Statement of Additional Info - Gabelli

GENERAL INFORMATION AND HISTORY
The Trust is a diversified, open-end management investment company organized as a Massachusetts business trust on
June 12, 1986. On September 7, 2012, the Trust’s Board of Trustees (collectively, the “Board” and individually, each a
“Trustee”) approved a change in the name of the Trust from “The GAMCO Westwood Funds” to “The TETON
Westwood Funds” and the names of each of the individual funds as follows: TETON Westwood Mighty Mites Fund,
TETON Westwood SmallCap Equity Fund, TETON Westwood Income Fund, TETON Westwood Equity Fund, TETON
Westwood Balanced Fund, and TETON Westwood Intermediate Bond Fund, effective on October 1, 2012. The TETON
Westwood Mid-Cap Equity Fund commenced operations on May 31, 2013. The Trust operates a multi-class structure
pursuant to Rule 18f-3 of the Investment Company Act of 1940, as amended (the "1940 Act").
INVESTMENT OBJECTIVES AND MANAGEMENT POLICIES
The Prospectuses discuss the investment objectives of each Fund and the principal strategies to be employed to achieve
those objectives. This section contains supplemental information concerning certain types of securities and other
instruments in which each Fund may invest, additional strategies that each Fund may utilize, and certain risks associated
with such investments and strategies.
The Funds, except for the Mighty Mites Fund and Mid-Cap Equity Fund, will not engage in the short-selling of securities.
The Funds, except for the Mighty Mites Fund, will not engage in arbitrage. In addition, as a fundamental policy, the
Funds will not issue senior securities (collateral arrangements with regard to initial and variation margin on futures and
options transactions shall not be considered the issuance of a senior security), except as set forth under "Investment
Restrictions" below.
Convertible Securities (All Funds). A convertible security is a fixed-income security, such as a bond or preferred
stock, which may be converted at a stated price within a specified period of time into a specified number of shares of
common stock of the same or a different issuer. Convertible securities are senior to common stock in a corporation's
capital structure, but usually are subordinated to non-convertible debt securities. While providing a fixed stream of
income (generally higher in yield than the income derivable from a common stock but lower than that afforded by a
similar non-convertible debt security), a convertible security also affords an investor the opportunity, through its
conversion feature, to participate in the capital appreciation of the common stock into which it is convertible.
In general, the market value of a convertible security is the higher of its "investment value" (i.e., its value as a fixedincome
security) or its "conversion value" (i.e., the value of the underlying shares of common stock if the security is
converted). As a fixed-income security, the market value of a convertible security generally increases when interest rates
decline and generally decreases when interest rates rise. However, the price of a convertible security also is influenced
by the market value of the security's underlying common stock.
U.S. Government Securities (All Funds). Securities issued or guaranteed by the U.S. government or its agencies or
instrumentalities include U.S. Treasury securities, which differ only in their interest rates, maturities, and dates of
issuance. Treasury Bills have initial maturities of one year or less; Treasury Notes have initial maturities of one to ten
years; and Treasury Bonds generally have initial maturities of greater than ten years. Some obligations issued or
guaranteed by U.S. government agencies and instrumentalities, for example, Government National Mortgage Association
("GNMA") pass-through certificates, are supported by the full faith and credit of the U.S. Treasury; others, such as those
of the Federal Home Loan Banks, by the right of the issuer to borrow from the U.S. Treasury; others, such as those issued
by the Federal National Mortgage Association ("FNMA"), by discretionary authority of the U.S. government to purchase
certain obligations of the agency or instrumentality; and others, such as those issued by the Student Loan Marketing
Association, only by credit of the agency or instrumentality. While the U.S. government provides financial support to
such U.S. government-sponsored agencies or instrumentalities, no assurance can be given that it will always do so since it
is not so obligated by law. A Fund will invest in such securities only when it is satisfied that the credit risk with respect
to the issuer is minimal.
Recent Events Regarding FNMA and FHLMC Securities. On September 6, 2008, the Federal Housing Finance Agency
(“FHFA”) placed FNMA (“FNMA”) and FHLMC (“FHLMC”) into conservatorship. As the conservator, FHFA
succeeded to all rights, titles, powers and privileges of FNMA and FHLMC and of any stockholder, officer or director of
FNMA and FHLMC with respect to FNMA and FHLMC and the assets of FNMA and FHLMC. FHFA selected a new
chief executive officer and chairman of the board of directors for each of FNMA and FHLMC. On September 7, 2008,
the U.S. Treasury announced three additional steps taken by it in connection with the conservatorship. First, the U.S.
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