<PAGE> PAGE 1
000 B000000 06/30/96
000 C000000 088048
000 D000000 N
000 E000000 NF
000 F000000 Y
000 G000000 N
000 H000000 N
000 I000000 3.0
000 J000000 U
001 A000000 SCUDDER SECURITIES TRUST
001 B000000 811-2021
001 C000000 6172952567
002 A000000 TWO INTERNATIONAL PLACE
002 B000000 BOSTON
002 C000000 MA
002 D010000 02110
002 D020000 4103
003 000000 N
004 000000 N
005 000000 N
006 000000 N
007 A000000 Y
007 B000000 2
007 C010100 1
007 C020100 SCUDDER DEVELOPMENT FUND
007 C030100 N
007 C010200 2
007 C010300 3
007 C010400 4
007 C010500 5
007 C010600 6
007 C010700 7
007 C010800 8
007 C010900 9
007 C011000 10
020 A000001 INSTINET
020 C000001 136
020 A000002 BARCLAYS AMERICAN CORP.
020 C000002 44
020 A000003 LEHMAN BROTHERS
020 C000003 43
020 A000004 SALOMON BROTHERS
020 B000004 13-3082694
020 C000004 41
020 A000005 MORGAN STANLEY
020 C000005 35
020 A000006 SG WARBURG
020 C000006 30
020 A000007 MERRILL LYNCH
020 B000007 13-5674085
020 C000007 26
<PAGE> PAGE 2
020 A000008 WESELS, ARNLD & HEND
020 C000008 25
020 A000009 ALEX BROWN
020 B000009 52-0256630
020 C000009 23
020 A000010 BT SECURITIES
020 C000010 20
021 000000 684
022 A000001 DONALDSON LUFKIN & JENRETTE FIXED INC.
022 C000001 2457757
022 D000001 0
022 A000002 SALOMON BROTHERS
022 C000002 151149
022 D000002 8765
022 A000003 UBS SECURITIES
022 C000003 137536
022 D000003 6489
022 A000004 MORGAN STANLEY & CO. INC.
022 B000004 13-2655998
022 C000004 58214
022 D000004 63057
022 A000005 GOLDMAN SACHS
022 B000005 13-5108880
022 C000005 51425
022 D000005 59290
022 A000006 J.P. MORGAN SECURITIES
022 C000006 106048
022 D000006 0
022 A000007 INSTINET
022 C000007 45642
022 D000007 31743
022 A000008 MERRILL LYNCH
022 C000008 50469
022 D000008 6489
022 A000009 ALEX BROWN
022 C000009 35647
022 D000009 14777
022 A000010 LEHMAN BROTHERS SECURITIES
022 C000010 30113
022 D000010 16393
023 C000000 5478249
023 D000000 544575
077 A000000 Y
077 B000000 Y
077 C000000 N
077 D000000 N
077 E000000 N
077 F000000 N
077 G000000 N
077 H000000 N
077 I000000 N
<PAGE> PAGE 3
077 J000000 N
077 K000000 N
077 L000000 N
077 M000000 N
077 N000000 N
077 O000000 N
077 P000000 N
080 A00AA00 ICI MUTUAL INSURANCE COMPANY
080 B00AA00 GULF INSURANCE CO.
080 C00AA00 40000
081 A00AA00 Y
081 B00AA00 63
082 A00AA00 Y
082 B00AA00 100
083 A00AA00 N
083 B00AA00 0
084 A00AA00 N
084 B00AA00 0
085 A00AA00 Y
085 B00AA00 N
015 A000101 WESTPAC BANKING CORPORATION
015 B000101 S
015 C010101 SIDNEY
015 D010101 AUSTRALIA
015 E040101 X
015 A000102 GENERALE BANK
015 B000102 S
015 C010102 BRUSSELS
015 D010102 BELGIUM
015 E040102 X
015 A000103 GIROCREDIT BANK
015 B000103 S
015 C010103 VIENNA
015 D010103 AUSTRIA
015 E040103 X
015 A000104 CANADA TRUSTCO MORTGAGE COMPANY
015 B000104 S
015 C010104 TORONTO
015 D010104 CANADA
015 E040104 X
015 A000105 DEN DANSKE BANK
015 B000105 S
015 C010105 COPENHAGEN
015 D010105 DENMARK
015 E040105 X
015 A000106 KANSALLIS-OSAKE-PANKKI
015 B000106 S
015 C010106 HELSINKI
015 D010106 FINLAND
015 E040106 X
015 A000107 BANQUE PARIBAS
<PAGE> PAGE 4
015 B000107 S
015 C010107 PARIS
015 D010107 FRANCE
015 E040107 X
015 A000108 DRESDNER BANK
015 B000108 S
015 C010108 FRANKFURT
015 D010108 GERMANY
015 E040108 X
015 A000109 NATIONAL BANK OF GREECE
015 B000109 S
015 C010109 ATHENS
015 D010109 GREECE
015 E040109 X
015 A000110 STANDARD CHARTERED BANK
015 B000110 S
015 C010110 HONG KONG
015 D010110 HONG KONG
015 E040110 X
015 A000111 STANDARD CHARTERED BANK
015 B000111 S
015 C010111 JAKARTA
015 D010111 INDONESIA
015 E040111 X
015 A000112 BANK OF IRELAND
015 B000112 S
015 C010112 DUBLIN
015 D010112 IRELAND
015 E040112 X
015 A000113 MORGAN GUARANTY TRUST COMPANY
015 B000113 S
015 C010113 MILAN
015 D010113 ITALY
015 E040113 X
015 A000114 SUMITOMO TRUST & BANKING CO., LTD.
015 B000114 S
015 C010114 OSAKA
015 D010114 JAPAN
015 E040114 X
015 A000115 CITIBANK N.A., SEOUL
015 B000115 S
015 C010115 SEOUL
015 D010115 KOREA
015 E040115 X
015 A000116 STANDARD CHARTERED BANK
015 B000116 S
015 C010116 BERHAD
015 D010116 MALAYSIA
015 E040116 X
015 A000117 CITIBANK MEXICO, S.A.
015 B000117 S
<PAGE> PAGE 5
015 C010117 MEXICO CITY
015 D010117 MEXICO
015 E040117 X
015 A000118 MEESPIERSON N.V.
015 B000118 S
015 C010118 AMSTERDAM
015 D010118 NETHERLANDS
015 E040118 X
015 A000119 ANZ BANKING GROUP LIMITED
015 B000119 S
015 C010119 WELLINGTON
015 D010119 NEW ZEALAND
015 E040119 X
015 A000120 CHRISTIANA BANK OG KREDITKASSE
015 B000120 S
015 C010120 OSLO
015 D010120 NORWAY
015 E040120 X
015 A000121 STANDARD CHARTERED BANK
015 B000121 S
015 C010121 MANILA
015 D010121 PHILIPPINES
015 E040121 X
015 A000122 BANCO COMMERCIAL PORTUGUES
015 B000122 S
015 C010122 LISBON
015 D010122 PORTUGAL
015 E040122 X
015 A000123 THE DEVELOPMENT BANK OF SINGAPORE LTD.
015 B000123 S
015 C010123 SINGAPORE
015 D010123 SINGAPORE
015 E040123 X
015 A000124 STANDARD BANK OF SOUTH AFRICA LIMITED
015 B000124 S
015 C010124 JOHANNESBURG
015 D010124 SOUTH AFRICA
015 E040124 X
015 A000125 BANCO SANTANDER
015 B000125 S
015 C010125 MADRID
015 D010125 SPAIN
015 E040125 X
015 A000126 SKANDINAVISKA ENSKILDA BANKEN
015 B000126 S
015 C010126 STOCKHOLM
015 D010126 SWEDEN
015 E040126 X
015 A000127 UNION BANK OF SWITZERLAND
015 B000127 S
015 C010127 ZURICH
<PAGE> PAGE 6
015 D010127 SWITZERLAND
015 E040127 X
015 A000128 STANDARD CHARTERED BANK
015 B000128 S
015 C010128 BANGKOK
015 D010128 THAILAND
015 E040128 X
015 A000129 STATE STREET BANK & TRUST COMPANY
015 B000129 S
015 C010129 LONDON
015 D010129 UNITED KINGDOM
015 E040129 X
015 A000130 CITIBANK N.A.
015 B000130 S
015 C010130 ISTANBUL
015 D010130 TURKEY
015 E040130 X
015 A000131 STATE STREET BANK & TRUST COMPANY
015 B000131 C
015 C010131 BOSTON
015 C020131 MA
015 C030131 02109
015 E020131 X
015 A000132 CITIBANK N.A.
015 B000132 S
015 C010132 BUENOS AIRES
015 D010132 ARGENTINA
015 E040132 X
015 A000133 CITIBANK N.A.
015 B000133 S
015 C010133 SANTIAGO
015 D010133 CHILE
015 E040133 X
015 A000134 CITITRUST COLOMBIA SA SOCIEDAD FIDUCIARIA
015 B000134 S
015 C010134 COLOMBIA
015 D010134 COLOMBIA
015 E040134 X
015 A000135 CITIBANK BUDAPEST RT
015 B000135 S
015 C010135 BUDAPEST
015 D010135 HUNGARY
015 E040135 X
015 A000136 DEUTSCHE BANK AG
015 B000136 S
015 C010136 BOMBAY
015 D010136 INDIA
015 E040136 X
015 A000137 BANK HAPOALIM BM
015 B000137 S
015 C010137 TEL-AVIV
<PAGE> PAGE 7
015 D010137 ISRAEL
015 E040137 X
015 A000138 DEUTSCHE BANK AG
015 B000138 S
015 C010138 KARACHI
015 D010138 PAKISTAN
015 E040138 X
015 A000139 CITIBANK N.A.
015 B000139 S
015 C010139 LIMA
015 D010139 PERU
015 E040139 X
015 A000140 CITIBANK POLAND S.A.
015 B000140 S
015 C010140 WARSAW
015 D010140 POLAND
015 E040140 X
015 A000141 THE HONG KONG & SHANGHAI BANKING CORP
015 B000141 S
015 C010141 COLOMBO
015 D010141 SRI LANKA
015 E040141 X
015 A000142 CENTRAL TRUST OF CHINA
015 B000142 S
015 C010142 TAIPEI
015 D010142 TAIWAN
015 E040142 X
015 A000143 CITIBANK N.A.
015 B000143 S
015 C010143 MONTEVIDEO
015 D010143 URUGUAY
015 E040143 X
015 A000144 CITIBANK N.A.
015 B000144 S
015 C010144 CARACAS
015 D010144 VENEZUELA
015 E040144 X
015 A000145 THE FIRST NATIONAL BANK OF BOSTON
015 B000145 S
015 C010145 SAO PAULO
015 D010145 BRAZIL
015 E040145 X
015 A000146 BARCLAYS BANK OF BOTSWANA LIMITED
015 B000146 S
015 C010146 GABORONE
015 D010146 BOTSWANA
015 E040146 X
015 A000147 HONG KONG & SHANGHAI BANKING CORP. LTD.
015 B000147 S
015 C010147 SHANGHAI
015 D010147 CHINA
<PAGE> PAGE 8
015 E040147 X
015 A000148 CESKOSLOVENSKA OBCHODNI BANKA A.S.
015 B000148 S
015 C010148 PRAGUE
015 D010148 CZECH REPUBLIC
015 E040148 X
015 A000150 BARCLAYS BANK OF KENYA LIMITED
015 B000150 S
015 C010150 NAIROBI
015 D010150 KENYA
015 E040150 X
015 A000151 CESKOSLOVENSKA OBCHODNI BANKA, A.S.
015 B000151 S
015 C010151 SLOVAKIA
015 D010151 SLOVAKIA
015 E040151 X
015 A000152 BARCLAYS BANK OF SWAZILAND LIMITED
015 B000152 S
015 C010152 SWAZILAND
015 D010152 SWAZILAND
015 E040152 X
015 A000153 BARCLAYS BANK OF ZAMBIA LIMITED
015 B000153 S
015 C010153 LUSAKA
015 D010153 ZAMBIA
015 E040153 X
015 A000154 BARCLAYS BANK OF ZIMBABWE LIMITED
015 B000154 S
015 C010154 HARARE
015 D010154 ZIMBABWE
015 E040154 X
015 A000155 BARCLAYS BANK OF GHANA LIMITED
015 B000155 S
015 C010155 ACCRA
015 D010155 GHANA
015 E040155 X
015 A000156 BARCLAYS BANK PLC
015 B000156 S
015 C010156 NICOSIA
015 D010156 CYPRUS
015 E040156 X
015 A000157 STANDARD CHARTERED BANK
015 B000157 S
015 C010157 DHAKA
015 D010157 BANGLADESH
015 E040157 X
015 A000158 MERITA BANK LIMITED
015 B000158 S
015 C010158 HELSINKI
015 D010158 FINLAND
015 E040158 X
<PAGE> PAGE 9
018 000100 Y
019 A000100 Y
019 B000100 39
019 C000100 SCUDDERRRR
028 A010100 989
028 A020100 0
028 A030100 0
028 A040100 951
028 B010100 831
028 B020100 0
028 B030100 0
028 B040100 823
028 C010100 740
028 C020100 0
028 C030100 0
028 C040100 603
028 D010100 1083
028 D020100 0
028 D030100 0
028 D040100 650
028 E010100 1450
028 E020100 0
028 E030100 0
028 E040100 831
028 F010100 944
028 F020100 0
028 F030100 0
028 F040100 1199
028 G010100 6037
028 G020100 0
028 G030100 0
028 G040100 5057
028 H000100 0
062 A000100 N
062 B000100 0.0
062 C000100 0.0
062 D000100 0.0
062 E000100 0.0
062 F000100 0.0
062 G000100 0.0
062 H000100 0.0
062 I000100 0.0
062 J000100 0.0
062 K000100 0.0
062 L000100 0.0
062 M000100 0.0
062 N000100 0.0
062 O000100 0.0
062 P000100 0.0
062 Q000100 0.0
062 R000100 0.0
<PAGE> PAGE 10
070 A010100 Y
070 A020100 Y
070 B010100 Y
070 B020100 N
070 C010100 Y
070 C020100 N
070 D010100 Y
070 D020100 N
070 E010100 Y
070 E020100 N
070 F010100 Y
070 F020100 N
070 G010100 Y
070 G020100 N
070 H010100 Y
070 H020100 N
070 I010100 Y
070 I020100 N
070 J010100 Y
070 J020100 Y
070 K010100 Y
070 K020100 N
070 L010100 Y
070 L020100 Y
070 M010100 Y
070 M020100 Y
070 N010100 Y
070 N020100 N
070 O010100 N
070 O020100 N
070 P010100 Y
070 P020100 N
070 Q010100 N
070 Q020100 N
070 R010100 N
070 R020100 N
071 A000100 574190
071 B000100 512945
071 C000100 873092
071 D000100 59
072 A000100 12
072 B000100 1587
072 C000100 1355
072 D000100 0
072 E000100 0
072 F000100 8710
072 G000100 0
072 H000100 0
072 I000100 1644
072 J000100 258
072 K000100 0
<PAGE> PAGE 11
072 L000100 185
072 M000100 48
072 N000100 49
072 O000100 0
072 P000100 7
072 Q000100 0
072 R000100 45
072 S000100 26
072 T000100 0
072 U000100 0
072 V000100 0
072 W000100 82
072 X000100 11054
072 Y000100 0
072 Z000100 -8112
072AA000100 162384
072BB000100 29
072CC010100 102866
072CC020100 0
072DD010100 0
072DD020100 0
072EE000100 84837
073 A010100 0.0000
073 A020100 0.0000
073 B000100 4.2000
073 C000100 0.0000
074 A000100 1
074 B000100 11305
074 C000100 19930
074 D000100 3692
074 E000100 4600
074 F000100 1035331
074 G000100 0
074 H000100 0
074 I000100 0
074 J000100 458
074 K000100 0
074 L000100 2825
074 M000100 5
074 N000100 1078147
074 O000100 35296
074 P000100 868
074 Q000100 0
074 R010100 0
074 R020100 0
074 R030100 0
074 R040100 1694
074 S000100 0
074 T000100 1040289
074 U010100 22833
074 U020100 0
<PAGE> PAGE 12
074 V010100 45.56
074 V020100 0.00
074 W000100 0.0000
074 X000100 53236
074 Y000100 0
075 A000100 0
075 B000100 890080
076 000100 0.00
SIGNATURE THOMAS F. MCDONOUGH
TITLE SECRETARY
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial information extracted from the Scudder
Fund Small Company Value Fund Annual Report for the fiscal period ended August
31, 1996 and is qualified in its entirety by reference to such financial
statements.
</LEGEND>
<SERIES>
<NUMBER>1
<NAME> SCUDDER SMALL COMPANY VALUE FUND
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> AUG-31-1996
<PERIOD-START> OCT-06-1995
<PERIOD-END> AUG-31-1996
<INVESTMENTS-AT-COST> 39,256,706
<INVESTMENTS-AT-VALUE> 42,059,768
<RECEIVABLES> 536,793
<ASSETS-OTHER> 19,446
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 42,616,007
<PAYABLE-FOR-SECURITIES> 1,239,769
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 189,052
<TOTAL-LIABILITIES> 1,428,821
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 38,297,796
<SHARES-COMMON-STOCK> 3,034,156
<SHARES-COMMON-PRIOR> 0
<ACCUMULATED-NII-CURRENT> 93,313
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> (6,985)
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 2,803,062
<NET-ASSETS> 41,187,186
<DIVIDEND-INCOME> 444,857
<INTEREST-INCOME> 54,116
<OTHER-INCOME> 0
<EXPENSES-NET> 345,670
<NET-INVESTMENT-INCOME> 153,303
<REALIZED-GAINS-CURRENT> (6,985)
<APPREC-INCREASE-CURRENT> 2,803,062
<NET-CHANGE-FROM-OPS> 2,949,380
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (61,519)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 3,368,696
<NUMBER-OF-SHARES-REDEEMED> (339,432)
<SHARES-REINVESTED> 4,792
<NET-CHANGE-IN-ASSETS> 41,185,986
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 171,544
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 600,954
<AVERAGE-NET-ASSETS> 25,476,128
<PER-SHARE-NAV-BEGIN> 12.00
<PER-SHARE-NII> .07
<PER-SHARE-GAIN-APPREC> 1.53
<PER-SHARE-DIVIDEND> (.05)
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 13.57
<EXPENSE-RATIO> 1.50
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial information extracted from the Scudder
Micro Cap Fund Annual Report for the fiscal period ended August 31, 1996 and is
qualified in its entirety by reference to such financial statements.
</LEGEND>
<SERIES>
<NUMBER> 3
<NAME> SCUDDER MICRO CAP FUND
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> AUG-31-1996
<PERIOD-START> AUG-12-1996
<PERIOD-END> AUG-31-1996
<INVESTMENTS-AT-COST> 8,036,636
<INVESTMENTS-AT-VALUE> 8,060,876
<RECEIVABLES> 428,313
<ASSETS-OTHER> 322,686
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 8,811,875
<PAYABLE-FOR-SECURITIES> 889,903
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 56,571
<TOTAL-LIABILITIES> 946,474
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 7,836,271
<SHARES-COMMON-STOCK> 651,850
<SHARES-COMMON-PRIOR> 0
<ACCUMULATED-NII-CURRENT> 4,890
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 0
<NET-ASSETS> 7,865,401
<DIVIDEND-INCOME> 1,035
<INTEREST-INCOME> 7,181
<OTHER-INCOME> 0
<EXPENSES-NET> 3,326
<NET-INVESTMENT-INCOME> 4,890
<REALIZED-GAINS-CURRENT> 0
<APPREC-INCREASE-CURRENT> 24,240
<NET-CHANGE-FROM-OPS> 29,130
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 652,092
<NUMBER-OF-SHARES-REDEEMED> 342
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> 7,864,201
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 1,462
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 41,831
<AVERAGE-NET-ASSETS> 3,469,747
<PER-SHARE-NAV-BEGIN> 12.00
<PER-SHARE-NII> .01
<PER-SHARE-GAIN-APPREC> .06
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 12.07
<EXPENSE-RATIO> 1.75
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
EX77(B)
COOPERS & LYBRAND
REPORT OF INDEPENDENT ACCOUNTANTS
To the Board of Trustees of Scudder Securities Trust,
and the Shareholders of Scudder Micro Cap Fund:
In planning and performing our audit of the financial statements and
financial highlights of Scudder Micro Cap Fund (the "Fund") for the period
August 12, 1996 (commencement of operations) to August 31, 1996, we considered
its internal control structure, including procedures for safeguarding
securities, in order to determine our auditing procedures for the purpose of
expressing our opinion on the financial statements and financial highlights and
to comply with the requirements of Form N-SAR, not to provide assurance on the
internal control structure.
The management of Scudder Micro Cap Fund is responsible for establishing
and maintaining an internal control structure. In fulfilling this
responsibility, estimates and judgments by management are required to assess the
expected benefits and related costs of internal control structure policies and
procedures. Two of the objectives of an internal control structure are to
provide management with reasonable, but not absolute, assurance that assets are
safeguarded against loss from unauthorized use or disposition and that
transactions are executed in accordance with management's authorization and
recorded properly to permit preparation of financial statements in conformity
with generally accepted accounting principles.
Because of inherent limitations in any internal control structure, errors
or irregularities may occur and not be detected. Also, projection of any
evaluation of the structure to future periods is subject to the risk that it may
become inadequate because of changes in conditions or that the effectiveness of
the design and operations may deteriorate.
Our consideration of the Fund's internal control structure would not
necessarily disclose all matters in the internal control structure that might be
material weaknesses under standards established by the American Institute of
Certified Public Accountants. A material weakness is a condition in which the
design or operation of the specific internal control structure elements does not
reduce to a relatively low level the risk that errors or irregularities in
amounts that would be material in relation to the financial statements and
financial highlights being audited may occur and not be detected within a timely
period by employees in the normal course of performing their assigned functions.
However, we noted no matters involving the internal control structure, including
procedures for safeguarding securities, that we consider to be material
weaknesses, as defined above, as of August 31, 1996.
This report is intended solely for the information and use of management of
Scudder Micro ap Fund and the Securities and Exchange Commission.
/s/COOPERS & LYBRAND L.L.P.
Boston, Massachusetts COOPERS & LYBRAND L.L.P.
October 7, 1996
EXhibit 77(B)
Coopers & Lybrand
REPORT OF INDEPENDENT ACCOUNTANTS
To the Board of Trustees of Scudder Securities Trust,
and the Shareholders of Scudder Small Company Value Fund:
In planning and performing our audit of the financial statements and
financial highlights of Scudder Small Company Value Fund (the "Fund") for the
period October 6, 1995 (commencement of operations) to August 31, 1996, we
considered its internal control structure, including procedures for safeguarding
securities, in order to determine our auditing procedures for the purpose of
expressing our opinion on the financial statements and financial highlights and
to comply with the requirements of Form N-SAR, not to provide assurance on the
internal control structure.
The management of Scudder Small Company Value Fund is responsible for
establishing and maintaining an internal control structure. In fulfilling this
responsibility, estimates and judgments by management are required to assess the
expected benefits and related costs of internal control structure policies and
procedures. Two of the objectives of an internal control structure are to
provide management with reasonable, but not absolute, assurance that assets are
safeguarded against loss from unauthorized use or disposition and that
transactions are executed in accordance with management's authorization and
recorded properly to permit preparation of financial statements in conformity
with generally accepted accounting principles.
Because of inherent limitations in any internal control structure, errors
or irregularities may occur and not be detected. Also, projection of any
evaluation of the structure to future periods is subject to the risk that it may
become inadequate because of changes in conditions or that the effectiveness of
the design and operations may deteriorate.
Our consideration of the Fund's internal control structure would not
necessarily disclose all matters in the internal control structure that might be
material weaknesses under standards established by the American Institute of
Certified Public Accountants. A material weakness is a condition in which the
design or operation of the specific internal control structure elements does not
reduce to a relatively low level the risk that errors or irregularities in
amounts that would be material in relation to the financial statements and
financial highlights being audited may occur and not be detected within a timely
period by employees in the normal course of performing their assigned functions.
However, we noted no matters involving the internal control structure, including
procedures for safeguarding securities, that we consider to be material
weaknesses, as defined above, as of August 31, 1996.
This report is intended solely for the information and use of management of
Scudder Small Company Value Fund and the Securities and Exchange Commission.
/s/ COOPERS & LYBRAND L.L.P.
Boston, Massachusetts COOPERS & LYBRAND L.L.P.
October 7, 1996
