<PAGE>
THE GABELLI GROWTH FUND
One Corporate Center
Rye, New York 10580-1434
THIRD QUARTER REPORT
SEPTEMBER 30, 1995
TO OUR SHAREHOLDERS:
The Federal Reserve Board (the "Fed"), under Chairman Alan
Greenspan, eased monetary policy in July, 1995. This action provided the fuel
which powered stock prices to record highs during the third quarter. The
Gabelli Growth Fund fully participated in the quarter's advance, led by
strength in numerous technology, financial services, healthcare and consumer
issues. Your portfolio is well-diversified in industry-leading companies with
favorable prospects for double-digit growth in earnings over the balance of
1995 and throughout 1996.
<TABLE>
INVESTMENT RESULTS (a)
- ----------------------------------------------------------------------------------------------------
<CAPTION>
QUARTER
-------------------------------------
1ST 2ND 3RD 4TH YEAR
--- --- --- --- ----
<S> <C> <C> <C> <C> <C>
1995: Net Asset Value . . . . . . . . . . . . $20.86 $22.99 $24.91 -- --
Total Return . . . . . . . . . . . . . 6.0% 10.2% 8.4% -- --
- ----------------------------------------------------------------------------------------------------
1994: Net Asset Value . . . . . . . . . . . . $21.90 $21.23 $22.58 $19.68 $19.68
Total Return . . . . . . . . . . . . . (5.8)% (3.1)% 6.4% (0.5)% (3.4)%
- ----------------------------------------------------------------------------------------------------
1993: Net Asset Value . . . . . . . . . . . . $21.71 $21.84 $23.43 $23.26 $23.26
Total Return . . . . . . . . . . . . . 0.6% 0.6% 7.3% 2.5% 11.3%
- ----------------------------------------------------------------------------------------------------
1992: Net Asset Value . . . . . . . . . . . . $20.27 $19.72 $20.50 $21.59 $21.59
Total Return . . . . . . . . . . . . . (4.7)% (2.7)% 4.0% 8.5% 4.5%
- ----------------------------------------------------------------------------------------------------
1991: Net Asset Value . . . . . . . . . . . . $18.18 $18.02 $19.51 $21.28 $21.28
Total Return . . . . . . . . . . . . . 11.7% (0.9)% 8.3% 12.0% 34.3%
- ----------------------------------------------------------------------------------------------------
1990: Net Asset Value . . . . . . . . . . . . $16.74 $17.80 $15.75 $16.27 $16.27
Total Return . . . . . . . . . . . . . (1.9)% 6.3% (11.5)% 6.2% (2.0)%
- ----------------------------------------------------------------------------------------------------
1989: Net Asset Value . . . . . . . . . . . . $13.99 $15.73 $17.46 $17.07 $17.07
Total Return . . . . . . . . . . . . . 10.6% 12.4% 11.0% 1.5% 40.1%
- ----------------------------------------------------------------------------------------------------
1988: Net Asset Value . . . . . . . . . . . . $10.87 $12.40 $12.71 $12.65 $12.65
Total Return . . . . . . . . . . . . . 16.1% 14.1% 2.5% 2.5% 39.2%
- ----------------------------------------------------------------------------------------------------
1987: Net Asset Value . . . . . . . . . . . . $10.00 $10.84 $11.28 $ 9.51 $ 9.51
Total Return . . . . . . . . . . . . . -- 8.4%(b) 4.1% (15.7)% (4.9)%(b)
- ----------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
DIVIDEND HISTORY
- --------------------------------------------------------
PAYMENT (EX) DATE RATE PER SHARE REINVESTMENT PRICE
- ----------------- -------------- ------------------
<S> <C> <C>
December 30, 1994 $2.790 $19.68
December 31, 1993 $0.760 $23.26
December 31, 1992 $0.646 $21.59
December 31, 1991 $0.573 $21.28
December 31, 1990 $0.460 $16.27
December 29, 1989 $0.654 $17.07
December 30, 1988 $0.377 $12.65
January 4, 1988 $0.152 $9.58
</TABLE>
<TABLE>
<CAPTION>
- -----------------------------------------------------------------
AVERAGE ANNUAL RETURNS - SEPTEMBER 30, 1995 (a)
-----------------------------------------------
<S> <C>
1 Year........................... 26.0%
5 Year........................... 15.2%
Life of Fund (b)................. 15.8%
- -----------------------------------------------------------------
<FN>
(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 operations on April 10, 1987.
- ----------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
INVESTMENT RESULTS
For the three months ended September 30, 1995, The Gabelli
Growth Fund's net asset value increased 8.4% to $24.91 per share from $22.99
per share on June 30, 1995. The unmanaged Standard and Poor's 500 Index
("S&P 500") returned 7.9% over the same period. For the nine month period
ended September 30, 1995 the Fund increased 26.6% versus the 29.8% increase
for the S&P 500. For the twelve months ended September 30, 1995, the Fund's
total return was 26.0% versus 29.8% for the S&P 500. The Fund's total return
since inception on April 10, 1987, through September 30, 1995, was 247.0%,
which is equivalent to an average annual total return of 15.8%. This
compares favorably to a total return of 150.2% for the S&P 500 over the same
period, which is equivalent to an average annual total return of 11.4%. On
September 30, 1995 the Fund's shareholder base stood at 41,487 shareholders
and total net assets of the Fund were $520.5 million.
ECONOMIC BACKGROUND
With inflation seemingly in check and economic growth appearing
less robust, the Fed reduced the targeted Federal Funds rate by 25 basis
points, to 5.75%, in July. This largely symbolic gesture on the part of the
Fed was cheered by investors both here and abroad and was echoed by interest
rate cuts in Germany and Japan.
The economy is struggling to regain momentum. For the moment,
strength in the technology sector is being offset by weakness in retail
sales. Additionally, housing and autos are not snapping back to life as
quickly as expected, given the relatively low level of interest rates.
Finally, the resurgent dollar will negatively impact U.S. exports, although
the permanence of the dollar's recent rise is suspect. While it is too early
to fear recession, lower interest rates may be required to jump-start what
looks like a slowing economy.
FINANCIAL MARKET OBSERVATIONS
The third quarter saw a continuation of merger and acquisition
activity. Already this year we have seen announced deals of, among others,
CBS Inc. (CBS - $79.875 - NYSE) by Westinghouse Electric Corp. (WX - $15.00 -
NYSE), Capital Cities/ABC, Inc. (CCB - $117.625 - NYSE) by Walt Disney
Company (DIS - $57.375 - NYSE), MCA by Seagram Company Ltd. (VO - $35.875 -
NYSE), and Multimedia, Inc. (MMEDC - $43.50 - NASDAQ) by Gannett Co., Inc.
(GCI - $54.625 - NYSE); not to mention the merger of First Chicago Corp. (FNB
- - $68.625 - NYSE) and NBD Bancorp (NBD - $38.25 - NYSE). During the third
quarter, the merger of Chemical Banking Corp. (CHL - $60.875 - NYSE) and
Chase Manhattan Corp. (CMB - $61.125 - NYSE) was announced in addition to the
purchase of Turner Broadcasting System (TBS.A - $27.625 - ASE) by Time Warner
Inc. (TWX - $39.75 - NYSE). On the restructuring front, AT&T Corp. (T -
$65.75 - NYSE) announced its plans to split into three separate public
companies. The managements of these companies are actively working to
enhance shareholder values. While they may not all succeed, we believe such
merger and acquisition and restructuring activity will continue to lend
support to stock prices.
Microsoft Corporation's (MSFT - $90.50 - NASDAQ) Windows '95
product introduction and Internet mania were other significant third quarter
developments. The promotional hype surrounding "Win '95" was unprecedented
and led to expectations that will be hard to fulfill for Microsoft and its
vendors. Similarly, companies that had anything to do with the Internet were
being pushed to high valuation levels.
2
<PAGE>
Indeed, by quarter's end, the stock market leadership exhibited
by the technology sector for most of this year appeared to be weakening.
What wasn't weakening was the level of mutual fund sales.
Individual investors continue to channel billions of investment dollars into
equity mutual funds. Individuals are investing more in stocks than at any
time in over 20 years. We are increasingly becoming a nation of interested
and active shareholders. We applaud this as a long-term development but are
naturally wary of the tendency for this to happen after a remarkably long
period of rising equity prices. In fact, prices have risen so that dividend
yields on stocks are at all time lows. This must temper our short-term
expectations for the market.
COMMENTARY
We believe that companies with superior growth in earnings,
cash flow or asset values provide superior investment returns over time. The
deceleration in the rate of profit growth which we anticipate through the
balance of 1995 and, at least, through early 1996 should result in
competitive investment returns for "growth" stocks in general, and your
portfolio in particular. This is because "growth" stocks are less dependent
on the rate of overall economic activity to generate increases in sales and
earnings. While their earnings gains are less spectacular than cyclical
companies when the economy is strong, they continue to show progress when the
economy is weak, while cyclical companies' profits tend to decline.
The Gabelli Growth Fund is a well-diversified and primarily
domestic equity portfolio. It is not a "sector" fund. We believe
diversification will serve our shareholders well in the long run. No single
industry represents as much as 20% of the Fund's assets. Usually, industry
weightings are 15% or less. This makes the Fund an appropriate selection for
investors seeking an all-purpose or core equity fund. Our primary investment
themes remain economic globalization, the technology revolution and the aging
of the developed world's population. We view these as enduring themes which
are well suited to U.S.-based growth stock investors.
LOOKING AHEAD
In our last two reports we stated that "an environment of low
inflation and moderate growth is frequently a positive backdrop for common
stocks." This has obviously been true this year. We know that a fair amount
of good news is presently discounted in share prices. If corporate profits
continue to rise and interest rates remain at or near present levels, then
the celebration at the corner of Wall Street and Broad Street may continue.
However, we would expect earnings disappointments and/or rising interest
rates to have an immediate and negative influence on the stock market. We
encourage you to view the Gabelli Growth Fund as a long-term investment in a
diversified portfolio of America's finest established growth companies.
LET'S TALK STOCKS
The following are stock specifics on selected holdings of our
Fund's investments. Favorable earnings prospects do not necessarily
translate into higher stock prices, but they do express a positive trend
which we believe will develop over time.
AT&T CORP. (T - $65.75 - NYSE) is a global provider of telecommunications
services. In September, the company disclosed plans to split the
organization into three separate and distinct public companies. Long
Distance and Cellular will continue to operate under the AT&T name, while
telecommunications
3
<PAGE>
equipment and information systems will be spun off as separate entities. We
favor this restructuring as a way to enhance shareholder values. AT&T
represents good value in a company that stands at the forefront of the
information age.
AUTOMATIC DATA PROCESSING, INC. (AUD - $68.125 - NYSE) is the industry leader
in the outsourcing of payroll and tax filing services. The company also
provides services to the stock brokerage industry and specialized services to
the auto and truck dealership community, such as accounting, inventory and
parts ordering. The company has a remarkable record of consistent growth
with 34 consecutive years of earnings per share growth in excess of 10%.
Growth on the magnitude of 15% is expected over the next 12 months.
BARNETT BANKS INC. (BBI - $56.625 - NYSE) is the largest commercial bank
holding company in Florida. Florida is one of the most attractive states for
banking, given its large and growing population and above average levels of
personal income and savings. As the largest Florida bank, Barnett is a
significant beneficiary of Florida's attractive demographics. Excess cash
flow generation should lead to regular dividend increases supplemented by
share buybacks.
ELECTRONIC DATA SYSTEMS CORPORATION (GENERAL MOTORS CORPORATION, CLASS E)(GME -
$45.50 - NYSE) is the largest provider of information system outsourcing
services. Presently operating as a subsidiary of General Motors, plans are in
the works to spin EDS off from General Motors and allow it to operate as an
independent business. We endorse the proposed spin-off as a means of enhancing
shareholder value. The outsourcing of information systems management is a
growth business and EDS is the premier provider of such services on a global
basis.
INTERPUBLIC GROUP OF COMPANIES, INC. (IPG - $39.75 - NYSE) is a holding
company for a worldwide network of major advertising agencies, including
McCann-Erickson Worldwide and Lintas Worldwide. Foreign operations account
for over 60% of revenues and 70% of operating income. The company's roster
of major multinational clients include Coca-Cola, General Motors and
Unilever. We view Interpublic as the best-managed of the advertising
agencies with a global strategy that is well-suited to serve today's
multinational corporations.
MOTOROLA, INC. (MOT - $76.375 - NYSE) is the world's leading supplier of
communications equipment (70% of sales) and one of several major U.S.-based
semiconductor manufacturers. The company markets a broad line of
communications gear, from cellular handsets and pagers to infrastructure equip
ment for both PCS and Cellular Systems. Demand for communications equipment
is robust as less developed countries race to build communication networks
and developed countries modernize equipment and add new wireless services.
We believe Motorola is the primary beneficiary of these global trends given
the company's strong presence in virtually all of the major markets.
PROCTER & GAMBLE COMPANY (PG - $77.00 - NYSE) needs little introduction. As
the leading producer of soaps, detergents and toiletries, its products are in
virtually every home. The company is aggressively moving to expand into new
markets abroad, including China, where operations are now profitable.
Management has successfully battled the private label competition by cutting
prices on such established brands as Tide, Cheer, Bold, Crest, Ivory, Pampers
and others. Business looks bright on all fronts as the Cincinnati marketing
machine continues its dominance.
STATE STREET BOSTON CORPORATION (STT - $40.00 - NYSE) is the nation's largest
custodian of mutual fund
4
<PAGE>
assets. Total assets under custody are approximately $2 trillion. The
company is also one of the nation's largest asset managers with a strong
presence in passive management products for institutional investors.
Management is focused on expanding the company's global presence and
continuously updating information systems technology to gain competitive
advantages. We view State Street Boston as an excellent vehicle to gain
exposure to the ongoing growth in institutional funds management and custody.
TEXAS INSTRUMENTS, INC. (TXN - $79.875 - NYSE) is one of the largest
worldwide producers of semiconductors, electrical control devices and defense
electronics. Its semiconductor business is well-diversified by end market
and is experiencing unit volume growth in excess of 30% this year with more
of the same expected in 1996. The company has new products in the
development stage that may start contributing to sales next year. Selling at
1 times revenues and about 10 times expected 1996 earnings, we believe the
shares are undervalued.
THE WALT DISNEY COMPANY (DIS - $57.375 - NYSE) is one of the best, if not the
best, producer of filmed entertainment and related merchandise.
Additionally, the company's theme parks continue to produce exceptional
profits and free cash flow. Demand for quality filmed entertainment is high
and rising, which is good news for Disney shareholders. The recently
announced acquisition of the Capital Cities/ABC company is an excellent
strategic and cultural fit. This well-managed company is exceptionally
well-positioned for future growth.
MINIMUM INITIAL INVESTMENT - $1,000
The Fund's minimum initial investment for both regular and
retirement accounts is $1,000. There are no subsequent investment minimums.
No initial minimum is required for those establishing an Automatic Investment
Plan.
IN CONCLUSION
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 GABGX. Please call us during
the day for further information.
In closing, we thank you for the trust you have shown in our
investment capabilities and express our dedication to achieving our shared
financial goal: to increase the value of the assets you have entrusted to us.
Sincerely,
/s/ Howard F. Ward /s/ Donald C. Jenkins
HOWARD F. WARD, CFA DONALD C. JENKINS, CFA
Portfolio Manager Associate Portfolio Manager
October 16, 1995
5
<PAGE>
THE GABELLI GROWTH FUND
PORTFOLIO OF INVESTMENTS -- SEPTEMBER 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
SHARES VALUE(B)
- ------------ -------------
<C> <S> <C>
COMMON STOCKS -- 92.0%
ADVERTISING -- 1.0%
135,700 Interpublic Group of Companies,
Inc............................ $ 5,394,075
-------------
AEROSPACE -- 0.8%
60,000 Boeing Co........................ 4,095,000
-------------
BUILDING AND CONSTRUCTION -- 1.2%
63,000 Fluor Corporation................ 3,528,000
76,000 Foster Wheeler Corporation....... 2,688,500
-------------
6,216,500
-------------
BUSINESS SERVICES -- 7.8%
84,000 Automatic Data Processing,
Inc............................ 5,722,500
135,500 Ceridian Corporation +........... 6,012,812
255,900 First Data Corporation........... 15,865,800
172,000 General Motors Corporation, Class
E.............................. 7,826,000
92,000 Reuters Holdings plc, Class B,
ADR............................ 4,864,500
-------------
40,291,612
-------------
CABLE -- 1.4%
120,000 Cox Communications Inc., Class A,
New +.......................... 2,430,000
265,000 Tele-Communications, Inc., Class
A +............................ 4,637,500
-------------
7,067,500
-------------
CONGLOMERATES -- 1.5%
192,000 General Motors Corporation, Class
H.............................. 7,872,000
-------------
CONSUMER PRODUCTS -- 6.1%
70,000 Duracell International Inc....... 3,141,250
80,000 General Electric Company......... 5,100,000
274,000 Gillette Company................. 13,049,250
107,000 Procter & Gamble Company......... 8,239,000
40,000 Ralston Purina Group............. 2,315,000
-------------
31,844,500
-------------
ENERGY -- 1.0%
154,000 Enron Corporation................ 5,159,000
-------------
ENTERTAINMENT -- 4.4%
187,500 Time Warner Inc.................. 7,453,125
18,000 Viacom Inc., Class A +........... 895,500
144,000 Viacom Inc., Class B +........... 7,164,000
132,000 Walt Disney Company.............. 7,573,500
-------------
23,086,125
-------------
FINANCIAL SERVICES -- 14.5%
179,000 American Express Company......... 7,943,125
92,000 American International Group,
Inc............................ 7,820,000
135,000 BankAmerica Corp................. 8,083,125
<CAPTION>
MARKET
SHARES VALUE(B)
- ------------ -------------
<C> <S> <C>
132,000 Barnett Banks Inc................ $ 7,474,500
129,000 Citicorp......................... 9,126,750
80,000 First Tennessee National
Corporation.................... 4,440,000
40,000 General Re Corporation........... 6,040,000
169,000 Mellon Bank Corporation.......... 7,541,625
230,000 Norwest Corporation.............. 7,532,500
241,400 State Street Boston
Corporation.................... 9,656,000
-------------
75,657,625
-------------
FOOD, BEVERAGE AND TOBACCO -- 10.5%
157,000 Coca-Cola Company................ 10,833,000
345,000 Nabisco Holdings Corp., Class
A.............................. 10,220,625
149,000 PepsiCo, Inc..................... 7,599,000
160,000 Philip Morris Companies Inc...... 13,360,000
155,000 Seagram Company Ltd.............. 5,560,625
82,400 Tootsie Roll Industries, Inc..... 3,285,700
76,000 Wrigley (Wm.) Jr. Company........ 3,838,000
-------------
54,696,950
-------------
HEALTH CARE -- 12.2%
45,000 Abbott Laboratories.............. 1,918,125
85,000 Amgen Inc. +..................... 4,239,375
30,000 Baxter International............. 1,233,750
141,000 Johnson & Johnson................ 10,451,625
79,000 Lilly (Eli) & Co................. 7,100,125
247,000 Merck & Co., Inc................. 13,832,000
55,000 Oxford Health Plans +............ 4,001,250
105,000 Pfizer Inc....................... 5,604,375
295,000 Schering-Plough Corporation...... 15,192,500
-------------
63,573,125
-------------
INDUSTRIAL EQUIPMENT AND SUPPLIES -- 1.6%
55,000 Crane Co......................... 1,897,500
107,000 Illinois Tool Works, Inc......... 6,299,625
-------------
8,197,125
-------------
METALS AND MINING -- 1.0%
98,300 Aluminum Company of America...... 5,197,612
-------------
RESTAURANTS -- 1.0%
137,000 McDonald's Corporation........... 5,240,250
-------------
RETAIL -- 5.5%
253,906 Home Depot, Inc.................. 10,124,502
160,200 Mattel, Inc...................... 4,705,875
162,000 Office Depot Inc. +.............. 4,880,250
140,000 Walgreen Co...................... 3,920,000
195,000 Wal-Mart Stores, Inc. ........... 4,850,625
-------------
28,481,252
-------------
</TABLE>
6
<PAGE>
THE GABELLI GROWTH FUND
PORTFOLIO OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
SHARES VALUE(B)
- ------------ -------------
<C> <S> <C>
COMMON STOCKS (CONTINUED)
TECHNOLOGY -- 12.9%
120,000 Computer Associates
International, Inc............. $ 5,070,000
110,000 Digital Equipment Corp. +........ 5,018,750
93,000 Hewlett-Packard Co............... 7,753,875
128,000 Intel Corporation................ 7,696,000
86,500 International Business Machines
Corporation.................... 8,163,438
95,000 Loral Corporation................ 5,415,000
62,500 Molex Incorporated............... 2,265,625
249,062 Molex Incorporated, Class A...... 8,343,594
35,000 Silicon Graphics Inc. +.......... 1,203,125
85,000 Sun Microsystems Inc. +.......... 5,355,000
100,000 Texas Instruments, Inc........... 7,987,500
20,000 Xerox Corporation................ 2,687,500
-------------
66,959,407
-------------
TELECOMMUNICATIONS -- 5.2%
112,900 AT&T Corp........................ 7,423,175
224,000 Ericsson (L.M.) Telephone
Company, Class B, ADR.......... 5,488,000
50,000 Globalstar
Telecommunications +........... 1,068,750
100,000 Motorola, Inc.................... 7,637,500
81,000 Nokia Group AB, Class A, ADR..... 5,649,750
-------------
27,267,175
-------------
<CAPTION>
MARKET
SHARES VALUE(B)
- ------------ -------------
<C> <S> <C>
WIRELESS COMMUNICATIONS -- 2.4%
196,000 AirTouch Communications Inc. +... $ 6,002,500
163,000 Vodafone Group plc, ADR.......... 6,683,000
-------------
12,685,500
-------------
TOTAL COMMON STOCKS............................. 478,982,333
-------------
COMMON STOCK WARRANTS AND RIGHTS -- 0.1%
TELECOMMUNICATIONS -- 0.1%
224,000 Ericsson (L.M.) Telephone
Company, Class B, ADR, Rights,
expires 10/27/1995 +........... 224,000
-------------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT
- ------------
<C> <S> <C> <C>
U.S. TREASURY BILLS -- 4.9%
$25,755,000 5.20% to 5.30% ++
due 11/09/1995 - 11/30/1995.... 25,536,652
-------------
TOTAL INVESTMENTS
(COST $400,075,953)(A)............... 97.0% 504,742,985
OTHER ASSETS AND LIABILITIES (NET)..... 3.0 15,759,815
---- -------------
NET ASSETS APPLICABLE TO 20,891,852
SHARES OF BENEFICIAL INTEREST
OUTSTANDING.......................... 100.0% $ 520,502,800
===== =============
NET ASSET VALUE, OFFERING AND REDEMPTION
PRICE PER SHARE............................... $ 24.91
===========
</TABLE>
- ---------------
(a) Aggregate cost for Federal tax purposes was $400,330,931. Net unrealized
appreciation for Federal tax purposes was $104,412,054 (gross unrealized
appreciation was $105,024,677 and gross unrealized depreciation was
$612,623).
(b) Securities traded on a national securities exchange are valued at the last
sale price as of the close of business on the day the securities are being
valued. Securities for which no sale was reported on that day and
over-the-counter securities are valued at the mean between the last reported
bid and asked prices. U.S. Government obligations and other debt instruments
with 60 days or less to maturity are valued at amortized cost which
approximates market value. Short-term investments with greater than 60 days
to maturity are valued at the highest independent bid price as quoted by
market makers.
+ Non-income producing security.
++ Represents annualized yield at date of purchase.
ADR -- American Depositary Receipt
TOP TEN HOLDINGS
SEPTEMBER 30, 1995
<TABLE>
<S> <C>
First Data Corporation Coca-Cola Company
Schering-Plough Corporation Molex Incorporated
Merck & Co., Inc. Johnson & Johnson
Philip Morris Companies Inc. Nabisco Holdings Corp.
Gillette Company Home Depot, Inc.
</TABLE>
7
<PAGE>
THE GABELLI GROWTH FUND
One Corporate Center
Rye, New York 10580-1434
1-800-GABELLI
[1-800-422-3554]
(Net Asset Value may be obtained daily by calling
1-800-GABELLI after 6:00 P.M.)
<TABLE>
<S> <C>
BOARD OF TRUSTEES
Mario J. Gabelli, CFA Karl Otto Pohl
Chairman and Chief Former President
Investment Officer Deutsche Bundesbank
Gabelli Funds, Inc.
Felix J. Christiana Anthony R. Pustorino
Former Senior Certified Public Accountant
Vice President Professor, Pace University
Dollar Dry Dock Savings Bank
Anthony J. Colavita Anthony Torna
Attorney-at-Law Herzog, Heine & Geduld, Inc.
Anthony J. Colavita, P.C.
James P. Conn Anthonie C. van Ekris
Managing Director and Managing Director
Chief Investment Officer BALMAC International, Inc.
Financial Security
Assurance
Holdings Ltd.
Dugald A. Fletcher Salvatore J. Zizza
President Chairman, Chief Executive
Officer
Fletcher & Company, Inc. The Lehigh Group, Inc.
OFFICERS AND PORTFOLIO MANAGERS
Bruce N. Alpert Howard F. Ward, CFA
President and Treasurer Portfolio Manager
James E. McKee Donald C. Jenkins, CFA
Secretary Associate Portfolio Manager
DISTRIBUTOR
Gabelli & Company, Inc.
CUSTODIAN, TRANSFER AGENT AND DIVIDEND AGENT
State Street Bank and Trust Company
LEGAL COUNSEL
Skadden, Arps, Slate, Meagher & Flom
</TABLE>
- -------------------------------------------------------------
This report is submitted for the general information of the shareholders of The
Gabelli Growth Fund. It is not authorized for distribution to prospective
investors unless preceded or accompanied by an effective prospectus.
- -------------------------------------------------------------
PHOTO OF MARIO GABELLI
THE
GABELLI
GROWTH
FUND
THIRD QUARTER REPORT
SEPTEMBER 30, 1995
