<PAGE>
TCW/DW TOTAL RETURN TRUST
Two World Trade Center
New York, New York 10048
DEAR SHAREHOLDER:
- -----------------------------------------------------------------------------
Robust corporate earnings, benign inflation and a steadily advancing bond
market combined to propel stocks higher during the six-month period ended
January 31, 1996. The Dow Jones Industrial Average (DJIA), the Standard &
Poor's 500 Composite Stock Price Index (S&P 500) and the NASDAQ Index all
reached record highs. Despite a brief detour in mid-December (brought about
by anxiety over budget wrangling in Washington, an economy perceived to be
weakening and a belief that the Federal Reserve Board would not cut interest
rates, which it subsequently did), equities continued to advance into the new
year.
Throughout the past six months, interest rates moved downward as economic
growth slowed to a more sustainable level and inflationary fears all but
disappeared. As a result, the Federal Reserve Board eased monetary policy by
lowering the federal-funds rate twice by 25 basis points during the six-month
period, first in mid-December and again in January. Overall, the fixed-income
markets in general, and the U.S. Treasury market in particular, reacted
favorably. In all, the yield on 30-year U.S. Treasury bonds declined from
6.85 percent on July 31, 1995 to 6.03 percent on January 31, 1996. Similarly,
two-year U.S. Treasury note yields declined from 5.87 percent to 4.93 percent
during the period.
PERFORMANCE AND PORTFOLIO STRATEGY
For the six-month period ended January 31, 1996, TCW/DW Total Return Trust
produced a total return of 9.64 percent, compared to a return of 14.53
percent for the broad-based S&P 500. Unlike the Fund which may invest in
stocks, bonds and convertible securities, the S&P 500 Index is comprised
solely of common stocks. During the same period, the Lehman Brothers
Government/Corporate Bond Index returned 7.74 percent.
During the second half of 1995, the Fund steadily increased investments in
common stocks and convertible securities, and decreased fixed-income
securities and cash. This strategy allowed the Fund to participate in the
strong stock market rally during the second half of 1995. TCW Funds
Management (TCW), the Fund's investment adviser, remains bullish on the stock
market and long term government bonds. Worldwide economic growth is stable
and inflation continues to decline. Thirty-year government bonds currently
yield over 6 percent. Based on TCW's inflation assumption of 2 percent,
long-term government bonds have a real rate of return above 4 percent. As
interest rates decline, stock and bond prices should appreciate.
As of January 31, 1996, the Fund was 100 percent invested, of which
thirty-year government bonds represented 25 percent, equities 70 percent and
convertible securities 5 percent. Industries well represented in the Fund on
January 31, 1996 included telecommunications, technology, energy, autos,
financial services, household products and health care. Among the Fund's key
equity holdings on January 31, 1996 were Chrysler Corp., Citicorp, J.P.
Morgan, Intel, Merck, United Technologies and Texaco Inc.
<PAGE>
LOOKING AHEAD
TCW's forecast for 1996 real GDP growth is 2.0 percent with inflation for
1996 at a relatively benign 2.0 percent. Generally, moderate economic growth
and low inflation provide a positive fundamental investment environment for
U.S. financial assets. Prominent among the Fund's portfolio holdings are
numerous revitalized American industrial corporations, which have become or
are becoming the low-cost producers in their industries. Going forward, the
Fund will continue to focus on companies with attractive yields and strong
prospects for earnings and dividend growth. Above all, the Fund will continue
to invest for long-term total return from capital growth and income.
We appreciate your ongoing support of TCW/DW Total Return Trust and look
forward to continuing to serve your investment needs and objectives.
Very truly yours,
/s/ Charles A. Fiumefreddo
------------------------
Charles A. Fiumefreddo
Chairman of the Board
<PAGE>
TCW/DW TOTAL RETURN TRUST
Portfolio of Investments January 31, 1996 (unaudited)
- -----------------------------------------------------------------------------
<TABLE>
<CAPTION>
NUMBER OF
SHARES VALUE
- ----------- ----------------------------------- ------------
<S> <C> <C>
COMMON STOCKS (59.6%)
AEROSPACE & DEFENSE (3.1%)
25,300 Rockwell International Corp. ...... $ 1,483,212
------------
AIRCRAFT & AEROSPACE (2.3%)
10,800 United Technologies Corp. .......... 1,108,350
------------
AUTOMOTIVE (3.4%)
12,700 Chrysler Corp. ..................... 733,425
29,800 Ford Motor Co. ..................... 882,825
------------
1,616,250
------------
BANK HOLDING COMPANIES (3.1%)
6,300 Wells Fargo & Co. .................. 1,478,137
------------
BANKING (1.9%)
11,100 Morgan (J.P.) & Co., Inc. .......... 901,875
------------
BANKS - INTERNATIONAL (1.5%)
9,700 Citicorp ........................... 716,587
------------
BIOTECHNOLOGY (3.3%)
33,800 Guidant Corp. ...................... 1,550,575
------------
BROADCAST MEDIA (2.8%)
33,300 Viacom, Inc. (Class B)* ............ 1,348,650
------------
BROKERAGE (1.8%)
14,600 Merrill Lynch & Co., Inc. .......... 830,375
------------
COMMUNICATIONS -
EQUIPMENT & SOFTWARE (3.3%)
18,800 Cisco Systems, Inc.* ............... 1,562,750
------------
CONSUMER PRODUCTS (2.4%)
14,300 Kimberly-Clark Corp. ............... 1,152,937
------------
ELECTRONICS - SEMICONDUCTORS/
COMPONENTS (2.3%)
20,000 Intel Corp. ........................ 1,102,500
------------
ENTERTAINMENT (2.7%)
39,500 Circus Circus Enterprises, Inc.* .. 1,259,062
------------
FINANCIAL (5.1%)
61,800 Countrywide Credit Industries, Inc. 1,436,850
11,300 Federal Home Loan Mortgage Corp. .. 967,563
------------
2,404,413
------------
HEALTHCARE - DRUGS (2.0%)
13,400 Merck & Co., Inc. .................. 941,350
------------
NATURAL GAS (2.0%)
38,100 Renaissance Energy Ltd. (Canada)* . 950,073
------------
OIL & GAS EXPLORATION - CANADIAN
(2.0%)
62,000 Canadian Natural Resources* ....... $ 931,016
------------
SAVINGS & LOAN ASSOCIATIONS (2.4%)
48,400 Ahmanson (H.F.) & Co. .............. 1,161,600
------------
TELECOMMUNICATIONS (8.3%)
10,100 AT&T Corp. ......................... 675,438
17,200 ITT Corp. .......................... 954,600
18,700 ITT Hartford Group, Inc.* .......... 937,338
52,500 ITT Industries, Inc. ............... 1,365,000
------------
3,932,376
------------
TOBACCO (1.9%)
9,700 Philip Morris Companies, Inc. ..... 902,100
------------
UTILITIES (2.0%)
21,000 American Electric Power Company,
Inc. .............................. 929,250
------------
TOTAL COMMON STOCKS (IDENTIFIED
COST $24,324,962) ................. 28,263,438
------------
CONVERTIBLE PREFERRED STOCK (2.4%)
FINANCIAL
19,200 St. Paul Capital L.L.C. $3.00
(Identified Cost $1,014,021) ..... 1,128,000
------------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT (IN
THOUSANDS)
- ----------- --------------------------------- ------------
<S> <C> <C>
CONVERTIBLE BOND (2.2%)
ELECTRONICS - SEMICONDUCTORS
$ 1,000 Analog Devices 3.50% due 12/01/00
(Identified Cost $1,018,125) ... 1,063,930
------------
U.S. GOVERNMENT OBLIGATION (33.4%)
11,735 U.S. Treasury Bond 9.00% due
11/15/18 (Identified Cost
$15,029,131) .................... 15,856,919
------------
SHORT-TERM INVESTMENTS (7.8%)
U.S. GOVERNMENT OBLIGATION (a) (3.1%)
1,500 Federal Home Loan Banks 5.42% due
02/01/96 ........................ 1,500,000
------------
</TABLE>
TCW/DW TOTAL RETURN TRUST
Portfolio of Investments Janaury 31, 1996 (unaudited) (continued)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT (IN
THOUSANDS) VALUE
- ----------- ---------------------------------- ------------
<S> <C> <C>
$2,225 REPURCHASE AGREEMENT (4.7%)
The Bank of New York 5.75% due
02/01/96 (dated 01/31/96;
proceeds $2,224,979;
collateralized by $2,998,616 U.S.
Treasury Principal Strip due
05/15/01 valued at $2,269,116)
(Identified Cost $2,224,624) .... $2,224,624
------------
TOTAL SHORT-TERM INVESTMENTS
(IDENTIFIED COST $3,724,624) .... 3,724,624
------------
</TABLE>
<TABLE>
<CAPTION>
VALUE
-------------
<S> <C> <C>
TOTAL INVESTMENTS
(IDENTIFIED COST $45,110,863) (B) 105.4% $50,036,911
LIABILITIES IN EXCESS
OF OTHER ASSETS .................. (5.4) (2,555,236)
--------- -------------
NET ASSETS ........................ 100.0% $47,481,675
========= =============
</TABLE>
- ------------
* Non-income producing security.
(a) Security was purchased on a discount basis. The interest rate shown has
been adjusted to reflect a money market equivalent yield.
(b) The aggregate cost for federal income tax purposes is $45,110,863; the
aggregate gross unrealized appreciation is $5,133,733 and the aggregate
gross unrealized depreciation is $207,685, resulting in net unrealized
appreciation of $4,926,048.
See Notes to Financial Statements
<PAGE>
TCW/DW TOTAL RETURN TRUST
Financial Statements
- -----------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES
January 31, 1996 (unaudited)
- -----------------------------------------------------------------------------
<TABLE>
<CAPTION>
<S> <C>
ASSETS:
Investments in securities, at value
(identified cost $45,110,863) ............. $50,036,911
Receivable for:
Interest .................................. 231,117
Shares of beneficial interest sold ....... 74,333
Dividends ................................. 30,914
Deferred organizational expenses ........... 116,244
Prepaid expenses and other assets .......... 37,470
-------------
TOTAL ASSETS ............................. 50,526,989
-------------
LIABILITIES:
Payable for:
Investments purchased ..................... 2,930,101
Plan of distribution fee .................. 36,026
Investment advisory fee ................... 12,228
Management fee ............................ 11,357
Shares of beneficial interest repurchased 5,508
Accrued expenses and other payables ....... 50,094
-------------
TOTAL LIABILITIES ........................ 3,045,314
-------------
NET ASSETS:
Paid-in-capital ............................ 41,402,862
Net unrealized appreciation ................ 4,926,048
Accumulated undistributed net investment
income .................................... 49,771
Accumulated undistributed net realized gain 1,102,994
-------------
NET ASSETS ............................... $47,481,675
=============
NET ASSET VALUE PER SHARE, 3,890,348 shares
outstanding (unlimited shares authorized
of $.01 par value) ........................ $ 12.20
=============
</TABLE>
STATEMENT OF OPERATIONS
For the six months ended January 31, 1996 (unaudited)
- -----------------------------------------------------------------------------
<TABLE>
<CAPTION>
<S> <C>
NET INVESTMENT INCOME:
INCOME
Dividends (net of $6,304 foreign
withholding tax) ................... $ 406,509
Interest ............................ 352,009
-----------
TOTAL INCOME ....................... 758,518
-----------
EXPENSES
Plan of distribution fee ............ 182,434
Management fee ...................... 93,325
Investment advisory fee ............. 62,216
Professional fees ................... 30,534
Transfer agent fees and expenses ... 23,294
Shareholder reports and notices .... 21,696
Trustees' fees and expenses ......... 19,986
Organizational expenses ............. 15,281
Custodian fees ...................... 8,174
Registration fees ................... 5,229
Other ............................... 955
-----------
TOTAL EXPENSES BEFORE AMOUNTS
WAIVED/REIMBURSED ................. 463,124
LESS: AMOUNTS WAIVED/REIMBURSED ... (79,726)
-----------
TOTAL EXPENSES AFTER AMOUNTS
WAIVED/REIMBURSED ................. 383,398
-----------
NET INVESTMENT INCOME .............. 375,120
-----------
NET REALIZED AND UNREALIZED GAIN:
Net realized gain ................... 1,635,853
Net change in unrealized
appreciation ....................... 1,836,194
-----------
NET GAIN ........................... 3,472,047
-----------
NET INCREASE ....................... $3,847,167
===========
</TABLE>
<PAGE>
STATEMENT OF CHANGES IN NET ASSETS
- -----------------------------------------------------------------------------
<TABLE>
<CAPTION>
FOR THE SIX MONTHS FOR THE PERIOD
ENDED JANUARY 31, 1996 NOVEMBER 30, 1994*
(UNAUDITED) THROUGH JULY 31, 1995
----------------------- ---------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
Operations:
Net investment income ........................................ $ 375,120 $ 564,613
Net realized gain ............................................ 1,635,853 1,236,101
Net change in unrealized appreciation ........................ 1,836,194 3,089,854
------------------ -----------------
Net increase ................................................ 3,847,167 4,890,568
------------------ -----------------
Dividends and distributions from:
Net investment income ........................................ (542,795) (347,167)
Net realized gain ............................................ (1,768,960) --
------------------ -----------------
Total ....................................................... (2,311,755) (347,167)
------------------ -----------------
Net increase from transactions in shares of beneficial
interest ..................................................... 9,928,685 31,374,177
------------------ -----------------
Total increase .............................................. 11,464,097 35,917,578
NET ASSETS:
Beginning of period ........................................... 36,017,578 100,000
------------------ -----------------
END OF PERIOD (including undistributed net investment income
of $49,771 and $217,446, respectively) ....................... $47,481,675 $36,017,578
================== =================
</TABLE>
- ------------
* Commencement of operations.
See Notes to Financial Statements
<PAGE>
TCW/DW TOTAL RETURN TRUST
Notes to Financial Statements January 31, 1996 (unaudited)
- -----------------------------------------------------------------------------
1. ORGANIZATION AND ACCOUNTING POLICIES -- TCW/DW Total Return Trust (the
"Fund") is registered under the Investment Company Act of 1940, as amended
(the "Act"), as a non-diversified, open-end management investment company.
The Fund was organized as a Massachusetts business trust on June 29, 1994 and
on August 22, 1994, the Fund issued 10,000 shares of beneficial interest to
Dean Witter InterCapital Inc. ("InterCapital"), an affiliate of Dean Witter
Services Company Inc. (the "Manager"), for $100,000 to effect the Fund's
initial capitalization. The Fund commenced operations on November 30, 1994.
The following is a summary of significant accounting policies:
A. Valuation of Investments -- (1) an equity security listed or traded on
the New York, American or other domestic or foreign stock exchange is
valued at its latest sale price on that exchange prior to the time when
assets are valued; if there were no sales that day, the security is
valued at the latest bid price (in cases where securities are traded on
more than one exchange; the securities are valued on the exchange
designated as the primary market by the Trustees); (2) all other
portfolio securities for which over-the-counter market quotations are
readily available are valued at the latest available bid price prior to
the time of valuation; (3) when market quotations are not readily
available, including circumstances under which it is determined by the
Adviser that sale and bid prices are not reflective of a security's
market value, portfolio securities are valued at their fair value as
determined in good faith under procedures established by and under the
general supervision of the Trustees; (4) certain portfolio securities may
be valued by an outside pricing service, approved by the Trustees. The
pricing service utilizes a matrix system incorporating security quality,
maturity and coupon as the evaluation model parameters and/or research
and evaluation by its staff, including review of broker-dealer market
price quotations, is available, in determining what it believes is the
fair valuation of the portfolio securities valued by such pricing
services; and (5) short-term debt securities having a maturity date of
more than sixty days at time of purchase are valued on a mark-to-market
basis until sixty days prior to maturity and thereafter at amortized cost
based on their value on the 61st day. Short-term securities having a
maturity date of sixty days or less at the time of purchase are valued at
amortized cost.
B. Accounting for Investments -- Security transactions are accounted for
on the trade date (date the order to buy or sell is executed). Realized
gains and losses on security transactions are determined by the
identified cost method. Discounts are accreted over the life of the
respective securities. Dividend income and other distributions are
recorded on the ex-dividend date. Interest income is accrued daily.
C. Federal Income Tax Status -- It is the Fund's policy to comply with
the requirements of the Internal Revenue Code applicable to regulated
investment companies and to distribute all of its taxable income to its
shareholders. Accordingly, no federal income tax provision is required.
D. Dividends and Distributions to Shareholders -- The Fund records
dividends and distributions to its shareholders on the record date. The
amount of dividends and distributions from net investment income and net
realized capital gains are determined in accordance with federal income
tax regulations which may differ from generally accepted accounting
principles. These "book/tax" differences are either considered temporary
or permanent in nature. To the extent these differences are permanent in
nature, such amounts are reclassified within the capital accounts based
on their federal tax-basis treatment; temporary differences do not
require reclassification. Dividends and distributions which exceed net
investment income and net realized capital gains for financial reporting
purposes but not for
<PAGE>
TCW/DW TOTAL RETURN TRUST
Notes to Financial Statements January 31, 1996 (unaudited) (continued)
tax purposes are reported as dividends in excess of net investment income
or distributions in excess of net realized capital gains. To the extent
they exceed net investment income and net realized capital gains for tax
purposes, they are reported as distributions of paid-in-capital.
E. Organizational Expenses -- InterCapital paid the organizational
expenses of the Fund in the amount of approximately $127,000 exclusive of
amounts reimbursed of $4,817 which was absorbed by InterCapital. Such
expenses have been deferred and are being amortized on the straight-line
method over a period not to exceed five years from the commencement of
operations.
2. MANAGEMENT AGREEMENT -- Pursuant to a Management Agreement, the Fund pays
a management fee, accrued daily and payable monthly, by applying the annual
rate of 0.45% to the net assets of the Fund determined as of the close of
each business day.
Under the terms of the Management Agreement, the Manager maintains certain
of the Fund's books and records and furnishes, at its own expense, office
space, facilities, equipment, clerical, bookkeeping and certain legal
services and pays the salaries of all personnel, including officers of the
Fund who are employees of the Manager. The Manager also bears the cost of
telephone services, heat, light, power and other utilities provided to the
Fund.
InterCapital had undertaken to reimburse all operating expenses (except
for any 12b-1 and/or brokerage fees) and the Manager had agreed to waive the
compensation provided for in its Management Agreement and the Adviser had
undertaken to waive the compensation provided for in its Advisory Agreement
until September 27, 1995.
3. INVESTMENT ADVISORY AGREEMENT -- Pursuant to an Investment Advisory
Agreement with TCW Funds Management, Inc. (the "Adviser"), the Fund pays an
advisory fee, accrued daily and payable monthly, by applying the annual rate
of 0.30% to the net assets of the Fund determined as of the close of each
business day.
Under the terms of the Investment Advisory Agreement, the Fund has
retained the Adviser to invest the Fund's assets, including placing orders
for the purchase and sale of portfolio securities. The Adviser obtains and
evaluates such information and advice relating to the economy, securities
markets, and specific securities as it considers necessary or useful to
continuously manage the assets of the Fund in a manner consistent with its
investment objective. In addition, the Adviser pays the salaries of all
personnel, including officers of the Fund, who are employees of the Adviser.
4. PLAN OF DISTRIBUTION -- Shares of the Fund are distributed by Dean Witter
Distributors Inc. (the "Distributor"), an affiliate of the Manager. The Fund
has adopted a Plan of Distribution (the "Plan") pursuant to Rule 12b-1 under
the Act pursuant to which the Fund pays the Distributor compensation, accrued
daily and payable monthly, at an annual rate of 1.0% of the lesser of: (a)
the average daily aggregate gross sales of the Fund's shares since the Fund's
inception (not including reinvestment of dividend or capital gains
distributions) less the average daily aggregate net asset value of the Fund's
shares redeemed since the Fund's inception upon with a contingent deferred
sales charge has been imposed or upon which such charge has been waived; or
(b) the Fund's average daily net assets. Amounts paid under the Plan are paid
to the Distributor to compensate it for the services provided and the
expenses borne by it and others in the distribution of the Fund's shares,
including the payment of commissions for sales of the Fund's shares and
<PAGE>
TCW/DW TOTAL RETURN TRUST
Notes to Financial Statements January 31, 1996 (unaudited) (continued)
incentive compensation to, and expenses of, account executives of Dean Witter
Reynolds Inc. ("DWR"), an affiliate of the Manager and Distributor, and other
employees or selected broker-dealers who engage in or support distribution of
the Fund's shares or who service shareholder accounts, including overhead and
telephone expenses, printing and distribution of prospectuses and reports
used in connection with the offering of the Fund's shares to other than
current shareholders and the preparation and distribution of sales literature
and advertising materials. In addition, the Distributor may be compensated
under the Plan for its opportunity costs in advancing such amounts, which
compensation would be in the form of a carrying charge on any unreimbursed
expenses by the Distributor.
Provided that the Plan continues in effect, any cumulative expenses
incurred but not yet recovered may be recovered through future distribution
fees from the Fund and contingent deferred sales charges from the Fund's
shareholders.
The Distributor has informed the Fund that for the six months ended
January 31, 1996, it received approximately $111,000 in contingent deferred
sales charges from certain redemptions of the Fund's shares.
5. SECURITY TRANSACTIONS AND TRANSACTIONS WITH AFFILIATES -- The cost of
purchases and proceeds from sales of portfolio securities, excluding
short-term investments, for the six months ended January 31, 1996 aggregated
$56,394,273 and $49,213,971, respectively. Included in the aforementioned are
purchases and sales of U.S. Government securities of $16,251,788 and
$5,315,156, respectively.
For the six months ended January 31, 1996, the Fund incurred brokerage
commissions of $22,866 with DWR for portfolio transactions executed on behalf
of the Fund.
Dean Witter Trust Company, an affiliate of the Manager and Distributor, is
the Fund's transfer agent. At January 31, 1996, the Fund had transfer agent
fees and expenses payable of approximately $3,800.
6. SHARES OF BENEFICIAL INTEREST -- Transactions in shares of beneficial
interest were as follows:
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
JANUARY 31, 1996 NOVEMBER 30, 1994*
(UNAUDITED) THROUGH JULY 31, 1995
-------------------------- --------------------------
SHARES AMOUNT SHARES AMOUNT
----------- ------------- ----------- -------------
<S> <C> <C> <C> <C>
Sold ........................................ 1,048,171 $12,667,560 3,312,310 $34,211,447
Reinvestment of dividends and distributions 175,260 2,069,087 28,873 312,496
----------- ------------- ----------- -------------
1,223,431 14,736,647 3,341,183 34,523,943
Repurchased ................................. (398,149) (4,807,962) (286,117) (3,149,766)
----------- ------------- ----------- -------------
Net increase ................................ 825,282 $ 9,928,685 3,055,066 $31,374,177
=========== ============= =========== =============
</TABLE>
- -----------------------------
* Commencement of operations.
<PAGE>
TCW/DW TOTAL RETURN TRUST
Financial Highlights
- -----------------------------------------------------------------------------
Selected ratios and per share data for a share of beneficial interest
outstanding throughout each period:
<TABLE>
<CAPTION>
FOR THE PERIOD
FOR THE SIX NOVEMBER 30, 1994*
MONTHS ENDED THROUGH JULY 31,
JANUARY 31, 1996 1995
---------------- ------------------
(UNAUDITED)
<S> <C> <C>
PER SHARE OPERATING PERFORMANCE:
Net asset value, beginning of period ... $ 11.75 $ 10.00
------------ -------------
Net investment income ................... 0.10 0.21
Net realized and unrealized gain ....... 1.00 1.68
------------ -------------
Total from investment operations ....... 1.10 1.89
------------ -------------
Less dividends and distributions from:
Net investment income .................. (0.16) (0.14)
Net realized gain ...................... (0.49) --
------------ -------------
Total dividends and distributions ...... (0.65) (0.14)
------------ -------------
Net asset value, end of period .......... $ 12.20 $ 11.75
============ =============
TOTAL INVESTMENT RETURN+ ................ 9.64%(1) 19.04%(1)
RATIOS TO AVERAGE NET ASSETS:
Expenses ................................ 1.86%(2)(4) 0.94%(2)(3)
Net investment income ................... 1.82%(2)(4) 3.19%(2)(3)
SUPPLEMENTAL DATA:
Net assets, end of period, in thousands $47,482 $36,018
Portfolio turnover rate ................. 122%(1) 91%(1)
</TABLE>
- ------------
* Commencement of operations.
+ Does not reflect the deduction of sales charge.
(1) Not annualized.
(2) Annualized.
(3) If the Fund had borne all of its expenses that were reimbursed or
waived by the Manager and Investment Adviser, the above annualized
expense and net investment ratios would have been 2.66% and 1.47%,
respectively.
(4) If the Fund had borne all of its expenses that were reimbursed or
waived by the Manager and Investment Adviser, the above annualized
expense and net investment ratios would have been 2.24% and 1.44%,
respectively.
See Notes to Financial Statements
<PAGE>
TRUSTEES
John C. Argue
Richard M. DeMartini
Charles A. Fiumefreddo
John R. Haire
Dr. Manuel H. Johnson
Paul Kolton
Thomas E. Larkin, Jr.
Michael E. Nugent
John L. Schroeder
Marc I. Stern
OFFICERS
Charles A. Fiumefreddo
Chairman and Chief Executive Officer
Thomas E. Larkin, Jr.
President
Sheldon Curtis
Vice President, Secretary and
General Counsel
James A. Tilton
Vice President
Thomas F. Caloia
Treasurer
TRANSFER AGENT
Dean Witter Trust Company
Harborside Financial Center -- Plaza Two
Jersey City, New Jersey 07311
INDEPENDENT ACCOUNTANTS
Price Waterhouse LLP
1177 Avenue of the Americas
New York, New York 10036
MANAGER
Dean Witter Services Company Inc.
ADVISER
TCW Funds Management, Inc.
The financial statements included herein have been taken from the records of
the Trust without examination by the independent accountants and accordingly
they do not express an opinion thereon.
This report is submitted for the general information of shareholders of the
Trust. For more detailed information about the Trust, its officers and
trustees, fees, expenses and other pertinent information, please see the
prospectus of the Trust.
This report is not authorized for distribution to prospective investors in
the Trust unless preceded or accompanied by an effective prospectus.
TCW/DW
TOTAL RETURN
TRUST
Semiannual Report
January 31, 1996
