Edgar Filing: DEUTSCHE STRATEGIC INCOME TRUST

nq022815ce-sit.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

_______________________________

Investment Company Act file number: 811-08382

Deutsche Strategic Income Trust

(Exact name of registrant as specified in charter)

345 Park Avenue

New York, NY 10154

(Address of principal executive offices) (Zip code)

Paul Schubert

60 Wall Street

New York, NY 10005

(Name and address of agent for service)

Registrant's telephone number, including area code: (212) 250-3220

Date of fiscal year end: 11/30

Date of reporting period: 2/28/2015

ITEM 1.

SCHEDULE OF INVESTMENTS

Investment Portfolio

as of February 28, 2015 (Unaudited)

Deutsche Strategic Income Trust

				Principal Amount ($) (a)				Value ($)
	Corporate Bonds 85.4%
Consumer Discretionary 14.7%
Ally Financial, Inc., 3.25%, 2/13/2018					265,000			265,000
AMC Entertainment, Inc., 5.875%, 2/15/2022					80,000			83,000
AmeriGas Finance LLC:
	6.75%, 5/20/2020				165,000			176,137
	7.0%, 5/20/2022				135,000			144,450
APX Group, Inc., 6.375%, 12/1/2019					75,000			75,188
Arcelik AS, 144A, 5.0%, 4/3/2023					220,000			211,640
Asbury Automotive Group, Inc., 6.0%, 12/15/2024					150,000			157,125
Ashtead Capital, Inc., 144A, 6.5%, 7/15/2022					120,000			130,500
Ashton Woods U.S.A. LLC, 144A, 6.875%, 2/15/2021					125,000			111,563
Avis Budget Car Rental LLC, 5.5%, 4/1/2023					215,000			225,212
Block Communications, Inc., 144A, 7.25%, 2/1/2020					155,000			160,425
Cablevision Systems Corp.:
	5.875%, 9/15/2022				165,000			170,775
	8.0%, 4/15/2020				150,000			170,812
CCOH Safari LLC:
	5.5%, 12/1/2022				80,000			82,700
	5.75%, 12/1/2024				80,000			82,800
Cequel Communications Holdings I LLC:
	144A, 5.125%, 12/15/2021				214,000			213,732
	144A, 6.375%, 9/15/2020				430,000			455,800
Clear Channel Worldwide Holdings, Inc.:
	Series A, 6.5%, 11/15/2022				95,000			99,513
	Series B, 6.5%, 11/15/2022				135,000			142,425
	Series A, 7.625%, 3/15/2020				20,000			20,950
	Series B, 7.625%, 3/15/2020				230,000			243,225
Cogeco Cable, Inc., 144A, 4.875%, 5/1/2020					10,000			10,200
CSC Holdings LLC, 144A, 5.25%, 6/1/2024					260,000			265,525
Cumulus Media Holdings, Inc., 7.75%, 5/1/2019					70,000			72,800
Dana Holding Corp., 5.5%, 12/15/2024					55,000			56,788
DISH DBS Corp.:
	4.625%, 7/15/2017				400,000			409,500
	5.0%, 3/15/2023				125,000			120,312
	6.75%, 6/1/2021				30,000			31,988
Family Tree Escrow LLC:
	144A, 5.25%, 3/1/2020				315,000			329,175
	144A, 5.75%, 3/1/2023				105,000			110,513
Goodyear Tire & Rubber Co., 6.5%, 3/1/2021					150,000			161,250
Group 1 Automotive, Inc., 144A, 5.0%, 6/1/2022					150,000			150,000
Harron Communications LP, 144A, 9.125%, 4/1/2020					155,000			169,725
HD Supply, Inc.:
	144A, 5.25%, 12/15/2021				85,000			88,294
	7.5%, 7/15/2020				30,000			32,100
	11.5%, 7/15/2020				105,000			120,750
Hot Topic, Inc., 144A, 9.25%, 6/15/2021					55,000			60,088
iHeartCommunications, Inc.:
	9.0%, 12/15/2019				195,000			192,562
	11.25%, 3/1/2021				50,000			51,500
Jo-Ann Stores Holdings, Inc., 144A, 9.75%, 10/15/2019					50,000			46,875
Live Nation Entertainment, Inc.:
	144A, 5.375%, 6/15/2022				20,000			20,300
	144A, 7.0%, 9/1/2020				130,000			139,425
MDC Partners, Inc., 144A, 6.75%, 4/1/2020					90,000			94,725
Mediacom Broadband LLC:
	5.5%, 4/15/2021				20,000			20,350
	6.375%, 4/1/2023				155,000			163,331
Mediacom LLC, 7.25%, 2/15/2022					45,000			48,600
MGM Resorts International:
	6.0%, 3/15/2023				85,000			88,400
	6.75%, 10/1/2020				163,000			178,179
	7.625%, 1/15/2017				100,000			108,000
	8.625%, 2/1/2019				205,000			235,750
Nielsen Finance LLC, 144A, 5.0%, 4/15/2022					45,000			46,013
Numericable-SFR:
	144A, 4.875%, 5/15/2019				195,000			195,000
	144A, 6.0%, 5/15/2022				290,000			295,075
Penske Automotive Group, Inc., 5.375%, 12/1/2024					200,000			207,000
Pinnacle Entertainment, Inc., 6.375%, 8/1/2021					60,000			63,750
Quebecor Media, Inc., 5.75%, 1/15/2023					80,000			83,600
Seminole Hard Rock Entertainment, Inc., 144A, 5.875%, 5/15/2021					50,000			50,125
Serta Simmons Holdings LLC, 144A, 8.125%, 10/1/2020					45,000			47,925
Sirius XM Radio, Inc., 144A, 5.875%, 10/1/2020					80,000			84,300
Springs Industries, Inc., 6.25%, 6/1/2021					115,000			112,412
Starz LLC, 5.0%, 9/15/2019					60,000			61,800
Suburban Propane Partners LP, 5.75%, 3/1/2025					45,000			46,125
TRI Pointe Holdings, Inc., 144A, 4.375%, 6/15/2019					55,000			54,381
UCI International, Inc., 8.625%, 2/15/2019					45,000			41,513
Unitymedia Hessen GmbH & Co., KG, 144A, 5.5%, 1/15/2023					300,000			316,500
Viking Cruises Ltd., 144A, 8.5%, 10/15/2022					80,000			89,400
Visant Corp., 10.0%, 10/1/2017					20,000			18,050

								8,812,946
Consumer Staples 1.8%
Chiquita Brands International, Inc., 7.875%, 2/1/2021					16,000			17,560
Cott Beverages, Inc.:
	144A, 5.375%, 7/1/2022				145,000			133,762
	144A, 6.75%, 1/1/2020				55,000			55,000
FAGE Dairy Industry SA, 144A, 9.875%, 2/1/2020					90,000			94,500
JBS Investments GmbH, 144A, 7.25%, 4/3/2024					195,000			198,900
JBS U.S.A. LLC:
	144A, 7.25%, 6/1/2021				205,000			215,638
	144A, 8.25%, 2/1/2020				65,000			68,900
Marfrig Overseas Ltd., 144A, 9.5%, 5/4/2020					100,000			98,100
Post Holdings, Inc., 144A, 6.75%, 12/1/2021					45,000			46,013
Roundy's Supermarkets, Inc., 144A, 10.25%, 12/15/2020					20,000			17,000
Smithfield Foods, Inc., 6.625%, 8/15/2022					4,000			4,350
The WhiteWave Foods Co., 5.375%, 10/1/2022					60,000			64,425
U.S. Foods, Inc., 8.5%, 6/30/2019					80,000			83,900

								1,098,048
Energy 12.0%
Afren PLC, 144A, 10.25%, 4/8/2019					140,000			55,160
Antero Resources Corp., 5.125%, 12/1/2022					100,000			98,500
Antero Resources Finance Corp., 5.375%, 11/1/2021					85,000			85,637
Baytex Energy Corp.:
	144A, 5.125%, 6/1/2021				25,000			23,813
	144A, 5.625%, 6/1/2024				35,000			33,014
Berry Petroleum Co., LLC:
	6.375%, 9/15/2022				75,000			59,625
	6.75%, 11/1/2020				215,000			181,675
Blue Racer Midstream LLC, 144A, 6.125%, 11/15/2022					35,000			36,050
BreitBurn Energy Partners LP:
	7.875%, 4/15/2022				80,000			63,200
	8.625%, 10/15/2020				10,000			8,200
California Resources Corp.:
	144A, 5.0%, 1/15/2020				40,000			36,700
	144A, 5.5%, 9/15/2021				102,000			93,075
	144A, 6.0%, 11/15/2024				40,000			35,650
Chaparral Energy, Inc., 7.625%, 11/15/2022					70,000			51,800
Chesapeake Energy Corp.:
	5.75%, 3/15/2023				135,000			140,906
	6.125%, 2/15/2021				15,000			15,938
Concho Resources, Inc., 5.5%, 4/1/2023					55,000			56,925
Continental Resources, Inc., 3.8%, 6/1/2024					130,000			121,195
Crestwood Midstream Partners LP, 6.125%, 3/1/2022					60,000			60,300
Delek & Avner Tamar Bond Ltd., 144A, 5.082%, 12/30/2023					400,000			405,100
Dresser-Rand Group, Inc., 6.5%, 5/1/2021					100,000			106,500
Ecopetrol SA, 5.875%, 5/28/2045					200,000			191,980
Endeavor Energy Resources LP, 144A, 7.0%, 8/15/2021					195,000			189,150
EP Energy LLC, 6.875%, 5/1/2019					140,000			143,500
EV Energy Partners LP, 8.0%, 4/15/2019					375,000			354,150
Halcon Resources Corp., 8.875%, 5/15/2021					20,000			15,200
Holly Energy Partners LP, 6.5%, 3/1/2020					45,000			43,875
Inkia Energy Ltd., 144A, 8.375%, 4/4/2021					200,000			206,000
Jupiter Resources, Inc., 144A, 8.5%, 10/1/2022					60,000			48,600
Linn Energy LLC, 6.25%, 11/1/2019					55,000			46,888
MEG Energy Corp.:
	144A, 6.5%, 3/15/2021				85,000			82,237
	144A, 7.0%, 3/31/2024				270,000			262,912
Memorial Resource Development Corp., 144A, 5.875%, 7/1/2022					65,000			62,400
Murphy Oil U.S.A., Inc., 6.0%, 8/15/2023					110,000			117,287
Newfield Exploration Co., 5.75%, 1/30/2022					80,000			83,800
Northern Oil & Gas, Inc., 8.0%, 6/1/2020					230,000			211,600
Nostrum Oil & Gas Finance BV, 144A, 6.375%, 2/14/2019					200,000			169,500
Oasis Petroleum, Inc.:
	6.875%, 3/15/2022				90,000			88,200
	6.875%, 1/15/2023				60,000			58,050
Offshore Drilling Holding SA, 144A, 8.625%, 9/20/2020					200,000			162,000
Pacific Rubiales Energy Corp., 144A, 5.375%, 1/26/2019					150,000			110,625
Petroleos Mexicanos, 144A, 5.625%, 1/23/2046					200,000			205,100
QGOG Atlantic, 144A, 5.25%, 7/30/2018					398,175			348,403
Ras Laffan Liquefied Natural Gas Co., Ltd. II, 144A, 5.298%, 9/30/2020					154,850			166,851
Regency Energy Partners LP:
	5.0%, 10/1/2022				40,000			42,400
	5.875%, 3/1/2022				10,000			10,925
Reliance Holding U.S.A., Inc., 144A, 5.4%, 2/14/2022					250,000			275,171
RSP Permian, Inc., 144A, 6.625%, 10/1/2022					80,000			80,500
Sabine Pass Liquefaction LLC:
	5.625%, 2/1/2021				260,000			266,175
	5.625%, 4/15/2023				100,000			102,250
	144A, 5.625%, 3/1/2025 (b)				75,000			75,375
	5.75%, 5/15/2024				260,000			265,850
Schahin II Finance Co. SPV Ltd., 144A, 5.875%, 9/25/2022					179,867			108,370
Seventy Seven Energy, Inc., 6.5%, 7/15/2022					15,000			7,800
Seventy Seven Operating LLC, 6.625%, 11/15/2019					85,000			68,213
Talos Production LLC, 144A, 9.75%, 2/15/2018					145,000			125,425
Targa Resources Partners LP:
	144A, 4.125%, 11/15/2019				20,000			20,350
	144A, 5.0%, 1/15/2018				155,000			161,200
TerraForm Power Operating LLC, 144A, 5.875%, 2/1/2023					75,000			78,000
Triangle U.S.A. Petroleum Corp., 144A, 6.75%, 7/15/2022					50,000			41,000
Whiting Petroleum Corp., 5.75%, 3/15/2021					55,000			54,175
WPX Energy, Inc., 5.25%, 1/15/2017					295,000			300,900

								7,221,350
Financials 5.4%
Banco do Brasil SA, 144A, 9.0%, 6/29/2049					400,000			338,000
Banco Santander Brasil SA, 144A, 8.0%, 3/18/2016		BRL			300,000			100,396
BBVA Bancomer SA, 144A, 6.75%, 9/30/2022					200,000			227,320
CIMPOR Financial Operations BV, 144A, 5.75%, 7/17/2024					250,000			198,125
CIT Group, Inc.:
	3.875%, 2/19/2019				415,000			418,631
	5.0%, 5/15/2017				80,000			83,200
Corpbanca SA, 144A, 3.875%, 9/22/2019					500,000			505,094
Country Garden Holdings Co., Ltd., 144A, 11.125%, 2/23/2018					200,000			211,500
Credit Agricole SA, 144A, 7.875%, 1/29/2049					125,000			131,507
Denali Borrower LLC, 144A, 5.625%, 10/15/2020					85,000			90,525
E*TRADE Financial Corp., 5.375%, 11/15/2022					50,000			52,750
Hellas Telecommunications Finance, 144A, 8.071% *, 7/15/2015		EUR			109,187			0
MPT Operating Partnership LP:
	(REIT), 6.375%, 2/15/2022				110,000			119,350
	(REIT), 6.875%, 5/1/2021				110,000			118,663
Neuberger Berman Group LLC, 144A, 5.875%, 3/15/2022					110,000			117,700
Popular, Inc., 7.0%, 7/1/2019					55,000			55,275
Societe Generale SA, 144A, 7.875%, 12/29/2049					190,000			192,612
The Goldman Sachs Group, Inc., Series L, 5.7%, 12/29/2049					95,000			98,088
Yapi ve Kredi Bankasi AS, 144A, 5.5%, 12/6/2022					200,000			192,656

								3,251,392
Health Care 7.9%
Aviv Healthcare Properties LP, 6.0%, 10/15/2021					40,000			42,800
Community Health Systems, Inc.:
	5.125%, 8/15/2018				695,000			719,325
	5.125%, 8/1/2021				20,000			20,850
	6.875%, 2/1/2022				80,000			85,550
	7.125%, 7/15/2020				750,000			801,562
Crimson Merger Sub, Inc., 144A, 6.625%, 5/15/2022					195,000			180,862
Endo Finance LLC:
	144A, 5.375%, 1/15/2023				80,000			81,400
	144A, 5.75%, 1/15/2022				80,000			84,300
	144A, 6.0%, 2/1/2025				45,000			47,644
Fresenius Medical Care U.S. Finance, Inc., 144A, 6.5%, 9/15/2018					45,000			50,175
HCA, Inc.:
	5.25%, 4/15/2025				45,000			49,444
	5.375%, 2/1/2025				100,000			106,000
	6.5%, 2/15/2020				340,000			386,750
	7.5%, 2/15/2022				170,000			200,600
Hologic, Inc., 6.25%, 8/1/2020					80,000			83,800
IMS Health, Inc., 144A, 6.0%, 11/1/2020					100,000			104,500
LifePoint Hospitals, Inc, 5.5%, 12/1/2021					105,000			111,563
Par Pharmaceutical Companies, Inc., 7.375%, 10/15/2020					125,000			132,500
Physio-Control International, Inc., 144A, 9.875%, 1/15/2019					62,000			66,185
Valeant Pharmaceuticals International, Inc.:
	144A, 6.375%, 10/15/2020				90,000			94,725
	144A, 6.75%, 8/15/2018				820,000			871,250
	144A, 7.5%, 7/15/2021				385,000			417,725

								4,739,510
Industrials 12.4%
ADT Corp.:
	3.5%, 7/15/2022				55,000			50,463
	4.125%, 4/15/2019				15,000			15,206
	5.25%, 3/15/2020				90,000			94,275
	6.25%, 10/15/2021				60,000			64,950
Air Lease Corp., 4.75%, 3/1/2020					110,000			118,525
Apex Tool Group LLC, 144A, 7.0%, 2/1/2021					70,000			65,100
Artesyn Embedded Technologies, Inc., 144A, 9.75%, 10/15/2020					105,000			100,275
Belden, Inc., 144A, 5.5%, 9/1/2022					135,000			138,375
Bombardier, Inc.:
	144A, 4.75%, 4/15/2019				60,000			58,500
	144A, 5.5%, 9/15/2018 (b)				30,000			30,413
	144A, 5.75%, 3/15/2022				90,000			85,950
	144A, 6.0%, 10/15/2022				95,000			90,963
	144A, 7.5%, 3/15/2025 (b)				30,000			30,338
	144A, 7.75%, 3/15/2020				465,000			484,762
Casella Waste Systems, Inc., 7.75%, 2/15/2019					140,000			141,400
CNH Capital LLC, 3.25%, 2/1/2017					335,000			337,512
Covanta Holding Corp., 5.875%, 3/1/2024					85,000			88,400
Coveris Holdings SA, 144A, 7.875%, 11/1/2019					215,000			218,225
CTP Transportation Products LLC, 144A, 8.25%, 12/15/2019					105,000			109,725
DigitalGlobe, Inc., 144A, 5.25%, 2/1/2021					55,000			53,350
DP World Ltd., 144A, 6.85%, 7/2/2037					250,000			291,930
DR Horton, Inc., 4.0%, 2/15/2020					30,000			30,300
Empresas ICA SAB de CV, 144A, 8.875%, 5/29/2024					200,000			136,440
Florida East Coast Holdings Corp., 144A, 6.75%, 5/1/2019					85,000			87,656
FTI Consulting, Inc.:
	6.0%, 11/15/2022				80,000			85,000
	6.75%, 10/1/2020				295,000			311,594
Garda World Security Corp., 144A, 7.25%, 11/15/2021					105,000			102,637
Gates Global LLC, 144A, 6.0%, 7/15/2022					70,000			67,200
GenCorp, Inc., 7.125%, 3/15/2021					185,000			195,637
Huntington Ingalls Industries, Inc., 144A, 5.0%, 12/15/2021					120,000			125,850
Kazakhstan Temir Zholy Finance BV, 144A, 6.375%, 10/6/2020					500,000			490,590
Kenan Advantage Group, Inc., 144A, 8.375%, 12/15/2018					220,000			228,800
Meritor, Inc.:
	6.25%, 2/15/2024				80,000			81,400
	6.75%, 6/15/2021				115,000			120,462
Moog, Inc., 144A, 5.25%, 12/1/2022					50,000			51,625
Navios Maritime Holdings, Inc., 144A, 7.375%, 1/15/2022					310,000			290,625
Nortek, Inc., 8.5%, 4/15/2021					85,000			91,375
Odebrecht Offshore Drilling Finance Ltd.:
	144A, 6.625%, 10/1/2022				288,720			222,314
	144A, 6.75%, 10/1/2022				471,250			365,219
Oshkosh Corp.:
	5.375%, 3/1/2022				60,000			61,500
	144A, 5.375%, 3/1/2025 (b)				5,000			5,113
Ply Gem Industries, Inc.:
	6.5%, 2/1/2022				145,000			140,200
SBA Communications Corp., 5.625%, 10/1/2019					75,000			78,938
Spirit AeroSystems, Inc., 5.25%, 3/15/2022					105,000			109,462
Titan International, Inc., 6.875%, 10/1/2020					260,000			236,600
TransDigm, Inc.:
	6.0%, 7/15/2022				95,000			96,188
	6.5%, 7/15/2024				55,000			56,238
	7.5%, 7/15/2021				305,000			325,206
Triumph Group, Inc., 5.25%, 6/1/2022					45,000			44,325
United Rentals North America, Inc.:
	5.75%, 7/15/2018				245,000			254,341
	6.125%, 6/15/2023				10,000			10,725
	7.625%, 4/15/2022				120,000			133,297
USG Corp., 144A, 5.5%, 3/1/2025					5,000			5,113
Wise Metals Group LLC, 144A, 8.75%, 12/15/2018					75,000			81,281
XPO Logistics, Inc., 144A, 7.875%, 9/1/2019					75,000			79,734

								7,471,622
Information Technology 6.0%
ACI Worldwide, Inc., 144A, 6.375%, 8/15/2020					35,000			36,575
Activision Blizzard, Inc., 144A, 5.625%, 9/15/2021					335,000			358,450
Alliance Data Systems Corp., 144A, 5.25%, 12/1/2017					95,000			98,562
Audatex North America, Inc.:
	144A, 6.0%, 6/15/2021				110,000			116,875
	144A, 6.125%, 11/1/2023				35,000			37,100
BMC Software Finance, Inc., 144A, 8.125%, 7/15/2021					165,000			154,069
Boxer Parent Co., Inc., 144A, 9.0%, 10/15/2019					115,000			96,313
Cardtronics, Inc., 144A, 5.125%, 8/1/2022					50,000			48,938
CDW LLC:
	5.5%, 12/1/2024				200,000			208,000
	6.0%, 8/15/2022				70,000			74,725
CyrusOne LP, 6.375%, 11/15/2022					40,000			42,400
EarthLink Holdings Corp., 7.375%, 6/1/2020					95,000			97,137
Entegris, Inc., 144A, 6.0%, 4/1/2022					55,000			57,200
Equinix, Inc.:
	5.375%, 1/1/2022				70,000			72,975
	5.375%, 4/1/2023				265,000			277,091
	5.75%, 1/1/2025				50,000			52,500
First Data Corp.:
	144A, 6.75%, 11/1/2020				435,000			466,537
	144A, 7.375%, 6/15/2019				95,000			99,750
	144A, 8.75%, 1/15/2022				180,000			194,400
Freescale Semiconductor, Inc., 144A, 6.0%, 1/15/2022					100,000			107,750
Jabil Circuit, Inc., 5.625%, 12/15/2020					105,000			114,187
Micron Technology, Inc., 144A, 5.25%, 8/1/2023					70,000			71,663
NCR Corp.:
	5.875%, 12/15/2021				20,000			20,700
	6.375%, 12/15/2023				50,000			52,875
Open Text Corp., 144A, 5.625%, 1/15/2023					60,000			61,800
Project Homestake Merger Corp., 144A, 8.875%, 3/1/2023 (b)					45,000			45,619
Sanmina Corp., 144A, 4.375%, 6/1/2019					10,000			10,075
Tencent Holdings Ltd., 144A, 3.375%, 5/2/2019					500,000			513,491

								3,587,757
Materials 9.1%
Berry Plastics Corp.:
	5.5%, 5/15/2022				160,000			167,200
	9.75%, 1/15/2021				80,000			89,100
Cascades, Inc., 144A, 5.5%, 7/15/2022					55,000			56,650
Cemex SAB de CV, 144A, 6.5%, 12/10/2019					200,000			210,250
CITIC Ltd., REG S, 6.8%, 1/17/2023					500,000			587,335
Clearwater Paper Corp., 144A, 5.375%, 2/1/2025					90,000			92,025
Exopack Holding Corp., 144A, 10.0%, 6/1/2018					90,000			95,175
First Quantum Minerals Ltd.:
	144A, 6.75%, 2/15/2020				45,000			41,850
	144A, 7.0%, 2/15/2021				170,000			157,675
FMG Resources (August 2006) Pty Ltd., 144A, 8.25%, 11/1/2019					110,000			103,950
Greif, Inc., 7.75%, 8/1/2019					230,000			262,200
Hexion U.S. Finance Corp.:
	6.625%, 4/15/2020				220,000			210,100
	8.875%, 2/1/2018				60,000			50,550
Huntsman International LLC, 8.625%, 3/15/2021					50,000			53,833
Kaiser Aluminum Corp., 8.25%, 6/1/2020					100,000			108,375
KGHM International Ltd., 144A, 7.75%, 6/15/2019					250,000			258,125
Novelis, Inc., 8.75%, 12/15/2020					490,000			531,650
Plastipak Holdings, Inc., 144A, 6.5%, 10/1/2021					100,000			101,750
PSPC Escrow Corp., 144A, 6.5%, 2/1/2022					65,000			68,494
Rain CII Carbon LLC, 144A, 8.0%, 12/1/2018					100,000			96,500
Reynolds Group Issuer, Inc.:
	5.75%, 10/15/2020				920,000			955,650
	6.875%, 2/15/2021				205,000			216,787
	8.25%, 2/15/2021				130,000			136,825
Sealed Air Corp.:
	144A, 4.875%, 12/1/2022				35,000			36,050
	144A, 5.125%, 12/1/2024				15,000			15,675
Signode Industrial Group Lux SA, 144A, 6.375%, 5/1/2022					75,000			73,875
Tronox Finance LLC, 6.375%, 8/15/2020					75,000			74,719
Turkiye Sise ve Cam Fabrikalari AS, 144A, 4.25%, 5/9/2020					200,000			195,250
Volcan Cia Minera SAA, 144A, 5.375%, 2/2/2022					420,000			400,260
WR Grace & Co-Conn:
	144A, 5.125%, 10/1/2021				30,000			31,050
	144A, 5.625%, 10/1/2024				15,000			16,125

								5,495,053
Telecommunication Services 14.4%
B Communications Ltd., 144A, 7.375%, 2/15/2021					105,000			112,350
Bharti Airtel International Netherlands BV, 144A, 5.125%, 3/11/2023					200,000			217,336
CenturyLink, Inc.:
	Series V, 5.625%, 4/1/2020				40,000			42,800
	Series N, 6.0%, 4/1/2017				500,000			535,000
	Series W, 6.75%, 12/1/2023				105,000			118,584
Cincinnati Bell, Inc.:
	8.375%, 10/15/2020				540,000			575,100
	8.75%, 3/15/2018				206,000			210,635
CommScope, Inc., 144A, 5.0%, 6/15/2021					95,000			96,188
Digicel Group Ltd.:
	144A, 7.125%, 4/1/2022				95,000			90,488
	144A, 8.25%, 9/30/2020				487,000			492,600
Digicel Ltd.:
	144A, 7.0%, 2/15/2020				200,000			205,000
	144A, 8.25%, 9/1/2017				530,000			543,250
Frontier Communications Corp.:
	6.25%, 9/15/2021				45,000			46,238
	6.875%, 1/15/2025				195,000			195,488
	7.125%, 1/15/2023				515,000			537,531
	8.25%, 4/15/2017				119,000			132,239
	8.5%, 4/15/2020				35,000			39,550
Hughes Satellite Systems Corp.:
	6.5%, 6/15/2019				275,000			300,438
	7.625%, 6/15/2021				90,000			99,900
Intelsat Jackson Holdings SA:
	5.5%, 8/1/2023				165,000			156,131
	7.5%, 4/1/2021				465,000			487,087
Intelsat Luxembourg SA:
	7.75%, 6/1/2021				255,000			236,194
	8.125%, 6/1/2023				35,000			32,550
Level 3 Financing, Inc.:
	5.375%, 8/15/2022				215,000			222,458
	6.125%, 1/15/2021				60,000			63,525
	7.0%, 6/1/2020				145,000			155,905
Millicom International Cellular SA, 144A, 4.75%, 5/22/2020					200,000			195,000
Sprint Communications, Inc.:
	144A, 7.0%, 3/1/2020				85,000			94,164
	144A, 9.0%, 11/15/2018				305,000			354,562
Sprint Corp., 7.125%, 6/15/2024					440,000			437,800
T-Mobile U.S.A., Inc.:
	6.125%, 1/15/2022				40,000			42,100
	6.625%, 11/15/2020				65,000			68,575
Turk Telekomunikasyon AS, 144A, 3.75%, 6/19/2019					500,000			501,250
UPCB Finance V Ltd., 144A, 7.25%, 11/15/2021					100,000			109,500
UPCB Finance VI Ltd., 144A, 6.875%, 1/15/2022					190,000			205,913
Wind Acquisition Finance SA, 144A, 6.5%, 4/30/2020					80,000			84,800
Windstream Corp.:
	6.375%, 8/1/2023				95,000			87,400
	7.5%, 4/1/2023				150,000			147,375
	7.75%, 10/15/2020				30,000			31,041
	7.75%, 10/1/2021				265,000			267,650
Zayo Group LLC, 144A, 6.0%, 4/1/2023					60,000			61,350

								8,633,045
Utilities 1.7%
Calpine Corp.:
	5.375%, 1/15/2023				85,000			86,275
	5.75%, 1/15/2025				85,000			86,700
Dynegy Finance I, Inc., 144A, 7.625%, 11/1/2024					15,000			15,919
Energy Future Holdings Corp., Series Q, 6.5%, 11/15/2024 *					110,000			102,300
Hrvatska Elektroprivreda, 144A, 6.0%, 11/9/2017					200,000			209,500
NGL Energy Partners LP, 5.125%, 7/15/2019					70,000			68,250
NRG Energy, Inc.:
	6.25%, 5/1/2024				285,000			290,700
	7.875%, 5/15/2021				80,000			86,960
RJS Power Holdings LLC, 144A, 5.125%, 7/15/2019					70,000			68,950

								1,015,554

Total Corporate Bonds (Cost $51,744,248)						51,326,277
	Government & Agency Obligations 7.6%
Other Government Related (c) 0.4%
VTB Bank OJSC, 144A, 6.315%, 2/22/2018					265,000			239,163
Sovereign Bonds 7.2%
Dominican Republic, 144A, 6.85%, 1/27/2045					100,000			106,500
Federative Republic of Brazil, 12.5%, 1/5/2016		BRL			625,000			220,718
Hazine Mustesarligi Varlik Kiralama AS, 144A, 2.803%, 3/26/2018					500,000			494,750
KazAgro National Management Holding JSC, 144A, 4.625%, 5/24/2023					250,000			216,240
Republic of Argentina-Inflation Linked Bond, 5.83%, 12/31/2033		ARS			481			178
Republic of El Salvador:
	144A, 6.375%, 1/18/2027				75,000			76,219
	144A, 7.65%, 6/15/2035				100,000			106,500
Republic of Hungary:
	4.0%, 3/25/2019				200,000			209,500
	6.5%, 6/24/2019	HUF			11,600,000			50,308
Republic of Indonesia, 144A, 3.375%, 4/15/2023					200,000			198,250
Republic of Panama, 9.375%, 1/16/2023					665,000			924,350
Republic of Poland, Series 0725, 3.25%, 7/25/2025		PLN			180,000			53,356
Republic of Slovenia:
	144A, 4.75%, 5/10/2018				200,000			215,000
	144A, 5.5%, 10/26/2022				500,000			573,230
Republic of Sri Lanka, 144A, 5.125%, 4/11/2019					200,000			200,500
Republic of Uruguay, 5.1%, 6/18/2050					140,000			145,320
Republic of Vietnam, 144A, 4.8%, 11/19/2024					200,000			210,000
United Mexican States:
	3.6%, 1/30/2025				200,000			206,000
	Series M, 4.75%, 6/14/2018	MXN			1,300,000			87,265
	Series M 20, 8.5%, 5/31/2029	MXN			650,000			53,863

								4,348,047

Total Government & Agency Obligations (Cost $4,621,862)						4,587,210
	Loan Participations and Assignments 41.1%
Senior Loans **
Consumer Discretionary 12.3%
Atlantic Broadband Finance LLC, Term Loan B, 3.25%, 11/30/2019					1,005,709			1,002,883
Avis Budget Car Rental LLC, Term Loan B, 3.0%, 3/15/2019					365,352			366,724
Cequel Communications LLC, Term Loan B, 3.5%, 2/14/2019					413,655			414,561
CSC Holdings, Inc., Term Loan B, 2.672%, 4/17/2020					1,155,916			1,153,263
Cumulus Media Holdings, Inc., Term Loan, 4.25%, 12/23/2020					178,635			177,826
Goodyear Tire & Rubber Co., Second Lien Term Loan, 4.75%, 4/30/2019					775,000			780,088
Hilton Worldwide Finance LLC, Term Loan B2, 3.5%, 10/26/2020					1,061,404			1,062,730
Petco Animal Supplies, Inc., Term Loan, 4.0%, 11/24/2017					143,048			143,173
Polymer Group, Inc., First Lien Term Loan, 5.25%, 12/19/2019					415,800			417,879
Quebecor Media, Inc., Term Loan B1, 3.25%, 8/17/2020					948,094			930,915
Seminole Tribe of Florida, Term Loan, 3.0%, 4/29/2020					930,150			930,731

								7,380,773
Consumer Staples 6.0%
Albertson's LLC, Term Loan B2, 5.375%, 3/21/2019					712,992			718,489
Big Heart Pet Brands, Term Loan, 3.5%, 3/8/2020					1,221,959			1,221,709
HJ Heinz Co., Term Loan B2, 3.5%, 6/5/2020					452,037			453,309
Pinnacle Foods Finance LLC:
	Term Loan G, 3.0%, 4/29/2020				317,792			316,556
	Term Loan H, 3.0%, 4/29/2020				729,460			726,987
Vogue International, Inc., Term Loan, 5.75%, 2/14/2020					163,763			164,786

								3,601,836
Energy 1.8%
MEG Energy Corp., Term Loan, 3.75%, 3/31/2020					648,308			626,026
Tallgrass Operations LLC:
	Term Delayed Draw, 4.44%, 11/13/2017				111,123			108,901
	Term Loan B, 5.438%, 11/13/2018				355,551			354,069

								1,088,996
Financials 0.9%
Asurion LLC, Second Lien Term Loan, 8.5%, 3/3/2021					140,000			141,487
Delos Finance SARL, Term Loan B, 3.5%, 3/6/2021					425,000			425,708

								567,195
Health Care 4.1%
Amsurg Corp., First Lien Term Loan B, 3.75%, 7/16/2021					218,900			219,585
Community Health Systems, Inc., Term Loan D, 4.25%, 1/27/2021					207,900			208,689
DaVita HealthCare Partners, Inc., Term Loan B, 3.5%, 6/24/2021					1,130,320			1,133,994
Par Pharmaceutical Companies, Inc., Term Loan B2, 4.0%, 9/30/2019					316,465			315,165
Valeant Pharmaceuticals International, Inc.:
	Term Loan B, 3.5%, 2/13/2019				291,407			291,437
	Term Loan B, 3.5%, 12/11/2019				275,431			275,346

								2,444,216
Industrials 3.7%
BE Aerospace, Inc., Term Loan B, 4.0%, 12/16/2021					250,000			250,989
Ply Gem Industries, Inc., Term Loan, 4.0%, 2/1/2021					993,719			981,506
Transdigm, Inc., Term Loan C, 3.75%, 2/28/2020					534,950			533,749
WP CPP Holdings LLC, First Lien Term Loan, 4.75%, 12/28/2019					443,335			444,000

								2,210,244
Information Technology 1.2%
First Data Corp., Term Loan, 4.172%, 3/24/2021					490,000			492,144
Freescale Semiconductor, Inc., Term Loan B4, 4.25%, 2/28/2020					138,947			138,898
Spansion LLC, Term Loan, 3.75%, 12/19/2019					70,421			70,297

								701,339
Materials 4.8%
American Rock Salt Holdings LLC, First Lien Term Loan, 4.75%, 5/20/2021					741,275			739,978
Axalta Coating Systems U.S. Holdings, Inc., Term Loan, 3.75%, 2/1/2020					529,012			525,981
Berry Plastics Holding Corp.:
	Term Loan D, 3.5%, 2/8/2020				738,722			736,923
	Term Loan E, 3.75%, 1/6/2021				304,001			304,226
MacDermid, Inc.:
	Term Loan B2, 4.75%, 6/7/2020				350,000			352,915
	First Lien Term Loan, 4.5%, 6/7/2020				226,550			227,768

								2,887,791
Telecommunication Services 3.4%
Crown Castle International Corp., Term Loan B, 3.0%, 1/31/2019					1,165,380			1,167,507
DigitalGlobe, Inc., Term Loan B, 3.75%, 1/31/2020					14,738			14,749
Level 3 Financing, Inc.:
	Term Loan B, 4.0%, 1/15/2020				485,000			485,788
	Term Loan B5, 4.5%, 1/31/2022				180,000			181,107
Syniverse Holdings, Inc., Term Loan B, 4.0%, 4/23/2019					208,447			206,363

								2,055,514
Utilities 2.9%
Calpine Corp., Term Loan B1, 4.0%, 4/1/2018					643,304			645,076
NRG Energy, Inc., Term Loan B, 2.75%, 7/2/2018					1,125,384			1,125,148

								1,770,224

Total Loan Participations and Assignments (Cost $24,734,395)						24,708,128
	Convertible Bond 0.3%
Materials
GEO Specialty Chemicals, Inc., 144A, 7.5%, 3/31/2015 (Cost $106,596)					105,307			181,918
	Preferred Security 0.3%
Materials
Hercules, Inc., 6.5%, 6/30/2029 (Cost $119,854)					175,000			157,500

				Shares				Value ($)
	Common Stocks 0.0%
Consumer Discretionary 0.0%
Dawn Holdings, Inc.* (d)			2					4,580
Industrials 0.0%
Congoleum Corp.*			2,000					0
Quad Graphics, Inc.			29					679

								679
Materials 0.0%
GEO Specialty Chemicals, Inc.*			1,741					1,155

Total Common Stocks (Cost $25,316)						6,414
	Preferred Stock 0.4%
Financials
Ally Financial, Inc., Series G, 144A, 7.0% (Cost $232,624)			243					244,860
	Warrants 0.0%
Materials
GEO Specialty Chemicals, Inc., Expiration Date 3/31/2015*			9,761					6,400
Hercules Trust II, Expiration Date 3/31/2029*			95					697

Total Warrants (Cost $20,980)						7,097

				Contract Amount				Value ($)
	Call Options Purchased 0.0%
Options on Interest Rate Swap Contracts
Pay Fixed Rate - 3.72% - Receive Floating - 3-Month LIBOR, Swap Expiration Date 4/22/2026, Option Expiration Date 4/20/20161 (Cost $9,870)			200,000					879

				Shares				Value ($)

	Cash Equivalents 2.0%
Central Cash Management Fund, 0.06% (e) (Cost $1,212,273)			1,212,273					1,212,273

				% of Net Assets				Value ($)

Total Investment Portfolio (Cost $82,828,018) †			137.1				82,432,556
Other Assets and Liabilities, Net			1.1				683,502
Notes Payable			(38.2)				(23,000,000)

Net Assets			100.0				60,116,058

For information on the Fund's policies regarding the valuation of investments and other significant accounting policies, please refer to the Fund's most recent semi-annual or annual financial statements.
The following table represents bonds that are in default:

Security	Coupon			Maturity Date	Principal Amount		Cost ($)		Value ($)
Energy Future Holdings Corp.*		6.5	%	11/15/2024	USD	110,000	65,665		102,300
Hellas Telecommunications Finance*		8.071	%	7/15/2015	EUR	109,187	32,169		0
								97,834		102,300

*	Non-income producing security.
**	Floating rate securities’ yields vary with a designated market index or market rate, such as the coupon-equivalent of the U.S. Treasury Bill rate. These securities are shown at their current rate as of February 28, 2015.
†	The cost for federal income tax purposes was $82,817,642. At February 28, 2015, net unrealized depreciation for all securities based on tax cost was $385,086. This consisted of aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost of $1,602,975 and aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value of $1,988,061.
(a)	Principal amount stated in U.S. dollars unless otherwise noted.
(b)	When-issued security.
(c)	Government-backed debt issued by financial companies or government sponsored enterprises.
(d)	The Fund may purchase securities that are subject to legal or contractual restrictions on resale ("restricted securities"). Restricted securities are securities which have not been registered with the Securities and Exchange Commission under the Securities Act of 1933. The Fund may be unable to sell a restricted security and it may be more difficult to determine a market value for a restricted security. Moreover, if adverse market conditions were to develop during the period between the Fund's decision to sell a restricted security and the point at which the Fund is permitted or able to sell such security, the Fund might obtain a price less favorable than the price that prevailed when it decided to sell. This investment practice, therefore, could have the effect of increasing the level of illiquidity of the Fund. The future value of these securities is uncertain and there may be changes in the estimated value of these securities.

Schedule of

Restricted Securities

Acquisition Date

Cost ($)

Value ($)

Value as %

of Net Assets

Dawn Holdings, Inc. *

August 2013

5,864

4,580

0.01

(e)	Affiliated fund managed by Deutsche Investment Management Americas Inc. The rate shown is the annualized seven-day yield at period end.
144A: Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.
LIBOR: London Interbank Offered Rate; 3-Month LIBOR rate as of February 28, 2015 was 0.26%.
REG S: Securities sold under Regulation S may not be offered, sold or delivered within the United States or to, or for the account or benefit of, U.S. persons, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933.
REIT: Real Estate Investment Trust
At February 28, 2015, open written options contracts were as follows:
Options on Interest Rate Swap Contracts

Swap

Effective/

Expiration

Date

Contract

Amount

Option

Expiration

Date

Premiums

Received ($)

Value ($) (f)

Call Options

Receive Fixed - 4.22% - Pay Floating – 3-Month LIBOR

4/22/2016

4/22/2026

200,000

4/20/2016

7,130

(367

)

(f)	Unrealized appreciation on written options on interest rate swap contracts at February 28, 2015 was $6,763.
At February 28, 2015, open credit default swap contracts sold were as follows:
Bilateral Swaps

Effective/ Expiration Date	Notional Amount ($) (g)			Fixed Cash Flows Received			Underlying Debt Obligation/ Quality Rating (h)	Value ($)		Upfront Payments Paid/ (Received) ($)		Unrealized Appreciation ($)

6/20/2013 9/20/2018		260,000	2		5.0	%	Sprint Communications, Inc., 6.0%, 12/1/2016, B+		20,884		10,989		9,895
12/22/2014 3/20/2020		100,000	3		5.0	%	General Motors Corp., 6.25%, 10/2/2043, BBB-		17,944		16,091		1,853

Total unrealized appreciation	11,748

(g)

The maximum potential amount of future undiscounted payments that the Fund could be required to make under a credit default swap contract would be the notional amount of the contract. These potential amounts would be partially offset by any recovery values of the referenced debt obligation or net amounts received from the settlement of buy protection credit default swap contracts entered into by the Fund for the same referenced debt obligation, if any.

(h)

The quality ratings represent the higher of Moody's Investors Service, Inc. ("Moody's") or Standard & Poor's Corporation ("S&P") credit ratings and are unaudited.

Counterparties:
1	Nomura International PLC
2	Bank of America
3	Credit Suisse
At February 28, 2015, the Fund had the following open forward foreign currency exchange contracts:

Contracts to Deliver

In Exchange For

Settlement

Date

Unrealized

Appreciation ($)

Counterparty

MXN

2,100,000

USD

141,999

3/31/2015

1,677

JPMorgan Chase Securities, Inc.

USD

139,669

MXN

2,100,000

3/31/2015

653

BNP Paribas

USD

69,859

MXN

1,050,000

3/31/2015

302

Barclays Bank PLC

PLN

200,000

USD

54,969

4/7/2015

1,103

BNP Paribas

USD

296,178

INR

18,600,000

4/22/2015

788

Commonwealth Bank of Australia

Total unrealized appreciation

4,523

Contracts to Deliver

In Exchange For

Settlement

Date

Unrealized

Depreciation ($)

Counterparty

MXN

3,150,000

USD

210,476

3/31/2015

)

BNP Paribas

USD

296,178

INR

18,600,000

5/11/2015

(318

)

Commonwealth Bank of Australia

Total unrealized depreciation

(324

)

Currency Abbreviations

ARS	Argentine Peso
BRL	Brazilian Real
EUR	Euro
HUF	Hungarian Forint
INR	Indian Rupee
MXN	Mexican Peso
PLN	Polish Zloty
USD	United States Dollar

Fair Value Measurements

Various inputs are used in determining the value of the Fund's investments. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, and credit risk). Level 3 includes significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments).The level assigned to the securities valuations may 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 February 28, 2015 in valuing the Fund's investments:

Assets	Level 1		Level 2			Level 3		Total
Fixed Income Investments (i)
Corporate Bonds	$	—	$	51,326,277		$	0	$	51,326,277
Government & Agency Obligations		—		4,587,210			—		4,587,210
Loan Participations and Assignments		—		24,599,227			108,901		24,708,128
Convertible Bond		—		—			181,918		181,918
Preferred Security		—		157,500			—		157,500
Common Stocks (i)		679		—			5,735		6,414
Preferred Stock		—		244,860			—		244,860
Warrants		—		—			7,097		7,097
Short-Term Investments		1,212,273		—			—		1,212,273
Derivatives (j)
Purchased Options		—		879			—		879
Credit Default Swap Contracts		—		11,748			—		11,748
Forward Foreign Currency Exchange Contracts		—		4,523			—		4,523

Total	$	1,212,952	$	80,932,224		$	303,651	$	82,448,827

Liabilities	Level 1		Level 2			Level 3		Total
Derivatives (j)
Written Options	$	—	$	(367	)	$	—	$	(367	)
Forward Foreign Currency Exchange Contracts		—		(324	)		—		(324	)

Total	$	—	$	(691	)	$	—	$	(691	)

There have been no transfers between fair value measurement levels during the period ended February 28, 2015.
(i)	See Investment Portfolio for additional detailed categorizations.
(j)	Derivatives include value of options purchased and written options, unrealized appreciation (depreciation) on credit default swap contracts and forward foreign currency exchange contracts.

Derivatives

The following table presents, by major type of derivative contract, the unrealized appreciation (depreciation) of the Fund's derivative instruments as of February 28, 2015 categorized by the primary underlying risk exposure.

Primary Underlying Risk Disclosure	Swaps		Forward Currency Contracts		Options
Credit Contracts	$	11,748	$	—	$	—
Foreign Exchange Contracts	$	—	$	4,199	$	—
Interest Rate Contracts	$	—	$	—	$	(2,228	)

ITEM 2.	CONTROLS AND PROCEDURES

	(a) The Chief Executive and Financial Officers concluded that the Registrant’s Disclosure Controls and Procedures are effective based on the evaluation of the Disclosure Controls and Procedures as of a date within 90 days of the filing date of this report.

	(b) There have been no changes in the registrant’s internal control over financial reporting that occurred during the registrant’s last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal controls over financial reporting.

ITEM 3.	EXHIBITS

	Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Registrant:	Deutsche Strategic Income Trust

By:	/s/Brian E. Binder Brian E. Binder President

Date:	April 22, 2015

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By:	/s/Brian E. Binder Brian E. Binder President

Date:	April 22, 2015



By:	/s/Paul Schubert Paul Schubert Chief Financial Officer and Treasurer

Date:	April 22, 2015