Statement of Additional Info - Gabelli

Out of these fees for the fiscal year ended September 30, 2013, the Adviser paid to the Sub-Adviser aggregate fees of
$376,630.
The Advisory Agreements and the Sub-Advisory Agreement were most recently approved by the Trustees, including a
majority of the Independent Trustees who are not parties to such Agreements, on August 21, 2013 and on February 27,
2013 for the Mid-Cap Equity Fund. At that meeting, the Board reviewed the written and oral presentations provided by
the Adviser and Sub-Adviser in connection with the Trustees’ consideration of the Advisory Agreements and the Sub-
Advisory Agreement. A discussion regarding the basis of the Board’s approval of the Advisory Agreements and the Sub-
Advisory Agreement is available in the Trust’s annual report to shareholders for the fiscal year ended September 30,
2013.
Under the Advisory Agreements, the Adviser also (i) provides the Funds with the services of persons competent to
perform such supervisory, administrative, and clerical functions as are necessary to provide effective administration of
the Funds, including maintaining certain books and records and overseeing the activities of the Funds' Custodian and
Transfer Agent; (ii) oversees the performance of administrative and professional services to the Funds by others,
including the Funds' Sub-Administrator, Custodian, Transfer Agent, and Dividend Disbursing Agent, as well as
accounting, auditing, and other services performed for the Funds; (iii) provides the Funds with adequate office space and
facilities; (iv) supervises the preparation of, but does not pay for, the periodic updating of the Funds' registration
statement, Prospectuses, and SAI, including the printing of such documents for the purpose of filings with the SEC and
state securities administrators, the Funds' tax returns, and reports to each Fund's shareholders and the SEC; (v) supervises,
but does not pay for, the calculation of the net asset value per share of each class of each Fund; (vi) supervises the
preparation of, but does not pay for, all filings under the securities or "Blue Sky" laws of such states or countries as are
designated by the Distributor, which may be required to register or qualify, or continue the registration or qualification of
the Funds and/or its shares under such laws; and (vii) prepares notices and agendas for meetings of the Board and minutes
of such meetings in all matters required by applicable law to be acted upon by the Board. The Adviser has delegated its
administrative duties to the sub-administrator as described below under “Sub-Administrator.”
The cost of calculating each Fund’s NAV per share is an expense payable by the Trust pursuant to each Fund’s Advisory
Agreement. To the extent that a portion of the sub-administration fee is used to pay for personnel and equipment related
to calculating the NAV, each Fund will reimburse the Adviser for such expenses up to $45,000. During the fiscal year
ended September 30, 2013, the Mighty Mites Fund, the Equity Fund, and the Balanced Fund reimbursed the Adviser
$45,000, $45,000, and $45,000, respectively, each in connection with the cost of computing such Fund’s NAV.
The Adviser has also entered into certain agreements with GBL, an affiliate of the Adviser, in connection with its
operation of its investment advisory business. These agreements are as follows: a Transitional Administrative and
Management Services Agreement (“Administrative Agreement”) and Service Mark and Name License Agreement (the
“License Agreement”). Pursuant to the Administrative Agreement, GBL provides certain services to the Adviser
including senior executive functions, strategic planning and general corporate management services; mutual fund
administration services; treasury services, including insurance and risk management services and administration of
benefits; operational and general administrative assistance including office space, office equipment, administrative
personnel, payroll, and procurement services as needed; accounting and related financial services; legal, regulatory and
compliance advice, including the retention of a Chief Financial Officer and a Chief Compliance Officer; and human
resources functions, including sourcing of permanent and temporary employees as needed, recordkeeping, performance
reviews and terminations. Effective January 1, 2011, the Administrative Agreement was amended to be based on a tiered
formula as opposed to a fixed rate. Under the amended agreement, GBL is compensated by the Adviser 20 basis points
annually on the first $370 million of average assets under management (“AUM”) of all of the Funds in the Trust (the
“Teton funds”), 12 basis points annually on the next $630 million of average AUM in the Teton funds, and 10 basis
points annually of average AUM in the Teton funds in excess of $1 billion. The License Agreement provides the Adviser
and the funds that it manages the use of certain names and service marks. Pursuant to the Administrative Agreement and
the License Agreement, GBL was compensated in 2013 by the Adviser in the amount of $15,000 per month, or $180,000
for the full year, plus an average of 15.0 basis points of the average AUM in the Teton funds (pursuant to the tiered
formula) for providing mutual fund administration services to these funds, or $1,436,909 for 2013.
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