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The Gabelli Asset Fund Annual Report — December 31, 2013 Portfolio Management Team Mario J. Gabelli, CFA Christopher J. Marangi Jeffrey J. Jonas, C...

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The Gabelli Asset Fund Annual Report — December 31, 2013 Portfolio Management Team

Mario J. Gabelli, CFA

Christopher J. Marangi

Jeffrey J. Jonas, CFA

Kevin V. Dreyer

Morningstar® rated The Gabelli Asset Fund Class AAA Shares 5 stars overall, 3 stars for the three year period and 5 stars for the five and ten year periods ended December 31, 2013 among 1,355, 1,355, 1,215, and 794 Large Blend funds, respectively. Morningstar RatingTM is based on risk-adjusted returns.

To Our Shareholders, For the year ended December 31, 2013, the net asset value (“NAV”) per Class AAA Share of The Gabelli Asset Fund increased 32.4% compared with an increase of 32.4% for the Standard & Poor’s (“S&P”) 500 Index. See page 3 for additional performance information. Enclosed are the schedule of investments and financial statements as of December 31, 2013. Performance Discussion (Unaudited) On the first business day of trading in January 2013, stocks began trading with a strong start to the year. Self-imposed U.S. governmental crisis (the debt ceiling and “sequestration” spending cuts) were either averted or shrugged off by the market. Global monetary policy also remained accommodative, with the Federal Reserve (“Fed”) and Mario Draghi’s European Central Bank continuing to keep rates low. Even Japan, following the election of Shinzo Abe, has said that it will use all options to beat deflation, leading to a substantial weakening of the yen. Signs of modest improvement in the U.S. economy contrasted with renewed volatility in Europe, economic deceleration in China and Latin America, and political unrest in the Middle East. The Fed continued its program of quantitative easing throughout the year with the economy slowly improving. The Fed’s decision to keep its bond repurchasing at $85 billion per month rather than taper also helped to bolster market returns. At the end of the third quarter, the attention turned to the federal government shutdown that started on October 1 and the potential for the U.S bumping up against the Federal debt ceiling. Despite recurring drama in Washington, recession in Europe, and turmoil in emerging markets, the U.S. equity market ended the year 170% above its March 2009 low, representing a compounded annual return of over 22% during this period.

Selected holdings that contributed positively to performance in 2013 were Viacom Inc. (1.2% of net assets as of December 31, 2013), a pure play content company that owns a global stable of cable networks, including MTV, Nickelodeon, VHI and BET, and the Paramount movie studios; INDEX Corp. (1.4%) a diversified, engineered products company serving high-growth niche markets; and Curtis-Wright Corp (0.7%), an innovative engineering company with approximately 10,000 employees. Some of our weaker performing stocks during the year were Newmont Mining Corp. (0.4%), a gold mining company; Barrick Gold Corp. (0.2%), the largest gold mining company in the world, with its headquarters in Toronto, Ontario, Canada and four regional business units located in Australia, Africa, North America, and South America; and NII Holdings Inc. (less than 0.05%), a provider of mobile communication services. We appreciate your confidence and trust. Sincerely yours,

Bruce N. Alpert President February 11, 2014

Morningstar Rating™ is based on risk-adjusted returns. The Overall Morningstar Rating is derived from a weighted average of the performance figures associated with a fund’s three, five, and ten year (if applicable) Morningstar Rating metrics. For funds with at least a three year history, a Morningstar Rating is based on a risk-adjusted return measure (including the effects of sales charges, loads, and redemption fees) placing more emphasis on downward variations and rewarding consistent performance. For each fund with at least a three year history, Morningstar calculates a Morningstar Rating based on a Morningstar Risk-Adjusted Return measure (including the effects of sales charges, loads, and redemption fees) that accounts for variations in a fund’s monthly performance, place more emphasis on downward variations and rewarding consistant performance. The top 10% of funds in each category receive 5 stars, the next 22.5% 4 stars, the next 35% 3 stars, the next 22.5% 2 stars, and the bottom 10% 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) Morningstar Rating is for the AAA Share class only; other classes may have different performance characteristics. Ratings reflect relative performance. Results for certain periods were negative. © 2014 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.

2

Comparative Results Since Inception 1 Year 5 Year 10 Year (3/3/86) Class AAA (GABAX) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32.37% 19.69% 9.84% 12.68% S&P 500 Index. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32.39 17.94 7.41 10.35(d) Dow Jones Industrial Average . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29.59 16.69 7.43 11.40(d) Nasdaq Composite Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40.12 22.92 8.81 9.07(d) Class A (GATAX) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32.37 19.69 9.84 12.68 With sales charge (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24.76 18.28 9.19 12.43 Class C (GATCX) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31.41 18.82 9.03 12.38 With contingent deferred sales charge (c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30.41 18.82 9.03 12.38 Class I (GABIX). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32.70 19.99 10.01 12.74 In the current prospectuses dated April 30, 2013, the expense ratios for Class AAA, A, C, and I Shares are 1.38%, 1.38%, 2.13%, and 1.13%, respectively. See page 16 for the expense ratios for the year ended December 31, 2013. Class AAA and Class I Shares do not have a sales charge. The maximum sales charge for Class A and Class C Shares is 5.75% and 1.00%, respectively. (a) Returns represent past performance and do not guarantee future results. Total returns and average annual returns reflect changes in share price, reinvestment of distributions, and are net of expenses. Investment returns and the principal value of an investment will fluctuate. When shares are redeemed, they may be worth more or less than their original cost. Current performance may be lower or higher than the performance data presented. Visit www.gabelli.com for performance information as of the most recent month end. Returns would have been lower had Gabelli Funds, LLC (the “Adviser”) not reimbursed certain expenses of the Fund for periods prior to December 31, 1988. The Fund imposes a 2% redemption fee on shares sold or exchanged within seven days after the date of purchase. Investors should carefully consider the investment objectives, risks, charges, and expenses of the Fund before investing. The prospectuses contain information about these and other matters and should be read carefully before investing. To obtain a prospectus please visit our website at www.gabelli.com. The S&P 500 Index is a market capitalization weighted index of 500 large capitalization stocks commonly used to represent the U.S. equity market. The Dow Jones Industrial Average and the Nasdaq Composite Index are unmanaged indicators of stock market performance. Dividends are considered reinvested, except for the Nasdaq Composite Index. You cannot invest directly in an index. The Class AAA Share NAVs are used to calculate performance for the periods prior to the issuance of Class A Shares and Class C Shares on December 31, 2003 and Class I Shares on January 11, 2008. The actual performance of the Class A Shares and Class C Shares would have been lower due to the additional fees and expenses associated with these classes of shares. The actual performance of the Class I Shares would have been higher due to lower expenses related to this class of shares. (b) Performance results include the effect of the maximum 5.75% sales charge at the beginning of the period. (c) Assuming payment of the 1% maximum contingent deferred sales charge imposed on redemptions made within one year of purchase. (d) The S&P 500 Index, Dow Jones Industrial Average, and Nasdaq Composite Index since inception performance results are as of February 28, 1986. Average Annual Returns through December 31, 2013 (a) (Unaudited)

COMPARISON OF CHANGE IN VALUE OF A $10,000 INVESTMENT IN THE GABELLI ASSET FUND (CLASS AAA SHARES) AND S&P 500 INDEX (Unaudited)

$300,000 The Gabelli Asset Fund (Class AAA Shares) $277,478 $250,000

S&P 500 Index $154,752

$200,000 $150,000 $100,000 $50,000 Class AAA

$0

Average Annual Total Returns* 1 Year 5 Year 10 Year Since Inception 32.37% 19.69% 9.84% 12.68%

3/3/86 12/31/87 12/31/89 12/31/91 12/31/93 12/31/95 12/31/97 12/31/99 12/31/01 12/31/03 12/31/05 12/31/07 12/31/09 12/31/11 12/31/13

* Past performance is not predictive of future results. The performance tables and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

3

The Gabelli Asset Fund Disclosure of Fund Expenses For the Six Month Period from July 1, 2013 through December 31, 2013

Expense Table

hypothetical expenses based on the Fund’s actual expense ratio. It assumes a hypothetical annualized return of 5% before expenses during the period shown. In this case – because the hypothetical return used is not the Fund’s actual return – the results do not apply to your investment and you cannot use the hypothetical account value and expense to estimate the actual ending account balance or expenses you paid for the period. This example is useful in making comparisons of the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in shareholder reports of other funds.

We believe it is important for you to understand the impact of fees and expenses regarding your investment. All mutual funds have operating expenses. As a shareholder of a fund, you incur ongoing costs, which include costs for portfolio management, administrative services, and shareholder reports (like this one), among others. Operating expenses, which are deducted from a fund’s gross income, directly reduce the investment return of a fund. When a fund’s expenses are expressed as a percentage of its average net assets, this figure is known as the expense ratio. The following examples are intended to help you understand the ongoing costs (in dollars) of investing in your Fund and to compare these costs with those of other mutual funds. The examples are based on an investment of $1,000 made at the beginning of the period shown and held for the entire period.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs such as sales charges (loads), redemption fees, or exchange fees, if any, which are described in the Prospectus. If these costs were applied to your account, your costs would be higher. Therefore, the 5% hypothetical return is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. The “Annualized Expense Ratio” represents the actual expenses for the last six months and may be different from the expense ratio in the Financial Highlights which is for the year ended December 31, 2013.

The Expense Table below illustrates your Fund’s costs in two ways: Actual Fund Return: This section provides information about actual account values and actual expenses. You may use this section to help you to estimate the actual expenses that you paid over the period after any fee waivers and expense reimbursements. The “Ending Account Value” shown is derived from the Fund’s actual return during the past six months, and the “Expenses Paid During Period” shows the dollar amount that would have been paid by an investor who started with $1,000 in the Fund. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period.

Beginning Account Value 07/01/13

The Gabelli Asset Fund Actual Fund Return Class AAA $1,000.00 Class A $1,000.00 Class C $1,000.00 Class I $1,000.00 Hypothetical 5% Return Class AAA $1,000.00 Class A $1,000.00 Class C $1,000.00 Class I $1,000.00

To do so, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number given for your Fund under the heading “Expenses Paid During Period” to estimate the expenses you paid during this period.

Ending Account Value 12/31/13

Annualized Expense Ratio

Expenses Paid During Period*

$1,165.40 $1,165.30 $1,161.10 $1,166.70

1.35% 1.35% 2.10% 1.10%

$ 7.37 $ 7.37 $11.44 $ 6.01

$1,018.40 $1,018.40 $1,014.62 $1,019.66

1.35% 1.35% 2.10% 1.10%

$ 6.87 $ 6.87 $10.66 $ 5.60

* Expenses are equal to the Fund’s annualized expense ratio for the last six months multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half year (184 days), then divided by 365.

Hypothetical 5% Return: This section provides information about hypothetical account values and 4

Summary of Portfolio Holdings (Unaudited) The following table presents portfolio holdings as a percent of net assets as of December 31, 2013: The Gabelli Asset Fund Food and Beverage . . . . . . . . . . . . . . . . . Financial Services . . . . . . . . . . . . . . . . . . Cable and Satellite . . . . . . . . . . . . . . . . . . Equipment and Supplies . . . . . . . . . . . . . Entertainment . . . . . . . . . . . . . . . . . . . . . . Energy and Utilities . . . . . . . . . . . . . . . . . Health Care . . . . . . . . . . . . . . . . . . . . . . . . Consumer Products . . . . . . . . . . . . . . . . . Diversified Industrial. . . . . . . . . . . . . . . . . Automotive: Parts and Accessories . . . Machinery. . . . . . . . . . . . . . . . . . . . . . . . . . Aviation: Parts and Services . . . . . . . . . Retail. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Business Services . . . . . . . . . . . . . . . . . . Telecommunications . . . . . . . . . . . . . . . . Aerospace . . . . . . . . . . . . . . . . . . . . . . . . . Consumer Services . . . . . . . . . . . . . . . . . Metals and Mining . . . . . . . . . . . . . . . . . . Hotels and Gaming . . . . . . . . . . . . . . . . . Broadcasting . . . . . . . . . . . . . . . . . . . . . . . Computer Software and Services . . . . . Specialty Chemicals. . . . . . . . . . . . . . . . . Environmental Services. . . . . . . . . . . . . .

Publishing. . . . . . . . . . . . . . . . . . . . . . . . . . Automotive . . . . . . . . . . . . . . . . . . . . . . . . . Electronics . . . . . . . . . . . . . . . . . . . . . . . . . U.S. Government Obligations. . . . . . . . . Agriculture . . . . . . . . . . . . . . . . . . . . . . . . . Wireless Communications. . . . . . . . . . . . Transportation . . . . . . . . . . . . . . . . . . . . . . Communications Equipment. . . . . . . . . . Building and Construction . . . . . . . . . . . . Computer Hardware. . . . . . . . . . . . . . . . . Real Estate . . . . . . . . . . . . . . . . . . . . . . . . Real Estate Investment Trusts. . . . . . . . Manufactured Housing and Recreational Vehicles . . . . . . . . . . . . . Home Furnishings . . . . . . . . . . . . . . . . . . Airlines . . . . . . . . . . . . . . . . . . . . . . . . . . . . Closed-End Funds . . . . . . . . . . . . . . . . . . Other Assets and Liabilities (Net) . . . . .

11.5% 8.3% 7.6% 7.5% 6.9% 6.4% 4.9% 4.4% 4.2% 4.0% 3.4% 3.1% 2.8% 2.5% 2.1% 2.0% 2.0% 1.8% 1.7% 1.6% 1.5% 1.3% 1.1%

*

1.1% 1.1% 1.0% 0.8% 0.7% 0.7% 0.5% 0.3% 0.3% 0.3% 0.3% 0.1% 0.1% 0.0%* 0.0%* 0.0%* 0.1% 100.0%

Amount represents less than 0.05%.

The Fund files a complete schedule of portfolio holdings with the Securities and Exchange Commission (the “SEC”) for the first and third quarters of each fiscal year on Form N-Q. Shareholders may obtain this information at www.gabelli.com or by calling the Fund at 800-GABELLI (800-422-3554).The Fund’s Form N-Q is available on the SEC’s website at www.sec.gov and may also be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 800-SEC-0330. Proxy Voting The Fund files Form N-PX with its complete proxy voting record for the twelve months ended June 30, no later than August 31 of each year. A description of the Fund’s proxy voting policies, procedures, and how the Fund voted proxies relating to portfolio securities is available without charge, upon request, by (i) calling 800-GABELLI (800-422-3554); (ii) writing to The Gabelli Funds at One Corporate Center, Rye, NY 10580-1422; or (iii) visiting the SEC’s website at www.sec.gov.

5

The Gabelli Asset Fund Schedule of Investments — December 31, 2013 Shares

660,000 5,000 8,000 2,175,000 187,050,000 2,000 98,000

Cost COMMON STOCKS — 99.1% Aerospace — 2.0% Exelis Inc. . . . . . . . . . . . . . . . . . . . . $ Lockheed Martin Corp. . . . . . . . . Northrop Grumman Corp. . . . . . Rolls-Royce Holdings plc . . . . . Rolls-Royce Holdings plc, Cl. C†(a) . . . . . . . . . . . . . . . . . . . Spirit Aerosystems Holdings Inc., Cl. A† . . . . . . . . . . . . . . . . . The Boeing Co. . . . . . . . . . . . . . . .

Agriculture — 0.7% 412,000 Archer Daniels Midland Co. . . . 61,058 Monsanto Co. . . . . . . . . . . . . . . . . 9,000 Potash Corp of Saskatchewan Inc. . . . . . . . . . . . . . . . . . . . . . . . . 27,200 The Mosaic Co. . . . . . . . . . . . . . . .

6,654

Airlines — 0.0% American Airlines Group Inc.†.

Automotive — 1.1% 295,000 Ford Motor Co. . . . . . . . . . . . . . . . 135,000 Hertz Global Holdings Inc.† . . . 665,330 Navistar International Corp.† . . 96,100 PACCAR Inc.. . . . . . . . . . . . . . . . . . 3,200 Volkswagen AG . . . . . . . . . . . . . . .

3,153,567 $ 147,750 357,650 16,260,973

Market Value

309,747

62,973 5,643,746 25,928,737

68,160 13,376,020 73,915,492

5,292,912 1,180,246

17,880,800 7,116,310

41,185 472,495 6,986,838

296,640 1,285,744 26,579,494

5,099

168,013

3,806,658 3,111,455 16,099,565 493,664 128,709 23,640,051

4,551,850 3,863,700 25,408,953 5,686,237 866,804 40,377,544

Automotive: Parts and Accessories — 4.0% BorgWarner Inc. . . . . . . . . . . . . . . 1,029,203 Brembo SpA . . . . . . . . . . . . . . . . . . 3,995,221 CLARCOR Inc. . . . . . . . . . . . . . . . . 602,883 Cooper Tire & Rubber Co. . . . . . 129,102 Dana Holding Corp. . . . . . . . . . . . 6,033,819 Federal-Mogul Corp.† . . . . . . . . . 2,181,066 Genuine Parts Co.. . . . . . . . . . . . . 15,277,314 Johnson Controls Inc. . . . . . . . . 4,907,951 Modine Manufacturing Co.† . . . 1,174,864 O’Reilly Automotive Inc.† . . . . . 7,460,491 Standard Motor Products Inc. . 776,644 Superior Industries International Inc. . . . . . . . . . . . 3,649,504 91,400 Tenneco Inc.†. . . . . . . . . . . . . . . . . 2,419,319 49,637,381

3,816,550 5,170,498 145,714,233

Aviation: Parts and Services — 3.1% BBA Aviation plc . . . . . . . . . . . . . . 2,639,548 Curtiss-Wright Corp. . . . . . . . . . . 3,038,055 GenCorp Inc.† . . . . . . . . . . . . . . . . 1,952,181 Kaman Corp. . . . . . . . . . . . . . . . . . 1,946,448

5,707,176 27,101,165 10,451,600 4,811,303

1,075,000 435,500 580,000 121,100

238,000 12,000

12,579,600 743,300 916,880 45,921,785

302,078

230,400 350,000 94,000 5,000 550,600 145,678 546,500 430,500 115,000 173,400 88,000 185,000

Shares

302,200 18,000 26,666 13,334 198,300 108,000 12,000 366,000 50,000

196,300 67,070

Cost Precision Castparts Corp. . . . . . $ Woodward Inc. . . . . . . . . . . . . . . . Broadcasting — 1.6% CBS Corp., Cl. A, Voting. . . . . . . Cogeco Inc.. . . . . . . . . . . . . . . . . . . Corus Entertainment Inc., Cl. B, OTC. . . . . . . . . . . . . . . . . . Corus Entertainment Inc., Cl. B, Toronto . . . . . . . . . . . . . . Liberty Media Corp., Cl. A†. . . . LIN Media LLC, Cl. A†. . . . . . . . . Naspers Ltd., Cl. N. . . . . . . . . . . . Television Broadcasts Ltd.. . . . . Tokyo Broadcasting System Holdings Inc.. . . . . . . . . . . . . . .

19,232,008 829,974

43,320

644,784

21,662 655,627 1,674,000 472,418 1,680,508

322,853 29,041,035 3,100,680 1,253,777 2,447,300

726,526 8,873,152

620,074 57,492,485

Building and Construction — 0.3% Fortune Brands Home & Security Inc. . . . . . . . . . . . . . . . 2,678,310 Layne Christensen Co.† . . . . . . . 1,338,332 4,016,642

8,970,910 1,145,556 10,116,466

Business Services — 2.5% ACCO Brands Corp.†. . . . . . . . . . ARAMARK Holdings Corp.† . . . Ascent Capital Group Inc., Cl. A† . . . . . . . . . . . . . . . . . . . . . . 64,100 Blucora Inc.† . . . . . . . . . . . . . . . . . 240,000 Clear Channel Outdoor Holdings Inc., Cl. A . . . . . . . . . 15,080(b) Contax Participacoes SA† . . . . . 170,600 Ecolab Inc. . . . . . . . . . . . . . . . . . . . 15,000 Edenred . . . . . . . . . . . . . . . . . . . . . . 125,000 Fly Leasing Ltd., ADR . . . . . . . . . 60,000 Landauer Inc.. . . . . . . . . . . . . . . . . 355,900 Live Nation Entertainment Inc.† . . . . . . . . . . . . . . . . . . . . . . . 75,400 Macquarie Infrastructure Co. LLC . . . . . . . . . . . . . . . . . . . . . . . . 24,700 MasterCard Inc., Cl. A. . . . . . . . . 20,000 MOCON Inc. . . . . . . . . . . . . . . . . . . 5,000 Mohawk Industries Inc.† . . . . . . 40,000 Monster Worldwide Inc.† . . . . . 2,000 MSC Industrial Direct Co. Inc., Cl. A . . . . . . . . . . . . . . . . . . . . . . . 188,000 The Brink’s Co. . . . . . . . . . . . . . . . 890,000 The Interpublic Group of Companies Inc. . . . . . . . . . . . .

See accompanying notes to financial statements.

6

2,391,878 $ 64,093,401 426,301 547,320 12,394,411 112,711,965 3,256,445 342,646

138,000 26,000 38,000

12,881,664 9,427,707 6,048,900 120,200 10,802,772 2,866,943 45,463,335 22,084,650 1,474,300 22,318,314 3,238,400

Market Value

896,434 557,699

927,360 681,720

673,653 995,767

3,251,280 1,869,156

1,419,864 30,974 1,569,844 273,621 1,652,288 370,683

2,433,600 127,837 17,788,462 502,064 2,008,750 3,156,600

3,773,518

7,032,584

2,763,388 1,728,257 275,441 317,604 575,657

4,104,022 20,635,862 316,000 744,500 285,200

143,139 5,283,880

161,740 6,418,320

7,701,848

15,753,000

The Gabelli Asset Fund Schedule of Investments (Continued) — December 31, 2013 Shares

16,500

346,400 1,825,600 6,000 160,000 318,000 31,000 821,002 350,200 109,000 148,900 222,900 939,800 50,000 219,900 124,000 120,000 220,000 73,800

11,417 79,920

580,000 7,000

220,039 20,000 3,000

259,200 17,000

Cost COMMON STOCKS (Continued) Business Services (Continued) Visa Inc., Cl. A . . . . . . . . . . . . . . . . $ Cable and Satellite — 7.6% AMC Networks Inc., Cl. A† . . . . Cablevision Systems Corp., Cl. A . . . . . . . . . . . . . . . . . . . . . . . Charter Communications Inc., Cl. A† . . . . . . . . . . . . . . . . . . . . . . Comcast Corp., Cl. A . . . . . . . . . . Comcast Corp., Cl. A, Special . DigitalGlobe Inc.†. . . . . . . . . . . . . DIRECTV† . . . . . . . . . . . . . . . . . . . . DISH Network Corp., Cl. A† . . . EchoStar Corp., Cl. A† . . . . . . . . Liberty Global plc, Cl. A† . . . . . . Liberty Global plc, Cl. C† . . . . . . Rogers Communications Inc., New York, Cl. B. . . . . . . . . . . . . Rogers Communications Inc., Toronto, Cl. B . . . . . . . . . . . . . . Scripps Networks Interactive Inc., Cl. A . . . . . . . . . . . . . . . . . . Shaw Communications Inc., New York, Cl. B. . . . . . . . . . . . . Shaw Communications Inc., Toronto, Cl. B . . . . . . . . . . . . . . Sky Deutschland AG† . . . . . . . . . Time Warner Cable Inc. . . . . . . . Closed-End Funds — 0.0% Royce Global Value Trust Inc.† . . . . . . . . . . . . . . . . . . . . . . . Royce Value Trust Inc. . . . . . . . .

869,361 $ 31,872,920

Market Value

80,000 82,000 62,400

3,674,220 91,872,277

729,422

23,593,304

3,737,591

32,733,008

298,565 2,208,213 6,702,683 567,756 7,969,977 7,509,137 3,256,256 1,238,877 4,383,011

820,560 8,314,400 15,861,840 1,275,650 56,723,029 20,283,584 5,419,480 13,250,611 18,794,928

5,765,256

42,525,950

229,821

2,262,650

7,376,391

19,001,559

240,822

3,018,160

164,952 1,925,730 5,181,856 59,486,316

2,920,216 2,421,241 9,999,900 279,220,070

99,328 975,443 1,074,771

101,497 1,278,720 1,380,217

Communications Equipment — 0.3% Corning Inc. . . . . . . . . . . . . . . . . . . 4,787,706 Motorola Solutions Inc. . . . . . . . 395,938 5,183,644

10,335,600 472,500 10,808,100

Computer Hardware — 0.3% Hewlett-Packard Co. . . . . . . . . . . International Business Machines Corp. . . . . . . . . . . . . Wincor Nixdorf AG. . . . . . . . . . . .

Shares

4,820,692

6,156,691

3,510,946 153,769 8,485,407

3,751,400 207,883 10,115,974

Computer Software and Services — 1.5% Diebold Inc. . . . . . . . . . . . . . . . . . . 8,756,572 DST Systems Inc.. . . . . . . . . . . . . 1,170,048

8,556,192 1,542,580

1,600 39,803 152,000 20,000 30,000 55,000 189,200 70,000 97,200 275,000

20,000 162,000 30,000 11,000 399,800 378,000 259,800 3,400 32,000 20,000 14,000 11,500 25,000 48,000 120,800 9,000 10,000 50,000 1,098,400 10,000 4,000 373,000 75,000 58,000

8,333 5,000 146,400 534,400

Cost EarthLink Inc.. . . . . . . . . . . . . . . . . $ eBay Inc.† . . . . . . . . . . . . . . . . . . . . Fidelity National Information Services Inc. . . . . . . . . . . . . . . . Google Inc., Cl. A† . . . . . . . . . . . . Guidance Software Inc.† . . . . . . Internap Network Services Corp.† . . . . . . . . . . . . . . . . . . . . . InterXion Holding NV† . . . . . . . . MedAssets Inc.† . . . . . . . . . . . . . . Microsoft Corp. . . . . . . . . . . . . . . . NCR Corp.†. . . . . . . . . . . . . . . . . . . RealD Inc.† . . . . . . . . . . . . . . . . . . . Rockwell Automation Inc. . . . . . Yahoo! Inc.†. . . . . . . . . . . . . . . . . . Consumer Products — 4.4% Altria Group Inc. . . . . . . . . . . . . . . Avon Products Inc. . . . . . . . . . . . Brunswick Corp. . . . . . . . . . . . . . . Christian Dior SA . . . . . . . . . . . . . Church & Dwight Co. Inc. . . . . . Coty Inc., Cl. A. . . . . . . . . . . . . . . . Energizer Holdings Inc. . . . . . . . Givaudan SA. . . . . . . . . . . . . . . . . . Harley-Davidson Inc.. . . . . . . . . . Kimberly-Clark Corp.. . . . . . . . . . Mattel Inc. . . . . . . . . . . . . . . . . . . . . National Presto Industries Inc. . . . . . . . . . . . . . . . . . . . . . . . . Philip Morris International Inc. . . . . . . . . . . . . . . . . . . . . . . . . Reckitt Benckiser Group plc . . . Sally Beauty Holdings Inc.† . . . Stanley Black & Decker Inc. . . . Svenska Cellulosa AB, Cl. A . . . Svenska Cellulosa AB, Cl. B . . . Swedish Match AB. . . . . . . . . . . . Syratech Corp.† . . . . . . . . . . . . . . The Estee Lauder Companies Inc., Cl. A . . . . . . . . . . . . . . . . . . The Procter & Gamble Co. . . . . Unilever plc, ADR . . . . . . . . . . . . . Wolverine World Wide Inc. . . . . Consumer Services — 2.0% Allegion plc†. . . . . . . . . . . . . . . . . . Expedia Inc. . . . . . . . . . . . . . . . . . . IAC/InterActiveCorp. . . . . . . . . . . Liberty Interactive Corp., Cl. A† . . . . . . . . . . . . . . . . . . . . . .

See accompanying notes to financial statements.

7

Market Value

568,012 $ 2,864,625

405,600 4,500,980

1,170,063 1,037,598 337,910

3,349,632 1,793,136 402,010

1,023,795 305,142 531,888 1,628,938 4,866,949 629,648 3,459,813 4,802,453 33,153,454

1,143,040 472,200 594,900 2,058,650 6,444,152 597,800 11,485,152 11,121,000 54,467,024

388,525 3,336,602 735,843 307,335 1,287,498 6,124,933 6,366,009 1,182,809 80,600 1,186,368 252,700

767,800 2,789,640 1,381,800 2,078,484 26,498,744 5,764,500 28,120,752 4,855,782 2,215,680 2,089,200 666,120

346,759

925,750

950,939 1,552,981 975,145 711,282 169,715 709,301 12,638,025 2,000

2,178,250 3,809,763 3,651,784 726,210 307,843 1,539,215 35,299,219 30

180,995 14,298,424 2,404,004 269,731 56,458,523

301,280 30,365,930 3,090,000 1,969,680 161,393,456

87,309 239,485 1,475,257

368,250 348,300 10,056,216

4,014,796

15,684,640

The Gabelli Asset Fund Schedule of Investments (Continued) — December 31, 2013 Shares

36,551 868,200 319,100 72,000

10,000 10,000 5,000 35,800 418,600 79,800 272,534 440,000 25,000 334,500 20,000 118,500 154,300 17,000 245,000 12,000 65,000 21,300 151,000 207,000 115,700 336,800 6,500

140,000 100,000 12,800 80,000 1,500 6,000 680,000 47,000 267,400

11,000

Market Value

Shares

862,587 $ 3,008,073 11,027,809 522,739 21,238,055

4,480,787 26,297,778 12,913,977 2,364,480 72,514,428

178,400 10,000 266,000 298,800 222,600 118,200 11,000

118,020

1,093,200

238,798 45,044 458,552 6,741,479 721,431 14,852,830 14,134,228 349,237 2,891,845

359,300 449,200 518,026 28,150,850 4,181,520 16,016,823 40,202,800 1,540,000 14,523,990

999,049

1,046,200

2,755,006 183,765 306,600 1,533,959 462,854 2,217,442 1,972,137 1,174,873 1,449,216 1,127,495 7,511,135 477,757 62,722,752

3,792,000 63,263 406,640 5,174,400 895,200 5,048,550 3,435,985 5,550,760 1,430,975 6,307,964 13,822,272 650,000 154,659,918

1,367,652 2,151,614 189,423 418,702

1,470,000 2,596,000 641,792 881,600

212,220

363,885

1,077,139 14,143,841 1,279,666 6,796,886 27,637,143

3,918,000 11,757,200 2,590,170 11,741,534 35,960,181

652,895

872,520

Cost COMMON STOCKS (Continued) Consumer Services (Continued) Liberty Ventures, Cl. A† . . . . . . . $ Rollins Inc. . . . . . . . . . . . . . . . . . . . The ADT Corp. . . . . . . . . . . . . . . . . Tree.com Inc.†. . . . . . . . . . . . . . . . Diversified Industrial — 4.2% Acuity Brands Inc. . . . . . . . . . . . . Albany International Corp., Cl. A . . . . . . . . . . . . . . . . . . . . . . . Anixter International Inc. . . . . . . Blount International Inc.† . . . . . Crane Co.. . . . . . . . . . . . . . . . . . . . . Greif Inc., Cl. A . . . . . . . . . . . . . . . Greif Inc., Cl. B . . . . . . . . . . . . . . . Honeywell International Inc. . . . Ingersoll-Rand plc . . . . . . . . . . . . ITT Corp. . . . . . . . . . . . . . . . . . . . . . Jardine Matheson Holdings Ltd. . . . . . . . . . . . . . . . . . . . . . . . . Jardine Strategic Holdings Ltd. . . . . . . . . . . . . . . . . . . . . . . . . Katy Industries Inc.† . . . . . . . . . . Magnetek Inc.† . . . . . . . . . . . . . . . Myers Industries Inc. . . . . . . . . . Nortek Inc.† . . . . . . . . . . . . . . . . . . Pentair Ltd. . . . . . . . . . . . . . . . . . . . Sulzer AG. . . . . . . . . . . . . . . . . . . . . Textron Inc.. . . . . . . . . . . . . . . . . . . Toray Industries Inc. . . . . . . . . . . Trinity Industries Inc. . . . . . . . . . Tyco International Ltd. . . . . . . . . Waters Corp.† . . . . . . . . . . . . . . . . Electronics — 1.0% Cypress Semiconductor Corp.. Intel Corp. . . . . . . . . . . . . . . . . . . . . Kyocera Corp., ADR. . . . . . . . . . . LSI Corp. . . . . . . . . . . . . . . . . . . . . . Mettler-Toledo International Inc.† . . . . . . . . . . . . . . . . . . . . . . . Samsung Electronics Co. Ltd., GDR(c) . . . . . . . . . . . . . . . . . . . . Sony Corp., ADR. . . . . . . . . . . . . . TE Connectivity Ltd.. . . . . . . . . . . Texas Instruments Inc. . . . . . . . . Energy and Utilities — 6.4% Anadarko Petroleum Corp. . . . .

20,000 216,700 83,700 299,600 47,000 130,000 179,300 138,000 277,900 30,000 47,000 12,000 58,200 30,000 65,200 220,000 45,000 128,000 172,500 195,000 75,000 105,000 37,000 865,000

195,500 196,500 28,000 71,400 767,400 2,500 211,800 447,300 285,001 2,240,000

BP plc, ADR . . . . . . . . . . . . . . . . . . $ Cameron International Corp.† . Chevron Corp. . . . . . . . . . . . . . . . . ConocoPhillips . . . . . . . . . . . . . . . CONSOL Energy Inc. . . . . . . . . . . Devon Energy Corp.. . . . . . . . . . . Diamond Offshore Drilling Inc. . . . . . . . . . . . . . . . . . . . . . . . . Edison International. . . . . . . . . . . El Paso Electric Co. . . . . . . . . . . . EOG Resources Inc.. . . . . . . . . . . Exxon Mobil Corp. . . . . . . . . . . . . FirstEnergy Corp. . . . . . . . . . . . . . GenOn Energy Inc., Escrow† . . Halliburton Co. . . . . . . . . . . . . . . . Kinder Morgan Inc. . . . . . . . . . . . National Fuel Gas Co. . . . . . . . . . NextEra Energy Inc. . . . . . . . . . . . Northeast Utilities. . . . . . . . . . . . . Occidental Petroleum Corp. . . . Oceaneering International Inc.. Patterson-UTI Energy Inc.. . . . . Phillips 66 . . . . . . . . . . . . . . . . . . . . Rowan Companies plc, Cl. A† . Royal Dutch Shell plc, Cl. A, ADR . . . . . . . . . . . . . . . . . . . . . . . SJW Corp.. . . . . . . . . . . . . . . . . . . . Southwest Gas Corp. . . . . . . . . . Spectra Energy Corp. . . . . . . . . . Talisman Energy Inc. . . . . . . . . . . The AES Corp. . . . . . . . . . . . . . . . . Transocean Ltd.. . . . . . . . . . . . . . . Weatherford International Ltd.†. . . . . . . . . . . . . . . . . . . . . . . Entertainment — 6.9% Discovery Communications Inc., Cl. A† . . . . . . . . . . . . . . . . . Discovery Communications Inc., Cl. C† . . . . . . . . . . . . . . . . . DreamWorks Animation SKG Inc., Cl. A† . . . . . . . . . . . . . . . . . Electronic Arts Inc.† . . . . . . . . . . Grupo Televisa SAB, ADR . . . . . Nintendo Co. Ltd. . . . . . . . . . . . . . Starz, Cl. A† . . . . . . . . . . . . . . . . . . The Madison Square Garden Co., Cl. A† . . . . . . . . . . . . . . . . . Time Warner Inc. . . . . . . . . . . . . . Twenty-First Century Fox Inc., Cl. A . . . . . . . . . . . . . . . . . . . . . . .

See accompanying notes to financial statements.

8

Cost

Market Value

4,922,745 $ 543,605 9,330,008 6,432,087 8,341,435 1,630,365

8,672,024 595,300 33,226,060 21,110,220 8,467,704 7,313,034

889,063 340,000 2,769,755 383,325 7,265,471 711,263 0 5,844,552 2,402,953 14,217,136 1,496,306 778,734 941,505 1,510,236 535,891 913,753 8,220,379

626,120 926,000 7,608,337 14,048,208 30,319,520 1,550,060 0 9,099,475 4,968,000 19,842,060 2,568,600 1,992,330 1,141,200 4,590,816 759,600 5,028,876 7,779,200

2,684,943 2,097,345 2,956,101 4,598,542 1,268,705 449,800 1,984,168

3,207,150 3,813,120 9,644,475 6,945,900 873,750 1,523,550 1,828,540

13,847,604 110,960,670

13,398,850 234,340,599

2,034,352

17,677,110

1,606,527

16,478,490

636,883 1,180,583 9,296,795 394,759 111,071

994,000 1,637,916 23,221,524 332,589 6,193,032

1,087,066 6,901,823

25,755,534 19,870,270

14,184,686

78,803,200

The Gabelli Asset Fund Schedule of Investments (Continued) — December 31, 2013 Shares

155,000 483,534 25,000 528,600

55,000 649,300 20,000 418,200

1,243,800 6,000 10,000 96,000 121,000 180,000 8,000 788,800 618,000 49,400 214,000 719,800 135,000 5,000 64,000 202,000 2,000 50,000 93,000 17,000 88,200 112,000 26,700 305,000

15,700 80,000 652,400 7,000 29,700 52,000

Cost COMMON STOCKS (Continued) Entertainment (Continued) Twenty-First Century Fox Inc., Cl. B . . . . . . . . . . . . . . . . . . . . . . . $ Viacom Inc., Cl. A. . . . . . . . . . . . . Viacom Inc., Cl. B. . . . . . . . . . . . . Vivendi SA. . . . . . . . . . . . . . . . . . . . Environmental Services — 1.1% Progressive Waste Solutions Ltd. . . . . . . . . . . . . . . . . . . . . . . . . Republic Services Inc. . . . . . . . . Waste Connections Inc. . . . . . . . Waste Management Inc. . . . . . . Equipment and Supplies — 7.5% AMETEK Inc. . . . . . . . . . . . . . . . . . Amphenol Corp., Cl. A . . . . . . . . AZZ Inc. . . . . . . . . . . . . . . . . . . . . . . CIRCOR International Inc. . . . . . Crown Holdings Inc.† . . . . . . . . . CTS Corp. . . . . . . . . . . . . . . . . . . . . Danaher Corp. . . . . . . . . . . . . . . . . Donaldson Co. Inc. . . . . . . . . . . . Flowserve Corp. . . . . . . . . . . . . . . Graco Inc. . . . . . . . . . . . . . . . . . . . . GrafTech International Ltd.† . . . IDEX Corp. . . . . . . . . . . . . . . . . . . . Interpump Group SpA. . . . . . . . . Lawson Products Inc.†. . . . . . . . Mueller Industries Inc. . . . . . . . . Sealed Air Corp. . . . . . . . . . . . . . . SL Industries Inc. . . . . . . . . . . . . . Tenaris SA, ADR . . . . . . . . . . . . . . The Manitowoc Co. Inc. . . . . . . . The Toro Co.. . . . . . . . . . . . . . . . . . The Weir Group plc . . . . . . . . . . . Timken Co. . . . . . . . . . . . . . . . . . . . Valmont Industries Inc. . . . . . . . Watts Water Technologies Inc., Cl. A . . . . . . . . . . . . . . . . . . Financial Services — 8.3% Alleghany Corp.† . . . . . . . . . . . . . AllianceBernstein Holding LP. . American Express Co.. . . . . . . . . Ameriprise Financial Inc. . . . . . . Argo Group International Holdings Ltd.. . . . . . . . . . . . . . . Bank of America Corp. . . . . . . . .

Market Value

Shares 209

670,000

Berkshire Hathaway Inc., Cl. A† . . . . . . . . . . . . . . . . . . . . . . $ BKF Capital Group Inc.†. . . . . . . Calamos Asset Management Inc., Cl. A . . . . . . . . . . . . . . . . . . Citigroup Inc. . . . . . . . . . . . . . . . . . First Niagara Financial Group Inc. . . . . . . . . . . . . . . . . . . . . . . . . Fortress Investment Group LLC, Cl. A . . . . . . . . . . . . . . . . . . GAM Holding AG. . . . . . . . . . . . . . H&R Block Inc. . . . . . . . . . . . . . . . Hartford Financial Services Group Inc. . . . . . . . . . . . . . . . . . HSBC Holdings plc, ADR . . . . . . Interactive Brokers Group Inc., Cl. A . . . . . . . . . . . . . . . . . . . . . . . Janus Capital Group Inc. . . . . . . JPMorgan Chase & Co. . . . . . . . Kinnevik Investment AB, Cl. A . Kinnevik Investment AB, Cl. B . KKR & Co. LP . . . . . . . . . . . . . . . . KKR Financial Holdings LLC . . . Legg Mason Inc.. . . . . . . . . . . . . . Leucadia National Corp. . . . . . . . Loews Corp. . . . . . . . . . . . . . . . . . . M&T Bank Corp. . . . . . . . . . . . . . . Marsh & McLennan Companies Inc. . . . . . . . . . . . . Northern Trust Corp. . . . . . . . . . . Popular Inc.† . . . . . . . . . . . . . . . . . Royal Bank of Canada. . . . . . . . . State Street Corp. . . . . . . . . . . . . . SunTrust Banks Inc. . . . . . . . . . . T. Rowe Price Group Inc.. . . . . . The Bank of New York Mellon Corp. . . . . . . . . . . . . . . . . . . . . . . The Blackstone Group LP . . . . . The Goldman Sachs Group Inc. . . . . . . . . . . . . . . . . . . . . . . . . The PNC Financial Services Group Inc. . . . . . . . . . . . . . . . . . Value Line Inc.. . . . . . . . . . . . . . . . W. R. Berkley Corp. . . . . . . . . . . . Waddell & Reed Financial Inc., Cl. A . . . . . . . . . . . . . . . . . . . . . . . Wells Fargo & Co. . . . . . . . . . . . .

413,000 505,000

Food and Beverage — 11.5% Beam Inc. . . . . . . . . . . . . . . . . . . . . Brown-Forman Corp., Cl. A. . . .

75,000 45,000

3,034,651 $ 5,363,000 14,801,470 42,439,779 1,051,735 2,183,500 9,417,019 13,929,472 65,739,420 254,879,416

65,000 100,000 160,000

1,127,407 8,692,277 632,503 8,352,658 18,804,845

1,361,250 21,556,760 872,600 18,764,634 42,555,244

134,000 198,000 205,000

2,086,282 23,162 370,300 951,585 545,504 1,062,935 70,641 2,606,318 2,748,316 2,416,219 1,757,244 2,684,147 551,921 57,987 3,414,123 4,018,605 5,719 2,084,403 227,538 592,882 371,136 6,373,549 213,868

65,510,946 535,080 488,600 7,754,880 5,392,970 3,583,800 617,600 34,281,248 48,716,940 3,859,128 2,403,220 53,157,230 1,619,480 61,250 4,032,640 6,878,100 54,200 2,184,500 2,168,760 1,081,200 3,113,903 6,167,840 3,981,504

430,000 262,000 95,900 103,000 80,000 325,000 352,900 39,000 88,200 44,200 142,500

19,000 53,000

98,200 30,000 10,000 138,600 20,000 48,500 661,900 48,000 14,000 147,000

3,537,145 38,771,529

18,870,350 276,515,369

2,633,386 1,450,547 18,624,022 221,427

6,279,372 1,707,200 59,192,252 805,350

951,631 453,096

1,380,753 809,640

Cost

8,600 40,000 156,000

See accompanying notes to financial statements.

9

926,922 $ 419,241

Market Value 37,181,100 85,875

512,984 2,290,500

532,800 3,387,150

1,247,886

1,062,000

982,608 1,850,414 3,349,392

1,369,600 2,606,244 5,749,920

6,036,626 1,009,217

7,427,150 1,047,470

893,354 3,856,745 10,394,934 2,113,575 1,927,183 791,990 3,280,488 8,822,921 359,633 3,880,211 3,199,083

1,290,020 5,319,100 15,321,760 4,462,615 4,770,587 1,947,200 3,961,750 15,344,092 1,105,260 4,254,768 5,145,764

4,171,812 4,738,679 593,108 521,365 3,368,429 424,879 829,332

6,891,300 6,077,598 861,900 672,300 10,171,854 736,200 4,062,845

18,843,582 827,223

23,126,786 1,512,000

1,633,775

2,481,640

8,426,079 116,877 1,468,924

11,404,260 99,846 1,735,600

3,259,334 20,268,524 151,971,938

10,158,720 30,418,000 303,957,641

17,114,818 5,779,771

28,108,780 37,253,850

The Gabelli Asset Fund Schedule of Investments (Continued) — December 31, 2013 Shares

129,800 60,000 400,000 26,000 16,500 100,000 86,000 6,000 30,000 280,000 846,200 42,500 308,400 85,000 210,000 80,000 389,950 41,200 575,000 37,000 2,530,200 10,000 115,000 20,000 426,400 117,000 200,000 23,200 42,200 81,300 500,000 43,000 20,400 15,000 424,971 245,000 114,800 187,800 200,000 272,000 68,900

Cost COMMON STOCKS (Continued) Food and Beverage (Continued) Brown-Forman Corp., Cl. B. . . . $ Campbell Soup Co. . . . . . . . . . . . China Mengniu Dairy Co. Ltd. . Coca-Cola Enterprises Inc. . . . . Coca-Cola HBC AG, ADR . . . . . . ConAgra Foods Inc. . . . . . . . . . . . Constellation Brands Inc., Cl. A† . . . . . . . . . . . . . . . . . . . . . . Core-Mark Holding Co. Inc. . . . Crimson Wine Group Ltd.† . . . . Danone SA . . . . . . . . . . . . . . . . . . . Davide Campari-Milano SpA. . . Dean Foods Co.† . . . . . . . . . . . . . Diageo plc, ADR . . . . . . . . . . . . . . Diamond Foods Inc.† . . . . . . . . . Dr Pepper Snapple Group Inc.. Farmer Brothers Co.† . . . . . . . . . Flowers Foods Inc.. . . . . . . . . . . . Fomento Economico Mexicano SAB de CV, ADR. . . . . . . . . . . . General Mills Inc. . . . . . . . . . . . . . Green Mountain Coffee Roasters Inc.† . . . . . . . . . . . . . Grupo Bimbo SAB de CV, Cl. A . . . . . . . . . . . . . . . . . . . . . . . Heineken Holding NV . . . . . . . . . Heineken NV. . . . . . . . . . . . . . . . . . Heineken NV, ADR . . . . . . . . . . . . Hillshire Brands Co.. . . . . . . . . . . Ingredion Inc. . . . . . . . . . . . . . . . . ITO EN Ltd. . . . . . . . . . . . . . . . . . . . John Bean Technologies Corp. . . . . . . . . . . . . . . . . . . . . . . Kellogg Co. . . . . . . . . . . . . . . . . . . . Kerry Group plc, Cl. A . . . . . . . . . Kikkoman Corp.. . . . . . . . . . . . . . . Kraft Foods Group Inc. . . . . . . . . LVMH Moet Hennessy Louis Vuitton SA . . . . . . . . . . . . . . . . . MEIJI Holdings Co. Ltd. . . . . . . . Mondele¯z International Inc., Cl. A . . . . . . . . . . . . . . . . . . . . . . . Morinaga Milk Industry Co. Ltd. . . . . . . . . . . . . . . . . . . . . . . . . Nestlé SA. . . . . . . . . . . . . . . . . . . . . NISSIN FOODS HOLDINGS CO. LTD. . . . . . . . . . . . . . . . . . . . Parmalat SpA . . . . . . . . . . . . . . . . . PepsiCo Inc. . . . . . . . . . . . . . . . . . . Pernod Ricard SA. . . . . . . . . . . . .

2,233,615 $ 1,691,457 1,191,136 508,677 231,193 3,226,367

Market Value

Shares 92,500 82,800 10,000 93,000 47,000 611,900 18,000

9,808,986 2,596,800 1,898,302 1,147,380 481,305 3,370,000

1,917,581 279,415 231,103 13,245,027 4,838,535 480,459 11,643,716 1,719,117 5,152,689 983,002 684,686

6,052,680 455,580 265,200 20,153,529 7,077,859 730,575 40,838,328 2,196,400 10,231,200 1,860,800 8,372,226

1,413,752 10,347,963

4,032,244 28,698,250

904,213

2,796,460

1,095,155 407,450 5,527,767 481,149 12,636,620 1,397,360 4,430,197

7,790,299 632,618 7,764,754 675,200 14,258,816 8,009,820 4,180,040

371,543 1,140,443 1,052,020 5,747,460 1,540,679

680,456 2,577,154 5,647,045 9,429,304 2,318,560

721,732 678,410

3,721,337 962,871

9,119,874

15,001,476

909,693 3,337,947

725,857 8,403,610

6,461,360 569,900 10,557,791 6,160,332

7,917,881 681,249 22,559,681 7,849,235

18,800 600,000 170,670 100,000 45,000 335,000

98,400 30,000 115,000 33,400 48,584 66,800 65,000 10,000 74,600 44,400 30,000 11,500 250,000 270,000 156,200 17,500 127,000 35,000 31,000 48,000 45,000 10,000 30,000 50,000 44,000 130,000 36,600 15,000 125,000 12,000

Cost Post Holdings Inc.† . . . . . . . . . . . $ Remy Cointreau SA . . . . . . . . . . . SABMiller plc . . . . . . . . . . . . . . . . . Snyders-Lance Inc. . . . . . . . . . . . Suntory Beverage & Food Ltd.. The Coca-Cola Co. . . . . . . . . . . . . The Hain Celestial Group Inc.† . . . . . . . . . . . . . . . . . . . . . . . The J.M. Smucker Co. . . . . . . . . Tingyi (Cayman Islands) Holding Corp. . . . . . . . . . . . . . . Tootsie Roll Industries Inc. . . . . Tyson Foods Inc., Cl. A. . . . . . . . WhiteWave Foods Co., Cl. A†. . Yakult Honsha Co. Ltd. . . . . . . . . Health Care — 4.9% Actavis plc† . . . . . . . . . . . . . . . . . . Aetna Inc. . . . . . . . . . . . . . . . . . . . . Alere Inc.†. . . . . . . . . . . . . . . . . . . . Allergan Inc. . . . . . . . . . . . . . . . . . . AmerisourceBergen Corp. . . . . . Amgen Inc. . . . . . . . . . . . . . . . . . . . AngioDynamics Inc.† . . . . . . . . . ArthroCare Corp.† . . . . . . . . . . . . Baxter International Inc.. . . . . . . Becton, Dickinson and Co. . . . . Biogen Idec Inc.† . . . . . . . . . . . . . Bio-Rad Laboratories Inc., Cl. A† . . . . . . . . . . . . . . . . . . . . . . BioScrip Inc.† . . . . . . . . . . . . . . . . Boston Scientific Corp.† . . . . . . Bristol-Myers Squibb Co. . . . . . Cepheid Inc.†. . . . . . . . . . . . . . . . . Chemed Corp. . . . . . . . . . . . . . . . . Cigna Corp.. . . . . . . . . . . . . . . . . . . CONMED Corp. . . . . . . . . . . . . . . . Covidien plc . . . . . . . . . . . . . . . . . . DaVita HealthCare Partners Inc.† . . . . . . . . . . . . . . . . . . . . . . . DENTSPLY International Inc. . . Eli Lilly & Co. . . . . . . . . . . . . . . . . . Endo Health Solutions Inc.† . . . Exactech Inc.† . . . . . . . . . . . . . . . . Express Scripts Holding Co.† . Henry Schein Inc.† . . . . . . . . . . . Humana Inc.. . . . . . . . . . . . . . . . . . Johnson & Johnson . . . . . . . . . . Laboratory Corp. of America Holdings†. . . . . . . . . . . . . . . . . .

See accompanying notes to financial statements.

10

Market Value

1,022,309 $ 4,885,899 358,218 2,030,547 1,498,000 13,172,826

4,557,475 6,947,272 513,513 2,670,960 1,497,341 25,277,589

281,085 515,952

1,634,040 1,948,056

1,488,465 1,775,574 1,341,557 453,697 8,677,555 197,664,858

1,733,232 5,553,602 3,346,000 1,032,300 16,891,558 423,816,935

14,166,231 1,824,027 3,308,035 1,529,503 2,100,880 2,995,069 779,348 227,671 3,876,603 3,408,642 198,323

16,531,200 2,057,700 4,163,000 3,710,072 3,415,941 7,625,888 1,117,350 402,400 5,188,430 4,905,756 8,392,500

1,167,292 1,510,526 1,945,631 4,041,968 196,789 5,360,645 1,816,474 619,303 1,766,687

1,421,515 1,850,000 3,245,400 8,302,030 817,600 9,730,740 3,061,800 1,317,500 3,268,800

2,661,123 190,509 1,057,507 1,582,728 671,660 7,292,048 1,021,284 1,027,977 6,259,745

2,851,650 484,800 1,530,000 3,373,000 1,045,440 9,131,200 4,181,916 1,548,300 11,448,750

997,619

1,096,440

The Gabelli Asset Fund Schedule of Investments (Continued) — December 31, 2013 Shares

Cost

38,200 35,000 32,000 161,400 82,000 29,000 93,800 14,000 3,000

COMMON STOCKS (Continued) Health Care (Continued) Lexicon Pharmaceuticals Inc.† . . . . . . . . . . . . . . . . . . . . . . . $ Life Technologies Corp.† . . . . . . Mallinckrodt plc† . . . . . . . . . . . . . McKesson Corp. . . . . . . . . . . . . . . Mead Johnson Nutrition Co.. . . Merck & Co. Inc.. . . . . . . . . . . . . . Nobel Biocare Holding AG. . . . . Orthofix International NV†. . . . . Owens & Minor Inc. . . . . . . . . . . Pain Therapeutics Inc.† . . . . . . . Patterson Companies Inc. . . . . . Pfizer Inc. . . . . . . . . . . . . . . . . . . . . Quality Systems Inc. . . . . . . . . . . Quidel Corp.†. . . . . . . . . . . . . . . . . Regeneron Pharmaceuticals Inc.† . . . . . . . . . . . . . . . . . . . . . . . Roche Holding AG, ADR . . . . . . St. Jude Medical Inc.. . . . . . . . . . Stryker Corp. . . . . . . . . . . . . . . . . . Tenet Healthcare Corp.†. . . . . . . UnitedHealth Group Inc.. . . . . . . William Demant Holding A/S† . Wright Medical Group Inc.† . . . Zimmer Holdings Inc. . . . . . . . . . Zoetis Inc. . . . . . . . . . . . . . . . . . . . .

14,000 102,600

Home Furnishings — 0.0% Bed Bath & Beyond Inc.†. . . . . . Blyth Inc. . . . . . . . . . . . . . . . . . . . . .

150,000 50,000 1,000 20,000 12,500 150,800 9,000 20,000 28,000 60,000 68,200 152,600 40,000 44,000 400

16,000 27,000 700,000 10,000 47,000 88,200 56,000 2,302,400 84,700 4,200,000 422,400 55,000 93,000

Hotels and Gaming — 1.7% Accor SA . . . . . . . . . . . . . . . . . . . . . Churchill Downs Inc. . . . . . . . . . . Genting Singapore plc . . . . . . . . Home Inns & Hotels Management Inc., ADR†. . . . Hyatt Hotels Corp., Cl. A† . . . . . International Game Technology. . . . . . . . . . . . . . . . . Interval Leisure Group Inc. . . . . Ladbrokes plc . . . . . . . . . . . . . . . . Las Vegas Sands Corp. . . . . . . . Mandarin Oriental International Ltd. . . . . . . . . . . . MGM Resorts International† . . Orient-Express Hotels Ltd., Cl. A† . . . . . . . . . . . . . . . . . . . . . . Pinnacle Entertainment Inc.† . .

Market Value

Shares 16,975

368,250 $ 1,723,836 34,127 1,812,699 731,095 4,380,061 214,660 722,452 837,140 262,640 2,184,255 2,668,158 728,195 603,237

92,000

270,000 3,790,000 52,260 3,228,000 1,047,000 7,547,540 140,239 456,400 1,023,680 291,600 2,809,840 4,674,138 842,400 1,359,160

43,670 1,509,170 1,447,615 1,660,657 4,519,649 3,480,739 1,359,329 1,455,213 723,823 78,000 109,150,517

110,096 2,681,640 2,168,250 2,404,480 6,798,168 6,174,600 2,818,312 2,880,598 1,304,660 98,070 182,188,249

861,069 1,797,010 2,658,079

1,124,200 1,116,288 2,240,488

533,068 1,179,866 966,658

754,987 2,420,550 829,272

159,080 1,847,087

436,400 2,324,620

1,341,978 478,826 11,442,394 395,336

1,601,712 1,730,400 6,820,880 6,680,289

8,011,029 4,291,151

7,014,000 9,934,848

970,272 554,742

831,050 2,417,070

2,030,000 110,000 10,000 21,200

121,500 280,000 1,531,200 680,000 30,000 26,000 750,000 49,000

32,000 30,000 50,000

68,000 299,600 316,600 70,000 180,000 95,000 213,200 38,000 50,000 14,000 52,000 611,000 150,000 136,400 160,000

Cost Ryman Hospitality Properties Inc. . . . . . . . . . . . . . . . . . . . . . . . . $ Starwood Hotels & Resorts Worldwide Inc. . . . . . . . . . . . . . The Hongkong & Shanghai Hotels Ltd. . . . . . . . . . . . . . . . . . Universal Entertainment Corp.. Wyndham Worldwide Corp. . . . Wynn Resorts Ltd. . . . . . . . . . . . . Machinery — 3.4% Caterpillar Inc. . . . . . . . . . . . . . . . . CNH Industrial NV, Brsaltaliana† . . . . . . . . . . . . . . . CNH Industrial NV, New York†. Deere & Co. . . . . . . . . . . . . . . . . . . Kennametal Inc. . . . . . . . . . . . . . . Mueller Water Products Inc., Cl. A . . . . . . . . . . . . . . . . . . . . . . . Xylem Inc. . . . . . . . . . . . . . . . . . . . . Zebra Technologies Corp., Cl. A† . . . . . . . . . . . . . . . . . . . . . .

709,215

1,805,608

7,309,400

2,748,224 1,418,966 249,886 1,018,420 39,596,527

2,754,033 2,026,398 736,900 4,117,252 61,449,276

799,951

11,033,415

2,940,908 12,317,794 5,254,398 1,238,972

3,191,361 17,379,120 62,104,400 1,562,100

192,104 10,158,027

243,620 25,950,000

1,695,723 34,597,877

2,649,920 124,113,936

Manufactured Housing and Recreational Vehicles — 0.1% Cavco Industries Inc.† . . . . . . . . 605,460 2,198,400 Nobility Homes Inc.†. . . . . . . . . . 500,111 270,300 Skyline Corp.† . . . . . . . . . . . . . . . . 505,394 257,500 1,610,965 2,726,200 Metals and Mining — 1.8% Agnico Eagle Mines Ltd. . . . . . . Alcoa Inc. . . . . . . . . . . . . . . . . . . . . Barrick Gold Corp. . . . . . . . . . . . . Cliffs Natural Resources Inc. . . Eaton Corp. plc . . . . . . . . . . . . . . . Franco-Nevada Corp.. . . . . . . . . . Freeport-McMoRan Copper & Gold Inc. . . . . . . . . . . . . . . . . . . . Global Brass & Copper Holdings Inc.. . . . . . . . . . . . . . . Kinross Gold Corp.. . . . . . . . . . . . Labrador Iron Ore Royalty Corp. . . . . . . . . . . . . . . . . . . . . . . New Hope Corp. Ltd.. . . . . . . . . . Newmont Mining Corp. . . . . . . . Peabody Energy Corp. . . . . . . . . Royal Gold Inc. . . . . . . . . . . . . . . . Silver Wheaton Corp. . . . . . . . . .

See accompanying notes to financial statements.

11

183,936 $

Market Value

2,574,245 2,926,689 5,918,450 1,276,375 9,343,008 3,312,359

1,793,840 3,184,748 5,581,658 1,834,700 13,701,600 3,870,300

4,347,281

8,046,168

612,869 359,224

628,900 219,000

471,866 70,252 16,026,482 3,359,927 6,033,004 3,198,403

452,850 154,614 14,071,330 2,929,500 6,283,948 3,230,400

The Gabelli Asset Fund Schedule of Investments (Continued) — December 31, 2013 Shares

120,000

200,000 160,100 430,000 66,000 567,775 170,000 20,000 92,000 25,000

11,000 55,000 104,000 10,000 242,300

14,422 200 150,200

106,600 127,400 111,000 189,000 360,000 78,000 300,000 50,000 2,100,000 198,800 10,000 63,000 70,000 54,400 36,600 65,600

Cost COMMON STOCKS (Continued) Metals and Mining (Continued) Turquoise Hill Resources Ltd.†. . . . . . . . . . . . . . . . . . . . . . . $ Publishing — 1.1% Il Sole 24 Ore SpA† . . . . . . . . . . . McGraw Hill Financial Inc.. . . . . Media General Inc.†. . . . . . . . . . . Meredith Corp. . . . . . . . . . . . . . . . News Corp., Cl. A†. . . . . . . . . . . . News Corp., Cl. B†. . . . . . . . . . . . Nielsen Holdings NV† . . . . . . . . . The E.W. Scripps Co., Cl. A† . . The New York Times Co., Cl. A . . . . . . . . . . . . . . . . . . . . . . .

686,537 $ 60,516,971

Market Value

165,910 12,519,820 9,718,000 3,418,800 10,231,305 3,031,100 917,800 1,998,240

228,978 12,774,301

396,750 42,397,725

294,496

427,130

1,050,761 1,510,666 211,719 1,815,941 4,883,583

1,050,500 3,471,520 247,800 4,649,737 9,846,687

Real Estate Investment Trusts — 0.1% Host Hotels & Resorts Inc. . . . . 290,636 Vornado Realty Trust. . . . . . . . . . 17,234 Weyerhaeuser Co. . . . . . . . . . . . . 3,164,312 3,472,182

280,364 17,758 4,741,814 5,039,936

Retail — 2.8% Aaron’s Inc.† . . . . . . . . . . . . . . . . . AutoNation Inc.†. . . . . . . . . . . . . . Costco Wholesale Corp.. . . . . . . CST Brands Inc. . . . . . . . . . . . . . . CVS Caremark Corp. . . . . . . . . . . HSN Inc. . . . . . . . . . . . . . . . . . . . . . J.C. Penney Co. Inc.† . . . . . . . . . Krispy Kreme Doughnuts Inc.† . . . . . . . . . . . . . . . . . . . . . . . Lianhua Supermarket Holdings Ltd., Cl. H. . . . . . . . . Macy’s Inc. . . . . . . . . . . . . . . . . . . . Murphy USA Inc.† . . . . . . . . . . . . Outerwall Inc.† . . . . . . . . . . . . . . . Safeway Inc.. . . . . . . . . . . . . . . . . . The Cheesecake Factory Inc. . . The Home Depot Inc. . . . . . . . . . The Kroger Co. . . . . . . . . . . . . . . .

25,000 40,400 106,000

396,000 66,379,556

330,379 1,396,904 3,531,841 1,436,874 2,053,010 2,489,999 566,418 739,898

Real Estate — 0.3% Brookfield Asset Management Inc., Cl. A . . . . . . . . . . . . . . . . . . Forest City Enterprises Inc., Cl. A† . . . . . . . . . . . . . . . . . . . . . . Griffin Land & Nurseries Inc. . . QTS Realty Trust Inc., Cl. A. . . . The St. Joe Co.† . . . . . . . . . . . . . .

Shares

580,821 1,062,021 5,655,834 5,969,297 12,065,834 1,843,484 3,906,689

3,134,040 6,330,506 13,210,110 6,940,080 25,765,200 4,859,400 2,745,000

360,134

964,500

3,483,476 3,357,677 435,054 3,020,236 1,600,571 1,610,898 1,137,548 398,570

1,624,905 10,615,920 415,600 4,238,010 2,279,900 2,625,888 3,013,644 2,593,168

27,000 22,000 89,400 615,000 110,000 60,100 106,100 35,000 1,800 400,000 11,000 237,800 14,000 65,000

45,000 40,000 1,400,000 320,000 30,000 25,000 64,000 15,000 73,500 240,000 180,015 12,000 230,000 147,415 3,057,800 175,000 46,500 276,201 1,090,510 93,200 187,800 50,000

Cost Walgreen Co. . . . . . . . . . . . . . . . . . $ Wal-Mart Stores Inc. . . . . . . . . . . Whole Foods Market Inc.. . . . . . Specialty Chemicals — 1.3% Airgas Inc.. . . . . . . . . . . . . . . . . . . . Ashland Inc. . . . . . . . . . . . . . . . . . . Chemtura Corp.† . . . . . . . . . . . . . Ferro Corp.† . . . . . . . . . . . . . . . . . . General Chemical Group Inc.† . H.B. Fuller Co. . . . . . . . . . . . . . . . . International Flavors & Fragrances Inc.. . . . . . . . . . . . . Material Sciences Corp.†. . . . . . NewMarket Corp. . . . . . . . . . . . . . OMNOVA Solutions Inc.†. . . . . . Praxair Inc. . . . . . . . . . . . . . . . . . . . Sensient Technologies Corp. . . SGL Carbon SE . . . . . . . . . . . . . . . Zep Inc. . . . . . . . . . . . . . . . . . . . . . . Telecommunications — 2.1% AT&T Inc. . . . . . . . . . . . . . . . . . . . . CenturyLink Inc. . . . . . . . . . . . . . . Cincinnati Bell Inc.†. . . . . . . . . . . Deutsche Telekom AG, ADR . . . Hellenic Telecommunications Organization SA†. . . . . . . . . . . Hellenic Telecommunications Organization SA, ADR† . . . . . Intelsat SA† . . . . . . . . . . . . . . . . . . Level 3 Communications Inc.† . . . . . . . . . . . . . . . . . . . . . . . Loral Space & Communications Inc.† . . . . . . . . . . . . . . . NII Holdings Inc.† . . . . . . . . . . . . Oi SA, ADR . . . . . . . . . . . . . . . . . . . Orange SA, ADR . . . . . . . . . . . . . . Portugal Telecom SGPS SA . . . Sprint Corp.† . . . . . . . . . . . . . . . . . Telecom Italia SpA . . . . . . . . . . . . Telecom Italia SpA, ADR . . . . . . Telefonica Brasil SA, ADR . . . . . Telefonica SA, ADR . . . . . . . . . . . Telephone & Data Systems Inc. . . . . . . . . . . . . . . . . . . . . . . . . tw telecom inc.† . . . . . . . . . . . . . . Verizon Communications Inc. . VimpelCom Ltd., ADR. . . . . . . . .

See accompanying notes to financial statements.

12

Market Value

805,856 $ 1,436,000 2,047,814 3,179,076 1,198,362 6,129,980 50,540,176 102,100,927 1,747,988 1,227,512 1,466,601 5,224,736 365,584 446,529

3,019,950 2,134,880 2,496,048 7,890,450 1,375 3,127,604

4,792,350 226,875 191,887 1,095,242 1,148,655 4,512,330 497,019 735,432 23,678,740

9,122,478 413,350 601,470 3,644,000 1,430,330 11,538,056 554,203 1,180,400 47,154,594

1,084,032 699,241 5,341,647 5,290,536

1,582,200 1,274,003 4,984,000 5,523,200

435,110

399,092

111,368 1,172,274

162,500 1,442,560

321,762

497,550

2,909,783 2,133,623 1,312,657 145,985 2,186,606 835,837 1,706,079 1,222,253 911,624 3,373,781

5,952,030 660,000 286,224 148,200 999,862 1,584,711 3,032,981 1,743,000 893,730 4,513,124

21,972,247 1,688,663 5,407,342 701,510 60,963,960

28,113,348 2,839,804 9,228,492 647,000 76,507,611

The Gabelli Asset Fund Schedule of Investments (Continued) — December 31, 2013 Shares

334,100 4,000 46,000

117,400 49,200 250,000 21,857 180,289 115,000

COMMON STOCKS (Continued) Transportation — 0.5% GATX Corp. . . . . . . . . . . . . . . . . . . . $ Kansas City Southern . . . . . . . . . Providence and Worcester Railroad Co.. . . . . . . . . . . . . . . . Wireless Communications — 0.7% America Movil SAB de CV, Cl. L, ADR. . . . . . . . . . . . . . . . . . Millicom International Cellular SA, SDR . . . . . . . . . . . . . . . . . . . NTT DoCoMo Inc.. . . . . . . . . . . . . Tim Participacoes SA, ADR. . . . United States Cellular Corp. . . . Vodafone Group plc, ADR . . . . .

Cost

Market Value

8,593,790 $ 7,317

17,429,997 495,320

710,155 9,311,262

899,760 18,825,077

358,790

2,743,638

4,594,762 3,573,391 157,720 8,787,251 2,974,243 20,446,157

4,899,461 4,095,053 573,528 7,539,686 4,520,650 24,372,016

Principal Amount

Cost U.S. GOVERNMENT OBLIGATIONS — 0.8% $27,536,000 U.S. Treasury Bills, 0.040% to 0.130%††, 01/16/14 to 06/19/14. . . . . . . $ 27,528,088 $

(a)

701,708

100,000

RIGHTS — 0.0% Airlines — 0.0% American Airlines Group Inc., CVR, expire 01/16/14† . . . . . . . . . . .

31,321

1,350,000

20,000

Health Care — 0.0% American Medical Alert Corp.† . . . . . . . . . . . . . . . . . . . . .

0

200

Metals and Mining — 0.0% Turquoise Hill Resources Ltd., expire 03/25/14† . . . . . . . . . . .

193,639

115,200

TOTAL RIGHTS . . . . . . . . . . . . . . .

224,960

1,465,400

WARRANTS — 0.0% Automotive: Parts and Accessories — 0.0% Federal-Mogul Corp., expire 12/27/14† . . . . . . . . . . . 411,720

184

120,000

14,727

At December 31, 2013, the Fund held an investment in a restricted and illiquid security amounting to $309,747 and 0.01% of net assets, which was valued as follows:

Acquisition Shares Issuer 187,050,000 Rolls-Royce Holdings plc, Cl. C . . . . . . . . . . . . . . . . .

674,937

300,000

Energy and Utilities — 0.0% Kinder Morgan Inc., expire 05/25/17† . . . . . . . . . . .

200,000

Hotels and Gaming — 0.0% Indian Hotels Co. Ltd., expire 06/16/14†(d) . . . . . . . .

298,980

198,000

TOTAL WARRANTS . . . . . . . . . . .

1,053,963

1,416,184

343,263

3,994,157

NET ASSETS — 100.0% . . . . . . . . . . . . . $3,675,983,075

TOTAL COMMON STOCKS . . . . 1,456,909,853 3,640,874,819

31,580

27,530,807

TOTAL INVESTMENTS — 99.9% . . . . $1,486,391,801 3,671,988,918 Other Assets and Liabilities (Net) — 0.1% . .

PREFERRED STOCKS — 0.0% Health Care — 0.0% The Phoenix Companies Inc., 7.450% Pfd. . . . . . . . . . .

Market Value

(b) (c)

6,000

† †† ADR CVR GDR SDR

1,218,000

Samsung Electronics Co. Ltd., GDR. . . . . . . . . . . . .

$

302,078

12/31/13 Carrying Value Per Share $0.0017

Acquisition Date 07/15/04

Acquisition Cost $

12/31/13 Carrying Value Per Share

1,077,139 $653.0000

Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. This security may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2013, the market value of the Rule 144A security amounted to $198,000 or 0.00% of total investments. Non-income producing security. Represents annualized yield at date of purchase. American Depositary Receipt Contingent Value Right Global Depositary Receipt Swedish Depositary Receipt

See accompanying notes to financial statements.

13

10/23/13

Acquisition Cost

Denoted in units. Security purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. At December 31, 2013, the market value of the Regulation S security amounted to $3,918,000 or 0.11% of total investments, which was valued as follows:

Acquisition Shares Issuer

(d)

Acquisition Date

The Gabelli Asset Fund Statement of Assets and Liabilities December 31, 2013

Statement of Operations For the Year Ended December 31, 2013

Assets: Investment Income: Investments, at value (cost $1,486,391,801) . . $3,671,988,918 Dividends (net of foreign withholding taxes of Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,025 $1,049,445) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 55,164,206 Receivable for Fund shares sold. . . . . . . . . . . . . 5,429,048 Interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35,830 Receivable for investments sold . . . . . . . . . . . . . 381,498 Total Investment Income . . . . . . . . . . . . . . . . . . . . 55,200,036 Dividends receivable . . . . . . . . . . . . . . . . . . . . . . . 3,803,338 Prepaid expenses. . . . . . . . . . . . . . . . . . . . . . . . . . 62,447 Expenses: Total Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,681,669,274 Investment advisory fees . . . . . . . . . . . . . . . . . . . . . 32,493,579 Liabilities: Distribution fees - Class AAA . . . . . . . . . . . . . . . . . 7,158,417 Payable for Fund shares redeemed . . . . . . . . . . 1,401,989 Distribution fees - Class A . . . . . . . . . . . . . . . . . . . . 219,464 Payable for investment advisory fees. . . . . . . . . 3,039,278 Distribution fees - Class C . . . . . . . . . . . . . . . . . . . . 788,969 Payable for distribution fees . . . . . . . . . . . . . . . . . 767,569 Shareholder services fees . . . . . . . . . . . . . . . . . . . . 2,072,068 Payable for accounting fees . . . . . . . . . . . . . . . . . 3,750 Custodian fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 388,319 Other accrued expenses . . . . . . . . . . . . . . . . . . . . 473,613 Shareholder communications expenses . . . . . . . . 260,961 Total Liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,686,199 Trustees’ fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 190,000 Net Assets Registration expenses. . . . . . . . . . . . . . . . . . . . . . . . 101,627 (applicable to 56,370,057 shares Legal and audit fees . . . . . . . . . . . . . . . . . . . . . . . . . 72,855 outstanding) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,675,983,075 Accounting fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45,000 Net Assets Consist of: Interest expense. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,523 Paid-in capital . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,506,771,059 Tax expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 83 Accumulated net investment loss . . . . . . . . . . . . (460,544) Accumulated net realized loss on investments Miscellaneous expenses. . . . . . . . . . . . . . . . . . . . . . 178,559 and foreign currency transactions . . . . . . . . . . (15,927,615) Total Expenses. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43,974,424 Net unrealized appreciation on investments . . . 2,185,597,117 Less: Net unrealized appreciation on foreign Advisory fee reduction on unsupervised currency translations . . . . . . . . . . . . . . . . . . . . . 3,058 assets (Note 3). . . . . . . . . . . . . . . . . . . . . . . . . . (28,608) Net Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,675,983,075 Custodian fee credits . . . . . . . . . . . . . . . . . . . . . . (562) Shares of Beneficial Interest, each at $0.01 par value; Total Reductions and Credits . . . . . . . . . . . . . . . (29,170) unlimited number of shares authorized: Net Expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43,945,254 Class AAA: Net Investment Income . . . . . . . . . . . . . . . . . . . . . 11,254,782 Net Asset Value, offering, and redemption Net Realized and Unrealized Gain on price per share ($3,178,406,309 ÷ Investments and Foreign Currency: 48,664,722 shares outstanding) . . . . . . . . . . . . $65.31 Net realized gain on investments . . . . . . . . . . . . . . 163,354,753 Class A: Net realized gain on foreign currency Net Asset Value and redemption price per transactions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69,862 share ($112,706,882 ÷ 1,738,769 shares Net realized gain on investments and foreign outstanding). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $64.82 currency transactions . . . . . . . . . . . . . . . . . . . . . . 163,424,615 Maximum offering price per share (NAV ÷ 0.9425, based on maximum sales charge of Net change in unrealized appreciation/depreciation: 5.75% of the offering price) . . . . . . . . . . . . . . . . $68.77 on investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . 726,917,677 on foreign currency translations . . . . . . . . . . . . . 6,413 Class C: Net Asset Value and offering price per share Net change in unrealized appreciation on ($104,620,150 ÷ 1,671,879 shares investments and foreign currency translations . 726,924,090 outstanding). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $62.58(a) Net Realized and Unrealized Gain on Class I: Investments and Foreign Currency . . . . . . . . 890,348,705 Net Asset Value, offering, and redemption Net Increase in Net Assets Resulting from price per share ($280,249,734 ÷ 4,294,687 Operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $901,603,487 shares outstanding) . . . . . . . . . . . . . . . . . . . . . . . $65.25 (a)

Redemption price varies based on the length of time held.

See accompanying notes to financial statements.

14

The Gabelli Asset Fund Statement of Changes in Net Assets Year Ended December 31, 2013 Operations: Net investment income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net realized gain on investments and foreign currency transactions . . . . . . . . . . . . . . . . . Net change in unrealized appreciation on investments and foreign currency translations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net Increase in Net Assets Resulting from Operations. . . . . . . . . . . . . . . . . . . . . . . . . . Distributions to Shareholders: Net investment income Class AAA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Class C . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Class I . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

$

11,254,782 163,424,615 726,924,090 901,603,487

Year Ended December 31, 2012 $

27,747,868 156,083,853 232,479,570 416,311,291

(9,499,483) (375,094) — (1,451,174)

(23,418,245) (705,300) (180,970) (1,964,146)

(11,325,751)

(26,268,661)

(139,537,116) (4,979,065) (4,706,701) (12,158,812) (161,381,694)

(127,652,942) (3,825,581) (2,890,990) (8,399,405) (142,768,918)

(172,707,445)

(169,037,579)

Shares of Beneficial Interest Transactions: Class AAA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Class B* . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Class C . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Class I . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

44,788,800 18,718,474 — 33,703,557 73,874,564

(268,301,992) 1,904,822 (6,201) 9,721,823 55,796,134

Net Increase/(Decrease) in Net Assets from Shares of Beneficial Interest Transactions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

171,085,395

(200,885,414)

8,574 899,990,011

8,340 46,396,638

2,775,993,064

2,729,596,426

$3,675,983,075

$2,775,993,064

Net realized gain Class AAA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Class C . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Class I . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Total Distributions to Shareholders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Redemption Fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net Increase in Net Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net Assets: Beginning of year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . End of year (including undistributed net investment income of $0 and $0, respectively) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . *

Class B Shares were fully redeemed and closed on September 5, 2012.

See accompanying notes to financial statements.

15

$ 0.21 0.50 0.19 0.15 0.25

$ 0.20 0.50 0.21 0.15 0.25

$(0.24) 0.13 (0.15) (0.17) (0.01)

$ 0.36 0.67 0.34 0.27 0.33

$51.87 47.60 48.93 40.21 31.01

$51.52 47.30 48.65 40.01 30.85

$50.01 46.05 47.53 39.25 30.31

$51.82 47.56 48.90 40.18 30.97

Net Asset Value, Beginning of Year

$16.42 7.06 (0.44) 9.11 9.24

$15.80 6.82 (0.40) 8.86 9.00

$16.32 7.05 (0.42) 9.07 9.17

$16.42 7.10 (0.41) 9.13 9.22

$16.78 7.73 (0.10) 9.38 9.57

$15.56 6.95 (0.55) 8.69 8.99

$16.52 7.55 (0.21) 9.22 9.42

$16.63 7.60 (0.22) 9.28 9.47

$(0.36) (0.66) (0.31) (0.25) (0.36)

— $(0.18) — — (0.05)

$(0.23) (0.52) (0.21) (0.17) (0.26)

$(0.20) (0.52) (0.18) (0.15) (0.27)

Net Investment Income

$(2.99) (2.81) (0.93) (0.41) —

$(2.99) (2.81) (0.93) (0.41) —

$(2.99) (2.81) (0.93) (0.41) —

$(2.99) (2.81) (0.93) (0.41) —

Net Realized Gain on Investments

Distributions

$(3.35) (3.47) (1.24) (0.66) (0.36)

$(2.99) (2.99) (0.93) (0.41) (0.05)

$(3.22) (3.33) (1.14) (0.58) (0.26)

$(3.19) (3.33) (1.11) (0.56) (0.27)

Total Distributions

$0.00 0.00 0.00 0.00 0.00

$0.00 0.00 0.00 0.00 0.00

$0.00 0.00 0.00 0.00 0.00

$0.00 0.00 0.00 0.00 0.00

Redemption Fees (a)(b)

$65.25 51.82 47.56 48.90 40.18

$62.58 50.01 46.05 47.53 39.25

$64.82 51.52 47.30 48.65 40.01

$65.31 51.87 47.60 48.93 40.21

Net Asset Value, End of Year

32.7% 16.3 (0.2) 23.4 30.9

31.4% 15.1 (1.1) 22.1 29.6

32.4% 16.0 (0.4) 23.0 30.5

32.4% 16.0 (0.4) 23.1 30.5

Total Return†

$ 280,250 159,366 94,896 38,532 6,080

$ 104,620 54,546 41,146 17,240 8,916

$ 112,707 74,713 66,330 23,280 13,216

$3,178,406 2,487,368 2,527,218 2,571,513 2,107,979

Net Assets End of Year (in 000’s)

0.60% 1.30 0.69 0.62 0.99

(0.41)% 0.27 (0.32) (0.40) (0.03)

0.33% 0.98 0.43 0.34 0.75

0.35% 0.97 0.39 0.35 0.74

Net Investment Income (Loss)

1.10% 1.13 1.12 1.13 1.15

2.10% 2.13 2.12 2.13 2.15

1.35% 1.38 1.37 1.38 1.40

1.35% 1.38 1.37 1.38 1.40

Operating Expenses

7% 4 8 7 7

7% 4 8 7 7

7% 4 8 7 7

7% 4 8 7 7

Portfolio Turnover Rate

Ratios to Average Net Assets/ Supplemental Data

16

See accompanying notes to financial statements.

† Total return represents aggregate total return of a hypothetical $1,000 investment at the beginning of the year and sold at the end of the year including reinvestment of distributions and does not reflect applicable sales charges. (a) Per share amounts have been calculated using the average shares outstanding method. (b) Amount represents less than $0.005 per share.

Class AAA 2013 2012 2011 2010 2009 Class A 2013 2012 2011 2010 2009 Class C 2013 2012 2011 2010 2009 Class I 2013 2012 2011 2010 2009

Year Ended December 31

Income (Loss) from Investment Operations Net Realized and Unrealized Net Total from Gain (Loss) Investment Investment on Income Operations Investments (Loss)(a)

Selected data for a share of beneficial interest outstanding throughout each year:

The Gabelli Asset Fund Financial Highlights

The Gabelli Asset Fund Notes to Financial Statements 1. Organization. The Gabelli Asset Fund was organized on November 25, 1985 as a Massachusetts business trust. The Fund is a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). The Fund’s primary objective is growth of capital. The Fund commenced investment operations on March 3, 1986. 2. Significant Accounting Policies. The Fund’s financial statements are prepared in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”), which may require the use of management estimates and assumptions. Actual results could differ from those estimates. The following is a summary of significant accounting policies followed by the Fund in the preparation of its financial statements. Security Valuation. Portfolio securities listed or traded on a nationally recognized securities exchange or traded in the U.S. over-the-counter market for which market quotations are readily available are valued at the last quoted sale price or a market’s official closing price as of the close of business on the day the securities are being valued. If there were no sales that day, the security is valued at the average of the closing bid and asked prices or, if there were no asked prices quoted on that day, then the security is valued at the closing bid price on that day. If no bid or asked prices are quoted on such day, the security is valued at the most recently available price or, if the Board of Trustees (the “Board”) so determines, by such other method as the Board shall determine in good faith to reflect its fair market value. Portfolio securities traded on more than one national securities exchange or market are valued according to the broadest and most representative market, as determined by Gabelli Funds, LLC (the “Adviser”). Portfolio securities primarily traded on a foreign market are generally valued at the preceding closing values of such securities on the relevant market, but may be fair valued pursuant to procedures established by the Board if market conditions change significantly after the close of the foreign market, but prior to the close of business on the day the securities are being valued. Debt instruments with remaining maturities of sixty days or less that are not credit impaired are valued at amortized cost, unless the Board determines such amount does not reflect the securities’ fair value, in which case these securities will be fair valued as determined by the Board. Debt instruments having a maturity greater than sixty days for which market quotations are readily available are valued at the average of the latest bid and asked prices. If there were no asked prices quoted on such day, the security is valued using the closing bid price. U.S. government obligations with maturities greater than sixty days are normally valued using a model that incorporates market observable data such as reported sales of similar securities, broker quotes, yields, bids, offers, and reference data. Certain securities are valued principally using dealer quotations. Securities and assets for which market quotations are not readily available are fair valued as determined by the Board. Fair valuation methodologies and procedures may include, but are not limited to: analysis and review of available financial and non-financial information about the company; comparisons with the valuation and changes in valuation of similar securities, including a comparison of foreign securities with the equivalent U.S. dollar value American Depositary Receipt securities at the close of the U.S. exchange; and evaluation of any other information that could be indicative of the value of the security.

17

The Gabelli Asset Fund Notes to Financial Statements (Continued) The inputs and valuation techniques used to measure fair value of the Fund’s investments are summarized into three levels as described in the hierarchy below: • Level 1 — quoted prices in active markets for identical securities; • Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.); and • Level 3 — significant unobservable inputs (including the Board’s determinations as to the fair value of investments). A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input both individually and in the aggregate that is significant to the fair value measurement. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The summary of the Fund’s investments in securities by inputs used to value the Fund’s investments as of December 31, 2013 is as follows: Level 1 Quoted Prices INVESTMENTS IN SECURITIES: ASSETS (Market Value): Common Stocks: Aerospace Consumer Products Energy and Utilities Financial Services Specialty Chemicals Other Industries (a) Total Common Stocks Preferred Stocks (a) Rights (a) Warrants (a) U.S. Government Obligations TOTAL INVESTMENTS IN SECURITIES – ASSETS (a)

$

73,605,745 161,393,426 234,340,599 303,871,766 47,153,219 2,820,113,037 3,640,477,792 701,708 115,200 1,218,184 —

$3,642,512,884

Valuation Inputs Level 2 Other Significant Observable Inputs

Level 3 Significant Unobservable Inputs

— 30 — 85,875 1,375 — 87,280 — 1,350,000 — 27,530,807

$309,747 — 0 — — — 309,747 — 200 198,000 —

$

$28,968,087

$507,947

$3,671,988,918

$

Total Market Value at 12/31/13

73,915,492 161,393,456 234,340,599 303,957,641 47,154,594 2,820,113,037 3,640,874,819 701,708 1,465,400 1,416,184 27,530,807

Please refer to the Schedule of Investments for the industry classifications of these portfolio holdings.

The Fund did not have transfers among Level 1, Level 2, and Level 3 during the year ended December 31, 2013. The Fund’s policy is to recognize transfers among Levels as of the beginning of the reporting period. Additional Information to Evaluate Qualitative Information. General. The Fund uses recognized industry pricing services – approved by the Board and unaffiliated with the Adviser – to value most of its securities, and uses broker quotes provided by market makers of securities not valued by these and other recognized pricing sources. Several different pricing feeds are received to value domestic equity securities, international equity securities, preferred equity securities, and fixed income securities. The data within these feeds is ultimately sourced from major stock exchanges and trading systems where these securities trade. The prices supplied by external sources are checked by obtaining quotations or actual transaction prices from market participants. If a price obtained from the pricing source is deemed unreliable, prices will be sought from another pricing service or from a broker/dealer that trades that security or similar securities. 18

The Gabelli Asset Fund Notes to Financial Statements (Continued) Fair Valuation. Fair valued securities may be common and preferred equities, warrants, options, rights, and fixed income obligations. Where appropriate, Level 3 securities are those for which market quotations are not available, such as securities not traded for several days, or for which current bids are not available, or which are restricted as to transfer. Among the factors to be considered to fair value a security are recent prices of comparable securities that are publicly traded, reliable prices of securities not publicly traded, the use of valuation models, current analyst reports, valuing the income or cash flow of the issuer, or cost if the preceding factors do not apply. A significant change in the unobservable inputs could result in a lower or higher value in Level 3 securities. The circumstances of Level 3 securities are frequently monitored to determine if fair valuation measures continue to apply. The Adviser reports quarterly to the Board the results of the application of fair valuation policies and procedures. These include back testing the prices realized in subsequent trades of these fair valued securities to fair values previously recognized. Derivative Financial Instruments. The Fund may engage in various portfolio investment strategies by investing in a number of derivative financial instruments for the purposes of increasing the income of the Fund or hedging against a specific transaction with respect to either the currency in which the transaction is denominated or another currency. Investing in certain derivative financial instruments, including participation in the options, futures, or swap markets, entails certain execution, liquidity, hedging, tax, and securities, interest, credit, or currency market risks. Losses may arise if the Adviser’s prediction of movements in the direction of the securities, foreign currency, and interest rate markets is inaccurate. Losses may also arise if the counterparty does not perform its duties under a contract, or that, in the event of default, the Fund may be delayed in or prevented from obtaining payments or other contractual remedies owed to it under derivative contracts. The creditworthiness of the counterparties is closely monitored in order to minimize these risks. Participation in derivative transactions involves investment risks, transaction costs, and potential losses to which the Fund would not be subject absent the use of these strategies. The consequences of these risks, transaction costs, and losses may have a negative impact on the Fund’s ability to pay distributions. Accounting Standards Update (“ASU”) No. 2011-11 (as clarified by ASU No. 2013-01) “Disclosures about Offsetting Assets and Liabilities” requires a fund to disclose both gross information and net information about both instruments and transactions eligible for offset in the statement of assets and liabilities and instruments and transactions subject to an agreement similar to a master netting arrangement. The scope of ASU 2011-11 includes derivatives and sale and repurchase agreements. The purpose of ASU 2011-11 is to facilitate comparison of financial statements prepared on the basis of GAAP and on the basis of International Financial Reporting Standards. Management is continually evaluating the implications of ASU 2011-11 and its impact on the financial statements and, at this time, has concluded that ASU 2011-11 is not applicable to the Fund because the Fund does not have investments covered under this guidance. The Fund’s derivative contracts held at December 31, 2013, if any, are not accounted for as hedging instruments under GAAP and are disclosed in the Schedule of Investments together with the related counterparty. Forward Foreign Exchange Contracts. The Fund may engage in forward foreign exchange contracts for the purpose of hedging a specific transaction with respect to either the currency in which the transaction is denominated or another currency as deemed appropriate by the Adviser. Forward foreign exchange contracts are valued at the forward rate and are marked-to-market daily. The change in market value is included in 19

The Gabelli Asset Fund Notes to Financial Statements (Continued) unrealized appreciation/depreciation on investments and foreign currency translations. When the contract is closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. The use of forward foreign exchange contracts does not eliminate fluctuations in the underlying prices of the Fund’s portfolio securities, but it does establish a rate of exchange that can be achieved in the future. Although forward foreign exchange contracts limit the risk of loss due to a decline in the value of the hedged currency, they also limit any potential gain that might result should the value of the currency increase. During the year ended December 31, 2013, the Fund held no investments in forward foreign exchange contracts. Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Foreign currencies, investments, and other assets and liabilities are translated into U.S. dollars at current exchange rates. Purchases and sales of investment securities, income, and expenses are translated at the exchange rate prevailing on the respective dates of such transactions. Unrealized gains and losses that result from changes in foreign exchange rates and/or changes in market prices of securities have been included in unrealized appreciation/depreciation on investments and foreign currency translations. Net realized foreign currency gains and losses resulting from changes in exchange rates include foreign currency gains and losses between trade date and settlement date on investment securities transactions, foreign currency transactions, and the difference between the amounts of interest and dividends recorded on the books of the Fund and the amounts actually received. The portion of foreign currency gains and losses related to fluctuation in exchange rates between the initial purchase trade date and subsequent sale trade date is included in realized gain/(loss) on investments. Foreign Securities. The Fund may directly purchase securities of foreign issuers. Investing in securities of foreign issuers involves special risks not typically associated with investing in securities of U.S. issuers. The risks include possible revaluation of currencies, the inability to repatriate funds, less complete financial information about companies, and possible future adverse political and economic developments. Moreover, securities of many foreign issuers and their markets may be less liquid and their prices more volatile than securities of comparable U.S. issuers. Foreign Taxes. The Fund may be subject to foreign taxes on income, gains on investments, or currency repatriation, a portion of which may be recoverable. The Fund will accrue such taxes and recoveries as applicable, based upon its current interpretation of tax rules and regulations that exist in the markets in which it invests. Restricted Securities. The Fund may invest up to 10% of its net assets in securities for which the markets are restricted. Restricted securities include securities whose disposition is subject to substantial legal or contractual restrictions. The sale of restricted securities often requires more time and results in higher brokerage charges or dealer discounts and other selling expenses than does the sale of securities eligible for trading on national securities exchanges or in the over-the-counter markets. Restricted securities may sell at a price lower than similar securities that are not subject to restrictions on resale. Securities freely saleable among qualified institutional investors under special rules adopted by the SEC may be treated as liquid if they satisfy liquidity standards established by the Board. The continued liquidity of such securities is not as well assured as that of publicly traded securities, and accordingly the Board will monitor their liquidity. For the restricted securities the Fund held as of December 31, 2013, refer to the Schedule of Investments. 20

The Gabelli Asset Fund Notes to Financial Statements (Continued) Securities Transactions and Investment Income. Securities transactions are accounted for on the trade date with realized gain/(loss) on investments determined by using the identified cost method. Interest income (including amortization of premium and accretion of discount) is recorded on the accrual basis. Premiums and discounts on debt securities are amortized using the effective yield to maturity method. Dividend income is recorded on the ex-dividend date, except for certain dividends from foreign securities that are recorded as soon after the ex-dividend date as the Fund becomes aware of such dividends. Determination of Net Asset Value and Calculation of Expenses. Certain administrative expenses are common to, and allocated among, various affiliated funds. Such allocations are made on the basis of each fund’s average net assets or other criteria directly affecting the expenses as determined by the Adviser pursuant to procedures established by the Board. In calculating the NAV per share of each class, investment income, realized and unrealized gains and losses, redemption fees, and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Distribution expenses are borne solely by the class incurring the expense. Custodian Fee Credits. When cash balances are maintained in the custody account, the Fund receives credits which are used to offset custodian fees. The gross expenses paid under the custody arrangement are included in custodian fees in the Statement of Operations with the corresponding expense offset, if any, shown as “Custodian fee credits.” Distributions to Shareholders. Distributions to shareholders are recorded on the ex-dividend date. Distributions to shareholders are based on income and capital gains as determined in accordance with federal income tax regulations, which may differ from income and capital gains as determined under GAAP. These differences are primarily due to differing treatments of income and gains on various investment securities and foreign currency transactions held by the Fund, timing differences, and differing characterizations of distributions made by the Fund. Distributions from net investment income for federal income tax purposes include net realized gains on foreign currency transactions. These book/tax differences are either temporary or permanent in nature. To the extent these differences are permanent, adjustments are made to the appropriate capital accounts in the period when the differences arise. Permanent differences were primarily due to the tax treatment of currency gains and losses, recharacterization of distributions, and adjustments on the sale of securities no longer deemed passive foreign investment companies. These reclassifications have no impact on the NAV of the Fund. For the year ended December 31, 2013, reclassifications were made to decrease accumulated net investment loss by $500,099 and increase accumulated net realized loss on investments and foreign currency transactions by $421,997, with an offsetting adjustment to paid-in capital. The tax character of distributions paid during the years ended December 31, 2013 and 2012 was as follows:

Distributions paid from: Ordinary income (inclusive of short term capital gains) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net long term capital gains. . . . . . . . . . . . . . . . . . . . Total distributions paid. . . . . . . . . . . . . . . . . . . . . . . . *

Year Ended December 31, 2013

Year Ended December 31, 2012*

$ 16,013,291 156,694,154 $172,707,445

$ 30,465,943 152,070,167 $182,536,110

Total distributions paid differs from the Statement of Changes in Net Assets due to the utilization of equalization.

21

The Gabelli Asset Fund Notes to Financial Statements (Continued) Provision For Income Taxes. The Fund intends to continue to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). It is the policy of the Fund to comply with the requirements of the Code applicable to regulated investment companies and to distribute substantially all of its net investment company taxable income and net capital gains. Therefore, no provision for federal income taxes is required. As of December 31, 2013, the components of accumulated earnings/losses on a tax basis were as follows: Undistributed long term capital gains . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net unrealized appreciation on investments and foreign currency translations . . . . Total. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

$

66,041 2,169,145,975 $2,169,212,016

Under the Regulated Investment Company Modernization Act of 2010, the Fund is permitted to carry forward for an unlimited period capital losses incurred. As a result of the rule, post-enactment capital losses that are carried forward will retain their character as either short term or long term capital losses rather than being considered all short term as under previous law. At December 31, 2013, the differences between book basis and tax basis net unrealized appreciation were primarily due to mark-to-market adjustments on investments no longer considered a passive foreign investment company, deferral of losses from wash sales for tax purposes, and basis adjustments on investments in partnerships. The following summarizes the tax cost of investments and the related net unrealized appreciation at December 31, 2013:

Investments . . . .

Cost $1,502,846,001

Gross Unrealized Appreciation $2,214,742,465

Gross Unrealized Depreciation $(45,599,548)

Net Unrealized Appreciation $2,169,142,917

The Fund is required to evaluate tax positions taken or expected to be taken in the course of preparing the Fund’s tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Income tax and related interest and penalties would be recognized by the Fund as tax expense in the Statement of Operations if the tax positions were deemed not to meet the more-likely-than-not threshold. For the year ended December 31, 2013, the Fund did not incur any income tax, interest, or penalties. As of December 31, 2013, the Adviser has reviewed all open tax years and concluded that there was no impact to the Fund’s net assets or results of operations. Tax years ended December 31, 2010 through December 31, 2013 remain subject to examination by the Internal Revenue Service and state taxing authorities. On an ongoing basis, the Adviser will monitor the Fund’s tax positions to determine if adjustments to this conclusion are necessary. 3. Investment Advisory Agreement and Other Transactions. The Fund has entered into an investment advisory agreement (the “Advisory Agreement”) with the Adviser which provides that the Fund will pay the Adviser a fee, computed daily and paid monthly, at the annual rate of 1.00% of the value of its average daily net assets. In accordance with the Advisory Agreement, the Adviser provides a continuous investment program for the Fund’s portfolio, oversees the administration of all aspects of the Fund’s business and affairs, and pays the compensation of all Officers and Trustees of the Fund who are affiliated persons of the Adviser. 22

The Gabelli Asset Fund Notes to Financial Statements (Continued) There was a reduction in the advisory fee paid to the Adviser relating to certain portfolio holdings, i.e., unsupervised assets, of the Fund with respect to which the Adviser transferred dispositive and voting control to the Fund’s Proxy Voting Committee. During the year ended December 31, 2013, the Fund’s Proxy Voting Committee exercised control and discretion over all rights to vote or consent with respect to such securities, and the Adviser reduced its fee with respect to such securities by $28,608. The Fund pays each Trustee who is not considered an affiliated person an annual retainer of $18,000 plus $2,000 for each Board meeting attended. Each Trustee is reimbursed by the Fund for any out of pocket expenses incurred in attending meetings. All Board committee members receive $500 per meeting attended and the Chairman of the Audit Committee and the Lead Trustee each receive an annual fee of $2,000. The Chairman of the Proxy Voting Committee and Nominating Committee each receive $1,000 annually. A Trustee may receive a single meeting fee, allocated among the participating funds, for participation in certain meetings held on behalf of multiple funds. Trustees who are directors or employees of the Adviser or an affiliated company receive no compensation or expense reimbursement from the Fund. 4. Distribution Plan. The Fund’s Board has adopted a distribution plan (the “Plan”) for each class of shares, except for Class I Shares, pursuant to Rule 12b-1 under the 1940 Act. Under the Class AAA, Class A, and Class C Share Plans, payments are authorized to G.distributors, LLC (the “Distributor”), an affiliate of the Fund, at annual rates of 0.25%, 0.25%, and 1.00%, respectively, of the average daily net assets of those classes, the annual limitations under each Plan. Such payments are accrued daily and paid monthly. 5. Portfolio Securities. Purchases and sales of securities during the year ended December 31, 2013, other than short term securities and U.S. Government obligations, aggregated $231,567,949 and $273,119,853, respectively. 6. Transactions with Affiliates. During the year ended December 31, 2013, the Fund paid brokerage commissions on security trades of $212,110 to G.research, Inc., an affiliate of the Adviser. Additionally, the Distributor retained a total of $107,056 from investors representing commissions (sales charges and underwriting fees) on sales and redemptions of Fund shares. The cost of calculating the Fund’s NAV per share is a Fund expense pursuant to the Advisory Agreement. During the year ended December 31, 2013, the Fund paid or accrued $45,000 to the Adviser in connection with the cost of computing the Fund’s NAV. 7. Line of Credit. The Fund participates in an unsecured line of credit of up to $75,000,000 under which it may borrow up to 10% of its net assets from the custodian for temporary borrowing purposes. Borrowings under this arrangement bear interest at the higher of the sum of the overnight LIBOR rate plus 100 basis points or the sum of the federal funds rate plus 100 basis points at the time of borrowing. This amount, if any, would be included in “interest expense” in the Statement of Operations. At December 31, 2013, there were no borrowings outstanding under the line of credit. The average daily amount of borrowings outstanding under the line of credit during the year ended December 31, 2013 was $183,877 with a weighted average interest rate of 1.20%. The maximum amount borrowed at any time during the year ended December 31, 2013 was $19,809,000.

23

The Gabelli Asset Fund Notes to Financial Statements (Continued) 8. Shares of Beneficial Interest. The Fund offers four classes of shares – Class AAA Shares, Class A Shares, Class C Shares, and Class I Shares. Class AAA Shares are offered without a sales charge only to investors who acquire them directly from the Distributor, through selected broker/dealers, or the transfer agent. Class I Shares are offered without a sales charge, solely to certain institutions, directly through the Distributor, or brokers that have entered into selling agreements specifically with respect to Class I Shares. Class A Shares are subject to a maximum front-end sales charge of 5.75%. Class C Shares are subject to a 1.00% contingent deferred sales charge for one year after purchase. The Fund imposes a redemption fee of 2.00% on all classes of shares that are redeemed or exchanged on or before the seventh day after the date of a purchase. The redemption fee is deducted from the proceeds otherwise payable to the redeeming shareholders and is retained by the Fund as an increase in paid-in capital. The redemption fees retained by the Fund during the years ended December 31, 2013 and 2012 amounted to $8,574 and $8,340, respectively. Transactions in shares of beneficial interest were as follows: Year Ended December 31, 2013 Shares Amount

Year Ended December 31, 2012 Shares Amount

Class AAA Shares sold. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Shares issued upon reinvestment of distributions. . . . . . . . . . . . . Shares redeemed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net increase/(decrease) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4,423,832 2,286,536 (5,996,588) 713,780

$ 263,159,452 142,336,582 (360,707,234) $ 44,788,800

4,807,279 2,784,478 (12,733,311) (5,141,554)

$ 246,367,187 143,539,981 (658,209,160) $(268,301,992)

Class A Shares sold. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Shares issued upon reinvestment of distributions. . . . . . . . . . . . . Shares redeemed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net increase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

706,248 71,553 (489,225) 288,576

$ 42,350,728 4,420,533 (28,052,787) $ 18,718,474

664,165 79,301 (695,743) 47,723

$ 33,557,026 4,060,214 (35,712,418) $ 1,904,822

Class B* Shares redeemed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net decrease . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

— —

$ $

— —

(127) (127)

$ $

(6,201) (6,201)

Class C Shares sold. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Shares issued upon reinvestment of distributions. . . . . . . . . . . . . Shares redeemed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net increase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

718,776 56,269 (193,750) 581,295

$ 41,515,359 3,356,995 (11,168,797) $ 33,703,557

339,602 46,274 (188,899) 196,977

$ 16,789,412 2,300,264 (9,367,853) $ 9,721,823

Class I Shares sold. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Shares issued upon reinvestment of distributions. . . . . . . . . . . . . Shares redeemed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Net increase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1,815,870 191,925 (788,463) 1,219,332

$ 109,706,548 11,933,903 (47,765,887) $ 73,874,564

2,057,126 180,004 (1,157,150) 1,079,980

$ 106,292,895 9,270,235 (59,766,996) $ 55,796,134

*

Class B Shares were fully redeemed and closed on September 5, 2012.

9. Indemnifications. The Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these contracts. Management has reviewed the Fund’s existing contracts and expects the risk of loss to be remote. 24

The Gabelli Asset Fund Notes to Financial Statements (Continued) 10. Other Matters. On April 24, 2008, the Adviser entered into a settlement with the SEC to resolve an inquiry regarding prior frequent trading in shares of the GAMCO Global Growth Fund (the “Global Growth Fund”) by one investor who was banned from the Global Growth Fund in August 2002. Under the terms of the settlement, the Adviser, without admitting or denying the SEC’s findings and allegations, paid $16 million (which included a $5 million civil monetary penalty). On the same day, the SEC filed a civil action in the U.S. District Court for the Southern District of New York against the Executive Vice President and Chief Operating Officer of the Adviser, alleging violations of certain federal securities laws arising from the same matter. The officer, who also is an officer of the Global Growth Fund and other funds in the Gabelli/GAMCO complex, including this Fund, denies the allegations and is continuing in his positions with the Adviser and the funds. The settlement by the Adviser did not have, and the resolution of the action against the officer is not expected to have, a material adverse impact on the Adviser or its ability to fulfill its obligations under the Advisory Agreement. 11. Subsequent Events. Management has evaluated the impact on the Fund of all subsequent events occurring through the date the financial statements were issued and has determined that there were no subsequent events requiring recognition or disclosure in the financial statements.

25

The Gabelli Asset Fund Report of Independent Registered Public Accounting Firm To the Board of Trustees and Shareholders of The Gabelli Asset Fund: In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of The Gabelli Asset Fund (hereafter referred to as the “Fund”) at December 31, 2013, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2013 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion. PricewaterhouseCoopers LLP New York, New York February 24, 2014

26

The Gabelli Asset Fund Additional Fund Information (Unaudited) The business and affairs of the Fund are managed under the direction of the Fund’s Board of Trustees. Information pertaining to the Trustees and officers of the Fund is set forth below. The Fund’s Statement of Additional Information includes additional information about the Fund’s Trustees and is available without charge, upon request, by calling 800-GABELLI (800-422-3554) or by writing to The Gabelli Asset Fund at One Corporate Center, Rye, NY 10580-1422. Name, Position(s) Address1 and Age

Number of Funds Term of Office in Fund Complex and Length of 2 Time Served Overseen by Trustee

Principal Occupation(s) During Past Five Years

Other Directorships Held by Trustee4

Director of Morgan Group Holdings, Inc. (holding company); Chairman of the Board and Chief Executive Officer of LICT Corp. (multimedia and communication services); Director of CIBL, Inc. (broadcasting and wireless communications); Director of ICTC Group, Inc. (communications); Director of RLJ Acquisition Inc. (blank check company)(2011-2012)

INTERESTED TRUSTEES3: Mario J. Gabelli, CFA Trustee and Chief Investment Officer Age: 71

Since 1986

27

Chairman, Chief Executive Officer, Chief Investment Officer–Value Portfolios of GAMCO Investors, Inc., and Chief Investment Officer– Value Portfolios of Gabelli Funds, LLC and GAMCO Asset Management Inc.; Director/ Trustee or Chief Investment Officer of other registered investment companies in the Gabelli/ GAMCO Funds Complex; Chief Executive Officer of GGCP, Inc.

John D. Gabelli Trustee Age: 69

Since 1999

10

Senior Vice President of G.research, Inc.



Anthony J. Colavita Trustee Age: 78

Since 1989

36

President of the law firm of Anthony J. Colavita, P.C.



James P. Conn Trustee Age: 75

Since 1992

20

Former Managing Director and Chief Investment Officer of Financial Security Assurance Holdings Ltd. (1992-1998)

Kuni Nakamura Trustee Age: 45 Anthony R. Pustorino Trustee Age: 88 Werner J. Roeder, MD Trustee Age: 73

Since 2009

13

President of Advanced Polymer, Inc. (chemical wholesale company)

Since 1986

13

Certified Public Accountant; Professor Emeritus, Pace University

Since 2001

22

Medical Director of Lawrence Hospital and practicing private physician



Anthonie C. van Ekris Trustee Age: 79 Salvatore J. Zizza Trustee Age: 68

1986-1989 1992-present

20

Chairman of BALMAC International, Inc. (commodities and futures trading)



1986-1996 2000-present

30

Chairman (since 1978) of Zizza & Associates Corp. (financial consulting); Chairman (since 2005) of Metropolitan Paper Recycling, Inc. (recycling); Chairman (since 1999) of Harbor BioSciences, Inc. (biotechnology)

INDEPENDENT TRUSTEES5:

27

Director of First Republic Bank (banking) through January 2008 —

Director of The LGL Group, Inc. (diversified manufacturing) (2002-2010)

Director and Vice Chairman of Trans-Lux Corporation (business services); Director and Chairman of Harbor Diversified Inc. (pharmaceuticals); Chairman of Bion Environmental Technologies (technology); Director, Chairman, and CEO of General Employment Enterprises (staffing services)(2009-2012)

The Gabelli Asset Fund Additional Fund Information (Continued) (Unaudited) Name, Position(s) Address1 and Age

Term of Office and Length of Time Served2

Principal Occupation(s) During Past Five Years

OFFICERS: Bruce N. Alpert President Age: 62

Since 2006

Andrea R. Mango Secretary Age: 41 Agnes Mullady Treasurer Age: 55

Since November 2013

Richard J. Walz Chief Compliance Officer Age: 54

Since November 2013

1 2

3

4

5

Since 2006

Executive Vice President and Chief Operating Officer of Gabelli Funds, LLC since 1988; Officer of registered investment companies in the Gabelli/GAMCO Funds Complex; Director of Teton Advisors, Inc. 1998-2012; Chairman of Teton Advisors, Inc., July 2008-2010; President of Teton Advisors, Inc., 1998-2008; Senior Vice President of GAMCO Investors, Inc. since 2008 Counsel of Gabelli Funds, LLC; Corporate Vice President within the Corporate Compliance Department of New York Life Insurance Company 2011-2013; Vice President and Counsel of Deutsche Bank 2006-2011 President and Chief Operating Officer of the Open-End Fund Division of Gabelli Funds, LLC since September 2010; Senior Vice President of GAMCO Investors, Inc. since 2009; Vice President of Gabelli Funds, LLC since 2007; Officer of all of the registered investment companies in the Gabelli/GAMCO Funds Complex Chief Compliance Officer of the Gabelli/GAMCO Funds Complex; Chief Compliance Officer of AEGON USA Investment Management, LLC 2011-2013; Chief Compliance Officer of Cutwater Asset Management 2004-2011.

Address: One Corporate Center, Rye, NY 10580-1422, unless otherwise noted. Each Trustee will hold office for an indefinite term until the earliest of (i) the next meeting of shareholders, if any, called for the purpose of considering the election or re-election of such Trustee and until the election and qualification of his or her successor, if any, elected at such meeting, or (ii) the date a Trustee resigns or retires, or a Trustee is removed by the Board of Trustees or shareholders, in accordance with the Fund’s By-Laws and Articles of Incorporation. Each officer will hold office for an indefinite term until the date he or she resigns or retires or until his or her successor is elected and qualified. “Interested person” of the Fund as defined in the 1940 Act. Messrs. Gabelli are each considered an “interested person” because of their affiliation with Gabelli Funds, LLC which acts as the Fund’s investment adviser. Mario J. Gabelli and John D. Gabelli are brothers. This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934, as amended, i.e., public companies, or other investment companies registered under the 1940 Act. Trustees who are not interested persons are considered “Independent” Trustees.

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THE GABELLI ASSET FUND

2013 TAX NOTICE TO SHAREHOLDERS (Unaudited) For the year ended December 31, 2013, the Fund paid to shareholders ordinary income distributions (comprised of net investment income and short term capital gains) totaling $0.291, $0.313, $0.092, and $0.444 per share for Class AAA, Class A, Class C, and Class I Shares, respectively, and long term capital gains totaling $156,694,154, or the maximum allowable. The distribution of long term capital gains has been designated as a capital gain dividend by the Fund’s Board of Trustees. For the year ended December 31, 2013, 100% of the ordinary income distribution qualifies for the dividends received deduction available to corporations. The Fund designates 100% of the ordinary income distribution as qualified dividend income pursuant to the Jobs and Growth Tax Relief Reconciliation Act of 2003. The Fund designates 0.08% of the ordinary income distribution as qualified interest income pursuant to the Tax Relief, Unemployment Reauthorization, and Job Creation Act of 2010. The Fund designates 31.82% of the ordinary income distribution as qualified short term gain pursuant to the American Jobs Creation Act of 2004. U.S. Government Income: The percentage of the ordinary income distribution paid by the Fund during the year ended December 31, 2013 which was derived from U.S. Treasury securities was 0.04%. Such income is exempt from state and local tax in all states. However, many states, including New York and California, allow a tax exemption for a portion of the income earned only if a mutual fund has invested at least 50% of its assets at the end of each quarter of the Fund’s fiscal year in U.S. Government securities. The Gabelli Asset Fund did not meet this strict requirement in 2013. The percentage of U.S. Government securities held as of December 31, 2013 was 0.75%. Due to the diversity in state and local tax law, it is recommended that you consult your personal tax adviser as to the applicability of the information provided to your specific situation. All designations are based on financial information available as of the date of this annual report and, accordingly, are subject to change. For each item, it is the intention of the Fund to designate the maximum amount permitted under the Internal Revenue Code and the regulations thereunder.

Gabelli/GAMCO Funds and Your Personal Privacy Who are we? The Gabelli/GAMCO Funds are investment companies registered with the Securities and Exchange Commission under the Investment Company Act of 1940. We are managed by Gabelli Funds, LLC, which is affiliated with GAMCO Investors, Inc. GAMCO Investors, Inc. is a publicly held company that has subsidiaries that provide investment advisory or brokerage services for a variety of clients. What kind of non-public information do we collect about you if you become a fund shareholder? If you apply to open an account directly with us, you will be giving us some non-public information about yourself. The non-public information we collect about you is:

• Information you give us on your application form. This could include your name, address, telephone number, social security number, bank account number, and other information.

• Information about your transactions with us, any transactions with our affiliates, and transactions with the entities we hire to provide services to you. This would include information about the shares that you buy or redeem. If we hire someone else to provide services — like a transfer agent — we will also have information about the transactions that you conduct through them. What information do we disclose and to whom do we disclose it? We do not disclose any non-public personal information about our customers or former customers to anyone other than our affiliates, our service providers who need to know such information, and as otherwise permitted by law. If you want to find out what the law permits, you can read the privacy rules adopted by the Securities and Exchange Commission. They are in volume 17 of the Code of Federal Regulations, Part 248. The Commission often posts information about its regulations on its website, www.sec.gov. What do we do to protect your personal information? We restrict access to non-public personal information about you to the people who need to know that information in order to provide services to you or the fund and to ensure that we are complying with the laws governing the securities business. We maintain physical, electronic, and procedural safeguards to keep your personal information confidential.

THE GABELLI ASSET FUND One Corporate Center Rye, NY 10580-1422 Portfolio Management Team Biographies Mario J. Gabelli, CFA, is Chairman and Chief Executive Officer of GAMCO Investors, Inc. that he founded in 1977 and Chief Investment Officer – Value Portfolios of Gabelli Funds, LLC and GAMCO Asset Management Inc. Mr. Gabelli is a summa cum laude graduate of Fordham University and holds an MBA degree from Columbia Business School and Honorary Doctorates from Fordham University and Roger Williams University. Christopher J. Marangi joined Gabelli in 2003 as a research analyst. He currently serves as a portfolio manager of Gabelli Funds, LLC and manages several funds within the Gabelli/GAMCO Funds Complex. Mr. Marangi graduated magna cum laude and Phi Beta Kappa with a BA in Political Economy from Williams College and holds an MBA with honors from Columbia Business School. Jeffrey J. Jonas, CFA, joined Gabelli in 2003 as a research analyst. He focuses on companies in the cardiovascular, healthcare services, and pharmacy benefits management sectors, among others. He also serves as a portfolio manager of Gabelli Funds, LLC and manages several funds within the Gabelli/GAMCO Funds Complex. Mr. Jonas was a Presidential Scholar at Boston College, where he received a BS in Finance and Management Information Systems. Kevin V. Dreyer joined Gabelli in 2005 as a research analyst covering companies within the consumer sector. He currently serves as a portfolio manager of Gabelli Funds, LLC and manages several funds within the Gabelli/GAMCO Funds Complex. Mr. Dreyer received a BSE from the University of Pennsylvania and an MBA from Columbia Business School.

We have separated the portfolio managers’ commentary from the financial statements and investment portfolio due to corporate governance regulations stipulated by the Sarbanes-Oxley Act of 2002. We have done this to ensure that the content of the portfolio managers’ commentary is unrestricted. Both the commentary and the financial statements, including the portfolio of investments, will be available on our website at www.gabelli.com.

THE GABELLI ASSET FUND One Corporate Center Rye, New York 10580-1422 t 800-GABELLI (800-422-3554) f 914-921-5118 e [email protected] GABELLI.COM Net Asset Value per share available daily by calling 800-GABELLI after 7:00 P.M. BOARD OF TRUSTEES Mario J. Gabelli, CFA Chairman and Chief Executive Officer, GAMCO Investors, Inc.

Anthonie C. van Ekris Chairman, BALMAC International, Inc. Salvatore J. Zizza Chairman, Zizza & Associates Corp.

Anthony J. Colavita President, Anthony J. Colavita, P.C.

OFFICERS Bruce N. Alpert President Andrea R. Mango Secretary

James P. Conn Former Chief Investment Officer, Financial Security Assurance Holdings Ltd.

Agnes Mullady Treasurer Richard J. Walz Chief Compliance Officer

John D. Gabelli Senior Vice President, G.research, Inc. Kuni Nakamura President, Advanced Polymer, Inc.

DISTRIBUTOR G.distributors, LLC

Anthony R. Pustorino Certified Public Accountant, Professor Emeritus, Pace University

CUSTODIAN, TRANSFER AGENT, AND DIVIDEND DISBURSING AGENT State Street Bank and Trust Company

Werner J. Roeder, MD Medical Director, Lawrence Hospital

LEGAL COUNSEL Skadden, Arps, Slate, Meagher & Flom LLP

This report is submitted for the general information of the shareholders of The Gabelli Asset Fund. It is not authorized for distribution to prospective investors unless preceded or accompanied by an effective prospectus.

TM

Overall Morningstar Rating Morningstar® rated The Gabelli Asset Fund Class AAA Shares 5 stars overall, 3 stars for the three year period and 5 stars for the five and ten year periods ended December 31, 2013 among 1,355 1,355, 1,215, and 794 Large Blend funds, respectively. Morningstar RatingTM is based on risk-adjusted returns.

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THE GABELLI ASSET FUND Annual Report December 31, 2013

Overall Morningstar RatingTM

Morningstar RatingTM is based on risk-adjusted returns.