[PHOTO OMITTED]
The
Gabelli
Global
Opportunity
Fund
THIRD QUARTER REPORT
SEPTEMBER 30, 1999
<PAGE>
[GRAPHIC OMITTED]
Gabelli Global Opportunity Fund
Third Quarter Report [PHOTO OMITTED]
September 30, 1999
Marc J. Gabelli and Caesar Bryan
Portfolio Managers
To Our Shareholders,
While equity markets worldwide experienced choppy rides during the third
quarter of 1999, it was smooth sailing for the Gabelli Global Opportunity Fund.
American financial market indices declined during the third quarter and some
foreign markets, while outperforming the U.S., also experienced stormy weather.
For the Gabelli Global Opportunity Fund, however, our flexible approach to stock
picking paid off again with superior returns. In sharp contrast to the relative
inconsistency among financial markets throughout the world, telecommunications
and media holdings continued to buoy performance with solid returns.
Investment Performance
For the third quarter ended September 30, 1999, The Gabelli Global
Opportunity Fund's (the "Fund") total return was 4.69%. The Lipper Global Fund
Average and Morgan Stanley Capital International World Free Index of global
equity markets declined 1.02% and 1.06%, respectively, over the same period. The
Morgan Stanley World Free Index is an unmanaged indicator of stock market
performance, while the Lipper Average reflects the average performance of mutual
funds classified in this particular category.
The Fund was up 46.57% over the trailing twelve-month period. The Lipper
Global Fund Average and Morgan Stanley World Free Index rose 30.54% and 30.90%,
respectively, over the same twelve-month period. Since inception on May 11, 1998
through September 30, 1999, the Fund had a cumulative total return of 42.02%,
which equates to an average annual total return of 28.67%.
<PAGE>
INVESTMENT RESULTS (a)
- --------------------------------------------------------------------------------
Quarter
----------------------------------------
1st 2nd 3rd 4th Year
------ -------- ------- ------- ---------
1999: Net Asset Value $11.47 $13.00 $13.61 -- --
Total Return ... 8.7% 13.3% 4.7% -- --
- --------------------------------------------------------------------------------
1998: Net Asset Value -- $10.23 $ 9.69 $10.55 $10.55
Total Return ... -- 2.3%(b) (5.3)% 13.7% 10.1%(b)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Average Annual Returns - September 30, 1999 (a)
-----------------------------------------------
1 Year ................................................... 46.57%
Life of Fund (b) ......................................... 28.67%
- --------------------------------------------------------------------------------
Dividend History
- --------------------------------------------------------------------------------
Payment (ex) Date Rate Per Share Reinvestment Price
- ----------------- -------------- -------------------
December 28, 1998 $0.450 $10.34
(a) Total returns and average annual 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 May 11, 1998.
Note: Investing in foreign securities involves risks not ordinarily associated
with investments in domestic issues, including currency fluctuation, economic
and political risks.
- --------------------------------------------------------------------------------
Our Investment Objective
The Gabelli Global Opportunity Fund seeks to invest in common stock of
companies which have rapid growth in revenues and earnings and equities trading
at a significant discount to their intrinsic value. The Fund's primary objective
is capital appreciation. Marc Gabelli and Caesar Bryan are responsible for the
day-to-day management of the Gabelli Global Opportunity Fund. Currently, Marc
Gabelli is Portfolio Manager for the Gabelli Global Interactive Couch Potato(R)
Fund. Caesar Bryan is Portfolio Manager of the Gabelli International Growth and
Gabelli Gold Funds.
Global Allocation
The accompanying chart presents the Fund's holdings by geographic region
as of September 30, 1999. The geographic allocation will change based on current
global market conditions. Countries and/or regions represented in the chart and
below may or may not be included in the Fund's future portfolio.
HOLDINGS BY GEOGRAPHIC REGION - 9/30/99
[The following table was depicted as a pie chart in the printed material.]
Europe 39.5%
United States 29.2%
Japan 19.8%
Canada 5.5%
Australia 4.2%
South Africa 1.8%
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COMMENTARY
Wireless Works
About one year ago, AT&T began to set a new standard for the wireless
communications industry. By piecing together a nearly seamless national network,
eliminating roaming charges, and lowering prices to 20 cents per minute for
calls to anywhere in the U.S., AT&T has forced other wireless providers to
follow suit. The push is on for low cost national and even global wireless
services. Prices throughout the industry are dropping and usage is increasing.
New programs such as "calling party pays" and prepaid plans are also making
wireless services more attractive. Finally, laptop computer sales continue to
rise, and more data is moving over wireless systems. This further fuels demand
for the wireless spectrum and enhances the value of wireless assets.
Toward the end of this quarter, we celebrated a blessed event: Telephone &
Data Systems ("TDS"), one of our larger holdings, sold its personal
communications services ("PCS") business Aerial Communications to VoiceStream
Wireless. Although we like the investment prospects for PCS, TDS obtained a
premium price for this business, and in the process of eliminating an asset that
demanded considerable capital expenditures, improved its net earnings outlook.
TDS stock made a move upward in the midst of market declines during the last two
weeks of September. In addition, this transaction should help to surface value
in our other wireless communications holdings. We can already see the effects of
the new wireless dynamics at work - Omnipoint, the Fund's largest holding, saw
its price almost double during the third quarter.
Cable Modems
In our second quarter letter to shareholders, we opined that high-speed
cable modems gave the cable television providers an edge over telephone
companies in the battle for Internet traffic. This was the reason for our
investment in General Instrument, one of the world's leading cable modem
manufacturers. General Instrument's stock rose impressively this quarter on the
announcement that it would be purchased by Motorola. Our investment paid off, as
the powerful wireless communications provider decided to venture into the world
of data transmission.
Gold Fever Strikes Again
On September 26, fifteen European Central Banks released a statement
indicating that they would cease selling off their gold reserves and
participating in gold options trading. The statement, made by the Central Banks
of Austria, Belgium, Finland, France, Germany, Ireland, Italy, Luxembourg, the
3
<PAGE>
Netherlands, Portugal, Spain, Sweden, Switzerland, and England, caused an
immediate rise in the price of gold from $265 per ounce to $300 per ounce by the
end of the quarter. On a fundamental basis the supply/demand equation remains
supportive of a higher price. Demand is about 4,000 tons and mine supply can
only fill about 2,300 tons. The rest of the demand is met from above ground
supplies, much of which comes from central banks.
Gold stocks have responded to the move in bullion, but there has been a
differentiation in performance between those companies that have hedged a
significant portion of their reserves and production and those that have left
themselves exposed to changes in the gold price. In this new gold environment,
gold equities should perform well with investors concentrating on unhedged
producers. This should benefit the Fund's portfolio of gold equities.
There's Always Television
As the final year of the final decade of the final century of the second
millennium winds to a close, one of the twentieth century's most influential
inventions to date plain old television - continues to sit atop the media food
chain. No one can deny that the Internet is poised to take a big chunk of
television broadcasters' revenues but, as history has proven, innovations occur
when they are needed. Both within the U.S. and abroad, media companies are
becoming more fully integrated, taking advantage of synergies and streamlining
to cut costs. In the process, the largest media empires to date are being
created, with giants preparing to race around the world in search of global
advertising dollars. Set to profit from this new dynamic are the
broadcasters-those companies whose positions in the distribution channels make
them the key ingredients to any media giant's integrated advertising campaign.
Broadcasters around the globe are already feeling the effects of their new-found
popularity in terms of rising stock prices. Here at the Fund, we anticipated
this development and have positioned ourselves accordingly.
From Stem to Stern
While choppy seas brought some holdings to the edge of drowning, the Fund
as a whole managed to stay afloat in the third quarter. This quarter's top
performers came from a few sectors - telecommunications and wireless
communications (Omnipoint, KDD and Japan Telecom), mining companies (Anglogold,
Antofogasta, Newmont and Harmony) and broadcasting (Tokyo Broadcasting)
dominated the list of top ten performers. Backed by the resurgence of the
Japanese economy and the yen's gains against the dollar, the Fund's Japanese
holdings led the performance charge among all geographic sectors. Eight of the
Fund's top fifteen performers were Japanese stocks, all of which posted returns
above 20%.
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A few of our other holdings could not tread water. While the holdings that
posted negative returns were spread throughout the various industry sectors, a
disproportionate number of those that fell overboard were financial services
stocks that were negatively affected by global uneasiness about the economic
horizon.
Let's Talk Stocks
The following are stock specifics on selected holdings of our Fund.
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. The share prices of foreign holdings are stated in U.S. dollar equivalent
terms as of September 30, 1999.
Bell Atlantic Corp. (BEL - $67.3125 - NYSE), following its merger with NYNEX and
its impending merger with GTE (GTE - $76.875 - NYSE), is a premier provider of
advanced voice and data services from Maine to Virginia - the world's most
information-intensive marketplace. The company serves 22 million households.
Bell Atlantic is one of the world's largest and most successful wireless
companies, with domestic operations in 24 states and international investments
in Latin America, Europe and the Pacific Rim. In September 1999, BEL announced a
wireless joint venture with Vodafone AirTouch to provide domestic cellular and
PCS services. BEL is also a global leader in publishing directories and in
providing Internet-based shopping guides, website creation and hosting, and
other electronic commerce services. The company has a mix of mature and start-up
communications businesses in Europe and the Pacific Rim, including a 24.9% stake
in Telecom Corp. of New Zealand and an 18.5% stake in Cable & Wireless
Communications.
Cable & Wireless plc (CWP - $33.125 - NYSE), a United Kingdom-based company, is
a global telecommunications provider with interests in local telephone
companies. Major subsidiaries include Hong Kong Telecommunications (HKT - $21.75
- - NYSE) (54% owned) and the publicly traded, U.K.-based company, Cable &
Wireless Communications (CWZ - $52.125 -NYSE) (53% owned) which is the largest
cable system operator in the U.K. CWZ owns 100% of Mercury Communications, the
second largest provider of telecommunications services in Britain, and is a
majority stakeholder in Bell Cable Media, Nynex CableComms and Videotron
Holdings plc. In August, the company agreed to sell Cable & Wireless
Communications' consumer business to NTL Inc. for 8 billion pounds and will
retain its data assets including Mercury Communications. Hong Kong Telecom is
the dominant telecommunications service provider in Hong Kong and remains the
"crown jewel" of the CWP portfolio. Cable & Wireless has dramatically expanded
its global Internet presence with its September 1998 acquisition of Internet MCI
for $1.75 billion.
5
<PAGE>
Canal + (CNLP.PA - $59.70 - Paris Stock Exchange) is Europe's leading pay
television company, operating throughout Europe with the exception of the U.K.,
Ireland and Germany. Canal + provides premium channels as well as film and
television programming. The company has expanded its businesses to include
digital television service and is a majority owner in Numericable, one of
France's top three cable operators, and Paris St. Germain, the top French soccer
club.
Compagnie Financiere Richemont AG (RIFZ.S - $2,002.23 - Zurich Stock Exchange)
is one of the world's leading luxury goods companies with such brand names as
Cartier, Piaget, Montblanc, Karl Lagerfeld and Alfred Dunhill. The company also
has a major investment in tobacco. Richemont recently swapped its tobacco
business, Rothmans International, in exchange for a 25% stake in B.A.T., the
world's second largest tobacco company. Adjusted for its stake in B.A.T. and
Vivendi, the French utility and media conglomerate, the market values its wholly
owned luxury goods business at a significant discount to other luxury goods
producers.
CRH plc (CRH.L - $19.26 - London Stock Exchange) is a Dublin, Ireland-based
international building materials company that has an excellent long-term track
record of increasing earnings per share. CRH is a leading producer and
distributor of a wide range of building products and materials that has grown by
making acquisitions that are complimentary to its existing operations. CRH's
diversity in its product line and geographic reach keep this company well
protected against a slow down in any one particular product segment or country.
This global presence should contribute to CRH's continued growth.
General Instrument Corp. (GIC - $48.125 - NYSE) is the world's leading supplier
of secure interactive digital cable television delivery systems and analog
set-top systems. The company offers digital cable delivery systems, analog
set-top systems, transmission network systems and Internet protocol network
systems through its Broadband Network Systems division. The company sells
digital satellite uplink and downlink products for commercial and consumer use
through its Satellite Data Networks division. General Instrument is in the
process of being acquired by Motorola (MOT - $88.00 - NYSE) in a stock swap
valued at approximately $11 billion.
Ito Yokado Co. Ltd (8264.T - $82.39 - Tokyo Stock Exchange) is one of Japan's
leading retailers and operates supermarkets mainly in Tokyo and Kanagawa,
selling clothing, foodstuffs and household utensils. The company's subsidiaries
include Seven-Eleven Japan. Ito Yokado ranks second in industry sales and is
top-ranked in profits.
6
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Japan Telecom Co. Ltd. (9434.T - $23,405.00 - Tokyo Stock Exchange) provides
domestic long distance telephone and leased line services through its fiber
optic cable network connected to local telephone exchanges owned by Nippon
Telegraph & Telephone and local common carriers. The company also participates
in other telecommunications-related businesses such as cellular telephone
services. British Telecommunications and AT&T have each recently taken a
significant stake in Japan Telecom and Vodafone AirTouch is a partner in its
cellular operations.
KDD Corp. (9431.T - $103.08 - Tokyo Stock Exchange) provides international
telecommunications services in Japan. The company's services include telephone,
telex, circuit leasing, data communications, and data transfer. KDD completed
the JIH (a nationwide fiber-optic network) in the spring of this year,
augmenting the existing fiber-optic network it inherited from its merger with
TWJ, forming the most extensive fiber-optic network in the country. KDD is
reportedly discussing a joint venture with American providers Qwest
Communications and SBC.
Liberty Media Group (LMG'A - $37.125 - NYSE) is engaged in businesses which
provide programming services, including production, acquisition and distribution
through all available media formats, as well as businesses engaged in electronic
retailing, direct marketing and other services. LMG holds interests in
globally-branded entertainment networks such as Discovery Channel, USA Network,
QVC, Encore and STARZ!. Liberty's assets also include interests in international
video distribution businesses international telephony and domestic wireless,
plant and equipment manufacturers, and other businesses related to broadband
services. Liberty Media Group Class A and Class B common stock are tracking
stocks of AT&T Corp. (T - $43.50 - NYSE) and are now traded on the New York
Stock Exchange.
Omnipoint Corp. (OMPT - $55.875 - Nasdaq) is a leading personal communications
services ("PCS") carrier in the U.S., with licenses covering major metropolitan
areas containing nearly 100 million people. On June 23, 1999, Omnipoint agreed
to be acquired by VoiceStream Wireless (VSTR - $61.72 - Nasdaq) for 0.825 shares
of VoiceStream and $8.00 cash per shares of OMPT. The combined company will have
PCS licenses covering about 190 million points of presence ("POPs") and will
become a major PCS carrier.
Rogers Communications Inc. (RG - $16.8125 - NYSE) provides cellular service and
digital personal communications services ("PCS") through its interest in Rogers
Cantel Mobile Communications. The company also offers cable television and video
services through Rogers Cablesystems and radio and television broadcasting,
publishing, and new media businesses through Rogers Multimedia. We believe the
company is likely to participate in the concentration of the North American
cable television industry.
7
<PAGE>
Seagram Co. (VO - $45.50 - NYSE), with its 1995 purchase of an 80% interest in
MCA from Matsushita Electric Industrial Co. for $5.7 billion, operates two
global businesses: beverages and entertainment. Spirits and Wine group's major
beverage brands include Chivas Regal, Martell, Mumm, Crown Royal and Seagram's
Gin. With its $10.4 billion December acquisition of Polygram, Seagram has
created the world's leading music company, the Universal Music Group. Seagram's
entertainment business includes the Universal Motion Pictures Group, the
Universal Studios Recreation Group and a 46% interest in USA Networks (USAI -
$38.75- Nasdaq).
Sony Corp. (6758.T - $148.95 - Tokyo Stock Exchange) develops and manufactures
consumer and industrial electronic equipment. The company's products include
audio and video equipment, televisions, displays, semiconductors, electronic
components, computers and computer peripherals, and telecommunication equipment.
Sony will focus on evolving digital network technology in its electronics
business. In July, the Columbia House record and video club subsidiary announced
plans to merge with CDNow. After the merger, Sony will have a 37% stake in the
new company.
Tokyo Broadcasting System Inc. (9401.T - $20.08 - Tokyo Stock Exchange) is a
media company, nationally broadcasting television and radio programs. The
company is active in television program production, film production, recorded
music, and both domestic and international cable television programming. Tokyo
Broadcasting also produces and sells software, videotapes, CD-ROMs, and DVDs.
The company is in the process of launching digital satellite broadcasting in a
joint venture with Sumitomo and is also considering spinning off its radio and
other production divisions.
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.
Additionally, The Gabelli Global Opportunity Fund and other Gabelli Funds are
available through the no-transaction fee programs at many major discount
brokerage firms.
Internet
You can now visit us on the Internet. Our home page 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].
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In Conclusion
We formed the Gabelli Global Opportunity Fund in May of last year because
we believed that there were many companies around the world with real
opportunities for earnings growth that were trading at discounts to their
intrinsic value and growth rates. Applying our valuation approach to the global
scene, and employing a few growth tactics, we felt that we could earn
significant returns for our shareholders. While we would never dream of patting
ourselves on our backs or counting our proverbial chickens before they are
hatched, we feel that the Fund's initial performance speaks for itself. While we
recognize that it will be difficult to earn such a high rate of return
consistently in the future, we believe that the Fund's basic investment strategy
is sound and should continue to be successful in the future.
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 GABOX. Please call us during the
business day for further information.
Sincerely,
/s/ Marc j. Gabelli /s/ Caesar Bryan
Marc J. Gabelli Caesar Bryan
Portfolio Manager Portfolio Manager
/s/ Ivan Arteaga
Ivan Arteaga, CFA
Associate Portfolio Manager
October 25, 1999
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Top Ten Holdings
September 30, 1999
------------------
Omnipoint Corp. Japan Telecom Co. Ltd.
KDD Corp. Liberty Media Group
Tokyo Broadcasting System Inc. Canal +
General Instrument Corp. Cable & Wireless plc
Bell Atlantic Corp. Seagram Co.
- --------------------------------------------------------------------------------
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.
9
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The Gabelli Global Opportunity Fund
Portfolio of Investments -- September 30, 1999 (Unaudited)
================================================================================
Market
Shares Value
------ ---------
COMMON STOCKS -- 92.3%
Automotive -- 0.4%
900 General Motors Corp. ....................... $ 56,644
----------
Broadcasting -- 8.5%
3,650 Audiofina .................................. 184,514
15 Fuji Television Network Inc. ............... 105,603
14,800 Granada Group plc .......................... 126,821
10,000 Mediaset SpA ............................... 102,062
450 NRJ SA ..................................... 122,123
1,125 Pathe SA ................................... 116,256
20,000 Publishing & Broadcasting Ltd. ............. 119,453
13,000 Tokyo Broadcasting System Inc. ............. 261,059
----------
1,137,891
----------
Building and Construction -- 1.7%
7,300 CRH plc .................................... 139,298
8,000 Sekisui House Ltd. ......................... 90,025
----------
229,323
----------
Business Services -- 3.7%
4,000 Asatsu-DK Inc. ............................. 130,319
500 Havas Advertising SA ....................... 119,728
2,190 Vivendi .................................... 153,710
2,200 Young & Rubicam Inc.+ ...................... 96,800
----------
500,557
----------
Cable -- 3.4%
2,000 MediaOne Group Inc.+ ....................... 136,625
1,400 NTL Inc.+ .................................. 134,531
2,500 UnitedGlobalCom Inc., Cl. A+ ............... 179,063
----------
450,219
----------
Communications Equipment -- 3.1%
5,000 General Instrument Corp.+ .................. 240,625
2,300 GN Store Nord A/S .......................... 75,735
600 Mannesmann AG .............................. 96,216
----------
412,576
----------
Computer Software and Services -- 0.7%
7,000 CDNow Inc.+ ................................ 87,062
----------
Consumer Products -- 4.0%
720 Christain Dior SA .......................... 117,238
70 Compagnie Financiere Richemont AG .......... 141,556
4,000 KAO Corp. .................................. 112,718
5,000 Sega Enterprises ........................... 104,152
7,321 Unilever NV ................................ 68,941
----------
544,605
----------
Consumer Services -- 0.6%
5,000 Rollins Inc. ............................... 77,188
----------
Diversified Industrial -- 0.5%
7,000 General Electric Co. plc ................... 67,185
----------
Electronics -- 2.2%
1,000 Sony Corp. ................................. 148,949
1,000 Sony Corp., ADR ............................ 150,063
----------
299,012
----------
Energy and Utilities -- 3.0%
1,000 BP Amoco plc, ADR .......................... 110,813
12,180 Citizens Utilities Co., Cl. B+ ............. 137,786
2,500 Schlumberger Ltd. .......................... 155,781
----------
404,380
----------
Entertainment -- 6.7%
3,700 Canal Plus ................................. 220,906
12,000 EMI Group plc .............................. 87,715
6,088 Liberty Media Group, Cl. A+ ................ 226,017
50,000 Rank Group plc ............................. 176,360
5,000 USA Networks Inc.+ ......................... 193,750
----------
904,748
----------
Equipment and Supplies -- 1.5%
4,000 THK Co. Ltd. ............................... 117,587
4,000 Toyo Seikan Kaisha Ltd. .................... 86,130
----------
203,717
----------
Financial Services -- 9.0%
2,600 Assicurazioni Generali SpA ................. 86,332
500 AXA-UAP .................................... 63,217
15,500 Banca Commerciale Italiana ................. 106,893
1,500 Banque Nationale de Paris .................. 119,648
1,800 Citigroup Inc. ............................. 79,200
2,262 Invik & Co. AB, B Free ..................... 144,947
3,000 Mellon Bank Corp. .......................... 101,250
900 Morgan (J.P.) & Co. ........................ 102,825
3,000 Safra Republic Holdings SA ................. 171,737
6,500 Schroders plc .............................. 135,474
10,000 Skandinaviska Enskilda Banken, Cl. A ....... 101,916
----------
1,213,439
----------
Food and Beverage -- 3.2%
25,800 Foster's Brewing Group Ltd. ................ 72,753
45 Nestle SA .................................. 84,470
4,500 Seagram Co. ................................ 204,750
5,100 Whitman Corp. .............................. 72,675
----------
434,648
----------
Health Care -- 1.4%
60 Novartis AG ................................ 88,904
9 Roche Holding AG ........................... 104,030
----------
192,934
----------
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<PAGE>
The Gabelli Global Opportunity Fund
Portfolio of Investments (Continued) -- September 30, 1999 (Unaudited)
================================================================================
Market
Shares Value
------ -----------
COMMON STOCKS (Continued)
Hotels and Gaming -- 1.4%
13,000 Mirage Resorts Inc.+ ....................... $ 182,813
-----------
Metals and Mining -- 6.2%
3,000 Anglogold Ltd., ADR ........................ 94,312
20,000 Antofagasta Holdings plc ................... 130,387
5,000 Barrick Gold Corp. ......................... 108,750
8,300 Harmony Gold Mining Ltd. ................... 49,987
12,800 Harmony Gold Mining Ltd., ADR .............. 76,800
3,500 Newmont Mining Corp. ....................... 90,562
6,000 Placer Dome Inc. ........................... 89,250
2,700 Stillwater Mining Co.+ ..................... 72,563
25,000 WMC Ltd. ................................... 127,286
-----------
839,897
-----------
Publishing -- 6.7%
9,000 Arnoldo Mondadori Editore SpA .............. 157,083
9,250 Gruppo Editoriale L'Espresso SpA ........... 172,275
34,000 Independent News & Media plc ............... 179,113
7,000 News Corp. Ltd., ADR ....................... 199,063
8,000 Schibsted ASA .............................. 79,014
12,000 United News & Media plc .................... 115,570
-----------
902,118
-----------
Retail -- 2.0%
2,000 Ito Yokado Co. Ltd. ........................ 164,771
25,000 Sagami Co. Ltd. ............................ 67,874
1,000 Tsutsumi Jewelry Co. Ltd. .................. 37,448
-----------
270,093
-----------
Telecommunications -- 17.0%
2,000 BCE Inc. ................................... 99,625
3,500 Bell Atlantic Corp. ........................ 235,594
6,250 Cable & Wireless plc, ADR .................. 207,031
5,000 Cincinnati Bell Inc. ....................... 97,187
25 DDI Corp. .................................. 187,240
10,500 Electric Lightwave Inc.+ ................... 139,125
5,125 Global Crossing Ltd. + ..................... 135,813
10 Japan Telecom Co. Ltd. ..................... 234,050
3,000 KDD Corp. .................................. 309,226
13 Nippon Telegraph and Telephone Corp. ....... 159,435
10,500 Rogers Communications Inc., Cl. B+ ......... 176,531
1,500 Telecom Italia SpA, ADR .................... 129,281
3,642 Telefonica SA .............................. 174,816
-----------
2,284,954
-----------
Wireless Communications -- 5.4%
7,000 Omnipoint Corp.+ ........................... 391,125
20,000 Telecom Italia Mobile SpA, ADR ............. 124,304
2,300 Telephone & Data Systems Inc. .............. 204,269
-----------
719,698
-----------
TOTAL COMMON STOCKS ........................ 12,415,701
-----------
TOTAL INVESTMENTS -- 92.3%
(Cost $10,569,692) ....................... 12,415,701
Other Assets and Liabilities (Net) -- 7.7% . 1,033,549
-----------
NET ASSETS -- 100.0%
(988,083 shares outstanding) ............. $13,449,250
===========
NET ASSET VALUE, Offering and Redemption
Price Per Share .......................... $13.61
===========
- ----------
+ Non-income producing security.
ADR - American Depositary Receipt.
% of
Market Market
Geographic Diversification Value Value
- -------------------------- --------- -----------
Europe 39.5% $ 4,903,622
North America 34.7% 4,305,778
Japan 19.8% 2,466,647
Asia/Pacific Rim 4.2% 518,555
South Africa 1.8% 221,099
--------- -----------
100.0% $12,415,701
========= ===========
11
<PAGE>
Gabelli Global Series Funds, Inc.
The Gabelli Global Opportunity 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 Directors
Mario J. Gabelli, CFA Karl Otto Pohl
Chairman and Chief Former President
Investment Officer Deutsche Bundesbank
Gabelli Asset Management Inc.
Felix J. Christiana Werner J. Roeder, MD
Former Senior Vice President Medical Director
Dollar Dry Dock Savings Bank Lawrence Hospital
Anthony J. Colavita Anthonie C. van Ekris
Attorney-at-Law Managing DIrector
Anthony J. Colavita, P.C. BALMAC International, Inc.
John D. Gabelli
Senior Vice President
Gabelli & Company, Inc.
Officers and Portfolio Managers
Mario J. Gabelli, CFA Marc J. Gabelli
President and Chief Portfolio Manager
Investment Officer
Caesar Bryan Bruce N. Alpert
Portfolio Manager Vice President and Treasurer
James E. McKee
Secretary
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 Global Opportunity Fund. It is not authorized for distribution to
prospective investors unless preceded or accompanied by an effective prospectus.
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