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Statement of Additional InformationMay 1, 2015DEUTSCHE VARIABLE SERIES I(formerly DWS VARIABLE SERIES I)DEUTSCHE INVESTMENTS VIT FUNDS(formerly DWS INVESTMENTS VIT FUNDS)CLASS A, CLASS B AND CLASS B2 SHARES345 Park Avenue, New York, New York 10154This combined Statement of Additional Information(“SAI”) is not a prospectus and should be read inconjunction with the applicable prospectus for eachseries of both DeutscheVariable Series I and DeutscheInvestments VIT Funds, dated May 1, 2015, assupplemented, copies of which may be obtainedwithout charge by calling (800) 728-3337; or by visitingdeutschefunds.com (the Web site does not form apart of this SAI).This SAI is incorporated by referenceinto each prospectus.This SAI is divided into two Parts — Part I and PartII. Part I contains information that is specific to eachfund, while Part II contains information that generallyapplies to each of the funds in the Deutsche funds.Deutsche Variable Series I offers a choice of 5 fundsand Deutsche Investments VIT Funds offers 2 fundsto holders of certain variable life insurance and variableannuity contracts offered by participating insurancecompanies (“Participating Insurance Companies”).Reports to Shareholders may also be obtained withoutcharge by calling (800) 728-3337.Except as noted below, each fund offers Class A and Class B shares. The funds are:Deutsche Variable Series I:Deutsche Bond VIP (Class A only)Deutsche CROCI International VIP(formerly DWS Bond VIP)Deutsche Investments VIT Funds:Deutsche Equity 500 Index VIP(Classes A, B and B2)Deutsche Capital Growth VIP(formerly DWS Capital Growth VIP)(formerly Deutsche International VIP and DWS International VIP)Deutsche Core Equity VIP(formerly DWS Equity 500 Index VIP)(formerly DWS Core Equity VIP)Deutsche Small Cap Index VIPDeutsche Global Small Cap VIP(formerly DWS Small Cap Index VIP)(formerly DWS Global Small Cap VIP)
Statement of Additional Information (SAI) — Part IPagePart I . I-1Definitions . I-1Fund Organization. I-1Management of Each Fund .Distribution Plan Payments .Portfolio Transactions and Brokerage Commissions.Investments .Investment Restrictions .Taxes .Independent Registered Public Accounting Firm, Reports to Shareholders and Financial Statements .I-2I-2I-2I-3I-3I-5I-5Additional Information.Part I: Appendix I-A — Board Member Share Ownership and Control Persons .I-6I-7Part I: Appendix I-B — Board Committees and Meetings .Part I: Appendix I-C — Board Member Compensation .Part I: Appendix I-D — Portfolio Management.Part I: Appendix I-E — Service Provider Compensation.Part I: Appendix I-F — Distribution Plan Payments .I-15I-19I-21I-29I-34Part I: Appendix I-G — Portfolio Transactions and Brokerage Commissions . I-35Part I: Appendix I-H — Investments, Practices and Techniques, and Risks. I-39Part I: Appendix I-I — Additional Information. I-43Part II . II-1Detailed Part II table of contents precedes page II-1
PART IDEFINITIONS“Fund Legal Counsel” – Ropes & Gray LLP, PrudentialTower, 800 Boylston Street, Boston, Massachusetts 02199“1934 Act” – the Securities Exchange Act of 1934, asamended“Trustee/Director Legal Counsel” – Ropes & Gray LLP,Prudential Tower, 800 Boylston Street, Boston, Massachusetts 02199“1940 Act” – the Investment Company Act of 1940, asamended“Trust” – Deutsche Variable Series I or Deutsche Investments VIT Funds, as applicable (each a “Trust,” togetherthe “Trusts”)“Code” – the Internal Revenue Code of 1986, as amended“SEC” – the Securities and Exchange Commission“NRSRO”– a nationally recognized statistical rating organization“DIMA” or “Advisor” or “Administrator” – DeutscheInvestment Management Americas Inc., 345 Park Avenue,New York, New York 10154“S&P” – Standard & Poor’s Ratings Services, an NRSRO“Subadvisor” - NorthernTrust Investments, Inc., 50 SouthLaSalle Street, Chicago, IL 60603 for Deutsche Equity500 Index VIP and Deutsche Small Cap Index VIP“Moody’s” – Moody’s Investors Service, Inc., an NRSRO“Fitch” – Fitch Ratings, an NRSRO“DDI” or “Distributor” – DeAWM Distributors, Inc., 222South Riverside Plaza, Chicago, Illinois 60606FUND ORGANIZATIONDeutsche Bond VIP, Deutsche Capital Growth VIP,Deutsche Core Equity VIP, Deutsche Global Small CapVIP and Deutsche CROCI International VIP are each aseries of Deutsche Variable Series I, a Massachusettsbusiness trust established under an Amended andRestated Agreement and Declaration ofTrust dated June2, 2008, as amended from time to time. On February 6,2006, Scudder Variable Series I was renamed DWSVariable Series I. On February 6, 2006, Bond Portfoliowas renamed DWS Bond VIP, Growth & Income Portfoliowas renamed DWS Growth & Income VIP, Capital GrowthPortfolio was renamed DWS Capital Growth VIP, GlobalDiscovery Portfolio was renamed DWS Global Opportunities VIP and International Portfolio was renamed DWSInternational VIP. On May 1, 2011 DWS Global Opportunities VIP was further renamed DWS Global Small CapGrowth VIP; on May 1, 2014 DWS Global Small CapGrowth VIP was renamed DWS Global Small Cap VIP.On May 1, 2012, DWS Growth & Income VIP wasrenamed DWS Core Equity VIP. On August 11, 2014, DWSVariable Series I was renamed Deutsche Variable SeriesI. On August 11, 2014, DWS Bond VIP was renamedDeutsche BondVIP, DWS Capital GrowthVIP was renamedDeutsche Capital Growth VIP, DWS Core Equity VIP wasrenamed Deutsche Core Equity VIP, DWS Global SmallCap VIP was renamed Deutsche Global Small Cap VIP,“DSC” or “Transfer Agent” – DeAWM Service Company,210 W. 10th Street, Kansas City, Missouri 64105-1614“Deutsche funds” – the US registered investmentcompanies advised by DIMA“Board Members” – Members of the Board of Trusteesof a Trust“Board” – Board of Trustees of a Trust“Independent Board Members”– Board Members whoare not interested persons (as defined in the 1940 Act)of the fund, the investment advisor or the distributor“fund” or “series” – Deutsche Bond VIP, Deutsche CoreEquity VIP, Deutsche Capital Growth VIP, Deutsche GlobalSmall Cap VIP, Deutsche CROCI International VIP,Deutsche Equity 500 Index VIP and/or Deutsche SmallCap Index VIP as the context may require“Custodian” – For all funds (other than Deutsche GlobalSmall Cap VIP and Deutsche CROCI International VIP):State Street Bank and Trust Company, State StreetFinancial Center, One Lincoln Street, Boston, Massachusetts 02111; for Deutsche Global Small Cap VIP andDeutsche CROCI International VIP: Brown BrothersHarriman & Company, 50 Post Office Square, Boston,Massachusetts 02110I-1
all Deutsche funds overseen, by investors who controlthe fund, if any, and by investors who own 5% or moreof any class of fund shares, if any, is set forth in Part I —Appendix I-A.and DWS International VIP was renamed Deutsche International VIP. On May 1, 2015, Deutsche International VIPwas renamed Deutsche CROCI International VIP.Deutsche Equity 500 Index VIP and Deutsche Small CapIndex VIP are series of Deutsche Investments VIT Funds,a registered open-end management investment companyorganized as a Massachusetts business trust under thelaws of Massachusetts on January 18, 1996. On February6, 2006, Scudder Investments VIT Funds was renamedDWS Investments VIT Funds. On September 19, 2005,Scudder VIT Equity 500 Index Fund acquired the assetsof SVS Index 500 Portfolio. On February 6, 2006, ScudderVIT Equity 500 Index Fund was renamed DWS Equity500 Index VIP and Scudder VIT Small Cap Index Fundwas renamed DWS Small Cap Index VIP. On August 11,2014, DWS Investments VIT Funds was renamedDeutsche Investments VIT Funds. On August 11, 2014,DWS Equity 500 VIP was renamed Deutsche Equity 500VIP, and DWS Small Cap IndexVIP was renamed DeutscheSmall Cap Index VIP.Portfolio ManagementInformation regarding each fund’s portfolio manager(s),including other accounts managed, compensation,ownership of fund shares and possible conflicts of interest,is set forth in Part I — Appendix I-D and Part II –Appendix II-B. This section does not apply to moneymarket funds.Service Provider CompensationCompensation paid by each fund to certain of its serviceproviders for various services, including investmentadvisory, administrative, transfer agency, and, for certainfunds, fund accounting services and subadvisory services,is set forth in Part I — Appendix I-E. For informationregarding payments made to DDI, see Part I —Appendix I-E. The service provider compensation andunderwriting and sales commission information is notapplicable to new funds that have not completed a fiscalreporting period. Fee rates for services of the abovereferenced service providers are included in Part II –Appendix II-C.Each Trust is governed by an Amended and RestatedDeclaration ofTrust, each dated June 2, 2008, for DeutscheVariable Series I and Deutsche Investments VIT Funds,as may be further amended from time to time (the “Declaration ofTrust”).The Declaration ofTrust was last approvedby shareholders in 2006 for Deutsche Variable Series Iand Deutsche Investments VIT Funds. Additional information about eachTrust is set forth in Part II under “FundOrganization.”DISTRIBUTION PLAN PAYMENTSDistribution Plan PaymentsPayments made by each fund for the most recent fiscalyear under each fund’s Rule 12b-1 Plans are set forth inPart I — Appendix I-F. This information is not applicable to funds/classes that do not incur expenses paidin connection with Rule 12b-1 Plans, or to new funds/classes that have not completed a fiscal reporting period.MANAGEMENT OF EACH FUNDBoard Members and Officers’ Identification andBackgroundThe identification and background of the Board Membersand officers are set forth in Part II — Appendix II-A.PORTFOLIO TRANSACTIONS ANDBROKERAGE COMMISSIONSBoard Committees and CompensationCompensation paid to the Independent Board Members,for certain specified periods is set forth in Part I —Appendix I-C. Information regarding the committees ofthe Board, is set forth in Part I — Appendix I-B.Portfolio TurnoverThe portfolio turnover rates for the two most recent fiscalyears are set forth in Part I — Appendix I-G.This sectiondoes not apply to money market funds or to new fundsthat have not completed a fiscal reporting period.Board Member Share Ownership and ControlPersonsInformation concerning the ownership of fund sharesby Board Members and officers, as a group, as well asthe dollar range value of each Board Member’s shareownership in each fund and, on an aggregate basis, inI-2
The following fundamental policies may not be changedwithout the approval of a majority of the outstanding votingsecurities of a fund which, under the 1940 Act and therules thereunder and as used in this SAI, means the lesserof (1) 67% or more of the voting securities present atsuch meeting, if the holders of more than 50% of theoutstanding voting securities of a fund are present orrepresented by proxy, or (2) more than 50% of theoutstanding voting securities of a fund.Brokerage CommissionsTotal brokerage commissions paid by each fund for thethree most recent fiscal years are set forth in Part I —Appendix I-G.This section does not apply to new fundsthat have not completed a fiscal reporting period.Each fund’s policy with respect to portfolio transactionsand brokerage is set forth under “Portfolio Transactions” in Part II of this SAI.As a matter of fundamental policy, a fund may not doany of the following:INVESTMENTSInvestments, Practices and Techniques, andRisksPart I — Appendix I-H includes a list of the investments, practices and techniques, and risks which eachfund may employ (or be subject to) in pursuing itsinvestment objective. Part II — Appendix II-G includesa description of these investments, practices andtechniques, and risks.(1)borrow money, except as permitted under the 1940Act, as interpreted or modified by regulatoryauthority having jurisdiction, from time to time.(2)issue senior securities, except as permitted underthe 1940 Act, as interpreted or modified byregulatory authority having jurisdiction, from timeto time.(3)purchase or sell commodities, except as permittedby the 1940 Act, as interpreted or modified byregulatory authority having jurisdiction, from timeto time.(4)engage in the business of underwriting securitiesissued by others, except to the extent that the fundmay be deemed to be an underwriter in connectionwith the disposition of portfolio securities.(5)purchase or sell real estate, which term does notinclude securities of companies which deal in realestate or mortgages or investments secured by realestate or interests therein, except that the fundreserves freedom of action to hold and to sell realestate acquired as a result of the fund’s ownershipof securities.(6)make loans except as permitted under the 1940Act, as interpreted or modified by regulatoryauthority having jurisdiction, from time to time.(7)concentrate its investments in a particular industry,as that term is used in the 1940 Act, as interpretedor modified by regulatory authority having jurisdiction, from time to time.INVESTMENT RESTRICTIONSUnless otherwise stated, the policies below apply to eachfund.Except as otherwise indicated, each fund’s investmentobjective and policies are not fundamental and may bechanged without a vote of shareholders. There can beno assurance that each fund’s investment objective willbe met.Any investment restrictions herein which involve amaximum percentage of securities or assets shall notbe considered to be violated unless an excess over thepercentage occurs immediately after, and is caused by,an acquisition or encumbrance of securities or assetsof, or borrowings by, a fund.Each fund has elected to be classified as a diversifiedseries of an open-end management investment company.A diversified fund may not, with respect to 75% of totalassets, invest more than 5% of total assets in thesecurities of a single issuer (other than cash and cashitems, US government securities or securities of otherinvestment companies) or invest in more than 10% ofthe outstanding voting securities of such issuer.The fund’selection to be classified as diversified under the 1940Act may not be changed without the vote of a majorityof the outstanding voting securities (as defined herein)of the fund.The following is intended to help investors better understand the meaning of a fund’s fundamental policies bybriefly describing limitations, if any, imposed by the 1940Act. References to the 1940 Act below may encompassI-3
rules, regulations or orders issued by the SEC and, tothe extent deemed appropriate by the fund, interpretations and guidance provided by the SEC staff. Thesedescriptions are intended as brief summaries of suchlimitations as of the date of this SAI; they are not comprehensive and they are qualified in all cases by referenceto the 1940 Act (including any rules, regulations or ordersissued by the SEC and any relevant interpretations andguidance provided by the SEC staff). These descriptionsare subject to change based on evolving guidance bythe appropriate regulatory authority and are not part ofa fund’s fundamental policies.Under the 1940 Act, a fund generally may not lend portfoliosecurities representing more than one-third of its totalasset value (including the value of collateral received forloans of portfolio securities).The 1940 Act generally permits a fund to borrow moneyin amounts of up to 331 3% of its total assets from banksfor any purpose. The 1940 Act requires that after anyborrowing from a bank, a fund shall maintain an assetcoverage of at least 300% for all of the fund’s borrowings,and, in the event that such asset coverage shall at anytime fall below 300%, a fund must, within three daysthereafter (not including Sundays and holidays), reducethe amount of its borrowings to an extent that the assetcoverage of all of a fund’s borrowings shall be at least300%. In addition, a fund may borrow up to 5% of itstotal assets from banks or other lenders for temporarypurposes (a loan is presumed to be for temporarypurposes if it is repaid within 60 days and is not extendedor renewed). For additional information, see “Borrowing”in Part II — Appendix II-G.As a matter of non-fundamental policy:Under the 1940 Act, a senior security does not includeany promissory note or evidence of indebtedness wheresuch loan is for temporary purposes only and in an amountnot exceeding 5% of the value of the total assets of afund at the time the loan is made (a loan is presumed tobe for temporary purposes if it is repaid within 60 daysand is not extended or renewed).The SEC and/or its staffhas indicated that certain investment practices may raisesenior security issues unless a fund takes appropriatesteps to segregate assets against, or cover, its obligations. A fund is permitted to engage in the investmentpractices described in its prospectus and in this SAI.Other Investment Policies. The Board has adoptedcertain additional non-fundamental policies and restrictions which are observed in the conduct of a fund’s affairs.They differ from fundamental investment policies in thatthey may be changed or amended by action of the Boardwithout requiring prior notice to, or approval of, the shareholders.(1)the fund may not purchase illiquid securities,including time deposits and repurchase agreements maturing in more than seven days, if, as aresult, more than 15% of the fund’s net assetswould be invested in such securities.(2)(for all funds except Deutsche Equity 500 Index VIPand Deutsche Small Cap Index VIP) the fund maynot purchase options, unless the aggregatepremiums paid on all such options held by the fundat any time do not exceed 20% of its total assets;or sell put options, if, as a result, the aggregatevalue of the obligations underlying such put optionswould exceed 50% of its total assets.(3)(for all funds except Deutsche Equity 500 Index VIPand Deutsche Small Cap Index VIP) the fund maynot purchase warrants if, as a result, such securities,taken at the lower of cost or market value, wouldrepresent more than 5% of the value of the fund’stotal asse
Statement of Additional Information May 1, 2015 DEUTSCHEVARIABLE SERIES I (forme
