GABELLI FUNDS OPEN-END FUNDS - September 30, 2021
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
GABELLI FUNDS SHAREHOLDER C O M M E N TA RY OPEN-END FUNDS September 30, 2021
INTRODUCTION
GAMCO Investors, Inc. (NYSE: GBL) is widely recognized for its research-
driven, value-oriented investment process based on the principles first INVESTOR REL ATIONS TEAM
articulated in 1934 by the fathers of modern security analysis, Graham and
Dodd, and further augmented by Mario Gabelli with his introduction of the
concept of Private Market Value (PMV) with a CatalystTM to security analysis.
Our value investment approach focuses on individual stock selection by
identifying undervalued stocks that have a reasonable probability of realizing
their estimated PMV (price a strategic acquirer would be willing to pay for the
entire enterprise) over time. Catalysts are specific events or circumstances
with varying time horizons that can trigger a narrowing of the difference
between the market price of a stock and its PMV. Jason G. Swirbul
(914) 921-5496
As an example of our disciplined, long-term investment strategy at work,
jswirbul@gabelli.com
please see the Cumulative Total Return analysis for three of our long-term
BA, University of Vermont
holdings in the Asset Fund. MBA, University of Connecticut
Asset Fund – Selected stocks owned more than five years*
First Cumulative Total Return Annualized Return
Purchased Through September 30, 2021 Since Purchase
Berkshire Hathaway 1987 13,170% 15.6%
Deere & Co. 1991 9,097% 16.4%
AMETEK Inc. 1993 4,458% 17.1%
S&P 500 Index 11.2%**
*Source: Bloomberg Analytics **S&P 500 Annualized Return from 12/28/1987
Returns represent past performance and do not guarantee future results. Jennifer L. Esposito
914-921-5062
While our firm is best known for its value style, we have developed a diversified jesposito@gabelli.com
product mix to serve the objectives of a broad spectrum of investors. BA, Fordham University
GAMCO Asset Management Inc. was formed in 1977 to provide discretionary
investment management services for separately managed accounts. Gabelli
Funds, LLC began operation in 1986 with the initial offering of the Gabelli
Asset Fund. Today, Gabelli Funds offers a full range of investment choices,
from conservative fixed income funds to aggressive common stock funds.
Our team of investor representatives is dedicated to educating shareholders,
prospective investors and financial professionals about our investment
portfolios and can be reached by calling 800-GABELLI (800-422-3554) or by
e-mailing us at info@gabelli.com.
Ana Kostovic
(914) 921-7727
To contact our Wholesaling Team:
akostovic@gabelli.com
(800) 422-2274 | advisor@gabelli.com
BA, Syracuse University
To contact our Investor Relations Team:
(800) 422- 3554 | info@gabelli.com
2
TA B L E O F C O N T E N T S
Insights from your Growth Portfolio Managers...............................................................................................................4-5
Insights from your Value Portfolio Managers ...................................................................................................................... 6
Gabelli Funds (Class I Shares) and Benchmark Performance........................................................................................ 7
ETFs
Gabelli Growth Innovators ETF.......................................................................................................................................8-9
Gabelli Love Our Planet & People ETF................................................................................................................... 10-11
Value Funds
The Gabelli Asset Fund................................................................................................................................................. 12-13
The Gabelli Small Cap Growth Fund....................................................................................................................... 14-15
The Gabelli Equity Income Fund .............................................................................................................................. 16-17
The Gabelli Value 25 Fund Inc. ................................................................................................................................. 18-19
The Gabelli Global Rising Income & Dividend Fund ......................................................................................... 20-21
The Gabelli Focused Growth and Income Fund ................................................................................................ 22-23
The Gabelli Dividend Growth Fund ........................................................................................................................ 24-25
The Gabelli Global Mini Mites Fund ........................................................................................................................ 26-27
Growth Funds
The Gabelli Growth Fund............................................................................................................................................. 28-29
The Gabelli Global Growth Fund ............................................................................................................................. 30-31
The Gabelli International Growth Fund, Inc. ....................................................................................................... 32-33
The Gabelli International Small Cap Fund............................................................................................................. 34-35
Specialty Funds
The Gabelli U.S. Treasury Money Market Fund.................................................................................................... 36-37
The Gabelli Utilities Fund............................................................................................................................................. 38-39
The Gabelli ABC Fund .................................................................................................................................................. 40-41
The Gabelli Gold Fund, Inc.......................................................................................................................................... 42-43
Gabelli ESG Fund ........................................................................................................................................................... 44-45
Gabelli Enterprise Mergers & Acquisitions Fund ............................................................................................... 46-47
The Gabelli Global Content & Connectivity Fund ............................................................................................. 48-49
The Gabelli Global Financial Services Fund.......................................................................................................... 50-51
Gabelli Media Mogul Fund........................................................................................................................................... 52-53
Gabelli Pet Parents’ Fund............................................................................................................................................ 54-55
Performance – Value Funds............................................................................................................................................... 56-57
Performance – Growth Funds..................................................................................................................................................58
Performance – Specialty Funds...............................................................................................................................................59
Your Portfolio Management Team................................................................................................................................... 60-61
Directors / Trustees.....................................................................................................................................................................62
Officers / Investment Adviser / Notes & Important Information...............................................................................63
3
Insights from your Growth Portfolio Managers
Slowing growth, surging inflation, supply chain bottlenecks, and the spread of the COVID Delta variant dominated third quarter
2021 investment discussions. While the S&P 500 Index eked out a nominal gain, the Dow Jones Industrial Average and NASDAQ
slipped into negative territory. These major averages fell about 5% in September, marking the worst monthly decline since
March of 2020. The Russell 1000 Growth Index bested the major averages, albeit with a skimpy 1.2% quarterly return. All of the
aforementioned averages returned in the low double digits for the nine months ended September 30.
The summer surge in COVID-19 exceeded expectations, likely due to lower than anticipated vaccination rates in certain regions
of the country. Combined with continued supply chain disruptions and rising costs in materials and labor, the economic
reopening has been uneven across industries and regions. Given the confluence of headwinds, we would not be surprised to
see some degree of negative earnings revisions as companies report earnings and issue guidance over the next few weeks.
Meanwhile, there is ongoing speculation regarding the timing and pace of the Federal Reserve’s anticipated tapering and
tightening. It has been ten years since inflation was north of 3% (3.2% CPI in 2011). Today, the CPI is running closer to 5%. The
Fed’s preferred gauge, the Personal Consumption Expenditure Deflator Index, is about 4%. You may recall the Fed is targeting
a 2% average over time. The Fed has shown a willingness to let inflation run high in the short term in the name of job creation.
Fed Chair Powell has been steadfast in his belief that the surge in inflation is due to temporary factors and therefore transitory.
More recently, Powell has described the inflation surge as “frustrating,” which provided some ammunition for skeptics who
believe the Fed is behind the ball. The inflation debate has begun to weigh on the markets. We have not had a 10% decline, or
“correction” since the advance in stocks began over 18 months ago, so we are due for a setback. However, bull markets do not
typically end until earnings have peaked. We do not think a peak in earnings is coming soon. S&P 500 earnings are expected
to grow 22% in 2021 and over 9% in each of the next two years.
Ultimately, the Fed needs to allow the yield curve to normalize by ending QE and raising rates to create conditions for a positive
real rate of interest. Negative real rates, which we have today (1.5% 10-year U.S. Treasury yield less 4% inflation = -2.5% real
yield), are inherently inflationary. The Fed faces a unique conundrum as high unemployment is coinciding with high inflation,
a stark contrast to most economic crises, which are historically characterized by high unemployment and low inflation. Given
these rare circumstances, the Fed is forced to make a trade-off within the framework of their dual mandate (stable prices and
maximum employment). As Powell has repeated ad nauseam, the Fed is prioritizing employment, under the assumption that
inflation is mostly transitory. The unemployment rate is 5.2%, and it is expected to steadily decline to 4.0% by the end of next
year. A full 2% of the important 25- to 54-year-old work force cohort has not returned to work since COVID-19 shut down the
THE FED FACES A UNIQUE CONUNDRUM AS HIGH UNEMPLOYMENT IS
COINCIDING WITH HIGH INFLATION, A STARK CONTRAST TO
MOST ECONOMIC CRISES, WHICH ARE HISTORICALLY
CHARACTERIZED BY HIGH UNEMPLOYMENT AND LOW INFLATION.
4
economy and the shortage of workers is constraining growth. Fortunately, the most recent initial unemployment claims show
improvement as extended unemployment benefits expire. Ideally, this will translate into job growth and reduce wage pressure.
But for the time being, inflation continues to surprise to the upside while the economy is beginning to slow. Expectations for
GDP growth this year are now 5.9% after being as high as 7% earlier this year. Quarterly growth peaked in Q2 at a 6.7% quarter
over quarter annualized rate and 12.2% year over year. According to The Bloomberg Survey, GDP growth should slow to 4.1%
next year (the Fed is forecasting 3.8%) and 2.4% in 2023. Inflation has also likely peaked but remains much higher than the
Fed’s 2% target. Inflation is expected to register 4.3% for this year and decline to 3.0% and 2.3% in 2022 and 2023, respectively.
WE ATTEMPT TO MITIGATE INTEREST RATE RISK BY MAINTAINING
BALANCED EXPOSURE ACROSS INDUSTRIES AND EMPHASIZING
BUSINESSES WITH IDIOSYNCRATIC FUNDAMENTAL DRIVERS
THAT WE BELIEVE TO BE MISUNDERSTOOD BY THE MARKET.
The Fed has signaled it will commence tapering this quarter and end Quantitative Easing sometime next year. Half of the Fed’s 22
governors are forecasting rate hikes beginning next year. The Fed’s goal is to engineer a soft landing, which will require surgical
precision. The Fed will need to perform a delicate balancing act of reducing stimulus gradually to avoid short-circuiting an already
slowing economy, while acting with just enough urgency to stomp out excess inflation. A policy error that leads to a surge in
rates will have consequences for stocks and the economy. Fortunately, the digital transformation investments we have seen, and
continue to see, since the start of the pandemic should drive productivity growth, an underappreciated deflationary force.
We are extremely mindful that growth stocks are more sensitive to interest rates by nature of their higher multiples. Growth
stocks are, by definition, long duration assets whose present values are determined by the discounted value of expected
future cash flows. A material increase in interest rates would reduce the present value of those future cash flows. Given what
has become the consensus call of “higher rates,” it might be tempting to try to time the style changes in market leadership.
However, we believe that type of investment strategy is error prone, especially for taxable investors. The economy today is
simply too dynamic to forecast the direction of interest rates, not to mention the timing, with any precision. Rather, we attempt
to mitigate interest rate risk by maintaining balanced exposure across industries and emphasizing businesses with idiosyncratic
fundamental drivers that we believe to be misunderstood by the market. We then identify the catalyst path for each stock,
which will force the market’s perception of a business to converge with our own within a reasonable time frame. Lastly, our
valuation framework enforces a high hurdle rate for the expected return on our stocks, particularly those trading at higher
multiples. This investment process results in a portfolio of competitively advantaged businesses in secular growth industries
with earnings growth potential that we believe will outweigh a potentially higher interest rate regime over the long term.
– Howard F. Ward, CFA & Christopher D. Ward, CFA
5
Insights from your Value Portfolio Managers
In the third quarter of 2021, the stock market posted mixed results, with the S&P 500 Index gaining just 0.6% while the Russell
3000 Value Index declined 0.9%. July and August saw positive results, led again by the “Big Five” companies that comprise
roughly 25% of the S&P, but September saw a sharp reversal, with the market down 4.7% for the month.
The downturn was caused by a confluence of factors. The surging Delta COVID-19 variant in the U.S. and around the world led to
the tempering of economic growth forecasts, just when companies are facing increasingly difficult year over year comparisons
for financial results as they contend with worsening inflation and supply chain issues. Political uncertainty has ticked up, as
passage of President Biden’s proposed broad $3.5 trillion infrastructure and social spending plan has become questionable,
and it is even unclear if the smaller bipartisan $1.5 trillion package will pass. The programs would also likely require substantial
tax increases, which would have further negative implications for the economy. At the same time, the deadline to lift the
national debt ceiling loomed in October (albeit now pushed to early December). Finally, after twenty years, the U.S. hastily
withdrew troops from Afghanistan, leading to increased bloodshed as the Taliban retook control of the country and causing U.S.
geopolitical leadership to be questioned.
Near the end of the quarter, markets were briefly rattled by the prospect of contagion from a possible bankruptcy of Chinese
property developer Evergrande. Perhaps most important, the Fed confirmed it will begin its long awaited taper of asset
purchases towards the end of the year, leading the 10-year U.S. Treasury yield to increase to 1.5%. An increased discount rate
tends to correlate to a lower multiple for the market, and share prices for the Big Five declined swiftly in tandem. So-called
“value” stocks also declined in September, but at a lower level, as the tug of war between growth and value that has transpired
over the last year continued.
We continue to use bottom-up research to seek excellent businesses that are trading materially below Private Market Value with
one or more catalysts in place to surface value. We are pleased to see that M&A and financial engineering activity continues to
rise, and we expect there will be more to come. We hold a diversified portfolio of quality companies that, even if in different
industries, share many attributes: revenue growth prospects, high and growing margins, strong free cash flow generation, and
pricing power, especially important today with the recent resurgence in inflation. We don’t buy the market – we are bottom-up
investors and buy individual stocks, and we are bullish on the prospects for our holdings.
– Christopher J. Marangi & Kevin V. Dreyer
WE CONTINUE TO USE BOTTOM-UP RESEARCH TO SEEK
EXCELLENT BUSINESSES THAT ARE TRADING MATERIALLY
BELOW PRIVATE MARKET VALUE WITH ONE OR MORE
CATALYSTS IN PLACE TO SURFACE VALUE
6
GABELLI FUNDS (CLASS I SHARES) AND BENCHMARK PERFORMANCE
Through September 30, 2021 (a) (b) (unaudited)
Total returns and average annual returns reflect changes in share price, reinvestment of distributions, and are net of expenses.
Annualized Average Annualized Returns Annual
Annualized Benchmark Inception
Fund Name Gross/Net
Return Since Return Since Date Net Assets
Primary Benchmark 1 3 5 10 Expense
Inception Inception Year Year Year Year Ratio (c)
VALUE
Gabelli Asset Fund
11.84% 11.08% 03/03/86 30.40% 10.18% 11.90% 12.61% 1.08%/1.08% $2.2 billion
S&P 500 Index
Gabelli Small Cap Growth Fund
12.39 N/A (d) 10/22/91 42.51 9.76 11.61 13.24 1.15/1.15 $1.9 billion
S&P SmallCap 600 Index
Gabelli Equity Income Fund
Lipper Equity Income Fund 9.96 8.78 01/02/92 31.71 9.71 10.06 11.29 1.18/1.18 $581 million
Average
Gabelli Value 25 Fund
10.02 10.47 09/29/89 34.31 6.99 8.75 10.48 1.20/1.04 $328 million
S&P 500 Index
Gabelli Global Rising and
Income Dividend Fund 5.30 8.18 02/03/94 36.32 7.94 9.15 7.33 1.40/0.90 $60.7 million
MSCI World Index
Gabelli Focused Growth and
Income Fund 7.82 11.78 12/31/02 46.21 9.89 6.50 10.30 1.46/0.80 (f) $40.2 million
S&P MidCap 400 Index
Gabelli Dividend Growth Fund
Lipper Large Cap Value Fund 6.74 6.36 08/26/99 36.29 10.94 11.06 11.75 1.99/1.00 $23.2 million
Average
Gabelli Global Mini Mites Fund
S&P Developed SmallCap 9.96 10.78 10/01/18 59.31 – – – 3.67/0.91 $6.7 million
Index
GROWTH
Gabelli Growth Fund
11.58% 10.90% 04/10/87 22.80% 20.08% 22.36% 19.22% 1.09%/1.09% $1.1 billion
Russell 1000 Growth Index
Gabelli Global Growth Fund
10.56 7.93 02/07/94 23.43 19.41 19.95 16.76 1.25/0.93 $219 million
MSCI AC World Index
Gabelli International
Growth Fund 7.19 5.85 06/30/95 16.16 11.49 10.69 8.75 1.95/1.00 $27.1 million
MSCI EAFE Index
Gabelli International Small Cap
Fund 7.15 8.50 05/11/98 19.61 9.80 9.25 9.57 2.50/0.93 $10.9 million
MSCI EAFE Small Cap Index
SPECIALTY
Gabelli Utilities Fund
7.50% 7.20% 08/31/99 19.19% 6.03% 6.32% 7.97% 1.11%/1.11% $2.0 billion
S&P 500 Utilities Index
Gabelli ABC Fund (e)
ICE Bank of America 3 Month 5.29 2.43 05/14/93 5.74 3.13 2.78 3.15 0.77/0.77 $712 million
U.S. Treasury Bill Index
Gabelli Gold Fund
4.86 1.83 07/11/94 (23.28) 18.04 1.28 (2.89) 1.24/1.24 $340 million
NYSE Arca Gold Miners Index
Gabelli ESG Fund
7.39 9.70 06/01/07 34.92 12.08 9.55 10.15 1.66/0.90 $39.7 million
S&P 500 Index
Gabelli Enterprise M&A (e)
5.00 8.34 02/28/01 18.76 5.04 5.43 5.95 1.46/1.04 $91.1 million
S&P 500 Index
Gabelli Global Content &
Connectivity 7.44 8.10 11/01/93 24.12 9.10 7.82 7.83 1.42/0.91 $82.7 million
MSCI AC World Index
Gabelli Global Financial
Services Fund 7.37 9.71 10/01/18 69.45 – – – 1.94/1.00 $24.8 million
MSCI World Financials Index
Gabelli Media Mogul Fund
5.46 17.19 12/01/16 36.38 4.04 – – 4.27/0.96 $5.6 million
S&P 500 Index
Gabelli Pet Parents Fund
18.06 16.59 06/19/18 30.44 18.56 – – 4.44/0.90 $5.8 million
S&P 500 Index
(a) The Funds impose a 2.00% redemption fee on shares sold or exchanged within seven days after the date of purchase; this fee is not reflected in these returns.
(b) The performance of the Class AAA Shares is used to calculate performance for the periods prior to the issuance of Class I Shares. The performance for the
Class I Shares would have been higher due to the lower expenses associated with this class of shares.
(c) Expense ratios are as of the most recent financial statements. Net expense ratios are net of adviser’s fee waivers and/or expense reimbursements.
(d) S&P SmallCap 600 Index inception date is December 31, 1994.
(e) Class AAA shares for Gabelli ABC Fund and Class Y shares for Gabelli Enterprise M&A.
(f) Reflects changes to current prospectus dated January 28, 2021.
Returns represent past performance and do not guarantee future results. Investment returns and the principal value of an investment will fluctuate. When shares
are redeemed, they may be worth more or less than their original cost. Current performance may be lower or higher than the performance data presented. Visit
www.gabelli.com for performance information as of the most recent month end.
7
GABELLI GROWTH INNOVATORS ETF
P ORTFO L I O M ANAGEMENT T EAM: Howard F. Ward, CFA, Christopher D. Ward, CFA
PORTFOLIO OBSERVATIONS
Semiconductor company ASML (2.8% of net assets as of September 30, 2021) hosted an Analyst Day on September 29,
2021. Management highlighted the megatrends driving lithography demand, including cloud, 5G, artificial intelligence, edge
computing, gaming and simulation. ASML and its supply chain partners are actively adding capacity to meet robust demand.
The increased global emphasis on technological sovereignty is expected to drive increased capital intensity, and ASML expects
lithography to grow faster than the total Wafer Fab Equipment (WFE) market driven by extreme ultraviolet (EUV) lithography.
Elsewhere in semis, Marvell (1.4%) hosted an Analyst Day on October 6, 2021, which highlighted the company’s opportunities
across Cloud, 5G and Automotive as the leading player in data infrastructure. Marvell is uniquely positioned across computing,
networking, storage, security and electro-optics. Marvell is leveraging its broad IP to partner with customers in building
optimized silicon, a trend that Marvell believes is the future of the industry.
One notable theme from the most recent earnings cycle was the accelerated bookings growth in back office enterprise software
applications, including Workday (1.1%) and Anaplan (1.3%). Certain back office applications were deprioritized in the heat of the
pandemic, as Chief Information Officers (CIOs) emphasized productivity and collaboration software. The demand environment
has since improved as CIOs are now prepared to take on broader digital transformation projects. We expect continued bookings
improvement to drive a re-rating of shares closer to high growth Software-as-a-Service peers. Workday’s recent Analyst
Day highlighted the business’s long runway for growth, with just 11% penetration into its addressable customer base and an
incremental $10 billion revenue opportunity from expanding wallet share within its installed base.
COMPARATIVE RESULTS
Total Returns through September 30, 2021
Total returns and average annual returns reflect changes in share price, reinvestment of distributions, and are net of expenses.
Performance returns for periods of less than one year are not annualized.
Since Inception
Gabelli Growth Innovators ETF (GGRW) Quarter Six Months
(02/12/21) (a)
NAV Total Return 1.16% 14.35% 1.79%
Investment Total Return 1.23 14.46 1.96
Nasdaq Composite Index (b) (0.23) 9.43 2.94
(a) The Fund first issued shares February 12, 2021, and shares commenced trading on the NYSE ARCA February 16, 2021.
(b) Nasdaq Composite Index is an unmanaged indicator of stock market performance. Dividends are considered reinvested. You cannot invest
directly in an index.
In the current prospectus of the Gabelli ETFs Trust dated February 11, 2021, the expense ratio for the Fund was 0.90%.
Investors should carefully consider the investment objectives, risks, charges, and expenses of the Fund before investing. The prospectus contains
information about these and other matters and should be read carefully before investing. To obtain a prospectus, please visit our website at
www.gabelli.com/funds/etfs.
Returns represent past performance and do not guarantee future results. Investment returns and the principal value of an investment will fluctuate.
When shares are sold or redeemed, they may be worth more or less than their original cost. Current performance may be lower or higher than the
performance data presented. Visit www.gabelli.com/funds/etfs for performance information as of the most recent month end.
8
G A B E L L I G R O W T H I N N OVATO R S E T F
Among the top contributors for the quarter were Snowflake (3.1%),
Alphabet (7.3%), and ServiceNow (3.7%). Snowflake reported Q2 2022 SELECTED HOLDINGS*
product revenue growth of +103% year-over-year and a net retention • Amazon.com Inc. 9.2%
rate that accelerated quarter-over-quarter to +169%. With a revenue run
• Alphabet Inc. 7.3
rate of over $1 billion, Snowflake is demonstrating a rare combination of
• NVIDIA Corp. 5.1
growth, scale, and attractive unit economics. Importantly, we continue
to see early evidence of network effect stemming from the adoption of • Facebook Inc. 4.7
Snowflake’s Data Cloud. Alphabet reported a strong rebound in revenue • Microsoft Corp. 4.6
growth, +62% year-over-year, as the company lapped its weakest quarter
• Visa Inc. 4.1
from a year ago. Alphabet will continue to benefit from the recovery in
• ServiceNow Inc. 3.7
ad spending, while its portfolio of non-advertising businesses (Cloud,
Play, Waymo, Verily) provide option value. ServiceNow reported a • ZoomInfo Technologies Inc. 3.5
strong quarter with accelerating net new average contract value (ACV) • Cloudflare Inc. 3.3
growth. ServiceNow remains at the epicenter of large enterprise digital • CrowdStrike Holdings Inc. 3.3
transformation, stitching together disparate systems of record and
*Percent of net assets as of September 30, 2021.
automating workflows across the enterprise.
Our top detractor this quarter was Amazon (9.2%). Amazon issued softer than expected guidance for Q3 2021. Amazon’s
e-commerce business will face a tough comp from a year ago, while consumers have become more mobile with growing
vaccination rates. Amazon’s high margin businesses (cloud, advertising) continue to outperform, but Amazon is investing these
profits into capacity, to catch up to outsized demand, but also new initiatives, such as one day shipping. Ultimately, we are less
concerned about near-term comps and believe Amazon is one of the few e-commerce platforms that can retain the nearly 50
million Prime subscribers they acquired over the course of the pandemic. Amazon’s investments in fulfillment and logistics are
supportive of a larger enterprise in the future. We believe patient investors will be rewarded.
9
GABELLI LOVE OUR PLANET & PEOPLE ETF
P ORTFO L I O M ANAGEMENT T EAM: Christopher J. Marangi, Melody Prenner Bryant, Timothy M. Winter, CFA
In an effort to encourage investment, the first $100 million invested in LOPP will incur no fees or expenses for at least one
year. We are privileged to absorb all costs in an effort to underscore our emphasis on the environment, and to help our
clients invest in the future of planet earth and our people.
SUSTAINABILIT Y INVESTING
Love Our Planet & People launched in February 2021 to focus on the “E” in ESG (Environmental Social & Governance)
investing. Gabelli Funds has long been committed to a belief that the pursuit of profits and the support of our planet and all
of its inhabitants can be self-reinforcing. LOPP’s focus on themes including renewable energy, the reduction and recycling
of long lived wastes, clean mobility, water purity, and building efficiency reflects this mandate.
An ETF is a fund traded on a stock exchange. In 2019, the SEC approved an ETF structure called ActiveShares that allows us
to offer our strategies in a vehicle that combines the attributes of mutual funds and ETFs, including potentially greater tax
efficiency.
The LOPP team has extensive experience researching and investing in companies involved in forward looking sectors, including
renewable power generation (wind, solar, water), electric transmission and storage, electric mobility, waste reduction and
recycling, water conservation and treatment, and human nutrition. While many ESG funds follow indices or algorithmic
factors, our process reflects our in-depth knowledge of industry practices, close relationships with corporate managements,
and a deep understanding of each company in which we invest.
COMPARATIVE RESULTS
Total Returns through September 30, 2021
Total returns reflect changes in share price, reinvestment of distributions, and are net of expenses.
Performance returns for periods of less than one year are not annualized.
Since Inception
Gabelli Love Our Planet & People ETF (LOPP) (a) Quarter Six Months
(01/29/21) (b)
NAV Total Return (1.38)% 3.93% 10.63%
Investment Total Return (1.25)% 3.90 10.84%
S&P 500 Index (c) 0.58 9.18 17.10
(a) Returns would have been lower had Gabelli Funds, LLC, (the “Adviser”) not reimbursed certain expenses of the Fund.
(b) The Fund first issued shares January 29, 2021, and shares commenced trading on the NYSE ARCA February 1, 2021.
(c) The S&P 500 Index is a market capitalization weighted index of 500 large capitalization stocks commonly used to represent the U.S.
equity market. Dividends are considered reinvested. You cannot invest directly in an index.
In the current prospectus of Gabelli Love Our Planet & People ETF dated January 19, 2021, the gross expense ratio for the Fund was
0.90%.The net expense ratio for the Fund after the contractual waiver by the Adviser was 0.00%. The waiver is in effect through
January 28, 2022.
Investors should carefully consider the investment objectives, risks, charges, and expenses of the Fund before investing. The prospectus
contains information about these and other matters and should be read carefully before investing. To obtain a prospectus, please visit
our website at www.gabelli.com/funds/etfs.
Returns represent past performance and do not guarantee future results. Investment returns and the principal value of an investment will
fluctuate. When shares are sold or redeemed, they may be worth more or less than their original cost. Current performance may be lower or
higher than the performance data presented. Visit www.gabelli.com/funds/etfs for performance information as of the most recent month end.
10G A B E L L I LOV E O U R P L A N E T & P E O P L E E T F
INVESTMENT SCORECARD
SELECTED HOLDINGS*
LOPP’s two recycling and waste management holdings, Republic
Services (+10%, 2.3% of net assets as of September 30, 2021) and • CNH Industrial NV 4.4%
Waste Connections (+6%, 3.8%), were the two largest contributors • Avangrid 4.0
to third quarter returns as they reported improving margin and • Waste Connections Inc. 3.8
volume trends. Their pricing power, conferred by the utility-
• ABB Ltd. 3.8
like nature of their services and substantial investment in scarce
disposal capacity, should leave them less vulnerable to an uptick • Johnson Controls International 3.7
in inflation. Evoqua Water Technologies (+11%, 1.6%) should benefit • Alphabet Inc. 3.4
from increased investment, including through federally-backed • Weyerhaeuser Co. 3.4
funding, in water infrastructure. Finally, Ranpack Corp. (+7%, 2.3%)
• General Motors Co. 3.2
continues to benefit from consumer preferences for environmentally
conscious packaging materials. Detractors from performance Resideo • IHS Markit Ltd. 3.2
Technologies (-17%, 2.1%), General Motors (-11%, 3.2%) and Timken • Air Products & Chemicals Inc. 3.1
(-18%, 1.3%) all faced concerns about supply chain constraints that *Percent of net assets as of September 30, 2021.
threaten to compress margins and leave them unable to meet robust
demand for their products.
At the beginning of February, Gabelli Funds launched the Love Our Planet & People ETF (NYSE: LOPP), an actively managed ETF focused on the “E”
in ESG (Environmental Social & Governance) investing. The Fund invests in renewables, batteries, water infrastructure, the recycling of plastics, and
other sustainable practices essential to the planet’s future and people. Gabelli Funds followed on February 16, 2021 with the Gabelli Growth Innovators
Fund (NYSE: GGRW). GGRW invests in businesses both enabling and benefiting from the digital economy. Digital transformation is accelerating as
organizations invest to become more agile, more secure, and more data-driven.
Other ETFs that Gabelli Funds anticipates launching include the Gabelli Financial Services ETF, the Gabelli Micro Cap ETF, the Gabelli Small Cap
Growth ETF, the Gabelli Small & Mid Cap ETF, the Gabelli Micro Cap ETF, the Gabelli Asset ETF, the Gabelli Equity Income ETF, and the Gabelli Green
Energy ETF. Fund teams and launch dates have not been finalized.
The actively managed ETF format is an additional vehicle for investors to access the Gabelli research-driven investment process.
These funds differ from traditional ETFs. For additional information regarding the unique attributes and risks of the ETF, see the ActiveShares
prospectus at www.gabelli.com/funds/etfs.
For more information, visit www.gabelli.com/funds/etfs/intro
Distributed by G.distributors, a registered broker dealer and member of FINRA.
This is not an offer or solicitation to buy or sell a security. Please read the Prospectus, including the Risk Discussion, carefully to understand the attributes
and risks of these ETFs before investing.
These ETFs are different from traditional ETFs. Traditional ETFs tell the public what assets they hold each day. These ETFs will not. This may create
additional risks for your investment. For example:
• You may have to pay more money to trade the ETFs’ shares. These ETFs will provide less information to traders, who tend to charge more for trades
when they have less information.
• The price you pay to buy ETF shares on an exchange may not match the value of the ETF’s portfolio. The same is true when you sell shares. These
price differences may be greater for these ETFs compared with other ETFs because it provides less information to traders.
• These additional risks may be even greater in bad or uncertain market conditions. The differences between these ETFs and other ETFs may also have
advantages. By not disclosing certain information about the ETF, these ETFs may face less risk that other traders can predict or copy its investment
strategy. This may improve the ETF’s performance. If other traders are able to copy or predict the ETF’s investment strategy however, this may
hurt the ETF’s performance. For additional information regarding the unique attributes and risks of the ETF, see the ActiveShares prospectus/
registration statement.
You should consider the ETF’s investment objectives, risks, charges and expenses carefully before you invest. The ETF’s Prospectus is available from
G.distributors, LLC, a registered broker-dealer and FINRA member firm, and contain this and other information about the ETFs, and should be read
carefully before investing. To obtain a Prospectus, please call 888-GABELLI or visit https://www.gabelli.com/funds/etfs/intro
11THE GABELLI ASSET FUND
All Cap Portfolio Built on PMV with a CatalystTM
P ORTFO L I O M ANAGEMENT T EAM: Mario J. Gabelli, CFA, Christopher J. Marangi, Kevin V. Dreyer,
Brian C. Sponheimer, Melody P. Bryant, Jeffrey J. Jonas, CFA,
Sarah Donnelly
INVESTMENT SCORECARD
Herc Holdings (0.5% of net assets as of September 30, 2021) (+46%), PORTFOLIO HIGHLIGHTS
Sony (2.7%) (+14%), and Republic Services (1.6%) (+9%) were the three
primary contributors to portfolio performance during the third quarter. Total Net Assets: $2.2 Billion
Herc Holdings hosted an investor day in late September during which NAV (Class I): $60.44
the company highlighted positive secular growth trends in the rental
equipment industry, expressing the potential to grow their rental revenue Turnover: (a) 2%
by 12%-15% and improve profit margins over the next three to five years.
Inception Date: 03/03/86
Sony hosted a PlayStation Showcase in early September, which revealed
that the company’s studios are working on a robust pipeline of games Expense Ratio: (b) 1.08%
for the PlayStation 5. Over the next two years, Sony is set to release
(a) For the six months ended June 30, 2021.
sequels to its highest selling video game franchises, such as Spiderman
(b) As of the June 30, 2021 semiannual financial
and God of War, along with new franchises such as Marvel’s Wolverine. statements.
The quarter also saw the IPO of Universal Music, one of Sony Music’s
main competitors, which led investors to reevaluate positively the
value of Sony’s Music division. Republic Services reported solid second
quarter results that highlighted improvements in gross margins as well SHARE CL ASS (c) SYMBOL
as notable strength in volumes. The company has high pricing power
and can leverage M&A opportunities to help drive sustained accretive Class AAA: GABAX
inorganic growth. Class A: GATAX
Class I: GABIX
Brown-Forman (2.4%) (-11%) shares declined in the third quarter as
(c) Another class of shares is available.
investors reacted to the company’s operating results for the year ended
COMPARATIVE RESULTS
Average Annual Returns through September 30, 2021 (a)
Total returns and average annual returns reflect changes in share price, reinvestment of distributions, and are net of expenses.
Performance returns for periods of less than one year are not annualized.
Since Inception
Gabelli Asset Fund QTR 1 Year 5 Year 10 Year 15 Year
(03/03/86)
Class I (GABIX) (b) (2.18)% 30.40% 11.90% 12.61% 8.99% 11.84%
S&P 500 Index (c) 0.58 30.00 16.90 16.63 10.37 11.08
(a) Other classes of shares are available, with different characteristics. For additional information please contact your financial advisor or call
800-GABELLI.
(b) Returns would have been lower had Gabelli Funds, LLC (the “Adviser”) not reimbursed certain expenses of the Fund for periods prior to December
31, 1988. The Class AAA Share NAVs are used to calculate performance for the period prior to the issuance of Class I Shares on January 11, 2008.
The actual performance of the Class I Shares would have been higher due to lower expenses related to this class of shares. The Fund imposes a 2%
redemption fee on shares sold or exchanged within seven days of purchase.
(c) The S&P 500 Index is a market capitalization weighted index of 500 large capitalization stocks commonly used to represent the U.S. equity market.
Dividends are considered reinvested. You cannot invest directly in an index. S&P 500 Index since inception performance is as of February 28, 1986.
In the current prospectuses dated April 30, 2021, the expense ratio for Class I Shares is 1.11%. Class I Shares do not have a sales charge.
Returns represent past performance and do not guarantee future results. Investment returns and the principal value of an investment will fluctuate. When
shares are redeemed, they may be worth more or less than their original cost. Current performance may be lower or higher than the performance data
presented. Visit www.gabelli.com for performance information as of the most recent month end.
12THE GABELLI ASSET FUND
April 30, 2021, which reflected accelerating volume and revenue growth
trends offset by weaker than expected margins. Margins are being SELECTED HOLDINGS*
pressured by higher raw material costs (mainly glass, wood, and agave),
tariffs on American whiskey in the European Union, and general supply • AMETEK Inc. 2.8%
chain disruption. While these cost pressures are likely to persist in the • Sony Group Corp. 2.7
near term, Brown-Forman continues to deliver best-in-class revenue
• Swedish Match AB 2.6
growth from its on-trend portfolio anchored in premium American
whiskey and tequila. AMETEK (2.8%) (-7%) shares declined during the • Deere & Co. 2.6
quarter as the company indicated on its earnings call that raw material, • Brown-Forman Corp. 2.4
freight, and labor inflation continue to increase. Nonetheless, the
pricing power of AMETEK’s niche businesses are enabling the company • CNH Industrial N.V. 2.3
to raise prices and maintain a positive price-cost spread on a full year • Berkshire Hathaway Inc. 1.9
2021 basis. Shares of Newmont Mining (1.2%) (-14%) also declined
• Diageo Plc. 1.7
in the quarter, largely in line with share prices of other gold miners.
Gold mining equities dropped despite the fact that the price of gold • S&P Global Inc. 1.6
fell by only 1% during the quarter. This was based on concerns about • Republic Services Inc. 1.6
the potential for margin compression for gold mining companies if cost
inflation escalates while the price of gold declines. *Percent of net assets as of September 30, 2021.
LET’S TALK STOCKS
When discussing specific stocks in the portfolios of the Funds, favorable earnings prospects do not necessarily translate
into higher stock prices, but they do express a positive trend that we believe will develop over time. Individual securities
mentioned are not necessarily representative of a Fund’s entire portfolio. For the holdings discussed, the percentage of
the Fund’s net assets and their share prices stated in U.S. dollar equivalent terms are presented as of September 30, 2021.
AZZ Inc. (less than 1.0% of net assets as of September 30, 2021) (AZZ – $53.20 – NYSE) is a global provider of galvanizing and a
variety of metal coating solutions, welding solutions, specialty electrical equipment, and highly engineered services to a broad
range of markets, including transmission, distribution, renewable energy, industrial, and refining. The company’s Metal Coatings
segment (which accounts for $460 million, or 55% of total company revenue) is experiencing strong demand across solar,
agriculture, bridge and highway, and truck and trailer end markets. AZZ’s home market of Texas, in particular, is experiencing
an acceleration of wind and solar installations, which require the supporting infrastructure to be hot-dip galvanized to avoid
corrosion and erosion. Management is also in advanced stages of exploring a sale of all or part of AZZ’s Infrastructure Solutions
segment to focus on the company’s core higher-margin Metal Coatings franchise.
Herc Holdings Inc. (0.5%) (HRI – $163.46 – NYSE), based in Bonita Springs, Florida, is the third largest equipment rental company
in the United States. HRI was spun out of former parent Hertz on June 30, 2016. Underemphasized as part of a significantly
larger car rental company, HRI has worked for the past three years to put its operating metrics in line with larger, better known
peers such as United Rentals. The company is well positioned to generate considerable cash as the U.S. equipment rental
market grows over the next several years. Additionally, management efforts to improve profitability metrics to more closely
align with its larger peers could result in valuation multiple expansion.
CNH Industrial NV (3.3% ) (CNHI – $14.70 – NYSE), with headquarters in London, England, and Burr Ridge, Illinois, is a global
capital equipment manufacturer that was demerged from parent Fiat in 2013. CNHI is unique in that it has leading positions in a
variety of global machinery markets. It is best known for its agricultural equipment business, consisting of Case IH, New Holland
Agriculture, and Steyr brands. The company’s other businesses include IVECO, a leading global truck and bus manufacturer,
as well as Case and New Holland construction machinery. Finally, FPT Industrial provides engines and transmissions for the
company’s captive businesses and also sells to other machinery manufacturers. The company’s new CEO, Scott Wise, is
committed to CNHI’s financial engineering plan by which it will separate its Off Highway business from its Truck and Engine
business via tax free spin. Additionally, the company announced in June it would be acquiring Raven Industries (RAVN) for $58
per share, adding to the company’s growing capabilities in precision agriculture technology.
13THE GABELLI SMALL CAP GROWTH FUND
Gabelli Equity Series Funds, Inc.
P O RTFO L I O M ANAGEMENT T EAM: Mario J. Gabelli, CFA, Gordon D. Grender
INVESTMENT SCORECARD
During the third quarter of 2021, a number of stocks in (y)our portfolio PORTFOLIO HIGHLIGHTS
performed well. One of these was Herc Holdings Inc. (2.7% of net assets as
Total Net Assets: $1.9 Billion
of September 30, 2021), one of the largest equipment rental companies
in North America, with 295 locations. Herc raised EBITDA guidance NAV (Class I): $51.62
for 2021 and adjusted 2022 EBITDA guidance upward. The board also Turnover: (a)
1%
implemented a quarterly dividend at an initial rate of $0.50 per share. Inception Date: 10/22/91
Churchill Downs Inc. (1.5%) saw record net revenue and adjusted EBITDA
Expense Ratio: (b)
1.15%
in the second quarter as it ran the 147th Kentucky Derby and patrons
returned to its properties. Gaming revenue also rose to a record level and (a) For the six months ended March 31, 2021.
(b) As of the March 31, 2021 semiannual financial
Churchill Downs announced plans to open a new historical racing machine statements.
entertainment venue in Louisville. Ingles Markets Inc. (1.6%), founded
in 1963, is a leading regional supermarket chain, with approximately
200 stores (about 161 of which are company owned), located primarily SHARE CL ASS (c) SYMBOL
in suburban areas, small towns, and neighborhood shopping centers in
the six southeastern states of Georgia, North Carolina, South Carolina, Class AAA: GABSX
Tennessee, Virginia, and Alabama. Ingles Markets has achieved customer Class A: GCASX
loyalty by offering an extensive selection of high quality products at
Class I: GACIX
reasonable prices. Ingles’ sales increased by 7.4% in the second quarter,
while increased costs caused gross profit as a percentage of sales to (c) Another class of shares is available.
decrease slightly.
COMPARATIVE RESULTS
Average Annual Returns through September 30, 2021 (a) (b)
Total returns and average annual returns reflect changes in share price, reinvestment of distributions, and are net of expenses.
Performance returns for periods of less than one year are not annualized.
Since Inception
Gabelli Small Cap Growth Fund QTR 1 Year 5 Year 10 Year 15 Year
(10/22/91)
Class I (GACIX) (c) (1.17)% 42.51% 11.61% 13.24% 9.82% 12.39%
S&P SmallCap 600 Index (d) (2.84) 57.64 13.57 15.69 10.30 N/A
Lipper Small-Cap Core Funds Average (d) (2.08) 53.83 12.74 13.79 9.09 N/A
(a) The Fund’s fiscal year ends September 30.
(b) Other classes of shares are available, with different characteristics. For additional information please contact your financial advisor or call
800-GABELLI.
(c) Returns would have been lower had Gabelli Funds, LLC, (the “Adviser”) not reimbursed certain expenses of the Fund. The Class AAA Share NAVs
are used to calculate performance for the period prior to the issuance of Class I Shares on January 11, 2008. The actual performance of the Class
I Shares would have been higher due to lower expenses related to this class of shares. The Fund imposes a 2% redemption fee on shares sold or
exchanged within seven days of purchase.
(d) The S&P SmallCap 600 Index is an unmanaged indicator which measures the performance of the small-cap segment of the U.S. equity market; the
inception date of the Index is December 31, 1994. The Lipper Small-Cap Core Funds Average reflects the average performance of mutual funds
classified in this particular category. Dividends are considered reinvested. You cannot invest directly in an index. The Lipper Small-Cap Core Funds
Average inception date is December 31, 1991.
In the current prospectuses dated January 28, 2021, the expense ratio for Class I Shares is 1.19%. Class I Shares have no sales charge.
Investing in small capitalization securities involves special risks because these securities may trade less frequently and experience more abrupt price
movements than large capitalization securities.
Returns represent past performance and do not guarantee future results. Investment returns and the principal value of an investment will fluctuate. When
shares are redeemed, they may be worth more or less than their original cost. Current performance may be lower or higher than the performance data
presented. Visit www.gabelli.com for performance information as of the most recent month end.
14TH E GAB ELLI S MALL C AP G ROW TH FU N D
Of course, not all of the stocks in the portfolio did well in the third
quarter. One of the poorer performing stocks was Kaman Corp. (1.3%) SELECTED HOLDINGS*
that provides aerospace solutions, including specialty bearings and
• Herc Holdings Inc. 2.7%
engineered products, for both fixed wing and rotorcraft. Kaman’s second
quarter earnings from continuing operations were down slightly from • AMETEK Inc. 2.7
the previous year, despite an increase in net sales. Ametek Inc. (2.7%) • KKR & Co. Inc. 2.3
operates two business segments, The Electronic Instruments Group • Crane Co. 1.8
which designs and manufactures analytical, test and measurement
• Gatx Corp. 1.8
instrumentation, and The Electromechanical Group which supplies
automation and precision motor control solutions. Ametek’s stock price • Griffon Corp. 1.7
suffered despite posting a sales increase of 37% year over year in the • Graco Inc. 1.7
second quarter. CTS Corp. (0.8%) manufactures sensors, actuators, and
• Ingles Markets Inc. 1.6
electronic components in North America, Europe, and Asia, for OEMs
in the aerospace, communications, defense, industrial, information • Lennar Corp. 1.6
technology, medical, and transportation markets. Second quarter net • Churchill Downs Inc. 1.5
income was down 80% from the previous year, as a result of a non-cash *Percent of net assets as of September 30, 2021.
charge related to the termination of its U.S. pension plan.
LET’S TALK STOCKS
Ferro Corp. (1.5% of net assets as of September 30, 2021) (FOE – $20.34 – NYSE) Following the sale of its Tile Coatings operations,
Ferro had transformed itself into a specialty materials company focusing on glass technology and colors. With attractive end
markets such as consumer, electronics, construction, automotive, and appliances, the company has been focusing on its core
technologies (coatings, color, and glass science) and moved into its “optimization” program phase. Given its strengthened
balance sheet, and the higher margin/higher growth remaining operations, we believed that Ferro had become an attractive
standalone entity as well as an attractive acquisition candidate. On May 11, 2021 Ferro entered into a definitive agreement to
be acquired by Price International (a portfolio company of American Securities) for $22 a share. On September 9, 2021, Ferro’s
shareholders voted to approve the transaction, which is expected to close in Q1 2022. To date, we do not foresee any major
regulatory issues and expect that the acquisition will close early next year. While there could be some requirement to divest a
portion of the Porcelain Enamel, an end market for both Ferro and Price, we believe that management anticipated the potential
request and has taken the appropriate steps toward compliance, if necessary. Excluding a resurgence of COVID-19 requiring an
economic shutdown, we expect the transaction to close as anticipated by management.
Herc Holdings Inc. (2.7%) (HRI – $163.46 – NYSE), based in Bonita Springs, Florida, is the third largest equipment rental company
in the United States. HRI was spun out of former parent Hertz on June 30, 2016. Underemphasized as part of a significantly
larger car rental company, HRI has worked for the past three years to put its operating metrics in line with larger, better known
peers such as United Rentals. The company is well positioned to generate considerable cash as the U.S. equipment rental
market grows over the next several years. Additionally, management efforts to improve profitability metrics to more closely
align with its larger peers could result in valuation multiple expansion.
Modine Manufacturing Co. (0.2%) (MOD – $11.33 – NYSE), headquartered in Racine, Wisconsin, is a thermal management systems
and components company with a long history and leading position in building heating and cooling, as well as vehicular HVAC
markets. The company, through the sale of its liquid-cooled components division, continues to transition its business model to
one that focuses on high growth markets such as data center cooling. We expect the company to continue to emphasize its
commercial and building offerings, likely enabling the market to assign a higher valuation multiple to the business.
Strattec Security Corp. (0.5%) (STRT – $38.90 – NASDAQ), based in Milwaukee, Wisconsin, is one of the world’s largest
manufacturers of automotive access and electronic security equipment. A well run Original Equipment Supplier, the company
has significant net cash on its balance sheet and is well positioned as automotive production recovers post-COVID. Additionally,
the company has a nascent suite of biometric solutions that are applicable to industries beyond automotive.
15THE GABELLI EQUITY INCOME FUND
Gabelli Equity Series Funds, Inc.
P ORTFO L I O M ANAGEMENT: Mario J. Gabelli, CFA
INVESTMENT SCORECARD
During the third quarter, the 10-year U.S. Treasury Note yield did not PORTFOLIO HIGHLIGHTS
move much, moving from 1.40% at the end of the second quarter to 1.46%
at the end of the third quarter. Growth stocks generally outperformed Total Net Assets: $581 Million
value stocks in the quarter and the overall markets, as measured by the NAV (Class I): $12.35
S&P 500 total return, was only up by less than 1%. The Federal Reserve Turnover: (a)
1%
indicated it will soon start the process of tapering the bond buying Inception Date: 01/02/92
program as the economy heals and inflation becomes more of an issue.
Expense Ratio: (b)
1.18%
Unemployment should continue to fall over the next few months as
(a) For the six months ended March 31, 2021.
vaccination rates climb and workers feel more comfortable returning to (b) As of the March 31, 2021 semiannual financial
the workforce. We continue to focus on companies that we believe will statements.
be able to raise prices and adjust to an inflationary environment.
During the quarter, many stocks performed well. One of the better SHARE CL ASS (c) SYMBOL
performers was Herc (0.8% of net assets as of September 30, 2021),
the equipment rental company. As the U.S. economy reopens, rates Class AAA: GABEX
for rental equipment at construction sites have risen significantly, Class A: GCAEX
and Herc has been a major beneficiary of this trend. We expect that Class I: GCIEX
construction spending will remain robust for many years ahead. Another
(c) Another class of shares is available.
stock that performed well was Groupo Bimbo (0.8%), a Mexico-based
food processing company with global operations. As more restaurants
open back up across the global, this should help sales for the company.
COMPARATIVE RESULTS
Average Annual Returns through September 30, 2021 (a) (b)
Total returns and average annual returns reflect changes in share price, reinvestment of distributions, and are net of expenses.
Performance returns for periods of less than one year are not annualized.
Since Inception
Gabelli Equity Income Fund QTR 1 Year 5 Year 10 Year 15 Year
(01/02/92)
Class I (GCIEX) (c) (1.15)% 31.71% 10.06% 11.29% 7.81% 9.96%
Lipper Equity Income Fund Average (d) (0.46) 28.68 11.49 12.71 7.71 8.78
(a) The Fund’s fiscal year ends September 30.
(b) Other classes of shares are available, with different characteristics. For additional information please contact your financial advisor or call
800-GABELLI.
(c) The Class AAA Share NAVs are used to calculate performance for the period prior to the issuance of Class I Shares on January 11, 2008. The actual
performance of the Class I Shares would have been higher due to lower expenses related to this class of shares. The Fund imposes a 2% redemption
fee on shares sold or exchanged within seven days of purchase.
(d) The Lipper Equity Income Fund Average includes the 30 largest equity funds in this category tracked by Lipper, Inc. Dividends are considered
reinvested. You cannot invest directly in an index.
In the current prospectuses dated January 28, 2021, the expense ratio for Class I Shares is 1.23%. Class I Shares do not have a sales charge.
Returns represent past performance and do not guarantee future results. Investment returns and the principal value of an investment will fluctuate. When
shares are redeemed, they may be worth more or less than their original cost. Current performance may be lower or higher than the performance data
presented. Visit www.gabelli.com for performance information as of the most recent month end.
16You can also read
