[GRAPHIC OF FLAGS OMITTED]
THE GABELLI GLOBAL GROWTH FUND
THIRD QUARTER REPORT
SEPTEMBER 30, 2000
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[GRAPHIC OF FIVE STARS OMITTED]
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MORNINGSTAR RATED[TRADE MARK] GABELLI GLOBAL GROWTH
5 STARS OVERALL AND FOR THE THREE AND FIVE-YEAR
PERIOD ENDED 09/30/00 AMONG 3876 AND 2419
DOMESTIC EQUITY FUNDS, RESPECTIVELY.
-------------------------------------------
#1 GLOBAL FUND
-------------------------------------------
LIPPER INC. RANKED GABELLI GLOBAL GROWTH #1
FOR THE FIVE-YEAR PERIOD ENDED 09/30/00
AMONG 117 GLOBAL FUNDS.*
-------------------------------------------
TO OUR SHAREHOLDERS,
In the third quarter of 2000, multimedia stocks continued to drift lower.
Profit taking, concern over valuations, a slowdown in headline making deals, and
pricing pressure in the most competitive sectors of the media and
telecommunications industry plagued the group. With rising oil prices and the
plummeting euro threatening economic growth on the continent, European
multimedia stocks were hit particularly hard.
INVESTMENT PERFORMANCE
For the third quarter ended September 30, 2000, The Gabelli Global Growth
Fund (the "Fund") Class AAA Shares' net asset value ("NAV") decreased 11.63%.
The Morgan Stanley Capital International World Free Index of global equity
markets and Lipper Global Fund Average declined 5.42% and 3.11%, 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 16.48% over the trailing twelve-month period. The Morgan Stanley
World Free Index and Lipper Global Fund Average rose 8.01% and 18.75%,
respectively, over the same twelve-month period.
--------------------------------------------------------------------------------
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS. Morningstar proprietary
ratings reflect historical risk adjusted performance as of September 30, 2000
and are subject to change every month. Morningstar ratings are calculated from a
Fund's three, five and ten-year average annual returns in excess of 90-day
T-Bill returns with appropriate fee adjustments and a risk factor that reflects
fund performance below 90-day T-Bill returns. The top 10% of the funds in a
broad asset class receive five stars, the next 22.5% receive four stars, the
next 35% receive three stars, the next 22.5% receive two stars and the bottom
10% receive one star. *The Fund was ranked 128 out of 258 Global Funds tracked
by Lipper Inc. for the one-year period, and 4 out of 175 Gloabl Funds for the
three-year period ended 9/30/00. Lipper rankings are based upon twelve-month,
three and five-year total returns at NAV.
<PAGE>
<TABLE>
<CAPTION>
INVESTMENT RESULTS (CLASS AAA SHARES) (a)
--------------------------------------------------------------------------------------------------------------
Quarter
--------------------------------------------
1st 2nd 3rd 4th Year
--- --- --- --- ----
<S> <C> <C> <C> <C> <C>
2000: Net Asset Value .................... $36.37 $31.46 $27.80 -- --
Total Return ....................... 3.4% (13.5)% (11.6)% -- --
--------------------------------------------------------------------------------------------------------------
1999: Net Asset Value .................... $20.33 $23.52 $24.91 $35.17 $35.17
Total Return ....................... 19.7% 15.7% 5.9% 47.4% 116.1%
--------------------------------------------------------------------------------------------------------------
1998: Net Asset Value .................... $16.45 $17.39 $15.17 $16.99 $16.99
Total Return ....................... 15.2% 5.7% (12.8)% 21.4% 28.9%
--------------------------------------------------------------------------------------------------------------
1997: Net Asset Value .................... $11.79 $13.72 $15.02 $14.28 $14.28
Total Return ....................... 0.3% 16.4% 9.5% 10.9% 41.7%
--------------------------------------------------------------------------------------------------------------
1996: Net Asset Value .................... $12.57 $13.40 $13.22 $11.75 $11.75
Total Return ....................... 7.3% 6.6% (1.3)% (0.3)% 12.5%
--------------------------------------------------------------------------------------------------------------
1995: Net Asset Value .................... $10.62 $11.28 $12.30 $11.72 $11.72
Total Return ....................... 3.6% 6.2% 9.0% (1.8)% 17.9%
--------------------------------------------------------------------------------------------------------------
1994: Net Asset Value .................... $9.90 $9.97 $10.54 $10.25 $10.25
Total Return ....................... (1.0)%(b) 0.7% 5.7% (2.8)% 2.5%(b)
--------------------------------------------------------------------------------------------------------------
</TABLE>
Dividend History
-------------------------------------------------------
Payment (ex) Date Rate Per Share Reinvestment Price
----------------- -------------- ------------------
December 27, 1999 $1.465 $33.50
December 28, 1998 $1.385 $16.56
December 31, 1997 $2.370 $14.28
December 31, 1996 $1.436 $11.75
December 29, 1995 $0.363 $11.72
----------------------------------------------------------
Average Annual Returns (Class AAA Shares)
-----------------------------------------
September 30, 2000 (a)
----------------------
1 Year ......................................... 16.48%
5 Year ......................................... 28.09%
Life of Fund (b) ............................... 24.26%
----------------------------------------------------------
(a) Total returns and average annual returns reflect changes in share price and
reinvestment of dividends and are net of expenses for Class AAA Shares. 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
February 7, 1994. Note: Investing in foreign securities involves risks not
ordinarily associated with investments in domestic issues, including currency
fluctuation, economic and political risks.
--------------------------------------------------------------------------------
For the five-year period ended September 30, 2000, the Fund's total return
averaged 28.09% annually, versus average annual total returns of 14.13% and
15.05% for the Morgan Stanley World Free Index and Lipper Global Fund Average,
respectively. Since inception on February 7, 1994 through September 30, 2000,
the Fund had a cumulative total return of 324.16%, which equates to an average
annual total return of 24.26%.
MULTI-CLASS SHARES
The Gabelli Global Series Funds, Inc. began offering additional classes of
Fund shares in March 2000. The existing shares remain no-load and have been
redesignated as "Class AAA" Shares.
2
<PAGE>
Class A, Class B and Class C Shares are targeted to the needs of investors who
seek advice through financial consultants. For the third quarter ended September
30, 2000, The Gabelli Global Growth Fund Class A Shares, Class B Shares and
Class C Shares declined 11.64%, 11.68% and 11.68%, respectively. The Class A
Shares, Class B Shares and the Class C Shares ended the third quarter with net
asset values of $27.79, $27.76 and $27.76, respectively.
GLOBAL ALLOCATION
The accompanying chart presents the Fund's holdings by geographic region
as of September 30, 2000. 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.
[PIE CHART OMITTED]
HOLDINGS BY GEOGRAPHIC REGION - 9/30/00
EDGAR REPRESENTATION OF DATA POINTS AS FOLLOWS:
UNITED STATES 48.3%
EUROPE 24.2%
JAPAN 16.3%
ASIA/PACIFIC RIM 8.3%
CANADA 2.9%
COMMENTARY
TMT
Technology, media, and telecommunications ("TMT") stocks produced
exceptional returns in 1997-99. This year, media and telecommunications stocks
languished. This is partially the result of good old-fashioned profit taking in
stocks that had delivered spectacular returns and momentum investors were
dumping.
However, there are other factors that have temporarily soured investors on
media and telecommunication stocks. Consolidation has slowed as regulators here
and abroad are redefining "competitive" standards. European regulators rejected
Time Warner's proposed acquisition of European recorded music powerhouse EMI.
The WorldCom/Sprint merger was derailed by U.S. regulators. U.S. antitrust
authorities are taking a hard look at the Time Warner/AOL deal. These actions
have put potential international telecommunications acquirers such as Deutsche
Telecom temporarily on hold. Smaller deals without antitrust implications are
being completed. However, these smaller deals do not generate the kind of
headlines that captivate investors. Is this the start of a global regulatory
backlash? We do not think so. Consolidation in these industries makes economic
sense in a truly global marketplace.
The constricted capital markets are also causing disruption. As a result
of the "dot.com" stock massacre, the new issue market appears to be closed for
the season and venture capital firms have pulled in their horns. Internet
start-ups are not the only companies being hurt. Promising young media and
telecommunications companies are just not going to be able to survive without
being able to tap the equity or venture capital markets for cash infusions.
These cash-burn casualties will be absorbed by larger entities at rock-bottom
prices, indiscriminately depressing asset values for more worthy
3
<PAGE>
competitors. For example, Time Warner Telecom scooped up bankrupt competitive
local exchange carrier ("CLEC") GST Telecommunications at a fire sale price.
Shortly thereafter, virtually every CLEC stock got shelled.
Media and telecommunications companies do face serious challenges in the
years ahead. Not all will be up to the task. The Internet is the competitive
tool of the future, but not all media companies will make a successful
transition into the online world. This will be a particularly tough hurdle for
print media companies without a well-planned Internet strategy. The long
distance telephony market is besieged by cutthroat competition and pricing. This
will likely continue for the foreseeable future as margins and earnings are
sacrificed on the altar of market share. Technology will bring new entrants and
established companies will have to fight vigorously to preserve their
franchises.
All things considered, how do we feel about the media and
telecommunications stocks that have rewarded us so generously over the past
several years, but performed so poorly in 2000? Just fine thank you. There are
going to be winners and losers in these rapidly changing industries. Risk and
reward always go hand in hand. Going forward, stock selection remains the key to
making money in these dynamic industries. The silver lining in the cloud
overhanging the media and telecommunications groups is that we now have more
value oriented opportunities to choose from. We believe if we do our analysis,
we can identify many of the companies that will prosper while avoiding most of
those that will fail. A solid stock picking batting average in these groups
should produce attractive long-term returns.
A MEDIA BASTILLE DAY?
In recent years, regulatory barricades in the media industry have been
coming down. Television and radio station cross-ownership barriers have fallen
and broadcast companies have been allowed to substantially expand their national
footprints. But, there are still walls preventing media companies from realizing
their full potential. Media companies are not permitted to own television
stations and newspapers in the same market. Broadcasters and cable television
companies still have onerous and unnecessary restrictions on the number of
customers they can service. We believe as the Internet Age unfolds--making
information and entertainment instantly available to an increasing percentage of
the American public--media companies will be liberated from largely unnecessary
restrictions. Federal Communications Commission ("FCC") Chairman William Kennard
is retiring after the election. The new FCC boss, whether a Democrat or a
Republican, may promote more market oriented regulation. Eventually, common
sense and economic realities will rise above politics, and media companies will
be unshackled. Our portfolio is well positioned to celebrate a Bastille Day for
the media industry. Content will again be King--just as Cash is again King.
SPECTRUM
America is well behind the rest of the developed world in building
state-of-the-art wireless communications systems. One of the reasons is that the
FCC has kept tight control over the transmission spectrum needed to fully
develop wireless networks. Broadcasters have been allocated large chunks of
spectrum to be used to deliver high definition television ("HDTV"). It now
appears that
4
<PAGE>
the demand for HDTV will fall well short of previous expectations. Currently,
there is a debate over whether the FCC should retake control of this spectrum or
allow broadcasters to sell it on the open market. We think the latter option
makes more sense. This is a win/win situation. Broadcasters could make a bundle
by auctioning off spectrum and wireless communications companies would be able
to acquire the spectrum they need to further develop their systems.
INVESTMENT SCOREBOARD
Several wireless communications companies boosted the Fund's performance
during the third quarter of 2000. Centennial Cellular Corp., United States
Cellular Corp., and Telephone & Data Systems Inc. all posted positive gains for
the quarter. Broadcasting companies, namely Chris-Craft Industries and Young
Broadcasting Inc., also enhanced the Funds performance.
Telecommunications stocks such as PSINet Inc., Koninklijke KPN, and Sprint
Corp. had a negative impact on the Fund.
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 the following holdings are stated in U.S. dollar
equivalent terms as of September 30, 2000.
AT&T CORP. (T - $29.375 - NYSE) provides voice, data and video communications
services to large and small businesses, as well as consumers and government
entities. AT&T and its subsidiaries furnish domestic and international long
distance, regional, local and wireless communications services, cable television
and Internet communications services. Recently, the company announced that it
would split into four separate companies. After the restructuring, AT&T Wireless
will be converted from a tracking stock to an independent common stock. AT&T
Broadband, which includes cable, will have an initial public offering (IPO) for
a tracking stock, and within 12 months of the IPO the tracking stock will be
converted into common stock. AT&T Consumer will become a new consumer tracking
stock that will mirror the performance of the companies' residential long
distance and WorldNet Internet access business. AT&T's principal unit would be
AT&T Business, and shareholders would ultimately own all four.
CABLE & WIRELESS PLC (CWP - $42.5625 - NYSE) is a United Kingdom-based provider
of global telecommunications network services. Its key assets include: (1)
ownership in leading voice, data & ISP networks in the U.K. and U.S.; (2)
numerous stakes in undersea telecom network routes; and (3) a strong regional
presence in Asia/Pacific, Europe and the Caribbean/Latin America. Sale of Cable
& Wireless HKT plc to Pacific Century Cyberworks (PCW - $11.00 - NYSE) closed on
August 17, 2000. As a result of this transaction, CWP holds a meaningful
position in PCW.
5
<PAGE>
CABLEVISION SYSTEMS CORP. (CVC - $66.3125 - NYSE) is one of the nation's leading
communications and entertainment companies, with a portfolio of operations that
spans state-of-the-art, high-speed multimedia delivery, subscription cable
television services, championship professional sports teams and national cable
television networks. Headquartered in Bethpage, N.Y., Cablevision serves nearly
3 million cable customers in the most important cable TV market--New York.
Cablevision is a leader in delivering cutting-edge technological innovation,
such as high speed cable, to the home. Through its Rainbow Media Holdings
subsidiary, Cablevision manages recognized content offerings such as American
Movie Classics, Bravo and The Independent Film Channel. Cablevision owns and
operates New York City's famed Madison Square Garden, which includes the arena
complex, the New York Knicks, the New York Rangers and the MSG network.
Cablevision also operates Radio City Entertainment and holds a long term lease
for Radio City Music Hall, home of the world-famous Rockettes.
LIBERTY MEDIA GROUP (LMG'A - $18.00 - NYSE), run by savvy media investor John
Malone, is engaged in businesses that provide programming services (including
production, acquisition and distribution through all 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 investment portfolio
also includes interests in international video distribution businesses,
international telephony and domestic wireless companies, 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.
NIPPON BROADCASTING SYSTEM INC. (4660.T - $55.71 - TOKYO STOCK EXCHANGE) is the
top listener-rated AM radio broadcaster in Japan and also operates a music
subsidiary, Pony Canyon. Nippon distributes its content through the Internet,
digital satellite, mobile Internet and terrestrial means. The company is also a
large shareholder of Fuji Television.
TELEPHONE & DATA SYSTEMS INC. (TDS - $110.70 - AMEX) is a diversified
telecommunications service company with cellular telephone, local telephone and
personal communications services ("PCS") operations. TDS serves 3.7 million
customers in 35 states. TDS conducts the vast majority of its cellular
operations through its 81% owned United States Cellular Corp. (USM - $70.00 -
AMEX) and conducts its telephone operations through its wholly-owned TDS
Telecommunications Corp. ("TDS Telecom") subsidiary, a full-service local
exchange carrier. Having completed a merger of its 82%-owned PCS subsidiary
Aerial Communications with VoiceStream Wireless (VSTR - $116.0625 - Nasdaq), TDS
now owns 35.6 million shares of VSTR valued at over $4.0 billion. VSTR is in the
process of being acquired by Deutsche Telecom (DT - $34.25 - NYSE), a former
German phone monopoly, for 3.2 DT shares plus $30 in cash per VSTR share.
U.S. CELLULAR CORP. (USM - $70.00 - AMEX) is a 81% owned subsidiary of TDS and
is a wireless carrier with cellular licenses covering over 25 million people
primarily in rural and suburban markets. USM currently serves over 2.8 million
subscribers and is an important roaming partner for national wireless carriers
such as ATT Wireless (AWE - $20.875 - NYSE), Verizon Wireless (VZ - $48.4375 -
NYSE), and Sprint PCS (PCS - $35.125 - NYSE).
6
<PAGE>
USA NETWORKS INC. (USAI - $21.9375 - NASDAQ), through its subsidiaries, engages
in diversified media and electronic commerce businesses that include electronic
retailing, ticketing operations and television broadcasting. Chairman and CEO
Barry Diller has brought together under one umbrella the USA Network, the Sci-Fi
Channel, USA Networks Studios, USA Broadcasting, The Home Shopping Network and
the Ticketmaster Group. The plan is to integrate these assets, leveraging
programming, production capabilities and electronic commerce across this strong
distribution platform.
VIVENDI (EX.PA - $74.30 - PARIS STOCK EXCHANGE) recently announced plans to
merge with Canal Plus, of France, and Seagram, of Canada. Vivendi has announced
plans to spin-off Vivendi Environment. At the completion of the merger, Vivendi
will have completed its transition from France's largest environmental services
company to a global communications company engaged in film, music and
communications. The group also owns 44% of Cegetel, France's second largest
telecommunications operator.
VOICESTREAM WIRELESS CORP. (VSTR - $116.0625 - NASDAQ) is one of the remaining
two U.S. independent national wireless service providers with PCS licenses
covering over 220 million people. VSTR was spun-off of Western Wireless about 18
months ago and is the only national carrier utilizing GSM (Global System for
Mobile Communication) technology, a dominant standard in Europe. VSTR is in the
process of being acquired by Deutsche Telecom (DT - $34.25 - NYSE), a former
German phone monopoly, for 3.2 DT shares plus $30 in cash per VSTR share. The
merger is pending regulatory approval and is expected to close in 2001. DT
ownership will provide VSTR with significant financial resources and allow it to
aggressively build out its licensed territory and gain market share in the
growing domestic wireless industry.
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 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 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].
7
<PAGE>
IN CONCLUSION
After a long and rewarding run, multimedia stocks have gone from being
market darlings to market discards. In this instance, the market's trash is our
treasure. Media and telecommunications businesses still have exceptional global
growth potential, which we believe will be realized in the years ahead. We
believe the group continues to present a wealth of investment opportunities for
disciplined and selective investors.
Sincerely,
/S/ SIGNATURE /S/ SIGNATURE
MARC J. GABELLI IVAN ARTEAGA, CFA
Team Portfolio Manager Associate Portfolio Manager
October 16, 2000
--------------------------------------------------------------------
TOP TEN HOLDINGS
SEPTEMBER 30, 2000
--------------------------------------------------------------------
AT&T Corp. Vivendi
Telephone & Data Systems Inc. USA Networks Inc.
VoiceStream Wireless Corp. Nippon Broadcasting System Inc.
Liberty Media Group Cablevision Systems Corp.
Cable & Wireless Plc United States Cellular Corp.
--------------------------------------------------------------------
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.
8
<PAGE>
THE GABELLI GLOBAL GROWTH FUND
PORTFOLIO OF INVESTMENTS -- SEPTEMBER 30, 2000 (UNAUDITED)
================================================================================
MARKET
SHARES VALUE
------ ------
COMMON STOCKS -- 95.2%
AUTOMOTIVE -- 2.1%
211,000 Toyota Motor Corp. ........................... $ 8,337,684
-----------
AUTOMOTIVE: PARTS AND ACCESSORIES -- 1.1%
300,000 Delphi Automotive Systems Corp.+ ............. 4,537,500
-----------
BROADCASTING -- 8.0%
52,200 Ackerley Group Inc. .......................... 522,000
48,151 Audiofina .................................... 5,217,732
19,570 Chris-Craft Industries Inc.+ ................. 1,612,079
65,000 Clear Channel Communications Inc.+ ........... 3,672,500
125,000 Granada Media plc ............................ 833,504
40,000 Infinity Broadcasting Corp.+ ................. 1,320,000
172,000 Nippon Broadcasting System Inc. .............. 9,582,085
145,700 NRJ Groupe+ .................................. 5,734,196
570,000 Seven Network Ltd. ........................... 2,308,378
28,500 Young Broadcasting Inc., Cl. A+ .............. 895,969
-----------
31,698,443
-----------
BUSINESS SERVICES -- 4.2%
407,000 Cendant Corp.+ ............................... 4,426,125
163,000 Vivendi ...................................... 12,110,939
-----------
16,537,064
-----------
CABLE -- 5.4%
140,000 Cablevision Systems Corp., Cl. A+ ............ 9,283,750
50,000 Charter Communications Inc., Cl. A+ .......... 813,281
119,462 NTL Inc.+ .................................... 5,532,584
200,000 UnitedGlobalCom Inc., Cl. A+ ................. 6,000,000
-----------
21,629,615
-----------
COMMUNICATIONS EQUIPMENT-- 1.7%
250,000 Furukawa Electric Co. Ltd. ................... 6,905,886
-----------
COMPUTER SOFTWARE AND SERVICES-- 3.5%
34,000 Electronic Arts Inc.+ ........................ 1,678,750
35,000 Genuity Inc.+ ................................ 228,594
75,000 Microsoft Corp.+ ............................. 4,518,750
400,000 PSINet Inc.+ ................................. 3,850,000
36,900 Softbank Corp. ............................... 3,448,918
-----------
13,725,012
-----------
CONSUMER SERVICES -- 1.8%
430,000 Ticketmaster Online-City Search Inc.+ ........ 7,283,125
-----------
ELECTRONICS -- 6.3%
58,500 Kyocera Corp. ................................ 8,932,538
97,000 Philips Electronics NV ....................... 4,174,482
33,000 Samsung Electronics Co. ...................... 5,977,671
58,000 Sony Corp. ................................... 5,882,658
-----------
24,967,349
-----------
MARKET
SHARES VALUE
------ -----------
ENTERTAINMENT -- 9.1%
95,000 EMI Group plc ................................ $ 758,470
66,500 GC Companies Inc.+ ........................... 199,500
740,000 Liberty Media Group, Cl. A+ .................. 13,320,000
190,000 Publishing & Broadcasting Ltd. ............... 1,378,812
60,000 SMG plc ...................................... 247,057
45,000 Time Warner Inc. ............................. 3,521,250
504,000 USA Networks Inc.+ ........................... 11,056,500
55,000 Viacom Inc., Cl. A+ .......................... 3,217,500
40,000 Viacom Inc., Cl. B+ .......................... 2,340,000
-----------
36,039,089
-----------
FINANCIAL SERVICES -- 0.2%
10,310 Invik & Co. AB, Cl. B ........................ 956,829
-----------
PUBLISHING -- 6.7%
532,800 Arnoldo Mondadori Editore SpA ................ 6,337,708
52,000 Harcourt General Inc. ........................ 3,068,000
807,400 Independent News &
Media plc, Dublin, New Shares .............. 2,953,116
76,000 News Corp. Ltd., ADR ......................... 4,260,750
213,700 PRIMEDIA Inc.+ ............................... 3,499,337
100,000 Promotora de Informaciones SA ................ 2,259,010
19,000 Scripps (E.W.) Co., Cl. A .................... 1,026,000
400 Tribune Co. .................................. 17,450
289,700 United News & Media plc ...................... 3,124,605
-----------
26,545,976
-----------
REAL ESTATE -- 0.5%
165,000 Cheung Kong (Holdings) Ltd. .................. 1,994,545
-----------
RETAIL -- 0.4%
180,000 Blockbuster Inc., Cl. A ...................... 1,586,250
-----------
SATELLITE -- 1.1%
50,000 General Motors Corp., Cl. H+ ................. 1,859,000
40 JSAT Corp. ................................... 429,391
354,000 Loral Space & Communications Ltd.+ ........... 2,168,250
-----------
4,456,641
-----------
TELECOMMUNICATIONS: BROADBAND -- 0.0%
48,000 ICG Communications Inc.+ ..................... 21,000
-----------
TELECOMMUNICATIONS: LOCAL -- 6.7%
45,600 AT&T Canada Inc.+ ............................ 1,392,582
61,700 AT&T Canada Inc., Cl. B+ ..................... 1,881,850
120,500 BellSouth Corp. .............................. 4,850,125
340,000 Citizens Communications Co. .................. 4,568,750
115,000 Rogers Communications Inc., Cl. B+ ........... 2,724,756
90,600 Rogers Communications Inc., Cl. B, ADR+ ...... 2,146,087
186,200 Verizon Communications ....................... 9,019,062
-----------
26,583,212
-----------
<PAGE>
See accompanying notes to financial statements.
9
<PAGE>
THE GABELLI GLOBAL GROWTH FUND
PORTFOLIO OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2000 (UNAUDITED)
================================================================================
MARKET
SHARES VALUE
------ -----------
TELECOMMUNICATIONS: LONG DISTANCE -- 8.0%
587,500 AT&T Corp. ................................... $17,257,812
560 DDI Corp. .................................... 3,679,438
65,200 KDD Corp. .................................... 4,651,374
40,000 Qwest Communications International Inc.+ ..... 1,922,500
85,000 Sprint Corp.+ ................................ 2,491,562
174,000 Viatel Inc.+ ................................. 1,783,500
-----------
31,786,186
-----------
TELECOMMUNICATIONS: NATIONAL -- 12.5%
125,000 British Telecommunications plc ............... 1,314,017
150,000 Cable & Wireless plc ......................... 2,140,129
240,000 Cable & Wireless plc, ADR .................... 10,215,000
50,000 China Unicom Ltd., ADR+ ...................... 1,090,625
99,000 HPY Holding - HTF Holding Oyj Abp, Cl. A ..... 3,537,212
235 Japan Telecom Co. Ltd. 6,785,120
162,528 KPN NV ....................................... 3,539,582
1,741,500 Olivetti SpA+ ................................ 4,794,642
603,200 Portugal Telecom SA .......................... 6,201,052
318,200 Telecom Italia SpA ........................... 3,380,685
23,700 Telecom Italia SpA, ADR ...................... 2,488,500
80,700 Telecom Italia SpA, Cl. RNC .................. 440,089
189,817 Telefonica SA ................................ 3,760,361
-----------
49,687,014
-----------
WIRELESS COMMUNICATIONS -- 15.8%
1,000 AT&T Wireless Group+ ......................... 20,875
167,200 Centennial Cellular Corp., Cl. A+ ............ 3,678,400
25,000 China Mobile (Hong Kong) Ltd., ADR+ .......... 810,937
125 NTT DoCoMo Inc.+ ............................. 3,585,971
92,100 Rogers Wireless
Communications Inc., Cl. B+ ................ 2,797,537
147,700 Telephone & Data Systems Inc. ................ 16,350,390
27,000 Teligent Inc., Cl. A+ ........................ 351,000
131,700 United States Cellular Corp.+ ................ 9,219,000
2,419,584 Vodafone Group plc ........................... 9,032,821
47,500 Vodafone Group plc, ADR ...................... 1,757,500
116,387 VoiceStream Wireless Corp.+ .................. 13,508,166
45,000 Western Wireless Corp., Cl. A+ ............... 1,603,125
-----------
62,715,722
-----------
TOTAL COMMON STOCKS .......................... 377,994,142
-----------
MARKET
SHARES VALUE
------ -----------
PREFERRED STOCKS -- 1.0%
BUSINESS SERVICES -- 0.1%
34,000 MindArrow Systems Inc.
Pfd., Ser. C+ (a) .......................... $ 371,875
-----------
ENTERTAINMENT -- 0.1%
350,000 Village Roadshow Ltd., Pfd. .................. 229,351
-----------
PUBLISHING -- 0.8%
66,500 News Corp. Ltd., Pfd., ADR ................. 3,117,188
-----------
TOTAL PREFERRED STOCKS ....................... 3,718,414
-----------
PRINCIPAL
AMOUNT
---------
CORPORATE BONDS -- 0.0%
$50,000 USA Networks Inc.,
Sub. Deb. Cv.,
7.000%, 07/01/03 ............................ 49,938
-----------
SHARES
------
WARRANTS -- 0.0%
6,800 MindArrow Systems Inc., Warrants+(a) ......... 0
-----------
TOTAL INVESTMENTS -- 96.1%
(Cost $364,336,474) ........................ 381,762,494
OTHER ASSETS AND
LIABILITIES (NET) -- 3.9% .................. 15,576,234
-----------
NET ASSETS -- 100.0%
(14,293,799 shares outstanding) ............ $397,338,728
============
----------------------
(a) Restricted security and fair valued under procedures established by Board
of Directors.
+ Non-income producing security.
ADR - American Depositary Receipt.
% OF
MARKET MARKET
GEOGRAPHIC DIVERSIFICATION VALUE VALUE
-------------------------- ------ ------------
North America ............ 51.2% $195,531,354
Europe ................... 24.2% 92,456,875
Asia/Pacific Rim ......... 8.3% 31,553,202
Japan .................... 16.3% 62,221,063
------ ------------
100.0% $381,762,494
====== ============
See accompanying notes to financial statements.
10
<PAGE>
--------------------------------------------------------------------------------
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. (MULTI-CLASS)
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. (MULTI-CLASS)
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. (MULTI-CLASS)
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.
(MULTI-CLASS)
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.
(MULTI-CLASS)
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% (MULTI-CLASS)
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. (MULTI-CLASS) TEAM
MANAGED
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. (MULTI-CLASS) TEAM MANAGED
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. (MULTI-CLASS) TEAM MANAGED
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.
(MULTI-CLASS) TEAM MANAGED
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. (MULTI-CLASS) 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.
--------------------------------------------------------------------------------
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>
Gabelli Global Series Funds, Inc.
THE GABELLI GLOBAL GROWTH 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
Mario J. Gabelli, CFA James E. McKee
PRESIDENT AND CHIEF SECRETARY
INVESTMENT OFFICER
Bruce N. Alpert
VICE PRESIDENT 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
--------------------------------------------------------------------------------
This report is submitted for the general information of the shareholders of The
Gabelli Global Growth Fund. It is not authorized for distribution to prospective
investors unless preceded or accompanied by an effective prospectus.
-------------------------------------------------------------------------------
GAB442Q300SR
[PHOTO OF MARIO J. GABELLI OMITTED]
THE
GABELLI
GLOBAL
GROWTH
FUND
THIRD QUARTER REPORT
SEPTEMBER 30, 2000
