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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES

Investment Company Act file number 811-01355

The Alger Funds
(Exact name of registrant as specified in charter)

360 Park Avenue South New York, New York 10010
(Address of principal executive offices) (Zip code)

Mr. Hal Liebes

Fred Alger Management, Inc.

360 Park Avenue South

New York, New York 10010
(Name and address of agent for service)

Registrant's telephone number, including area code: 212-806-8800

Date of fiscal year end: October 31

Date of reporting period: October 31, 2015

Table of Contents


The Alger Funds
Shareholders’ Letter (Unaudited)	1
Fund Highlights (Unaudited)	14
Portfolio Summary (Unaudited)	29
Schedules of Investments	31
Statements of Assets and Liabilities	76
Statements of Operations	84
Statements of Changes in Net Assets	88
Financial Highlights	96
Notes to Financial Statements	129
Report of Independent Registered Public Accounting Firm	167
Additional Information (Unaudited)	168

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Shareholders' Letter October 31, 2015

Dear Shareholders,

The Importance of a Differentiated Perspective when Investing
In the aftermath of the market lows of March of 2009, commentators frequently warned
that United States equities were overdue for a catastrophic correction. In past commentaries
and shareholder letters, however, I have maintained that U.S. equities had strong potential
for generating gains, and as we have seen in the ensuing timeframe, U.S. equities have been
one of the strongest performing asset classes. We continue to believe that U.S. equities offer
attractive return potential and have appealing risk and reward dynamics. We believe that an
expanding U.S. economy, improving corporate fundamentals, strong company management,
and various international developments are likely to support equities. At the same time,
we have maintained that market dips would be opportunities for buying U.S. equities at
attractive valuations. We believe, the pundits have been wrong, and continue to be wrong,
in succumbing to a myopic view of market disruptions. This shortsightedness, which we
believe still exists today, is something that Alger’s analysts are trained to avoid.

From the market low of 2009 to October 31, 2015, the S&P 500 index had a cumulative
return of 250%. For the 12-month reporting period ended October 31 of this year, the S&P
500 generated a 5.20% gain. During the reporting period, market dips were attractive buying
opportunities, especially late in the summer, when the S&P rallied more than 10% from
the late August market low until the end of the reporting period. Foreign equity markets,
however, have been challenging. For the reporting period, the MSCI ACWI ex USA Index
generated a -4.26% return and the MSCI Emerging Markets Index declined 14.26%. We
continue to believe, however, that foreign equities have potential for generating gains over
the long term, although periods of substantial volatility will occur.

In this letter, I explain why events in the U.S. and abroad didn’t cause us to change our
outlook and how our in-depth research of industries and individual companies supported
our firm’s differentiated view of equities even as commentators increasingly opined that
markets would collapse.

Navigating Market Risk
Alger analysts focus on fundamental, research-driven stock selection and they specialize
in covering specific industries, which helps our firm keep domestic and global economic
changes and other developments in perspective. Alger’s analysts assess which companies
are likely to benefit from dynamic change and which companies are likely to fail to take
advantage of change. This philosophy, in place now for 51 years, has been our guiding
principle. In addition, our perspective isn’t limited to U.S. equities. Indeed, research from our
emerging markets and international teams helps our firm assess large-scale trends that often
drive equity markets across the globe.

Alger Research and U.S. Markets
Our perspective on declining energy prices is an example of how we assess rapid and large-
scale changes that frequently reshape the business landscape. During the reporting period,
declining oil and natural gas prices created fear that energy companies would experience
sharp declines in revenues and earnings and curtail capital expenditures. At times, investors
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feared that the reduction in capital expenditures would also stymie economic growth or at
least extend to companies that serve the energy sector. We acknowledged that those concerns
were valid and we have, in fact, seen substantial declines in revenues for many industrial and
energy companies. Yet, throughout the reporting period, we emphasized that low fuel prices
would have a net positive impact for U.S. companies and lead to, among other things, steady
job creation that would help stimulate the U.S. economy by supporting consumer spending.
All this while lower energy prices would help reduce corporate operating costs, especially
for airlines, cruise ship operators, ink producers, paint manufacturers, and specialty chemical
providers.

Our belief in a potential shift in consumer spending was realized. During the 12-month
reporting period ended October 31, a significant decline in Americans’ spending on fuel
occurred while sales at retailers, excluding gasoline stations, climbed at a substantial rate of
4.9%, according to the U.S. Census Bureau. As a fundamental, bottom-up investment firm,
we used our knowledge of individual companies and industries to assess which corporations
had the strongest potential for benefiting from increasing consumer spending. Among
retailers, we continued to believe that leading online stores would benefit not only from
increasing consumer spending but also from capturing market share from traditional brick
and mortar companies.

The Web of Global Economics, the Federal Reserve, and Corporate Earnings
From a broader perspective, a mishmash of global and domestic developments drove
market volatility. As concerns that corporate earnings would be hurt by declining oil prices
strengthened, investors grew fearful that both a strengthening U.S. dollar and a slowdown
in economic growth in various countries, including China and Brazil, would curtail our
country’s exports. In addition, the value of U.S. multinationals’ foreign earnings could be
crimped when repatriated, thanks to the strong U.S. dollar. In Europe, fears over Greece’s
debt crisis festered along with concerns that an embargo targeting Russia in response to the
country’s intervention in the Ukraine would further hinder eurozone growth. Against that
backdrop, economic growth in the U.S. drove speculation that the Federal Reserve would
raise interest rates, thereby providing a headwind for both the economy and corporate
earnings. Fear continued in the late summer when China changed the onshore yuan’s
daily fixing calculation, which resulted in currency devaluation and misguided speculation
that the moderation of the country’s economic growth was worse than feared. Without a
doubt, those issues created a smorgasbord of fears for the financial press and pundits who
increasingly forecasted gloom and doom. As those events unfolded, however, we urged,
investors to avoid overreacting to short-term disruptions and, when possible, to buy U.S.
equities during market dips.

Our Optimistic Perspective
For Alger, our best thinking comes not from listening to pundits, but instead from the
collective efforts of our more than 40-person investment team. We focus our efforts on
developing our research, improving our analysis, and understanding how change will impact
businesses. During the reporting period, we continued to serve our clients by searching
for companies across the globe with attractive potential for growing their earnings. We
reasoned that certain fears that fueled negative views of U.S. equities also created potential
opportunities and that “headline” developments were not as bad as some believed.

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With China, we continued to believe that the country’s central bank, the People’s Bank of
China, was willing to provide additional stimulus if needed and that the country’s economy
was heading for a soft landing. Since starting its easing cycle in November of 2014, the
bank has lowered interest rates six times. It has also lowered banking reserve requirements.
China is also working to increase the role of both domestic consumption and its service
industry in fostering economic growth while the country continues to improve its global
trading infrastructure with programs such as “One Belt, One Road” and “Made in China
2025.” For the third quarter, China’s GDP grew 6.9% from the year earlier, which fell short
of the country’s goal of 7.0%. Other data, however, have been encouraging, including an
8.4% growth rate for the country’s service sector during the first nine months of the year.

We also held to our belief that central banks for Japan and the eurozone would continue
with stimulus programs, including asset purchases, or quantitative easing. While Japan’s GDP
declined marginally in the second and third quarters, we remained optimistic that stimulus,
currency weakness, and other developments such as growing corporate activism would
eventually drive expansion. Regarding the eurozone, we have maintained that conditions,
while not likely to rapidly improve, would not worsen drastically. Encouragingly, for the
second quarter of 2015, its economy expanded at a slow, but nevertheless positive, 1.5%
year-on-year rate.

During the reporting period, we also maintained that volatility in equities across the globe
was a result of investors overreacting to the potential for the Federal Reserve to raise
interest rates. We maintained that with low and sometimes negative debt yields in certain
countries, foreign investors have been flocking to U.S. bonds, which could help keep interest
rates low even as the Fed increases its benchmark rate. In our opinion, Fed rate increases,
furthermore, are likely to be gradual and modest.

Looking abroad, we continued to maintain that emerging markets and other non-U.S.
equities offered potential for attractive gains. With emerging market equities, furthermore,
we have maintained that valuations are highly attractive with the asset class trading at an
approximately 30% discount to stocks of developed markets.

The U.S. Economy and Corporate Fundamentals
Our optimism is based, in part, on the growing strength of the U.S. economy and the
strength of fundamentals among domestic businesses. Americans’ finances have been
strengthening with the national savings rate running at nearly 5.0%, which is higher than the
approximately 3% pace that existed prior to the financial crisis. At the same time, Americans’
debt service burden is relatively low at 10.1% of disposable personal income compared to
the 11.4% average since 1980 and the peak of more than 13% at the end of 2007. While
job growth has been slow, the country has added jobs every month since October of 2010
and the seasonally adjusted unemployment rate has fallen from a post-financial crisis high
of 10.0% to only 5.1%. With more Americans working and personal finances improving,
individuals are likely to increase their spending, which could support both economic growth
and corporate earnings.

Strength in the real estate market has also continued. The National Association of Home
Builders Housing Market Index, which measures sentiment toward the real estate market
among builders, climbed 10 points year over year to 64 for October. At the same time,
housing prices have climbed, with existing home prices up 6.2% year over year in September.

- 3 -

Housing starts, which are still below historical averages, have been strengthening and have
reached an annualized rate of 1.2 million units. The combination of increasing prices and
below-average housing starts implies that the real estate recovery has considerable potential
for strengthening. In addition to the real estate recovery creating new construction jobs
and supporting industries that provide trucks, equipment, and home building materials,
the resulting higher home prices can help make Americans feel richer and thereby support
consumer spending.

Other economic indicators are encouraging. According to the Institute for Supply
Management, economic activity among manufacturers has increased for 34 consecutive
months. Capital expenditures in the U.S., furthermore, have increased at an average rate of
3.25% this year despite energy companies tightening their belts. The current spending rate
is below historical averages, suggesting that potential exists for businesses to further increase
capital outlays. In a similar manner, spending on research and development among S&P
500 companies has surged, setting a 10-year record at $54.4 billion in the second quarter,
according to FactSet Research Systems Inc.

Finally, corporate fundamentals are strong with S&P 500 ex-energy earnings expected to
grow at a high single-digit annualized rate this year after stripping out the impact of currency
exchange rates. With strong fundamentals, corporations are continuing to grow their cash
balances. At the end of the second quarter, S&P 500 companies (not including financials)
held $1.43 trillion in cash, up 5.5% year over year and 3.9% quarter over quarter, according
to FactSet. High cash balances and strong fundamentals are allowing corporations to return
capital to investors at an impressive rate, with dividends and stock buybacks expected to
total $1 trillion this year, which would be an all-time record and a $64 billion increase from
last year, according to S&P Capital IQ. Mergers and acquisitions are also continuing at a
brisk pace.

The Road Ahead
We have learned in our 51 years of history that "good” television and “good” press are fueled
most easily by talking heads who forecast doom and gloom for financial markets. Fortunately,
we have also learned that the best research is done not by reading the newspaper or watching
television, but instead by doing the hard work of talking to company management, reading
voluminous company filings, understanding how a company drives revenue and profit
growth, and most importantly, by believing what our research and analysis indicates. It is
also important to have conviction that allows us to look through the next three months
and to predict what the future truly holds for a company, industry, or sector. We maintain
that well-managed companies that can capture market share with compelling products and
services have potential over the long run for generating attractive returns and are best suited
for weathering periods of market volatility. At Alger, we will continue to use our time-tested
and research-driven investment strategy to find companies, whether in the U.S. or not, that
we believe have the most potential for generating strong returns over time for our clients.

Portfolio Matters
Alger Capital Appreciation Fund
The Alger Capital Appreciation Fund returned 9.15% for the fiscal 12-month period ended
October 31, 2015, compared to the 9.18% return of the Russell 1000 Growth Index.

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During the period, the largest sector weightings were Information Technology and Health
Care. The largest sector overweight was Health Care and the largest sector underweight
was Consumer Staples. Relative outperformance in the Information Technology and Health
Care sectors was the most important contributor to performance, while Consumer Staples
and Energy detracted from results.

Among the most important relative contributors were Allergan PLC.; Alphabet, Inc., Cl.
C; CVS Caremark Corp.; and Amazon.com, Inc. Regarding Alphabet, Class C shares were
held during the entire reporting period. During that timeframe, the shares generated a
positive return and supported performance. Shares of Facebook, Inc., Cl. A also supported
performance. Facebook performed strongly late in the reporting period after the company
reported continued strong user growth and said earnings and operating margins exceeded
consensus expectations, with exceptionally strong mobile advertising revenues helping to
offset the adverse impact upon foreign revenues of a strong U.S. dollar.

Conversely, detracting from overall results on a relative basis were Alphabet, Inc., Cl. A;
Yum! Brands, Inc.; The Kraft Heinz Co.; and Weatherford International PLC. Unlike Class
C shares of Alphabet, Class A shares were sold early in the reporting period. During the
shortened holding period, Class A shares declined in value. Shares of SunEdison, Inc. also
detracted from results. The company develops and operates commercial and utility-scale
solar and wind-energy projects. Its stock surrendered gains achieved during the first half
of 2015 because investors began scrutinizing the company’s debt, operating losses, and
acquisition strategy. In addition, investors grew concerned that low oil prices may make the
development of new alternative energy projects less appealing.

Alger International Growth Fund
The Alger International Growth Fund returned 2.85% for the fiscal 12-month period ended
October 31, 2015, compared to the -4.26% return of the MSCI ACWI ex USA Index.

During the period, the largest sector weightings were Financials and Health Care. The
largest sector overweight was Information Technology and the largest sector underweight
was Financials. Relative outperformance in the Information Technology and Financials
sectors was the most important contributor to performance, while Health Care and Energy
detracted from results.

Stock selection among holdings in France, the Netherlands, and the United Kingdom
provided the greatest contribution to relative performance, while Japan, Denmark, and
Switzerland were among countries that detracted from results.

Among the most important relative contributors were CRRC Corp., Ltd.; Altice NV, Cl. A;
Avago Technologies Ltd.; and Grand City Properties SA. Shares of Ubisoft Entertainment
also supported performance. Ubisoft is a French video game publisher. Its stock performance
strengthened late in the reporting period after the company said quarterly revenues exceeded
guidance, thanks to strong sales of its key video game titles and the release of new games.
Broadly speaking, video game sales have been benefiting from the release of new gaming
consoles two years ago.

Conversely, detracting from overall results on a relative basis were Canadian Natural
Resources Ltd.; Novartis AG; Cemex SAB de CV Sponsored ADR; and Baidu, Inc. Shares
of Weatherford International PLC. also detracted from results. Weatherford provides

- 5 -

equipment and services for drilling, evaluation, completion, and production of oil and
natural gas wells. Performance of Weatherford stock was weak in the reporting period along
with most other energy related stocks. With energy prices declining substantially, investors
grew concerned that capital expenditures among energy companies would be cut, which
could have a negative impact on Weatherford earnings.

Alger Mid Cap Growth Fund
The Alger Mid Cap Growth Fund returned 1.23% for the fiscal 12-month period ended
October 31, 2015, compared to the 4.94% return of the Russell Midcap Growth Index.

During the period, the largest sector weightings were Consumer Discretionary and
Information Technology. The largest sector overweight was Information Technology
and the largest sector underweight was Consumer Staples. Relative outperformance in
the Consumer Discretionary and Materials sectors was the most important contributor to
performance, while Health Care and Information Technology detracted from results.

Among the most important relative contributors were Norwegian Cruise Line Holdings Ltd.;
Rite Aid Corp.; Acuity Brands, Inc.; and Dealertrack Technologies, Inc. Shares of cruise ship
operator Royal Caribbean Cruises Ltd. also supported performance late in the reporting
period after the company said its quarterly earnings exceeded expectations, thanks in part
to lower fuel prices. Royal Caribbean Cruises management also raised full-year earnings
guidance and said prices and first quarter 2016 bookings are up on a year-over-year basis.

Conversely, detracting from overall results on a relative basis were Whiting Petroleum Corp.;
Salix Pharmaceuticals Ltd.; La Quinta Holdings, Inc.; SunEdison, Inc.; and Tenet Healthcare
Corp. Shares of SunEdison underperformed in response to reasons described in the Alger
Capital Appreciation Fund discussion.

Alger SMid Cap Growth Fund
The Alger SMid Cap Growth Fund returned -0.31% for the fiscal 12-month period ended
October 31, 2015, compared to the 4.17% return of the Russell 2500 Growth Index.

During the period, the largest sector weightings were Information Technology and Health
Care. The largest sector overweight was Information Technology and the largest sector
underweight was Materials. Relative outperformance in the Financials and Consumer
Discretionary sectors was the most important contributor to performance, while Health
Care and Information Technology were among sectors that detracted from results.

Among the most important relative contributors were Vantiv, Inc., CL. A; Proofpoint, Inc.;
Acuity Brands, Inc.; and Vulcan Materials Co. Shares of Neurocrine Biosciences, Inc. also
supported performance. The company is developing novel therapeutics for central nervous
system disorders and other health issues. Its stock performance benefited from the company
achieving favorable phase 3 results for Elagolix, which is being developed for an often
painful disorder of the uterus called endometriosis. The results also supported optimism
that Elagolix may be developed for treating fibroids, or non-cancerous growths, of the
uterus.

Conversely, detracting from overall results on a relative basis were Whiting Petroleum
Corp.; Salix Pharmaceuticals Ltd.; Skyworks Solutions, Inc.; and NN Inc. Also detracting
from performance were shares of Tetraphase Pharmaceuticals. Tetraphase is a clinical-
stage biopharmaceutical company that develops antibiotics for the treatment of serious
- 6 -

drug-resistant infections. Its eravacycline product is being developed for urinary and intra-
abdominal infections. Shares of Tetraphase declined following disappointing results from a
late-stage study of the product’s use for treating complicated urinary infections.

Alger Small Cap Growth Fund
The Alger Small Cap Growth Fund returned 0.16% for the fiscal 12-month period ended
October 31, 2015, compared to the 3.52% return of the Russell 2000 Growth Index.

During the period, the largest sector weightings were Information Technology and Health
Care. The largest sector overweight was Information Technology and the largest sector
underweight was Industrials. Relative outperformance in the Consumer Discretionary and
Materials sectors was the most important contributor to performance, while Industrials and
Information Technology detracted from results.

Among the most important relative contributors were Bluebird Bio, Inc.; Incyte Corp.;
Ultragenyx Pharmaceutical, Inc.; and Proofpoint, Inc. Shares of Neurocrine Biosciences,
Inc. also supported performance. The company is developing novel therapeutics for central
nervous system disorders and other health issues. Its stock performance during the early
portion of the reporting period benefited from reasons described in the Alger SMid Cap
Growth discussion.

Conversely, detracting from overall results on a relative basis were Shutterstock, Inc.;
Synageva BioPharma Corp.; GenMark Diagnostics, Inc.; and Adeptus Health, Inc., Cl. A.
Shares of Abaxis, Inc. also detracted from results. Abaxis provides point-of-care solutions
for health care providers and veterinarians. In the human medical market, its Piccolo Xpress
product provides results for over 30 blood-chemistry tests in less than 12 minutes. In the
veterinarian market, Abaxis is well positioned to take market share from its main competitor,
Idexx Laboratories Corp., which has started selling directly to customers rather than using
distributors. First-quarter results for Abaxis, however, fell short of expectations.

Alger Small Cap Focus Fund
The Alger Small Cap Focus Fund returned 3.78% for the fiscal 12-month period ended
October 31, 2015, compared to the 3.52% return of the Russell 2000 Growth Index. Prior
to August 7, 2015, the Fund followed different investment strategies under the name “Alger
Growth Opportunities Fund” and prior to February 12, 2015, was managed by a different
portfolio manager.

For the 12-month reporting period, the Fund’s most important relative contributors were
Manhattan Associates, Inc.; Cantel Medical Corp.; Incyte Corp.; and Blackbaud, Inc. Shares
of Tyler Technologies, Inc. also contributed to performance. The company provides
integrated software and technology services to cities, counties, states, and school districts.
Its stock outperformed in the third quarter due, in part, to favorable earnings results that
were better than expected, but more significantly due to multiple expansion as a result of
the company’s durable business model. Tyler has demonstrated a business model that has
performed to date with relatively low volatility regardless of macroeconomic conditions.
Over the long-run, Tyler has been a prudent operator with strong management and a
consistent merger and acquisition strategy.

Conversely, detracting from overall results on a relative basis were Shutterstock Inc.;
Cepheid; Fiesta Restaurant Group, Inc.; and Abaxis, Inc. Shutterstock provides an online

- 7 -

marketplace for commercial digital images, including photographs and videos, for corporate
communications, websites, and other markets. Its competitive position has come into
question since a previously weak competitor was acquired by deep-pocketed Adobe Systems
Inc. and relaunched. Even though Shutterstock management has not acknowledged any
negative impact from the acquisition, it has lowered guidance for the year, stating that results
in Europe have been soft, which we believe indicates competitive pressures. We believe fears
regarding competition will persist for the long term. We have sold the position.

Alger Health Sciences Fund
The Alger Health Sciences Fund returned 1.72% for the fiscal 12-month period ended
October 31, 2015, compared to the 5.20% return of the S&P 500 index.

During the period, the largest sector weightings were Biotechnology and Pharmaceuticals.
The largest sector overweight was Biotechnology and the largest sector underweight was
Consumer Staples. Relative outperformance in the Biotechnology sector was the most
important contributor to performance, while Pharmaceuticals detracted from results.

Among the most important relative contributors were Allergan PLC.; Pharmacyclics, Inc.;
Anacor Pharmaceuticals, Inc.; and Rite Aid Corp. Shares of medical insurer Cigna Corp.
also supported results. Cigna stock performed strongly after Anthem, Inc. offered to buy
the company late in the second quarter.

Conversely, detracting from overall results on a relative basis were Pacira Pharmaceuticals,
Inc.; Salix Pharmaceuticals Ltd.; Ocular Therapeutix Inc.; and Illumina Inc. Shares of
Insulet Corp. also detracted from results. Insulet provides tubeless insulin pump devices
that diabetics use to take insulin. The company is also seeking other medications that can
be administered with the technology. It experienced various changes with its management
team early in the reporting period. The new management team lowered earnings guidance
to what it believes is a more reasonable level, which hurt the performance of Insulet stock.

Alger Growth & Income Fund
The Alger Growth & Income Fund returned 4.26% for the fiscal 12-month period ended
October 31, 2015, compared to the 5.20% return of the S&P 500 index.

The Fund invests in companies that are classified in one of the following categories:
Dividend Leaders, which generate high dividend yields; Dividend Growers, which have a
history of strong and consistent dividend growth; and Kings of Cash Flow, which have
strong potential for capital appreciation and returning cash to investors as a result of
generating strong free cash flow. During the reporting period, we continued to emphasize
Dividend Growers.

The largest sector weightings were Information Technology and Financials. The largest
sector overweight was Consumer Staples and the largest sector underweight was Information
Technology. Relative outperformance in the Energy and Consumer Staples sectors was the
most important contributor to performance, while Information Technology and Utilities
detracted from results.

Among the most important relative contributors were Royal Caribbean Cruises Ltd.; Altria
Group, Inc.; The Home Depot, Inc.; Avago Technologies Ltd.; and The Blackstone Group
LP. Shares of Royal Caribbean Cruises performed strongly in response to reasons identified
in the Alger Mid Cap Growth Fund discussion.
- 8 -

Conversely, detracting from overall results on a relative basis were Royal Dutch Shell PLC.,
Cl. A; Seagate Technology PLC.; CSX Corp.; and Halliburton Company. Also detracting
from performance was TerraForm Power, Inc., Cl. A. TerraForm owns and operates solar
and wind energy generation facilities in the United States, Canada, the United Kingdom, and
Chile that it acquires from SunEdison, Inc. and other companies. Investors have become
concerned over SunEdison’s debt and the decreased appeal of alternative energy in the
wake of drastically declining oil prices. TerraForm’s growth could be curtailed if SunEdison
reduces its new projects.

On behalf of our 159 employees, I thank you for putting your trust in Alger.

Sincerely,

Daniel C. Chung, CFA
Chief Investment Officer
Fred Alger Management, Inc.
_______________________________

Investors cannot invest directly in an index. Index performance does not reflect the
deduction for fees, expenses, or taxes.

This report and the financial statements contained herein are submitted for the general
information of shareholders of the funds. This report is not authorized for distribution to
prospective investors in a fund unless preceded or accompanied by an effective prospectus
for the fund. Fund performance returns represent the 12-month period return of Class
A shares prior to the deduction of any sales charges and include the reinvestment of any
dividends or distributions.

The performance data quoted represents past performance, which is not an
indication or guarantee of future results.
Standardized performance results can be found on the following pages. The investment
return and principal value of an investment in a fund will fluctuate so that an investor’s
shares, when redeemed, may be worth more or less than their original cost. Current
performance may be lower or higher than the performance quoted. For performance data
current to the most recent month-end, visit us at www.alger.com or call us at (800) 992-3863.

The views and opinions of the funds’ management in this report are as of the date of the
Shareholders’ Letter and are subject to change at any time subsequent to this date. There
is no guarantee that any of the assumptions that formed the basis for the opinions stated
herein are accurate or that they will materialize. Moreover, the information forming the
basis for such assumptions is from sources believed to be reliable; however, there is no
guarantee that such information is accurate. Any securities mentioned, whether owned in a
fund or otherwise, are considered in the context of the construction of an overall portfolio
of securities and therefore reference to them should not be construed as a recommendation
or offer to purchase or sell any such security. Inclusion of such securities in a fund and
transactions in such securities, if any, may be for a variety of reasons, including without
limitation, in response to cash flows, inclusion in a benchmark, and risk control. The
reference to a specific security should also be understood in such context and not viewed as
- 9 -

a statement that the security is a significant holding in a fund. Please refer to the Schedule
of Investments for each fund which is included in this report for a complete list of fund
holdings as of October 31, 2015. Securities mentioned in the Shareholders’ Letter, if not
found in the Schedule of Investments, may have been held by the funds during the fiscal
period.

A Word about Risk
Investing in the stock market involves gains and losses and may not be suitable for all
investors. Growth stocks tend to be more volatile than other stocks as the price of growth
stocks tends to be higher in relation to their companies’ earnings and may be more sensitive
to market, political and economic developments. Stocks of small- and mid-sized companies
are subject to greater risk than stocks of larger, more established companies owing to such
factors as limited liquidity, inexperienced management, and limited financial resources.
Investing in foreign securities involves additional risk (including currency risk, risks related
to political, social or economic conditions, and risks associated with foreign markets, such
as increased volatility, limited liquidity, less stringent regulatory and legal system, and lack
of industry and country diversification), and may not be suitable for all investors. Some
of the countries where a fund can invest may have restrictions that could limit the access
to investment opportunities. The securities of issuers located in emerging markets can be
more volatile and less liquid than those of issuers in more mature economies. Investing
in emerging markets involves even higher levels of risk, including increased information,
market, and valuation risks, and may not be suitable for all investors. Special risks associated
with investments in emerging country issuers include exposure to currency fluctuations, less
liquidity, less developed or less efficient trading markets, lack of comprehensive company
information, political instability and different auditing and legal standards.

Funds that participate in leveraging, such as Capital Appreciation, SMid Cap, and Health
Sciences, are subject to the risk that borrowing money to leverage will exceed the returns for
securities purchased or that the securities purchased may actually go down in value; thus, a
fund’s net asset value can decrease more quickly than if the fund had not borrowed.

A small investment in derivatives could have a potentially large impact on a fund’s
performance. When purchasing options, a fund bears the risk that if the market value of
the underlying security does not move to a level that would make exercise of the option
profitable, the option will expire unexercised. When a call option written by a fund is
exercised, the fund will not participate in any increase in the underlying security’s value
above the exercise price. When a put option written by a fund is exercised, the fund will
be required to purchase the underlying security at a price in excess of its market value. Use
of options on securities indexes are subject to the risk that trading in the options may be
interrupted if trading in certain securities included in the index is interrupted, the risk that
price movements in a fund’s portfolio securities may not correlate precisely with movements
in the level of an index, and the risk that Fred Alger Management, Inc. may not predict
correctly movements in the direction of a particular market or of the stock market generally.
Because certain options may require settlement in cash, a fund may be forced to liquidate
portfolio securities to meet settlement obligations. Forward currency contracts are subject
to currency exchange rate risks and the risk that Fred Alger Management, Inc. may not
predict accurately future foreign exchange rates. Derivative contracts generally are subject to

- 10 -

the risk of non-performance by the contract counterparty. For a more detailed discussion
of the risks associated with a fund, please see the Prospectus.

Before investing, carefully consider a fund’s investment objective, risks, charges,
and expenses. For a prospectus or a summary prospectus containing this and other
information about The Alger Funds call us at (800) 992-3863 or visit us at www.alger.
com. Read it carefully before investing.
Fred Alger & Company, Incorporated, Distributor. Member NYSE Euronext, SIPC.
NOT FDIC INSURED. NOT BANK GUARANTEED. MAY LOSE VALUE.
Definitions:

• The S&P 500 is an unmanaged index generally representative of the U.S.
stock market without regard to company size.
• The MSCI ACWI ex USA Index is a market capitalization-weighted index de-
signed to provide a broad measure of equity market performance throughout
the world, including both developed and emerging markets, but excluding the
United States.
• The MSCI Emerging Markets Index is a free float-adjusted market capital-
ization index that is designed to measure equity market performance in the
global emerging markets.
• The Russell 1000 Growth Index is an unmanaged index designed to measure
the performance of the largest 1,000 companies in the Russell 3000 Index
with higher price-to-book ratios and higher forecasted growth values.
• The Russell Midcap Growth Index measures the performance of the mid-
cap growth segment of the U.S. equity universe. It includes those Russell
Midcap Index companies with higher price-to-book ratios and higher fore-
casted growth values.
• The Russell 2500 Growth Index measures the performance of the small- to
mid-cap growth segment of the U.S. equity universe. It includes those Rus-
sell 2500 companies with higher price-to-book ratios and higher forecasted
growth values.
• The Russell 2000 Growth Index measures the performance of the small-cap
growth segment of the U.S. equity universe. It includes those Russell 2000
companies with higher price-to-book ratios and higher forecasted growth
values.
• FactSet Research Systems Inc. is a multinational financial data and software
company.
• S&P Capital IQ provides research, data, and analysis on capital markets and
other topics for investment managers, investment banks, private equity funds,
advisory firms, corporations and universities.

- 11 -

The performance data quoted represents past performance, which is not an indication or
a guarantee of future results. The Fund’s average annual total returns include changes in
share price and reinvestment of dividends and capital gains. Since inception performance
for share classes B, C, and I is as of the Funds’ Class A shares inception date for all Funds
except that the Alger International Growth Fund Class I shares is as of its inception date.
Class A returns reflect the maximum initial sales charge and Class C and Class B returns
reflect the applicable contingent deferred sales charge.


FUND PERFORMANCE AS OF 9/30/15 (Unaudited)
AVERAGE ANNUAL TOTAL RETURNS
	1		5		10		SINCE
	YEAR		YEARS		YEARS		INCEPTION
Alger Capital Appreciation Class A (Inception 12/31/96)	(3.13	)%	13.21	%	9.89	%	8.45	%
Alger Capital Appreciation Class B (Inception 11/1/93)	(2.82	)%	13.28	%	9.76	%	8.43	%
Alger Capital Appreciation Class C (Inception 7/31/97)^*,†	0.60	%	13.55	%	9.64	%	8.22	%
Alger Capital Appreciation Class Z (Inception 12/29/10)	2.53	%	n/a		n/a		12.78	%

Alger International Growth Class A (Inception 12/31/96)	(8.45	)%	5.78	%	2.84	%	4.96	%
Alger International Growth Class B (Inception 11/11/86)	(8.83	)%	5.88	%	2.84	%	4.92	%
Alger International Growth Class C (Inception 7/31/97)^*,†	(5.09	)%	6.08	%	2.63	%	4.74	%
Alger International Growth Class I (Inception 5/31/13)	(3.22	)%	n/a		n/a		3.02	%
Alger International Growth Class Z (Inception 12/29/10)	(2.94	)%	n/a		n/a		5.48	%

Alger Mid Cap Growth Class A (Inception 12/31/96)	(8.59	)%	9.24	%	4.12	%	7.74	%
Alger Mid Cap Growth Class B (Inception 5/24/93)	(8.98	)%	9.34	%	4.03	%	7.70	%
Alger Mid Cap Growth Class C (Inception 7/31/97)^*,†	(5.30	)%	9.49	%	3.82	%	7.18	%
Alger Mid Cap Growth Class Z (Inception 5/28/15)	n/a		n/a		n/a		(13.50	)%

Alger SMid Cap Growth Class A (Inception 5/8/02)	(5.59	)%	8.54	%	6.76	%	7.33	%
Alger SMid Cap Growth Class B (Inception 5/8/02)	(5.41	)%	8.56	%	6.67	%	7.28	%
Alger SMid Cap Growth Class C (Inception 5/8/02)	(1.97	)%	8.89	%	6.53	%	7.04	%
Alger SMid Cap Growth Class I (Inception 8/5/07)^*	(0.44	)%	9.76	%	7.43	%	7.83	%
Alger SMid Cap Growth Class Z (Inception 12/29/10)	(0.08	)%	n/a		n/a		7.89	%

Alger Small Cap Growth Class A (Inception 12/31/96)	(4.19	)%	8.05	%	5.93	%	3.56	%
Alger Small Cap Growth Class B (Inception 11/11/86)	(3.96	)%	8.28	%	5.96	%	3.54	%
Alger Small Cap Growth Class C (Inception 7/31/97)^*,†	(0.61	)%	8.18	%	5.62	%	3.36	%
Alger Small Cap Growth Class Z (Inception 12/29/10)	1.23	%	n/a		n/a		6.87	%

Alger Growth Opportunities Class A (Inception 3/3/08)	(1.18	)%	9.83	%	n/a		6.26	%
Alger Growth Opportunities Class C (Inception 3/3/08)	2.74	%	10.29	%	n/a		6.26	%
Alger Growth Opportunities Class I (Inception 3/3/08)	4.60	%	11.30	%	n/a		7.26	%
Alger Growth Opportunities Class Z (Inception 12/29/10)	4.98	%	n/a		n/a		9.09	%

Alger Health Sciences Class A (Inception 5/1/02)	(1.48	)%	14.77	%	9.01	%	11.35	%
Alger Health Sciences Class B (Inception 5/1/02)	(0.83	)%	14.88	%	8.90	%	11.28	%
Alger Health Sciences Class C (Inception 5/1/02)	2.37	%	15.13	%	8.76	%	11.04	%
Alger Health Sciences Class Z (Inception 5/28/15)	n/a		n/a		n/a		(14.58	)%

Alger Growth & Income Class A (Inception 12/31/96)	(6.61	)%	9.84	%	5.77	%	7.28	%
Alger Growth & Income Class B (Inception 6/1/92)	n/a		n/a		n/a		7.24	%
Alger Growth & Income Class C (Inception 7/31/97)^*,†	(3.11	)%	10.21	%	5.55	%	7.05	%
Alger Growth & Income Class Z (Inception 3/1/12)	(1.20	)%	n/a		n/a		10.77	%

- 12 -

Beginning August 7, 2015, Alger Small Cap Focus Fund (formerly Alger Growth Opportunities Fund)
changed its investment strategy to normally invest at least 80% of its net assets, plus any borrowings for
investment purposes, in equity securities of companies that, at the time of purchase of the securities, have a
total market capitalization within the range of companies included in the Russell 2000 Growth Index.

Beginning May 31, 2013 Alger International Growth Fund (formerly Alger Large Cap Growth Fund)
changed its investment strategy to include securities of foreign companies of any market capitalization; its
previous investment strategy considered securities of United States companies with a market capitalization
equal to or greater than the companies in the Russell 1000 Growth Index.

Beginning April 1, 2011, Alger Growth & Income Fund changed its investment strategy to focus on
securities that offer opportunities for capital appreciation as well as pay dividends. Previously, under the
name “Alger Balanced Fund”, its investment strategy focused on securities, including fixed-income, with an
emphasis on income-producing and a potential for capital appreciation.

* Historical performance prior to the inception of the Class, is that of the Fund's Class A shares, which has been
adjusted to remove the sales charge imposed by Class A shares and adding the higher operating expenses of the Class
C shares.
† Since inception performance is calculated since the inception of the Class A shares. Historical performance prior to July
31, 1997, inception of the class, is that of the Fund's Class A shares, reduced to reflect the current maximum sales
charge and the higher operating expenses of Class C shares.

- 13 -

ALGER CAPITAL APPRECIATION FUND
Fund Highlights Through October 31, 2015 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger Capital
Appreciation Fund Class A shares, with a maximum sales charge of 5.25%, and the Russell 1000 Growth Index
(unmanaged index of common stocks) for the ten years ended October 31, 2015. Figures for the Alger Capital
Appreciation Fund Class A shares and the Russell 1000 Growth Index include reinvestment of dividends.
Performance for Alger Capital Appreciation Fund Class B, Class C and Class Z shares will vary from the results
shown above due to differences in expenses and sales charges those classes bear. Investors cannot invest directly in
any index. Index performance does not reflect deduction for fees, expenses, or taxes.


PERFORMANCE COMPARISON AS OF 10/31/15
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARS		12/31/1996
Class A (Inception 12/31/96)	3.43	%	14.03	%	10.87	%	8.87	%
Class B (Inception 11/1/93)	3.74	%	14.10	%	10.74	%	8.84	%
Class C (Inception 7/31/97)^*	7.42	%	14.38	%	10.62	%	8.64	%
Russell 1000 Growth Index	9.18	%	15.30	%	9.09	%	7.00	%


							Since
	1 YEAR		5 YEARS		10 YEARS		12/29/2010
Class Z (Inception 12/29/10)	9.54	%	n/a		n/a		14.42	%
Russell 1000 Growth Index	9.18	%	n/a		n/a		14.23	%

The performance data quoted represents past performance, which is not an indication or a guarantee of future results. The Fund’s
average annual total returns include changes in share price and reinvestment of dividends and capital gains. Class A returns reflect the
maximum initial sales charge and Class C and B returns reflect the applicable contingent deferred sales charge. The chart and table above
do not reflect the deduction of taxes that a shareholder would have paid on Fund distributions or on the redemption of Fund shares.
Investment return and principal will fluctuate and the Fund’s shares, when redeemed, may be worth more or less than their original cost.
Current performance may be higher or lower than the performance quoted. For updated performance, visit us at www.alger.com or call
us at (800) 992-3863

- 14 -

ALGER INTERNATIONAL GROWTH FUND
Fund Highlights Through October 31, 2015 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger International
Growth Fund Class A shares, with a maximum sales charge of 5.25%, and the MSCI AC WORLD INDEX ex
USA (unmanaged index of common stocks) for the ten years ended October 31, 2015. Beginning May 31, 2013
Alger International Growth Fund changed its investment strategy to include securities of foreign companies of
any market capitalization. Previously, under the name “Alger Large Cap Growth Fund”, its investment strategy
considered securities of United States companies with a market capitalization equal to or greater than the companies
in the Russell 1000 Growth Index. Figures for the Alger International Growth Fund Class A shares and the index
include reinvestment of dividends. Performance for the Alger International Growth Fund Class B, Class C, Class
I and Class Z shares will vary from the results shown above due to differences in expenses and sales charges those
classes bear. Investors cannot invest directly in any index. Indices performance does not reflect deduction for fees,
expenses, or taxes.


PERFORMANCE COMPARISON AS OF 10/31/15
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARS		12/31/1996
Class A (Inception 12/31/96)	(2.57	)%	6.02	%	3.71	%	5.25	%
Class B (Inception 11/11/86)	(2.96	)%	6.10	%	3.69	%	5.21	%
Class C (Inception 7/31/97)^*	0.99	%	6.31	%	3.48	%	5.03	%
MSCI AC WORLD INDEX ex USA	(4.26	)%	3.06	%	4.62	%	5.20	%


							Since
	1 YEAR		5 YEARS		10 YEARS		5/31/2013
Class I (Inception 5/31/13)	3.04	%	n/a		n/a		5.34	%
MSCI AC WORLD INDEX ex USA	(4.26	)%	n/a		n/a		2.11	%

- 16 -

ALGER INTERNATIONAL GROWTH FUND
Fund Highlights Through October 31, 2015 (Unaudited) (Continued)


					Since
	1 YEAR		5 YEARS	10 YEARS	12/29/2010
Class Z (Inception 12/29/10)	3.27	%	n/a	n/a	6.62	%
MSCI AC WORLD INDEX ex USA	(4.26	)%	n/a	n/a	2.51	%

ALGER MID CAP GROWTH FUND
Fund Highlights Through October 31, 2015 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger Mid Cap
Growth Fund Class A shares, with a maximum sales charge of 5.25%, and the Russell Midcap Growth Index (an
unmanaged index of common stocks) for the ten years ended October 31, 2015. Figures for the Alger Mid Cap
Growth Fund Class A shares and Russell Midcap Growth Index include reinvestment of dividends. Performance
for the Alger Mid Cap Growth Fund Class B, Class C and Class Z shares will vary from the results shown above due
to differences in expenses and sales charges those classes bear. Investors cannot invest directly in any index. Index
performance does not reflect deduction for fees, expenses, or taxes.


PERFORMANCE COMPARISON AS OF 10/31/15
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARS		12/31/1996
Class A (Inception 12/31/96)	(4.05	)%	9.60	%	5.14	%	8.01	%
Class B (Inception 5/24/93)	(4.54	)%	9.70	%	5.04	%	7.96	%
Class C (Inception 7/31/97)^*	(0.65	)%	9.83	%	4.82	%	7.44	%
Russell Midcap Growth Index	4.94	%	14.10	%	9.08	%	8.47	%


							Since
	1 YEAR		5 YEARS		10 YEARS		5/28/2015
Class Z (Inception 5/28/15)	n/a		n/a		n/a		(8.80	)%
Russell Midcap Growth Index	n/a		n/a		n/a		(4.31	)%

ALGER SMID CAP GROWTH FUND
Fund Highlights Through October 31, 2015 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger SMid Cap
Growth Fund Class A shares, with a maximum sales charge of 5.25%, and the Russell 2500 Growth Index (an
unmanaged index of common stocks) for the ten years ended October 31, 2015. Figures for the Alger SMid Cap
Growth Fund Class A shares and the Russell 2500 Growth Index include reinvestment of dividends. Performance
for the Alger SMid Cap Growth Fund Class B, Class C, Class I and Class Z shares will vary from the results shown
above due to differences in expenses and sales charges those classes bear. Investors cannot invest directly in any
index. Index performance does not reflect deduction for fees, expenses, or taxes.


PERFORMANCE COMPARISON AS OF 10/31/15
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARS		5/8/2002
Class A (Inception 5/8/02)	(5.54	)%	8.90	%	7.44	%	7.64	%
Class B (Inception 5/8/02)	(5.37	)%	8.94	%	7.35	%	7.58	%
Class C (Inception 5/8/02)	(1.93	)%	9.24	%	7.21	%	7.35	%
Class I (Inception 8/5/07)^*	(0.48	)%	10.11	%	8.11	%	8.13	%
Russell 2500 Growth Index	4.17	%	14.25	%	9.29	%	8.91	%


							Since
	1 YEAR		5 YEARS		10 YEARS		12/29/2010
Class Z (Inception 12/29/10)	(0.02	)%	n/a		n/a		8.75	%
Russell 2500 Growth Index	4.17	%	n/a		n/a		12.00	%

ALGER SMALL CAP GROWTH FUND
Fund Highlights Through October 31, 2015 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger Small Cap
Growth Fund Class A shares, with a maximum sales charge of 5.25%, and the Russell 2000 Growth Index (an
unmanaged index of common stocks) for the ten years ended October 31, 2015. Figures for the Alger Small Cap
Growth Fund Class A shares and the Russell 2000 Growth Index include reinvestment of dividends. Performance
for the Alger Small Cap Growth Fund Class B, Class C and Class Z shares will vary from the results shown above due
to differences in expenses and sales charges those classes bear. Investors cannot invest directly in any index. Index
performance does not reflect deduction for fees, expenses, or taxes.


PERFORMANCE COMPARISON AS OF 10/31/15
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARS		12/31/1996
Class A (Inception 12/31/96)	(5.13	)%	8.28	%	6.70	%	3.77	%
Class B (Inception 11/11/86)	(4.89	)%	8.49	%	6.72	%	3.75	%
Class C (Inception 7/31/97)^*	(1.57	)%	8.41	%	6.36	%	3.58	%
Russell 2000 Growth Index	3.52	%	13.56	%	8.67	%	6.18	%

							Since
	1 YEAR		5 YEARS		10 YEARS		12/29/2010
Class Z (Inception 12/29/10)	0.52	%	n/a		n/a		7.70	%
Russell 2000 Growth Index	3.52	%	n/a		n/a		11.14	%

ALGER SMALL CAP FOCUS FUND
Fund Highlights Through October 31, 2015 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger Small Cap
Focus Fund Class A shares, with an initial 5.25% maximum sales charge, the Russell 2000 Growth Index and the
Russell 2500 Growth Index (unmanaged indices of common stocks) from March 3, 2008, the inception date of
the Alger Small Cap Focus Fund, through October 31, 2015. Prior to August 7, 2015, the Fund followed different
investment strategies under the name “Alger Growth Opportunities Fund” and prior to February 12, 2105 was
managed by a different portfolio manager. Accordingly, performance prior to those dates does not reflect the Fund’s
current investment strategies and investment personnel. Prior to August 7, 2015 the Fund compared its performance
to the Russell 2500 Growth Index. From August 7 forward, the Fund will compare its performance to the Russell
2000 Growth Index to better reflect its investment strategies. Figures for the Alger Small Cap Focus Fund Class
A shares, the Russell 2000 Growth Index and the Russell 2500 Growth index include reinvestment of dividends.
Performance for the Alger Small Cap Focus Fund Class C, Class I and Class Z shares will vary from the results
shown above due to differences in expenses and sales charges those classes bear. Investors cannot invest directly in
any index. Index performance does not reflect deduction for fees, expenses, or taxes.


PERFORMANCE COMPARISON AS OF 10/31/15
AVERAGE ANNUAL TOTAL RETURNS
						Since
	1 YEAR		5 YEARS		10 YEARS	3/3/2008
Class A (Inception 3/3/08)	(1.68	)%	10.07	%	n/a	6.79	%
Class C (Inception 3/3/08)	2.12	%	10.51	%	n/a	6.76	%
Class I (Inception 3/3/08)	4.07	%	11.53	%	n/a	7.78	%
Russell 2000 Growth Index	3.52	%	13.56	%	n/a	9.83	%
Russell 2500 Growth Index	4.17	%	14.25	%	n/a	9.93	%

						Since
	1 YEAR		5 YEARS		10 YEARS	12/29/2010
Class Z (Inception 12/29/10)	4.43	%	n/a		n/a	9.91	%
Russell 2000 Growth Index	3.52	%	n/a		n/a	11.14	%
Russell 2500 Growth Index	4.17	%	n/a		n/a	12.00	%

- 24 -

ALGER SMALL CAP FOCUS FUND
Fund Highlights Through October 31, 2015 (Unaudited) (Continued)

The performance data quoted represents past performance, which is not an indication or a guarantee of future results. The Fund’s average
annual total returns include changes in share price and reinvestment of dividends and capital gains. Class A returns reflect the maximum
initial sales charge and Class C returns reflect the applicable contingent deferred sales charge. The chart and table above do not reflect the
deduction of taxes that a shareholder would have paid on Fund distributions or on the redemption of Fund shares. Investment return
and principal will fluctuate and the Fund’s shares, when redeemed, may be worth more or less than their original cost. Current performance
may be higher or lower than the performance quoted. For updated performance, visit us at www.alger.com or call us at (800) 992-3863.

- 25 -

ALGER HEALTH SCIENCES FUND
Fund Highlights Through October 31, 2015 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger Health
Sciences Fund Class A shares, with a maximum sales charge of 5.25%, and the S&P 500 Index (an unmanaged index
of common stocks) for the ten years ended October 31, 2015. Figures for the Alger Health Sciences Fund Class
A shares and the S&P 500 Index include reinvestment of dividends. Performance for the Alger Health Sciences
Fund Class B, Class C and Class Z shares will vary from the results shown above due to differences in expenses and
sales charges those classes bear. Investors cannot invest directly in any index. Index performance does not reflect
deduction for fees, expenses, or taxes.


PERFORMANCE COMPARISON AS OF 10/31/15
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARS		5/1/2002
Class A (Inception 5/1/02)	(3.60	)%	14.73	%	9.48	%	11.41	%
Class B (Inception 5/1/02)	(2.97	)%	14.82	%	9.37	%	11.34	%
Class C (Inception 5/1/02)	0.17	%	15.09	%	9.23	%	11.10	%
S&P 500 Index	5.20	%	14.33	%	7.85	%	7.07	%


							Since
	1 YEAR		5 YEARS		10 YEARS		5/28/2015
Class Z (Inception 5/28/15)	n/a		n/a		n/a		(13.06	)%
S&P 500 Index	n/a		n/a		n/a		(1.14	)%

~~The performance data quoted represents past performance, which is not an indication or a guarantee of future results. The Fund’s~~
average annual total returns include changes in share price and reinvestment of dividends and capital gains. Class A returns reflect the
maximum initial sales charge and Class C and B returns reflect the applicable contingent deferred sales charge. The chart and table above
do not reflect the deduction of taxes that a shareholder would have paid on Fund distributions or on the redemption of Fund shares.
Investment return and principal will fluctuate and the Fund’s shares, when redeemed, may be worth more or less than their original cost.
Current performance may be higher or lower than the performance quoted. For updated performance, visit us at www.alger.com or call
us at (800) 992-3863.

- 26 -

ALGER GROWTH & INCOME FUND
Fund Highlights Through October 31, 2015 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger Growth &
Income Fund Class A shares, with a maximum sales charge of 5.25%, and the S&P 500 Index (an unmanaged index
of common stocks), for the ten years ended October 31, 2015. Beginning April 1, 2011, Alger Growth & Income
Fund changed its investment strategy to focus on securities that offer opportunities for capital appreciation as well
as pay dividends. Previously, under the name “Alger Balanced Fund”, its investment strategy focused on securities,
including fixed-income, with an emphasis on income-producing and a potential for capital appreciation. Figures for
the Alger Growth & Income Fund Class A shares, and the S&P 500 Index include reinvestment of dividends and/
or interest. Performance for the Alger Growth & Income Fund Class C and Class Z shares will vary from the results
shown above due to differences in expenses and sales charges those classes bear. Investors cannot invest directly in
any index. Index performance does not reflect deduction for fees, expenses, or taxes.


PERFORMANCE COMPARISON AS OF 10/31/15
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARS		12/31/1996
Class A (Inception 12/31/96)	(1.21	)%	10.99	%	6.79	%	7.67	%
Class C (Inception 7/31/97)^*	2.48	%	11.35	%	6.56	%	7.45	%
S&P 500 Index	5.20	%	14.33	%	7.85	%	7.60	%

	1 YEAR		5 YEARS		10 YEARS		Since 3/1/2012
Class Z (Inception 3/1/12)	4.53	%	n/a		n/a		12.81	%
S&P 500 Index	5.20	%	n/a		n/a		14.34	%

The performance data quoted represents past performance, which is not an indication or a guarantee of future results. The Fund’s average
annual total returns include changes in share price and reinvestment of dividends and capital gains. Class A returns reflect the maximum
initial sales charge and Class C returns reflect the applicable contingent deferred sales charge. The chart and table above do not reflect the
deduction of taxes that a shareholder would have paid on Fund distributions or on the redemption of Fund shares. Prior to April 1,
2011, the Fund followed a different investment objective and different strategies under the name “Alger Balanced Fund”. The Fund will
compare its performance to the S&P 500 Index to reflect its new investment objective and strategies. Investment return and principal will
fluctuate and the Fund’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or
lower than the performance quoted. For updated performance, visit us at www.alger.com or call us at (800) 992-3863.

- 27 -

PORTFOLIO SUMMARY†
October 31, 2015 (Unaudited)


`
	Alger Capital		Alger Mid Cap Growth		Alger SMid Cap Growth		Alger Small Cap Growth
SECTORS	Appreciation Fund		Fund		Fund		Fund
Consumer Discretionary	19.5	%	24.6	%	22.3	%	12.8	%
Consumer Staples	5.5		2.8		3.5		2.3
Energy	1.8		0.7		1.0		1.4
Financials	5.6		8.5		8.1		6.6
Health Care	17.7		14.9		19.0		27.8
Industrials	8.6		14.1		16.3		7.5
Information Technology	33.4		22.7		23.0		36.0
Materials	1.4		3.1		5.3		3.0
Telecommunication Services	1.1		1.4		0.4		0.0
Utilities	0.4		0.6		0.0		0.0
Short-Term Investments and
Net Other Assets	5.0		6.6		1.1		2.6
	100.0	%	100.0	%	100.0	%	100.0	%

			Alger Small Cap Focus		Alger Health Sciences		Alger Growth & Income
SECTORS			Fund		Fund		Fund
Consumer Discretionary			1.2	%	0.0	%	13.5	%
Consumer Staples			0.0		2.6		11.7
Energy			0.0		0.0		6.5
Financials			0.3		0.0		17.4
Health Care			27.7		92.5		15.0
Industrials			4.9		0.0		11.0
Information Technology			53.3		0.0		18.2
Materials			2.1		0.0		1.1
Telecommunication Services			0.0		0.0		3.1
Utilities			0.0		0.0		0.8
Short-Term Investments and Net Other Assets			10.5		4.9		1.7
			100.0	%	100.0	%	100.0	%

- 29 -

THE ALGER FUNDS | ALGER CAPITAL APPRECIATION FUND
Schedule of Investments October 31, 2015


COMMON STOCKS—92.7%	SHARES			VALUE
ADVERTISING—0.0%
Choicestream, Inc.*^,@,(a)	82,955	$		34,841
AEROSPACE & DEFENSE—2.7%
Hexcel Corp.	80,300			3,719,496
Honeywell International, Inc.	313,094			32,336,348
Lockheed Martin Corp.	47,613			10,466,766
The Boeing Co.	154,960			22,944,927
			69,467,537
AIR FREIGHT & LOGISTICS—0.5%
United Parcel Service, Inc., Cl. B	114,441			11,789,712
AIRLINES—1.2%
Delta Air Lines, Inc.	401,200			20,397,008
United Continental Holdings, Inc.*	190,129			11,466,680
			31,863,688
ALTERNATIVE CARRIERS—0.3%
Level 3 Communications, Inc.*	129,088			6,577,034
APPAREL ACCESSORIES & LUXURY GOODS—0.1%
Ralph Lauren Corp.	16,300			1,805,551
Under Armour, Inc., Cl. A*	16,278			1,547,712
				3,353,263
APPAREL RETAIL—0.4%
VF Corp.	142,820			9,643,206
APPLICATION SOFTWARE—2.0%
Adobe Systems, Inc.*	181,289			16,073,083
salesforce.com, inc.*	441,053			34,274,228
				50,347,311
AUTO PARTS & EQUIPMENT—1.3%
Delphi Automotive PLC.	411,544		34,236,345
BIOTECHNOLOGY—6.1%
Biogen, Inc.*	82,165			23,869,754
BioMarin Pharmaceutical, Inc.*	75,370			8,821,305
Celgene Corp.*	203,356			24,953,815
Gilead Sciences, Inc.	376,460			40,706,620
Incyte Corp.*	124,302			14,609,214
Intercept Pharmaceuticals, Inc.*	14,045			2,207,874
Regeneron Pharmaceuticals, Inc.*	5,200			2,898,428
Vertex Pharmaceuticals, Inc.*	297,591			37,121,501
			155,188,511
BREWERS—1.5%
Anheuser-Busch InBev SA#	97,093			11,586,108
Molson Coors Brewing Co., Cl. B	304,678			26,842,132
			38,428,240
BROADCASTING—0.2%
CBS Corp., Cl. B	83,200			3,870,464
BUILDING PRODUCTS—0.6%
Fortune Brands Home & Security, Inc.	80,670			4,221,461
Lennox International, Inc.	80,429			10,681,776
			14,903,237

- 31 -

THE ALGER FUNDS | ALGER CAPITAL APPRECIATION FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
CABLE & SATELLITE—1.6%
Comcast Corporation, Cl. A	656,181	$		41,090,054
COMMUNICATIONS EQUIPMENT—1.5%
Arista Networks, Inc.*	147,415			9,509,742
ARRIS Group, Inc.*	298,400			8,432,784
Cisco Systems, Inc.	703,100			20,284,435
			38,226,961
COMPUTER STORAGE & PERIPHERALS—0.2%
SanDisk Corp.	56,800			4,373,600
CONSUMER FINANCE—0.1%
LendingClub Corp.*	94,045			1,333,558
DATA PROCESSING & OUTSOURCED SERVICES—4.6%
Alliance Data Systems Corp.*	75,730			22,515,286
Fiserv, Inc.*	86,689			8,366,355
Visa, Inc., Cl. A	1,122,506			87,084,016
			117,965,657
DRUG RETAIL—1.4%
CVS Caremark Corp.	188,921			18,661,616
Walgreens Boots Alliance, Inc.	202,820			17,174,798
			35,836,414
FOOD RETAIL—0.8%
The Kroger Co.	552,776		20,894,933
FOOTWEAR—0.3%
NIKE, Inc., Cl. B	54,763			7,175,596
GENERAL MERCHANDISE STORES—0.5%
Dollar General Corp.	167,892			11,378,041
Dollar Tree, Inc.*	11,455			750,188
			12,128,229
HEALTH CARE EQUIPMENT—2.2%
DexCom, Inc.*	122,600			10,215,032
Edwards Lifesciences Corp.*	143,600			22,566,740
Hologic, Inc.*	386,605			15,023,470
Steris Corp.*	118,767			8,901,587
			56,706,829
HEALTH CARE FACILITIES—0.6%
Amsurg Corp.*	40,600			2,845,654
HCA Holdings, Inc.*	189,008			13,001,860
			15,847,514
HOME ENTERTAINMENT SOFTWARE—0.3%
Activision Blizzard, Inc.	221,411			7,696,246
HOME IMPROVEMENT RETAIL—1.6%
Lowe's Companies, Inc.	211,819			15,638,597
The Home Depot, Inc.	210,665			26,046,620
			41,685,217
HOTELS RESORTS & CRUISE LINES—1.9%
Carnival Corp.	108,300			5,856,864
Ctrip.com International Ltd.#*	85,853			7,981,753
Norwegian Cruise Line Holdings Ltd.*	343,000			21,821,660

- 32 -

THE ALGER FUNDS | ALGER CAPITAL APPRECIATION FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
HOTELS RESORTS & CRUISE LINES—(CONT.)
Royal Caribbean Cruises Ltd.	120,408	$		11,842,127
			47,502,404
HOUSEWARES & SPECIALTIES—0.8%
Jarden Corp.*	429,778		19,254,054
INDUSTRIAL CONGLOMERATES—1.1%
Danaher Corp.	113,301			10,572,116
General Electric Co.	604,944			17,494,981
			28,067,097
INDUSTRIAL GASES—0.8%
Air Products & Chemicals, Inc.	151,359		21,035,874
INTERNET RETAIL—5.4%
Amazon.com, Inc.*	181,804		113,791,124
NetFlix, Inc.*	174,763			18,940,814
Qunar Cayman Islands Ltd.#*	89,150			4,327,341
			137,059,279
INTERNET SOFTWARE & SERVICES—11.9%
Alphabet, Inc., Cl. C*	190,491		135,402,908
Facebook, Inc., Cl. A*	1,061,467		108,237,790
GrubHub, Inc.*	142,707			3,422,114
LinkedIn Corp., Cl. A*	97,137			23,397,389
Palantir Technologies, Inc., Cl. A*^,@	153,282			1,379,538
Yahoo! Inc.*	877,687			31,263,211
			303,102,950
INVESTMENT BANKING & BROKERAGE—1.0%
ETRADE Financial Corp.	171,681			4,894,625
Morgan Stanley	659,734			21,751,430
			26,646,055
LIFE SCIENCES TOOLS & SERVICES—1.4%
ThermoFisherScientific,Inc.	272,307		35,612,309
MANAGED HEALTH CARE—2.1%
Aetna, Inc.	27,443			3,149,907
Cigna Corp.	73,942			9,911,186
Humana, Inc.	37,036			6,615,741
UnitedHealth Group, Inc.	291,495			34,332,281
				54,009,115
MOVIES & ENTERTAINMENT—1.7%
The Walt Disney Co.	203,564			23,153,370
Time Warner, Inc.	254,548			19,177,646
			42,331,016
MULTI-LINE INSURANCE—0.2%
Hartford Financial Services Group, Inc.	118,110			5,463,769
MULTI-UTILITIES—0.3%
Sempra Energy	67,790			6,942,374
OIL & GAS EQUIPMENT & SERVICES—0.8%
Baker Hughes, Inc.	267,359			14,084,472
Weatherford International PLC.*	674,300			6,904,832
			20,989,304

- 33 -

THE ALGER FUNDS | ALGER CAPITAL APPRECIATION FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
OIL & GAS EXPLORATION & PRODUCTION—1.0%
Anadarko Petroleum Corp.	157,538	$		10,536,141
EOG Resources, Inc.	176,300			15,135,355
			25,671,496
OTHER DIVERSIFIED FINANCIAL SERVICES—1.1%
Bank of America Corp.	1,377,841			23,120,172
Citigroup, Inc.	95,852			5,096,451
			28,216,623
PHARMACEUTICALS—5.2%
Allergan PLC.*	184,722			56,981,195
Bristol-Myers Squibb Co.	539,560			35,583,982
Eli Lilly & Co.	112,800			9,201,096
Pfizer,Inc.	358,600			12,127,852
Shire PLC.	233,683			17,692,427
			131,586,552
RAILROADS—0.5%
UnionPacificCorp.	143,726		12,841,918
REGIONAL BANKS—1.1%
Citizens Financial Group, Inc.	1,192,800		28,985,040
RENEWABLE ELECTRICITY—0.1%
TerraForm Global, Inc., Cl. A*^,@,(b)	476,211			3,270,138
RESTAURANTS—3.1%
McDonald's Corp.	322,207			36,167,736
Starbucks Corp.	342,835			21,451,186
Yum! Brands, Inc.	310,164			21,993,729
			79,612,651
SECURITY & ALARM SERVICES—0.5%
Tyco International PLC.	351,658		12,814,418
SEMICONDUCTOR EQUIPMENT—0.7%
Lam Research Corp.	180,300			13,809,177
SunEdison, Inc.*	433,077			3,161,462
			16,970,639
SEMICONDUCTORS—2.9%
Avago Technologies Ltd.	196,896			24,243,805
Broadcom Corp., Cl. A	384,613			19,769,108
Microsemi Corp.*	168,900			6,082,089
NXP Semiconductors NV*	315,967			24,756,014
			74,851,016
SOFT DRINKS—1.2%
PepsiCo, Inc.	289,292		29,562,749
SPECIALIZED FINANCE—0.2%
McGraw Hill Financial, Inc.	56,564			5,240,089
SPECIALTY CHEMICALS—0.6%
PPG Industries, Inc.	150,361		15,676,638
SPECIALTY STORES—0.6%
Signet Jewelers Ltd.	96,981		14,638,312
SYSTEMS SOFTWARE—4.5%
Microsoft Corp.	1,900,788		100,057,480

- 34 -

THE ALGER FUNDS | ALGER CAPITAL APPRECIATION FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES					VALUE
SYSTEMS SOFTWARE—(CONT.)
ServiceNow, Inc.*	187,066			$		15,273,939
					115,331,419
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—4.5%
Apple, Inc.	962,930				115,070,135
TOBACCO—0.6%
Altria Group, Inc.	271,606				16,424,015
TRADING COMPANIES & DISTRIBUTORS—1.5%
HD Supply Holdings, Inc.*	739,378					22,026,071
United Rentals, Inc.*	220,400					16,499,144
					38,525,215
WIRELESS TELECOMMUNICATION SERVICES—0.8%
SBA Communications Corp., Cl. A*	180,143				21,440,620
TOTAL COMMON STOCKS
(Cost $2,038,013,586)					2,365,409,480
PREFERRED STOCKS—0.4%	SHARES					VALUE
ADVERTISING—0.0%
Choicestream, Inc., Cl. A*^,@,(a)	715,332					300,439
Choicestream, Inc., Cl. B*^,@,(a)	1,649,956					692,982
						993,421
INTERNET SOFTWARE & SERVICES—0.3%
Palantir Technologies, Inc., Cl. B*^,@	625,130					5,626,170
Palantir Technologies, Inc., Cl. D*^,@	81,445					733,005
						6,359,175
PHARMACEUTICALS—0.1%
Intarcia Therapeutics, Inc.*^,@	76,682					2,889,378
TOTAL PREFERRED STOCKS
(Cost $8,711,512)						10,241,974
MASTER LIMITED PARTNERSHIP—1.2%	SHARES					VALUE
ASSET MANAGEMENT & CUSTODY BANKS—1.2%
The Blackstone Group LP.	953,452				31,521,123
(Cost $31,448,613)						31,521,123
REAL ESTATE INVESTMENT TRUST—0.7%	SHARES					VALUE
MORTGAGE—0.7%
Blackstone Mortgage Trust, Inc., Cl. A	597,760				16,450,355
(Cost $17,621,280)						16,450,355
Total Investments
(Cost $2,095,794,991)^(c)	95.0	%			2,423,622,932
Other Assets in Excess of Liabilities	5.0	%			128,392,109
NET ASSETS	100.0	%	$	2,552,015,041

# American Depositary Receipts.
(a) Deemed an affiliate of the Alger fund complex during the year for purposes of Section 2(a)(3) of the Investment Company
Act of 1940. See Affiliated Securities in Notes to Financial Statements.
(b) Pursuant to Securities and Exchange Commission Rule 144A deemed illiquid until eligible for sale on January 27, 2016.
(c) At October 31, 2015, the net unrealized appreciation on investments, based on cost for federal income tax purposes of
$2,141,264,650, amounted to $282,358,282 which consisted of aggregate gross unrealized appreciation of $355,053,523
and aggregate gross unrealized depreciation of $72,695,241.
* Non-income producing security.

- 35 -

THE ALGER FUNDS | ALGER CAPITAL APPRECIATION FUND
Schedule of Investments October 31, 2015 (Continued)

@ Restricted security - Investment in security not registered under the Securities Act of 1933. The investment is deemed to not be
liquid and may be sold only to qualified buyers.


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	10/31/2015
Choicestream, Inc.	3/14/14	$	24,057	0.00	%	$	34,841	0.00	%
Choicestream, Inc., Cl. A	12/17/13		572,038	0.03	%		300,439	0.01	%
Choicestream, Inc., Cl. B	7/10/14		989,973	0.05	%		692,982	0.03	%
Intarcia Therapeutics, Inc.	3/27/14		2,483,730	0.14	%		2,889,378	0.11	%
Palantir Technologies, Inc., Cl. A	10/07/14		997,406	0.05	%		1,379,538	0.05	%
Palantir Technologies, Inc., Cl. B	10/07/14		4,128,004	0.22	%		5,626,170	0.22	%
Palantir Technologies, Inc., Cl. D	10/14/14		537,767	0.03	%		733,005	0.03	%
TerraForm Global, Inc., Cl. A	06/08/15		6,786,000	0.31	%		3,270,138	0.13	%
Total						$	14,926,491	0.58	%

Industry classifications are unaudited.
See Notes to Financial Statements.

- 36 -

THE ALGER FUNDS | ALGER INTERNATIONAL GROWTH FUND
Schedule of Investments October 31, 2015


COMMON STOCKS—96.0%	SHARES		VALUE
BELGIUM—1.6%
BREWERS—0.6%
Anheuser-Busch InBev NV	12,409	$	1,480,295
FOOD RETAIL—1.0%
Delhaize Group	23,300		2,161,390
TOTAL BELGIUM
(Cost $3,429,177)			3,641,685
CANADA—0.8%
INTEGRATED OIL & GAS—0.8%
Suncor Energy, Inc.	57,500		1,711,082
(Cost $2,127,063)
CHINA—8.1%
CONSTRUCTION & ENGINEERING—1.0%
China Communications Construction Co., Ltd.	800,000		1,104,143
China State Construction International Holdings Ltd.	732,800		1,111,943
			2,216,086
CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS—0.7%
CRRC Corp., Ltd.	1,176,400		1,496,956
DIVERSIFIED BANKS—1.6%
China Construction Bank Corp.	2,725,400		1,971,729
Industrial & Commercial Bank of China Ltd.	2,380,000		1,509,638
			3,481,367
INTEGRATED OIL & GAS—0.5%
China Petroleum & Chemical Corp.	1,600,000		1,149,187
INTERNET SOFTWARE & SERVICES—2.5%
Alibaba Group Holding Ltd.#*	30,000		2,514,900
Baidu, Inc.#*	4,500		843,615
Tencent Holdings Ltd.	122,200		2,297,094
			5,655,609
LIFE & HEALTH INSURANCE—0.8%
Ping An Insurance Group Co., of China Ltd.	339,000		1,905,059
REAL ESTATE DEVELOPMENT—0.5%
China Overseas Land & Investment Ltd.	380,000		1,227,342
WIRELESS TELECOMMUNICATION SERVICES—0.5%
China Mobile Ltd.	84,600		1,013,792
TOTAL CHINA
(Cost $18,140,664)			18,145,398
DENMARK—2.3%
BIOTECHNOLOGY—0.5%
Bavarian Nordic A/S*	27,700		1,108,259
PHARMACEUTICALS—1.8%
Novo Nordisk A/S, Cl. B	75,600		4,014,063
TOTAL DENMARK
(Cost $5,700,170)			5,122,322
FRANCE—6.3%
APPLICATION SOFTWARE—0.7%
Dassault Systemes	20,888		1,647,364

- 37 -

THE ALGER FUNDS | ALGER INTERNATIONAL GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
FRANCE—(CONT.)
BIOTECHNOLOGY—0.8%
DBV Technologies SA#*	15,000	$	520,050
Innate Pharma SA*	84,950		1,221,772
			1,741,822
DIVERSIFIED BANKS—1.3%
BNP Paribas SA	48,000		2,907,871
HEALTH CARE SUPPLIES—1.1%
Essilor International SA	18,600		2,440,834
HOME ENTERTAINMENT SOFTWARE—1.5%
UBISOFT Entertainment*	114,200		3,420,649
INTEGRATED OIL & GAS—0.9%
TOTAL SA	42,100		2,035,352
TOTAL FRANCE
(Cost $12,487,514)			14,193,892
GERMANY—8.6%
ALTERNATIVE CARRIERS—0.2%
Tele Columbus AG*	35,749		329,575
AUTOMOBILE MANUFACTURERS—2.8%
Bayerische Motoren Werke AG	39,646		4,059,768
Daimler AG	26,400		2,288,619
			6,348,387
ELECTRICAL COMPONENTS & EQUIPMENT—0.4%
OSRAM Licht AG	14,000		822,474
ELECTRONIC EQUIPMENT MANUFACTURERS—0.3%
SLM Solutions Group AG*	37,726		717,502
HEALTH CARE SERVICES—1.8%
Fresenius Medical Care AG & Co.	45,500		4,094,226
INTEGRATED TELECOMMUNICATION SERVICES—2.1%
Deutsche Telekom AG	248,900		4,661,022
INTERNET SOFTWARE & SERVICES—1.0%
United Internet AG	44,800		2,325,510
TOTAL GERMANY
(Cost $18,550,404)			19,298,696
HONG KONG—2.4%
ELECTRIC UTILITIES—0.8%
Power Assets Holdings Ltd.	186,800		1,860,380
LIFE & HEALTH INSURANCE—1.6%
AIA Group Ltd.	592,504		3,470,215
TOTAL HONG KONG
(Cost $4,590,521)			5,330,595
INDIA—2.5%
DIVERSIFIED BANKS—1.4%
HDFC Bank Ltd.	155,200		3,119,529
PHARMACEUTICALS—0.8%
Sun Pharmaceutical Industries Ltd.	126,700		1,718,547

- 38 -

THE ALGER FUNDS | ALGER INTERNATIONAL GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
INDIA—(CONT.)
TOBACCO—0.3%
ITC Ltd.	150,000	$	765,354
TOTAL INDIA
(Cost $4,583,805)			5,603,430
ITALY—2.4%
ASSET MANAGEMENT & CUSTODY BANKS—0.7%
Azimut Holding SpA	65,000		1,563,018
DIVERSIFIED BANKS—1.2%
Intesa Sanpaolo SpA	770,300		2,679,186
WIRELESS TELECOMMUNICATION SERVICES—0.5%
Infrastrutture Wireless Italiane SpA*	217,800		1,129,697
TOTAL ITALY
(Cost $5,310,852)			5,371,901
JAPAN—17.1%
AUTOMOBILE MANUFACTURERS—2.0%
Toyota Motor Corp.	72,625		4,449,145
BREWERS—0.7%
Asahi Group Holdings Ltd.	49,000		1,511,401
COMMODITY CHEMICALS—1.1%
Toray Industries, Inc.	272,750		2,379,428
DIVERSIFIED BANKS—2.5%
Japan Post Bank Co., Ltd.*	34,800		418,148
Mitsubishi UFJ Financial Group, Inc.	499,000		3,227,166
Sumitomo Mitsui Financial Group, Inc.	51,000		2,034,493
			5,679,807
DIVERSIFIED REAL ESTATE ACTIVITIES—2.5%
Mitsui Fudosan Co., Ltd.	127,900		3,480,482
Sumitomo Realty & Development Co., Ltd.	66,200		2,179,768
			5,660,250
ELECTRONIC COMPONENTS—1.0%
Murata Manufacturing Co., Ltd.	15,000		2,135,183
ELECTRONIC EQUIPMENT MANUFACTURERS—0.6%
Horiba Ltd.	35,900		1,412,554
FOOD RETAIL—1.2%
Seven & i Holdings Co., Ltd.	58,600		2,661,784
INDEPENDENT POWER PRODUCERS & ENERGY TRADERS—0.7%
Electric Power Development Co., Ltd.	51,000		1,681,194
INDUSTRIAL MACHINERY—0.7%
FANUC Corp.	8,400		1,482,047
INVESTMENT BANKING & BROKERAGE—0.8%
Daiwa Securities Group, Inc.	276,500		1,890,510
LIFE & HEALTH INSURANCE—0.6%
Japan Post Holdings Co., Ltd.*	87,000		1,009,322
Japan Post Insurance Co., Ltd.*	17,400		317,216
			1,326,538

- 39 -

THE ALGER FUNDS | ALGER INTERNATIONAL GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
JAPAN—(CONT.)
RAILROADS—1.0%
East Japan Railway Co.	24,200	$	2,300,734
TIRES & RUBBER—0.9%
Bridgestone Corp.	52,200		1,914,143
TOBACCO—0.8%
Japan Tobacco, Inc.	51,900		1,796,277
TOTAL JAPAN
(Cost $38,229,511)			38,280,995
LUXEMBOURG—0.8%
DIVERSIFIED REAL ESTATE ACTIVITIES—0.8%
Grand City Properties SA	89,100		1,777,629
(Cost $1,257,887)
MEXICO—0.6%
DIVERSIFIED REAL ESTATE ACTIVITIES—0.6%
Corp Inmobiliaria Vesta SAB de CV	780,530		1,279,310
(Cost $1,586,691)
NETHERLANDS—4.9%
AUTOMOBILE MANUFACTURERS—0.1%
Ferrari NV*	4,000		201,720
DIVERSIFIED BANKS—1.2%
ING Groep NV	182,200		2,650,991
PERSONAL PRODUCTS—1.8%
Unilever NV	89,000		4,042,222
SEMICONDUCTOR EQUIPMENT—0.8%
ASML Holding NV#	20,157		1,870,368
SEMICONDUCTORS—1.0%
NXP Semiconductors NV*	27,600		2,162,460
TOTAL NETHERLANDS
(Cost $10,766,699)			10,927,761
PORTUGAL—0.8%
BROADCASTING—0.8%
NOS SGPS SA	212,700		1,764,620
(Cost $1,477,465)
SOUTH KOREA—0.8%
SEMICONDUCTORS—0.8%
Samsung Electronics Co., Ltd.	1,550		1,856,359
(Cost $1,786,410)
SPAIN—3.7%
ALTERNATIVE CARRIERS—0.9%
Cellnex Telecom SAU*	116,200		2,010,734
ELECTRIC UTILITIES—2.8%
Iberdrola SA	410,000		2,922,971
Red Electrica Corp., SA	38,000		3,344,413
			6,267,384
TOTAL SPAIN
(Cost $7,856,189)			8,278,118

- 40 -

THE ALGER FUNDS | ALGER INTERNATIONAL GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
SWEDEN—1.4%
BIOTECHNOLOGY—0.6%
Swedish Orphan Biovitrum AB*	90,200	$	1,369,227
BUILDING PRODUCTS—0.5%
Assa Abloy AB, Cl. B	58,400		1,161,627
INDUSTRIAL MACHINERY—0.3%
Arcam AB*	29,400		550,229
TOTAL SWEDEN
(Cost $2,949,465)			3,081,083
SWITZERLAND—8.2%
APPAREL ACCESSORIES & LUXURY GOODS—0.5%
Cie Financiere Richemont SA	13,000		1,114,155
PACKAGED FOODS & MEATS—2.1%
Nestle SA	61,700		4,709,893
PHARMACEUTICALS—4.1%
Novartis AG	55,400		5,016,078
Roche Holding AG	15,448		4,191,994
			9,208,072
PROPERTY & CASUALTY INSURANCE—1.5%
ACE Ltd.	30,000		3,406,200
TOTAL SWITZERLAND
(Cost $18,707,748)			18,438,320
TAIWAN—1.1%
INTEGRATED TELECOMMUNICATION SERVICES—0.5%
Chunghwa Telecom Co., Ltd,#	36,400		1,115,296
SEMICONDUCTORS—0.6%
Taiwan Semiconductor Manufacturing Co., Ltd.	350,000		1,474,716
TOTAL TAIWAN
(Cost $2,628,681)			2,590,012
UNITED KINGDOM—17.9%
DIVERSIFIED BANKS—0.5%
Lloyds Banking Group PLC.	1,000,000		1,134,718
HOUSEHOLD PRODUCTS—2.0%
Reckitt Benckiser Group PLC.	45,262		4,415,996
INDUSTRIAL GASES—1.2%
Essentra PLC.	205,900		2,666,784
INTEGRATED OIL & GAS—1.9%
BG Group PLC.	80,000		1,263,555
BP PLC.	294,400		1,749,163
Royal Dutch Shell PLC., Cl. A	50,900		1,332,984
			4,345,702
INTERNET RETAIL—0.3%
Just Eat PLC.*	102,763		673,750
MULTI-UTILITIES—2.7%
National Grid PLC.	228,100		3,248,416

- 41 -

THE ALGER FUNDS | ALGER INTERNATIONAL GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES				VALUE
UNITED KINGDOM—(CONT.)
MULTI-UTILITIES—(CONT.)
United Utilities Group PLC.	178,100			$	2,709,476
					5,957,892
OIL & GAS EQUIPMENT & SERVICES—0.3%
Petrofac Ltd.	58,700				761,449
PHARMACEUTICALS—2.1%
Shire PLC.	60,800				4,603,243
RESTAURANTS—1.2%
Whitbread PLC.	36,700				2,801,835
SOFT DRINKS—0.6%
Britvic PLC.	118,800				1,276,785
SYSTEMS SOFTWARE—0.6%
Sophos Group PLC.*	342,400				1,356,827
TOBACCO—3.5%
British American Tobacco PLC.	104,811				6,225,166
Imperial Tobacco Group PLC.	30,000				1,615,022
					7,840,188
TRADING COMPANIES & DISTRIBUTORS—1.0%
Ashtead Group PLC.	148,600				2,284,244
TOTAL UNITED KINGDOM
(Cost $38,025,700)					40,119,413
UNITED STATES—3.7%
CABLE & SATELLITE—0.4%
Liberty Global PLC.*	18,400				784,576
INDUSTRIAL MACHINERY—0.7%
Ingersoll-Rand PLC.	27,400				1,623,724
PHARMACEUTICALS—0.9%
Allergan PLC.*	6,800				2,097,596
SECURITY & ALARM SERVICES—1.0%
Tyco International PLC.	61,400				2,237,416
SEMICONDUCTORS—0.7%
Avago Technologies Ltd.	12,100				1,489,873
TOTAL UNITED STATES
(Cost $8,165,949)					8,233,185
TOTAL COMMON STOCKS
(Cost $208,358,565)				215,045,806
RIGHTS—0.1%	SHARES				VALUE
GERMANY—0.1%
ALTERNATIVE CARRIERS—0.1%
Tele Columbus AG, 11/3/2015*	35,749				135,587
(Cost $156,445)
Total Investments
(Cost $208,515,010)^(a)	96.1	%		215,181,393
Other Assets in Excess of Liabilities	3.9	%			8,840,318
NET ASSETS	100.0	%	$	224,021,711

- 42 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND
Schedule of Investments October 31, 2015


COMMON STOCKS—89.3%	SHARES		VALUE
AEROSPACE & DEFENSE—1.8%
Hexcel Corp.	43,500	$	2,014,920
TransDigm Group, Inc.*	6,100		1,341,085
			3,356,005
AIRLINES—0.9%
United Continental Holdings, Inc.*	27,800		1,676,618
APPAREL ACCESSORIES & LUXURY GOODS—2.3%
Hanesbrands, Inc.	59,500		1,900,430
PVH Corp.	8,000		727,600
Under Armour, Inc., Cl. A*	16,400		1,559,312
			4,187,342
APPAREL RETAIL—0.6%
L Brands, Inc.	10,500		1,007,790
APPLICATION SOFTWARE—1.9%
ACI Worldwide, Inc.*	63,400		1,518,430
Aspen Technology, Inc.*	15,100		624,989
Autodesk, Inc.*	7,200		397,368
Synchronoss Technologies, Inc.*	26,900		946,342
			3,487,129
AUTO PARTS & EQUIPMENT—1.9%
Delphi Automotive PLC.	27,750		2,308,523
WABCO Holdings, Inc.*	10,200		1,144,746
			3,453,269
AUTOMOBILE MANUFACTURERS—0.1%
Tesla Motors, Inc.*	800		165,544
AUTOMOTIVE RETAIL—1.9%
Advance Auto Parts, Inc.	11,300		2,242,259
Carmax, Inc.*	21,700		1,280,517
			3,522,776
BIOTECHNOLOGY—4.7%
Anacor Pharmaceuticals, Inc.*	4,700		528,327
BioMarin Pharmaceutical, Inc.*	6,100		713,944
Bluebird Bio, Inc.*	5,000		385,650
Celldex Therapeutics, Inc.*	27,300		329,238
Incyte Corp.*	10,700		1,257,571
Intercept Pharmaceuticals, Inc.*	7,300		1,147,560
Portola Pharmaceuticals, Inc.*	26,800		1,275,948
Ultragenyx Pharmaceutical, Inc.*	8,500		844,475
United Therapeutics Corp.*	7,800		1,143,714
Vertex Pharmaceuticals, Inc.*	8,700		1,085,238
			8,711,665
BROADCASTING—0.5%
CBS Corp., Cl. B	20,400		949,008
BUILDING PRODUCTS—3.6%
Allegion PLC.	38,700		2,522,079
AO Smith Corp.	17,100		1,313,622
Fortune Brands Home & Security, Inc.	32,300		1,690,259

- 44 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
BUILDING PRODUCTS—(CONT.)
Lennox International, Inc.	8,700	$	1,155,447
			6,681,407
CASINOS & GAMING—1.2%
Penn National Gaming, Inc.*	126,300		2,255,718
COMMUNICATIONS EQUIPMENT—3.1%
Arista Networks, Inc.*	12,800		825,728
ARRIS Group, Inc.*	62,100		1,754,946
F5 Networks, Inc.*	12,922		1,424,004
NetScout Systems, Inc.*	47,800		1,714,586
			5,719,264
CONSTRUCTION MATERIALS—0.6%
Vulcan Materials Co.	11,900		1,149,302
CONSUMER FINANCE—0.5%
LendingClub Corp.*	60,600		859,308
DATA PROCESSING & OUTSOURCED SERVICES—4.5%
Alliance Data Systems Corp.*	11,000		3,270,410
Fiserv, Inc.*	27,200		2,625,072
Sabre Corp.	21,900		642,108
Vantiv, Inc., CL. A*	33,200		1,664,980
			8,202,570
DRUG RETAIL—0.7%
Rite Aid Corp.*	172,300		1,357,724
ELECTRICAL COMPONENTS & EQUIPMENT—1.3%
Acuity Brands, Inc.	8,600		1,879,960
Hubbell, Inc., Cl. B	6,000		581,100
			2,461,060
ENVIRONMENTAL & FACILITIES SERVICES—0.4%
Stericycle, Inc.*	6,000		728,220
FOOD RETAIL—0.7%
The Kroger Co.	36,000		1,360,800
GENERAL MERCHANDISE STORES—2.1%
Burlington Stores, Inc.*	12,800		615,424
Dollar General Corp.	31,800		2,155,086
Dollar Tree, Inc.*	16,600		1,087,134
			3,857,644
HEALTH CARE EQUIPMENT—4.3%
ABIOMED, Inc.*	13,200		972,312
DexCom, Inc.*	29,700		2,474,604
Edwards Lifesciences Corp.*	10,000		1,571,500
Hologic, Inc.*	54,700		2,125,642
IDEXX Laboratories, Inc.*	10,300		706,786
			7,850,844
HEALTH CARE FACILITIES—2.3%
Acadia Healthcare Co., Inc.*	22,700		1,394,007
Amsurg Corp.*	9,000		630,810

- 45 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
HEALTH CARE FACILITIES—(CONT.)
Universal Health Services, Inc., Cl. B	13,000	$	1,587,170
VCA Antech, Inc.*	11,400		624,378
			4,236,365
HEALTH CARE SERVICES—1.3%
Adeptus Health, Inc., Cl. A*	15,600		1,012,284
Diplomat Pharmacy, Inc.*	19,100		536,901
Team Health Holdings, Inc.*	15,500		924,885
			2,474,070
HOME FURNISHING RETAIL—0.8%
Williams-Sonoma, Inc.	20,500		1,511,875
HOMEBUILDING—0.7%
Toll Brothers, Inc.*	35,700		1,284,129
HOTELS RESORTS & CRUISE LINES—5.9%
Diamond Resorts International, Inc.*	99,100		2,818,404
Hilton Worldwide Holdings, Inc.	43,700		1,092,063
Norwegian Cruise Line Holdings Ltd.*	67,000		4,262,540
Royal Caribbean Cruises Ltd.	26,600		2,616,110
			10,789,117
HOUSEHOLD PRODUCTS—0.7%
Church & Dwight Co., Inc.	15,800		1,360,222
HOUSEWARES & SPECIALTIES—2.0%
Jarden Corp.*	47,550		2,130,240
Newell Rubbermaid, Inc.	35,900		1,523,237
			3,653,477
INDUSTRIAL GASES—0.2%
Air Products & Chemicals, Inc.	3,000		416,940
INDUSTRIAL MACHINERY—1.3%
Graco, Inc.	14,735		1,081,549
Ingersoll-Rand PLC.	18,800		1,114,088
NN, Inc.	19,300		266,340
			2,461,977
INTERNET SOFTWARE & SERVICES—3.8%
Cornerstone OnDemand, Inc.*	25,200		793,800
Criteo SA#*	22,500		856,350
Demandware, Inc.*	25,900		1,468,530
GrubHub, Inc.*	33,500		803,330
Hortonworks, Inc.*	12,500		243,250
LinkedIn Corp., Cl. A*	8,800		2,119,656
Palantir Technologies, Inc., Cl. A*^,@	16,376		147,384
Twitter, Inc.*	17,100		486,666
			6,918,966
INVESTMENT BANKING & BROKERAGE—1.0%
TD Ameritrade Holding Corp.	51,900		1,788,993
MOVIES & ENTERTAINMENT—0.6%
Live Nation Entertainment, Inc.*	41,800		1,140,304

- 46 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
OIL & GAS DRILLING—0.3%
Patterson-UTI Energy, Inc.	41,500	$	617,935
OIL & GAS EXPLORATION & PRODUCTION—0.4%
Carrizo Oil & Gas, Inc.*	8,000		301,040
Diamondback Energy, Inc.*	3,100		228,904
Whiting Petroleum Corp.*	14,200		244,666
			774,610
PACKAGED FOODS & MEATS—0.7%
TreeHouse Foods, Inc.*	14,600		1,250,344
PHARMACEUTICALS—0.9%
Jazz Pharmaceuticals PLC.*	3,500		480,480
Lannett Co., Inc.*	14,800		662,596
Pacira Pharmaceuticals, Inc.*	9,300		464,535
			1,607,611
RAILROADS—0.2%
Genesee & Wyoming, Inc., Cl. A*	5,200		348,920
REAL ESTATE SERVICES—0.7%
Jones Lang LaSalle, Inc.	7,200		1,200,312
REGIONAL BANKS—1.8%
Citizens Financial Group, Inc.	65,800		1,598,940
Signature Bank*	11,400		1,697,688
			3,296,628
RENEWABLE ELECTRICITY—0.6%
TerraForm Global, Inc., Cl. A*^,@,(a)	44,140		303,112
TerraForm Power, Inc., Cl. A	45,600		832,200
			1,135,312
RESEARCH & CONSULTING SERVICES—2.1%
CoStar Group, Inc.*	5,600		1,137,192
Verisk Analytics, Inc., Cl. A*	37,100		2,656,731
			3,793,923
RESTAURANTS—0.4%
Panera Bread Co., Cl. A*	4,100		727,217
SECURITY & ALARM SERVICES—0.7%
Tyco International PLC.	33,600		1,224,384
SEMICONDUCTOR EQUIPMENT—1.1%
Lam Research Corp.	21,400		1,639,026
SunEdison, Inc.*	52,800		385,440
			2,024,466
SEMICONDUCTORS—4.6%
Avago Technologies Ltd.	28,800		3,546,144
Microsemi Corp.*	49,600		1,786,096
NXP Semiconductors NV*	21,900		1,715,865
Skyworks Solutions, Inc.	18,200		1,405,768
			8,453,873
SPECIALIZED CONSUMER SERVICES—0.9%
ServiceMaster Global Holdings, Inc.*	46,500		1,657,725

- 47 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
SPECIALIZED FINANCE—2.1%
McGraw Hill Financial, Inc.	24,000	$		2,223,360
Moody's Corp.	16,100			1,548,176
				3,771,536
SPECIALTY CHEMICALS—2.3%
Axalta Coating Systems Ltd.*	49,000			1,353,870
PPG Industries, Inc.	15,700			1,636,882
The Sherwin-Williams Co.	4,700			1,254,101
				4,244,853
SPECIALTY STORES—3.3%
Signet Jewelers Ltd.	15,800			2,384,852
The Michaels Cos, Inc.*	33,100			773,878
Tractor Supply Co.	15,200			1,404,328
Ulta Salon, Cosmetics & Fragrance, Inc.*	8,200			1,426,472
				5,989,530
SYSTEMS SOFTWARE—2.4%
Fortinet, Inc.*	16,200			556,632
Proofpoint, Inc.*	4,900			345,156
ServiceNow, Inc.*	34,100			2,784,265
Tableau Software, Inc., Cl. A*	7,500			629,700
				4,315,753
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—0.4%
Western Digital Corp.	11,900			795,158
TRADING COMPANIES & DISTRIBUTORS—1.8%
HD Supply Holdings, Inc.*	73,100			2,177,649
United Rentals, Inc.*	14,400			1,077,984
				3,255,633
WIRELESS TELECOMMUNICATION SERVICES—1.4%
SBA Communications Corp., Cl. A*	21,900			2,606,538
TOTAL COMMON STOCKS
(Cost $155,923,240)			164,129,703
PREFERRED STOCKS—1.7%	SHARES			VALUE
BIOTECHNOLOGY—1.4%
Prosetta Biosciences, Inc.*^,@,(b)	219,610			988,245
Tolero Pharmaceuticals, Inc.*^,@,(b)	495,000			1,492,970
				2,481,215
INTERNET SOFTWARE & SERVICES—0.3%
Palantir Technologies, Inc., Cl. B*^,@	66,787			601,083
Palantir Technologies, Inc., Cl. D*^,@	8,701			78,308
				679,391
TOTAL PREFERRED STOCKS
(Cost $2,979,689)				3,160,606
REAL ESTATE INVESTMENT TRUST—2.2%	SHARES			VALUE
HEALTH CARE—0.4%
Omega Healthcare Investors, Inc.	21,800			752,536

- 48 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


REAL ESTATE INVESTMENT TRUST—(CONT.)	SHARES			VALUE
MORTGAGE—0.5%
Blackstone Mortgage Trust, Inc., Cl. A	30,800		$	847,616
SPECIALIZED—1.3%
Crown Castle International Corp.	28,500			2,435,610
TOTAL REAL ESTATE INVESTMENT TRUST
(Cost $4,347,888)				4,035,762
SPECIAL PURPOSE VEHICLE—0.2%	SHARES			VALUE
CONSUMER FINANCE—0.2%
JS Kred SPV I, LLC.^@	314,956			314,956
(Cost $314,956)				314,956
Total Investments
(Cost $163,565,773)^(c)	93.4	%	171,641,027
Other Assets in Excess of Liabilities	6.6	%	12,143,141
NET ASSETS	100.0	%	$	183,784,168

- 49 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)

# American Depositary Receipts.
(a) Pursuant to Securities and Exchange Commission Rule 144A deemed illiquid until eligible for sale on
January 27, 2016.
(b) Deemed an affiliate of the Alger fund complex during the year for purposes of Section 2(a)(3) of the
Investment Company Act of 1940. See Affiliated Securities in Notes to Financial Statements.
(c) At October 31, 2015, the net unrealized appreciation on investments, based on cost for federal income
tax purposes of $163,742,790, amounted to $7,898,237 which consisted of aggregate gross unrealized
appreciation of $18,593,321 and aggregate gross unrealized depreciation of $10,695,084.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. The investment is
deemed to not be liquid and may be sold only to qualified buyers.


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	10/31/2015
JS Kred SPV I, LLC.	6/26/15	$	314,956	0.15	%	$	314,956	0.17	%
Palantir Technologies, Inc., Cl. A	10/07/14		106,559	0.05	%		147,384	0.08	%
Palantir Technologies, Inc., Cl. B	10/07/14		441,023	0.22	%		601,083	0.33	%
Palantir Technologies, Inc., Cl. D	10/14/14		57,451	0.03	%		78,308	0.04	%
Prosetta Biosciences, Inc.	2/06/15		988,245	0.50	%		988,245	0.54	%
TerraForm Global, Inc., Cl. A	6/08/15		629,000	0.31	%		303,112	0.17	%
Tolero Pharmaceuticals, Inc.	8/01/14		1,003,888	0.45	%		1,003,888	0.54	%
Tolero Pharmaceuticals, Inc.	10/31/14		489,082	0.23	%		489,082	0.27	%
Total						$	3,926,058	2.14	%

Industry classifications are unaudited.
See Notes to Financial Statements

- 50 -

THE ALGER FUNDS | ALGER SMID CAP GROWTH FUND
Schedule of Investments October 31, 2015


COMMON STOCKS—94.0%	SHARES			VALUE
AEROSPACE & DEFENSE—1.1%
Hexcel Corp.	98,200	$		4,548,624
AIR FREIGHT & LOGISTICS—0.8%
Forward Air Corp.	75,000			3,402,000
AIRLINES—0.5%
JetBlue Airways Corp.*	90,950			2,259,198
ALTERNATIVE CARRIERS—0.4%
Zayo Group Holdings, Inc.*	69,300			1,838,529
APPAREL ACCESSORIES & LUXURY GOODS—1.4%
Carter's, Inc.	28,350			2,576,448
G-III Apparel Group Ltd.*	62,100			3,421,089
				5,997,537
APPAREL RETAIL—1.3%
AmericanEagleOutfitters,Inc.	159,900			2,443,272
Foot Locker, Inc.	45,400			3,075,850
				5,519,122
APPLICATION SOFTWARE—4.3%
Blackbaud, Inc.	80,350			5,037,141
Fair Isaac Corp.	29,950			2,766,482
HubSpot, Inc.*	91,150			4,728,862
Splunk, Inc.*	49,850			2,799,576
Tyler Technologies, Inc.*	16,400			2,793,904
			18,125,965
ASSET MANAGEMENT & CUSTODY BANKS—0.4%
WisdomTree Investments, Inc.	80,400			1,546,092
AUTO PARTS & EQUIPMENT—2.4%
Gentherm, Inc.*	50,300			2,472,748
Lear Corp.	40,650			5,083,689
WABCO Holdings, Inc.*	23,400			2,626,182
			10,182,619
BIOTECHNOLOGY—6.1%
ACADIA Pharmaceuticals, Inc.*	50,350			1,753,187
Alkermes PLC.*	36,300			2,610,696
Anacor Pharmaceuticals, Inc.*	17,600			1,978,416
Dyax Corp.*	77,250			2,126,692
Halozyme Therapeutics, Inc.*	89,700			1,403,805
Heron Therapeutics, Inc.*	43,650			1,196,883
Intercept Pharmaceuticals, Inc.*	9,800			1,540,560
Juno Therapeutics, Inc.*	43,300			2,241,208
Neurocrine Biosciences, Inc.*	39,850			1,956,236
Novavax, Inc.*	142,150			959,512
Portola Pharmaceuticals, Inc.*	40,800			1,942,488
Seattle Genetics, Inc.*	45,850			1,902,317
Ultragenyx Pharmaceutical, Inc.*	19,550			1,942,293
United Therapeutics Corp.*	15,600			2,287,428
			25,841,721

- 51 -

THE ALGER FUNDS | ALGER SMID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
BUILDING PRODUCTS—4.9%
Allegion PLC.	78,400	$		5,109,328
AO Smith Corp.	48,315			3,711,558
Fortune Brands Home & Security, Inc.	80,550			4,215,182
Lennox International, Inc.	31,850			4,229,999
Masonite International Corp.*	59,450			3,559,271
			20,825,338
CASINOS & GAMING—0.9%
Penn National Gaming, Inc.*	211,550			3,778,283
COMMODITY CHEMICALS—0.7%
Calgon Carbon Corp.	179,750			3,091,700
COMMUNICATIONS EQUIPMENT—0.8%
ARRIS Group, Inc.*	117,600			3,323,376
CONSTRUCTION & FARM MACHINERY & HEAVY
TRUCKS—0.9%
Wabtec Corp.	47,450			3,932,182
CONSTRUCTION MATERIALS—0.9%
Vulcan Materials Co.	39,500			3,814,910
CONSUMER ELECTRONICS—0.5%
Harman International Industries, Inc.	17,650			1,940,794
CONSUMER FINANCE—0.4%
PRA Group, Inc.*	33,450			1,833,060
DATA PROCESSING & OUTSOURCED SERVICES—6.2%
Broadridge Financial Solutions	71,600			4,265,928
Euronet Worldwide, Inc.*	55,350			4,441,284
Global Payments, Inc.	22,100			3,014,661
MAXIMUS, Inc.	73,700			5,026,340
Total System Services, Inc.	69,900			3,666,255
Vantiv, Inc., CL. A*	111,000			5,566,650
				25,981,118
DISTRIBUTORS—0.7%
LKQ Corp.*	104,000			3,079,440
DRUG RETAIL—0.7%
Rite Aid Corp.*	371,800			2,929,784
EDUCATION SERVICES—0.8%
Grand Canyon Education, Inc.*	77,215			3,209,055
ELECTRICAL COMPONENTS & EQUIPMENT—1.2%
Acuity Brands, Inc.	23,450			5,126,170
ELECTRONIC EQUIPMENT MANUFACTURERS—0.5%
FEI Co.	28,150			2,032,149
ENVIRONMENTAL & FACILITIES SERVICES—1.3%
Waste Connections, Inc.	99,475			5,419,398
FOOD DISTRIBUTORS—0.9%
Performance Food Group Co.*	160,200			3,647,754

- 52 -

THE ALGER FUNDS | ALGER SMID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
FOOD RETAIL—0.8%
Smart & Final Stores, Inc.*	225,550	$		3,324,607
FOOTWEAR—0.3%
Skechers U.S.A. Inc., Cl. A*	45,400			1,416,480
GENERAL MERCHANDISE STORES—1.0%
Burlington Stores, Inc.*	91,850			4,416,148
HEALTH CARE EQUIPMENT—4.4%
ABIOMED, Inc.*	50,850			3,745,611
DexCom, Inc.*	52,000			4,332,640
Hologic, Inc.*	113,700			4,418,382
IDEXX Laboratories, Inc.*	39,400			2,703,628
Steris Corp.*	29,200			2,188,540
Zeltiq Aesthetics, Inc.*	35,500			1,197,770
			18,586,571
HEALTH CARE FACILITIES—3.0%
Acadia Healthcare Co., Inc.*	55,450			3,405,184
Amsurg Corp.*	45,250			3,171,573
Surgery Partners, Inc.*	106,550			1,792,171
VCA Antech, Inc.*	76,600			4,195,382
			12,564,310
HEALTH CARE SERVICES—1.1%
Adeptus Health, Inc., Cl. A*	31,150			2,021,323
Diplomat Pharmacy, Inc.*	65,200			1,832,772
Team Health Holdings, Inc.*	13,750			820,463
				4,674,558
HEALTH CARE SUPPLIES—0.2%
LDR Holding Corp.*	27,300			690,690
HEALTH CARE TECHNOLOGY—0.2%
athenahealth, Inc.*	5,600			853,720
HOME FURNISHING RETAIL—0.7%
Williams-Sonoma, Inc.	42,462			3,131,573
HOMEBUILDING—0.6%
Toll Brothers, Inc.*	71,900			2,586,243
HOTELS RESORTS & CRUISE LINES—0.7%
Diamond Resorts International, Inc.*	97,450			2,771,478
HOUSEHOLD APPLIANCES—0.7%
Helen of Troy Ltd.*	29,850			2,961,418
HOUSEWARES & SPECIALTIES—1.1%
Jarden Corp.*	100,200			4,488,960
HUMAN RESOURCE & EMPLOYMENT SERVICES—1.7%
On Assignment, Inc.*	89,350			4,030,579
WageWorks, Inc.*	62,900			3,020,458
				7,051,037
INDUSTRIAL MACHINERY—0.9%
Graco, Inc.	41,100			3,016,740

- 53 -

THE ALGER FUNDS | ALGER SMID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
INDUSTRIAL MACHINERY—(CONT.)
NN, Inc.	66,980	$		924,324
				3,941,064
INTERNET SOFTWARE & SERVICES—2.4%
comScore, Inc.*	34,600			1,480,188
Criteo SA#*	61,850			2,354,011
Demandware, Inc.*	39,850			2,259,495
Palantir Technologies, Inc., Cl. A*^,@	81,310			731,790
Stamps.com, Inc.*	44,850			3,391,108
			10,216,592
INVESTMENT BANKING & BROKERAGE—0.4%
Virtu Financial, Inc., Cl. A	73,450			1,777,490
LEISURE FACILITIES—0.4%
Planet Fitness, Inc., Cl. A*	98,800			1,614,392
LEISURE PRODUCTS—0.9%
Brunswick Corp.	67,600			3,637,556
LIFE SCIENCES TOOLS & SERVICES—1.6%
Mettler-Toledo International, Inc.*	5,150			1,601,599
PRA Health Sciences, Inc.*	92,435			3,238,922
Quintiles Transnational Holdings, Inc.*	27,400			1,744,010
				6,584,531
MANAGED HEALTH CARE—0.7%
Centene Corp.*	48,200			2,866,936
MOVIES & ENTERTAINMENT—0.7%
Lions Gate Entertainment Corp.	80,350			3,131,239
OIL & GAS EQUIPMENT & SERVICES—0.2%
Weatherford International PLC.*	90,520			926,925
OIL & GAS EXPLORATION & PRODUCTION—0.6%
Diamondback Energy, Inc.*	19,550			1,443,572
Whiting Petroleum Corp.*	50,200			864,946
				2,308,518
OIL & GAS STORAGE & TRANSPORTATION—0.2%
Cheniere Energy Partners LP Holdings LLC	51,550			1,014,504
PACKAGED FOODS & MEATS—1.1%
Hain Celestial Group, Inc.*	24,900			1,241,265
TreeHouse Foods, Inc.*	40,650			3,481,266
				4,722,531
PAPER PACKAGING—1.9%
Graphic Packaging Holding Co.	264,250			3,741,780
Packaging Corp., of America	26,900			1,841,305
Sealed Air Corp.	50,600			2,485,472
				8,068,557
PHARMACEUTICALS—1.0%
Akorn, Inc.*	52,400			1,401,176
Intersect ENT, Inc.*	54,500			1,044,220

- 54 -

THE ALGER FUNDS | ALGER SMID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
PHARMACEUTICALS—(CONT.)
Lannett Co., Inc.*	43,550	$		1,949,733
				4,395,129
RAILROADS—0.5%
Genesee & Wyoming, Inc., Cl. A*	34,300			2,301,530
REAL ESTATE SERVICES—0.8%
Jones Lang LaSalle, Inc.	20,035			3,340,035
REGIONAL BANKS—2.7%
Investors Bancorp, Inc.	330,500			4,134,555
Signature Bank*	37,500			5,584,500
SVB Financial Group*	13,850			1,690,670
				11,409,725
RESEARCH & CONSULTING SERVICES—0.8%
CoStar Group, Inc.*	16,100			3,269,427
RESTAURANTS—2.6%
Dave & Buster's Entertainment, Inc.*	77,500			2,989,950
Panera Bread Co., Cl. A*	13,850			2,456,574
Papa John's International, Inc.	48,200			3,382,194
Restaurant Brands International, Inc.	56,600			2,273,056
				11,101,774
SEMICONDUCTORS—2.6%
Cavium Networks, Inc.*	55,600			3,944,820
Microsemi Corp.*	140,050			5,043,201
Monolithic Power Systems, Inc.	28,650			1,788,333
			10,776,354
SPECIALIZED CONSUMER SERVICES—2.2%
Service Corp. International	166,800			4,713,768
ServiceMaster Global Holdings, Inc.*	132,400			4,720,060
				9,433,828
SPECIALTY CHEMICALS—1.8%
Axalta Coating Systems Ltd.*	160,300			4,429,089
International Flavors & Fragrances, Inc.	20,750			2,408,245
PolyOne Corp.	25,550			854,392
				7,691,726
SPECIALTY STORES—3.0%
Party City Holdco, Inc.*	145,850			2,308,805
Signet Jewelers Ltd.	19,900			3,003,706
The Michaels Cos, Inc.*	148,450			3,470,761
Ulta Salon, Cosmetics & Fragrance, Inc.*	22,350			3,888,006
			12,671,278
SYSTEMS SOFTWARE—3.7%
Fortinet, Inc.*	85,100			2,924,036
Proofpoint, Inc.*	78,650			5,540,106
ServiceNow, Inc.*	50,750			4,143,738
Tableau Software, Inc., Cl. A*	16,000			1,343,360
TubeMogul, Inc.*	138,100			1,650,295
			15,601,535

- 55 -

THE ALGER FUNDS | ALGER SMID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES				VALUE
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—0.9%
Electronics For Imaging, Inc.*	82,850		$		3,847,554
TRADING COMPANIES & DISTRIBUTORS—1.9%
HD Supply Holdings, Inc.*	164,500				4,900,455
United Rentals, Inc.*	39,600				2,964,456
					7,864,911
TOTAL COMMON STOCKS
(Cost $360,584,040)				397,259,352
PREFERRED STOCKS—1.5%	SHARES				VALUE
BIOTECHNOLOGY—0.2%
Prosetta Biosciences, Inc.*^,@,(a)	231,474				1,041,633
INTERNET SOFTWARE & SERVICES—0.8%
Palantir Technologies, Inc., Cl. B*^,@	331,607				2,984,463
Palantir Technologies, Inc., Cl. D*^,@	43,203				388,827
					3,373,290
PHARMACEUTICALS—0.5%
Intarcia Therapeutics, Inc.*^,@	49,317				1,858,264
TOTAL PREFERRED STOCKS
(Cost $5,114,017)					6,273,187
MASTER LIMITED PARTNERSHIP—0.5%	SHARES				VALUE
INVESTMENT BANKING & BROKERAGE—0.5%
Lazard Ltd., Cl. A	44,450				2,058,924
(Cost $2,193,730)					2,058,924
REAL ESTATE INVESTMENT TRUST—2.9%	SHARES				VALUE
HOTELS & RESORTS—0.4%
Pebblebrook Hotel Trust	50,400				1,722,672
SPECIALIZED—2.5%
CyrusOne, Inc.	57,850				2,040,948
Lamar Advertising Co., Cl. A	59,350				3,349,120
Sovran Self Storage, Inc.	52,750				5,268,143
					10,658,211
TOTAL REAL ESTATE INVESTMENT TRUST
(Cost $11,553,012)					12,380,883
Total Investments
(Cost $379,444,799)^(b)	98.9	%		417,972,346
Other Assets in Excess of Liabilities	1.1	%			4,751,266
NET ASSETS	100.0	%	$		422,723,612

# American Depositary Receipts.
(a) Deemed an affiliate of the Alger fund complex during the year for purposes of Section 2(a)(3) of the Investment Company Act
of 1940. See Affiliated Securities in Notes to Financial Statements.
(b) At October 31, 2015, the net unrealized appreciation on investments, based on cost for federal income tax purposes of
$384,329,770, amounted to $33,642,576 which consisted of aggregate gross unrealized appreciation of $55,993,874 and
aggregate gross unrealized depreciation of $22,351,298.

- 56 -

THE ALGER FUNDS | ALGER SMID CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)

* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. The investment is deemed to not be
liquid and may be sold only to qualified buyers.


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	10/31/2015
Intarcia Therapeutics, Inc.	3/27/14	$	1,597,378	0.14	%	$	1,858,264	0.44	%
Palantir Technologies, Inc., Cl. A	10/07/14		529,084	0.05	%		731,790	0.17	%
Palantir Technologies, Inc., Cl. B	10/07/14		2,189,744	0.22	%		2,984,463	0.70	%
Palantir Technologies, Inc., Cl. D	10/14/14		285,262	0.03	%		388,827	0.09	%
Prosetta Biosciences, Inc.	2/06/15		1,041,633	0.10	%		1,041,633	0.25	%
Total						$	7,004,977	1.65	%

Industry classifications are unaudited.
See Notes to Financial Statements.

- 57 -

THE ALGER FUNDS |ALGER SMALL CAP GROWTH FUND
Schedule of Investments October 31, 2015


COMMON STOCKS—94.3%	SHARES			VALUE
AEROSPACE & DEFENSE—1.1%
Hexcel Corp.	37,700	$		1,746,264
AIR FREIGHT & LOGISTICS—0.8%
Forward Air Corp.	26,300			1,192,968
APPAREL ACCESSORIES & LUXURY GOODS—1.0%
G-III Apparel Group Ltd.*	29,600			1,630,664
APPAREL RETAIL—0.6%
AmericanEagleOutfitters,Inc.	64,200			980,976
APPLICATION SOFTWARE—16.1%
ACI Worldwide, Inc.*	94,600			2,265,670
American Software, Inc., Cl. A	181,751			1,859,313
Blackbaud, Inc.	53,300			3,341,377
Ellie Mae, Inc.*	30,700			2,240,486
Fair Isaac Corp.	21,800			2,013,666
Guidewire Software, Inc.*	34,800			2,026,404
HubSpot, Inc.*	41,800			2,168,584
Manhattan Associates, Inc.*	38,400			2,797,440
Paycom Software, Inc.*	20,300			771,603
PROS Holdings, Inc.*	39,650			952,393
SolarWinds, Inc.*	40,700			2,361,821
Tyler Technologies, Inc.*	15,700			2,674,652
			25,473,409
ASSET MANAGEMENT & CUSTODY BANKS—0.2%
WisdomTree Investments, Inc.	14,598			280,719
AUTO PARTS & EQUIPMENT—1.6%
Gentherm, Inc.*	24,900			1,224,084
Tenneco, Inc.*	24,000			1,358,160
				2,582,244
AUTOMOTIVE RETAIL—0.9%
Lithia Motors, Inc., Cl. A	11,900			1,396,941
BIOTECHNOLOGY—8.2%
ACADIA Pharmaceuticals, Inc.*	21,800			759,076
Amicus Therapeutics, Inc.*	33,400			250,500
Anacor Pharmaceuticals, Inc.*	8,700			977,967
Celldex Therapeutics, Inc.*	43,900			529,434
Clovis Oncology, Inc.*	8,600			859,226
Dyax Corp.*	38,700			1,065,411
Halozyme Therapeutics, Inc.*	46,900			733,985
Heron Therapeutics, Inc.*	25,800			707,436
Incyte Corp.*	20,100			2,362,353
Juno Therapeutics, Inc.*	13,200			683,232
Neurocrine Biosciences, Inc.*	20,900			1,025,981
Novavax, Inc.*	59,400			400,950
Portola Pharmaceuticals, Inc.*	16,600			790,326
TESARO, Inc.*	18,900			859,383

- 58 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
BIOTECHNOLOGY—(CONT.)
Ultragenyx Pharmaceutical, Inc.*	9,900	$		983,565
			12,988,825
BUILDING PRODUCTS—1.0%
Masonite International Corp.*	26,300			1,574,581
CASINOS & GAMING—1.0%
Penn National Gaming, Inc.*	88,800			1,585,968
COMMODITY CHEMICALS—0.7%
Calgon Carbon Corp.	68,400			1,176,480
COMMUNICATIONS EQUIPMENT—2.1%
ARRIS Group, Inc.*	28,300			799,758
NetScout Systems, Inc.*	69,700			2,500,139
				3,299,897
CONSUMER FINANCE—0.7%
PRA Group, Inc.*	20,000			1,096,000
DATA PROCESSING & OUTSOURCED SERVICES—2.4%
Euronet Worldwide, Inc.*	19,300			1,548,632
MAXIMUS, Inc.	26,100			1,780,020
WEX, Inc.*	5,075			456,293
				3,784,945
EDUCATION SERVICES—0.8%
Grand Canyon Education, Inc.*	30,200			1,255,112
ELECTRONIC COMPONENTS—1.5%
DTS, Inc.*	76,800			2,285,568
ELECTRONIC EQUIPMENT MANUFACTURERS—1.8%
Cognex Corp.	35,400			1,331,040
FEI Co.	20,500			1,479,895
				2,810,935
FOOD DISTRIBUTORS—0.8%
Performance Food Group Co.*	55,500			1,263,735
FOOD RETAIL—1.0%
Smart & Final Stores, Inc.*	107,700			1,587,498
GENERAL MERCHANDISE STORES—1.2%
Burlington Stores, Inc.*	39,300			1,889,544
HEALTH CARE EQUIPMENT—5.0%
Abaxis, Inc.	7,600			381,596
ABIOMED, Inc.*	17,500			1,289,050
Cantel Medical Corp.	47,300			2,803,944
LivaNova PLC.*	39,800			2,637,944
Steris Corp.*	10,900			816,955
				7,929,489
HEALTH CARE FACILITIES—2.4%
Amsurg Corp.*	12,900			904,161
Surgery Partners, Inc.*	49,000			824,180

- 59 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
HEALTH CARE FACILITIES—(CONT.)
VCA Antech, Inc.*	37,000	$	2,026,490
			3,754,831
HEALTH CARE SERVICES—1.7%
Adeptus Health, Inc., Cl. A*	16,200		1,051,218
Diplomat Pharmacy, Inc.*	27,100		761,781
Team Health Holdings, Inc.*	15,200		906,984
			2,719,983
HEALTH CARE SUPPLIES—3.4%
Neogen Corp.*	63,300		3,421,365
Quidel Corp.*	99,900		1,920,078
			5,341,443
HEALTH CARE TECHNOLOGY—1.8%
Medidata Solutions, Inc.*	38,200		1,642,600
Veeva Systems, Inc., Cl. A*	46,800		1,187,316
			2,829,916
HOMEFURNISHING RETAIL—0.8%
Restoration Hardware Holdings, Inc.*	12,900		1,329,861
HOTELS RESORTS & CRUISE LINES—0.6%
Diamond Resorts International, Inc.*	32,700		929,988
HUMAN RESOURCE & EMPLOYMENT SERVICES—2.1%
On Assignment, Inc.*	38,600		1,741,246
WageWorks, Inc.*	32,900		1,579,858
			3,321,104
INDUSTRIAL MACHINERY—1.5%
Proto Labs, Inc.*	36,800		2,386,112
INTERNET SOFTWARE & SERVICES—7.2%
comScore, Inc.*	15,600		667,368
Criteo SA#*	41,600		1,583,296
Cvent, Inc.*	54,800		1,732,228
Demandware, Inc.*	17,100		969,570
SPS Commerce, Inc.*	44,800		3,217,536
Stamps.com, Inc.*	25,800		1,950,738
Textura Corp.*	41,200		1,209,632
			11,330,368
INVESTMENT BANKING & BROKERAGE—0.5%
Evercore Partners, Inc., Cl. A	13,300		718,200
LEISURE FACILITIES—0.3%
Planet Fitness, Inc., Cl. A*	32,100		524,514
LIFE SCIENCES TOOLS & SERVICES—3.4%
Bio-Techne Corp.	31,600		2,787,120
Luminex Corp.*	65,900		1,199,380
PRA Health Sciences, Inc.*	41,500		1,454,160
			5,440,660
MANAGED HEALTH CARE—0.6%
Molina Healthcare, Inc.*	16,400		1,016,800

- 60 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
OIL & GAS EQUIPMENT & SERVICES—0.3%
RPC, Inc.	46,500	$		512,895
OIL & GAS EXPLORATION & PRODUCTION—1.1%
Parsley Energy, Inc., Cl. A*	48,400			858,132
QEP Resources, Inc.	52,300			808,558
				1,666,690
PACKAGED FOODS & MEATS—0.5%
TreeHouse Foods, Inc.*	9,400			805,016
PAPER PACKAGING—0.7%
Graphic Packaging Holding Co.	77,800			1,101,648
PHARMACEUTICALS—0.9%
Impax Laboratories, Inc.*	19,800			685,674
Lannett Co., Inc.*	14,700			658,119
				1,343,793
REGIONAL BANKS—2.5%
Bank of the Ozarks, Inc.	37,400			1,870,748
Boston Private Financial Holdings, Inc.	96,300			1,103,598
Investors Bancorp, Inc.	73,300			916,983
				3,891,329
RESTAURANTS—2.5%
Dave & Buster's Entertainment, Inc.*	28,600			1,103,388
Fiesta Restaurant Group, Inc.*	18,000			636,480
Papa John's International, Inc.	25,099			1,761,197
Shake Shack, Inc., Cl. A*	8,800			401,016
				3,902,081
SEMICONDUCTORS—2.7%
Cavium Networks, Inc.*	18,600			1,319,670
Microsemi Corp.*	44,897			1,616,741
Monolithic Power Systems, Inc.	21,800			1,360,756
				4,297,167
SPECIALTY CHEMICALS—1.6%
Balchem Corp.	36,600			2,499,780
SPECIALTY STORES—1.5%
Five Below, Inc.*	44,555			1,530,019
Party City Holdco, Inc.*	52,400			829,492
				2,359,511
SYSTEMS SOFTWARE—2.2%
Proofpoint, Inc.*	37,800			2,662,632
TubeMogul, Inc.*	66,649			796,455
				3,459,087
TRADING COMPANIES & DISTRIBUTORS—1.0%
Watsco, Inc.	12,500			1,537,875
TOTAL COMMON STOCKS
(Cost $137,429,743)			148,833,414

- 61 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)


PREFERRED STOCKS—0.4%	SHARES			VALUE
BIOTECHNOLOGY—0.4%
Prosetta Biosciences, Inc.*^,@,(a)	50,688		$	228,096
Tolero Pharmaceuticals, Inc.*^,@,(a)	148,237			447,098
				675,194
TOTAL PREFERRED STOCKS
(Cost $675,194)				675,194
RIGHTS—–%	SHARES			VALUE
BIOTECHNOLOGY—–%
Neuralstem, Inc., 1/8/2019*	77,950			–
(Cost $0)				–
REAL ESTATE INVESTMENT TRUST—2.5%	SHARES			VALUE
HOTELS & RESORTS—0.6%
Pebblebrook Hotel Trust	28,246			965,448
SPECIALIZED—1.9%
CyrusOne, Inc.	37,100			1,308,888
Sovran Self Storage, Inc.	16,800			1,677,816
				2,986,704
TOTAL REAL ESTATE INVESTMENT TRUST
(Cost $3,595,694)				3,952,152
SPECIAL PURPOSE VEHICLE—0.2%	SHARES			VALUE
CONSUMER FINANCE—0.2%
JS Kred SPV I, LLC.^@	290,078			290,078
(Cost $290,078)				290,078
Total Investments
(Cost $141,990,709)^(b)	97.4	%	153,750,838
Other Assets in Excess of Liabilities	2.6	%		4,133,199
NET ASSETS	100.0	%	$	157,884,037

- 62 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND
Schedule of Investments October 31, 2015 (Continued)

# American Depositary Receipts.
(a) Deemed an affiliate of the Alger fund complex during the year for purposes of Section 2(a)(3) of the
Investment Company Act of 1940. See Affiliated Securities in Notes to Financial Statements.
(b) At October 31, 2015, the net unrealized appreciation on investments, based on cost for federal income
tax purposes of $143,841,146, amounted to $9,909,692 which consisted of aggregate gross unrealized
appreciation of $19,051,935 and aggregate gross unrealized depreciation of $9,142,243.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. The investment is
deemed to not be liquid and may be sold only to qualified buyers.


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	10/31/2015
JS Kred SPV I, LLC.	6/26/15	$	290,078	0.15	%	$	290,078	0.18	%
Prosetta Biosciences, Inc.	2/06/15		228,096	0.10	%		228,096	0.15	%
Tolero Pharmaceuticals, Inc.	10/31/14		447,098	0.19	%		447,098	0.28	%
Total						$	965,272	0.61	%

Industry classifications are unaudited.
See Notes to Financial Statements.

- 63 -

THE ALGER FUNDS | ALGER SMALL CAP FOCUS FUND
Schedule of Investments October 31, 2015


COMMON STOCKS—89.4%	SHARES			VALUE
APPLICATION SOFTWARE—27.1%
ACI Worldwide, Inc.*	81,030	$		1,940,668
American Software, Inc., Cl. A	51,375			525,566
Blackbaud, Inc.	52,095			3,265,836
Ellie Mae, Inc.*	28,245			2,061,320
Fair Isaac Corp.	13,010			1,201,734
Guidewire Software, Inc.*	34,680			2,019,416
HubSpot, Inc.*	34,670			1,798,680
Manhattan Associates, Inc.*	34,530			2,515,511
Paycom Software, Inc.*	20,650			784,907
PROS Holdings, Inc.*	29,335			704,627
SolarWinds, Inc.*	41,740			2,422,172
Tyler Technologies, Inc.*	15,115			2,574,991
			21,815,428
ASSET MANAGEMENT & CUSTODY BANKS—0.3%
WisdomTree Investments, Inc.	10,690			205,569
BIOTECHNOLOGY—2.4%
Incyte Corp.*	16,680			1,960,400
COMMUNICATIONS EQUIPMENT—3.1%
NetScout Systems, Inc.*	70,535			2,530,091
ELECTRONIC COMPONENTS—1.5%
DTS, Inc.*	39,474			1,174,746
ELECTRONIC EQUIPMENT MANUFACTURERS—3.6%
Cognex Corp.	35,425			1,331,980
FEI Co.	21,800			1,573,742
				2,905,722
HEALTH CARE EQUIPMENT—6.8%
Abaxis, Inc.	6,545			328,625
Cantel Medical Corp.	43,155			2,558,228
LivaNova PLC.*	39,200			2,598,176
				5,485,029
HEALTH CARE FACILITIES—2.4%
VCA Antech, Inc.*	35,890			1,965,695
HEALTH CARE SERVICES—1.1%
Adeptus Health, Inc., Cl. A*	13,750			892,238
HEALTH CARE SUPPLIES—6.6%
Neogen Corp.*	62,790			3,393,799
Quidel Corp.*	100,680			1,935,070
				5,328,869
HEALTH CARE TECHNOLOGY—3.5%
Medidata Solutions, Inc.*	37,900			1,629,700
Veeva Systems, Inc., Cl. A*	46,640			1,183,257
				2,812,957
HUMAN RESOURCE & EMPLOYMENT SERVICES—2.0%
WageWorks, Inc.*	33,159			1,592,295

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THE ALGER FUNDS | ALGER SMALL CAP FOCUS FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES				VALUE
INDUSTRIAL MACHINERY—2.9%
Proto Labs, Inc.*	36,410		$		2,360,824
INTERNET SOFTWARE & SERVICES—12.4%
comScore, Inc.*	16,705				714,640
Criteo SA#*	33,230				1,264,734
Cvent, Inc.*	53,520				1,691,767
Demandware, Inc.*	13,150				745,605
SPS Commerce, Inc.*	33,630				2,415,306
Stamps.com, Inc.*	26,060				1,970,397
Textura Corp.*	41,200				1,209,632
				10,012,081
LIFE SCIENCES TOOLS & SERVICES—4.8%
Bio-Techne Corp.	30,545				2,694,069
Luminex Corp.*	64,945				1,181,999
					3,876,068
RESTAURANTS—1.2%
Fiesta Restaurant Group, Inc.*	16,995				600,943
Shake Shack, Inc., Cl. A*	7,565				344,737
					945,680
SEMICONDUCTORS—1.8%
Monolithic Power Systems, Inc.	23,015				1,436,596
SPECIALTY CHEMICALS—2.1%
Balchem Corp.	24,363				1,663,993
SYSTEMS SOFTWARE—3.8%
Proofpoint, Inc.*	35,681				2,513,370
TubeMogul, Inc.*	47,475				567,326
					3,080,696
TOTAL COMMON STOCKS
(Cost $68,991,908)					72,044,977
PREFERRED STOCKS—0.1%	SHARES				VALUE
BIOTECHNOLOGY—0.0%
Tolero Pharmaceuticals, Inc.*^,@,(a)	10,097				30,454
PHARMACEUTICALS—0.1%
Intarcia Therapeutics, Inc.*^,@	759				28,598
TOTAL PREFERRED STOCKS
(Cost $55,038)					59,052
Total Investments
(Cost $69,046,946)^(b)	89.5	%			72,104,029
Other Assets in Excess of Liabilities	10.5	%			8,428,759
NET ASSETS	100.0	%	$		80,532,788

THE ALGER FUNDS | ALGER SMALL CAP FOCUS FUND
Schedule of Investments October 31, 2015 (Continued)

(b) At October 31, 2015, the net unrealized appreciation on investments, based on cost for federal income tax purposes of
$69,781,581, amounted to $2,322,448 which consisted of aggregate gross unrealized appreciation of $5,178,411 and
aggregate gross unrealized depreciation of $2,855,963.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. The investment is deemed to not be
liquid and may be sold only to qualified buyers.


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	10/31/2015
Intarcia Therapeutics, Inc.	3/27/14	$	24,584	0.14	%	$	28,598	0.03	%
Tolero Pharmaceuticals, Inc.	10/31/14		30,454	0.20	%		30,454	0.04	%
Total						$	59,052	0.07	%

Industry classifications are unaudited.
See Notes to Financial Statements.

- 66 -

THE ALGER FUNDS | ALGER HEALTH SCIENCES FUND
Schedule of Investments October 31, 2015


COMMON STOCKS—90.2%	SHARES			VALUE
BIOTECHNOLOGY—37.9%
ACADIA Pharmaceuticals, Inc.*	56,150	$		1,955,143
Adaptimmune Therapeutics PLC.#*	41,545			442,870
Aimmune Therapeutics, Inc.*	23,400			352,170
Alexion Pharmaceuticals, Inc.*	5,900			1,038,400
Amicus Therapeutics, Inc.*	132,600			994,500
Anacor Pharmaceuticals, Inc.*	32,900			3,698,289
ARIAD Pharmaceuticals, Inc.*	82,650			565,326
Bavarian Nordic A/S*	17,450			698,163
Biogen, Inc.*	16,600			4,822,466
BioMarin Pharmaceutical, Inc.*	34,900			4,084,696
Bluebird Bio, Inc.*	6,700			516,771
Calithera Biosciences, Inc.*	118,990			1,016,175
Celgene Corp.*	34,600			4,245,766
Celldex Therapeutics, Inc.*	64,300			775,458
Chiasma, Inc.*	18,950			430,923
Chimerix, Inc.*	33,150			1,298,817
Dyax Corp.*	43,000			1,183,790
Five Prime Therapeutics, Inc.*	19,500			626,925
Gilead Sciences, Inc.	57,100			6,174,223
Global Blood Therapeutics, Inc.*	17,850			832,345
Halozyme Therapeutics, Inc.*	151,250			2,367,062
Heron Therapeutics, Inc.*	58,300			1,598,586
Incyte Corp.*	44,100			5,183,073
Intercept Pharmaceuticals, Inc.*	17,500			2,751,000
Juno Therapeutics, Inc.*	20,400			1,055,904
Neurocrine Biosciences, Inc.*	17,100			839,439
Nivalis Therapeutics, Inc.*	57,450			460,749
Novavax, Inc.*	147,100			992,925
Otonomy, Inc.*	31,800			688,152
Portola Pharmaceuticals, Inc.*	31,650			1,506,856
Radius Health, Inc.*	12,050			773,971
Regeneron Pharmaceuticals, Inc.*	7,600			4,236,164
Sarepta Therapeutics, Inc.*	70,500			1,696,230
Seattle Genetics, Inc.*	31,400			1,302,786
TG Therapeutics, Inc.*	80,450			995,167
Ultragenyx Pharmaceutical, Inc.*	17,900			1,778,365
United Therapeutics Corp.*	16,350			2,397,401
Vertex Pharmaceuticals, Inc.*	40,450			5,045,733
			71,422,779
DRUG RETAIL—2.6%
CVS Caremark Corp.	13,850			1,368,103
Rite Aid Corp.*	119,550			942,054
Walgreens Boots Alliance, Inc.	30,450			2,578,506
				4,888,663
HEALTH CARE EQUIPMENT—9.6%
Abbott Laboratories	24,800			1,111,040
ABIOMED, Inc.*	33,600			2,474,976
CR Bard, Inc.	4,050			754,718

- 67 -

THE ALGER FUNDS | ALGER HEALTH SCIENCES FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
HEALTH CARE EQUIPMENT—(CONT.)
DexCom, Inc.*	38,850	$		3,236,982
Edwards Lifesciences Corp.*	23,600			3,708,740
Glaukos Corp.*	21,050			421,842
Globus Medical, Inc., Cl. A*	18,500			413,475
Hologic, Inc.*	83,850			3,258,411
IDEXX Laboratories, Inc.*	6,950			476,909
K2M Group Holdings, Inc.*	30,800			562,100
Stryker Corp.	12,350			1,180,907
Zeltiq Aesthetics, Inc.*	16,000			539,840
			18,139,940
HEALTH CARE FACILITIES—7.5%
Acadia Healthcare Co., Inc.*	47,150			2,895,481
Amsurg Corp.*	27,200			1,906,448
HCA Holdings, Inc.*	62,500			4,299,375
Surgery Partners, Inc.*	32,100			539,922
Universal Health Services, Inc., Cl. B	23,950			2,924,056
VCA Antech, Inc.*	26,400			1,445,928
				14,011,210
HEALTH CARE SERVICES—2.3%
Adeptus Health, Inc., Cl. A*	16,750			1,086,907
Diplomat Pharmacy, Inc.*	54,000			1,517,940
Team Health Holdings, Inc.*	17,250			1,029,308
Teladoc, Inc.*	34,900			686,483
				4,320,638
HEALTH CARE TECHNOLOGY—0.5%
athenahealth, Inc.*	6,200			945,190
LIFE SCIENCES TOOLS & SERVICES—0.4%
PRA Health Sciences, Inc.*	21,550			755,112
MANAGED HEALTH CARE—4.1%
Aetna, Inc.	23,550			2,703,069
UnitedHealth Group, Inc.	43,000			5,064,540
				7,767,609
PHARMACEUTICALS—25.3%
Aerie Pharmaceuticals, Inc.*	54,350			1,239,723
Akorn, Inc.*	47,650			1,274,161
Alcobra Ltd.*	164,950			1,374,033
Allergan PLC.*	19,567			6,035,832
Bristol-Myers Squibb Co.	96,400			6,357,580
Catabasis Pharmaceuticals, Inc.*^,@,(a)	163,782			1,028,879
Cempra, Inc.*	48,650			1,080,030
Dermira, Inc.*	55,400			1,495,246
Eli Lilly & Co.	65,750			5,363,228
Emmaus Life Sciences, Inc.*^,@	479,063			143,719
GW Pharmaceuticals PLC.#*	11,500			909,535
Intersect ENT, Inc.*	34,350			658,146
Lannett Co., Inc.*	18,900			846,153
Novo Nordisk A/S#	41,000			2,180,380

- 68 -

THE ALGER FUNDS | ALGER HEALTH SCIENCES FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
PHARMACEUTICALS—(CONT.)
Pacira Pharmaceuticals, Inc.*	41,250		$	2,060,438
Perrigo Co., PLC.	5,700			899,118
Pfizer,Inc.	108,100			3,655,942
Redhill Biopharma Ltd.#*	33,000			373,230
Roche Holding AG#	52,650			1,785,361
Shire PLC.#	34,000			7,719,700
The Medicines Co.*	13,150			450,256
Zoetis, Inc.	19,400			834,394
			47,765,084
TOTAL COMMON STOCKS
(Cost $160,087,064)			170,016,225
PREFERRED STOCKS—4.9%	SHARES			VALUE
BIOTECHNOLOGY—4.8%
Prosetta Biosciences, Inc.*^,@,(b)	897,366			4,038,147
Tolero Pharmaceuticals, Inc.*^,@,(b)	1,638,547			4,942,022
				8,980,169
PHARMACEUTICALS—0.1%
Intarcia Therapeutics, Inc.*^,@	8,965			337,801
TOTAL PREFERRED STOCKS
(Cost $9,270,545)				9,317,970
RIGHTS—–%	SHARES			VALUE
BIOTECHNOLOGY—–%
Neuralstem, Inc., 1/8/2019*	344,125			–
PHARMACEUTICALS—–%
Emmaus Life Sciences, Inc., 9/11/2018*^,@	320,000			–
TOTAL RIGHTS
(Cost $0)				–
Total Investments
(Cost $169,357,609)^(c)	95.1	%	179,334,195
Other Assets in Excess of Liabilities	4.9	%		9,280,777
NET ASSETS	100.0	%	$	188,614,972

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THE ALGER FUNDS | ALGER HEALTH SCIENCES FUND
Schedule of Investments October 31, 2015 (Continued)

# American Depositary Receipts.
(a) Pursuant to Securities and Exchange Commission Rule 144A deemed illiquid until eligible for sale on
December 22, 2015.
(b) Deemed an affiliate of the Alger fund complex during the year for purposes of Section 2(a)(3) of the
Investment Company Act of 1940. See Affiliated Securities in Notes to Financial Statements.
(c) At October 31, 2015, the net unrealized appreciation on investments, based on cost for federal income
tax purposes of $170,234,582, amounted to $9,099,613 which consisted of aggregate gross unrealized
appreciation of $20,979,943 and aggregate gross unrealized depreciation of $11,880,330.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. The investment is
deemed to not be liquid and may be sold only to qualified buyers.


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	10/31/2015
Catabasis Pharmaceuticals, Inc.	3/16/15	$	2,000,000	0.91	%	$	1,028,879	0.54	%
Emmaus Life Sciences, Inc.	9/09/13		800,000	0.42	%		96,000	0.06	%
Emmaus Life Sciences, Inc.	6/06/14		556,721	0.28	%		47,719	0.02	%
Emmaus Life Sciences, Inc.,
Rights	9/09/13		0.00	0.00	%		0.00	0.00	%
Intarcia Therapeutics, Inc.	3/27/14		290,376	0.15	%		337,801	0.18	%
Prosetta Biosciences, Inc.	2/06/15		4,038,147	2.00	%		4,038,147	2.14	%
Tolero Pharmaceuticals, Inc.	8/01/14		3,914,286	2.01	%		3,914,286	2.08	%
Tolero Pharmaceuticals, Inc.	10/31/14		1,027,736	0.49	%		1,027,736	0.54	%
Total						$	10,490,568	5.56	%

Industry classifications are unaudited.
See Notes to Financial Statements.

- 70 -

THE ALGER FUNDS | ALGER GROWTH & INCOME FUND
Schedule of Investments October 31, 2015


COMMON STOCKS—92.3%	SHARES		VALUE
ADVERTISING—0.0%
Choicestream, Inc.*^,@,(a)	5,064	$	2,127
AEROSPACE & DEFENSE—5.0%
General Dynamics Corp.	7,200		1,069,776
Honeywell International, Inc.	20,500		2,117,240
The Boeing Co.	12,320		1,824,222
			5,011,238
AIR FREIGHT & LOGISTICS—0.7%
United Parcel Service, Inc., Cl. B	7,300		752,046
AIRPORT SERVICES—0.8%
Macquarie Infrastructure Corp.	9,780		777,999
APPAREL RETAIL—1.4%
L Brands, Inc.	6,300		604,674
VF Corp.	11,600		783,232
			1,387,906
ASSET MANAGEMENT & CUSTODY BANKS—1.9%
Ameriprise Financial, Inc.	4,200		484,512
BlackRock, Inc.	4,100		1,443,077
			1,927,589
AUTO PARTS & EQUIPMENT—1.7%
Delphi Automotive PLC.	15,500		1,289,445
Johnson Controls, Inc.	9,700		438,246
			1,727,691
BIOTECHNOLOGY—1.7%
Amgen, Inc.	4,100		648,538
Gilead Sciences, Inc.	9,700		1,048,861
			1,697,399
BREWERS—1.0%
Anheuser-Busch InBev SA#	3,200		381,856
Molson Coors Brewing Co., Cl. B	6,900		607,890
			989,746
CABLE & SATELLITE—1.7%
Comcast Corporation, Cl. A	28,100		1,759,622
CASINOS & GAMING—0.5%
Las Vegas Sands Corp.	9,500		470,345
COMMUNICATIONS EQUIPMENT—1.9%
Cisco Systems, Inc.	41,100		1,185,735
QUALCOMM, Inc.	12,100		718,982
			1,904,717
CONSUMER ELECTRONICS—0.4%
Garmin Ltd.	11,100		393,717
CONSUMER FINANCE—0.7%
Discover Financial Services	11,800		663,396
DATA PROCESSING & OUTSOURCED SERVICES—0.5%
Xerox Corp.	59,400		557,766

- 71 -

THE ALGER FUNDS | ALGER GROWTH & INCOME FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
DIVERSIFIED BANKS—4.8%
JPMorgan Chase & Co.	41,461	$	2,663,869
Wells Fargo & Co.	40,900		2,214,326
			4,878,195
DIVERSIFIED CHEMICALS—0.8%
The Dow Chemical Co.	16,500		852,555
DRUG RETAIL—2.2%
CVS Caremark Corp.	15,600		1,540,968
Walgreens Boots Alliance, Inc.	7,800		660,504
			2,201,472
FERTILIZERS & AGRICULTURAL CHEMICALS—0.3%
Potash Corporation of Saskatchewan, Inc.	13,800		279,174
HEALTH CARE EQUIPMENT—1.3%
Becton Dickinson and Co.	5,400		769,608
St. Jude Medical, Inc.	8,100		516,861
			1,286,469
HOME IMPROVEMENT RETAIL—2.3%
The Home Depot, Inc.	18,600		2,299,704
HOTELS RESORTS & CRUISE LINES—1.4%
Royal Caribbean Cruises Ltd.	14,000		1,376,900
HOUSEHOLD PRODUCTS—1.4%
The Procter & Gamble Co.	18,225		1,392,026
HYPERMARKETS & SUPER CENTERS—0.8%
Wal-Mart Stores, Inc.	14,500		829,980
INDUSTRIAL CONGLOMERATES—2.4%
General Electric Co.	82,800		2,394,576
INTEGRATED OIL & GAS—3.7%
Exxon Mobil Corp.	32,100		2,655,954
TOTAL SA#^,(b)	21,900		1,056,237
			3,712,191
INTEGRATED TELECOMMUNICATION SERVICES—3.1%
AT&T, Inc.	30,300		1,015,353
Verizon Communications, Inc.	45,229		2,120,336
			3,135,689
INTERNET SOFTWARE & SERVICES—4.0%
Alphabet, Inc., Cl. A*	2,005		1,478,467
Alphabet, Inc., Cl. C*	2,010		1,428,728
Facebook, Inc., Cl. A*	10,900		1,111,473
			4,018,668
INVESTMENT BANKING & BROKERAGE—2.3%
Morgan Stanley	51,500		1,697,955
TD Ameritrade Holding Corp.	18,100		623,907
			2,321,862
LEISURE FACILITIES—0.7%
Six Flags Entertainment Corp.	13,400		697,336

- 72 -

THE ALGER FUNDS I ALGER GROWTH & INCOME FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
MANAGED HEALTH CARE—2.1%
Aetna, Inc.	9,500	$	1,090,410
UnitedHealth Group, Inc.	8,500		1,001,130
			2,091,540
MOVIES & ENTERTAINMENT—1.2%
The Walt Disney Co.	10,700		1,217,018
MULTI-LINE INSURANCE—0.8%
Hartford Financial Services Group, Inc.	16,900		781,794
MULTI-UTILITIES—0.7%
Sempra Energy	6,500		665,665
OIL & GAS EQUIPMENT & SERVICES—0.7%
Halliburton Company	19,500		748,410
OIL & GAS EXPLORATION & PRODUCTION—1.1%
ConocoPhillips	21,000		1,120,350
OIL, GAS & CONSUMABLE FUELS—0.4%
The Williams Cos., Inc.	10,500		414,120
OTHER DIVERSIFIED FINANCIAL SERVICES—1.1%
Bank of America Corp.	65,900		1,105,802
PACKAGED FOODS & MEATS—0.7%
The Kraft Heinz Co.	9,000		701,730
PHARMACEUTICALS—9.1%
Bristol-Myers Squibb Co.	27,900		1,840,005
Eli Lilly & Co.	21,300		1,737,441
GlaxoSmithKline PLC.#	17,100		736,326
Johnson & Johnson	20,000		2,020,600
Pfizer,Inc.	59,099		1,998,728
Roche Holding AG#	23,800		807,058
			9,140,158
RAILROADS—1.1%
CSX Corp.	42,100		1,136,279
RENEWABLE ELECTRICITY—0.1%
TerraForm Global, Inc., Cl. A*^,@,(c)	22,596		155,170
RESTAURANTS—2.2%
Darden Restaurants, Inc.	10,300		637,467
McDonald's Corp.	14,300		1,605,175
			2,242,642
SECURITY & ALARM SERVICES—1.0%
Tyco International PLC.	26,400		962,016
SEMICONDUCTOR EQUIPMENT—0.6%
Kla-Tencor Corp.	9,700		651,064
SEMICONDUCTORS—2.7%
Avago Technologies Ltd.	10,900		1,342,117
Intel Corp.	42,000		1,422,120
			2,764,237

- 73 -

THE ALGER FUNDS | ALGER GROWTH & INCOME FUND
Schedule of Investments October 31, 2015 (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
SOFT DRINKS—3.3%
PepsiCo, Inc.	19,800	$	2,023,362
The Coca-Cola Co.	30,500		1,291,675
			3,315,037
SPECIALIZED FINANCE—1.2%
CME Group, Inc.	13,350		1,261,175
SYSTEMS SOFTWARE—3.3%
Microsoft Corp.	62,900		3,311,056
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—5.2%
Apple, Inc.	37,755		4,511,722
Seagate Technology PLC.^(b)	19,100		726,946
			5,238,668
TOBACCO—2.3%
Altria Group, Inc.	38,215		2,310,861
TOTAL COMMON STOCKS
(Cost $67,399,152)			93,034,893
CONVERTIBLE PREFERRED STOCKS—0.8%	SHARES		VALUE
PHARMACEUTICALS—0.8%
Allergan PLC., 5.50%, 3/1/2018	770		805,905
(Cost $770,000)			805,905
PREFERRED STOCKS—0.0%	SHARES		VALUE
ADVERTISING—0.0%
Choicestream, Inc., Cl. A*^,@,(a)	43,672		18,342
Choicestream, Inc., Cl. B*^,@,(a)	89,234		37,479
			55,821
TOTAL PREFERRED STOCKS
(Cost $88,465)			55,821
MASTER LIMITED PARTNERSHIP—2.3%	SHARES		VALUE
ASSET MANAGEMENT & CUSTODY BANKS—1.7%
The Blackstone Group LP.	50,400		1,666,224
OIL & GAS STORAGE & TRANSPORTATION—0.6%
Cheniere Energy Partners LP.^(b)	23,400		655,434
TOTAL MASTER LIMITED PARTNERSHIP
(Cost $1,952,035)			2,321,658
REAL ESTATE INVESTMENT TRUST—2.9%	SHARES		VALUE
HEALTH CARE—0.9%
Welltower, Inc.	13,300		862,771
MORTGAGE—0.6%
Blackstone Mortgage Trust, Inc., Cl. A	22,200		610,944
SPECIALIZED—1.4%
Crown Castle International Corp.	8,400		717,864

- 74 -

THE ALGER FUNDS | ALGER GROWTH & INCOME FUND
Schedule of Investments October 31, 2015 (Continued)


REAL ESTATE INVESTMENT TRUST—(CONT.)	SHARES			VALUE
SPECIALIZED—(CONT.)
Lamar Advertising Co., Cl. A	12,600		$	711,018
				1,428,882
TOTAL REAL ESTATE INVESTMENT TRUST
(Cost $2,705,349)				2,902,597
Total Investments
(Cost $72,915,001)^(d)	98.3	%		99,120,874
Other Assets in Excess of Liabilities	1.7	%		1,720,460
NET ASSETS	100.0	%	$	100,841,334

# American Depositary Receipts.
(a) Deemed an affiliate of the Alger fund complex during the year for purposes of Section 2(a)(3) of the Investment Company Act
of 1940. See Affiliated Securities in Notes to Financial Statements.
(b) All or a portion of the security is on loan.
(c) Pursuant to Securities and Exchange Commission Rule 144A deemed illiquid until eligible for sale on January 27, 2016.
(d) At October 31, 2015, the net unrealized appreciation on investments, based on cost for federal income tax purposes of
$72,656,880, amounted to $26,463,994 which consisted of aggregate gross unrealized appreciation of $28,216,640 and
aggregate gross unrealized depreciation of $1,752,646.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. The investment is deemed to not be
liquid and may be sold only to qualified buyers.


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	10/31/2015
Choicestream, Inc.	3/14/14	$	1,469	0.00	%	$	2,127	0.00	%
Choicestream, Inc., Cl. A	12/17/13		34,924	0.03	%		18,342	0.02	%
Choicestream, Inc., Cl. B	7/10/14		53,541	0.05	%		37,479	0.03	%
TerraForm Global, Inc., Cl. A	6/08/15		322,000	0.31	%		155,170	0.15	%
Total						$	213,118	0.20	%

Industry classifications are unaudited.
See Notes to Financial Statements.

- 75 -

THE ALGER FUNDS
Statement of Assets and Liabilities October 31, 2015


		Alger Capital		Alger International
	Appreciation Fund				Growth Fund

ASSETS:
Investmentsinsecurities,atvalue(Identifiedcostbelow)*
see accompanying schedules of investments	$	2,422,594,670		$	215,181,393
Investmentsinaffiliatedsecurities,atvalue(Identifiedcost
below)** see accompanying schedules of investments		1,028,262			—
Cash and cash equivalents		74,403,598			8,803,389
Foreign cash †		—			113,565
Receivable for investment securities sold		134,096,351			2,047,778
Receivableforsharesofbeneficialinterestsold		6,559,465			1,440,299
Dividends and interest receivable		1,259,259			429,240
Receivable from Investment Manager		—			4,321
Prepaid expenses		72,864			51,649
Total Assets		2,640,014,469			228,071,634

LIABILITIES:
Payable for investment securities purchased		82,190,358			3,498,039
Payableforsharesofbeneficialinterestredeemed		2,440,623			134,876
Accrued investment advisory fees		1,629,768			130,551
Accrued transfer agent fees		823,890			80,958
Accrued distribution fees		602,191			75,209
Accrued administrative fees		57,453			5,056
Accrued shareholder administrative fees		31,159			2,874
Accrued other expenses		223,986			122,360
Total Liabilities		87,999,428			4,049,923
NET ASSETS	$	2,552,015,041		$	224,021,711

NET ASSETS CONSIST OF:
Paid in capital (par value of $.001 per share)		2,075,760,275			226,907,862
Undistributed net investment income (accumulated loss)		(6,987,556	)		(549,513	)
Undistributed net realized gain (accumulated realized loss)		155,414,379			(8,982,476	)
Net unrealized appreciation on investments		327,827,943			6,645,838
NET ASSETS	$	2,552,015,041		$	224,021,711
*Identifiedcost	$	2,094,208,923		$	208,515,010
**Identifiedcost	$	1,586,068		$	—
† Cost of foreign cash	$	—		$	113,761
*SeeNotestoFinancialStatements.*

- 76 -

THE ALGER FUNDS
Statement of Assets and Liabilities October 31, 2015 (Continued)


		Alger Capital	Alger International
	Appreciation Fund			Growth Fund

NET ASSETS BY CLASS:
Class A	$	1,592,858,602	$	137,207,169
Class B	$	24,398,962	$	31,356,725
Class C	$	314,402,006	$	21,696,895
Class I	$	—	$	14,435,332
Class Z	$	620,355,471	$	19,325,590

SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:
Class A		72,964,147		8,814,467
Class B		1,342,718		2,286,318
Class C		17,233,863		1,599,194
Class I		—		928,541
Class Z		28,009,283		1,228,916

NET ASSET VALUE PER SHARE:
Class A — Net Asset Value Per Share Class A	$	21.83	$	15.57
Class A — Offering Price Per Share
(includes a 5.25% sales charge)	$	23.04	$	16.43
Class B — Net Asset Value Per Share Class B	$	18.17	$	13.71
Class C — Net Asset Value Per Share Class C	$	18.24	$	13.57
Class I — Net Asset Value Per Share Class I	$	—	$	15.55
Class Z — Net Asset Value Per Share Class Z	$	22.15	$	15.73
*SeeNotestoFinancialStatements.*

- 77 -

THE ALGER FUNDS
Statement of Assets and Liabilities October 31, 2015 (Continued)


	Alger Mid Cap Growth				Alger SMid Cap
		Fund			Growth Fund

ASSETS:
Investmentsinsecurities,atvalue(Identifiedcostbelow)*
see accompanying schedules of investments	$	169,159,812		$	416,930,713
Investmentsinaffiliatedsecurities,atvalue(Identifiedcost
below)** see accompanying schedules of investments		2,481,215			1,041,633
Cash and cash equivalents		12,740,542			5,828,927
Receivable for investment securities sold		5,329,894			4,685,537
Receivableforsharesofbeneficialinterestsold		33,855			571,112
Dividends and interest receivable		49,218			84,422
Receivable from Investment Manager		665			—
Prepaid expenses		38,752			46,030
Total Assets		189,833,953			429,188,374

LIABILITIES:
Payable for investment securities purchased		5,546,574			4,065,196
Payableforsharesofbeneficialinterestredeemed		94,461			1,458,953
Accrued investment advisory fees		116,873			289,640
Accrued transfer agent fees		104,902			387,439
Accrued distribution fees		69,398			107,069
Accrued administrative fees		4,229			9,833
Accrued shareholder administrative fees		2,529			4,777
Accrued other expenses		110,819			141,855
Total Liabilities		6,049,785			6,464,762
NET ASSETS	$	183,784,168		$	422,723,612

NET ASSETS CONSIST OF:
Paid in capital (par value of $.001 per share)		212,387,228			250,547,807
Undistributed net investment income (accumulated loss)		(1,738,585	)		(2,956,550	)
Undistributed net realized gain (accumulated realized loss)		(34,936,858	)		136,604,810
Net unrealized appreciation on investments		8,072,383			38,527,545
NET ASSETS	$	183,784,168		$	422,723,612
*Identifiedcost	$	161,084,558		$	378,403,166
**Identifiedcost	$	2,481,215		$	1,041,633
*SeeNotestoFinancialStatements.*

- 78 -

THE ALGER FUNDS
Statement of Assets and Liabilities October 31, 2015 (Continued)


	Alger Mid Cap Growth			Alger SMid Cap
		Fund		Growth Fund

NET ASSETS BY CLASS:
Class A	$	131,592,182	$	159,061,407
Class B	$	26,150,978	$	4,166,613
Class C	$	23,627,918	$	54,768,122
Class I	$	—	$	70,676,499
Class Z	$	2,413,090	$	134,050,971

SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:
Class A		12,350,037		9,512,786
Class B		3,017,557		289,494
Class C		2,752,718		3,790,055
Class I		—		4,179,219
Class Z		226,186		7,846,748

NET ASSET VALUE PER SHARE:
Class A — Net Asset Value Per Share Class A	$	10.66	$	16.72
Class A — Offering Price Per Share
(includes a 5.25% sales charge)	$	11.25	$	17.65
Class B — Net Asset Value Per Share Class B	$	8.67	$	14.39
Class C — Net Asset Value Per Share Class C	$	8.58	$	14.45
Class I — Net Asset Value Per Share Class I	$	—	$	16.91
Class Z — Net Asset Value Per Share Class Z	$	10.67	$	17.08
*SeeNotestoFinancialStatements.*

- 79 -

THE ALGER FUNDS
Statement of Assets and Liabilities October 31, 2015 (Continued)


		Alger Small Cap		Alger Small Cap Focus
		Growth Fund			Fund

ASSETS:
Investmentsinsecurities,atvalue(Identifiedcostbelow)*
see accompanying schedules of investments	$	153,075,644		$	72,073,575
Investmentsinaffiliatedsecurities,atvalue(Identifiedcost
below)** see accompanying schedules of investments		675,194			30,454
Cash and cash equivalents		6,179,627			9,908,321
Receivable for investment securities sold		806,724			788,144
Receivableforsharesofbeneficialinterestsold		71,590			1,090,676
Dividends and interest receivable		5,870			—
Receivable from Investment Manager		3,076			4,776
Prepaid expenses		39,641			93,780
Total Assets		160,857,366			83,989,726

LIABILITIES:
Payable for investment securities purchased		2,333,133			3,253,521
Payableforsharesofbeneficialinterestredeemed		271,624			84,139
Accrued investment advisory fees		108,399			46,638
Accrued transfer agent fees		79,119			11,505
Accrued distribution fees		41,651			17,458
Accrued administrative fees		3,680			1,710
Accrued shareholder administrative fees		2,088			737
Accrued other expenses		133,635			41,230
Total Liabilities		2,973,329			3,456,938
NET ASSETS	$	157,884,037		$	80,532,788

NET ASSETS CONSIST OF:
Paid in capital (par value of $.001 per share)		118,114,776			78,931,216
Undistributed net investment income (accumulated loss)		(1,671,771	)		(388,941	)
Undistributed net realized gain (accumulated realized loss)		29,684,131			(1,066,570	)
Net unrealized appreciation on investments		11,756,901			3,057,083
NET ASSETS	$	157,884,037		$	80,532,788
*Identifiedcost	$	141,315,515		$	69,016,492
**Identifiedcost	$	675,194		$	30,454
*SeeNotestoFinancialStatements.*

- 80 -

THE ALGER FUNDS
Statement of Assets and Liabilities October 31, 2015 (Continued)


		Alger Small Cap	Alger Small Cap Focus
		Growth Fund		Fund

NET ASSETS BY CLASS:
Class A	$	115,593,576	$	14,479,484
Class B	$	6,564,335	$	—
Class C	$	13,724,181	$	8,020,118
Class I	$	—	$	40,924,185
Class Z	$	22,001,945	$	17,109,001

SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:
Class A		14,444,668		1,322,440
Class B		998,853		—
Class C		2,136,068		792,245
Class I		—		3,647,309
Class Z		2,715,364		1,516,968

NET ASSET VALUE PER SHARE:
Class A — Net Asset Value Per Share Class A	$	8.00	$	10.95
Class A — Offering Price Per Share
(includes a 5.25% sales charge)	$	8.45	$	11.56
Class B — Net Asset Value Per Share Class B	$	6.57	$	—
Class C — Net Asset Value Per Share Class C	$	6.42	$	10.12
Class I — Net Asset Value Per Share Class I	$	—	$	11.22
Class Z — Net Asset Value Per Share Class Z	$	8.10	$	11.28
*SeeNotestoFinancialStatements.*

- 81 -

THE ALGER FUNDS
Statement of Assets and Liabilities October 31, 2015 (Continued)


	Alger Health Sciences			Alger Growth &
		Fund		Income Fund

ASSETS:
Investmentsinsecurities,atvalue(Identifiedcostbelow)*
see accompanying schedules of investments # (Including
in Growth & Income Funds securities loaned at value of
$1,674,415)	$	170,354,026	$	99,062,926
Investmentsinaffiliatedsecurities,atvalue(Identifiedcost
below)** see accompanying schedules of investments		8,980,169		57,948
Cash and cash equivalents#		6,971,945		2,951,496
Receivable for investment securities sold		7,163,769		259,233
Receivableforsharesofbeneficialinterestsold		191,300		162,802
Dividends and interest receivable		73,972		195,843
Receivable from Investment Manager		2,961		—
Prepaid expenses		31,895		29,180
Total Assets		193,770,037		102,719,428

LIABILITIES:
Payable for investment securities purchased		4,632,427		—
Collateral on securities loaned at value (Note 4)		—		1,709,832
Payableforsharesofbeneficialinterestredeemed		145,902		324
Accrued investment advisory fees		129,866		48,851
Accrued transfer agent fees		102,290		43,067
Accrued distribution fees		77,032		32,235
Accrued administrative fees		4,409		2,296
Accrued shareholder administrative fees		2,624		1,331
Accrued other expenses		60,515		40,158
Total Liabilities		5,155,065		1,878,094
NET ASSETS	$	188,614,972	$	100,841,334

NET ASSETS CONSIST OF:
Paid in capital (par value of $.001 per share)		149,736,465		71,138,564
Undistributed net investment income		—		290,468
Undistributed net realized gain		28,905,918		3,206,430
Net unrealized appreciation on investments		9,972,589		26,205,872
NET ASSETS	$	188,614,972	$	100,841,334
*Identifiedcost	$	160,377,440	$	72,825,067
**Identifiedcost	$	8,980,169	$	89,934
# Includes collateral received on stock loan	$	—	$	1,709,832
*SeeNotestoFinancialStatements.*

- 82 -

THE ALGER FUNDS
Statement of Assets and Liabilities October 31, 2015 (Continued)


	Alger Health Sciences			Alger Growth &
		Fund		Income Fund

NET ASSETS BY CLASS:
Class A	$	122,813,798	$	70,932,863
Class B	$	5,796,959	$	—
Class C	$	53,486,926	$	21,156,224
Class Z	$	6,517,289	$	8,752,247

SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:
Class A		5,597,145		2,125,791
Class B		314,081		—
Class C		2,886,177		642,037
Class Z		299,528		262,114

NET ASSET VALUE PER SHARE:
Class A — Net Asset Value Per Share Class A	$	21.94	$	33.37
Class A — Offering Price Per Share
(includes a 5.25% sales charge)	$	23.16	$	35.22
Class B — Net Asset Value Per Share Class B	$	18.46	$	—
Class C — Net Asset Value Per Share Class C	$	18.53	$	32.95
Class Z — Net Asset Value Per Share Class Z	$	21.76	$	33.39
*SeeNotestoFinancialStatements.*

- 83 -

THE ALGER FUNDS
Statement of Operations For the year ended October 31, 2015


		Alger Capital		Alger International
	Appreciation Fund				Growth Fund

INCOME:
Dividends (net of foreign withholding taxes*)	$	23,208,888		$	3,188,870
Interest		23,230			2,509
Total Income		23,232,118			3,191,379

EXPENSES:
Advisory fees — Note 3(a)		17,631,214			1,500,272
Distribution fees — Note 3(c)
Class A		3,778,392			334,069
Class B		280,555			344,945
Class C		2,786,753			211,006
Class I		—			14,715
Shareholder administrative fees — Note 3(f)		340,315			33,432
Administration fees — Note 3(b)		610,885			58,109
Custodian fees		179,476			164,242
Interest expenses		840			1,329
Transfer agent fees and expenses — Note 3(f)		1,619,473			181,093
Printing fees		311,700			62,000
Professional fees		134,016			63,624
Registration fees		104,073			95,141
Trustee fees — Note 3(g)		75,253			10,589
Fund accounting fees		299,510			32,850
Miscellaneous		148,658			38,827
Total Expenses		28,301,113			3,146,243
Less, expense reimbursements/waivers — Note 3(a)		—			(31,017	)
Net Expenses		28,301,113			3,115,226
NET INVESTMENT INCOME (LOSS)		(5,068,995	)		76,153

REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, OPTIONS AND FOREIGN CURRENCY:
Net realized gain on investments and purchased options		175,529,286			5,506,564
Net realized (loss) on foreign currency transactions		(41,833	)		(375,589	)
Net change in unrealized appreciation (depreciation) on
investments, options and foreign currency		5,671,377			(1,406,244	)
Net realized and unrealized gain on investments, options, and
foreign currency		181,158,830			3,724,731
NET INCREASE IN NET ASSETS RESULTING FROM
OPERATIONS	$	176,089,835		$	3,800,884
* Foreign withholding taxes	$	33,245		$	343,378
*SeeNotestoFinancialStatements.*

- 84 -

THE ALGER FUNDS
Statement of Operations For the year ended October 31, 2015 (Continued)


	Alger Mid Cap Growth				Alger SMid Cap
		Fund			Growth Fund

INCOME:
Dividends (net of foreign withholding taxes*)	$	1,295,274		$	5,195,821
Interest		3,123			3,052
Total Income		1,298,397			5,198,873

EXPENSES:
Advisory fees — Note 3(a)		1,517,195			6,226,089
Distribution fees — Note 3(c)
Class A		358,670			543,156
Class B		299,476			59,484
Class C		257,538			612,709
Class I		—			1,106,857
Shareholder administrative fees — Note 3(f)		32,908			95,531
Administration fees — Note 3(b)		54,898			211,863
Custodian fees		57,891			83,450
Interest expenses		82			25,888
Transfer agent fees and expenses — Note 3(f)		206,122			952,300
Printing fees		58,375			123,175
Professional fees		64,330			78,950
Registration fees		69,889			134,483
Trustee fees — Note 3(g)		10,039			24,377
Fund accounting fees		29,279			103,302
Miscellaneous		29,907			73,158
Total Expenses		3,046,599			10,454,772
Less, expense reimbursements/waivers — Note 3(a)		(3,655	)		—
Net Expenses		3,042,944			10,454,772
NET INVESTMENT LOSS		(1,744,547	)		(5,255,899	)

REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, OPTIONS AND FOREIGN CURRENCY:
Net realized gain on investments and purchased options		5,638,411			195,242,041
Net realized (loss) on foreign currency transactions		(3,720	)		—
Net realized (loss) on options written		(114,828	)		—
Net change in unrealized (depreciation) on investments,
options and foreign currency		(1,165,081	)		(147,803,282	)
Net change in unrealized (depreciation) on written options		(65,814	)		—
Net realized and unrealized gain on investments, options, and
foreign currency		4,288,968			47,438,759
NET INCREASE IN NET ASSETS RESULTING FROM
OPERATIONS	$	2,544,421		$	42,182,860
* Foreign withholding taxes	$	762		$	7,188
*SeeNotestoFinancialStatements.*

- 85 -

THE ALGER FUNDS
Statement of Operations For the year ended October 31, 2015 (Continued)


		Alger Small Cap		Alger Small Cap Focus
		Growth Fund			Fund

INCOME:
Dividends	$	912,866		$	108,260
Interest		1,672			867
Total Income		914,538			109,127

EXPENSES:
Advisory fees — Note 3(a)		1,694,583			276,794
Distribution fees — Note 3(c)
Class A		340,082			25,693
Class B		76,922			—
Class C		153,164			49,107
Class I		—			32,529
Shareholder administrative fees — Note 3(f)		31,258			4,429
Administration fees — Note 3(b)		57,531			9,465
Custodian fees		60,125			44,480
Interest expenses		3,114			152
Transfer agent fees and expenses — Note 3(f)		161,210			24,926
Printing fees		66,395			15,380
Professional fees		65,790			31,868
Registration fees		78,132			78,463
Trustee fees — Note 3(g)		10,230			5,179
Fund accounting fees		31,081			8,522
Miscellaneous		31,379			4,868
Total Expenses		2,860,996			611,855
Less, expense reimbursements/waivers — Note 3(a)		(23,876	)		(98,411	)
Net Expenses		2,837,120			513,444
NET INVESTMENT LOSS		(1,922,582	)		(404,317	)

REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, OPTIONS AND FOREIGN CURRENCY:
Net realized gain (loss) on investments and purchased options		30,402,981			(1,057,718	)
Net realized gain on foreign currency transactions		122			—
Net change in unrealized appreciation (depreciation) on
investments, options and foreign currency		(22,120,661	)		217,460
Net realized and unrealized gain (loss) on investments,
options, and foreign currency		8,282,442			(840,258	)
NET INCREASE (DECREASE) IN NET ASSETS RESULTING
FROM OPERATIONS	$	6,359,860		$	(1,244,575	)
*SeeNotestoFinancialStatements.*

- 86 -

THE ALGER FUNDS
Statement of Operations For the year ended October 31, 2015 (Continued)


	Alger Health Sciences				Alger Growth &
		Fund			Income Fund

INCOME:
Dividends (net of foreign withholding taxes*)	$	563,165		$	3,005,943
Interest		6,519			6,772
Total Income		569,684			3,012,715

EXPENSES:
Advisory fees — Note 3(a)		1,724,813			607,424
Distribution fees — Note 3(c)
Class A		355,409			185,559
Class B		81,273			—
Class C		615,858			207,938
Shareholder administrative fees — Note 3(f)		35,067			16,560
Administration fees — Note 3(b)		58,559			28,554
Custodian fees		49,723			30,341
Interest expenses		1,656			—
Transfer agent fees and expenses — Note 3(f)		191,233			93,243
Printing fees		35,675			19,750
Professional fees		62,098			35,745
Registration fees		59,215			66,491
Trustee fees — Note 3(g)		10,411			7,307
Fund accounting fees		31,591			16,143
Miscellaneous		16,303			10,345
Total Expenses		3,328,884			1,325,400
Less, expense reimbursements/waivers — Note 3(a)		(2,961	)		—
Net Expenses		3,325,923			1,325,400
NET INVESTMENT INCOME (LOSS)		(2,756,239	)		1,687,315

REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, OPTIONS AND FOREIGN CURRENCY:
Net realized gain on investments and purchased options		34,980,469			3,092,404
Net realized (loss) on foreign currency transactions		(10,395	)		—
Net change in unrealized (depreciation) on investments,
options and foreign currency		(29,480,280	)		(794,071	)
Net realized and unrealized gain on investments, options, and
foreign currency		5,489,794			2,298,333
NET INCREASE IN NET ASSETS RESULTING FROM
OPERATIONS	$	2,733,555		$	3,985,648
* Foreign withholding taxes	$	—		$	23,017
*SeeNotestoFinancialStatements.*

- 87 -

THE ALGER FUNDS
Statements of Changes in Net Assets


		Alger Capital Appreciation Fund
		For the			For the
		Year Ended			Year Ended
		October 31, 2015			October 31, 2014

Net investment loss	$	(5,068,995	)	$	(3,679,183	)
Net realized gain on investments, options and foreign currency		175,487,453			267,578,812
Net change in unrealized appreciation on investments, options
and foreign currency		5,671,377			16,605,714
Net increase in net assets resulting from operations		176,089,835			280,505,343

Dividends and distributions to shareholders from:
Net realized gains:
Class A		(194,964,620	)		(88,054,820	)
Class B		(4,786,430	)		(2,641,990	)
Class C		(39,410,575	)		(16,311,636	)
Class Z		(41,877,560	)		(13,079,771	)
Total dividends and distributions to shareholders		(281,039,185	)		(120,088,217	)

Increase(decrease)fromsharesofbeneficialinteresttransactions:
Class A		269,268,157			50,917,819
Class B		(3,509,729	)		(4,847,776	)
Class C		95,954,673			22,419,769
Class Z		352,682,737			81,018,361
Netincreasefromsharesofbeneficialinteresttransactions—
Note 6(a)		714,395,838			149,508,173

Redemption Fees:
Class A		10,598			7,428
Class B		—			12
Class C		1,094			189
Total Redemption Fees — Note 6(b)		11,692			7,629
Total increase		609,458,180			309,932,928

Net Assets:
Beginning of period		1,942,556,861			1,632,623,933
END OF PERIOD	$	2,552,015,041		$	1,942,556,861
Undistributed net investment income (accumulated loss)	$	(6,987,556	)	$	342,063
*SeeNotestoFinancialStatements.*

- 88 -

THE ALGER FUNDS
Statements of Changes in Net Assets (Continued)


		Alger International Growth Fund
		For the			For the
		Year Ended			Year Ended
		October 31, 2015			October 31, 2014

Net investment income	$	76,153		$	82,053
Net realized gain on investments, options and foreign currency		5,130,975			7,197,425
Net change in unrealized depreciation on investments, options
and foreign currency		(1,406,244	)		(6,416,760	)
Net increase in net assets resulting from operations		3,800,884			862,718

Dividends and distributions to shareholders from:
Net investment income:
Class A		(1,271,849	)		(27,014	)
Class B		(11,264	)		—
Class C		(98,277	)		—
Class I		(37,199	)		(1,046	)
Class Z		(130,363	)		—
Total dividends and distributions to shareholders		(1,548,952	)		(28,060	)

Increase(decrease)fromsharesofbeneficialinteresttransactions:
Class A		4,373,732			(14,951,623	)
Class B		(8,017,758	)		(25,725,930	)
Class C		1,027,255			2,930,689
Class I		10,912,008			3,554,088
Class Z		11,136,307			6,551,958
Netincrease(decrease)fromsharesofbeneficialinterest
transactions — Note 6(a)		19,431,544			(27,640,818	)

Redemption Fees:
Class A		16			2,502
Class B		—			11
Class C		188			64
Total Redemption Fees — Note 6(b)		204			2,577
Total increase (decrease)		21,683,680			(26,803,583	)

Net Assets:
Beginning of period		202,338,031			229,141,614
END OF PERIOD	$	224,021,711		$	202,338,031
Undistributed net investment income (accumulated loss)	$	(549,513	)	$	(197,818	)
*SeeNotestoFinancialStatements.*

- 89 -

THE ALGER FUNDS
Statements of Changes in Net Assets (Continued)


		Alger Mid Cap Growth Fund
		For the			For the
		Year Ended			Year Ended
		October 31, 2015			October 31, 2014

Net investment loss	$	(1,744,547	)	$	(1,368,066	)
Net realized gain on investments, purchased options and foreign
currency		5,634,691			37,806,234
Net realized gain (loss) on options written		(114,828	)		6,929,422
Net change in unrealized (depreciation) on investments, options
and foreign currency		(1,165,081	)		(17,346,004	)
Net change in unrealized appreciation (depreciation) on written
options		(65,814	)		20,981
Net increase in net assets resulting from operations		2,544,421			26,042,567

Increase(decrease)fromsharesofbeneficialinteresttransactions:
Class A		(13,488,557	)		(17,680,660	)
Class B		(7,627,468	)		(22,734,156	)
Class C		(2,461,723	)		(3,237,049	)
Class Z		2,531,432			—
Netdecreasefromsharesofbeneficialinteresttransactions—
Note 6(a)		(21,046,316	)		(43,651,865	)

Redemption Fees:
Class A		45			2,773
Class B		—			22
Class C		10			129
Total Redemption Fees — Note 6(b)		55			2,924
Total decrease		(18,501,840	)		(17,606,374	)

Net Assets:
Beginning of period		202,286,008			219,892,382
END OF PERIOD	$	183,784,168		$	202,286,008
Undistributed net investment income (accumulated loss)	$	(1,738,585	)	$	(1,436,248	)
*SeeNotestoFinancialStatements.*

- 90 -

THE ALGER FUNDS
Statements of Changes in Net Assets (Continued)


		Alger SMid Cap Growth Fund
		For the			For the
		Year Ended			Year Ended
		October 31, 2015			October 31, 2014

Net investment loss	$	(5,255,899	)	$	(5,369,439	)
Net realized gain on investments, options and foreign currency		195,242,041			144,106,767
Net change in unrealized depreciation on investments, options
and foreign currency		(147,803,282	)		(56,922,888	)
Net increase in net assets resulting from operations		42,182,860			81,814,440

Dividends and distributions to shareholders from:
Net realized gains:
Class A		(31,265,366	)		(40,336,640	)
Class B		(1,043,101	)		(1,450,715	)
Class C		(9,340,509	)		(10,744,830	)
Class I		(92,147,031	)		(96,820,220	)
Class Z		(5,749,475	)		(7,630,440	)
Total dividends and distributions to shareholders		(139,545,482	)		(156,982,845	)

Increase(decrease)fromsharesofbeneficialinteresttransactions:
Class A		(54,803,635	)		(32,957,368	)
Class B		(2,083,473	)		(1,290,502	)
Class C		952,259			1,650,012
Class I		(574,202,182	)		51,073,780
Class Z		86,558,448			(12,367,216	)
Netincrease(decrease)fromsharesofbeneficialinterest
transactions — Note 6(a)		(543,578,583	)		6,108,706

Redemption Fees:
Class A		3,058			4,759
Class B		—			44
Class C		78			58
Total Redemption Fees — Note 6(b)		3,136			4,861
Total decrease		(640,938,069	)		(69,054,838	)

Net Assets:
Beginning of period		1,063,661,681			1,132,716,519
END OF PERIOD	$	422,723,612		$	1,063,661,681
Undistributed net investment income (accumulated loss)	$	(2,956,550	)	$	54,600
*SeeNotestoFinancialStatements.*

- 91 -

THE ALGER FUNDS
Statements of Changes in Net Assets (Continued)


		Alger Small Cap Growth Fund
		For the			For the
		Year Ended			Year Ended
		October 31, 2015			October 31, 2014

Net investment loss	$	(1,922,582	)	$	(2,141,204	)
Net realized gain on investments, options and foreign currency		30,403,103			25,093,726
Net change in unrealized depreciation on investments, options
and foreign currency		(22,120,661	)		(20,535,401	)
Net increase in net assets resulting from operations		6,359,860			2,417,121

Dividends and distributions to shareholders from:
Net realized gains:
Class A		(15,277,775	)		(19,755,081	)
Class B		(1,086,069	)		(1,683,651	)
Class C		(2,082,876	)		(2,552,862	)
Class Z		(6,929,069	)		(8,751,912	)
Total dividends and distributions to shareholders		(25,375,789	)		(32,743,506	)

Increase(decrease)fromsharesofbeneficialinteresttransactions:
Class A		(10,653,267	)		(16,903,175	)
Class B		(1,268,060	)		(3,177,654	)
Class C		(318,934	)		(855,002	)
Class Z		(40,040,660	)		(7,590,138	)
Netdecreasefromsharesofbeneficialinteresttransactions—
Note 6(a)		(52,280,921	)		(28,525,969	)

Redemption Fees:
Class A		8,079			697
Class B		3			7
Class C		—			2
Total Redemption Fees — Note 6(b)		8,082			706
Total decrease		(71,288,768	)		(58,851,648	)

Net Assets:
Beginning of period		229,172,805			288,024,453
END OF PERIOD	$	157,884,037		$	229,172,805
Undistributed net investment income (accumulated loss)	$	(1,671,771	)	$	(2,107,277	)
*SeeNotestoFinancialStatements.*

- 92 -

THE ALGER FUNDS
Statements of Changes in Net Assets (Continued)


		Alger Small Cap Focus Fund
		For the			For the
		Year Ended			Year Ended
		October 31, 2015			October 31, 2014

Net investment loss	$	(404,317	)	$	(147,055	)
Net realized gain (loss) on investments, options and foreign
currency		(1,057,718	)		1,223,236
Net change in unrealized appreciation (depreciation) on
investments, options and foreign currency		217,460			(463,651	)
Net increase (decrease) in net assets resulting from operations		(1,244,575	)		612,530

Dividends and distributions to shareholders from:
Net realized gains:
Class A		(589,965	)		(1,191,864	)
Class C		(236,774	)		(415,857	)
Class I		(149,175	)		(313,335	)
Class Z		(277,428	)		(474,442	)
Total dividends and distributions to shareholders		(1,253,342	)		(2,395,498	)

Increase(decrease)fromsharesofbeneficialinteresttransactions:
Class A		7,653,562			561,232
Class C		5,795,542			304,477
Class I		39,972,575			576,384
Class Z		14,028,865			485,635
Netincreasefromsharesofbeneficialinteresttransactions—
Note 6(a)		67,450,544			1,927,728

Redemption Fees:
Class A		53			3
Class C		1			—
Total Redemption Fees — Note 6(b)		54			3
Total increase		64,952,681			144,763

Net Assets:
Beginning of period		15,580,107			15,435,344
END OF PERIOD	$	80,532,788		$	15,580,107
Undistributed net investment income (accumulated loss)	$	(388,941	)	$	(144,491	)
*SeeNotestoFinancialStatements.*

- 93 -

THE ALGER FUNDS
Statements of Changes in Net Assets (Continued)


		Alger Health Sciences Fund
		For the			For the
		Year Ended			Year Ended
		October 31, 2015			October 31, 2014

Net investment loss	$	(2,756,239	)	$	(1,685,758	)
Net realized gain on investments, options and foreign currency		34,970,074			42,975,076
Net change in unrealized appreciation (depreciation) on
investments, options and foreign currency		(29,480,280	)		4,713,768
Net increase in net assets resulting from operations		2,733,555			46,003,086

Dividends and distributions to shareholders from:
Net investment income:
Class A		(794,186	)		—
Class C		(1,266	)		—
Net realized gains:
Class A		(27,298,213	)		(21,216,446	)
Class B		(2,021,660	)		(1,919,094	)
Class C		(13,763,765	)		(10,087,145	)
Total dividends and distributions to shareholders		(43,879,090	)		(33,222,685	)

Increase(decrease)fromsharesofbeneficialinteresttransactions:
Class A		9,777,177			(97,042	)
Class B		(1,600,558	)		(3,008,527	)
Class C		5,708,604			935,001
Class Z		6,911,105			—
Netincrease(decrease)fromsharesofbeneficialinterest
transactions — Note 6(a)		20,796,328			(2,170,568	)

Redemption Fees:
Class A		230			298
Class C		126			9
Total Redemption Fees — Note 6(b)		356			307
Total increase (decrease)		(20,348,851	)		10,610,140

Net Assets:
Beginning of period		208,963,823			198,353,683
END OF PERIOD	$	188,614,972		$	208,963,823
Undistributed net investment income (accumulated loss)	$	—		$	(1,292,988	)
*SeeNotestoFinancialStatements.*

- 94 -

THE ALGER FUNDS
Statements of Changes in Net Assets (Continued)


		Alger Growth & Income Fund
		For the			For the
		Year Ended			Year Ended
		October 31, 2015			October 31, 2014

Net investment income	$	1,687,315		$	1,855,352
Net realized gain on investments, options and foreign currency		3,092,404			7,485,214
Net change in unrealized appreciation (depreciation) on
investments, options and foreign currency		(794,071	)		4,812,069
Net increase in net assets resulting from operations		3,985,648			14,152,635

Dividends and distributions to shareholders from:
Net investment income:
Class A		(1,132,813	)		(1,552,157	)
Class C		(176,746	)		(245,616	)
Class Z		(153,455	)		(83,762	)
Net realized gains:
Class A		(2,392,561	)		—
Class C		(661,139	)		—
Class Z		(276,636	)		—
Total dividends and distributions to shareholders		(4,793,350	)		(1,881,535	)

Increase(decrease)fromsharesofbeneficialinteresttransactions:
Class A		(2,119,880	)		(16,726,927	)
Class C		1,294,549			547,618
Class Z		359,072			5,708,751
Netdecreasefromsharesofbeneficialinteresttransactions—
Note 6(a)		(466,259	)		(10,470,558	)

Redemption Fees:
Class A		667			3,298
Class C		10			—
Total Redemption Fees — Note 6(b)		677			3,298
Total increase (decrease)		(1,273,284	)		1,803,840

Net Assets:
Beginning of period		102,114,618			100,310,778
END OF PERIOD	$	100,841,334		$	102,114,618
Undistributed net investment income	$	290,468		$	134,327
*SeeNotestoFinancialStatements.*

- 95 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Capital Appreciation Fund											Class A
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	23.13			$	21.18			$	16.59			$	14.64			$	13.84
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income (loss)⁽ⁱ⁾			(0.04	)			(0.03	)			0.11				0.05				(0.03	)
Net realized and unrealized gain on
investments			1.97				3.51				4.67				1.90				1.19
Total from investment operations			1.93				3.48				4.78				1.95				1.16
Dividends from net investment income			–				–				(0.12	)			–				–
Distributions from net realized gains			(3.23	)			(1.53	)			(0.07	)			–				–
Net asset value, end of period		$	21.83			$	23.13			$	21.18			$	16.59			$	14.64
Total return⁽ⁱⁱ⁾			9.15	%			17.35	%			29.11	%			13.32	%			8.60	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	1,592,859			$	1,389,005			$	1,217,389			$	952,955			$	753,348
Ratio of gross expenses to average
net assets			1.23	%			1.24	%			1.26	%			1.29	%			1.31	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			1.23	%			1.24	%			1.26	%			1.29	%			1.31	%
Ratio of net investment income (loss) to
average net assets			(0.18	)%			(0.14	)%			0.58	%			0.30	%			(0.19	)%
Portfolio turnover rate			141.43	%			147.78	%			123.81	%			142.32	%			163.79	%
*SeeNotestoFinancialStatements.*

⁽ⁱ⁾Amount was computed based on average shares outstanding during the period.
⁽ⁱⁱ⁾Does not reflect the effect of sales charges, if applicable.
- 96 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Capital Appreciation Fund											Class B
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	19.91			$	18.58			$	14.57			$	12.96			$	12.04
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.17	)			(0.17	)			(0.02	)			(0.07	)			(0.14	)
Net realized and unrealized gain on
investments			1.66				3.03				4.10				1.68				1.06
Total from investment operations			1.49				2.86				4.08				1.61				0.92
Distributions from net realized gains			(3.23	)			(1.53	)			(0.07	)			–				–
Net asset value, end of period		$	18.17			$	19.91			$	18.58			$	14.57			$	12.96
Total return⁽ⁱⁱ⁾			8.30	%			16.37	%			28.13	%			12.42	%			7.60	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	24,399			$	30,382			$	33,068			$	31,965			$	37,124
Ratio of gross expenses to average
net assets			2.01	%			2.03	%			2.05	%			2.11	%			2.15	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			2.01	%			2.03	%			2.05	%			2.11	%			2.15	%
Ratio of net investment income (loss) to
average net assets			(0.95	)%			(0.93	)%			(0.15	)%			(0.52	)%			(1.04	)%
Portfolio turnover rate			141.43	%			147.78	%			123.81	%			142.32	%			163.79	%
*SeeNotestoFinancialStatements.*

⁽ⁱ⁾Amount was computed based on average shares outstanding during the period.
⁽ⁱⁱ⁾Does not reflect the effect of sales charges, if applicable.
- 97 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Capital Appreciation Fund											Class C
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	19.97			$	18.62			$	14.62			$	13.00			$	12.07
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.17	)			(0.17	)			(0.03	)			(0.07	)			(0.13	)
Net realized and unrealized gain on
investments			1.67				3.05				4.12				1.69				1.06
Total from investment operations			1.50				2.88				4.09				1.62				0.93
Dividends from net investment income			–				–				(0.02	)			–				–
Distributions from net realized gains			(3.23	)			(1.53	)			(0.07	)			–				–
Net asset value, end of period		$	18.24			$	19.97			$	18.62			$	14.62			$	13.00
Total return⁽ⁱⁱ⁾			8.33	%			16.44	%			28.14	%			12.46	%			7.70	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	314,402			$	236,985			$	198,377			$	149,400			$	127,186
Ratio of gross expenses to average
net assets			1.99	%			2.00	%			2.02	%			2.07	%			2.09	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			1.99	%			2.00	%			2.02	%			2.07	%			2.09	%
Ratio of net investment income (loss) to
average net assets			(0.94	)%			(0.90	)%			(0.20	)%			(0.47	)%			(0.97	)%
Portfolio turnover rate			141.43	%			147.78	%			123.81	%			142.32	%			163.79	%
*SeeNotestoFinancialStatements.*

⁽ⁱ⁾Amount was computed based on average shares outstanding during the period.
⁽ⁱⁱ⁾Does not reflect the effect of sales charges, if applicable.
- 98 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Capital Appreciation Fund											Class Z
																	From 12/29/2010
			Year ended				Year ended				Year ended				Year ended	(commencement of operations)
			10/31/2015				10/31/2014				10/31/2013				10/31/2012			to 10/31/2011 (i)
Net asset value, beginning of period		$	23.35			$	21.31			$	16.68			$	14.68		$	14.52
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income⁽ⁱⁱ⁾			0.03				0.04				0.11				0.12			0.03
Net realized and unrealized gain on
investments			2.00				3.53				4.76				1.88			0.13
Total from investment operations			2.03				3.57				4.87				2.00			0.16
Dividends from net investment income			–				–				(0.17	)			–			–
Distributions from net realized gains			(3.23	)			(1.53	)			(0.07	)			–			–
Net asset value, end of period		$	22.15			$	23.35			$	21.31			$	16.68		$	14.68
Total return⁽ⁱⁱⁱ⁾			9.54	%			17.68	%			29.58	%			13.62	%		1.10	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	620,355			$	286,186			$	183,790			$	37,956			$	2,329
Ratio of gross expenses to average
net assets			0.90	%			0.93	%			0.93	%			1.01	%		7.14	%
Ratio of expense reimbursements to
average net assets			–				–				–				(0.04	)%		(6.17	)%
Ratio of net expenses to average net
assets			0.90	%			0.93	%			0.93	%			0.97	%		0.97	%
Ratio of net investment income (loss) to
average net assets			0.12	%			0.16	%			0.58	%			0.73	%		0.25	%
Portfolio turnover rate			141.43	%			147.78	%			123.81	%			142.32	%		163.79	%
*SeeNotestoFinancialStatements.*

⁽ⁱ⁾Ratios have been annualized; total return has not been annualized; portfolio turnover is for the twelve months then ended.
⁽ⁱⁱ⁾Amount was computed based on average shares outstanding during the period.
⁽ⁱⁱⁱ⁾Does not reflect the effect of sales charges, if applicable.
- 99 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger International Growth Fund											Class A
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	15.29			$	15.27			$	12.61			$	11.91			$	11.25
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income⁽ⁱ⁾			0.03				0.04				0.11				0.04				0.01
Net realized and unrealized gain (loss)
on investments			0.40				(0.02	)			2.64				0.66				0.69
Total from investment operations			0.43				0.02				2.75				0.70				0.70
Dividends from net investment income			(0.15	)			–				(0.09	)			–				(0.04	)
Net asset value, end of period		$	15.57			$	15.29			$	15.27			$	12.61			$	11.91
Total return⁽ⁱⁱ⁾			2.85	%			0.15	%			21.98	%			5.88	%			6.30	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	137,207			$	130,957			$	145,096			$	139,693			$	201,449
Ratio of gross expenses to average
net assets			1.32	%			1.32	%			1.37	%			1.33	%			1.41	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			1.32	%			1.32	%			1.37	%			1.33	%			1.41	%
Ratio of net investment income (loss) to
average net assets			0.18	%			0.25	%			0.79	%			0.32	%			0.05	%
Portfolio turnover rate			114.81	%			97.50	%			217.57	%			148.66	%			66.70	%
*SeeNotestoFinancialStatements.*

⁽ⁱ⁾Amount was computed based on average shares outstanding during the period.
⁽ⁱⁱ⁾Does not reflect the effect of sales charges, if applicable.
- 100 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger International Growth Fund											Class B
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	13.44			$	13.51			$	11.18			$	10.64			$	10.07
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income (loss)⁽ⁱ⁾			(0.07	)			(0.06	)			0.02				(0.04	)			(0.05	)
Net realized and unrealized gain (loss)
on investments			0.34				(0.01	)			2.33				0.58				0.62
Total from investment operations			0.27				(0.07	)			2.35				0.54				0.57
Dividends from net investment income –⁽ⁱⁱⁱ⁾							–				(0.02	)			–				–
Net asset value, end of period		$	13.71			$	13.44			$	13.51			$	11.18			$	10.64
Total return⁽ⁱⁱ⁾			2.04	%			(0.52	)%			21.07	%			5.08	%			5.70	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	31,357			$	38,520			$	63,826			$	77,408			$	88,496
Ratio of gross expenses to average
net assets			2.04	%			2.02	%			2.04	%			1.97	%			1.96	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			2.04	%			2.02	%			2.04	%			1.97	%			1.96	%
Ratio of net investment income (loss) to
average net assets			(0.53	)%			(0.47	)%			0.17	%			(0.36	)%			(0.51	)%
Portfolio turnover rate			114.81	%			97.50	%			217.57	%			148.66	%			66.70	%
*SeeNotestoFinancialStatements.*

⁽ⁱ⁾Amount was computed based on average shares outstanding during the period.
⁽ⁱⁱ⁾Does not reflect the effect of sales charges, if applicable.
⁽ⁱⁱⁱ⁾Amount was less than $0.005 per share.
- 101 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger International Growth Fund											Class C
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	13.36			$	13.44			$	11.12			$	10.60			$	10.05
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.08	)			(0.07	)			–				(0.05	)			(0.07	)
Net realized and unrealized gain (loss)
on investments			0.36				(0.01	)			2.33				0.57				0.62
Total from investment operations			0.28				(0.08	)			2.33				0.52				0.55
Dividends from net investment income			(0.07	)			–				(0.01	)			–				–
Net asset value, end of period		$	13.57			$	13.36			$	13.44			$	11.12			$	10.60
Total return⁽ⁱⁱ⁾			1.99	%			(0.60	)%			20.94	%			4.91	%			5.50	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	21,697			$	20,567			$	17,786			$	17,305			$	21,436
Ratio of gross expenses to average
net assets			2.09	%			2.08	%			2.15	%			2.08	%			2.09	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			2.09	%			2.08	%			2.15	%			2.08	%			2.09	%
Ratio of net investment income (loss) to
average net assets			(0.60	)%			(0.49	)%			0.03	%			(0.47	)%			(0.65	)%
Portfolio turnover rate			114.81	%			97.50	%			217.57	%			148.66	%			66.70	%
*SeeNotestoFinancialStatements.*

⁽ⁱ⁾Amount was computed based on average shares outstanding during the period.
⁽ⁱⁱ⁾Does not reflect the effect of sales charges, if applicable.
- 102 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger International Growth Fund						Class I
								From 5/31/2013
			Year ended			Year ended			(commencement of operations)
		10/31/2015			10/31/2014			to 10/31/2013 (i)
Net asset value, beginning of period		$	15.27		$	15.29		$		13.94
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income⁽ⁱⁱ⁾			0.05			0.12				0.03
Net realized and unrealized gain (loss)
on investments			0.41			(0.07	)			1.32
Total from investment operations			0.46			0.05				1.35
Dividends from net investment income			(0.18	)		(0.07	)			–
Net asset value, end of period		$	15.55		$	15.27		$		15.29
Total return⁽ⁱⁱⁱ⁾			3.04	%		0.31	%			9.68	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	14,435			$	3,722		$		157
Ratio of gross expenses to average
net assets			1.30	%		1.27	%			15.73	%
Ratio of expense reimbursements to
average net assets			(0.15	)%		(0.12	)%			(14.58	)%
Ratio of net expenses to average net
assets			1.15	%		1.15	%			1.15	%
Ratio of net investment income (loss) to
average net assets			0.34	%		0.76	%			0.44	%
Portfolio turnover rate			114.81	%		97.50	%			217.57	%
*SeeNotestoFinancialStatements.*

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger International Growth Fund									Class Z
																From 12/29/2010
			Year ended			Year ended			Year ended				Year ended		(commencement of operations)
			10/31/2015			10/31/2014			10/31/2013				10/31/2012				to 10/31/2011 (i)
Net asset value, beginning of period		$	15.44		$	15.35		$	12.66			$	11.94			$	11.83
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income⁽ⁱⁱ⁾			0.12			0.13			0.33				0.08				0.04
Net realized and unrealized gain (loss)
on investments			0.39			(0.04	)		2.50				0.64				0.07
Total from investment operations			0.51			0.09			2.83				0.72				0.11
Dividends from net investment income			(0.22	)		–			(0.14	)			–				–
Net asset value, end of period		$	15.73		$	15.44		$	15.35			$	12.66			$	11.94
Total return⁽ⁱⁱⁱ⁾			3.27	%		0.59	%		22.56	%			6.03	%			0.90	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	19,326			$	8,573		$	2,277		$	20,217			$	20,832
Ratio of gross expenses to average
net assets			1.03	%		1.04	%		1.12	%			0.96	%			1.01	%
Ratio of expense reimbursements to
average net assets			(0.14	)%		(0.15	)%		(0.13	)%			–				(0.02	)%
Ratio of net expenses to average net
assets			0.89	%		0.89	%		0.99	%			0.96	%			0.99	%
Ratio of net investment income (loss) to
average net assets			0.73	%		0.82	%		2.50	%			0.65	%			0.37	%
Portfolio turnover rate			114.81	%		97.50	%		217.57	%			148.66	%			66.70	%
*SeeNotestoFinancialStatements.*

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Mid Cap Growth Fund											Class A
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	10.54			$	9.38			$	7.05			$	6.51			$	6.39
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.07	)			(0.04	)			(0.03	)			(0.02	)			(0.06	)
Net realized and unrealized gain on
investments			0.19				1.20				2.36				0.56				0.18
Total from investment operations			0.12				1.16				2.33				0.54				0.12
Net asset value, end of period		$	10.66			$	10.54			$	9.38			$	7.05			$	6.51
Total return⁽ⁱⁱ⁾			1.23	%			12.37	%			33.05	%			8.29	%			1.90	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	131,592			$	142,977			$	143,231			$	131,454			$	165,315
Ratio of gross expenses to average
net assets			1.32	%			1.35	%			1.39	%			1.40	%			1.38	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			1.32	%			1.35	%			1.39	%			1.40	%			1.38	%
Ratio of net investment income (loss) to
average net assets			(0.67	)%			(0.38	)%			(0.31	)%			(0.25	)%			(0.89	)%
Portfolio turnover rate			122.05	%			194.81	%			156.98	%			234.91	%			245.44	%
*SeeNotestoFinancialStatements.*

⁽ⁱ⁾Amount was computed based on average shares outstanding during the period.
⁽ⁱⁱ⁾Does not reflect the effect of sales charges, if applicable.
- 105 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Mid Cap Growth Fund											Class B
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	8.63			$	7.73			$	5.86			$	5.46			$	5.39
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.12	)			(0.09	)			(0.07	)			(0.05	)			(0.09	)
Net realized and unrealized gain on
investments			0.16				0.99				1.94				0.45				0.16
Total from investment operations			0.04				0.90				1.87				0.40				0.07
Net asset value, end of period		$	8.67			$	8.63			$	7.73			$	5.86			$	5.46
Total return⁽ⁱⁱ⁾			0.46	%			11.64	%			31.91	%			7.33	%			1.30	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	26,151			$	33,377			$	50,341			$	45,501			$	48,334
Ratio of gross expenses to average
net assets			2.02	%			2.04	%			2.10	%			2.08	%			2.11	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			2.02	%			2.04	%			2.10	%			2.08	%			2.11	%
Ratio of net investment income (loss) to
average net assets			(1.36	)%			(1.05	)%			(1.02	)%			(0.92	)%			(1.61	)%
Portfolio turnover rate			122.05	%			194.81	%			156.98	%			234.91	%			245.44	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 106 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Mid Cap Growth Fund											Class C
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	8.56			$	7.68			$	5.82			$	5.43			$	5.37
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.13	)			(0.10	)			(0.08	)			(0.06	)			(0.10	)
Net realized and unrealized gain on
investments			0.15				0.98				1.94				0.45				0.16
Total from investment operations			0.02				0.88				1.86				0.39				0.06
Net asset value, end of period		$	8.58			$	8.56			$	7.68			$	5.82			$	5.43
Total return⁽ⁱⁱ⁾			0.35	%			11.46	%			31.96	%			7.18	%			1.10	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	23,628			$	25,932			$	26,320			$	22,812			$	26,731
Ratio of gross expenses to average
net assets			2.12	%			2.16	%			2.21	%			2.22	%			2.20	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			2.12	%			2.16	%			2.21	%			2.22	%			2.20	%
Ratio of net investment income (loss) to
average net assets			(1.47	)%			(1.19	)%			(1.13	)%			(1.06	)%			(1.71	)%
Portfolio turnover rate			122.05	%			194.81	%			156.98	%			234.91	%			245.44	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 107 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Mid Cap Growth Fund		Class Z
	From 5/28/2015
	(commencement
	of operations) to
	10/31/2015		⁽ⁱ⁾
Net asset value, beginning of period	$	11.70
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱⁱ⁾		(0.02	)
Net realized and unrealized loss on
investments		(1.01	)
Total from investment operations		(1.03	)
Net asset value, end of period	$	10.67
Total return⁽ⁱⁱⁱ⁾		(8.80	)%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	2,413
Ratio of gross expenses to average
net assets		1.76	%
Ratio of expense reimbursements to
average net assets		(0.77	)%
Ratio of net expenses to average net
assets		0.99	%
Ratio of net investment income (loss) to
average net assets		(0.49	)%
Portfolio turnover rate		122.05	%
*SeeNotestoFinancialStatements.*

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger SMid Cap Growth Fund											Class A
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	19.32			$	20.89			$	16.72			$	15.22			$	14.48
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.12	)			(0.09	)			(0.03	)			(0.09	)			(0.16	)
Net realized and unrealized gain on
investments			0.09				1.53				4.92				1.59				0.90
Total from investment operations			(0.03	)			1.44				4.89				1.50				0.74
Distributions from net realized gains			(2.57	)			(3.01	)			(0.72	)			–				–
Net asset value, end of period		$	16.72			$	19.32			$	20.89			$	16.72			$	15.22
Total return⁽ⁱⁱ⁾			(0.31	)%			7.68	%			30.39	%			9.86	%			5.10	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	159,061			$	241,510			$	294,846			$	299,934			$	377,947
Ratio of gross expenses to average
net assets			1.30	%			1.27	%			1.29	%			1.29	%			1.37	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			1.30	%			1.27	%			1.29	%			1.29	%			1.37	%
Ratio of net investment income (loss) to
average net assets			(0.65	)%			(0.45	)%			(0.19	)%			(0.54	)%			(0.99	)%
Portfolio turnover rate			110.40	%			91.59	%			95.67	%			81.09	%			64.83	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 109 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger SMid Cap Growth Fund								Class B
	Year ended			Year ended			Year ended			Year ended				Year ended
	10/31/2015			10/31/2014			10/31/2013			10/31/2012				10/31/2011
Net asset value, beginning of period	$	17.11		$	18.96		$	15.36		$	14.09			$	13.50
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾		(0.22	)		(0.21	)		(0.16	)		(0.20	)			(0.26	)
Net realized and unrealized gain on
investments		0.07			1.37			4.48			1.47				0.85
Total from investment operations		(0.15	)		1.16			4.32			1.27				0.59
Distributions from net realized gains		(2.57	)		(3.01	)		(0.72	)		–				–
Net asset value, end of period	$	14.39		$	17.11		$	18.96		$	15.36			$	14.09
Total return⁽ⁱⁱ⁾		(1.16	)%		6.87	%		29.33	%		9.01	%			4.40	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	4,167		$	7,252		$	9,413		$	9,448		$	10,998
Ratio of gross expenses to average
net assets		2.10	%		2.06	%		2.07	%		2.10	%			2.12	%
Ratio of expense reimbursements to
average net assets		–			–			–			–				–
Ratio of net expenses to average net
assets		2.10	%		2.06	%		2.07	%		2.10	%			2.12	%
Ratio of net investment income (loss) to
average net assets		(1.44	)%		(1.24	)%		(0.97	)%		(1.34	)%			(1.73	)%
Portfolio turnover rate		110.40	%		91.59	%		95.67	%		81.09	%			64.83	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 110 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger SMid Cap Growth Fund											Class C
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	17.16			$	19.00			$	15.39			$	14.12			$	13.53
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.22	)			(0.21	)			(0.16	)			(0.20	)			(0.25	)
Net realized and unrealized gain on
investments			0.08				1.38				4.49				1.47				0.84
Total from investment operations			(0.14	)			1.17				4.33				1.27				0.59
Distributions from net realized gains			(2.57	)			(3.01	)			(0.72	)			–				–
Net asset value, end of period		$	14.45			$	17.16			$	19.00			$	15.39			$	14.12
Total return⁽ⁱⁱ⁾			(1.09	)%			6.92	%			29.34	%			9.00	%			4.40	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	54,768			$	63,572			$	68,161			$	59,063			$	64,597
Ratio of gross expenses to average
net assets			2.07	%			2.03	%			2.06	%			2.09	%			2.10	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			2.07	%			2.03	%			2.06	%			2.09	%			2.10	%
Ratio of net investment income (loss) to
average net assets			(1.43	)%			(1.21	)%			(0.96	)%			(1.33	)%			(1.70	)%
Portfolio turnover rate			110.40	%			91.59	%			95.67	%			81.09	%			64.83	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 111 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger SMid Cap Growth Fund											Class I
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	19.54			$	21.09			$	16.88			$	15.35			$	14.57
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.11	)			(0.09	)			(0.04	)			(0.08	)			(0.13	)
Net realized and unrealized gain on
investments			0.05				1.55				4.97				1.61				0.91
Total from investment operations			(0.06	)			1.46				4.93				1.53				0.78
Distributions from net realized gains			(2.57	)			(3.01	)			(0.72	)			–				–
Net asset value, end of period		$	16.91			$	19.54			$	21.09			$	16.88			$	15.35
Total return⁽ⁱⁱ⁾			(0.48	)%			7.70	%			30.34	%			10.00	%			5.40	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	70,677			$	699,237			$	692,445			$	545,397			$	420,089
Ratio of gross expenses to average
net assets			1.31	%			1.27	%			1.31	%			1.23	%			1.21	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			1.31	%			1.27	%			1.31	%			1.23	%			1.21	%
Ratio of net investment income (loss) to
average net assets			(0.62	)%			(0.45	)%			(0.22	)%			(0.45	)%			(0.79	)%
Portfolio turnover rate			110.40	%			91.59	%			95.67	%			81.09	%			64.83	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 112 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger SMid Cap Growth Fund											Class Z
																		From 12/29/2010
Year ended							Year ended				Year ended				Year ended		(commencement of operations)
		10/31/2015					10/31/2014				10/31/2013				10/31/2012				to 10/31/2011 (i)
Net asset value, beginning of period		$	19.63			$	21.11			$	16.84			$	15.28			$		15.86
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income (loss)⁽ⁱⁱ⁾			(0.06	)			(0.02	)			0.02				(0.02	)				(0.07	)
Net realized and unrealized gain (loss)
on investments			0.08				1.55				4.97				1.58					(0.51	)
Total from investment operations			0.02				1.53				4.99				1.56					(0.58	)
Distributions from net realized gains			(2.57	)			(3.01	)			(0.72	)			–					–
Net asset value, end of period		$	17.08			$	19.63			$	21.11			$	16.84			$		15.28
Total return⁽ⁱⁱⁱ⁾			(0.02	)%			8.07	%			30.78	%			10.21	%				(3.70	)%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	134,051			$	52,091			$	67,852			$	54,965			$	24,124
Ratio of gross expenses to average
net assets			0.99	%			0.95	%			0.96	%			0.97	%				1.06	%
Ratio of expense reimbursements to
average net assets			–				–				–				–					(0.07	)%
Ratio of net expenses to average net
assets			0.99	%			0.95	%			0.96	%			0.97	%				0.99	%
Ratio of net investment income (loss) to
average net assets			(0.33	)%			(0.13	)%			0.13	%			(0.14	)%				(0.51	)%
Portfolio turnover rate			110.40	%			91.59	%			95.67	%			81.09	%				64.83	%
*SeeNotestoFinancialStatements.*

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Small Cap Growth Fund											Class A
		Year ended				Year ended				Year ended				Year ended					Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012					10/31/2011
Net asset value, beginning of period		$	8.96			$	9.97			$	7.79			$		7.12			$	6.70
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.08	)			(0.07	)			(0.04	)				(0.05	)			(0.09	)
Net realized and unrealized gain on
investments			0.11				0.19				2.53					0.72				0.51
Total from investment operations			0.03				0.12				2.49					0.67				0.42
Distributions from net realized gains			(0.99	)			(1.13	)			(0.31	)				–				–
Net asset value, end of period		$	8.00			$	8.96			$	9.97			$		7.79			$	7.12
Total return⁽ⁱⁱ⁾			0.16	%			1.30	%			33.15	%				9.41	%			6.30	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	115,594			$	139,497			$	175,214			$	172,202				$	194,799
Ratio of gross expenses to average
net assets			1.35	%			1.35	%			1.38	%				1.40	%			1.43	%
Ratio of expense reimbursements to
average net assets			–				–				(0.02				)%	–				(0.01	)%
Ratio of net expenses to average net
assets			1.35	%			1.35	%			1.36	%				1.40	%			1.42	%
Ratio of net investment income (loss) to
average net assets			(0.92	)%			(0.81	)%			(0.49	)%				(0.71	)%			(1.18	)%
Portfolio turnover rate			131.72	%			88.98	%			93.97	%				72.59	%			67.37	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 114 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Small Cap Growth Fund									Class B
	Year ended			Year ended				Year ended				Year ended				Year ended
	10/31/2015			10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period	$	7.59		$	8.67			$	6.86			$	6.27			$	5.95
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾		(0.12	)		(0.12	)			(0.09	)			(0.10	)			(0.13	)
Net realized and unrealized gain on
investments		0.09			0.17				2.21				0.69				0.45
Total from investment operations		(0.03	)		0.05				2.12				0.59				0.32
Distributions from net realized gains		(0.99	)		(1.13	)			(0.31	)			–				–
Net asset value, end of period	$	6.57		$	7.59			$	8.67			$	6.86			$	6.27
Total return⁽ⁱⁱ⁾		(0.55	)%		0.61	%			32.21	%			9.41	%			5.40	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	6,564		$	8,874		$	13,626			$	13,389			$	15,954
Ratio of gross expenses to average
net assets		2.16	%		2.11	%			2.13	%			2.16	%			2.18	%
Ratio of expense reimbursements to
average net assets		–			–				(0.02	)%			–				(0.01	)%
Ratio of net expenses to average net
assets		2.16	%		2.11	%			2.11	%			2.16	%			2.17	%
Ratio of net investment income (loss) to
average net assets		(1.73	)%		(1.56	)%			(1.24	)%			(1.47	)%			(1.92	)%
Portfolio turnover rate		131.72	%		88.98	%			93.97	%			72.59	%			67.37	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 115 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Small Cap Growth Fund											Class C
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	7.44			$	8.52			$	6.76			$	6.27			$	5.95
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.12	)			(0.12	)			(0.10	)			(0.10	)			(0.13	)
Net realized and unrealized gain on
investments			0.09				0.17				2.17				0.59				0.45
Total from investment operations			(0.03	)			0.05				2.07				0.49				0.32
Distributions from net realized gains			(0.99	)			(1.13	)			(0.31	)			–				–
Net asset value, end of period		$	6.42			$	7.44			$	8.52			$	6.76			$	6.27
Total return⁽ⁱⁱ⁾			(0.70	)%			0.61	%			31.94	%			7.81	%			5.40	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	13,724			$	16,119			$	19,461			$	17,091			$	19,145
Ratio of gross expenses to average
net assets			2.16	%			2.15	%			2.18	%			2.19	%			2.22	%
Ratio of expense reimbursements to
average net assets			–				–				(0.02	)%			–				0.01	%
Ratio of net expenses to average net
assets			2.16	%			2.15	%			2.16	%			2.19	%			2.21	%
Ratio of net investment income (loss) to
average net assets			(1.73	)%			(1.61	)%			(1.31	)%			(1.50	)%			(1.96	)%
Portfolio turnover rate			131.72	%			88.98	%			93.97	%			72.59	%			67.37	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 116 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Small Cap Growth Fund											Class Z
																		From 12/29/2010
			Year ended				Year ended				Year ended				Year ended		(commencement of operations)
			10/31/2015				10/31/2014				10/31/2013				10/31/2012				to 10/31/2011 (i)
Net asset value, beginning of period		$	9.04			$	10.01			$	7.79			$	7.14			$		7.43
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱⁱ⁾			(0.05	)			(0.04	)			(0.02	)			(0.02	)				(0.04	)
Net realized and unrealized gain (loss)
on investments			0.10				0.20				2.55				0.67					(0.25	)
Total from investment operations			0.05				0.16				2.53				0.65					(0.29	)
Distributions from net realized gains			(0.99	)			(1.13	)			(0.31	)			–					–
Net asset value, end of period		$	8.10			$	9.04			$	10.01			$	7.79			$		7.14
Total return⁽ⁱⁱⁱ⁾			0.52	%			1.73	%			33.67	%			9.10	%				(3.90	)%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	22,002			$	64,684			$	79,723			$	29,264			$	26,137
Ratio of gross expenses to average
net assets			1.04	%			1.03	%			1.05	%			1.04	%				1.13	%
Ratio of expense reimbursements to
average net assets			(0.05	)%			(0.04	)%			(0.06	)%			(0.05	)%				(0.14	)%
Ratio of net expenses to average net
assets			0.99	%			0.99	%			0.99	%			0.99	%				0.99	%
Ratio of net investment income (loss) to
average net assets			(0.55	)%			(0.45	)%			(0.18	)%			(0.28	)%				(0.72	)%
Portfolio turnover rate			131.72	%			88.98	%			93.97	%			72.59	%				67.37	%
*SeeNotestoFinancialStatements.*

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Small Cap Focus Fund									Class A
		Year ended			Year ended			Year ended			Year ended			Year ended
		10/31/2015			10/31/2014			10/31/2013			10/31/2012			10/31/2011
Net asset value, beginning of period		$	11.52		$	12.98		$	10.88		$	10.82		$	10.23
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.14	)		(0.11	)		(0.08	)		(0.09	)		(0.14	)
Net realized and unrealized gain on
investments			0.55			0.60			3.55			1.03			0.73
Total from investment operations			0.41			0.49			3.47			0.94			0.59
Distributions from net realized gains			(0.98	)		(1.95	)		(1.37	)		(0.88	)		–
Net asset value, end of period		$	10.95		$	11.52		$	12.98		$	10.88		$	10.82
Total return⁽ⁱⁱ⁾			3.78	%		4.23	%		36.03	%		9.60	%		5.80	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	14,480			$	7,241		$	7,563		$	6,464		$	8,851
Ratio of gross expenses to average
net assets			1.82	%		2.22	%		2.45	%		2.60	%		2.29	%
Ratio of expense reimbursements to
average net assets			(0.22	)%		(0.62	)%		(0.85	)%		(1.04	)%		(0.79	)%
Ratio of net expenses to average net
assets			1.60	%		1.60	%		1.60	%		1.56	%		1.50	%
Ratio of net investment income (loss) to
average net assets			(1.24	)%		(0.95	)%		(0.69	)%		(0.86	)%		(1.22	)%
Portfolio turnover rate			162.44	%		91.91	%		92.82	%		63.81	%		66.59	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 118 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Small Cap Focus Fund								Class C
	Year ended			Year ended			Year ended			Year ended			Year ended
	10/31/2015			10/31/2014			10/31/2013			10/31/2012			10/31/2011
Net asset value, beginning of period	$	10.79		$	12.34		$	10.48		$	10.52		$	10.02
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾		(0.20	)		(0.17	)		(0.15	)		(0.16	)		(0.22	)
Net realized and unrealized gain on
investments		0.51			0.57			3.38			1.00			0.72
Total from investment operations		0.31			0.40			3.23			0.84			0.50
Distributions from net realized gains		(0.98	)		(1.95	)		(1.37	)		(0.88	)		–
Net asset value, end of period	$	10.12		$	10.79		$	12.34		$	10.48		$	10.52
Total return⁽ⁱⁱ⁾		3.06	%		3.65	%		35.00	%		8.90	%		5.00	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	8,020		$	2,612		$	2,636		$	1,956		$	2,293
Ratio of gross expenses to average
net assets		2.53	%		2.99	%		3.23	%		3.33	%		3.04	%
Ratio of expense reimbursements to
average net assets		(0.28	)%		(0.74	)%		(0.98	)%		(1.08	)%		(0.79	)%
Ratio of net expenses to average net
assets		2.25	%		2.25	%		2.25	%		2.25	%		2.25	%
Ratio of net investment income (loss) to
average net assets		(1.91	)%		(1.60	)%		(1.34	)%		(1.54	)%		(1.97	)%
Portfolio turnover rate		162.44	%		91.91	%		92.82	%		63.81	%		66.59	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 119 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Small Cap Focus Fund									Class I
		Year ended			Year ended			Year ended			Year ended			Year ended
		10/31/2015			10/31/2014			10/31/2013			10/31/2012			10/31/2011
Net asset value, beginning of period		$	11.75		$	13.17		$	11.00		$	10.90		$	10.29
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.12	)		(0.08	)		(0.05	)		(0.07	)		(0.11	)
Net realized and unrealized gain on
investments			0.57			0.61			3.59			1.05			0.72
Total from investment operations			0.45			0.53			3.54			0.98			0.61
Distributions from net realized gains			(0.98	)		(1.95	)		(1.37	)		(0.88	)		–
Net asset value, end of period		$	11.22		$	11.75		$	13.17		$	11.00		$	10.90
Total return⁽ⁱⁱ⁾			4.07	%		4.50	%		36.31	%		9.90	%		5.90	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	40,924			$	2,359		$	2,034		$	1,349		$	2,075
Ratio of gross expenses to average
net assets			1.56	%		2.19	%		2.43	%		3.20	%		2.43	%
Ratio of expense reimbursements to
average net assets			(0.21	)%		(0.84	)%		(1.08	)%		(1.89	)%		(1.18	)%
Ratio of net expenses to average net
assets			1.35	%		1.35	%		1.35	%		1.31	%		1.25	%
Ratio of net investment income (loss) to
average net assets			(1.07	)%		(0.70	)%		(0.46	)%		(0.62	)%		(0.96	)%
Portfolio turnover rate			162.44	%		91.91	%		92.82	%		63.81	%		66.59	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 120 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Small Cap Focus Fund									Class Z
														From 12/29/2010
			Year ended			Year ended			Year ended			Year ended		(commencement of operations)
			10/31/2015			10/31/2014			10/31/2013			10/31/2012			to 10/31/2011 (i)
Net asset value, beginning of period		$	11.77		$	13.16		$	10.97		$	10.85		$		11.31
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱⁱ⁾			(0.08	)		(0.05	)		(0.02	)		(0.04	)			(0.06	)
Net realized and unrealized gain (loss)
on investments			0.57			0.61			3.58			1.04				(0.40	)
Total from investment operations			0.49			0.56			3.56			1.00				(0.46	)
Distributions from net realized gains			(0.98	)		(1.95	)		(1.37	)		(0.88	)			–
Net asset value, end of period		$	11.28		$	11.77		$	13.16		$	10.97		$		10.85
Total return⁽ⁱⁱⁱ⁾			4.43	%		4.78	%		36.61	%		10.15	%			(4.10	)%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	17,109			$	3,368		$	3,202		$	2,426		$		1,964
Ratio of gross expenses to average
net assets			1.56	%		2.11	%		2.38	%		2.69	%			37.74	%
Ratio of expense reimbursements to
average net assets			(0.55	)%		(1.01	)%		(1.28	)%		(1.59	)%			(36.64	)%
Ratio of net expenses to average net
assets			1.01	%		1.10	%		1.10	%		1.10	%			1.10	%
Ratio of net investment income (loss) to
average net assets			(0.68	)%		(0.45	)%		(0.20	)%		(0.38	)%			(0.72	)%
Portfolio turnover rate			162.44	%		91.91	%		92.82	%		63.81	%			66.59	%
*SeeNotestoFinancialStatements.*

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Health Sciences Fund											Class A
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	26.96			$	25.35			$	21.75			$	19.34			$	17.42
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income (loss)⁽ⁱ⁾			(0.25	)			(0.14	)			(0.05	)			0.02				(0.09	)
Net realized and unrealized gain on
investments			0.82				5.89				6.11				2.39				2.01
Total from investment operations			0.57				5.75				6.06				2.41				1.92
Dividends from net investment income			(0.16	)			–				(0.01	)			–				–
Distributions from net realized gains			(5.43	)			(4.14	)			(2.45	)			–				–
Net asset value, end of period		$	21.94			$	26.96			$	25.35			$	21.75			$	19.34
Total return⁽ⁱⁱ⁾			1.72	%			26.29	%			30.81	%			12.46	%			11.00	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	122,814			$	139,306			$	129,870			$	120,490			$	148,445
Ratio of gross expenses to average
net assets			1.31	%			1.31	%			1.35	%			1.37	%			1.35	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			1.31	%			1.31	%			1.35	%			1.37	%			1.35	%
Ratio of net investment income (loss) to
average net assets			(1.05	)%			(0.59	)%			(0.21	)%			0.11	%			(0.46	)%
Portfolio turnover rate			133.92	%			167.94	%			115.08	%			110.37	%			63.17	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 122 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Health Sciences Fund									Class B
	Year ended			Year ended				Year ended				Year ended				Year ended
	10/31/2015			10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period	$	23.53		$	22.78			$	19.91			$	17.85			$	16.21
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾		(0.38	)		(0.29	)			(0.20	)			(0.13	)			(0.23	)
Net realized and unrealized gain on
investments		0.74			5.18				5.52				2.19				1.87
Total from investment operations		0.36			4.89				5.32				2.06				1.64
Distributions from net realized gains		(5.43	)		(4.14	)			(2.45	)			–				–
Net asset value, end of period	$	18.46		$	23.53			$	22.78			$	19.91			$	17.85
Total return⁽ⁱⁱ⁾		0.95	%		25.33	%			29.82	%			11.54	%			10.00	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	5,797		$	9,030		$	11,767			$	11,879			$	13,878
Ratio of gross expenses to average
net assets		2.09	%		2.10	%			2.12	%			2.16	%			2.16	%
Ratio of expense reimbursements to
average net assets		–			–				–				–				–
Ratio of net expenses to average net
assets		2.09	%		2.10	%			2.12	%			2.16	%			2.16	%
Ratio of net investment income (loss) to
average net assets		(1.83	)%		(1.37	)%			(0.99	)%			(0.68	)%			(1.27	)%
Portfolio turnover rate		133.92	%		167.94	%			115.08	%			110.37	%			63.17	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 123 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Health Sciences Fund											Class C
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	23.60			$	22.83			$	19.95			$	17.88			$	16.23
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱ⁾			(0.37	)			(0.29	)			(0.20	)			(0.13	)			(0.22	)
Net realized and unrealized gain on
investments			0.73				5.20				5.53				2.20				1.87
Total from investment operations			0.36				4.91				5.33				2.07				1.65
Dividends from net investment income			–⁽ⁱⁱⁱ⁾				–				–				–				–
Distributions from net realized gains			(5.43	)			(4.14	)			(2.45	)			–				–
Net asset value, end of period		$	18.53			$	23.60			$	22.83			$	19.95			$	17.88
Total return⁽ⁱⁱ⁾			0.95	%			25.37	%			29.81	%			11.58	%			10.20	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	53,487			$	60,628			$	56,717			$	50,049			$	59,207
Ratio of gross expenses to average
net assets			2.08	%			2.06	%			2.10	%			2.14	%			2.12	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–
Ratio of net expenses to average net
assets			2.08	%			2.06	%			2.10	%			2.14	%			2.12	%
Ratio of net investment income (loss) to
average net assets			(1.81	)%			(1.34	)%			(0.98	)%			(0.67	)%			(1.23	)%
Portfolio turnover rate			133.92	%			167.94	%			115.08	%			110.37	%			63.17	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
(iii) Amount was less than $0.005 per share.
- 124 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Health Sciences Fund		Class Z
	From 5/28/2015
	(commencement
	of operations) to
	10/31/2015		⁽ⁱ⁾
Net asset value, beginning of period	$	25.03
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱⁱ⁾		(0.05	)
Net realized and unrealized loss on
investments		(3.22	)
Total from investment operations		(3.27	)
Net asset value, end of period	$	21.76
Total return^(iii)(iv)		(13.06	)%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	6,517
Ratio of gross expenses to average
net assets		1.36	%
Ratio of expense reimbursements to
average net assets		(0.28	)%
Ratio of net expenses to average net
assets		1.08	%
Ratio of net investment income (loss) to
average net assets		(0.47	)%
Portfolio turnover rate		133.92	%
*SeeNotestoFinancialStatements.*

(i) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the twelve months then ended.
(ii) Amount was computed based on average shares outstanding during the period.
(iii) Does not reflect the effect of sales charges, if applicable.
(iv) During the year ended October 31, 2015, the Alger Health Sciences Fund received a payment made by the Advisor due to
a delay in recording the expense reimbursement for the Class Z shares that amounted to $0.02 per share. Had the Fund not
received this payment, total return of the Class Z shares would have been lower by 0.08%.

- 125 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Growth & Income Fund											Class A
		Year ended				Year ended				Year ended				Year ended				Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	33.56			$	29.63			$	24.43			$	21.74			$	21.38
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income⁽ⁱ⁾			0.59				0.63				0.56				0.44				0.32
Net realized and unrealized gain on
investments			0.81				3.92				5.11				2.60				0.69
Total from investment operations			1.40				4.55				5.67				3.04				1.01
Dividends from net investment income			(0.51	)			(0.62	)			(0.47	)			(0.35	)			(0.65	)
Distributions from net realized gains			(1.08	)			–				–				–				–
Net asset value, end of period		$	33.37			$	33.56			$	29.63			$	24.43			$	21.74
Total return⁽ⁱⁱ⁾			4.26	%			15.53	%			23.45	%			14.02	%			4.80	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	70,933			$	73,674			$	80,832			$	73,050			$	41,446
Ratio of gross expenses to average
net assets			1.15	%			1.18	%			1.19	%			1.25	%			1.43	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				(0.03	)%
Ratio of net expenses to average net
assets			1.15	%			1.18	%			1.19	%			1.25	%			1.40	%
Ratio of net investment income (loss) to
average net assets			1.76	%			2.00	%			2.07	%			1.87	%			1.49	%
Portfolio turnover rate			15.83	%			21.20	%			29.27	%			45.36	%			119.61	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 126 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Growth & Income Fund											Class C
		Year ended				Year ended				Year ended				Year ended			Year ended
		10/31/2015				10/31/2014				10/31/2013				10/31/2012			10/31/2011
Net asset value, beginning of period		$	33.18			$	29.33			$	24.22			$	21.54		$	21.02
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income⁽ⁱ⁾			0.33				0.38				0.34				0.26			0.16
Net realized and unrealized gain on
investments			0.80				3.89				5.08				2.58			0.68
Total from investment operations			1.13				4.27				5.42				2.84			0.84
Dividends from net investment income			(0.28	)			(0.42	)			(0.31	)			(0.16	)		(0.32	)
Distributions from net realized gains			(1.08	)			–				–				–			–
Net asset value, end of period		$	32.95			$	33.18			$	29.33			$	24.22		$	21.54
Total return⁽ⁱⁱ⁾			3.47	%			14.65	%			22.53	%			13.20	%		4.00	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	21,156			$	19,999			$	17,173			$	13,121			$	9,806
Ratio of gross expenses to average
net assets			1.90	%			1.93	%			1.96	%			2.01	%		2.16	%
Ratio of expense reimbursements to
average net assets			–				–				–				–			(0.03	)%
Ratio of net expenses to average net
assets			1.90	%			1.93	%			1.96	%			2.01	%		2.13	%
Ratio of net investment income (loss) to
average net assets			0.99	%			1.22	%			1.27	%			1.11	%		0.75	%
Portfolio turnover rate			15.83	%			21.20	%			29.27	%			45.36	%		119.61	%
*SeeNotestoFinancialStatements.*

(i) Amount was computed based on average shares outstanding during the period.
(ii) Does not reflect the effect of sales charges, if applicable.
- 127 -

THE ALGER FUNDS
Financial Highlights for a share outstanding throughout the period


Alger Growth & Income Fund					Class Z
										From 3/1/2012
		Year ended			Year ended			Year ended			(commencement of operations)
		10/31/2015			10/31/2014			10/31/2013			to 10/31/2012 (i)
Net asset value, beginning of period	$	33.57		$	29.64		$	24.43		$		23.83
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income⁽ⁱⁱ⁾		0.66			0.63			0.59				0.34
Net realized and unrealized gain on
investments		0.82			4.00			5.14				0.59
Total from investment operations		1.48			4.63			5.73				0.93
Dividends from net investment income		(0.58	)		(0.70	)		(0.52	)			(0.33	)
Distributions from net realized gains		(1.08	)		–			–				–
Net asset value, end of period	$	33.39		$	33.57		$	29.64		$		24.43
Total return⁽ⁱⁱⁱ⁾		4.53	%		15.78	%		23.74	%			3.90	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	8,752		$	8,441		$	2,306		$		1,087
Ratio of gross expenses to average
net assets		0.91	%		1.05	%		1.36	%			2.92	%
Ratio of expense reimbursements to
average net assets		–			(0.10	)%		(0.41	)%			(1.97	)%
Ratio of net expenses to average net
assets		0.91	%		0.95	%		0.95	%			0.95	%
Ratio of net investment income (loss) to
average net assets		1.99	%		1.98	%		2.18	%			2.14	%
Portfolio turnover rate		15.83	%		21.20	%		29.27	%			45.36	%
*SeeNotestoFinancialStatements.*

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS

NOTE 1 — General:
The Alger Funds (the “Trust”) is a diversified, open-end registered investment company
organized as a business trust under the laws of the Commonwealth of Massachusetts. The
Trust qualifies as an investment company as defined in the Financial Accounting Standards
Board Accounting Standards Codification 946-Financial Services – Investment Companies.
The Trust operates as a series company currently offering an unlimited number of shares
of beneficial interest in eight funds — Alger Capital Appreciation Fund, Alger International
Growth Fund, Alger Mid Cap Growth Fund, Alger SMid Cap Growth Fund, Alger Small
Cap Growth Fund, Alger Small Cap Focus Fund (formerly Alger Growth Opportunities
Fund), Alger Health Sciences Fund and Alger Growth & Income Fund (collectively, the
“Funds” or individually, each a “Fund”). The Alger Capital Appreciation Fund, Alger
International Growth Fund, Alger Mid Cap Growth Fund, Alger SMid Cap Growth Fund,
Alger Small Cap Growth Fund, Alger Small Cap Focus Fund and Alger Health Sciences
Fund normally invest primarily in equity securities and each has an investment objective of
long-term capital appreciation. The Alger Growth & Income Fund also normally invests
primarily in equity securities but has an investment objective of both capital appreciation
and current income.

Each Fund offers one or more of the following share classes: Class A, B, C, I and Z. Class A
shares are generally subject to an initial sales charge while Class B and C shares are generally
subject to a deferred sales charge. Class B shares will automatically convert to Class A
shares eight years after the end of the calendar month in which the order to purchase was
accepted. The conversion is completed without the imposition of any sales charges or other
fees. Class I and Z shares are sold to institutional investors without an initial or deferred
sales charge. Each class has identical rights to assets and earnings, except that each share
class bears the costs of its plan of distribution, if it maintains one, and transfer agency and
sub-transfer agency services.

Alger Mid Cap Growth Fund and Alger Health Sciences Fund started offering Class Z
shares on May 28, 2015.

The Alger Growth Opportunities Fund changed its name to Alger Small Cap Focus Fund
effective August 7, 2015.

NOTE 2 — Significant Accounting Policies:
(a) Investment Valuation: The Funds value their financial instruments at fair value using
independent dealers or pricing services under policies approved by the Trust’s Board of
Trustees (“Board”). Investments are valued on each day the New York Stock Exchange (the
“NYSE”) is open, as of the close of the NYSE (normally 4:00 p.m. Eastern Standard Time).
Equity securities and option contracts for which valuation information is readily available are
valued at the last quoted sales price or official closing price as reported by an independent
pricing service on the primary market or exchange on which they are traded. In the absence
of quoted sales, such securities are valued at the bid price or, in the absence of a recent
bid price, the equivalent as obtained from one or more of the major market makers for the
securities to be valued.
- 129 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

Debt securities generally trade in the over-the-counter market. Debt securities with
remaining maturities of more than sixty days at the time of acquisition are valued on
the basis of last available bid prices or current market quotations provided by dealers
or pricing services. In determining the value of a particular investment, pricing services
may use certain information with respect to transactions in such investments, quotations
from dealers, pricing matrixes, market transactions in comparable investments, various
relationships observed in the market between investments and calculated yield measures
based on valuation technology commonly employed in the market for such investments.
Asset-backed and mortgage-backed securities are valued by independent pricing services
using models that consider estimated cash flows of each tranche of the security, establish a
benchmark yield and develop an estimated tranche-specific spread to the benchmark yield
based on the unique attributes of the tranche. Debt securities with a remaining maturity of
sixty days or less are valued at amortized cost which approximates market value.

Securities for which market quotations are not readily available are valued at fair value, as
determined in good faith pursuant to procedures established by the Board.

Securities in which the Funds invest may be traded in foreign markets that close before the
close of the NYSE. Developments that occur between the close of the foreign markets
and the close of the NYSE may result in adjustments to the closing foreign prices to reflect
what the investment manager, pursuant to policies established by the Board, believes to be
the fair value of these securities as of the close of the NYSE. The Funds may also fair value
securities in other situations, for example, when a particular foreign market is closed but the
Funds are open.

Financial Accounting Standards Board Accounting Standards Codification 820 – Fair Value
Measurements and Disclosures (“ASC 820”) defines fair value as the price that the Funds
would receive upon selling an investment in a timely transaction to an independent buyer
in the principal or most advantageous market of the investment. ASC 820 established a
three-tier hierarchy to maximize the use of observable market data and minimize the use of
unobservable inputs and to establish classification of fair value measurements for disclosure
purposes. Inputs refer broadly to the assumptions that market participants would use in
pricing the asset or liability and may be observable or unobservable. Observable inputs
are based on market data obtained from sources independent of the Funds. Unobservable
inputs are inputs that reflect the Funds’ own assumptions based on the best information
available in the circumstances. The three-tier hierarchy of inputs is summarized in the three
broad Levels listed below.

• Level 1 – quoted prices in active markets for identical investments
• Level 2 – significant other observable inputs (including quoted prices for similar
investments, interest rates, prepayment speeds, credit risk, etc.)
• Level 3 – significant unobservable inputs (including the Funds’ own assumptions in
determining the fair value of investments)
The Funds’ valuation techniques are generally consistent with either the market or the
income approach to fair value. The market approach considers prices and other relevant
- 130 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

information generated by market transactions involving identical or comparable assets
to measure fair value. The income approach converts future amounts to a current, or
discounted, single amount. These fair value measurements are determined on the basis
of the value indicated by current market expectations about such future events. Inputs
for Level 1 include exchange-listed prices and broker quotes in an active market. Inputs
for Level 2 include the last trade price in the case of a halted security, an exchange-listed
price which has been adjusted for fair value factors, and prices of closely related securities.
Additional Level 2 inputs include an evaluated price which is based upon a compilation of
observable market information such as spreads for fixed income and preferred securities.
Inputs for Level 3 include revenue multiples, earnings before interest, taxes, depreciation
and amortization (“EBITDA”) multiples, discount rates, and the probabilities of success of
certain outcomes. Such unobservable market information may be obtained from a company’s
financial statements and from industry studies, market data, and market indicators such as
benchmarks and indices.

Valuation processes are determined by a Valuation Committee (“Committee”) established
by the Board and comprised of representatives of the Trust’s investment advisor. The
Committee reports its fair valuation determinations to the Board which is responsible for
approving valuation policy and procedures.

While the Committee meets on an as-needed basis, the Committee formally meets
quarterly to review and evaluate the effectiveness of the procedures for making fair value
determinations. The Committee considers, among other things, the results of quarterly
back testing of the fair value model for foreign securities, pricing comparisons between
primary and secondary price sources, the outcome of price challenges put to the Funds’
pricing vendor, and variances between transactional prices and previous mark-to-markets.

The Funds will record a change to a security’s fair value level if new inputs are available
or it becomes evident that inputs previously considered for leveling have changed or are
no longer relevant. Transfers between Levels 1, 2 and 3 are recognized at the end of the
reporting period.

(b) Cash and Cash Equivalents: Cash and cash equivalents include U.S. dollars, foreign cash,
overnight time deposits and Money Market Funds.
(c) Securities Transactions and Investment Income: Securities transactions are recorded on a
trade date basis. Realized gains and losses from securities transactions are recorded on the
identified cost basis. Dividend income is recognized on the ex-dividend date and interest
income is recognized on the accrual basis.
Premiums and discounts on debt securities purchased are amortized or accreted over the
lives of the respective securities.

(d) Foreign Currency Translations: The books and records of the Funds are maintained in U.S.
dollars. Foreign currencies, investments and other assets and liabilities are translated into
U.S. dollars at the prevailing rates of exchange on the valuation date. Purchases and sales

- 131 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

of investment securities and income and expenses are translated into U.S. dollars at the
prevailing exchange rates on the respective dates of such transactions.
Net realized gains and losses on foreign currency transactions represent net gains and losses
from the disposition of foreign currencies, currency gains and losses realized between the
trade dates and settlement dates of security transactions, and the difference between the
amount of net investment income accrued and the U.S. dollar amount actually received.
The effects of changes in foreign currency exchange rates on investments in securities
are included in realized and unrealized gain or loss on investments in the accompanying
Statements of Operations.

(e) Option Contracts: When a Fund writes an option, an amount equal to the premium received
by the Fund is recorded as a liability and is subsequently adjusted to the current fair value
of the option written. Premiums received from writing options that expire unexercised are
treated by the Fund on the expiration date as realized gains from investments. The difference
between the premium and the amount paid on effecting a closing purchase transaction,
including brokerage commissions, is also treated as a realized gain, or, if the premium is less
than the amount paid for the closing purchase transaction, as a realized loss. If a call option
is exercised, the premium is added to the proceeds from the sale of the underlying security
in determining whether the Fund has realized a gain or loss. If a put option is exercised, the
premium reduces the cost basis of the securities purchased by the Fund. The Fund as writer
of an option bears the market risk of an unfavorable change in the price of the security
underlying the written option.
The Funds may also purchase put and call options. Each Fund pays a premium which is
included in the Fund’s accompanying Statement of Assets and Liabilities as an investment
and subsequently marked to market to reflect the current value of the option. Premiums
paid for purchasing options which expire are treated as realized losses. The risk associated
with purchasing put and call options is limited to the premium paid. Premiums paid for
purchasing options which are exercised or closed are added to the amounts paid or offset
against the proceeds on the underlying security to determine the realized gain or loss.

(f) Lending of Fund Securities: The Funds may lend their securities to financial institutions,
provided that the market value of the securities loaned will not at any time exceed one
third of a Fund’s total assets, as defined in its prospectuses. The Funds earn fees on the
securities loaned, which are included in interest income in the accompanying Statements
of Operations. In order to protect against the risk of failure by the borrower to return the
securities loaned or any delay in the delivery of such securities, the loan is collateralized by
cash or securities that are maintained with the Custodian in an amount equal to at least 102
percent of the current market value of U.S. loaned securities or 105 percent for non-U.S.
loaned securities. The market value of the loaned securities is determined at the close of
business of the Fund. Any required additional collateral is delivered to the Custodian and
any excess collateral is returned to the borrower on the next business day. In the event the
borrower fails to return the loaned securities when due, the Funds may take the collateral
to replace the securities. If the value of the collateral is less than the purchase cost of
replacement securities, the Custodian shall be responsible for any shortfall, but only to

- 132 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

the extent that the shortfall is not due to any diminution in collateral value, as defined in
the securities lending agreement. The Funds are required to maintain the collateral in a
segregated account and determine its value each day until the loaned securities are returned.
Cash collateral may be invested as determined by the Funds. Collateral is returned to the
borrower upon settlement of the loan.
(g) Dividends to Shareholders: Dividends payable to shareholders are recorded on the ex-
dividend date. The Funds declare and pay dividends from net investment income annually
except that the Alger Growth & Income Fund declares and pays such dividends quarterly.
With respect to all Funds, dividends from net realized gains, offset by any loss carryforward,
are declared and paid annually after the end of the fiscal year in which earned.
Each class is treated separately in determining the amounts of dividends from net investment
income payable to holders of its shares.

The characterization of distributions to shareholders for financial reporting purposes is
determined in accordance with federal income tax rules. Therefore, the source of a Fund’s
distributions may be shown in the accompanying financial statements as either from, or in
excess of, net investment income, net realized gain on investment transactions, or return of
capital, depending on the type of book/tax differences that may exist. Capital accounts within
the financial statements are adjusted for permanent book/tax differences. Reclassifications
result primarily from the differences in tax treatment of net operating losses, foreign
currency transactions and premium/discount of debt securities. The reclassifications are
done annually at fiscal year end and have no impact on the net asset values of the Funds and
are designed to present each Fund’s capital accounts on a tax basis.

(h) Federal Income Taxes: It is each Fund’s policy to comply with the requirements of the
Internal Revenue Code Subchapter M applicable to regulated investment companies and to
distribute all of its taxable income to its shareholders. Provided the Funds maintain such
compliance, no federal income tax provision is required. Each Fund is treated as a separate
entity for the purpose of determining such compliance.
Financial Accounting Standards Board Accounting Standards Codification 740 – Income
Taxes (“ASC 740”) requires the Funds to measure and recognize in their financial statements
the benefit of a tax position taken (or expected to be taken) on an income tax return
if such position will more likely than not be sustained upon examination based on the
technical merits of the position. No tax years are currently under investigation. The Funds
file income tax returns in the U.S., as well as New York State and New York City. The
statute of limitations on the Funds’ tax returns remains open for the tax years 2012-2015.
Management does not believe there are any uncertain tax positions that require recognition
of a tax liability.

(i) Allocation Methods: The Trust accounts separately for the assets, liabilities and operations
of each Fund. Expenses directly attributable to each Fund are charged to that Fund’s
operations; expenses which are applicable to all Funds are allocated among them based on
net assets. Income, realized and unrealized gains and losses, and expenses of each Fund

- 133 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

are allocated among the Fund’s classes based on relative net assets, with the exception of
distribution fees, transfer agency fees, and shareholder servicing and related fees.
(j) Estimates: These financial statements have been prepared in accordance with accounting
principles generally accepted in the United States of America, which require using estimates
and assumptions that affect the reported amounts therein. Actual results may differ from
those estimates.
NOTE 3 — Investment Advisory Fees and Other Transactions with Affiliates:
(a) Investment Advisory Fees: Fees incurred by each Fund, pursuant to the provisions of
the Trust’s Investment Advisory Agreement with Fred Alger Management, Inc. (“Alger
Management” or the “Manager”), are payable monthly and computed based on the following
rates. The actual rate paid as a percentage of average daily net assets, for the year ended
October 31, 2015, is set forth below under the heading “Actual Rate.”


	Tier 1		Tier 2		Tier 3		Actual Rate
Alger Capital Appreciation Fund^(a)	0.810	%	0.650	%	0.600	%	0.794	%
Alger International Growth Fund^(b)	0.710		0.600		—		0.710
Alger Mid Cap Growth Fund^(b)	0.760		0.700		—		0.760
Alger SMid Cap Growth Fund^(b)	0.810		0.750		—		0.810
Alger Small Cap Growth Fund^(b)	0.810		0.750		—		0.810
Alger Small Cap Focus Fund^(d)	0.750		—		—		0.826
Alger Health Sciences Fund^(c)	0.810		0.650		—		0.810
Alger Growth & Income Fund^(b)	0.585		0.550		—		0.585

(a) Tier 1 rate is paid on assets up to $2 billion, Tier 2 rate is paid on assets between $2 and
$4 billion and Tier 3 rate is paid on assets in excess of $4 billion.

(b) Tier 1 rate is paid on assets up to $1 billion and Tier 2 rate is paid on assets in excess of
$1 billion.

(c) Tier 1 rate is paid on assets up to $500 million and Tier 2 rate is paid on assets in excess
of $500 million.

(d) Prior to August 7, 2015, the rate was 0.85% on the first $1 billion and 0.75% in excess
of $1 billion. The actual rate is a weighted average blend.

Alger Management has established expense caps for several share classes, effective through
February 28, 2016, whereby it reimburses the share classes if annualized operating expenses
(excluding interest, taxes, brokerage, dividend expense and extraordinary expenses) exceed
the rates, based on average daily net assets, listed below:


							FEES WAIVED /
							REIMBURSED FOR
			CLASS				THE YEAR ENDED
	A	C	I		Z		OCTOBER 31, 2015
Alger Capital Appreciation Fund	–	–	–		0.97	%		$	—
Alger International Growth Fund	–	–	1.15	%	0.89				31,017
Alger Mid Cap Growth Fund	–	–	–		0.99				3,655
Alger Small Cap Growth Fund	–	–	–		0.99				23,876

- 134 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


Alger Small Cap Focus Fund	1.60	%	2.25	%	1.35	0.99	*	98,411
Alger Health Sciences Fund	–		–		–	0.99	**	2,961
Alger Growth & Income Fund	–		–		–	0.95		—

* Prior to March 1, 2015, the expense cap for the Alger Small Cap Focus Fund Class Z was
1.10%.

** While the fund commenced operations on May 28, 2015, the expense cap for Alger
Health Sciences Fund Class Z was not effective until June 22, 2015.

Fred Alger Management Inc. may recoup reimbursed expenses during the one-year term of
the expense reimbursement contract if the expense ratio falls below the stated limitation.

During the year ended October 31, 2015, the Alger Health Sciences Fund received a payment
made by the Advisor due to a delay in recording the expense reimbursement for the Class
Z shares that amounted to $0.02 per share. Had the Fund not received this payment, total
return of the Class Z shares would have been lower by 0.08%.

(b) Administration Fees: Fees incurred by each Fund, pursuant to the provisions of the Trust’s
Administration Agreement with Fred Alger Management, Inc., are payable monthly and
computed based on the average daily net assets of each Fund at the annual rate of 0.0275%.
(c) Distribution Fees:
Class A Shares: The Trust has adopted a Plan of Distribution pursuant to which each Fund
pays Fred Alger & Company, Incorporated, the Fund’s distributor (the “Distributor” or
“Alger Inc.”) and an affiliate of Alger Management, a fee at the annual rate of 0.25% of
the respective average daily net assets of the Class A shares of the designated Fund to
compensate Alger Inc. for its activities and expenses incurred in distributing the Class A
shares and shareholder servicing. Fees paid may be more or less than the expenses incurred
by Alger Inc.

Class B Shares: The Trust has adopted an Amended and Restated Plan of Distribution
pursuant to which Class B shares of each Fund issuing such shares reimburse Alger Inc.
for costs and expenses incurred by Alger Inc. in connection with advertising, marketing
and selling the Class B shares, and shareholder servicing, not to exceed an annual rate of
1% of the respective average daily net assets of the Class B shares of the designated Fund.
If in any month, the costs incurred by Alger Inc. relating to the Class B shares are in
excess of the distribution fees charged to the Class B shares of the Fund, the excess may
be carried forward, with interest, and sought to be reimbursed in future periods. As of
October 31, 2015, such excess carried forward was $21,529,300, $16,155,189, $10,658,111,
$286,250, $16,186,154 and $1,001,885, for Class B shares of the Alger Capital Appreciation
Fund, Alger International Growth Fund, Alger Mid Cap Growth Fund, Alger SMid Cap
Growth Fund, Alger Small Cap Growth Fund and Alger Health Sciences Fund, respectively.
Contingent deferred sales charges imposed on redemptions of Class B shares will reduce
the amount of distribution expenses for which reimbursement may be sought. See Note
3(d) below.

- 135 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

Class C Shares: The Trust has adopted a Distribution Plan pursuant to which Class C shares
of each Fund pay Alger Inc. a fee at the annual rate of 1% of the respective average daily
net assets of the Class C shares of the designated Fund to compensate Alger Inc. for its
activities and expenses incurred in distributing the Class C shares and shareholder servicing.
The fees paid may be more or less than the expenses incurred by Alger Inc.

Class I Shares: The Trust has adopted a Distribution Plan pursuant to which Class I shares of
the Alger International Growth Fund, Alger SMid Cap Growth Fund and Alger Small Cap
Focus Fund each pay Alger Inc. a fee at the annual rate of 0.25% of the average daily net
assets of the Fund’s Class I shares to compensate Alger Inc. for its activities and expenses
incurred in distributing the Class I shares and shareholder servicing. The fees paid may be
more or less than the expenses incurred by Alger Inc.

(d) Sales Charges: Purchases and sales of shares of the Funds may be subject to initial sales
charges or contingent deferred sales charges. The contingent deferred sales charges are
used by Alger Inc. to offset distribution expenses previously incurred. Sales charges do
not represent expenses of the Trust. For the year ended October 31, 2015, the initial sales
charges and contingent deferred sales charges imposed, all of which were retained by Alger
Inc., were as follows:


				CONTINGENT
	INITIAL SALES		DEFERRED SALES
		CHARGES		CHARGES
Alger Capital Appreciation Fund	$	7,932	$	56,791
Alger International Growth Fund		6,372		42,731
Alger Mid Cap Growth Fund		5,190		30,303
Alger SMid Cap Growth Fund		546		10,442
Alger Small Cap Growth Fund		3,862		14,431
Alger Small Cap Focus Fund		479		217
Alger Health Sciences Fund		3,085		9,261
Alger Growth & Income Fund		4,077		1,766

(e) Brokerage Commissions: During the year ended October 31, 2015, the Alger Capital
Appreciation Fund, Alger International Growth Fund, Alger Mid Cap Growth Fund, Alger
SMid Cap Growth Fund, Alger Small Cap Growth Fund, Alger Small Cap Focus Fund, Alger
Health Sciences Fund and Alger Growth & Income Fund paid Alger Inc. commissions of
$840,685, $22,133, $72,664, $352,527, $89,422, $16,145, $113,295 and $8,226 respectively,
in connection with securities transactions.
(f) Shareholder Administrative Fees: The Trust has entered into a shareholder administrative
services agreement with Alger Management to compensate Alger Management for its liaison
and administrative oversight of Boston Financial Data Services, Inc., the transfer agent, and
other related services. The Funds compensate Alger Management at the annual rate of
0.0165% of their respective average daily net assets for the Class A, Class B and Class C
shares and 0.01% of the daily net assets of the Class I and Class Z shares for these services.
Alger Management makes payments to intermediaries that provide sub-accounting services
to omnibus accounts invested in the Funds. A portion of the fees paid by Alger Management
to intermediaries that provide sub-accounting services are charged back to the appropriate
- 136 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

Fund, subject to certain limitations, as approved by the Board. For the year ended October
31, 2015, Alger Management charged back to the Alger Capital Appreciation Fund, Alger
International Growth Fund, Alger Mid Cap Growth Fund, Alger SMid Cap Growth Fund,
Alger Small Cap Growth Fund, Alger Small Cap Focus Fund, Alger Health Sciences Fund
and Alger Growth & Income Fund, $916,430, $56,541, $97,130, $748,339, $61,472, $9,218,
$20,722 and $36,572, respectively, for these services, which are included in transfer agent
fees and expenses in the accompanying Statements of Operations.

(g) Trustees’ Fees: November 1, 2014 through February 28, 2015, each Fund paid each
trustee who is not affiliated with Alger Management or its affiliates $950 for each meeting
attended, to a maximum of $3,800 per annum, plus travel expenses incurred for attending
the meeting. The Chairman of the Board received an additional annual fee of $24,300 which
was paid, pro rata, by all U.S.-registered funds managed by Alger Management. Additionally,
each member of a Fund’s audit committee received $81 from each Fund for each audit
committee meeting attended, to a maximum of $324 per annum.
Effective March 1, 2015, each Independent Trustee who is not affiliated with Alger
Management or its affiliates receives a fee of $25,875 for each meeting attended, to a
maximum of $103,500 per annum, paid pro rata by each Fund in the Alger Fund Complex,
plus travel expenses incurred for attending the meeting. The Independent Trustee appointed
as Chairman of the Board of Trustees receives additional compensation of $24,300 per
annum paid pro rata by each fund in the Alger Fund Complex. Additionally, each member
of the Audit Committee receives a fee of $2,500 for each meeting attended to a maximum
of $10,000 per annum, paid pro rata by each Fund in the Alger Fund Complex.

(h) Interfund Trades: During the fiscal year ended October 31, 2015, the Funds engaged in
purchase and sale transactions with funds that have a common investment advisor. For the
year ended October 31, 2015, these purchases and sales were as follows:


		Purchases		Sales
Alger Mid Cap Growth Fund	$	307,800	$	–
Alger SMid Cap Growth Fund		–		1,230,414
Alger Small Cap Growth Fund		254,528		110,026

(i) Interfund Loans: The Funds, along with other funds advised by Alger Management, may
borrow money from and lend money to each other for temporary or emergency purposes.
To the extent permitted under its investment restrictions, each fund may lend uninvested
cash in an amount up to 15% of its net assets to other funds. If a fund has borrowed from
other funds and has aggregate borrowings from all sources that exceed 10% of the fund’s
total assets, such fund will secure all of its loans from other funds. The interest rate charged
on interfund loans is equal to the average of the overnight time deposit rate and bank loan
rate available to the funds. There were no interfund loans outstanding as of October 31,
2015.
During the year ended October 31, 2015, Alger International Growth Fund, Alger Mid Cap
Growth Fund, Alger SMid Cap Growth Fund, Alger Small Cap Growth Fund and Alger
Health Sciences Fund incurred interfund loan interest expense of $15, $67, $18,029, $3,085
and $598, respectively. During the year ended October 31, 2015, Alger Capital Appreciation
- 137 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

Fund, Alger Mid Cap Growth Fund, Alger SMid Cap Growth Fund, Alger Small Cap
Growth Fund, Alger Small Cap Focus Fund, Alger Health Sciences Fund and Alger Growth
& Income Fund earned interfund loan interest income of $5,092, $958, $383, $182, $61,
$780 and $256, respectively.

(j) Other Transactions With Affiliates: Certain officers of the Trust are directors and officers
of Alger Management and the Distributor. At October 31, 2015, Alger Management and its
affiliates owned the following shares:


				SHARE CLASS
		A	B		C	I		Z
Alger Capital Appreciation Fund	79,659		—		—	—		87
Alger International Growth Fund	56,772		—		—	7,291	52,237
Alger Mid Cap Growth Fund	77,289		—		—	—		8,547
Alger SMid Cap Growth Fund	472,539		—	48,559		—		88
Alger Small Cap Growth Fund	113,609		—		—	—		177
Alger Small Cap Focus Fund		—	—		—	—	286,570
Alger Health Sciences Fund		—	—		—	—		3,995
Alger Growth & Income Fund	15,760		—		—	—		11,652

NOTE 4 — Securities Transactions:
The following summarizes the securities transactions by the Trust, other than U.S.
Government securities, short-term securities, purchased options and short sales, for the
year ended October 31, 2015:


		PURCHASES		SALES
Alger Capital Appreciation Fund	$	3,407,724,429	$	3,035,583,095
Alger International Growth Fund		249,997,455		231,287,034
Alger Mid Cap Growth Fund		232,611,148		261,354,478
Alger SMid Cap Growth Fund		831,059,777		1,505,276,882
Alger Small Cap Growth Fund		267,513,898		347,534,291
Alger Small Cap Focus Fund		110,966,199		53,273,306
Alger Health Sciences Fund		272,487,891		307,201,214
Alger Growth & Income Fund		15,754,359		17,762,746

Transactions in foreign securities may involve certain considerations and risks not typically
associated with those of U.S. companies because of, among other factors, the level of
governmental supervision and regulation of foreign security markets, and the possibility of
political or economic instability. Additional risks associated with investing in the emerging
markets include increased volatility, limited liquidity, and less stringent regulatory and legal
system.

Written call and put options activity for the year ended October 31, 2015, was as follows:

- 138 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


	NUMBER OF			PREMIUMS
	CONTRACTS			RECEIVED
Alger Mid Cap Growth Fund
Call Options outstanding at
October 31, 2014	1,754		$	318,911
Call Options written	1,395			356,059
Call Options closed	(1,255	)		(235,059	)
Call Options expired	(1,420	)		(264,059	)
Call Options exercised	(474	)		(175,852	)
Call Options outstanding at
October 31, 2015	—		$	—
$–
	NUMBER OF			PREMIUMS
	CONTRACTS			RECEIVED
Alger Mid Cap Growth Fund
Put Options outstanding at
October 31, 2014	821		$	278,473
Put Options written	1,985			377,701
Put Options closed	(1,514	)		(437,236	)
Put Options expired	(1,056	)		(140,088	)
Put Options exercised	(236	)		(78,850	)
Put Options outstanding at
October 31, 2015	—		$	—
$–

The Alger Mid Cap Growth Fund did not enter into written option contracts after January
31, 2015.

The following table summarizes the Fund’s securities lending agreements by counterparty
which are subject to rights of offset as of October 31, 2015.


Alger Growth & Income Fund
						Fair Value
		Securities		Cash		on Non-
		Loaned at		Collateral		Cash Collateral		Net
Counterparty		Value		Received(a)		Received		Amount(b)

Citigroup Inc	$	650,441	$	650,441
Deutsche Bank Inc.		1,023,974		1,023,974	--		--


Total	$	1,674,415	$	1,674,415	--			--

(a) Collateral with a value of $1,709,832 has been received in connection with securities
lending agreements.

(b) The market value of loaned securities is determined as of October 31, 2015. The net
amount would be subject to the borrower default indemnity in the event of default by the
counterparty.

- 139 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

NOTE 5 — Borrowing:
The Funds may borrow from their custodian on an uncommitted basis. Each Fund pays the
custodian a market rate of interest, generally based upon the London Interbank Offered
Rate. The Funds may also borrow from other funds advised by Alger Management, as
discussed in Note 3(i). For the year ended October 31, 2015, the Funds had the following
borrowings:


	AVERAGE DAILY		WEIGHTED AVERAGE
		BORROWING	INTEREST RATE
Alger Capital Appreciation Fund	$	37,930		2.21	%
Alger International Growth Fund		13,463		8.40
Alger Mid Cap Growth Fund		6,747		1.22
Alger SMid Cap Growth Fund		1,987,923		1.30
Alger Small Cap Growth Fund		279,254		1.12
Alger Small Cap Focus Fund		6,978		2.19
Alger Health Sciences Fund		85,175		1.50

The highest amount borrowed during the year ended October 31, 2015 for each Fund was
as follows:

			HIGHEST BORROWING
Alger Capital Appreciation Fund			$	4,534,936
Alger International Growth Fund				1,140,311
Alger Mid Cap Growth Fund				442,000
Alger SMid Cap Growth Fund			123,338,066
Alger Small Cap Growth Fund				40,213,000
Alger Small Cap Focus Fund				376,681
Alger Health Sciences Fund				4,081,000

- 140 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

NOTE 6 — Share Capital:
(a) The Trust has an unlimited number of authorized shares of beneficial interest of $.001
par value which are presently divided into eight series. Each series is divided into separate
classes. The transactions of shares of beneficial interest were as follows:


	FOR THE YEAR ENDED					FOR THE YEAR ENDED
	OCTOBER 31, 2015					OCTOBER 31, 2014
	SHARES			AMOUNT		SHARES			AMOUNT
Alger Capital Appreciation Fund
Class A:
Shares sold	19,941,463		$	429,216,453		13,211,382		$	287,181,854
Shares converted from Class B	173,220			3,729,703		179,127			3,845,599
Shares converted from Class C	176			3,894		4,156			85,600
Dividends reinvested	7,954,361			164,180,132		3,572,461			73,556,971
Shares redeemed	(15,164,333	)	(327,851,427		)	(14,378,152	)	(313,744,777		)
Net increase	12,904,887		$	269,278,755		2,588,974		$	50,925,247
Class B:
Shares sold	80,825		$	1,449,684		70,695		$	1,312,564
Shares converted to Class A	(206,707	)		(3,729,703	)	(206,794	)		(3,845,599	)
Dividends reinvested	239,941			4,150,980		125,630			2,242,491
Shares redeemed	(297,342	)		(5,380,690	)	(243,453	)		(4,557,220	)
Net decrease	(183,283	)	$	(3,509,729	)	(253,922	)	$	(4,847,764	)
Class C:
Shares sold	6,139,982		$	111,154,806		2,592,917		$	48,802,255
Shares converted to Class A	(210	)		(3,894	)	(4,787	)		(85,600	)
Dividends reinvested	1,510,451			26,218,831		566,504			10,140,425
Shares redeemed	(2,283,166	)		(41,413,976	)	(1,940,136	)		(36,437,122	)
Net increase	5,367,057		$	95,955,767		1,214,498		$	22,419,958
Class Z:
Shares sold	18,379,428		$	409,588,134		4,243,426		$	95,173,015
Dividends reinvested	1,662,259			34,707,970		528,898			10,964,045
Shares redeemed	(4,287,362	)		(91,613,367	)	(1,140,898	)		(25,118,699	)
Net increase	15,754,325		$	352,682,737		3,631,426		$	81,018,361

- 141 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


	FOR THE YEAR ENDED					FOR THE YEAR ENDED
	OCTOBER 31, 2015					OCTOBER 31, 2014
	SHARES			AMOUNT		SHARES			AMOUNT
Alger International Growth Fund
Class A:
Shares sold	1,318,497		$	21,202,489		1,145,285		$	17,668,080
Shares converted from Class B	72,646			1,155,119		121,443			1,872,316
Shares converted from Class C	837			13,494		724			11,317
Dividends reinvested	75,380			1,141,318		1,550			23,859
Shares redeemed	(1,218,713	)		(19,138,672	)	(2,208,184	)		(34,524,693	)
Net increase (decrease)	248,647		$	4,373,748		(939,182	)	$	(14,949,121	)
Class B:
Shares sold	30,301		$	420,627		56,629		$	776,513
Shares converted to Class A	(82,241	)		(1,155,119	)	(137,613	)		(1,872,316	)
Dividends reinvested	727			9,757		—			—
Shares redeemed	(529,374	)		(7,293,023	)	(1,777,215	)		(24,630,116	)
Net decrease	(580,587	)	$	(8,017,758	)	(1,858,199	)	$	(25,725,919	)
Class C:
Shares sold	376,012		$	5,352,938		455,059		$	6,160,274
Shares converted to Class A	(956	)		(13,494	)	(825	)		(11,317	)
Dividends reinvested	5,186			68,915		—			—
Shares redeemed	(320,301	)		(4,380,916	)	(238,269	)		(3,218,204	)
Net increase	59,941		$	1,027,443		215,965		$	2,930,753
Class I:
Shares sold	799,096		$	12,669,754		308,627		$	4,700,595
Dividends reinvested	2,439			36,830		68			1,046
Shares redeemed	(116,718	)		(1,794,576	)	(75,213	)		(1,147,553	)
Net increase	684,817		$	10,912,008		233,482		$	3,554,088
Class Z:
Shares sold	1,181,195		$	19,140,824		816,767		$	12,666,277
Dividends reinvested	5,490			83,664		—			—
Shares redeemed	(512,859	)		(8,088,181	)	(409,999	)		(6,114,319	)
Net increase	673,826		$	11,136,307		406,768		$	6,551,958

- 142 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


	FOR THE YEAR ENDED					FOR THE YEAR ENDED
	OCTOBER 31, 2015					OCTOBER 31, 2014
	SHARES			AMOUNT		SHARES			AMOUNT
Alger Mid Cap Growth Fund
Class A:
Shares sold	858,755		$	9,544,674		1,080,502		$	10,846,934
Shares converted from Class B	113,448			1,246,215		195,566			1,960,843
Shares converted from Class C	58			641		974			9,513
Shares redeemed	(2,193,763	)		(24,280,042	)	(2,981,124	)		(30,495,177	)
Net decrease	(1,221,502	)	$	(13,488,512	)	(1,704,082	)	$	(17,677,887	)
Class B:
Shares sold	45,346		$	405,449		76,714		$	644,722
Shares converted to Class A	(138,955	)		(1,246,215	)	(237,860	)		(1,960,843	)
Shares redeemed	(756,856	)		(6,786,702	)	(2,480,243	)		(21,418,013	)
Net decrease	(850,465	)	$	(7,627,468	)	(2,641,389	)	$	(22,734,134	)
Class C:
Shares sold	270,110		$	2,438,597		267,790		$	2,228,778
Shares converted to Class A	(72	)		(641	)	(1,193	)		(9,513	)
Shares redeemed	(548,366	)		(4,899,669	)	(664,280	)		(5,456,185	)
Net decrease	(278,328	)	$	(2,461,713	)	(397,683	)	$	(3,236,920	)
Class Z:
Shares sold	230,040		$	2,574,944		—		$	—
Shares redeemed	(3,854	)		(43,512	)	—			—
Net increase	226,186		$	2,531,432		—		$	—

- 143 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


	FOR THE YEAR ENDED						FOR THE YEAR ENDED
	OCTOBER 31, 2015						OCTOBER 31, 2014
	SHARES				AMOUNT		SHARES			AMOUNT
Alger SMid Cap Growth Fund
Class A:
Shares sold	2,515,669			$	44,770,555		2,339,099		$	44,560,299
Shares converted from Class B	26,382				469,683		20,764			399,718
Shares converted from Class C	—				—		88			1,625
Dividends reinvested	1,756,178				29,697,232		2,093,976			38,298,826
Shares redeemed	(7,282,943	)		(129,738,047		)	(6,072,094	)	(116,213,077		)
Net decrease	(2,984,714	)		$	(54,800,577	)	(1,618,167	)	$	(32,952,609	)
Class B:
Shares sold	12,637			$	185,261		17,208		$	280,665
Shares converted to Class A	(30,450	)			(469,683	)	(23,321	)		(399,713	)
Dividends reinvested	56,485				828,071		68,350			1,114,787
Shares redeemed	(173,061	)			(2,627,122	)	(134,871	)		(2,286,197	)
Net decrease	(134,389	)		$	(2,083,473	)	(72,634	)	$	(1,290,458	)
Class C:
Shares sold	326,733			$	4,980,075		387,335		$	6,555,383
Shares converted to Class A	—				—		(98	)		(1,625	)
Dividends reinvested	503,010				7,399,281		519,801			8,498,750
Shares redeemed	(743,932	)			(11,427,019	)	(789,453	)		(13,402,438	)
Net increase	85,811			$	952,337		117,585		$	1,650,070
Class I:
Shares sold	4,562,014			$	82,321,216		10,609,972		$	204,542,125
Dividends reinvested	5,334,507				91,380,102		5,182,532			95,876,850
Shares redeemed	(41,500,869	)		(747,903,500		)	(12,847,289	)	(249,345,195		)
Net increase (decrease)	(31,604,348	)	$	(574,202,182		)	2,945,215		$	51,073,780
Class Z:
Shares sold	6,632,842			$	113,310,928		1,146,769		$	22,314,309
Dividends reinvested	188,649				3,250,429		185,120			3,430,278
Shares redeemed	(1,628,271	)			(30,002,909	)	(1,892,258	)		(38,111,803	)
Net increase (decrease)	5,193,220			$	86,558,448		(560,369	)	$	(12,367,216	)

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THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


	FOR THE YEAR ENDED					FOR THE YEAR ENDED
	OCTOBER 31, 2015					OCTOBER 31, 2014
	SHARES			AMOUNT		SHARES			AMOUNT
Alger Small Cap Growth Fund
Class A:
Shares sold	1,580,029		$	13,419,571		4,323,172		$	39,318,507
Shares converted from Class B	94,284			800,038		149,736			1,359,595
Dividends reinvested	1,746,872			14,202,069		2,022,570			18,041,321
Shares redeemed	(4,548,661	)		(39,066,866	)	(8,505,233	)		(75,621,901	)
Net decrease	(1,127,476	)	$	(10,645,188	)	(2,009,755	)	$	(16,902,478	)
Class B:
Shares sold	91,268		$	614,597		134,678		$	1,013,908
Shares converted to Class A	(113,836	)		(800,038	)	(175,477	)		(1,359,595	)
Dividends reinvested	153,462			1,031,264		207,372			1,576,026
Shares redeemed	(301,914	)		(2,113,880	)	(568,599	)		(4,407,986	)
Net decrease	(171,020	)	$	(1,268,057	)	(402,026	)	$	(3,177,647	)
Class C:
Shares sold	171,469		$	1,158,931		193,166		$	1,462,988
Dividends reinvested	254,757			1,673,757		275,016			2,051,622
Shares redeemed	(457,300	)		(3,151,622	)	(583,964	)		(4,369,610	)
Net decrease	(31,074	)	$	(318,934	)	(115,782	)	$	(855,000	)
Class Z:
Shares sold	1,029,786		$	8,766,273		1,824,706		$	16,462,273
Dividends reinvested	819,654			6,729,363		953,204			8,550,243
Shares redeemed	(6,292,720	)		(55,536,296	)	(3,584,524	)		(32,602,654	)
Net decrease	(4,443,280	)	$	(40,040,660	)	(806,614	)	$	(7,590,138	)

Alger Small Cap Focus Fund
Class A:
Shares sold	1,654,205		$	18,594,316		164,449		$	1,925,279
Dividends reinvested	45,119			481,873		87,103			973,816
Shares redeemed	(1,005,502	)		(11,422,574	)	(205,708	)		(2,337,860	)
Net increase	693,822		$	7,653,615		45,844		$	561,235
Class C:
Shares sold	590,280		$	6,221,786		19,583		$	211,735
Dividends reinvested	21,518			213,678		34,476			362,687
Shares redeemed	(61,705	)		(639,921	)	(25,419	)		(269,945	)
Net increase	550,093		$	5,795,543		28,640		$	304,477
Class I:
Shares sold	3,642,592		$	42,213,625		151,899		$	1,801,664
Dividends reinvested	9,345			102,042		16,661			189,606
Shares redeemed	(205,350	)		(2,343,092	)	(122,287	)		(1,414,886	)
Net increase	3,446,587		$	39,972,575		46,273		$	576,384
Class Z:
Shares sold	1,261,095		$	14,388,178		7,250		$	81,959
Dividends reinvested	23,909			261,562		38,842			441,639
Shares redeemed	(54,143	)		(620,875	)	(3,301	)		(37,963	)
Net increase	1,230,861		$	14,028,865		42,791		$	485,635

- 145 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


	FOR THE YEAR ENDED					FOR THE YEAR ENDED
	OCTOBER 31, 2015					OCTOBER 31, 2014
	SHARES			AMOUNT		SHARES			AMOUNT
Alger Health Sciences Fund
Class A:
Shares sold	1,398,761		$	34,246,474		1,013,092		$	24,552,129
Shares converted from Class B	40,286			984,600		70,341			1,715,659
Shares converted from Class C	—			—		232			5,450
Dividends reinvested	1,035,935			23,173,875		757,953			16,720,439
Shares redeemed	(2,045,448	)		(48,627,542	)	(1,797,979	)		(43,090,421	)
Net increase (decrease)	429,534		$	9,777,407		43,639		$	(96,744	)
Class B:
Shares sold	19,505		$	372,914		15,819		$	306,724
Shares converted to Class A	(47,600	)		(984,600	)	(79,676	)		(1,715,659	)
Dividends reinvested	84,278			1,597,068		77,996			1,512,347
Shares redeemed	(125,898	)		(2,585,940	)	(146,857	)		(3,111,939	)
Net decrease	(69,715	)	$	(1,600,558	)	(132,718	)	$	(3,008,527	)
Class C:
Shares sold	409,745		$	8,190,033		281,154		$	5,752,521
Shares converted to Class A	—			—		(264	)		(5,450	)
Dividends reinvested	494,274			9,401,097		342,721			6,662,498
Shares redeemed	(586,919	)		(11,882,400	)	(538,784	)		(11,474,559	)
Net increase	317,100		$	5,708,730		84,827		$	935,010
Class Z:
Shares sold	308,872		$	7,123,472		—		$	—
Shares redeemed	(9,344	)		(212,367	)	—			—
Net increase	299,528		$	6,911,105		—		$	—

Alger Growth & Income Fund
Class A:
Shares sold	230,587		$	7,699,744		288,605		$	9,117,077
Shares converted from Class C	180			6,135		637			20,681
Dividends reinvested	90,408			2,991,002		41,505			1,301,713
Shares redeemed	(390,788	)		(12,816,094	)	(863,350	)		(27,163,100	)
Net decrease	(69,613	)	$	(2,119,213	)	(532,603	)	$	(16,723,629	)
Class C:
Shares sold	110,995		$	3,655,182		129,627		$	4,031,279
Shares converted to Class A	(182	)		(6,135	)	(644	)		(20,681	)
Dividends reinvested	21,539			705,009		6,438			200,118
Shares redeemed	(93,083	)		(3,059,497	)	(118,242	)		(3,663,098	)
Net increase	39,269		$	1,294,559		17,179		$	547,618
Class Z:
Shares sold	48,152		$	1,602,084		196,859		$	6,450,341
Dividends reinvested	8,482			280,555		838			27,453
Shares redeemed	(45,944	)		(1,523,567	)	(24,055	)		(769,043	)
Net increase	10,690		$	359,072		173,642		$	5,708,751

(b) Redemption Fee: Prior to March 1, 2015, the Funds imposed a 2.00% redemption fee
on certain Class A, Class B and Class C shares redeemed (including shares redeemed

- 146 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

by exchange) within 30 days after such shares were acquired. After March 1, 2015, the
redemption fee was no longer imposed. The fees retained by the Funds are included as paid-
in capital on the accompanying Statement of Assets and Liabilities.
NOTE 7 — Income Tax Information:
The tax character of distributions paid during the year ended October 31, 2015 and the
year ended October 31, 2014 were as follows:


	FOR THE YEAR ENDED		FOR THE YEAR ENDED
	OCTOBER 31, 2015		OCTOBER 31, 2014
Alger Capital Appreciation Fund
Distributions paid from:
Ordinary Income	$	47,530,093	$	55,305,551
Long-term capital gain		233,509,092		64,782,666
Total distributions paid	$	281,039,185	$	120,088,217

Alger International Growth Fund
Distributions paid from:
Ordinary Income		1,548,952		28,060
Long-term capital gain		—		—
Total distributions paid	$	1,548,952	$	28,060

Alger Mid Cap Growth Fund
Distributions paid from:
Ordinary Income		—		—
Long-term capital gain		—		—
Total distributions paid		—		—

Alger SMid Cap Growth Fund
Distributions paid from:
Ordinary Income		10,570,820		23,759,484
Long-term capital gain		128,974,662		133,223,361
Total distributions paid	$	139,545,482	$	156,982,845

Alger Small Cap Growth Fund
Distributions paid from:
Ordinary Income		—		5,274,547
Long-term capital gain		25,375,789		27,468,959
Total distributions paid	$	25,375,789	$	32,743,506

- 147 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


	FOR THE YEAR ENDED		FOR THE YEAR ENDED
	OCTOBER 31, 2015		OCTOBER 31, 2014
Alger Small Cap Focus Fund
Distributions paid from:
Ordinary Income		—		733,797
Long-term capital gain		1,253,342		1,661,701
Total distributions paid	$	1,253,342	$	2,395,498

Alger Health Sciences Fund
Distributions paid from:
Ordinary Income		12,851,704		6,671,041
Long-term capital gain		31,027,386		26,551,645
Total distributions paid	$	43,879,090	$	33,222,686

Alger Growth & Income Fund
Distributions paid from:
Ordinary Income		1,463,014		1,881,535
Long-term capital gain		3,330,336		—
Total distributions paid	$	4,793,350	$	1,881,535

As of October 31, 2015 the components of accumulated gains (losses) on a tax basis were
as follows:
Alger Capital Appreciation Fund
Undistributed ordinary income				—
Undistributed long-term gains			$	202,199,873
Net accumulated earnings				202,199,873
Capital loss carryforwards				—
Late year ordinary income loss				(8,303,391	)
Net unrealized appreciation				282,358,284
Total accumulated earnings			$	476,254,766

Alger International Growth Fund
Undistributed ordinary income			$	169,227
Undistributed long-term gains				—
Net accumulated earnings				169,227
Capital loss carryforwards				(8,458,699	)
Net unrealized appreciation				5,403,321
Total accumulated losses			$	(2,886,151	)

- 148 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


Alger Mid Cap Growth Fund
Undistributed ordinary income		—
Undistributed long-term gains		—
Net accumulated earnings		—
Capital loss carryforwards	(34,620,840)
Late year ordinary income losses		(1,877,586	)
Net unrealized appreciation		7,895,366
Total accumulated losses	$	(28,603,060	)

Alger SMid Cap Growth Fund
Undistributed ordinary income		—
Undistributed long-term gains		141,554,438
Net accumulated earnings		141,554,438
Capital loss carryforwards		—
Late year ordinary income losses		(3,021,207	)
Net unrealized appreciation		33,642,574
Total accumulated earnings	$	172,175,805

Alger Small Cap Growth Fund
Undistributed ordinary income		—
Undistributed long-term gains		31,538,178
Net accumulated earnings		31,538,178
Capital loss carryforwards		—
Late year ordinary income losses		(1,675,381	)
Net unrealized appreciation		9,906,464
Total accumulated earnings	$	39,769,261

Alger Small Cap Focus Fund
Undistributed ordinary income		—
Undistributed long-term gains		—
Net accumulated earnings		—
Capital loss carryforwards		(331,935	)
Late year ordinary income losses		(388,941	)
Net unrealized appreciation		2,322,448
Total accumulated earnings	$	1,601,572

- 149 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


Alger Health Sciences Fund
Undistributed ordinary income	$	6,800,307
Undistributed long-term gains		22,982,584
Net accumulated earnings		29,782,891
Capital loss carryforwards		—
Net unrealized appreciation		9,095,616
Total accumulated earnings	$	38,878,507

Alger Growth & Income Fund
Undistributed ordinary income	$	87,172
Undistributed long-term gains		3,151,605
Net accumulated earnings		3,238,777
Capital loss carryforwards		—
Net unrealized appreciation		26,463,993
Total accumulated earnings	$	29,702,770

At October 31, 2015, the Funds, for federal income tax purposes, had capital loss
carryforwards as set forth in the table below. These amounts may be applied against future
net realized gains until the earlier of their utilization or expiration.


	Alger Capital		Alger International		Alger Mid Cap		Alger SMid Cap
Expiration Dates	Appreciation Fund		Growth Fund		Growth Fund		Growth Fund
2017		—	$	8,458,699	$	34,620,840		—
Total		—		8,458,699		34,620,840		—


	Alger Small Cap		Alger Small Cap			Alger Health	Alger Growth &
Expiration Dates	Growth Fund			Focus Fund	Sciences Fund		Income Fund
POST ACT		—	$	331,935		—		—
Total		—		331,935		—		—

Under the Regulated Investment Company Modernization Act of 2010, capital losses
incurred by the Funds after October 31, 2011 will not be subject to expiration. In addition,
losses incurred after October 31, 2011 must be utilized prior to the utilization of capital loss
carryforwards above.

During the year ended October 31, 2015 the Alger International Growth Fund and Alger
Mid Cap Growth Fund utilized $4,135,831 and $4,724,152 of their capital loss carryforwards,
respectively.

The difference between book-basis and tax-basis unrealized appreciation (depreciation) is
determined annually and is attributable primarily to the tax deferral of losses on wash sales,
U.S. Internal Revenue Code Section 988 currency transactions, nondeductible expenses
on dividends sold short, the tax treatment of partnerships investments, the realization of

- 150 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

unrealized appreciation of passive foreign investment companies, and return of capital from
real estate investment trust investments.

Permanent differences, primarily from net operating losses and real estate investment trusts
and partnership investments sold by the Funds, resulted in the following reclassifications
among the Fund’s components of net assets at October 31, 2015.

The Fund accrues tax on unrealized gains in foreign jurisdictions that impose a foreign
capital tax.


Alger Capital Appreciation Fund
Accumulated undistributed net investment income (accumulated loss)	$	(2,260,624	)
Accumulated net realized gain (accumulated realized loss)	$	2,955,810
Paid-in Capital	$	(695,186	)

Alger International Growth Fund
Accumulated undistributed net investment income (accumulated loss)	$	1,121,104
Accumulated net realized gain (accumulated realized loss)	$	(1,121,106	)
Paid-in Capital	$	2

Alger Mid Cap Growth Fund
Accumulated undistributed net investment income (accumulated loss)	$	1,442,210
Accumulated net realized gain (accumulated realized loss)	$	(70,779	)
Paid-in Capital	$	(1,371,431	)

Alger SMid Cap Growth Fund
Accumulated undistributed net investment income (accumulated loss)	$	2,244,749
Accumulated net realized gain (accumulated realized loss)	$	(56,244,749	)
Paid-in Capital	$	54,000,000

Alger Small Cap Growth Fund
Accumulated undistributed net investment income (accumulated loss)	$	2,358,088
Accumulated net realized gain (accumulated realized loss)	$	127,509
Paid-in Capital	$	(2,485,597	)

Alger Small Cap Focus Fund
Accumulated undistributed net investment income (accumulated loss)	$	159,867
Accumulated net realized gain (accumulated realized loss)	$	3,357
Paid-in Capital	$	(163,224	)

- 151 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


Alger Health Sciences Fund
Accumulated undistributed net investment income (accumulated loss)	$	4,844,679
Accumulated net realized gain (accumulated realized loss)	$	(4,844,679	)
Paid-in Capital	$	–

Alger Growth & Income Fund
Accumulated undistributed net investment income (accumulated loss)	$	(68,160	)
Accumulated net realized gain (accumulated realized loss)	$	68,160
Paid-in Capital	$	–

NOTE 8 — Fair Value Measurements:
The following is a summary of the inputs used as of October 31, 2015 in valuing the Funds’
investments carried at fair value on a recurring basis. Based upon the nature, characteristics,
and risks associated with their investments, the Funds have determined that presenting them
by security type and sector is appropriate.


Alger Capital Appreciation Fund			TOTAL FUND				LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$	493,614,931			$	493,580,090			—	$	34,841
Consumer Staples			141,146,351			141,146,351			—		—
Energy			46,660,800			46,660,800			—		—
Financials			95,885,134			95,885,134			—		—
Health Care			448,950,830			431,258,403		17,692,427			—
Industrials			220,272,822			220,272,822			—		—
Information Technology			843,935,934			842,556,396			—		1,379,538
Materials			36,712,512			36,712,512			—		—
Telecommunication Services			28,017,654			28,017,654			—		—
Utilities			10,212,512				6,942,374		3,270,138		—
TOTAL COMMON STOCKS	$	2,365,409,480			$	2,343,032,536		$	20,962,565	$	1,414,379
MASTER LIMITED PARTNERSHIP
Financials			31,521,123			31,521,123			—		—
PREFERRED STOCKS
Consumer Discretionary				993,421			—		—		993,421
Health Care				2,889,378			—		—		2,889,378
Information Technology				6,359,175			—		—		6,359,175
TOTAL PREFERRED STOCKS		$		10,241,974			—		—	$	10,241,974
REAL ESTATE INVESTMENT TRUST
Financials			16,450,355			16,450,355			—		—
TOTAL INVESTMENTS IN
SECURITIES	$	2,423,622,932			$	2,391,004,014		$	20,962,565	$	11,656,353

- 152 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


Alger International Growth Fund		TOTAL FUND			LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary		20,052,331			986,296	19,066,035			—
Consumer Staples		32,661,585			—	32,661,585			—
Energy		10,002,772			1,711,082		8,291,690		—
Financials		45,159,540			7,336,501	37,823,039			—
Health Care		32,395,889			2,617,646	29,778,243			—
Industrials		16,175,537			3,861,140	12,314,397			—
Information Technology		27,524,974			9,598,718	17,926,256			—
Materials			5,046,212		—		5,046,212		—
Telecommunication Services		10,260,116			1,444,871		8,815,245		—
Utilities		15,766,850			—	15,766,850			—
TOTAL COMMON STOCKS	$		215,045,806	$	27,556,254	$	187,489,552		—
RIGHTS
Telecommunication Services			135,587		135,587		—		—
TOTAL INVESTMENTS IN
SECURITIES	$		215,181,393	$	27,691,841	$	187,489,552		—

Alger Mid Cap Growth Fund		TOTAL FUND			LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary		45,007,719		45,007,719			—		—
Consumer Staples			5,329,090		5,329,090		—		—
Energy			1,392,545		1,392,545		—		—
Financials		10,916,777		10,916,777			—		—
Health Care		24,880,555		24,880,555			—		—
Industrials		25,995,701		25,995,701			—		—
Information Technology		41,054,371		40,906,987			—		147,384
Materials			5,811,095		5,811,095		—		—
Telecommunication Services			2,606,538		2,606,538		—		—
Utilities			1,135,312		832,200		303,112		—
TOTAL COMMON STOCKS	$		164,129,703	$	163,679,207	$	303,112	$	147,384
PREFERRED STOCKS
Health Care			2,481,215		—		—		2,481,215
Information Technology			679,391		—		—		679,391
TOTAL PREFERRED STOCKS	$		3,160,606		—		—	$	3,160,606
REAL ESTATE INVESTMENT TRUST
Financials			4,035,762		4,035,762		—		—
SPECIAL PURPOSE VEHICLE
Financials			314,956		—		—		314,956
TOTAL INVESTMENTS IN
SECURITIES	$		171,641,027	$	167,714,969	$	303,112	$	3,622,946

- 153 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


Alger SMid Cap Growth Fund		TOTAL FUND			LEVEL 1	LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary		94,443,035		94,443,035		—		—
Consumer Staples		14,624,676		14,624,676		—		—
Energy			4,249,947		4,249,947	—		—
Financials		19,906,402		19,906,402		—		—
Health Care		77,058,166		77,058,166		—		—
Industrials		69,297,634		69,297,634		—		—
Information Technology		93,174,070		92,442,280		—		731,790
Materials		22,666,893		22,666,893		—		—
Telecommunication Services			1,838,529		1,838,529	—		—
TOTAL COMMON STOCKS	$		397,259,352	$	396,527,562	—	$	731,790
MASTER LIMITED PARTNERSHIP
Financials			2,058,924		2,058,924	—		—
PREFERRED STOCKS
Health Care			2,899,897		—	—		2,899,897
Information Technology			3,373,290		—	—		3,373,290
TOTAL PREFERRED STOCKS	$		6,273,187		—	—	$	6,273,187
REAL ESTATE INVESTMENT TRUST
Financials		12,380,883		12,380,883		—		—
TOTAL INVESTMENTS IN
SECURITIES	$		417,972,346	$	410,967,369	—	$	7,004,977

Alger Small Cap Growth Fund		TOTAL FUND			LEVEL 1	LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary		20,367,404		20,367,404		—		—
Consumer Staples			3,656,249		3,656,249	—		—
Energy			2,179,585		2,179,585	—		—
Financials			5,986,248		5,986,248	—		—
Health Care		43,365,740		43,365,740		—		—
Industrials		11,758,904		11,758,904		—		—
Information Technology		56,741,376		56,741,376		—		—
Materials			4,777,908		4,777,908	—		—
TOTAL COMMON STOCKS	$		148,833,414	$	148,833,414	—		—
PREFERRED STOCKS
Health Care			675,194		—	—		675,194
REAL ESTATE INVESTMENT TRUST
Financials			3,952,152		3,952,152	—		—
RIGHTS
Health Care			—		—	—*		—
SPECIAL PURPOSE VEHICLE
Financials			290,078		—	—		290,078
TOTAL INVESTMENTS IN
SECURITIES	$		153,750,838	$	152,785,566	—	$	965,272

- 154 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


Alger Small Cap Focus Fund	TOTAL FUND			LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary		945,680		945,680		—		—
Financials		205,569		205,569		—		—
Health Care	22,321,256		22,321,256			—		—
Industrials		3,953,119		3,953,119		—		—
Information Technology	42,955,360		42,955,360			—		—
Materials		1,663,993		1,663,993		—		—
TOTAL COMMON STOCKS	$	72,044,977	$	72,044,977		—		—
PREFERRED STOCKS
Health Care		59,052		—		—		59,052
TOTAL INVESTMENTS IN
SECURITIES	$	72,104,029	$	72,044,977		—	$	59,052

Alger Health Sciences Fund	TOTAL FUND			LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Staples		4,888,663		4,888,663		—		—
Health Care	165,127,562		163,256,801			1,727,042		143,719
TOTAL COMMON STOCKS	$	170,016,225	$	168,145,464	$	1,727,042	$	143,719
PREFERRED STOCKS
Health Care		9,317,970		—		—		9,317,970
RIGHTS
Health Care		—		—		—		—*
TOTAL INVESTMENTS IN
SECURITIES	$	179,334,195	$	168,145,464	$	1,727,042	$	9,461,689

Alger Growth & Income Fund	TOTAL FUND			LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	13,575,008		13,572,881			—		2,127
Consumer Staples	11,740,852		11,740,852			—		—
Energy		5,995,071		5,995,071		—		—
Financials	12,939,813		12,939,813			—		—
Health Care	14,215,566		14,215,566			—		—
Industrials	11,034,154		11,034,154			—		—
Information Technology	18,446,176		18,446,176			—		—
Materials		1,131,729		1,131,729		—		—
Telecommunication Services		3,135,689		3,135,689		—		—
Utilities		820,835		665,665		155,170		—
TOTAL COMMON STOCKS	$	93,034,893	$	92,877,596	$	155,170	$	2,127
CONVERTIBLE PREFERRED STOCKS
Health Care		805,905		805,905		—		—
MASTER LIMITED PARTNERSHIP
Energy		655,434		655,434		—		—
Financials		1,666,224		1,666,224		—		—
TOTAL MASTER LIMITED
PARTNERSHIP	$	2,321,658	$	2,321,658		—		—

- 155 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


Alger Growth & Income Fund	TOTAL FUND			LEVEL 1		LEVEL 2			LEVEL 3
PREFERRED STOCKS
Consumer Discretionary		55,821		—			—		55,821
REAL ESTATE INVESTMENT TRUST
Financials		2,902,597		2,902,597			—		—
TOTAL INVESTMENTS IN
SECURITIES	$	99,120,874	$	98,907,756	$	155,170		$	57,948

*Alger Small Cap Growth Fund and Alger Health Sciences Fund rights are fair valued at
zero as of October 31, 2015.

							FAIR VALUE
							MEASUREMENTS
							USING SIGNIFICANT
							UNOBSERVABLE
							INPUTS (LEVEL 3)
Alger Capital Appreciation Fund							Common Stocks
Opening balance at November 1, 2014							$		974,640
Transfers into Level 3									–
Transfers out of Level 3									–
Total gains or losses
Included in net realized gain (loss) on investments									–
Included in net unrealized gain (loss) on investments									439,739
Purchases and sales									–
Purchases									–
Sales									–
Closing balance at October 31, 2015									1,414,379
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015							$		439,739

Alger Capital Appreciation Fund							Preferred Stocks
Opening balance at November 1, 2014							$		8,978,474
Transfers into Level 3									–
Transfers out of Level 3									–
Total gains or losses
Included in net realized gain (loss) on investments									–
Included in net unrealized gain (loss) on investments									1,263,500
Purchases and sales									–
Purchases									–
Sales									–
Closing balance at October 31, 2015									10,241,974
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015							$		1,263,500

- 156 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger Mid Cap Growth Fund	Common Stocks
Opening balance at November 1, 2014	$		99,075
Transfers into Level 3			–
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			48,309
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at October 31, 2015			147,384
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		48,309

Alger Mid Cap Growth Fund	Preferred Stocks
Opening balance at November 1, 2014	$		462,915
Transfers into Level 3			1,492,970	*
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			216,476
Purchases and sales,			–
Purchases			988,245
Sales			–
Closing balance at October 31, 2015			3,160,606
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		216,476
*Tolero Pharmaceuticals, Inc. was changed from an observable transaction price to a mark to model.

- 157 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
	Special Purpose
Alger Mid Cap Growth Fund			Vehicle
Opening balance at November 1, 2014	$		–
Transfers into Level 3			–
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			–
Purchases and sales			–
Purchases			314,956
Sales			–
Closing balance at October 31, 2015			314,956
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		–

		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger SMid Cap Growth Fund	Common Stocks
Opening balance at November 1, 2014	$		491,925
Transfers into Level 3			–
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			239,865
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at October 31, 2015			731,790
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		239,865

- 158 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger SMid Cap Growth Fund	Preferred Stocks
Opening balance at November 1, 2014	$		4,419,080
Transfers into Level 3			–
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			812,474
Purchases and sales			–
Purchases			1,041,633
Sales			–
Closing balance at October 31, 2015			6,273,187
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		812,474

		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger Small Cap Growth Fund	Preferred Stocks
Opening balance at November 1, 2014	$		–
Transfers into Level 3			447,098	*
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			–
Purchases and sales			–
Purchases			228,096
Sales			–
Closing balance at October 31, 2015			675,194
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		–
*Tolero Pharmaceuticals, Inc. was changed from an observable transaction price to a mark to model

- 159 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
	Special Purpose
Alger Small Cap Growth Fund			Vehicle
Opening balance at November 1, 2014	$		–
Transfers into Level 3			–
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			–
Purchases and sales			–
Purchases			290,078
Sales			–
Closing balance at October 31, 2015			290,078
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		–

		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger Small Cap Focus Fund	Preferred Stocks
Opening balance at November 1, 2014	$		32,637
Transfers into Level 3			30,454	*
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			(4,039	)
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at October 31, 2015			59,052
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		(4,039	)
*Tolero Pharmaceuticals, Inc. was changed from an observable transaction price to a mark to model

- 160 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger Health Sciences Fund	Common Stocks
Opening balance at November 1, 2014	$		1,676,721
Transfers into Level 3			–
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			(1,533,002	)
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at October 31, 2015			143,719
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		(1,533,002	)

Alger Health Sciences Fund	Preferred Stocks
Opening balance at November 1, 2014	$		385,495
Transfers into Level 3			4,942,022	*
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			(47,694	)
Purchases and sales			–
Purchases			4,038,147
Sales			–
Closing balance at October 31, 2015			9,317,970
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		(47,694	)
*Tolero Pharmaceuticals, Inc. was changed from an observable transaction price to a mark to model.

- 161 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger Growth & Income Fund	Common Stocks
Opening balance at November 1, 2014	$		2,887
Transfers into Level 3			–
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			(760	)
Purchases and, sales			–
Purchases			–
Sales			–
Closing balance at October 31, 2015			2,127
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		(760	)

Alger Growth & Income Fund	Preferred Stocks
Opening balance at November 1, 2014	$		75,756
Transfers into Level 3			–
Transfers out of Level 3			–
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			(19,935	)
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at October 31, 2015			55,821
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at 10/31/2015	$		(19,935	)

The following table provides quantitative information about our Level 3 fair value
measurements of our investments as of October 31, 2015. In addition to the techniques
and inputs noted in the table below, according to our valuation policy we may also use other
valuation techniques and methodologies when determining our fair value measurements.
The table below is not intended to be all-inclusive, but rather provides information on the
Level 3 inputs as they relate to our fair value measurements.

- 162 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


		Fair Value	Valuation	Unobservable
		October 31, 2015	Methodology	Input	Input/Range
Alger Capital Appreciation Fund
Common Stocks	$	1,414,379	Income	Discount Rate	22.5-40	%
			Approach
Preferred Stocks		10,241,974	Income	Discount Rate	10-40	%
			Approach
Alger Mid Cap Growth Fund
Common Stocks		147,384	Income	Discount Rate	22.5	%
			Approach
Preferred Stocks		3,160,606	Income	Discount Rate	16.1-22.5%
			Approach
Special Purpose Vehicle		314,956	Cost Approach	Purchase Price	Cost
Alger SMid Cap Growth Fund
Common Stocks		731,790	Income	Discount Rate	22.5	%
			Approach
Preferred Stocks		6,273,187	Income	Discount Rate	10-22.5%
			Approach
Alger Small Cap Growth Fund
Preferred Stocks		675,194	Income	Discount Rate	16.1-20	%
			Approach
Special Purpose Vehicle		290,078	Cost Approach	Purchase Price	Cost
Alger Small Cap Focus Fund
Preferred Stocks		59,052	Income	Discount Rate	10-16.1%
			Approach

Alger Health Sciences Fund
Common Stocks		143,719	Income	Discount Rate	30	%
			Approach
Preferred Stocks		9,317,970	Income	Discount Rate	10-20	%
			Approach
Rights		-	Income	Discount Rate	30	%
			Approach



Alger Growth & Income Fund
Common Stocks		2,127	Income	Discount Rate	40	%
			Approach
Preferred Stocks		55,821	Income	Discount Rate	40	%
			Approach

The significant unobservable inputs used in the fair value measurement of the company’s
securities are revenue and EBITDA multiples, discount rates, and the probabilities of
success of certain outcomes. Significant increases and decreases in these inputs in isolation
and interrelationships between those inputs could result in significantly higher or lower fair
value measurements as noted in the table above.

On October 31, 2015, Alger Capital Appreciation Fund and Alger International Growth
Fund, transferred $17,692,427 and $98,998,295, respectively from Level 1 to Level 2,
utilizing fair value adjusted prices rather than exchange listed prices.
- 163 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

Certain of the Funds’ assets and liabilities are held at carrying amount or face value, which
approximates fair value for financial statement purposes. As of October 31, 2015, such
assets are categorized within the disclosure hierarchy as follows:


		TOTAL FUND		LEVEL 1			LEVEL 2	LEVEL 3
Cash, Foreign cash and Cash equivalents:
Alger Capital Appreciation Fund	$	74,403,598		$	—	$	74,403,598		—
Alger International Growth Fund			8,916,954		113,565		8,803,389		—
Alger Mid Cap Growth Fund		12,740,542			—		12,740,542		—
Alger SMid Cap Growth Fund			5,828,927		—		5,828,927		—
Alger Small Cap Growth Fund			6,179,627		—		6,179,627		—
Alger Small Cap Focus Fund			9,908,321		—		9,908,321		—
Alger Health Sciences Fund			6,971,945		—		6,971,945		—
Alger Growth & Income Fund			2,951,496	1,709,832			1,241,664		—

NOTE 9 — Derivatives:
Financial Accounting Standards Board Accounting Standards Codification 815 – Derivatives
and Hedging (“ASC 815”) requires qualitative disclosures about objectives and strategies for
using derivatives, quantitative disclosures about fair value amounts of and gains and losses
on derivative instruments, and disclosures about credit-risk-related contingent features in
derivative agreements.

Options—The Funds seek to capture the majority of the returns associated with equity
market investments. To meet this investment goal, the Funds invest in a broadly diversified
portfolio of common stocks, while also buying and selling call and put options on equities
and equity indices. The Funds purchase call options to increase their exposure to the stock
market and also provide diversification of risk. The Funds purchase put options in order
to protect from significant market declines that may occur over a short period of time. The
Funds will write covered call and cash secured put options to generate cash flows while
reducing the volatility of the Funds’ portfolios. The cash flows may be an important source
of the Funds’ returns, although written call options may reduce the Funds’ ability to profit
from increases in the value of the underlying security or equity portfolio. The value of a
call option generally increases as the price of the underlying stock increases and decreases
as the stock decreases in price. Conversely, the value of a put option generally increases
as the price of the underlying stock decreases and decreases as the stock increases in price.
The combination of the diversified stock portfolio and the purchase and sale of options
is intended to provide the Funds with the majority of the returns associated with equity
market investments but with reduced volatility and returns that are augmented with the cash
flows from the sale of options. During the year ended October 31, 2015, options were used
in accordance with these objectives.

The Funds’ option contracts were not subject to any rights of offset with any counterparty.
All of the Funds’ options were exchange traded which utilize a clearing house that acts as an
intermediary between buyer and seller, receiving initial and maintenance margin from both,
and guaranteeing performance of the option contract.

- 164 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)

There were no open derivative instruments as of October 31, 2015.

For the year ended October 31, 2015, the Alger Mid Cap Growth Fund had option purchases
of $1,671,980 and option sales of $1,193,292. The effect of derivative instruments on the
accompanying Statement of Operations for the year ended October 31, 2015 is as follows:


NET REALIZED GAIN (LOSS) ON INVESTMENTS AND OPTIONS
Alger Mid Cap Growth Fund
Derivatives not accounted for as hedging instruments		Options
Purchased Options	$	124,442
Written Options		(114,828	)
Total	$	9,614

NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON INVESTMENTS, OPTIONS
Alger Mid Cap Growth Fund
Derivatives not accounted for as hedging instruments		Options
Purchased Options	$	64,010
Written Options		(65,814	)
Total	$	(1,804	)

NOTE 10 — Principal Risks:
In the normal course of business, the Funds invest in securities and enter into transactions
where risks exist due to fluctuations in the market (market risk) or failure of the issuer
of a security to meet all its obligations (issuer credit risk). The value of securities held by
the Funds may decline in response to certain events, including those directly involving the
issuers whose securities are owned by the Funds; conditions affecting the general economy;
overall market changes; local, regional or global political, social or economic instability; and
currency and interest rate and price fluctuations. Similar to issuer credit risk, the Funds may
be exposed to counterparty credit risk, or the risk that an entity with which the Funds have
unsettled or open transactions may fail to or be unable to perform on its commitments.
The Funds manage counterparty credit risk by entering into transactions only with
counterparties that they believe have the financial resources to honor its obligations and by
monitoring the financial stability of those counterparties. Financial assets, which potentially
expose the Funds to market, issuer and counterparty credit risks, consist principally of
financial instruments and receivables due from counterparties. The extent of the Funds’
exposure to market, issuer and counterparty credit risks with respect to these financial assets
is generally approximated by its value recorded in the Statement of Assets and Liabilities,
less any collateral held by the Funds.

NOTE 11 — Affiliated Securities:
The securities listed below are deemed to be affiliates of the Funds because the Funds or
their affiliates owned 5% or more of the company’s voting securities during all or part of the
year ended October 31, 2015. Purchase and sale transactions and dividend income earned
during the year were as follows:

- 165 -

THE ALGER FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)


	Shares/
	Par at			Shares/Par at		Realized		Value at
	October	Purchases/	Sales/	October 31,	Dividend	Gain		October
Security	31, 2014	Conversion	Conversion	2015	Income	(Loss)		31, 2015


Alger Capital Appreciation Fund
Common Stocks
Choicestream, Inc.*	82,955	—	—	82,955	—	—	$	34,841
Preferred Stocks
Choicestream, Inc.*	2,365,288	—	—	2,365,288	—	—		993,421
Alger Mid Cap Growth Fund
Preferred Stocks
Prosetta Biosciences, Inc.*	—	219,610	—	219,610	—	—		988,245
Tolero Pharmaceuticals, Inc.*	495,000	—	—	495,000	—	—		1,492,970
Alger SMid Cap Growth Fund
Preferred Stocks
Prosetta Biosciences, Inc.*	—	231,474	—	231,474	—	—		1,041,633
Alger Small Cap Growth Fund
Preferred Stocks
Prosetta Biosciences, Inc.*	—	50,688	—	50,688	—	—		228,096
Tolero Pharmaceuticals, Inc.*	148,237	—	—	148,237	—	—		447,098
Alger Small Cap Focus Fund
Preferred Stocks
Tolero Pharmaceuticals, Inc.*	10,097	—	—	10,097	—	—		30,454
Alger Health Sciences Fund
Preferred Stocks
Prosetta Biosciences, Inc.*	—	897,366	—	897,366	—	—		4,038,147
Tolero Pharmaceuticals, Inc.*	1,638,547	—	—	1,638,547	—	—		4,942,022


Alger Growth & Income Fund
Common Stocks
Choicestream, Inc.*	5,064	—	—	5,064	—	—		2,127
Preferred Stocks
Choicestream, Inc.*	132,906	—	—	132,906	—	—		55,821

*Non-income producing security.

NOTE 12 — Subsequent Events:
Management of each Fund has evaluated events that have occurred subsequent to October
31, 2015 through the issuance date of the Financial Statements. No such events have been
identified which require recognition and/or disclosure.

- 166 -

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of The Alger Funds and the Shareholders of the Alger Capital
Appreciation Fund, Alger International Growth Fund, Alger Mid Cap Growth Fund, Alger
SMid Cap Growth Fund, Alger Small Cap Growth Fund, Alger Small Cap Focus Fund
(formerly, Alger Growth Opportunities Fund), Alger Health Sciences Fund, and Alger
Growth & Income Fund:

We have audited the accompanying statements of assets and liabilities, including the schedules
of investments, of The Alger Funds, comprised of the Alger Capital Appreciation Fund,
Alger International Growth Fund, Alger Mid Cap Growth Fund, Alger SMid Cap Growth
Fund, Alger Small Cap Growth Fund, Alger Small Cap Focus Fund (formerly, Alger Growth
Opportunities Fund), Alger Health Sciences Fund, and Alger Growth & Income Fund (the
“Funds”) as of October 31, 2015, and the related statements of operations for the year
then ended, the statements of changes in net assets for each of the two years in the period
then ended, and the financial highlights for each of the periods presented. These financial
statements and financial highlights are the responsibility of the Funds' management. Our
responsibility is to express an opinion on these financial statements and financial highlights
based on our audits.

We conducted our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. The Funds are not required to have,
nor were we engaged to perform, an audit of their internal control over financial reporting.
Our audits included consideration of internal control over financial reporting as a basis for
designing audit procedures that are appropriate in the circumstances, but not for the purpose
of expressing an opinion on the effectiveness of the Funds' internal control over financial
reporting. Accordingly, we express no such opinion. An audit also includes examining, on
a test basis, evidence supporting the amounts and disclosures in the financial statements,
assessing the accounting principles used and significant estimates made by management,
as well as evaluating the overall financial statement presentation. Our procedures included
confirmation of securities owned as of October 31, 2015, by correspondence with the
custodian and brokers; when replies were not received from brokers, we performed other
auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present
fairly, in all material respects, the financial position of each of the portfolios constituting
The Alger Funds as of October 31, 2015, the results of their operations for the year then
ended, the changes in their net assets for each of the two years in the period then ended, and
the financial highlights for each of the periods presented, in conformity with accounting
principles generally accepted in the United States of America.

Deloitte & Touche LLP
New York, New York
January 8, 2016

- 167 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited)

Shareholder Expense Example
As a shareholder of a Fund, you incur two types of costs: transaction costs, if applicable,
including sales charges (loads) and redemption fees; and ongoing costs, including
management fees, distribution (12b-1) fees, if applicable, and other fund expenses. This
example is intended to help you understand your ongoing costs (in dollars) of investing in
the Fund and to compare these costs with the ongoing costs of investing in other mutual
funds.

The example below is based on an investment of $1,000 invested at the beginning of the
six-month period starting May 1, 2015 and ending October 31, 2015.

Actual Expenses
The first line for each class of shares in the table below provides information about actual
account values and actual expenses. You may use the information in this line, together
with the amount you invested, to estimate the expenses that you would have paid over the
period. Simply divide your account value by $1,000 (for example, an $8,600 account value
divided by $1,000 = 8.6), then multiply the result by the number in the first line under the
heading entitled “Expenses Paid during the Period” to estimate the expenses you paid on
your account during this period.

Hypothetical Example for Comparison Purposes
The second line for each class of shares in the table below provides information about
hypothetical account values and hypothetical expenses based on the Fund’s actual expense
ratios for each class of shares and an assumed rate of return of 5% per year before expenses,
which is not the Fund’s actual return. The hypothetical account values and expenses may not
be used to estimate the actual ending account balance or expenses you paid for the period.
You may use this information to compare the ongoing costs of investing in the Fund and
other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical
examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs
only and do not reflect any transaction costs, such as sales charges (loads) and redemption
fees. Therefore, the second line under each class of shares in the table is useful in comparing
ongoing costs only, and will not help you determine the relative total costs of owning
different funds. In addition, if these transactional costs were included, your costs would
have been higher.

- 168 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)


										Annualized
							Expenses			Expense Ratio
							Paid During				For the
		Beginning				Ending	the Six Months			Six Months
			Account			Account		Ended			Ended
			Value			Value	October 31,			October 31,
		May 1, 2015			October 31, 2015			2015	^(a)		2015	^(b)
Alger Capital Appreciation Fund
Class A	Actual	$	1,000.00	$	1,017.71		$	6.26			1.23	%
	Hypothetical^(c)		1,000.00		1,019.00			6.26			1.23
Class B	Actual		1,000.00		1,013.38		10.20				2.01
	Hypothetical^(c)		1,000.00		1,015.07		10.21				2.01
Class C	Actual		1,000.00		1,013.33		10.05				1.99
	Hypothetical^(c)		1,000.00		1,015.22		10.06				1.99
Class Z	Actual		1,000.00		1,019.33			4.58			0.90
	Hypothetical^(c)		1,000.00		1,020.67			4.58			0.90

Alger International Growth Fund
Class A	Actual	$	1,000.00		$	931.78	$	6.43			1.32	%
	Hypothetical^(c)		1,000.00		1,018.55			6.72			1.32
Class B	Actual		1,000.00			928.23		9.87			2.04
	Hypothetical^(c)		1,000.00		1,014.97		10.31				2.04
Class C	Actual		1,000.00			928.18	10.21				2.09
	Hypothetical^(c)		1,000.00		1,014.62		10.66				2.09
Class I	Actual		1,000.00			932.81		5.55			1.15
	Hypothetical^(c)		1,000.00		1,019.46			5.80			1.15
Class Z	Actual		1,000.00			934.09		4.34			0.89
	Hypothetical^(c)		1,000.00		1,020.72			4.53			0.89

Alger Mid Cap Growth Fund
Class A	Actual	$	1,000.00		$	945.87	$	6.47			1.32	%
	Hypothetical^(c)		1,000.00		1,018.55			6.72			1.32
Class B	Actual		1,000.00			942.39		9.89			2.02
	Hypothetical^(c)		1,000.00		1,015.02		10.26				2.02
Class C	Actual		1,000.00			940.79	10.37				2.12
	Hypothetical^(c)		1,000.00		1,014.52		10.76				2.12
Class Z	Actual		1,000.00			911.97		4.72			0.99
	Hypothetical^(c)		1,000.00		1,020.27			4.99			0.99

- 169 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)


									Annualized
						Expenses			Expense Ratio
						Paid During				For the
		Beginning			Ending	the Six Months			Six Months
			Account		Account		Ended			Ended
			Value		Value	October 31,			October 31,
		May 1, 2015		October 31, 2015			2015	^(a)		2015	^(b)
Alger SMid Cap Growth Fund
Class A	Actual	$	1,000.00	$	948.38	$	6.38			1.30	%
	Hypothetical^(c)		1,000.00	1,018.65			6.61			1.30
Class B	Actual		1,000.00		944.23	10.29				2.10
	Hypothetical^(c)		1,000.00	1,014.62		10.66				2.10
Class C	Actual		1,000.00		944.44	10.15				2.07
	Hypothetical^(c)		1,000.00	1,014.77		10.51				2.07
Class I	Actual		1,000.00		947.34		6.48			1.31
	Hypothetical^(c)		1,000.00	1,018.55			6.72			1.31
Class Z	Actual		1,000.00		949.95		4.87			0.99
	Hypothetical^(c)		1,000.00	1,020.21			5.04			0.99

Alger Small Cap Growth Fund
Class A	Actual	$	1,000.00	$	952.38	$	6.69			1.35	%
	Hypothetical^(c)		1,000.00	1,018.35			6.92			1.35
Class B	Actual		1,000.00		949.42	10.61				2.16
	Hypothetical^(c)		1,000.00	1,014.32		10.97				2.16
Class C	Actual		1,000.00		948.30	10.61				2.16
	Hypothetical^(c)		1,000.00	1,014.32		10.97				2.16
Class Z	Actual		1,000.00		954.06		4.88			0.99
	Hypothetical^(c)		1,000.00	1,020.21			5.04			0.99

Alger Small Cap Focus Fund
Class A	Actual	$	1,000.00	$	979.43	$	7.98			1.60	%
	Hypothetical^(c)		1,000.00	1,017.14			8.13			1.60
Class C	Actual		1,000.00		975.89		11.16			2.25
	Hypothetical^(c)		1,000.00	1,013.91			11.37			2.25
Class I	Actual		1,000.00		980.77		6.69			1.35
	Hypothetical^(c)		1,000.00	1,018.45			6.82			1.35
Class Z	Actual		1,000.00		982.58		5.00			1.01
	Hypothetical^(c)		1,000.00	1,020.16			5.09			1.01

- 170 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)


										Annualized
							Expenses			Expense Ratio
							Paid During				For the
		Beginning				Ending	the Six Months			Six Months
			Account			Account		Ended			Ended
			Value			Value	October 31,			October 31,
		May 1, 2015			October 31, 2015			2015	^(a)		2015	^(b)
Alger Health Sciences Fund
Class A	Actual	$	1,000.00		$	952.26	$	6.45			1.31	%
	Hypothetical^(c)		1,000.00		1,018.60			6.67			1.31
Class B	Actual		1,000.00			948.61	10.31				2.09
	Hypothetical^(c)		1,000.00		1,014.62		10.66				2.09
Class C	Actual		1,000.00			948.31	10.21				2.08
	Hypothetical^(c)		1,000.00		1,014.72		10.56				2.08
Class Z	Actual		1,000.00			868.56		6.31			1.08
	Hypothetical^(c)		1,000.00		1,018.45			6.82			1.08

Alger Growth & Income Fund
Class A	Actual	$	1,000.00	$	1,003.23		$	5.81			1.15	%
	Hypothetical^(c)		1,000.00		1,019.41			5.85			1.15
Class C	Actual		1,000.00			999.25		9.57			1.90
	Hypothetical^(c)		1,000.00		1,015.63			9.65			1.90
Class Z	Actual		1,000.00		1,004.62			4.60			0.91
	Hypothetical^(c)		1,000.00		1,020.62			4.63			0.91

(a) Expenses are equal to the annualized expense ratio of the respective share class, multiplied by the average account
value over the period, multiple by 184/365 (to reflect the one-half year period).
(b) Annualized.
(c) 5% annual return before expenses.
Tax Information
In accordance with subchapter M of the Internal Revenue Code of 1986, as amended,
for the year ended October 31, 2015, 33.78% of the Alger Capital Appreciation Fund,
63.77% of the Alger SMid Cap Growth Fund, 8.41% of the Alger Health Sciences Fund,
and 100.00% of the Alger Growth & Income Fund’s dividends qualified for the dividends
received deduction for corporations. For the year ended October 31, 2015, certain dividends
paid by the Funds may be subject to a maximum rate of 15%, as provided by the Jobs
and Growth Tax Relief Reconciliation Act of 2003. Of the distributions paid during the
fiscal year, 36.19% of the Alger Capital Appreciation Fund, 63.02% of the Alger SMid
Cap Growth Fund, 10.86% of the Alger Health Sciences Fund, and 100.00% of the Alger
Growth & Income Fund’s dividends may be considered qualified dividend income.

Shareholders should not use the above information to prepare their tax returns. Since the
Fund’s fiscal year is not the calendar year, another notification will be sent with respect to
calendar year 2015. Such notification, which will reflect the amount to be used by tax payers
on their federal income tax returns, will be made in conjunction with Form 1099 DIV and
will be mailed in January 2016. Shareholders are advised to consult their own tax advisers
with respect to the tax consequences of their investment in the Fund.
- 171 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

Trustees and Officers of the Trust
Information about the trustees and officers of the Trust is set forth below. In the table the
term “Alger Fund Complex” refers to the Trust, The Alger Portfolios, The Alger Institutional
Funds, Alger Global Growth Fund and The Alger Funds II, each of which is a registered
investment company managed by Fred Alger Management, Inc. (“Alger Management”).
Each Trustee serves until an event of termination, such as death or resignation, or until his
or her successor is duly elected; each officer’s term of office is one year. Unless otherwise
noted, the address of each person named below is 360 Park Avenue South, New York, NY
10010.

- 172 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)


			Number
			of Funds
			in the
			Alger Fund
		Trustee	Complex
		and/or	which are
Name, Age, Position with the		Officer	Overseen
Trust	Principal Occupations	Since	by Trustee
INTERESTED TRUSTEE

Hilary M. Alger (54)	Director of Development, Pennsylvania Ballet	2003	25
	2004-2013; Associate Director of Development,
	College of Arts and Sciences and Graduate School,
	University of Virginia 1999-2003.
NON-INTERESTED TRUSTEE

Charles F. Baird, Jr. (62)	Managing Partner of North Castle Partners, a	2000	25
	private equity securities group; Chairman of
	Elizabeth Arden Red Door Spas and Barry’s
	Bootcamp, former Chairman of Cascade Helmets,
	gloProfessional (makeup and skincare business),
	Contigo (manufacturer of mugs and water bottles),
	and International Fitness.
Roger P. Cheever (70)	Associate Vice President for Principal Gifts, and	2000	25
	Senior Associate Dean for Development in the
	Faculty of Arts and Sciences at Harvard University;
	Formerly Deputy Director of the Harvard College
	Fund.
Stephen E. O'Neil (82)	Attorney. Private Investor since 1981. Formerly of	1986	25
	Counsel to the law firm of Kohler & Barnes.
David Rosenberg (53)	Associate Professor of Law since January 2006	2007	25
	(Assistant Professor 2000-2005), Zicklin School of
	Business, Baruch College, City University of New
	York.
Nathan E. Saint-Amand	Medical doctor in private practice; Member of the	1986	25
M.D. (77)	Board of the Manhattan Institute (non-profit policy
	research)since1988;FormerlyCo-Chairman,Special
	Projects Committee, Memorial Sloan Kettering.

Ms. Alger is an “interested person” (as defined in the Investment Company Act) of the
Trust because of her affiliations with Alger Management. No Trustee is a director of any
public company except as indicated under “Principal Occupations”.

- 173 -


THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)


			Number
			of Funds
			in the
			Alger Fund
		Trustee	Complex
		and/or	which are
Name, Age, Position with the		Officer	Overseen
Trust	Principal Occupations	Since	by Trustee
OFFICERS

Hal Liebes (51)	Executive Vice President, Chief Operating Officer,	2005	N/A
President	Chief Legal Officer and Secretary of Alger
	Management and Alger Inc.; Director since 2006 of
	Alger Management, Alger Inc. and Resources.
Lisa A. Moss (50)	Senior Vice President since 2009, and Vice	2006	N/A
Secretary	President and Assistant General Counsel of Alger
	Management since June 2006.
Michael D. Martins (50)	Senior Vice President of Alger Management;	2005	N/A
Treasurer	Assistant Treasurer since 2004.
Anthony S. Caputo (60)	Employed by Alger Management since 1986,	2007	N/A
Assistant Treasurer	currently serving as Vice President.
Sergio M. Pavone (54)	Employed by Alger Management since 2002,	2007	N/A
Assistant Treasurer	currently serving as Vice President.
Patrick J. Murphy (45)	Senior Vice President of Alger Management since	2014	N/A
Chief Compliance Officer	2014. Formerly, Vice President of Compliance,
	Fidelity Investments from 2005 to 2014.
Joshua M. Lindauer (28)	Employed by Alger Management since 2014. From	2014	N/A
Assistant Secretary	2010 to 2014, Mr. Lindauer was a full-time student.

The Statement of Additional Information contains additional information about the Funds’
Trustees and is available without charge upon request by calling (800) 992-3863.

- 174 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

Investment Management Agreement Renewal
At an in-person meeting held on September 29, 2015, the Trustees, including the Independent
Trustees, unanimously approved renewal of the Investment Advisory Agreement (the
“Agreement”) between the Trust and Fred Alger Management, Inc. (“Alger Management”).
The Independent Trustees were assisted in their review by independent legal counsel and met
with such counsel in executive session separate from representatives of Alger Management.

In evaluating the Agreement, the Trustees drew on materials that they had requested and
which were provided to them in advance of the meeting by Alger Management and by
counsel. The materials covered, among other matters, (i) the nature, extent and quality
of the services provided by Alger Management under the Agreement, (ii) the investment
performance of each of the Trust’s portfolios (each a “Fund”), (iii) the costs to Alger
Management of its services and the profits realized by Alger Management and Fred Alger
& Company, Incorporated (“Alger Inc.”), from their relationship with the Trust, and (iv)
the extent to which economies of scale would be realized if and as the Funds grow and
whether the fee levels in the Agreement reflected such economies of scale. These materials
included a presentation and analysis of the Funds and Alger Management’s services by
FUSE Research Network LLC (“FUSE”), an independent consulting firm selected by the
Trust’s Chief Compliance Officer and having no other material relationship with Alger
Management or its affiliates.

In deciding whether to approve renewal of the Agreement, the Trustees considered various
factors, including those enumerated above. They also considered other direct and indirect
benefits to Alger Management and its affiliates from their relationship with the Trust.

Nature, Extent and Quality of Services. In considering the nature, extent and quality of
the services provided by Alger Management pursuant to the Agreement, the Trustees relied
on their prior experience as Trustees of the Trust, their familiarity with the personnel and
resources of Alger Management and its affiliate (derived in part from quarterly meetings
with and presentations by Fund investment management and distribution personnel),
and the materials provided at the meeting. They noted that under the Agreement Alger
Management is responsible for managing the investment operations of the Funds. The
Trustees reviewed the background and experience of Alger Management's senior investment
management personnel, including the individuals currently responsible for the investment
operations of the Funds. They also considered the resources and practices of Alger
Management in managing each Fund's portfolio, as well as Alger Management's overall
investment management business. They noted especially Alger Management's history of
expertise in managing portfolios of "growth" stocks and that, according to an analysis
provided by FUSE, the characteristics of each Fund had been consistent with those of a
growth-oriented fund. The Board noted that each Fund was being managed consistent with
its growth mandate. They further noted that Alger Management’s investment management
team includes several individuals with deep and successful backgrounds in international
investing, a sector in which the International Growth Fund is active, and that during the
year Alger Management had continued its ongoing efforts to strengthen its investment
management team, most notably by adding two seasoned and highly accomplished portfolio
- 175 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

managers who had begun providing services to certain Funds. The Trustees concluded
that Alger Management's experience, resources and strength in the areas of importance
to the Funds are considerable. The Trustees considered the level and depth of Alger
Management's ability to execute portfolio transactions to effect investment decisions,
including those through Alger Inc. They also noted that certain administrative, compliance,
reporting and accounting services necessary for the conduct of the Trust’s affairs are
provided separately under an Administration Agreement and a Shareholder Administrative
Services Agreement with Alger Management. The Trustees also considered the control and
compliance environment at Alger Management and within the Trust.

Investment Performance of the Portfolios. Drawing upon information provided at
the meeting by Alger Management as well as FUSE and upon reports provided to the
Trustees by Alger Management throughout the preceding year, the Trustees reviewed
each Fund’s returns for the year-to-date (at 6/30/15), second-quarter of 2015, 1-, 3-, and
5-year and longer periods to the extent available (and its year-by-year returns), together with
supplemental performance data through 8/31/15, and compared them with benchmark
and peer-group data for the same periods. They noted that the Capital Appreciation Fund
showed consistently superior results against the medians of its peers and its benchmark in
all measured periods ending 6/30/15 up to at least 3 years, and generally against its peers
for a longer period. The Mid Cap Fund showed promisingly strong recent performance,
surpassing its peer medians and benchmark for the year to date, although it performed
generally in the middle of the pack against its peers (somewhat above or below the
applicable median) and poorly against its benchmark, for the 1-, 3-, and 5-year periods.
The SMid Cap Fund performed generally at, or in the quartile below, the median for its
peers, and with mixed results against its benchmark, for the year to date and 2015 second
quarter, but this record showed marked improvement over its 1-, 3- and 5-year numbers.
The Growth & Income Fund performed near or above its peer median, and generally even
with its benchmark, for the 1-year and shorter periods, showing improvement over the poor
performance in earlier periods that was reflected in its 3- and 5-year results. The Small Cap
Fund continued to fall well below its peer medians and benchmark, but there were signs
of recent relative improvement, extending into the supplemental interval ended 8/31/15,
likely due, at least in part, to a February 2015 adjustment at the portfolio-manager level.
The performance history of the Small Cap Focus Fund (formerly Growth Opportunities
Fund) had been generally disappointing, but major 2015 investment strategy and portfolio
management changes appeared to be effecting noticeable improvement at 8/31/15. The
Health Sciences Fund showed marked improvement for the 1-year and shorter periods,
generally surpassing its peer medians and benchmarks, in the wake of a February 2015
portfolio management adjustment instituted in response to poor earlier performance. The
International Growth Fund, having been constituted in its present form two years earlier (at
5/31/13), showed uniformly superior performance against its peer medians and benchmark
for the 1-year and shorter periods after a slow start in 2013-2014. Representatives of Alger
Management discussed with the Trustees the recent performance of each Fund and the
measures that the firm was in the process of instituting or had instituted to improve the
performance of Funds that had consistently underperformed. In expanding orally on the
written materials they had provided to the Trustees, the FUSE representatives commented
- 176 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

further on the performance of the various Funds, discussing, among other things, how
differences among funds in a peer group can distort the picture that a fund’s performance
ranking may suggest. On the basis of their review and these discussions, including especially
the discussion of measures to address the underperformance of certain Funds and signs
that even underperforming Funds were improving, the Trustees determined that the
performance of the Funds was acceptable.

Fund Fees and Expense Ratios; Profitability to Alger Management and its Affiliates.
The Trustees reviewed each Fund's management fee and expense ratio and compared
them with those of a group of comparable funds. In order to assist the Trustees in this
comparison, FUSE had provided the Trustees with comparative information with respect
to the advisory fees and expense ratios of similar funds. That information indicated that the
advisory fees of all but one of the Funds were close to the median for the applicable FUSE
reference group, with only the fee for the Capital Appreciation Fund significantly exceeding
the median of Fund’s reference group. The Trustees expected that that fee, in the middle of
the top quartile of peer-fund fees, would eventually be diminished somewhat by operation
of the Fund’s fee breakpoint. The Trustees noted that while the Fund’s fee was high in
relation to its peers’ fees, Fund shareholders had also been rewarded with consistently high
performance when measured against Fund peers. Of the 33 expense ratios for the Funds’
various share classes, 15 were below or virtually at their peer medians and six more were just
above the applicable median; of the remaining 12, all but seven (the Class A, B, C and Z
Shares of the Capital Appreciation Fund, the Class A and C Shares of the Mid Cap Fund,
and the Class A Shares of the Growth & Income Fund) were for Fund classes of very
small asset size that suffered thereby in comparison to their Funds’ peers. The Trustees
noted that only two (the Mid Cap Fund C Shares, with only $26.2 million in assets, and the
Capital Appreciation Fund C Shares, which were on the line between the third and fourth
quartiles) of the seven remaining expense ratios were in the top quartile and that the Capital
Appreciation Fund ratios may have been distorted because of a somewhat inappropriate
peer group. The Trustees determined that the expense-ratio information should be taken
into account in weighing the size of the fee against the nature, extent and quality of the
services provided.

The Trustees also considered fees paid to Alger Management by four other types of clients,
specifically mutual funds for which Alger Management acted as sub-adviser, separately
managed institutional accounts, “wrap programs,” and collective investment trusts. The
Trustees determined that in all four cases the fees were of doubtful relevance for purposes
of comparison with those of the Funds because of the differences in services provided by
Alger Management to those types of clients as opposed to the Funds, but that to the extent
that meaningful comparison was practicable, the differences in services adequately explained
the differences in the fees. The Trustees then considered the profitability of the Investment
Advisory Agreement to Alger Management and its affiliates, and the methodology used by
Alger Management in determining such profitability. The Trustees reviewed previously-
provided data on each Fund's profitability to Alger Management and its affiliates for the
year ended June 30, 2015. After discussing with representatives of Alger Management
and FUSE the expense-allocation practices used in computing the costs that formed the
- 177 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

bases of the profitability calculations, the Trustees turned to the profitability data provided.
After analysis and discussion, they concluded in each case that, to the extent that Alger
Management’s and its affiliates’ relationships with the Fund had been profitable, the profit
margin was not unacceptable.

Economies of Scale. On the basis of their discussions with management and their analysis
of information provided at the meeting, the Trustees determined that the nature of the Funds
and their operations is such that Alger Management is likely to realize economies of scale in
the management of each Fund at some point as (and if) it grows in size. In that connection,
they noted that the advisory fee schedules in the Agreement include fee reductions for
each Fund (other than the Alger Small Cap Focus Fund) at specified Fund asset levels
(“breakpoints”); these have the effect of lowering the Fund’s overall management fee as the
Fund grows past a breakpoint, thus sharing with the Fund’s shareholders economies of scale
achieved by Alger Management in managing the growing Fund. The Alger Small Cap Focus
Fund, with assets at 8/31/15 of less than $65 million, and for which Alger Management
was waiving some of its management fees, was deemed too small realistically to merit the
institution of fee breakpoints.

Other Benefits to Alger Management. The Trustees considered whether Alger
Management benefits in other ways from its relationship with the Trust. They noted
that Alger Management maintains soft-dollar arrangements in connection with the
Funds' brokerage transactions, reports on which are regularly supplied to the Trustees at
their quarterly meetings and summaries of which, listing commissions by Fund for the
twelve months through June 30, 2015, had been included in the materials supplied prior
to the meeting. The Trustees also noted that Alger Management receives fees from the
Funds under the Administration Agreement and the Shareholder Administrative Services
Agreement, and that Alger Inc. provides a considerable portion of the Funds' equity
brokerage and receives shareholder servicing fees from the Funds as well. The Trustees
had been provided with information regarding, and had considered, the administration fee,
shareholder administrative services fee, brokerage and shareholder servicing fee benefits in
connection with their review of the profitability to Alger Management and its affiliates of
their relationships with the Funds. As to other benefits received, the Trustees decided that
none were so significant as to render Alger Management's fees excessive.

Conclusions and Determinations. At the conclusion of these discussions, each of the
Independent Trustees expressed the opinion that he had been furnished with sufficient
information to make an informed business decision with respect to renewal of the
Investment Advisory Agreement. Based on its discussions and considerations as described
above, the Board made the following conclusions and determinations in respect of each
Fund:

• The Board concluded that the nature, extent and quality of the services provided
to the Fund by Alger Management are adequate and appropriate.
• The Board determined that the Fund’s performance was acceptable.
• The Board concluded that the advisory fee paid to Alger Management by the

- 178 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

Fund was reasonable in light of comparative performance and expense and advi-
sory fee information, costs of the services provided and profits to be realized and
benefits derived or to be derived by Alger Management and its affiliates from the
relationship with the Fund. In the case of certain Funds, the Trustees noted that
Alger Management had voluntarily undertaken to cap Fund expenses through ex-
pense reimbursements and fee waivers, thus in effect lowering the fees it actually
received from the Fund.
• The Board accepted Alger Management’s acknowledgement that economies of
scale were likely to be achieved in the management of the Fund and determined
that the fee breakpoints in the Agreement provided a means by which Alger Man-
agement would share the benefits of such economies with Fund shareholders.
The Board considered these conclusions and determinations and, without any one factor
being dispositive, determined with respect to each Fund that renewal of the Investment
Advisory Agreement was in the best interests of the Fund and its shareholders.

Proxy Voting Results
A special meeting of the Alger Growth Opportunities Fund’s shareholders was held on July
29, 2015. The results of votes taken among shareholders on the proposal before them are
reported below. Each vote represents one share held on the record date for the meeting.


Proposal – To approve changing the Funds’ fundamental investment policy
regarding concentration of investments:
Alger Growth Opportunities Fund	# of Votes	% of Votes
For	1,218,159	91.7	%
Against	18,167	1.4
Abstain/Broker No Votes	92,434	6.9
Total	1,328,760	100.0	%

- 179 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)


Privacy Policy

U.S. Consumer Privacy Notice Rev. 01/2015				3/31/15
FACTS	WHAT DOES ALGER DO WITH YOUR PERSONAL INFORMATION?


Why?	Financial companies choose how they share your personal information. Federal law
	gives consumers the right to limit some but not all sharing. Federal law also requires us
	to tell you how we collect, share, and protect your personal information. Please read this
	notice carefully to understand what we do.
What?	The types of personal information we collect and share depend on the product or service
	you have with us.
	This information can include:
	• Social Security number and
	• Account balances and
	• Transaction history and
	• Purchase history and
	• Assets
	When you are no longer our customer, we continue to share your information as
	described in this notice.
How?	Allfinancialcompaniesneedtosharepersonalinformationtoruntheireverydaybusiness.
	In the section below, we list the reasons financial companies can share their personal
	information; the reasons chooses to share; and whether you can limit this sharing.

Reasons we can share your personal		Does	Can you limit
information		Alger share?	this sharing?
For our everyday business purposes —		Yes		No
such as to process your transactions, maintain
your account(s), respond to court orders and
legal investigations, or report to credit bureaus
For our marketing purposes — to offer our		Yes		No
products and services to you
For joint marketing with other financial		No		We don’t share
companies
For our affiliates’everyday business		Yes		No
purposes — information about your
transactions and experiences
For nonaffiliatesto market to you		No		We don’t share
Questions? Call 1-800-342-2186


Who we are

Who is providing this notice?		Alger includes Fred Alger Management, Inc. and Fred
		Alger & Company, Incorporated as well as the following
		funds: The Alger Funds, The Alger Funds II, The Alger
		Institutional Funds, The Alger Portfolios, and Alger
		Global Growth Fund.

- 180 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)


What we do
How does Alger	To protect your personal information from unauthorized
protect my personal	access and use, we use security measures that comply
information?	with federal law. These measures include computer
	safeguardsandsecuredfilesandbuildings.
How does Alger	We collect your personal information, for example,
Collect my personal	when you:
information?	• Open an account or
	• Make deposits or withdrawals from your account or
	• Give us your contact information or
	• Provide account information or
	• Pay us by check.


Why can’t I limit all sharing?	Federal law gives you the right to limit
	• sharing foraffiliates’everydaybusinesspurposes
	information about your credit worthiness
	• affiliates fromusingyourinformationtomarkettoyou
	• sharing fornonaffiliatestomarkettoyou
	State laws and individual companies may give you
	additional rights to limit sharing.


Definitions
Affiliates	Companies related by common ownership or control.
	Theycanbefinancialandnonfinancialcompanies.
	• Our affiliatesincludeFredAlgerManagement,Inc.
	and Fred Alger & Company, Incorporated as well as the
	following funds: The Alger Funds, The Alger Funds II,
	The Alger Institutional Funds, The Alger Portfolios, and
	Alger Global Growth Fund.
Nonaffiliates	Companies not related by common ownership or
	control.Theycanbefinancialandnonfinancial
	companies
Joint marketing	Aformalagreementbetweennonaffiliatedfinancial
	companiesthattogethermarketfinancialproductsor
	services to you.
Other important information

- 181 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

Proxy Voting Policies
A description of the policies and procedures the Fund uses to determine how to vote
proxies relating to portfolio securities and the proxy voting record is available, without
charge, by calling (800) 992-3863 or online on the Fund’s website at http://www.alger.com
or on the SEC’s website at http://www.sec.gov.

Fund Holdings
The Board of Trustees has adopted policies and procedures relating to disclosure of the
Funds’ portfolio securities. These policies and procedures recognize that there may be
legitimate business reasons for holdings to be disclosed and seek to balance those interests
to protect the proprietary nature of the trading strategies and implementation thereof by
the Funds.

Generally, the policies prohibit the release of information concerning portfolio holdings
which have not previously been made public to individual investors, institutional investors,
intermediaries that distribute the Funds’ shares and other parties which are not employed
by the Manager or its affiliates except when the legitimate business purposes for selective
disclosure and other conditions (designed to protect the Funds) are acceptable.

The Funds make their full holdings available semi-annually in shareholder reports filed on
Form N-CSR and after the first and third fiscal quarters in regulatory filings on Form N-Q.
These shareholder reports and regulatory filings are filed with the SEC, as required by federal
securities laws, and are generally available within sixty (60) days of the end of the Funds’
fiscal quarter. The Funds’ Forms N-Q are available online on the SEC’s website at www.
sec.gov or may be reviewed and copied at the SEC’s Public Reference Room in Washington,
D.C. Information regarding the operation of the SEC’s Public Reference Room may be
obtained by calling 1-800-SEC-0330.

In addition, the Funds make publicly available their respective month-end top 10 holdings
with a 15 day lag and their month-end full portfolios with a 60 day lag on their website www.
alger.com and through other marketing communications (including printed advertising/
sales literature and/or shareholder telephone customer service centers). No compensation
or other consideration is received for the non-public disclosure of portfolio holdings
information.

In accordance with the foregoing, the Funds provide portfolio holdings information to
service providers who provide necessary or beneficial services when such service providers
need access to this information in the performance of their services and are subject to
duties of confidentiality (1) imposed by law, including a duty not to trade on non-public
information, and/or (2) pursuant to an agreement that confidential information is not to be
disclosed or used (including trading on such information) other than as required by law. From
time to time, the Funds will communicate with these service providers to confirm that they
understand the Funds’ policies and procedures regarding such disclosure. This agreement
must be approved by the Funds’ Chief Compliance Officer, President or Secretary.

- 182 -

THE ALGER FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

The Board of Trustees periodically reviews a report disclosing the third parties to whom
each Fund’s holdings information has been disclosed and the purpose for such disclosure,
and it considers whether or not the release of information to such third parties is in the best
interest of the Fund and its shareholders.

In addition to material the Funds routinely provide to shareholders, the Manager may,
upon request, make additional statistical information available regarding the Funds. Such
information will include, but not be limited to, relative weightings and characteristics of a
Fund portfolios versus its peers or an index (such as P/E ratio, alpha, beta, capture ratio,
standard deviation, EPS forecasts, Sharpe ratio, information ratio, R-squared, and market
cap analysis), security specific impact on overall portfolio performance, month-end top
ten contributors to and detractors from performance, breakdown of High Unit Volume
Growth holdings vs. Positive Lifecycle Change holdings, portfolio turnover, and requests
of a similar nature. Please contact the Funds at (800) 992-3863 to obtain such information.

- 183 -

THE ALGER FUNDS

360 Park Avenue South
New York, NY 10010
(800) 992-3863
www.alger.com

Investment Manager

Fred Alger Management, Inc.
360 Park Avenue South
New York, NY 10010

Distributor

Fred Alger & Company, Incorporated
360 Park Avenue South
New York, NY 10010

Transfer Agent and Dividend Disbursing Agent

State Street Bank and Trust Company
c/o Boston Financial Data Services, Inc.
P.O. Box 8480
Boston, MA 02266-8480

Custodian

Brown Brothers Harriman & Company
50 Post Office Square
Boston, MA 02110

This report is submitted for the general information of the shareholders of The Alger
Funds. It is not authorized for distribution to prospective investors unless accompanied by
an effective Prospectus for the Trust, which contains information concerning the Trust’s
investment policies, fees and expenses as well as other pertinent information.

- 184 -

ITEM 2. CODE OF ETHICS.

(a) The Registrant has adopted a code of ethics (the "Code of Ethics") that applies to its
principal executive officer, principal financial officer, principal accounting officer or
controller, or persons performing similar functions.

(b) Not applicable.

(c) The Registrant has not amended its Code of Ethics during the period covered by the
shareholder report presented in Item 1 hereto.

(d) The Registrant has not granted a waiver or an implicit waiver from a provision of its
Code of Ethics during the period covered by the shareholder report presented in Item 1
hereto.

(e) Not applicable.

(f) The Registrant's Code of Ethics is attached as an Exhibit hereto.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

The Board of Trustees of the Registrant determined that Stephen E. O’Neil is an audit committee
financial expert (within the meaning of that phrase specified in the instructions to Form N-CSR)
on the Registrant’s audit committee. Mr. O’Neil is an “independent” trustee – i.e., he is not an
interested person of the Registrant as defined in the Investment Company Act of 1940, nor has
he accepted directly or indirectly any consulting, advisory or other compensatory fee from the
Registrant, other than in his capacity as Trustee.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.


a) Audit Fees:
October 31, 2015	$	268,000
October 31, 2014	$	258,800

b) Audit-Related Fees: NONE

c) Tax Fees for tax advice, tax compliance and tax planning:
October 31, 2015	$	55,439
October 31, 2014	$	63,315

d) All Other Fees:
October 31, 2015	$	10,100
October 31, 2014	$	9,760

Other fees include a review and consent for Registrants registration statement filing and
a review of the semi-annual financial statements.

e) 1) Audit Committee Pre-Approval Policies And Procedures:

Audit and non-audit services provided by the Registrant’s independent registered public
accounting firm (the “Auditors”) on behalf the Registrant must be pre-approved by the
Audit Committee. Non-audit services provided by the Auditors on behalf of the
Registrant’s Investment Adviser or any entity controlling, controlled by, or under

common control with the Investment Adviser must be pre-approved by the Audit
Committee if such non-audit services directly relate to the operations or financial
reporting of the Registrant.

2) All fees in item 4(b) through 4(d) above were approved by the Registrants’ Audit
Committee.

f) Not Applicable

g) Non-Audit Fees:


October 31, 2015	$	191,042	€69,347
October 31, 2014	$	201,965	€67,800

h) The audit committee of the board of trustees has considered whether the provision of the
non-audit services that were rendered to the registrant's investment adviser and any entity
controlling, controlled by, or under common control, with the adviser that provides ongoing
services to the registrant that were not approved pursuant to (c)(7)(ii) of Rule 2-01 of
Regulation S-X is compatible with maintaining the principle accountant's independence.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable

ITEM 6. INVESTMENTS.

Not applicable

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT
INVESTMENT COMPANIES.

Not applicable

ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable

ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY
AND AFFILIATED PURCHASERS.

Not applicable

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

None

ITEM 11. CONTROLS AND PROCEDURES.

(a) The Registrant’s principal executive officer and principal financial officer 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) are effective based on their evaluation
of the disclosure controls and procedures as of a date within 90 days of the filing date of
this document.

(b) No changes in the Registrant’s internal control over financial reporting occurred during
the Registrant’s second fiscal half-year that materially affected, or are reasonably likely to
materially affect, the Registrant’s internal control over financial reporting.

ITEM 12. EXHIBITS.

(a) (1) Code of Ethics as Exhibit 99.CODE ETH

(a) (2) Certifications of principal executive officer and principal financial officer as required by
rule 30a-2(a) under the Investment Company Act of 1940 are attached as Exhibit 99.CERT

(b) Certifications of principal executive officer and principal financial officer as required by rule
30a-2(b) under the Investment Company Act of 1940 are attached as Exhibit 99.906CERT

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.

The Alger Funds

By: /s/Hal Liebes

Hal Liebes

President

Date: December 17, 2015

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.

By: /s/Hal Liebes

Hal Liebes

President

Date: December 17, 2015


	Alger International
COUNTRY	Growth Fund
Belgium	1.6	%
Canada	0.8
China	8.1
Denmark	2.3
France	6.3
Germany	8.7
Hong Kong	2.4
India	2.5
Italy	2.4
Japan	17.1
Luxembourg	0.8
Mexico	0.6
Netherlands	4.9
Portugal	0.8
South Korea	0.8
Spain	3.7
Sweden	1.4
Switzerland	8.2
Taiwan	1.1
United Kingdom	17.9
United States	3.7
Cash and Net Other Assets	3.9
	100.0	%
† Based on net assets for each Portfolio.