UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY

The Gabelli Global Deal Fund

(Exact name of registrant as specified in charter)

One Corporate Center
Rye, New York 10580-1422

(Address of principal executive offices) (Zip code)

Bruce N. Alpert
Gabelli Funds, LLC
One Corporate Center
Rye, New York 10580-1422

(Name and address of agent for service)

Registrant’s telephone number, including area code: 1-800-422-3554

Date of fiscal year end: December 31

Date of reporting period: March 31, 2009

Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (§§ 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles.

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

 

 

Item 1. Schedule of Investments.

The Schedule(s) of Investments is attached herewith.

The Gabelli Global Deal Fund

First Quarter Report
March 31, 2009

To Our Shareholders,

     The Gabelli Global Deal Fund’s (the “Fund”) net asset value (“NAV”) total return was (2.0)% during the first quarter of 2009, compared to a gain of 0.1% for the 3 Month U.S. Treasury Bill Index. The total return for the Fund’s publicly traded shares was (4.2)% during the first quarter. On March 31, 2009, the Fund’s NAV per share was $15.67, while the price of the publicly traded shares closed at $12.39 on the New York Stock Exchange.

     Enclosed is the investment portfolio as of March 31, 2009.

Comparative Results

Average Annual Returns through March 31, 2009 (a)

														Since
														Inception
		Quarter				1 Year				2 Year				(01/31/07)
Gabelli Global Deal Fund
NAV Total Return (b)			(2.03	)%			(5.22	)%			(1.77	)%			(1.33	)%
Investment Total Return (c)			(4.23	)			(14.56	)			(12.43	)			(12.41	)
3 Month U.S. Treasury Bill Index			0.05				1.21				2.90				3.08
S&P 500 Index			(10.98	)			(38.06	)			(23.32	)			(22.05	)

THE GABELLI GLOBAL DEAL FUND
SCHEDULE OF INVESTMENTS
March 31, 2009 (Unaudited)

Shares/						Market
Units						Value
				COMMON STOCKS — 24.8%
				Agriculture — 0.0%
	1,000			Provimi SA		$	11,532
				Automotive — 0.0%
	40,000			Lear Corp.†			30,000
				Broadcasting — 0.0%
	5,000			Cox Radio Inc., Cl. A†			20,500
	3,000			Cumulus Media Inc., Cl. A†			3,030
	6,000			Hearst-Argyle Television Inc.			24,960
							48,490
				Business Services — 1.1%
	8,000			Acxiom Corp.			59,200
	207,600			BPW Acquisition Corp.†			1,943,136
	70,000			Clear Channel Outdoor Holdings Inc., Cl. A†			256,900
	124,000			Diebold Inc.			2,647,400
							4,906,636
				Cable and Satellite — 0.0%
	35,001			Zon Multimedia Servicos de Telecomunicacoes e Multimedia SGPS SA			186,475
				Computer Hardware — 0.2%
	60,000			SanDisk Corp.†			759,000
				Computer Software and Services — 0.4%
	500			Affiliated Computer Services Inc., Cl. A†			23,945
	2,000			i2 Technologies Inc.†			15,800
	48,000			Mentor Graphics Corp.†			213,120
	3,000			Sun Microsystems Inc.†			21,960
	120,000			Yahoo! Inc.†			1,537,200
							1,812,025
				Consumer Products — 0.2%
	45,000			Harman International Industries Inc.			608,850
	15,000			Heelys Inc.			25,650
							634,500
				Diversified Industrial — 0.7%
	510,000			Myers Industries Inc.			3,131,400
				Educational Services — 0.0%
	4,000			Corinthian Colleges Inc.†			77,800
				Electronics — 0.4%
	211,700			Alliance Semiconductor Corp.			39,164
	97,000			Bel Fuse Inc., Cl. A			1,205,710
	28,000			International Rectifier Corp.†			378,280
	10,000			Zygo Corp.†			45,900
							1,669,054
				Energy and Utilities — 3.8%
	165,000			Constellation Energy Group Inc.			3,408,900
	280,000			Endesa SA			5,237,886
	179,760			Great Plains Energy Inc.			2,421,367
	90,000			NorthWestern Corp.			1,933,200
	130,000			NRG Energy Inc.†			2,288,000
	1,000			Origin Energy Ltd.			10,291
	2,000			Petro-Canada			53,728
	200,000			Pure Energy Resources Ltd.†			1,148,721
	100,000			WesternZagros Resources Ltd.†			46,003
							16,548,096
				Entertainment — 0.6%
	310,000			Take-Two Interactive Software Inc.			2,588,500
				Environmental Services — 0.3%
	68,000			Republic Services Inc.			1,166,200
				Equipment and Supplies — 0.1%
	10,000			The Middleby Corp.†			324,300
				Financial Services — 0.4%
	150,000			SLM Corp.†			742,500
	10,000			thinkorswim Group Inc.†			86,400
	30,000			Wells Fargo & Co.			427,200
	20,000			Willis Group Holdings Ltd.			439,993
							1,696,093
				Food and Beverage — 0.5%
	15,000			Bull-Dog Sauce Co. Ltd.			31,823
	79,600			China Huiyuan Juice Group Ltd.			50,735
	95,000			Corn Products International Inc.			2,014,000
	1,000			Reddy Ice Holdings Inc.			1,470
							2,098,028
				Health Care — 5.0%
	25,000			ArthroCare Corp.†			122,500
	3,000			Biogen Idec Inc.†			157,260
	100			CPEX Pharmaceuticals Inc.†			731
	20,000			Crucell NV, ADR†			394,200
	500,000			CV Therapeutics Inc.†			9,940,000
	2,000			Enzon Pharmaceuticals Inc.†			12,140
	6,000			Fresenius Kabi Pharmaceuticals Holding Inc., CVR†			2,220
	44,500			Indevus Pharmeceuticals Inc., Escrow† (a)			48,950
	10,000			Life Technologies Corp.†			324,800
	200,000			Schering-Plough Corp.			4,710,000
	140,000			Wyeth			6,025,600
							21,738,401
				Hotels and Gaming — 0.1%
	120,000			MGM Mirage†			279,600
				Materials — 0.0%
	12,500			Intertape Polymer Group Inc.†			5,250
				Media — 1.0%
	75,000			APN News & Media Ltd.			60,496
	315,000			Cablevision Systems Corp., Cl. A			4,076,100
							4,136,596

See accompanying notes to schedule of investments.

THE GABELLI GLOBAL DEAL FUND
SCHEDULE OF INVESTMENTS (Continued)
March 31, 2009 (Unaudited)

						Market
Shares						Value
				COMMON STOCKS (Continued)
				Metals and Mining — 0.2%
	21,000			Alpha Natural Resources Inc.†		$	372,750
	20,000			Forsys Metals Corp.†			63,452
	24,000			Lonmin plc			490,028
	8,000			Uranium One Inc.†			16,180
	15,000			Xstrata plc			100,457
							1,042,867
				Publishing — 0.0%
	136,000			SCMP Group Ltd.			17,547
				Restaurants — 0.0%
	1,000			Landry’s Restaurants Inc.			5,220
				Retail — 0.0%
	1,200			Genesco Inc.†			22,596
				Semiconductors — 0.0%
	10,000			hi/fn inc.†			39,600
				Specialty Chemicals — 7.0%
	68,012			Ashland Inc.			702,564
	300			CF Industries Holdings Inc.			21,339
	12,000			Ciba Holding AG, 2nd Line†			523,307
	150,000			Ciba Holding AG†			6,404,287
	320			Mitsubishi Chemical Holdings Corp.			1,086
	100,000			NOVA Chemicals Corp.			576,000
	280,000			Rohm and Haas Co.			22,075,200
							30,303,783
				Telecommunications — 2.8%
	980,000			Asia Satellite Telecommunications Holdings Ltd.			1,024,179
	120,000			BCE Inc.			2,388,000
	960,000			Centennial Communications Corp.†			7,929,600
	80,000			Portugal Telecom SGPS SA			619,661
							11,961,440
				TOTAL COMMON STOCKS			107,241,029

Principal						Market
Amount						Value
				CONVERTIBLE CORPORATE BONDS — 0.5%
				Hotels and Gaming — 0.4%
$	2,000,000			International Game Technology, Cv., 2.600%, 12/15/36		$	1,947,500
				Specialty Chemicals — 0.1%
	1,350,000			Ferro Corp., Cv., 6.500%, 08/15/13			455,625
				TOTAL CONVERTIBLE CORPORATE BONDS			2,403,125
				CORPORATE BONDS — 0.1%
				Diversified Industrial — 0.0%
	150,000			Park-Ohio Industries Inc., Sub. Deb., 8.375%, 11/15/14			57,750
				Energy and Utilities — 0.1%
	600,000			Texas Competitive Electric Holdings Co. LLC, Ser. B (STEP), 10.250%, 11/01/15			303,000
				TOTAL CORPORATE BONDS			360,750
				U.S. GOVERNMENT OBLIGATIONS — 74.6%
				U.S. Treasury Bills — 61.6%
	266,739,000			U.S. Treasury Bills, 0.086% to 0.452%††, 04/02/09 to 10/01/09			266,596,228
				U.S. Treasury Cash Management Bills — 8.0%
	34,646,000			U.S. Treasury Cash Management Bills, 0.122% to 0.223%††, 04/29/09 to 06/24/09			34,633,700
				U.S. Treasury Notes — 5.0%
	21,405,000			4.500%, 04/30/09			21,461,561
				TOTAL U.S. GOVERNMENT OBLIGATIONS			322,691,489
TOTAL INVESTMENTS — 100.0% (Cost $478,839,179)						$	432,696,393
			Aggregate book cost			$	478,839,179
			Gross unrealized appreciation			$	2,501,192
			Gross unrealized depreciation				(48,643,978	)
			Net unrealized appreciation/(depreciation)			$	(46,142,786	)

		% of
		Market				Market
Geographic Diversification		Value				Value
North America			96.1	%		$	415,941,469
Europe			3.2				13,970,053
Latin America			0.4				1,464,172
Asia/Pacific			0.3				1,287,790
Japan			0.0				32,909
Total Investments			100.0	%		$	432,696,393

See accompanying notes to schedule of investments.

THE GABELLI GLOBAL DEAL FUND
NOTES TO SCHEDULE OF INVESTMENTS (Unaudited)

1. Security Valuation. Portfolio securities listed or traded on a nationally recognized securities exchange or traded in the U.S. over-the-counter market for which market quotations are readily available are valued at the last quoted sale price or a market’s official closing price as of the close of business on the day the securities are being valued. If there were no sales that day, the security is valued at the average of the closing bid and asked prices or, if there were no asked prices quoted on that day, then the security is valued at the closing bid price on that day. If no bid or asked prices are quoted on such day, the security is valued at the most recently available price or, if the Board of Trustees (the “Board”) so determines, by such other method as the Board shall determine in good faith to reflect its fair market value. Portfolio securities traded on more than one national securities exchange or market are valued according to the broadest and most representative market, as determined by Gabelli Funds, LLC, the Adviser.

Portfolio securities primarily traded on a foreign market are generally valued at the preceding closing values of such securities on the relevant market, but may be fair valued pursuant to procedures established by the Board if market conditions change significantly after the close of the foreign market but prior to the close of business on the day the securities are being valued. Debt instruments with remaining maturities of 60 days or less that are not credit impaired are valued at amortized cost, unless the Board determines such amount does not reflect the securities’ fair value, in which case these securities will be fair valued as determined by the Board. Debt instruments having a maturity greater than 60 days for which market quotations are readily available are valued at the average of the latest bid and asked prices. If there were no asked prices quoted on such day, the security is valued using the closing bid price. Futures contracts are valued at the closing settlement price of the exchange or board of trade on which the applicable contract is traded.

Securities and assets for which market quotations are not readily available are fair valued as determined by the Board.

Statement of Financial Accounting Standard No. 157, “Fair Value Measurements” (“SFAS 157”) clarifies the definition of fair value for financial reporting, establishes a framework for measuring fair value, and requires additional disclosures about the use of fair value measurements. The three levels of the fair value hierarchy under SFAS 157 are described 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, prepayment speeds, credit risk, etc.); and
	•		Level 3 — significant unobservable inputs (including the Fund’s determinations as to the fair value of investments).

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The summary of the Fund’s investments and other financial instruments by inputs used to value the Fund’s investments as of March 31, 2009 is as follows:

		Investments in				Other Financial Instruments
		Securities				(Unrealized
		(Market Value)				Appreciation)*
Valuation Inputs		Assets				Assets
Level 1 — Quoted Prices		$	107,192,079				—
Level 2 — Other Significant Observable Inputs			325,455,364			$	40,095
Level 3 — Significant Unobservable Inputs			48,950				—
Total		$	432,696,393			$	40,095

THE GABELLI GLOBAL DEAL FUND
NOTES TO SCHEDULE OF INVESTMENTS (Continued) (Unaudited)

The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determined fair value:

		Investments in
		Securities
		(Market Value)
Balance as of 12/31/08			—
Accrued discounts/(premiums)			—
Realized gain/(loss)			—
Change in unrealized appreciation/(depreciation)		$	48,950
Net purchase/(sales)			0
Transfers in and/or out of Level 3			—
Balance as of 03/31/09		$	48,950
Net change in unrealized appreciation/(depreciation) during the period on Level 3 investments held at 03/31/09		$	48,950

Statement of Financial Accounting Standard No. 161, “Disclosures about Derivative Instruments and Hedging Activities” clarifies the financial reporting for derivative instruments by requiring enhanced disclosure that enables investors to understand how and why an entity uses derivatives, how derivatives are accounted for, and how derivative instruments affect an entity’s results of operations and financial position. As of March 31, 2009, the Fund did not hold any significant investments in derivatives.

2. Swap Agreements. The Fund may enter into equity and contract for difference swap transactions. The use of swaps is a highly specialized activity that involves investment techniques and risks different from those associated with ordinary portfolio security transactions. In a swap, a set of future cash flows are exchanged between two counterparties. One of these cash flow streams will typically be based on a reference interest rate combined with the performance of a notional value of shares of a stock. The other will be based on the performance of the shares of a stock. There is no assurance that the swap contract counterparties will be able to meet their obligations pursuant to the swap contracts, or that, in the event of default, the Fund will succeed in pursuing contractual remedies. The Fund thus assumes the risk that it may be delayed in or prevented from obtaining payments owed to it pursuant to the swap contracts. The creditworthiness of the swap contract counterparties is closely monitored in order to minimize the risk. Depending on the general state of short-term interest rates and the returns of the Fund’s portfolio securities at that point in time, such a default could negatively affect the Fund’s ability to make dividend payments. In addition, at the time a swap transaction reaches its scheduled termination date, there is a risk that the Fund will not be able to obtain a replacement transaction or that the terms of the replacement will not be as favorable as on the expiring transaction. If this occurs, it could have a negative impact on the Fund’s ability to make dividend payments.

The use of derivative instruments involves, to varying degrees, elements of market and counterparty risk in excess of the amount recognized below.

Effective March 16, 2008, Bear, Stearns International Limited entered into a Guaranty Agreement with JPMorgan Chase & Co., whereby JPMorgan Chase & Co. unconditionally guaranteed the due and punctual payment of certain liabilities of Bear, Stearns International Limited, including the current liabilities of Bear, Stearns International Limited to the Fund. As of March 31, 2009, the Fund held contract for difference swaps with Bear, Stearns International Limited which are covered

THE GABELLI GLOBAL DEAL FUND
NOTES TO SCHEDULE OF INVESTMENTS (Continued) (Unaudited)

     by the JPMorgan Chase & Co. Guaranty Agreement as of the date of the report. Details of the swaps at March 31, 2009 are as follows:

Notional		Equity Security		Interest Rate/		Termination		Net Unrealized
Amount		Received		Equity Security Paid		Date		Appreciation
		Market Value		Overnight LIBOR plus 75 bps plus
		Appreciation on:		Market Value Depreciation on:
$9,020 (100,000 Shares)		Gulf Keystone Petroleum Ltd.		Gulf Keystone Petroleum Ltd.		03/11/10		$	7,110
612,414 (360,000 Shares)		Chloride Group plc		Chloride Group plc		03/11/10			32,660
4,163 (1,000 Shares)		J Sainsbury plc		J Sainsbury plc		03/11/10			325
								$	40,095

3. Tax Information. Under the current tax law, capital losses related to securities and foreign currency realized after October 31 and prior to the Fund’s fiscal year end may be treated as occurring on the first day of the following year. For the year ended December 31, 2008, the Fund deferred capital losses of $31,504.

TRUSTEES AND OFFICERS
THE GABELLI GLOBAL DEAL FUND
One Corporate Center, Rye, NY 10580-1422

The Net Asset Value per share appears in the Publicly Traded Funds column, under the heading “Specialized Equity Funds,” in Monday’s The Wall Street Journal. It is also listed in Barron’s Mutual Funds/Closed End Funds section under the heading “Specialized Equity Funds.”

The Net Asset Value per share may be obtained each day by calling (914) 921-5070 or visiting www.gabelli.com.

Item 2. Controls and Procedures.

	(a)		The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(b)).
	(b)		There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 3. Exhibits.

Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto.

SIGNATURES

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

Date 5/29/09

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

Date 5/29/09

Date 5/29/09