THE GABELLI BLUE CHIP VALUE FUND
THIRD QUARTER REPORT
SEPTEMBER 30, 2000
[PHOTO OF BARBARA MARCIN OMITTED]
BARBARA G. MARCIN, CFA
TO OUR SHAREHOLDERS,
In the third quarter of 2000, the U.S. economy continued its strong growth
with minor inflation. Unfortunately, for most of the quarter two macroeconomic
factors eclipsed customary investor concerns over earnings and interest rates:
the price of oil and the troublingly weak Euro.
Just before the end of the quarter, central banks in Europe and the U.S.
intervened to raise the price of the Euro. This move illustrated that the
potential damage to European economies from the rise in the price of oil was
intensified by the fact that oil is priced in U.S. dollars. Europeans were faced
with buying an increasingly expensive commodity with an ever weaker and cheaper
currency. Hopefully, most of the fall in the Euro has occurred. If so, this
would be a positive for U.S. exporters, particularly some of the U.S.
manufacturing and industrial companies that we own in the Fund.
Against this backdrop, the major stock indices were more or less flat,
masking widely diverse performance in several sectors. The Dow Jones Industrial
Average gained 2.4% during the quarter, outperforming the S&P 500 (which
declined 1.0%) for the first time since the third quarter of 1999. But the
Nasdaq composite, reflecting the technology sector, continued the correction
that started in March, falling 7.4% for the entire quarter, but falling over 12%
in the month of September after an initial rise. This decline was aggravated by
earnings warnings issued by Intel, Dell and Apple Computer just prior to the
quarter's end, provoking concerns that future earnings would not sustain the
high valuations of a number of these companies.
On the positive side, companies in the financial sector performed
strongly. These companies posted strong earnings as financial markets rebounded
from the second quarter market weakness, and recovered value as the Federal
Reserve indicated it was through raising interest rates for a while. Even more
important to this sector's performance was the continued merger and acquisition
activity. Prices paid by acquiring firms for investment managers and brokerage
firms indicated that the private market values of these firms were markedly
higher than their current public values, and the whole sector traded up. True
or not, investors became convinced that the majority of firms would have to
consider mergers
<PAGE>
INVESTMENT RESULTS (a)
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Quarter
-------------------------------
1st 2nd 3rd 4th Year
------ ----- ----- ----- -----
2000: Net Asset Value ...... $12.40 $12.16 $13.23 -- --
Total Return ......... 6.4% (1.9)% 8.80% -- --
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1999: Net Asset Value ...... -- -- $9.54 $11.65 $11.65
Total Return ......... -- -- (2.9)%(b) 23.5% 17.8%(b)
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-----------------------------------------------
Average Annual Returns - September 30, 2000 (a)
-----------------------------------------------
1 Year ............................ 40.21%
Life of Fund (b) .................. 30.23%
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Dividend History
--------------------------------------------------
Payment (ex) Date Rate Per Share Reinvestment Price
December 27, 1999 $0.125 $11.33
(a) Average annual and total returns reflect changes in share price and
reinvestment of dividends and are net of expenses. The net asset value of the
Fund is reduced on the ex-dividend (payment) date by the amount of the dividend
paid. Of course, 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. (b) From commencement of investment operations on August 26,
1999.
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in order to compete in a world of increased size, amount of capital, and ability
to offer a full range of services to individual and corporate clients. Finally,
the implied consolidation of the financial services that deregulation promised
began to come true.
INVESTMENT PERFORMANCE
The Gabelli Blue Chip Value Fund (the "Fund") rose 8.80% in the third
quarter, compared with a decline of 0.97% for the S&P 500 and a gain of 3.25%
for the Lipper Large Cap Value Fund Average. For the one year period ended
September 30, the Fund rose 40.21% compared to gains of 13.28% and 10.60% for
the S&P 500 and the Lipper Large Cap Value Fund Average, respectively. Since
inception on August 26, 1999, the Fund has risen 33.76%, which equates to an
average annual return of 30.23%.
The financial stocks in the Fund performed well, led by two companies that
accepted buyout offers. Paine Webber agreed to be acquired by the United Bank of
Switzerland, and Associates First Capital accepted an offer from Citigroup.
Associates is the second company that Citigroup has acquired from our portfolio
this year. The first company, Travelers Aetna Property Casualty, was acquired in
the first quarter. Several other financial stocks were up more than 30%: Lehman
Brothers, Everest Re (insurance), Amvescap (investment management), Providian
(credit cards), UnumProvident (disability insurance), Washington Mutual (west
coast thrift) and Household International (consumer credit).
Other strong performers in the quarter included Raytheon (defense) and
Hughes Electronics, the largest provider of direct satellite television.
Finally, the energy group also performed well, as energy prices continued to
surprise on the upside, with oil topping $37 a barrel, a price not seen since
1990.
2
<PAGE>
OUR APPROACH
The Gabelli Blue Chip Value Fund seeks to invest in the common stock of
companies that are temporarily out of favor, for which we can identify a
catalyst or sequence of events that will return the company to a higher value.
Generally these companies are: 1) in sectors that are out of favor relative to
the economic or operating environment; 2) undervalued on an asset valuation
basis; 3) or temporarily out of favor growth companies. Valuation remains an
important predictor of future performance.
LET'S TALK STOCKS
We believe that telecommunications stocks began to offer terrific relative
value in the third quarter as these stocks fell out of favor. The regional
providers of local telephone service (who are now expanding broadly into long
distance and wireless) which had previously been out of favor, such as SBC
Communications SBC - $50.00 - NYSE), Verizon (VZ - $48.4375 - NYSE) (the former
Bell Atlantic and GTE) and BellSouth (BLS - $40.25 - NYSE), were joined in the
decline by previous favorites such as Sprint (FON - $29.3125 - NYSE), WorldCom
WCOM - $30.375 - Nasdaq) and Qwest (Q - $48.0625 - NYSE). The stocks of these
companies, which provide long distance, data and wireless services, declined
more than 30% in the quarter. Investors worried that: 1) the collapse of the
Sprint-WorldCom merger meant that takeovers would no longer help buoy the
valuations; 2) the long distance consumer business, which had been declining as
people used their cell phones more and more to make long distance calls, would
decline further; 3) there would be higher than anticipated spending ahead as
these companies paid up for wireless licenses and for equipment to build out
networks; and 4) that with the wireless tracking stocks of Sprint and AT&T T -
$29.375 - NYSE) issued in the third quarter soon to be followed by the spin offs
from WorldCom for its long distance business, Verizon for its wireless business,
and SBC Communications and BellSouth for their wireless partnership, there would
just be too many stocks competing for investment dollars.
We believe that the higher relative growth of some of these companies,
combined with their now much lower valuations versus most companies, could
result in good performance. Specifically, we added to our position in Sprint,
and took new positions in WorldCom, Alltel (AT - $52.1875 - NYSE), and Telephone
and Data Systems (TDS - $110.70 - NYSE).
Compaq Computer Corp. (CPQ - $27.58 - NYSE) is finally on track to
accelerate earnings growth next year, after extensive cost cutting and margin
improvement over the past two years. New products in servers have lessened the
company's dependence upon personal computers. The stock is priced for low
expectations, whereas we believe that acceleration in revenue growth and
earnings growth are likely over the next year.
Cendant Corp. (CD - $10.875 - NYSE) still hasn't gotten any respect for its
franchise business model, despite its high margins and strong cash flow. The
company earns a fee each time a transaction occurs in its franchise hotels
Ramada Inns, Days Inns, Travelodge), and real estate brokers (Coldwell Banker,
Century 21). Recently, the company announced plans to acquire the portion of
Avis that it does not own, hoping to highlight its strong cash flow and
opportunities to grow earnings through franchise business acquisitions. This has
not yet worked, but we remain confident about the company's good value and
growth opportunities.
3
<PAGE>
In the industrial sector, we have maintained positions in Parker Hannifin
Corp. (PH - $33.75 - NYSE), Honeywell Inc. (HON - $35.625 - NYSE), Rockwell
International Corp. (ROK - $30.25 - NYSE), Textron Inc. (TXT - $46.125 - NYSE)
and Eaton Corp. (ETN - $67.75 - NYSE). These companies are selling at historical
lows amid investor fears that a slowing US economy will kill demand for their
capital goods components - cyclical businesses such as construction, power,
automotive, and fluid controls businesses, among others. We believe these
companies represent an opportunity for three reasons: 1) they have already
priced in a hard landing or recession; 2) they already have low expectations
built into their earnings; and 3) we see solid economic growth in most
economies. We believe that even with a slowing U.S. economy, these companies,
which are selling for 10 to 12 times this year's profits, can continue to post
improving earnings and cash flow, and have opportunities to reinvest for growth
in their businesses here and overseas.
MINIMUM INITIAL INVESTMENT - $1,000
The Fund's minimum initial investment for regular accounts is $1,000. There
are no subsequent investment minimums. No initial minimum is required for those
establishing an Automatic Investment Plan. Additionally, the Fund and other
Gabelli Funds are available through the no-transaction fee programs at many
major brokerage firms.
WWW.GABELLI.COM
Please visit us on the Internet. Our homepage at http://www.gabelli.com
contains information about Gabelli Asset Management Inc., the Gabelli Mutual
Funds, IRAs, 401(k)s, quarterly reports, closing prices and other current news.
You can send us e-mail at [email protected].
Subscribe in time and join me for a chat session entitled "Finding Value in
the U.S. Stock Market" on Wednesday, December 13.
IN CONCLUSION
As the fourth quarter started, the decline in technology stocks which began
at the end of the third quarter continued, demonstrating that this market offers
lots of opportunities to value investors. In the Gabelli Blue Chip Value Fund we
try to identify decent and improving businesses, but care most strongly about
the price at which a business or stock can be bought. This market is rich with
stocks of inexpensive companies, selling at low multiples of cash flow and/or
earnings. We see these every day in the news, formerly "blue chip" companies
such as Xerox, JC Penney, Eastman Kodak and Lucent to name a few. And the high
volatility in the market means that companies are pushed down to undervalued
levels at times. The hard part is trying to identify the franchises and
businesses that will recover and generate strong earnings to reinvest and grow.
These are the companies that investors will revalue upward, and these are the
companies that we want to own in the portfolio.
4
<PAGE>
The Fund's daily net asset value is available in the financial press and
each evening after 6:00 PM (Eastern Time) by calling 1-800-GABELLI
(1-800-422-3554). The Fund's Nasdaq symbol is GABBX. Please call us during the
business day for further information.
Sincerely,
/S/ BARBARA G MARCIN
BARBARA G. MARCIN, CFA
Portfolio Manager
October 16, 2000
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TOP TEN HOLDINGS
SEPTEMBER 30, 2000
Providian Financial Corp. Philip Morris Companies Inc.
UnumProvident Corp. Compaq Computer Corp.
General Motors Corp., Cl. H (Hughes Electronics) Lehman Brothers Holdings Inc.
Cendant Corp. SBC Communications Inc.
Sprint Corp. Verizon Communications
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NOTE: The views expressed in this report reflect those of the portfolio manager
only through the end of the period stated in this report. The manager's views
are subject to change at any time based on market and other conditions.
5
<PAGE>
THE GABELLI BLUE CHIP VALUE FUND
PORTFOLIO OF INVESTMENTS -- SEPTEMBER 30, 2000 (UNAUDITED)
--------------------------------------------------------------------------------
MARKET
SHARES VALUE
------ ------
COMMON STOCKS -- 95.2%
AEROSPACE -- 3.3%
11,000 Raytheon Co., Cl. B ............ $ 312,812
7,100 Rockwell International Corp. ... 214,775
-----------
527,587
-----------
AUTOMOTIVE: PARTS AND ACCESSORIES -- 1.6%
17,500 Delphi Automotive Systems Corp.+ 264,687
-----------
BUSINESS SERVICES -- 3.9%
57,000 Cendant Corp.+ ................. 619,875
-----------
COMMUNICATIONS EQUIPMENT -- 7.0%
3,200 Gilat Satellite Networks Ltd.+ 246,000
8,500 Motorola Inc. .................. 240,125
5,000 Qualcomm Inc.+ ................. 356,250
4,200 Tellabs Inc.+ .................. 200,550
4,400 Williams Communications Group Inc.+ 88,000
-----------
1,130,925
-----------
COMPUTER HARDWARE -- 3.3%
19,200 Compaq Computer Corp. .......... 529,536
-----------
CONSUMER PRODUCTS -- 4.8%
20,800 Mattel Inc. .................... 232,700
18,000 Philip Morris Companies Inc. ... 529,875
-----------
762,575
-----------
DIVERSIFIED INDUSTRIAL -- 3.8%
4,000 Eaton Corp. .................... 246,500
6,200 Honeywell Inc. ................. 220,875
3,200 Textron Inc. ................... 147,600
-----------
614,975
-----------
ELECTRONICS -- 1.1%
6,400 Axcelis Technologies Inc.+ ..... 76,000
2,400 Intel Corp. .................... 99,900
-----------
175,900
-----------
ENERGY AND UTILITIES -- 12.7%
9,000 Baker Hughes Inc. .............. 334,125
7,600 Burlington Resources Inc. ...... 279,775
6,000 Conoco Inc., Cl. A ............. 156,750
9,500 EOG Resources Inc. ............. 369,312
2,000 Exxon Mobil Corp. .............. 178,250
4,000 Kinder Morgan Inc. ............. 163,750
2,800 Texaco Inc. .................... 147,000
9,700 Williams Companies Inc. (The) .. 409,825
-----------
2,038,787
-----------
ENTERTAINMENT -- 1.0%
7,000 USA Networks Inc.+ ............. 153,562
-----------
EQUIPMENT AND SUPPLIES -- 1.7%
8,100 Parker Hannifin Corp. .......... 273,375
-----------
FINANCIAL SERVICES -- 12.2%
9,000 Associates First Capital Corp., Cl. A 342,000
7,500 CIT Group Inc., Cl. A .......... 131,250
4,000 Countrywide Credit Industries Inc. 151,000
2,000 Household International Inc. ... 113,250
3,200 Lehman Brothers Holdings Inc. .. 472,800
5,900 Providian Financial Corp. ...... 749,300
-----------
1,959,600
-----------
MARKET
SHARES VALUE
------ ------
FINANCIAL SERVICES: BANKS -- 5.2%
10,400 FleetBoston Financial Corp. ... $ 405,600
3,500 Mellon Financial Corp. ........ 162,313
6,500 Washington Mutual Inc. ........ 258,781
-----------
826,694
-----------
FINANCIAL SERVICES: INSURANCE -- 7.1%
28,000 Conseco Inc. .................. 213,500
4,800 Everest Reinsurance Holdings Inc. 237,600
25,000 UnumProvident Corp. ........... 681,250
-----------
1,132,350
-----------
HEALTH CARE -- 3.3%
6,200 American Home Products Corp. ... 350,688
3,700 Schering-Plough Corp. .......... 172,050
-----------
522,738
-----------
PAPER AND FOREST PRODUCTS -- 0.7%
4,000 International Paper Co. ....... 114,750
-----------
RETAIL -- 1.7%
13,900 Gap Inc. (The) ................ 279,738
-----------
SATELLITE -- 4.0%
17,100 General Motors Corp., Cl. H+ .. 635,778
-----------
SPECIALTY CHEMICALS -- 1.2%
14,000 Hercules Inc. ................. 197,750
-----------
TELECOMMUNICATIONS -- 14.8%
3,500 ALLTEL Corp. .................. 182,656
3,000 AT&T Corp. .................... 88,125
4,100 BellSouth Corp. ............... 165,025
4,533 Qwest Communications International
Inc.+ ....................... 217,867
9,000 SBC Communications Inc. ....... 450,000
19,700 Sprint Corp. .................. 577,456
9,000 Verizon Communications ........ 435,938
8,500 WorldCom Inc.+ ................ 258,188
-----------
2,375,255
-----------
WIRELESS COMMUNICATIONS -- 0.8%
1,200 Telephone & Data Systems Inc. 132,840
-----------
TOTAL COMMON STOCKS ........... 15,269,277
-----------
PRINCIPAL
AMOUNT
---------
U.S. GOVERNMENT OBLIGATIONS -- 6.4%
$1,040,000 U.S. Treasury Bills, 5.90%
to 6.21%++, due 10/05/00 to
12/28/00 ...................... 1,029,276
-----------
TOTAL INVESTMENTS -- 101.6%
(Cost $15,212,133) 16,298,553
OTHER ASSETS AND
LIABILITIES (NET) -- (1.6%) (262,342)
-----------
NET ASSETS -- 100.0%
(1,212,404 shares outstanding) $16,036,211
===========
------------------------
+ Non-income producing security.
++ Represents annualized yield at date of purchase.
6
<PAGE>
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GABELLI FAMILY OF FUNDS
--------------------------------------------------------------------------------
GABELLI ASSET FUND ________________________
Seeks to invest primarily in a diversified portfolio of common stocks selling at
significant discounts to their private market value. The Fund's primary
objective is growth of capital. (NO-LOAD)
PORTFOLIO MANAGER: MARIO J. GABELLI, CFA
GABELLI GROWTH FUND _______________________
Seeks to invest primarily in large cap stocks believed to have favorable, yet
undervalued, prospects for earnings growth. The Fund's primary objective is
capital appreciation. (NO-LOAD)
PORTFOLIO MANAGER: HOWARD F. WARD, CFA
GABELLI WESTWOOD EQUITY FUND _____________
Seeks to invest primarily in the common stock of seasoned companies believed to
have proven records and above average historical earnings growth. The Fund's
primary objective is capital appreciation. (NO-LOAD)
PORTFOLIO MANAGER: SUSAN M. BYRNE
GABELLI SMALL CAP GROWTH FUND ____________
Seeks to invest primarily in common stock of smaller companies (market
capitalizations less than $500 million) believed to have rapid revenue and
earnings growth potential. The Fund's primary objective is capital appreciation.
(NO-LOAD)
PORTFOLIO MANAGER: MARIO J. GABELLI, CFA
GABELLI BLUE CHIP VALUE FUND ______________
Seeks long-term growth of capital through investment primarily in the common
stocks of well-established, high quality companies that have market
capitalizations of greater than $5 billion.
(NO-LOAD) PORTFOLIO MANAGER: BARBARA MARCIN, CFA
GABELLI WESTWOOD SMALLCAP EQUITY FUND ________________
Seeks to invest primarily in smaller capitalization equity securities - market
caps of $1 billion or less. The Fund's primary objective is long-term capital
appreciation. (NO-LOAD)
PORTFOLIO MANAGER: LYNDA CALKIN, CFA
GABELLI WESTWOOD INTERMEDIATE BOND FUND _________________
Seeks to invest in a diversified portfolio of bonds with various maturities. The
Fund's primary objective is total return. (NO-LOAD)
PORTFOLIO MANAGER: PATRICIA FRAZE
GABELLI EQUITY INCOME FUND ________________
Seeks to invest primarily in equity securities with above market average yields.
The Fund pays quarterly dividends and seeks a high level of total return with an
emphasis on income. (NO-LOAD)
PORTFOLIO MANAGER: MARIO J. GABELLI, CFA
GABELLI WESTWOOD BALANCED FUND __________
Seeks to invest in a balanced and diversified portfolio of stocks and bonds. The
Fund's primary objective is both capital appreciation and current income.
(NO-LOAD)
PORTFOLIO MANAGERS: SUSAN M. BYRNE & PATRICIA FRAZE
GABELLI WESTWOOD MIGHTY MITES (SERVICE MARK) FUND ___________
Seeks to invest in micro-cap companies that have market capitalizations of $300
million or less. The Fund's primary objective is long-term capital appreciation.
(NO-LOAD)
TEAM MANAGED: MARIO J. GABELLI, CFA,
MARC J. GABELLI, LAURA K. LINEHAN AND
WALTER K. WALSH
GABELLI VALUE FUND ________________________
Seeks to invest in securities of companies believed to be undervalued. The
Fund's primary objective is long-term capital appreciation.
MAX. SALES CHARGE: 51/2%
PORTFOLIO MANAGER: MARIO J. GABELLI, CFA
GABELLI UTILITIES FUND ______________________
Seeks to provide a high level of total return through a combination of capital
appreciation and current income. (NO-LOAD)
PORTFOLIO MANAGER: TIMOTHY O'BRIEN, CFA
GABELLI ABC FUND _________________________
Seeks to invest in securities with attractive opportunities for appreciation or
investment income. The Fund's primary objective is total return in various
market conditions without excessive risk of capital loss. (NO-LOAD)
PORTFOLIO MANAGER: MARIO J. GABELLI, CFA
GABELLI MATHERS FUND _____________________
Seeks long-term capital appreciation in various market conditions without
excessive risk of capital loss. (NO-LOAD)
PORTFOLIO MANAGER: HENRY VAN DER EB, CFA
GABELLI U.S. TREASURY MONEY MARKET FUND ___
Seeks to invest exclusively in short-term U.S. Treasury securities. The Fund's
primary objective is to provide high current income consistent with the
preservation of principal and liquidity.
(NO-LOAD) PORTFOLIO MANAGER: JUDITH A. RANERI
GABELLI CASH MANAGEMENT SHARES OF
THE TREASURER'S FUND ______________________
Three money market portfolios designed to generate superior returns without
compromising portfolio safety. U.S. Treasury Money Market seeks to invest in
U.S. Treasury bills, notes and bonds. Tax Exempt Money Market seeks to invest in
municipal securities. Domestic Prime Money Market seeks to invest in prime
quality, domestic money market instruments. (NO-LOAD)
PORTFOLIO MANAGER: JUDITH A. RANERI
AN INVESTMENT IN THE ABOVE MONEY MARKET FUNDS IS NEITHER INSURED NOR GUARANTEED
BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY GOVERNMENT AGENCY. ALTHOUGH
THE FUNDS SEEK TO PRESERVE THE VALUE OF YOUR INVESTMENT AT $1.00 PER SHARE, IT
IS POSSIBLE TO LOSE MONEY BY INVESTING IN THE FUNDS.
GLOBAL SERIES
GABELLI GLOBAL TELECOMMUNICATIONS FUND
Seeks to invest in telecommunications companies throughout the world -
targeting undervalued companies with strong earnings and cash flow dynamics.
The Fund's primary objective is capital appreciation. (NO-LOAD)
TEAM MANAGED: MARIO J. GABELLI, CFA, MARC J. GABELLI AND IVAN ARTEAGA, CFA
GABELLI GLOBAL CONVERTIBLE SECURITIES FUND
Seeks to invest principally in bonds and preferred stocks which are
convertible into common stock of foreign and domestic companies. The Fund's
primary objective is total return through a combination of current income and
capital appreciation. (NO-LOAD)
PORTFOLIO MANAGER: HART WOODSON
GABELLI GLOBAL GROWTH FUND
Seeks capital appreciation through a disciplined investment program focusing
on the globalization and interactivity of the world's marketplace. The Fund
invests in companies at the forefront of accelerated growth. The Fund's
primary objective is capital appreciation. (NO-LOAD)
PORTFOLIO MANAGER: MARC J. GABELLI
GABELLI GLOBAL OPPORTUNITY FUND
Seeks to invest in common stock of companies which have rapid growth in
revenues and earnings and potential for above average capital appreciation or
are undervalued. The Fund's primary objective is capital appreciation.
(NO-LOAD)
PORTFOLIO MANAGERS: MARC J. GABELLI
AND CAESAR BRYAN
GABELLI GOLD FUND _________________________
Seeks to invest in a global portfolio of equity securities of gold mining and
related companies. The Fund's objective is long-term capital appreciation.
Investment in gold stocks is considered speculative and is affected by a variety
of world-wide economic, financial and political factors.(NO-LOAD)
PORTFOLIO MANAGER: CAESAR BRYAN
GABELLI INTERNATIONAL GROWTH FUND __________
Seeks to invest in the equity securities of foreign issuers with long-term
capital appreciation potential. The Fund offers investors global
diversification. (NO-LOAD) PORTFOLIO MANAGER: CAESAR BRYAN
THE SIX FUNDS ABOVE INVEST IN FOREIGN SECURITIES WHICH INVOLVES RISKS NOT
ORDINARILY ASSOCIATED WITH INVESTMENTS IN DOMESTIC ISSUES, INCLUDING CURRENCY
FLUCTUATION, ECONOMIC AND POLITICAL RISKS. THE FUNDS LISTED ABOVE ARE
DISTRIBUTED BY GABELLI & COMPANY, INC.
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TO RECEIVE A PROSPECTUS, CALL 1-800-GABELLI (422-3554). THE
PROSPECTUS GIVES A MORE COMPLETE DESCRIPTION OF THE FUND,
INCLUDING FEES AND EXPENSES. READ THE PROSPECTUS CAREFULLY
BEFORE YOU INVEST OR SEND MONEY.
VISIT OUR WEBSITE AT:
www.gabelli.com
OR, CALL:
1-800-GABELLI
1-800-422-3554 [BULLET] 914-921-5100 [BULLET] FAX: 914-921-5118
[BULLET] [email protected]
ONE CORPORATE CENTER, RYE, NEW YORK 10580
<PAGE>
THE GABELLI BLUE CHIP VALUE FUND
One Corporate Center
Rye, New York 10580-1434
1-800-GABELLI
[1-800-422-3554]
FAX: 1-914-921-5118
HTTP://WWW.GABELLI.COM
E-MAIL: [email protected]
(Net Asset Value may be obtained daily by calling
1-800-GABELLI AFTER 6:00 P.M.)
BOARD OF TRUSTEES
Mario J. Gabelli, CFA Mary E. Hauck
CHAIRMAN AND CHIEF (RETIRED) SENIOR PORTFOLIO MANAGER
INVESTMENT OFFICER GABELLI-O'CONNER FIXED INCOME
GABELLI ASSET MANAGEMENT INC. MUTUAL FUND MANAGEMENT CO.
Anthony J. Colavita Karl Otto Pohl
ATTORNEY-AT-LAW FORMER PRESIDENT
ANTHONY J. COLAVITA, P.C. DEUTSCHE BUNDESBANK
Vincent D. Enright Werner J. Roeder, MD
FORMER SENIOR VICE PRESIDENT MEDICAL DIRECTOR
AND CHIEF FINANCIAL OFFICER LAWRENCE HOSPITAL
KEYSPAN ENERGY CORP.
OFFICERS AND PORTFOLIO MANAGERS
Mario Gabelli, CFA Barbara G. Marcin, CFA
PRESIDENT AND EXECUTIVE VICE PRESIDENT
PORTFOLIO MANAGER
Bruce N. Alpert James E. McKee
EXECUTIVE VICE PRESIDENT SECRETARY
AND TREASURER
DISTRIBUTOR
Gabelli & Company, Inc.
CUSTODIAN, TRANSFER AGENT AND DIVIDEND AGENT
State Street Bank and Trust Company
LEGAL COUNSEL
Skadden, Arps, Slate, Meagher & Flom LLP
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This report is submitted for the general information of the shareholders of The
Gabelli Blue Chip Value Fund. It is not authorized for distribution to
prospective investors unless preceded or accompanied by an effective prospectus.
--------------------------------------------------------------------------------
GAB402Q300SR
[Photo of Mario Gabelli omitted]
THE
GABELLI
BLUE CHIP
VALUE
FUND
THIRD QUARTER REPORT
SEPTEMBER 30, 2000
