ThZeal - The Zeal

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

For the six months ended June 30, 2016, the net asset value (“NAV”) per Class AAA Share of The Gabelli Utilities Fund increased 18.2% compared with an increase of 23.4% for the Standard & Poor’s (“S&P”) 500 Utilities Index. See below for additional performance information.

Enclosed are the financial statements, including the schedule of investments, as of June 30, 2016.


Average Annual Returns through June 30, 2016 (a) (Unaudited)											Since
											Inception
	Six Months		1 Year		5 Year		10 Year		15 Year		(8/31/99)
Class AAA (GABUX)		18.15%		14.80%		8.05%		7.37%		7.05%		8.01%
S&P 500 Utilities Index		23.41		31.47		13.82		9.21		6.49		7.14
S&P 500 Index		3.84		3.99		12.10		7.42		5.75		4.78
Lipper Utility Fund Average		19.78		14.79		10.79		8.32		7.08		6.81
Class A (GAUAX)		18.13		14.83		8.05		7.39		7.08		8.03
With sales charge (b)		11.34		8.23		6.77		6.75		6.66		7.65
Class C (GAUCX)		17.71		13.92		7.23		6.58		6.34		7.37
With contingent deferred sales charge (c)		16.71		12.92		6.94		6.58		6.34		7.37
Class I (GAUIX)		18.35		15.09		8.33		7.59		7.20		8.14

In the current prospectuses dated April 29, 2016, the expense ratios for Class AAA, A, C, and I Shares are 1.39%, 1.39%, 2.14%, and 1.14%, respectively. See page 11 for the expense ratios for the six months ended June 30, 2016. 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, 2002. The Fund imposes a 2% redemption fee on shares sold or exchanged within seven days after the date of purchase. Performance returns for periods of less than one year are not annualized. 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 value of utility stocks generally changes as long term interest rates change. Funds investing in a single sector, such as utilities, may be subject to more volatility than funds that invest more broadly. The utilities industry can be significantly affected by government regulation, financing difficulties, supply or demand of services or fuel, and natural resources conservation. 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, 2002 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. The S&P 500 Utilities Index is an unmanaged market capitalization weighted index of large capitalization stocks that may include facilities generation and transmission or distribution of electricity, gas, or water. 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 Lipper Utility Fund Average reflects the average performance of mutual funds classified in this particular category. Dividends are considered reinvested. You cannot invest directly in an index.

(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.

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.

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.

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.

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

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.


	Beginning Account Value 01/01/16	Ending Account Value 06/30/16	Annualized Expense Ratio	Expenses Paid During Period*

*The Gabelli Utilities Fund*

Actual Fund Return
Class AAA	$1,000.00	$1,181.50	1.39%	$	7.54
Class A	$1,000.00	$1,181.30	1.39%	$	7.54
Class C	$1,000.00	$1,177.10	2.14%	$	11.58
Class I	$1,000.00	$1,183.50	1.14%	$	6.19
Hypothetical 5% Return
Class AAA	$1,000.00	$1,017.95	1.39%	$	6.97
Class A	$1,000.00	$1,017.95	1.39%	$	6.97
Class C	$1,000.00	$1,014.22	2.14%	$	10.72
Class I	$1,000.00	$1,019.19	1.14%	$	5.72

*	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 (182 days), then divided by 366.

The following table presents portfolio holdings as a percent of net assets as of June 30, 2016:

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.

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.


Shares			Cost		Market Value
		COMMON STOCKS — 97.6%
		ENERGY AND UTILITIES — 73.0%
		Alternative Energy — 0.3%
	370,000	Algonquin Power & Utilities Corp.		$ 2,068,158		$ 3,405,163
	36,000	NextEra Energy Partners LP		904,113		1,093,680
	65,000	Ormat Technologies Inc., New York		1,685,559		2,844,400
	6,739	Ormat Technologies Inc., Tel Aviv		196,537		291,075

				4,854,367		7,634,318

		Electric Integrated — 44.8%
	308,000	ALLETE Inc.		11,084,887		19,906,040
	174,000	Alliant Energy Corp.		3,065,133		6,907,800
	550,000	Ameren Corp.		16,055,895		29,469,000
	710,000	American Electric Power Co. Inc.		28,983,832		49,763,900
	2,000	Atlantic Power Corp.		27,502		4,923
	180,000	Avangrid Inc.		6,737,133		8,290,800
	290,000	Avista Corp.		7,089,367		12,992,000
	505,000	Black Hills Corp.		13,042,215		31,835,200
	16,000	Calpine Corp.†		302,612		236,000
	60,000	CMS Energy Corp.		402,675		2,751,600
	168,000	Dominion Resources Inc.		8,198,334		13,092,240
	4,000	DTE Energy Co.		151,595		396,480
	300,000	Duke Energy Corp.		16,475,115		25,737,000
	672,000	Edison International		25,732,937		52,194,240
	814,000	El Paso Electric Co.		18,108,780		38,477,780
	1,400	Entergy Corp.		96,612		113,890
	860,000	Eversource Energy		20,149,374		51,514,000
	382,000	Exelon Corp.		12,160,862		13,889,520
	375,000	FirstEnergy Corp.		10,896,067		13,091,250
	115,000	Fortis Inc.		3,606,944		3,887,186
	971,000	Great Plains Energy Inc.		21,754,964		29,518,400
	917,500	Hawaiian Electric Industries Inc.		21,886,449		30,084,825
	42,000	IDACORP Inc.		1,703,782		3,416,700
	112,000	ITC Holdings Corp.		3,130,041		5,243,840
	320,000	MGE Energy Inc.		9,955,188		18,084,800
	708,000	NextEra Energy Inc.		48,153,293		92,323,200
	260,000	NiSource Inc.		2,319,251		6,895,200
	444,000	NorthWestern Corp.		12,023,112		28,003,080
	790,000	OGE Energy Corp.		13,380,182		25,872,500
	756,000	Otter Tail Corp.		18,396,662		25,318,440
	120,000	PG&E Corp.		4,272,684		7,670,400
	323,000	Pinnacle West Capital Corp.		13,231,418		26,182,380
	1,610,000	PNM Resources Inc.		20,018,302		57,058,400
	572,000	PPL Corp.		17,657,112		21,593,000
	190,000	Public Service Enterprise Group Inc.		5,490,935		8,855,900
	365,000	SCANA Corp.		13,958,109		27,615,900
	58,000	Talen Energy Corp.†		937,767		785,900


Shares			Cost		Market Value
	1,070,000	TECO Energy Inc.		$ 20,081,158		$ 29,574,800
	440,000	The Empire District Electric Co.		9,213,170		14,946,800
	485,000	The Southern Co.		17,666,344		26,010,550
	43,000	Unitil Corp.		1,127,997		1,834,810
	460,000	Vectren Corp.		12,745,207		24,228,200
	624,000	WEC Energy Group Inc.		17,331,601		40,747,200
	900,000	Westar Energy Inc.		21,116,073		50,481,000
	310,000	Xcel Energy Inc.		6,350,159		13,881,800

				536,268,831		990,778,874

		Electric Transmission and Distribution — 0.3%
	69,000	Consolidated Edison Inc.		2,831,529		5,550,360

		Global Utilities — 2.5%
	11,000	AES Tiete Energia SA		154,630		50,509
	32,000	Chubu Electric Power Co. Inc.		569,135		448,865
	35,000	E.ON SE		898,724		350,583
	12,004	EDF SA		268,995		146,137
	5,000	EDP - Energias de Portugal SA, ADR		134,159		153,400
	200,000	Electric Power Development Co. Ltd.		4,991,198		4,607,563
	10,000	Eletropaulo Metropolitana Eletricidade de Sao Paulo SA, Preference		32,332		26,149
	185,000	Emera Inc.		4,545,769		6,962,112
	35,000	Enagas SA		916,226		1,060,565
	100,000	Endesa SA		2,186,478		2,000,888
	240,000	Enel SpA		1,244,860		1,060,038
	2,000	EuroSite Power Inc.†		1,300		1,800
	500,000	Hera SpA		1,056,604		1,363,889
	66,000	Hokkaido Electric Power Co. Inc.		1,054,241		528,562
	40,000	Hokuriku Electric Power Co.		661,406		490,001
	180,000	Huaneng Power International Inc., ADR		4,762,737		4,494,600
	45,000	Iberdrola SA, ADR		1,344,640		1,219,500
	220,899	Iberdrola SA, Aquis		1,521,266		1,492,190
	50,192	Iberdrola SA, London		617,879		338,963
	405,000	Korea Electric Power Corp., ADR		5,392,840		10,501,650
	100,000	Kyushu Electric Power Co. Inc.		1,462,973		989,687
	17,000	National Grid plc, ADR		768,389		1,263,610
	90,000	Red Electrica Corporacion SA		4,191,840		8,007,213
	32,000	Shikoku Electric Power Co. Inc.		578,871		373,718
	2,000	Snam SpA		8,967		11,897
	75,000	Statoil ASA		1,693,070		1,291,411
	28,000	The Chugoku Electric Power Co. Inc.		509,466		352,220


Shares			Cost		Market Value
		COMMON STOCKS (Continued)
		ENERGY AND UTILITIES (Continued)
		Global Utilities (Continued)
	310,000	The Kansai Electric Power Co. Inc.†		$ 4,289,320		$ 2,976,168
	55,000	The Tokyo Electric Power Co. Inc.†		208,402		230,088
	170,000	Tohoku Electric Power Co. Inc.		2,793,879		2,118,724

				48,860,596		54,912,700

		Merchant Energy — 1.8%
	40,000	GenOn Energy Inc. - Old, Escrow†		0		0
	15,000	GenOn Energy Inc., Escrow†		0		0
	120,000	NRG Energy Inc.		2,704,601		1,798,800
	2,965,000	The AES Corp.		32,132,051		37,003,200

				34,836,652		38,802,000

		Natural Gas Integrated — 10.6%
	9,000	Apache Corp.		562,462		501,030
	25,000	Atlas Energy Group LLC†		58,278		13,125
	80,000	Devon Energy Corp.		4,267,585		2,900,000
	2,000	Dominion Midstream Partners LP		65,980		56,260
	20,000	Energen Corp.		239,277		964,200
	610,000	Energy Transfer Equity LP		1,409,515		8,765,700
	145,000	Hess Corp.		8,581,606		8,714,500
	300,000	Kinder Morgan Inc.		6,840,332		5,616,000
	2,024,500	National Fuel Gas Co.		99,999,734		115,153,560
	443,000	Northwest Natural Gas Co.		19,753,362		28,715,260
	520,000	ONEOK Inc.		6,975,466		24,674,000
	600,000	Spectra Energy Corp.		13,136,488		21,978,000
	362,000	UGI Corp.		7,671,655		16,380,500

				169,561,740		234,432,135

		Natural Gas Utilities — 7.3%
	106,707	AGL Resources Inc.		4,254,374		7,039,461
	80,000	Atmos Energy Corp.		2,188,623		6,505,600
	94,000	CenterPoint Energy Inc.		1,812,563		2,256,000
	48,000	Chesapeake Utilities Corp.		875,323		3,176,640
	600,000	Columbia Pipeline Group Inc.		12,287,246		15,294,000
	24,000	CONSOL Energy Inc.		309,629		386,160
	324,000	Corning Natural Gas Holding Co.(a)		3,685,398		5,734,800
	165,500	Delta Natural Gas Co. Inc.		2,505,133		4,458,570
	1,000	Gas Natural Inc.		7,061		6,990
	100,000	Gulf Coast Ultra Deep Royalty Trust†		134,313		7,200
	14,000	New Jersey Resources Corp.		328,068		539,700
	143,000	ONE Gas Inc.		1,132,190		9,522,370
	77,000	Piedmont Natural Gas Co. Inc.		2,092,245		4,629,240


Shares			Cost		Market Value
	170,296	Questar Corp.		$ 3,916,187		$ 4,320,409
	44,000	RGC Resources Inc.		701,712		1,067,880
	140,000	South Jersey Industries Inc.		1,982,945		4,426,800
	956,400	Southwest Gas Corp.		35,773,721		75,278,244
	122,000	Spire Inc.		3,862,157		8,642,480
	3,700	Targa Resources Corp.		183,678		155,918
	98,500	WGL Holdings Inc.		3,993,938		6,972,815

				82,026,504		160,421,277

		Natural Resources — 1.6%
	14,000	Alliance Holdings GP LP		202,671		294,560
	53,000	Anadarko Petroleum Corp.		3,582,822		2,822,250
	148,000	BP plc, ADR		6,118,160		5,255,480
	7,058	California Resources Corp.		83,965		86,108
	325,000	Cameco Corp.		6,314,807		3,565,250
	8,000	Compania de Minas Buenaventura SAA, ADR†		87,836		95,600
	717,000	Mueller Industries Inc.		15,637,479		22,857,960
	6,300	Occidental Petroleum Corp.		444,086		476,028
	30,000	Tullow Oil plc†		211,874		104,717
	2,000	Ultra Petroleum Corp.†		5,199		3,520

				32,688,899		35,561,473

		Services — 0.5%
	10,000	Areva SA†		209,327		36,067
	40,000	Baker Hughes Inc.		1,850,626		1,805,200
	18,000	Halliburton Co.		574,929		815,220
	34,000	MDU Resources Group Inc.		738,008		816,000
	50,000	Patterson-UTI Energy Inc.		737,566		1,066,000
	56,000	Rowan Companies plc, Cl. A		1,910,766		988,960
	935,000	Weatherford International plc†		11,973,051		5,189,250

				17,994,273		10,716,697

		Water — 2.3%
	8,000	American States Water Co.		110,252		350,560
	115,000	American Water Works Co. Inc.		2,627,510		9,718,650
	538,000	Aqua America Inc.		9,449,461		19,185,080
	5,000	California Water Service Group		90,622		174,650
	10,000	Connecticut Water Service Inc.		251,353		562,000
	16,000	Consolidated Water Co. Ltd.		193,044		208,960
	20,000	Middlesex Water Co.		356,954		867,600
	220,000	Severn Trent plc		5,695,525		7,131,541
	200,000	SJW Corp.		4,709,875		7,876,000
	87,000	The York Water Co.		1,205,281		2,787,480
	44,000	United Utilities Group plc, ADR		1,185,493		1,218,800

				25,875,370		50,081,321


Shares			Cost		Market Value
		COMMON STOCKS (Continued)
		ENERGY AND UTILITIES (Continued)
		Diversified Industrial — 0.9%
	30,000	AZZ Inc.		$ 1,212,304		$ 1,799,400
	38,000	General Electric Co.		562,963		1,196,240
	105,000	ITT Inc.		2,173,813		3,357,900
	360,000	Mueller Water Products Inc., Cl. A		1,974,640		4,111,200
	19,000	Park-Ohio Holdings Corp.		352,986		537,320
	230,000	Tyco International plc		6,233,102		9,798,000

				12,509,808		20,800,060

		Environmental Services — 0.1%
	20,000	Covanta Holding Corp.		350,266		329,000
	80,000	Veolia Environnement SA		1,097,512		1,728,554

				1,447,778		2,057,554

		TOTAL ENERGY AND UTILITIES		969,756,347		1,611,748,769

		COMMUNICATIONS — 18.4%
		Cable and Satellite — 4.7%
	42,500	Charter Communications Inc., Cl. A†		4,316,809		9,717,200
	25,000	Cogeco Communications Inc.		684,204		1,311,970
	70,000	Cogeco Inc.		1,589,491		3,024,962
	20,000	Comcast Corp., Cl. A		402,190		1,303,800
	400,000	DISH Network Corp., Cl. A†		11,222,935		20,960,000
	303,000	EchoStar Corp., Cl. A†		9,947,776		12,029,100
	344,367	Liberty Global plc, Cl. A†		5,402,838		10,007,293
	601,226	Liberty Global plc, Cl. C†		10,382,187		17,225,123
	70,383	Liberty Global plc LiLAC, Cl. A†		1,354,024		2,270,545
	131,312	Liberty Global plc LiLAC, Cl. C†		2,897,185		4,266,329
	90,000	Rogers Communications Inc., Cl. B		2,426,676		3,636,000
	12,000	Shaw Communications Inc., Cl. B		148,195		230,400
	1,550,000	Sky plc		16,878,709		17,498,036
	50,000	Tokyo Broadcasting System Holdings Inc.		683,652		665,279

				68,336,871		104,146,037

		Computer Services Software and Systems — 0.0%
	323,000	Internap Corp.†		2,070,220		665,380

		Telecommunications — 10.4%
	40,000	AT&T Inc.		1,368,800		1,728,400
	560,000	BCE Inc.		15,759,355		26,493,600
	300,000	CenturyLink Inc.		9,480,023		8,703,000
	4,000,000	Cincinnati Bell Inc.†		13,360,023		18,280,000
	35,000	Deutsche Telekom AG		428,748		593,497
	515,000	Deutsche Telekom AG, ADR		6,311,945		8,744,700


Shares			Cost		Market Value
	330,000	Global Telecom Holding SAE, GDR†		$ 1,321,593		$ 610,500
	40,000	Harris Corp.		3,115,629		3,337,600
	1,440,000	Koninklijke KPN NV		4,192,069		5,201,642
	18,000	Koninklijke KPN NV, ADR		80,480		66,420
	470,000	Level 3 Communications Inc.†		14,884,853		24,200,300
	123,000	Loral Space & Communications Inc.†		5,133,096		4,338,210
	35,200	NextGenTel Holding ASA		257,885		94,638
	300,000	Nippon Telegraph & Telephone Corp.		7,422,571		13,944,705
	2,200	Orange Belgium SA†		33,392		50,648
	330,000	Orascom Telecom Media and Technology Holding SAE, GDR†		534,301		128,040
	60,000	Pharol SGPS SA		28,418		6,925
	220,000	Pharol SGPS SA, ADR		182,432		20,350
	77,077	Philippine Long Distance Telephone Co., ADR		4,229,226		3,435,322
	145,000	Proximus SA		4,628,591		4,582,039
	2,000	PT Indosat Tbk†		1,061		965
	2,000	Shenandoah Telecommunications Co.		15,867		78,120
	2,300,000	Singapore Telecommunications Ltd.		5,695,042		7,051,444
	680,000	Sprint Corp.†		3,943,962		3,080,400
	121,000	Swisscom AG, ADR		4,440,719		6,020,960
	8,000	Tele2 AB, Cl. B		141,042		69,545
	170,000	Telecom Italia SpA, ADR†		2,206,728		1,388,900
	225,000	Telefonica Brasil SA, ADR		4,053,552		3,060,000
	53,000	Telefonica Deutschland Holding AG		280,618		217,211
	535,000	Telefonica SA, ADR		9,748,924		5,071,800
	1,000,000	Telekom Austria AG		7,767,364		5,792,920
	340,000	Telenet Group Holding NV†		15,333,232		15,436,023
	535,000	Telephone & Data Systems Inc.		14,489,312		15,868,100
	60,000	Telesites SAB†		45,551		37,085
	735,000	Verizon Communications Inc.		23,723,142		41,042,400
	260,000	VimpelCom Ltd., ADR		1,626,003		1,008,800

				186,265,549		229,785,209

		Wireless Communications — 3.3%
	60,000	America Movil SAB de CV, Cl. L, ADR		988,511		735,600
	29,000	ATN International Inc.		950,567		2,256,490
	69,000	China Mobile Ltd., ADR		2,765,327		3,995,100
	53,000	China Unicom Hong Kong Ltd., ADR		665,499		551,730


Shares			Cost		Market Value
		COMMON STOCKS (Continued)
		COMMUNICATIONS (Continued)
		Wireless Communications (Continued)
	200	Hutchison Telecommunications Hong Kong Holdings Ltd.		$ 19		$ 68
	66,000	Millicom International Cellular SA		5,493,300		4,031,940
	210,000	Millicom International Cellular SA, SDR		16,018,800		12,782,630
	6,500	Mobile TeleSystems PJSC, ADR		86,498		53,820
	465,000	NTT DoCoMo Inc.		7,286,947		12,457,488
	135,000	SK Telecom Co. Ltd., ADR		2,383,798		2,824,200
	400	SmarTone Telecommunications Holdings Ltd.		207		711
	30,000	Tim Participacoes SA, ADR		634,131		316,500
	405,000	Turkcell Iletisim Hizmetleri A/S, ADR†		5,670,349		3,705,750
	356,000	United States Cellular Corp.†		15,853,968		13,980,120
	475,000	Vodafone Group plc, ADR		19,099,433		14,672,750

				77,897,354		72,364,897

		TOTAL COMMUNICATIONS		334,569,994		406,961,523

		OTHER — 6.2%
		Aerospace — 1.0%
	2,300,000	Rolls-Royce Holdings plc		20,035,417		21,785,348
	163,300,000	Rolls-Royce Holdings plc, Cl. C†		237,317		217,394

				20,272,734		22,002,742

		Aviation: Parts and Services — 0.0%
	10,000	Curtiss-Wright Corp.		299,251		842,500

		Building and Construction — 0.0%
	12,000	Acciona SA		1,140,701		868,672

		Business Services — 0.6%
	1,400,000	Clear Channel Outdoor Holdings Inc., Cl. A		6,320,706		8,708,000
	40,000	Macquarie Infrastructure Corp.		899,257		2,962,000
	17,500	Vectrus Inc.†		316,783		498,575

				7,536,746		12,168,575

		Computer Software and Services — 0.2%
	800,000	EarthLink Holdings Corp.		3,818,821		5,120,000

		Diversified Industrial — 0.1%
	1,000	Alstom SA†		31,457		23,166
	26,000	Bouygues SA		825,251		748,174
	4,000	Donaldson Co. Inc.		133,040		137,440
	13,000	Raven Industries Inc.		293,478		246,220


Shares			Cost		Market Value
	10,000	Svenska Cellulosa AB, Cl. A		$ 165,483		$ 317,822
	98,000	Twin Disc Inc.		2,067,562		1,052,520

				3,516,271		2,525,342

		Electronics — 0.9%
	100,000	Corning Inc.		1,118,890		2,048,000
	620,000	Sony Corp., ADR		11,214,743		18,197,000

				12,333,633		20,245,000

		Entertainment — 0.7%
	610,000	Grupo Televisa SAB, ADR		15,084,887		15,884,400

		Financial Services — 0.3%
	168,000	Kinnevik AB, Cl. A		3,583,754		4,338,648
	78,000	Kinnevik AB, Cl. B		2,472,948		1,843,819

				6,056,702		6,182,467

		Health Care — 0.0%
	12,000	Tsumura & Co.		261,956		322,006

		Machinery — 1.4%
	94,000	Astec Industries Inc.		3,325,266		5,278,100
	1,000	Flowserve Corp.		38,156		45,170
	83,000	The Gorman-Rupp Co.		1,924,996		2,275,030
	500,000	Xylem Inc.		14,004,416		22,325,000

				19,292,834		29,923,300

		Metals and Mining — 0.3%
	170,000	Freeport-McMoRan Inc.		2,677,459		1,893,800
	48,000	Haynes International Inc.		2,342,706		1,539,840
	38,758	Materion Corp.		918,884		959,648
	17,000	Vulcan Materials Co.		797,880		2,046,120

				6,736,929		6,439,408

		Transportation — 0.7%
	322,000	GATX Corp.		9,357,701		14,158,340
	30,014	Providence and Worcester Railroad Co.		443,758		489,228

				9,801,459		14,647,568

		TOTAL OTHER		106,152,924		137,171,980

		TOTAL COMMON STOCKS		1,410,479,265		2,155,882,272

		CONVERTIBLE PREFERRED STOCKS — 0.1%
		ENERGY AND UTILITIES — 0.1%
		Natural Gas Utilities — 0.1%
	54,000	Corning Natural Gas, 4.800%, Ser. B		1,120,500		1,120,500


Shares			Cost		Market Value
		CONVERTIBLE PREFERRED STOCKS (Continued)
		COMMUNICATIONS — 0.0%
		Telecommunications — 0.0%
	21,000	Cincinnati Bell Inc., 6.750%, Ser. B		$ 695,010		$ 1,040,340


		TOTAL CONVERTIBLE PREFERRED STOCKS		1,815,510		2,160,840

		WARRANTS — 0.0%
		COMMUNICATIONS — 0.0%
		Telecommunications — 0.0%
	80,000	Bharti Airtel Ltd., expire 08/04/16†(b)		381,976		434,565

		ENERGY AND UTILITIES — 0.0%
		Natural Gas Integrated — 0.0%
	1,100,000	Kinder Morgan Inc., expire 05/25/17†		1,629,453		18,700

		TOTAL WARRANTS		2,011,429		453,265


Principal Amount
		U.S. GOVERNMENT OBLIGATIONS — 2.0%
	$43,469,000	U.S. Treasury Bills, 0.140% to 0.481%††, 07/14/16 to 12/08/16		43,434,959		43,444,788


		TOTAL INVESTMENTS — 99.7%		$1,457,741,163		2,201,941,165

		Other Assets and Liabilities (Net) — 0.3%				7,408,335

		NET ASSETS — 100.0%				$2,209,349,500

Statement of Assets and Liabilities

June 30, 2016 (Unaudited)


Assets:
Investments, at value (cost $1,454,055,765)	$	2,196,206,365
Investments in affiliates, at value (cost $3,685,398)		5,734,800
Foreign currency, at value (cost $463,787)		463,774
Receivable for Fund shares sold		3,645,556
Receivable for investments sold		2,999,009
Dividends receivable		4,918,402
Prepaid expenses		46,090
Receivable for custody fees reimbursement		271,675

Total Assets		2,214,285,671

Liabilities:
Payable to custodian		2,136
Distributions payable		1,236
Payable for Fund shares redeemed		1,755,314
Payable for investments purchased		7,958
Payable for investment advisory fees		1,761,980
Payable for distribution fees		905,079
Payable for accounting fees		11,250
Payable for shareholder services fees		283,201
Other accrued expenses		208,017

Total Liabilities		4,936,171

Net Assets (applicable to 250,223,941 shares outstanding)	$	2,209,349,500

Net Assets Consist of:
Paid-in capital	$	1,459,125,576
Undistributed net investment income		8,538,019
Accumulated net realized loss on investments and foreign currency transactions		(2,489,105	)
Net unrealized appreciation on investments		744,200,002
Net unrealized depreciation on foreign currency translations		(24,992	)

Net Assets	$	2,209,349,500

Shares of Beneficial Interest, each at $0.001 par value; unlimited number of shares authorized:
Class AAA:
Net Asset Value, offering, and redemption price per share ($398,929,332 ÷ 40,609,212 shares outstanding)	$	9.82

Class A:
Net Asset Value and redemption price per share ($816,047,150 ÷ 81,939,059 shares outstanding)	$	9.96

Maximum offering price per share (NAV ÷ 0.9425, based on maximum sales charge of 5.75% of the offering price)	$	10.57

Class C:
Net Asset Value and offering price per share ($830,600,142 ÷ 111,587,881 shares outstanding)	$	7.44	(a)

Class I:
Net Asset Value, offering, and redemption price per share ($163,772,876 ÷ 16,087,789 shares outstanding)	$	10.18

(a)	Redemption price varies based on the length of time held.

Statement of Operations

For the Six Months Ended June 30, 2016 (Unaudited)


Investment Income:
Dividends - Unaffiliated (net of foreign withholding taxes of $855,480)	$	34,973,918
Dividends - Affiliated		97,200
Interest		23,530
Other income*		271,675

Total Income		35,366,323

Expenses:
Investment advisory fees		10,143,319
Distribution fees - Class AAA		468,078
Distribution fees - Class A		928,370
Distribution fees - Class C		3,821,633
Shareholder services fees		862,153
Shareholder communications expenses		169,644
Custodian fees		125,248
Registration expenses		78,613
Trustees’ fees		68,126
Legal and audit fees		39,570
Accounting fees		22,500
Interest expense		14,582
Miscellaneous expenses		72,292

Total Expenses		16,814,128

Less:
Expenses paid indirectly by broker (See Note 6)		(7,250	)

Net Expenses		16,806,878

Net Investment Income		18,559,445

Net Realized and Unrealized Gain/(Loss) on Investments and Foreign Currency:
Net realized gain on investments		11,512,637
Net realized gain on foreign currency transactions		34,945

Net realized gain on investments and foreign currency transactions		11,547,582

Net change in unrealized appreciation/depreciation:
on investments		310,838,715
on foreign currency translations		(3,959	)

Net change in unrealized appreciation/ depreciation on investments and foreign currency translations		310,834,756

Net Realized and Unrealized Gain/(Loss) on Investments and Foreign Currency		322,382,338

Net Increase in Net Assets Resulting from Operations	$	340,941,783

*	The Fund received a one time reimbursement of custody expenses paid in prior years.

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

1. Organization. The Gabelli Utilities Fund was organized on May 18, 1999 as a Delaware statutory 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 commenced operations on August 31, 1999. The Fund’s primary objective is to provide a high level of total return through a combination of capital appreciation and current income.

The Fund invests a high percentage of its assets in the utilities sector. As a result, the Fund may be more susceptible to economic, political, and regulatory developments, positive or negative, and may experience increased volatility to the Fund’s NAV and a magnified effect in its total return.

2. Significant Accounting Policies. As an investment company, the Fund follows the investment company accounting and reporting guidance, which is part of U.S. generally accepted accounting principles (“GAAP”) that may require the use of management estimates and assumptions in the preparation of its financial statements. 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.

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:

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 June 30, 2016 is as follows:

(a) 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 six months ended June 30, 2016. The Fund’s policy is to recognize transfers among Levels as of the beginning of the reporting period.

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.

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 may 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 changes in the value of its portfolio securities and in the value of securities it intends to purchase, 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.

The Fund’s derivative contracts held at June 30, 2016, if any, are not accounted for as hedging instruments under GAAP and are disclosed in the Schedule of Investments together with the related counterparty.

Swap Agreements. The Fund may enter into equity contract for difference swap transactions for the purpose of increasing the income of the Fund. The use of swaps is a highly specialized activity that involves investment techniques and risks different from those associated with ordinary portfolio security transactions. In an equity contract for difference swap, a set of future cash flows is exchanged between two counterparties. One of these cash flow streams will typically be based on a reference interest rate combined with the performance of a notional value of shares of a stock. The other will be based on the performance of the shares of a stock. Depending on the general state of short term interest rates and the returns on the Fund’s portfolio securities at the time an equity contract for difference swap transaction reaches its scheduled termination date, there is a risk that the Fund will not be able to obtain a replacement transaction or that the terms of the replacement will not be as favorable as on the expiring transaction.

Unrealized gains related to swaps are reported as an asset and unrealized losses are reported as a liability in the Statement of Assets and Liabilities. The change in value of swaps, including the accrual of periodic amounts of interest to be received or paid on swaps, is reported as unrealized gain or loss in the Statement of Operations. A realized gain or loss is recorded upon receipt or payment of a periodic payment or termination of swap agreements. During the six months ended June 30, 2016, the Fund held no investments in equity contract for difference swap agreements.

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 15% 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. At June 30, 2016, the Fund did not hold restricted securities.

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.

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 made in excess of current earnings and profits on a tax basis are treated as a non-taxable return of capital. 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. These reclassifications have no impact on the NAV of the Fund.

The tax character of distributions paid during the year ended December 31, 2015 was as follows:

Since January 2000, the Fund has had a fixed distribution policy. Under the policy, the Fund declares and pays monthly distributions from net investment income, capital gains, and paid-in capital. The actual source of the distribution is determined after the end of the year. Pursuant to this policy, distributions during the year may be made in excess of required distributions. To the extent such distributions are made from current earnings and profits, they are considered ordinary income or long term capital gains. The Fund’s current distribution policy may restrict the Fund’s ability to pass through to shareholders all of its net realized long term capital gains as a Capital Gain Dividend, and may cause such gains to be treated as ordinary income. Distributions sourced from paid-in capital should not be considered as dividend yield or the total return from an investment in the Fund. The Board continues to evaluate the distribution policy in light of ongoing economic and market conditions and may change the amount of the monthly distributions in the future.

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.

The Fund is permitted to carry capital losses forward for an unlimited period. Capital losses that are carried forward will retain their character as either short term or long term capital losses.

The following summarizes the tax cost of investments and the related net unrealized appreciation at June 30, 2016:

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 six months ended June 30, 2016, the Fund did not incur any income tax, interest, or penalties. As of June 30, 2016, 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. The Fund’s federal and state tax returns for the prior three fiscal years remain open, subject to examination. 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.

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 and they are reimbursed 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. 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 Adviser, 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 six months ended June 30, 2016, other than short term securities and U.S. Government obligations, aggregated $23,012,605 and $159,120,559, respectively.

6. Transactions with Affiliates and Other Arrangements. During the six months ended June 30, 2016, the Fund paid brokerage commissions on security trades of $80,180 to G.research, LLC, an affiliate of the Adviser. Additionally the Distributor retained a total of $396,102 from investors representing commissions (sales charges and underwriting fees) on sales and redemptions of Fund shares.

During the six months ended June 30, 2016, the Fund received credits from a designated broker who agreed to pay certain Fund operating expenses. The amount of such expenses paid through this directed brokerage arrangement during this period was $7,250.

The cost of calculating the Fund’s NAV per share is a Fund expense pursuant to the Advisory Agreement. During the six months ended June 30, 2016, the Fund paid or accrued $22,500 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 bears interest at a floating rate equal to the higher of the overnight Federal Funds rate plus 125 basis points or the 30-DAY LIBOR plus 125 basis points in effect on that day. This amount, if any, would be included in “Interest expense” in the Statement of Operations. At June 30, 2016, there were no borrowings outstanding under the line of credit.

The average daily amount of borrowings outstanding under the line of credit during the six months ended June 30, 2016 was $1,002,302 with a weighted average interest rate of 0.92%. The maximum amount borrowed at any time during the six months ended June 30, 2016 was $14,298,222.

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 and Class I Shares are offered without a sales charge. 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 six months ended June 30, 2016 and the year ended December 31, 2015, if any, can be found in the Statement of Changes in Net Assets under Redemption Fees.

As approved by the Board of Directors, the Fund effected a 1 for 2 reverse stock split on March 6, 2015. The net asset value of each share class increased proportionately at that time.

9. Transactions in Securities of Affiliated Issuers. The 1940 Act defines affiliated issuers as those in which the Fund’s holdings of an issuer represent 5% or more of the outstanding voting securities of the issuer. A summary of the Fund’s transactions in the securities of these issuers during the six months ended June 30, 2016 is set forth below:

10. 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.

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.

Board Consideration and Re-Approval of Investment Advisory Agreements (Unaudited)

At its meeting on February 24, 2016, the Board of Trustees (“Board”) of the Fund approved the continuation of the investment advisory agreement with the Adviser for the Fund on the basis of the recommendation by the trustees who are not “interested persons” of the Fund (the “ Independent Board Members”). The following paragraphs summarize the material information and factors considered by the Independent Board Members as well as their conclusions relative to such factors.

Nature, Extent, and Quality of Services. The Independent Board Members considered information regarding the portfolio manager, the depth of the analyst pool available to the Adviser and the portfolio manager, the scope of supervisory, administrative, shareholder, and other services supervised or provided by the Adviser and the absence of significant service problems reported to the Board. The Independent Board Members noted the experience, length of service, and reputation of the portfolio manager.

Investment Performance. The Independent Board Members reviewed the short, medium, and longer term performance of the Fund against a peer group of utilities funds and against the customized peer group selected by Broadridge. The Independent Board Members noted that the Fund’s performance was within the third quartile of its peer group for the one year and three year periods, and in the fourth quartile for the five year period for the peer group and within the second quartile for the one year period, third quartile for the three year period and fourth quartile for the five year period for the customized peer group selected by Broadridge.

Profitability. The Independent Board Members reviewed summary data regarding the profitability of the Fund to the Adviser both with an administrative overhead charge and without a charge. The Independent Board Members also noted that a substantial portion of the Fund’s portfolio transactions were executed by an affiliated broker, that another affiliated broker received distribution fees and minor amounts of sales commissions, and that the Adviser received a moderate amount of soft dollar benefits through the Fund’s portfolio brokerage.

Economies of Scale. The Independent Board Members discussed the major elements of the Adviser’s cost structure and the relationship of those elements to potential economies of scale.

Sharing of Economies of Scale. The Independent Board Members noted that the investment advisory fee schedule for the Fund does not take into account any potential economies of scale that may develop or any historical losses or diminished profitability of the Fund to the Adviser.

Service and Cost Comparisons. The Independent Board Members compared the expense ratios of the investment advisory fee, other expenses, and total expenses of the Fund with similar expense ratios of the peer group of utilities funds and the customized Lipper group and noted that the advisory fee includes substantially all administrative services for the Fund as well as the investment advisory services of the Adviser. The Independent Board Members noted that the Fund’s expense ratios were above average and the Fund’s size was average within these groups. The Independent Board Members were presented with, but did not consider to be material to their decision, various information comparing the advisory fee with the fee for other types of accounts managed by affiliates of the Adviser.

Conclusions. The Independent Board Members concluded that the Fund enjoyed highly experienced portfolio management services, good ancillary services, and a reasonable performance record. The Independent Board Members also concluded that the Fund’s expense ratios and profitability to the Adviser of managing the Fund were reasonable and that economies of scale were not a significant factor in their thinking at this time. The Independent Board Members did not view the potential profitability of ancillary services as material to their

Board Consideration and Re-Approval of Investment Advisory Agreements (Unaudited) (Continued)

decision. On the basis of the foregoing and without assigning particular weight to any single conclusion, the Independent Board Members determined to recommend continuation of the investment advisory agreement to the full Board.

Based on a consideration of all these factors in their totality, the Board Members, including all of the Independent Board Members, determined that the Fund’s advisory fee was fair and reasonable with respect to the quality of services provided and in light of the other factors described above that the Board deemed relevant. Accordingly, the Board Members determined to approve the continuation of the Fund’s Advisory Agreement. The Board Members based its decision on evaluations of all these factors as a whole and did not consider any one factor as all important or controlling.

THE GABELLI UTILITIES FUND

One Corporate Center

Rye, New York 10580-1422

t 800-GABELLI (800-422-3554)

f 914-921-5118

e info@gabelli.com

GABELLI.COM

Net Asset Value per share available daily

by calling 800-GABELLI after 7:00 P.M.



BOARD OF TRUSTEES		OFFICERS
Mario J. Gabelli, CFA Chairman and Chief Executive Officer, GAMCO Investors, Inc. Chairman and Chief Executive Officer, Associated Capital Group, Inc. Anthony J. Colavita President, Anthony J. Colavita, P.C. Vincent D. Enright Former Senior Vice President and Chief Financial Officer, KeySpan Corp. Mary E. Hauck Former Senior Portfolio Manager, Gabelli-O’Connor Fixed Income Mutual Fund Management Co. Kuni Nakamura President, Advanced Polymer, Inc. Werner J. Roeder, MD Former Medical Director, Lawrence Hospital		Bruce N. Alpert President Andrea R. Mango Secretary Agnes Mullady Treasurer Richard J. Walz Chief Compliance Officer DISTRIBUTOR G.distributors, LLC CUSTODIAN, TRANSFER AGENT, AND DIVIDEND DISBURSING AGENT State Street Bank and Trust Company LEGAL COUNSEL Skadden, Arps, Slate, Meagher & Flom LLP

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

GAB470Q216SR

There have been no material changes to the procedures by which the shareholders may recommend nominees to the registrant’s Board of Trustees, where those changes were implemented after the registrant last provided disclosure in response to the requirements of Item 407(c)(2)(iv) of Regulation S-K (17 CFR 229.407) (as required by Item 22(b)(15) of Schedule 14A (17 CFR 240.14a-101)), or this Item.

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.


The Gabelli Utilities Fund
Disclosure of Fund Expenses (Unaudited)
For the Six Month Period from January 1, 2016 through June 30, 2016		Expense Table


	Six Months Ended June 30, 2016 (Unaudited)			Year Ended December 31, 2015
Operations:
Net investment income	$	18,559,445		$	29,499,043
Net realized gain on investments and foreign currency transactions		11,547,582			231,852,901
Net change in unrealized appreciation/depreciation on investments and foreign currency translations		310,834,756			(482,101,250	)

Net Increase/(Decrease) in Net Assets Resulting from Operations		340,941,783			(220,749,306	)

Distributions to Shareholders:
Net investment income
Class AAA		(2,217,613	)*		(5,716,875	)
Class A		(4,352,980	)*		(9,544,422	)
Class C		(5,928,723	)*		(12,183,754	)
Class I		(844,924	)*		(1,923,225	)

		(13,344,240	)		(29,368,276	)


Net realized gain
Class AAA		(164,268	)*		(44,494,472	)
Class A		(322,443	)*		(74,284,304	)
Class C		(439,165	)*		(94,826,237	)
Class I		(62,587	)*		(14,968,474	)

		(988,463	)		(228,573,487	)


Return of capital
Class AAA		(14,866,225	)*		(3,529,934	)
Class A		(29,181,088	)*		(5,893,286	)
Class C		(39,744,405	)*		(7,522,965	)
Class I		(5,664,127	)*		(1,187,512	)

		(89,455,845	)		(18,133,697	)

Total Distributions to Shareholders		(103,788,548	)		(276,075,460	)

Shares of Beneficial Interest Transactions:
Class AAA		(18,452,760	)		(349,671,407	)
Class A		10,744,569			(351,832,769	)
Class C		13,518,807			(177,103,835	)
Class I		3,934,448			(81,173,972	)

Net Increase/(Decrease) in Net Assets from Shares of Beneficial Interest Transactions		9,745,064			(959,781,983	)


Redemption Fees		5,151			29,403

Net Increase/(Decrease) in Net Assets		246,903,450			(1,456,577,346	)
Net Assets:
Beginning of year		1,962,446,050			3,419,023,396

End of period (including undistributed net investment income of $8,538,019 and $3,322,814, respectively)	$	2,209,349,500		$	1,962,446,050


		Income (Loss) from Investment Operations			Distributions									Ratios to Average Net Assets/ Supplemental Data
Year Ended December 31†	Net Asset Value, Beginning of Year	Net Investment Income(a)	Net Realized and Unrealized Gain (Loss) on Investments	Total from Investment Operations	Net Investment Income	Net Realized Gain on Investments	Return of Capital	Total Distributions	Redemption Fees(a)(b)	Net Asset Value, End of Period		Total Return††		Net Assets End of Period (in 000’s)		Net Investment Income	Operating Expenses	Portfolio Turnover Rate
Class AAA
2016(c)	$ 8.70	$0.09	$1.45	$1.54	$(0.05)*	$(0.01)*	$(0.36)*	$(0.42)	$0.00		$ 9.82		18.2%		$ 398,929	2.09%(d)	1.39%(d)(e)		1%
2015	10.50	0.11	(1.07)	(0.96)	(0.09)	(0.70)	(0.05)	(0.84)	0.00		8.70		(8.3)		371,419	1.42	1.39(e)		8
2014	11.24	0.18	0.76	0.94	(0.14)	(0.10)	(1.44)	(1.68)	0.00		10.50		8.9		820,328	1.64	1.36		9
2013	10.86	0.18	1.88	2.06	(0.14)	(0.20)	(1.34)	(1.68)	0.00		11.24		20.2		738,742	1.60	1.37		11
2012	12.06	0.16	0.32	0.48	(0.10)	(0.20)	(1.38)	(1.68)	0.00		10.86		4.3		590,457	1.36	1.39		15
2011	12.76	0.16	0.82	0.98	(0.12)	(0.02)	(1.54)	(1.68)	0.00		12.06		8.0		686,609	1.32	1.40		22
Class A
2016(c)	$ 8.82	$0.10	$1.46	$1.56	$(0.05)*	$(0.01)*	$(0.36)*	$(0.42)	$0.00		$ 9.96		18.1%		$ 816,047	2.10%(d)	1.39%(d)(e)		1%
2015	10.64	0.12	(1.10)	(0.98)	(0.09)	(0.70)	(0.05)	(0.84)	0.00		8.82		(8.3)		713,208	1.45	1.39(e)		8
2014	11.36	0.18	0.78	0.96	(0.14)	(0.10)	(1.44)	(1.68)	0.00		10.64		9.0		1,231,349	1.64	1.36		9
2013	10.96	0.18	1.90	2.08	(0.14)	(0.20)	(1.34)	(1.68)	0.00		11.36		20.2		1,109,532	1.60	1.37		11
2012	12.16	0.16	0.32	0.48	(0.10)	(0.20)	(1.38)	(1.68)	0.00		10.96		4.3		931,577	1.37	1.39		15
2011	12.84	0.16	0.84	1.00	(0.12)	(0.02)	(1.54)	(1.68)	0.00		12.16		8.2		936,899	1.32	1.40		22
Class C
2016(c)	$ 6.71	$0.05	$1.10	$1.15	$(0.05)*	$(0.01)*	$(0.36)*	$(0.42)	$0.00		$ 7.44		17.7%		$ 830,600	1.34%(d)	2.14%(d)(e)		1%
2015	8.40	0.05	(0.90)	(0.85)	(0.09)	(0.70)	(0.05)	(0.84)	0.00		6.71		(9.1)		736,494	0.73	2.14(e)		8
2014	9.38	0.08	0.62	0.70	(0.14)	(0.10)	(1.44)	(1.68)	0.00		8.40		8.1		1,111,695	0.89	2.11		9
2013	9.36	0.08	1.62	1.70	(0.14)	(0.20)	(1.34)	(1.68)	0.00		9.38		19.5		1,037,073	0.85	2.12		11
2012	10.70	0.06	0.28	0.34	(0.10)	(0.20)	(1.38)	(1.68)	0.00		9.36		3.5		880,503	0.62	2.14		15
2011	11.58	0.06	0.74	0.80	(0.12)	(0.02)	(1.54)	(1.68)	0.00		10.70		7.3		901,840	0.57	2.15		22
Class I
2016(c)	$ 8.99	$0.11	$1.50	$1.61	$(0.05)*	$(0.01)*	$(0.36)*	$(0.42)	$0.00		$10.18		18.4%		$ 163,773	2.35%(d)	1.14%(d)(e)		1%
2015	10.80	0.14	(1.11)	(0.97)	(0.09)	(0.70)	(0.05)	(0.84)	0.00		8.99		(8.1)		141,325	1.70	1.14(e)		8
2014	11.48	0.20	0.80	1.00	(0.14)	(0.10)	(1.44)	(1.68)	0.00		10.80		9.3		255,651	1.86	1.11		9
2013	11.04	0.22	1.90	2.12	(0.14)	(0.20)	(1.34)	(1.68)	0.00		11.48		20.4		179,913	1.85	1.12		11
2012	12.20	0.20	0.32	0.52	(0.10)	(0.20)	(1.38)	(1.68)	0.00		11.04		4.6		161,415	1.68	1.14		15
2011	12.86	0.20	0.82	1.02	(0.12)	(0.02)	(1.54)	(1.68)	0.00		12.20		8.3		95,944	1.58	1.15		22


Distributions paid from:
Ordinary income (inclusive of short term capital gains)	$	29,368,276
Long term capital gains		228,573,487
Return of capital		18,133,697

Total distributions paid	$	276,075,460


	Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation			Net Unrealized Appreciation
Investments	$	1,464,368,730	$	826,284,900	$	(88,712,465	)	$	737,572,435


The Gabelli Utilities Fund Semiannual Report — June 30, 2016 To Our Shareholders,		Mario J. Gabelli, CFA Portfolio Manager


Energy and Utilities	73.1	%
Communications	18.4	%
Other	6.2	%
U.S. Government Obligations	2.0	%
Other Assets and Liabilities (Net)	0.3	%

	100.0	%


	Valuation Inputs
	Level 1 Quoted Prices		Level 2 Other Significant Observable Inputs		Level 3 Significant Unobservable Inputs		Total Market Value at 6/30/16
INVESTMENTS IN SECURITIES:
ASSETS (Market Value):
Common Stocks:
ENERGY AND UTILITIES
Natural Gas Utilities	$	154,686,477	$	5,734,800		—	$	160,421,277
Other Industries (a)		1,451,327,492		—		—		1,451,327,492
COMMUNICATIONS(a)		406,961,523		—		—		406,961,523
OTHER
Aerospace		21,785,348		—	$	217,394		22,002,742
Other Industries (a)		115,169,238		—		—		115,169,238

Total Common Stocks		2,149,930,078		5,734,800		217,394		2,155,882,272

Convertible Preferred Stocks (a)		1,040,340		—		1,120,500		2,160,840
Warrants (a)		18,700		434,565		—		453,265
U.S. Government Obligations		—		43,444,788		—		43,444,788

TOTAL INVESTMENTS IN SECURITIES – ASSETS	$	2,150,989,118	$	49,614,153	$	1,337,894	$	2,201,941,165


	Six Months Ended June 30, 2016 (Unaudited)						Year Ended December 31, 2015
	Shares			Amount			Shares			Amount
Class AAA
Shares sold		2,320,357		$	21,309,342			9,543,611		$	67,465,336
Shares issued upon reinvestment of distributions		1,689,015			15,465,224			6,528,236			46,859,406
Shares redeemed		(6,081,537	)		(55,227,326	)		(69,258,903	)		(463,996,149	)
Share reduction from 1 for 2 reverse stock split		—			—			(60,236,385	)		—

Net decrease		(2,072,165	)	$	(18,452,760	)		(113,423,441	)	$	(349,671,407	)

Class A
Shares sold		6,503,642		$	61,168,987			14,667,673		$	116,194,342
Shares issued upon reinvestment of distributions		3,039,950			28,231,288			9,292,802			69,521,979
Shares redeemed		(8,496,298	)		(78,655,706	)		(78,424,819	)		(537,549,090	)
Share reduction from 1 for 2 reverse stock split		—			—			(96,231,492	)		—

Net increase/(decrease)		1,047,294		$	10,744,569			(150,695,836	)	$	(351,832,769	)

Class C
Shares sold		6,985,062		$	48,983,507			18,300,907		$	111,972,785
Shares issued upon reinvestment of distributions		5,427,474			37,969,288			15,059,313			88,752,403
Shares redeemed		(10,550,143	)		(73,433,988	)		(68,394,621	)		(377,829,023	)
Share reduction from 1 for 2 reverse stock split		—			—			(119,958,972	)		—

Net increase/(decrease)		1,862,393		$	13,518,807			(154,993,373	)	$	(177,103,835	)

Class I
Shares sold		2,382,031		$	22,795,315			4,636,261		$	38,457,839
Shares issued upon reinvestment of distributions		563,989			5,350,955			1,937,391			14,608,140
Shares redeemed		(2,573,757	)		(24,211,822	)		(18,735,617	)		(134,239,951	)
Share reduction from 1 for 2 reverse stock split		—			—			(19,463,756	)		—

Net increase/(decrease)		372,263		$	3,934,448			(31,625,721	)	$	(81,173,972	)


	Beginning Shares	Shares Sold	Ending Shares	Dividend Income	Realized Gain	Value at June 30, 2016	Percent Owned of Shares Outstanding
Corning Natural Gas Holding Co.	324,000	—	324,000	$97,200	—	$5,734,800	13.12%