485BPOS

Filed with the Securities and Exchange Commission on January 17, 2013

1933 Act Registration File No. 333-78275

1940 Act File No. 811-09303

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM N-1A

REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933	x
Pre-Effective Amendment No.
Post-Effective Amendment No. 45	x

and/or

REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940	x
Amendment No.46	x

(Check appropriate box or boxes.)

KINETICS MUTUAL FUNDS, INC.

(Exact Name of Registrant as Specified in Charter)

555 Taxter Road, Suite 175

Elmsford, New York 10523

(Address and Zip Code of Principal Executive Offices)

1-800-930-3828

Registrant’s Telephone Number, including Area Code

Leonid Polyakov

555 Taxter Road, Suite 175

Elmsford, New York 10523

(Name and Address of Agent for Service)

With a copy to:

Mary Jo Reilly, Esq.

Drinker Biddle & Reath LLP

One Logan Square

18th and Cherry Streets

Philadelphia, PA 19103-6996

It is proposed that this filing will become effective

ximmediately upon filing pursuant to paragraph (b)

oon (date) pursuant to paragraph (b)

o60 days after filing pursuant to paragraph (a)(1)

oon [date] pursuant to paragraph (a)(1)

o75 days after filing pursuant to paragraph (a)(2)

oon [date] pursuant to paragraph (a)(2) of Rule 485.

If appropriate, check the following box:

oThis post-effective amendment designates a new effective date for a previously filed post-effective amendment.

EXPLANATORY NOTE

This PEA No. 45 hereby incorporates Parts A, B and C from the Trust’s PEA No. 44 on Form N-1A filed December 28, 2012.  This PEA No. 45 is filed for the sole purpose of submitting the XBRL exhibits for the risk/return summary first provided in PEA No. 44.

SIGNATURES

Pursuant to the requirements of the Securities Act of 1933, as amended (the “Securities Act”), and the Investment Company Act, the Registrant, Kinetics Mutual Funds, Inc., certifies that it meets all of the requirements for effectiveness of this Post-Effective Amendment No. 45 to its Registration Statement under Rule 485(b) under the Securities Act and has duly caused this Post-Effective Amendment No. 45 to its Registration Statement to be signed below on its behalf by the undersigned, duly authorized, in the City of Elmsford and State of New York, on the 17th of January, 2013.

KINETICS MUTUAL FUNDS, INC.

/s/ Peter B. Doyle*

Peter B. Doyle, President

Pursuant to the requirements of the Securities Act, this Post-Effective Amendment No. 45 to its Registration Statement has been signed below by the following persons in the capacities and on the dates indicated.

NAME	TITLE	DATE
Peter B. Doyle*	Director, President, Chairman of the Board	January 17, 2013
Peter B. Doyle
Douglas Cohen*	Director	January 17, 2013
Douglas Cohen
William J. Graham*	Director	January 17, 2013
William J. Graham
Steven T. Russell*	Director	January 17, 2013
Steven T. Russell
Murray Stahl*	Director and Secretary	January 17, 2013
Murray Stahl
Joseph E. Breslin*	Director	January 17, 2013
Joseph E. Breslin
James Breen*	Director	January 17, 2013
James M. Breen
Leonid Polyakov*	Director and Treasurer	January 17, 2013
Leonid Polyakov
/s/ Jay Kesslen		January 17, 2013
Jay Kesslen

*By: /s/ Jay Kesslen

Attorney-In-Fact pursuant to the Power of Attorney incorporated by reference to Post-Effective Amendment No. 40 to the Registration Statement filed on April 27, 2012.

EXHIBIT INDEX

Exhibit	Exhibit No.
Instance Document	EX-101.INS
Schema Document	EX-101.SCH
Calculation Linkbase Document	EX-101.CAL
Definition Linkbase Document	EX-101.DEF
Label Linkbase Document	EX-101.LAB
Presentation Linkbase Document	EX-101.PRE

XML

Kinetics Alternative Income Fund (Second Prospectus Summary) | Kinetics Alternative Income Fund

THE ALTERNATIVE INCOME FUND

Investment Objectives

The primary investment objective of the Alternative Income Fund (formerly the
Water Infrastructure Fund) is to provide current income and gains.

The Alternative Income Fund seeks to obtain long-term growth of capital as a
secondary objective. The Alternative Income Fund is the sole "feeder fund" to
The Alternative Income Portfolio, a series of Kinetics Portfolios Trust.

Fees and Expenses of the Fund

This table describes the fees and expenses you may pay if you buy and hold
shares of the Alternative Income Fund.

Shareholder Transaction Expenses (fees paid directly from your investment)

Shareholder Fees	Kinetics Alternative Income Fund Institutional Class
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	none
Redemption Fee (as a percentage of amount redeemed on shares held for 30 days or less, if applicable)	2.00%

Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)

Annual Fund Operating Expenses		Kinetics Alternative Income Fund Institutional Class
Management Fees	[1]	0.90%
Distribution (Rule 12b-1) Fees		none
Shareholder Servicing Fees		0.20%
Other Operating Expenses		0.92%
Other Expenses		1.12%
Acquired Fund Fees and Expenses		0.05%
Total Annual Fund Operating Expenses	[2]	2.07%
Less: Fee Waiver	[3]	1.27%
Net Annual Fund Operating Expenses		0.80%

Example.

This Example is intended to help you compare the cost of investing in
the Alternative Income Fund with the cost of investing in other mutual
funds.

This Example assumes that you invest $10,000 in the Alternative Income Fund
for the time periods indicated and then redeem all of your shares at the end
of these periods. The Example also assumes that your investment has a 5% return
each year and that the Alternative Income Fund's operating expenses remain the
same.

Although your actual costs may be higher or lower, based on these assumptions your cost for the Alternative Income Fund would be:

Expense Example (USD $)	Expense Example, with Redemption, 1 Year	Expense Example, with Redemption, 3 Years	Expense Example, with Redemption, 5 Years	Expense Example, with Redemption, 10 Years
Kinetics Alternative Income Fund Institutional Class	82	526	996	2,299

Portfolio Turnover.

The Alternative Income Portfolio pays transaction costs, such as commissions,
when it buys and sells securities (or "turns over" its portfolio). A higher
portfolio turnover rate may indicate higher transaction costs and may result in
higher taxes when Fund shares are held in a taxable account. These costs, which
are not reflected in Annual Fund Operating Expenses or in the example, affect
the Alternative Income Portfolio's, and therefore the Alternative Income Fund's,
performance. During the most recent fiscal year, the Alternative Income
Portfolio's portfolio turnover rate was 69% of the average value of its portfolio.
However, that portfolio turnover rate reflects a pervious investment strategy. Had
the Alternative Income Portfolio followed its current investment strategy during
that period, it is likely that the portfolio turnover would have been higher.

Principal Investment Strategy

The Alternative Income Fund is a non-diversified fund that invests all of
its investable assets in the Alternative Income Portfolio (formerly the
Water Infrastructure Portfolio), a series of Kinetics Portfolios Trust.
Under normal circumstances, the Alternative Income Portfolio will hold a
diversified portfolio of primarily fixed income securities and implement
an  equity put writing option strategy intended to generate returns from the
receipt of option premiums. The Alternative Income Portfolio will thereby seek
its primary investment objective of current income and gains by collecting premiums
on written put options, while maintaining a portfolio of primarily fixed income
securities to serve as collateral to, cover obligations pursuant to written
options and seek the secondary objective of long-term growth of capital.

The Alternative Income Portfolio will implement option strategies on market
indexes, exchange-traded funds ("ETFs") or company specific equity securities,
receiving up-front cash payments from the purchasers of these options in
exchange for providing the purchasers with the right to potentially sell an
underlying security to the Alternative Income Portfolio. If the prevailing
market value of the underlying equity securities on an expiration date exceeds
the exercise price of the put option that the Alternative Income Portfolio has
written, it is expected that the option will not be exercised. In such instance,
the Alternative Income Portfolio would not be required to purchase any
securities and the received premium would be considered income.  

At the time of writing (selling) a put option, the aggregated amount of all the
notional obligations of the option positions (the sum of all the exercise prices
referenced) held by the Alternative Income Portfolio may not exceed 100% of the
Alternative Income Portfolio's total assets. In this way, the Alternative Income
Portfolio intends to have available at all times cash or fixed income investments
to satisfy any obligations to purchase securities pursuant to options written.

The Investment Adviser will select option investments based on market volatility
levels, underlying security valuations and perceived market risks. Further, the
Investment Adviser evaluates relative option premiums and implied volatilities
in determining preferred option contract terms, such as exercise prices and
expiration dates. The Alternative Income Portfolio will typically buy or sell
exchange-traded options on market indexes, diversified and non-diversified ETFs,
and U.S. listed stocks of individual companies including American Depositary
Receipts ("ADRs") and real estate investment trusts ("REITs"). To the extent the
Alternative Income Portfolio buys or sells options on single stock equity
securities, the aggregate notional exposure to a specific underlying company
will typically not exceed 5% of the Alternative Income Portfolio's net assets at
the time of investment.

To satisfy collateral requirements related to written options and provide full
coverage of potential security purchase obligations related to written options,
the Alternative Income Portfolio may invest up to 100% of its net assets in
fixed income securities including cash or cash equivalents, fixed income
closed-end funds ("CEFs") and ETFs. There are no limitations as to the
maturities or credit ratings of the fixed income securities in which the
Alternative Income Portfolio may invest, however, fixed income securities held
by the Alternative Income Portfolio are generally issued by the U.S. Government
or investment grade, large capitalization U.S. companies.

In managing the Alternative Income Portfolio's fixed income holdings, the
Investment Adviser will focus on achieving a reasonable risk-adjusted return
with an emphasis on capital preservation, while seeking long term growth of
capital.  The Investment Adviser will select fixed income securities based on
market liquidity, duration risk, credit risk, and yield to maturity.

In connection with the Alternative Income Portfolio's positions in derivatives,
the Alternative Income Portfolio will segregate liquid assets or will otherwise
cover its position in accordance with applicable Securities and Exchange
Commission ("SEC") requirements.

Principal Investment Risks

Investing in common stocks has inherent risks that could cause you to lose
money. The principal risks of investing in the Alternative Income Fund, and
indirectly the Alternative Income Portfolio, are listed below and could
adversely affect the net asset value ("NAV"), total return and the value of
the Alternative Income Fund, Alternative Income Portfolio and your investment.

o  Management Risks: The Alternative Income Portfolio securities selected by the
   Investment Adviser may decline in value or not increase in value when the     
   stock market in general is rising and may fail to meet the Alternative
   Income Portfolio's, and therefore the Alternative Income Fund's, investment          
   objective. The Investment Adviser cannot guarantee the performance of the     
   Alternative Income Fund, nor can it assure you that the market value of your  
   investment will not decline.                                                  
  
o  Liquidity Risks: The Alternative Income Portfolio's investments in options    
   and, to the extent it invests in certain non-investment grade fixed income    
   securities or ETFs, makes the Alternative Income Portfolio especially         
   susceptible to the risk that during certain periods the liquidity of certain  
   issuers or industries, or all securities within particular investment         
   categories, will decrease or disappear suddenly and without warning as a      
   result of adverse market or political events, or adverse investor perceptions.

o  Exchange-Traded Funds (ETFs): ETFs are registered investment companies whose  
   shares are listed and traded on U.S. stock exchanges or otherwise traded in   
   the over-the-counter market. In general, passively-managed ETFs seek to
   track a specified securities index or a basket of securities that an "index         
   provider," such as Standard & Poor's, selects as representative of a market,  
   market segment or industry sector. A passively-managed ETF is designed so that
   its performance will correspond closely with that of the index it tracks.     
   Conversely, actively-managed ETFs seek an investment objective by investing in
   a basket of securities based on the investment strategy and discretion of the
   ETF's adviser. As a shareholder in an ETF, the Alternative Income Portfolio   
   will bear its pro rata portion of an ETF's expenses, including advisory fees,
   in addition to its own expenses.    

o  Foreign Securities Risks: The Alternative Income Portfolio may invest in      
   foreign securities directly or through ADRs, GDRs and IDRs. Foreign securities
   can carry higher returns but involve more risks than those associated with    
   U.S. investments. Additional risks associated with investment in foreign      
   securities include currency fluctuations, political and economic instability,
   differences in financial reporting standards and less stringent regulation of
   securities markets.   

o  Emerging Markets Risks: The risk that the securities markets of emerging      
   countries are less liquid, are especially subject to greater price volatility,
   have smaller market capitalizations, have less government regulation and are  
   not subject to as extensive and frequent accounting, financial and other      
   reporting requirements as the securities markets of more developed countries  
   as have historically been the case.     

o  Non-Diversification Risks: As a non-diversified investment company, the       
   Alternative Income Portfolio can invest a large percentage of its assets in
   a small number of issuers. As a result, a change in the value of any one        
   investment may affect the overall value of the Alternative Income Portfolio's
   shares, and therefore the Alternative Income Fund's shares, more than shares  
   of a diversified mutual fund that holds more investments.  

o  Interest Rate Risk: The risk that when interest rates increase, fixed-income  
   securities held by the Alternative Income Portfolio will decline in           
   value. Long-term fixed-income securities will normally have more price        
   volatility because of this risk than short-term fixed-income securities.  

o  Credit/Default Risk: The risk that an issuer or guarantor of fixed-income     
   securities held by the Alternative Income Portfolio (which may have low credit
   ratings), or the counterparty in a derivative investment, may default on its  
   obligation to pay interest and repay principal.                               
  
o  Derivatives Risks: The Alternative Income Portfolio's investments in options  
   and other derivative instruments may result in loss. Derivative instruments   
   may be illiquid, difficult to price and leveraged so that small changes may   
   produce disproportionate losses to the Alternative Income Portfolio. If a     
   secondary market does not exist for an option purchased or written by the     
   Alternative Income Portfolio, it might not be possible to effect a closing    
   transaction in the option (i.e., dispose of the option), with the result that
   (1) an option purchased by the Alternative Income Portfolio would have to be  
   exercised in order for the Alternative Income Portfolio to realize any profit
   and (2) the Alternative Income Portfolio may not be able to sell portfolio    
   securities covering an option written by it until the option expires or it    
   delivers the underlying security, upon exercise. To the extent the Alternative
   Income Portfolio segregates assets to cover derivative positions, the         
   Alternative Income Portfolio may impair its ability to meet current           
   obligations, to honor requests for redemption and to manage the Alternative   
   Income Portfolio properly in a manner consistent with its stated              
   investment objective.   

o  Option Transaction Risks: Purchasing and writing put and call options are     
   highly specialized activities and entail greater than ordinary investment     
   risks. The successful use of options depends in part on the ability of the    
   Investment Adviser to manage future price fluctuations and the degree of      
   correlation between the options and securities markets. By writing put
   options on equity securities, the Alternative Income Portfolio gives up the           
   opportunity to benefit from potential increases in the value of the common    
   stocks above the exercise prices of the written put options, but continues
   to bear the risk of declines in the value of its common stock portfolio. The     
   Alternative Income Portfolio will receive a premium from writing a covered    
   call option that it retains whether or not the option is exercised. The       
   premium received from the written options may not be sufficient to offset any
   losses sustained from the volatility of the underlying equity securities over
   time.                                                                         
  
o  REITs Risk: REITs may be affected by economic forces and other factors related
   to the real estate industry. Investing in REITs may involve risks similar to  
   those associated with investing in small capitalization companies. REITs may  
   have limited financial resources, may trade less frequently and in a limited  
   volume and may be subject to more abrupt or erratic price movements than      
   larger company securities. Historically, small capitalization stocks, such as
   REITs, have been more volatile in price than the larger capitalization stocks
   included in the S&P 500® Index.   

Who may want to invest?
The Alternative Income Fund may be appropriate for investors who:

o  wish to generate income and capital;

o  want to diversify their portfolios;

o  want to allocate some portion of their long-term investments to international
   equity investing;      

o  are willing to accept the volatility associated with equity investing; and

o  are comfortable with the risks described herein.

Performance

The bar chart and table shown below illustrate the variability of the
Alternative Income Fund's returns. The bar chart indicates the risks of
investing in the Alternative Income Fund by showing the changes in the
Alternative Income Fund's performance from year to year (on a calendar
year basis). The table shows how the Alternative Income Fund's average
annual returns, before and after taxes, compare with those of a broad
measure of market performance. The past performance of the Alternative
Income Fund, before and after taxes, is not necessarily an indication
of how the Alternative Income Fund or the Alternative Income Portfolio
will perform in the future. Updated performance information is available
on the Fund's website at http://www.kineticsfunds.com or by calling the
Fund toll-free at (800) 930-3828.

Important note about performance reflecting the Fund's prior investment
strategy. The performance shown prior to January 1, 2013 reflects a previous
investment objective and strategy. The Fund sought long-term growth of
capital as its primary investment objective with a secondary objective to
obtain current income while investing at least 80% of its assets in securities
of companies engaged in water infrastructure and natural resources with a
specific water theme and related activities. After January 1, 2013, the Fund's
performance will reflect the significantly different investment objective
of seeking to generate income and capital gains with long-term growth of
capital as its secondary investment objective while investing in primarily
fixed income securities while utilizing an options strategy.

The Alternative Income Fund - Institutional Class Calendar Year Returns as of 12/31

During the period of time shown in the bar chart, the Fund's highest
and lowest calendar quarter returns are as follows:

Best Quarter:  2009 Q2 17.97%
Worst Quarter: 2011 Q3 -14.07%

The Fund's year-to-date return as of September 30, 2012 was 9.81%.

The Alternative Income Fund's after-tax returns as shown in the following table
are calculated using the historical highest individual federal marginal income
tax rates and do not reflect the impact of state and local taxes. Your actual
after-tax returns depend on your tax situation and may differ from those shown.
If you own Fund shares in a tax-deferred account, such as a 401(k) plan or an
individual retirement account ("IRA"), the information on after-tax returns is
not relevant to your investment.

Average Annual Total Returns as of 12/31/2011

Average Annual Total Returns Kinetics Alternative Income Fund	Label	1 Year	Since Inception	Inception Date
Institutional Class	The Alternative Income Fund (KWIIX) Institutional Return Before Taxes	(4.43%)	(4.23%)	Jun. 29, 2007
Institutional Class After Taxes on Distributions	The Alternative Income Fund (KWIIX) Institutional Return After Taxes on Distributions	(5.18%)	(4.49%)	Jun. 29, 2007
Institutional Class After Taxes on Distributions and Sales	The Alternative Income Fund (KWIIX) Institutional Return After Taxes on Distributions and Sale of Fund Shares	(2.81%)	(3.65%)	Jun. 29, 2007
Barclays U.S. 1-3 Year Credit Index	Barclays U.S. 1-3 Year Credit Index (reflects no deductions for fees, expenses or taxes)	1.75%	4.69%	Jun. 29, 2007
S&P 500® Index	S&P 500® Index (reflects no deductions for fees, expenses or taxes)	2.11%	(1.75%)	Jun. 29, 2007
ISE Water Index	ISE Water Index (reflects no deductions for fees, expenses or taxes)	(6.27%)	(1.13%)	Jun. 29, 2007
Palisades Water Index	Palisades Water Index (reflects no deductions for fees, expenses or taxes)	(10.94%)	(3.64%)	Jun. 29, 2007

Effective January 1, 2013, the Barclays U.S. 1-3 Year Credit Index has replaced
the S&P 500 as a more appropriate broad-based market index. This change reflects
the Alternative Income Fund's revised investment strategy that does not primarily
invest in equity securities. Additionally, because the Fund changed its investment
strategy such that it no longer concentrates in the water industry, effective
January 1, 2013, the ISE Water Index and Palisades Water Index have been removed
as they are no longer appropriate comparative benchmarks for the Alternative Income
Fund.

[1] Because the Alternative Income Fund is the sole feeder fund to the Alternative Income Portfolio, this table and the example below reflect the aggregate expenses of the Alternative Income Fund and the Alternative Income Portfolio.

[2] Total Annual Fund Operating Expenses do not correlate to the ratio of expenses to average net assets before expense reimbursement found in the "Financial Highlights" section of this Prospectus which reflects the Alternative Income Fund's operating expenses and does not include Acquired Fund Fees and Expenses ("AFFE").

[3] Kinetics Asset Management LLC, the investment adviser to each portfolio ("Portfolio") of the Kinetics Portfolio Trust (the "Investment Adviser") has contractually agreed to reimburse the Alternative Income Fund the portion of the shareholder servicing fee in excess of 0.05% of average daily net assets until at least January 1, 2014. In addition, the Investment Adviser to the Alternative Income Portfolio has voluntarily agreed to waive management fees and reimburse Fund expenses so that Net Annual Fund Operating Expenses do not exceed 0.75%, excluding AFFE, through January 1, 2014. These waivers and reimbursements may be discontinued at any time by the Investment Adviser after January 1, 2014.