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FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number		811-1355
The Alger Funds
(Exact name of registrant as specified in charter)
111 Fifth Avenue, New York, New York			10003
(Address of principal executive offices)			(Zip code)
Mr. Hal Liebes Fred Alger Management, Inc. 111 Fifth Avenue New York, New York 10003
(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:	July 31, 2010

ITEM 1. Schedule of Investments.

THE ALGER FUNDS  |  ALGER CAPITAL APPRECIATION FUND

Schedule of Investments‡ (Unaudited) July 31, 2010

	SHARES	VALUE
COMMON STOCKS—92.5%
ADVERTISING—0.7%
Focus Media Holding Ltd.#*	300,100	$	5,440,813
AEROSPACE & DEFENSE—0.9%
Goodrich Corp.	22,900	1,668,723
Lockheed Martin Corp.	21,000	1,578,150
United Technologies Corp.	59,100	4,202,010
		7,448,883
AIR FREIGHT & LOGISTICS—2.3%
FedEx Corp.	62,800	5,184,140
United Parcel Service Inc., Cl. B	198,300	12,889,500
		18,073,640
APPLICATION SOFTWARE—1.7%
Adobe Systems Inc. *	268,000	7,696,960
Nice Systems Ltd. #*	80,500	2,307,935
Synopsys Inc. *	147,900	3,230,136
		13,235,031
AUTO PARTS & EQUIPMENT—1.0%
Lear Corp.*	100,400	7,848,268
BIOTECHNOLOGY—1.7%
Amgen Inc. *	156,600	8,539,398
Human Genome Sciences Inc. *	205,600	5,333,264
		13,872,662
COAL & CONSUMABLE FUELS—1.5%
Peabody Energy Corp.	266,700	12,041,505
COMMUNICATIONS EQUIPMENT—2.4%
Cisco Systems Inc. *	457,400	10,552,218
Qualcomm Inc.	233,400	8,887,872
		19,440,090
COMPUTER HARDWARE—10.6%
Apple Inc. *§	152,745	39,293,651
Hewlett-Packard Co. §	974,100	44,847,564
		84,141,215
COMPUTER STORAGE & PERIPHERALS—1.0%
EMC Corp. *	270,100	5,345,279
Smart Technologies Inc., Cl. A *	168,600	2,594,754
		7,940,033
CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS—1.6%
ArvinMeritor Inc. *	301,600	4,949,256
Caterpillar Inc.	19,200	1,339,200
Cummins Inc.	67,300	5,357,753
Terex Corp. *	40,800	805,392
		12,451,601
DATA PROCESSING & OUTSOURCED SERVICES—1.9%
Mastercard Inc.	71,800	15,080,872
DEPARTMENT STORES—0.7%
Kohl’s Corp.*	122,800	5,856,332
DIVERSIFIED CHEMICALS—0.1%
Eastman Chemical Co.	17,500	1,096,200

	SHARES	VALUE
COMMON STOCKS—(CONT.)
DIVERSIFIED METALS & MINING—0.3%
Freeport-McMoRan Copper & Gold Inc.	28,900	$	2,067,506
ENVIRONMENTAL & FACILITIES SERVICES—0.5%
Republic Services Inc.	127,600	4,065,336
FERTILIZERS & AGRICULTURAL CHEMICALS—1.2%
Monsanto Co.	77,100	4,459,464
Mosaic Co., /The	104,400	4,974,660
		9,434,124
FOOTWEAR—0.6%
NIKE Inc., Cl. B	61,900	4,558,316
GOLD—0.8%
Yamana Gold Inc.	638,900	6,018,438
HEALTH CARE EQUIPMENT—2.9%
Covidien PLC	445,700	16,633,524
Insulet Corp. *	155,300	2,296,887
Zimmer Holdings Inc. *	80,700	4,276,293
		23,206,704
HEALTH CARE FACILITIES—0.9%
Health Management Associates Inc., Cl. A *	348,200	2,493,112
Universal Health Services Inc., Cl. B	133,100	4,787,607
		7,280,719
HEALTH CARE SERVICES—0.7%
Medco Health Solutions Inc.*	110,100	5,284,800
HOME ENTERTAINMENT SOFTWARE—1.3%
Activision Blizzard Inc.	844,200	10,029,096
HOME IMPROVEMENT RETAIL—0.5%
Lowe’s Companies, Inc.	178,700	3,706,238
HOTELS RESORTS & CRUISE LINES—1.0%
Wyndham Worldwide Corporation	300,000	7,659,000
HOUSEHOLD APPLIANCES—0.4%
Stanley Black & Decker Inc.	56,800	3,295,536
HUMAN RESOURCE & EMPLOYMENT SERVICES—0.2%
Towers Watson & Co.	32,600	1,451,026
HYPERMARKETS & SUPER CENTERS—1.3%
Wal-Mart Stores Inc.	201,800	10,330,142
INDUSTRIAL CONGLOMERATES—2.8%
3M Co.	92,500	7,912,450
Tyco International Ltd.	369,200	14,132,976
		22,045,426
INDUSTRIAL MACHINERY—1.2%
Ingersoll-Rand PLC	252,700	9,466,142
INDUSTRIAL REITS—0.1%
Dupont Fabros Technology Inc.	30,300	764,772
INTEGRATED OIL & GAS—3.3%
Chevron Corp.	239,600	18,259,916
ConocoPhillips	143,600	7,929,592
		26,189,508

	SHARES	VALUE
COMMON STOCKS—(CONT.)
INTERNET RETAIL—0.9%
Amazon.com Inc. *	53,100	$	6,259,959
Expedia Inc.	23,700	537,516
		6,797,475
INTERNET SOFTWARE & SERVICES—7.8%
eBay Inc. *	65,410	1,367,723
Google Inc., Cl. A *	23,565	11,425,491
GSI Commerce Inc. *	458,100	10,316,412
IAC/InterActiveCorp. *	591,715	14,792,875
Sina Corp. *	251,700	10,767,726
Yahoo! Inc. *	954,000	13,241,520
		61,911,747
INVESTMENT BANKING & BROKERAGE—0.1%
Morgan Stanley	37,700	1,017,523
IT CONSULTING & OTHER SERVICES—0.9%
International Business Machines Corp.	55,500	7,126,200
LEISURE PRODUCTS—1.4%
Phillips-Van Heusen Corp.	214,700	11,140,783
LIFE & HEALTH INSURANCE—0.9%
Lincoln National Corp.	66,100	1,721,244
MetLife Inc.	136,900	5,758,014
		7,479,258
LIFE SCIENCES TOOLS & SERVICES—1.0%
Life Technologies Corp. *	26,100	1,122,039
Thermo Fisher Scientific Inc. *	155,900	6,993,674
		8,115,713
MANAGED HEALTH CARE—0.5%
UnitedHealth Group Inc.	52,400	1,595,580
WellPoint Inc. *	43,100	2,186,032
		3,781,612
MARINE PORTS & SERVICES—0.5%
Aegean Marine Petroleum Network Inc.	171,400	3,523,984
METAL & GLASS CONTAINERS—1.6%
Ball Corp.	120,500	7,017,920
Pactiv Corp. *	193,800	5,895,396
		12,913,316
MOVIES & ENTERTAINMENT—0.1%
Regal Entertainment Group, Cl. A	71,800	958,530
OIL & GAS EQUIPMENT & SERVICES—1.3%
Halliburton Company	58,400	1,744,992
Schlumberger Ltd.	150,700	8,990,762
		10,735,754
OIL & GAS EXPLORATION & PRODUCTION—2.7%
Devon Energy Corp.	152,700	9,542,223
Nexen Inc.	431,941	8,941,179
Plains Exploration & Production Co. *	128,500	2,897,675
		21,381,077
OIL & GAS STORAGE & TRANSPORTATION—0.2%
Magellan Midstream Partners LP	27,989	1,367,262

	SHARES	VALUE
COMMON STOCKS—(CONT.)
OTHER DIVERSIFIED FINANCIAL SERVICES—3.3%
Bank of America Corp.	470,800	$	6,610,032
BM&F Bovespa SA	585,600	4,312,862
JPMorgan Chase & Co.	372,337	14,997,734
		25,920,628
PHARMACEUTICALS—3.9%
Abbott Laboratories §	252,720	12,403,498
Auxilium Pharmaceuticals Inc. *	43,300	976,848
Optimer Pharmaceuticals Inc. *	337,700	3,066,316
Pfizer Inc.	956,200	14,343,000
		30,789,662
PROPERTY & CASUALTY INSURANCE—0.8%
Travelers Cos., Inc., /The	124,000	6,255,800
RAILROADS—1.4%
CSX Corp.	128,300	6,763,976
Union Pacific Corp.	62,100	4,637,007
		11,400,983
RESEARCH & CONSULTING SERVICES—0.2%
FTI Consulting Inc.*	51,900	1,834,665
RESTAURANTS—1.0%
McDonald’s Corp.	117,100	8,165,383
SEMICONDUCTOR EQUIPMENT—2.1%
Lam Research Corp.*	393,600	16,605,984
SEMICONDUCTORS—3.3%
Broadcom Corp., Cl. A	53,200	1,916,796
Marvell Technology Group Ltd. *	1,254,700	18,720,124
ON Semiconductor Corp. *	438,800	2,961,900
Skyworks Solutions Inc. *	148,900	2,610,217
		26,209,037
SOFT DRINKS—1.9%
PepsiCo Inc.	234,300	15,208,413
SPECIALIZED FINANCE—0.5%
CME Group Inc.	14,600	4,070,480
STEEL—0.8%
Cliffs Natural Resources Inc.	118,100	6,680,917
SYSTEMS SOFTWARE—3.3%
Microsoft Corp.	417,235	10,768,835
Oracle Corp.	664,700	15,713,508
		26,482,343
TOBACCO—1.0%
Philip Morris International Inc.	150,560	7,684,582
TRUCKING—1.0%
Hertz Global Holdings Inc.*	689,200	8,091,208
TOTAL COMMON STOCKS (Cost $770,998,668)		734,470,293

	SHARES	VALUE
PURCHASE AGREEMENT—0.9%
OIL & GAS EXPLORATION & PRODUCTION—0.9%
Concho Resources Inc.*,(L2) (Cost $6,409,497)	141,490	$	7,213,584

	PRINCIPAL AMOUNT
SHORT-TERM INVESTMENTS—6.1%
TIME DEPOSITS—6.1%
Citibank, London, 0.03%, 8/2/10(L2)	29,800,000		29,800,000
HSBC Bank USA, Grand Cayman, 0.03%, 8/2/10(L2)	18,455,986		18,455,986
TOTAL TIME DEPOSITS (Cost $48,255,986)			48,255,986
Total Investments (Cost $825,664,151)(a)	99.5	%	789,939,863
Other Assets in Excess of Liabilities	0.5		4,172,418
NET ASSETS	100.0	%	$	794,112,281

‡	Securities classified as Level 1 for ASC 820 disclosure purposes based on valuation inputs unless otherwise noted.
§	All or a portion of this security is held as collateral for long dated settlements.
*	Non-income producing security.
#	American Depository Receipts.
(a)	At July 31, 2010, the net unrealized depreciation on investments, based on cost for federal income tax purposes of $836,558,765 amounted to $46,618,902 which consisted of aggregate gross unrealized appreciation of $23,878,908 and aggregate gross unrealized depreciation of $70,497,810.
(L2)	Security classified as Level 2 for ASC 820 disclosure purposes based on valuation inputs.

See Notes to Schedule of Investments.

THE ALGER FUNDS  |  ALGER LARGE CAP GROWTH FUND

Schedule of Investments‡ (Unaudited) July 31, 2010

	SHARES	VALUE
COMMON STOCKS—97.2%
AEROSPACE & DEFENSE—3.3%
Boeing Co., /The	22,640	$	1,542,690
General Dynamics Corp.	39,790	2,437,137
Lockheed Martin Corp.	35,300	2,652,795
United Technologies Corp.	37,700	2,680,470
		9,313,092
AIR FREIGHT & LOGISTICS—1.7%
FedEx Corp.	22,300	1,840,865
United Parcel Service Inc., Cl. B	47,900	3,113,500
		4,954,365
AIRLINES—0.2%
Delta Air Lines Inc.*	61,200	727,056
APPLICATION SOFTWARE—0.8%
Adobe Systems Inc.*	75,900	2,179,848
ASSET MANAGEMENT & CUSTODY BANKS—1.1%
BlackRock Inc.	12,600	1,984,374
Invesco Ltd.	65,600	1,281,824
		3,266,198
BIOTECHNOLOGY—2.3%
Amgen Inc. *	51,300	2,797,389
Celgene Corp. *	33,600	1,853,040
Gilead Sciences Inc. *	58,600	1,952,552
		6,602,981
COAL & CONSUMABLE FUELS—1.1%
Peabody Energy Corp.	68,800	3,106,320
COMMUNICATIONS EQUIPMENT—3.6%
Cisco Systems Inc. *	277,900	6,411,153
Qualcomm Inc.	103,600	3,945,088
		10,356,241
COMPUTER & ELECTRONICS RETAIL—0.6%
Best Buy Co., Inc.	48,800	1,691,408
COMPUTER HARDWARE—7.0%
Apple Inc. *	52,060	13,392,435
Hewlett-Packard Co.	146,265	6,734,040
		20,126,475
COMPUTER STORAGE & PERIPHERALS—1.2%
EMC Corp.*	173,400	3,431,586
CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS—0.6%
Deere & Co.	24,600	1,640,328
DATA PROCESSING & OUTSOURCED SERVICES—2.2%
Mastercard Inc.	18,000	3,780,720
Visa Inc., Cl. A	32,500	2,383,875
		6,164,595
DEPARTMENT STORES—1.0%
Kohl’s Corp.*	61,100	2,913,859
DIVERSIFIED CHEMICALS—0.8%
EI Du Pont de Nemours & Co.	53,900	2,192,113

	SHARES	VALUE
COMMON STOCKS—(CONT.)
DIVERSIFIED METALS & MINING—0.3%
Freeport-McMoRan Copper & Gold Inc.	13,000	$	930,020
DRUG RETAIL—1.8%
CVS Caremark Corp.	80,800	2,479,752
Walgreen Co.	93,825	2,678,704
		5,158,456
ELECTRIC UTILITIES—1.0%
Southern Co.	79,400	2,805,202
ENVIRONMENTAL & FACILITIES SERVICES—1.0%
Republic Services Inc.	88,900	2,832,354
FERTILIZERS & AGRICULTURAL CHEMICALS—1.5%
Monsanto Co.	37,180	2,150,491
Potash Corporation of Saskatchewan Inc.	19,200	2,013,504
		4,163,995
FOOD RETAIL—0.5%
Kroger Co., /The	66,800	1,414,824
FOOTWEAR—1.0%
NIKE Inc., Cl. B	39,800	2,930,872
FOREST PRODUCTS—0.5%
Weyerhaeuser Company	87,753	1,423,354
GENERAL MERCHANDISE STORES—0.8%
Target Corp.	46,800	2,401,776
GOLD—1.1%
Goldcorp Inc.	77,100	3,017,694
HEALTH CARE EQUIPMENT—2.3%
Baxter International Inc.	26,400	1,155,528
Covidien PLC	72,000	2,687,040
Stryker Corp.	27,600	1,285,332
Zimmer Holdings Inc. *	25,300	1,340,647
		6,468,547
HEALTH CARE SERVICES—1.0%
Medco Health Solutions Inc.*	60,200	2,889,600
HOME ENTERTAINMENT SOFTWARE—1.9%
Activision Blizzard Inc.	287,200	3,411,936
Electronic Arts Inc. *	132,100	2,104,353
		5,516,289
HOME IMPROVEMENT RETAIL—1.0%
Lowe’s Companies, Inc.	139,800	2,899,452
HOTELS RESORTS & CRUISE LINES—1.0%
Carnival Corp.	79,500	2,757,060
HOUSEHOLD APPLIANCES—0.6%
Stanley Black & Decker Inc.	28,500	1,653,570
HOUSEHOLD PRODUCTS—1.4%
Procter & Gamble Co., /The	63,360	3,875,098
HYPERMARKETS & SUPER CENTERS—2.0%
Wal-Mart Stores Inc.	112,300	5,748,637

	SHARES	VALUE
COMMON STOCKS—(CONT.)
INDUSTRIAL CONGLOMERATES—2.3%
3M Co.	38,400	$	3,284,736
Tyco International Ltd.	90,000	3,445,200
		6,729,936
INDUSTRIAL GASES—0.6%
Praxair Inc.	20,200	1,753,764
INDUSTRIAL MACHINERY—0.9%
Illinois Tool Works Inc.	57,200	2,488,200
INTEGRATED OIL & GAS—2.9%
Chevron Corp.	71,200	5,426,152
Exxon Mobil Corp.	48,800	2,912,384
		8,338,536
INTEGRATED TELECOMMUNICATION SERVICES—0.6%
Verizon Communications Inc.	59,500	1,729,070
INTERNET RETAIL—1.2%
Amazon.com Inc.*	28,300	3,336,287
INTERNET SOFTWARE & SERVICES—4.7%
eBay Inc. *	132,055	2,761,270
Google Inc., Cl. A *	15,895	7,706,691
Yahoo! Inc. *	219,900	3,052,212
		13,520,173
INVESTMENT BANKING & BROKERAGE—1.1%
Charles Schwab Corp., /The	115,200	1,703,808
Morgan Stanley	51,200	1,381,888
		3,085,696
IT CONSULTING & OTHER SERVICES—2.9%
Cognizant Technology Solutions Corp., Cl. A *	36,900	2,013,264
International Business Machines Corp.	48,600	6,240,240
		8,253,504
LIFE SCIENCES TOOLS & SERVICES—0.8%
Thermo Fisher Scientific Inc.*	49,700	2,229,542
MANAGED HEALTH CARE—0.6%
UnitedHealth Group Inc.	57,900	1,763,055
MOVIES & ENTERTAINMENT—0.8%
Viacom Inc., Cl. B	69,300	2,289,672
OIL & GAS EQUIPMENT & SERVICES—1.5%
Schlumberger Ltd.	59,600	3,555,736
Weatherford International Ltd. *	42,100	682,020
		4,237,756
OIL & GAS EXPLORATION & PRODUCTION—2.3%
Devon Energy Corp.	60,500	3,780,645
Nexen Inc.	132,000	2,732,400
		6,513,045
OIL & GAS STORAGE & TRANSPORTATION—0.5%
Enterprise Products Partners LP	37,000	1,398,230
OTHER DIVERSIFIED FINANCIAL SERVICES—2.0%
Bank of America Corp.	184,300	2,587,572

	SHARES	VALUE
COMMON STOCKS—(CONT.)
OTHER DIVERSIFIED FINANCIAL SERVICES—(CONT.)
JPMorgan Chase & Co.	81,300	$	3,274,764
		5,862,336
PACKAGED FOODS & MEATS—0.8%
Kraft Foods Inc., Cl. A	81,700	2,386,457
PHARMACEUTICALS—5.6%
Abbott Laboratories	81,000	3,975,480
Allergan Inc.	32,400	1,978,344
Johnson & Johnson	55,100	3,200,759
Pfizer Inc.	294,000	4,410,000
Teva Pharmaceutical Industries Ltd. #	49,500	2,418,075
		15,982,658
PROPERTY & CASUALTY INSURANCE—0.9%
Travelers Cos., Inc., /The	48,600	2,451,870
RAILROADS—1.1%
CSX Corp.	57,800	3,047,216
RESTAURANTS—1.2%
McDonald’s Corp.	49,200	3,430,716
SEMICONDUCTORS—2.9%
Broadcom Corp., Cl. A	47,600	1,715,028
Intel Corp.	163,330	3,364,598
Marvell Technology Group Ltd. *	214,200	3,195,864
		8,275,490
SOFT DRINKS—2.6%
Coca-Cola Co., /The	70,000	3,857,700
PepsiCo Inc.	54,600	3,544,086
		7,401,786
SPECIALIZED FINANCE—0.9%
CME Group Inc.	9,460	2,637,448
STEEL—0.8%
Cliffs Natural Resources Inc.	42,600	2,409,882
SYSTEMS SOFTWARE—4.3%
Microsoft Corp.	298,495	7,704,156
Oracle Corp.	191,300	4,522,332
		12,226,488
TOBACCO—2.2%
Altria Group Inc.	94,785	2,100,436
Philip Morris International Inc.	81,185	4,143,682
		6,244,118
TOTAL COMMON STOCKS (Cost $280,899,071)		277,576,196

	PRINCIPAL AMOUNT			VALUE
SHORT-TERM INVESTMENTS—2.4%
TIME DEPOSITS—2.4%
Citibank, London, 0.03%, 8/02/10(L2) (Cost $6,942,096)	$	6,942,096		$	6,942,096
Total Investments (Cost $287,841,167)(a)	99.6		%	284,518,292
Other Assets in Excess of Liabilities	0.4			1,050,866
NET ASSETS	100.0		%	$	285,569,158

‡	Securities classified as Level 1 for ASC 820 disclosure purposes based on valuation inputs unless otherwise noted.
*	Non-income producing security.
#	American Depository Receipts.
(a)	At July 31, 2010, the net unrealized depreciation on investments, based on cost for federal income tax purposes of $288,683,113 amounted to $4,164,821 which consisted of aggregate gross unrealized appreciation of $18,305,195 and aggregate gross unrealized depreciation of $22,470,016.
(L2)	Security classified as Level 2 for ASC 820 disclosure purposes based on valuation inputs.

See Notes to Schedule of Investments.

THE ALGER FUNDS  |  ALGER MID CAP GROWTH FUND

Schedule of Investments‡  (Unaudited) July 31, 2010

	SHARES	VALUE
COMMON STOCKS—95.5%
ADVERTISING—0.6%
Focus Media Holding Ltd.#*	93,600	$	1,696,968
AEROSPACE & DEFENSE—0.8%
Goodrich Corp.	33,600	2,448,432
APPAREL RETAIL—2.2%
Chico’s FAS Inc.	227,900	2,135,423
J Crew Group Inc. *	50,200	1,788,626
TJX Cos., Inc.	51,200	2,125,824
Urban Outfitters Inc. *	21,300	685,008
		6,734,881
APPLICATION SOFTWARE—5.3%
Informatica Corp. *	104,800	3,157,624
Nice Systems Ltd. #*	160,900	4,613,003
Pegasystems Inc.	126,700	3,897,292
Salesforce.com Inc. *	21,700	2,147,215
Synopsys Inc. *	102,100	2,229,864
		16,044,998
ASSET MANAGEMENT & CUSTODY BANKS—4.1%
BlackRock Inc.	29,700	4,677,453
Invesco Ltd.	116,000	2,266,640
T. Rowe Price Group Inc.	114,200	5,507,866
		12,451,959
BIOTECHNOLOGY—3.9%
China Nuokang Bio-Pharmaceutical Inc. #*	296,900	1,517,159
Human Genome Sciences Inc. *§	178,200	4,622,508
Metabolix Inc. *	387,000	5,464,440
		11,604,107
BROADCASTING & CABLE TV—1.0%
Discovery Communications Inc., Series A *	39,300	1,517,373
Discovery Communications Inc., Series C *	46,600	1,602,108
		3,119,481
COAL & CONSUMABLE FUELS—1.9%
Patriot Coal Corp. *	199,000	2,399,940
Peabody Energy Corp.	70,600	3,187,590
		5,587,530
COMMUNICATIONS EQUIPMENT—0.4%
Brocade Communications Systems Inc.*	265,500	1,314,225
COMPUTER & ELECTRONICS RETAIL—0.8%
Best Buy Co., Inc.	37,200	1,289,352
GameStop Corp., Cl. A *	59,200	1,186,960
		2,476,312
COMPUTER HARDWARE—0.8%
Teradata Corp.*	75,800	2,410,440
COMPUTER STORAGE & PERIPHERALS—2.0%
NetApp Inc. *	40,900	1,730,070
Seagate Technology *	259,600	3,257,980
Smart Technologies Inc., Cl. A *	63,700	980,343
		5,968,393

	SHARES	VALUE
COMMON STOCKS—(CONT.)
CONSTRUCTION & ENGINEERING—0.7%
Chicago Bridge & Iron Co., NV#*	91,000	$	2,048,410
CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS—2.3%
Bucyrus International Inc.	71,700	4,461,174
Westport Innovations Inc. *	128,700	2,559,843
		7,021,017
DATA PROCESSING & OUTSOURCED SERVICES—1.0%
Echo Global Logistics Inc. *	126,100	1,508,156
Fiserv Inc. *	33,400	1,673,340
		3,181,496
DIVERSIFIED BANKS—0.5%
Comerica Inc.	39,800	1,526,728
DIVERSIFIED METALS & MINING—0.8%
Walter Energy, Inc.	34,900	2,488,370
ELECTRICAL COMPONENTS & EQUIPMENT—1.4%
General Cable Corp.*	161,500	4,286,210
ENVIRONMENTAL & FACILITIES SERVICES—1.5%
Clean Harbors, Inc. *	5,500	347,380
Stericycle Inc. *	66,400	4,183,200
		4,530,580
FOOD RETAIL—0.4%
Whole Foods Market Inc.*	27,800	1,055,566
FOREST PRODUCTS—1.0%
Weyerhaeuser Company	180,609	2,929,478
GOLD—0.4%
Yamana Gold Inc.	147,100	1,385,682
HEALTH CARE EQUIPMENT—5.4%
Hologic Inc. *	133,400	1,886,276
Insulet Corp. *	116,200	1,718,598
Intuitive Surgical Inc. *	17,200	5,647,964
Mindray Medical International Ltd. #	83,100	2,571,114
NuVasive Inc. *	78,000	2,556,060
Varian Medical Systems, Inc. *	35,600	1,965,120
		16,345,132
HEALTH CARE FACILITIES—2.0%
Select Medical Holdings Corp. *	597,500	3,913,625
Universal Health Services Inc., Cl. B	59,200	2,129,424
		6,043,049
HOME ENTERTAINMENT SOFTWARE—1.4%
Activision Blizzard Inc.	347,300	4,125,924
RealD Inc. *	4,500	76,500
		4,202,424
HOME FURNISHING RETAIL—0.6%
Bed Bath & Beyond Inc.*	49,800	1,886,424
HOMEBUILDING—1.2%
Lennar Corp., Cl. A	249,200	3,680,684
HOTELS RESORTS & CRUISE LINES—3.0%
Ctrip.com International Ltd. #*	38,600	1,554,036

	SHARES	VALUE
COMMON STOCKS—(CONT.)
HOTELS RESORTS & CRUISE LINES—(CONT.)
Home Inns & Hotels Management Inc. #*	63,800	$	2,684,066
Interval Leisure Group *	112,300	1,562,093
Orient-Express Hotels Ltd., Cl. A *	166,700	1,518,637
Wyndham Worldwide Corporation	62,900	1,605,837
		8,924,669
INDUSTRIAL CONGLOMERATES—0.7%
McDermott International Inc.*	89,400	2,101,794
INDUSTRIAL MACHINERY—4.6%
Duoyuan Global Water Inc. #*	203,600	4,110,684
SmartHeat Inc. *	340,600	2,200,276
SPX Corp.	128,900	7,677,284
		13,988,244
INTERNET RETAIL—2.9%
Expedia Inc.	142,100	3,222,828
NetFlix Inc. *	52,800	5,414,640
		8,637,468
INTERNET SOFTWARE & SERVICES—0.9%
OpenTable Inc.*	60,500	2,704,350
INVESTMENT BANKING & BROKERAGE—0.9%
Greenhill & Co., Inc.	39,100	2,660,755
IT CONSULTING & OTHER SERVICES—1.9%
Cognizant Technology Solutions Corp., Cl. A*§	106,600	5,816,096
LEISURE PRODUCTS—1.8%
Coach Inc.	71,600	2,647,052
Polo Ralph Lauren Corp., Cl. A	35,400	2,796,954
		5,444,006
LIFE SCIENCES TOOLS & SERVICES—1.0%
ICON PLC #*	85,900	2,027,240
Life Technologies Corp. *	24,600	1,057,554
		3,084,794
OFFICE SERVICES & SUPPLIES—0.2%
SYKES Enterprises Inc.*	34,200	542,070
OIL & GAS EQUIPMENT & SERVICES—1.0%
Cameron International Corp. *	36,300	1,437,117
National Oilwell Varco Inc.	42,575	1,667,237
		3,104,354
OIL & GAS EXPLORATION & PRODUCTION—4.1%
Nexen Inc.	248,600	5,146,020
Plains Exploration & Production Co. *	138,100	3,114,155
Quicksilver Resources Inc. *	328,300	4,133,297
		12,393,472
OTHER DIVERSIFIED FINANCIAL SERVICES—1.6%
BM&F Bovespa SA	665,527	4,901,513
PACKAGED FOODS & MEATS—0.5%
McCormick & Co., Inc.	40,100	1,577,133
PERSONAL PRODUCTS—0.6%
The Estee Lauder Companies Inc., Cl. A	27,600	1,718,100

	SHARES	VALUE
COMMON STOCKS—(CONT.)
PHARMACEUTICALS—4.3%
Allergan Inc.	22,300	$	1,361,638
Auxilium Pharmaceuticals Inc. *	123,200	2,779,392
Medicis Pharmaceutical Corp., Cl. A	95,500	2,420,925
Mylan Inc. *	260,700	4,536,180
Optimer Pharmaceuticals Inc. *	206,500	1,875,020
		12,973,155
RAILROADS—0.6%
CSX Corp.	33,400	1,760,848
REAL ESTATE MANAGEMENT & DEVELOPMENT—0.6%
BR Malls Participacoes SA	111,400	1,659,263
REAL ESTATE SERVICES—1.2%
CB Richard Ellis Group, Inc. *	182,800	3,107,600
E-House China Holdings Ltd. #	37,600	612,880
		3,720,480
REGIONAL BANKS—0.4%
Fifth Third Bancorp	99,600	1,265,916
RESEARCH & CONSULTING SERVICES—1.0%
FTI Consulting Inc.*	81,900	2,895,165
RESTAURANTS—0.6%
McCormick & Schmick’s Seafood Restaurants Inc.*	245,100	1,938,741
SEMICONDUCTOR EQUIPMENT—2.0%
Lam Research Corp.*	142,500	6,012,075
SEMICONDUCTORS—7.9%
Altera Corp.	160,400	4,446,288
Applied Micro Circuits Corporation *	204,500	2,445,820
Atheros Communications Inc. *	124,465	3,290,855
Marvell Technology Group Ltd. *	400,800	5,979,936
Micron Technology Inc. *	199,100	1,449,448
Netlogic Microsystems Inc. *	101,800	3,009,208
Skyworks Solutions Inc. *	191,200	3,351,736
		23,973,291
SPECIALIZED FINANCE—1.9%
CME Group Inc.	15,300	4,265,640
IntercontinentalExchange Inc. *	13,500	1,425,870
		5,691,510
STEEL—2.1%
Cliffs Natural Resources Inc.§	111,500	6,307,555
SYSTEMS SOFTWARE—0.9%
Red Hat Inc.*	80,500	2,588,075
THRIFTS & MORTGAGE FINANCE—1.0%
Ocwen Financial Corp. *	114,000	1,203,840
People’s United Financial Inc.	125,500	1,736,920
		2,940,760
TOBACCO—0.9%
ITC Ltd.*	425,200	2,821,986
TOTAL COMMON STOCKS (Cost $311,642,003)		288,616,614

	SHARES	VALUE
PURCHASE AGREEMENT—1.3%
OIL & GAS EXPLORATION & PRODUCTION—1.3%
Concho Resources Inc.*,(L2) (Cost $3,392,970)	74,900	$	3,818,627

	PRINCIPAL AMOUNT
CONVERTIBLE CORPORATE BONDS—1.1%
WIRELESS TELECOMMUNICATION SERVICES—1.1%
SBA Communications Corp., 4.00%, 10/1/14(L2) (Cost $3,215,299)	2,587,000		3,485,982
SHORT-TERM INVESTMENTS—3.8%
TIME DEPOSITS—3.8%
Citibank, London, 0.03%, 8/02/10(L2) (Cost $11,385,362)	11,385,362		11,385,362
Total Investments (Cost $329,635,634)(a)	101.7	%	307,306,585
Liabilities in Excess of Other Assets	(1.7	)	(5,160,423		)
NET ASSETS	100.0	%	$	302,146,162

‡	Securities classified as Level 1 for ASC 820 disclosure purposes based on valuation inputs unless otherwise noted.
§	All or a portion of this security is held as collateral for long dated settlements.
*	Non-income producing security.
#	American Depository Receipts.
(a)	At July 31, 2010, the net unrealized depreciation on investments, based on cost for federal income tax purposes of $336,661,701 amounted to $29,355,116 which consisted of aggregate gross unrealized appreciation of $12,800,630 and aggregate gross unrealized depreciation of $42,155,746.
(L2)	Security classified as Level 2 for ASC 820 disclosure purposes based on valuation inputs.

See Notes to Schedule of Investments.

THE ALGER FUNDS  |  ALGER SMID CAP GROWTH FUND

Schedule of Investments‡  (Unaudited) July 31, 2010

	SHARES	VALUE
COMMON STOCKS—96.9%
ADVERTISING—0.3%
Lamar Advertising Co., Cl. A*	76,980	$	2,105,403
AEROSPACE & DEFENSE—1.3%
AAR Corp. *	151,800	2,550,240
BE Aerospace Inc. *	228,100	6,706,140
		9,256,380
AIRLINES—0.5%
Airtran Holdings Inc.*	734,330	3,539,471
APPAREL RETAIL—2.9%
AnnTaylor Stores Corp. *	476,650	8,360,441
Coldwater Creek Inc. *	707,850	2,774,772
J Crew Group Inc. *	86,650	3,087,340
Urban Outfitters Inc. *	210,750	6,777,720
		21,000,273
APPLICATION SOFTWARE—7.7%
Ansys Inc. *	168,575	7,577,446
Concur Technologies Inc. *	136,150	6,301,022
Informatica Corp. *	314,950	9,489,443
Nice Systems Ltd. #*	259,050	7,426,964
Pegasystems Inc.	265,000	8,151,400
Solera Holdings Inc.	163,806	6,221,352
Synopsys Inc. *	239,070	5,221,289
Taleo Corp., Cl. A *	229,000	5,633,400
		56,022,316
ASSET MANAGEMENT & CUSTODY BANKS—0.7%
Affiliated Managers Group Inc.*	68,262	4,834,997
AUTO PARTS & EQUIPMENT—0.9%
Dana Holding Corp.*	565,395	6,716,893
BIOTECHNOLOGY—3.6%
Alexion Pharmaceuticals Inc. *	142,100	7,724,556
Human Genome Sciences Inc. *	285,250	7,399,385
Savient Pharmaceuticals Inc. *	412,170	5,646,729
United Therapeutics Corp. *	107,450	5,253,231
		26,023,901
CABLE & SATELLITE—0.4%
Sirius XM Radio Inc.*	3,012,920	3,103,308
COMMODITY CHEMICALS—0.5%
STR Holdings Inc.*	148,150	3,318,560
COMMUNICATIONS EQUIPMENT—2.5%
Acme Packet Inc. *	78,350	2,214,171
Brocade Communications Systems Inc. *	291,750	1,444,162
F5 Networks Inc. *	71,200	6,253,496
Finisar Corp. *	413,200	6,623,596
Riverbed Technology Inc. *	40,300	1,494,727
		18,030,152
COMPUTER STORAGE & PERIPHERALS—1.4%
QLogic Corp. *	469,250	7,470,460
Smart Technologies Inc., Cl. A *	155,450	2,392,376
		9,862,836

	SHARES	VALUE
COMMON STOCKS—(CONT.)
CONSTRUCTION & ENGINEERING—0.8%
Aecom Technology Corp.*	232,440	$	5,611,102
CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS—0.9%
Bucyrus International Inc.	102,600	6,383,772
DATA PROCESSING & OUTSOURCED SERVICES—1.0%
Wright Express Corp.*	217,850	7,622,571
DISTRIBUTORS—1.0%
LKQ Corp.*	350,800	6,938,824
DIVERSIFIED METALS & MINING—0.2%
Walter Energy, Inc.	23,350	1,664,855
EDUCATION SERVICES—0.8%
ITT Educational Services Inc.*	67,900	5,482,246
ELECTRIC UTILITIES—1.2%
ITC Holdings Corp.	153,000	8,681,220
ELECTRICAL COMPONENTS & EQUIPMENT—4.1%
AMETEK Inc.	180,300	7,981,881
GrafTech International Ltd. *	395,250	6,197,520
Roper Industries Inc.	102,200	6,387,500
Woodward Governor Co.	304,500	9,208,080
		29,774,981
ELECTRONIC MANUFACTURING SERVICES—1.0%
Trimble Navigation Ltd.*	251,045	7,122,147
ENVIRONMENTAL & FACILITIES SERVICES—2.7%
Clean Harbors, Inc. *	91,350	5,769,666
Tetra Tech Inc. *	190,850	4,002,124
Waste Connections Inc. *	255,000	9,733,350
		19,505,140
FOREST PRODUCTS—0.6%
Louisiana-Pacific Corp.*	579,550	4,219,124
GENERAL MERCHANDISE STORES—1.2%
Dollar Tree Inc.*	199,230	8,829,874
GOLD—0.4%
Gammon Gold Inc.*	495,800	2,950,010
HEALTH CARE EQUIPMENT—2.3%
NuVasive Inc. *	122,350	4,009,409
Sirona Dental Systems Inc. *	211,200	6,500,736
Thoratec Corp. *	170,700	6,278,346
		16,788,491
HEALTH CARE FACILITIES—2.2%
Community Health Systems Inc. *	218,200	7,076,226
Select Medical Holdings Corp. *	582,150	3,813,082
VCA Antech Inc. *	243,400	5,072,456
		15,961,764
HEALTH CARE SERVICES—0.7%
Emergency Medical Services Corp.*	115,000	5,145,100
HOME FURNISHING RETAIL—1.0%
Williams-Sonoma Inc.	259,450	6,929,909

	SHARES	VALUE
COMMON STOCKS—(CONT.)
HOTELS RESORTS & CRUISE LINES—1.6%
Gaylord Entertainment Co. *	211,050	$	6,118,339
Wyndham Worldwide Corporation	225,000	5,744,250
		11,862,589
HOUSEHOLD PRODUCTS—0.8%
Church & Dwight Co., Inc.	85,600	5,672,712
HOUSEWARES & SPECIALTIES—1.0%
Tupperware Brands Corp.	185,750	7,316,692
INDUSTRIAL GASES—0.5%
Airgas Inc.	58,650	3,829,259
INDUSTRIAL MACHINERY—2.2%
Clarcor Inc.	127,000	4,765,040
Pall Corp.	188,100	7,192,944
SPX Corp.	71,950	4,285,342
		16,243,326
INDUSTRIAL REITS—0.5%
Dupont Fabros Technology Inc.	146,850	3,706,494
INTERNET RETAIL—0.5%
Expedia Inc.	171,600	3,891,888
INTERNET SOFTWARE & SERVICES—3.5%
GSI Commerce Inc. *	316,000	7,116,320
IAC/InterActiveCorp. *	274,250	6,856,250
OpenTable Inc. *	162,100	7,245,870
VistaPrint Ltd. *	133,800	4,422,090
		25,640,530
INVESTMENT BANKING & BROKERAGE—1.4%
Greenhill & Co., Inc.	102,400	6,968,320
Knight Capital Group Inc. *	226,750	3,260,665
		10,228,985
IT CONSULTING & OTHER SERVICES—0.5%
SRA International, Inc. Cl. A*	164,300	3,650,746
LEISURE FACILITIES—0.9%
Life Time Fitness Inc.*	172,000	6,253,920
LEISURE PRODUCTS—1.7%
Carter’s Inc. *	168,900	4,094,136
Phillips-Van Heusen Corp.	156,450	8,118,191
		12,212,327
LIFE SCIENCES TOOLS & SERVICES—3.0%
Bruker Corp. *	383,650	5,052,671
Charles River Laboratories International Inc. *	77,150	2,397,822
ICON PLC #*	204,500	4,826,200
Illumina Inc. *	51,950	2,328,918
Parexel International Corp. *	367,650	7,547,855
		22,153,466
MANAGED HEALTH CARE—0.8%
Amerigroup Corp.*	165,000	5,900,400
METAL & GLASS CONTAINERS—0.9%
Crown Holdings Inc.*	240,950	6,705,639

	SHARES	VALUE
COMMON STOCKS—(CONT.)
OIL & GAS EQUIPMENT & SERVICES—1.2%
Acergy SA #	353,900	$	5,793,343
Cal Dive International Inc. *	511,600	3,028,672
		8,822,015
OIL & GAS EXPLORATION & PRODUCTION—3.2%
Concho Resources Inc. *	58,000	3,478,840
Mariner Energy Inc. *	123,650	2,953,999
Plains Exploration & Production Co. *	285,800	6,444,790
Quicksilver Resources Inc. *	498,050	6,270,449
Whitinig Petroleum Corp. *	46,050	4,052,861
		23,200,939
PACKAGED FOODS & MEATS—1.4%
Hain Celestial Group Inc. *	251,250	5,291,325
Ralcorp Holdings Inc. *	86,900	5,074,960
		10,366,285
PHARMACEUTICALS—3.9%
Auxilium Pharmaceuticals Inc. *	195,150	4,402,584
Medicis Pharmaceutical Corp., Cl. A	270,550	6,858,442
Mylan Inc. *	347,940	6,054,156
Optimer Pharmaceuticals Inc. *	493,200	4,478,256
Perrigo Co.	111,700	6,256,317
		28,049,755
RAILROADS—0.9%
Genesee & Wyoming Inc., Cl. A*	166,000	6,786,080
REAL ESTATE SERVICES—0.6%
CB Richard Ellis Group, Inc.*	250,250	4,254,250
REGIONAL BANKS—1.0%
Iberiabank Corporation	73,250	3,806,070
Signature Bank *	96,650	3,715,226
		7,521,296
REINSURANCE—0.8%
Platinum Underwriters Holdings Ltd.	138,100	5,396,948
RESEARCH & CONSULTING SERVICES—2.8%
FTI Consulting Inc. *	170,700	6,034,245
ICF International Inc. *	275,250	6,330,750
IHS Inc., Cl. A *	120,300	7,616,193
		19,981,188
RESTAURANTS—0.9%
Darden Restaurants Inc.	164,300	6,882,527
RETAIL REITS—0.8%
Macerich Co., /The	142,950	5,925,278
SECURITY & ALARM SERVICES—1.1%
Geo Group Inc., /The*	381,100	8,224,138
SEMICONDUCTOR EQUIPMENT—1.2%
Novellus Systems Inc.*	321,850	8,596,613
SEMICONDUCTORS—5.5%
Applied Micro Circuits Corporation *	395,800	4,733,768
Atheros Communications Inc. *	231,800	6,128,792
Mellanox Technologies Ltd. *	330,105	5,499,549

	SHARES	VALUE
COMMON STOCKS—(CONT.)
SEMICONDUCTORS—(CONT.)
Monolithic Power Systems Inc. *	268,750	$	4,735,375
Netlogic Microsystems Inc. *	258,250	7,633,870
ON Semiconductor Corp. *	532,650	3,595,388
Skyworks Solutions Inc. *	414,200	7,260,926
		39,587,668
SPECIALIZED CONSUMER SERVICES—0.7%
Sotheby’s	196,000	5,317,480
SPECIALTY CHEMICALS—0.8%
Rockwood Holdings Inc.*	211,550	6,179,375
SPECIALTY STORES—1.4%
PetSmart Inc.	201,550	6,258,127
Tiffany & Co.	91,200	3,836,784
		10,094,911
STEEL—0.6%
Cliffs Natural Resources Inc.	73,250	4,143,752
SYSTEMS SOFTWARE—1.2%
Red Hat Inc.*	266,900	8,580,835
THRIFTS & MORTGAGE FINANCE—1.0%
Brookline Bancorp Inc.	345,750	3,346,860
Ocwen Financial Corp. *	356,500	3,764,640
		7,111,500
WIRELESS TELECOMMUNICATION SERVICES—1.3%
SBA Communications Corp.*	266,550	9,643,779
TOTAL COMMON STOCKS (Cost $666,240,566)		703,361,205

	PRINCIPAL AMOUNT
SHORT-TERM INVESTMENTS—3.0%
TIME DEPOSITS—3.0%
Citibank, London, 0.03%, 8/02/10(L2) (Cost $21,789,676)	21,789,676		21,789,676
Total Investments (Cost $688,030,242)(a)	99.9	%	725,150,881
Other Assets in Excess of Liabilities	0.1		516,200
NET ASSETS	100.0	%	$	725,667,081

‡	Securities classified as Level 1 for ASC 820 disclosure purposes based on valuation inputs unless otherwise noted.
*	Non-income producing security.
#	American Depository Receipts.
(a)	At July 31, 2010, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $689,942,400 amounted to $35,208,481 which consisted of aggregate gross unrealized appreciation of $81,119,121 and aggregate gross unrealized depreciation of $45,910,640.
(L2)	Security classified as Level 2 for ASC 820 disclosure purposes based on valuation inputs.

See Notes to Schedule of Investments.

THE ALGER FUNDS  |  ALGER SMALL CAP GROWTH FUND

Schedule of Investments‡  (Unaudited) July 31, 2010

	SHARES	VALUE
COMMON STOCKS—97.2%
AEROSPACE & DEFENSE—2.1%
BE Aerospace Inc. *	103,345	$	3,038,343
Esterline Technologies Corp. *	73,320	3,763,516
		6,801,859
AIRLINES—0.6%
Airtran Holdings Inc.*	428,945	2,067,515
APPAREL RETAIL—3.3%
Aeropostale Inc. *	98,200	2,791,826
AnnTaylor Stores Corp. *	214,800	3,767,592
Childrens Place Retail Stores Inc., /The *	71,400	2,988,090
Coldwater Creek Inc. *	319,100	1,250,872
		10,798,380
APPLICATION SOFTWARE—9.1%
Cadence Design Systems, Inc. *	380,800	2,650,368
Concur Technologies Inc. *	63,595	2,943,177
Informatica Corp. *	131,400	3,959,082
Nice Systems Ltd. #*	124,225	3,561,531
Pegasystems Inc.	116,400	3,580,464
QLIK Technologies Inc. *	91,212	1,310,716
SolarWinds Inc. *	72,700	1,004,714
Solera Holdings Inc.	105,645	4,012,397
Taleo Corp., Cl. A *	98,900	2,432,940
Ultimate Software Group Inc. *	46,400	1,496,864
VanceInfo Technologies Inc. #*	115,000	2,919,850
		29,872,103
AUTO PARTS & EQUIPMENT—1.0%
Dana Holding Corp.*	280,300	3,329,964
BIOTECHNOLOGY—2.2%
Acorda Therapeutics Inc. *	30,300	979,902
Cubist Pharmaceuticals Inc. *	58,900	1,271,062
Savient Pharmaceuticals Inc. *	212,700	2,913,990
United Therapeutics Corp. *	42,520	2,078,803
		7,243,757
CASINOS & GAMING—0.9%
WMS Industries Inc.*	78,900	3,038,439
COAL & CONSUMABLE FUELS—0.6%
Patriot Coal Corp.*	164,700	1,986,282
COMMODITY CHEMICALS—0.5%
STR Holdings Inc.*	70,400	1,576,960
COMMUNICATIONS EQUIPMENT—3.0%
Acme Packet Inc. *	20,800	587,808
Aruba Networks Inc. *	162,500	2,759,250
Finisar Corp. *	226,100	3,624,383
Riverbed Technology Inc. *	74,500	2,763,205
		9,734,646
COMPUTER STORAGE & PERIPHERALS—1.3%
QLogic Corp. *	181,200	2,884,704
Smart Technologies Inc., Cl. A *	79,900	1,229,661
		4,114,365

	SHARES	VALUE
COMMON STOCKS—(CONT.)
CONSTRUCTION & ENGINEERING—0.7%
Aecom Technology Corp.*	94,695	$	2,285,937
DATA PROCESSING & OUTSOURCED SERVICES—1.0%
Wright Express Corp.*	92,975	3,253,195
DISTRIBUTORS—1.1%
LKQ Corp.*	178,670	3,534,092
DIVERSIFIED CHEMICALS—0.1%
Solutia Inc.*	22,100	311,831
EDUCATION SERVICES—1.8%
American Public Education Inc. *	71,700	3,202,122
Grand Canyon Education, Inc. *	106,100	2,575,047
		5,777,169
ELECTRIC UTILITIES—1.2%
ITC Holdings Corp.	70,300	3,988,822
ELECTRICAL COMPONENTS & EQUIPMENT—2.3%
GrafTech International Ltd. *	200,800	3,148,544
Woodward Governor Co.	140,660	4,253,558
		7,402,102
ENVIRONMENTAL & FACILITIES SERVICES—2.8%
Clean Harbors, Inc. *	44,000	2,779,040
Tetra Tech Inc. *	90,200	1,891,494
Waste Connections Inc. *	112,700	4,301,759
		8,972,293
FOREST PRODUCTS—0.6%
Louisiana-Pacific Corp.*	275,400	2,004,912
GOLD—0.3%
Gammon Gold Inc.*	200,900	1,195,355
HEALTH CARE DISTRIBUTORS—0.5%
Owens & Minor Inc.	42,650	1,159,653
PharMerica Corp. *	47,900	625,574
		1,785,227
HEALTH CARE EQUIPMENT—4.8%
Arthrocare Corp. *	57,600	1,542,528
Insulet Corp. *	194,900	2,882,571
MAKO Surgical Corp. *	170,100	1,865,997
NuVasive Inc. *	63,300	2,074,341
Sirona Dental Systems Inc. *	95,100	2,927,178
Thoratec Corp. *	66,328	2,439,544
Wright Medical Group Inc. *	127,500	1,990,275
		15,722,434
HEALTH CARE FACILITIES—1.5%
LifePoint Hospitals Inc. *	98,600	3,047,726
Select Medical Holdings Corp. *	260,700	1,707,585
		4,755,311
HEALTH CARE SERVICES—1.7%
Catalyst Health Solutions, Inc. *	92,100	3,184,818
Gentiva Health Services Inc. *	109,600	2,261,048
		5,445,866

	SHARES	VALUE
COMMON STOCKS—(CONT.)
HEALTH CARE SUPPLIES—0.5%
AGA Medical Holdings Inc.*	103,500	$	1,499,715
HEALTH CARE TECHNOLOGY—1.8%
MedAssets Inc. *	121,600	2,846,656
Medidata Solutions Inc. *	207,900	3,135,132
		5,981,788
HOME ENTERTAINMENT SOFTWARE—0.0%
RealD Inc.*	5,000	85,000
HOME FURNISHING RETAIL—0.9%
Williams-Sonoma Inc.	107,500	2,871,325
HOME FURNISHINGS—0.3%
Ethan Allen Interiors Inc.	63,579	975,302
HOTELS RESORTS & CRUISE LINES—1.9%
Gaylord Entertainment Co. *	111,200	3,223,688
Interval Leisure Group *	209,200	2,909,972
		6,133,660
HOUSEWARES & SPECIALTIES—1.0%
Tupperware Brands Corp.	80,400	3,166,956
HUMAN RESOURCE & EMPLOYMENT SERVICES—1.0%
Towers Watson & Co.	71,700	3,191,367
INDUSTRIAL MACHINERY—3.2%
Actuant Corp., Cl. A	188,940	3,895,943
Clarcor Inc.	78,100	2,930,312
RBC Bearings Inc. *	122,100	3,744,807
		10,571,062
INTERNET RETAIL—1.1%
Shutterfly Inc.*	145,500	3,649,140
INTERNET SOFTWARE & SERVICES—3.4%
GSI Commerce Inc. *	139,849	3,149,400
LogMeIn, Inc. *	93,700	2,670,450
OpenTable Inc. *	72,800	3,254,160
VistaPrint Ltd. *	59,900	1,979,695
		11,053,705
INVESTMENT BANKING & BROKERAGE—1.5%
Greenhill & Co., Inc.	46,200	3,143,910
Knight Capital Group Inc. *	120,300	1,729,914
		4,873,824
IT CONSULTING & OTHER SERVICES—0.4%
SRA International, Inc. Cl. A*	63,600	1,413,192
LEISURE FACILITIES—0.8%
Life Time Fitness Inc.*	73,375	2,667,915
LEISURE PRODUCTS—1.6%
Carter’s Inc. *	95,700	2,319,768
Phillips-Van Heusen Corp.	57,100	2,962,919
		5,282,687
LIFE SCIENCES TOOLS & SERVICES—2.6%
Bruker Corp. *	252,300	3,322,791
ICON PLC #*	82,700	1,951,720

	SHARES	VALUE
COMMON STOCKS—(CONT.)
LIFE SCIENCES TOOLS & SERVICES—(CONT.)
Parexel International Corp. *	153,808	$	3,157,678
		8,432,189
MANAGED HEALTH CARE—0.9%
Amerigroup Corp.*	83,300	2,978,808
METAL & GLASS CONTAINERS—0.7%
Silgan Holdings Inc.	79,570	2,261,380
OFFICE SERVICES & SUPPLIES—0.3%
American Reprographics Co.*	110,600	984,340
OIL & GAS EQUIPMENT & SERVICES—1.4%
Acergy SA #	113,300	1,854,721
Cal Dive International Inc. *	235,100	1,391,792
Dril-Quip Inc. *	25,220	1,318,502
		4,565,015
OIL & GAS EXPLORATION & PRODUCTION—2.1%
Kodiak Oil & Gas Corp. *	459,900	1,540,665
Mariner Energy Inc. *	80,259	1,917,387
Quicksilver Resources Inc. *	210,800	2,653,972
Rosetta Resources Inc. *	31,200	688,584
		6,800,608
PACKAGED FOODS & MEATS—2.2%
Diamond Foods, Inc.	69,600	3,099,984
Flowers Foods Inc.	89,400	2,166,162
Hain Celestial Group Inc. *	98,420	2,072,725
		7,338,871
PHARMACEUTICALS—2.6%
Auxilium Pharmaceuticals Inc. *	90,900	2,050,704
Eurand NV *	119,400	949,230
Medicis Pharmaceutical Corp., Cl. A	128,700	3,262,545
Optimer Pharmaceuticals Inc. *	260,600	2,366,248
		8,628,727
PUBLISHING—0.6%
The New York Times Company, Cl. A*	233,200	2,038,168
RAILROADS—1.1%
Genesee & Wyoming Inc., Cl. A*	88,000	3,597,440
REGIONAL BANKS—1.5%
Iberiabank Corporation	31,600	1,641,936
Investors Bancorp, Inc. *	123,900	1,626,807
Signature Bank *	44,400	1,706,736
		4,975,479
REINSURANCE—0.8%
Platinum Underwriters Holdings Ltd.	67,800	2,649,624
RESEARCH & CONSULTING SERVICES—1.9%
FTI Consulting Inc. *	69,700	2,463,895
ICF International Inc. *	91,500	2,104,500
Resources Connection Inc.	137,000	1,779,630
		6,348,025
RESTAURANTS—1.2%
Cheesecake Factory Inc., /The *	108,800	2,550,272

	SHARES		VALUE
COMMON STOCKS—(CONT.)
RESTAURANTS—(CONT.)
McCormick & Schmick’s Seafood Restaurants Inc. *	189,935		$	1,502,386
			4,052,658
SECURITY & ALARM SERVICES—1.1%
Geo Group Inc., /The*	168,970		3,646,373
SEMICONDUCTOR EQUIPMENT—1.2%
Novellus Systems Inc.*	150,600		4,022,526
SEMICONDUCTORS—5.0%
Applied Micro Circuits Corporation *	227,200		2,717,312
Atheros Communications Inc. *	86,425		2,285,077
Mellanox Technologies Ltd. *	130,461		2,173,480
Monolithic Power Systems Inc. *	137,900		2,429,798
Netlogic Microsystems Inc. *	118,500		3,502,860
Skyworks Solutions Inc. *	190,200		3,334,206
			16,442,733
SPECIALIZED CONSUMER SERVICES—0.8%
Sotheby’s	94,900		2,574,637
SPECIALTY CHEMICALS—1.0%
Rockwood Holdings Inc.*	112,600		3,289,046
SPECIALTY STORES—0.9%
Ulta Salon, Cosmetics & Fragrance, Inc.*	115,000		2,904,900
THRIFTS & MORTGAGE FINANCE—0.7%
Ocwen Financial Corp.*	204,700		2,161,632
TRUCKING—1.1%
Dollar Thrifty Automotive Group Inc.*	72,700		3,625,549
WIRELESS TELECOMMUNICATION SERVICES—1.1%
Syniverse Holdings Inc.*	162,100		3,619,693
TOTAL COMMON STOCKS (Cost $302,137,184)			318,353,875
	PRINCIPAL AMOUNT
SHORT-TERM INVESTMENTS—3.3%
TIME DEPOSITS—3.3%
Citibank, London, 0.03%, 8/02/10(L2) (Cost $10,977,339)	10,977,339		10,977,339
Total Investments (Cost $313,114,523)(a)	100.5	%	329,331,214
Liabilities in Excess of Other Assets	(0.5	)	(1,507,284		)
NET ASSETS	100.0	%	$	327,823,930

‡	Securities classified as Level 1 for ASC 820 disclosure purposes based on valuation inputs unless otherwise noted.
*	Non-income producing security.
#	American Depository Receipts.
(a)	At July 31, 2010, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $314,008,640 amounted to $15,322,574 which consisted of aggregate gross unrealized appreciation of $42,342,062 and aggregate gross unrealized depreciation of $27,019,488.

(L2) Security classified as Level 2 for ASC 820 disclosure purposes based on valuation inputs.

See Notes to Schedule of Investments.

THE ALGER FUNDS  |  ALGER GROWTH OPPORTUNITIES FUND

Schedule of Investments‡  (Unaudited) July 31, 2010

	SHARES	VALUE
COMMON STOCKS—95.5%
AEROSPACE & DEFENSE—2.0%
BE Aerospace Inc. *	3,780	$	111,132
Esterline Technologies Corp. *	2,295	117,802
		228,934
APPAREL RETAIL—2.5%
AnnTaylor Stores Corp. *	6,265	109,888
Childrens Place Retail Stores Inc., /The *	2,555	106,927
Coldwater Creek Inc. *	15,025	58,898
		275,713
APPLICATION SOFTWARE—7.0%
Ansys Inc. *	1,995	89,675
Concur Technologies Inc. *	1,665	77,056
Informatica Corp. *	4,115	123,985
Nice Systems Ltd. #*	3,570	102,352
Pegasystems Inc.	3,635	111,813
QLIK Technologies Inc. *	3,105	44,619
Taleo Corp., Cl. A *	5,005	123,123
VanceInfo Technologies Inc. #*	4,260	108,161
		780,784
ASSET MANAGEMENT & CUSTODY BANKS—0.7%
Affiliated Managers Group Inc.*	1,070	75,788
AUTO PARTS & EQUIPMENT—0.9%
Dana Holding Corp.*	8,890	105,613
BIOTECHNOLOGY—4.0%
Alexion Pharmaceuticals Inc. *	1,960	106,546
Arqule Inc. *	12,110	51,710
AVEO Pharmaceuticals Inc. *	5,380	41,641
Human Genome Sciences Inc. *	4,260	110,504
Savient Pharmaceuticals Inc. *	6,070	83,159
United Therapeutics Corp. *	1,250	61,112
		454,672
CABLE & SATELLITE—0.5%
Sirius XM Radio Inc.*	54,155	55,780
CASINOS & GAMING—0.9%
WMS Industries Inc.*	2,590	99,741
COMMUNICATIONS EQUIPMENT—2.4%
Aruba Networks Inc. *	5,465	92,796
Brocade Communications Systems Inc. *	11,840	58,608
Finisar Corp. *	7,545	120,946
		272,350
COMPUTER STORAGE & PERIPHERALS—0.5%
Smart Technologies Inc., Cl. A*	3,310	50,941
CONSTRUCTION & ENGINEERING—0.7%
Aecom Technology Corp.*	3,415	82,438
CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS—0.7%
Bucyrus International Inc.	1,180	73,420
CONSUMER FINANCE—0.4%
Green Dot Corp., Cl. A*	1,000	43,500

	SHARES	VALUE
COMMON STOCKS—(CONT.)
DATA PROCESSING & OUTSOURCED SERVICES—0.5%
Echo Global Logistics Inc.*	4,835	$	57,827
DISTRIBUTORS—0.8%
LKQ Corp.*	4,625	91,483
EDUCATION SERVICES—1.9%
American Public Education Inc. *	2,300	102,718
Grand Canyon Education, Inc. *	4,675	113,462
		216,180
ELECTRIC UTILITIES—1.0%
ITC Holdings Corp.	1,930	109,508
ELECTRICAL COMPONENTS & EQUIPMENT—2.6%
AMETEK Inc.	2,110	93,410
GrafTech International Ltd. *	5,305	83,182
Woodward Governor Co.	3,785	114,459
		291,051
ELECTRONIC COMPONENTS—0.8%
Fabrinet*	8,395	85,293
ELECTRONIC MANUFACTURING SERVICES—0.8%
Trimble Navigation Ltd.*	3,350	95,040
ENVIRONMENTAL & FACILITIES SERVICES—1.7%
Clean Harbors, Inc. *	1,285	81,161
Waste Connections Inc. *	2,865	109,357
		190,518
FOREST PRODUCTS—0.6%
Louisiana-Pacific Corp.*	9,465	68,905
GENERAL MERCHANDISE STORES—1.1%
Dollar Tree Inc.*	2,842	125,957
GOLD—0.3%
Gammon Gold Inc.*	5,120	30,464
HEALTH CARE EQUIPMENT—4.6%
Arthrocare Corp. *	2,060	55,167
HeartWare International Inc. *	1,435	92,457
Insulet Corp. *	6,760	99,980
MAKO Surgical Corp. *	8,675	95,165
Sirona Dental Systems Inc. *	2,565	78,951
Thoratec Corp. *	2,720	100,041
		521,761
HEALTH CARE FACILITIES—1.5%
Community Health Systems Inc. *	2,810	91,128
VCA Antech Inc. *	3,575	74,503
		165,631
HEALTH CARE SERVICES—1.7%
Catalyst Health Solutions, Inc. *	3,140	108,581
Gentiva Health Services Inc. *	3,810	78,601
		187,182
HEALTH CARE SUPPLIES—0.4%
AGA Medical Holdings Inc.*	2,730	39,558

	SHARES	VALUE
COMMON STOCKS—(CONT.)
HEALTH CARE TECHNOLOGY—1.6%
MedAssets Inc. *	3,855	$	90,246
Medidata Solutions Inc. *	6,040	91,083
		181,329
HOME ENTERTAINMENT SOFTWARE—0.0%
RealD Inc.*	170	2,890
HOME FURNISHINGS—0.4%
Ethan Allen Interiors Inc.	2,845	43,642
HOTELS RESORTS & CRUISE LINES—2.3%
eLong Inc. #*	6,165	77,371
Interval Leisure Group *	7,830	108,915
Morgans Hotel Group Co. *	9,080	67,283
		253,569
HOUSEHOLD PRODUCTS—0.7%
Church & Dwight Co., Inc.	1,185	78,530
INDUSTRIAL GASES—0.6%
Airgas Inc.	1,030	67,249
INDUSTRIAL MACHINERY—2.4%
Clarcor Inc.	2,685	100,741
RBC Bearings Inc. *	3,275	100,444
SPX Corp.	1,190	70,877
		272,062
INTERNET RETAIL—1.9%
Drugstore.Com Inc. *	30,745	84,856
Shutterfly Inc. *	5,190	130,165
		215,021
INTERNET SOFTWARE & SERVICES—5.3%
GSI Commerce Inc. *	5,120	115,302
IAC/InterActiveCorp. *	3,015	75,375
LogMeIn, Inc. *	3,365	95,903
OpenTable Inc. *	2,510	112,197
support.com Inc. *	29,685	122,599
VistaPrint Ltd. *	2,065	68,248
		589,624
INVESTMENT BANKING & BROKERAGE—0.5%
Greenhill & Co., Inc.	830	56,481
IT CONSULTING & OTHER SERVICES—0.5%
Camelot Information Systems Inc.#*	5,000	53,400
LEISURE FACILITIES—0.8%
Life Time Fitness Inc.*	2,460	89,446
LEISURE PRODUCTS—2.0%
Carter’s Inc. *	2,750	66,660
Phillips-Van Heusen Corp.	2,045	106,115
Under Armour Inc., Cl. A *	1,515	56,904
		229,679
LIFE SCIENCES TOOLS & SERVICES—1.6%
ICON PLC #*	3,060	72,216
Parexel International Corp. *	5,335	109,528
		181,744

	SHARES	VALUE
COMMON STOCKS—(CONT.)
MANAGED HEALTH CARE—0.8%
Amerigroup Corp.*	2,470	$	88,327
METAL & GLASS CONTAINERS—0.8%
Silgan Holdings Inc.	3,050	86,681
OFFICE REITS—0.5%
Mack-Cali Realty Corp.	1,780	57,352
OFFICE SERVICES & SUPPLIES—0.5%
American Reprographics Co.*	6,320	56,248
OIL & GAS EQUIPMENT & SERVICES—1.5%
Acergy SA #	4,880	79,885
Dril-Quip Inc. *	1,810	94,627
		174,512
OIL & GAS EXPLORATION & PRODUCTION—2.6%
Concho Resources Inc. *	1,115	66,878
Kodiak Oil & Gas Corp. *	12,835	42,997
Mariner Energy Inc. *	2,720	64,981
Plains Exploration & Production Co. *	3,145	70,920
Quicksilver Resources Inc. *	3,640	45,827
		291,603
PACKAGED FOODS & MEATS—2.3%
Diamond Foods, Inc.	2,350	104,669
Flowers Foods Inc.	3,015	73,054
Hain Celestial Group Inc. *	3,570	75,184
		252,907
PHARMACEUTICALS—2.9%
Auxilium Pharmaceuticals Inc. *	2,890	65,198
Cadence Pharmaceuticals Inc. *	8,445	64,689
Eurand NV *	3,870	30,766
Mylan Inc. *	5,745	99,963
Optimer Pharmaceuticals Inc. *	7,445	67,601
		328,217
PUBLISHING—0.6%
The New York Times Company, Cl. A*	7,395	64,632
RAILROADS—0.9%
Genesee & Wyoming Inc., Cl. A*	2,410	98,521
REAL ESTATE SERVICES—0.6%
CB Richard Ellis Group, Inc.*	3,960	67,320
REGIONAL BANKS—1.0%
Iberiabank Corporation	1,130	58,715
Signature Bank *	1,430	54,969
		113,684
REINSURANCE—0.8%
Platinum Underwriters Holdings Ltd.	2,250	87,930
RESEARCH & CONSULTING SERVICES—2.5%
FTI Consulting Inc. *	2,470	87,314
ICF International Inc. *	3,980	91,540
IHS Inc., Cl. A *	1,600	101,296
		280,150

	SHARES		VALUE
COMMON STOCKS—(CONT.)
RESTAURANTS—0.7%
California Pizza Kitchen Inc.*	4,115		$	73,823
RETAIL REITS—0.5%
Macerich Co., /The	1,530		63,418
SECURITY & ALARM SERVICES—0.8%
Geo Group Inc., /The*	4,230		91,283
SEMICONDUCTOR EQUIPMENT—1.0%
Novellus Systems Inc.*	4,300		114,853
SEMICONDUCTORS—4.8%
Applied Micro Circuits Corporation *	5,160		61,714
Atheros Communications Inc. *	2,980		78,791
Mellanox Technologies Ltd. *	4,975		82,883
Monolithic Power Systems Inc. *	2,225		39,204
Netlogic Microsystems Inc. *	4,100		121,196
ON Semiconductor Corp. *	7,605		51,334
Skyworks Solutions Inc. *	6,215		108,949
			544,071
SPECIALIZED CONSUMER SERVICES—0.5%
Sotheby’s	2,245		60,907
SPECIALTY CHEMICALS—1.6%
Kraton Performance Polymers Inc. *	3,540		83,048
Rockwood Holdings Inc. *	3,490		101,943
			184,991
THRIFTS & MORTGAGE FINANCE—1.0%
Ocwen Financial Corp. *	5,275		55,704
People’s United Financial Inc.	3,890		53,838
			109,542
TRUCKING—1.1%
Dollar Thrifty Automotive Group Inc.*	2,470		123,179
WIRELESS TELECOMMUNICATION SERVICES—1.1%
SBA Communications Corp.*	3,320		120,118
TOTAL COMMON STOCKS (Cost $9,256,526)			10,724,967
	PRINCIPAL AMOUNT
SHORT-TERM INVESTMENTS—4.0%
TIME DEPOSITS—4.0%
Citibank, London, 0.03%, 8/2/10(L2)	400,000		400,000
HSBC Bank USA, Grand Cayman, 0.03%, 8/2/10(L2)	45,637		45,637
TOTAL TIME DEPOSITS (Cost $445,637)			445,637
Total Investments (Cost $9,702,163)(a)	99.5	%	11,170,604
Other Assets in Excess of Liabilities	0.5		54,080
NET ASSETS	100.0	%	$	11,224,684

‡ Securities classified as Level 1 for ASC 820 disclosure purposes based on valuation inputs unless otherwise

	noted.
*	Non-income producing security.
#	American Depository Receipts.
(a)	At July 31, 2010, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $9,752,632 amounted to $1,417,972 which consisted of aggregate gross unrealized appreciation of $1,810,352 and aggregate gross unrealized depreciation of $392,380.
(L2)	Security classified as Level 2 for ASC 820 disclosure purposes based on valuation inputs.

See Notes to Schedule of Investments.

THE ALGER FUNDS  |  ALGER HEALTH SCIENCES FUND

Schedule of Investments‡  (Unaudited) July 31, 2010

	SHARES	VALUE
COMMON STOCKS—89.1%
BIOTECHNOLOGY—16.4%
Actelion Ltd. *	93,600	$	3,785,330
Alexion Pharmaceuticals Inc. *	45,550	2,476,098
Amgen Inc. *	142,750	7,784,158
Arqule Inc. *	446,200	1,905,274
AVEO Pharmaceuticals Inc. *	170,150	1,316,961
Celgene Corp. *	57,659	3,179,894
China Nuokang Bio-Pharmaceutical Inc. #*	170,739	872,476
Cubist Pharmaceuticals Inc. *	47,000	1,014,260
Human Genome Sciences Inc. *	365,650	9,484,961
Savient Pharmaceuticals Inc. *	267,150	3,659,955
United Therapeutics Corp. *	67,900	3,319,631
		38,798,998
DRUG RETAIL—2.6%
CVS Caremark Corp.	197,400	6,058,206
HEALTH CARE EQUIPMENT—14.4%
Arthrocare Corp. *	58,850	1,576,003
ATS Medical Inc. *	492,250	1,969,000
Covidien PLC	31,900	1,190,508
Edwards Lifesciences Corp. *	72,000	4,161,600
Hospira Inc. *	50,200	2,615,420
Insulet Corp. *	107,960	1,596,728
Intuitive Surgical Inc. *	9,500	3,119,515
Kinetic Concepts Inc. *	60,050	2,132,376
MAKO Surgical Corp. *	146,750	1,609,847
Medtronic Inc.	67,150	2,482,536
NuVasive Inc. *	62,669	2,053,663
Stryker Corp.	23,300	1,085,081
Thoratec Corp. *	52,800	1,941,984
Wright Medical Group Inc. *	108,300	1,690,563
Zimmer Holdings Inc. *	91,200	4,832,688
		34,057,512
HEALTH CARE FACILITIES—4.2%
Community Health Systems Inc. *	101,650	3,296,510
LifePoint Hospitals Inc. *	62,350	1,927,239
Select Medical Holdings Corp. *	404,600	2,650,130
Universal Health Services Inc., Cl. B	59,350	2,134,819
		10,008,698
HEALTH CARE SERVICES—1.9%
Medco Health Solutions Inc.*	93,900	4,507,200
HEALTH CARE SUPPLIES—2.1%
AGA Medical Holdings Inc. *	164,800	2,387,952
Alere Inc. *	51,400	1,445,882
Align Technology Inc. *	73,800	1,280,430
		5,114,264
HEALTH CARE TECHNOLOGY—1.2%
Medidata Solutions Inc.*	186,700	2,815,436
INDUSTRIAL MACHINERY—0.5%
Pall Corp.	34,450	1,317,368
LIFE SCIENCES TOOLS & SERVICES—8.1%
Affymetrix Inc. *	203,365	994,455

	SHARES		VALUE
COMMON STOCKS—(CONT.)
LIFE SCIENCES TOOLS & SERVICES—(CONT.)
Bruker Corp. *	241,050		$	3,174,629
Charles River Laboratories International Inc. *	98,450		3,059,826
Illumina Inc. *	54,630		2,449,063
Life Technologies Corp. *	24,750		1,064,002
Parexel International Corp. *	104,083		2,136,824
Thermo Fisher Scientific Inc. *	143,150		6,421,709
			19,300,508
MANAGED HEALTH CARE—6.8%
CIGNA Corp.	74,350		2,287,006
Humana Inc. *	73,800		3,470,076
UnitedHealth Group Inc.	234,350		7,135,957
WellPoint Inc. *	62,950		3,192,824
			16,085,863
PHARMACEUTICALS—30.9%
Abbott Laboratories	158,500		7,779,180
Allergan Inc.	84,500		5,159,570
Auxilium Pharmaceuticals Inc. *	315,028		7,107,032
Cadence Pharmaceuticals Inc. *	136,900		1,048,654
Eurand NV *	135,750		1,079,213
Ipsen SA	62,200		2,068,627
Johnson & Johnson	42,150		2,448,493
Medicis Pharmaceutical Corp., Cl. A	205,340		5,205,369
Merck & Co., Inc.	108,300		3,732,018
Mylan Inc. *	262,850		4,573,590
Optimer Pharmaceuticals Inc. *	691,060		6,274,825
Pfizer Inc.	648,350		9,725,250
Roche Holding AG	37,400		4,864,603
Sanofi-Aventis SA #	64,450		1,878,073
Shire PLC #	104,650		7,207,245
SuperGen Inc. *	492,250		994,345
Valeant Pharmaceuticals International *	35,550		2,002,176
			73,148,263
TOTAL COMMON STOCKS (Cost $219,228,231)			211,212,316
	PRINCIPAL AMOUNT
SHORT-TERM INVESTMENTS—9.6%
TIME DEPOSITS—9.6%
Bank of American NA, 0.03%, 8/2/10(L2)	3,643,837		3,643,837
Citibank, London, 0.03%, 8/2/10(L2)	9,500,000		9,500,000
HSBC Bank USA, Grand Cayman, 0.03%, 8/2/10(L2)	9,500,000		9,500,000
TOTAL TIME DEPOSITS (Cost $22,643,837)			22,643,837
Total Investments (Cost $241,872,068)(a)	98.7	%	233,856,153
Other Assets in Excess of Liabilities	1.3		3,051,564
NET ASSETS	100.0	%	$	236,907,717

‡	Securities classified as Level 1 for ASC 820 disclosure purposes based on valuation inputs unless otherwise noted.
*	Non-income producing security.
#	American Depository Receipts.
(a)	At July 31, 2010, the net unrealized depreciation on investments, based on cost for federal income tax purposes of $247,069,717 amounted to $13,213,564 which consisted of aggregate gross unrealized appreciation of $11,789,177 and aggregate gross unrealized depreciation of $25,002,741.
(L2)	Security classified as Level 2 for ASC 820 disclosure purposes based on valuation inputs.

See Notes to Schedule of Investments.

THE ALGER FUNDS  |  ALGER BALANCED FUND

Schedule of Investments‡  (Unaudited) July 31, 2010

	SHARES	VALUE
COMMON STOCKS—46.5%
ADVERTISING—0.1%
Focus Media Holding Ltd.#*	4,900	$	88,837
AEROSPACE & DEFENSE—1.6%
BE Aerospace Inc. *	5,000	147,000
Boeing Co., /The	2,120	144,457
General Dynamics Corp.	4,200	257,250
ITT Corp.	3,010	141,831
Lockheed Martin Corp.	3,600	270,540
		961,078
AIR FREIGHT & LOGISTICS—0.8%
FedEx Corp.	1,900	156,845
United Parcel Service Inc., Cl. B	4,700	305,500
		462,345
APPLICATION SOFTWARE—0.2%
Intuit Inc.*	3,000	119,250
ASSET MANAGEMENT & CUSTODY BANKS—0.3%
Invesco Ltd.	5,000	97,700
Legg Mason Inc.	3,800	109,782
		207,482
BIOTECHNOLOGY—0.7%
Amgen Inc. *	3,600	196,308
Celgene Corp. *	3,100	170,965
Gilead Sciences Inc. *	2,100	69,972
		437,245
BROADCASTING & CABLE TV—0.4%
Scripps Networks Interactive Inc.	5,700	242,991
CABLE & SATELLITE—0.2%
Comcast Corp., Cl. A	8,100	149,526
CASINOS & GAMING—0.2%
International Game Technology	7,600	115,824
COAL & CONSUMABLE FUELS—0.3%
Peabody Energy Corp.	3,900	176,085
COMMUNICATIONS EQUIPMENT—1.8%
Brocade Communications Systems Inc. *	22,200	109,890
Cisco Systems Inc. *	28,855	665,685
Qualcomm Inc.	8,900	338,912
		1,114,487
COMPUTER HARDWARE—2.9%
Apple Inc. *	4,865	1,251,521
Hewlett-Packard Co.	11,700	538,668
		1,790,189
COMPUTER STORAGE & PERIPHERALS—0.7%
EMC Corp. *	17,500	346,325
NetApp Inc. *	2,300	97,290
		443,615
CONSTRUCTION & ENGINEERING—0.4%
Fluor Corp.	3,500	169,015
Foster Wheeler AG *	3,700	85,174
		254,189

	SHARES	VALUE
COMMON STOCKS—(CONT.)
CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS—0.8%
Caterpillar Inc.	2,600	$	181,350
Deere & Co.	2,900	193,372
Joy Global Inc.	1,700	100,929
		475,651
DATA PROCESSING & OUTSOURCED SERVICES—0.5%
Mastercard Inc.	1,300	273,052
DIVERSIFIED BANKS—0.4%
Wells Fargo & Co.	7,700	213,521
DIVERSIFIED CHEMICALS—0.3%
EI Du Pont de Nemours & Co.	4,200	170,814
DRUG RETAIL—0.8%
CVS Caremark Corp.	8,500	260,865
Walgreen Co.	7,800	222,690
		483,555
ENVIRONMENTAL & FACILITIES SERVICES—0.2%
Republic Services Inc.	3,500	111,510
EXCHANGE TRADED FUNDS—1.0%
iPATH S&P 500 VIX Short-Term Futures ETN *	2,100	47,397
iShares FTSE/Xinhua China 25 Index Fund	11,311	467,144
ProShares UltraShort 20+ Year Treasury *	2,713	97,261
		611,802
FERTILIZERS & AGRICULTURAL CHEMICALS—0.6%
CF Industries Holdings Inc.	1,200	97,428
Monsanto Co.	2,700	156,168
Potash Corporation of Saskatchewan Inc.	1,400	146,818
		400,414
FOOTWEAR—0.4%
NIKE Inc., Cl. B	3,300	243,012
FOREST PRODUCTS—0.2%
Weyerhaeuser Company	8,928	144,812
GENERAL MERCHANDISE STORES—0.4%
Target Corp.	4,200	215,544
GOLD—0.5%
Goldcorp Inc.	4,400	172,216
Yamana Gold Inc.	11,600	109,272
		281,488
HEALTH CARE EQUIPMENT—0.8%
Boston Scientific Corp. *	19,700	110,320
Covidien PLC	2,100	78,372
Medtronic Inc.	3,800	140,486
Zimmer Holdings Inc. *	2,700	143,073
		472,251
HEALTH CARE SUPPLIES—0.2%
Alere Inc.*	5,000	140,650
HOME ENTERTAINMENT SOFTWARE—0.4%
Electronic Arts Inc. *	6,500	103,545

	SHARES	VALUE
COMMON STOCKS—(CONT.)
HOME ENTERTAINMENT SOFTWARE—(CONT.)
Take-Two Interactive Software Inc. *	15,700	$	160,925
		264,470
HOMEBUILDING—0.5%
Toll Brothers Inc.*	17,700	307,272
HOTELS RESORTS & CRUISE LINES—0.1%
Carnival Corp.	2,200	76,296
HOUSEHOLD PRODUCTS—0.7%
Procter & Gamble Co., /The	7,325	447,997
HYPERMARKETS & SUPER CENTERS—1.2%
Costco Wholesale Corp.	2,500	141,775
Wal-Mart Stores Inc.	11,500	588,685
		730,460
INDUSTRIAL CONGLOMERATES—1.3%
3M Co.	3,700	316,498
General Electric Co.	10,400	167,648
McDermott International Inc. *	6,000	141,060
Tyco International Ltd.	4,600	176,088
		801,294
INDUSTRIAL GASES—0.2%
Praxair Inc.	1,400	121,548
INTEGRATED OIL & GAS—1.9%
Chevron Corp.	5,100	388,671
Exxon Mobil Corp.	9,900	590,832
Petroleo Brasileiro SA #	5,000	182,000
		1,161,503
INTEGRATED TELECOMMUNICATION SERVICES—0.4%
Verizon Communications Inc.	7,700	223,762
INTERNET RETAIL—0.7%
Amazon.com Inc. *	1,500	176,835
Expedia Inc.	9,700	219,996
		396,831
INTERNET SOFTWARE & SERVICES—2.2%
eBay Inc. *	12,490	261,166
Google Inc., Cl. A *	905	438,789
IAC/InterActiveCorp. *	15,800	395,000
Yahoo! Inc. *	17,800	247,064
		1,342,019
INVESTMENT BANKING & BROKERAGE—1.2%
Charles Schwab Corp., /The	10,400	153,816
Goldman Sachs Group Inc., /The	1,000	150,820
Lazard Ltd., Cl. A	5,500	163,185
Morgan Stanley	8,500	229,415
		697,236
IT CONSULTING & OTHER SERVICES—1.3%
Cognizant Technology Solutions Corp., Cl. A *	3,300	180,048
International Business Machines Corp.	4,600	590,640
		770,688

	SHARES	VALUE
COMMON STOCKS—(CONT.)
LEISURE PRODUCTS—0.2%
Coach Inc.	3,100	$	114,607
LIFE & HEALTH INSURANCE—0.3%
Prudential Financial Inc.	3,200	183,328
LIFE SCIENCES TOOLS & SERVICES—0.5%
Charles River Laboratories International Inc. *	1,700	52,836
Thermo Fisher Scientific Inc. *	5,100	228,786
		281,622
MANAGED HEALTH CARE—0.5%
Aetna Inc.	3,400	94,690
UnitedHealth Group Inc.	6,600	200,970
		295,660
METAL & GLASS CONTAINERS—0.2%
Owens-Illinois Inc.*	4,300	118,895
MOVIES & ENTERTAINMENT—0.5%
Regal Entertainment Group, Cl. A	4,600	61,410
Viacom Inc., Cl. B	8,000	264,320
		325,730
OFFICE REITS—0.3%
Digital Realty Trust Inc.	2,500	158,050
OIL & GAS DRILLING—0.2%
Transocean Ltd.*	2,616	120,886
OIL & GAS EQUIPMENT & SERVICES—1.0%
Cameron International Corp. *	6,100	241,499
Schlumberger Ltd.	5,400	322,164
Weatherford International Ltd. *	4,100	66,420
		630,083
OIL & GAS EXPLORATION & PRODUCTION—1.0%
Anadarko Petroleum Corp.	3,400	167,144
Chesapeake Energy Corp.	8,800	185,064
Devon Energy Corp.	1,500	93,735
Nexen Inc.	2,900	60,030
Plains Exploration & Production Co. *	4,800	108,240
		614,213
OIL & GAS STORAGE & TRANSPORTATION—0.3%
Enterprise Products Partners LP	3,900	147,381
OTHER DIVERSIFIED FINANCIAL SERVICES—1.2%
Bank of America Corp.	25,400	356,616
JPMorgan Chase & Co.	9,200	370,576
		727,192
PACKAGED FOODS & MEATS—0.5%
Kraft Foods Inc., Cl. A	9,900	289,179
PHARMACEUTICALS—2.9%
Abbott Laboratories	9,100	446,628
Johnson & Johnson	6,600	383,394
Merck & Co., Inc.	4,200	144,732
Mylan Inc. *	11,400	198,360
Pfizer Inc.	28,659	429,885

	SHARES	VALUE
COMMON STOCKS—(CONT.)
PHARMACEUTICALS—(CONT.)
Shire PLC #	2,600	$	179,062
		1,782,061
PROPERTY & CASUALTY INSURANCE—0.3%
Travelers Cos., Inc., /The	3,700	186,665
RAILROADS—0.1%
CSX Corp.	1,800	94,896
RESEARCH & CONSULTING SERVICES—0.2%
FTI Consulting Inc.*	3,600	127,260
RESTAURANTS—0.6%
Cheesecake Factory Inc., /The *	4,300	100,792
McDonald’s Corp.	3,700	258,001
		358,793
RETAIL REITS—0.1%
Macerich Co., /The	2,100	87,045
SEMICONDUCTOR EQUIPMENT—0.3%
Lam Research Corp.*	4,200	177,198
SEMICONDUCTORS—0.6%
Intel Corp.	18,300	376,980
SOFT DRINKS—1.6%
Coca-Cola Co., /The	7,300	402,303
Hansen Natural Corp. *	5,500	230,395
PepsiCo Inc.	5,300	344,023
		976,721
SPECIALIZED FINANCE—0.7%
CME Group Inc.	690	192,372
Hong Kong Exchanges and Clearing Ltd.	9,100	149,255
IntercontinentalExchange Inc. *	1,000	105,620
		447,247
SYSTEMS SOFTWARE—1.3%
Microsoft Corp.	30,800	794,948
TOBACCO—1.1%
Altria Group Inc.	10,615	235,228
Philip Morris International Inc.	8,115	414,190
		649,418
TRUCKING—0.2%
Hertz Global Holdings Inc.*	13,100	153,794
TOTAL COMMON STOCKS (Cost $30,115,125)		28,362,447
CONVERTIBLE PREFERRED STOCK—0.8%
ELECTRIC UTILITIES—0.3%
PPL Corp., 9.50%, 7/1/2013*,(L2)	4,000	222,920
MULTI-LINE INSURANCE—0.5%
Hartford Financial Services Group Inc., 7.25%, 4/1/2013*	12,000	294,000
TOTAL CONVERTIBLE PREFERRED STOCK (Cost $511,100)		516,920

	SHARES	VALUE
MANDATORY CONVERTIBLE PREFERRED STOCK—0.6%
OTHER DIVERSIFIED FINANCIAL SERVICES—0.6%
Citigroup Inc., 7.50%, 12/15/2012*(a) (Cost $297,280)	2,900	$	352,930
PREFERRED STOCKS—0.9%
DIVERSIFIED BANKS—0.9%
HSBC Holdings PLC, 8.0%%, 12/15/2015* (Cost $500,000)	20,000	519,600

	PRINCIPAL AMOUNT
CONVERTIBLE CORPORATE BONDS—3.2%
GOLD—0.6%
AngloGold Ashanti Holdings Finance PLC, 3.50%, 5/22/14(L2)(b)	350,000	383,688
MULTI-UTILITIES—0.5%
CMS Energy Corp., 5.50%, 6/15/29(L2)	250,000	307,500
OIL & GAS EQUIPMENT & SERVICES—0.2%
Cameron International Corp., 2.50%, 6/15/26(L2)	125,000	156,250
OIL & GAS EXPLORATION & PRODUCTION—0.6%
Bill Barrett Corp., 5.00%, 3/15/28(L2)	200,000	202,250
Quicksilver Resources Inc., 1.88%, 11/1/24(L2)	150,000	162,937
		365,187
SEMICONDUCTORS—0.6%
Intel Corp., 3.25%, 8/1/39(L2)(b)	300,000	357,000
STEEL—0.4%
Allegheny Technologies Inc., 4.25%, 6/1/14(L2)	150,000	204,562
WIRELESS TELECOMMUNICATION SERVICES—0.3%
SBA Communications Corp., 4.00%, 10/1/14(L2)	150,000	202,125
TOTAL CONVERTIBLE CORPORATE BONDS (Cost $1,769,098)		1,976,312
CORPORATE BONDS—25.2%
AEROSPACE & DEFENSE—0.9%
Bombardier Inc., 7.75%, 3/15/20(L2)(b)	350,000	378,875
L-3 Communications Corp., 4.75%, 7/15/20(L2)	150,000	153,557
		532,432
APPLICATION SOFTWARE—0.6%
Adobe Systems Inc., 4.75%, 2/1/20(L2)	350,000	363,967
CABLE & SATELLITE—1.4%
Cablevision Systems Corp., 7.75%, 4/15/18(L2)	100,000	104,750
Comcast Corp., 5.70%, 7/1/19(L2)	325,000	363,930
DirecTV Holdings LLC/DirecTV Financing Co., Inc., 4.75%, 10/1/14(L2)	350,000	377,002
		845,682
COAL & CONSUMABLE FUELS—0.1%
Patriot Coal Corp., 8.25%, 4/30/18(L2)	75,000	74,156
COMMUNICATIONS EQUIPMENT—0.2%
Cisco Systems Inc., 4.95%, 2/15/19(L2)	125,000	139,193
COMPUTER HARDWARE—0.7%
Hewlett-Packard Co., 6.13%, 3/1/14(L2)	350,000	404,430

	PRINCIPAL AMOUNT		VALUE
CORPORATE BONDS—(CONT.)
CONSUMER FINANCE—3.1%
American Express Credit Corp., 7.30%, 8/20/13(L2)	$	400,000	$	458,811
Capital One Capital V, 10.25%, 8/15/39(L2)	700,000		762,125
MBNA Capital A, 8.28%, 12/1/26(L2)	350,000		360,063
SLM Corp., 8.00%, 3/25/20(L2)	350,000		311,122
			1,892,121
DIVERSIFIED BANKS—0.9%
Bank of Montreal, 2.13%, 6/28/13(L2)	150,000		153,467
Royal Bank of Scotland Group PLC, 6.40%, 10/21/19(L2)	350,000		370,368
			523,835
DIVERSIFIED METALS & MINING—0.3%
Anglo American Capital PLC, 9.38%, 4/8/14(L2)(b)	150,000		182,748
ELECTRIC UTILITIES—1.1%
Enel Finance International SA, 5.13%, 10/7/19(L2)(b)	350,000		365,951
Florida Power Corp., 5.80%, 9/15/17(L2)	300,000		348,601
			714,552
HEALTH CARE DISTRIBUTORS—0.6%
AmerisourceBergen Corp., 4.88%, 11/15/19(L2)	350,000		366,474
HEALTH CARE FACILITIES—0.7%
Omega Healthcare Investors Inc., 7.00%, 4/1/14(L2)	400,000		407,500
HEALTH CARE SERVICES—0.6%
HCA Inc., 7.25%, 9/15/20(L2)	350,000		371,875
HOMEBUILDING—1.7%
Lennar Corp., 6.95%, 6/1/18(L2)(b)	350,000		313,250
Lennar Corp., 12.25%, 6/1/17(L2)	350,000		403,375
Meritage Homes Corp., 7.15%, 4/15/20(L2)	350,000		320,250
			1,036,875
HOTELS RESORTS & CRUISE LINES—0.1%
Wyndham Worldwide Corp., 7.38%, 3/1/20(L2)	75,000		79,153
HYPERMARKETS & SUPER CENTERS—0.6%
Wal-Mart Stores Inc., 3.63%, 7/8/20(L2)	350,000		352,440
INDUSTRIAL CONGLOMERATES—0.3%
Tyco International Finance SA, 8.50%, 1/15/19(L2)	150,000		196,315
INTEGRATED TELECOMMUNICATION SERVICES—0.6%
Cellco Partnership / Verizon Wireless Capital LLC, 7.38%, 11/15/13(L2)	325,000		386,464
LIFE & HEALTH INSURANCE—0.8%
Lincoln National Corp., 7.00%, 6/15/40(L2)	150,000		163,931
Lincoln National Corp., 8.75%, 7/1/19(L2)	150,000		189,009
Prudential Financial Inc., 8.88%, 6/15/38(L2)	150,000		166,875
			519,815
LIFE SCIENCES TOOLS & SERVICES—0.5%
Life Technologies Corp., 3.38%, 3/1/13(L2)	150,000		154,070
Life Technologies Corp., 4.40%, 3/1/15(L2)	150,000		157,437
			311,507
MORTGAGE REITS—0.7%
Reckson Operating Partnership LP, 7.75%, 3/15/20(L2)(b)	425,000		418,690

	PRINCIPAL AMOUNT		VALUE
CORPORATE BONDS—(CONT.)
MOVIES & ENTERTAINMENT—0.4%
Time Warner Cable Inc., 8.25%, 2/14/14(L2)	$	100,000	$	119,329
Time Warner Inc., 3.15%, 7/15/15(L2)	100,000		102,434
			221,763
MULTI-UTILITIES—0.9%
Consolidated Edison Co., of New York Inc., 5.30%, 12/1/16(L2)	475,000		535,395
OIL & GAS EXPLORATION & PRODUCTION—0.9%
Devon Energy Corp., 6.30%, 1/15/19(L2)	150,000		176,461
Plains Exploration & Production Co., 7.63%, 4/1/20(L2)	350,000		356,125
			532,586
OIL & GAS STORAGE & TRANSPORTATION—0.3%
Williams Cos Inc., /The, 8.75%, 1/15/20(L2)	150,000		187,658
OTHER DIVERSIFIED FINANCIAL SERVICES—1.8%
Bank of America Corp., 5.63%, 7/1/20(L2)	150,000		155,067
Citigroup Inc., 8.50%, 5/22/19(L2)	350,000		426,013
JPMorgan Chase & Co., 7.90%, 12/30/49(L2)	500,000		524,040
			1,105,120
PACKAGED FOODS & MEATS—0.1%
Kraft Foods Inc., 6.75%, 2/19/14(L2)	75,000		87,021
PHARMACEUTICALS—1.1%
AstraZeneca PLC, 5.40%, 6/1/14(L2)	300,000		338,884
Roche Holdings Inc., 5.00%, 3/1/14(L2)(b)	325,000		361,339
			700,223
PROPERTY & CASUALTY INSURANCE—1.7%
CNA Financial Corp., 7.35%, 11/15/19(L2)	350,000		380,981
Liberty Mutual Group Inc., 7.80%, 3/15/37(L2)(b)	300,000		270,000
XL Group PLC, 6.50%, 12/31/49(L2)	500,000		385,000
			1,035,981
SEMICONDUCTORS—0.3%
Analog Devices Inc., 5.00%, 7/1/14(L2)	150,000		163,703
SOFT DRINKS—0.6%
Coco-Cola Co., /The, 4.88%, 3/15/19(L2)	300,000		335,524
SPECIALIZED REITS—0.6%
Host Hotels & Resorts LP, 7.13%, 11/1/13(L2)	350,000		357,875
TOTAL CORPORATE BONDS (Cost $14,369,324)			15,383,073
MUNICIPAL BONDS—0.6%
MUNICIPAL BONDS—0.6%
State of Hawaii, 5.10%, 2/1/24(L2) (Cost $353,490)	350,000		369,250
COLLATERALIZED MORTGAGE OBLIGATIONS—1.6%
ASSET BACKED SECURITIES—1.6%
American Tower Trust, 2007-1A, 5.96%, 4/15/37(L2)(b)	500,000		542,150

	PRINCIPAL AMOUNT		VALUE
COLLATERALIZED MORTGAGE OBLIGATIONS—(CONT.)
ASSET BACKED SECURITIES—(CONT.)
LB-UBS Commercial Mortgage Trust, 5.21%, 7/15/37(L2)	$	420,000	$	415,976
			958,126
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (Cost $919,478)			958,126
ASSET BACKED SECURITIES—1.0%
MULTI-UTILITIES—0.4%
CenterPoint Energy Transition Bond Co., LLC, 2005A, 4.97%, 8/1/14(L2)	238,064		247,855
OTHER DIVERSIFIED FINANCIAL SERVICES—0.6%
Nissan Auto Receivables Owner Trust, 2005A, 3.20%, 2/15/13(L2)	350,000		357,937
TOTAL ASSET BACKED SECURITIES (Cost $588,358)			605,792
U.S. GOVERNMENT & AGENCY MORTGAGE BACKED OBLIGATIONS—4.1% (c)
COLLATERALIZED MORTGAGE BACKED OBLIGATIONS—3.4%
Federal National Mortgage Association REMICS,
6.00%, 4/25/35 +,(L2)	950,000		1,052,237
Federal Home Loan Mortgage Corp REMICS,
6.00%, 8/15/29 +,(L2)	900,000		912,928
Government National Mortgage Association REMICS,
5.00%, 5/16/29 +,(L2)	139,226		140,774
			2,105,939
FEDERAL NATIONAL MORTGAGE ASSOCIATION—0.7%
Federal National Mortgage Association,
5.00%, 4/01/18 (L2)	377,084		406,154
TOTAL U.S. GOVERNMENT & AGENCY MORTGAGE BACKED OBLIGATIONS (Cost $2,375,937)			2,512,093
U.S. GOVERNMENT & AGENCY OBLIGATIONS (EXCLUDING MORTGAGE-BACKED)—11.9% (c)
FEDERAL FARM CREDIT BANK—0.9%
Federal Farm Credit Bank,
4.95%, 10/18/18 (L2)	455,000		525,867
FEDERAL HOME LOAN BANK—0.5%
Federal Home Loan Banks,
5.38%, 6/08/12 (L2)	275,000		299,059
FEDERAL NATIONAL MORTGAGE ASSOCIATION—2.2%
Federal National Mortgage Association,
4.63%, 5/01/13 (L2)	600,000		649,664
5.00%, 2/13/17 (L2)	600,000		694,351
			1,344,015

	PRINCIPAL AMOUNT			VALUE
U.S. GOVERNMENT & AGENCY OBLIGATIONS (EXCLUDING MORTGAGE-BACKED)—(CONT.)
U.S. GOVERNMENT NOTE/BOND—8.3%
U.S. Treasury Notes
4.38%, 5/15/40 (L2)	$	350,000		$	374,174
5.00%, 8/15/11 (L2)	700,000			734,098
1.13%, 1/15/12 (L2)	300,000			303,129
1.50%, 12/31/13 (L2)	600,000			610,641
4.75%, 5/15/14 (L2)	552,000			627,124
4.50%, 2/15/16 (L2)	300,000			342,773
4.75%, 8/15/17 (L2)	300,000			349,523
3.38%, 11/15/19 (L2)	850,000			886,258
3.50%, 5/15/20 (L2)	350,000			367,611
				4,595,331
TOTAL U.S. GOVERNMENT & AGENCY OBLIGATIONS (EXCLUDING MORTGAGE-BACKED) (Cost $6,758,262)				7,213,428
SHORT-TERM INVESTMENTS—3.2%
TIME DEPOSITS—3.2%
Citibank, London, 0.03%, 8/02/10(L2) (Cost $1,930,504)	1,930,504			1,930,504
Total Investments (Cost $60,487,956)(d)	99.6		%	60,700,475
Other Assets in Excess of Liabilities	0.4			236,989
NET ASSETS	100.0		%	$	60,937,464

‡	Securities classified as Level 1 for ASC 820 disclosure purposes based on valuation inputs unless otherwise noted.
+	Real Estate Mortgage Investment Conduit
*	Non-income producing security.
#	American Depository Receipts.
(a)	These securities are required to be converted on the date listed; they generally may be converted prior to this date at the option of the holder.
(b)	Pursuant to Securities and Exchange Commission Rule 144A, these securities may be sold prior to their maturity only to qualified institutional buyers.  These securities are deemed to be liquid and represent 5.9% of the net assets of the Fund.
(c)	Securities issued by these agencies, except for United States Treasury Notes and Bonds, are neither guaranteed nor issued by the United States Government.
(d)	At July 31, 2010, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $60,487,956 amounted to $212,519 which consisted of aggregate gross unrealized appreciation of $5,028,220 and aggregate gross unrealized depreciation of $4,815,701.
(L2)	Security classified as Level 2 for ASC 820 disclosure purposes based on valuation inputs.

See Notes to Schedule of Investments.

THE ALGER FUNDS  |  ALGER CONVERTIBLE FUND

Schedule of Investments‡  (Unaudited) July 31, 2010

	SHARES	VALUE
COMMON STOCKS—4.1%
CASINOS & GAMING—0.4%
International Game Technology	7,500	$	114,300
INDUSTRIAL CONGLOMERATES—0.6%
General Electric Co.	10,000	161,200
OIL & GAS STORAGE & TRANSPORTATION—2.4%
Inergy LP	15,000	638,100
PHARMACEUTICALS—0.7%
GlaxoSmithKline PLC#	5,500	193,435
TOTAL COMMON STOCKS (Cost $1,086,955)		1,107,035
CONVERTIBLE PREFERRED STOCK—9.6%
AGRICULTURAL PRODUCTS—1.4%
Archer-Daniels-Midland Co., 6.25%, 6/1/2011*(a)	10,000	384,100
CONSUMER FINANCE—1.5%
SLM Corp., 7.25%, 12/15/2010*	600	380,736
DIVERSIFIED METALS & MINING—1.0%
Vale Capital II, 6.75%, 6/15/2012*	3,400	272,452
ELECTRIC UTILITIES—1.0%
PPL Corp., 9.50%, 7/1/2013*,(L2)	5,000	278,650
MULTI-LINE INSURANCE—0.9%
Hartford Financial Services Group Inc., 7.25%, 4/1/2013*	10,000	245,000
OIL & GAS EXPLORATION & PRODUCTION—1.0%
Whiting Petroleum Corp., 6.25%, 12/31/2049*	1,250	267,500
OTHER DIVERSIFIED FINANCIAL SERVICES—0.9%
Bank of America Corp., 7.25%, 12/31/1949*	250	230,000
PHARMACEUTICALS—0.9%
Mylan Inc., 6.50%, 11/15/2010*(a)	221	234,205
PROPERTY & CASUALTY INSURANCE—1.0%
XL Capital Ltd., 10.75%, 8/15/2011*(a)	10,000	265,000
TOTAL CONVERTIBLE PREFERRED STOCK (Cost $2,137,518)		2,557,643
MANDATORY CONVERTIBLE PREFERRED STOCK—5.9%
ELECTRIC UTILITIES—1.9%
Nextera Energy Inc., 8.38%, 6/1/2012*	10,000	514,000
OIL & GAS EXPLORATION & PRODUCTION—2.6%
Apache Corp., 6.00%, 8/1/2013*	12,748	692,599
OTHER DIVERSIFIED FINANCIAL SERVICES—1.4%
Citigroup Inc., 7.50%, 12/15/2012*(a)	3,000	365,100
TOTAL MANDATORY CONVERTIBLE PREFERRED STOCK (Cost $1,452,350)		1,571,699
PREFERRED STOCKS—10.8%
DIVERSIFIED BANKS—3.4%
HSBC Holdings PLC, 8.0%%, 12/15/2015*	20,000	519,600

	SHARES	VALUE
PREFERRED STOCKS—(CONT.)
DIVERSIFIED BANKS—(CONT.)
Wells Fargo Capital XIV, 8.63%, 9/14/2068 *	15,000	$	412,050
		931,650
INVESTMENT BANKING & BROKERAGE—1.9%
Goldman Sachs Group Inc., /The, 6.20%, 10/31/2010*	20,000	496,600
OTHER DIVERSIFIED FINANCIAL SERVICES—2.1%
JPMorgan Chase & Co., 8.63%, 9/1/2013*	20,000	549,400
REGIONAL BANKS—3.0%
BB&T Capital Trust V, 8.95%, 9/15/2013 *	10,000	267,500
Zions Bancorp, 11.00%,   *	20,000	529,200
		796,700
SPECIALIZED REITS—0.4%
Public Storage, 6.88%, 4/15/2015*	4,419	111,270
TOTAL PREFERRED STOCKS (Cost $2,719,475)		2,885,620

	PRINCIPAL AMOUNT
CONVERTIBLE CORPORATE BONDS—62.0%
AIRLINES—1.6%
UAL Corp., 6.00%, 10/15/29(L2)	150,000	426,750
APPLICATION SOFTWARE—3.1%
Concur Technologies Inc., 2.50%, 4/15/15(L2)(b)	250,000	271,563
Lawson Software Inc., 2.50%, 4/15/12(L2)	300,000	301,125
Salesforce.com Inc., 0.75%, 1/15/15(L2)(b)	200,000	256,750
		829,438
AUTO PARTS & EQUIPMENT—1.5%
TRW Automotive Inc., 3.50%, 12/1/15(L2)(b)	300,000	408,749
AUTOMOBILE MANUFACTURERS—0.9%
Ford Motor Co., 4.25%, 11/15/16(L2)	150,000	228,938
BREWERS—1.2%
Molson Coors Brewing Co., 2.50%, 7/30/13(L2)	300,000	331,875
CABLE & SATELLITE—1.3%
Virgin Media Inc., 6.50%, 11/15/16(L2)	250,000	348,438
COAL & CONSUMABLE FUELS—1.2%
Alpha Natural Resources Inc., 2.38%, 4/15/15(L2)	300,000	319,500
COMMUNICATIONS EQUIPMENT—3.4%
Ciena Corp., 4.00%, 3/15/15(L2)(b)	500,000	485,625
Finisar Corp., 5.00%, 10/15/29(L2)(b)	250,000	427,813
		913,438
COMPUTER STORAGE & PERIPHERALS—2.4%
EMC Corp., 1.75%, 12/1/13(L2)	300,000	405,750
Sandisk Corp., 1.00%, 5/15/13(L2)	250,000	229,375
		635,125
CONSTRUCTION MATERIALS—0.9%
Cemex SAB de CV, 4.88%, 3/15/15(L2)(b)	250,000	250,000
DEPARTMENT STORES—1.2%
Saks Inc., 2.00%, 3/15/24(L2)	350,000	318,938

	PRINCIPAL AMOUNT		VALUE
CONVERTIBLE CORPORATE BONDS—(CONT.)
DIVERSIFIED METALS & MINING—1.1%
Sterlite Industries India Ltd., 4.00%, 10/30/14(L2)	$	300,000	$	291,750
ELECTRICAL COMPONENTS & EQUIPMENT—1.7%
General Cable Corp., 4.50%, 11/15/29(L2)	462,000		439,478
GOLD—3.3%
AngloGold Ashanti Holdings Finance PLC, 3.50%, 5/22/14(L2)(b)	500,000		548,125
Goldcorp Inc., 2.00%, 8/1/14(L2)	300,000		342,375
			890,500
HEALTH CARE EQUIPMENT—0.9%
Insulet Corp., 5.38%, 6/15/13(L2)	250,000		249,063
HOMEBUILDING—1.0%
D.R. Horton Inc., 2.00%, 5/15/14(L2)	250,000		272,188
HOTELS RESORTS & CRUISE LINES—3.9%
Gaylord Entertainment Co., 3.75%, 10/1/14(L2)(b)	425,000		530,718
Wyndham Worldwide Corp., 3.50%, 5/1/12(L2)	250,000		513,437
			1,044,155
INDUSTRIAL CONGLOMERATES—0.6%
Textron Inc., 4.50%, 5/1/13(L2)	100,000		172,125
INTEGRATED TELECOMMUNICATION SERVICES—0.9%
SAVVIS Inc., 3.00%, 5/15/12(L2)	250,000		248,438
INTERNET SOFTWARE & SERVICES—1.2%
Equinix Inc., 4.75%, 6/15/16(L2)	250,000		330,313
LIFE SCIENCES TOOLS & SERVICES—1.3%
Invitrogen Corp., 3.25%, 6/15/25(L2)	320,000		342,400
MANAGED HEALTH CARE—1.2%
Amerigroup Corp., 2.00%, 5/15/12(L2)	300,000		312,750
METAL & GLASS CONTAINERS—1.8%
Owens-Brockway, 3.00%, 6/1/15(L2)(b)	500,000		478,125
MULTI-UTILITIES—1.2%
CMS Energy Corp., 5.50%, 6/15/29(L2)	250,000		307,500
OFFICE REITS—1.9%
Boston Properties LP, 2.88%, 2/15/37(L2)	500,000		500,624
OIL & GAS DRILLING—2.1%
Transocean Inc., 1.63%, 12/15/37(L2)	575,000		564,938
OIL & GAS EQUIPMENT & SERVICES—1.4%
Cameron International Corp., 2.50%, 6/15/26(L2)	100,000		125,000
Sesi LLC, 1.50%, 12/15/26(L2)	250,000		238,750
			363,750
OIL & GAS EXPLORATION & PRODUCTION—3.0%
Bill Barrett Corp., 5.00%, 3/15/28(L2)	300,000		303,374
Penn Virginia Corp., 4.50%, 11/15/12(L2)	250,000		239,375
Quicksilver Resources Inc., 1.88%, 11/1/24(L2)	250,000		271,563
			814,312
OIL & GAS REFINING & MARKETING—1.2%
St. Mary Land & Exploration Co., 3.50%, 4/1/27(L2)	300,000		319,125

	PRINCIPAL AMOUNT			VALUE
CONVERTIBLE CORPORATE BONDS—(CONT.)
PHARMACEUTICALS—2.7%
Biovail Corp., 5.38%, 8/1/14(L2)(b)	$	250,000		$	394,062
Teva Pharmaceutical Finance Co., BV, 1.75%, 2/1/26(L2)	300,000			336,375
				730,437
SEMICONDUCTORS—4.9%
Intel Corp., 3.25%, 8/1/39(L2)(b)	400,000			475,999
Microchip Technology Inc., 2.13%, 12/15/37(L2)(b)	250,000			265,000
Micron Technology Inc., 4.25%, 10/15/13(L2)	150,000			239,063
Xilinx Inc., 2.63%, 6/15/17(L2)(b)	300,000			331,125
				1,311,187
SPECIALIZED FINANCE—1.1%
KKR Financial Holdings LLC, 7.50%, 1/15/17(L2)	250,000			300,625
SPECIALIZED REITS—1.1%
Host Hotels & Resorts LP, 2.50%, 10/15/29(L2)(b)	250,000			302,813
STEEL—0.4%
Allegheny Technologies Inc., 4.25%, 6/1/14(L2)	75,000			102,281
THRIFTS & MORTGAGE FINANCE—1.0%
MGIC Investments Inc., 5.00%, 5/1/17(L2)	250,000			257,813
WIRELESS TELECOMMUNICATION SERVICES—2.4%
NII Holdings Inc., 2.75%, 8/15/25(L2)	213,000			213,799
SBA Communications Corp., 1.88%, 5/1/13(L2)	400,000			420,499
				634,298
TOTAL CONVERTIBLE CORPORATE BONDS (Cost $14,404,039)				16,592,177
CORPORATE BONDS—3.0%
APPLICATION SOFTWARE—2.1%
Cadence Design System Inc., 2.63%, 6/1/15(L2)(b)	500,000			548,125
CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS—0.9%
Navistar Intl., 3.00%, 10/15/14(L2)	200,000			246,500
TOTAL CORPORATE BONDS (Cost $735,158)				794,625
SHORT-TERM INVESTMENTS—4.4%
TIME DEPOSITS—4.4%
Citibank, London, 0.03%, 8/2/10(L2)	1,000,000			1,000,000
HSBC Bank USA, Grand Cayman, 0.03%, 8/2/10(L2)	170,072			170,072
TOTAL TIME DEPOSITS (Cost $1,170,072)				1,170,072
Total Investments (Cost $23,705,567)(c)	99.8		%	26,678,871
Other Assets in Excess of Liabilities	0.2			49,750
NET ASSETS	100.0		%	$	26,728,621

‡	Securities classified as Level 1 for ASC 820 disclosure purposes based on valuation inputs unless otherwise noted.
*	Non-income producing security.
#	American Depository Receipts.
(a)	These securities are required to be converted on the date listed; they generally may be converted prior to this date at the option of the holder.
(b)	Pursuant to Securities and Exchange Commission Rule 144A, these securities may be sold prior to their maturity only to qualified institutional buyers.  These securities are deemed to be liquid and represent 22.4% of the net assets of the Fund.
(c)	At July 31, 2010, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $23,705,567 amounted to $2,973,304 which consisted of aggregate gross unrealized appreciation of $3,467,694 and aggregate gross unrealized depreciation of $494,390.
(L2)	Security classified as Level 2 for ASC 820 disclosure purposes based on valuation inputs.

See Notes to Schedule of Investments.

THE ALGER FUNDS  |  ALGER MONEY MARKET FUND

Schedule of Investments (Unaudited) July 31, 2010

	PRINCIPAL AMOUNT			VALUE
U.S. GOVERNMENT & AGENCY OBLIGATIONS (EXCLUDING MORTGAGE-BACKED)—72.5% (a)
FEDERAL FARM CREDIT BANK—36.3%
Farmer Mac Discount Notes,
0.16%, 8/03/10 (L2)	$	5,000,000		$	4,999,978
0.13%, 8/12/10 (L2)	5,000,000			4,999,819
0.17%, 8/23/10 (L2)	5,000,000			4,999,504
				14,999,301
FEDERAL HOME LOAN BANK—24.2%
Federal Home Loan Bank Discount Notes,
0.12%, 8/03/10 (L2)	5,000,000			4,999,983
0.10%, 8/19/10 (L2)	5,000,000			4,999,764
				9,999,747
FEDERAL NATIONAL MORTGAGE ASSOCIATION—12.0%
Fannie Mae Discount Notes,
0.17%, 9/01/10 (L2)	5,000,000			4,999,292
TOTAL U.S. GOVERNMENT & AGENCY OBLIGATIONS (EXCLUDING MORTGAGE-BACKED) (Cost $29,998,340)				29,998,340
SHORT-TERM INVESTMENTS—27.7%
TIME DEPOSITS—27.7%
Bank of American NA, 0.03%, 8/2/10(L2)	1,600,000			1,600,000
Brown Bothers Harriman, Cayman, 0.03%, 8/2/10(L2)	5,084,787			5,084,787
Citibank, London, 0.03%, 8/2/10(L2)	1,600,000			1,600,000
HSBC Bank USA, Grand Cayman, 0.03%, 8/2/10(L2)	1,600,000			1,600,000
Wells Fargo Grand Cayman, 0.03%, 8/2/10(L2)	1,600,000			1,600,000
TOTAL TIME DEPOSITS (Cost $11,484,787)				11,484,787
Total Investments (Cost $41,483,127)(b)	100.2		%	41,483,127
Liabilities in Excess of Other Assets	(0.2		)	(86,142		)
NET ASSETS	100.0		%	$	41,396,985

(a)Securities issued by these agencies, except for United States Treasury Notes and Bonds, are neither guaranteed nor issued by the United States Government.

(b)At July 31, 2010, the cost of investments for federal income tax purposes was the same as the cost for financial reporting purposes.

(L2)Security classified as Level 2 for ASC 820 disclosure purposes based on valuation inputs.

See Notes to Schedule of Investments.

THE ALGER FUNDS

NOTES TO SCHEDULE OF INVESTMENTS (Unaudited)

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 operates as a series company currently issuing an unlimited number of shares of beneficial interest in ten funds— Alger Capital Appreciation Fund, Alger Large Cap Growth Fund, Alger Mid Cap Growth Fund, Alger SMid Cap Growth Fund, Alger Small Cap Growth Fund, Alger Growth Opportunities Fund, Alger Health Sciences Fund, Alger Balanced Fund, Alger Convertible Fund, and Alger Money Market Fund (collectively, the “Funds” or individually, each a “Fund”). The Alger Capital Appreciation Fund, Alger Large Cap Growth Fund, Alger Mid Cap Growth Fund, Alger SMid Cap Growth Fund, Alger Small Cap Growth Fund, Alger Growth Opportunities 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 Balanced Fund and Alger Convertible Funds’ investment objectives are current income and long-term capital appreciation which they seeks to achieve through investing in equity and fixed income securities. The Alger Money Market Fund’s investment objective is high current income which it seeks to achieve by investing in short-term instruments.

Each Fund offers one or more the following Shares Classes: Class A, B, C, and I. 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 shares that are sold to institutional investors without an initial or deferred sales charge. Each class has identical rights to assets and earnings except each share class bears the cost for its plan of distribution and transfer agency services.

NOTE 2 — Significant Accounting Policies:

(a) Investment Valuation: Investments of the Funds 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 time). Equity securities and option contracts for which such information is readily available are valued at the last reported 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 reported sales, securities are valued at a price within the bid and ask price or, in the absence of a recent bid or ask price, the equivalent as obtained from one or more of the major market makers for the securities to be valued.

Debt securities generally trade in the over-the-counter market.  Securities with remaining maturities of more than sixty days at the time of acquisition are valued at prices furnished by dealers who make markets in such securities or by an independent pricing service, which considers the yield or price of bonds of comparable quality, coupon, maturity and type, as well as prices quoted by dealers who make markets in such securities.

The investments of the Alger Money Market Fund, and short-term securities held by the other Funds having a remaining maturity of sixty days or less, are valued at amortized cost

which approximates market value. Shares of mutual funds are valued at the net asset value of the underlying mutual fund.

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 of Trustees.

Securities in which the Funds invest may be traded in 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 (normally 4:00 p.m. Eastern time) may result in adjustments to the closing prices to reflect what the investment manager, pursuant to policies established by the Board of Trustees, 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 consistent with the market approach whereby prices and other relevant information generated by market transactions involving identical or comparable assets are used to measure fair value.  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, a broker quote in an inactive market, 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 on a compilation of observable market information such as spreads for fixed income and preferred securities.  Inputs for Level 3 include derived prices from unobservable market information which can include cash flows and other information obtained from a company’s financial statements, or from market indicators such as benchmarks and indices.

NOTE 3 — Fair Value Measurements:

On Jan. 21, 2010, the Financial Accounting Standards Board issued an Accounting Standards Update (the amendment), Fair Value Measurements and Disclosures (Topic 820): Improving Disclosures about Fair Value Measurements, which provides guidance on how investment assets and liabilities are to be valued and disclosed. Specifically, the amendment requires reporting entities to disclose the input and valuation techniques used to measure fair value for both recurring and nonrecurring fair value measurements for Level 2 or Level 3 positions. The amendment also requires that transfers between all levels (including Level 1 and Level 2) be disclosed on a gross basis (i.e., transfers out must be disclosed separately from transfers in), and the reason(s) for the transfer. Additionally purchases, sales, issuances and settlements must be disclosed on a gross basis in the Level 3 rollforward. The effective date of the amendment is for interim and annual periods beginning after Dec. 15, 2009, however, the requirement to provide the Level 3 activity for purchases, sales, issuances and settlements on a gross basis will be effective for interim and annual periods beginning after Dec. 15, 2010. At this time the Fund is evaluating the implications of the amendment to provide the Level 3 activity on a gross basis.

The major categories of securities and their respective fair value inputs are detailed in each Fund’s Schedule of Investments.  The following is a summary of the inputs used as of July 31. 2010 in valuing the Funds’ investments carried at fair value:

Alger Capital Appreciation Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$	65,426,674	$	65,426,674	—		—
Consumer Staples	33,223,137		33,223,137		—		—
Energy	71,715,106		71,715,106		—		—
Financials	45,508,461		45,508,461		—		—
Health Care	92,331,872		92,331,872		—		—
Industrials	99,852,894		99,852,894		—		—
Information Technology	288,201,648		288,201,648		—		—
Materials	38,210,501		38,210,501		—		—
TOTAL COMMON STOCKS	$	734,470,293	$	734,470,293	—		—
PURCHASE AGREEMENT
Energy	$	7,213,584	—		$	7,213,584	—
SHORT-TERM INVESTMENTS
Time Deposits	$	48,255,986	—		$	48,255,986	—
TOTAL INVESTMENTS IN SECURITIES	$	789,939,863	$	734,470,293	$	55,469,570	—

Alger Large Cap Growth Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$	26,304,672	$	26,304,672	—		—
Consumer Staples	32,229,376		32,229,376		—		—
Energy	23,593,887		23,593,887		—		—
Financials	17,303,548		17,303,548		—		—
Health Care	35,936,383		35,936,383		—		—
Industrials	31,732,547		31,732,547		—		—
Information Technology	90,050,689		90,050,689		—		—
Materials	15,890,822		15,890,822		—		—
Telecommunication Services	1,729,070		1,729,070		—		—
Utilities	2,805,202		2,805,202		—		—
TOTAL COMMON STOCKS	$	277,576,196	$	277,576,196	—		—
SHORT-TERM INVESTMENTS
Time Deposits	$	6,942,096	—		$	6,942,096	—
TOTAL INVESTMENTS IN SECURITIES	$	284,518,292	$	277,576,196	$	6,942,096	—

Alger Mid Cap Growth Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$	44,539,634	$	44,539,634	—		—
Consumer Staples	7,172,785		7,172,785		—		—
Energy	21,085,356		21,085,356		—		—
Financials	36,818,884		36,818,884		—		—
Health Care	50,050,237		50,050,237		—		—
Industrials	41,622,770		41,622,770		—		—
Information Technology	74,215,863		74,215,863		—		—
Materials	13,111,085		13,111,085		—		—
TOTAL COMMON STOCKS	$	288,616,614	$	288,616,614	—		—
CONVERTIBLE CORPORATE BONDS
Telecommunication Services	$	3,485,982	—		$	3,485,982	—
PURCHASE AGREEMENT
Energy	$	3,818,627	—		$	3,818,627	—
SHORT-TERM INVESTMENTS
Time Deposits	$	11,385,362	—		$	11,385,362	—
TOTAL INVESTMENTS IN SECURITIES	$	307,306,585	$	288,616,614	$	18,689,971	—

Alger SMid Cap Growth Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$	124,939,064	$	124,939,064	—		—
Consumer Staples	16,038,997		16,038,997		—		—
Energy	32,022,954		32,022,954		—		—
Financials	48,979,748		48,979,748		—		—
Health Care	120,022,877		120,022,877		—		—
Industrials	125,305,578		125,305,578		—		—
Information Technology	184,716,414		184,716,414		—		—
Materials	33,010,574		33,010,574		—		—
Telecommunication Services	9,643,779		9,643,779		—		—
Utilities	8,681,220		8,681,220		—		—
TOTAL COMMON STOCKS	$	703,361,205	$	703,361,205	—		—
SHORT-TERM INVESTMENTS
Time Deposits	$	21,789,676	—		$	21,789,676	—
TOTAL INVESTMENTS IN SECURITIES	$	725,150,881	$	703,361,205	$	21,789,676	—

Alger Small Cap Growth Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$	62,795,392	$	62,795,392	—		—
Consumer Staples	7,338,871		7,338,871		—		—
Energy	13,351,905		13,351,905		—		—
Financials	14,660,559		14,660,559		—		—
Health Care	62,473,822		62,473,822		—		—
Industrials	59,493,862		59,493,862		—		—
Information Technology	79,991,465		79,991,465		—		—
Materials	10,639,484		10,639,484		—		—
Telecommunication Services	3,619,693		3,619,693		—		—
Utilities	3,988,822		3,988,822		—		—
TOTAL COMMON STOCKS	$	318,353,875	$	318,353,875	—		—
SHORT-TERM INVESTMENTS
Time Deposits	$	10,977,339	—		$	10,977,339	—
TOTAL INVESTMENTS IN SECURITIES	$	329,331,214	$	318,353,875	$	10,977,339	—

Alger Growth Opportunities Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$	2,001,186	$	2,001,186	—		—
Consumer Staples	331,437		331,437		—		—
Energy	466,115		466,115		—		—
Financials	675,015		675,015		—		—
Health Care	2,148,421		2,148,421		—		—
Industrials	1,787,804		1,787,804		—		—
Information Technology	2,647,073		2,647,073		—		—
Materials	438,290		438,290		—		—
Telecommunication Services	120,118		120,118		—		—
Utilities	109,508		109,508		—		—
TOTAL COMMON STOCKS	$	10,724,967	$	10,724,967	—		—
SHORT-TERM INVESTMENTS
Time Deposits	$	445,637	—		$	445,637	—
TOTAL INVESTMENTS IN SECURITIES	$	11,170,604	$	10,724,967	$	445,637	—

Alger Health Sciences Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Staples	$	6,058,206	$	6,058,206	—		—
Health Care	203,836,742		203,836,742		—		—
Industrials	1,317,368		1,317,368		—		—
TOTAL COMMON STOCKS	$	211,212,316	$	211,212,316	—		—
SHORT-TERM INVESTMENTS
Time Deposits	$	22,643,837	—		$	22,643,837	—
TOTAL INVESTMENTS IN SECURITIES	$	233,856,153	$	211,212,316	$	22,643,837	—

Alger Balanced Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$	2,635,263	$	2,635,263	—		—
Consumer Staples	3,577,330		3,577,330		—		—
Energy	2,850,151		2,850,151		—		—
Exchange Traded Funds	611,802		611,802		—		—
Financials	2,907,766		2,907,766		—		—
Health Care	3,409,489		3,409,489		—		—
Industrials	3,442,017		3,442,017		—		—
Information Technology	7,466,896		7,466,896		—		—
Materials	1,237,971		1,237,971		—		—
Telecommunication Services	223,762		223,762		—		—
TOTAL COMMON STOCKS	$	28,362,447	$	28,362,447	—		—
CONVERTIBLE CORPORATE BONDS
Energy	$	521,437	—		$	521,437	—
Information Technology	357,000		—		357,000		—
Materials	588,250		—		588,250		—
Telecommunication Services	202,125		—		202,125		—
Utilities	307,500		—		307,500		—
TOTAL CONVERTIBLE CORPORATE BONDS	$	1,976,312	—		$	1,976,312	—
CONVERTIBLE PREFERRED STOCK
Financials	$	294,000	$	294,000	—		—
Utilities	222,920		—		222,920		—
TOTAL CONVERTIBLE PREFERRED STOCK	$	516,920	$	294,000	$	222,920	—
CORPORATE BONDS
Consumer Discretionary	$	2,183,473	—		$	2,183,473	—
Consumer Staples	774,985		—		774,985		—
Energy	794,400		—		794,400		—
Financials	5,853,437		—		5,853,437		—
Health Care	2,157,579		—		2,157,579		—
Industrials	728,747		—		728,747		—
Information Technology	1,071,293		—		1,071,293		—
Materials	182,748		—		182,748		—
Telecommunication Services	386,464		—		386,464		—
Utilities	1,249,947		—		1,249,947		—
TOTAL CORPORATE BONDS	$	15,383,073	—		$	15,383,073	—
MANDATORY CONVERTIBLE PREFERRED STOCK
Financials	$	352,930	$	352,930	—		—
MUNICIPAL BONDS
Municipal Bonds	$	369,250	—		$	369,250	—
PREFERRED STOCKS
Financials	$	519,600	$	519,600	—		—
COLLATERALIZED MORTGAGE OBLIGATIONS
Asset Backed Securities	$	958,126	—		$	958,126	—
ASSET BACKED SECURITIES
Financials	$	357,937	—		$	357,937	—
Utilities	247,855		—		247,855		—
TOTAL ASSET BACKED SECURITIES	$	605,792	—		$	605,792	—

Alger Balanced Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
U.S. GOVERNMENT & AGENCY MORTGAGE BACKED OBLIGATIONS
Collateralized Mortgage Backed Obligations	$	2,105,939	—		$	2,105,939	—
Federal National Mortgage Association	406,154		—		406,154		—
TOTAL U.S. GOVERNMENT & AGENCY MORTGAGE BACKED OBLIGATIONS	$	2,512,093	—		$	2,512,093	—
U.S. GOVERNMENT & AGENCY OBLIGATIONS (EXCLUDING MORTGAGE-BACKED)
Federal Farm Credit Bank	$	525,867	—		$	525,867	—
Federal Home Loan Bank	299,059		—		299,059		—
Federal National Mortgage Association	1,344,015		—		1,344,015		—
U.S. Treasury Notes	4,595,331		—		4,595,331		—
TOTAL U.S. GOVERNMENT & AGENCY OBLIGATIONS (EXCLUDING MORTGAGE-BACKED)	$	7,213,428	—		$	7,213,428	—
SHORT-TERM INVESTMENTS
Time Deposits	$	1,930,504	—		$	1,930,504	—
TOTAL INVESTMENTS IN SECURITIES	$	60,700,475	$	29,528,977	$	31,171,498	—

Alger Convertible Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$	114,300	$	114,300	—		—
Energy	638,100		638,100		—		—
Health Care	193,435		193,435		—		—
Industrials	161,200		161,200		—		—
TOTAL COMMON STOCKS	$	1,107,035	$	1,107,035	—		—
CONVERTIBLE CORPORATE BONDS
Consumer Discretionary	$	2,621,406	—		$	2,621,406	—
Consumer Staples	331,875		—		331,875		—
Energy	2,381,625		—		2,381,625		—
Financials	1,361,875		—		1,361,875		—
Health Care	1,634,650		—		1,634,650		—
Industrials	1,038,353		—		1,038,353		—
Information Technology	4,019,501		—		4,019,501		—
Materials	2,012,656		—		2,012,656		—
Telecommunication Services	882,736		—		882,736		—
Utilities	307,500		—		307,500		—
TOTAL CONVERTIBLE CORPORATE BONDS	$	16,592,177	—		$	16,592,177	—
CONVERTIBLE PREFERRED STOCK
Consumer Staples	$	384,100	$	384,100	—		—
Energy	267,500		267,500		—		—
Financials	1,120,736		1,120,736		—		—
Health Care	234,205		234,205		—		—
Materials	272,452		272,452		—		—
Utilities	278,650		—		278,650		—
TOTAL CONVERTIBLE PREFERRED STOCK	$	2,557,643	$	2,278,993	$	278,650	—
CORPORATE BONDS
Industrials	$	246,500	—		$	246,500	—
Information Technology	548,125		—		548,125		—
TOTAL CORPORATE BONDS	$	794,625	—		$	794,625	—

Alger Convertible Fund	TOTAL FUND		LEVEL 1		LEVEL 2		LEVEL 3
MANDATORY CONVERTIBLE PREFERRED STOCK
Energy	$	692,599	$	692,599	—		—
Financials	365,100		365,100		—		—
Utilities	514,000		514,000		—		—
TOTAL MANDATORY CONVERTIBLE PREFERRED STOCK	$	1,571,699	$	1,571,699	—		—
PREFERRED STOCKS
Financials	$	2,885,620	$	2,885,620	—		—
SHORT-TERM INVESTMENTS
Time Deposits	$	1,170,072	—		$	1,170,072	—
TOTAL INVESTMENTS IN SECURITIES	$	26,678,871	$	7,843,347	$	18,835,524	—

Alger Money Market Fund	TOTAL FUND		LEVEL 1	LEVEL 2		LEVEL 3
U.S. GOVERNMENT & AGENCY OBLIGATIONS (EXCLUDING MORTGAGE-BACKED)
Federal Farm Credit Bank	$	14,999,301	—	$	14,999,301	—
Federal Home Loan Bank	$	9,999,747	—	$	9,999,747	—
Federal National Mortgage Association	4,999,292		—	4,999,292		—
TOTAL U.S. GOVERNMENT & AGENCY OBLIGATIONS (EXCLUDING MORTGAGE-BACKED)	$	29,998,340	—	$	29,998,340	—
SHORT-TERM INVESTMENTS
Time Deposits	$	11,484,787	—	$	11,484,787	—
TOTAL INVESTMENTS IN SECURITIES	$	41,483,127	—	$	41,483,127	—

For the 3 months ended July 31, 2010, significant transfers between Levels 1 and 2 were as follows:  Alger Capital Appreciation Fund, Alger Mid Cap Growth Fund, Alger Health Sciences Fund, and Alger Balanced Fund transferred foreign securities totaling $87,606, $3,543,810, $12,854,874, and $148,827, respectively, from Level 2 to Level 1, utilizing exchange listed prices rather than fair value adjusted prices.

NOTE 4 — 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.

Forward currency contracts—In connection with portfolio purchases and sales of securities denominated in foreign currencies, the Funds may enter into forward currency contracts. Additionally, each Fund may enter into such contracts to economically hedge certain other foreign currency denominated investments. These contracts are valued at the current cost of covering or offsetting such contracts, and the related realized and unrealized foreign exchange gains and losses are included in the statement of operations. In the event that counterparties fail to settle these currency contracts or the related foreign security trades, a Fund could be exposed to foreign currency fluctuations.

Options—In order to produce incremental earnings or protect against changes in the value of portfolio securities, the Funds may buy and sell put and call options, write covered call options on portfolio securities and write cash-secured put options.

The Funds purchase put options or writes covered call options for speculative purposes or to economically hedge against adverse movements in the value of portfolio holdings. The Funds will segregate assets to cover its obligations under option contracts.

For the 3 months ended July 31, 2010, the Alger Mid Cap Growth Fund had option purchases of $1,264,190 and option sales of $5,352,173. The effect of derivative instruments on the statement of operations for the 3 months ended July 31, 2010 is as follows:

Amount of realized gain (loss) on derivatives recognized in income
Alger Mid Cap Growth Fund
Derivatives not accounted for as hedging instruments	Options
Purchased Options	$	2,235,875
Total	$	2,235,875

ITEM 2.  Controls and Procedures.

(a) Based on their evaluation of Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) as of a date within 90 days of the filing of this document, Registrant’s principal executive officer and principal financial officer found Registrant’s disclosure controls and procedures to provide reasonable assurances that information required to be disclosed by Registrant in the reports it files under the Securities Exchange Act of 1934 (a) is accumulated and communicated to Registrant’s management, including its principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure, and (b) is recorded, processed, summarized and reported within the time periods specified in the rules and forms adopted by the U.S. Securities and Exchange Commission.

(b) No changes in the registrant’s internal control over financial reporting occurred during the registrant’s last fiscal quarter that materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

ITEM 3. Exhibits.

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.

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/Daniel C. Chung
Daniel C. Chung
President
Date: September 28, 2010

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/Daniel C. Chung
Daniel C. Chung
President
Date: September 28, 2010
By	/s/ Michael D. Martins
Michael D. Martins
Treasurer
Date: September 28, 2010