TETON WESTWOOD FUNDS - GAMCO Investors · 2016-09-08 · TETON WESTWOOD FUNDS Mighty Mites SM Fund SmallCap Equity Fund Income Fund Equity Fund Balanced Fund Intermediate Bond Fund

TETON WESTWOOD FUNDS

Mighty MitesSM Fund

SmallCap Equity Fund

Income Fund

Equity Fund

Balanced Fund

Intermediate Bond Fund

CommentaryJune 30, 2016

Mid-Cap Equity Fund

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To Our Shareholders,

For the quarter ended June 30, 2016, theTETON Westwood Mighty Mites Fund’snet asset value (“NAV”) per Class AAAShare appreciated 4.5% vs gains of 3.8%and 4.0% for the Russell 2000 andRussell Microcap indices, respectively.Year to date, the Fund appreciated 4.9%versus a gain of 2.2% for the Russell 2000Index and a loss of 1.7% for the RussellMicrocap Index.

Commentary

It is hard to remember a period in timewhere macro risks and concerns haveturned so often and so dramatically.Over the course of the past quarter,investor worries shifted from a collapse inChina, a recession in the U.S., increasingoil prices and then… Brexit. The UnitedKingdom’s vote to exit the EuropeanUnion (EU), after being a member for

over 40 years, sparked a correction thatmany investors had feared and antici-pated for many months. But, just asquickly as the market declined, it roaredback with a vengeance. This “Era ofUncertainty” will persist and investorsshould prepare to “expect the unex-pected.” In the midst of many unknowns,we continue to be constructive and opti-mistic on the U.S. economy and smallcaps in particular.

Brexit. What will the economic impact beon the UK and the EU and how might itspill over to the rest of the world? Itcertainly is an economic suppressant butis it the beginning of de-globalization?Will other countries seek to exit as well?We do expect continued market volatilityas the future unfolds, particularly giventhe lack of precedent for a dissolution ofsuch scale. UK voters have opted for theunknown card and brought the rest of us

with them on a ride whose final desti-nation is a big question mark. There willbe tremendous debate as to when theimpact of the Brexit decision begins tosettle in. We expect that the heightenedpolitical and economic uncertainties willerode consumer and business confidencein the EU for the next several months.


Average Annual Returns Through June 30, 2016 (a) Since Year-to- Inception Quarter Date 1 Year 3 Year 5 Year 10 Year 15 Year (5/11/98) —————— ———— ———— ———— ———— —————— —————— ———————

Mighty MitesSM Fund Class AAA (WEMMX) . . . . . . . . . 4.54% 4.91% (2.55)% 5.31% 8.65% 8.92% 9.35% 10.94% Russell Microcap™ Index . . . . . . . . . . . . . . . . . . . . . . . . 3.97 (1.68) (12.06) 5.95 8.20 4.31 6.46 N/A(b)Russell 2000 Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.79 2.22 (6.73) 7.09 8.35 6.20 6.96 6.38Lipper Small Cap Value Fund Average . . . . . . . . . . . . . . 1.82 4.08 (4.71) 5.69 7.23 5.61 8.08 7.49(c)

In the current prospectus dated January 28, 2016, the expense ratio for Class AAA Shares is 1.41%. Class AAA Shares do not have a salescharge. (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 theperformance data presented. Visit www.tetonadv.com for performance information as of the most recent month end. Teton Advisors, Inc.,the Adviser, reimbursed expenses through September 30, 2005 to limit the expense ratios. Had such limitations not been in place, returnswould have been lower. 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 prospectus contains information about these and other matters and shouldbe read carefully before investing. To obtain a prospectus, please visit our website at www.tetonadv.com. Other share classes are availableand have different performance characteristics. See page 23 for performance of other classes of shares. The Russell MicrocapTM Index isan unmanaged indicator which measures the performance of the microcap segment of the U.S. equity market. The Russell 2000 Index isan unmanaged indicator which measures the performance of the small cap segment of the U.S. equity market. The Lipper Small Cap ValueFund Average reflects the average performance of mutual funds classified in this particular category. Investing in small capitalizationsecurities involves special challenges because these securities may trade less frequently and experience more abrupt price movementsthan large capitalization securities. Dividends are considered reinvested. You cannot invest directly in an index.

(b) The Inception of the Russell Microcap™ Index was June 30, 2000.(c) Lipper Small Cap Value Fund Average since inception performance is as of April 30, 1998.

TETON Westwood Mighty MitesSM Fund

Mario J. Gabelli, CFA

Paul D. Sonkin

Laura S. Linehan, CFA

Elizabeth M. Lilly, CFA

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Although Brexit is another dose of uncer-tainty shaking investors’ confidence, webelieve that the U.S. economy will beminimally impacted and the contagionfear is overblown (the UK only accountsfor 2% of global GDP). We are of thebelief that small cap companies will notbe meaningfully affected by the Brexitdecision as small caps in aggregatederive a much higher percentage of theirrevenues from domestic sources than dolarger cap companies. Furthermore, smallcaps have far less currency exposure tothe global economy. In the short termthe renewed strength in the U.S. dollarmay impact manufacturing, industrial,and other cyclical businesses but longerterm the impact will be minimal.

As we survey the landscape, there aremany positives which we think shouldencourage investors. Interest rates willcontinue to be low as the Brexit vote hasall but eliminated any chance that theFederal Reserve will increase rates in2016. Energy prices remain below prioryears and we foresee a modest pace ofincreases going forward. U.S, corporateprofits are healthy and balance sheets arestrong. Consumer confidence continuesto improve and we see a rising trend inhousehold formations. Given consumerand housing contribute over 71% of GDP,any progress on spending will continue tomove the economy forward. Challengesremain on the horizon which we areclosely watching: the continuedslowdown in China, geopolitical turmoilacross the globe, the economic chal-lenges of various Emerging Markets, andthe polarizing nature of the upcomingU.S. Presidential election.

Overall, we remain very constructive onthe outlook for small caps for severalreasons. First, we believe that there is asignificant transition taking place in thesmall cap market. By this we mean thesmall cap leadership has shifted over thelast year from growth to value, a movethat has coincided with stronger resultsfor small cap companies with strong

balance sheets and growing earnings andcash flows. Furthermore, we continue tobelieve that U.S. companies whichgenerate consistent topline growth withimproving profitability and effectivecapital allocation will be rewarded by themarkets. In addition, the U.S. is in themidst of a major wave of Merger andAcquisition (M&A) activity and we expectthe trend to continue for at least another12-18 months. The Mighty Mites Fund had3 announced takeovers in the secondquarter: SL Industries Inc. is beingacquired by Handy and Harman Ltd.(<0.1% of net assets as of June 30, 2016),JAB Holding is buying Krispy KremeDoughnuts, Inc. (0.7%), and an affiliate ofBlackboard Inc. is acquiring Higher OneHoldings, Inc (<0.1%). The Fund shouldcontinue to benefit from the acquisitionactivity as many of the companies arebite sized acquisition candidates forlarger corporations.

Let’s Talk Stocks

Exactech Inc. (EXAC – $26.74 – NASDAQ)(0.6%) is a manufacturer of shoulder,knee, hip, and spine implants and relatedproducts that are used in reconstructivesurgical procedures. The companydevelops and offers musculoskeletalproducts and solutions to help patientssuffering from diseased or damagedjoints. Recovering from a lackluster 2015,sales in early 2016 are benefitting fromthe launch of several products, such asRevision-branded knees and hips. Withmore than a dozen new productslaunched over the past nine months,sales growth is expected to continue overthe next 1-2 years. Additionally, thecompany has stabilized its sales teamover the past year and expects to addnew reps over the next few quarters.

Winston-Salem, NC based Krispy KremeDoughnuts, Inc. (KKD – $20.96 – NYSE)is an operator and franchisor of quickservice restaurants selling its namesakedonuts, coffee, and other beverages.Since taking over in the wake of a 2005

accounting scandal, management, led byChairman Jim Morgan, has steadilyimproved the brand’s reputation withfranchise partners and returned thebusiness to profitable growth. Thecompany entered 2016 well-positioned tocontinue the expansion of its 1,100 storefootprint, and to drive higher sales andmargins for years to come. Validating thispotential, JAB, the private holdingcompany which owns Einstein Noah’s,Peet’s Coffee & Tea, and Caribou Coffee,announced its intention to acquire KrispyKreme for $21 per share in May 2016.

Las Vegas-based Golden Entertainment,Inc. (GDEN – $11.69 – NASDAQ) (0.5%) isthe result of the merger of publicly-traded casino operator LakesEntertainment (formerly LACO) andGolden Gaming, a private gamingcompany. In its Distributed Gamingsegment, the company operates approx-imately 7,700 gaming machines in 690retail stores, restaurants, bars and gasstations throughout Nevada.Approximately 760 of the segment’sgaming machines are located within 48owned and operated taverns. Golden alsoowns and operates three casinos inPahrump, Nevada and Rocky Gap Casinoin Flintstone, Maryland through its Casinosegment. Under the new organizationalstructure, the company will seek to growvia organic expansion of its slots routeand tavern businesses. Golden recentlyentered Montana through the acquisitionof two slot route businesses and may alsolook to enter additional slot route juris-dictions in the future.

Ampco-Pittsburgh Corp. (AP – $11.31 –NYSE) (0.5%), is headquartered outsideof Pittsburgh and has two main productlines. The primary driver of sales is engi-neered products, which are forged orcast steel rolls used in either the cold orhot rolling process of steel and othermetals. Though a smaller contributor tosales, the main profit driver is the air andliquid processing segment whichproduces heat exchange coils, centrifugal

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pumps for various industries, and customcommercial/industrial air handlingsystems. Recent results have beenimpacted by a number of steel-relatedheadwinds: weak demand in developedmarkets, developing markets importswhere Ampco has a marginal presence,and competition from commoditizedproducers of forged and cast rolls.However, the company is beginning toturn a corner under a new ceo whostarted in early 2015, coming from CalgonCarbon Corp. CEO John Stanik has cutcosts, explored adjacent markets, andrecently acquired its largest competitor,Akers AB, for just over $75 million. Akersprovides economies of scale, fillingproduct gaps in Europe and NorthAmerica. With a healthy balance sheet,we expect an improved and morecompetitive Ampco to benefit from steelmarkets improvements, which have beenhastened by the recent imposition ofheavy tariffs on imported steel by U.S.authorities.

Myers Industries, Inc. (MYE – $14.40 –NYSE) (0.9%) is an Akron, Ohio basedmulti-industry manufacturer anddistributor of a variety of consumableproducts. The company’s leading port-folio of branded products are in twosegments: Material Handling andDistribution. After a series of acquisitionsand divestitures over the past severalyears, a new strategy of operations opti-

mization and market share gains shouldallow Myers to thrive under new CEODavid Banyard. Ultimately, we see apotential separation of Material Handlingand Distribution as a way to surface valuefor investors.

Southfield, MI based Federal MogulCorporation (FDML – $8.31 – NASDAQ)(0.3%) is a multifaceted manufacturer ofautomotive and machinery components.In late February of this year, FederalMogul’s parent company, IcahnEnterprises, made an offer for theremaining 19% of shares outstandingwhich it does not already own. The bidserved as a “wake up call” to investors,prompting a raise in the bid price from $7per share to $8 in June, reaffirming ourview that the stock is still trading belowits intrinsic value given the ongoing oper-ational improvements. Ultimately, webelieve that Icahn Enterprises willcomplete the acquisition of Federal-Mogul, yet they will need to do so abovetheir current offer and, potentially, ashigh as $12 per share.

Tredegar Corp. (TG – $16.12 – NYSE)(0.6%) is a diversified manufacturer. ThePE Films segment manufactures plasticfilms, elastics, and laminate materialsprimarily utilized in personal care mate-rials (i.e. diapers, feminine hygiene, adultincontinence), surface protection films,and specialty and optical lighting appli-cations. Flexible Packaging Films

produces polyester-based films for use inspecialized packaging applications. TheAluminum Extrusions segment producesextruded aluminum, primarily forbuilding and construction, distribution,transportation, machinery, and consumerdurables markets. A pair of headwindsdrove a challenging two years: topcustomer Proctor & Gamble Co. lostmarket share in personal care and inflexible packaging, the companystumbled with operational miscuesamidst end-market weakness. However,automotive and non-residential demandhas buoyed aluminum extrusions.Former CEO John Gottwald, the repre-sentative of the eponymous familyholding more than 20% of the shares, hasresumed the helm and is takingaggressive steps to right-size thebusiness while investing in new personalcare products to meet evolving customerneeds. We see future upside shouldKimberly-Clark Corp begin to outsourcediaper component production (similar toProctor & Gamble) and, longer-term,from a separation and divestment of thedifferent Tredegar businesses.

Conclusion

We believe the Fund is well positioned todeliver excellent risk adjusted returnsover a complete market cycle. We appre-ciate your confidence and trust.

July 15, 2016

Top Ten Holdings (Percent of Net Assets)June 30, 2016

Aerojet Rocketdyne Holdings Inc. 2.2%Media General Inc. 2.0%Shenandoah Telecommunications Co. 1.9%Astec Industries Inc. 1.8%Superior Industries International Inc. 1.6%

Ferro Corp. 1.6%The EW Scripps Co. 1.4%Marine Products Corp. 1.2%Flushing Financial Corp. 1.2%Osisko Gold Royalties Ltd. 1.0%

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For the quarter ended June 30, 2016, TheTETON Westwood SmallCap EquityFund’s net asset value (“NAV”) per ClassAAA share appreciated 4.6% versus gainsof 3.8% and 4.3% for the Russell 2000 andRussell 2000 Value Indices, respectively.Year to date, the Fund appreciated 5.3%versus gains of 2.2% and 6.1% for therespective indices.

Commentary

Following a challenging March quarter,equity investors sustained another bout ofstock market turmoil with “Brexit,”Britain’s vote to exit the European Union(EU). The election results came as a globalshock and the stock market registered asharp correction, only to later stage adramatic recovery that ended the quarterin positive territory. In the face of longterm concerns about a potential unrav-elling of the EU, domestic equitiescontinue to grind higher in a muted, lowinterest rate economy as greater uncer-tainty has suppressed interest rates.Global bond markets have benefitedmightily from the flight to safety, resultingin relentlessly declining bond yields. Both

10 and 30-year U.S. treasury securities hittheir lowest yields ever, with the 10-yearnote at 1.385%. Nonetheless, U.S. Treasurybond yields are well above those onforeign government bonds: UK gilts arebelow 1%, Italy and Spain 10-year obliga-tions are at 1.19% and Germany and Japanare at minus 12 and 24 basis points,respectively.

Meanwhile, the U.S. Federal Reserve hasmaintained its accommodative monetarypolicy, telegraphing no imminent ratehikes. At its June meeting, the FederalOpen Market Committee (FOMC) indicat-ed it expects 2% real GDP growth for theforeseeable future, with U.S. inflation ris-ing to 2% by 2018. The U.S. economyexpanded more than previously projectedin the first quarter along with improvedperformance in trade and business invest-ment. Gross domestic product rose at a1.1% annualized rate, compared with a pre-viously estimated gain of 0.8%. The econ-omy appears to be accelerating so far thisquarter with consumer spendingrebounding. Based on May’s rate, realconsumption will rise by an annualized4.4% in the June quarter. Monthly payrollgrowth has averaged more than 200,000

over the past year,with unemploy-ment at 4.7%, andhourly earnings ris-ing 2.5% year overyear. Factory activi-ty in June expand-ed at the fastestpace in more than ayear. The Institute for SupplyManagement’s Index increased to 53.2 inJune, the highest since February 2015.Corporate profits at the start of the yearwere also revised up, giving a brighter picture to gross domestic income.

Against the backdrop of a possible Brexitdriven breakup of the EU, and concernsover stagnant growth and deflation,central banks continue to print money.Excess global liquidity should provide aconstructive framework for higher equityprices, assuming reasonable valuations.Based on forward price to earnings (P/E)multiples, small caps are trading at adiscount to large caps for the first timesince 2003, according to a Merrill Lynchstudy. Our Fund remains focused on inef-ficiently priced small capitalizationequities with attractive potential return

TETON Westwood SmallCap Equity Fund

Average Annual Returns Through June 30, 2016 (a) Since Year- Inception Quarter to-Date 1 Year 3 Year 5 Year 10 Year 15 Year (4/15/97) —————— —————— ———— ————— ————— ————— ————------- ————----------------------SmallCap Equity Fund Class AAA (WESCX) . . . . . . . . . 4.63% 5.28% (3.60)% 6.80% 5.32% 5.82% 4.67% 6.78% Russell 2000 Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.79 2.22 (6.73) 7.09 8.35 6.20 6.96 7.96Russell 2000 Value Index . . . . . . . . . . . . . . . . . . . . . . . . . . 4.31 6.08 (2.58) 6.36 8.15 5.15 7.73 8.91

In the current prospectus dated January 28, 2016, the gross expense ratio for Class AAA Shares is 1.66%, and the net expense ratio is 1.50%,after contractual reimbursements by Teton Advisors, Inc. (the "Adviser") in place through January 31, 2017. Class AAA Shares do not havea sales charge. (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 theperformance data presented. Visit www.tetonadv.com for performance information as of the most recent month end. The Adviserreimbursed expenses to limit the expense ratio. Had such limitation not been in place, returns would have been lower. The Fund imposes a2% redemption fee on shares sold or exchanged within seven days after the date of purchase. Performance returns for periods of less thanone year are not annualized. Investors should carefully consider the investment objectives, risks, charges, and expenses of the Fund beforeinvesting. The prospectus contains information about these and other matters and should be read carefully before investing. To obtain aprospectus, please visit our website at www.tetonadv.com. Other share classes are available and have different performance charac-teristics. See page 23 for performance of other classes of shares. The Russell 2000 Index is an unmanaged indicator which measures theperformance of the small cap segment of the U.S. equity market. The Russell 2000 Value Index mearures the performance of the small-capitalization sector of the U.S. equity market. It is a subset of the Russell 2000 Index. Investing in small capitalization securities involvesspecial challenges because these securities may trade less frequently and experience more abrupt price movements than largecapitalization securities. Dividends are considered reinvested. You cannot invest directly in an index.

Nicholas F. Galluccio

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over a long term horizon. We believeactive management is the best means ofachieving outsized returns in small caps,given the intensive and extensive researcheffort required as a screening mechanism.Among the catalysts for outsized gains insmall cap stocks is an accelerating trendof merger and acquisition activity. In theTETON Westwood SmallCap Equity Fund,we had 12 companies acquired in 2015 andanother 5 takeouts year to date. Even in anenvironment where the outlook for growthmight be lower, mergers and acquisitionsremain a viable area of activity for smallcaps. Not only are interest rates low andcorporate cash levels high, but acquisitionsoffset organic growth challenges for manycompanies. By virtue of their size, ourFund companies are considered as bite-sized acquisition candidates for largercorporations.

Let’s Talk Stocks

Among the best performing stocks in thequarter were: Patterson-UTI Energy, Inc.(4.1% of net assets as of June 30, 2016),Cypress Semiconductor Corp. (2.6%), andCIRCOR International, Inc. (1.9%).

Patterson-UTI Energy, Inc (PTEN — $21.32— NASDAQ) builds and operates asizeable number of high-spec, domesticland-based drilling rigs located in all ofthe major oil basins. After proactivelymanaging for the rapidly devolvingdownturn in energy prices by controllingcosts and managing free cash flow to paydown debt, the drilling environmentappears to have now stabilized. NorthAmerican exploration and productioncompanies have curtailed aggregateproduction volumes by nearly 20%,returning back to the levels prior to theOPEC intervention of nearly two yearsago. As the price of oil has sharplyrecovered since the beginning of the year,it is expected that drilling rigs will incre-mentally begin to return to work, bene-fitting a leaner, high quality operator likePatterson. Longer term, we see thecompany having emerged from thisdifficult downturn in a significantlystronger position than its peers.

Cypress Semiconductor Corp (CY — $10.55— NASDAQ) recently undertook a mergerof equals with Spansion Inc, combiningtwo niche semiconductor businesses into asolid combination of embedded microcon-trollers and memory. By implementingcost takeouts and business optimizations,the company has a runway to recognizesignificant earnings growth in the comingyears. Though the expected gains wereslower to materialize than expected overthe past year, the past quarter appeared tomark a turning point in both the financialsand operations, which included anannounced transition plan for the foundingCEO of 34 years. We believe investorshave begun to appreciate the shape of thenew company: the earnings power, cashflow generation and growth drivers,including the computerization ofauto/industrial end markets and newproducts in traditional electronics markets.

CIRCOR International, Inc (CIR — $56.99 —NYSE) designs and manufactures valves,engineered products and subsystems forenergy and aerospace end markets.Immediately prior to the downturn inenergy prices, a new management teamcame aboard with an ambitious plan toinstill operational discipline through asimplified manufacturing structure withinvestment in new products to yield longterm operating margin improvements.Though consolidated revenues havesuffered in the past year due to sensitivitytowards drilling activity, management hasmade significant progress on expandingmargins within the aerospace segment.As industry statistics now demonstratestabilization and recovery within theenergy sector (rig counts and the price ofoil), investors have formed an expectationof recovery in the valve business, servingas a near term catalyst to propel the stock.

Among the worst performing stocks inthe quarter were: BottomlineTechnologies, Inc. (0.6%), Ixia (0.9%), andHaverty Furniture Companies, Inc. (0.7%).

Bottomline Technologies, Inc (EPAY —$21.53 — NASDAQ) is software vendorwith a trio of subscription-based

products. Two enable invoicing andpayment transactions, one specific to lawfirms the other being general for smallbusinesses. The third is predominantlydriven by an acquired commercialbanking platform which had formerlylanguished as a small division of Intuit Inc.Recurring customer relationshipsamongst these three products are deci-sively “sticky” but they can be slow toramp. In a regrettably abrupt fashion,management conveyed that theupgraded offering of the digital bankingproduct had been more positivelyreceived by customers than expected butthat those many implementations aretaking longer than planned and withhigher up-front costs. As a result, the outyear margin guidance was lowered asthese long term, profitable relationshipsare established and brought online. For astock that was beginning to sport a solidvaluation multiple for a recurring trans-action-based business model, this nearterm disruption was too much for impa-tient investors and the stock tumbled. Wehave been very long term holders andhave experienced similar events with thisstock, all which turned out to be attractivebuying opportunities.

Ixia (XXIA — $9.82 — NASDAQ) occupies aunique position within the network testand measurement space, developingsoftware based test equipment that isused in research labs when developingnew high capacity routers and switches.Yet, a near term slowdown in capitalspending by North American telecomservice providers and network originalequipment manufacturers (OEMs) haspostponed an expected sizeable upgradecycle within data centers to 25/ 50/ 100GB transmission rates. As Ixia preparesfor this eventual upgrade-- data centersare still faced daily with compoundingbandwidth demands-- the company hasreorganized the sales force and pursuedhiring, two actions which should bear fruitlater in the year, even in a muted envi-ronment. Longer term, the stock hassignificant upside potential.

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Patterson-UTI Energy Inc. 4.1%Entegris Inc. 3.2%Patterson Cos Inc. 2.8%ABM Industries Inc. 2.6%FTI Consulting Inc. 2.6%

Cypress Semiconductor Corp. 2.6%LegacyTexas Financial Group Inc. 2.5%Gulfport Energy Corp. 2.5%Investors Bancorp Inc. 2.3%Cabot Microelectronics Corp. 2.3%

Haverty Furniture Companies, Inc (HVT —$18.03 — NYSE) is a home furnishingsretailer with a long-standing footprint inthe southeastern U.S. and a recentexpansion into the central states. Whileinitially a beneficiary of improved housing,an anemic consumer environment andentrance of promotional competitors hassince weighed on sales, leading to delever-aging in recent quarters. We wereattracted to the historically steady opera-tional metrics and geographic exposure of

the stores and, now, the stock’s valuation isabout half that of similar retailers. Webelieve the company is pursuing avenuesto stimulate growth by adding in-homedesign teams, refreshing proprietaryproduct, and expanding a distributioncenter to save on freight costs whileimproving localized offerings. At currentlevels, the risk/reward of the stock is verypositively skewed, though we will continueto monitor how the company is addressingcosts and the progress of sales.

Conclusion

We believe our Fund is well diversifiedacross a broad cross section of specialsituation equities attractively priced for handsome returns over the nextmarket cycle.

We appreciate your confidence and trust.

July 15, 2016

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For the quarter ended June 30, 2016, theTETON Westwood Mid-Cap Equity Fund’snet asset value (“NAV”) per Class AAAShare appreciated 1.7% versus gains of3.2% and 1.6% for the Russell Midcap andRussell Midcap Growth Indices, respec-tively. Year to date, the Fund appreciated1.0% versus gains of 5.5% and 2.2% for therespective benchmarks.

Commentary

With the backdrop of a graduallyimproving economy, U.S. equities mean-dered higher during most of the secondquarter, with midcap stocks advancing4.0% through the third week in June.However, on June 23, the UK's decision toexit the European Union (Brexit) sentstocks into a tailspin. The meltdownlasted two days, wiping out all of thequarter's gains. In the remaining days ofthe quarter however, U.S. equitiesrecouped most of what they had lost.Midcap stocks ended the quarter up 3.2%,slightly outperforming large caps (+2.5%)and trailing small caps (+3.8%).

After somewhat lackluster economicgrowth in the first quarter, most statistics

pointed to an uptick in overall activity.Crude oil prices continued to recover,increasing $10, or 26%, to $48.33 perbarrel due to supply disruptions, expecta-tions of declining oil production and animproving global economic outlook.Though the price of gasoline increased inresponse to higher crude, consumer confi-dence remained strong. Retail salesimproved, implying that consumerspending perked up. The housing marketcontinued to recover with increases innew and existing home sales.Manufacturing looked poised for arebound with the Purchasing Manager'sIndex solidly above 50, implyingexpansion in industrial production. TheU.S. dollar weakened relative to a basketof currencies, removing a headwind torevenue growth for multinationalcompanies dependent upon internationalsales. In sum, these indicators gave theFederal Reserve members enough confi-dence to publicly state their likely inten-tions to raise the Federal Funds Rate attheir June meeting.

The spoiler to this optimism was the Mayemployment report which included non-farm payrolls at a paltry 38,000, well

below the 200,000 average monthly ratereported in the first quarter, and thelowest number since September 2010.Even accounting for the 34,000 Verizonemployees who were on strike during thequarter, the number was weak. Thesecond surprise was the UK's unexpectedreferendum vote in favor of exiting the EU.The uncertainty surrounding the timingand the manner in which the UK willextract itself from the Union wreakedhavoc in global financial markets.Concerns about a recession in the UK andcontagion to the broader Eurozoneresulted in a flight to safety in both stocksand bonds. Demand for the 10-year U.S.Treasury drove prices for the note up andthe yield down to a record low of 1.36% atthe time of this writing. Within the equitymarket, demand for defensive, highyielding stocks like utilities, REITs and

TETON Westwood Mid-Cap Equity Fund

Average Annual Returns Through June 30, 2016 (a) Since Year- Inception Quarter to-Date 1 Year 3 Year (5/31/13) ————— ———----— —— —— ———----— ———----—---

Mid-Cap Equity Fund Class AAA (WMCEX . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.74% 1.00% (7.88)% 6.35% 5.23% Russell Midcap Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.18 5.50 0.56 10.80 9.62(b)Russell Midcap Growth Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.56 2.15 (2.14) 10.52 9.35(b)In the current prospectus dated January 28, 2016, the gross expense ratio for Class AAA Shares is 2.74%, and the net expense ratio is 1.50%,after contractual reimbursements by Teton Advisors, Inc. (the "Adviser") in place through January 31, 2017. Class AAA Shares do not havea sales charge. (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. Whenshares are redeemed, they may be worth more or less than their original cost. Current performance may be lower or higher than theperformance data presented. Visit www.tetonadv.com for performance information as of the most recent month end. The Adviser reimbursedexpenses to limit the expense ratio. Had such limitation not been in place, returns would have been lower. The Fund imposes a 2% redemptionfee on shares sold or exchanged within seven days after the date of purchase. Performance returns for periods of less than one year are notannualized. Investors should carefully consider the investment objectives, risks, charges, and expenses of the Fund before investing. Theprospectus contains information about these and other matters and should be read carefully before investing. To obtain a prospectus, pleasevisit our website at www.tetonadv.com. Other share classes are available and have different performance characteristics. See page 23 forperformance of other classes of shares. The Russell Midcap Index is an unmanaged indicator which measures the performance of the mid-cap segment of the U.S. equity market. The Russell Midcap Growth Index is an unmanaged indicator which measures the performance ofthose Russell Midcap companies with higher price-to-book ratios and higher forecasted growth values. Investing in small capitalizationsecurities involves special challenges because these securities may trade less frequently and experience more abrupt price movements thanlarge capitalization securities. Dividends are considered reinvested. You cannot invest directly in an index.

(b) Russell Midcap Index since inception performance is from May 30, 2013.

Diane M. Wehner, CFA Charles F. Stuart

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consumer staples pushed valuations insome stocks to the highest levels in 20years. Janet Yellen, the Federal ReserveChairwoman testified at quarter's end thatinterest rate increases were on hold. Thequarter closed out with variousconstituents including politicians,investors, employers and their workerswondering how this unprecedented eventcould alter free trade and regulation, aswell as its impact on business, jobs andprosperity in the region.

Performance attribution during thesecond quarter can best be described as atale of two markets: pre and post-Brexit.Prior to the UK vote, the Fund was aheadof the Russell Midcap index by 37 basispoints and the Russell Midcap Growthindex by 185 basis points. However, post-Brexit, the focus on macro issues and theflight to safety resulted in a tough relativeweek for the Fund. Active managers tendto underperform in such macro-drivenmarkets and this quarter was no exceptionwith only 36% of midcap core managersoutperforming the benchmark.

The only sectors to show positive returnsin the post-Brexit market were utilities andconsumer staples, which typically serve ashiding places for investors during times ofgeopolitical or macroeconomic uncer-tainty. These sectors were two of the topthree performing sectors for the quarter.The Fund is generally underweight theseslow growth sectors given our focus oncompanies with above-average secularrevenue and earnings growth. Energy wasthe best performing sector given therecovery in oil prices. Outperformance inour exploration and productioncompanies was offset, however, by ourholding in Weatherford International plc(WFT -29% total return for the quarter;0.6% of net assets as of June 30, 2016), aglobal oil field services company thatreported disappointing revenue andearnings for the first quarter.

Our overweight in healthcare stocks alongwith stock selection was additive toperformance. Healthcare is considereddefensive in an uncertain economic envi-ronment and was therefore a topperforming sector during the quarter.Diplomat Pharmacy, Inc. (DPLO +28%;0.8%) a specialty pharmacy provider,

announced better than expected firstquarter earnings fueled by strong revenuegrowth and good cost controls. ExactSciences Corp. (EXAS +82%; 1.7%) appre-ciated in reaction to a regulatorycommittee's final decision to recommendthe use of Cologuard, the company'sgenetic test for colon cancer. Thisdecision is a reversal from the committee'spreliminary recommendation and shouldresult in broad insurance coverage for thetest. Offsetting some of this outperfor-mance was Alexion Pharmaceuticals, Inc.(ALXN -16%; 1.3%) a biotechnologycompany, which released results from atrial for a new indication for its main drugSoliris. The trial missed its primaryendpoint, but Soliris did show strongefficacy on secondary endpoints and for alarge number of trial patients, thus webelieve the drug will eventually beapproved for this disease.

While the information technology sectorwas relatively flat with the benchmarkduring the second quarter, our holdings inthe space, such as software providerCornerstone on Demand, Inc. (CSOD+16%; 2.6%) and internet retailerMercadoLibre, Inc. (MELI +20%; 2.0%),outperformed on the heels of excellentquarterly results. Mobileye N.V. (MBLY+24%; 1.8%) was another standoutperformer. The company, a leader indriver assistance and autonomous drivingtechnology, announced a partnership withBMW and Intel to develop self-drivingcars. On the negative side, Synaptics Inc.(SYNA 33%; 1.3%) a mobile device tech-nology provider, declined due to disap-pointing quarterly results and a weakerthan expected outlook. On a net basis,our stock selection in this sectorcontributed solid relative returns duringthe period.

Within the financials sector, the Fund’sholdings in capital markets companies fellprimarily on concerns about the potentialimpact of “Brexit” on Eurozoneeconomies. Specifically, Invesco Ltd.(IVZ-16%; 1.2%) and Affiliated ManagersGroup Inc. (AMG-13%; 1.0%), underper-formed given that both of these firmshave meaningful European operations.On the positive side, offsetting some ofthis underperformance, were our posi-

tions in secularly growing specializedREITs: Equinix, Inc. (EQIX +18%; 2.8%) andAmerican Tower Corp. (AMT +12%; 2.4%).Within the consumer discretionary sector,both Liberty Global plc (LBTYK -13%; 1.1%),a global cable media company, andNorwegian Cruise Line Holdings Ltd.(NCLH -28%; 1.1%) were negativelyimpacted by Brexit given theirdependence on and concerns aboutEuropean demand for their services.

Economic statistics suggest that GDPgrew at around a 2.5% pace during thesecond quarter, accelerating from the 1.1%GDP growth in Q1. Consumers remainconfident in their current situation withbalance sheets repaired and savingsaccounts fortified. Home prices havelifted and jobs are plentiful. A healthy jobmarket has provided the underpinning forgrowth seen to date. While the Mayreport was surprisingly weak, recentpayroll numbers indicate that job growthcontinues, albeit at a slower pace giventhe maturity of the recovery and the low4.7% unemployment rate. We expectconsumer spending, the keystone toeconomic growth, to continue to improvethough at a muted pace.

To be sure, pockets of weakness remain(i.e. subdued manufacturing) and uncer-tainties abound especially in light of theUK’s pending exit from the EU and theupcoming U.S. presidential election. TheUK economy is expected to slow inreaction to the uncertainty created byBrexit. While the UK represents less than3% of S&P 500 companies’ revenues, thepotential for broader Eurozone contagionremains a risk. Meanwhile, the anxietysurrounding the contentious U.S. presi-dential election campaign , while not likelyto have much impact on consumerspending, may result in caution on thepart of corporate managements duringthis time of increased uncertainty. Lowinterest rates are also likely to remain forthe foreseeable future given the flight tosafety and a Federal Reserve on hold, apositive for corporate investment and thestock market. Small and midcapcompanies primarily do business in theU.S. and therefore should fare relativelywell in this uncertain environment.

10

Let’s Talk Stocks

Among the best performing stocks in thequarter were: Diplomat Pharmaceuticals,Inc. (0.8%) and Mead Johnson NutritionCo. (1.6%).

Diplomat Pharmacy, Inc. (DPLO – $35.00– NYSE) is the only publicly traded pureplay in the specialty pharmacy industry.Specialty drugs are high-cost prescriptionmedications used to treat complex,chronic conditions like cancer andrheumatoid arthritis, and require specialhandling and administration. Specialtypharmaceuticals are the fastest growingcategory of drugs. In 2014, specialty drugsrepresented one-third of medicinespending and are expected to grow to50% in 2018. Diplomat is considered theleading independent dispenser of thesedrugs, providing a full range of servicesfor the patient, the drug manufacturerand the insurer including special handlingand administration, patient education,ongoing clinical monitoring and dataanalytics. Diplomat is the partner ofchoice for manufacturers who need todisburse the drug on a limited distributionbasis and a way to invest in this powerfulsecular trend in healthcare.

Mead Johnson Nutrition Co. (MJN –$90.75 – NYSE) manufactures nutritionalproducts for infants (Enfamil and Enspirebaby formula) and children (Enfagrowtoddler formula). Mead is one of a handfulof global providers and derives nearly70% of revenues from China and otheremerging markets where populationgrowth is the fastest, but infant formulaconsumption is the lowest. The companyrecently launched an e-commerce siteand super-premium product specificallyfor the China market where consumers(who are concerned about the quality of

locally produced infant formula) preferinternationally sourced and/or superpremium formula. In addition, Mead hasimplemented a multi-year cost cuttinginitiative in an effort to reduce overheadcosts and streamline their supply chain toenhance overall profitability. Mead stockprovides a means to leverage thedemands of the fast growing middle classin these emerging markets.

Among the worst performing stocks inthe quarter were: Invesco Ltd. (1.2%) andNorwegian Cruise Line Holdings Ltd. (1.1%)

Invesco Ltd. (IVZ – $25.54 - NYSE) is aleading global investment managementfirm with a presence in over 20 countries.The company’s product offerings includeequities, fixed income, alternatives andETFs. We recently added to our positionafter the Brexit referendum resulted in asell-off of shares. We believe Invesco iswell positioned with its diverse platformand global reach, and as a result, issomewhat insulated from the marketvolatility that often impacts more nicheasset managers. In addition, while itsAUM exposure to UK/Europe is mean-ingful, it is less than that of many of itspeers. We like its discounted valuation,above average dividend yield (4.4%) andmanagement’s commitment to sharerepurchases.

Norwegian Cruise Line Holdings Ltd.(NCLH – $39.84 - NASDAQ) is a differen-tiated global cruise operator . At a highlevel, we like the barriers to entryprovided by the oligopolistic nature of thecruise business, where a few big playersdominate the industry. Specifically onNorwegian, we favor the company’s trackrecord of innovation, such as creating“Freestyle Cruising,” which offerscustomers resort-like freedom and flexi-

bility on their ships. Moreover, Norwegianhas one of the newest fleets in theindustry allowing it to offer a superiorcruising experience. Over the next fewyears, we believe Norwegian will success-fully enter Cuba and China, thus furtherenhancing its growth profile. Finally, welike the company’s above average growthprospects, reasonable valuation and afocus on improving ROIC.

Conclusion

During the quarter, we realized profits insome of our consumer staple, consumerdiscretionary and utility companies wherevaluations appeared full. In June, we tookadvantage of the market correction toadd to existing positions within consumerdiscretionary, financials and healthcaresectors. Finally, we initiated a newposition within the technology sector.

We maintain our positive outlook for theeconomy; however, we are mindful of thepotential impact of economic and geopo-litical issues on global growth as well asnew macro uncertainties in the Eurozone.We therefore continue to incorporate abalanced approach to Fund positioningbetween cyclical and defensive invest-ments. We believe that stock selectionshould matter most over the long run.Thus, we remain focused on investing inattractively valued companies with strongbalance sheets, secular growth, seasonedmanagement teams, sustainable earningsprospects, dominant market shares, andfavorable long-term fundamentals. Withan emphasis on growth, we continue toinvest in innovative companies with aboveaverage revenue and earnings growth,trading at attractive valuations.

We appreciate your confidence and trust.

July 15, 2016


Fortinet Inc. 3.2%Equinix Inc. 2.8%Cornerstone OnDemand Inc. 2.6%Nielsen Holdings Plc 2.4%American Tower Corp. 2.4%

Fortune Brands Home & Security Inc. 2.2%Pioneer Natural Resources Co. 2.2%Quanta Services Inc. 2.0%Mercadolibre Inc. 2.0%CBRE Group Inc. 1.9%

11


For the quarter ended June 30, 2016, thenet asset value (“NAV”) per Class AAAShare of the TETON Westwood IncomeFund appreciated 2.4%, compared with again of 2.5% for the Standard and Poor’s(“S&P”) 500 Index and a gain of 3.7% forthe Lipper Equity Income Fund Average.Year to date, the Fund appreciated 1.4%versus gains of 3.8% and 6.2% for therespective benchmarks.

Performance

The S&P 500 and Dow Jones Industrialsmarket averages closed out the quarterwith returns of 2.5% and 2.0% respec-tively. Of the ten industry sectors in theS&P 500, seven rose. The strongestperformer was the energy sector, whichrose 11% as the price of a barrel of oil rose.The next highest returns were in thehigher yielding sectors which are themost sensitive to the increased optimismover a more supportive Federal Reserveand lower rates, with the utility andtelecommunications gaining 6%.

The top contributors to performance in theFund in the second quarter were our posi-tions in energy, including Halliburton Co.(1.4% of net assets as of June 30, 2016),

and in healthcare, including Pfizer Inc.(4.2%), Medtronic plc (2.0%) and Bristol-Meyers Squibb Co. (1.2%). MondelezInternational, Inc. (2.1%), which made anoffer to acquire The Hershey Co. that wasquickly rejected, was also a topcontributor. The contribution of a positionto performance is a function of theposition’s size and its gains in the quarter.

The S&P 500 dividends increased at arate of 4.4% in the second quarter overthe first. The dividend yield on the S&P500, of 2.2%, is seventy basis pointsabove the ten year Treasury bond yield ofalmost 1.5%, giving the choice of stocksover bonds an overwhelming relative, ifnot absolute, value.

The Economy and Markets

The second quarter began on a fairly firmnote in the economy, with solid evidencethat the U.S. labour market continues toimprove, although at a low level.Employment gains continue to be steadyat this low to moderate level, and therehave been some gains in average hourlyearnings. The final report on the firstquarter GDP, delivered in the last week ofJune, showed the gross domestic prod-uct grew at a rate of 1.1% in the first quar-

ter, following a pat-tern of disappoint-ingly slow firstquarters over thepast few years.

Spending by con-sumers picked upin the secondquarter, supported by solid growth inincome and wage gains. However, weakhousehold spending has been surprisingover the past year as consumers hadunanticipated extra cash from lowerprices at the gas pump and for homeheating bills, but failed to direct thesesavings elsewhere.

The economy expanded 2.4% in both2014 and 2015. Prior to the Brexit vote,there was already consensus that 2016 would be a slower year, with esti-mates closer to 2%. This is now beingrevised down.

The Federal Reserve released the resultsof its stress test for big banks. These testsmeasure whether banks have enoughcapital and controls to survive a worstcase scenario. All but one of the largestbanks earned an unconditional passinggrade in their preparedness to weatheranother financial crisis. The exception

TETON Westwood Income Fund

Average Annual Returns Through June 30, 2016 (a) Since Year- InceptionQuarter to-Date 1 Year 3 Year 5 Year 10 Year 15 Year (9/30/97)—————— ———— ———— ———— ————— —————— —————— ——————-------------

Income Fund Class AAA (WESRX) . . . . . . . . . . . . . 2.43% 1.39% (5.41)% 3.99% 6.13% 3.93% 7.43% 6.86% S&P 500 Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.46 3.84 3.99 11.66 12.10 7.42 5.75 6.30Lipper Equity Income Fund Average . . . . . . . . . . . . 3.65 6.20 3.70 9.00 10.00 6.16 5.77 5.88In the current prospectus dated January 28, 2016, the gross expense ratio for Class AAA Shares is 2.40%, and the net expense ratio is 2.00%,after contractual reimbursements by Teton Advisors, Inc. (the "Adviser") in place through January 31, 2017. Class AAA Shares do not havea sales charge.(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 theperformance data presented. Visit www.tetonadv.com for performance information as of the most recent month end. The Adviserreimbursed expenses to limit the expense ratio. Had such limitation not been in place, returns would have been lower. The Fund imposes a2% redemption fee on shares sold or exchanged within seven days after the date of purchase. Performance returns for periods of less thanone year are not annualized. Investors should carefully consider the investment objectives, risks, charges, and expenses of the Fund beforeinvesting. The prospectus contains information about these and other matters and should be read carefully before investing. To obtain aprospectus, please visit our website at www.tetonadv.com. Other share classes are available and have different performance charac-teristics. See page 23 for performance of other classes of shares. The S&P 500 Index is a market capitalization weighted index of 500large capitalization stocks commonly used to represent the U.S. equity market. The Lipper Equity Income Fund Average includes the 30largest equity funds in ths category tracked by Lipper, Inc. Dividends are considered reinvested. You cannot invest directly in an index.

Barbara G. Marcin, CFA

12

was Morgan Stanley, which also passed,but with conditions to be corrected. Nowthese banks, even Morgan Stanley, whichare overcapitalized, will be able to launchand execute plans to return capital toshareholder in the form of higher divi-dends and share buybacks.

The balance sheets of the U.S. bankscompare favourably to overseas banks,which still have hundreds of millions ofdollars in non-performing loans. This hasbeen reflected in the performance of theshare prices of the foreign banks, withBarclays Bank, Royal Bank of Scotland,Deutsche Bank, and Credit Suisse, amongothers, all down by 55% to 65% in thetwelve months ending June 30.

Let's Talk Stocks

The following are stock specifics onselected holdings of our Fund. Favorableearnings prospects do not necessarilytranslate into higher stock prices, butthey do express a positive trend that webelieve will develop over time. Individualsecurities mentioned are not necessarilyrepresentative of the entire Fund. For thefollowing holdings, the share prices arelisted first in United States dollars (USD)and second in the local currency, whereapplicable, and are presented as of June 30, 2016.

Alphabet Inc. (GOOG – $692.10 –NASDAQ) (3.2%) is the parent companyof Google, which is widely recognized asthe world’s leading Internet searchengine. Google’s stated mission is toorganize the world’s information andmake it universally accessible and useful.Google generates revenue by providingadvertisers with the opportunity todeliver measurable, cost effective onlineadvertising that is relevant to the infor-mation displayed on any given webpage.This makes the advertising useful toconsumers as well as to the advertiserplacing it. We believe this highly inno-vative and fast growing company isuniquely positioned to create new marketopportunities while maintaining its leadin online search.

Halliburton Co. (HAL – $45.29 – NYSE)(1.4%), based in Houston, Texas, is one ofthe leading providers of services andproducts to the energy industry relatedto the exploration, development, andproduction of oil and natural gas. Withits merger with Baker Hughes blockedby the DOJ in May 2016, HAL is now refo-cusing its attention on cost savings andpreparing for the eventual upturn inglobal E&P capital budget spending.The company has targeted to reduce $1Bin costs globally by the end of 2016. Asthe market leader in pressure pumpingas well as completion equipment andservices, HAL is well positioned tobenefit from the recovery from higher oilprices and a pickup in drilling activity,first in North American land andfollowed by international land. With WTIcrude prices near $50 per barrel, weexpect E&P operators to begin tocomplete their inventory of drilled butuncompleted wells, followed by newdrilling activity in the second half of2016. Our Private Market Value forHalliburton is $55 per share.

Pfizer Inc. (PFE – $35.21 – NYSE) (4.2%),headquartered in New York City, is one ofthe world’s largest research-based phar-maceutical companies, with sales of$48.9 billion in 2015. The company’sdrugs include the blockbusters Enbrel forautoimmune diseases, Lipitor for highcholesterol, Lyrica for pain, and Viagra forerectile dysfunction. The company’s late-stage pipeline includes drugs beingdeveloped to treat cancer, cardiovasculardisease, and inflammatory conditions.Pfizer also offers consumer healthcareproducts, including Advil, Centrum,ChapStick, Emergen-C, and Robitussin.In April 2016, the company terminated itsplanned acquisition of Allergan plcfollowing unfavorable tax regulationsfrom the U.S. Treasury. Pfizer is nowconsidering whether to split thecompany into two segments, one for highgrowth innovative pharmaceuticals andone for lower growth/declining estab-

lished pharmaceuticals, with a decisionexpected by the end of 2016.

Mondelēz International, Inc. (MDLZ –$45.51 – NASDAQ) (2.1%) headquarteredin Deerfield, is the renamed Kraft FoodsInc. following the tax-free spin-off toshareholders on October 1, 2012 of theNorth American grocery business.Following the contribution of coffee intoa new joint venture, nearly 85% ofMondelēz’s $27 billion of revenue isderived from snacking, which includesleading brands such as Oreo, LU and Ritzbiscuits, Trident gum and Cadbury andMilka chocolates. On July 2, 2015,Mondelēz contributed its coffee businesswith DE Master Blenders 1753 to form anew coffee company, Jacobs DouweEgberts. Subsequently, MDLZ exchangedpart of its stake in this coffee joint venturefor 24% ownership in Keurig GreenMountain, which was acquired by aninvestor group led by JAB Holding Co. inMarch 2016. This narrows the company’sproduct focus, as only 15% of revenue willbe outside snacks, mostly Tang beveragesand other products, such as Philadelphiacream cheese, which management maylook to divest in the future as it executeson its plan to accelerate growth andimprove margins in the faster growingsnack business. On June 30, Hersheyconfirmed that it received and rejected apreliminary indication of interest fromMondelēz to acquire The Hershey Co. for$107 per share in cash and stock, demon-strating Mondelez’s continued interest inpursuing acquisitions while remaining anindependent company.

Apple Inc. (AAPL – $95.60 – NASDAQ)(5.1%) designs Macs, arguably the bestpersonal computers in the world, alongwith OS X, iLife, iWork, and professionalsoftware. Apple leads the digital musicrevolution with its iPods and iTunesonline store. Apple has reinvented themobile phone with its revolutionaryiPhone and App Store, and is defining thefuture of mobile media and computingdevices with the iPad and Apple Watch.

13

JPMorgan Chase & Co. (JPM – $62.14 –NYSE) (3.2%) is one of the oldestfinancial institutions in the U.S. The firm,with assets of over $2.4 trillion, providesservices to millions of consumers, smallbusinesses, and many of the world’slargest corporate, institutional, andgovernment clients. The bank is dividedinto several reporting segments,including investment banking,commercial banking, financial transactionprocessing, asset management, andprivate equity. CEO Jamie Dimon is wellregarded among corporate leaders, andhe has positioned the company for futuregrowth, despite the recent challengesrelated to the financial crisis, increasedregulations, and low interest rates.

Citigroup Inc. (C – $42.39 – NYSE) (2.6%)is a leading global bank, with approxi-mately 100 million customer accounts.The firm conducts business in more than100 countries and jurisdictions. Citigroupprovides consumers, corporations,governments, and institutions with abroad range of financial products andservices, including consumer bankingand credit, corporate and investmentbanking, securities brokerage, trans-action services, and wealth management.The firm is well positioned to capitalizeon the growth of global personal wealth.

Medtronic plc (MDT – $86.77 – NYSE)(2.0%) cemented its position as thelargest manufacturer of medical devicesin the world with last year’s $50 billionacquisition of Covidien. This deal, struc-tured as a tax inversion, should bothimprove the company’s growth rate andgive it better access to its global cashflow. Meanwhile, Medtronic is acceler-ating its own growth rate throughimproved management execution and afull pipeline of new heart valves, drugcoated balloons, and defibrillators.Medtronic will be the partner of choicefor hospitals going forward, and theCovidien deal will allow the company tocontinue to return at least 50% of its cashflow to shareholders via share buybacksand dividends.

General Electric Co. (GE – $31.48 – NYSE)(3.4%) is an industrial conglomeratebased in Fairfield, Connecticut, withleading positions in power, energy,healthcare, and aviation equipment,services, and financing. GE has materiallydownsized its finance business throughthe 2014 spinoff of Synchrony Financialand the sale of most of its financeverticals. Financial businesses will beretained in healthcare, energy financialservices, and aviation to support keyindustrial businesses. The companyrecently became the first institution to bede-designated as a SystemicallyImportant Financial Institution (SIFI),providing more balance sheet flexibilityand allowing the company to buy backupwards of $50 billion of stock. On theindustrial side, GE is integrating its $10billion acquisition of Alstom’s powerassets, broadening its scale and capabil-ities. It is also ramping up production ofits efficient H-turbine for power plantsand its LEAP engine for the next gener-ation of fuel efficient narrow bodyaircraft. Finally, GE is aggressivelybuilding out its digital capabilities,focusing on the remote monitoring andoptimization of its installed base. Thetransformation of GE, now almostcomplete, is creating a focused industrialcompany capable of driving high singledigit earnings growth while paying aprogressive dividend.

Looking Ahead

Markets reacted sharply to the surprisevote by Great Britain’s population toleave the European Union. While thepolls had been close, there was broadconsensus leading up to the vote that the“remain” side would win. Certainly allworld leaders had expressed their hopethat Britain would remain, and thatleaving would be both disruptive anddamaging to the economy. PresidentObama expressed this on a recent visit toGreat Britain as well. Post vote analysisindicated that older and less welleducated people felt disenfranchised and

that their own position in society hadbeen eroded, and that England shouldlook more like it did years ago. 60% ofthis demographic voted to leave, 60% ofyoung people voted to remain and saidthey felt like part of Europe by doing so.

Comparisons are being drawn to ourpresidential campaign tone, emotionsand divisions, with the majority of older,white and male voters supporting acandidate with no previous politicalexperience who talks about a return tothe America of olden days, whileyounger, diverse and female voters preferthe more experienced candidate.

Wage stagnation has boosted votervulnerability to populist and nationalisticsentiment in Europe and the UnitedStates, which blame both immigrants andother nations for domestic economicproblems. In the United States produc-tivity has been slowing, with explana-tions ranging from the drag of too manyregulations, the hangover of the GreatRecession, and very sluggish corporateand government capital and infra-structure spending. Unless the rate ofproductivity increases, advancedeconomies will not be able to raise livingstandards and pay for the costs of theiraging populations.

In the immediate aftermath of the Brexitvote European Leaders used harsh tonesin calling for Britain to begin the exitprocess. This implied that the Europeanleaders are worried about contagionamong other member states and hopedthat the Unite Kingdom’s misery wouldact as a deterrent to these nationalist andpopulist movements that have gatheredin France, the Netherlands, and Denmark.

The Brexit vote accelerated a furtherdecline in bond yields as investors lookedto invest safely – even at the cost of gettingany return. An astonishing $11.7 trillion ofglobal sovereign debt had negative yieldsat quarter end. Negative yields mean thatinvestors who buy these bonds and holdthem to maturity will lose money!

14

Stocks erased three months of gains intwo days, and bonds continued to makerecord low yields, reflecting gloomyeconomic outlooks and expectations ofmore central bank stimulus.

The UK is the fifth largest economy in theworld, with $2.7 trillion of gross domesticproduct (compare this to the UnitedStates with $18 .6 trillion). However, thereare larger implications for global trade,for a new EU/EK relationship, and for theleadership change in the United Kingdomas Prime Minister David Cameron stepsdown quickly. These will have a dispro-portionate larger impact on the worldeconomy.

Companies had pulled back on alreadylow capital spending in the secondquarter, awaiting this vote, and havenow indicated that they will further holdoff on plans amidst this uncertainty. TheIMF has lowered its Eurozone growthforecast (as it has every year for thepast six years) to 1.6% this year and 1.4%for 2017 “mainly due to the negativeimpact of the UK referendum” and theuncertainty that will dent confidenceand increase market volatility.

Current events in Europe will end updamaging U.S. consumer confidence; wejust don’t know how much. Businessconfidence, which had already beenweak, is showing further signs of pullingback with multinational companiesincluding Ford, JP Morgan, Airbus andBritish Air announcing job cuts, lowerprofits, or both because of Brexit.

Our baseline scenario is one of an uneasybalance between economic funda-mentals and financial markets, withalready overburdened central banks atthe heart of the story.

However, with firm consumer spending,subdued oil prices and expansionarymonetary policy it is hard to see a recession materializing over the next year.

Overall, corporate earnings estimates for2016 continue to be revised down due toslowing global growth and the strongdollar. Corporate earnings, as repre-sented by the S&P 500, were flat,showing no growth over 2014. Right now,the consensus estimate is for corporateearnings to gain 4% in 2017. Investors are

unlikely to reward this sub-par earningsgrowth with higher valuations.

In Conclusion

We try to invest in companies at goodvalues, some of which are noted in our"Performance" and "Let's Talk Stocks"sections that have good value and theopportunity to grow their earnings andcash flow. We look for those companiesthat we believe will continue to returncash flow to shareholders through notonly dividends but also through rein-vestment in their businesses, resulting ingreater cash flow and earnings, andhigher share price valuation. We look tobuild a steady component of not onlycurrent return from dividend yields, butalso a rising dividend pay-out from mostof our Fund in order to contribute to theperformance of the Fund. As always, wethank you for your continued confidencein us.

July 15, 2016


Apple Inc. 5.1%Pfizer Inc. 4.2%American International Group Inc. 4.0%Honeywell International Inc. 3.5%General Electric Co. 3.4%

Best Buy Co Inc. 3.3%JPMorgan Chase & Co. 3.2%Alphabet Inc. 3.2%Cisco Systems Inc. 3.1%CME Group Inc. 3.0%

15


For the quarter ended June 30, 2016, theTETON Westwood Equity Fund’s net assetvalue (“NAV”) per Class AAA Sharereturned 3.0% versus a return of 2.5% forthe S&P 500 Index. Year to date, the Fundreturned 4.5% versus 3.8% for thebenchmark.

Market Commentary

Looking back, the aftershock of the“Brexit” vote by the UK became top ofmind for investors as the unexpectedbecame reality. Central banks around theworld were quick to position themselves asa liquidity backstop to the markets, shouldthey have needed them. Investors loweredtheir risk exposures with an orderly sell-offon the news of “Brexit” despite the initialshock. The S&P 500 tumbled 5% over twodays; however, a sharp rebound ensuedthat led the index back to its pre-Brexitlevels, giving it a solid gain for the secondquarter. U.S. markets fared better thanglobal markets. Safe-haven assets were bidup in response with the 10-year treasuryhitting a new all-time low yield as the thirstfor yield remained a strong dynamic,distorting valuations across asset classes.Volatility remains a persistent theme so farthis year in the investment landscape.

Looking forward, one could find themultitude of negative headlines across thenews spectrum to be overwhelming, evenparalyzing, in regard to the current state ofthe world. These emotions continue todraw attention away from reality. Thereality is that the U.S. economy continuesto chug along and contagion or a U.S.recession appears unlikely at this point. Asthe dust settles, the market will move on tothe next “data point,” and investors mightjust find that it is a positive one. The S&P500 could see earnings tick higher on theback of better foreign exchange compar-isons and some improvement in the Energysector from higher crude prices. Further,the U.S. consumer remains a bright spotand parallels solid housing and automotiveoutlooks. Many of the indicators will beclosely watched here for changes on themargin as a result of the UK vote; however,the real impact to the domestic economywould likely come as a result of increasedcaution regarding capital allocation and arapidly rising dollar, which haven’t beenseen so far. Increased global macroeco-nomic risks will likely lead to a longer runfor lower interest rates. There continues tobe opportunities for bottom-up funda-mental investors to identify attractive valu-ations with asymmetric return profiles.

Sector performance within the S&P 500 Index was led by Energy, Utilities andHealth Care. The worst-performing sectors were Technology and ConsumerDiscretionary.

TETON Westwood Equity Fund

Average Annual Returns Through June 30, 2016 (a) Since Year- Inception

Quarter to-Date 1 Year 3 Year 5 Year 10 Year 15 Year (1/2/87) —————— ————--- ———— ———––—— ———— ———— ————— ——————Equity Fund Class AAA (WESWX) . . . . . . . . . . . . . . 2.98% 4.45 1.78% 9.34% 9.92% 5.91% 5.70% 9.87%S&P 500 Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.46 3.84 3.99 11.66 12.10 7.42 5.75 10.06(b)


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 theperformance data presented. Visit www.tetonadv.com for performance information as of the most recent month end. Performance returnsfor periods of less than one year are not annualized. Investors should carefully consider the investment objectives, risks, charges, andexpenses of the Fund before investing. The prospectus contains information about these and other matters and should be read carefullybefore investing. To obtain a prospectus, please visit our website at www.tetonadv.com. Other share classes are available and have differentperformance characteristics. See page 23 for performance of other classes of shares. The S&P 500 Index is a market capitalizationweighted index of 500 large capitalization stocks commonly used to represent the U.S. equity market. Dividends are consideredreinvested. You cannot invest directly in an index.

(b) S&P 500 Index since inception performance is as of December 31, 1986.

Matthew R. Lockridge

Lisa Dong, CFA

Scott D. Lawson, CFA

Mark R. Freeman, CFA

Varun V. Singh, PhD, CFA

16

Attribution

Positive stock selection in the ProducerDurables and Consumer Staples sectorcontributed to the Fund’s relativeperformance along with an underweight inthe Technology sector. Negative stockselection in the Health Care and Financialsweighed on the Fund’s relativeperformance.

Top and Bottom Contributors

Top-performing names included Johnson& Johnson (3.9% of net assets as of June 30, 2016), which was a strongcontributor as their integrated health caremodel continued delivering consistentlygood results, and the acquisition of VogueHealthcare was well received. Exxon MobilCorp. (2.6%) benefited as oil prices roseand their defensive integrated modelshined as their chemical business postedbetter margins and volumes to offset theweak upstream results. EOG Resources,

Inc. (1.9%) shares appreciated on a solidquarter where they focused on the newEagle Ford EOR program that could be asource of incremental low-cost production.Comcast Corp. (3.6%) shares posted strongresults at the high end of revenue guidancefor their cable segment and were rewardedas investors prized their earnings consis-tency and diverse mix of businesses,particularly theme parks and advertisingwhich saw nice growth. Lastly, BectonDickinson and Co. (2.0%) shares saw nicegains as the integration of CareFusioncontinues to progress, with favorabletopline growth and integration into theirexisting sales channels.

Invesco Ltd. (1.5%) shares suffered aspotential fee compression was over-shadowed by their $100B of AUM domi-ciled in the UK, post-Brexit, and thepotential for outflows and FX headwinds.Apple Inc. (1.0%) shares were pressured asa poor quarter gave way to concerns

about the upcoming iPhone refresh havingenough appeal to consumers to drive anupgrade cycle. Cigna Corp. (2.0%)declined despite a solid quarter as investorconcerns continued over their potentialpending merger with Anthem. MicrosoftCorp. (1.9%) had poor revenue guidancefor their segments, which coupled withrising global disruption potential, weighedon their stock price during the quarter.Amdocs Limited (3.0%) posted a betterquarter but fell short on the guidance fornext quarter; the strong balance sheet andFCF profile remain attractive despite theshares moving lower.

Changes in Equity Holdings

The Fund purchased CVS HealthCorp. (2.0%) and The Allstate Corp. (2.0%)and sold Hartford Financial Services Group,Inc. and Cardinal Health Inc.

July 15, 2016


Johnson & Johnson 3.9%Comcast Corp. 3.6%JPMorgan Chase & Co. 3.4%Wells Fargo & Co. 3.4%Amdocs Ltd 3.0%

Exxon Mobil Corp. 2.6%Abbott Laboratories 2.6%Bank Of America Corp. 2.5%Colgate-Palmolive Co. 2.4%American International Group Inc. 2.3%

17


For the quarter ended June 30, 2016, theTETON Westwood Balanced Fund’s netasset value (“NAV”) per Class AAA Sharereturned 2.6% versus a return of 2.5% forthe benchmark: 60% S&P 500 StockIndex/40% Barclays Capital Government/Credit Bond Index (BCG/C). Year to date,the Fund returned 4.2% versus 4.8% forthe benchmark.

Notes on the Fund

The Fund is designed to provideexposure to equities while reducingoverall risk via the inclusion of short-to-intermediate fixed income securities. Thebond portion typically invests in highquality notes of less interest-rate sensi-tivity (duration) than the typical bondindex, with the objective of dampeningthe volatility of equity holdings. During aquarter in which the S&P 500 returnexceeded that of the BCG/C, the Fundbenefited from our asset allocation tilttoward equities of 65% relative to the60% weight in the benchmark. The

Equity Fund strategy comments apply tothe equity portion of the Balanced Fund;specific fixed income portion commentsfollow.

Fixed Income Commentary

We discussed in the commentary on theIntermediate Bond Fund that investmentgrade fixed income, as represented bythe BCG/C, posted a nicely positivereturn in the second quarter as yields onU.S. Treasuries declined and prices corre-spondingly rallied. The 10-year Treasurybond yield rallied 0.30% (30 basis points)over the quarter, to return approximately3%. Investment grade credit spreadstightened relative to duration-matchedTreasuries, resulting in strongerperformance of investment gradecorporate bonds over U.S. Governmentdebt (U.S. Treasury or U.S. Agency)3.48% to 2.04%. Lowest-rated Baa creditdebt returned 4.30% versus 2.51% forAaa-rated debt.

TETON Westwood Balanced Fund

Average Annual Returns Through June 30, 2016 (a) Since Year- Inception Quarter to-Date 1 Year 3 Year 5 Year 10 Year 15 Year (10/1/91) —————— —————— ———— ————— ———— ———— ————— ——————------Balanced Fund Class AAA (WEBAX) . . . . . . . . . . . . . . . . . . 2.59% 4.24 2.61% 6.67% 7.08% 5.35% 5.34% 8.34% 60% S&P 500 Index and 40% Barclays Government/

Credit Bond Index (b). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.54 4.80 5.07 8.68 8.90 6.54 5.53 8.00S&P 500 Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.46 3.84 3.99 11.66 12.10 7.42 5.75 9.27(c)Barclays Government/Credit Bond Index . . . . . . . . . . . . . . 2.67 6.23 6.70 4.20 4.11 5.22 5.19 6.10(c)


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 theperformance data presented. Visit www.tetonadv.com for performance information as of the most recent month end. Teton Advisors, LLC,the Adviser, reimbursed expenses in years prior to 1998 to limit the expense ratio. Had such limitation not been in place, returns would havebeen lower. Performance returns for periods of less than one year are not annualized. Investors should carefully consider the investmentobjectives, risks, charges, and expenses of the Fund before investing. The prospectus contains information about these and other mattersand should be read carefully before investing. To obtain a prospectus, please visit our website at www.tetonadv.com. Other share classesare available and have different performance characteristics. See page 23 for performance of other classes of shares.The BarclaysGovernment/Credit Bond Index is a market value weighted index that tracks the performance of fixed rate, publicly placed, dollardenominated obligations. The S&P 500 Index is a market capitalization weighted index of 500 large capitalization stocks commonly usedto represent the U.S. equity market. Dividends are considered reinvested. You cannot invest directly in an index.

(b) The Blended Index consists of a 60% blend of each of the S&P 500 Index and 40% Barclays Government/Credit Bond Index.(c) S&P 500 Index and Barclays Government/Credit Bond Index since inception performance are as of September 30, 1991.

Matthew R. Lockridge

Lisa Dong, CFA

Scott D. Lawson, CFA


Varun V. Singh, PhD, CFA

18

Attribution

Recall that we may intentionally focus onshort-to-intermediate maturity fixedincome securities, with the objective ofcountering the potential volatility of theequity portion of the Fund. Theperformance of the fixed incomecomponent of the Balanced Fund was,therefore, dampened by our below-indexduration (interest-rate sensitivity) duringa period of outperformance by longerduration bonds relative to shorter.

Top and Bottom Fixed IncomeContributors; Changes in Holdings

Each fixed income holding in the Fundearned a positive total return during thesecond quarter. Top contributors to Fund

performance included two U.S.Government notes [U.S. Treasury 2.25%due 15-Nov-2024 (1.6% of net assets as ofJune 30, 2016) and Fannie Mae 2.625%due 06-Sep-2024 (1.8%)] and threecorporate notes [Aetna Inc. 3.5% due 15-Nov-2024 (1.0%), Goldman SachsGroup Inc. 3.85% due 08-Jul-2024 (1.0%),and PNC Financial Services Group Inc.2.854% due 09-Nov-2022 (1.0%)].Contributing least, considering both theweight and positive return of eachsecurity, were Freddie Mac 1.75% due 30-May-2019 (0.9%) and four corporatenotes: Barclays Bank Plc 5.0% due 22-Sep-2016 (1.2%), Texas InstrumentsInc. 1.65% due 03-Aug-2019 (0.8%),Burlington Northern Santa Fe Corp.

5.65% due 01-May-2017 (1.6%), JPMorganChase & Co. 6.3% due 23-Apr-2019(1.3%). Sales during the second quarterincluded Anadarko Petroleum Corp5.95% due 15-Sep-2016, sold intra-quarter, and two U.S. Government notessold at quarter end: Freddie Mac 3.75%due 27-Mar-2019 and U.S. Treasury3.625% due 15-Aug-2019. There were nopurchases during the three months.

July 15, 2016

Top Ten Issuers* (Percent of Net Assets)June 30, 2016

JPMorgan Chase & Co. 3.6%Wells Fargo & Co. 3.4%Freddie Mac Notes 2.7%Abbott Laboratories 2.6%Comcast Corp. 2.5%

Aetna Inc. 2.5%Colgate-Palmolive Co. 2.4%CVS Health Corp. 2.3%Johnson & Johnson 2.3%Texas Instruments Inc. 2.1%

*Bond and equity positions have been combined.

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During the quarter ended June 30, 2016,the TETON Westwood IntermediateBond Fund’s net asset value (“NAV”) perClass AAA Share returned 1.8% versus areturn of 2.7% for the Barclays CapitalGovernment/Credit Bond Index (BCG/C).Year to date, the Fund returned 4.4%versus 6.2% for the benchmark.

The Investment GradeGovernment/Credit Bond Market

Total returns on investment grade bondsrose again in the second quarter, buildingon gains from the first quarter. Treasuryprices rallied higher after three Juneevents: (1) the weaker than expected Mayjobs report, (2) the Federal Reserve OpenMarket Committee (FOMC) pushing outexpectations on future rate hikes, and (3)the U.K.’s unexpected referendum vote toleave the European Union. With growingconcerns over global economic growth,investors have bid up safe-harbor assetssuch as U.S. Treasuries and gold since thestart of the year.

The Barclays U.S. Government/CreditBond Index (BCG/C) returned 2.67%,pushing the benchmark up 6.23% so farthis year. The yield on the 10-yearTreasury fell from 1.77% to 1.47% (30basis points) during the quarter, to return3%. The U.S. Treasury yield curvecontinued to flatten as the yield differ-ential between the 10-year and 2-yearTreasuries fell to its lowest level since2007. All else equal, investors with themost duration, or interest rate sensitivity,outperformed during the quarter.

Investment grade credit spreadstightened by roughly 15 basis points,causing duration-matched corporatebonds to outperform Treasuries. Withincorporate credits, both the Utility sectorand the Industrial sector returned over4%, while the Financial sector returned2.45%. Baa-rated bonds led A ratedbonds 4.30% to 3.11%; Aa and Aaa ratedbonds posted smaller gains.

Attribution

The major detrac-tor to relative per-formance was ourunderweight posi-tion in long-matu-rity securities. Thelower duration(interest-rate sensitivity) of the Fundespecially dampened the contribution ofthe overweight Industrial sector whereour duration, and thus return, was lowerrelative to the comparable index sector.Partially offsetting the difference inoverall returns was our overweight of theU.S. Agency sector, which had both alonger duration and higher total returnrelative to the index.

Fund Structure Comments

During the course of the quarter, weincreased both (1) duration of the Fundand (2) Treasury and U.S. Agencyholdings, while lowering the percentageof the Fund invested in corporates. Ourduration decision reflected beliefs that

TETON Westwood Intermediate Bond Fund

Average Annual Returns Through June 30, 2016 (a) Since Year- Inception Quarter to-Date 1 Year 3 Year 5 Year 10 Year 15 Year (10/1/91) —————— ———––—— —––—— ———––—— ———––—— ----------------------------------------------- ———––—— —————— Intermediate Bond Fund Class AAA (WEIBX) . . . . . . . . . . . . . 1.84% 4.41 5.09% 2.04% 1.88% 3.58% 3.70% 4.80% Barclays Government/Credit Bond Index . . . . . . . . . . . . . . . . . 2.67 6.23 6.70 4.20 4.11 5.22 5.19 6.10(b)

In the current prospectus dated January 28, 2016, the gross expense ratio for Class AAA Shares is 1.37%, and the net expense ratio is 1.00%,after contractual reimbursements by Teton Advisors Inc. (the "Adviser") in place through January 31, 2017. Class AAA Shares do not have asales charge.(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 theperformance data presented. Visit www.tetonadv.com for performance information as of the most recent month end. The Adviserreimbursed expenses to limit the expense ratio. Had such limitation not been in place, returns would have been lower. Performance returnsfor periods of less than one year are not annualized. Investors should carefully consider the investment objectives, risks, charges, andexpenses of the Fund before investing. The prospectus contains information about these and other matters and should be read carefullybefore investing. To obtain a prospectus, please visit our website at www.tetonadv.com. Other share classes are available and have differentperformance characteristics. See page 23 for performance of other classes of shares. The Barclays Government/Credit Bond Index is amarket value weighted index that tracks the performance of fixed rate, publicly placed, dollar denominated obligations. Dividends areconsidered reinvested. You cannot invest directly in an index.

(b) The Barclays Government/Credit Bond Index since inception performance is as of September 30, 1991.


20

monetary stimulus abroad wouldimprove the relative attractiveness of U.S.Treasuries, that the FOMC would delayany additional increase in short-terminterest rates — noting as well thatinflation levels were benign — and thatU.S. economic data would continue to bemediocre. We reduced U.S. corporateholdings based on assessments thatcorporate earnings were slowing andthat credit spreads had overly contractedin recent months despite steadily deteri-orating credit metrics.

Top and Bottom Fixed IncomeContributors

Top contributors to Fund performanceincluded five long-dated U.S.Government bonds: Fannie Mae 2.125%due 24-Apr-2026 (5.3% of net assets as

of June 30, 2016), U.S. Treasury 2.25%due 15-Nov-2024 (4.4%), and three U.S.Treasury bonds purchased during thequarter [2.5% due 15-Feb-2045 (3.2%),1.625% due 15-Feb-2026 (5.2%), 2.0%due 15-Feb-2025 (3.7%)]. Only two ofthe top five relative detractors from Fundperformance had negative returns: CiscoSystems Inc. 1.65% due 15-Jun-2018(sold) and GlaxoSmithKline Capital Plc.1.5% due 08-May-2017 (purchased on thelast day of the quarter; 2.6%). Theremaining three had positive returns:Southwest Airlines Co. 5.75% due 15-Dec-2016 (1.6%), IBR&D (World Bank)8.625% due 15-Oct-2016 (1.4%), and U.S. Treasury floating rate note due 31-Jul-2017 (sold).

Changes in Fixed Income Holdings

Each Fund purchase is mentioned above.In addition to the sales mentioned in theprevious paragraph, we sold threecorporate notes U.S. Bancorp 2.2% due25-Apr-2019, Anadarko Petroleum Corp.5.95% due 15-Sep-2016, Home Depot Inc.2.0% due 15-Jun-2019, and U.S. Treasury0.5% due 31-Jan-2017.

July 15, 2016


U.S. Treasury Notes 23.9%Fannie Mae Notes 8.6%Freddie Mac, 2.375%, 01/31/22 3.2%AT&T Inc., 3.900%, 03/11/24 2.7%Abbott Laboratories, 2.550%, 03/15/22 2.6%

GlaxoSmithKline Capital plc, 1.500%, 05/08/17 2.6%Oracle Corp., 3.625%, 07/15/23 2.2%Amgen Inc., 3.450%, 10/01/20 2.2%United Technologies Corp., 3.100%, 06/01/22 2.2%PNC Funding Corp., 3.300%, 03/08/22 2.2%

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Nasdaq Symbols Tab le

TETON Westwood Funds Class AAA Class A Class C Class I ————————————–—————— ——————— ————— ————— ————— Mighty Mites WEMMX WMMAX WMMCX WEIMX SmallCap Equity WESCX WESAX WWSCX WWSIX Mid-Cap Equity Fund WMCEX WMCAX WMCCX WMCRX Income WESRX WEIAX WEICX WESIX Equity WESWX WEECX WEQCX WEEIX Balanced WEBAX WEBCX WBCCX WBBIX Intermediate Bond WEIBX WEAIX WECIX WEIIX

Minimum Initial Investment

For all Funds, except the Mighty MitesFund, your minimum initial investmentmust be at least $1,000; there are nosubsequent investment minimums; noinitial minimum is required for thoseestablishing an Automatic InvestmentPlan; and all of the TETON WestwoodFunds are available through financialintermediaries including the no trans-action fee programs at many majorbrokerage firms. The minimum initialinvestment for the Mighty Mites Fund is$10,000 for all accounts. There are nosubsequent investment minimums.You may purchase Class AAA, A, C, and IShares directly through registeredbroker-dealers or other financial intermediaries that have entered intoappropriate selling agreements with theFunds’ Distributor.

www.tetonadv.com

Please visit us on the Internet. Ourhomepage at www.tetonadv.com con-tains information about the TETONWestwood Funds, with links to infor-mation about the Gabelli Mutual Funds,IRAs, 401(k)s, current and historicalquarterly reports, closing prices, andother current news. We welcome yourcomments and questions via e-mail [email protected].

The Funds’ daily net asset values areavailable in the financial press and eachevening after 7:00 PM (Eastern Time) bycalling 800-WESTWOOD (800-937-8966). Please call us during the businessday, between 8:00 AM – 7:00 PM (EasternTime), for further information. Thank youfor investing in the TETON WestwoodFunds. We look forward to serving yourinvestment objectives in the years ahead.

e-deliveryWe are pleased to offer electronicdelivery of fund documents. Directshareholders of our open-end funds cannow elect to receive their Annual andSemiannual Reports, ManagerCommentaries, and Prospectuses via e-delivery. For more information, pleasevisit our distributor’s website atwww.gabelli.com. You may also sign upfor our e-mail alerts and receive earlynotice of quarterly report availability,news events, media sightings, andmutual fund prices and performance viaour website. The TETON WestwoodMutual Funds are distributed byG.distributors, LLC., a registered broker-dealer and member of FINRA.

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TETON Westwood Funds and Your Personal Privacy

Who are we?

The TETON Westwood Funds are investment companies registered with the Securitiesand Exchange Commission under the Investment Company Act of 1940. We aremanaged by Teton Advisors, Inc., which is an affiliate of GAMCO Investors, Inc., apublicly held company that has subsidiaries that provide investment advisory servicesfor a variety of clients. Teton Advisors, Inc. is a publicly held company that providesinvestment advisory services to the TETONWestwood Funds.

What kind of non-public information do we collect about you if you become a fundshareholder?

If you apply to open an account directly with us, you will be giving us some non-publicinformation 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, andother information.

• Information about your transactions with us, any transactions with our affiliates, andtransactions with the entities we hire to provide services to you. This would includeinformation about the shares that you buy or redeem. If we hire someone else toprovide services—like a transfer agent—we will also have information about thetransactions 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 orformer customers to anyone other than our affiliates, our service providers who needto know such information, and as otherwise permitted by law. If you want to find outwhat the law permits, you can read the privacy rules adopted by the Securities andExchange Commission. They are in volume 17 of the Code of Federal Regulations, Part248. 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 whoneed to know that information in order to provide services to you or the fund and toensure that we are complying with the laws governing the securities business. Wemaintain physical, electronic, and procedural safeguards to keep your personalinformation confidential.

23

T E T O N W E S T W O O D F U N D SAverage Annual Returns – June 30, 2016

Class AAA Shares (a) Class A Shares (a)(b)(d) ——––—–——————————————––———————————————— ——––—–——————————————––———————————————— Current Current Expense Expense Ratio after Ratio after Gross Adviser Maximum Gross Adviser Maximum Since Expense Reimburse- Sales Since Expense Reimburse- Sales 1 Year 5 Year 10 Year 15 Year Inception Ratio ments Charge 1 Year 5 Year 10 Year 15 Year Inception Ratio ments Charge ——––—–——————————————––———————————————— ——––—–——————————————––————————————————Mighty MitesSM . . . . . . . . (2.55)% 8.65% 8.92% 9.35% 10.94% 1.41% 1.41% None (6.72)% 7.49% 8.23% 8.82% 10.48% 1.66% 1.66% 4.00%SmallCap Equity . . . . . . (3.60) 5.32 5.82 4.67 6.78 1.66 1.50 None (7.67) 4.22 5.14 4.19 6.40 1.91 1.75 4.00%Mid Cap . . . . . . . . . . . . . . (7.88) — — — 5.23 2.74 1.50 None (11.76) — — — 3.60 2.99 1.75 4.00%Income . . . . . . . . . . . . . . (5.41) 6.13 3.93 7.43 6.86 2.40 2.00 None (9.46) 5.00 3.25 6.87 6.41 2.65 2.25 4.00%Equity . . . . . . . . . . . . . . . 1.78 9.92 5.91 5.70 9.87 1.59 1.59 None (2.54) 8.77 5.22 5.16 9.49 1.84 1.84 4.00%Balanced . . . . . . . . . . . . . 2.61 7.08 5.35 5.34 8.34 1.31 1.31 None (1.85) 5.94 4.65 4.80 7.90 1.56 1.56 4.00%Intermediate Bond . . . . 5.09 1.88 3.58 3.70 4.80 1.37 1.00 None 0.72 0.91 3.04 3.31 4.56 1.47 1.10 4.00%

Class C Shares (a)(c)(d) Class I Shares (a)(d) ——––—–——————————————––———————————————— ——––—–——————————————––———————————————— Current Current Expense Expense Ratio after Ratio after Gross Adviser Maximum Gross Adviser Maximum Since Expense Reimburse- Sales Since Expense Reimburse- Sales 1 Year 5 Year 10 Year 15 Year Inception Ratio ments Charge 1 Year 5 Year 10 Year 15 Year Inception Ratio ments Charge ——––—–——————————————––———————————————— ——––—–——————————————––————————————————Mighty MitesSM . . . . . . . . (4.25)% 7.84% 8.12% 8.55% 10.27% 2.16% 2.16% 1.00% (2.35)% 8.91% 9.15% 9.50% 11.07% 1.16% 1.16% NoneSmallCap Equity . . . . . . (5.29) 4.54 5.04 3.86 6.14 2.41 2.25 1.00 (3.37) 5.60 6.05 4.82 6.90 1.41 1.25 NoneMid Cap . . . . . . . . . . . . . . (9.50) — — — 4.46 3.49 2.25 1.00 (7.51) — — — 5.55 2.49 0.80 NoneIncome . . . . . . . . . . . . . . (7.05) 5.36 3.15 6.74 6.31 3.15 2.75 1.00 (5.15) 6.41 4.15 7.58 6.98 2.15 1.75 NoneEquity . . . . . . . . . . . . . . . 0.04 9.10 5.12 4.92 9.37 2.34 2.34 1.00 2.06 10.17 6.13 5.85 9.94 1.34 1.34 NoneBalanced . . . . . . . . . . . . . 0.80 6.27 4.56 4.57 7.78 2.06 2.06 1.00 2.88 7.34 5.57 5.49 8.44 1.06 1.06 NoneIntermediate Bond . . . . 3.29 1.10 2.94 2.94 4.34 2.12 1.75 1.00 5.28 2.11 3.79 3.83 4.89 1.12 0.75 None

(a) Returns represent past performance and do not guarantee future results. Total returns and average annual returns reflect changes in shareprice, reinvestment of distributions, and are net of expenses. Investment returns and the principal value of an investment will fluctuate. Whenshares are redeemed, they may be worth more or less than their original cost. Current performance may be lower or higher than theperformance data presented. Visit www.tetenadv.com for performance information as of the most recent month end. For the SmallCapEquity, Mid-Cap Equity, Income, and Intermediate Bond Funds (and for the Mighty Mites Fund through September 30, 2005), Teton Advisors,Inc.,"the Adviser", reimbursed expenses to limit the expense ratio. Had such limitations not been in place, returns would have been lower. Thecontractual expense limitations are in effect through January 31, 2017, and are renewable annually by the Adviser. The Funds, except for theEquity, Balanced, and Intermediate Bond Funds, imposes a 2% redemption fee on shares sold or exchanged within seven days after the dateof purchase. Investors should carefully consider the investment objectives, risks, charges, and expenses of a Fund before investing. Theprospectuses contains information about these and other matters and should be read carefully before investing. To obtain a prospectus,please visit our website at www.tetonadv.com.

(b) Includes the effect of the maximum 4.0% 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 performance of the Class AAA Shares is used to calculate performance for the periods prior to the issuance of Class A Shares, Class C

Shares, and Class I Shares, except for Mid-Cap Equity Fund. The performance for all share classes of Mid-Cap Equity Fund is based on theFund's inception date of May 31, 2013. The performance for the Class A Shares and Class C Shares would have been lower due to theadditional fees and expenses associated with these classes of shares. The performance for the Class I Shares would have been higher dueto the lower expenses associated with this class of shares. The inception dates for the Class AAA Shares and the initial issuance dates forthe Class A Shares, Class C Shares, and Class I Shares after which shares remained continuously outstanding are listed below.

Class AAA Shares Class A Shares Class C Shares Class I Shares ——————————— ——————————— ——————————— ———————————Mighty MitesSM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 05/11/98 11/26/01 08/03/01 01/11/08SmallCap Equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . 04/15/97 11/26/01 11/26/01 01/11/08Mid-Cap Equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 05/31/13 05/31/13 05/31/13 05/31/13Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 09/30/97 05/09/01 11/26/01 01/11/08Equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 01/02/87 01/28/94 02/13/01 01/11/08Balanced . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10/01/91 04/06/93 09/25/01 01/11/08Intermediate Bond . . . . . . . . . . . . . . . . . . . . . . . . . . . 10/01/91 07/26/01 10/22/01 01/11/08

24

This report is submitted for the information of the shareholders of the TETON Westwood Funds. It is not authorized for distribution toprospective investors unless preceded or accompanied by an effective prospectus.

GABWWQ216SC

T E T O N W E S T W O O D F U N D S

TETON Westwood Mighty MitesSM FundTETON Westwood SmallCap Equity FundTETON Westwood Mid-Cap Equity Fund

TETON Westwood Income FundTETON Westwood Equity Fund

TETON Westwood Balanced FundTETON Westwood Intermediate Bond Fund

One Corporate Center Rye, New York 10580-1422

General and Account Information:800-WESTWOOD [800-937-8966]

fax: 914-921-5118website: www.tetonadv.come-mail: [email protected]

ANTHONY J. COLAVITAPresident,Anthony J. Colavita, P.C.

JAMES P. CONNFormer Managing Director and Chief Investment Officer,Financial Security AssuranceHoldings Ltd.

WERNER J. ROEDER, MDFormer Medical Director,Lawrence Hospital

SALVATORE J. ZIZZAChairman,Zizza & Associates Corp.

BRUCE N. ALPERTPresident

ANDREA R. MANGOSecretary

RICHARD J. WALZChief Compliance Officer

AGNES MULLADYTreasurer

Board of Trustees

Officers

We have separated the portfolio managers’ commentaries from the financial statements and investment portfolio due to corporategovernance regulations stipulated by the Sarbanes-Oxley Act of 2002. We have done this to ensure that the content of theportfolio managers’ commentaries is unrestricted. Both the commentaries and the financial statements are available on ourwebsite at www.tetonadv.com.

Investment AdviserTeton Advisors, Inc.

CustodianThe Bank of New York Mellon

DistributorG.distributors, LLC

Legal CounselPaul Hastings LLP


Mighty MitesSM Fund

SmallCap Equity Fund

Mid-Cap Equity Fund

Income Fund

Equity Fund

Balanced Fund

Intermediate Bond Fund

Third Quarter ReportJune 30, 2016

Class AAA Shares Class A SharesAverage Annual Returns – June 30, 2016 (a) Average Annual Returns – June 30, 2016 (a)(b)(d)

Quarter 1 Year 5 Year 10 Year 15 YearSince

Inception

GrossExpense

Ratio

ExpenseRatio after

AdviserReimburse-

ments Quarter 1 Year 5 Year 10 Year 15 YearSince

Inception

GrossExpense

Ratio

ExpenseRatio after

AdviserReimburse-

ments

MightyMitesSM . . . .

4.54% (2.55)% 8.65% 8.92% 9.35% 10.94% 1.41% 1.41% 0.31% (6.72)% 7.49% 8.23% 8.82% 10.48% 1.66% 1.66%

SmallCapEquity . . . . .

4.63 (3.60) 5.32 5.82 4.67 6.78 1.66 1.50 0.42 (7.67) 4.22 5.14 4.19 6.40 1.91 1.75

Mid-CapEquity . . . . .

1.74 (7.88) — — — 5.23 2.74 1.51 (2.41) (11.76) — — — 3.60 2.99 1.76

Income . . . . . . . 2.43 (5.41) 6.13 3.93 7.43 6.86 2.40 2.00 (1.80) (9.46) 5.00 3.25 6.87 6.41 2.65 2.25Equity . . . . . . . . 2.98 1.78 9.92 5.91 5.70 9.87 1.59 1.59 (1.13) (2.54) 8.77 5.22 5.16 9.49 1.84 1.84Balanced . . . . . 2.59 2.61 7.08 5.35 5.34 8.34 1.31 1.31 (1.60) (1.85) 5.94 4.65 4.80 7.90 1.56 1.56Intermediate

Bond . . . . . . .1.84 5.09 1.88 3.58 3.70 4.80 1.37 1.01 (2.28) 0.72 0.91 3.04 3.31 4.56 1.47 1.11

Class C Shares Class I SharesAverage Annual Returns – June 30, 2016 (a)(c)(d) Average Annual Returns – June 30, 2016 (a)(d)

Quarter 1 Year 5 Year 10 Year 15 YearSince

Inception

GrossExpense

Ratio

ExpenseRatio after

AdviserReimburse-

ments Quarter 1 Year 5 Year 10 Year 15 YearSince

Inception

GrossExpense

Ratio

ExpenseRatio after

AdviserReimburse-

ments

MightyMitesSM . . . .

3.37% (4.25)% 7.84% 8.12% 8.55% 10.27% 2.16% 2.16% 4.60% (2.35)% 8.91% 9.15% 9.50% 11.07% 1.16% 1.16%

SmallCapEquity . . . . .

3.42 (5.29) 4.54 5.04 3.86 6.14 2.41 2.25 4.70 (3.37) 5.60 6.05 4.82 6.90 1.41 1.25

Mid-CapEquity . . . . .

0.50 (9.50) — — — 4.46 3.49 2.26 1.81 (7.51) — — — 5.55 2.49 0.81

Income . . . . . . . 1.18 (7.05) 5.36 3.15 6.74 6.31 3.15 2.75 2.51 (5.15) 6.41 4.15 7.58 6.98 2.15 1.75Equity . . . . . . . . 1.86 0.04 9.10 5.12 4.92 9.37 2.34 2.34 3.15 2.06 10.17 6.13 5.85 9.94 1.34 1.34Balanced . . . . . 1.43 0.80 6.27 4.56 4.57 7.78 2.06 2.06 2.75 2.88 7.34 5.57 5.49 8.44 1.06 1.06Intermediate

Bond . . . . . . .0.77 3.29 1.10 2.94 2.94 4.34 2.12 1.76 1.99 5.28 2.11 3.79 3.83 4.89 1.12 0.76

(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 theiroriginal cost. Current performance may be lower or higher than the performance data presented. Visit www.tetonadv.com for performance information as of the most recentmonth end. For the SmallCap Equity, Mid-Cap Equity, Income, and Intermediate Bond Funds (and for the Mighty MitesSM Fund through September 30, 2005), Teton Advisors,Inc., the “Adviser,” reimbursed expenses to limit the expense ratios. Had such limitations not been in place, returns would have been lower. The contractual expense limitationsare in effect through January 31, 2017 and are renewable annually by the Adviser. The Funds, except for the Equity, Balanced, and Intermediate Bond Funds, impose 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 expensesof a Fund before investing. The prospectuses contain information about these and other matters and should be read carefully before investing. To obtain a prospectus, please visitour website at www.tetonadv.com.

(b) Includes the effect of the maximum 4.00% 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 performance of the Class AAA Shares is used to calculate performance for the periods prior to the issuance of Class A Shares, Class C Shares, and Class I

Shares, except for Mid-Cap Equity Fund. The performance for the Class A Shares and Class C Shares would have been lower due to the additional fees andexpenses associated with these classes of shares. The performance for the Class I Shares would have been higher due to the lower expenses associated with thisclass of shares. The performance for all share classes of Mid-Cap Equity Fund is based on the Fund’s inception date of May 31, 2013. The inception dates forthe Class AAA Shares and the initial issuance dates for the Class A Shares, Class C Shares, and Class I Shares after which shares remained continuously outstandingare listed below.

Class AAA Shares Class A Shares Class C Shares Class I SharesMighty MitesSM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 05/11/98 11/26/01 08/03/01 01/11/08SmallCap Equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 04/15/97 11/26/01 11/26/01 01/11/08Mid-Cap Equity. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 05/31/13 05/31/13 05/31/13 05/31/13Income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 09/30/97 05/09/01 11/26/01 01/11/08Equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 01/02/87 01/28/94 02/13/01 01/11/08Balanced . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10/01/91 04/06/93 09/25/01 01/11/08Intermediate Bond . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10/01/91 07/26/01 10/22/01 01/11/08

The TETON Westwood Funds file a complete schedule of portfolio holdings with the Securities and Exchange Commission (the “SEC”) for the first and thirdquarters of each fiscal year on Form N-Q. Shareholders may obtain this information at www.tetonadv.com or by calling the Funds at 800-WESTWOOD (800-937-8966).The Funds’ 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 VotingEach 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 descriptionof the Funds’ proxy voting policies, procedures, and how the Funds voted proxies relating to portfolio securities are available without charge, upon request,by (i) calling 800-WESTWOOD (800-937-8966); (ii) writing to The TETON Westwood Funds at One Corporate Center, Rye, NY 10580-1422; and (iii) visitingthe SEC’s website at www.sec.gov.

TETON WESTWOOD FUNDS(Unaudited)

2

SharesMarketValue

COMMON STOCKS — 91.9%Aerospace and Defense — 2.3%

1,218,900 Aerojet Rocketdyne Holdings Inc.† . . . . . . . . . $ 22,281,492168,710 Innovative Solutions & Support Inc.† . . . . . . . 475,762

7,000 Kratos Defense & Security Solutions Inc.† . . . . 28,700

22,785,954

Agriculture — 0.4%225 J.G. Boswell Co. . . . . . . . . . . . . . . . . . . . . . . 144,000

199,236 Limoneira Co. . . . . . . . . . . . . . . . . . . . . . . . . 3,510,538

3,654,538

Airlines — 0.2%80,000 American Airlines Group Inc.. . . . . . . . . . . . . 2,264,800

225,000 American Airlines Group Inc., Escrow . . . . . . 101,250

2,366,050

Automotive — 0.4%27,200 Lithia Motors Inc., Cl. A . . . . . . . . . . . . . . . . 1,933,10420,000 Navistar International Corp.† . . . . . . . . . . . . . 233,80066,500 Sonic Automotive Inc., Cl. A . . . . . . . . . . . . . 1,137,81570,000 Wabash National Corp.† . . . . . . . . . . . . . . . . 889,000

4,193,719

Automotive: Parts and Accessories — 4.0%425,850 Accuride Corp.† . . . . . . . . . . . . . . . . . . . . . . 528,054

6,000 China Automotive Systems Inc.† . . . . . . . . . . 19,380105,000 Dana Holding Corp. . . . . . . . . . . . . . . . . . . . 1,108,800400,000 Federal-Mogul Holdings Corp.† . . . . . . . . . . . 3,324,000

13,400 Gentherm Inc.† . . . . . . . . . . . . . . . . . . . . . . . 458,95025,000 Jason Industries Inc.†. . . . . . . . . . . . . . . . . . . 90,250

196,600 Modine Manufacturing Co.†. . . . . . . . . . . . . . 1,730,08024,000 Motorcar Parts of America Inc.† . . . . . . . . . . . 652,32060,000 Puradyn Filter Technologies Inc.† . . . . . . . . . . 2,68575,000 Shiloh Industries Inc.† . . . . . . . . . . . . . . . . . . 546,750

123,200 Standard Motor Products Inc.. . . . . . . . . . . . . 4,900,896175,700 Strattec Security Corp. . . . . . . . . . . . . . . . . . . 7,163,289599,000 Superior Industries International Inc. . . . . . . . 16,041,220

37,000 Tenneco Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 1,724,57035,000 Titan International Inc. . . . . . . . . . . . . . . . . . 217,00033,425 Tower International Inc.. . . . . . . . . . . . . . . . . 687,887

134,231 West Marine Inc.† . . . . . . . . . . . . . . . . . . . . . 1,126,198

40,322,329

Aviation: Parts and Services — 1.2%13,500 Astronics Corp.† . . . . . . . . . . . . . . . . . . . . . . 449,01014,778 Astronics Corp., Cl. B† . . . . . . . . . . . . . . . . . 489,447

125,642 Ducommun Inc.†. . . . . . . . . . . . . . . . . . . . . . 2,485,199197,301 Kaman Corp. . . . . . . . . . . . . . . . . . . . . . . . . 8,389,239

11,812,895

Broadcasting — 1.5%614,200 ACME Communications Inc.†. . . . . . . . . . . . . 28,560732,233 Beasley Broadcast Group Inc., Cl. A(a) . . . . . . 3,082,701

38,000 Cumulus Media Inc., Cl. A† . . . . . . . . . . . . . . 11,78085,700 Entercom Communications Corp., Cl. A . . . . . 1,162,949

257,500 Gray Television Inc.† . . . . . . . . . . . . . . . . . . . 2,793,87580,042 Gray Television Inc., Cl. A† . . . . . . . . . . . . . . 808,42433,300 Hemisphere Media Group Inc.† . . . . . . . . . . . 392,940

620,008 Salem Media Group Inc. . . . . . . . . . . . . . . . . 4,476,45833,000 Sinclair Broadcast Group Inc., Cl. A . . . . . . . . 985,38076,000 Townsquare Media Inc., Cl. A† . . . . . . . . . . . 599,64041,675 Videocon d2h Ltd., ADR† . . . . . . . . . . . . . . . 353,404

14,696,111

Building and Construction — 1.6%141,000 Gibraltar Industries Inc.† . . . . . . . . . . . . . . . . 4,451,370866,000 Huttig Building Products Inc.† . . . . . . . . . . . . 4,546,500107,074 MYR Group Inc.† . . . . . . . . . . . . . . . . . . . . . 2,578,342

17,000 Nortek Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 1,008,270

SharesMarketValue

99,360 The Monarch Cement Co. . . . . . . . . . . . . . . . $ 3,623,659

16,208,141

Business Services — 3.5%283,079 Ascent Capital Group Inc., Cl. A†. . . . . . . . . . 4,356,586

6,000 Cenveo Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 4,895594 Du-Art Film Labs Inc.† . . . . . . . . . . . . . . . . . 99,970

705,520 Edgewater Technology Inc.†(a) . . . . . . . . . . . . 6,095,693101,271 GP Strategies Corp.† . . . . . . . . . . . . . . . . . . . 2,196,568

23,300 ICF International Inc.† . . . . . . . . . . . . . . . . . . 952,970555,590 Internap Corp.†. . . . . . . . . . . . . . . . . . . . . . . 1,144,515

32,029 KAR Auction Services Inc. . . . . . . . . . . . . . . . 1,336,8908,000 Landauer Inc. . . . . . . . . . . . . . . . . . . . . . . . . 329,280

16,000 Macquarie Infrastructure Corp.. . . . . . . . . . . . 1,184,8004,560 Matthews International Corp., Cl. A . . . . . . . . 253,718

20,000 McGrath RentCorp . . . . . . . . . . . . . . . . . . . . 611,8001,700,000 ModusLink Global Solutions Inc.† . . . . . . . . . 2,091,000

30,000 Pendrell Corp.† . . . . . . . . . . . . . . . . . . . . . . . 15,135196,772 PFSweb Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 1,869,334182,359 PRGX Global Inc.†. . . . . . . . . . . . . . . . . . . . . 951,914322,800 Pure Technologies Ltd. . . . . . . . . . . . . . . . . . 1,471,645201,492 Safeguard Scientifics Inc.† . . . . . . . . . . . . . . . 2,516,635242,000 Scientific Games Corp., Cl. A† . . . . . . . . . . . . 2,223,980

1,000 Stamps.com Inc.† . . . . . . . . . . . . . . . . . . . . . 87,420168,069 Team Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . 4,173,156

15,000 Trans-Lux Corp.† . . . . . . . . . . . . . . . . . . . . . 36,00037,282 Viad Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . 1,155,742

35,159,646

Closed-End Business Development Company — 0.1%109,000 MVC Capital Inc. . . . . . . . . . . . . . . . . . . . . . 876,360

Communications Equipment — 0.4%378,590 Communications Systems Inc. . . . . . . . . . . . . 2,638,772275,000 Extreme Networks Inc.†. . . . . . . . . . . . . . . . . 932,250134,600 Sycamore Networks Inc. . . . . . . . . . . . . . . . . 16,987

30,000 ViewCast.com Inc.† . . . . . . . . . . . . . . . . . . . . 15

3,588,024

Computer Hardware — 0.0%20,000 Violin Memory Inc.† . . . . . . . . . . . . . . . . . . . 18,396

Computer Software and Services — 3.2%169,113 American Software Inc., Cl. A . . . . . . . . . . . . 1,772,304

65,000 Avid Technology Inc.†. . . . . . . . . . . . . . . . . . 377,650216,785 Blucora Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 2,245,893317,000 Callidus Software Inc.† . . . . . . . . . . . . . . . . . 6,333,660

75,687 Carbonite Inc.† . . . . . . . . . . . . . . . . . . . . . . . 736,4341,600 Cinedigm Corp., Cl. A† . . . . . . . . . . . . . . . . . 1,936

80,000 comScore Inc.† . . . . . . . . . . . . . . . . . . . . . . . 1,910,40030,000 Datawatch Corp.† . . . . . . . . . . . . . . . . . . . . . 166,20056,101 Digi International Inc.† . . . . . . . . . . . . . . . . . 601,964

595,250 EarthLink Holdings Corp. . . . . . . . . . . . . . . . 3,809,600800,000 FalconStor Software Inc.† . . . . . . . . . . . . . . . . 840,000

1,410 Gemalto NV . . . . . . . . . . . . . . . . . . . . . . . . . 85,73320,000 Genius Brands International Inc.† . . . . . . . . . . 43,400

459,202 Global Sources Ltd.† . . . . . . . . . . . . . . . . . . . 4,210,88220,000 GSE Systems Inc.† . . . . . . . . . . . . . . . . . . . . . 44,600

588,507 Guidance Software Inc.† . . . . . . . . . . . . . . . . 3,642,858144,267 iGO Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . . 427,030458,356 Lionbridge Technologies Inc.† . . . . . . . . . . . . 1,810,506

10,000 Materialise NV, Cl. A, ADR† . . . . . . . . . . . . . 71,50035,500 Mercury Systems Inc.†. . . . . . . . . . . . . . . . . . 882,53067,500 Mitek Systems Inc.†. . . . . . . . . . . . . . . . . . . . 479,925

5,502 MTS Systems Corp. . . . . . . . . . . . . . . . . . . . . 241,2082,000 Qualstar Corp.†. . . . . . . . . . . . . . . . . . . . . . . 6,760

202,400 Qumu Corp.† . . . . . . . . . . . . . . . . . . . . . . . . 898,6563,400 Tyler Technologies Inc.† . . . . . . . . . . . . . . . . 566,814

32,208,443

Consumer Products — 2.6%127,200 Acme United Corp. . . . . . . . . . . . . . . . . . . . . 2,327,760

TETON Westwood Mighty MitesSM FundSchedule of Investments — June 30, 2016 (Unaudited)

See accompanying notes to schedule of investments.

3

SharesMarketValue

COMMON STOCKS (Continued)Consumer Products (Continued)

25,684 Arctic Cat Inc.. . . . . . . . . . . . . . . . . . . . . . . . $ 436,628153,900 Bassett Furniture Industries Inc. . . . . . . . . . . . 3,684,366

2,000 Brunswick Corp. . . . . . . . . . . . . . . . . . . . . . . 90,64055,687 Callaway Golf Co. . . . . . . . . . . . . . . . . . . . . . 568,56438,000 Elizabeth Arden Inc.† . . . . . . . . . . . . . . . . . . 522,880

3,500 Johnson Outdoors Inc., Cl. A . . . . . . . . . . . . . 89,95011,400 Lakeland Industries Inc.† . . . . . . . . . . . . . . . . 98,838

1,463,899 Marine Products Corp.. . . . . . . . . . . . . . . . . . 12,384,58613,000 MarineMax Inc.† . . . . . . . . . . . . . . . . . . . . . . 220,610

1,200 National Presto Industries Inc. . . . . . . . . . . . . 113,22075,031 Nautilus Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 1,338,553

128,300 Oil-Dri Corp. of America . . . . . . . . . . . . . . . . 4,430,1995,700 PC Group Inc.† . . . . . . . . . . . . . . . . . . . . . . . 28

10,000 Sequential Brands Group Inc.† . . . . . . . . . . . . 79,80122,000 Stanley Furniture Co Inc.† . . . . . . . . . . . . . . . 53,90010,400 Syratech Corp.†. . . . . . . . . . . . . . . . . . . . . . . 31

26,440,554

Consumer Services — 0.7%485,500 1-800-Flowers.com Inc., Cl. A† . . . . . . . . . . . . 4,379,210

5,100 Angie’s List Inc.† . . . . . . . . . . . . . . . . . . . . . 33,20155,000 Bowlin Travel Centers Inc.† . . . . . . . . . . . . . . 85,250

800 Collectors Universe Inc. . . . . . . . . . . . . . . . . . 15,80063,025 Liberty Tax Inc.. . . . . . . . . . . . . . . . . . . . . . . 839,49374,991 XO Group Inc.†. . . . . . . . . . . . . . . . . . . . . . . 1,307,093

6,660,047

Diversified Industrial — 10.1%25,000 A.M. Castle & Co.† . . . . . . . . . . . . . . . . . . . . 41,00074,492 AEP Industries Inc. . . . . . . . . . . . . . . . . . . . . 5,993,626

9,292 American Railcar Industries Inc. . . . . . . . . . . . 366,755425,000 Ampco-Pittsburgh Corp. . . . . . . . . . . . . . . . . 4,806,750245,000 Burnham Holdings Inc., Cl. A(a). . . . . . . . . . . 3,920,000111,122 Chase Corp. . . . . . . . . . . . . . . . . . . . . . . . . . 6,563,977115,500 Columbus McKinnon Corp. . . . . . . . . . . . . . . 1,634,325446,599 FormFactor Inc.† . . . . . . . . . . . . . . . . . . . . . . 4,014,924

34,600 Graham Corp. . . . . . . . . . . . . . . . . . . . . . . . . 637,332432,703 Griffon Corp. . . . . . . . . . . . . . . . . . . . . . . . . 7,295,373

11,500 Handy & Harman Ltd.†. . . . . . . . . . . . . . . . . 301,18525,000 Haulotte Group SA . . . . . . . . . . . . . . . . . . . . 381,20127,500 Haynes International Inc. . . . . . . . . . . . . . . . . 882,200

7,000 Innophos Holdings Inc. . . . . . . . . . . . . . . . . . 295,470314,509 Insignia Systems Inc.† . . . . . . . . . . . . . . . . . . 685,630232,030 Intevac Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 1,317,930

97,649 John Bean Technologies Corp. . . . . . . . . . . . . 5,978,072269,792 Katy Industries Inc.† . . . . . . . . . . . . . . . . . . . 337,240

85,000 L.B. Foster Co., Cl. A . . . . . . . . . . . . . . . . . . . 925,650253,172 Lawson Products Inc.†. . . . . . . . . . . . . . . . . . 5,027,996

40,000 LSB Industries Inc.†. . . . . . . . . . . . . . . . . . . . 483,200139,949 Lydall Inc.†. . . . . . . . . . . . . . . . . . . . . . . . . . 5,396,433

9,500 MSA Safety Inc. . . . . . . . . . . . . . . . . . . . . . . 499,035609,932 Myers Industries Inc. . . . . . . . . . . . . . . . . . . . 8,783,021207,211 NAPCO Security Technologies Inc.† . . . . . . . . 1,317,862170,100 Park-Ohio Holdings Corp. . . . . . . . . . . . . . . . 4,810,428185,000 Playmates Holdings Ltd. . . . . . . . . . . . . . . . . 242,276

25,080 Raven Industries Inc. . . . . . . . . . . . . . . . . . . . 475,01566,666 Rubicon Ltd.† . . . . . . . . . . . . . . . . . . . . . . . . 11,66218,699 RWC Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . 276,745

493,300 Sevcon Inc.†(a) . . . . . . . . . . . . . . . . . . . . . . . 4,454,49928,000 Standex International Corp. . . . . . . . . . . . . . . 2,313,640

592,467 Steel Partners Holdings LP† . . . . . . . . . . . . . . 8,715,190375,000 Tredegar Corp. . . . . . . . . . . . . . . . . . . . . . . . 6,045,000297,205 Twin Disc Inc.. . . . . . . . . . . . . . . . . . . . . . . . 3,191,982176,476 Vishay Precision Group Inc.† . . . . . . . . . . . . . 2,368,308

100,790,932

Educational Services — 0.0%500,587 Corinthian Colleges Inc.† . . . . . . . . . . . . . . . . 476

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90,000 Universal Technical Institute Inc. . . . . . . . . . . $ 203,400

203,876

Electronics — 3.9%33,000 Alliance Semiconductor Corp.†. . . . . . . . . . . . 20,13014,000 Badger Meter Inc. . . . . . . . . . . . . . . . . . . . . . 1,022,420

173,323 Bel Fuse Inc., Cl. A(a) . . . . . . . . . . . . . . . . . . 2,611,978348,577 CTS Corp.. . . . . . . . . . . . . . . . . . . . . . . . . . . 6,246,500

62,000 Daktronics Inc. . . . . . . . . . . . . . . . . . . . . . . . 387,500151,867 Dialight plc† . . . . . . . . . . . . . . . . . . . . . . . . . 1,024,011

49,789 Electro Scientific Industries Inc.†. . . . . . . . . . . 290,76863,771 EMRISE Corp.† . . . . . . . . . . . . . . . . . . . . . . . 12,75432,000 IMAX Corp.† . . . . . . . . . . . . . . . . . . . . . . . . 943,36020,000 Iteris Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . 57,200

250,000 Kimball Electronics Inc.† . . . . . . . . . . . . . . . . 3,112,500190,000 Kopin Corp.† . . . . . . . . . . . . . . . . . . . . . . . . 421,800

35,000 Mesa Laboratories Inc. . . . . . . . . . . . . . . . . . . 4,305,00033,800 Methode Electronics Inc. . . . . . . . . . . . . . . . . 1,156,974

387,637 MOCON Inc.(a). . . . . . . . . . . . . . . . . . . . . . . 5,488,94052,100 MoSys Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 21,101

119,292 Park Electrochemical Corp. . . . . . . . . . . . . . . 1,733,31382,074 Rofin-Sinar Technologies Inc.† . . . . . . . . . . . . 2,621,44478,000 Schmitt Industries Inc.† . . . . . . . . . . . . . . . . . 143,520

7,037 Sparton Corp.† . . . . . . . . . . . . . . . . . . . . . . . 153,195252,498 Stoneridge Inc.† . . . . . . . . . . . . . . . . . . . . . . 3,772,320

8,000 Stratasys Ltd.† . . . . . . . . . . . . . . . . . . . . . . . 183,120157,000 Ultra Clean Holdings† . . . . . . . . . . . . . . . . . . 893,330105,198 Ultralife Corp.† . . . . . . . . . . . . . . . . . . . . . . . 527,042

99,500 Ultratech Inc.† . . . . . . . . . . . . . . . . . . . . . . . 2,285,515

39,435,735

Energy and Utilities: Alternative Energy — 0.0%39,200 JA Solar Holdings Co. Ltd., ADR† . . . . . . . . . 268,520

Energy and Utilities: Integrated — 0.5%89,440 Broadwind Energy Inc.†. . . . . . . . . . . . . . . . . 377,437

135,100 Headwaters Inc.† . . . . . . . . . . . . . . . . . . . . . 2,423,69437,000 MGE Energy Inc.. . . . . . . . . . . . . . . . . . . . . . 2,091,055

4,892,186

Energy and Utilities: Natural Gas — 0.9%21,554 Abraxas Petroleum Corp.† . . . . . . . . . . . . . . . 24,356

260,000 Alvopetro Energy Ltd.† . . . . . . . . . . . . . . . . . 59,36836,750 Chesapeake Utilities Corp. . . . . . . . . . . . . . . . 2,432,11590,570 Corning Natural Gas Holding Co. . . . . . . . . . 1,603,089

105,000 Delta Natural Gas Co. Inc. . . . . . . . . . . . . . . . 2,828,70029,000 Gas Natural Inc. . . . . . . . . . . . . . . . . . . . . . . 202,71095,800 Gastar Exploration Inc.†. . . . . . . . . . . . . . . . . 105,380

450,181 Gulf Coast Ultra Deep Royalty Trust†. . . . . . . 32,41315,000 Piedmont Natural Gas Co. Inc. . . . . . . . . . . . . 901,80043,600 RGC Resources Inc. . . . . . . . . . . . . . . . . . . . . 1,058,172

2,333 US Energy Corp. Wyoming† . . . . . . . . . . . . . 3,96710,000 Whitecap Resources Inc. . . . . . . . . . . . . . . . . 76,474

9,328,544

Energy and Utilities: Oil — 0.3%244,844 Callon Petroleum Co.† . . . . . . . . . . . . . . . . . . 2,749,598

21,900 Mitcham Industries Inc.† . . . . . . . . . . . . . . . . 82,12557,900 Tesco Corp. . . . . . . . . . . . . . . . . . . . . . . . . . 387,351

119,637 Triangle Petroleum Corp.† . . . . . . . . . . . . . . . 34,348

3,253,422

Energy and Utilities: Services — 0.4%2,000 Archer Ltd.† . . . . . . . . . . . . . . . . . . . . . . . . . 1,291

18,000 Dawson Geophysical Co.† . . . . . . . . . . . . . . . 146,70025,300 Flotek Industries Inc.† . . . . . . . . . . . . . . . . . . 333,96016,671 Gulf Island Fabrication Inc. . . . . . . . . . . . . . . 115,69715,000 Key Energy Services Inc.† . . . . . . . . . . . . . . . 3,479

220,000 Layne Christensen Co.† . . . . . . . . . . . . . . . . . 1,782,00092,500 RPC Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,436,525

TETON Westwood Mighty MitesSM FundSchedule of Investments (Continued) — June 30, 2016 (Unaudited)


4

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COMMON STOCKS (Continued)Energy and Utilities: Services (Continued)

7,100 Subsea 7 SA, ADR† . . . . . . . . . . . . . . . . . . . . $ 69,580

3,889,232

Energy and Utilities: Water — 1.1%24,226 Artesian Resources Corp., Cl. A . . . . . . . . . . . 821,74645,174 Cadiz Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . 265,17124,800 California Water Service Group . . . . . . . . . . . 866,264

4,000 Connecticut Water Service Inc. . . . . . . . . . . . . 224,80066,000 Consolidated Water Co. Ltd. . . . . . . . . . . . . . 861,96068,000 Energy Recovery Inc.† . . . . . . . . . . . . . . . . . . 604,52030,433 Middlesex Water Co. . . . . . . . . . . . . . . . . . . . 1,320,18420,000 Mueller Water Products Inc., Cl. A . . . . . . . . . 228,400

111,304 SJW Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . 4,383,15244,037 The York Water Co.. . . . . . . . . . . . . . . . . . . . 1,410,945

10,987,142

Entertainment — 3.0%361,288 Canterbury Park Holding Corp.(a) . . . . . . . . . 3,977,781619,556 Dover Motorsports Inc. . . . . . . . . . . . . . . . . . 1,344,437717,763 Entravision Communications Corp., Cl. A . . . . 4,823,367

1,141,604 Media General Inc.† . . . . . . . . . . . . . . . . . . . 19,624,17319,033 RLJ Entertainment Inc.† . . . . . . . . . . . . . . . . . 37,87650,000 SFX Entertainment Inc.†. . . . . . . . . . . . . . . . . 1,03334,000 World Wrestling Entertainment Inc., Cl. A . . . 625,940

30,434,607

Environmental Control — 0.5%7,500 BioteQ Environmental Technologies Inc.† . . . . 189

607,228 Casella Waste Systems Inc., Cl. A† . . . . . . . . . 4,766,74015,718 Ceco Environmental Corp. . . . . . . . . . . . . . . . 137,375

107,700 Hudson Technologies Inc.† . . . . . . . . . . . . . . 387,720

5,292,024

Equipment and Supplies — 5.9%18,000 Amtech Systems Inc.† . . . . . . . . . . . . . . . . . . 107,46020,000 AZZ Inc.. . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,199,600

162,400 CIRCOR International Inc. . . . . . . . . . . . . . . . 9,255,176309,202 Core Molding Technologies Inc.† . . . . . . . . . . 4,220,607740,000 Federal Signal Corp. . . . . . . . . . . . . . . . . . . . 9,531,200460,000 Interpump Group SpA. . . . . . . . . . . . . . . . . . 7,177,450709,000 Kimball International Inc., Cl. B . . . . . . . . . . . 8,068,420

20,000 Maezawa Kyuso Industries Co. Ltd. . . . . . . . . 254,68520,103 Powell Industries Inc. . . . . . . . . . . . . . . . . . . 790,852

331,022 The Eastern Co.(a) . . . . . . . . . . . . . . . . . . . . . 5,488,345123,000 The Gorman-Rupp Co. . . . . . . . . . . . . . . . . . 3,371,430

41,800 The Greenbrier Companies Inc. . . . . . . . . . . . 1,217,634318,600 The L.S. Starrett Co., Cl. A(a) . . . . . . . . . . . . . 3,794,526115,933 Titan Machinery Inc.† . . . . . . . . . . . . . . . . . . 1,292,653133,200 TransAct Technologies Inc.. . . . . . . . . . . . . . . 1,068,264188,500 Vicor Corp.† . . . . . . . . . . . . . . . . . . . . . . . . . 1,898,195

58,736,497

Financial Services — 5.7%49,400 Anchor Bancorp.† . . . . . . . . . . . . . . . . . . . . . 1,167,32220,000 Atlantic American Corp. . . . . . . . . . . . . . . . . 75,20060,500 BBCN Bancorp Inc. . . . . . . . . . . . . . . . . . . . . 902,66015,000 Berkshire Bancorp Inc. . . . . . . . . . . . . . . . . . . 116,250

9,246 Berkshire Hills Bancorp Inc. . . . . . . . . . . . . . . 248,90245,326 BKF Capital Group Inc.† . . . . . . . . . . . . . . . . 33,995

75 Burke & Herbert Bank and Trust Co. . . . . . . . 144,6004 Capital Financial Holdings Inc.. . . . . . . . . . . . 7,320

6,791 Capitol Federal Financial Inc. . . . . . . . . . . . . . 94,73418,200 Citizens & Northern Corp. . . . . . . . . . . . . . . . 368,004

102,339 CoBiz Financial Inc. . . . . . . . . . . . . . . . . . . . . 1,197,36628,800 Crazy Woman Creek Bancorp Inc. . . . . . . . . . 384,48035,800 Dime Community Bancshares Inc. . . . . . . . . . 608,958

1,035 Farmers & Merchants Bank of Long Beach . . . 6,417,00040,000 Farmers National Banc Corp. . . . . . . . . . . . . . 352,00011,418 Fidelity Southern Corp. . . . . . . . . . . . . . . . . . 178,920

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32,000 First Internet Bancorp . . . . . . . . . . . . . . . . . . $ 762,240588,483 Flushing Financial Corp. . . . . . . . . . . . . . . . . 11,699,042

10 Guaranty Corp., Cl. A† . . . . . . . . . . . . . . . . . 700,000183,860 Hallmark Financial Services Inc.† . . . . . . . . . . 2,130,937

15,000 Hancock Holding Co. . . . . . . . . . . . . . . . . . . 391,65013,800 Heritage Commerce Corp. . . . . . . . . . . . . . . . 145,314

8,000 Higher One Holdings Inc.† . . . . . . . . . . . . . . 40,88080,000 Hilltop Holdings Inc.† . . . . . . . . . . . . . . . . . . 1,679,20030,000 HomeStreet Inc.†. . . . . . . . . . . . . . . . . . . . . . 597,60090,843 KKR & Co. LP . . . . . . . . . . . . . . . . . . . . . . . 1,121,00321,200 LendingTree Inc.† . . . . . . . . . . . . . . . . . . . . . 1,872,596

100,000 Medallion Financial Corp. . . . . . . . . . . . . . . . 738,000200,000 Monitise plc† . . . . . . . . . . . . . . . . . . . . . . . . 7,242

18,002 National Interstate Corp. . . . . . . . . . . . . . . . . 544,5618,255 New York Community Bancorp Inc. . . . . . . . . 123,7424,197 Northrim BanCorp Inc. . . . . . . . . . . . . . . . . . 110,339

21,300 OceanFirst Financial Corp. . . . . . . . . . . . . . . . 387,02140,000 Oritani Financial Corp. . . . . . . . . . . . . . . . . . 639,600

160,000 Pzena Investment Management Inc., Cl. A. . . . 1,217,60036,971 Renasant Corp. . . . . . . . . . . . . . . . . . . . . . . . 1,195,272

3,740 Security National Corp. . . . . . . . . . . . . . . . . . 368,1848,842 SI Financial Group Inc. . . . . . . . . . . . . . . . . . 117,068

85,769 Silvercrest Asset Management Group Inc.,Cl. A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,049,813

20,594 Southwest Bancorp Inc. . . . . . . . . . . . . . . . . . 348,656700,000 Sprott Inc.. . . . . . . . . . . . . . . . . . . . . . . . . . . 1,392,469

20,700 State Bank Financial Corp. . . . . . . . . . . . . . . . 421,245449,487 Steel Excel Inc.† . . . . . . . . . . . . . . . . . . . . . . 4,719,614122,503 Sterling Bancorp . . . . . . . . . . . . . . . . . . . . . . 1,923,297

60,000 TheStreet Inc. . . . . . . . . . . . . . . . . . . . . . . . . 67,80010,000 TriState Capital Holdings Inc.† . . . . . . . . . . . . 137,30055,000 TrustCo Bank Corp NY . . . . . . . . . . . . . . . . . 352,550

127,100 United Financial Bancorp Inc.. . . . . . . . . . . . . 1,649,75833,089 Value Line Inc. . . . . . . . . . . . . . . . . . . . . . . . 541,00545,900 Washington Trust Bancorp Inc.. . . . . . . . . . . . 1,740,52882,200 Waterstone Financial Inc. . . . . . . . . . . . . . . . . 1,260,12687,100 Westfield Financial Inc. . . . . . . . . . . . . . . . . . 670,67028,500 Wilshire Bancorp Inc. . . . . . . . . . . . . . . . . . . 296,970

395,000 Wright Investors’ Service Holdings Inc.† . . . . . 454,25030,000 Xenith Bankshares Inc.† . . . . . . . . . . . . . . . . . 238,50035,000 Yadkin Financial Corp. . . . . . . . . . . . . . . . . . 878,150

57,029,503

Food and Beverage — 4.4%29,200 Andrew Peller Ltd., Cl. A . . . . . . . . . . . . . . . 629,67858,000 Calavo Growers Inc. . . . . . . . . . . . . . . . . . . . 3,886,000

110,000 Cott Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . 1,535,600520,000 Crimson Wine Group Ltd.† . . . . . . . . . . . . . . 4,347,200195,913 Farmer Brothers Co.†. . . . . . . . . . . . . . . . . . . 6,280,971

1,100 Hanover Foods Corp., Cl. A . . . . . . . . . . . . . . 96,057314,331 Inventure Foods Inc.† . . . . . . . . . . . . . . . . . . 2,454,925

63,600 Iwatsuka Confectionery Co. Ltd.. . . . . . . . . . . 2,174,0961,500 J & J Snack Foods Corp.. . . . . . . . . . . . . . . . . 178,905

22,531 John B Sanfilippo & Son Inc. . . . . . . . . . . . . . 960,497176,308 Lifeway Foods Inc.† . . . . . . . . . . . . . . . . . . . 1,704,898151,100 Massimo Zanetti Beverage Group SpA . . . . . . 1,230,800

66,500 MGP Ingredients Inc.. . . . . . . . . . . . . . . . . . . 2,542,29515,600 Rock Field Co. Ltd. . . . . . . . . . . . . . . . . . . . . 228,716

5,900 Scheid Vineyards Inc., Cl. A† . . . . . . . . . . . . . 170,215243,600 Snyder’s-Lance Inc. . . . . . . . . . . . . . . . . . . . . 8,255,604300,000 SunOpta Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 1,257,000

8,500 The Boston Beer Co. Inc., Cl. A† . . . . . . . . . . . 1,453,75580,000 The Hain Celestial Group Inc.†. . . . . . . . . . . . 3,980,000

270,000 Tingyi (Cayman Islands) Holding Corp. . . . . . 254,405295,000 Vitasoy International Holdings Ltd. . . . . . . . . 535,389

23,000 Willamette Valley Vineyards Inc.† . . . . . . . . . 192,970

44,349,976

Health Care — 8.3%32,960 Accuray Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 171,062

2,362 AcelRx Pharmaceuticals Inc.† . . . . . . . . . . . . . 6,354



5

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COMMON STOCKS (Continued)Health Care (Continued)

5,000 Achillion Pharmaceuticals Inc.† . . . . . . . . . . . $ 39,00012,700 Alere Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . 529,33624,000 AngioDynamics Inc.†. . . . . . . . . . . . . . . . . . . 344,88080,000 ArthroCare Corp. Stub† . . . . . . . . . . . . . . . . . 28,000

341,461 Biolase Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 399,5091,136,701 BioScrip Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 2,898,588

145,100 BioTelemetry Inc.†. . . . . . . . . . . . . . . . . . . . . 2,365,1308,300 Boiron SA. . . . . . . . . . . . . . . . . . . . . . . . . . . 649,465

141,200 Cantel Medical Corp.. . . . . . . . . . . . . . . . . . . 9,704,676111,100 Cardiovascular Systems Inc.† . . . . . . . . . . . . . 2,041,463

10,000 CareDx Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 43,2004,200 Cempra Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 69,258

62,500 Cepheid Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 1,921,875115,000 Cogentix Medical Inc.† . . . . . . . . . . . . . . . . . 110,630339,498 Cutera Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 3,805,773

1,000 Dextera Surgical Inc.† . . . . . . . . . . . . . . . . . . 1,80077,500 Electromed Inc.† . . . . . . . . . . . . . . . . . . . . . . 299,150

232,473 Exactech Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 6,216,328200,000 Exelixis Inc.†. . . . . . . . . . . . . . . . . . . . . . . . . 1,562,000

42,000 Genesis Healthcare Inc.† . . . . . . . . . . . . . . . . 74,340156,392 Harvard Bioscience Inc.† . . . . . . . . . . . . . . . . 447,281

38,000 Heska Corp.† . . . . . . . . . . . . . . . . . . . . . . . . 1,412,4604,022 ICU Medical Inc.† . . . . . . . . . . . . . . . . . . . . . 453,481

633,835 InfuSystems Holdings Inc.† . . . . . . . . . . . . . . 1,647,971179,234 IntriCon Corp.†. . . . . . . . . . . . . . . . . . . . . . . 957,110221,970 Invacare Corp. . . . . . . . . . . . . . . . . . . . . . . . 2,692,496

14,000 LDR Holding Corp.† . . . . . . . . . . . . . . . . . . . 517,300140,000 Meridian Bioscience Inc. . . . . . . . . . . . . . . . . 2,730,000124,750 Neogen Corp.† . . . . . . . . . . . . . . . . . . . . . . . 7,017,187181,407 NeoGenomics Inc.† . . . . . . . . . . . . . . . . . . . . 1,458,512197,000 Nutraceutical International Corp.† . . . . . . . . . 4,560,550

3,333 Nuvectra Corp.† . . . . . . . . . . . . . . . . . . . . . . 24,6677,500 Omega Protein Corp.† . . . . . . . . . . . . . . . . . . 149,925

44,612 Omnicell Inc.†. . . . . . . . . . . . . . . . . . . . . . . . 1,527,069238,000 OPKO Health Inc.† . . . . . . . . . . . . . . . . . . . . 2,222,920

45,200 Orthofix International NV† . . . . . . . . . . . . . . 1,916,480115,991 Pain Therapeutics Inc.† . . . . . . . . . . . . . . . . . 254,020

1,000 PhotoMedex Inc.† . . . . . . . . . . . . . . . . . . . . . 2522,500 PreMD Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 0

147,061 Quidel Corp.† . . . . . . . . . . . . . . . . . . . . . . . . 2,626,50966,000 RTI Surgical Inc.† . . . . . . . . . . . . . . . . . . . . . 236,940

213,500 Special Diversified Opportunities Inc.† . . . . . . 209,230276,792 SurModics Inc.† . . . . . . . . . . . . . . . . . . . . . . 6,499,076101,249 Syneron Medical Ltd.† . . . . . . . . . . . . . . . . . . 778,605

2,000 Targanta Therapeutics Corp., Escrow . . . . . . . 64024,000 Tetraphase Pharmaceuticals Inc.† . . . . . . . . . . 103,200

5,000 Titan Medical Inc.† . . . . . . . . . . . . . . . . . . . . 3,345137,000 Trinity Biotech plc, ADR† . . . . . . . . . . . . . . . 1,553,580

75,500 United-Guardian Inc. . . . . . . . . . . . . . . . . . . . 1,213,2855,174 Utah Medical Products Inc. . . . . . . . . . . . . . . 325,962

19,800 Vascular Solutions Inc.† . . . . . . . . . . . . . . . . . 824,868317,000 Zealand Pharma A/S† . . . . . . . . . . . . . . . . . . 5,652,310

83,299,048

Hotels and Gaming — 2.7%71,800 Boyd Gaming Corp.† . . . . . . . . . . . . . . . . . . . 1,321,12066,040 Churchill Downs Inc.. . . . . . . . . . . . . . . . . . . 8,344,814

139,000 Dover Downs Gaming & Entertainment Inc.† . 147,34079,000 Eldorado Resorts Inc.† . . . . . . . . . . . . . . . . . . 1,200,405

3,501 Empire Resorts Inc.† . . . . . . . . . . . . . . . . . . . 55,313310,000 Full House Resorts Inc.† . . . . . . . . . . . . . . . . 626,200462,563 Golden Entertainment Inc. . . . . . . . . . . . . . . . 5,407,361

3,935 Intrawest Resorts Holdings Inc.† . . . . . . . . . . 51,076630,491 Morgans Hotel Group Co.† . . . . . . . . . . . . . . 1,349,251

10,000 Ryman Hospitality Properties Inc. . . . . . . . . . 506,500378,812 The Marcus Corp. . . . . . . . . . . . . . . . . . . . . . 7,992,933

27,002,313

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Machinery — 3.5%327,300 Astec Industries Inc. . . . . . . . . . . . . . . . . . . . $ 18,377,895

12,000 Bolzoni SpA† . . . . . . . . . . . . . . . . . . . . . . . . 57,1832,001 Capstone Turbine Corp.† . . . . . . . . . . . . . . . . 2,7616,300 DMG Mori AG† . . . . . . . . . . . . . . . . . . . . . . 295,773

12,200 DXP Enterprises Inc.† . . . . . . . . . . . . . . . . . . 182,146358,974 Gencor Industries Inc.† . . . . . . . . . . . . . . . . . 5,571,276

30,000 Global Power Equipment Group Inc.†. . . . . . . 63,9006,000 Hardinge Inc. . . . . . . . . . . . . . . . . . . . . . . . . 60,360

155,009 Key Technology Inc.† . . . . . . . . . . . . . . . . . . 1,427,63315,664 Lindsay Corp. . . . . . . . . . . . . . . . . . . . . . . . . 1,062,95949,300 Tennant Co. . . . . . . . . . . . . . . . . . . . . . . . . . 2,655,79144,400 The Middleby Corp.†. . . . . . . . . . . . . . . . . . . 5,117,10046,900 Xerium Technologies Inc.† . . . . . . . . . . . . . . . 299,222

35,173,999

Manufactured Housing and Recreational Vehicles — 0.9%57,000 Cavco Industries Inc.† . . . . . . . . . . . . . . . . . . 5,340,900

141,459 Nobility Homes Inc.†. . . . . . . . . . . . . . . . . . . 2,051,15547,796 Skyline Corp.† . . . . . . . . . . . . . . . . . . . . . . . 449,28261,000 Winnebago Industries Inc. . . . . . . . . . . . . . . . 1,398,120

9,239,457

Metals and Mining — 1.4%70,000 5N Plus Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 109,98910,000 Alkane Resources Ltd.† . . . . . . . . . . . . . . . . . 1,492

177,800 Materion Corp. . . . . . . . . . . . . . . . . . . . . . . . 4,402,328760,000 Osisko Gold Royalties Ltd.. . . . . . . . . . . . . . . 9,935,679

15,001 Peabody Energy Corp.† . . . . . . . . . . . . . . . . . 20,551900,000 Tanami Gold NL† . . . . . . . . . . . . . . . . . . . . . 32,890

14,502,929

Paper and Forest Products — 0.2%25,600 Keweenaw Land Association Ltd.† . . . . . . . . . 2,220,800

Publishing — 1.5%10,000 Cambium Learning Group Inc.† . . . . . . . . . . . 45,100

330,000 Il Sole 24 Ore SpA† . . . . . . . . . . . . . . . . . . . . 172,123908,124 The E.W. Scripps Co., Cl. A† . . . . . . . . . . . . . 14,384,684

14,601,907

Real Estate — 2.3%200,000 Ambase Corp.† . . . . . . . . . . . . . . . . . . . . . . . 258,000

8,000 Bresler & Reiner Inc.† . . . . . . . . . . . . . . . . . . 3,48093,300 Capital Properties Inc., Cl. A† . . . . . . . . . . . . 932,067

105,000 Cohen & Steers Inc. . . . . . . . . . . . . . . . . . . . . 4,246,20023,000 FRP Holdings Inc.† . . . . . . . . . . . . . . . . . . . . 793,500

249,517 Griffin Industrial Realty Inc.. . . . . . . . . . . . . . 7,647,69612,031 Gyrodyne LLC . . . . . . . . . . . . . . . . . . . . . . . 240,861

8,231 Holobeam Inc.† . . . . . . . . . . . . . . . . . . . . . . . 255,161359,623 Reading International Inc., Cl. A† . . . . . . . . . . 4,491,691

68,481 Reading International Inc., Cl. B† . . . . . . . . . . 879,2962,508 Royalty LLC . . . . . . . . . . . . . . . . . . . . . . . . . 319

134,000 Tejon Ranch Co.† . . . . . . . . . . . . . . . . . . . . . 3,167,760

22,916,031

Restaurants — 1.9%13,183 Biglari Holdings Inc.† . . . . . . . . . . . . . . . . . . 5,317,23170,000 Denny’s Corp.† . . . . . . . . . . . . . . . . . . . . . . . 751,10092,203 Famous Dave’s of America Inc.†. . . . . . . . . . . 463,78135,400 Jamba Inc.†. . . . . . . . . . . . . . . . . . . . . . . . . . 364,266

202,834 Nathan’s Famous Inc.†. . . . . . . . . . . . . . . . . . 9,026,11355,000 The Cheesecake Factory Inc.. . . . . . . . . . . . . . 2,647,700

18,570,191

Retail — 2.7%48,000 Aaron’s Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 1,050,720

274,000 Big 5 Sporting Goods Corp. . . . . . . . . . . . . . . 2,539,98030,000 Destination XL Group Inc.† . . . . . . . . . . . . . . 137,10050,496 Ethan Allen Interiors Inc. . . . . . . . . . . . . . . . . 1,668,388

249,200 EVINE Live Inc.† . . . . . . . . . . . . . . . . . . . . . 411,180173,200 Ingles Markets Inc., Cl. A. . . . . . . . . . . . . . . . 6,460,360



6

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COMMON STOCKS (Continued)Retail (Continued)

329,200 Krispy Kreme Doughnuts Inc.†. . . . . . . . . . . . $ 6,900,03236,000 Lands’ End Inc.† . . . . . . . . . . . . . . . . . . . . . . 591,12059,000 La-Z-Boy Inc. . . . . . . . . . . . . . . . . . . . . . . . . 1,641,38015,000 Movado Group Inc. . . . . . . . . . . . . . . . . . . . . 325,20036,000 Pier 1 Imports Inc.. . . . . . . . . . . . . . . . . . . . . 185,04029,605 Rush Enterprises Inc., Cl. A† . . . . . . . . . . . . . 637,988

104,005 Rush Enterprises Inc., Cl. B† . . . . . . . . . . . . . 2,162,2646,000 SpartanNash Co. . . . . . . . . . . . . . . . . . . . . . . 183,480

444,000 The Bon-Ton Stores Inc. . . . . . . . . . . . . . . . . . 626,0406,000 Tuesday Morning Corp.† . . . . . . . . . . . . . . . . 42,120

42,581 Village Super Market Inc., Cl. A . . . . . . . . . . . 1,230,165600 Winmark Corp. . . . . . . . . . . . . . . . . . . . . . . . 59,802

26,852,359

Semiconductors — 0.4%185,100 Entegris Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 2,678,397

93,700 IXYS Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . 960,425

3,638,822

Specialty Chemicals — 2.8%85,000 Chemtura Corp.†. . . . . . . . . . . . . . . . . . . . . . 2,242,300

1,198,000 Ferro Corp.† . . . . . . . . . . . . . . . . . . . . . . . . . 16,029,240267,226 General Chemical Group Inc.†(a) . . . . . . . . . . 3,474158,000 Hawkins Inc. . . . . . . . . . . . . . . . . . . . . . . . . 6,858,780

2,000 KMG Chemicals Inc. . . . . . . . . . . . . . . . . . . . 51,9804,100 Minerals Technologies Inc. . . . . . . . . . . . . . . . 232,880

80,000 Navigator Holdings Ltd.† . . . . . . . . . . . . . . . 920,000272,102 OMNOVA Solutions Inc.† . . . . . . . . . . . . . . . 1,972,740

28,311,394

Telecommunications — 4.2%59,200 ATN International Inc.. . . . . . . . . . . . . . . . . . 4,606,352

1,328,115 Cincinnati Bell Inc.†. . . . . . . . . . . . . . . . . . . . 6,069,48640,801 Consolidated Communications Holdings Inc.. . 1,111,41920,000 Frequency Electronics Inc.† . . . . . . . . . . . . . . 186,000

714,117 HC2 Holdings Inc.† . . . . . . . . . . . . . . . . . . . . 3,070,703652 Horizon Telecom Inc., Cl. B† . . . . . . . . . . . . . 4,303

10,000 Iridium Communications Inc.† . . . . . . . . . . . . 88,80095,000 Ixia†. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 932,90057,500 New ULM Telecom Inc. . . . . . . . . . . . . . . . . . 455,975

4,100 North State Telecommunications Corp., Cl. A . 287,000521,335 ORBCOMM Inc.† . . . . . . . . . . . . . . . . . . . . . 5,187,283

73,135 PC-Tel Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . 344,4665,788 Preformed Line Products Co. . . . . . . . . . . . . . 233,777

490,000 Shenandoah Telecommunications Co. . . . . . . . 19,139,400

41,717,864

Transportation — 0.3%15,000 Dakota Plains Holdings Inc.† . . . . . . . . . . . . . 1,65015,000 Patriot Transportation Holding Inc.† . . . . . . . . 291,750

8,200 PHI Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . . 135,710131,758 Providence and Worcester Railroad Co.. . . . . . 2,147,655

1 Trailer Bridge Inc. . . . . . . . . . . . . . . . . . . . . . 465

2,577,230

TOTAL COMMON STOCKS . . . . . . . . . . . . 920,507,747

PREFERRED STOCKS — 0.2%Automotive: Parts and Accessories — 0.2%

60,000 Jungheinrich AG . . . . . . . . . . . . . . . . . . . . . 1,798,801

CONVERTIBLE PREFERRED STOCKS — 0.3%Business Services — 0.0%

364 Trans-Lux Pfd.,Ser. B . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,538

Diversified Industrial — 0.3%88,937 Sevcon Inc.,

4.000%, Ser. A . . . . . . . . . . . . . . . . . . . . . . 2,521,364

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Energy and Utilities — 0.0%15,095 Corning Natural Gas,

4.800%, Ser. B . . . . . . . . . . . . . . . . . . . . . . $ 313,227Food and Beverage — 0.0%

500 Seneca Foods Corp.,Ser. 2003 † . . . . . . . . . . . . . . . . . . . . . . . . . 18,110

Health Care — 0.0%3,034 BioScrip Inc.,

Ser. A . . . . . . . . . . . . . . . . . . . . . . . . . . . . 165,441TOTAL CONVERTIBLE PREFERRED

STOCKS . . . . . . . . . . . . . . . . . . . . . . . . . . 3,033,680

RIGHTS — 0.0%Health Care — 0.0%

300,000 Adolor Corp., CPR,expire 07/01/19† . . . . . . . . . . . . . . . . . . . . 156,000

400,000 Sanofi, CVR,expire 12/31/20† . . . . . . . . . . . . . . . . . . . . 96,000

200,000 Teva Pharmaceutical Industries Ltd., CCCP,expire 02/20/23† . . . . . . . . . . . . . . . . . . . . 106,000

TOTAL RIGHTS . . . . . . . . . . . . . . . . . . . . . 358,000

WARRANTS — 0.0%Energy and Utilities — 0.0%

50,000 Kinder Morgan Inc., expire 05/25/17† . . . . . . 850

Health Care — 0.0%8,737 BioScrip Inc., Cl. A, expire 07/27/25† . . . . . . . 5,6228,737 BioScrip Inc., Cl. B, expire 07/27/25† . . . . . . . 5,409

11,031

Real Estate — 0.0%15,170 Tejon Ranch Co., expire 08/31/16† . . . . . . . . . 2

Transportation — 0.0%2 Trailer Bridge Inc., Ser. A, expire 04/02/17† . . 02 Trailer Bridge Inc., Ser. B, expire 04/02/17† . . 0

0

TOTAL WARRANTS . . . . . . . . . . . . . . . . . . 11,883

PrincipalAmount

CORPORATE BONDS — 0.0%Real Estate — 0.0%

$ 36,774 Capital Properties Inc.,5.000%, 12/31/22 . . . . . . . . . . . . . . . . . . . . 36,613

U.S. GOVERNMENT OBLIGATIONS — 7.6%75,959,000 U.S. Treasury Bills,

0.140% to 0.501%††,07/07/16 to 12/08/16 . . . . . . . . . . . . . . . . 75,920,764



7

MarketValue

TOTAL INVESTMENTS — 100.0%(Cost $747,263,288) . . . . . . . . . . . . . . . . . . . $1,001,667,488

Aggregate tax cost. . . . . . . . . . . . . . . . . . . . . $ 751,275,264

Gross unrealized appreciation . . . . . . . . . . . . $ 335,069,066Gross unrealized depreciation . . . . . . . . . . . . (84,676,842)

Net unrealized appreciation/depreciation . . . . $ 250,392,224

(a) Security considered an affiliated holding because the Fund owns atleast 5% of its outstanding shares.

† Non-income producing security.†† Represents annualized yield at date of purchase.ADR American Depositary ReceiptCCCP Contingent Cash Consideration PaymentCPR Contingent Payment RightCVR Contingent Value Right



8

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COMMON STOCKS — 98.8%Aerospace — 0.8%

4,200 Hexcel Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . $ 174,888

Building and Construction — 4.2%18,800 Builders FirstSource Inc.† . . . . . . . . . . . . . . . . . 211,500

9,300 EMCOR Group Inc.. . . . . . . . . . . . . . . . . . . . . . 458,1179,300 MYR Group Inc.† . . . . . . . . . . . . . . . . . . . . . . . 223,944

893,561

Business Services — 8.9%15,450 ABM Industries Inc. . . . . . . . . . . . . . . . . . . . . . 563,61613,750 FTI Consulting Inc.† . . . . . . . . . . . . . . . . . . . . . 559,350

4,950 KAR Auction Services Inc. . . . . . . . . . . . . . . . . . 206,6139,100 McGrath RentCorp . . . . . . . . . . . . . . . . . . . . . . 278,369

10,400 The Brink’s Co.. . . . . . . . . . . . . . . . . . . . . . . . . 296,296

1,904,244

Computer Hardware — 1.2%17,500 QLogic Corp.† . . . . . . . . . . . . . . . . . . . . . . . . . 257,950

Computer Software and Services — 4.7%6,100 Bottomline Technologies Inc.† . . . . . . . . . . . . . . 131,333

17,000 NetScout Systems Inc.† . . . . . . . . . . . . . . . . . . . 378,25013,100 Progress Software Corp.†. . . . . . . . . . . . . . . . . . 359,726

3,900 PTC Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 146,562

1,015,871

Consumer Products — 0.5%3,900 Hanesbrands Inc. . . . . . . . . . . . . . . . . . . . . . . . 98,007

Diversified Industrial — 2.2%4,250 Barnes Group Inc. . . . . . . . . . . . . . . . . . . . . . . . 140,760

12,360 Columbus McKinnon Corp. . . . . . . . . . . . . . . . . 174,8943,500 Sealed Air Corp. . . . . . . . . . . . . . . . . . . . . . . . . 160,895

476,549

Electronics — 4.3%6,700 FARO Technologies Inc.†. . . . . . . . . . . . . . . . . . 226,6615,300 Plantronics Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 233,2008,500 Stratasys Ltd.† . . . . . . . . . . . . . . . . . . . . . . . . . 194,5655,250 Vishay Intertechnology Inc. . . . . . . . . . . . . . . . . 65,0473,400 Woodward Inc.. . . . . . . . . . . . . . . . . . . . . . . . . 195,977

915,450

Energy and Utilities — 10.6%12,400 Carrizo Oil & Gas Inc.† . . . . . . . . . . . . . . . . . . . 444,54017,000 Gulfport Energy Corp.† . . . . . . . . . . . . . . . . . . . 531,42014,000 Matador Resources Co.† . . . . . . . . . . . . . . . . . . 277,20023,900 Newpark Resources Inc.†. . . . . . . . . . . . . . . . . . 138,38140,800 Patterson-UTI Energy Inc. . . . . . . . . . . . . . . . . . 869,856

2,261,397

Equipment and Supplies — 3.7%7,100 CIRCOR International Inc. . . . . . . . . . . . . . . . . . 404,6297,600 Crown Holdings Inc.† . . . . . . . . . . . . . . . . . . . . 385,092

789,721

Financial Services — 22.6%6,300 BankUnited Inc. . . . . . . . . . . . . . . . . . . . . . . . . 193,5368,350 BBCN Bancorp Inc. . . . . . . . . . . . . . . . . . . . . . . 124,582

16,098 Beneficial Bancorp Inc.†. . . . . . . . . . . . . . . . . . . 204,7663,200 Berkshire Hills Bancorp Inc.. . . . . . . . . . . . . . . . 86,1447,050 Brown & Brown Inc. . . . . . . . . . . . . . . . . . . . . . 264,163

13,700 CoBiz Financial Inc. . . . . . . . . . . . . . . . . . . . . . 160,2902,700 Columbia Banking System Inc.. . . . . . . . . . . . . . 75,7622,700 Financial Institutions Inc.. . . . . . . . . . . . . . . . . . 70,3899,100 Flushing Financial Corp. . . . . . . . . . . . . . . . . . . 180,9087,900 Glacier Bancorp Inc. . . . . . . . . . . . . . . . . . . . . . 209,982

12,200 Heritage Commerce Corp. . . . . . . . . . . . . . . . . . 128,46644,250 Investors Bancorp Inc. . . . . . . . . . . . . . . . . . . . . 490,290

7,200 Kearny Financial Corp./MD . . . . . . . . . . . . . . . 90,576

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19,800 LegacyTexas Financial Group Inc. . . . . . . . . . . . $ 532,8183,250 OceanFirst Financial Corp.. . . . . . . . . . . . . . . . . 59,053

20,150 OFG Bancorp . . . . . . . . . . . . . . . . . . . . . . . . . . 167,2455,300 Oritani Financial Corp. . . . . . . . . . . . . . . . . . . . 84,7476,000 Southwest Bancorp Inc. . . . . . . . . . . . . . . . . . . . 101,5807,200 State Bank Financial Corp. . . . . . . . . . . . . . . . . . 146,520

24,706 Sterling Bancorp . . . . . . . . . . . . . . . . . . . . . . . . 387,8896,700 Stifel Financial Corp.† . . . . . . . . . . . . . . . . . . . . 210,715

10,000 TrustCo Bank Corp NY . . . . . . . . . . . . . . . . . . . 64,1005,450 Umpqua Holdings Corp. . . . . . . . . . . . . . . . . . . 84,3119,500 United Financial Bancorp Inc. . . . . . . . . . . . . . . 123,3108,900 Washington Federal Inc. . . . . . . . . . . . . . . . . . . 215,9144,500 Washington Trust Bancorp Inc. . . . . . . . . . . . . . 170,6409,100 Waterstone Financial Inc.. . . . . . . . . . . . . . . . . . 139,5039,800 Xenith Bankshares Inc.†. . . . . . . . . . . . . . . . . . . 77,910

4,846,109

Health Care — 6.8%6,350 AngioDynamics Inc.† . . . . . . . . . . . . . . . . . . . . 91,2491,600 ICU Medical Inc.† . . . . . . . . . . . . . . . . . . . . . . . 180,4005,550 Omnicell Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 189,977

12,450 Patterson Companies Inc. . . . . . . . . . . . . . . . . . 596,2313,500 STERIS plc . . . . . . . . . . . . . . . . . . . . . . . . . . . . 240,6252,200 VCA Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . . . 148,742

1,447,224

Machinery — 0.7%7,300 Briggs & Stratton Corp. . . . . . . . . . . . . . . . . . . . 154,614

Retail — 8.4%25,650 American Eagle Outfitters Inc. . . . . . . . . . . . . . . 408,60513,500 Big 5 Sporting Goods Corp. . . . . . . . . . . . . . . . . 125,14513,150 Ethan Allen Interiors Inc.. . . . . . . . . . . . . . . . . . 434,476

8,800 Haverty Furniture Companies Inc. . . . . . . . . . . . 158,66414,900 Rush Enterprises Inc., Cl. A† . . . . . . . . . . . . . . . 321,095

7,300 United Natural Foods Inc.† . . . . . . . . . . . . . . . . 341,640

1,789,625

Semiconductors — 14.9%11,400 Cabot Microelectronics Corp. . . . . . . . . . . . . . . . 482,67652,100 Cypress Semiconductor Corp. . . . . . . . . . . . . . . 549,65547,400 Entegris Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . 685,87834,300 FormFactor Inc.†. . . . . . . . . . . . . . . . . . . . . . . . 308,35732,500 Intersil Corp., Cl. A. . . . . . . . . . . . . . . . . . . . . . 440,05048,600 ON Semiconductor Corp.† . . . . . . . . . . . . . . . . . 428,65213,200 Ultratech Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 303,204

3,198,472

Specialty Chemicals — 1.0%8,400 Chemtura Corp.† . . . . . . . . . . . . . . . . . . . . . . . 221,592

Telecommunications — 3.3%132,000 Extreme Networks Inc.† . . . . . . . . . . . . . . . . . . 447,480

4,900 Infinera Corp.† . . . . . . . . . . . . . . . . . . . . . . . . . 55,27220,300 Ixia† . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 199,346

702,098

TOTAL COMMON STOCKS . . . . . . . . . . . . . . 21,147,372

TETON Westwood SmallCap Equity FundSchedule of Investments — June 30, 2016 (Unaudited)


9

PrincipalAmount

MarketValue

U.S. GOVERNMENT OBLIGATIONS — 1.2%$ 250,000 U.S. Treasury Bills,

0.24%††,8/25/2016. . . . . . . . . . . . . . . . . . . . . . . . . . . $ 249,908

TOTAL INVESTMENTS — 100.0%(Cost $17,271,390) . . . . . . . . . . . . . . . . . . . . . $21,397,280

Aggregate tax cost . . . . . . . . . . . . . . . . . . . . . . $17,410,452

Gross unrealized appreciation . . . . . . . . . . . . . . $ 4,568,885Gross unrealized depreciation . . . . . . . . . . . . . . (582,057)

Net unrealized appreciation/depreciation . . . . . . $ 3,986,828

† Non-income producing security.†† Represents annualized yield at date of purchase.

TETON Westwood SmallCap Equity FundSchedule of Investments (Continued) — June 30, 2016 (Unaudited)


10

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COMMON STOCKS — 97.6%INFORMATION TECHNOLOGY — 18.7%Software and Services — 16.0%

1,138 Activision Blizzard Inc. . . . . . . . . . . . . . . . . . $ 45,0992,810 Cornerstone OnDemand Inc.† . . . . . . . . . . . . . 106,9496,629 Covisint Corp.† . . . . . . . . . . . . . . . . . . . . . . . 14,451

293 Equinix Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 113,5244,189 Fortinet Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 132,330

100 LinkedIn Corp., Cl. A† . . . . . . . . . . . . . . . . . 18,925577 MercadoLibre Inc. . . . . . . . . . . . . . . . . . . . . . 81,167

1,605 Mobileye NV† . . . . . . . . . . . . . . . . . . . . . . . . 74,0551,221 Splunk Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 66,154

652,654

Technology Hardware and Equipment — 2.7%536 MACOM Technology Solutions Holdings

Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,6771,737 Stratasys Ltd.† . . . . . . . . . . . . . . . . . . . . . . . 39,760

997 Synaptics Inc.† . . . . . . . . . . . . . . . . . . . . . . . 53,589111,026

TOTAL INFORMATION TECHNOLOGY. . . . 763,680

CONSUMER DISCRETIONARY — 18.4%Consumer Durables — 1.0%

1,484 Toll Brothers Inc.† . . . . . . . . . . . . . . . . . . . . . 39,934

Consumer Services — 2.9%40 Chipotle Mexican Grill Inc.† . . . . . . . . . . . . . . 16,110

1,218 Hyatt Hotels Corp., Cl. A† . . . . . . . . . . . . . . . 59,8521,134 Norwegian Cruise Line Holdings Ltd.† . . . . . . 45,179

121,141

Media — 7.0%2,810 Discovery Communications Inc., Cl. C† . . . . . . 67,019

655 Liberty Broadband Corp., Cl. C† . . . . . . . . . . . 39,3001,640 Liberty Global plc, Cl. C† . . . . . . . . . . . . . . . . 46,986

1 Liberty Global plc LiLAC, Cl. C† . . . . . . . . . . 440 Liberty Media Group, Cl. C† . . . . . . . . . . . . . 5

1,102 Liberty SiriusXM Group, Cl. C† . . . . . . . . . . . 34,0192,158 Manchester United plc, Cl. A . . . . . . . . . . . . . 34,377

171 Netflix Inc.† . . . . . . . . . . . . . . . . . . . . . . . . . 15,643591 Omnicom Group Inc. . . . . . . . . . . . . . . . . . . . 48,161

285,554

Retailing — 7.5%916 Burlington Stores Inc.† . . . . . . . . . . . . . . . . . . 61,106

1,391 Ethan Allen Interiors Inc. . . . . . . . . . . . . . . . . 45,9591,761 Hanesbrands Inc. . . . . . . . . . . . . . . . . . . . . . 44,254

216 O’Reilly Automotive Inc.† . . . . . . . . . . . . . . . 58,5581,358 United Natural Foods Inc.† . . . . . . . . . . . . . . 63,5541,177 Urban Outfitters Inc.† . . . . . . . . . . . . . . . . . . 32,367

305,798

TOTAL CONSUMER DISCRETIONARY . . . . 752,427

INDUSTRIALS — 17.8%Capital Goods — 9.7%

421 Cummins Inc. . . . . . . . . . . . . . . . . . . . . . . . . 47,337363 EnerSys . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,588

1,580 Fortune Brands Home & Security Inc. . . . . . . . 91,5931,663 Hexcel Corp. . . . . . . . . . . . . . . . . . . . . . . . . . 69,247

953 MSC Industrial Direct Co. Inc., Cl. A . . . . . . . 67,2443,622 Quanta Services Inc.† . . . . . . . . . . . . . . . . . . . 83,741

708 Rexnord Corp.† . . . . . . . . . . . . . . . . . . . . . . . 13,898394,648

Commercial and Professional Services — 7.0%594 Bright Horizons Family Solutions Inc.† . . . . . . 39,388519 IHS Inc., Cl. A† . . . . . . . . . . . . . . . . . . . . . . . 60,002

1,915 Nielsen Holdings plc . . . . . . . . . . . . . . . . . . . 99,5223,225 Steelcase Inc., Cl. A . . . . . . . . . . . . . . . . . . . . 43,763

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398 Stericycle Inc.† . . . . . . . . . . . . . . . . . . . . . . . $ 41,440284,115

Transportation — 1.1%956 Expeditors International of Washington Inc. . . 46,882

TOTAL INDUSTRIALS . . . . . . . . . . . . . . . . . 725,645

FINANCIALS — 16.5%Banks — 4.3%

2,322 BankUnited Inc. . . . . . . . . . . . . . . . . . . . . . . 71,3324,455 Regions Financial Corp. . . . . . . . . . . . . . . . . . 37,912

163 SVB Financial Group† . . . . . . . . . . . . . . . . . . 15,5111,951 Zions Bancorporation . . . . . . . . . . . . . . . . . . 49,029

173,784

Diversified Financials — 3.2%290 Affiliated Managers Group Inc.† . . . . . . . . . . . 40,823903 Financial Engines Inc. . . . . . . . . . . . . . . . . . . 23,361

1,913 Invesco Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . 48,8582,030 WisdomTree Investments Inc. . . . . . . . . . . . . . 19,874

132,916

Insurance — 1.7%520 Chubb Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . . 67,969

Real Estate — 7.3%875 American Tower Corp. . . . . . . . . . . . . . . . . . 99,409

2,944 CBRE Group Inc., Cl. A† . . . . . . . . . . . . . . . . 77,9571,757 Corrections Corp. of America . . . . . . . . . . . . . 61,5301,447 Gaming and Leisure Properties Inc. . . . . . . . . 49,892

102 SL Green Realty Corp. . . . . . . . . . . . . . . . . . . 10,860299,648

TOTAL FINANCIALS . . . . . . . . . . . . . . . . . . 674,317

HEALTH CARE — 15.3%Health Care Equipment and Services — 7.2%

4,463 Castlight Health Inc., Cl. B† . . . . . . . . . . . . . . 17,673993 Diplomat Pharmacy Inc.† . . . . . . . . . . . . . . . . 34,755

1,517 Insulet Corp.† . . . . . . . . . . . . . . . . . . . . . . . . 45,874549 Laboratory Corp. of America Holdings† . . . . . 71,518558 Universal Health Services Inc., Cl. B . . . . . . . . 74,828

1,738 Zeltiq Aesthetics Inc.† . . . . . . . . . . . . . . . . . . 47,499292,147

Pharmaceuticals, Biotechnology, and Life Sciences — 8.1%461 Alexion Pharmaceuticals Inc.† . . . . . . . . . . . . 53,826

5,570 Exact Sciences Corp.† . . . . . . . . . . . . . . . . . . 68,233352 Illumina Inc.† . . . . . . . . . . . . . . . . . . . . . . . . 49,414717 Incyte Corp. Ltd.† . . . . . . . . . . . . . . . . . . . . . 57,346136 Mettler-Toledo International Inc.† . . . . . . . . . . 49,629624 Vertex Pharmaceuticals Inc.† . . . . . . . . . . . . . 53,676

332,124

TOTAL HEALTH CARE . . . . . . . . . . . . . . . . 624,271

ENERGY — 6.4%Energy — 6.4%

626 Cimarex Energy Co. . . . . . . . . . . . . . . . . . . . 74,694824 Gulfport Energy Corp.† . . . . . . . . . . . . . . . . . 25,758583 Pioneer Natural Resources Co. . . . . . . . . . . . . 88,155

1,112 Range Resources Corp. . . . . . . . . . . . . . . . . . 47,9724,184 Weatherford International plc† . . . . . . . . . . . . 23,221

TOTAL ENERGY. . . . . . . . . . . . . . . . . . . . . . 259,800

CONSUMER STAPLES — 2.7%Food and Beverage — 2.7%

1,268 Coca-Cola European Partners plc . . . . . . . . . . 45,255725 Mead Johnson Nutrition Co. . . . . . . . . . . . . . 65,794

TOTAL CONSUMER STAPLES . . . . . . . . . . . 111,049

TETON Westwood Mid-Cap Equity FundSchedule of Investments — June 30, 2016 (Unaudited)


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COMMON STOCKS (Continued)MATERIALS — 1.8%Materials — 1.8%

613 Ecolab Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . $ 72,702

TOTAL COMMON STOCKS . . . . . . . . . . . . . $ 3,983,891

PrincipalAmount

MarketValue

U.S. GOVERNMENT OBLIGATIONS — 2.4%$ 100,000 U.S. Treasury Bills,

0.41%††, 10/20/2016 . . . . . . . . . . . . . . . . . . $ 99,931

TOTAL INVESTMENTS — 100.0%(Cost $4,067,958) . . . . . . . . . . . . . . . . . . . . . $ 4,083,822

Aggregate tax cost . . . . . . . . . . . . . . . . . . . . . $ 4,075,077

Gross unrealized appreciation . . . . . . . . . . . . . $ 453,879Gross unrealized depreciation . . . . . . . . . . . . . (445,134)

Net unrealized appreciation/depreciation . . . . $ 8,745

† Non-income producing security.†† Represents annualized yield at date of purchase.

TETON Westwood Mid-Cap Equity FundSchedule of Investments (Continued) — June 30, 2016 (Unaudited)


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COMMON STOCKS — 100.0%Automotive — 1.7%

4,000 General Motors Co. . . . . . . . . . . . . . . . . . . . . . . $ 113,200

Communications Equipment — 3.1%7,000 Cisco Systems Inc. . . . . . . . . . . . . . . . . . . . . . . . 200,830

Computer Hardware — 5.1%3,500 Apple Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 334,600

Computer Software and Services — 4.8%300 Alphabet Inc., Cl. C†. . . . . . . . . . . . . . . . . . . . . . 207,630

2,000 Microsoft Corp. . . . . . . . . . . . . . . . . . . . . . . . . . 102,340

309,970

Consumer Staples — 2.1%3,000 Mondelez International Inc., Cl. A . . . . . . . . . . . . 136,530

Diversified Industrial — 7.0%7,000 General Electric Co. . . . . . . . . . . . . . . . . . . . . . . 220,3602,000 Honeywell International Inc. . . . . . . . . . . . . . . . . 232,640

453,000

Energy and Utilities — 0.6%2,500 CONSOL Energy Inc. . . . . . . . . . . . . . . . . . . . . . 40,225

Energy and Utilities: Integrated — 1.4%2,500 BP plc, ADR. . . . . . . . . . . . . . . . . . . . . . . . . . . . 88,775

Energy and Utilities: Oil — 3.0%500 Apache Corp.. . . . . . . . . . . . . . . . . . . . . . . . . . . 27,835

1,000 Chevron Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . 104,8301,500 ConocoPhillips . . . . . . . . . . . . . . . . . . . . . . . . . . 65,400

198,065

Energy and Utilities: Services — 2.1%2,000 Halliburton Co. . . . . . . . . . . . . . . . . . . . . . . . . . 90,5808,000 Weatherford International plc† . . . . . . . . . . . . . . 44,400

134,980

Entertainment — 3.7%800 The Walt Disney Co.. . . . . . . . . . . . . . . . . . . . . . 78,256

6,000 Twenty-First Century Fox Inc., Cl. A . . . . . . . . . . 162,300

240,556

Financial Services — 23.7%2,700 American Express Co.. . . . . . . . . . . . . . . . . . . . . 164,0525,000 American International Group Inc.. . . . . . . . . . . . 264,4504,000 Bank of America Corp. . . . . . . . . . . . . . . . . . . . . 53,0804,000 Citigroup Inc.. . . . . . . . . . . . . . . . . . . . . . . . . . . 169,5602,000 CME Group Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 194,8003,400 JPMorgan Chase & Co. . . . . . . . . . . . . . . . . . . . . 211,2763,464 Legg Mason Inc.. . . . . . . . . . . . . . . . . . . . . . . . . 102,1531,500 PayPal Holdings Inc.†. . . . . . . . . . . . . . . . . . . . . 54,7654,000 U.S. Bancorp . . . . . . . . . . . . . . . . . . . . . . . . . . . 161,3203,500 Wells Fargo & Co. . . . . . . . . . . . . . . . . . . . . . . . 165,655

1,541,111

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Food and Beverage — 2.2%2,000 General Mills Inc. . . . . . . . . . . . . . . . . . . . . . . . . $ 142,640

Health Care — 20.9%1,500 AbbVie Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92,865

200 Allergan plc† . . . . . . . . . . . . . . . . . . . . . . . . . . . 46,2181,915 Baxter International Inc. . . . . . . . . . . . . . . . . . . . 86,5961,083 Bristol-Myers Squibb Co.. . . . . . . . . . . . . . . . . . . 79,6551,000 Gilead Sciences Inc. . . . . . . . . . . . . . . . . . . . . . . 83,4201,000 Johnson & Johnson . . . . . . . . . . . . . . . . . . . . . . . 121,3001,500 Mallinckrodt plc† . . . . . . . . . . . . . . . . . . . . . . . . 91,1701,500 Medtronic plc. . . . . . . . . . . . . . . . . . . . . . . . . . . 130,1553,000 Merck & Co. Inc. . . . . . . . . . . . . . . . . . . . . . . . . 172,8307,764 Pfizer Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 273,3713,774 Zoetis Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 179,114

1,356,694

Machinery — 1.6%2,300 Xylem Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 102,695

Metals and Mining — 4.8%5,000 Barrick Gold Corp. . . . . . . . . . . . . . . . . . . . . . . . 106,7508,000 Freeport-McMoRan Inc.. . . . . . . . . . . . . . . . . . . . 89,1203,000 Newmont Mining Corp. . . . . . . . . . . . . . . . . . . . 117,360

313,230

Paper and Forest Products — 2.6%4,000 International Paper Co. . . . . . . . . . . . . . . . . . . . . 169,520

Retail — 3.3%7,000 Best Buy Co. Inc. . . . . . . . . . . . . . . . . . . . . . . . . 214,200

Specialty Chemicals — 4.8%2,000 E. I. du Pont de Nemours and Co. . . . . . . . . . . . . 129,6001,300 H.B. Fuller Co. . . . . . . . . . . . . . . . . . . . . . . . . . . 57,1872,500 The Dow Chemical Co. . . . . . . . . . . . . . . . . . . . . 124,275

311,062

Telecommunications — 1.5%1,800 Verizon Communications Inc. . . . . . . . . . . . . . . . 100,512

TOTAL COMMON STOCKS . . . . . . . . . . . . . . . 6,502,395

TOTAL INVESTMENTS — 100.0%(Cost $5,296,254). . . . . . . . . . . . . . . . . . . . . . . $6,502,395

Aggregate tax cost . . . . . . . . . . . . . . . . . . . . . . . $5,296,254

Gross unrealized appreciation . . . . . . . . . . . . . . . $1,507,755Gross unrealized depreciation . . . . . . . . . . . . . . . (301,614)

Net unrealized appreciation/depreciation. . . . . . . $1,206,141

† Non-income producing security.ADR American Depository Receipt

TETON Westwood Income FundSchedule of Investments — June 30, 2016 (Unaudited)


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8,800 General Dynamics Corp. . . . . . . . . . . . . . . . . . . $ 1,225,3125,400 Raytheon Co. . . . . . . . . . . . . . . . . . . . . . . . . . . 734,1308,800 The Boeing Co. . . . . . . . . . . . . . . . . . . . . . . . . . 1,142,856

12,400 United Technologies Corp. . . . . . . . . . . . . . . . . 1,271,620

4,373,918

Banking — 9.5%117,700 Bank of America Corp. . . . . . . . . . . . . . . . . . . . 1,561,879

34,884 JPMorgan Chase & Co. . . . . . . . . . . . . . . . . . . . 2,167,69245,300 Wells Fargo & Co. . . . . . . . . . . . . . . . . . . . . . . 2,144,049

5,873,620

Business Services — 3.8%45,900 Booz Allen Hamilton Holding Corp.. . . . . . . . . . 1,360,476

6,400 FedEx Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . . 971,392

2,331,868

Cable and Satellite — 3.7%35,100 Comcast Corp., Cl. A . . . . . . . . . . . . . . . . . . . . 2,288,169

Computer Hardware — 1.1%6,900 Apple Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 659,640

Computer Software and Services — 4.2%11,750 DST Systems Inc. . . . . . . . . . . . . . . . . . . . . . . . 1,368,05323,700 Microsoft Corp. . . . . . . . . . . . . . . . . . . . . . . . . 1,212,729

2,580,782

Consumer Products — 4.4%20,700 Colgate-Palmolive Co. . . . . . . . . . . . . . . . . . . . . 1,515,24019,500 VF Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,199,055

2,714,295

Diversified Industrial — 2.1%11,100 Honeywell International Inc. . . . . . . . . . . . . . . . 1,291,152

Electronics — 2.0%20,300 Texas Instruments Inc.. . . . . . . . . . . . . . . . . . . . 1,271,795

Energy and Energy Services — 3.6%14,600 EOG Resources Inc.. . . . . . . . . . . . . . . . . . . . . . 1,217,93212,578 Schlumberger Ltd. . . . . . . . . . . . . . . . . . . . . . . 994,668

2,212,600

Energy: Integrated — 4.1%10,200 NextEra Energy Inc. . . . . . . . . . . . . . . . . . . . . . 1,330,08019,000 WEC Energy Group Inc. . . . . . . . . . . . . . . . . . . 1,240,700

2,570,780

Energy: Natural Gas — 1.1%8,600 EQT Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 665,898

Energy: Oil — 4.7%12,000 Chevron Corp. . . . . . . . . . . . . . . . . . . . . . . . . . 1,257,96017,700 Exxon Mobil Corp. . . . . . . . . . . . . . . . . . . . . . . 1,659,198

2,917,158

Entertainment — 2.1%17,400 Time Warner Inc. . . . . . . . . . . . . . . . . . . . . . . . 1,279,596

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Financial Services — 9.9%27,200 American International Group Inc. . . . . . . . . . . . $ 1,438,608

9,800 Chubb Ltd.. . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,280,95836,900 Invesco Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . . . 942,42633,000 PayPal Holdings Inc.† . . . . . . . . . . . . . . . . . . . . 1,204,83018,492 The Allstate Corp.. . . . . . . . . . . . . . . . . . . . . . . 1,293,515

6,160,337

Food and Beverage — 7.2%14,100 General Mills Inc. . . . . . . . . . . . . . . . . . . . . . . . 1,005,61212,500 McCormick & Co. Inc., Non-Voting . . . . . . . . . . 1,333,37512,600 PepsiCo Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,334,844

5,200 The J.M. Smucker Co. . . . . . . . . . . . . . . . . . . . . 792,532

4,466,363

Health Care — 12.9%41,000 Abbott Laboratories . . . . . . . . . . . . . . . . . . . . . 1,611,71011,100 Aetna Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,355,643

7,600 Becton, Dickinson and Co. . . . . . . . . . . . . . . . . . 1,288,8849,700 Cigna Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,241,503

20,400 Johnson & Johnson . . . . . . . . . . . . . . . . . . . . . . 2,474,520

7,972,260

Retail — 6.2%13,000 CVS Health Corp. . . . . . . . . . . . . . . . . . . . . . . . 1,244,620

6,500 Simon Property Group Inc. . . . . . . . . . . . . . . . . 1,409,8509,200 The Home Depot Inc. . . . . . . . . . . . . . . . . . . . . 1,174,748

3,829,218

Specialty Chemicals — 2.0%4,300 The Sherwin-Williams Co. . . . . . . . . . . . . . . . . . 1,262,781

Telecommunications — 5.3%33,000 Amdocs Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . . 1,904,76024,900 Verizon Communications Inc. . . . . . . . . . . . . . . 1,390,416

3,295,176

Transportation — 2.0%14,500 Union Pacific Corp.. . . . . . . . . . . . . . . . . . . . . . 1,265,125


SHORT TERM INVESTMENT — 1.1%Mutual Fund — 1.1%

680,413 Dreyfus Cash Management, 0.300%*. . . . . . . . . . 680,413



Gross unrealized appreciation . . . . . . . . . . . . . . $11,889,793Gross unrealized depreciation . . . . . . . . . . . . . . (651,441)

Net unrealized appreciation/depreciation . . . . . . $11,238,352

† Non-income producing security.* Current yield.

TETON Westwood Equity FundSchedule of Investments — June 30, 2016 (Unaudited)


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6,300 General Dynamics Corp. . . . . . . . . . . . . . . . . . . $ 877,2123,100 Raytheon Co. . . . . . . . . . . . . . . . . . . . . . . . . . . 421,4456,200 The Boeing Co. . . . . . . . . . . . . . . . . . . . . . . . . . 805,1948,350 United Technologies Corp. . . . . . . . . . . . . . . . . 856,293

2,960,144

Banking — 6.7%87,400 Bank of America Corp. . . . . . . . . . . . . . . . . . . . 1,159,79824,096 JPMorgan Chase & Co. . . . . . . . . . . . . . . . . . . . 1,497,32532,600 Wells Fargo & Co. . . . . . . . . . . . . . . . . . . . . . . 1,542,958

4,200,081

Business Services — 2.5%31,700 Booz Allen Hamilton Holding Corp.. . . . . . . . . . 939,588

4,175 FedEx Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . . 633,681

1,573,269

Cable and Satellite — 2.6%25,300 Comcast Corp., Cl. A . . . . . . . . . . . . . . . . . . . . 1,649,307

Computer Hardware — 0.7%4,950 Apple Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 473,220

Computer Software and Services — 2.9%8,250 DST Systems Inc. . . . . . . . . . . . . . . . . . . . . . . . 960,547

17,400 Microsoft Corp. . . . . . . . . . . . . . . . . . . . . . . . . 890,358

1,850,905

Consumer Products — 3.0%14,200 Colgate-Palmolive Co. . . . . . . . . . . . . . . . . . . . . 1,039,44013,500 VF Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 830,115

1,869,555

Diversified Industrial — 1.3%7,325 Honeywell International Inc. . . . . . . . . . . . . . . . 852,044

Electronics — 1.4%13,700 Texas Instruments Inc.. . . . . . . . . . . . . . . . . . . . 858,305

Energy and Energy Services — 2.5%10,000 EOG Resources Inc.. . . . . . . . . . . . . . . . . . . . . . 834,200

9,200 Schlumberger Ltd. . . . . . . . . . . . . . . . . . . . . . . 727,536

1,561,736

Energy: Integrated — 2.7%6,575 NextEra Energy Inc. . . . . . . . . . . . . . . . . . . . . . 857,380

13,075 WEC Energy Group Inc. . . . . . . . . . . . . . . . . . . 853,798

1,711,178

Energy: Natural Gas — 0.7%5,400 EQT Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 418,122

Energy: Oil — 3.7%10,000 Chevron Corp. . . . . . . . . . . . . . . . . . . . . . . . . . 1,048,30013,400 Exxon Mobil Corp. . . . . . . . . . . . . . . . . . . . . . . 1,256,116

2,304,416

Entertainment — 1.4%12,200 Time Warner Inc. . . . . . . . . . . . . . . . . . . . . . . . 897,188

Financial Services — 7.2%19,800 American International Group Inc. . . . . . . . . . . . 1,047,222

8,400 Chubb Ltd.. . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,097,96423,700 Invesco Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . . . 605,29823,800 PayPal Holdings Inc.† . . . . . . . . . . . . . . . . . . . . 868,93813,223 The Allstate Corp.. . . . . . . . . . . . . . . . . . . . . . . 924,949

4,544,371

Food and Beverage — 4.9%10,200 General Mills Inc. . . . . . . . . . . . . . . . . . . . . . . . 727,464

9,000 McCormick & Co. Inc., Non-Voting . . . . . . . . . . 960,030

SharesMarketValue

9,000 PepsiCo Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 953,4602,800 The J.M. Smucker Co. . . . . . . . . . . . . . . . . . . . . 426,748

3,067,702

Health Care — 8.5%29,600 Abbott Laboratories . . . . . . . . . . . . . . . . . . . . . 1,163,576

7,900 Aetna Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 964,8274,975 Becton, Dickinson and Co. . . . . . . . . . . . . . . . . . 843,7107,000 Cigna Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . . 895,930

12,300 Johnson & Johnson . . . . . . . . . . . . . . . . . . . . . . 1,491,990

5,360,033

Retail — 4.3%9,250 CVS Health Corp. . . . . . . . . . . . . . . . . . . . . . . . 885,5954,500 Simon Property Group Inc. . . . . . . . . . . . . . . . . 976,0506,575 The Home Depot Inc. . . . . . . . . . . . . . . . . . . . . 839,562

2,701,207

Specialty Chemicals — 1.3%2,875 The Sherwin-Williams Co. . . . . . . . . . . . . . . . . . 844,301

Telecommunications — 3.5%23,000 Amdocs Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . . 1,327,56015,200 Verizon Communications Inc. . . . . . . . . . . . . . . 848,768

2,176,328

Transportation — 1.4%10,400 Union Pacific Corp.. . . . . . . . . . . . . . . . . . . . . . 907,400


PrincipalAmount

CORPORATE BONDS — 21.0%Banking — 4.6%

$ 750,000 Barclays Bank plc, Ser. 1,5.000%, 09/22/16. . . . . . . . . . . . . . . . . . . . . . 756,381

750,000 JPMorgan Chase & Co.,6.300%, 04/23/19. . . . . . . . . . . . . . . . . . . . . . 843,415

600,000 The Goldman SachsGroup Inc., MTN,3.850%, 07/08/24. . . . . . . . . . . . . . . . . . . . . . 637,255

600,000 Wells Fargo & Co., MTN,3.500%, 03/08/22. . . . . . . . . . . . . . . . . . . . . . 644,090

2,881,141

Computer Hardware — 1.1%650,000 International Business Machines Corp.,

2.900%, 11/01/21. . . . . . . . . . . . . . . . . . . . . . 692,671

Consumer Products — 2.1%500,000 Colgate-Palmolive Co., MTN,

2.100%, 05/01/23. . . . . . . . . . . . . . . . . . . . . . 509,547800,000 Costco Wholesale Corp.,

1.700%, 12/15/19. . . . . . . . . . . . . . . . . . . . . . 819,657

1,329,204

Diversified Industrial — 1.3%800,000 John Deere Capital Corp., MTN,

1.950%, 12/13/18. . . . . . . . . . . . . . . . . . . . . . 817,030

Electronics — 2.5%1,000,000 Intel Corp.,

3.300%, 10/01/21. . . . . . . . . . . . . . . . . . . . . . 1,084,912

TETON Westwood Balanced FundSchedule of Investments — June 30, 2016 (Unaudited)


15

PrincipalAmount

MarketValue

CORPORATE BONDS (Continued)Electronics (Continued)

$ 500,000 Texas Instruments Inc.,1.650%, 08/03/19. . . . . . . . . . . . . . . . . . . . . . $ 506,809

1,591,721

Energy: Oil — 0.9%500,000 XTO Energy Inc.,

6.500%, 12/15/18. . . . . . . . . . . . . . . . . . . . . . 562,525

Financial Services — 3.0%600,000 Capital One Financial Corp.,

3.750%, 04/24/24. . . . . . . . . . . . . . . . . . . . . . 627,020600,000 Morgan Stanley, GMTN,

3.700%, 10/23/24. . . . . . . . . . . . . . . . . . . . . . 628,946600,000 The PNC Financial Services Group Inc., STEP,

2.854%, 11/09/22. . . . . . . . . . . . . . . . . . . . . . 623,609

1,879,575

Health Care — 3.9%500,000 Abbott Laboratories,

2.550%, 03/15/22. . . . . . . . . . . . . . . . . . . . . . 511,811600,000 Aetna Inc.,

3.500%, 11/15/24. . . . . . . . . . . . . . . . . . . . . . 634,123600,000 Amgen Inc.,

3.450%, 10/01/20. . . . . . . . . . . . . . . . . . . . . . 642,274600,000 CVS Health Corp.,

3.375%, 08/12/24. . . . . . . . . . . . . . . . . . . . . . 638,792

2,427,000

Transportation — 1.6%1,000,000 Burlington Northern Santa Fe LLC,

5.650%, 05/01/17. . . . . . . . . . . . . . . . . . . . . . 1,038,802

TOTAL CORPORATE BONDS . . . . . . . . . . . . . 13,219,669

U.S. GOVERNMENT AGENCY OBLIGATIONS — 4.7%Federal Home Loan Mortgage Corp. — 2.8%

600,000 1.750%, 05/30/19. . . . . . . . . . . . . . . . . . . . . . 616,7611,100,000 2.375%, 01/13/22. . . . . . . . . . . . . . . . . . . . . . 1,165,976

1,782,737

Federal National Mortgage Association — 1.9%1,100,000 2.625%, 09/06/24. . . . . . . . . . . . . . . . . . . . . . 1,184,798

TOTAL U.S. GOVERNMENT AGENCYOBLIGATIONS . . . . . . . . . . . . . . . . . . . . . . 2,967,535

PrincipalAmount

MarketValue

U.S. GOVERNMENT OBLIGATIONS — 5.5%U.S. Treasury Inflation Indexed Notes — 1.7%

$1,002,960 2.125%, 01/15/19. . . . . . . . . . . . . . . . . . . . . . $ 1,076,452

U.S. Treasury Notes — 3.8%750,000 3.375%, 11/15/19. . . . . . . . . . . . . . . . . . . . . . 815,156

1,000,000 2.250%, 11/15/24. . . . . . . . . . . . . . . . . . . . . . 1,066,914500,000 2.000%, 02/15/25. . . . . . . . . . . . . . . . . . . . . . 523,233

2,405,303

TOTAL U.S. GOVERNMENT OBLIGATIONS. . 3,481,755

SharesSHORT TERM INVESTMENT — 0.9%Mutual Fund — 0.9%

561,302 Dreyfus Cash Management, 0.300%*. . . . . . . . . . 561,302



Gross unrealized appreciation . . . . . . . . . . . . . . $ 9,845,743Gross unrealized depreciation . . . . . . . . . . . . . . (455,523)

Net unrealized appreciation/depreciation . . . . . . $ 9,390,220

† Non-income producing security.* Current yield.GMTN Global Medium Term NoteMTN Medium Term NoteSTEP Step coupon security. The rate disclosed is that in effect at

June 30, 2016.

TETON Westwood Balanced FundSchedule of Investments (Continued) — June 30, 2016 (Unaudited)


16

PrincipalAmount

MarketValue

CORPORATE BONDS — 55.5%Aerospace — 3.3%

$ 200,000 The Boeing Co.,6.000%, 03/15/19. . . . . . . . . . . . . . . . . . . . . . $ 225,930

400,000 United Technologies Corp.,3.100%, 06/01/22. . . . . . . . . . . . . . . . . . . . . . 426,720

652,650

Airlines — 1.5%300,000 Southwest Airlines Co.,

5.750%, 12/15/16. . . . . . . . . . . . . . . . . . . . . . 305,841

Banking — 7.3%400,000 Bank of America Corp., MTN,

3.300%, 01/11/23. . . . . . . . . . . . . . . . . . . . . . 412,260200,000 JPMorgan Chase & Co.,

6.300%, 04/23/19. . . . . . . . . . . . . . . . . . . . . . 224,911400,000 The Bank of New York Mellon Corp., Ser. G,

2.200%, 05/15/19. . . . . . . . . . . . . . . . . . . . . . 409,393400,000 Wells Fargo & Co.,

2.125%, 04/22/19. . . . . . . . . . . . . . . . . . . . . . 408,778

1,455,342

Computer Hardware — 3.4%300,000 Apple Inc.,

0.887%, 05/03/18(a) . . . . . . . . . . . . . . . . . . . . 300,539360,000 International Business Machines Corp.,

2.900%, 11/01/21. . . . . . . . . . . . . . . . . . . . . . 383,633

684,172

Computer Software and Services — 2.2%400,000 Oracle Corp.,

3.625%, 07/15/23. . . . . . . . . . . . . . . . . . . . . . 438,595

Consumer Products — 4.1%400,000 Costco Wholesale Corp.,

1.700%, 12/15/19. . . . . . . . . . . . . . . . . . . . . . 409,828400,000 CVS Health Corp.,

1.900%, 07/20/18. . . . . . . . . . . . . . . . . . . . . . 406,255

816,083

Diversified Industrial — 1.5%300,000 John Deere Capital Corp., MTN,

1.950%, 12/13/18. . . . . . . . . . . . . . . . . . . . . . 306,386

Electronics — 1.5%300,000 Texas Instruments Inc.,

1.650%, 08/03/19. . . . . . . . . . . . . . . . . . . . . . 304,086

Financial Services — 11.8%400,000 Capital One Financial Corp.,

3.750%, 04/24/24. . . . . . . . . . . . . . . . . . . . . . 418,013400,000 Citigroup Inc.,

2.500%, 07/29/19. . . . . . . . . . . . . . . . . . . . . . 407,752260,000 International Bank for Reconstruction &

Development,8.625%, 10/15/16. . . . . . . . . . . . . . . . . . . . . . 265,308

400,000 Morgan Stanley, GMTN,3.700%, 10/23/24. . . . . . . . . . . . . . . . . . . . . . 419,298

400,000 PNC Funding Corp.,3.300%, 03/08/22. . . . . . . . . . . . . . . . . . . . . . 425,728

400,000 The Goldman Sachs Group Inc., MTN,3.850%, 07/08/24. . . . . . . . . . . . . . . . . . . . . . 424,836

2,360,935

Food and Beverage — 2.9%275,000 Bottling Group LLC,

PrincipalAmount

MarketValue

5.125%, 01/15/19. . . . . . . . . . . . . . . . . . . . . . $ 301,904250,000 Mondelez International Inc.,

5.375%, 02/10/20. . . . . . . . . . . . . . . . . . . . . . 282,854

584,758

Health Care — 9.3%500,000 Abbott Laboratories,

2.550%, 03/15/22. . . . . . . . . . . . . . . . . . . . . . 511,811400,000 Aetna Inc.,

3.500%, 11/15/24. . . . . . . . . . . . . . . . . . . . . . 422,749400,000 Amgen Inc.,

3.450%, 10/01/20. . . . . . . . . . . . . . . . . . . . . . 428,182500,000 GlaxoSmithKline Capital plc,

1.500%, 05/08/17. . . . . . . . . . . . . . . . . . . . . . 502,600

1,865,342

Semiconductors — 1.9%350,000 Intel Corp.,

3.300%, 10/01/21. . . . . . . . . . . . . . . . . . . . . . 379,719

Telecommunications — 4.8%500,000 AT&T Inc.,

3.900%, 03/11/24. . . . . . . . . . . . . . . . . . . . . . 530,109400,000 Verizon Communications Inc.,

3.000%, 11/01/21. . . . . . . . . . . . . . . . . . . . . . 420,652

950,761

TOTAL CORPORATE BONDS . . . . . . . . . . . . . 11,104,670

U.S. GOVERNMENT AGENCY OBLIGATIONS — 11.7%Federal Home Loan Mortgage Corp. — 3.2%

600,000 2.375%, 01/13/22. . . . . . . . . . . . . . . . . . . . . . 635,987

Federal National Mortgage Association — 8.4%600,000 2.625%, 09/06/24. . . . . . . . . . . . . . . . . . . . . . 646,253

1,000,000 2.125%, 04/24/26. . . . . . . . . . . . . . . . . . . . . . 1,028,417

1,674,670

Government National Mortgage Association — 0.1%5,762 6.000%, 12/15/33. . . . . . . . . . . . . . . . . . . . . . 6,761

18,380 5.500%, 01/15/34. . . . . . . . . . . . . . . . . . . . . . 21,150

27,911

TOTAL U.S. GOVERNMENT AGENCYOBLIGATIONS . . . . . . . . . . . . . . . . . . . . . . 2,338,568

U.S. GOVERNMENT OBLIGATIONS — 23.4%U.S. Treasury Bonds — 4.3%

600,000 2.500%, 02/15/45. . . . . . . . . . . . . . . . . . . . . . 624,879150,000 5.375%, 02/15/31. . . . . . . . . . . . . . . . . . . . . . 222,568

847,447

U.S. Treasury Notes — 19.1%600,000 2.000%, 02/15/22. . . . . . . . . . . . . . . . . . . . . . 628,617800,000 2.250%, 11/15/24. . . . . . . . . . . . . . . . . . . . . . 853,531700,000 2.000%, 02/15/25. . . . . . . . . . . . . . . . . . . . . . 732,526

1,000,000 1.625%, 02/15/26. . . . . . . . . . . . . . . . . . . . . . 1,011,289600,000 0.438%, 10/31/17(a) . . . . . . . . . . . . . . . . . . . . 600,520

3,826,483

TOTAL U.S. GOVERNMENT OBLIGATIONS. . 4,673,930

TETON Westwood Intermediate Bond FundSchedule of Investments — June 30, 2016 (Unaudited)


17

SharesMarketValue

SHORT TERM INVESTMENT — 9.4%Mutual Fund — 9.4%

1,879,293 Dreyfus Cash Management, 0.300%*. . . . . . . . . . $ 1,879,293


MarketValue


Gross unrealized appreciation . . . . . . . . . . . . . . $ 732,835Gross unrealized depreciation . . . . . . . . . . . . . . (466)

Net unrealized appreciation/depreciation . . . . . . $ 732,369

(a) Variable rate security. Rate shown is the effective rate as ofJune 30, 2016.

* Current yield.GMTN Global Medium Term NoteMTN Medium Term Note

TETON Westwood Intermediate Bond FundSchedule of Investments (Continued) — June 30, 2016 (Unaudited)


18

The Trust’s schedules of investments 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. Thefollowing is a summary of significant accounting policies followed by the Funds in the preparation of its schedule ofinvestments.

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’sofficial closing price as of the close of business on the day the securities are being valued. If there were no sales that day, thesecurity 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 securityis valued at the most recently available price or, if the Board of Trustees (the “Board”) so determines, by such other methodas the Board shall determine in good faith to reflect its fair market value. Portfolio securities traded on more than one nationalsecurities exchange or market are valued according to the broadest and most representative market, as determined by TetonAdvisors, Inc., (the “Adviser”).

Portfolio securities primarily traded on a foreign market are generally valued at the preceding closing values of such securitieson the relevant market, but may be fair valued pursuant to procedures established by the Board if market conditions changesignificantly 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 fairvalued as determined by the Board. Debt instruments having a maturity greater than sixty days for which market quotationsare readily available are valued at the average of the latest bid and asked prices. If there were no asked prices quoted onsuch day, the security is valued using the closing bid price. U.S. government obligations with maturities greater than sixtydays 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. Fairvaluation methodologies and procedures may include, but are not limited to: analysis and review of available financial andnon-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 atthe 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 Funds’ investments are summarized into three levelsas 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, prepaymentspeeds, credit risk, etc.); and

• Level 3 — significant unobservable inputs (including a 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 andin the aggregate that is significant to the fair value measurement. The inputs or methodology used for valuing securities arenot necessarily an indication of the risk associated with investing in those securities. The summary of the Funds’ investmentsin securities by inputs used to value the Funds’ investments as of June 30, 2016 is as follows:

TETON Westwood Funds (the “Trust”)Notes to Schedule of Investments (Unaudited)

19

Valuation InputsLevel 1

Quoted PricesLevel 2 Other Significant

Observable InputsLevel 3 Significant

Unobservable InputsTotal Market Value

at 6/30/16MIGHTY MITESSM FUNDINVESTMENTS IN SECURITIES:ASSETS (Market Value):Common Stocks:

Airlines $ 2,264,800 — $ 101,250 $ 2,366,050Automotive: Parts and Accessories 40,319,644 $ 2,685 — 40,322,329Broadcasting 14,667,551 28,560 — 14,696,111Business Services 35,059,676 99,970 — 35,159,646Communications Equipment 3,571,022 17,002 — 3,588,024Consumer Products 26,440,495 28 31 26,440,554Consumer Services 6,574,797 85,250 — 6,660,047Diversified Industrial 96,256,947 4,257,240 276,745 100,790,932Educational Services 203,400 — 476 203,876Electronics 39,422,981 — 12,754 39,435,735Energy and Utilities: Natural Gas 7,725,455 1,603,089 — 9,328,544Environmental Control 5,291,835 189 — 5,292,024Financial Services 55,424,919 536,400 1,068,184 57,029,503Food and Beverage 44,083,704 266,272 — 44,349,976Health Care 83,061,178 209,230 28,640 83,299,048Real Estate 22,399,071 261,480 255,480 22,916,031Specialty Chemicals 28,307,920 3,474 — 28,311,394Telecommunications 40,970,586 747,278 — 41,717,864Transportation 2,576,765 — 465 2,577,230Other Industries(a) 353,802,029 2,220,800 — 356,022,829

Total Common Stocks 908,424,775 10,338,947 1,744,025 920,507,747Preferred Stocks(a) 1,798,801 — — 1,798,801Convertible Preferred Stocks(a) — 2,720,453 313,227 3,033,680Rights(a) 96,000 — 262,000 358,000Warrants(a) 850 11,031 2 11,883Corporate Bonds(a) — 36,613 — 36,613U.S. Government Obligations — 75,920,764 — 75,920,764TOTAL INVESTMENTS IN SECURITIES – ASSETS $910,320,426 $ 89,027,808 $ 2,319,254 $1,001,667,488

SMALLCAP EQUITY FUNDINVESTMENTS IN SECURITIES:ASSETS (Market Value):Common Stocks(a) $ 21,147,372 — — $ 21,147,372U.S. Government Obligations — $ 249,908 — 249,908TOTAL INVESTMENTS IN SECURITIES – ASSETS $ 21,147,372 $ 249,908 — $ 21,397,280

MID-CAP EQUITY FUNDINVESTMENTS IN SECURITIES:ASSETS (Market Value):Common Stocks(a) $ 3,983,891 — — $ 3,983,891U.S. Government Obligations — $ 99,931 — 99,931TOTAL INVESTMENTS IN SECURITIES – ASSETS $ 3,983,891 $ 99,931 — $ 4,083,822

INCOME FUNDINVESTMENTS IN SECURITIES:ASSETS (Market Value):

Common Stocks(a) $ 6,502,395 — — $ 6,502,395TOTAL INVESTMENTS IN SECURITIES – ASSETS $ 6,502,395 — — $ 6,502,395

EQUITY FUNDINVESTMENTS IN SECURITIES:ASSETS (Market Value):Common Stocks(a) $ 61,282,531 — — $ 61,282,531Short Term Investments 680,413 — — 680,413TOTAL INVESTMENTS IN SECURITIES – ASSETS $ 61,962,944 — — $ 61,962,944

TETON Westwood Funds (the “Trust”)Notes to Schedule of Investments (Unaudited) (Continued)

20

Valuation InputsLevel 1

Quoted PricesLevel 2 Other Significant

Observable InputsLevel 3 Significant

Unobservable InputsTotal Market Value

at 6/30/16BALANCED FUNDINVESTMENTS IN SECURITIES:ASSETS (Market Value):Common Stocks(a) $ 42,780,812 — — $ 42,780,812Corporate Bonds(a) — $ 13,219,669 — 13,219,669U.S. Government Agency Obligations — 2,967,535 — 2,967,535U.S. Government Obligations — 3,481,755 — 3,481,755Short Term Investments 561,302 — — 561,302TOTAL INVESTMENTS IN SECURITIES – ASSETS $ 43,342,114 $ 19,668,959 — $ 63,011,073

INTERMEDIATE BOND FUNDINVESTMENTS IN SECURITIES:ASSETS (Market Value):Corporate Bonds(a) — $ 11,104,670 — $ 11,104,670U.S. Government Agency Obligations — 2,338,568 — 2,338,568U.S. Government Obligations — 4,673,930 — 4,673,930Short Term Investments $ 1,879,293 — — 1,879,293TOTAL INVESTMENTS IN SECURITIES – ASSETS $ 1,879,293 $ 18,117,168 — $ 19,996,461

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

During the nine month period ended June 30, 2016, the Mighty Mites Fund had transfers of $7,978,263 or 0.73% and $8,095,005or 0.74% of net assets as of September 30, 2015, from Level 1 to Level 2 and from Level 2 to Level 1, respectively. Transfersfrom Level 1 to Level 2 and from Level 2 to Level 1 are due to a decline or an increase in market activity, e.g., frequency oftrades, respectively, which resulted in a lack of or increase in available market inputs to determine price.

The SmallCap Equity Fund, Mid-Cap Equity Fund, Income Fund, Equity Fund, Balanced Fund, and Intermediate Bond Funddid not have transfers among Level 1, Level 2, and Level 3 during the nine months ended June 30, 2016. The Funds’ policyis to recognize transfers among Levels as of the beginning of the reporting period.

There were no Level 3 investments held at June 30, 2016 or September 30, 2015 for SmallCap Equity Fund, Mid-Cap EquityFund, Income Fund, Equity Fund, Balanced Fund, and Intermediate Bond Fund.

Additional Information to Evaluate Qualitative Information.

General. The Funds use recognized industry pricing services – approved by the Board and unaffiliated with the Adviser –to value most of their securities, and uses broker quotes provided by market makers of securities not valued by these andother recognized pricing sources. Several different pricing feeds are received to value domestic equity securities, internationalequity securities, preferred equity securities, and fixed income securities. The data within these feeds is ultimately sourcedfrom major stock exchanges and trading systems where these securities trade. The prices supplied by external sources arechecked by obtaining quotations or actual transaction prices from market participants. If a price obtained from the pricingsource is deemed unreliable, prices will be sought from another pricing service or from a broker/dealer that trades thatsecurity or similar securities.

Fair Valuation. Fair valued securities may be common and preferred equities, warrants, options, rights, and fixed incomeobligations. Where appropriate, Level 3 securities are those for which market quotations are not available, such as securitiesnot traded for several days, or for which current bids are not available, or which are restricted as to transfer. Among thefactors to be considered to fair value a security are recent prices of comparable securities that are publicly traded, reliableprices of securities not publicly traded, the use of valuation models, current analyst reports, valuing the income or cash flowof the issuer, or cost if the preceding factors do not apply. A significant change in unobservable inputs could result in a loweror higher value in such Level 3 securities. The circumstances of Level 3 securities are frequently monitored to determine iffair valuation measures continue to apply.

The Adviser reports quarterly to the Board the results of the application of fair valuation policies and procedures. These mayinclude back testing the prices realized in subsequent trades of these fair valued securities to fair values previously recognized.

Foreign Currency Translations. The books and records of the Funds 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 investmentsecurities, 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,


21

if any, have been included in unrealized appreciation/depreciation on investments and foreign currency translations. Netrealized foreign currency gains and losses resulting from changes in exchange rates include foreign currency gains and lossesbetween trade date and settlement date on investment securities transactions, foreign currency transactions, and the differencebetween the amounts of interest and dividends recorded on the books of the Funds and the amounts actually received. Theportion of foreign currency gains and losses related to fluctuation in exchange rates between the initial purchase trade dateand subsequent sale trade date is included in realized gain/(loss) on investments.

Foreign Securities. The Funds may directly purchase securities of foreign issuers. Investing in securities of foreign issuersinvolves special risks not typically associated with investing in securities of U.S. issuers. The risks include possible revaluationof currencies, the inability to repatriate funds, less complete financial information about companies, and possible future adversepolitical and economic developments. Moreover, securities of many foreign issuers and their markets may be less liquid andtheir prices more volatile than securities of comparable U.S. issuers.

Foreign Taxes. The Funds may be subject to foreign taxes on income, gains on investments, or currency repatriation, a portionof which may be recoverable. The Funds will accrue such taxes and recoveries as applicable, based upon its current interpretationof tax rules and regulations that exist in the markets in which it invests.

Restricted Securities. Each Fund may invest up to 10% (except for the Mighty Mites Fund, SmallCap Equity Fund, and IncomeFund which may invest up to 15%) of its net assets in securities for which the markets are restricted. Restricted securitiesinclude securities whose disposition is subject to substantial legal or contractual restrictions. The sale of restricted securitiesoften requires more time and results in higher brokerage charges or dealer discounts and other selling expenses than doesthe sale of securities eligible for trading on national securities exchanges or in the over-the-counter markets. Restricted securitiesmay sell at a price lower than similar securities that are not subject to restrictions on resale. Securities freely saleable amongqualified institutional investors under special rules adopted by the SEC may be treated as liquid if they satisfy liquiditystandards established by the Board. The continued liquidity of such securities is not as well assured as that of publicly tradedsecurities, and accordingly the Board will monitor their liquidity. At June 30, 2016, the Funds did not hold any restrictedsecurities.

Tax Information. The Funds intend to continue to qualify as a regulated investment company under Subchapter M of theInternal Revenue Code of 1986, as amended.


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TETON Westwood Mighty MitesSM FundTETON Westwood SmallCap Equity FundTETON Westwood Mid-Cap Equity Fund

TETON Westwood Income FundTETON Westwood Equity Fund

TETON Westwood Balanced FundTETON Westwood Intermediate Bond Fund

One Corporate CenterRye, New York 10580-1422

General and Account Information:800-WESTWOOD [800-937-8966]

fax: 914-921-5118website: www.tetonadv.come-mail: [email protected]

Board of TrusteesANTHONY J. COLAVITAPresident,Anthony J. Colavita, P.C.

JAMES P. CONNFormer Chief Investment Officer,Financial Security Assurance Holdings Ltd.

WERNER J. ROEDER, MDFormer Medical Director,Lawrence Hospital

SALVATORE J. ZIZZAChairman,Zizza & Associates Corp.

Officers

BRUCE N. ALPERTPresident

ANDREA R. MANGOSecretary

RICHARD J. WALZChief Compliance Officer

AGNES MULLADYTreasurer

Investment AdviserTeton Advisors, Inc.

CustodianThe Bank of New York Mellon

DistributorG.distributors, LLC

Legal CounselPaul Hastings LLP

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

This report is submitted for the information of the shareholders of the TETON Westwood Funds. It is not authorized fordistribution to prospective investors unless preceded or accompanied by an effective prospectus.

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Documents

TETON WESTWOOD FUNDS - GAMCO Investors · 2016-09-08 · TETON WESTWOOD FUNDS Mighty Mites SM Fund SmallCap Equity Fund Income Fund Equity Fund Balanced Fund Intermediate Bond Fund