| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| 9.7% | 2.2% | 16.5% |
| 2025 | 2024 |
|---|---|
| 16.5% | 6.9% |
The Gabelli Equity Income Fund delivered strong performance in Q4 2025, returning 2.24% for the quarter and 16.47% for the year, driven primarily by gold's exceptional 66% annual gain amid geopolitical uncertainty and central bank buying. Gold miners like Newmont Corp. were the biggest contributors to returns. The Fund maintains its focus on dividend-producing equity securities across sectors including financials, energy, and technology. Key holdings include Bank of New York Mellon, Genuine Parts, and Newmont Corp. The manager remains optimistic about the economic outlook, citing the American economy's embrace of AI technology and prospects for productivity gains. Natural gas demand is accelerating in the Northeast, driven by data centers and AI-related load growth, benefiting holdings like National Fuel Gas. While dividend-focused investing may limit appreciation potential during broad market advances, it provides steady income generation. The manager expects continued support from potential monetary easing under a new Fed Chairman and regulatory relief, though acknowledges risks from government shutdowns and volatile dividend stock prices.
The Gabelli Equity Income Fund focuses on dividend-producing equity securities to achieve long-term growth of capital and income, benefiting from gold's strong performance, AI-driven productivity gains, and strategic positioning in natural gas infrastructure amid rising data center demand.
The manager expects continued corporate earnings growth supported by lower energy prices, potential monetary easing with a new Fed Chairman, and regulatory easing. The American economy's embrace of AI technology and prospects for productivity gains are viewed positively.
| Date | Letter | Tickers | Keywords | Pitches | Quick Takes |
|---|---|---|---|---|---|
| Feb 18 2026 | 2025 Q4 | BK, CR, CVX, DE, FCX, FLR, GATX, GPC, MSFT, NEM, NFG, STT | AI, dividends, energy, financials, gold, Utilities |
CVX MSFT NFG |
Gold had its best year since 1979, rising 66% as a result of geopolitical uncertainty and central bank buying. Gold miners such as Newmont Corp.… |
| Nov 16 2025 | 2025 Q3 | BK, DE, NFG, STT | Balance Sheet, catalysts, dividends, income, valuation |
3110 JP POLR LN |
The strategy highlights income-oriented equities benefiting from stabilizing rates, resilient balance sheets, and improving corporate fundamentals. The fund focuses on companies with sustainable dividends, conservative… |
| Jun 30 2025 | 2025 Q2 | AXP, CR | asset value, catalysts, dividends, equity income, valuation |
AXP CR |
The commentary highlights equity income opportunities created by valuation dispersion and corporate actions. Management focuses on businesses with sustainable dividends, asset value support, and catalysts… |
| Mar 31 2025 | 2025 Q1 | BK, DE, GATX, NFG | - | - | - |
| Dec 31 2024 | 2024 Q4 | CR, DE, GPC, MSFT, STT | - | - | - |
| Sep 30 2024 | 2024 Q3 | BK, GATX, TXT | - | - | - |
| QUARTER | THEMES | TAGS |
|---|---|---|
| 2025 Q4 |
AIAI has been integrated into RGA's research process through tools like NotebookLM, Gems in Gemini, and Claude Code. The firm views AI as a force multiplier for human judgment rather than a replacement, emphasizing the Kasparov Law principle. They believe the market narrative around AI displacement is swinging to unhelpful extremes, creating investment opportunities. |
Machine Learning Automation Software Productivity Innovation |
DividendsJapanese companies paid record dividends of ¥18 trillion for fiscal year ending March 2025, a 13.8% year-over-year increase. Many major firms have adopted progressive dividend policies guaranteeing dividends will never be cut, only maintained or increased. |
Progressive Dividend Record Payouts Shareholder Returns Yield Growth | |
GoldGold returned +65% in dollars in 2025, driven by broadening demand from central banks, professional and retail investors. Central banks now hold 24% of reserves in gold versus 23% in US Treasuries for the first time. Maintained 12% portfolio allocation throughout the year. |
Central Banks Reserves Diversification Demand | |
Natural GasNorth American gas showed strength on cold weather despite bearish sentiment. Production growth concentrated in Permian Basin while other shales declined. Supply growth expected to plateau as Permian oil production slows, setting stage for higher prices as LNG demand expands. |
Shale Permian LNG Weather | |
| 2025 Q3 |
Innovation |
|
| 2025 Q2 |
Income |
| Date | Pitch Type | Author | Ticker | Company | Industry | Sub Industry | Bull / Bear | Exchange | Keywords | Action |
|---|---|---|---|---|---|---|---|---|---|---|
| Nov 16, 2025 | Fund Letters | Mario J. Gabelli | 3110 JP | Nitto Boseki Co., Ltd. | Materials | Specialty Glass Fiber & Advanced Materials | Bull | NYSE | Glass cloth, market dominance, Pricing power, semiconductors, thermal management | Login |
| Nov 16, 2025 | Fund Letters | Mario J. Gabelli | POLR LN | Polar Capital Holdings plc | Financials | Asset Management & Custody Banks | Bull | London Stock Exchange | Active management, AUM growth, dividend, Scalability, Thematic funds | Login |
| Jun 30, 2025 | Fund Letters | Mario J. Gabelli | AXP | American Express Company | Financials | Consumer Finance | Bull | New York Stock Exchange | Deposits, Emerging, Lending, Millennials, network, Payments, resilience, spending | Login |
| Jun 30, 2025 | Fund Letters | Mario J. Gabelli | CR | Crane Co. | Industrials | Industrial Machinery | Bull | New York Stock Exchange | Aerospace, aftermarket, efficiency, Industrial, Margins, platform, scale, separation | Login |
| Feb 18, 2026 | Fund Letters | Mario J. Gabelli | CVX | Chevron Corporation | Energy | Integrated Oil & Gas | Bull | New York Stock Exchange | buybacks, dividend, Free Cash Flow, Guyana, Permian | Login |
| Feb 18, 2026 | Fund Letters | Mario J. Gabelli | MSFT | Microsoft Corporation | Information Technology | Systems Software | Bull | NASDAQ | AI, CapEx, cloud, data centers, Ecosystem | Login |
| Feb 18, 2026 | Fund Letters | Mario J. Gabelli | NFG | National Fuel Gas Company | Utilities | Gas Utilities | Bull | New York Stock Exchange | AI demand, Appalachia, natural gas, pipeline, Rate Base | Login |
| TICKER | COMMENTARY |
|---|---|
| BK | Bank of New York Mellon, the largest financial custodian in the world, advanced amid strong earnings results. America's oldest bank is an early leader in the adoption of AI, with a multiyear partnership with OpenAI. |
| CR | This industrial technology company provides technological solutions to secure, detect and authenticate physical and digital assets. Shares declined amid reignited trade tensions with China. Though the company reported better-than-expected earnings and reduced its earnings outlook for the full year, management reduced its earnings guidance which also sent shares lower. |
| CVX | In October, we trimmed Chevron (CVX) following the close of its Hess (HES) acquisition. Chevron now derives significant earnings from a Kazakhstani oilfield whose sole link to the market is a 1,000 mile pipeline through Russia—not a risk we want in this portfolio. |
| DE | Deere treaded water as the market wanted AI momentum and not our names. |
| FCX | Freeport McMoRan was able to recover the share price drawdown seen in September following a major mudflow event at their Grasberg mine, which resulted in a full suspension of production and a material cut to guidance. The share price finished 2025 at its high. |
| FLR | FLR owned the majority of SMR, which essentially went parabolic. We anticipated FLR would dispose of its SMR stake and use the proceeds to repurchase its own shares, and this is exactly what is happening. The result of the heavy sales by FLR combined with SMR's very speculative valuation has led to a sharp decline in SMR, while FLR has been largely stable. |
| GPC | Auto parts supplier Genuine Parts Corp., which was affected by higher operating expenses and questions surrounding the First Brands bankruptcy, was another notable detractor during the quarter. |
| MSFT | MSFT was a detractor in 4Q25 following its fiscal first-quarter 2026 earnings report released on October 29. While results were better than expected operationally, investor reaction was driven by guidance and capital expenditure intensity rather than headline performance. Revenue grew 17% year-over-year, exceeding consensus expectations, and Azure revenue increased 39% year-over-year, also ahead of estimates. However, management guided to a sequential deceleration in Azure growth in fiscal Q2, signaling some moderation after a period of exceptional demand. |
| NEM | Newmont delivered +18% performance over the quarter, contributing meaningfully to portfolio returns as gold gained another 12%, taking its 2025 gains to an extraordinary 64%. |
| NFG | National Fuel Gas Co. is a gas and pipeline utility with a growing exploration and production business. The gas utility serves 754,000 customers in Buffalo, New York, and Erie and Sharon, Pennsylvania. The pipeline & storage (P&S) business operates 3,000 miles of pipe and 34 storage facilities primarily in the state of New York. The E&P business, Seneca Resources, operates in Appalachia (where it owns 1.2 million net acres), primarily in the Marcellus and Utica shales and ended FY 2025 with nearly 5.0 Tcfe of proved gas reserves, making it one of the most resource-rich utilities in the U.S. These reserves are strategically important as natural gas demand in the Northeast accelerates, driven in part by rising electricity consumption from data centers and AI-related load growth. NFG's extensive pipeline and storage network further enhances the value of its upstream assets by providing reliable access to premium regional markets. Higher gas production and prices have helped drive very strong EPS and cash flow growth in recent years and will continue given legacy hedges roll off and are replaced at higher prices. NFG's pending $2.6 billion acquisition of CenterPoint Energy's Ohio gas utility will roughly double NFG's regulated utility rate base, expand its customer footprint, and increase the percentage of earnings derived from regulated operations. |
| STT | Beat on both EPS and revenue on strong servicing and management fees income; AUC & AUM were both higher than expected, benefitting from market appreciation as well as inflows. Deposit growth was disappointing |
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