18 $ 23.60

Total Return (%) 6.62 7.24 3.03 9.05**


Net assets, end of period ($ millions) 201 201 150 .02

Ratio of expenses (%) .54 .53 .53 .55*

Ratio of net investment income (%) 2.22 2.44 2.63 3.09*

Portfolio turnover rate (%) 168 153 150 134c

a For the period from August 25, 2014 (commencement of operations) to December 31,2014.

b Based on average shares outstanding during the period.c Represents the Fund’s portfolio turnover for the year ended December 31, 2014.* Annualized** Not annualized*** Amount is less than $.005.


Years Ended December 31,Class S 2017 2016 2015 2014 2013









Total distributions (1.00) (2.58) (3.00) (2.06) (1.65)

Redemption fees .00* .00* .00* .00* .00*


Total Return (%) 6.43 7.04 2.87 31.64 (.26)








Years Ended December 31,Institutional Class 2017 2016 2015 2014 2013




Net realized and unrealized gain (loss) .86 .99 .15 5.71 (.48)

Total from investment operations 1.29 1.49 .59 6.15 —




Total distributions (1.01) (2.59) (3.01) (2.09) (1.68)

Redemption fees .00* .00* .00* .00* .00*


Total Return (%) 6.50 7.09 2.95 31.74 (.09)





Portfolio turnover rate (%) 168 153 150 134 1.08



Notes to Financial Statements

A. Organization and Significant Accounting Policies

Deutsche Real Estate Securities Fund (the “Fund”) is a non-diversifiedseries of Deutsche Securities Trust (the “Trust”), which is registeredunder the Investment Company Act of 1940, as amended (the “1940Act”), as an open-end management investment company organized as aMassachusetts business trust.

The Fund offers multiple classes of shares which provide investors withdifferent purchase options. Class A shares are subject to an initial salescharge. Class B shares automatically converted to Class A shares onFebruary 10, 2016 and are no longer offered. Class B shares were notsubject to an initial sales charge and were subject to higher ongoingexpenses than Class A shares and a contingent deferred sales chargepayable upon certain redemptions. Class C shares are not subject to aninitial sales charge but are subject to higher ongoing expenses thanClass A shares and a contingent deferred sales charge payable uponcertain redemptions within one year of purchase. Class R shares are notsubject to initial or contingent deferred sales charges and are generallyavailable only to certain retirement plans. Class R6 shares are not subjectto initial or contingent deferred sales charges and are generally availableonly to certain retirement plans. Class S shares are not subject to initial orcontingent deferred sales charges and are only available to a limited groupof investors. Institutional Class shares are not subject to initial orcontingent deferred sales charges and are generally available only toqualified institutions. Class T shares commenced operations on June 5,2017. Class T shares are subject to an initial sales charge and are onlyavailable through certain financial intermediaries.

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

The Fund’s financial statements are prepared in accordance withaccounting principles generally accepted in the United States of America(“U.S. GAAP”) which require the use of management estimates. Actualresults could differ from those estimates. The Fund qualifies as aninvestment company under Topic 946 of Accounting StandardsCodification of U.S. GAAP. The policies described below are followedconsistently by the Fund in the preparation of its financial statements.


Security Valuation. Investments are stated at value determined as of theclose of regular trading on the New York Stock Exchange on each day theexchange is open for trading.

Various inputs are used in determining the value of the Fund’sinvestments. These inputs are summarized in three broad levels. Level 1includes quoted prices in active markets for identical securities. Level 2includes other significant observable inputs (including quoted prices forsimilar securities, interest rates, prepayment speeds and credit risk).Level 3 includes significant unobservable inputs (including the Fund’s ownassumptions in determining the fair value of investments). The levelassigned to the securities valuations may not be an indication of the riskor liquidity associated with investing in those securities.

Equity securities are valued at the most recent sale price or official closingprice reported on the exchange (U.S. or foreign) or over-the-countermarket on which they trade. Securities for which no sales are reported arevalued at the calculated mean between the most recent bid and askedquotations on the relevant market or, if a mean cannot be determined, atthe most recent bid quotation. Equity securities are generally categorizedas Level 1.

Investments in open-end investment companies are valued at their netasset value each business day and are categorized as Level 1.

Securities and other assets for which market quotations are not readilyavailable or for which the above valuation procedures are deemed not toreflect fair value are valued in a manner that is intended to reflect their fairvalue as determined in accordance with procedures approved by theBoard and are generally categorized as Level 3. In accordance with theFund’s valuation procedures, factors considered in determining value mayinclude, but are not limited to, the type of the security; the size of theholding; the initial cost of the security; the existence of any contractualrestrictions on the security’s disposition; the price and extent of publictrading in similar securities of the issuer or of comparable companies;quotations or evaluated prices from broker-dealers and/or pricing services;information obtained from the issuer, analysts, and/or the appropriatestock exchange (for exchange-traded securities); an analysis of thecompany’s or issuer’s financial statements; an evaluation of the forcesthat influence the issuer and the market(s) in which the security ispurchased and sold; and with respect to debt securities, the maturity,coupon, creditworthiness, currency denomination and the movement ofthe market in which the security is normally traded. The value determinedunder these procedures may differ from published values for the samesecurities.

Disclosure about the classification of fair value measurements is includedin a table following the Fund’s Investment Portfolio.


Securities Lending. Deutsche Bank AG, as security lending agent, lendssecurities of the Fund to certain financial institutions under the terms ofits securities lending agreement. During the term of the loans, the Fundcontinues to receive interest and dividends generated by the securitiesand to participate in any changes in their market value. The Fund requiresthe borrowers of the securities to maintain collateral with the Fundconsisting of either cash or liquid, unencumbered assets having a value atleast equal to the value of the securities loaned. When the collateral fallsbelow specified amounts, the lending agent will use its best effort toobtain additional collateral on the next business day to meet requiredamounts under the securities lending agreement. As of period end, anysecurities on loan were collateralized by cash. During the year endedDecember 31, 2017 the Fund invested the cash collateral into a jointtrading account in affiliated money market funds, managed by DeutscheInvestment Management Americas Inc. As of December 31, 2017 theFund invested the cash collateral in Deutsche Government & AgencySecurities Portfolio. Deutsche Investment Management Americas Inc.receives a management/administration fee (0.13% annualized effectiverate as of December 31, 2017) on the cash collateral invested in DeutscheGovernment & Agency Securities Portfolio. The Fund receivescompensation for lending its securities either in the form of fees or byearning interest on invested cash collateral net of borrower rebates andfees paid to a lending agent. Either the Fund or the borrower mayterminate the loan at any time, and the borrower, after notice, is requiredto return borrowed securities within a standard time period. There may berisks of delay and costs in recovery of securities or even loss of rights inthe collateral should the borrower of the securities fail financially. If theFund is not able to recover securities lent, the Fund may sell the collateraland purchase a replacement investment in the market, incurring the riskthat the value of the replacement security is greater than the value of thecollateral. The Fund is also subject to all investment risks associated withthe reinvestment of any cash collateral received, including, but not limitedto, interest rate, credit and liquidity risk associated with such investments.

As of December 31, 2017, the Fund had securities on loan, which wereclassified as common stock in the Investment Portfolio. The value of therelated collateral exceeded the value of the securities loaned at periodend. As of period end, the remaining contractual maturity of the collateralagreements was overnight and continuous.

Federal Income Taxes. The Fund’s policy is to comply with therequirements of the Internal Revenue Code, as amended, which areapplicable to regulated investment companies, and to distribute all of itstaxable income to its shareholders.


The Fund has reviewed the tax positions for the open tax years as ofDecember 31, 2017 and has determined that no provision for income taxand/or uncertain tax positions is required in the Fund’s financialstatements. The Fund’s federal tax returns for the prior three fiscal yearsremain open subject to examination by the Internal Revenue Service.

Distribution of Income and Gains. Distributions from net investmentincome of the Fund are declared and distributed to shareholders quarterly.Net realized gains from investment transactions, in excess of availablecapital loss carryforwards, would be taxable to the Fund if not distributed,and, therefore, will be distributed to shareholders at least annually. TheFund may also make additional distributions for tax purposes if necessary.

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

At December 31, 2017, the Fund’s components of distributable earnings(accumulated losses) on a tax basis were as follows:Undistributed Ordinary Income $ 2,939,833

Undistributed long-term capital gains $ 5,675,285

Unrealized appreciation (depreciation) on investments $ 156,063,888

At December 31, 2017, the aggregate cost of investments for federalincome tax purposes was $1,235,539,862. The net unrealized appreciationfor all investments based on tax cost was $156,063,888. This consisted ofaggregate gross unrealized appreciation for all investments in which therewas an excess of value over tax cost of $187,934,582 and aggregate grossunrealized depreciation for all investments in which there was an excess oftax cost over value of $31,870,694.

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


2017 2016

Distributions from ordinary income* $ 27,032,314 $ 95,987,458

Distributions from long-term capital gains $ 37,926,023 $ 69,618,220

Return of capital distributions $ — $ 3,820,751

* For tax purposes, short-term capital gain distributions are considered ordinary incomedistributions.


Redemption Fees. Prior to February 1, 2017, the Fund imposed aredemption fee of 2% of the total redemption amount on Fund sharesredeemed or exchanged within 15 days of buying them, either bypurchase or exchange (subject to certain exceptions). This fee wasassessed and retained by the Fund for the benefit of the remainingshareholders. The redemption fee was accounted for as an addition topaid-in capital.

Expenses. Expenses of the Trust arising in connection with a specific fundare allocated to that fund. Other Trust expenses which cannot be directlyattributed to a fund are apportioned among the funds in the Trust basedupon the relative net assets or other appropriate measures.

Contingencies. In the normal course of business, the Fund may enter intocontracts with service providers that contain general indemnificationclauses. The Fund’s maximum exposure under these arrangements isunknown, as this would involve future claims that may be made againstthe Fund that have not yet been made. However, based on experience,the Fund expects the risk of loss to be remote.

Real Estate Investment Trusts. The Fund at its fiscal year endrecharacterizes distributions received from a Real Estate Investment Trust(“REIT”) investment based on information provided by the REIT into thefollowing categories: ordinary income, long-term and short-term capitalgains, and return of capital. If information is not available timely from aREIT, the recharacterization will be estimated for financial reportingpurposes and a recharacterization will be made to the accounting recordsin the following year when such information becomes available.Distributions received from REITs in excess of income are recorded aseither a reduction of cost of investments or realized gains.

Other. Investment transactions are accounted for on the trade date plusone basis for daily net asset value calculations. However, for financialreporting purposes, investment transactions are reported on trade date.Interest income is recorded on the accrual basis. Dividend income isrecorded on the ex-dividend date net of foreign withholding taxes.Realized gains and losses from investment transactions are recorded onan identified cost basis. Proceeds from litigation payments, if any, areincluded in net realized gain (loss) from investments.

B. Purchases and Sales of Securities

During the year ended December 31, 2017 purchases and sales ofinvestment securities (excluding short-term investments) aggregated$2,358,588,636 and $2,498,093,882, respectively.


C. Related Parties

Management Agreement. Under the Investment ManagementAgreement with Deutsche Investment Management Americas Inc.(“DIMA” or the “Advisor”), an indirect, wholly owned subsidiary ofDeutsche Bank AG, the Advisor directs the investments of the Fund inaccordance with its investment objectives, policies and restrictions. TheAdvisor determines the securities, instruments and other contractsrelating to investments to be purchased, sold or entered into by the Fundor delegates such responsibility to the Fund’s subadvisor.

RREEF America L.L.C. (“RREEF”), also an indirect, wholly ownedsubsidiary of Deutsche Bank AG, is the subadvisor for the Fund. WhileDIMA is the investment advisor to the Fund, the day-to-day activities ofmanaging the Fund’s portfolio have been delegated to RREEF. RREEF isresponsible for decisions to buy and sell securities for the Fund andconducts the research that leads to the purchase and sale decisions.DIMA compensates RREEF out of its management fee.

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

First $100 million of the Fund’s average daily net assets .565%

Next $100 million of such net assets .465%

Next $100 million of such net assets .415%

Over $300 million of such net assets .365%

Accordingly, for the year ended December 31, 2017 the fee pursuant tothe Investment Management Agreement was equivalent to an annual rate(exclusive of any applicable waivers/reimbursements) of 0.39% of theFund’s average daily net assets.

For the period from January 1, 2017 through September 30, 2017, theAdvisor had contractually agreed to waive all or a portion of its fees and/orreimburse certain operating expenses to the extent necessary to maintainthe total annual operating expenses (excluding certain expenses such asextraordinary expenses, taxes, brokerage and interest expense) of eachclass as follows:

Class A 1.32%

Class C 2.07%

Class R 1.57%

Class R6 1.07%

Class S 1.07%

Institutional Class 1.07%


In addition, for the period from June 5, 2017 (commencement ofoperations) to April 30, 2018 for Class T shares, the Advisor hascontractually agreed to waive its fees and/or reimburse certain operatingexpenses to the extent necessary to maintain the total annual operatingexpenses (excluding certain expenses such as extraordinary expenses,taxes, brokerage and interest expense) at 1.32% for Class T shares.

Effective October 1, 2017 through September 30, 2018, the Advisor hascontractually agreed to waive all or a portion of its fees and/or reimbursecertain operating expenses of the Fund to the extent necessary tomaintain the total annual operating expenses (excluding certain expensessuch as extraordinary expenses, taxes, brokerage and interest) of certainclasses as follows:

Class A 1.39%

Class C 2.14%

Class R 1.64%

Class R6 1.14%

Class S 1.14%

Class Institutional 1.14%

Administration Fee. Pursuant to the Administrative Services Agreement,DIMA provides most administrative services to the Fund. For all servicesprovided under the Administrative Services Agreement, the Fund pays theAdvisor an annual fee (“Administration Fee”) of 0.10% of the Fund’saverage daily net assets, computed and accrued daily and payablemonthly. For the year ended December 31, 2017 the Administration Feewas $1,415,181, of which $115,125 is unpaid.

Service Provider Fees. Deutsche AM Service Company (“DSC”), anaffiliate of the Advisor, is the transfer agent, dividend-paying agent andshareholder service agent for the Fund. Pursuant to a sub-transfer agencyagreement between DSC and DST Systems, Inc. (“DST”), DSC hasdelegated certain transfer agent, dividend-paying agent and shareholderservice agent functions to DST. DSC compensates DST out of theshareholder servicing fee it receives from the Fund. For the year endedDecember 31, 2017 and for the period from June 5, 2017 (commencement


of operations) to December 31, 2017 for Class T shares the amountscharged to the Fund by DSC were as follows:

Services to ShareholdersTotal

AggregatedUnpaid at

December 31, 2017

Class A $ 35,338 $ 7,275

Class T 10 5

Class C 3,812 970

Class R 7,263 1,630

Class R6 6,438 1,939

Class S 22,815 6,023

Institutional Class 14,958 4,241

$ 90,634 $ 22,083

Distribution and Service Fees. Under the Fund’s Class C and Class R12b-1 Plans, Deutsche AM Distributors, Inc. (“DDI”), an affiliate of theAdvisor, receives a fee (“Distribution Fee”) of 0.75% of average daily netassets of Class C shares and 0.25% of average daily net assets of Class Rshares. In accordance with the Fund’s Underwriting and DistributionServices Agreement, DDI enters into related selling group agreementswith various firms at various rates for sales of Class C and R shares. Forthe year ended December 31, 2017 the Distribution Fee was as follows:

Distribution FeeTotal

AggregatedUnpaid at

December 31, 2017

Class C $ 303,209 $ 22,595

Class R 84,712 6,813

$ 387,921 $ 29,408

In addition, DDI provides information and administrative services for a fee(“Service Fee”) to Class A, T, C and R shareholders at an annual rate ofup to 0.25% of average daily net assets for each such class. DDI in turnhas various agreements with financial services firms that provide theseservices and pays these fees based upon the assets of shareholderaccounts the firms service. For the year ended December 31, 2017 andfor the period from June 5, 2017 (commencement of operations) toDecember 31, 2017 for Class T shares, the Service Fee was as follows:

Service FeeTotal

AggregatedUnpaid at

December 31, 2017Annual

Rate

Class A $ 639,269 $ 149,062 .24%

Class T 14 10 .24%

Class C 101,046 22,767 .25%

Class R 84,050 19,122 .25%

$ 824,379 $ 190,961


Underwriting Agreement and Contingent Deferred Sales Charge. DDI isthe principal underwriter for the Fund. Underwriting commissions paid inconnection with the distribution of Class A shares for the year endedDecember 31, 2017 aggregated $6,651.

In addition, DDI receives any contingent deferred sales charge (“CDSC”)from Class C share redemptions occurring within one year of purchase.There is no such charge upon redemption of any share appreciation orreinvested dividends. The CDSC is 1% of the value of the sharesredeemed for Class C. For the year ended December 31, 2017 the CDSCfor Class C shares aggregated $12,764. A deferred sales charge of up to1% is assessed on certain redemptions of Class A shares. For the yearended December 31, 2017 DDI received $7,434 for Class A shares.

Typesetting and Filing Service Fees. Under an agreement with DIMA, DIMAis compensated for providing certain pre-press and regulatory filing servicesto the Fund. For the year ended December 31, 2017 the amount charged tothe Fund by DIMA included in the Statement of Operations under “Reportsto shareholders” aggregated $18,313, of which $8,160 is unpaid.

Trustees’ Fees and Expenses. The Fund paid retainer fees to each Trusteenot affiliated with the Advisor, plus specified amounts to the BoardChairperson and Vice Chairperson and to each committee Chairperson.

Securities Lending Agent Fees. Deutsche Bank AG serves as lendingagent for the Fund. For the year ended December 31, 2017 the Fundincurred securities lending agent fees to Deutsche Bank AG in theamount of $3,579.

Affiliated Cash Management Vehicles. The Fund may invest uninvestedcash balances in Deutsche Central Cash Management Government Fundand Deutsche Variable NAV Money Fund, affiliated money market fundswhich are managed by the Advisor. Each affiliated money market fund ismanaged in accordance with Rule 2a-7 under the 1940 Act, whichgoverns the quality, maturity, diversity and liquidity of instruments inwhich a money market fund may invest. Deutsche Central CashManagement Government Fund seeks to maintain a stable net assetvalue, and Deutsche Variable NAV Money Fund maintains a floating netasset value. The Fund indirectly bears its proportionate share of theexpenses of each affiliated money market fund in which it invests.Deutsche Central Cash Management Government Fund does not pay theAdvisor an investment management fee. To the extent that DeutscheVariable NAV Money Fund pays an investment management fee to theAdvisor, the Advisor will waive an amount of the investment managementfee payable to the Advisor by the Fund equal to the amount of theinvestment management fee payable on the Fund’s assets invested inDeutsche Variable NAV Money Fund.


D. Line of Credit

The Fund and other affiliated funds (the “Participants”) share in a$400 million revolving credit facility provided by a syndication of banks.The Fund may borrow for temporary or emergency purposes, includingthe meeting of redemption requests that otherwise might require theuntimely disposition of securities. The Participants are charged an annualcommitment fee which is allocated based on net assets, among each ofthe Participants. Interest is calculated at a rate per annum equal to thesum of the Federal Funds Rate plus 1.25 percent plus if LIBOR exceedsthe Federal Funds Rate the amount of such excess. The Fund mayborrow up to a maximum of 20 percent of its net assets under theagreement. The Fund had no outstanding loans at December 31, 2017.

E. Fund Share Transactions

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

Year Ended December 31, 2017 Year Ended December 31, 2016

Shares Dollars Shares Dollars

Shares sold

Class A 3,535,493 $ 72,240,264 4,384,971 $ 96,925,084

Class T* 486.5 10,000 — —

Class C 178,157 3,670,377 546,364 12,463,749

Class R 548,467 11,240,073 732,377 16,302,002

Class R6 1,971,486 40,491,870 3,784,672 84,766,736

Class S 4,876,704 100,293,186 7,079,310 159,127,655

Institutional Class 7,406,323 151,194,510 6,466,631 141,771,120

$ 379,140,280 $ 511,356,346

Shares issued to shareholders in reinvestment of distributions

Class A 450,256 $ 9,162,975 1,406,368 $ 28,606,322

Class T* 21 422 — —

Class C 62,267 1,282,524 220,439 4,514,411

Class R 60,240 1,226,137 173,920 3,527,272

Class R6 489,841 9,957,048 1,134,973 23,078,141

Class S 674,880 13,823,122 1,705,171 34,930,983

Institutional Class 965,269 19,618,863 2,444,133 49,757,641

$ 55,071,091 $ 144,414,770


Year Ended December 31, 2017 Year Ended December 31, 2016

Shares Dollars Shares Dollars

Shares redeemed

Class A (6,594,340) $ (135,143,141) (6,684,786) $ (146,579,099)

Class B — — (731.3)** (14,775)**

Class C (857,375) (17,739,138) (579,164) (12,765,505)

Class R (805,700) (16,536,434) (604,419) (13,361,242)

Class R6 (2,624,817) (53,853,436) (1,969,537) (42,500,734)

Class S (6,698,818) (138,226,766) (6,455,603) (141,655,970)

Institutional Class (9,326,327) (191,465,117) (8,383,265) (182,862,575)

$ (552,964,032) $ (539,739,900)

Redemption fees $ 4,464 $ 39,031

Net increase (decrease)

Class A (2,608,591) $ (53,739,590) (893,447) $ (21,034,375)

Class T* 507.5 10,422 — —

Class B — — (731.3)** (14,775)**

Class C (616,951) (12,786,237) 187,639 4,212,825

Class R (196,993) (4,070,194) 301,878 6,468,314

Class R6 (163,490) (3,404,488) 2,950,108 65,345,747

Class S (1,147,234) (24,107,295) 2,328,878 52,415,274

Institutional Class (954,735) (20,650,815) 527,499 8,677,237

$ (118,748,197) $ 116,070,247

* For the period from June 5, 2017 (commencement of operations of Class T) toDecember 31, 2017.

** For the period from January 1, 2016 to February 10, 2016 (see Note A).

F. Real Estate Concentration Risk

Any fund that concentrates in a particular segment of the market willgenerally be more volatile than a fund that invests more broadly. Anymarket price movements, regulatory or technological changes, oreconomic conditions affecting real estate securities, including REITs, mayhave a significant impact on the Fund’s performance. In particular, realestate companies can be affected by the risks associated with directownership of real estate, such as general or local economic conditions,decreases in real estate value, increases in property taxes and operatingexpenses, liability or losses owing to environmental problems, delays incompletion of construction, falling rents (whether owing to poor demand,increased competition, overbuilding, or limitations on rents), zoningchanges, rising interest rates, lack of credit, failure of borrowers to repayloans, and losses from casualty or condemnation. In addition, many realestate companies, including REITs, utilize leverage (and some may behighly leveraged), which increases investment risk. Further, REITs aredependent upon management skills, may not be diversified and may haverelatively small capitalizations, which can increase volatility.


Report of Independent RegisteredPublic Accounting Firm

To the Board of Trustees of Deutsche Securities Trust and Shareholders

of Deutsche Real Estate Securities Fund

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities,including the investment portfolio, of Deutsche Real Estate SecuritiesFund (one of the funds constituting Deutsche Securities Trust, referred tohereafter as the “Fund”) as of December 31, 2017, the related statementof operations for the year ended December 31, 2017, the statement ofchanges in net assets for each of the two years in the period endedDecember 31, 2017, including the related notes, and the financialhighlights for each of the periods indicated therein (collectively referred toas the “financial statements”). In our opinion, the financial statementspresent fairly, in all material respects, the financial position of the Fund asof December 31, 2017, the results of its operations for the year thenended, the changes in its net assets for each of the two years in theperiod ended December 31, 2017 and the financial highlights for each ofthe periods indicated therein in conformity with accounting principlesgenerally accepted in the United States of America.

Basis for Opinion

These financial statements are the responsibility of the Fund’smanagement. Our responsibility is to express an opinion on the Fund’sfinancial statements based on our audits. We are a public accounting firmregistered with the Public Company Accounting Oversight Board (UnitedStates) (“PCAOB”) and are required to be independent with respect tothe Fund in accordance with the U.S. federal securities laws and theapplicable rules and regulations of the Securities and ExchangeCommission and the PCAOB.

We conducted our audits of these financial statements in accordance withthe standards of the PCAOB. Those standards require that we plan andperform the audit to obtain reasonable assurance about whether thefinancial statements are free of material misstatement, whether due toerror or fraud.


Our audits included performing procedures to assess the risks of materialmisstatement of the financial statements, whether due to error or fraud,and performing procedures that respond to those risks. Such proceduresincluded examining, on a test basis, evidence regarding the amounts anddisclosures in the financial statements. Our audits also included evaluatingthe accounting principles used and significant estimates made bymanagement, as well as evaluating the overall presentation of thefinancial statements. Our procedures included confirmation of securitiesowned as of December 31, 2017 by correspondence with the custodian,transfer agent and brokers; when replies were not received from brokers,we performed other auditing procedures. We believe that our auditsprovide a reasonable basis for our opinion.

Boston, Massachusetts PricewaterhouseCoopers LLPFebruary 26, 2018

We have served as the auditor of one or more investment companies inthe Deutsche family of funds since 1930.


Information About Your Fund’s Expenses

As an investor of the Fund, you incur two types of costs: ongoingexpenses and transaction costs. Ongoing expenses include managementfees, distribution and service (12b-1) fees and other Fund expenses.Examples of transaction costs include sales charges (loads) and accountmaintenance fees, which are not shown in this section. The followingtables are intended to help you understand your ongoing expenses (indollars) of investing in the Fund and to help you compare these expenseswith the ongoing expenses of investing in other mutual funds. Theexample in the table is based on an investment of $1,000 invested at thebeginning of the six-month period and held for the entire period (July 1,2017 to December 31, 2017).

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

�Actual Fund Return. This helps you estimate the actual dollar amountof ongoing expenses (but not transaction costs) paid on a $1,000investment in the Fund using the Fund’s actual return during theperiod. To estimate the expenses you paid over the period, simplydivide your account value by $1,000 (for example, an $8,600 accountvalue divided by $1,000 = 8.6), then multiply the result by the numberin the “Expenses Paid per $1,000” line under the share class you hold.

�Hypothetical 5% Fund Return. This helps you to compare yourFund’s ongoing expenses (but not transaction costs) with those ofother mutual funds using the Fund’s actual expense ratio and ahypothetical rate of return of 5% per year before expenses. Examplesusing a 5% hypothetical fund return may be found in the shareholderreports of other mutual funds. The hypothetical account values andexpenses may not be used to estimate the actual ending accountbalance or expenses you paid for the period.

Please note that the expenses shown in these tables are meant tohighlight your ongoing expenses only and do not reflect any transactioncosts. The “Expenses Paid per $1,000” line of the tables is useful incomparing ongoing expenses only and will not help you determine therelative total expense of owning different funds. Subject to certainexceptions, an account maintenance fee of $20.00 assessed once percalendar year for Classes A, C and S shares may apply for accounts withbalances less than $10,000. This fee is not included in these tables. If itwas, the estimate of expenses paid for Classes A, C and S shares duringthe period would be higher, and account value during the period would belower, by this amount.


Expenses and Value of a $1,000 Investmentfor the six months ended December 31, 2017 (Unaudited)

Actual FundReturn Class A Class T Class C Class R Class R6 Class S

InstitutionalClass

BeginningAccountValue 7/1/17 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00

EndingAccountValue12/31/17 $1,029.40 $1,029.90 $1,026.00 $1,027.70 $1,032.00 $1,031.30 $1,031.40

ExpensesPaid per$1,000* $ 4.91 $ 4.76 $ 8.53 $ 6.64 $ 2.77 $ 3.69 $ 3.23

Hypothetical5% FundReturn Class A Class T Class C Class R Class R6 Class S

InstitutionalClass

BeginningAccountValue 7/1/17 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00

EndingAccountValue12/31/17 $1,020.37 $1,020.52 $1,016.79 $1,018.65 $1,022.48 $1,021.58 $1,022.03

ExpensesPaid per$1,000* $ 4.89 $ 4.74 $ 8.49 $ 6.61 $ 2.75 $ 3.67 $ 3.21

* Expenses are equal to the Fund’s annualized expense ratio for each share class,multiplied by the average account value over the period, multiplied by 184 (the numberof days in the most recent six-month period), then divided by 365.

AnnualizedExpenseRatios Class A Class T Class C Class R Class R6 Class S

InstitutionalClass

DeutscheReal EstateSecurities Fund .96% .93% 1.67% 1.30% .54% .72% .63%

For more information, please refer to the Fund’s prospectuses.

For an analysis of the fees associated with an investment in the Fund orsimilar funds, please refer to http://apps.finra.org/fundanalyzer/1/fa.aspx.


Tax Information (Unaudited)

The Fund paid distributions of $0.59 per share from net long-term capitalgains during its year ended December 31, 2017.

Pursuant to Section 852 of the Internal Revenue Code, the Funddesignates $47,961,000 as capital gain dividends for its year endedDecember 31, 2017.

Please consult a tax advisor if you have questions about federal or stateincome tax laws, or on how to prepare your tax returns. If you havespecific questions about your account, please call (800) 728-3337.


Advisory Agreement Board Considerationsand Fee Evaluation

The Board of Trustees (hereinafter referred to as the “Board” or“Trustees”) approved the renewal of Deutsche Real Estate SecuritiesFund’s (the “Fund”) investment management agreement (the“Agreement”) with Deutsche Investment Management Americas Inc.(“DIMA”) and sub-advisory agreement (the “Sub-Advisory Agreement”and together with the Agreement, the “Agreements”) between DIMAand RREEF America L.L.C. (RREEF”), an affiliate of DIMA, in September2017.

In terms of the process that the Board followed prior to approving theAgreements, shareholders should know that:

�During the entire process, all of the Fund’s Trustees were independentof DIMA and its affiliates (the “Independent Trustees”).

�The Board met frequently during the past year to discuss fund mattersand dedicated a substantial amount of time to contract review matters.Over the course of several months, the Board’s Contract Committeereviewed extensive materials received from DIMA, independent thirdparties and independent counsel. These materials included an analysisof the Fund’s performance, fees and expenses, and profitability from afee consultant retained by the Fund’s Independent Trustees (the “FeeConsultant”). Based on its evaluation of the information provided, theContract Committee presented its findings and recommendations tothe Board. The Board then reviewed the Contract Committee’sfindings and recommendations.

�The Board also received extensive information throughout the yearregarding performance of the Fund.

�The Independent Trustees regularly met privately with counsel todiscuss contract review and other matters. In addition, theIndependent Trustees were advised by the Fee Consultant in thecourse of their review of the Fund’s contractual arrangements andconsidered a comprehensive report prepared by the Fee Consultant inconnection with their deliberations.

� In connection with reviewing the Agreements, the Board alsoreviewed the terms of the Fund’s Rule 12b-1 plan, distributionagreement, administrative services agreement, transfer agencyagreement and other material service agreements.

In connection with the contract review process, the Contract Committeeand the Board considered the factors discussed below, among others.


The Board also considered that DIMA and its predecessors have managedthe Fund since its inception, and the Board believes that a long-termrelationship with a capable, conscientious advisor is in the best interestsof the Fund. The Board considered, generally, that shareholders chose toinvest or remain invested in the Fund knowing that DIMA managed theFund. DIMA and RREEF are part of Deutsche Bank AG’s (“DeutscheBank”) Asset Management (“Deutsche AM”) division. Deutsche AM is aglobal asset management business that offers a wide range of investingexpertise and resources, including research capabilities in many countriesthroughout the world.

As part of the contract review process, the Board carefully considered thefees and expenses of each Deutsche fund overseen by the Board in lightof the fund’s performance. In many cases, this led to the negotiation andimplementation of expense caps. As part of these negotiations, the Boardindicated that it would consider relaxing these caps in future yearsfollowing sustained improvements in performance, among otherconsiderations.

While shareholders may focus primarily on fund performance and fees,the Fund’s Board considers these and many other factors, including thequality and integrity of DIMA’s and RREEF’s personnel and administrativesupport services provided by DIMA, such as back-office operations, fundvaluations, and compliance policies and procedures.

Nature, Quality and Extent of Services. The Board considered the termsof the Agreements, including the scope of advisory services providedunder the Agreements. The Board noted that, under the Agreements,DIMA and RREEF provide portfolio management services to the Fund andthat, pursuant to a separate administrative services agreement, DIMAprovides administrative services to the Fund. The Board considered theexperience and skills of senior management and investment personnel andthe resources made available to such personnel. Throughout the course ofthe year, the Board also received information regarding DIMA’s oversightof fund sub-advisers, including RREEF. The Board reviewed the Fund’sperformance over short-term and long-term periods and compared thosereturns to various agreed-upon performance measures, including marketindex(es) and a peer universe compiled using information supplied byMorningstar Direct (“Morningstar”), an independent fund data service. TheBoard also noted that it has put into place a process of identifying “Fundsin Review” (e.g., funds performing poorly relative to a peer universe), andreceives additional reporting from DIMA regarding such funds and, whereappropriate, DIMA’s plans to address underperformance. The Boardbelieves this process is an effective manner of identifying and addressingunderperforming funds. Based on the information provided, the Boardnoted that, for the one-, three- and five-year periods ended December 31,


2016, the Fund’s performance (Class A shares) was in the 2nd quartile, 1stquartile and 2nd quartile, respectively, of the applicable Morningstaruniverse (the 1st quartile being the best performers and the 4th quartilebeing the worst performers). The Board also observed that the Fund hasunderperformed its benchmark in the one-, three- and five-year periodsended December 31, 2016.

Fees and Expenses. The Board considered the Fund’s investmentmanagement fee schedule, sub-advisory fee schedule, operatingexpenses and total expense ratios, and comparative information providedby Broadridge Financial Solutions, Inc. (“Broadridge”) and the FeeConsultant regarding investment management fee rates paid to otherinvestment advisors by similar funds (1st quartile being the mostfavorable and 4th quartile being the least favorable). With respect tomanagement fees paid to other investment advisors by similar funds, theBoard noted that the contractual fee rates paid by the Fund, which includea 0.10% fee paid to DIMA under the Fund’s administrative servicesagreement, were lower than the median (1st quartile) of the applicableBroadridge peer group (based on Broadridge data provided as ofDecember 31, 2016). With respect to the sub-advisory fee paid to RREEF,the Board noted that the fee is paid by DIMA out of its fee and notdirectly by the Fund. The Board noted that the Fund’s Class A shares total(net) operating expenses (excluding 12b-1 fees) were expected to belower than the median (1st quartile) of the applicable Broadridge expenseuniverse (based on Broadridge data provided as of December 31, 2016,and analyzing Broadridge expense universe Class A (net) expenses lessany applicable 12b-1 fees) (“Broadridge Universe Expenses”). The Boardalso reviewed data comparing other share classes’ total (net) operatingexpenses to the applicable Broadridge Universe Expenses. The Boardnoted that the expense limitations agreed to by DIMA were expected tohelp the Fund’s total (net) operating expenses remain competitive. TheBoard considered the Fund’s management fee rate as compared to feescharged by DIMA to a comparable Deutsche U.S. registered fund(“Deutsche Funds”) and considered differences between the Fund andthe comparable Deutsche Fund. The information requested by the Boardas part of its review of fees and expenses also included information aboutinstitutional accounts (including any sub-advised funds and accounts) andfunds offered primarily to European investors (“Deutsche Europe funds”)managed by Deutsche AM. The Board noted that DIMA indicated thatDeutsche AM manages both institutional accounts and Deutsche Europefunds comparable to the Fund. The Board took note of the differences inservices provided to Deutsche Funds as compared to institutionalaccounts and Deutsche Europe funds and that such differences madecomparison difficult.


On the basis of the information provided, the Board concluded thatmanagement fees were reasonable and appropriate in light of the nature,quality and extent of services provided by DIMA and RREEF.

Profitability. The Board reviewed detailed information regarding revenuesreceived by DIMA under the Agreement. The Board considered theestimated costs to DIMA, and pre-tax profits realized by DIMA, fromadvising the Deutsche Funds, as well as estimates of the pre-tax profitsattributable to managing the Fund in particular. The Board also receivedinformation regarding the estimated enterprise-wide profitability of DIMAand its affiliates with respect to all fund services in totality and by fund.The Board and the Fee Consultant reviewed DIMA’s methodology inallocating its costs to the management of the Fund. Based on theinformation provided, the Board concluded that the pre-tax profits realizedby DIMA in connection with the management of the Fund were notunreasonable. The Board also reviewed certain publicly availableinformation regarding the profitability of certain similar investmentmanagement firms. The Board noted that, while information regarding theprofitability of such firms is limited (and in some cases is not necessarilyprepared on a comparable basis), DIMA and its affiliates’ overallprofitability with respect to the Deutsche Funds (after taking into accountdistribution and other services provided to the funds by DIMA and itsaffiliates) was lower than the overall profitability levels of mostcomparable firms for which such data was available.

Economies of Scale. The Board considered whether there are economiesof scale with respect to the management of the Fund and whether theFund benefits from any economies of scale. The Board noted that theFund’s investment management fee schedule includes fee breakpoints.The Board concluded that the Fund’s fee schedule represents anappropriate sharing between the Fund and DIMA of such economies ofscale as may exist in the management of the Fund at current asset levels.

Other Benefits to DIMA and Its Affiliates. The Board also considered thecharacter and amount of other incidental benefits received by DIMA andits affiliates, including any fees received by DIMA for administrativeservices provided to the Fund, any fees received by an affiliate of DIMAfor transfer agency services provided to the Fund and any fees receivedby an affiliate of DIMA for distribution services. The Board also consideredbenefits to DIMA related to brokerage and soft-dollar allocations, includingallocating brokerage to pay for research generated by parties other thanthe executing broker dealers, which pertain primarily to funds investing inequity securities. In addition, the Board considered the incidental publicrelations benefits to DIMA related to Deutsche Funds advertising andcross-selling opportunities among DIMA products and services. The Board


considered these benefits in reaching its conclusion that the Fund’smanagement fees were reasonable.

Compliance. The Board considered the significant attention and resourcesdedicated by DIMA to documenting and enhancing its complianceprocesses in recent years. The Board noted in particular (i) the experience,seniority and time commitment of the individuals serving as DIMA’s andthe Fund’s chief compliance officers; (ii) the large number of DIMAcompliance personnel; and (iii) the substantial commitment of resourcesby DIMA and its affiliates to compliance matters.

Based on all of the information considered and the conclusions reached,the Board unanimously determined that the continuation of theAgreements is in the best interests of the Fund. In making thisdetermination, the Board did not give particular weight to any single factoridentified above. The Board considered these factors over the course ofnumerous meetings, certain of which were in executive session with onlythe Independent Trustees and counsel present. It is possible thatindividual Independent Trustees may have weighed these factorsdifferently in reaching their individual decisions to approve thecontinuation of the Agreements.


Board Members and Officers

The following table presents certain information regarding the BoardMembers and Officers of the Fund. Each Board Member’s year of birth isset forth in parentheses after his or her name. Unless otherwise noted,(i) each Board Member has engaged in the principal occupation(s) noted inthe table for at least the most recent five years, although not necessarilyin the same capacity; and (ii) the address of each Independent BoardMember is c/o Keith R. Fox, Deutsche Funds Board Chair, c/o Thomas R.Hiller, Ropes & Gray LLP, Prudential Tower, 800 Boylston Street, Boston,MA 02199-3600. Except as otherwise noted below, the term of office foreach Board Member is until the election and qualification of a successor,or until such Board Member sooner dies, resigns, is removed or asotherwise provided in the governing documents of the Fund. Because theFund does not hold an annual meeting of shareholders, each BoardMember will hold office for an indeterminate period. The Board Membersmay also serve in similar capacities with other funds in the fund complex.

Independent Board Members

Name, Year ofBirth, Positionwith the Fundand Length ofTime Served1

Business Experience and DirectorshipsDuring the Past Five Years

Number ofFunds inDeutscheFundComplexOverseen

OtherDirectorshipsHeld by BoardMember

Keith R. Fox,CFA (1954)Chairpersonsince 2017, andBoard Membersince 1996

Managing General Partner, Exeter CapitalPartners (a series of private investment funds)(since 1986). Directorships: ProgressiveInternational Corporation (kitchen goodsimporter and distributor); The Kennel Shop(retailer); former Chairman, National Associationof Small Business Investment Companies;former Directorships: BoxTop Media Inc.(advertising); Sun Capital Advisers Trust (mutualfunds) (2011–2012)

89 —

Kenneth C.Froewiss(1945)ViceChairpersonsince 2017, andBoard Membersince 2001

Retired Clinical Professor of Finance, NYUStern School of Business (1997–2014);Member, Finance Committee, Association forAsian Studies (2002–present); Director, MitsuiSumitomo Insurance Group (US)(2004–present); prior thereto, ManagingDirector, J.P. Morgan (investment banking firm)(until 1996)

92 —






John W.Ballantine(1946)Board Membersince 1999

Retired; formerly, Executive Vice President andChief Risk Management Officer, First ChicagoNBD Corporation/The First National Bank ofChicago (1996–1998); Executive Vice Presidentand Head of International Banking (1995–1996);former Directorships: Director and formerChairman of the Board, Healthways, Inc.2(population well-being and wellness services)(2003–2014); Stockwell Capital InvestmentsPLC (private equity); Enron Corporation; FNBCorporation; Tokheim Corporation; First OakBrook Bancshares, Inc. and Oak Brook Bank;Prisma Energy International. Not-for-ProfitDirector, Trustee: Palm Beach CivicAssociation; Public Radio International; Windowto the World Communications (public media);Harris Theater for Music and Dance (Chicago)

89 PortlandGeneralElectric2

(utilitycompany)(2003–present)

Henry P.Becton, Jr.(1943)Board Membersince 1990

Vice Chair and former President, WGBHEducational Foundation. Directorships: PublicRadio International; Public Radio Exchange(PRX); The Pew Charitable Trusts (charitableorganization); former Directorships: BectonDickinson and Company2 (medical technologycompany); Belo Corporation2 (media company);The PBS Foundation; Association of PublicTelevision Stations; Boston Museum ofScience; American Public Television; ConcordAcademy; New England Aquarium; Mass.Corporation for EducationalTelecommunications; Committee for EconomicDevelopment; Public Broadcasting Service;Connecticut College; North Bennett StreetSchool (Boston)

89 —

Dawn-MarieDriscoll(1946)Board Membersince 1987

Emeritus Executive Fellow, Center for BusinessEthics, Bentley University; formerly: President,Driscoll Associates (consulting firm); Partner,Palmer & Dodge (law firm) (1988–1990); VicePresident of Corporate Affairs and GeneralCounsel, Filene’s (retail) (1978–1988).Directorships: Advisory Board, Center forBusiness Ethics, Bentley University; Trusteeand former Chairman of the Board, SouthwestFlorida Community Foundation (charitableorganization); former Directorships: ICI MutualInsurance Company (2007–2015); Sun CapitalAdvisers Trust (mutual funds) (2007–2012),Investment Company Institute (audit,executive, nominating committees) andIndependent Directors Council (governance,executive committees)

89 —






Paul K.Freeman (1950)Board Membersince 1993

Consultant, World Bank/Inter-AmericanDevelopment Bank; Independent DirectorsCouncil (former chair); Investment CompanyInstitute (executive and nominatingcommittees); formerly: Chairman of EducationCommittee of Independent Directors Council;Project Leader, International Institute forApplied Systems Analysis (1998–2001); ChiefExecutive Officer, The Eric Group, Inc.(environmental insurance) (1986–1998);Directorships: Denver Zoo Foundation(December 2012–present); Knoebel Institute forHealthy Aging, University of Denver(2017–present); former Directorships: PrismaEnergy International

89 —

Richard J.Herring (1946)Board Membersince 1990

Jacob Safra Professor of International Bankingand Professor, Finance Department, TheWharton School, University of Pennsylvania(since July 1972); Co-Director, WhartonFinancial Institutions Center; formerly: ViceDean and Director, Wharton UndergraduateDivision (July 1995–June 2000); Director,Lauder Institute of International ManagementStudies (July 2000–June 2006)

89 Director,AberdeenSingaporeand JapanFunds (since2007);IndependentDirector ofBarclaysBankDelaware(sinceSeptember2010)

WilliamMcClayton(1944)Board Membersince 2004

Private equity investor (since October 2009);previously, Managing Director, DiamondManagement & Technology Consultants, Inc.(global consulting firm) (2001–2009);Directorship: Board of Managers, YMCA ofMetropolitan Chicago; formerly: Senior Partner,Arthur Andersen LLP (accounting) (1966–2001);Trustee, Ravinia Festival

89 —

Rebecca W.Rimel (1951)Board Membersince 1995

President, Chief Executive Officer and Director,The Pew Charitable Trusts (charitableorganization) (1994–present); formerly:Executive Vice President, The Glenmede TrustCompany (investment trust and wealthmanagement) (1983–2004); Board Member,Investor Education (charitable organization)(2004–2005); Trustee, Executive Committee,Philadelphia Chamber of Commerce(2001–2007); Director, Viasys Health Care2

(January 2007–June 2007); Trustee, ThomasJefferson Foundation (charitable organization)(1994–2012)

89 Director,BectonDickinsonandCompany2

(medicaltechnologycompany)(2012–present);Director,BioTelemetryInc.2 (healthcare) (2009–present)






William N.Searcy, Jr.(1946)Board Membersince 1993

Private investor since October 2003; formerly:Pension & Savings Trust Officer, SprintCorporation2 (telecommunications) (November1989–September 2003); Trustee, Sun CapitalAdvisers Trust (mutual funds) (1998–2012)

89 —

Jean GleasonStromberg(1943)Board Membersince 1997

Retired. Formerly, Consultant (1997–2001);Director, Financial Markets U.S. GovernmentAccountability Office (1996–1997); Partner,Norton Rose Fulbright, L.L.P. (law firm)(1978–1996); former Directorships: The Williamand Flora Hewlett Foundation (charitableorganization) (2000–2015); Service Source, Inc.(nonprofit), Mutual Fund Directors Forum(2002–2004), American Bar RetirementAssociation (funding vehicle for retirementplans) (1987–1990 and 1994–1996)

89 —

Officers4

Name, Year of Birth,Position with the Fund andLength of Time Served5

Business Experience and Directorships During thePast Five Years

Hepsen Uzcan6, 9 (1974)President and Chief ExecutiveOfficer, 2017–presentAssistant Secretary,2013–present

Director,3 Deutsche Asset Management; formerly: VicePresident for the Deutsche funds (2016–2017)

John Millette8 (1962)Vice President and Secretary,1999–present

Director,3 Deutsche Asset Management; Chief LegalOfficer, Deutsche Investment Management Americas Inc.(2015–present); and Director and Vice President, DeutscheAM Trust Company (since 2016); formerly: Secretary,Deutsche Investment Management Americas Inc.(2015–2017)

Paul H. Schubert6 (1963)Chief Financial Officer,2004–presentTreasurer, 2005–present

Managing Director,3 Deutsche Asset Management, andChairman, Director and President, Deutsche AM TrustCompany (since 2013); Vice President, Deutsche AMDistributors, Inc. (since 2016); Director, Deutsche AMService Company (since 2017); Director and President, DBInvestment Managers, Inc. (since 2017); formerly: Director,Deutsche AM Trust Company (2004–2013)

Caroline Pearson8 (1962)Chief Legal Officer,2010–present

Managing Director,3 Deutsche Asset Management;formerly: Secretary, Deutsche AM Distributors, Inc.; andSecretary, Deutsche AM Service Company

Scott D. Hogan8 (1970)Chief Compliance Officer,2016–present

Director,3 Deutsche Asset Management


Name, Year of Birth,Position with the Fund andLength of Time Served5

Business Experience and Directorships During thePast Five Years

Wayne Salit7 (1967)Anti-Money LaunderingCompliance Officer,2014–present

Director,3 Deutsche Asset Management; formerly:Managing Director, AML Compliance Officer at BNY Mellon(2011–2014); and Director, AML Compliance Officer atDeutsche Bank (2004–2011)

Sheila Cadogan8 (1966)Assistant Treasurer,since July 12, 2017


Paul Antosca8 (1957)Assistant Treasurer,2007–present


Diane Kenneally8 (1966)Assistant Treasurer,2007–present


1 The length of time served represents the year in which the Board Member joined theboard of one or more Deutsche funds currently overseen by the Board.

2 A publicly held company with securities registered pursuant to Section 12 of theSecurities Exchange Act of 1934.

3 Executive title, not a board directorship.4 As a result of their respective positions held with the Advisor, these individuals are

considered “interested persons” of the Advisor within the meaning of the 1940 Act.Interested persons receive no compensation from the Fund.

5 The length of time served represents the year in which the officer was first elected insuch capacity for one or more Deutsche funds.

6 Address: 345 Park Avenue, New York, NY 10154.7 Address: 60 Wall Street, New York, NY 10005.8 Address: One International Place, Boston, MA 02110.9 Appointed President and Chief Executive Officer effective December 1, 2017.

The Fund’s Statement of Additional Information (“SAI”) includes additional information aboutthe Board Members. The SAI is available, without charge, upon request. If you would like torequest a copy of the SAI, you may do so by calling the following toll-free number:(800) 728-3337.


Account Management Resources

For More

Information

The automated telephone system allows you to access personalizedaccount information and obtain information on other Deutsche fundsusing either your voice or your telephone keypad. Certain accounttypes within Classes A, T, C and S also have the ability to purchase,exchange or redeem shares using this system.For more information, contact your financial advisor. You may alsoaccess our automated telephone system or speak with aShareholder Service representative by calling:(800) 728-3337

Web Site deutschefunds.com

View your account transactions and balances, trade shares, monitoryour asset allocation, subscribe to fund and account updates bye-mail, and change your address, 24 hours a day.Obtain prospectuses and applications, blank forms, interactiveworksheets, news about Deutsche funds, retirement planninginformation, and more.

Written

Correspondence

Deutsche Asset Management

PO Box 219151Kansas City, MO 64121-9151

Proxy Voting The Fund’s policies and procedures for voting proxies for portfoliosecurities and information about how the Fund voted proxies relatedto its portfolio securities during the most recent 12-month periodended June 30 are available on our Web site — deutschefunds.com(click on “proxy voting” at the bottom of the page) — or on theSEC’s Web site — sec.gov. To obtain a written copy of the Fund’spolicies and procedures without charge, upon request, call us tollfree at (800) 728-3337.

Portfolio Holdings Following the Fund’s fiscal first and third quarter-end, a completeportfolio holdings listing is filed with the SEC on Form N-Q. This formwill be available on the SEC’s Web site at sec.gov, and it also may bereviewed and copied at the SEC’s Public Reference Room inWashington, D.C. Information on the operation of the SEC’s PublicReference Room may be obtained by calling (800) SEC-0330. TheFund’s portfolio holdings are also posted on deutschefunds.comfrom time to time. Please see the Fund’s current prospectus formore information.

Principal

Underwriter

If you have questions, comments or complaints, contact:Deutsche AM Distributors, Inc.

222 South Riverside PlazaChicago, IL 60606-5808(800) 621-1148


Investment

Management

Deutsche Investment Management Americas Inc. (“DIMA” or the“Advisor”), which is part of Deutsche Asset Management, is theinvestment advisor for the Fund. DIMA and its predecessors havemore than 90 years of experience managing mutual funds and DIMAprovides a full range of investment advisory services to bothinstitutional and retail clients. RREEF America L.L.C. (“RREEF”), anindirect, wholly owned subsidiary of Deutsche Bank AG, is thesubadvisor for the Fund.DIMA is an indirect, wholly owned subsidiary of Deutsche Bank AG.Deutsche Bank AG is a major global banking institution engaged in awide variety of financial services, including investment management,retail, private and commercial banking, investment banking andinsurance.

Class A Class T Class C Class SInstitutionalClass

Nasdaq Symbol RRRAX RRRTX RRRCX RRREX RRRRX

CUSIP Number 25159L 505 25159L 356 25159L 703 25159L 885 25159L 737

Fund Number 425 1725 725 2325 595

For shareholders of Class R and R6

Automated

Information Line

Deutsche AM Flex Plan Access (800) 728-3337

24-hour access to your retirement plan account.

Web Site deutschefunds.com

Click “Retirement Plans“ to reallocate assets, process transactions,review your funds, and subscribe to fund updates by e-mail throughour secure online account access.Obtain prospectuses and applications, blank forms, interactiveworksheets, news about Deutsche funds, retirement planninginformation, and more.

For More

Information

(800) 728-3337

To speak with a service representative.

Written

Correspondence

Deutsche AM Service Company

222 South Riverside PlazaChicago, IL 60606-5806

Class R Class R6

Nasdaq Symbol RRRSX RRRZX

CUSIP Number 25159L 802 25159L 513

Fund Number 1502 1665


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