N-CSRS 1 ef20031805_n-csrs.htm N-CSRS
 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM N-CSR

 

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES

 

Investment Company Act file number   811-01355

 

The Alger Funds

 

(Exact name of registrant as specified in charter)

 

100 Pearl Street, New York, New York 10004

(Address of principal executive offices) (Zip code)

 

Mr. Hal Liebes

Fred Alger Management, LLC

100 Pearl Street

New York, New York 10004

(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: April 30, 2024

 

Form N-CSR is to be used by management investment companies to file reports with the Commission, not later than 10 days after the transmission to Stockholders of any report to be transmitted to Stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e1).  The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

 

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public.  A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number.  Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 450 Fifth Street, NE, Washington, DC 20549-0609.  The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

 
 
ITEM 1. REPORT(S) TO STOCKHOLDERS.

(a) The following is a copy of the report transmitted to shareholders pursuant to Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1).

 

 

 

Table of Contents

 
THE ALGER FUNDS  

 

 Shareholders’ Letter 2
 Portfolio Summary 22
 Schedules of Investments 24
 Statements of Assets and Liabilities 68
 Statements of Operations 80
 Statements of Changes in Net Assets 86
 Financial Highlights 98
 Notes to Financial Statements 147
 Additional Information 198

 

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Shareholders’ Letter (Unaudited) April 30, 2024

Dear Shareholders,

 

“We tend to overestimate the effect of a technology in the short run and underestimate the effect in the long run.” – Roy Amara

 

At Alger, we integrate our focus on change and the uncertainty it brings with a deep commitment to fundamental bottom-up research. As Roy Amara aptly states, we recognize that while the immediate impacts of new technologies like artificial intelligence (“AI”) may grab headlines, their long-term effects often hold even greater transformative potential. While attention has been focused on recent stock price action of companies involved in enabling and adopting AI technologies, our focus is on their long-term earnings potential, particularly as AI becomes increasingly integrated into our daily lives. In the realm of investing, where uncertainty and change are constants, we base our decisions on forward-looking corporate fundamentals—such as sales, earnings, and cash flow—to generate alpha and foster long-term wealth creation. Our investment approach is centered on identifying companies that we believe are not only positioned for sustained earnings growth but also capable of capitalizing on technological innovations that lead to market disruptions. By focusing on businesses poised to expand their market share and accelerate earnings growth, we strive to create portfolios that reflect growth opportunities amid change and especially positioning our investments for the often-underestimated long-term potential of technological innovations.

 

Reflecting on the fiscal six-month period ending April 30, 2024, increased confidence in a soft-landing scenario—an economic slowdown without a recession—and continued AI enthusiasm drove U.S. equities higher, with the S&P 500 Index finishing up 20.98%. Companies within the Financials and Information Technology sectors outperformed relative to the S&P 500 Index, while the Real Estate and Utilities sectors underperformed during the period. U.S. equities rose steadily for most of the period but declined in April, precipitated by a shift in market expectations from three anticipated Federal Reserve (“Fed”) rate cuts in 2024 to just one, due to higher-than-expected inflation readings, among other inputs. The yield on the U.S. 10-year note began the fiscal six-month period at a peak of 4.90%, then fell by 111 basis points to reach its lowest point of 3.79% on December 27, 2023, before rising to 4.68% by April 30, 2024.

 

Disinflation emerged as a prominent market theme in the final two months of 2023, boosting equity markets as the October Core Consumer Price Index (“CPI”) report came in below consensus estimates. Further, the October Core Personal Consumption Expenditure Price (“PCE”) Index, the Fed’s preferred inflation measure, dropped to its lowest level since March 2021. In late November, Fed Governor Christopher Waller indicated that continued disinflation over the next several months could prompt rate cuts in 2024. This dovish outlook was further supported at the December Federal Open Market Committee (“FOMC”) meeting, where the median projection for the 2024 Federal Funds rate indicated an easing of 75 basis points, with the first rate cut anticipated to be in March 2024.

 

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During the first quarter of 2024, U.S. equities continued their strong rally, largely driven by increased confidence in a soft-landing scenario. Although the January PCE report met expectations, both headline and core CPI figures for that month exceeded estimates, prompting the Fed to postpone the expected March rate cut to June 2024. This cautious approach was affirmed at the March FOMC meeting, where rates were held steady. Despite speculation that the Fed might reduce its rate cut projections following a higher-than-expected February core CPI, the updated Summary of Economic Projections maintained three rate cuts by year’s end.

 

U.S. GDP for the fourth quarter grew by 3.4%, substantially exceeding the initial 2.0% consensus, driven by robust consumer spending. This economic strength was underscored by strong corporate earnings, with many companies reporting better-than-expected fourth-quarter results, thanks to improved profit margins. However, U.S. equities faced a downturn in April after a revision in market expectations. Although six rate cuts were initially anticipated for the year, the projection was lowered to just one following higher-than-expected March CPI figures and a March PCE Index that, while meeting expectations, was deemed too high to start an easing cycle by the Fed.

 

Among non-U.S. equities, Developed Markets demonstrated strong performance during the fiscal six-month period ended April 30, 2024, with the MSCI ACWI ex-USA Index rising by 17.98%. The Financials and Information Technology sectors outperformed the MSCI ACWI ex-USA Index, whereas the Real Estate and Consumer Staples sectors underperformed during the period. Notably, Europe showed encouraging economic growth with moderating inflation, while Japan benefited from well-received corporate governance reforms. Further, the Bank of Japan moved from a negative short-term interest rate policy, reflecting renewed confidence in the economy. In Emerging Markets, technology-focused countries such as Taiwan and Korea displayed strong equity market performance, supported by the ongoing recovery in the semiconductor industry. India also recorded strong results, driven by robust household consumption, moderating inflation, and an uptick in foreign investment, underpinned by strong structural growth from increased government spending and a growing middle class. Consequently, the MSCI Emerging Markets Index climbed 15.56% during the period, with the Financials and Information Technology sectors outperforming, while the Real Estate and Health Care sectors underperformed.

 

Going Forward 

We continue to believe that an unprecedented level of innovation is creating compelling investment opportunities – corporations are digitizing their operations, cloud computing growth continues to support future innovation, and artificial intelligence, which, in our view, is at an inflection point, is potentially enabling significant increases in productivity. In the Health Care sector, we believe that advances in surgical technologies and innovations within biotechnology offer attractive opportunities ahead. As such, we remain committed to deep, fundamental research, as we aim to identify and support the pioneers of these innovations. We believe this approach not only reflects Roy Amara’s insight into managing and understanding the near-term excitement around new innovations, but also strategically positions our investments to capitalize on their long-term potential, ultimately fulfilling our shareholders’ long-term investment goals.

 

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2024 marks Alger’s 60th anniversary in our pursuit of growth investing. Over the past six decades, we have seen much change, including change itself, and believe accelerating change is one of the key reasons why growth stocks have outperformed value investing over the past 20 years. As innovations in areas like artificial intelligence, genomics, and surgical technologies evolve, we see a bright future for our style of growth investing.

 

Portfolio Matters

 

Alger Capital Appreciation Fund 

The Alger Capital Appreciation Fund returned 29.90% for the fiscal six-month period ended April 30, 2024, compared to the 23.56% return of the Russell 1000 Growth Index. During the reporting period, the largest sector weightings were Information Technology and Communication Services. The largest sector overweight was Communication Services and the largest sector underweight was Consumer Staples.

 

Contributors to Performance 

The Information Technology and Industrials sectors provided the largest contributions to relative performance. Regarding individual positions, NVIDIA Corp.; Microsoft Corp.; Meta Platforms Inc; Amazon.com, Inc.; and Natera, Inc. were among the top contributors to absolute performance.

 

NVIDIA is a leading supplier of graphics processing units (GPUs) for a variety of end markets, such as gaming, PCs, data centers, virtual reality and high-performance computing. The company is leading in most secular growth categories in computing, and especially artificial intelligence and super-computing parallel processing techniques for solving complex computational problems. Simply put, NVIDIA’s computational power is a critical enabler of AI and therefore critical to AI adoption, in our view. During the period, the company reported strong operating results above analyst expectations, driven by strong demand from data centers. Further, large cloud service providers were over 50% of revenue, and over 40% of data center revenue was due to inference (i.e., trained AI models working on new data, not activity that is training related to the AI). Management also raised their fiscal first quarter guidance, noting that demand is estimated to outstrip supply over the next year. We continue to believe the company is well positioned to potentially benefit from the growing AI data center workloads, which are driving demand for the increased interconnections and fully accelerated software stacks, thereby enabling leading application performance and fast result times.

 

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Detractors from Performance 

The Consumer Staples and Financials sectors were the largest detractors from relative performance. Regarding individual positions, Humana Inc.; Snowflake, Inc.; SLB; Equinix, Inc.; and Snap, Inc. were among the top detractors from absolute performance.

 

Snowflake is a cloud-based data warehousing company that allows organizations to store, analyze and share data in a secure, scalable and cost-effective manner. This includes the Data Cloud, an ecosystem where Snowflake customers, partners, data providers, and data consumers can break down data silos and derive value from rapidly growing data sets in a secure, governed, and compliant way. Its platform supports a range of use cases, including data warehousing, data lakes, data engineering, data science, data application development, and data sharing. While the company reported overall strong operating results, shares detracted from performance after management lowered their fiscal 2025 forward revenue guidance below analyst estimates. Further, the company announced that CEO Frank Slootman would be retiring from the role immediately, succeeded by Sridhar Ramaswamy, the former SVP of AI who has demonstrated impressive speed in bringing new AI products and features to market.

 

Alger 35 Fund 

The Alger 35 Fund generated a 34.81% return for the fiscal six-month period ended April 30, 2024, compared to the 20.98% return of the S&P 500 Index. During the reporting period, the largest sector weightings were Information Technology and Consumer Discretionary. The largest sector overweight was Information Technology and the largest sector underweight was Financials.

 

Contributors to Performance

The Information Technology and Consumer Discretionary sectors provided the largest contributions to relative performance. Regarding individual positions, NVIDIA Corp.; Natera, Inc.; Amazon.com, Inc.; Spotify Technology; and Microsoft Corporation were among the top contributors to absolute performance.

 

Shares of NVIDIA Corp. contributed to performance in response to developments identified in the Alger Capital Appreciation Fund discussion.

 

Detractors from Performance

The Financials and Consumer Staples sectors were the largest detractors from relative performance. Regarding individual positions, Snap, Inc.; SLB; Snowflake, Inc.; Joby Aviation, Inc.; and Alphabet Inc. were among the top detractors from absolute performance.

 

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Snap operates a social media app that allows its users to interact and communicate with each other through “Snaps” which are short videos and images. During the period, shares detracted from performance after the company reported weaker than expected fiscal fourth quarter operating results. Specifically, company earnings were adversely impacted by a brand advertising pause in October related to the Middle East conflict. Additionally, the platform changes to performance advertising did not elicit as much incremental ad spend as management originally expected. Moreover, the company noted that larger social media platforms have been taking some market share away from Snap. Despite the challenging period, management anticipates improving lower-funnel advertising revenues and a more stable operating environment, as the company appears to be seeing better advertising flow in 2024.

 

Alger Growth & Income Fund 

The Alger Growth & Income Fund returned 17.87% for the fiscal six-month period ended April 30, 2024, compared to the 20.98% return of the S&P 500 Index. During the reporting period, the largest sector weightings were Information Technology and Financials. The largest sector overweight was Energy and the largest sector underweight was Consumer Discretionary.

 

Contributors to Performance 

The Real Estate and Energy sectors provided the largest contributions to relative performance. Regarding individual positions, Broadcom Inc.; Microsoft Corp.; KLA Corp.; JPMorgan Chase & Co.; and Alphabet Inc. were among the top contributors to absolute performance.

 

Broadcom is a global semiconductor company with an extensive product portfolio addressing applications within wired infrastructure, wireless communications, enterprise storage and industrial end markets. The company holds leading positions in networking that are focused on infrastructure solutions to the data center, telecom, and enterprise markets. Broadcom’s semiconductors enhance network performance and reliability by enabling faster data transfer and reduced transmission time. The growing demand for cloud computing, AI, video conferencing, and the Internet of Things continues to drive the need for advanced networking, in our view. During the period, the company reported strong operating results, with revenues and earnings beating analyst estimates. Better-than-expected revenues were driven by strength in its AI semiconductor business. This led management to raise their fiscal 2024 revenue outlook, citing continued improvement across its AI custom compute and high-speed networking franchises. Given the encouraging operating results and increased revenue guidance from management, shares contributed to performance.

 

Detractors from Performance 

The Information Technology and Consumer Discretionary sectors were the largest detractors from relative performance. Regarding individual positions, UnitedHealth Group Inc.; Air Products and Chemicals, Inc.; Cisco Systems, Inc.; Pfizer Inc.; and Adobe Inc. were among the top detractors from absolute performance.

 

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Air Products is one of three major global industrial gas companies which operate in an oligopoly. The company supplies customers with oxygen, nitrogen, hydrogen, and specialty gases like helium and argon. These gases are used in various industrial processes including refining, fertilizer, steelmaking, and manufacturing, as well as in medical and food applications. During the period, shares detracted from performance after the company reported weaker-than-expected fiscal first quarter revenues and earnings. Further, management lowered fiscal second quarter and 2024 earnings guidance, citing weakness in China due to soft volumes in their its business which supplies electronics customers. Despite the challenging period, we believe the company is a defensive name with strong pricing power, where roughly half of its earnings are driven by long-term take-or-pay contracts. As the largest global supplier of hydrogen, a key enabler for decarbonization, we believe the company could potentially benefit directly from the Inflation Reduction Act and other decarbonization incentives supporting the adoption of green and blue hydrogen going forward.

 

Alger Mid Cap Growth Fund 

The Alger Mid Cap Growth Fund returned 24.91% for the fiscal six-month period ended April 30, 2024, compared to the 24.49% return of the Russell Midcap Growth Index. During the reporting period, the largest sector weightings were Information Technology and Industrials. The largest sector overweight was Information Technology and the largest sector underweight was Financials.

 

Contributors to Performance 

The Industrials and Communication Services sectors provided the largest contributions to relative performance. Regarding individual positions, Vertiv Holdings Co.; Natera, Inc.; Domino's Pizza, Inc.; Chipotle Mexican Grill, Inc.; and Amphenol Corp. were among the top contributors to absolute performance.

 

Vertiv specializes in critical cooling and power management infrastructure technologies, catering primarily to datacenter clients. During the period, shares contributed to performance driven by strong operating results and increasing investor expectations for AI implementation driving more data center demand. As the leading global supplier of power and thermal solutions to datacenters, we believe Vertiv is well positioned to benefit from the AI investment in datacenters, given the intense demand from hyperscalers for faster computing.

 

Detractors from Performance 

The Financials and Consumer Discretionary sectors were the largest detractors from relative performance. Regarding individual positions, Paycom Software, Inc.; Mobileye Global, Inc.; Clearwater Analytics Holdings, Inc.; Wayfair, Inc.; and Five Below, Inc. were among the top detractors from absolute performance.

 

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Paycom is a human capital management software company that offers a cloud-based platform for online payroll services, talent acquisition, talent management, time and labor and other human resource functions. Its recent launch of Beti (Better Employee Transaction Interface) helps streamline payroll processes by allowing employees to do their own payroll. During the period, the company reported weaker-than-expected fiscal third quarter results, where revenues fell below analyst estimates, leading management to lower their fiscal fourth quarter and fiscal 2024 revenue outlook. The company attributed the slowdown to their Beti self-help platform cannibalizing revenue from payroll re-runs due to fewer payroll errors.

 

Alger Mid Cap Focus Fund 

The Alger Mid Cap Focus Fund generated a 33.01% return for the fiscal six-month period ended April 30, 2024, compared to the 24.49% return of the Russell Midcap Growth Index. During the reporting period, the largest sector weightings were Information Technology and Health Care. The largest sector overweight was Information Technology and the largest sector underweight was Financials.

 

Contributors to Performance 

The Information Technology and Industrials sectors provided the largest contributions to relative performance. Regarding individual positions, Vertiv Holdings Co.; Natera, Inc.; Advanced Micro Devices, Inc.; Super Micro Computer, Inc.; and Shopify, Inc. were among the top contributors to absolute performance.

 

Shares of Vertiv contributed to performance in response to developments identified in the Alger Mid Cap Focus Fund discussion.

 

Detractors from Performance 

The Financials and Consumer Discretionary sectors were the largest detractors from relative performance. Regarding individual positions, Diamondback Energy, Inc.; HubSpot, Inc.; First Solar, Inc.; Agilysys, Inc.; and Procore Technologies Inc were among the top detractors from absolute performance.

 

Agilysys is a provider of software, hardware, and professional services designed to cater to the hospitality industry. Its technology is employed by hotels, resorts, restaurants, and gaming businesses to oversee the complete guest experience, offering solutions in point-of-sale (POS), property management systems (PMS), inventory procurement, document management, analytics, payment processing, and other related applications. We believe the company’s comprehensive suite fuels the continuous transition towards a genuine omnichannel perspective of hospitality operations to entice customers in the post-Covid-19 travel environment. Moreover, the company’s shift to cloud technology is gaining market share and its revamped product suite continues to attract top industry brands, noting a landmark deal with Marriott signed in December 2022. In January 2024, the company reported fiscal third-quarter results that fell below consensus estimates and management maintained their fiscal 2024 revenue guidance, suggesting potentially lower than expected revenues in the fiscal fourth quarter. On February 14, 2024, the company announced the pricing of a secondary offering of its common stock, which led to a decrease in share price during the period.

 

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Alger Weatherbie Specialized Growth Fund 

The Alger Weatherbie Specialized Growth Fund generated a 17.89% return for the fiscal six-month period ended April 30, 2024, compared to the 21.50% return of the Russell 2500 Growth Index. During the reporting period, the largest sector weightings were Health Care and Industrials. The largest sector overweight was Health Care and the largest sector underweight was Consumer Discretionary.

 

Contributors to Performance 

The Health Care and Real Estate sectors provided the largest contributions to relative performance. Regarding individual positions, Natera, Inc.; Impinj, Inc.; Glaukos Corp; Inspire Medical Systems, Inc.; and Hamilton Lane Inc. were among the top contributors to absolute performance.

 

Natera is a specialty lab providing genetic testing services in the reproductive health, oncology and transplant markets. Reproductive health tests are run to screen for common genetic disorders such as trisomy 13, 18, and 21 in pregnant women, also known as non-invasive prenatal testing (NIPT). The company’s oncology franchise is led by Signatera, a test used to detect minimal residual disease (MRD), which primarily monitors therapy response and detects cancer recurrence. Lastly, Natera’s transplant franchise is led by Prospera, a test used to monitor transplant organ rejection. Natera’s tests are all based on the company’s proprietary liquid biopsy platform to detect cell-free DNA. During the period, shares contributed to performance as the company reported strong operating results, where revenues and profit margins came in above analyst estimates. Better-than-expected revenues stemmed from higher test reimbursement rates and strong execution across the portfolio, notably in the Signatera oncology segment. The company also reported gross margin improvement, with management projecting an accelerated timeline for reaching cash flow breakeven by the second half of 2024. Consequently, management raised their initial 2024 revenue and gross margin guidance to higher-than-expected levels.

 

Detractors from Performance 

The Consumer Discretionary and Information Technology sectors were the largest detractors from relative performance. Regarding individual positions, Flywire Corp.; Nevro Corp.; ACADIA Pharmaceuticals Inc.; Core Laboratories Inc.; and Intapp, Inc. were among the top detractors from absolute performance.

 

Nevro provides spinal cord stimulation (SCS) devices in the U.S. and internationally for patients suffering from chronic pain. The global SCS market exceeds $2 billion and has been growing due to increased investment by the industry. During the period, the company preannounced fiscal fourth quarter results where revenues beat consensus estimates. Moreover, the company noted that while staffing issues and payer pressures continue to linger, the actual impact to procedure volumes appears to be declining. However, management noted that they remain cautious on the core SCS market, which still has a ways to go to get back to pre-pandemic levels. As such, shares detracted from performance.

 

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Alger Small Cap Growth Fund 

The Alger Small Cap Growth Fund returned 18.90% for the fiscal six-month period ended April 30, 2024, compared to the 21.31% return of the Russell 2000 Growth Index. During the reporting period, the largest sector weightings were Health Care and Information Technology. The largest sector overweight was Health Care and the largest sector underweight was Industrials.

 

Contributors to Performance 

The Consumer Discretionary and Communication Services sectors provided the largest contributions to relative performance. Regarding individual positions, Wingstop, Inc.; Shake Shack, Inc.; Viking Therapeutics, Inc.; HEICO Corporation; and Kura Sushi USA, Inc. were among the top contributors to absolute performance.

 

Wingstop is a high-growth franchisor and operator of cooked-to-order fried chicken wings with over 20 different sauces that consumers have grown to love. The company operates just over 2000 of its namesake stores around the globe, with the majority of those in the U.S. During the period, shares contributed to performance as the company reported better-than-expected revenues. Strong revenues were driven by several factors, including effective advertising, menu innovation, such as its new chicken sandwich launch, and strong delivery service partnerships. Additionally, the company continues to enhance brand awareness through digital marketing initiatives and plans to introduce new AI-driven personalized marketing tools in the second quarter of 2024.

 

Detractors from Performance 

The Health Care and Industrials sectors were the largest detractors from relative performance. Regarding individual positions, Structure Therapeutics, Inc.; BILL Holdings, Inc.; 10x Genomics Inc; Capri Holdings Limited; and Paycom Software, Inc. were among the top detractors from absolute performance.

 

BILL Holdings is the leading provider of business-to-business (B2B) commerce solutions for small- and medium-sized businesses (SMBs), including streamlining financial operations such as accounts payables (AP) and accounts receivables (AR). Their target market is primarily U.S. SMBs with revenues up to $100 million. The company earns revenue from subscription fees charged for access to its cloud-based services, usage-based transaction fees, including payment-related fees, and interest earned on funds held on behalf of customers. The company is positioned as a back-office financial operations and an AP automation software-as-a-service (SaaS) platform for the SMB segment of B2B payments. In November 2023, the company reported strong fiscal first-quarter results, beating analyst estimates. However, shares fell after management provided weaker-than-expected fiscal 2024 full-year guidance, citing tight credit conditions and macroeconomic pressures affecting premium virtual card and cross-border transaction volumes. In February 2024, despite reporting better-than-expected fiscal second-quarter results, management highlighted ongoing customer focus on cost-cutting measures, which could pose challenges to near-term growth. As a result, shares detracted from performance during the period.

 

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Alger Small Cap Focus Fund 

The Alger Small Cap Focus Fund returned 22.44% for the fiscal six-month period ended April 30, 2024, compared to the 21.31% return of the Russell 2000 Growth Index. During the reporting period, the largest sector weightings were Information Technology and Health Care. The largest sector overweight was Information Technology and the largest sector underweight was Industrials.

 

Contributors to Performance

The Health Care and Consumer Discretionary sectors provided the largest contributions to relative performance. Regarding individual positions, Natera, Inc.; Wingstop, Inc.; CymaBay Therapeutics, Inc.; Q2 Holdings, Inc.; and Impinj, Inc. were among the top contributors to absolute performance.

 

Shares of Natera, Inc. contributed to performance in response to developments identified in the Alger Weatherbie Specialized Growth Fund discussion.

 

Detractors from Performance 

The Industrials and Financials sectors were the largest detractors from relative performance. Regarding individual positions, Inari Medical, Inc.; 10x Genomics Inc; Extreme Networks, Inc.; Confluent Inc.; and MoonLake Immunotherapeutics were among the top detractors from absolute performance.

 

Inari Medical is a commercial-stage medical device company that focuses on developing products for treating pulmonary embolisms (PE) and deep vein thrombosis (DVT). During the period, the company reported fiscal fourth quarter revenues in-line with its preannouncement and reaffirmed its fiscal 2024 initial revenue growth guidance. Moreover, the company provided revenue for its VTE (venous thromboembolism) segment, where U.S. VTE sales saw a growth deceleration, as well as its more recent Emerging Therapies segment. Management acknowledged some competitive share loss but noted that the company remained a market leader exiting the year. Separately, in December 2023, the company received a civil investigative demand from the U.S. Department of Justice ("DOJ") requesting information related to meal and consulting service payments to health professionals. While no wrongdoing has been found, and management stated the ongoing DOJ investigation is not expected to impact the company’s commercial execution, shares detracted from performance during the period. We believe investors viewed the DOJ investigation as an overhang, despite such investigations rarely leading to substantial outcomes. Despite this near-term headwind, we believe the company’s fundamentals remain strong, as management has reiterated strong momentum in their PE and DVT franchises.

 

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Alger International Focus Fund 

Effective February 1, 2024, Redwood Investments, LLC began sub-advising the Alger International Focus Fund. The Alger International Focus Fund recorded a 18.00% return for the fiscal six-month period ended April 30, 2024, compared to the 17.98% return of the MSCI ACWI ex USA Index. During the reporting period, the largest sector weightings were Consumer Discretionary and Financials. The largest sector overweight was Consumer Discretionary and the largest sector underweight was Materials.

 

Contributors to Performance 

The Consumer Discretionary and Information Technology sectors provided the largest contributions to relative performance. Regarding individual positions, ASML Holding NV; MakeMyTrip Ltd.; Ferrari NV; Lasertec Corp.; and Alfen NV were among the top contributors to absolute performance.

 

MakeMyTrip is India’s premier online travel agency ("OTA") with over 60% of market share in the growing Indian online travel segment, offering travelers airline tickets, hotel and packages, rail and bus tickets and rental cars. We believe the company has potential to outgrow both the Indian travel industry as well as the faster growing online travel market, driven by increasing online penetration of travel booking, low OTA penetration and secular growth in Indian aviation infrastructure. During the period, shares contributed to performance as the company demonstrated steady growth with strong profitability, driven by accelerating revenue growth and improving profit margins.

 

Detractors from Performance 

The Financials and Energy sectors were the largest detractors from relative performance. Regarding individual positions, Verbio SE; BYD Company Limited; Polycab India Ltd.; Edenred SA; and SLB were among the top detractors from absolute performance.

 

Verbio is a global producer of biodiesel, bioethanol, biomethane and related by-products into fertilizer and animal feed. With its proprietary technology and energy efficiency, Verbio’s higher quality products allow for its customers to reduce greenhouse gas emissions. Coming off a period of high spreads for biodiesel and bioethanol, the company anticipated an earnings re-acceleration coupled with next generation biofuels expansion into the international market. However, the company issued a profit warning during the period, driven by compressed ethanol spreads with low confidence for expansion in the near-term. Given the disappointing operating results, shares detracted from performance.

 

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Alger Health Sciences Fund 

The Alger Health Sciences Fund returned 15.75% for the fiscal six-month period ended April 30, 2024, compared to the 20.98% return of the S&P 500 Index and the 14.49% return of the Russell 3000 Health Care Index.

 

Contributors to Performance 

Regarding individual positions, Oscar Health, Inc.; Eli Lilly and Company; Viking Therapeutics, Inc.; Boston Scientific Corporation; and ImmunoGen, Inc. were among the top contributors to absolute performance.

 

Eli Lilly is a global pharmaceutical company with core franchises in diabetes, obesity, neurology, and oncology. Its portfolio offers innovative diabetes and obesity drugs like Mounjaro, Trulicity, and Jardiance, along with Taltz (for psoriasis), Emgality (for migraines), and Verzenio (for breast cancer). During the period, the company reported strong fiscal fourth quarter results, where revenue and earnings beat analyst estimates on the launch of its new weight loss drug, Zepbound, which received FDA approval in November 2023, along with increased pricing for its blockbuster diabetes treatment, Mounjaro. Further, management issued full-year 2024 guidance which met analyst estimates, noting revenue growth to accelerate in the second half of 2024 driven by strength in Mounjaro and Zepbound.

 

Detractors from Performance 

Regarding individual positions, Humana Inc.; Impulse Dynamics; Molina Healthcare, Inc.; UnitedHealth Group Inc.; and Cigna Group were among the top detractors from absolute performance.

 

Humana ranks among the largest managed care organizations in the United States, providing health insurance to government and commercial sector members. The company primarily focuses on Medicare Advantage, while also engaging in other government programs such as TRICARE and Medicaid. Additionally, Humana is expanding its healthcare services business, which includes pharmacy, home care, and primary care services, to better serve its growing membership base. During the period, shares detracted from performance after management lowered their 2024 earnings guidance well below consensus, citing rising healthcare costs and higher-than-expected utilization of Medicare Advantage plans. Additionally, the Centers for Medicare & Medicaid Services (CMS) finalized a smaller than expected increase in benchmark rates for Medicare Advantage plans in 2025, creating a difficult profit margin backdrop.

 

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I thank you for putting your trust in Alger.

 

Sincerely,

 

 

Daniel C. Chung, CFA

Chief Executive Officer, Chief Investment Officer 

Fred Alger Management, LLC

 

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

 

This report and the financial statements contained herein are submitted for the general information of shareholders of the funds. This report is not authorized for distribution to prospective investors in a fund unless preceded or accompanied by an effective prospectus for the fund. Performance of funds discussed above, other than the Alger 35 Fund, represents the six-month period return of Class A shares prior to the deduction of any sales charges and includes the reinvestment of any dividends or distributions. Performance for the Alger 35 Fund represents Class Z shares.

 

The performance data quoted represents past performance, which is not an indication or guarantee of future results.

 

Standardized performance results can be found on the following pages. The investment return and principal value of an investment in a fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month-end, visit us at www.alger.com or call us at (800) 992-3863.

 

The views and opinions of the funds’ management in this report are as of the date of the Shareholders’ Letter and are subject to change at any time subsequent to this date. There is no guarantee that any of the assumptions that formed the basis for the opinions stated herein are accurate or that they will materialize. Moreover, the information forming the basis for such assumptions is from sources believed to be reliable; however, there is no guarantee that such information is accurate. Any securities mentioned, whether owned in a fund or otherwise, are considered in the context of the construction of an overall portfolio of securities and therefore reference to them should not be construed as a recommendation or offer to purchase or sell any such security. Inclusion of such securities in a fund and transactions in such securities, if any, may be for a variety of reasons, including, without limitation, in response to cash flows, inclusion in a benchmark, and risk control. The reference to a specific security should also be understood in such context and not viewed as a statement that the security is a significant holding in a fund. Please refer to the Schedules of Investments for each fund which is included in this report for a complete list of fund holdings as of April 30, 2024. Securities mentioned in the Shareholders’ Letter, if not found in the Schedules of Investments, may have been held by the funds during the fiscal six-month period ended April 30, 2024.

 

- 14 -

 

Risk Disclosures

 

Alger Capital Appreciation Fund 

Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

Alger 35 Fund 

Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Investing in companies of small and medium capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. The fund is classified as a “non-diversified fund” under federal securities laws because it can invest in fewer individual companies than a diversified fund. Active trading may increase transaction costs, brokerage commissions, and taxes, which can lower the return on investment. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

- 15 -

 

Alger Growth & Income Fund 

Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Income-producing securities may cut or fail to declare dividends due to market downturns or for other reasons. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

Alger Mid Cap Growth Fund 

Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Investing in companies of medium capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. Active trading may increase transaction costs, brokerage commissions, and taxes, which can lower the return on investment. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

Alger Mid Cap Focus Fund 

Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Investing in companies of medium capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Assets may be focused in a small number of holdings, making them susceptible to risks associated with a single economic, political or regulatory event than a more diversified portfolio. A significant portion of assets may be invested in securities of companies in related sectors or industries, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector or industry developments. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. Active trading may increase transaction costs, brokerage commissions, and taxes, which can lower the return on investment. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

- 16 -

 

Alger Weatherbie Specialized Growth Fund 

Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Investing in companies of small and medium capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Assets may be focused in a small number of holdings, making them susceptible to risks associated with a single economic, political or regulatory event than a more diversified portfolio. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

Alger Small Cap Growth Fund 

Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector or industry developments. Investing in companies of small capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

- 17 -

 

Alger Small Cap Focus Fund 

Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. A significant portion of assets may be invested in securities of companies in related sectors or industries, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector or industry developments. Investing in companies of small capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Assets may be focused in a small number of holdings, making them susceptible to risks associated with a single economic, political or regulatory event than a more diversified portfolio. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

Alger International Focus Fund 

Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Assets may be focused in a small number of holdings, making them susceptible to risks associated with a single economic, political or regulatory event than a more diversified portfolio. Foreign securities and emerging markets involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. Investing in companies of small capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

- 18 -

 

Alger Health Sciences Fund 

Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. A significant portion of assets will be invested in healthcare companies, which may be significantly affected by competition, innovation, regulation, and product obsolescence, and may be more volatile than the securities of other companies. A significant portion of assets may be invested in securities of companies in related industries, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Assets may be focused in a small number of holdings, making them susceptible to risks associated with a single economic, political or regulatory event than a more diversified portfolio. Investing in companies of small capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Private placements are offerings of a company’s securities not registered with the SEC and not offered to the public, for which limited information may be available. Such investments are generally considered to be illiquid. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. Active trading may increase transaction costs, brokerage commissions, and taxes, which can lower the return on investment. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

For a more detailed discussion of the risks associated with a fund, please see the prospectus.

 

Before investing, carefully consider a fund’s investment objective, risks, charges, and expenses. For a prospectus and summary prospectus containing this and other information or for The Alger Funds' most recent month-end performance data, visit www.alger.com, call (800) 992-3863 or consult your financial advisor. Read the prospectus and summary prospectus carefully before investing.

 

Distributor: Fred Alger & Company, LLC

 

NOT FDIC INSURED. NOT BANK GUARANTEED. MAY LOSE VALUE.

 

Definitions:

 


 ● The Consumer Price Index (CPI) measures the monthly change in prices paid by U.S. consumers. The Bureau of Labor Statistics (BLS) calculates the CPI as a weighted average of prices for a basket of goods and services representative of aggregate U.S. consumer spending.

 


 ● The MSCI ACWI ex USA Index captures large- and mid-cap representation across developed markets countries (excluding the US) and emerging markets countries. The index covers approximately 85% of the global equity opportunity set outside the US.

 

- 19 -

 


 ● The MSCI Emerging Markets Index captures large- and mid-cap representation across Emerging Markets countries. The index covers approximately 85% of the free float-adjusted market capitalization in each country.

 


 ● The personal consumption expenditures index (PCE) is a measure of the prices that people living in the United States, or those buying on their behalf, pay for goods and services, constructed by the Bureau of Economic Analysis. The PCE price index is known for capturing inflation (or deflation) across a wide range of consumer expenses and reflecting changes in consumer behavior. The core PCE price index excludes two categories known for price volatility: food and energy.

 


 ● The Russell 1000 Growth Index measures the performance of the large-cap growth segment of the U.S. equity universe. It includes those Russell 1000 companies with higher growth earning potential as defined by Russell’s leading style methodology. The Russell 1000 Growth Index is constructed to provide a comprehensive and unbiased barometer for the large-cap growth segment.

 


 ● The Russell 1000 Index measures the performance of the large-cap segment of the US equity universe. It is a subset of the Russell 3000 Index and includes approximately 1,000 of the largest securities based on a combination of their market cap and current index membership.

 


 ● The Russell 2000 Growth Index measures the performance of the small-cap growth segment of the U.S. equity universe. It includes those Russell 2000 companies with higher growth earning potential as defined by Russell’s leading style methodology. The Russell 2000 Growth Index is constructed to provide a comprehensive and unbiased barometer for the small-cap growth segment.

 


 ● The Russell 2000 Index measures the performance of the small-cap segment of the US equity universe. The Russell 2000 Index is constructed to provide a comprehensive and unbiased barometer of the small-cap segment.

 


 ● The Russell 2500 Growth Index measures the performance of the small to mid-cap growth segment of the U.S. equity universe. It includes those Russell 2500 companies with higher growth earning potential as defined by Russell’s leading style methodology. The Russell 2500 Growth Index is constructed to provide a comprehensive and unbiased barometer of the small to mid-cap growth market.

 

- 20 -

 


 ● The Russell 2500 Index measures the performance of the small to - 20 - midcap segment of the US equity universe, commonly referred to as “smid” cap. The Russell 2500 Index is constructed to provide a comprehensive and unbiased barometer for the small to mid-cap segment.

 

  ● The S&P 500 Index is an unmanaged index considered representative of large-cap growth stocks.

 

- 21 -

 

PORTFOLIO SUMMARY†

April 30, 2024 (Unaudited)

 

 

SECTORS   Alger Capital 
Appreciation Fund		   Alger Concentrated
Equity Fund		   Alger Growth &
Income Fund		   Alger 35 Fund
Communication Services   15.3%   14.6%   10.1%   15.5%
Consumer Discretionary   12.6   12.2   7.0   17.0
Consumer Staples   0.3   0.0   6.1   0.0
Energy   0.4   1.0   5.0   1.8
Financials   4.0   4.8   12.8   1.7
Health Care   11.1   8.3   11.7   13.2
Industrials   8.4   9.6   6.3   13.4
Information Technology   45.5   40.6   29.1   34.3
Materials   1.3   0.0   1.9   0.0
Real Estate   0.6   0.0   2.8   0.0
Utilities   1.1   1.2   1.5   3.5
Total Equity Securities   100.6   92.3   94.3   100.4
Short-Term Investments and Net Other Assets   (0.6)   7.7   5.7   (0.4)
    100%   100%   100%   100%

 

SECTORS   Alger Mid Cap Focus
Fund		   Alger Mid Cap Growth
Fund		   Alger Small Cap
Growth Fund		   Alger Small Cap
Focus Fund
Communication Services   5.4   6.8   3.2   0.0
Consumer Discretionary   9.3   13.1   18.6   9.4
Consumer Staples   2.1   1.6   4.0   2.5
Energy   3.2   2.8   2.2   0.0
Financials   1.4   7.4   2.6   0.0
Health Care   17.6   15.6   28.6   35.0
Industrials   20.3   19.2   9.6   14.5
Information Technology   34.8   25.8   28.5   37.4
Materials   2.2   1.7   0.1   0.0
Real Estate   0.0   4.7   0.0   0.0
Utilities   2.2   0.0   0.0   0.0
Total Equity Securities   98.5   98.7   97.4   98.8
Short-Term Investments and Net Other Assets   1.5   1.3   2.6   1.2
    100%   100%   100%   100%
- 22 -

PORTFOLIO SUMMARY†

April 30, 2024 (Unaudited) (Continued)

 

 

SECTORS   Alger Weatherbie 
Specialized Growth
Fund		   Alger Health
Sciences Fund		   Alger AI Enablers &
Adopters Fund
Communication Services   0.0%   0.0%   17.3%
Consumer Discretionary   7.0   0.0   12.0
Consumer Staples   0.4   0.0   1.4
Energy   0.7   0.0   0.0
Financials   11.2   3.3   3.3
Health Care   30.8   96.5   2.9
Industrials   23.0   0.0   2.5
Information Technology   18.9   0.0   49.4
Materials   0.0   0.0   0.0
Real Estate   5.2   0.0   0.7
Utilities   0.0   0.0   3.9
Total Equity Securities   97.2   99.8   93.4
Short-Term Investments and Net Other Assets   2.8   0.2   6.6
    100%   100%   100%

 

COUNTRY   Alger International
 Focus Fund
Brazil   4.6%
Canada   9.7
China   5.0
Denmark   3.9
France   12.4
Germany   2.9
Hungary   1.9
India   7.5
Indonesia   2.6
Italy   2.4
Japan   17.4
Mexico   1.8
Netherlands   3.0
Saudi Arabia   1.7
South Korea   2.5
Switzerland   2.2
Taiwan   4.8
United Kingdom   10.7
United States   1.6
Cash and Net Other Assets   1.4
    100.0%

 

† Based on net assets for each Fund.

- 23 -

THE ALGER FUNDS | ALGER CAPITAL APPRECIATION FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—99.8%                
ADVERTISING—0.1%                
The Trade Desk, Inc., Cl. A*     20,688     $ 1,714,001  
AEROSPACE & DEFENSE—3.4%                
HEICO Corp.     80,648       16,726,395  
HEICO Corp., Cl. A     60,818       10,086,665  
TransDigm Group, Inc.     25,591       31,938,336  
              58,751,396  
APPAREL RETAIL—0.3%                
Burlington Stores, Inc.*     31,641       5,693,482  
APPLICATION SOFTWARE—3.2%                
Adobe, Inc.*     41,825       19,357,865  
AppLovin Corp., Cl. A*     167,749       11,838,047  
Cadence Design Systems, Inc.*     36,766       10,133,812  
Intuit, Inc.     17,439       10,910,187  
Salesforce, Inc.     6,019       1,618,750  
              53,858,661  
AUTOMOBILE MANUFACTURERS—0.4%                
Tesla, Inc.*     41,595       7,623,532  
AUTOMOTIVE PARTS & EQUIPMENT—0.5%                
Mobileye Global, Inc., Cl. A*     301,440       8,304,672  
BIOTECHNOLOGY—4.0%                
Akero Therapeutics, Inc.*     95,526       1,900,012  
Madrigal Pharmaceuticals, Inc.*     13,622       2,779,161  
Natera, Inc.*     476,259       44,234,936  
Nuvalent, Inc., Cl. A*     22,598       1,556,550  
Sarepta Therapeutics, Inc.*     43,846       5,553,534  
Vaxcyte, Inc.*     160,916       9,743,464  
Vertex Pharmaceuticals, Inc.*     3,525       1,384,655  
Viking Therapeutics, Inc.*     10,357       824,210  
              67,976,522  
BROADLINE RETAIL—9.9%                
Amazon.com, Inc.*     850,895       148,906,625  
MercadoLibre, Inc.*     13,621       19,868,953  
              168,775,578  
CARGO GROUND TRANSPORTATION—0.4%                
Old Dominion Freight Line, Inc.     33,143       6,022,414  
CASINOS & GAMING—1.0%                
DraftKings, Inc., Cl. A*     357,738       14,867,591  
Flutter Entertainment PLC*     7,785       1,442,241  
              16,309,832  
CONSTRUCTION & ENGINEERING—0.5%                
Quanta Services, Inc.     33,152       8,571,781  

 

See Notes to Financial Statements.

- 24 -

THE ALGER FUNDS | ALGER CAPITAL APPRECIATION FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—99.8% (CONT.)            
CONSTRUCTION MACHINERY & HEAVY TRANSPORTATION EQUIPMENT—0.6%                
Wabtec Corp.     58,550     $ 9,431,234  
CONSTRUCTION MATERIALS—1.1%                
Martin Marietta Materials, Inc.     31,461       18,469,809  
CONSUMER STAPLES MERCHANDISE RETAIL—0.3%                
Walmart, Inc.     73,377       4,354,925  
COPPER—0.2%                
Freeport-McMoRan, Inc.     68,527       3,422,238  
DIVERSIFIED BANKS—0.2%                
Citigroup, Inc.     64,258       3,940,943  
ELECTRIC UTILITIES—1.1%                
Constellation Energy Corp.     55,681       10,353,325  
NRG Energy, Inc.     111,323       8,089,843  
              18,443,168  
ELECTRICAL COMPONENTS & EQUIPMENT—1.9%                
Eaton Corp. PLC     17,732       5,643,386  
Vertiv Holdings Co., Cl. A     288,229       26,805,297  
              32,448,683  
ENVIRONMENTAL & FACILITIES SERVICES—1.0%                
GFL Environmental, Inc.     550,434       17,558,845  
FINANCIAL EXCHANGES & DATA—1.4%                
S&P Global, Inc.     55,889       23,240,323  
FOOTWEAR—0.2%                
On Holding AG, Cl. A*     81,460       2,586,355  
HEALTHCARE DISTRIBUTORS—0.9%                
McKesson Corp.     29,061       15,611,860  
HEALTHCARE EQUIPMENT—3.6%                
Boston Scientific Corp.*     312,237       22,440,473  
Dexcom, Inc.*     64,414       8,205,699  
Intuitive Surgical, Inc.*     57,584       21,341,782  
Stryker Corp.     28,993       9,756,145  
              61,744,099  
HEALTHCARE FACILITIES—0.3%                
Acadia Healthcare Co., Inc.*     81,045       5,992,467  
HOMEFURNISHING RETAIL—0.1%                
RH*     9,624       2,377,609  
INTERACTIVE MEDIA & SERVICES—12.0%                
Alphabet, Inc., Cl. C*     437,529       72,034,775  
Meta Platforms, Inc., Cl. A     261,614       112,538,494  
Pinterest, Inc., Cl. A*     617,892       20,668,487  
              205,241,756  

 

See Notes to Financial Statements.

- 25 -

THE ALGER FUNDS | ALGER CAPITAL APPRECIATION FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—99.8% (CONT.)                
INTERNET SERVICES & INFRASTRUCTURE—0.5%                
MongoDB, Inc.*     25,714     $ 9,390,238  
IT CONSULTING & OTHER SERVICES—0.3%                
International Business Machines Corp.     25,973       4,316,713  
LIFE SCIENCES TOOLS & SERVICES—0.7%                
Danaher Corp.     50,382       12,425,209  
MANAGED HEALTHCARE—0.1%                
UnitedHealth Group, Inc.     4,030       1,949,311  
MOVIES & ENTERTAINMENT—3.2%                
Liberty Media Corp. Series C Liberty Formula One, Cl. C*     140,979       9,864,301  
Netflix, Inc.*     63,159       34,777,872  
Spotify Technology SA*     37,608       10,546,787  
              55,188,960  
OIL & GAS EXPLORATION & PRODUCTION—0.4%                
Diamondback Energy, Inc.     31,264       6,288,128  
PASSENGER GROUND TRANSPORTATION—0.6%                
Uber Technologies, Inc.*     160,636       10,645,348  
PHARMACEUTICALS—1.5%                
Eli Lilly & Co.     32,010       25,003,011  
RESTAURANTS—0.2%                
Shake Shack, Inc., Cl. A*     28,280       2,993,438  
SEMICONDUCTORS—19.0%                
Advanced Micro Devices, Inc.*     120,801       19,132,463  
Astera Labs, Inc.*     35,888       3,041,867  
Broadcom, Inc.     27,382       35,603,993  
Marvell Technology, Inc.     317,821       20,947,582  
Micron Technology, Inc.     235,345       26,584,571  
NVIDIA Corp.     214,815       185,604,456  
Taiwan Semiconductor Manufacturing Co., Ltd. ADR     236,161       32,434,352  
              323,349,284  
SYSTEMS SOFTWARE—16.5%                
Microsoft Corp.     702,323       273,435,414  
ServiceNow, Inc.*     11,550       8,007,961  
              281,443,375  
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—5.8%                
Apple, Inc.     544,371       92,722,712  
Dell Technologies, Inc., Cl. C     43,759       5,454,122  
              98,176,834  

 

See Notes to Financial Statements.

- 26 - 

THE ALGER FUNDS | ALGER CAPITAL APPRECIATION FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—99.8% (CONT.)                
TRANSACTION & PAYMENT PROCESSING SERVICES—2.4%                
Visa, Inc., Cl. A     153,570     $ 41,250,438  
TOTAL COMMON STOCKS                
(Cost $734,129,078)             1,700,886,472  
PREFERRED STOCKS—0.1%                
DIVERSIFIED FINANCIAL SERVICES—0.1%                
Chime Financial, Inc., Series G(a),*,@     27,841       1,036,242  
(Cost $1,922,972)             1,036,242  
REAL ESTATE INVESTMENT TRUST—0.6%                
DATA CENTER—0.6%                
Equinix, Inc.     14,033       9,979,007  
(Cost $11,828,457)             9,979,007  
SPECIAL PURPOSE VEHICLE—0.1%                
DIVERSIFIED FINANCIAL SERVICES—0.1%                
Crosslink Ventures C, LLC, Cl. A(a),(b),*,@             2,521,809  
(Cost $2,775,000)             2,521,809  
SHORT-TERM SECURITIES—0.0%                
MONEY MARKET FUNDS—0.0%                
Dreyfus Treasury Obligations Cash Management Fund, Institutional Shares, 5.19%(c)     598       598  
(Cost $598)             598  
Total Investments                
(Cost $750,656,105)     100.6 %   $ 1,714,424,128  
Affiliated Securities (Cost $2,775,000)             2,521,809  
Unaffiliated Securities (Cost $747,881,105)             1,711,902,319  
Liabilities in Excess of Other Assets     (0.6 )%     (9,844,401 )
NET ASSETS     100.0 %   $ 1,704,579,727  

 

ADR American Depositary Receipts

 

(a) Security is valued in good faith at fair value determined using significant unobservable inputs pursuant to procedures approved by the Board of Trustees.
(b) Deemed an affiliate of the Fund in accordance with Section 2(a)(3) of the Investment Company Act of 1940. See Note 11 - Affiliated Securities.
(c) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.

@ Restricted security - Investment in security not registered under the Securities Act of 1933. Sales or transfers of the investment may be restricted only to qualified buyers.

 

Security   Acquisition
Date(s)		   Acquisition
Cost		     Market
Value		     % of net assets
as of
4/30/2024		  
Chime Financial, Inc., Series G   8/24/21   $ 1,922,972     $ 1,036,242       0.1 %
Crosslink Ventures C, LLC, Cl. A   10/2/20     2,775,000       2,521,809       0.1 %
 Total               $ 3,558,051       0.2 %

 

See Notes to Financial Statements. 

- 27 - 

 

THE ALGER FUNDS | ALGER CONCENTRATED EQUITY FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

  

    SHARES     VALUE  
COMMON STOCKS—92.3%                
AEROSPACE & DEFENSE—3.8%                
HEICO Corp., Cl. A     838     $ 138,982  
APPLICATION SOFTWARE—2.7%                
AppLovin Corp., Cl. A*     455       32,109  
Cadence Design Systems, Inc.*     239       65,876  
              97,985  
AUTOMOBILE MANUFACTURERS—1.0%                
Ferrari NV     83       34,503  
AUTOMOTIVE PARTS & EQUIPMENT—2.0%                
Mobileye Global, Inc., Cl. A*     2,682       73,889  
BIOTECHNOLOGY—1.8%                
Natera, Inc.*     695       64,552  
BROADLINE RETAIL—9.2%                
Amazon.com, Inc.*     1,904       333,200  
COAL & CONSUMABLE FUELS—1.0%                
Cameco Corp.     818       37,325  
CONSTRUCTION & ENGINEERING—1.6%                
Quanta Services, Inc.     228       58,952  
ELECTRIC UTILITIES—1.2%                
Constellation Energy Corp.     237       44,068  
ELECTRICAL COMPONENTS & EQUIPMENT—1.8%                
Vertiv Holdings Co., Cl. A     720       66,960  
ENVIRONMENTAL & FACILITIES SERVICES—2.4%                
GFL Environmental, Inc.     2,686       85,683  
FINANCIAL EXCHANGES & DATA—2.2%                
S&P Global, Inc.     195       81,087  
HEALTHCARE EQUIPMENT—2.0%                
Intuitive Surgical, Inc.*     191       70,788  
INTERACTIVE MEDIA & SERVICES—10.8%                
Alphabet, Inc., Cl. C*     578       95,162  
Meta Platforms, Inc., Cl. A     595       255,951  
Pinterest, Inc., Cl. A*     1,232       41,211  
              392,324  
INTERNET SERVICES & INFRASTRUCTURE—0.4%                
MongoDB, Inc.*     38       13,877  
LIFE SCIENCES TOOLS & SERVICES—2.7%                
Danaher Corp.     392       96,675  
MOVIES & ENTERTAINMENT—3.8%                
Liberty Media Corp. Series C Liberty Formula One, Cl. C*     1,075       75,218  
Netflix, Inc.*     114       62,773  
              137,991  

 

See Notes to Financial Statements.

- 28 -

THE ALGER FUNDS | ALGER CONCENTRATED EQUITY FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—92.3% (CONT.)                
PHARMACEUTICALS—1.8%                
Eli Lilly & Co.     82     $ 64,050  
SEMICONDUCTOR MATERIALS & EQUIPMENT—1.4%                
ASML Holding NV ADR     57       49,731  
SEMICONDUCTORS—17.0%                
Advanced Micro Devices, Inc.*     276       43,713  
Micron Technology, Inc.     759       85,737  
NVIDIA Corp.     412       355,976  
Taiwan Semiconductor Manufacturing Co., Ltd. ADR     943       129,511  
              614,937  
SYSTEMS SOFTWARE—14.8%                
Microsoft Corp.     1,377       536,107  
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—4.3%                
Apple, Inc.     924       157,385  
TRANSACTION & PAYMENT PROCESSING SERVICES—2.6%                
Visa, Inc., Cl. A     345       92,671  
TOTAL COMMON STOCKS                
(Cost $3,460,608)             3,343,722  
SHORT-TERM SECURITIES—7.6%                
MONEY MARKET FUNDS—7.6%                
Dreyfus Treasury Obligations Cash Management Fund, Institutional Shares, 5.19%(a)     277,575       277,575  
(Cost $277,575)             277,575  
Total Investments                
(Cost $3,738,183)     99.9 %   $ 3,621,297  
Unaffiliated Securities (Cost $3,738,183)             3,621,297  
Other Assets in Excess of Liabilities     0.1 %     2,164  
NET ASSETS     100.0 %   $ 3,623,461  

 

ADR American Depositary Receipts

 

(a) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.

 

See Notes to Financial Statements.

- 29 -

THE ALGER FUNDS | ALGER GROWTH & INCOME FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—91.2%                
AEROSPACE & DEFENSE—1.2%                
General Dynamics Corp.     6,484     $ 1,861,491  
TransDigm Group, Inc.     3,365       4,199,621  
              6,061,112  
APPLICATION SOFTWARE—0.8%                
Adobe, Inc.*     8,941       4,138,163  
ASSET MANAGEMENT & CUSTODY BANKS—3.3%                
BlackRock, Inc.     8,943       6,748,745  
Blackstone, Inc.     47,293       5,514,837  
Blue Owl Capital, Inc., Cl. A     139,902       2,642,749  
The Carlyle Group, Inc.     38,256       1,713,869  
              16,620,200  
BIOTECHNOLOGY—2.8%                
AbbVie, Inc.     61,109       9,938,768  
Amgen, Inc.     10,170       2,785,970  
Gilead Sciences, Inc.     21,202       1,382,370  
              14,107,108  
BROADLINE RETAIL—2.6%                
Amazon.com, Inc.*     74,247       12,993,225  
BUILDING PRODUCTS—0.4%                
Johnson Controls International PLC     34,841       2,267,104  
CABLE & SATELLITE—0.8%                
Comcast Corp., Cl. A     106,313       4,051,588  
COMMODITY CHEMICALS—0.2%                
Dow, Inc.     21,142       1,202,980  
COMMUNICATIONS EQUIPMENT—0.8%                
Cisco Systems, Inc.     83,540       3,924,709  
COMPUTER & ELECTRONICS RETAIL—0.4%                
Best Buy Co., Inc.     30,537       2,248,745  
CONSUMER ELECTRONICS—0.5%                
Garmin, Ltd.     18,129       2,619,097  
CONSUMER STAPLES MERCHANDISE RETAIL—0.8%                
Walmart, Inc.     68,012       4,036,512  
COPPER—0.8%                
Southern Copper Corp.     33,283       3,883,128  
DIVERSIFIED BANKS—4.7%                
Bank of America Corp.     153,428       5,678,370  
Fifth Third Bancorp     40,102       1,462,119  
JPMorgan Chase & Co.     87,054       16,691,734  
              23,832,223  

 

See Notes to Financial Statements.

- 30 -

THE ALGER FUNDS | ALGER GROWTH & INCOME FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—91.2% (CONT.)                
ELECTRIC UTILITIES—0.5%                
NextEra Energy, Inc.     38,002     $ 2,544,994  
ELECTRICAL COMPONENTS & EQUIPMENT—2.3%                
Eaton Corp. PLC     36,192       11,518,466  
FINANCIAL EXCHANGES & DATA—0.9%                
CME Group, Inc., Cl. A     21,247       4,454,221  
FOOD DISTRIBUTORS—0.4%                
Sysco Corp.     28,631       2,127,856  
HEALTHCARE DISTRIBUTORS—0.5%                
Cardinal Health, Inc.     25,017       2,577,752  
HEALTHCARE EQUIPMENT—0.5%                
Medtronic PLC     29,362       2,356,007  
HOME IMPROVEMENT RETAIL—1.9%                
The Home Depot, Inc.     29,317       9,798,328  
HOUSEHOLD PRODUCTS—1.4%                
The Procter & Gamble Co.     44,897       7,327,190  
INDUSTRIAL CONGLOMERATES—1.1%                
Honeywell International, Inc.     29,445       5,674,935  
INDUSTRIAL GASES—0.9%                
Air Products & Chemicals, Inc.     18,676       4,413,886  
INTEGRATED OIL & GAS—3.8%                
Chevron Corp.     52,504       8,467,320  
Exxon Mobil Corp.     55,903       6,611,648  
TotalEnergies SE ADR     59,940       4,343,852  
              19,422,820  
INTEGRATED TELECOMMUNICATION SERVICES—0.8%                
Verizon Communications, Inc.     98,879       3,904,732  
INTERACTIVE MEDIA & SERVICES—8.5%                
Alphabet, Inc., Cl. A*     111,729       18,187,246  
Alphabet, Inc., Cl. C*     89,245       14,693,297  
Meta Platforms, Inc., Cl. A     23,581       10,143,839  
              43,024,382  
INVESTMENT BANKING & BROKERAGE—2.0%                
Morgan Stanley     111,623       10,139,833  
IT CONSULTING & OTHER SERVICES—0.3%                
International Business Machines Corp.     9,528       1,583,554  
LEISURE FACILITIES—0.3%                
Vail Resorts, Inc.     7,733       1,464,398  
MANAGED HEALTHCARE—2.3%                
UnitedHealth Group, Inc.     23,798       11,511,093  

 

See Notes to Financial Statements.  

- 31 -

THE ALGER FUNDS | ALGER GROWTH & INCOME FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—91.2% (CONT.)                
MULTI-UTILITIES—1.0%                
Consolidated Edison, Inc.     26,851     $ 2,534,734  
Sempra     37,373       2,677,028  
              5,211,762  
OIL & GAS EXPLORATION & PRODUCTION—0.4%                
Pioneer Natural Resources Co.     8,195       2,207,077  
OIL & GAS STORAGE & TRANSPORTATION—0.5%                
ONEOK, Inc.     32,994       2,610,485  
PERSONAL CARE PRODUCTS—0.2%                
Kenvue, Inc.     46,286       871,103  
PHARMACEUTICALS—5.6%                
AstraZeneca PLC ADR     53,486       4,058,518  
Bristol-Myers Squibb Co.     31,997       1,405,948  
Eli Lilly & Co.     11,175       8,728,793  
GSK PLC ADR     35,726       1,480,486  
Johnson & Johnson     35,670       5,157,525  
Merck & Co., Inc.     27,451       3,547,218  
Novartis AG ADR     20,931       2,033,028  
Pfizer, Inc.     82,207       2,106,143  
              28,517,659  
PROPERTY & CASUALTY INSURANCE—0.5%                
The Hartford Financial Services Group, Inc.     26,311       2,549,273  
RAIL TRANSPORTATION—0.6%                
Union Pacific Corp.     13,485       3,198,103  
RESTAURANTS—1.3%                
McDonald's Corp.     14,734       4,022,971  
Starbucks Corp.     29,541       2,614,083  
              6,637,054  
SEMICONDUCTOR MATERIALS & EQUIPMENT—3.4%                
KLA Corp.     24,811       17,101,974  
SEMICONDUCTORS—6.6%                
Broadcom, Inc.     16,899       21,973,263  
QUALCOMM, Inc.     46,556       7,721,312  
Taiwan Semiconductor Manufacturing Co., Ltd. ADR     27,947       3,838,241  
              33,532,816  
SOFT DRINKS & NON-ALCOHOLIC BEVERAGES—2.2%                
PepsiCo, Inc.     35,760       6,290,542  
The Coca-Cola Co.     83,126       5,134,693  
              11,425,235  
SYSTEMS SOFTWARE—10.0%                
Microsoft Corp.     125,129       48,716,474  

 

See Notes to Financial Statements.

- 32 -

THE ALGER FUNDS | ALGER GROWTH & INCOME FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—91.2% (CONT.)                
SYSTEMS SOFTWARE—10.0% (CONT.)                
Oracle Corp.     18,734     $ 2,130,992  
              50,847,466  
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—7.2%                
Apple, Inc.     191,492       32,616,832  
Dell Technologies, Inc., Cl. C     32,559       4,058,154  
              36,674,986  
TOBACCO—1.1%                
Altria Group, Inc.     66,804       2,926,683  
Philip Morris International, Inc.     25,514       2,422,299  
              5,348,982  
TRADING COMPANIES & DISTRIBUTORS—0.7%                
Ferguson PLC     17,867       3,750,283  
TRANSACTION & PAYMENT PROCESSING SERVICES—1.4%                
Visa, Inc., Cl. A     26,102       7,011,258  
TOTAL COMMON STOCKS                
(Cost $307,994,568)             463,325,857  
MASTER LIMITED PARTNERSHIP—0.3%                
OIL & GAS STORAGE & TRANSPORTATION—0.3%                
Cheniere Energy Partners LP     38,504       1,865,519  
(Cost $1,639,700)             1,865,519  
REAL ESTATE INVESTMENT TRUST—2.8%                
HEALTHCARE—0.7%                
Welltower, Inc.     36,362       3,464,571  
(Cost $2,676,941)             3,464,571  
INDUSTRIAL—0.3%                
Prologis, Inc.     13,735       1,401,657  
(Cost $1,936,333)             1,401,657  
RETAIL—0.7%                
Simon Property Group, Inc.     24,337       3,420,078  
(Cost $2,943,295)             3,420,078  
SPECIALIZED—0.5%                
Lamar Advertising Co., Cl. A     23,967       2,776,577  
(Cost $2,029,344)             2,776,577  
TELECOM TOWER—0.6%                
Crown Castle, Inc.     33,855       3,174,922  
(Cost $3,883,026)             3,174,922  
TOTAL REAL ESTATE INVESTMENT TRUST                
(Cost $13,468,939)             14,237,805  

 

See Notes to Financial Statements.

- 33 -

THE ALGER FUNDS | ALGER GROWTH & INCOME FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
SHORT-TERM SECURITIES—1.2%                
MONEY MARKET FUNDS—1.2%                
Dreyfus Treasury Obligations Cash Management Fund, Institutional Shares, 5.19%(a)     5,878,098     $ 5,878,098  
(Cost $5,878,098)             5,878,098  
Total Investments                
(Cost $328,981,305)     95.5 %   $ 485,307,279  
Unaffiliated Securities (Cost $328,981,305)             485,307,279  
Other Assets in Excess of Liabilities     4.5 %     22,837,725  
NET ASSETS     100.0 %   $ 508,145,004  

 

ADR American Depositary Receipts

 

(a) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.

 

See Notes to Financial Statements.

- 34 -

THE ALGER FUNDS | ALGER 35 FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—100.4%                
AEROSPACE & DEFENSE—5.7%                
HEICO Corp., Cl. A     7,045     $ 1,168,413  
TransDigm Group, Inc.     598       746,322  
              1,914,735  
APPLICATION SOFTWARE—4.4%                
AppFolio, Inc., Cl. A*     3,478       788,741  
AppLovin Corp., Cl. A*     9,687       683,611  
              1,472,352  
BIOTECHNOLOGY—5.9%                
Autolus Therapeutics PLC ADR*     73,641       270,999  
Cabaletta Bio, Inc.*     38,905       414,144  
Natera, Inc.*     13,716       1,273,942  
              1,959,085  
BROADLINE RETAIL—10.9%                
Amazon.com, Inc.*     16,922       2,961,350  
MercadoLibre, Inc.*     461       672,461  
              3,633,811  
COAL & CONSUMABLE FUELS—1.8%                
Cameco Corp.     12,857       586,665  
COMMUNICATIONS EQUIPMENT—0.9%                
Arista Networks, Inc.*     1,210       310,438  
ELECTRIC UTILITIES—3.5%                
Constellation Energy Corp.     6,345       1,179,789  
ELECTRICAL COMPONENTS & EQUIPMENT—3.9%                
Vertiv Holdings Co., Cl. A     14,163       1,317,159  
ELECTRONIC EQUIPMENT & INSTRUMENTS—1.6%                
908 Devices, Inc.*     96,391       549,429  
FOOTWEAR—2.4%                
Deckers Outdoor Corp.*     357       292,194  
On Holding AG, Cl. A*     16,362       519,493  
              811,687  
HEALTHCARE EQUIPMENT—4.6%                
Impulse Dynamics PLC, Series F-1(a),*,@     545,772       545,772  
Intuitive Surgical, Inc.*     2,687       995,856  
              1,541,628  
INTERACTIVE MEDIA & SERVICES—7.0%                
Meta Platforms, Inc., Cl. A     4,288       1,844,569  
Pinterest, Inc., Cl. A*     14,878       497,669  
              2,342,238  
MOVIES & ENTERTAINMENT—8.5%                
Netflix, Inc.*     2,879       1,585,292  

 

See Notes to Financial Statements.

 

- 35 -

 

THE ALGER FUNDS | ALGER 35 FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—100.4% (CONT.)                
MOVIES & ENTERTAINMENT—8.5% (CONT.)                
Spotify Technology SA*     4,495     $ 1,260,578  
              2,845,870  
PASSENGER AIRLINES—2.6%                
Joby Aviation, Inc.*     173,363       875,483  
PASSENGER GROUND TRANSPORTATION—1.2%                
Uber Technologies, Inc.*     5,999       397,554  
PHARMACEUTICALS—2.7%                
Eli Lilly & Co.     1,154       901,389  
RESTAURANTS—3.7%                
Kura Sushi USA, Inc., Cl. A*     5,680       625,255  
Shake Shack, Inc., Cl. A*     5,785       612,342  
              1,237,597  
SEMICONDUCTORS—18.1%                
Advanced Micro Devices, Inc.*     6,682       1,058,295  
Micron Technology, Inc.     4,816       544,016  
NVIDIA Corp.     3,604       3,113,928  
Rambus, Inc.*     8,449       463,174  
Taiwan Semiconductor Manufacturing Co., Ltd. ADR     6,432       883,371  
              6,062,784  
SYSTEMS SOFTWARE—9.3%                
Crowdstrike Holdings, Inc., Cl. A*     2,752       805,070  
Microsoft Corp.     5,960       2,320,407  
              3,125,477  
TRANSACTION & PAYMENT PROCESSING SERVICES—1.7%                
PayPal Holdings, Inc.*     8,231       559,049  
TOTAL COMMON STOCKS                
(Cost $27,322,993)             33,624,219  

 

See Notes to Financial Statements.

 

- 36 -

 

THE ALGER FUNDS | ALGER 35 FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
SHORT-TERM SECURITIES—0.0%                
MONEY MARKET FUNDS—0.0%                
Dreyfus Treasury Obligations Cash Management Fund, Institutional Shares, 5.19%(b)     1,448     $ 1,448  
(Cost $1,448)             1,448  
Total Investments                
(Cost $27,324,441)     100.4 %   $ 33,625,667  
Unaffiliated Securities (Cost $27,324,441)             33,625,667  
Liabilities in Excess of Other Assets     (0.4 )%     (117,602 )
NET ASSETS     100.0 %   $ 33,508,065  

 

ADR American Depositary Receipts

 

(a) Security is valued in good faith at fair value determined using significant unobservable inputs pursuant to procedures approved by the Board of Trustees.
(b) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. Sales or transfers of the investment may be restricted only to qualified buyers.

 

                      % of net assets  
    Acquisition     Acquisition     Market     as of  
Security   Date(s)     Cost     Value     4/30/2024  
Impulse Dynamics PLC, Series F-1   2/5/2024     $ 544,299     $ 545,772       1.6 %
Total                 $ 545,772       1.6 %

 

See Notes to Financial Statements.

 

- 37 -

 

THE ALGER FUNDS | ALGER MID CAP FOCUS FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.5%                
ADVERTISING—1.1%                
The Trade Desk, Inc., Cl. A*     37,365     $ 3,095,690  
AEROSPACE & DEFENSE—8.3%                
Axon Enterprise, Inc.*     29,484       9,247,952  
HEICO Corp.     45,840       9,507,216  
TransDigm Group, Inc.     2,973       3,710,393  
              22,465,561  
APPAREL RETAIL—1.3%                
Burlington Stores, Inc.*     19,900       3,580,806  
APPLICATION SOFTWARE—17.2%                
Agilysys, Inc.*     82,064       6,815,415  
AppFolio, Inc., Cl. A*     29,662       6,726,748  
Cadence Design Systems, Inc.*     28,083       7,740,517  
Constellation Software, Inc.     1,826       4,701,163  
Datadog, Inc., Cl. A*     25,320       3,177,660  
HubSpot, Inc.*     4,612       2,789,661  
Manhattan Associates, Inc.*     24,365       5,020,652  
Procore Technologies, Inc.*     34,120       2,334,490  
Tyler Technologies, Inc.*     15,764       7,275,874  
              46,582,180  
AUTOMOTIVE RETAIL—2.2%                
O’Reilly Automotive, Inc.*     6,013       6,092,732  
BIOTECHNOLOGY—6.2%                
Natera, Inc.*     112,963       10,492,003  
Viking Therapeutics, Inc.*     80,296       6,389,956  
              16,881,959  
CARGO GROUND TRANSPORTATION—2.4%                
Old Dominion Freight Line, Inc.     36,376       6,609,883  
COAL & CONSUMABLE FUELS—1.1%                
Cameco Corp.     67,111       3,062,275  
CONSTRUCTION MATERIALS—2.2%                
Martin Marietta Materials, Inc.     10,396       6,103,180  
DIVERSIFIED FINANCIAL SERVICES—1.4%                
Apollo Global Management, Inc.     34,314       3,718,951  
ELECTRIC UTILITIES—2.2%                
Constellation Energy Corp.     32,331       6,011,626  
ELECTRICAL COMPONENTS & EQUIPMENT—7.6%                
Regal Rexnord Corp.     25,765       4,157,698  
Vertiv Holdings Co., Cl. A     176,928       16,454,304  
              20,612,002  
ELECTRONIC COMPONENTS—1.6%                
Amphenol Corp., Cl. A     35,531       4,291,079  

 

See Notes to Financial Statements.

 

- 38 -

 

THE ALGER FUNDS | ALGER MID CAP FOCUS FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.5% (CONT.)                
FOOTWEAR—2.7%                
Deckers Outdoor Corp.*     8,814     $ 7,213,995  
HEALTHCARE EQUIPMENT—3.3%                
Dexcom, Inc.*     44,933       5,724,015  
IDEXX Laboratories, Inc.*     6,453       3,179,780  
              8,903,795  
HEALTHCARE TECHNOLOGY—1.5%                
Veeva Systems, Inc., Cl. A*     20,837       4,137,395  
HOME IMPROVEMENT RETAIL—1.0%                
Floor & Decor Holdings, Inc., Cl. A*     24,939       2,751,520  
INDUSTRIAL MACHINERY & SUPPLIES & COMPONENTS—2.0%                
Gates Industrial Corp. PLC*     301,715       5,316,218  
INTERACTIVE MEDIA & SERVICES—1.9%                
Pinterest, Inc., Cl. A*     150,383       5,030,311  
INTERNET SERVICES & INFRASTRUCTURE—7.3%                
Cloudflare, Inc., Cl. A*     60,432       5,281,757  
MongoDB, Inc.*     11,031       4,028,301  
Okta, Inc.*     57,475       5,344,025  
Shopify, Inc., Cl. A*     74,309       5,216,492  
              19,870,575  
LIFE SCIENCES TOOLS & SERVICES—6.6%                
Avantor, Inc.*     154,250       3,737,477  
Bruker Corp.     64,523       5,033,439  
Repligen Corp.*     18,508       3,039,014  
West Pharmaceutical Services, Inc.     17,298       6,183,689  
              17,993,619  
MOVIES & ENTERTAINMENT—2.4%                
Spotify Technology SA*     23,113       6,481,810  
OIL & GAS EXPLORATION & PRODUCTION—2.1%                
Diamondback Energy, Inc.     27,766       5,584,576  
RESTAURANTS—2.1%                
Chipotle Mexican Grill, Inc.*     1,810       5,718,876  
SEMICONDUCTORS—5.9%                
Marvell Technology, Inc.     43,112       2,841,512  
Micron Technology, Inc.     67,588       7,634,740  
Monolithic Power Systems, Inc.     8,097       5,419,565  
              15,895,817  
SOFT DRINKS & NON-ALCOHOLIC BEVERAGES—2.1%                
Celsius Holdings, Inc.*     78,685       5,607,880  
SYSTEMS SOFTWARE—2.1%                
Crowdstrike Holdings, Inc., Cl. A*     6,103       1,785,372  

 

See Notes to Financial Statements.

 

- 39 -

 

THE ALGER FUNDS | ALGER MID CAP FOCUS FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.5% (CONT.)                
SYSTEMS SOFTWARE—2.1% (CONT.)                
ServiceNow, Inc.*     5,459     $ 3,784,888  
              5,570,260  
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—0.7%                
Super Micro Computer, Inc.*     2,271       1,950,335  
TOTAL COMMON STOCKS                
(Cost $205,327,339)             267,134,906  
SHORT-TERM SECURITIES—1.2%                
MONEY MARKET FUNDS—1.2%                
Dreyfus Treasury Obligations Cash Management Fund, Institutional Shares, 5.19%(a)        3,235,928           3,235,928   
(Cost $3,235,928)             3,235,928  
Total Investments                
(Cost $208,563,267)     99.7 %   $ 270,370,834  
Unaffiliated Securities (Cost $208,563,267)             270,370,834  
Other Assets in Excess of Liabilities     0.3 %     827,430  
NET ASSETS     100.0 %   $ 271,198,264  

 

(a) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.

 

See Notes to Financial Statements.

 

- 40 -

 

 

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—97.9%                
ADVERTISING—1.3%                
The Trade Desk, Inc., Cl. A*     36,513     $ 3,025,102  
AEROSPACE & DEFENSE—4.3%                
HEICO Corp.     32,935       6,830,719  
TransDigm Group, Inc.     2,471       3,083,882  
              9,914,601  
APPLICATION SOFTWARE—13.4%                
Cadence Design Systems, Inc.*     18,988       5,233,662  
Clearwater Analytics Holdings, Inc., Cl. A*     156,837       2,474,888  
Constellation Software, Inc.     2,397       6,171,241  
Datadog, Inc., Cl. A*     30,865       3,873,557  
Guidewire Software, Inc.*     33,755       3,726,552  
Manhattan Associates, Inc.*     13,534       2,788,816  
Procore Technologies, Inc.*     32,497       2,223,445  
The Descartes Systems Group, Inc.*     46,417       4,305,707  
              30,797,868  
ASSET MANAGEMENT & CUSTODY BANKS—3.8%                
Ares Management Corp., Cl. A     27,774       3,696,442  
Blue Owl Capital, Inc., Cl. A     263,714       4,981,557  
              8,677,999  
AUTOMOTIVE PARTS & EQUIPMENT—1.3%                
Mobileye Global, Inc., Cl. A*     106,683       2,939,117  
AUTOMOTIVE RETAIL—0.9%                
AutoZone, Inc.*     669       1,977,832  
BIOTECHNOLOGY—3.2%                
Natera, Inc.*     61,353       5,698,466  
Vaxcyte, Inc.*     29,536       1,788,405  
              7,486,871  
BUILDING PRODUCTS—0.6%                
Trex Co., Inc.*     16,551       1,465,591  
CARGO GROUND TRANSPORTATION—1.9%                
Old Dominion Freight Line, Inc.     24,174       4,392,658  
CONSTRUCTION & ENGINEERING—0.8%                
WillScot Mobile Mini Holdings Corp.*     46,975       1,736,196  
CONSTRUCTION MACHINERY & HEAVY TRANSPORTATION EQUIPMENT—0.6%                
Wabtec Corp.     8,776       1,413,638  
CONSTRUCTION MATERIALS—1.7%                
Martin Marietta Materials, Inc.     6,599       3,874,075  
DIVERSIFIED FINANCIAL SERVICES—0.8%                
Apollo Global Management, Inc.     16,533       1,791,847  

 

See Notes to Financial Statements.

- 41 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—97.9% (CONT.)                
ELECTRICAL COMPONENTS & EQUIPMENT—3.2%                
Vertiv Holdings Co., Cl. A     78,503     $ 7,300,779  
ELECTRONIC COMPONENTS—2.4%                
Amphenol Corp., Cl. A     45,925       5,546,362  
ENVIRONMENTAL & FACILITIES SERVICES—2.7%                
GFL Environmental, Inc.     196,508       6,268,605  
FINANCIAL EXCHANGES & DATA—1.3%                
MSCI, Inc., Cl. A     6,369       2,966,617  
HEALTHCARE EQUIPMENT—3.7%                
Dexcom, Inc.*     28,738       3,660,934  
IDEXX Laboratories, Inc.*     9,718       4,788,641  
              8,449,575  
HEALTHCARE FACILITIES—0.8%                
Acadia Healthcare Co., Inc.*     23,464       1,734,928  
HEALTHCARE TECHNOLOGY—1.7%                
Veeva Systems, Inc., Cl. A*     20,233       4,017,464  
HOME IMPROVEMENT RETAIL—1.0%                
Floor & Decor Holdings, Inc., Cl. A*     20,240       2,233,079  
HOMEBUILDING—1.3%                
NVR, Inc.*     410       3,049,929  
HOMEFURNISHING RETAIL—0.9%                
Wayfair, Inc., Cl. A*     43,334       2,173,200  
HOTELS RESORTS & CRUISE LINES—1.9%                
Hilton Worldwide Holdings, Inc.     22,550       4,448,664  
HUMAN RESOURCE & EMPLOYMENT SERVICES—0.7%                
Paylocity Holding Corp.*     10,129       1,571,616  
INSURANCE BROKERS—0.6%                
Ryan Specialty Holdings, Inc., Cl. A     28,916       1,426,715  
INTERACTIVE MEDIA & SERVICES—2.5%                
Pinterest, Inc., Cl. A*     173,480       5,802,906  
INTERNET SERVICES & INFRASTRUCTURE—2.2%                
Cloudflare, Inc., Cl. A*     19,257       1,683,062  
MongoDB, Inc.*     9,283       3,389,966  
              5,073,028  
IT CONSULTING & OTHER SERVICES—1.4%                
Globant SA*     18,570       3,316,416  
LIFE SCIENCES TOOLS & SERVICES—6.1%                
Mettler-Toledo International, Inc.*     2,730       3,357,081  
Repligen Corp.*     30,288       4,973,289  
West Pharmaceutical Services, Inc.     16,285       5,821,562  
              14,151,932  

 

See Notes to Financial Statements. 

- 42 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—97.9% (CONT.)                
MOVIES & ENTERTAINMENT—3.0%                
Liberty Media Corp. Series C Liberty Formula One, Cl. C*     17,563     $ 1,228,883  
Spotify Technology SA*     20,423       5,727,426  
              6,956,309  
OIL & GAS EXPLORATION & PRODUCTION—2.8%                
Diamondback Energy, Inc.     32,420       6,520,635  
OTHER SPECIALTY RETAIL—0.8%                
Five Below, Inc.*     12,087       1,768,812  
PROPERTY & CASUALTY INSURANCE—0.9%                
Intact Financial Corp.     13,183       2,166,794  
REAL ESTATE SERVICES—4.7%                
CoStar Group, Inc.*     59,449       5,441,367  
FirstService Corp.     36,930       5,428,710  
              10,870,077  
RESEARCH & CONSULTING SERVICES—1.9%                
TransUnion     27,046       1,974,358  
Verisk Analytics, Inc., Cl. A     10,711       2,334,570  
              4,308,928  
RESTAURANTS—5.0%                
Chipotle Mexican Grill, Inc.*     1,597       5,045,881  
Domino’s Pizza, Inc.     12,219       6,467,150  
              11,513,031  
SEMICONDUCTORS—5.7%                
Lattice Semiconductor Corp.*     57,430       3,939,698  
Marvell Technology, Inc.     93,563       6,166,737  
Monolithic Power Systems, Inc.     3,081       2,062,206  
ON Semiconductor Corp.*     14,707       1,031,843  
              13,200,484  
SOFT DRINKS & NON-ALCOHOLIC BEVERAGES—1.6%                
Celsius Holdings, Inc.*     51,362       3,660,570  
TRADING COMPANIES & DISTRIBUTORS—2.5%                
Ferguson PLC     27,582       5,789,462  
TOTAL COMMON STOCKS                
(Cost $179,194,915)             225,780,312  
PREFERRED STOCKS—0.0%                
BIOTECHNOLOGY—0.0%                
Prosetta Biosciences, Inc., Series D(a),(b),*,@     219,610       —    
(Cost $988,245)             —    

 

See Notes to Financial Statements.

- 43 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
RIGHTS—0.1%                
BIOTECHNOLOGY—0.1%                
Tolero CDR(b),*,@     590,059     $ 354,036  
(Cost $315,502)             354,036  
TOTAL RIGHTS                
(Cost $315,502)             354,036  
SPECIAL PURPOSE VEHICLE—0.7%                
DIVERSIFIED FINANCIAL SERVICES—0.7%                
Crosslink Ventures C, LLC, Cl. A(a),(b),*,@             1,090,512  
Crosslink Ventures C, LLC, Cl. B(a),(b),*,@             431,661  
              1,522,173  
TOTAL SPECIAL PURPOSE VEHICLE                
(Cost $1,675,000)             1,522,173  
WARRANTS—0.0%                
APPLICATION SOFTWARE—0.0%                
Constellation Software, Inc., 3/31/40(b),*     2,045       —    
(Cost $0)             —    
SHORT-TERM SECURITIES—1.5%                
MONEY MARKET FUNDS—1.5%                
Dreyfus Treasury Obligations Cash Management Fund,                
Institutional Shares, 5.19%(c)     3,477,574       3,477,574  
(Cost $3,477,574)             3,477,574  
Total Investments                
(Cost $185,651,236)     100.2 %   $ 231,134,095  
Affiliated Securities (Cost $2,663,245)             1,522,173  
Unaffiliated Securities (Cost $182,987,991)             229,611,922  
Liabilities in Excess of Other Assets     (0.2 )%     (413,436 )
NET ASSETS     100.0 %   $ 230,720,659  

 

CDR Contingent Deferred Rights

 

(a) Deemed an affiliate of the Fund in accordance with Section 2(a)(3) of the Investment Company Act of 1940. See Note 11 - Affiliated Securities.
(b) Security is valued in good faith at fair value determined using significant unobservable inputs pursuant to procedures approved by the Board of Trustees.
(c) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. Sales or transfers of the investment may be restricted only to qualified buyers.

 

See Notes to Financial Statements.

- 44 -

THE ALGER FUNDS | ALGER MID CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

Security   Acquisition
Date(s)		   Acquisition
Cost		     Market
Value		     % of net assets
as of
4/30/2024		  
Crosslink Ventures C, LLC, Cl. A   10/2/20   $ 1,200,000     $ 1,090,512       0.5 %
Crosslink Ventures C, LLC, Cl. B   12/16/20     475,000       431,661       0.2 %
Prosetta Biosciences, Inc., Series D   2/6/15     988,245       0       0.0 %
Tolero CDR   2/6/17     315,502       354,036       0.1 %
Total               $ 1,876,209
 
0.8 %

 

See Notes to Financial Statements.

- 45 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—96.7%                
AEROSPACE & DEFENSE—2.7%                
HEICO Corp.     26,304     $ 5,455,449  
Hexcel Corp.     33,966       2,180,957  
              7,636,406  
APPAREL ACCESSORIES & LUXURY GOODS—0.6%                
Capri Holdings, Ltd.*     49,285       1,748,632  
APPAREL RETAIL—1.4%                
Aritzia, Inc.*     57,158       1,479,760  
Victoria’s Secret & Co.*     150,507       2,651,933  
              4,131,693  
APPLICATION SOFTWARE—22.6%                
ACI Worldwide, Inc.*     125,405       4,276,310  
AppFolio, Inc., Cl. A*     25,978       5,891,291  
BILL Holdings, Inc.*     15,072       939,890  
Blackbaud, Inc.*     49,230       3,836,002  
BlackLine, Inc.*     44,227       2,567,377  
DoubleVerify Holdings, Inc.*     29,823       873,814  
Guidewire Software, Inc.*     35,989       3,973,186  
HubSpot, Inc.*     6,620       4,004,239  
InterDigital, Inc.     14,268       1,408,680  
Manhattan Associates, Inc.*     59,310       12,221,419  
MicroStrategy, Inc., Cl. A*     1,942       2,068,288  
Q2 Holdings, Inc.*     106,247       5,460,033  
Smartsheet, Inc., Cl. A*     53,945       2,040,739  
Sprout Social, Inc., Cl. A*     39,229       1,979,103  
SPS Commerce, Inc.*     34,248       5,954,700  
Vertex, Inc., Cl. A*     253,872       7,395,291  
              64,890,362  
ASSET MANAGEMENT & CUSTODY BANKS—0.4%                
Affiliated Managers Group, Inc.     7,214       1,126,105  
BIOTECHNOLOGY—13.5%                
Absci Corp.*     456,158       2,162,189  
Akero Therapeutics, Inc.*     56,784       1,129,434  
Altimmune, Inc.*     67,862       444,496  
Arcus Biosciences, Inc.*     39,900       607,677  
Autolus Therapeutics PLC ADR*     315,288       1,160,260  
Cabaletta Bio, Inc.*     267,916       2,851,966  
CareDx, Inc.*     97,997       760,457  
Fusion Pharmaceuticals, Inc.*     87,642       1,878,168  
Immunovant, Inc.*     74,862       2,054,213  
Iovance Biotherapeutics, Inc.*     85,936       1,012,326  
Keros Therapeutics, Inc.*     26,208       1,477,869  
Larimar Therapeutics, Inc.*     398,960       2,748,834  
MoonLake Immunotherapeutics*     65,039       2,660,746  

 

See Notes to Financial Statements. 

- 46 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—96.7% (CONT.)                
BIOTECHNOLOGY—13.5% (CONT.)                
Morphic Holding, Inc.*     34,498     $ 940,760  
Natera, Inc.*     15,382       1,428,680  
Nuvalent, Inc., Cl. A*     44,499       3,065,091  
ORIC Pharmaceuticals, Inc.*     83,393       736,360  
Praxis Precision Medicines, Inc.*     15,873       870,952  
Prothena Corp. PLC*     17,552       357,008  
Scholar Rock Holding Corp.*     77,338       1,134,548  
Twist Bioscience Corp.*     41,964       1,310,536  
Vaxcyte, Inc.*     52,103       3,154,837  
Viking Therapeutics, Inc.*     59,354       4,723,391  
              38,670,798  
BUILDING PRODUCTS—1.1%                
CSW Industrials, Inc.     7,092       1,685,201  
The AZEK Co., Inc.*     32,902       1,501,647  
              3,186,848  
CONSUMER STAPLES MERCHANDISE RETAIL—0.9%                
BJ’s Wholesale Club Holdings, Inc.*     32,615       2,435,688  
ELECTRONIC EQUIPMENT & INSTRUMENTS—0.9%                
908 Devices, Inc.*     444,981       2,536,392  
ELECTRONIC MANUFACTURING SERVICES—0.7%                
Fabrinet*     10,701       1,852,022  
FOOTWEAR—1.0%                
On Holding AG, Cl. A*     94,007       2,984,722  
HEALTHCARE DISTRIBUTORS—0.3%                
PetIQ, Inc., Cl. A*     60,513       987,572  
HEALTHCARE EQUIPMENT—3.1%                
Glaukos Corp.*     12,151       1,166,496  
Impulse Dynamics PLC, Series A(a),*,@     3,646,998       2,334,079  
Impulse Dynamics PLC, Series F-1(a),*,@     390,695       391,753  
Inmode, Ltd.*     61,333       1,054,314  
Shockwave Medical, Inc.*     5,859       1,934,583  
Tandem Diabetes Care, Inc.*     55,349       2,030,755  
              8,911,980  
HEALTHCARE SERVICES—0.6%                
Guardant Health, Inc.*     102,679       1,848,222  
HEALTHCARE SUPPLIES—0.9%                
Neogen Corp.*     199,193       2,456,050  
HEALTHCARE TECHNOLOGY—1.6%                
Veeva Systems, Inc., Cl. A*     22,608       4,489,045  
HOMEBUILDING—1.2%                
Skyline Champion Corp.*     46,556       3,491,234  

 

See Notes to Financial Statements.

- 47 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—96.7% (CONT.)                
HOMEFURNISHING RETAIL—0.7%                
RH*     8,141     $ 2,011,234  
HOTELS RESORTS & CRUISE LINES—0.7%                
MakeMyTrip, Ltd.*     29,423       1,948,097  
INDUSTRIAL MACHINERY & SUPPLIES & COMPONENTS—5.2%                
Gates Industrial Corp. PLC*     385,805       6,797,884  
RBC Bearings, Inc.*     20,339       4,973,902  
The Middleby Corp.*     21,806       3,030,380  
              14,802,166  
INTERACTIVE HOME ENTERTAINMENT—1.5%                
Take-Two Interactive Software, Inc.*     30,013       4,286,157  
INTERACTIVE MEDIA & SERVICES—0.2%                
Reddit, Inc., Cl. A*     10,583       470,309  
LEISURE FACILITIES—0.8%                
Planet Fitness, Inc., Cl. A*     39,248       2,348,600  
LIFE SCIENCES TOOLS & SERVICES—6.4%                
10X Genomics, Inc., Cl. A*     38,365       1,123,327  
Bio-Techne Corp.     112,235       7,094,374  
CryoPort, Inc.*     112,939       1,828,483  
ICON PLC*     7,113       2,118,821  
MaxCyte, Inc.*     188,744       685,141  
Mesa Laboratories, Inc.     13,916       1,476,209  
Quanterix Corp.*     21,926       353,447  
Repligen Corp.*     22,850       3,751,970  
              18,431,772  
MANAGED HEALTHCARE—0.9%                
HealthEquity, Inc.*     34,304       2,706,929  
MOVIES & ENTERTAINMENT—1.5%                
Live Nation Entertainment, Inc.*     48,129       4,279,149  
OIL & GAS EQUIPMENT & SERVICES—1.1%                
ChampionX Corp.     94,643       3,177,166  
OIL & GAS EXPLORATION & PRODUCTION—1.1%                
Magnolia Oil & Gas Corp., Cl. A     130,260       3,265,618  
PERSONAL CARE PRODUCTS—1.4%                
e.l.f. Beauty, Inc.*     15,315       2,489,147  
Oddity Tech, Ltd., Cl. A*     46,378       1,509,140  
              3,998,287  
PHARMACEUTICALS—1.3%                
Alto Neuroscience, Inc.*     61,765       957,975  
Pliant Therapeutics, Inc.*     52,723       623,186  
Structure Therapeutics, Inc. ADR*     51,418       2,027,926  
              3,609,087  

 

See Notes to Financial Statements.

- 48 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—96.7% (CONT.)                
RESTAURANTS—11.7%                
Cava Group, Inc.*     26,053     $ 1,874,253  
Kura Sushi USA, Inc., Cl. A*     59,520       6,551,961  
Shake Shack, Inc., Cl. A*     107,735       11,403,750  
Wingstop, Inc.     35,709       13,740,466  
              33,570,430  
SEMICONDUCTORS—2.1%                
Astera Labs, Inc.*     10,716       908,288  
Rambus, Inc.*     29,416       1,612,585  
Universal Display Corp.     21,944       3,466,713  
              5,987,586  
SOFT DRINKS & NON-ALCOHOLIC BEVERAGES—1.7%                
Celsius Holdings, Inc.*     68,845       4,906,583  
SPECIALIZED CONSUMER SERVICES—0.5%                
European Wax Center, Inc., Cl. A*     108,774       1,279,182  
SPECIALTY CHEMICALS—0.1%                
Balchem Corp.     1,712       242,043  
SYSTEMS SOFTWARE—1.5%                
CyberArk Software Ltd.*     6,245       1,494,116  
Rapid7, Inc.*     28,165       1,261,792  
Rubrik, Inc., Cl. A*     5,175       165,704  
Varonis Systems, Inc.*     32,940       1,441,125  
              4,362,737  
TRADING COMPANIES & DISTRIBUTORS—0.6%                
Xometry, Inc., Cl. A*     101,608       1,815,735  
TRANSACTION & PAYMENT PROCESSING SERVICES—2.2%                
DLocal Ltd.*     168,920       2,400,353  
Marqeta, Inc., Cl. A*     281,640       1,563,102  
Shift4 Payments, Inc., Cl. A*     39,531       2,287,264  
              6,250,719  
TOTAL COMMON STOCKS                
(Cost $234,501,127)             277,133,357  
PREFERRED STOCKS—0.0%                
BIOTECHNOLOGY—0.0%                
Prosetta Biosciences, Inc., Series D(a),(b),*,@     50,688       —    
(Cost $228,096)             —    
RIGHTS—0.0%                
BIOTECHNOLOGY—0.0%                
Mirati Therapeutics, Inc. CVR(a),*,@     14,432       29,442  

 

See Notes to Financial Statements.

- 49 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
RIGHTS—0.0% (CONT.)                
BIOTECHNOLOGY—0.0% (CONT.)                
Tolero CDR(a),*,@     174,782     $ 104,869  
              134,311  
TOTAL RIGHTS                
(Cost $94,483)             134,311  
SPECIAL PURPOSE VEHICLE—0.7%                
DIVERSIFIED FINANCIAL SERVICES—0.7%                
Crosslink Ventures C, LLC, Cl. A(a),(b),*,@             1,635,768  
Crosslink Ventures C, LLC, Cl. B(a),(b),*,@             431,661  
              2,067,429  
TOTAL SPECIAL PURPOSE VEHICLE                
(Cost $2,275,000)             2,067,429  
SHORT-TERM SECURITIES—2.8%                
MONEY MARKET FUNDS—2.8%                
Dreyfus Treasury Obligations Cash Management Fund,                
Institutional Shares, 5.19%(c)     7,929,034       7,929,034  
(Cost $7,929,034)             7,929,034  
Total Investments                
(Cost $245,027,740)     100.2 %   $ 287,264,131  
Affiliated Securities (Cost $2,503,096)             2,067,429  
Unaffiliated Securities (Cost $242,524,644)             285,196,702  
Liabilities in Excess of Other Assets     (0.2 )%     (527,924 )
NET ASSETS     100.0 %   $ 286,736,207  

 

ADR American Depositary Receipts

CDR Contingent Deferred Rights

CVR Contingent Value Rights

 

(a) Security is valued in good faith at fair value determined using significant unobservable inputs pursuant to procedures approved by the Board of Trustees.
(b) Deemed an affiliate of the Fund in accordance with Section 2(a)(3) of the Investment Company Act of 1940. See Note 11 - Affiliated Securities.
(c) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. Sales or transfers of the investment may be restricted only to qualified buyers.

 

See Notes to Financial Statements.

- 50 -

THE ALGER FUNDS | ALGER SMALL CAP GROWTH FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

Security   Acquisition
Date(s)		   Acquisition
Cost		     Market
Value		     % of net assets
as of
4/30/2024		  
Crosslink Ventures C, LLC, Cl. A   10/2/20   $ 1,800,000     $ 1,635,768       0.6 %
Crosslink Ventures C, LLC, Cl. B   12/16/20     475,000       431,661       0.1 %
Impulse Dynamics PLC, Series A   2/11/22     3,646,998       2,334,079       0.8 %
Impulse Dynamics PLC, Series F-1   2/5/24     390,695       391,753       0.1 %
Mirati Therapeutics, Inc. CVR   1/24/24     —         29,442       0.0 %
Prosetta Biosciences, Inc., Series D   2/16/15     228,096       0       0.0 %
Tolero CDR   2/6/17     94,483       104,869


0.0 %
Total               $ 4,927,572


1.6 %

 

See Notes to Financial Statements.

- 51 -

 

THE ALGER FUNDS | ALGER SMALL CAP FOCUS FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.8%                
APPLICATION SOFTWARE—30.5%                
Agilysys, Inc.*     588,081     $ 48,840,127  
Altair Engineering, Inc., Cl. A*     417,830       33,614,423  
AppFolio, Inc., Cl. A*     276,676       62,744,583  
BlackLine, Inc.*     400,293       23,237,009  
Clearwater Analytics Holdings, Inc., Cl. A*     2,462,680       38,861,090  
DoubleVerify Holdings, Inc.*     319,370       9,357,541  
Guidewire Software, Inc.*     446,785       49,325,064  
Intapp, Inc.*     453,949       14,036,103  
MicroStrategy, Inc., Cl. A*     18,390       19,585,902  
PROS Holdings, Inc.*     2,207,719       72,302,797  
Q2 Holdings, Inc.*     640,768       32,929,068  
Vertex, Inc., Cl. A*     727,923       21,204,397  
              426,038,104  
AUTOMOTIVE PARTS & EQUIPMENT—2.1%                
Modine Manufacturing Co.*     313,255       29,016,811  
BIOTECHNOLOGY—14.3%                
Absci Corp.(a),*     5,806,794       27,524,204  
Ascendis Pharma AS ADR*     148,291       20,529,406  
Cabaletta Bio, Inc.*     1,669,064       17,767,186  
Immunovant, Inc.*     446,236       12,244,716  
MoonLake Immunotherapeutics*     483,565       19,782,644  
Natera, Inc.*     925,531       85,963,319  
Nuvalent, Inc., Cl. A*     242,931       16,733,087  
              200,544,562  
BUILDING PRODUCTS—3.4%                
AAON, Inc.     134,279       12,634,311  
Trex Co., Inc.*     387,496       34,312,771  
              46,947,082  
CONSTRUCTION & ENGINEERING—1.3%                
MYR Group, Inc.*     111,458       18,529,893  
CONSTRUCTION MACHINERY & HEAVY TRANSPORTATION EQUIPMENT—1.7%          
Federal Signal Corp.     297,006       24,146,588  
ELECTRONIC MANUFACTURING SERVICES—0.5%                
Fabrinet*     44,776       7,749,382  
HEALTHCARE EQUIPMENT—8.6%                
Alphatec Holdings, Inc.*     2,352,521       29,688,815  
AtriCure, Inc.*     455,677       10,990,929  
Glaukos Corp.*     245,061       23,525,856  
Impulse Dynamics PLC, Series F-1(a),(b),*,@     28,027,798       28,027,798  
Inari Medical, Inc.*     417,357       15,584,110  
Tandem Diabetes Care, Inc.*     322,753       11,841,808  
              119,659,316  

 

See Notes to Financial Statements.

 

- 52 -

 

THE ALGER FUNDS | ALGER SMALL CAP FOCUS FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.8% (CONT.)                
INDUSTRIAL MACHINERY & SUPPLIES & COMPONENTS—6.2%                
Gates Industrial Corp. PLC*     756,752     $ 13,333,970  
RBC Bearings, Inc.*     298,752       73,059,802  
              86,393,772  
LIFE SCIENCES TOOLS & SERVICES—11.3%                
10X Genomics, Inc., Cl. A*     322,127       9,431,879  
BioLife Solutions, Inc.*     1,335,592       23,426,284  
Bio-Techne Corp.     466,878       29,511,358  
CryoPort, Inc.*     1,588,453       25,717,054  
Repligen Corp.*     291,462       47,858,060  
Stevanato Group SpA     760,707       21,330,224  
              157,274,859  
PERSONAL CARE PRODUCTS—1.2%                
e.l.f. Beauty, Inc.*     99,675       16,200,178  
PHARMACEUTICALS—0.8%                
Structure Therapeutics, Inc. ADR*     285,311       11,252,666  
RESTAURANTS—7.3%                
Kura Sushi USA, Inc., Cl. A*     293,176       32,272,814  
Wingstop, Inc.     182,067       70,057,561  
              102,330,375  
SEMICONDUCTORS—3.8%                
Impinj, Inc.*     132,647       21,141,279  
indie Semiconductor, Inc., Cl. A*     2,544,124       14,297,977  
Rambus, Inc.*     319,518       17,515,977  
              52,955,233  
SOFT DRINKS & NON-ALCOHOLIC BEVERAGES—1.3%                
Celsius Holdings, Inc.*     249,888       17,809,518  
SYSTEMS SOFTWARE—2.6%                
Rapid7, Inc.*     397,809       17,821,843  
Tenable Holdings, Inc.*     428,568       19,272,703  
              37,094,546  
TRADING COMPANIES & DISTRIBUTORS—1.9%                
Xometry, Inc., Cl. A*     1,501,675       26,834,932  
TOTAL COMMON STOCKS                
(Cost $1,108,335,016)             1,380,777,817  
RIGHTS—0.0%                
BIOTECHNOLOGY—0.0%                
Tolero CDR(b),*,@     11,905       7,143  
(Cost $6,435)             7,143  

 

See Notes to Financial Statements.

 

- 53 -

 

THE ALGER FUNDS | ALGER SMALL CAP FOCUS FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
SHORT-TERM SECURITIES—1.2%                
MONEY MARKET FUNDS—1.2%                
Dreyfus Treasury Obligations Cash Management Fund, Institutional Shares, 5.19%(c)     15,795,470     $ 15,795,470  
(Cost $15,795,470)             15,795,470  
Total Investments                
(Cost $1,124,136,921)     100.0 %   $ 1,396,580,430  
Affiliated Securities (Cost $55,775,735)             55,552,002  
Unaffiliated Securities (Cost $1,068,361,186)             1,341,028,428  
Other Assets in Excess of Liabilities     0.0 %     645,108  
NET ASSETS     100.0 %   $ 1,397,225,538  

 

ADR American Depositary Receipts 

CDR Contingent Deferred Rights

 

(a) Deemed an affiliate of the Fund in accordance with Section 2(a)(3) of the Investment Company Act of 1940. See Note 11 - Affiliated Securities.
(b) Security is valued in good faith at fair value determined using significant unobservable inputs pursuant to procedures approved by the Board of Trustees.
(c) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. Sales or transfers of the investment may be restricted only to qualified buyers.

 

                      % of net assets  
    Acquisition     Acquisition     Market     as of  
Security   Date(s)     Cost     Value     4/30/2024  
Impulse Dynamics PLC, Series F-1     11/28/23-2/5/24     $ 27,952,123     $ 28,027,798       2.0 %
Tolero CDR     2/6/17       6,435       7,143       0.0 %
Total    
            $ 28,034,941       2.0 %

 

See Notes to Financial Statements.

 

- 54 -

 

THE ALGER FUNDS | ALGER WEATHERBIE SPECIALIZED GROWTH FUND
Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—97.2%                
AEROSPACE & DEFENSE—3.9%                
AAR Corp.*     136,432     $ 9,432,908  
Cadre Holdings, Inc.     91,246       3,043,054  
Kratos Defense & Security Solutions, Inc.*     329,841       5,877,767  
Loar Holdings, Inc.*     24,452       1,279,329  
              19,633,058  
APPLICATION SOFTWARE—14.5%                
Agilysys, Inc.*     48,307       4,011,896  
nCino, Inc.*     223,824       6,526,708  
PROS Holdings, Inc.*     58,769       1,924,685  
Sprout Social, Inc., Cl. A*     180,612       9,111,875  
SPS Commerce, Inc.*     133,242       23,166,787  
Vertex, Inc., Cl. A*     957,306       27,886,324  
              72,628,275  
ASSET MANAGEMENT & CUSTODY BANKS—8.4%                
Hamilton Lane, Inc., Cl. A     157,520       17,598,134  
StepStone Group, Inc., Cl. A     681,821       24,593,284  
              42,191,418  
BIOTECHNOLOGY—9.2%                
ACADIA Pharmaceuticals, Inc.*     785,197       13,120,642  
Natera, Inc.*     279,587       25,968,041  
Ultragenyx Pharmaceutical, Inc.*     165,699       7,048,835  
              46,137,518  
BROADLINE RETAIL—4.6%                
Ollie’s Bargain Outlet Holdings, Inc.*     260,943       19,085,371  
Savers Value Village, Inc.*     247,293       4,085,280  
              23,170,651  
CARGO GROUND TRANSPORTATION—1.3%                
RXO, Inc.*     351,704       6,650,723  
CONSUMER FINANCE—0.6%                
Upstart Holdings, Inc.*     143,762       3,181,453  
ELECTRONIC EQUIPMENT & INSTRUMENTS—1.2%                
Novanta, Inc.*     38,854       6,080,651  
ENVIRONMENTAL & FACILITIES SERVICES—8.9%                
Casella Waste Systems, Inc., Cl. A*     307,444       27,792,937  
CECO Environmental Corp.*     102,853       2,223,682  
Montrose Environmental Group, Inc.*     329,983       14,327,862  
              44,344,481  
HEALTHCARE EQUIPMENT—13.7%                
Glaukos Corp.*     273,214       26,228,544  
Impulse Dynamics PLC, Series A(a),*,@     2,986,209       1,911,174  
Inmode, Ltd.*     140,319       2,412,084  

 

See Notes to Financial Statements.

 

- 55 -

 

THE ALGER FUNDS | ALGER WEATHERBIE SPECIALIZED GROWTH FUND
Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—97.2% (CONT.)                
HEALTHCARE EQUIPMENT—13.7% (CONT.)                
Inogen, Inc.*     222,823     $ 1,515,196  
Inspire Medical Systems, Inc.*     44,673       10,795,677  
iRhythm Technologies, Inc.*     66,077       7,240,718  
Nevro Corp.*     572,610       6,058,214  
Tandem Diabetes Care, Inc.*     333,041       12,219,274  
              68,380,881  
HEALTHCARE FACILITIES—1.2%                
US Physical Therapy, Inc.     56,822       5,768,001  
HEALTHCARE SERVICES—1.7%                
NeoGenomics, Inc.*     605,737       8,431,859  
HEALTHCARE SUPPLIES—0.2%                
Neogen Corp.*     95,629       1,179,106  
HEALTHCARE TECHNOLOGY—0.9%                
Definitive Healthcare Corp.*     614,162       4,262,284  
HUMAN RESOURCE & EMPLOYMENT SERVICES—0.3%                
First Advantage Corp.     75,190       1,225,597  
LEISURE FACILITIES—1.0%                
Planet Fitness, Inc., Cl. A*     81,631       4,884,799  
LEISURE PRODUCTS—0.2%                
Latham Group, Inc.*     284,561       796,771  
MANAGED HEALTHCARE—3.9%                
Progyny, Inc.*     612,013       19,621,137  
OIL & GAS EQUIPMENT & SERVICES—0.7%                
Core Laboratories, Inc.     219,834       3,473,377  
PERSONAL CARE PRODUCTS—0.4%                
Oddity Tech, Ltd., Cl. A*     67,926       2,210,312  
PROPERTY & CASUALTY INSURANCE—0.9%                
Palomar Holdings, Inc.*     59,899       4,712,254  
REAL ESTATE SERVICES—5.2%                
FirstService Corp.     177,327       26,067,069  
RESTAURANTS—1.2%                
Wingstop, Inc.     16,102       6,195,889  
SEMICONDUCTORS—3.2%                
Impinj, Inc.*     53,542       8,533,524  
Semtech Corp.*     99,067       3,726,900  
SiTime Corp.*     40,481       3,607,667  
              15,868,091  
TRADING COMPANIES & DISTRIBUTORS—8.6%                
SiteOne Landscape Supply, Inc.*     144,603       22,686,765  
Transcat, Inc.*     178,350       19,149,439  

 

See Notes to Financial Statements.

 

- 56 -

 

THE ALGER FUNDS | ALGER WEATHERBIE SPECIALIZED GROWTH FUND
Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—97.2% (CONT.)                
TRADING COMPANIES & DISTRIBUTORS—8.6% (CONT.)                
Xometry, Inc., Cl. A*     73,924     $ 1,321,022  
              43,157,226  
TRANSACTION & PAYMENT PROCESSING SERVICES—1.3%                
Flywire Corp.*     324,121       6,644,480  
TOTAL COMMON STOCKS                
(Cost $401,690,960)             486,897,361  
PREFERRED STOCKS—0.0%                
BIOTECHNOLOGY—0.0%                
Prosetta Biosciences, Inc., Series D(a),(b),*,@     231,474       —  
(Cost $1,041,633)             —  
SHORT-TERM SECURITIES—2.6%                
MONEY MARKET FUNDS—2.6%                
Dreyfus Treasury Obligations Cash Management Fund, Institutional Shares, 5.19%(c)     12,987,635       12,987,635  
(Cost $12,987,635)             12,987,635  
Total Investments                
(Cost $415,720,228)     99.8 %   $ 499,884,996  
Affiliated Securities (Cost $1,041,633)             0  
Unaffiliated Securities (Cost $414,678,595)             499,884,996  
Other Assets in Excess of Liabilities     0.2 %     876,616  
NET ASSETS     100.0 %   $ 500,761,612  

 

(a) Security is valued in good faith at fair value determined using significant unobservable inputs pursuant to procedures approved by the Board of Trustees.
(b) Deemed an affiliate of the Fund in accordance with Section 2(a)(3) of the Investment Company Act of 1940. See Note 11 - Affiliated Securities.
(c) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. Sales or transfers of the investment may be restricted only to qualified buyers.

 

                      % of net assets  
    Acquisition     Acquisition     Market     as of  
Security   Date(s)     Cost     Value     4/30/2024  
Impulse Dynamics PLC, Series A     2/11/22     $ 2,986,210     $ 1,911,174       0.4 %
Prosetta Biosciences, Inc., Series D     2/6/15       1,041,633       0       0.0 %
Total                   $ 1,911,174       0.4 %

 

See Notes to Financial Statements.

 

- 57 -

 

THE ALGER FUNDS | ALGER INTERNATIONAL FOCUS FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.6%                
BRAZIL—4.6%                
BROADLINE RETAIL—2.1%                
MercadoLibre, Inc.*     2,059     $ 3,003,463  
DIVERSIFIED BANKS—2.5%                
NU Holdings, Ltd., Cl. A*     328,404       3,566,468  
TOTAL BRAZIL                
(Cost $4,005,492)             6,569,931  
CANADA—9.7%                
APPLICATION SOFTWARE—2.2%                
Constellation Software, Inc.     1,253       3,225,934  
GENERAL MERCHANDISE STORES—2.9%                
Dollarama, Inc.     49,389       4,120,025  
RAIL TRANSPORTATION—2.4%                
Canadian Pacific Kansas City, Ltd.     43,123       3,383,056  
SPECIALIZED FINANCE—2.2%                
Element Fleet Management Corp.     202,380       3,229,789  
TOTAL CANADA                
(Cost $14,097,886)             13,958,804  
CHINA—5.0%                
DISTILLERS & VINTNERS—1.9%                
Kweichow Moutai Co., Ltd., Cl. A     11,699       2,742,869  
HOTELS RESORTS & CRUISE LINES—3.1%                
Trip.com Group, Ltd. ADR*     90,874       4,385,579  
TOTAL CHINA                
(Cost $6,067,822)             7,128,448  
DENMARK—3.9%                
PHARMACEUTICALS—3.9%                
Novo Nordisk A/S, Cl. B     43,355       5,559,945  
(Cost $3,144,779)                
FRANCE—12.4%                
APPAREL ACCESSORIES & LUXURY GOODS—2.1%                
LVMH Moet Hennessy Louis Vuitton SE     3,730       3,063,957  
HEALTHCARE SUPPLIES—2.3%                
EssilorLuxottica SA     15,351       3,273,319  
INDUSTRIAL GASES—1.9%                
Air Liquide SA     14,312       2,799,121  
OIL & GAS STORAGE & TRANSPORTATION—2.5%                
Gaztransport Et Technigaz SA     26,007       3,624,863  
PERSONAL CARE PRODUCTS—1.8%                
L’Oreal SA     5,530       2,592,758  

 

See Notes to Financial Statements.

 

- 58 -

 

THE ALGER FUNDS | ALGER INTERNATIONAL FOCUS FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.6% (CONT.)                
FRANCE—12.4% (CONT.)                
TRANSACTION & PAYMENT PROCESSING SERVICES—1.8%                
Edenred SE     53,544     $ 2,540,763  
TOTAL FRANCE                
(Cost $15,738,576)             17,894,781  
GERMANY—2.9%                
MOVIES & ENTERTAINMENT—2.9%                
CTS Eventim AG & Co. KGaA     46,453       4,107,781  
(Cost $3,286,378)                
HUNGARY—1.9%                
PHARMACEUTICALS—1.9%                
Richter Gedeon Nyrt     109,424       2,786,485  
(Cost $3,023,679)                
INDIA—7.5%                
AEROSPACE & DEFENSE—2.2%                
Bharat Electronics, Ltd.     1,129,676       3,158,996  
DIVERSIFIED BANKS—3.3%                
ICICI Bank, Ltd. ADR     174,404       4,801,342  
HOTELS RESORTS & CRUISE LINES—2.0%                
MakeMyTrip, Ltd.*     42,907       2,840,873  
TOTAL INDIA                
(Cost $8,328,145)             10,801,211  
INDONESIA—2.6%                
DIVERSIFIED BANKS—2.6%                
PT Bank Central Asia Tbk     6,216,277       3,737,752  
(Cost $3,865,807)                
ITALY—2.4%                
AUTOMOBILE MANUFACTURERS—2.4%                
Ferrari NV     8,173       3,397,516  
(Cost $930,618)                
JAPAN—17.4%                
BROADLINE RETAIL—2.5%                
Pan Pacific International Holdings Corp.     152,722       3,586,833  
HUMAN RESOURCE & EMPLOYMENT SERVICES—2.3%                
Recruit Holdings Co., Ltd.     75,473       3,250,423  
INDUSTRIAL CONGLOMERATES—2.4%                
Hitachi, Ltd.     37,703       3,478,505  
INDUSTRIAL GASES—3.0%                
Nippon Sanso Holdings Corp.     143,621       4,265,890  
INTERACTIVE HOME ENTERTAINMENT—2.5%                
Nintendo Co., Ltd.     74,022       3,609,979  

 

See Notes to Financial Statements.

 

- 59 -

 

THE ALGER FUNDS | ALGER INTERNATIONAL FOCUS FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.6% (CONT.)                
JAPAN—17.4% (CONT.)                
PACKAGED FOODS & MEATS—2.6%                
Toyo Suisan Kaisha, Ltd.     60,828     $ 3,803,837  
SEMICONDUCTOR MATERIALS & EQUIPMENT—2.1%                
Lasertec Corp.     14,338       3,092,785  
TOTAL JAPAN                
(Cost $22,364,890)             25,088,252  
MEXICO—1.8%                
SOFT DRINKS & NON-ALCOHOLIC BEVERAGES—1.8%                
Arca Continental SAB de CV     271,929       2,645,517  
(Cost $3,179,846)                
NETHERLANDS—3.0%                
SEMICONDUCTOR MATERIALS & EQUIPMENT—3.0%                
ASML Holding NV     4,892       4,260,993  
(Cost $848,356)                
SAUDI ARABIA—1.7%                
IT CONSULTING & OTHER SERVICES—1.7%                
Elm Co.     10,292       2,505,220  
(Cost $1,211,522)                
SOUTH KOREA—2.5%                
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—2.5%                
Samsung Electronics Co., Ltd.     65,455       3,638,423  
(Cost $3,902,749)                
SWITZERLAND—2.2%                
ASSET MANAGEMENT & CUSTODY BANKS—2.2%                
Partners Group Holding AG     2,492       3,206,123  
(Cost $1,936,211)                
TAIWAN—4.8%                
SEMICONDUCTORS—4.8%                
Taiwan Semiconductor Manufacturing Co., Ltd. ADR     50,062       6,875,515  
(Cost $5,617,177)                
UNITED KINGDOM—10.7%                
ASSET MANAGEMENT & CUSTODY BANKS—1.6%                
3i Group PLC     64,553       2,306,314  
INTEGRATED OIL & GAS—1.8%                
Shell PLC     72,591       2,580,510  
PHARMACEUTICALS—3.5%                
AstraZeneca PLC     32,972       4,986,980  
RESEARCH & CONSULTING SERVICES—1.7%                
RELX PLC     61,061       2,508,806  

 

See Notes to Financial Statements.

 

- 60 -

 

THE ALGER FUNDS | ALGER INTERNATIONAL FOCUS FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.6% (CONT.)                
UNITED KINGDOM—10.7% (CONT.)                
SOFT DRINKS & NON-ALCOHOLIC BEVERAGES—2.1%                
Coca-Cola HBC AG*     92,653     $ 2,990,721  
TOTAL UNITED KINGDOM                
(Cost $14,728,155)             15,373,331  
UNITED STATES—1.6%                
OIL & GAS EQUIPMENT & SERVICES—1.6%                
Schlumberger NV     50,014       2,374,665  
(Cost $1,564,745)                
TOTAL COMMON STOCKS                
(Cost $117,842,833)             141,910,693  
                 
MONEY MARKET FUNDS—0.5%                
UNITED STATES—0.5%                
Dreyfus Treasury Obligations Cash Management Fund, Institutional Shares, 5.19%(a)     770,385       770,385  
(Cost $770,385)                
Total Investments                
(Cost $118,613,218)     99.1 %   $ 142,681,078  
Unaffiliated Securities (Cost $118,613,218)             142,681,078  
Other Assets in Excess of Liabilities     0.9 %     1,298,664  
NET ASSETS     100.0 %   $ 143,979,742  

 

ADR American Depositary Receipts

 

(a) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.

 

See Notes to Financial Statements.

 

- 61 -

 

THE ALGER FUNDS | ALGER HEALTH SCIENCES FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.7%                
BIOTECHNOLOGY—22.8%                
AbbVie, Inc.     13,261     $ 2,156,769  
Aerovate Therapeutics, Inc.*     24,917       498,589  
Amgen, Inc.     16,293       4,463,304  
Ascendis Pharma AS ADR*     10,368       1,435,346  
Biohaven, Ltd.*     18,079       701,465  
Blueprint Medicines Corp.*     12,272       1,120,924  
Cabaletta Bio, Inc.*     55,931       595,386  
Forte Biosciences, Inc.*     1,192,842       871,968  
HilleVax, Inc.*     79,815       1,053,558  
Larimar Therapeutics, Inc.*     75,747       521,897  
Natera, Inc.*     2,499       232,107  
Nuvalent, Inc., Cl. A*     16,134       1,111,310  
Regeneron Pharmaceuticals, Inc.*     3,686       3,282,973  
Sarepta Therapeutics, Inc.*     9,164       1,160,712  
Vaxcyte, Inc.*     14,894       901,832  
Vertex Pharmaceuticals, Inc.*     5,652       2,220,162  
Viking Therapeutics, Inc.*     30,190       2,402,520  
              24,730,822  
HEALTHCARE DISTRIBUTORS—8.3%                
Cardinal Health, Inc.     32,526       3,351,479  
McKesson Corp.     10,515       5,648,763  
              9,000,242  
HEALTHCARE EQUIPMENT—20.9%                
Boston Scientific Corp.*     79,554       5,717,546  
Dexcom, Inc.*     8,827       1,124,471  
Edwards Lifesciences Corp.*     5,016       424,705  
Impulse Dynamics PLC, Series A(a),*,@     5,000,001       3,200,001  
Impulse Dynamics PLC, Series F-1(a),*,@     2,557,038       2,557,038  
Intuitive Surgical, Inc.*     10,048       3,723,990  
Stryker Corp.     9,655       3,248,907  
Tandem Diabetes Care, Inc.*     74,684       2,740,156  
              22,736,814  
HEALTHCARE FACILITIES—3.2%                
Encompass Health Corp.     26,470       2,207,068  
Tenet Healthcare Corp.*     11,275       1,266,070  
              3,473,138  
HEALTHCARE SERVICES—3.1%                
Cigna Group/The     9,395       3,354,391  
HEALTHCARE SUPPLIES—1.3%                
ConvaTec Group PLC(a),(b),@     473,383       1,472,843  
LIFE & HEALTH INSURANCE—3.3%                
Oscar Health, Inc., Cl. A*     207,101       3,597,345  

 

See Notes to Financial Statements.

 

- 62 -

 

THE ALGER FUNDS | ALGER HEALTH SCIENCES FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—98.7% (CONT.)                
LIFE SCIENCES TOOLS & SERVICES—8.6%                
Bruker Corp.     17,402     $ 1,357,530  
Codexis, Inc.*     306,492       891,892  
Danaher Corp.     6,154       1,517,699  
ICON PLC*     9,544       2,842,967  
Lonza Group AG     1,912       1,055,412  
West Pharmaceutical Services, Inc.     4,788       1,711,614  
              9,377,114  
MANAGED HEALTHCARE—6.4%                
Elevance Health, Inc.     10,065       5,320,158  
UnitedHealth Group, Inc.     3,282       1,587,503  
              6,907,661  
PHARMACEUTICALS—20.8%                
AstraZeneca PLC ADR     57,678       4,376,607  
Eli Lilly & Co.     7,452       5,820,757  
Intra-Cellular Therapies, Inc.*     12,534       900,066  
Merck & Co., Inc.     33,046       4,270,204  
Novo Nordisk A/S ADR     43,254       5,549,921  
Sandoz Group Ltd.*     48,201       1,638,204  
              22,555,759  
TOTAL COMMON STOCKS                
(Cost $93,948,521)             107,206,129  
PREFERRED STOCKS—0.0%                
BIOTECHNOLOGY—0.0%                
Prosetta Biosciences, Inc., Series D(a),(c),*,@     897,366       —  
(Cost $4,038,147)             —  
RIGHTS—1.1%                
BIOTECHNOLOGY—1.1%                
Tolero CDR(a),*,@     1,956,996       1,174,198  
(Cost $1,044,373)             1,174,198  

 

See Notes to Financial Statements.

 

- 63 -

 

THE ALGER FUNDS | ALGER HEALTH SCIENCES FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
SHORT-TERM SECURITIES—1.5%                
MONEY MARKET FUNDS—1.5%                
Dreyfus Treasury Obligations Cash Management Fund, Institutional Shares, 5.19%(d)     1,646,198     $ 1,646,198  
(Cost $1,646,198)             1,646,198  
Total Investments                
(Cost $100,677,239)     101.3 %   $ 110,026,525  
Affiliated Securities (Cost $4,038,147)             0  
Unaffiliated Securities (Cost $96,639,092)             110,026,525  
Liabilities in Excess of Other Assets     (1.3 )%     (1,388,519 )
NET ASSETS     100.0 %   $ 108,638,006  

 

ADR American Depositary Receipts

CDR Contingent Deferred Rights

 

(a) Security is valued in good faith at fair value determined using significant unobservable inputs pursuant to procedures approved by the Board of Trustees.
(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 represent 1.3% of the net assets of the Fund.
(c) Deemed an affiliate of the Fund in accordance with Section 2(a)(3) of the Investment Company Act of 1940. See Note 11 - Affiliated Securities.
(d) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. Sales or transfers of the investment may be restricted only to qualified buyers.

 

                      % of net assets  
    Acquisition     Acquisition     Market     as of  
Security   Date(s)     Cost     Value     4/30/2024  
ConvaTec Group PLC     12/11/23-1/8/24     $ 1,404,637     $ 1,472,843       1.3 %
Impulse Dynamics PLC, Series A     2/11/22-6/2/23       5,000,002       3,200,001       2.9 %
Impulse Dynamics PLC, Series F-1     11/28/23-2/5/24       2,550,135       2,557,038       2.4 %
Prosetta Biosciences, Inc., Series D     2/6/15       4,038,147       0       0.0 %
Tolero CDR     2/6/17       1,044,373       1,174,198       1.1 %
Total                   $ 8,404,080       7.7 %

 

See Notes to Financial Statements.

 

- 64 -

 

THE ALGER FUNDS | ALGER AI ENABLERS & ADOPTERS FUND

Schedule of Investments April 30, 2024 (Unaudited)

 

 

    SHARES     VALUE  
COMMON STOCKS—92.7%                
ADVERTISING—1.3%                
The Trade Desk, Inc., Cl. A*     484     $ 40,099  
APPLICATION SOFTWARE—5.7%                
Adobe, Inc.*     72       33,324  
AppLovin Corp., Cl. A*     1,359       95,905  
Cadence Design Systems, Inc.*     97       26,736  
Salesforce, Inc.     94       25,280  
              181,245  
AUTOMOBILE MANUFACTURERS—0.5%                
Tesla, Inc.*     85       15,579  
AUTOMOTIVE PARTS & EQUIPMENT—0.2%                
Mobileye Global, Inc., Cl. A*     245       6,750  
BIOTECHNOLOGY—1.0%                
Natera, Inc.*     325       30,186  
BROADLINE RETAIL—10.4%                
Amazon.com, Inc.*     1,790       313,250  
MercadoLibre, Inc.*     11       16,046  
              329,296  
CASINOS & GAMING—0.9%                
DraftKings, Inc., Cl. A*     680       28,261  
CONSTRUCTION & ENGINEERING—0.5%                
Quanta Services, Inc.     60       15,514  
CONSUMER STAPLES MERCHANDISE RETAIL—1.4%                
Walmart, Inc.     757       44,928  
DIVERSIFIED BANKS—0.7%                
Citigroup, Inc.     167       10,242  
JPMorgan Chase & Co.     67       12,847  
              23,089  
ELECTRIC UTILITIES—3.9%                
Constellation Energy Corp.     205       38,118  
NextEra Energy, Inc.     380       25,449  
NRG Energy, Inc.     841       61,115  
              124,682  
ELECTRICAL COMPONENTS & EQUIPMENT—1.4%                
Vertiv Holdings Co., Cl. A     479       44,547  
FINANCIAL EXCHANGES & DATA—2.6%                
S&P Global, Inc.     200       83,166  
HEALTHCARE EQUIPMENT—1.9%                
Edwards Lifesciences Corp.*     88       7,451  
GE HealthCare Technologies, Inc.     176       13,418  

 

See Notes to Financial Statements.

 

- 65 -

 

THE ALGER FUNDS | ALGER AI ENABLERS & ADOPTERS FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—92.7% (CONT.)                
HEALTHCARE EQUIPMENT—1.9% (CONT.)                
Intuitive Surgical, Inc.*     104     $ 38,545  
              59,414  
INTERACTIVE MEDIA & SERVICES—13.0%                
Alphabet, Inc., Cl. C*     871       143,401  
Meta Platforms, Inc., Cl. A     550       236,593  
Pinterest, Inc., Cl. A*     970       32,447  
              412,441  
INTERNET SERVICES & INFRASTRUCTURE—1.2%                
MongoDB, Inc.*     43       15,703  
Snowflake, Inc., Cl. A*     135       20,952  
              36,655  
IT CONSULTING & OTHER SERVICES—0.6%                
International Business Machines Corp.     111       18,448  
MOVIES & ENTERTAINMENT—3.0%                
Netflix, Inc.*     136       74,887  
Spotify Technology SA*     66       18,509  
              93,396  
PASSENGER GROUND TRANSPORTATION—0.6%                
Uber Technologies, Inc.*     281       18,622  
SEMICONDUCTOR MATERIALS & EQUIPMENT—1.8%                
Applied Materials, Inc.     88       17,481  
ASML Holding NV ADR     45       39,261  
              56,742  
SEMICONDUCTORS—20.5%                
Advanced Micro Devices, Inc.*     193       30,567  
Broadcom, Inc.     97       126,126  
Marvell Technology, Inc.     571       37,635  
Micron Technology, Inc.     551       62,241  
NVIDIA Corp.     386       333,512  
Taiwan Semiconductor Manufacturing Co., Ltd. ADR     434       59,605  
              649,686  
SYSTEMS SOFTWARE—14.8%                
Microsoft Corp.     1,157       450,455  
ServiceNow, Inc.*     26       18,026  
              468,481  
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—4.8%                
Apple, Inc.     751       127,918  

 

See Notes to Financial Statements.

 

- 66 -

 

THE ALGER FUNDS | ALGER AI ENABLERS & ADOPTERS FUND

Schedule of Investments April 30, 2024 (Unaudited) (Continued)

 

 

    SHARES     VALUE  
COMMON STOCKS—92.7% (CONT.)            
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—4.8% (CONT.)                
Dell Technologies, Inc., Cl. C     187     $ 23,307  
              151,225  
TOTAL COMMON STOCKS                
(Cost $3,046,012)             2,932,452  
REAL ESTATE INVESTMENT TRUST—0.7%                
DATA CENTER—0.7%                
Equinix, Inc.     30       21,333  
(Cost $23,482)             21,333  
SHORT-TERM SECURITIES—1.4%                
MONEY MARKET FUNDS—1.4%                
Dreyfus Treasury Obligations Cash Management Fund, Institutional Shares, 5.19%(a)     45,610       45,610  
(Cost $45,610)             45,610  
Total Investments                
(Cost $3,115,104)     94.8 %   $ 2,999,395  
Unaffiliated Securities (Cost $3,115,104)             2,999,395  
Other Assets in Excess of Liabilities     5.2 %     163,960  
NET ASSETS     100.0 %   $ 3,163,355  

 

ADR American Depositary Receipts

 

(a) Rate shown reflects 7-day effective yield as of April 30, 2024.
* Non-income producing security.

 

See Notes to Financial Statements.

 

- 67 -

 

THE ALGER FUNDS

Statements of Assets and Liabilities April 30, 2024 (Unaudited)

 

 

    Alger Capital     Alger Concentrated  
    Appreciation Fund     Equity Fund  
             
ASSETS:                
Investments in unaffiliated securities, at value (Identified cost below)* see accompanying schedules of investments   $ 1,711,902,319     $ 3,621,297  
Investments in affiliated securities, at value (Identified cost below)** see accompanying schedules of investments     2,521,809       —  
Cash and cash equivalents     25,148       18  
Receivable for investment securities sold     11,264,108       5,580  
Receivable for shares of beneficial interest sold     669,343       100,000  
Dividends and interest receivable     369,920       2,396  
Receivable from Investment Manager     54,858       7,256  
Prepaid expenses     276,722       —  
Total Assets     1,727,084,227       3,736,547  
                 
LIABILITIES:                
Payable for interfund loans     13,230,264       —  
Payable for investment securities purchased     4,410,358       104,472  
Payable for shares of beneficial interest redeemed     2,117,564       —  
Accrued investment advisory fees     1,308,405       1,025  
Accrued distribution fees     267,294       106  
Accrued shareholder administrative fees     21,839       24  
Accrued administrative fees     44,421       63  
Accrued transfer agent fees     538,541       1,910  
Accrued fund accounting fees     290,528       1,363  
Accrued printing fees     120,106       712  
Accrued professional fees     48,078       2,849  
Accrued custodian fees     45,749       278  
Accrued trustee fees     32,894       142  
Accrued other expenses     28,459       142  
Total Liabilities     22,504,500       113,086  
NET ASSETS   $ 1,704,579,727     $ 3,623,461  
                 
NET ASSETS CONSIST OF:                
Paid in capital (par value of $.001 per share)     598,166,528       3,745,000  
Distributable earnings (Distributions in excess of earnings)     1,106,413,199       (121,539 )
NET ASSETS   $ 1,704,579,727     $ 3,623,461  
* Identified cost   $ 747,881,105 (a)   $ 3,738,183 (b)
** Identified cost   $ 2,775,000 (a)   $ —  

 

See Notes to Financial Statements.

 

- 68 -

 

THE ALGER FUNDS

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 

    Alger Capital     Alger Concentrated  
    Appreciation Fund     Equity Fund  
             
NET ASSETS BY CLASS:                
Class A   $ 857,323,242     $ 96,393  
Class C   $ 68,833,662     $ 96,342  
Class I   $ —     $ 96,393  
Class Y   $ —     $ 96,410  
Class Z   $ 778,422,823     $ 3,237,923  
                 
SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:                
Class A     30,412,685       10,000  
Class C     4,407,028       10,000  
Class I     —       10,000  
Class Y     —       10,000  
Class Z     25,515,698       335,859  
                 
NET ASSET VALUE PER SHARE:                
Class A   $ 28.19     $ 9.64  
Class A - Offering Price Per Share (includes a 5.25% sales charge)   $ 29.75     $ 10.17  
Class C   $ 15.62     $ 9.63  
Class I   $ —     $ 9.64  
Class Y   $ —     $ 9.64  
Class Z   $ 30.51     $ 9.64  

 

(a) At April 30, 2024, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $767,980,313, amounted to $946,443,815, which consisted of aggregate gross unrealized appreciation of $954,059,925, and aggregate gross unrealized depreciation of $7,616,110.
(b) At April 30, 2024, the net unrealized depreciation on investments, based on cost for federal income tax purposes of $3,738,183, amounted to $(116,886), which consisted of aggregate gross unrealized appreciation of $27,966, and aggregate gross unrealized depreciation of $144,852.

 

See Notes to Financial Statements.

 

- 69 -

 

THE ALGER FUNDS

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 

    Alger Growth &        
    Income Fund     Alger 35 Fund  
             
ASSETS:                
Investments in unaffiliated securities, at value (Identified cost below)* see accompanying schedules of investments   $ 485,307,279     $ 33,625,667  
Investments in affiliated securities, at value (Identified cost below)** see accompanying schedules of investments     —       —  
Receivable for interfund loans     21,319,647       —  
Receivable for investment securities sold     —       236,161  
Receivable for shares of beneficial interest sold     1,750,888       —  
Dividends and interest receivable     537,783       833  
Receivable from Investment Manager     —       7,106  
Prepaid expenses     98,192       17,460  
Total Assets     509,013,789       33,887,227  
                 
LIABILITIES:                
Payable for interfund loans     —       167,029  
Payable for investment securities purchased     —       33,082  
Payable for shares of beneficial interest redeemed     373,578       100,000  
Bank overdraft     7,303       97  
Accrued investment advisory fees     228,416       14,208  
Accrued distribution fees     63,391       —  
Accrued shareholder administrative fees     5,687       316  
Accrued administrative fees     12,563       868  
Accrued transfer agent fees     39,287       131  
Accrued fund accounting fees     72,663       28,289  
Accrued printing fees     11,160       134  
Accrued professional fees     29,480       30,529  
Accrued custodian fees     10,468       1,904  
Accrued trustee fees     5,914       746  
Accrued other expenses     8,875       1,829  
Total Liabilities     868,785       379,162  
NET ASSETS   $ 508,145,004     $ 33,508,065  
                 
NET ASSETS CONSIST OF:                
Paid in capital (par value of $.001 per share)     351,425,677       30,809,240  
Distributable earnings (Distributions in excess of earnings)     156,719,327       2,698,825  
NET ASSETS   $ 508,145,004     $ 33,508,065  
* Identified cost   $ 328,981,305 (c)   $ 27,324,441 (d)

 

See Notes to Financial Statements.

 

- 70 -

 

THE ALGER FUNDS

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 

    Alger Growth &        
    Income Fund     Alger 35 Fund  
             
NET ASSETS BY CLASS:                
Class A   $ 159,169,674     $ —  
Class C   $ 29,877,429     $ —  
Class Z   $ 319,097,901     $ 33,508,065  
                 
SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:                
Class A     2,363,217       —  
Class C     451,555       —  
Class Z     4,730,694       2,567,183  
                 
NET ASSET VALUE PER SHARE:                
Class A   $ 67.35     $ —  
Class A - Offering Price Per Share (includes a 5.25% sales charge)   $ 71.08     $ —  
Class C   $ 66.17     $ —  
Class Z   $ 67.45     $ 13.05  

 

(c) At April 30, 2024, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $328,998,728, amounted to $156,308,551, which consisted of aggregate gross unrealized appreciation of $160,643,043, and aggregate gross unrealized depreciation of $4,334,492.
(d) At April 30, 2024, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $27,652,852, amounted to $5,972,815, which consisted of aggregate gross unrealized appreciation of $6,655,098, and aggregate gross unrealized depreciation of $682,283.

 

See Notes to Financial Statements.

 

- 71 -

 

THE ALGER FUNDS

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 

    Alger Mid Cap Focus     Alger Mid Cap  
    Fund     Growth Fund  
             
ASSETS:                
Investments in unaffiliated securities, at value (Identified cost below)* see accompanying schedules of investments   $ 270,370,834     $ 229,611,922  
Investments in affiliated securities, at value (Identified cost below)** see accompanying schedules of investments     —       1,522,173  
Receivable for investment securities sold     1,598,848       —  
Receivable for shares of beneficial interest sold     123,920       104,842  
Dividends and interest receivable     15,138       47,195  
Receivable from Investment Manager     132       6,289  
Prepaid expenses     97,590       129,382  
Total Assets     272,206,462       231,421,803  
                 
LIABILITIES:                
Payable for investment securities purchased     276,544       243,072  
Payable for shares of beneficial interest redeemed     308,264       35,928  
Bank overdraft     23       1,084  
Accrued investment advisory fees     170,212       161,917  
Accrued distribution fees     7,010       51,469  
Accrued shareholder administrative fees     2,550       3,189  
Accrued administrative fees     6,882       5,859  
Accrued transfer agent fees     42,232       65,311  
Accrued fund accounting fees     70,251       50,966  
Accrued printing fees     66,428       19,178  
Accrued professional fees     31,071       37,327  
Accrued custodian fees     10,663       16,346  
Accrued trustee fees     8,156       3,906  
Accrued other expenses     7,912       5,592  
Total Liabilities     1,008,198       701,144  
NET ASSETS   $ 271,198,264     $ 230,720,659  
                 
NET ASSETS CONSIST OF:                
Paid in capital (par value of $.001 per share)     369,778,947       245,994,150  
Distributable earnings (Distributions in excess of earnings)     (98,580,683 )     (15,273,491 )
NET ASSETS   $ 271,198,264     $ 230,720,659  
* Identified cost   $ 208,563,267 (e)   $ 182,987,991 (f)
** Identified cost   $ —     $ 2,663,245 (f)

 

See Notes to Financial Statements.

 

- 72 -

 

THE ALGER FUNDS

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 

    Alger Mid Cap Focus     Alger Mid Cap  
    Fund     Growth Fund  
             
NET ASSETS BY CLASS:                
Class A   $ 4,811,994     $ 160,119,827  
Class B   $ —     $ 11,555,181  
Class C   $ 3,107,046     $ 3,915,617  
Class I   $ 14,471,233     $ —  
Class Y   $ 259,681     $ —  
Class Z   $ 248,548,310     $ 55,130,034  
                 
SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:                
Class A     319,339       11,829,837  
Class B     —       1,363,712  
Class C     210,788       500,311  
Class I     960,378       —  
Class Y     16,958       —  
Class Z     16,248,768       3,930,282  
                 
NET ASSET VALUE PER SHARE:                
Class A   $ 15.07     $ 13.54  
Class A - Offering Price Per Share (includes a 5.25% sales charge)   $ 15.91     $ 14.29  
Class B   $ —     $ 8.47  
Class C   $ 14.74     $ 7.83  
Class I   $ 15.07     $ —  
Class Y   $ 15.31     $ —  
Class Z   $ 15.30     $ 14.03  

 

(e) At April 30, 2024, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $209,529,250, amounted to $60,841,584, which consisted of aggregate gross unrealized appreciation of $61,974,728, and aggregate gross unrealized depreciation of $1,133,144.
(f) At April 30, 2024, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $187,854,117, amounted to $43,279,978, which consisted of aggregate gross unrealized appreciation of $47,769,434, and aggregate gross unrealized depreciation of $4,489,456.

 

See Notes to Financial Statements.

 

- 73 -

 

THE ALGER FUNDS

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 

    Alger Small Cap     Alger Small Cap  
    Growth Fund     Focus Fund  
             
ASSETS:                
Investments in unaffiliated securities, at value (Identified cost below)* see accompanying schedules of investments   $ 285,196,702     $ 1,341,028,428  
Investments in affiliated securities, at value (Identified cost below)** see accompanying schedules of investments     2,067,429       55,552,002  
Cash and cash equivalents     28       7,125  
Receivable for investment securities sold     —       13,509,934  
Receivable for shares of beneficial interest sold     155,042       469,309  
Dividends and interest receivable     26,951       11,619  
Receivable from Investment Manager     —       7,431  
Prepaid expenses     123,944       288,838  
Total Assets     287,570,096       1,410,874,686  
                 
LIABILITIES:                
Payable for investment securities purchased     —       8,880,602  
Payable for shares of beneficial interest redeemed     312,299       2,081,875  
Accrued investment advisory fees     219,550       1,010,288  
Accrued distribution fees     43,294       102,527  
Accrued shareholder administrative fees     3,533       14,679  
Accrued administrative fees     7,400       37,044  
Accrued transfer agent fees     88,562       774,304  
Accrued fund accounting fees     52,063       204,192  
Accrued printing fees     20,125       314,274  
Accrued professional fees     37,766       37,036  
Accrued custodian fees     30,049       61,363  
Accrued trustee fees     6,561       52,496  
Accrued other expenses     12,687       78,468  
Total Liabilities     833,889       13,649,148  
NET ASSETS   $ 286,736,207     $ 1,397,225,538  
                 
NET ASSETS CONSIST OF:                
Paid in capital (par value of $.001 per share)     338,247,674       1,924,426,397  
Distributable earnings (Distributions in excess of earnings)     (51,511,467 )     (528,009,587 )
NET ASSETS   $ 286,736,207     $ 1,396,416,810  
* Identified cost   $ 242,524,644 (g)   $ 1,068,361,186 (h)
** Identified cost   $ 2,503,096 (g)   $ 55,775,735 (h)

 

See Notes to Financial Statements.

 

- 74 -

 

THE ALGER FUNDS

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 

    Alger Small Cap     Alger Small Cap  
    Growth Fund     Focus Fund  
             
NET ASSETS BY CLASS:                
Class A   $ 120,462,595     $ 134,887,563  
Class B   $ 1,886,335     $ —  
Class C   $ 15,454,948     $ 61,068,333  
Class I   $ —     $ 52,439,332  
Class Y   $ 2,897,237     $ 81,359,781  
Class Z   $ 146,035,092     $ 1,067,470,529  
                 
SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:                
Class A     12,832,761       7,896,120  
Class B     299,103       —  
Class C     2,672,125       4,130,197  
Class I     —       2,966,454  
Class Y     292,373       4,458,261  
Class Z     14,764,422       58,534,751  
                 
NET ASSET VALUE PER SHARE:                
Class A   $ 9.39     $ 17.08  
Class A - Offering Price Per Share (includes a 5.25% sales charge)   $ 9.91     $ 18.03  
Class B   $ 6.31     $ —  
Class C   $ 5.78     $ 14.79  
Class I   $ —     $ 17.68  
Class Y   $ 9.91     $ 18.25  
Class Z   $ 9.89     $ 18.24  

 

(g) At April 30, 2024, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $245,710,606, amounted to $41,553,525, which consisted of aggregate gross unrealized appreciation of $80,586,129, and aggregate gross unrealized depreciation of $39,032,604.
(h) At April 30, 2024, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $1,178,446,478, amounted to $218,133,952, which consisted of aggregate gross unrealized appreciation of $301,739,081, and aggregate gross unrealized depreciation of $83,605,129.

 

See Notes to Financial Statements.

 

- 75 -

 

THE ALGER FUNDS

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 

    Alger Weatherbie        
    Specialized Growth     Alger International  
    Fund     Focus Fund  
             
ASSETS:                
Investments in unaffiliated securities, at value (Identified cost below)* see accompanying schedules of investments   $ 499,884,996     $ 142,681,078  
Investments in affiliated securities, at value (Identified cost below)** see accompanying schedules of investments     —       —  
Cash and cash equivalents     4,676       —  
Foreign cash †     —       33,084  
Receivable for investment securities sold     2,841,491       12,690,188  
Receivable for shares of beneficial interest sold     218,519       1,174  
Dividends and interest receivable     37,992       293,771  
Receivable from Investment Manager     3,387       1,013  
Prepaid expenses     119,041       99,346  
Total Assets     503,110,102       155,799,654  
                 
LIABILITIES:                
Payable for investment securities purchased     —       11,425,659  
Payable for shares of beneficial interest redeemed     1,413,673       56,579  
Foreign capital gain tax payable     —       6,880  
Bank overdraft     —       1,465  
Accrued investment advisory fees     379,463       94,113  
Accrued distribution fees     49,555       30,768  
Accrued shareholder administrative fees     5,395       2,070  
Accrued administrative fees     12,883       3,645  
Accrued transfer agent fees     170,665       53,005  
Accrued fund accounting fees     118,158       48,598  
Accrued printing fees     96,425       14,514  
Accrued professional fees     41,934       46,403  
Accrued custodian fees     23,277       20,575  
Accrued trustee fees     12,839       2,949  
Accrued other expenses     24,223       12,689  
Total Liabilities     2,348,490       11,819,912  
NET ASSETS   $ 500,761,612     $ 143,979,742  
                 
NET ASSETS CONSIST OF:                
Paid in capital (par value of $.001 per share)     780,293,005       118,932,108  
Distributable earnings (Distributions in excess of earnings)     (279,531,393 )     25,047,634  
NET ASSETS   $ 500,761,612     $ 143,979,742  
* Identified cost   $ 414,678,595 (i)   $ 118,613,218 (j)
** Identified cost   $ 1,041,633 (i)   $ —  
† Cost of foreign cash   $ —     $ 33,211  

 

See Notes to Financial Statements.

 

- 76 -

 

THE ALGER FUNDS

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 

    Alger Weatherbie        
    Specialized Growth     Alger International  
    Fund     Focus Fund  
             
NET ASSETS BY CLASS:                
Class A   $ 89,608,722     $ 109,299,902  
Class B   $ —     $ 14,051,198  
Class C   $ 27,791,369     $ 1,166,530  
Class I   $ 11,581,095     $ 1,306,864  
Class Y   $ 49,490,246     $ —  
Class Z   $ 322,290,180     $ 18,155,248  
                 
SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:                
Class A     7,512,703       5,872,052  
Class B     —       881,425  
Class C     4,338,468       78,255  
Class I     937,906       69,956  
Class Y     3,880,081       —  
Class Z     24,434,162       949,902  
                 
NET ASSET VALUE PER SHARE:                
Class A   $ 11.93     $ 18.61  
Class A - Offering Price Per Share (includes a 5.25% sales charge)   $ 12.59     $ 19.64  
Class B   $ —     $ 15.94  
Class C   $ 6.41     $ 14.91  
Class I   $ 12.35     $ 18.68  
Class Y   $ 12.75     $ —  
Class Z   $ 13.19     $ 19.11  

 

(i) At April 30, 2024, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $444,990,776, amounted to $54,894,220, which consisted of aggregate gross unrealized appreciation of $92,088,605, and aggregate gross unrealized depreciation of $37,194,385.
(j) At April 30, 2024, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $118,850,492, amounted to $23,830,586, which consisted of aggregate gross unrealized appreciation of $28,571,812, and aggregate gross unrealized depreciation of $4,741,226.

 

See Notes to Financial Statements.

 

- 77 -

THE ALGER FUNDS 

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 


  

Alger Health

Sciences Fund

    

Alger AI Enablers &

Adopters Fund

  
                 
ASSETS:                
Investments in unaffiliated securities, at value (Identified cost below)* see accompanying schedules of investments   $ 110,026,525     $ 2,999,395  
Investments in affiliated securities, at value (Identified cost below)** see accompanying schedules of investments     —       —  
Cash and cash equivalents     —       23  
Receivable for investment securities sold     2,588,408       8,022  
Receivable for shares of beneficial interest sold     20,645       200,000  
Dividends and interest receivable     157,721       2,176  
Receivable from Investment Manager     1,299       7,262  
Prepaid expenses     74,785       —  
Total Assets     112,869,383       3,216,878  
                 
LIABILITIES:                
Payable for investment securities purchased     3,783,228       44,973  
Payable for shares of beneficial interest redeemed     170,185       —  
Bank overdraft     311       —  
Accrued investment advisory fees     55,067       968  
Accrued distribution fees     19,790       105  
Accrued shareholder administrative fees     1,433       23  
Accrued administrative fees     2,753       59  
Accrued transfer agent fees     86,174       1,910  
Accrued fund accounting fees     35,977       1,362  
Accrued printing fees     30,189       712  
Accrued professional fees     28,775       2,849  
Accrued custodian fees     9,277       278  
Accrued trustee fees     3,107       142  
Accrued other expenses     5,111       142  
Total Liabilities     4,231,377       53,523  
NET ASSETS   $ 108,638,006     $ 3,163,355  
                 
NET ASSETS CONSIST OF:                
Paid in capital (par value of $.001 per share)     132,475,663       3,290,000  
Distributable earnings (Distributions in excess of earnings)     (23,837,657 )     (126,645 )
NET ASSETS   $ 108,638,006     $ 3,163,355  
* Identified cost   $ 96,639,092 (k)    $ 3,115,104 (l) 
** Identified cost   $ 4,038,147 (k)    $ —  

 

See Notes to Financial Statements.

 

- 78 -

 

 

THE ALGER FUNDS 

Statements of Assets and Liabilities April 30, 2024 (Unaudited) (Continued)

 

 

   

Alger Health

Sciences Fund

  

Alger AI Enablers &

Adopters Fund

  
   
NET ASSETS BY CLASS:  
Class A   $ 67,707,023     $ 95,919  
Class C   $ 4,583,313     $ 95,868  
Class I   $ —     $ 95,920  
Class Y   $ —     $ 95,937  
Class Z   $ 36,347,670     $ 2,779,711  
                 
SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:  
Class A     3,210,251       10,000  
Class C     350,937       10,000  
Class I     —       10,000  
Class Y     —       10,000  
Class Z     1,681,400       289,730  
                 
NET ASSET VALUE PER SHARE:  
Class A   $ 21.09     $ 9.59  
Class A - Offering Price Per Share (includes a 5.25% sales charge)   $ 22.26     $ 10.12  
Class C   $ 13.06     $ 9.59  
Class I   $ —     $ 9.59  
Class Y   $ —     $ 9.59  
Class Z   $ 21.62     $ 9.59  

 

(k) At April 30, 2024, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $102,764,073, amounted to $7,262,452, which consisted of aggregate gross unrealized appreciation of $14,410,238, and aggregate gross unrealized depreciation of $7,147,786.
(l) At April 30, 2024, the net unrealized depreciation on investments, based on cost for federal income tax purposes of $3,115,105, amounted to $(115,710), which consisted of aggregate gross unrealized appreciation of $22,227, and aggregate gross unrealized depreciation of $137,937.

 

See Notes to Financial Statements.

 

- 79 -

 

 

THE ALGER FUNDS 

Statements of Operations for the six months ended April 30, 2024 (Unaudited)

 

 

    Alger Capital
 Appreciation Fund		    

Alger Concentrated

Equity Fund

From April 4, 2024

(commencement of
operations) to
April 30, 2024

  
                 
INCOME:                
Dividends (net of foreign withholding taxes*)   $ 5,686,392     $ 313  
Interest     57,102       2,132  
Total Income     5,743,494       2,445  
                 
EXPENSES:                
Investment advisory fees — Note 3     7,276,728       1,025  
Distribution fees — Note 3                
Class A     1,071,542       18  
Class C     362,991       70  
Class I     —       18  
Shareholder administrative fees — Note 3     120,056       24  
Administration fees — Note 3     247,050       63  
Transfer agent fees — Note 3     486,999       1,910  
Fund accounting fees     202,262       1,363  
Interest expenses     169,600       —  
Professional fees     98,921       2,849  
Printing fees     66,384       712  
Trustee fees — Note 3     48,096       142  
Custodian fees     35,248       278  
Registration fees     35,119       —  
Other expenses     74,592       142  
Total Expenses     10,295,588       8,614  
Less, expense reimbursements/waivers — Note 3     (292,921 )     (7,256 )
Net Expenses     10,002,667       1,358  
NET INVESTMENT INCOME (LOSS)     (4,259,173 )     1,087  
                 
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY:  
Net realized gain (loss) on unaffiliated investments     172,101,200       (5,740 )
Net realized (loss) on foreign currency transactions     (32,234 )     —  
Total net realized gain (loss)     172,068,966       (5,740 )
Net change in unrealized appreciation (depreciation) on unaffiliated investments     299,527,247       (116,886 )
Net change in unrealized (depreciation) on affiliated investments     (33,300 )     —  
Net change in unrealized appreciation on foreign currency     1,424       —  
Total net change in unrealized appreciation (depreciation)     299,495,371       (116,886 )
Net realized and unrealized gain (loss) on investments and foreign currency     471,564,337       (122,626 )
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS   $ 467,305,164     $ (121,539 )
* Foreign withholding taxes   $ 47,851     $ 52  

 

See Notes to Financial Statements.

 

- 80 -

 

 

THE ALGER FUNDS 

Statements of Operations for the six months ended April 30, 2024 (Unaudited) (Continued)

 

 

   

Alger Growth &

Income Fund

     Alger 35 Fund  
                 
INCOME:                
Dividends (net of foreign withholding taxes*)   $ 4,429,741     $ 49,607  
Interest     688,984       14,550  
Income from securities lending     3,954       —  
Total Income     5,122,679       64,157  
                 
EXPENSES:                
Investment advisory fees — Note 3     1,073,785       72,527  
Distribution fees — Note 3                
Class A     187,863       —  
Class C     140,974       —  
Shareholder administrative fees — Note 3     27,277       1,612  
Administration fees — Note 3     59,058       4,432  
Transfer agent fees — Note 3     59,107       1,627  
Fund accounting fees     61,361       23,610  
Interest expenses     27       186  
Professional fees     29,604       23,090  
Printing fees     12,116       479  
Trustee fees — Note 3     9,425       1,009  
Custodian fees     8,747       1,924  
Registration fees     27,992       7,981  
Other expenses     15,461       3,252  
Total Expenses     1,712,797       141,729  
Less, expense reimbursements/waivers — Note 3     —       (52,899 )
Net Expenses     1,712,797       88,830  
NET INVESTMENT INCOME (LOSS)     3,409,882       (24,673 )
                 
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY:  
Net realized gain (loss) on unaffiliated investments     (1,145,786 )     3,133,006  
Total net realized gain (loss)     (1,145,786 )     3,133,006  
Net change in unrealized appreciation on unaffiliated investments     59,685,455       5,750,028  
Net change in unrealized appreciation on foreign currency     —       357  
Total net change in unrealized appreciation     59,685,455       5,750,385  
Net realized and unrealized gain on investments and foreign currency     58,539,669       8,883,391  
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS   $ 61,949,551     $ 8,858,718  
* Foreign withholding taxes   $ 52,646     $ 885  

 

See Notes to Financial Statements.

 

- 81 -

 

 

THE ALGER FUNDS 

Statements of Operations for the six months ended April 30, 2024 (Unaudited) (Continued)

 

 

   

Alger Mid Cap Focus

Fund

    

Alger Mid Cap

Growth Fund

  
                 
INCOME:                
Dividends (net of foreign withholding taxes*)   $ 442,104     $ 778,149  
Interest     141,026       51,705  
Total Income     583,130       829,854  
                 
EXPENSES:                
Investment advisory fees — Note 3     914,049       846,832  
Distribution fees — Note 3                
Class A     5,494       195,965  
Class B     —       56,242  
Class C     13,589       19,777  
Class I     15,199       —  
Shareholder administrative fees — Note 3     13,548       16,732  
Administration fees — Note 3     36,621       30,642  
Transfer agent fees — Note 3     38,252       61,687  
Fund accounting fees     49,365       43,243  
Interest expenses     1,225       296  
Professional fees     25,535       30,376  
Printing fees     31,771       14,248  
Trustee fees — Note 3     8,677       5,840  
Custodian fees     9,477       12,777  
Registration fees     36,928       16,803  
Other expenses     13,063       17,283  
Total Expenses     1,212,793       1,368,743  
Less, expense reimbursements/waivers — Note 3     (3,098 )     (34,685 )
Net Expenses     1,209,695       1,334,058  
NET INVESTMENT (LOSS)     (626,565 )     (504,204 )
                 
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY:  
Net realized gain on unaffiliated investments     21,730,407       7,168,775  
Net realized (loss) on foreign currency transactions     (1,178 )     (5,263 )
Total net realized gain     21,729,229       7,163,512  
Net change in unrealized appreciation on unaffiliated investments     52,901,595       40,107,496  
Net change in unrealized (depreciation) on affiliated investments     —       (20,100 )
Net change in unrealized appreciation on foreign currency     —       37  
Total net change in unrealized appreciation     52,901,595       40,087,433  
Net realized and unrealized gain on investments and foreign currency     74,630,824       47,250,945  
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS   $ 74,004,259     $ 46,746,741  
* Foreign withholding taxes   $ 2,497     $ 9,242  

 

See Notes to Financial Statements.

 

- 82 -

 

 

THE ALGER FUNDS 

Statements of Operations for the six months ended April 30, 2024 (Unaudited) (Continued)

 

 

   

Alger Small Cap

Growth Fund

    

Alger Small Cap

Focus Fund

  
                 
INCOME:                
Dividends (net of foreign withholding taxes*)   $ 230,945     $ 462,027  
Interest     93,025       149,276  
Total Income     323,970       611,303  
                 
EXPENSES:                
Investment advisory fees — Note 3     1,229,794       5,924,157  
Distribution fees — Note 3                
Class A     157,187       178,717  
Class B     10,854       —  
Class C     83,114       334,127  
Class I     —       69,864  
Shareholder administrative fees — Note 3     19,880       85,807  
Administration fees — Note 3     41,752       217,219  
Transfer agent fees — Note 3     82,836       585,100  
Fund accounting fees     47,803       163,504  
Interest expenses     3,614       83,950  
Professional fees     64,950       304,010  
Printing fees     20,665       181,936  
Trustee fees — Note 3     8,593       55,955  
Custodian fees     18,661       42,809  
Registration fees     32,124       54,317  
Other expenses     32,624       124,388  
Total Expenses     1,854,451       8,405,860  
Less, expense reimbursements/waivers — Note 3     (21,907 )     (56,954 )
Net Expenses     1,832,544       8,348,906  
NET INVESTMENT (LOSS)     (1,508,574 )     (7,737,603 )
                 
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY:  
Net realized gain on unaffiliated investments     11,350,904       76,885,062  
Net realized (loss) on foreign currency transactions     (389 )     —  
Total net realized gain     11,350,515       76,885,062  
Net change in unrealized appreciation on unaffiliated investments     41,891,567       254,121,548  
Net change in unrealized appreciation (depreciation) on affiliated investments     (27,300 )     9,616,191  
Total net change in unrealized appreciation     41,864,267       263,737,739  
Net realized and unrealized gain on investments and foreign currency     53,214,782       340,622,801  
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS   $ 51,706,208     $ 332,885,198  
* Foreign withholding taxes   $ —     $ —  

 

See Notes to Financial Statements.

 

- 83 -

 

 

THE ALGER FUNDS 

Statements of Operations for the six months ended April 30, 2024 (Unaudited) (Continued)

 

 

   

Alger Weatherbie

Specialized Growth

Fund

    

Alger International

Focus Fund

  
                 
INCOME:                
Dividends (net of foreign withholding taxes*)   $ 620,103     $ 884,507  
Interest     294,599       52,147  
Total Income     914,702       936,654  
                 
EXPENSES:                
Investment advisory fees — Note 3     2,172,072       561,132  
Distribution fees — Note 3                
Class A     117,379       135,943  
Class B     —       70,018  
Class C     151,468       6,243  
Class I     16,455       1,593  
Shareholder administrative fees — Note 3     30,852       11,933  
Administration fees — Note 3     73,743       21,734  
Transfer agent fees — Note 3     136,252       49,524  
Fund accounting fees     79,047       39,582  
Interest expenses     —       4,611  
Professional fees     74,355       29,182  
Printing fees     52,682       12,322  
Trustee fees — Note 3     16,176       4,469  
Custodian fees     19,257       22,152  
Registration fees     40,413       23,758  
Other expenses     37,797       17,997  
Total Expenses     3,017,948       1,012,193  
Less, expense reimbursements/waivers — Note 3     (22,168 )     (60,766 )
Net Expenses     2,995,780       951,427  
NET INVESTMENT (LOSS)     (2,081,078 )     (14,773 )
                 
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY:  
Net realized gain (loss) on unaffiliated investments     (17,497,585 )     9,985,476  
Net realized (loss) on foreign currency transactions     —       (203,629 )
Total net realized gain (loss)     (17,497,585 )     9,781,847  
Net change in unrealized appreciation on unaffiliated investments     108,415,136       17,294,040  
Net change in unrealized (depreciation) on foreign currency     —       (64,978 )
Total net change in unrealized appreciation     108,415,136       17,229,062  
Net realized and unrealized gain on investments and foreign currency     90,917,551       27,010,909  
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS   $ 88,836,473     $ 26,996,136  
* Foreign withholding taxes   $ 17,748     $ 108,324  

 

See Notes to Financial Statements.

 

- 84 -

 

 

THE ALGER FUNDS 

Statements of Operations for the six months ended April 30, 2024 (Unaudited) (Continued)

 

 

   

Alger Health

Sciences Fund

    

Alger AI Enablers &

Adopters Fund

From April 4, 2024

(commencement of

operations) to

April 30, 2024

  
                 
INCOME:                
Dividends (net of foreign withholding taxes*)   $ 313,812     $ 601  
Interest     20,485       1,650  
Total Income     334,297       2,251  
                 
EXPENSES:                
Investment advisory fees — Note 3     311,359       968  
Distribution fees — Note 3                
Class A     85,901       17  
Class C     24,248       70  
Class I     —       18  
Shareholder administrative fees — Note 3     8,052       23  
Administration fees — Note 3     15,568       59  
Transfer agent fees — Note 3     55,298       1,910  
Fund accounting fees     30,956       1,361  
Interest expenses     2,113       —  
Professional fees     77,246       2,849  
Printing fees     15,330       712  
Trustee fees — Note 3     3,714       142  
Custodian fees     8,936       278  
Registration fees     11,085       —  
Other expenses     14,650       142  
Total Expenses     664,456       8,549  
Less, expense reimbursements/waivers — Note 3     (25,937 )     (7,262 )
Net Expenses     638,519       1,287  
NET INVESTMENT INCOME (LOSS)     (304,222 )     964  
                 
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY:  
Net realized gain (loss) on unaffiliated investments     3,064,433       (11,900 )
Net realized (loss) on foreign currency transactions     (7,937 )     —  
Total net realized gain (loss)     3,056,496       (11,900 )
Net change in unrealized appreciation (depreciation) on unaffiliated investments     13,785,750       (115,709 )
Net change in unrealized appreciation on foreign currency     428       —  
Total net change in unrealized appreciation (depreciation)     13,786,178       (115,709 )
Net realized and unrealized gain (loss) on investments and foreign currency     16,842,674       (127,609 )
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS   $ 16,538,452     $ (126,645 )
* Foreign withholding taxes   $ 6,205     $ 13  

 

See Notes to Financial Statements.

 

- 85 - 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited)

 

  

    Alger Capital Appreciation Fund  
   

For the

Six Months Ended
April 30, 2024

    

For the

 Year Ended

October 31, 2023

  
                 
Net investment (loss)   $ (4,259,173 )   $ (7,913,842 )
Net realized gain     172,068,966       138,085,261  
Net change in unrealized appreciation     299,495,371       150,551,321  
Net increase in net assets resulting from operations     467,305,164       280,722,740  
                 
Dividends and distributions to shareholders:                
Class A     (56,269,500 )     (30,288,660 )
Class C     (8,432,126 )     (5,650,846 )
Class Z     (55,636,745 )     (33,055,502 )
Total dividends and distributions to shareholders     (120,338,371 )     (68,995,008 )
                 
Decrease from shares of beneficial interest transactions:                
Class A     (39,377,317 )     (128,629,089 )
Class C     (9,239,126 )     (30,383,646 )
Class Z     (177,085,250 )     (284,937,836 )
Net decrease from shares of beneficial interest transactions — Note 6     (225,701,693 )     (443,950,571 )
Total increase (decrease)     121,265,100       (232,222,839 )
                 
Net Assets:                
Beginning of period     1,583,314,627       1,815,537,466  
END OF PERIOD   $ 1,704,579,727     $ 1,583,314,627  

 

See Notes to Financial Statements.

 

- 86 -

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

 

   
Alger Concentrated
Equity Fund
  
   

From April 4, 2024

(commencement of operations) to

April 30, 2024

  
         
Net investment income   $ 1,087  
Net realized (loss)     (5,740 )
Net change in unrealized (depreciation)     (116,886 )
Net decrease in net assets resulting from operations     (121,539 )
         
Dividends and distributions to shareholders:        
Class A     —  
Class C     —  
Class I     —  
Class Y     —  
Class Z     —  
Total dividends and distributions to shareholders     —  
         
Increase from shares of beneficial interest transactions:        
Class A     100,000  
Class C     100,000  
Class I     100,000  
Class Y     100,000  
Class Z     3,345,000  
Net increase from shares of beneficial interest transactions — Note 6     3,745,000  
Total increase     3,623,461  
         
Net Assets:        
Beginning of period     —  
END OF PERIOD   $ 3,623,461  

 

See Notes to Financial Statements.

 

- 87 - 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

 

    Alger Growth & Income Fund  
   

For the

Six Months Ended

April 30, 2024

    

For the

Year Ended

October 31, 2023

  
                 
Net investment income   $ 3,409,882     $ 4,878,751  
Net realized (loss)     (1,145,786 )     (473,924 )
Net change in unrealized appreciation     59,685,455       26,838,862  
Net increase in net assets resulting from operations     61,949,551       31,243,689  
                 
Dividends and distributions to shareholders:                
Class A     (938,790 )     (1,709,205 )
Class C     (82,240 )     (167,164 )
Class Z     (1,834,855 )     (2,596,584 )
Total dividends and distributions to shareholders     (2,855,885 )     (4,472,953 )
                 
Increase from shares of beneficial interest transactions:                
Class A     8,689,610       9,135,768  
Class C     1,562,754       814,481  
Class Z     118,115,195       39,561,312  
Net increase from shares of beneficial interest transactions — Note 6     128,367,559       49,511,561  
Total increase     187,461,225       76,282,297  
                 
Net Assets:                
Beginning of period     320,683,779       244,401,482  
END OF PERIOD   $ 508,145,004     $ 320,683,779  

 

See Notes to Financial Statements.

 

- 88 - 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

 

    Alger 35 Fund  
   

For the

 Six Months Ended

April 30, 2024

    

For the

Year Ended

October 31, 2023

  
                 
Net investment (loss)   $ (24,673 )   $ (31,123 )
Net realized gain (loss)     3,133,006       (1,730,064 )
Net change in unrealized appreciation     5,750,385       2,108,046  
Net increase in net assets resulting from operations     8,858,718       346,859  
                 
Dividends and distributions to shareholders:                
Class Z     —       (5,582 )
Total dividends and distributions to shareholders     —       (5,582 )
                 
Decrease from shares of beneficial interest transactions:                
Class Z     (991,176 )     (677,152 )
Net decrease from shares of beneficial interest transactions — Note 6     (991,176 )     (677,152 )
Total increase (decrease)     7,867,542       (335,875 )
                 
Net Assets:                
Beginning of period     25,640,523       25,976,398  
END OF PERIOD   $ 33,508,065     $ 25,640,523  

 

See Notes to Financial Statements.

 

- 89 - 

 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

 

      Alger Mid Cap Focus Fund  
     

For the 

Six Months Ended

April 30, 2024

      

For the

Year Ended

October 31, 2023

  
Net investment (loss)   $ (626,565 )   $ (1,751,036 )
Net realized gain (loss)     21,729,229       (61,622,115 )
Net change in unrealized appreciation     52,901,595       45,565,376  
Net increase (decrease) in net assets resulting from operations     74,004,259       (17,807,775 )
                 
Dividends and distributions to shareholders:                
Class A     —       —  
Class C     —       —  
Class I     —       —  
Class Y     —       —  
Class Z     —       —  
Total dividends and distributions to shareholders     —       —  
                 
Increase (decrease) from shares of beneficial interest transactions:                
Class A     367,400       (1,501,313 )
Class C     353,827       (197,849 )
Class I     (340,827 )     (49,382,479 )
Class Y     6,182       (239,173 )
Class Z     (38,113,476 )     (132,383,860 )
Net decrease from shares of beneficial interest transactions — Note 6     (37,726,894 )     (183,704,674 )
Total increase (decrease)     36,277,365       (201,512,449 )
                 
Net Assets:                
Beginning of period     234,920,899       436,433,348  
END OF PERIOD   $ 271,198,264     $ 234,920,899  

 

See Notes to Financial Statements.

 

- 90 - 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

 

    Alger Mid Cap Growth Fund  
   

For the 

Six Months Ended 

April 30, 2024

    

For the 

Year Ended 

October 31, 2023

  
Net investment (loss)   $ (504,204 )   $ (1,302,928 )
Net realized gain (loss)     7,163,512       (8,871,574 )
Net change in unrealized appreciation     40,087,433       9,347,689  
Net increase (decrease) in net assets resulting from  operations     46,746,741       (826,813 )
                 
Dividends and distributions to shareholders:                
Class A     —       —  
Class B     —       —  
Class C     —       —  
Class Z     —       —  
Total dividends and distributions to shareholders     —       —  
                 
Increase (decrease) from shares of beneficial interest transactions:                
Class A     (7,371,264 )     (13,368,649 )
Class B     (377,311 )     (912,334 )
Class C     (222,350 )     (1,263,818 )
Class Z     2,349,297       13,864,507  
Net decrease from shares of beneficial interest  transactions — Note 6     (5,621,628 )     (1,680,294 )
Total increase (decrease)     41,125,113       (2,507,107 )
                 
Net Assets:                
Beginning of period     189,595,546       192,102,653  
END OF PERIOD   $ 230,720,659     $ 189,595,546  

 

See Notes to Financial Statements.

 

- 91 - 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

 

    Alger Small Cap Growth Fund  
   

For the

Six Months Ended

April 30, 2024

    

For the

Year Ended

October 31, 2023

  
Net investment (loss)   $ (1,508,574 )   $ (2,650,137 )
Net realized gain (loss)     11,350,515       (72,363,093 )
Net change in unrealized appreciation     41,864,267       42,587,074  
Net increase (decrease) in net assets resulting from operations     51,706,208       (32,426,156 )
                 
Dividends and distributions to shareholders:                
Class A     (41,241 )     —  
Class B     —       —  
Class C     —       —  
Class Y     (42,192 )     —  
Class Z     (534,659 )     —  
Total dividends and distributions to shareholders     (618,092 )     —  
                 
Increase (decrease) from shares of beneficial interest transactions:                
Class A     (10,495,424 )     (19,030,032 )
Class B     (738,613 )     (555,792 )
Class C     (2,143,569 )     (4,264,017 )
Class Y     (6,031,050 )     50,894  
Class Z     (17,806,671 )     (60,167,732 )
Net decrease from shares of beneficial interest transactions — Note 6     (37,215,327 )     (83,966,679 )
Total increase (decrease)     13,872,789       (116,392,835 )
                 
Net Assets:                
Beginning of period     272,863,418       389,256,253  
END OF PERIOD   $ 286,736,207     $ 272,863,418  

 

See Notes to Financial Statements.

 

- 92 - 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

  

    Alger Small Cap Focus Fund
  
   

For the

Six Months Ended

April 30, 2024

    

For the

Year Ended

October 31, 2023

  
Net investment (loss)   $ (7,737,603 )   $ (15,408,894 )
Net realized gain (loss)     76,885,062       (276,411,604 )
Net change in unrealized appreciation (depreciation)     263,737,739       (78,891,743 )
Net increase (decrease) in net assets resulting from operations     332,885,198       (370,712,241 )
                 
Dividends and distributions to shareholders:                
Class A     —       —  
Class C     —       —  
Class I     —       —  
Class Y     —       —  
Class Z     —       —  
Total dividends and distributions to shareholders     —       —  
                 
Decrease from shares of beneficial interest transactions:                
Class A     (21,945,332 )     (66,345,053 )
Class C     (14,591,907 )     (31,267,447 )
Class I     (11,515,680 )     (76,517,074 )
Class Y     (89,468,230 )     (90,663,856 )
Class Z     (302,614,011 )     (790,270,598 )
Net decrease from shares of beneficial interest transactions — Note 6     (440,135,160 )     (1,055,064,028 )
Total decrease     (107,249,962 )     (1,425,776,269 )
                 
Net Assets:                
Beginning of period     1,503,666,772       2,929,443,041  
END OF PERIOD   $ 1,396,416,810     $ 1,503,666,772  

 

See Notes to Financial Statements.

 

- 93 - 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

 

    Alger Weatherbie Specialized Growth Fund  
   

For the

Six Months Ended

April 30, 2024

    

For the

Year Ended

October 31, 2023

  
Net investment (loss)   $ (2,081,078 )   $ (4,486,926 )
Net realized (loss)     (17,497,585 )     (130,028,371 )
Net change in unrealized appreciation     108,415,136       55,712,732  
Net increase (decrease) in net assets resulting from operations     88,836,473       (78,802,565 )
                 
Dividends and distributions to shareholders:                
Class A     —       —  
Class C     —       —  
Class I     —       —  
Class Y     —       —  
Class Z     —       —  
Total dividends and distributions to shareholders     —       —  
                 
Increase (decrease) from shares of beneficial interest transactions:                
Class A     (12,016,457 )     (20,682,121 )
Class C     (6,847,180 )     (10,526,217 )
Class I     (3,907,163 )     (14,562,771 )
Class Y     (1,945,281 )     2,521,614  
Class Z     (75,754,673 )     (142,269,931 )
Net decrease from shares of beneficial interest transactions — Note 6     (100,470,754 )     (185,519,426 )
Total decrease     (11,634,281 )     (264,321,991 )
                 
Net Assets:                
Beginning of period     512,395,893       776,717,884  
END OF PERIOD   $ 500,761,612     $ 512,395,893  

 

See Notes to Financial Statements.

 

- 94 - 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

 

    Alger International Focus Fund  
   

For the

Six Months Ended

April 30, 2024

    

For the

Year Ended

October 31, 2023

  
Net investment (loss)   $ (14,773 )   $ (157,812 )
Net realized gain     9,781,847       444,060  
Net change in unrealized appreciation     17,229,062       3,366,880  
Net increase in net assets resulting from operations     26,996,136       3,653,128  
                 
Dividends and distributions to shareholders:                
Class A     —       —  
Class B     —       —  
Class C     —       —  
Class I     —       —  
Class Z     (57,254 )     —  
Total dividends and distributions to shareholders     (57,254 )     —  
                 
Increase (decrease) from shares of beneficial interest transactions:                
Class A     (5,006,132 )     (7,326,082 )
Class B     (645,793 )     (1,290,607 )
Class C     (169,031 )     (525,791 )
Class I     5,017       5,648  
Class Z     (23,790,263 )     21,485,726  
Net increase (decrease) from shares of beneficial interest transactions — Note 6     (29,606,202 )     12,348,894  
Total increase (decrease)     (2,667,320 )     16,002,022  
                 
Net Assets:                
Beginning of period     146,647,062       130,645,040  
END OF PERIOD   $ 143,979,742     $ 146,647,062  

 

See Notes to Financial Statements.

 

- 95 - 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

 

    Alger Health Sciences Fund  
   

For the

Six Months Ended

April 30, 2024

    

For the

Year Ended

October 31, 2023

  
Net investment (loss)   $ (304,222 )   $ (674,543 )
Net realized gain     3,056,496       8,531,119  
Net change in unrealized appreciation (depreciation)     13,786,178       (25,344,755 )
Net increase (decrease) in net assets resulting from operations     16,538,452       (17,488,179 )
                 
Dividends and distributions to shareholders:                
Class A     —       —  
Class C     —       —  
Class Z     —       —  
Total dividends and distributions to shareholders     —       —  
                 
Decrease from shares of beneficial interest transactions:                
Class A     (7,558,851 )     (15,939,100 )
Class C     (925,780 )     (2,218,608 )
Class Z     (17,280,662 )     (24,304,412 )
Net decrease from shares of beneficial interest transactions — Note 6     (25,765,293 )     (42,462,120 )
Total decrease     (9,226,841 )     (59,950,299 )
                 
Net Assets:                
Beginning of period     117,864,847       177,815,146  
END OF PERIOD   $ 108,638,006     $ 117,864,847  

 

See Notes to Financial Statements.

 

- 96 - 

 

 

THE ALGER FUNDS 

Statements of Changes in Net Assets (Unaudited) (Continued)

 

 

   

Alger AI Enablers &

Adopters Fund

  
   

From April 4, 2024

(commencement of operations) to

April 30, 2024

  
         
Net investment income   $ 964  
Net realized (loss)     (11,900 )
Net change in unrealized (depreciation)     (115,709 )
Net decrease in net assets resulting from operations     (126,645 )
         
Dividends and distributions to shareholders:        
Class A     —  
Class C     —  
Class I     —  
Class Y     —  
Class Z     —  
Total dividends and distributions to shareholders     —  
         
Increase from shares of beneficial interest transactions:        
Class A     100,000  
Class C     100,000  
Class I     100,000  
Class Y     100,000  
Class Z     2,890,000  
         
Net increase from shares of beneficial interest transactions — Note 6     3,290,000  
Total increase     3,163,355  
         
Net Assets:        
Beginning of period     —  
END OF PERIOD   $ 3,163,355  

 

See Notes to Financial Statements.

 

- 97 - 

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Capital Appreciation Fund   Class A  
     

Six Months

Ended

4/30/2024(a)

       Year Ended 10/31/2023       Year Ended 10/31/2022       Year Ended 10/31/2021       Year Ended 10/31/2020       Year Ended 10/31/2019  
Net asset value, beginning of period   $ 23.29     $ 20.77     $ 39.48     $ 33.76     $ 27.12     $ 26.20  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.09 )     (0.14 )     (0.13 )     (0.24 )     (0.12 )     (0.07 )
Net realized and unrealized gain (loss) on investments     6.81       3.50       (11.17 )     11.11       8.96       3.53  
Total from investment operations     6.72       3.36       (11.30 )     10.87       8.84       3.46  
Distributions from net realized gains     (1.82 )     (0.84 )     (7.41 )     (5.15 )     (2.20 )     (2.54 )
Net asset value, end of period   $ 28.19     $ 23.29     $ 20.77     $ 39.48     $ 33.76     $ 27.12  
Total return(c)     29.90 %     16.95 %     (34.88 )%     35.41 %     34.79 %     15.29 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000's omitted)   $ 857,323     $ 737,324     $ 774,249     $ 1,523,572     $ 1,320,073     $ 1,174,346  
Ratio of net expenses to average net assets     1.28 %     1.28 %     1.20 %     1.15 %     1.17 %     1.21 %
Ratio of net investment loss to average net assets     (0.65 )%     (0.64 )%     (0.49 )%     (0.67 )%     (0.41 )%     (0.27 )%
Portfolio turnover rate     33.48 %     85.55 %(d)     108.26 %     78.77 %     89.91 %     77.04 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Portfolio turnover excludes the value of portfolio securities received or delivered as a result of in-kind fund share transactions.

 

See Notes to Financial Statements.

 

- 98 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Capital Appreciation Fund   Class C  
   

Six Months

Ended

4/30/2024(a)

     Year Ended 10/31/2023     Year Ended 10/31/2022     Year Ended 10/31/2021     Year Ended 10/31/2020     Year Ended 10/31/2019  
Net asset value, beginning of period   $ 13.66     $ 12.63     $ 27.13     $ 24.79     $ 20.60     $ 20.69  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.11 )     (0.18 )     (0.20 )     (0.35 )     (0.25 )     (0.20 )
Net realized and unrealized gain (loss) on investments     3.89       2.05       (6.89 )     7.84       6.64       2.65  
Total from investment operations     3.78       1.87       (7.09 )     7.49       6.39       2.45  
Distributions from net realized gains     (1.82 )     (0.84 )     (7.41 )     (5.15 )     (2.20 )     (2.54 )
Net asset value, end of period   $ 15.62     $ 13.66     $ 12.63     $ 27.13     $ 24.79     $ 20.60  
Total return(c)     29.41 %     16.03 %     (35.36 )%     34.43 %     33.82 %     14.44 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000's omitted)   $ 68,834     $ 67,776     $ 91,815     $ 211,972     $ 204,909     $ 219,511  
Ratio of net expenses to average net assets     2.07 %     2.05 %     1.95 %     1.90 %     1.91 %     1.95 %
Ratio of net investment loss to average net assets     (1.43 )%     (1.40 )%     (1.24 )%     (1.42 )%     (1.13 )%     (1.01 )%
Portfolio turnover rate     33.48 %     85.55 %(d)     108.26 %     78.77 %     89.91 %     77.04 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Portfolio turnover excludes the value of portfolio securities received or delivered as a result of in-kind fund share transactions.

 

See Notes to Financial Statements.

 

- 99 - 

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger Capital Appreciation Fund   Class Z  
     

Six Months

Ended

4/30/2024(a)

       Year Ended 10/31/2023       Year Ended 10/31/2022       Year Ended 10/31/2021       Year Ended 10/31/2020       Year Ended 10/31/2019  
Net asset value, beginning of period   $ 25.02     $ 22.16     $ 41.50     $ 35.15     $ 28.06     $ 26.94  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment income (loss)(b)     (0.03 )     (0.05 )     (0.04 )     (0.13 )     (0.03 )     0.02  
Net realized and unrealized gain (loss) on investments     7.34       3.75       (11.89 )     11.63       9.32       3.64  
Total from investment operations     7.31       3.70       (11.93 )     11.50       9.29       3.66  
Distributions from net realized gains     (1.82 )     (0.84 )     (7.41 )     (5.15 )     (2.20 )     (2.54 )
Net asset value, end of period   $ 30.51     $ 25.02     $ 22.16     $ 41.50     $ 35.15     $ 28.06  
Total return(c)     30.21 %     17.44 %     (34.67 )%     35.85 %     35.26 %     15.69 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000's omitted)   $ 778,423     $ 778,215     $ 949,473     $ 1,687,179     $ 1,823,041     $ 1,409,374  
Ratio of gross expenses to average net assets     0.94 %     0.93 %     0.86 %     0.83 %     0.84 %     0.87 %
Ratio of expense reimbursements to average net assets     (0.07 )%     (0.07 )%     (0.01 )%     —       —       —  
Ratio of net expenses to average net assets     0.87 %     0.86 %     0.85 %     0.83 %     0.84 %     0.87 %
Ratio of net investment income (loss) to average net assets     (0.22 )%     (0.21 )%     (0.14 )%     (0.34 )%     (0.09 )%     0.06 %
Portfolio turnover rate     33.48 %     85.55 %(d)     108.26 %     78.77 %     89.91 %     77.04 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Portfolio turnover excludes the value of portfolio securities received or delivered as a result of in-kind fund share transactions.

 

See Notes to Financial Statements.

 

- 100 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger Concentrated Equity Fund   Class A  
   

From 4/4/2024

(commencement

of operations) to

4/30/2024(a)

  
Net asset value, beginning of period   $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:        
Net investment income(b)     — (c)
Net realized and unrealized loss on investments     (0.36 )
Total from investment operations     (0.36 )
Net asset value, end of period   $ 9.64  
Total return(d)     (3.60 )%
RATIOS/SUPPLEMENTAL DATA:        
Net assets, end of period (000's omitted)   $ 96  
Ratio of gross expenses to average net assets     12.20 %
Ratio of expense reimbursements to average net assets     (11.40 )%
Ratio of net expenses to average net assets     0.80 %
Ratio of net investment income to average net assets     0.27 %
Portfolio turnover rate     3.34 %

 

(a) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the one month then ended.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 101 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger Concentrated Equity Fund   Class C  
   

From 4/4/2024

(commencement

of operations) to

4/30/2024(a)

  
Net asset value, beginning of period   $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:        
Net investment income(b)     — (c)
Net realized and unrealized loss on investments     (0.37 )
Total from investment operations     (0.37 )
Net asset value, end of period   $ 9.63  
Total return(d)     (3.60 )%
RATIOS/SUPPLEMENTAL DATA:        
Net assets, end of period (000's omitted)   $ 96  
Ratio of gross expenses to average net assets     12.91 %
Ratio of expense reimbursements to average net assets     (11.36 )%
Ratio of net expenses to average net assets     1.55 %
Ratio of net investment loss to average net assets     (0.44 )%
Portfolio turnover rate     3.34 %

 

(a) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the one month then ended.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 102 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Concentrated Equity Fund   Class I  
   

From 4/4/2024

(commencement

of operations) to

4/30/2024(a)

  
Net asset value, beginning of period   $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:        
Net investment income(b)     — (c)
Net realized and unrealized loss on investments     (0.36 )
Total from investment operations     (0.36 )
Net asset value, end of period   $ 9.64  
Total return(d)     (3.60 )%
RATIOS/SUPPLEMENTAL DATA:        
Net assets, end of period (000's omitted)   $ 96  
Ratio of gross expenses to average net assets     7.03 %
Ratio of expense reimbursements to average net assets     (6.23 )%
Ratio of net expenses to average net assets     0.80 %
Ratio of net investment income to average net assets     0.28 %
Portfolio turnover rate     3.34 %

 

(a) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the one month then ended.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 103 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Concentrated Equity Fund   Class Y  
   

From 4/4/2024

(commencement

of operations) to

4/30/2024(a)

  
Net asset value, beginning of period   $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:        
Net investment income(b)     — (c)
Net realized and unrealized loss on investments     (0.36 )
Total from investment operations     (0.36 )
Net asset value, end of period   $ 9.64  
Total return(d)     (3.60 )%
RATIOS/SUPPLEMENTAL DATA:        
Net assets, end of period (000's omitted)   $ 96  
Ratio of gross expenses to average net assets     5.52 %
Ratio of expense reimbursements to average net assets     (4.97 )%
Ratio of net expenses to average net assets     0.55 %
Ratio of net investment income to average net assets     0.53 %
Portfolio turnover rate     3.34 %

 

(a) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the one month then ended.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 104 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Concentrated Equity Fund   Class Z  
   

From 4/4/2024

(commencement

of operations) to

4/30/2024(a)

  
Net asset value, beginning of period   $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:        
Net investment income(b)     — (c)
Net realized and unrealized loss on investments     (0.36 )
Total from investment operations     (0.36 )
Net asset value, end of period   $ 9.64  
Total return(d)     (3.60 )%
RATIOS/SUPPLEMENTAL DATA:        
Net assets, end of period (000's omitted)   $ 3,238  
Ratio of gross expenses to average net assets     2.99 %
Ratio of expense reimbursements to average net assets     (2.44 )%
Ratio of net expenses to average net assets     0.55 %
Ratio of net investment income to average net assets     0.52 %
Portfolio turnover rate     3.34 %

 

(a) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the one month then ended.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 105 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Growth & Income Fund   Class A  
   

Six Months

Ended

4/30/2024(a)

     Year Ended 10/31/2023     Year Ended 10/31/2022     Year Ended 10/31/2021     Year Ended 10/31/2020     Year Ended 10/31/2019  
Net asset value, beginning of period   $ 57.50     $ 52.35     $ 61.76     $ 43.88     $ 43.55     $ 40.77  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment income(b)     0.48       0.85       0.71       0.63       0.69       0.70  
Net realized and unrealized gain (loss) on investments     9.78       5.09       (7.49 )     18.47       1.88       4.54  
Total from investment operations     10.26       5.94       (6.78 )     19.10       2.57       5.24  
Dividends from net investment income     (0.41 )     (0.79 )     (0.56 )     (0.55 )     (0.66 )     (0.61 )
Distributions from net realized gains     —       —       (2.07 )     (0.67 )     (1.58 )     (1.85 )
Net asset value, end of period   $ 67.35     $ 57.50     $ 52.35     $ 61.76     $ 43.88     $ 43.55  
Total return(c)     17.87 %     11.39 %     (11.53 )%     44.12 %     5.98 %     13.94 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000's omitted)   $ 159,170     $ 128,090     $ 108,039     $ 106,439     $ 74,251     $ 74,924  
Ratio of net expenses to average net assets     0.93 %     0.96 %     0.97 %     0.98 %     1.06 %     1.07 %
Ratio of net investment income to average net assets     1.48 %     1.51 %     1.24 %     1.15 %     1.60 %     1.72 %
Portfolio turnover rate     0.45 %     4.29 %     1.96 %     8.40 %     9.29 %     7.30 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 106 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Growth & Income Fund   Class C  
   

Six Months

Ended

4/30/2024(a)

     Year Ended 10/31/2023     Year Ended 10/31/2022     Year Ended 10/31/2021     Year Ended 10/31/2020     Year Ended 10/31/2019  
Net asset value, beginning of period   $ 56.51     $ 51.46     $ 60.77     $ 43.22     $ 42.93     $ 40.20  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment income(b)     0.23       0.43       0.28       0.21       0.36       0.39  
Net realized and unrealized gain (loss) on investments     9.62       5.00       (7.38 )     18.18       1.85       4.49  
Total from investment operations     9.85       5.43       (7.10 )     18.39       2.21       4.88  
Dividends from net investment income     (0.19 )     (0.38 )     (0.14 )     (0.17 )     (0.34 )     (0.30 )
Distributions from net realized gains     —       —       (2.07 )     (0.67 )     (1.58 )     (1.85 )
Net asset value, end of period   $ 66.17     $ 56.51     $ 51.46     $ 60.77     $ 43.22     $ 42.93  
Total return(c)     17.44 %     10.56 %     (12.18 )%     43.01 %     5.19 %     13.12 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000's omitted)   $ 29,877     $ 24,149     $ 21,111     $ 18,194     $ 13,127     $ 14,946  
Ratio of net expenses to average net assets     1.68 %     1.71 %     1.73 %     1.73 %     1.81 %     1.82 %
Ratio of net investment income to average net assets     0.73 %     0.77 %     0.49 %     0.40 %     0.86 %     0.97 %
Portfolio turnover rate     0.45 %     4.29 %     1.96 %     8.40 %     9.29 %     7.30 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 107 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Growth & Income Fund   Class Z  
   

Six Months

Ended

4/30/2024(a)

     Year Ended 10/31/2023     Year Ended 10/31/2022     Year Ended 10/31/2021     Year Ended 10/31/2020     Year Ended 10/31/2019  
Net asset value, beginning of period   $ 57.58     $ 52.42     $ 61.84     $ 43.94     $ 43.60     $ 40.81  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment income(b)     0.57       1.03       0.90       0.80       0.86       0.85  
Net realized and unrealized gain (loss) on investments     9.80       5.10       (7.51 )     18.49       1.88       4.56  
Total from investment operations     10.37       6.13       (6.61 )     19.29       2.74       5.41  
Dividends from net investment income     (0.50 )     (0.97 )     (0.74 )     (0.72 )     (0.82 )     (0.77 )
Distributions from net realized gains     —       —       (2.07 )     (0.67 )     (1.58 )     (1.85 )
Net asset value, end of period   $ 67.45     $ 57.58     $ 52.42     $ 61.84     $ 43.94     $ 43.60  
Total return(c)     18.04 %     11.75 %     (11.25 )%     44.54 %     6.39 %     14.39 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000's  omitted)   $ 319,098     $ 168,445     $ 115,251     $ 38,021     $ 21,672     $ 26,979  
Ratio of gross expenses to average net assets     0.62 %     0.65 %     0.65 %     0.66 %     0.73 %     0.76 %
Ratio of expense reimbursements to average net assets     —       —       —       — (d)     (0.04 )%     (0.07 )%
Ratio of net expenses to average net assets     0.62 %     0.65 %     0.65 %     0.66 %     0.69 %     0.69 %
Ratio of net investment income to average net assets     1.75 %     1.82 %     1.62 %     1.45 %     2.00 %     2.10 %
Portfolio turnover rate     0.45 %     4.29 %     1.96 %     8.40 %     9.29 %     7.30 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Amount was less than 0.005%.

 

See Notes to Financial Statements.

 

- 108 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger 35 Fund   Class Z  
   

Six Months

Ended

4/30/2024(a)

     Year Ended 10/31/2023     Year Ended 10/31/2022       Year Ended 10/31/2021(b)       Year Ended 10/31/2020(b)       Year Ended 10/31/2019(b)  
Net asset value, beginning of period   $ 9.68     $ 9.55     $ 21.33     $ 17.41     $ 11.61     $ 10.38  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment income (loss)(c)     (0.01 )     (0.01 )     — (d)     (0.01 )     (0.05 )     0.03  
Net realized and unrealized gain (loss) on investments     3.38       0.14       (6.68 )     6.95       5.87       1.31  
Total from investment operations     3.37       0.13       (6.68 )     6.94       5.82       1.34  
Dividends from net investment income     —       — (d)     —       — (e)     (0.02 )     (0.04 )
Distributions from net realized gains     —       —       (5.10 )     (3.02 )     —       (0.07 )
Net asset value, end of period   $ 13.05     $ 9.68     $ 9.55     $ 21.33     $ 17.41     $ 11.61  
Total return(f)     34.81 %     1.38 %     (39.09 )%     44.27 %     50.22 %     13.19 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000's omitted)   $ 33,508     $ 25,640     $ 25,976     $ 44,159     $ 14,128     $ 9,094  
Ratio of gross expenses to average net assets     0.88 %     0.97 %     0.94 %     0.92 %     2.02 %     2.37 %
Ratio of expense reimbursements to average net assets     (0.33 )%     (0.40 )%     (0.39 )%     (0.52 )%     (1.12 )%     (1.97 )%
Ratio of net expenses to average net assets     0.55 %     0.57 %     0.55 %     0.40 %     0.90 %     0.40 %
Ratio of net investment income (loss) to average net assets     (0.15 )%     (0.12 )%     0.01 %     (0.07 )%     0.36 %     0.30 %
Portfolio turnover rate     148.20 %     412.77 %     202.40 %     136.61 %     121.74 %     115.25 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Class P Shares were reclassified as Class Z Shares on May 7, 2021 and after the close of business on October 29, 2021, Class P-2 Shares were converted to Class Z Shares.
(c) Amount was computed based on average shares outstanding during the period.
(d) Amount was less than $0.005 per share.
(e) Amount was more than $(0.001) per share.
(f) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 109 -

 

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger Mid Cap Focus Fund   Class A  
   

Six Months

Ended

4/30/2024(a)

    

Year Ended

10/31/2023

    

Year Ended

10/31/2022

    

From 7/29/2021 (commencement

of operations) to 10/31/2021(a)

  
Net asset value, beginning of period   $ 11.33     $ 12.14     $ 23.43     $ 20.67  
INCOME FROM INVESTMENT OPERATIONS:                                
Net investment loss(b)     (0.06 )     (0.10 )     (0.09 )     (0.04 )
Net realized and unrealized gain (loss) on investments     3.80       (0.71 )     (9.14 )     2.80  
Total from investment operations     3.74       (0.81 )     (9.23 )     2.76  
Distributions from net realized gains     —       —       (2.06 )     —  
Net asset value, end of period   $ 15.07     $ 11.33     $ 12.14     $ 23.43  
Total return(c)     33.01 %     (6.67 )%     (42.27 )%     13.35 %
RATIOS/SUPPLEMENTAL DATA:                                
Net assets, end of period (000's omitted)   $ 4,812     $ 3,307     $ 5,083     $ 1,669  
Ratio of net expenses to average net assets     1.19 %     1.14 %     1.05 %     0.96 %
Ratio of net investment loss to average net assets     (0.79 )%     (0.80 )%     (0.66 )%     (0.72 )%
Portfolio turnover rate     41.50 %     121.07 %     267.86 %     250.31 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 110 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Mid Cap Focus Fund   Class C  
   

Six Months

Ended

4/30/2024(a)

    

Year Ended

10/31/2023

    

Year Ended

10/31/2022

    

From 7/29/2021 (commencement

 of operations) to 10/31/2021(a)

  
Net asset value, beginning of period   $ 11.13     $ 12.01     $ 23.38     $ 20.67  
INCOME FROM INVESTMENT OPERATIONS:                                
Net investment loss(b)     (0.11 )     (0.19 )     (0.21 )     (0.09 )
Net realized and unrealized gain (loss) on investments     3.72       (0.69 )     (9.10 )     2.80  
Total from investment operations     3.61       (0.88 )     (9.31 )     2.71  
Distributions from net realized gains     —       —       (2.06 )     —  
Net asset value, end of period   $ 14.74     $ 11.13     $ 12.01     $ 23.38  
Total return(c)     32.43 %     (7.33 )%     (42.78 )%     13.16 %
RATIOS/SUPPLEMENTAL DATA:                                
Net assets, end of period (000's omitted)   $ 3,107     $ 2,070     $ 2,433     $ 2,317  
Ratio of gross expenses to average net assets     1.98 %     1.96 %     1.85 %     1.76 %
Ratio of expense reimbursements to average net assets     (0.01 )%     (0.02 )%     —       —  
Ratio of net expenses to average net assets     1.97 %     1.94 %     1.85 %     1.76 %
Ratio of net investment loss to average net assets     (1.56 )%     (1.60 )%     (1.46 )%     (1.50 )%
Portfolio turnover rate     41.50 %     121.07 %     267.86 %     250.31 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 111 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger Mid Cap Focus Fund   Class I  
   

Six Months

Ended

4/30/2024(a)

     Year Ended 10/31/2023     Year Ended 10/31/2022     Year Ended 10/31/2021     Year Ended 10/31/2020     From 6/14/2019 (commencement of operations) to 10/31/2019(a)  
Net asset value, beginning of period   $ 11.34     $ 12.14     $ 23.43     $ 15.10     $ 9.70     $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.06 )     (0.08 )     (0.10 )     (0.17 )     (0.14 )     (0.04 )
Net realized and unrealized gain (loss) on investments     3.79       (0.72 )     (9.13 )     8.76       5.54       (0.26 )
Total from investment operations     3.73       (0.80 )     (9.23 )     8.59       5.40       (0.30 )
Distributions from net realized gains     —       —       (2.06 )     (0.26 )     —       —  
Net asset value, end of period   $ 15.07     $ 11.34     $ 12.14     $ 23.43     $ 15.10     $ 9.70  
Total return(c)     32.89 %     (6.59 )%     (42.28 )%     57.36 %     55.35 %     (3.00 )%
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000's omitted)   $ 14,471     $ 11,512     $ 62,499     $ 145,539     $ 67,796     $ 2,023  
Ratio of gross expenses to average net assets     1.32 %     1.12 %     1.01 %     0.95 %     1.14 %     1.91 %
Ratio of expense reimbursements to average net assets     (0.05 )%     —       —       —       (0.03 )%     (0.71 )%
Ratio of net expenses to average net assets     1.27 %     1.12 %     1.01 %     0.95 %     1.11 %     1.20 %
Ratio of net investment loss to average net assets     (0.83 )%     (0.67 )%     (0.63 )%     (0.85 )%     (1.04 )%     (0.97 )%
Portfolio turnover rate     41.50 %     121.07 %     267.86 %     250.31 %     123.43 %     65.50 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 112 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Mid Cap Focus Fund   Class Y  
   

Six Months

Ended 4/30/2024(a)

     Year Ended 10/31/2023     Year Ended 10/31/2022     From 3/1/2021 (commencement of operations) to 10/31/2021(a)  
Net asset value, beginning of period   $ 11.49     $ 12.26     $ 23.56     $ 20.65  
INCOME FROM INVESTMENT OPERATIONS:                                
Net investment loss(b)     (0.02 )     (0.04 )     (0.06 )     (0.08 )
Net realized and unrealized gain (loss) on investments     3.84       (0.73 )     (9.18 )     2.99  
Total from investment operations     3.82       (0.77 )     (9.24 )     2.91  
Distributions from net realized gains     —       —       (2.06 )     —  
Net asset value, end of period   $ 15.31     $ 11.49     $ 12.26     $ 23.56  
Total return(c)     33.33 %     (6.28 )%     (42.07 )%     14.09 %
RATIOS/SUPPLEMENTAL DATA:                                
Net assets, end of period (000's omitted)   $ 260     $ 189     $ 443     $ 137  
Ratio of gross expenses to average net assets     0.90 %     0.84 %     0.74 %     0.72 %
Ratio of expense reimbursements to average net assets     (0.14 )%     (0.12 )%     (0.05 )%     (0.02 )%
Ratio of net expenses to average net assets     0.76 %     0.72 %     0.69 %     0.70 %
Ratio of net investment loss to average net assets     (0.34 )%     (0.32 )%     (0.44 )%     (0.57 )%
Portfolio turnover rate     41.50 %     121.07 %     267.86 %     250.31 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 113 -

 

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Mid Cap Focus Fund   Class Z  
   

Six Months

Ended

4/30/2024(a)

    

Year Ended

10/31/2023

    

Year Ended

10/31/2022

    

Year Ended

10/31/2021

    

Year Ended

10/31/2020

    

From 6/14/2019 (commencement

of operations) to 10/31/2019(a)

  
Net asset value, beginning of period   $ 11.49     $ 12.26     $ 23.57     $ 15.15     $ 9.71     $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:                            
Net investment loss(b)     (0.03 )     (0.06 )     (0.05 )     (0.12 )     (0.10 )     (0.03 )
Net realized and unrealized gain (loss) on investments     3.84       (0.71 )     (9.20 )     8.80       5.54       (0.26 )
Total from investment operations     3.81       (0.77 )     (9.25 )     8.68       5.44       (0.29 )
Distributions from net realized gains     —       —       (2.06 )     (0.26 )     —       —  
Net asset value, end of period   $ 15.30     $ 11.49     $ 12.26     $ 23.57     $ 15.15     $ 9.71  
Total return(c)     33.16 %     (6.28 )%     (42.10 )%     57.77 %     55.70 %     (2.80 )%
RATIOS/SUPPLEMENTAL DATA:                            
Net assets, end of period (000's omitted)   $ 248,548     $ 217,843     $ 365,976     $ 795,479     $ 307,532     $ 28,230  
Ratio of gross expenses to average net assets     0.87 %     0.83 %     0.71 %     0.68 %     0.91 %     1.86 %
Ratio of expense reimbursements to average net assets     —       —       —       —       (0.05 )%     (0.87 )%
Ratio of net expenses to average net assets     0.87 %     0.83 %     0.71 %     0.68 %     0.86 %     0.99 %
Ratio of net investment loss to average net assets     (0.44 )%     (0.48 )%     (0.33 )%     (0.58 )%     (0.77 )%     (0.74 )%
Portfolio turnover rate     41.50 %     121.07 %     267.86 %     250.31 %     123.43 %     65.50 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 114 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger Mid Cap Growth Fund   Class A  
   

Six Months

Ended

4/30/2024(a)

    

Year Ended

10/31/2023

    

Year Ended

10/31/2022

    

Year Ended

10/31/2021

    

Year Ended

10/31/2020

    

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 10.84     $ 10.82     $ 25.20     $ 19.29     $ 14.81     $ 14.13  
INCOME FROM INVESTMENT OPERATIONS:                            
Net investment income (loss)(b)     (0.03 )     (0.08 )     (0.09 )     0.48       (0.12 )     (0.09 )
Net realized and unrealized gain (loss) on investments     2.73       0.10       (7.71 )     7.58       5.80       1.48  
Total from investment operations     2.70       0.02       (7.80 )     8.06       5.68       1.39  
Dividends from net investment income     —       —       (0.45 )     —       —       —  
Distributions from net realized gains     —       —       (6.13 )     (2.15 )     (1.20 )     (0.71 )
Net asset value, end of period   $ 13.54     $ 10.84     $ 10.82     $ 25.20     $ 19.29     $ 14.81  
Total return(c)     24.91 %     0.18 %     (39.13 )%     44.05 %(d)     41.34 %     10.95 %
RATIOS/SUPPLEMENTAL DATA:                            
Net assets, end of period (000's omitted)   $ 160,120     $ 134,439     $ 146,648     $ 259,895     $ 187,552     $ 139,110  
Ratio of net expenses to average net assets     1.25 %     1.27 %     1.24 %     1.21 %     1.30 %     1.30 %
Ratio of net investment income (loss) to average net assets     (0.50 )%     (0.69 )%     (0.68 )%     2.15 %     (0.76 )%     (0.65 )%
Portfolio turnover rate     29.62 %     78.35 %     204.79 %     170.96 %     181.73 %     182.97 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Mid Cap Growth Fund received a Fair Fund distribution of $9,346,397, which contributed approximately 3.89% to its annual return

 

See Notes to Financial Statements.

 

- 115 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Mid Cap Growth Fund   Class B  
   

Six Months

Ended

4/30/2024(a)

    

Year Ended

10/31/2023

    

Year Ended

10/31/2022

    

Year Ended

10/31/2021

    

Year Ended

10/31/2020

    

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 6.79     $ 6.78     $ 18.60     $ 14.70     $ 11.55     $ 11.22  
INCOME FROM INVESTMENT OPERATIONS:                            
Net investment income (loss)(b)     (0.02 )     (0.05 )     (0.06 )     0.35       (0.08 )     (0.10 )
Net realized and unrealized gain (loss) on investments     1.70       0.06       (5.15 )     5.70       4.43       1.14  
Total from investment operations     1.68       0.01       (5.21 )     6.05       4.35       1.04  
Dividends from net investment income     —       —       (0.48 )     —       —       —  
Distributions from net realized gains     —       —       (6.13 )     (2.15 )     (1.20 )     (0.71 )
Net asset value, end of period   $ 8.47     $ 6.79     $ 6.78     $ 18.60     $ 14.70     $ 11.55  
Total return(c)     24.74 %     0.15 %     (39.16 )%     44.24 %(d)     41.41 %     10.66 %
RATIOS/SUPPLEMENTAL DATA:                            
Net assets, end of period (000's omitted)   $ 11,555     $ 9,563     $ 10,404     $ 18,276     $ 15,411     $ 13,772  
Ratio of gross expenses to average net assets     1.96 %     1.98 %     1.95 %     1.93 %     2.03 %     2.04 %
Ratio of expense reimbursements to average net assets     (0.62 )%     (0.66 )%     (0.67 )%     (0.76 )%     (0.82 )%     (0.47 )%
Ratio of net expenses to average net assets     1.34 %     1.32 %     1.28 %     1.17 %     1.21 %     1.57 %
Ratio of net investment income (loss) to average net assets     (0.59 )%     (0.73 )%     (0.71 )%     2.08 %     (0.66 )%     (0.92 )%
Portfolio turnover rate     29.62 %     78.35 %     204.79 %     170.96 %     181.73 %     182.97 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Mid Cap Growth Fund received a Fair Fund distribution of $9,346,397, which contributed approximately 3.89% to its annual return

 

See Notes to Financial Statements.

 

- 116 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger Mid Cap Growth Fund   Class C  
   

Six Months

Ended

4/30/2024(a)

    

Year Ended

10/31/2023

    

Year Ended

10/31/2022

    

Year Ended

10/31/2021

    

Year Ended

10/31/2020

    

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 6.30     $ 6.34     $ 17.82     $ 14.26     $ 11.33     $ 11.08  
INCOME FROM INVESTMENT OPERATIONS:                            
Net investment income (loss)(b)     (0.05 )     (0.10 )     (0.12 )     0.23       (0.18 )     (0.16 )
Net realized and unrealized gain (loss) on investments     1.58       0.06       (4.88 )     5.48       4.31       1.12  
Total from investment operations     1.53       (0.04 )     (5.00 )     5.71       4.13       0.96  
Dividends from net investment income     —       —       (0.35 )     —       —       —  
Distributions from net realized gains     —       —       (6.13 )     (2.15 )     (1.20 )     (0.71 )
Net asset value, end of period   $ 7.83     $ 6.30     $ 6.34     $ 17.82     $ 14.26     $ 11.33  
Total return(c)     24.29 %     (0.63 )%     (39.60 )%     42.91 %(d)     40.26 %     10.03 %
RATIOS/SUPPLEMENTAL DATA:                            
Net assets, end of period (000's omitted)   $ 3,916     $ 3,319     $ 4,562     $ 8,244     $ 5,691     $ 6,014  
Ratio of net expenses to average net assets     2.13 %     2.13 %     2.05 %     2.00 %     2.10 %     2.14 %
Ratio of net investment income (loss) to average net assets     (1.39 )%     (1.54 )%     (1.49 )%     1.41 %     (1.52 )%     (1.48 )%
Portfolio turnover rate     29.62 %     78.35 %     204.79 %     170.96 %     181.73 %     182.97 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Mid Cap Growth Fund received a Fair Fund distribution of $9,346,397, which contributed approximately 3.89% to its annual return

 

See Notes to Financial Statements.

 

- 117 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger Mid Cap Growth Fund   Class Z  
   

Six Months

Ended

4/30/2024(a)

    

Year Ended

10/31/2023

    

Year Ended

10/31/2022

    

Year Ended

10/31/2021

    

Year Ended

10/31/2020

    

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 11.22     $ 11.16     $ 25.78     $ 19.63     $ 15.01     $ 14.27  
INCOME FROM INVESTMENT OPERATIONS:                            
Net investment income (loss)(b)     (0.01 )     (0.05 )     (0.05 )     0.63       (0.07 )     (0.06 )
Net realized and unrealized gain (loss) on investments     2.82       0.11       (7.92 )     7.67       5.89       1.51  
Total from investment operations     2.81       0.06       (7.97 )     8.30       5.82       1.45  
Dividends from net investment income     —       —       (0.52 )     —       —       —  
Distributions from net realized gains     —       —       (6.13 )     (2.15 )     (1.20 )     (0.71 )
Net asset value, end of period   $ 14.03     $ 11.22     $ 11.16     $ 25.78     $ 19.63     $ 15.01  
Total return(c)     25.05 %     0.54 %     (38.95 )%     44.55 %(d)     41.75 %     11.27 %
RATIOS/SUPPLEMENTAL DATA:                            
Net assets, end of period (000's omitted)   $ 55,130     $ 42,274     $ 30,488     $ 52,746     $ 26,804     $ 17,558  
Ratio of net expenses to average net assets     0.93 %     0.96 %     0.93 %     0.92 %     0.99 %     1.03 %
Ratio of net investment income (loss) to average net assets     (0.20 )%     (0.41 )%     (0.37 )%     2.75 %     (0.46 )%     (0.38 )%
Portfolio turnover rate     29.62 %     78.35 %     204.79 %     170.96 %     181.73 %     182.97 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Mid Cap Growth Fund received a Fair Fund distribution of $9,346,397, which contributed approximately 3.89% to its annual return

 

See Notes to Financial Statements.

 

- 118 -

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger Small Cap Growth Fund   Class A  
   

Six Months

Ended

4/30/2024(a)

    

Year Ended

10/31/2023

    

Year Ended

10/31/2022

    

Year Ended

10/31/2021

    

Year Ended

10/31/2020

    

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 7.90     $ 8.83     $ 16.21     $ 12.59     $ 9.34     $ 9.54  
INCOME FROM INVESTMENT OPERATIONS:                            
Net investment loss(b)     (0.05 )     (0.08 )     (0.11 )     (0.07 )     (0.12 )     (0.11 )
Net realized and unrealized gain (loss) on investments     1.54       (0.85 )     (5.93 )     3.76       3.91       0.85  
Total from investment operations     1.49       (0.93 )     (6.04 )     3.69       3.79       0.74  
Distributions from net realized gains     —       —       (1.34 )     (0.07 )     (0.54 )     (0.94 )
Net asset value, end of period   $ 9.39     $ 7.90     $ 8.83     $ 16.21     $ 12.59     $ 9.34  
Total return(c)     18.90 %     (10.53 )%     (39.87 )%     29.27 %(d)     42.80 %     9.94 %
RATIOS/SUPPLEMENTAL DATA:                            
Net assets, end of period (000's omitted)   $ 120,463     $ 110,041     $ 142,244     $ 262,708     $ 187,489     $ 116,308  
Ratio of net expenses to average net assets     1.35 %     1.32 %     1.29 %     1.23 %     1.33 %     1.39 %
Ratio of net investment loss to average net assets     (1.13 )%     (0.93 )%     (1.01 )%     (0.46 )%     (1.11 )%     (1.17 )%
Portfolio turnover rate     19.94 %     30.15 %     15.44 %     34.85 %     12.67 %     17.09 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Small Cap Growth Fund received a Fair Fund distribution of $3,738,004, which contributed approximately 0.72% to its annual return.

 

See Notes to Financial Statements.

 

- 119 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Small Cap Growth Fund   Class B  
   

Six Months

Ended

4/30/2024(a)

    

Year Ended

10/31/2023

    

Year Ended

10/31/2022

    

Year Ended

10/31/2021

    

Year Ended

10/31/2020

    

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 5.31     $ 5.94     $ 11.41     $ 8.88     $ 6.74     $ 7.20  
INCOME FROM INVESTMENT OPERATIONS:                            
Net investment loss(b)     (0.03 )     (0.06 )     (0.08 )     (0.05 )     (0.08 )     (0.11 )
Net realized and unrealized gain (loss) on investments     1.03       (0.57 )     (4.05 )     2.65       2.76       0.59  
Total from investment operations     1.00       (0.63 )     (4.13 )     2.60       2.68       0.48  
Distributions from net realized gains     —       —       (1.34 )     (0.07 )     (0.54 )     (0.94 )
Net asset value, end of period   $ 6.31     $ 5.31     $ 5.94     $ 11.41     $ 8.88     $ 6.74  
Total return(c)     18.83 %     (10.61 )%     (39.91 )%     29.38 %(d)     42.68 %     9.51 %
RATIOS/SUPPLEMENTAL DATA:                            
Net assets, end of period (000's omitted)   $ 1,886     $ 2,212     $ 3,038     $ 5,821     $ 5,095     $ 4,523  
Ratio of gross expenses to average net assets     2.09 %     2.05 %     2.00 %     1.96 %     2.07 %     2.19 %
Ratio of expense reimbursements to average net assets     (0.75 )%     (0.64 )%     (0.64 )%     (0.74 )%     (0.73 )%     (0.41 )%
Ratio of net expenses to average net assets     1.34 %     1.41 %     1.36 %     1.22 %     1.34 %     1.78 %
Ratio of net investment loss to average net assets     (1.12 )%     (1.02 )%     (1.09 )%     (0.48 )%     (1.11 )%     (1.57 )%
Portfolio turnover rate     19.94 %     30.15 %     15.44 %     34.85 %     12.67 %     17.09 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Small Cap Growth Fund received a Fair Fund distribution of $3,738,004, which contributed approximately 0.72% to its annual return.

 

See Notes to Financial Statements.

 

- 120 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger Small Cap Growth Fund   Class C  
   

Six Months

Ended

4/30/2024(a)

    

Year Ended

10/31/2023

    

Year Ended

10/31/2022

    

Year Ended

10/31/2021

    

Year Ended

10/31/2020

    

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 4.89     $ 5.51     $ 10.76     $ 8.44     $ 6.47     $ 6.99  
INCOME FROM INVESTMENT OPERATIONS:                            
Net investment loss(b)     (0.06 )     (0.09 )     (0.12 )     (0.13 )     (0.14 )     (0.13 )
Net realized and unrealized gain (loss) on investments     0.95       (0.53 )     (3.79 )     2.52       2.65       0.55  
Total from investment operations     0.89       (0.62 )     (3.91 )     2.39       2.51       0.42  
Distributions from net realized gains     —       —       (1.34 )     (0.07 )     (0.54 )     (0.94 )
Net asset value, end of period   $ 5.78     $ 4.89     $ 5.51     $ 10.76     $ 8.44     $ 6.47  
Total return(c)     18.20 %     (11.25 )%     (40.32 )%     28.41 %(d)     41.76 %     8.87 %
RATIOS/SUPPLEMENTAL DATA:                            
Net assets, end of period (000's omitted)   $ 15,455     $ 14,851     $ 21,105     $ 39,148     $ 18,365     $ 6,257  
Ratio of net expenses to average net assets     2.15 %     2.12 %     2.09 %     2.00 %     2.09 %     2.20 %
Ratio of net investment loss to average net assets     (1.94 )%     (1.72 )%     (1.81 )%     (1.21 )%     (1.90 )%     (1.98 )%
Portfolio turnover rate     19.94 %     30.15 %     15.44 %     34.85 %     12.67 %     17.09 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Small Cap Growth Fund received a Fair Fund distribution of $3,738,004, which contributed approximately 0.72% to its annual return.

 

See Notes to Financial Statements.

 

- 121 -

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Small Cap Growth Fund   Class Y  
     

Six Months

Ended

4/30/2024(a) 
   

Year Ended

 10/31/2023

      

From 12/31/2021

(commencement

of operations) to

10/31/2022(a) 
Net asset value, beginning of period   $ 8.36     $ 9.31     $ 13.84  
INCOME FROM INVESTMENT OPERATIONS:                        
Net investment loss(b)      (0.03 )     (0.04 )     (0.04 )
Net realized and unrealized gain (loss) on investments     1.63       (0.91 )     (4.49 )
Total from investment operations     1.60       (0.95 )     (4.53 )
Dividends from net investment income     (0.05 )     —       —  
Net asset value, end of period   $ 9.91     $ 8.36     $ 9.31  
Total return(c)      19.12 %     (10.20 )%     (32.73 )%
RATIOS/SUPPLEMENTAL DATA:                        
Net assets, end of period (000’s omitted)   $ 2,897     $ 7,258     $ 8,050  
Ratio of gross expenses to average net assets     1.02 %     0.99 %     0.96 %
Ratio of expense reimbursements to average net assets     (0.17 )%     (0.14 )%     (0.12 )%
Ratio of net expenses to average net assets     0.85 %     0.85 %     0.84 %
Ratio of net investment loss to average net assets     (0.63 )%     (0.47 )%     (0.44 )%
Portfolio turnover rate     19.94 %     30.15 %     15.44 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 122 -

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Small Cap Growth Fund   Class Z  
     

Six Months

Ended

4/30/2024(a) 
   

Year Ended

10/31/2023

      

Year Ended

10/31/2022

      

Year Ended

10/31/2021

      

Year Ended

10/31/2020

      

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 8.34     $ 9.29     $ 16.92     $ 13.10     $ 9.66     $ 9.80  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)      (0.04 )     (0.05 )     (0.08 )     (0.02 )     (0.10 )     (0.07 )
Net realized and unrealized gain (loss) on investments     1.62       (0.90 )     (6.21 )     3.91       4.08       0.87  
Total from investment operations     1.58       (0.95 )     (6.29 )     3.89       3.98       0.80  
Dividends from net investment income     (0.03 )     —       —       —       —       —  
Distributions from net realized gains     —       —       (1.34 )     (0.07 )     (0.54 )     (0.94 )
Net asset value, end of period   $ 9.89     $ 8.34     $ 9.29     $ 16.92     $ 13.10     $ 9.66  
Total return(c)      18.99 %     (10.23 )%     (39.66 )%     29.66 %(d)      43.38 %     10.33 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 146,035     $ 138,502     $ 214,819     $ 383,748     $ 179,276     $ 21,782  
Ratio of gross expenses to average net assets     1.01 %     0.99 %     0.96 %     0.93 %     1.00 %     1.12 %
Ratio of expense reimbursements to average net assets     (0.01 )%     —       —       —       (0.03 )%     (0.13 )%
Ratio of net expenses to average net assets     1.00 %     0.99 %     0.96 %     0.93 %     0.97 %     0.99 %
Ratio of net investment loss to average net assets     (0.79 )%     (0.59 )%     (0.68 )%     (0.12 )%     (0.81 )%     (0.78 )%
Portfolio turnover rate     19.94 %     30.15 %     15.44 %     34.85 %     12.67 %     17.09 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Small Cap Growth Fund received a Fair Fund distribution of $3,738,004, which contributed approximately 0.72% to its annual return.

 

See Notes to Financial Statements.

 

- 123 -

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Small Cap Focus Fund   Class A  
     

Six Months

Ended

4/30/2024(a) 
   

Year Ended

10/31/2023

      

Year Ended

10/31/2022

      

Year Ended

10/31/2021

      

Year Ended
10/31/2020

      

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 13.95     $ 16.91     $ 31.74     $ 26.22     $ 19.93     $ 18.86  
INCOME FROM INVESTMENT OPERATIONS:                                                 
Net investment loss(b)      (0.13 )     (0.19 )     (0.19 )     (0.31 )     (0.25 )     (0.19 )
Net realized and unrealized gain (loss) on investments     3.26       (2.77 )     (12.84 )     5.83       7.03       1.41  
Total from investment operations     3.13       (2.96 )     (13.03 )     5.52       6.78       1.22  
Dividends from net investment income     —       —       —       —       (0.19 )     —  
Distributions from net realized gains     —       —       (1.80 )     —       (0.30 )     (0.15 )
Net asset value, end of period   $ 17.08     $ 13.95     $ 16.91     $ 31.74     $ 26.22     $ 19.93  
Total return(c)      22.44 %     (17.50 )%     (42.88 )%     21.05 %     34.74 %     6.59 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 134,888     $ 128,366     $ 226,738     $ 560,577     $ 566,606     $ 523,291  
Ratio of net expenses to average net assets     1.63 %     1.48 %     1.32 %     1.18 %     1.22 %     1.19 %
Ratio of net investment loss to average net assets     (1.55 )%     (1.18 )%     (0.96 )%     (0.98 )%     (1.11 )%     (0.95 )%
Portfolio turnover rate     24.74 %     68.04 %     37.57 %     56.71 %     37.49 %     48.84 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 124 -

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Small Cap Focus Fund   Class C  
     

Six Months

Ended

4/30/2024(a) 
   

Year Ended

10/31/2023

      

Year Ended

10/31/2022

      

Year Ended

10/31/2021

      

Year Ended
10/31/2020

      

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 12.11     $ 14.75     $ 28.12     $ 23.40     $ 17.85     $ 17.04  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)      (0.15 )     (0.24 )     (0.28 )     (0.47 )     (0.37 )     (0.31 )
Net realized and unrealized gain (loss) on investments     2.83       (2.40 )     (11.29 )     5.19       6.30       1.27  
Total from investment operations     2.68       (2.64 )     (11.57 )     4.72       5.93       0.96  
Dividends from net investment income     —       —       —       —       (0.08 )     —  
Distributions from net realized gains     —       —       (1.80 )     —       (0.30 )     (0.15 )
Net asset value, end of period   $ 14.79     $ 12.11     $ 14.75     $ 28.12     $ 23.40     $ 17.85  
Total return(c)      22.23 %     (17.97 )%     (43.23 )%     20.17 %     33.85 %     5.76 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 61,068     $ 62,091     $ 108,988     $ 267,800     $ 248,577     $ 212,737  
Ratio of net expenses to average net assets     2.11 %     2.02 %     1.93 %     1.90 %     1.94 %     1.95 %
Ratio of net investment loss to average net assets     (2.04 )%     (1.72 )%     (1.57 )%     (1.70 )%     (1.83 )%     (1.71 )%
Portfolio turnover rate     24.74 %     68.04 %     37.57 %     56.71 %     37.49 %     48.84 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 125 - 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Small Cap Focus Fund   Class I  
     

Six Months

Ended

4/30/2024(a) 
   

Year Ended

10/31/2023

      

Year Ended

10/31/2022

      

Year Ended

10/31/2021

      

Year Ended
10/31/2020

      

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 14.42     $ 17.44     $ 32.61     $ 26.93     $ 20.44     $ 19.34  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)      (0.11 )     (0.15 )     (0.18 )     (0.31 )     (0.24 )     (0.19 )
Net realized and unrealized gain (loss) on investments     3.37       (2.87 )     (13.19 )     5.99       7.22       1.44  
Total from investment operations     3.26       (3.02 )     (13.37 )     5.68       6.98       1.25  
Dividends from net investment income     —       —       —       —       (0.19 )     —  
Distributions from net realized gains     —       —       (1.80 )     —       (0.30 )     (0.15 )
Net asset value, end of period   $ 17.68     $ 14.42     $ 17.44     $ 32.61     $ 26.93     $ 20.44  
Total return(c)      22.61 %     (17.32 )%     (42.77 )%     21.09 %     34.86 %     6.58 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 52,439     $ 52,678     $ 144,513     $ 421,986     $ 360,756     $ 455,937  
Ratio of net expenses to average net assets     1.38 %     1.24 %     1.18 %     1.14 %     1.15 %     1.18 %
Ratio of net investment loss to average net assets     (1.30 )%     (0.91 )%     (0.83 )%     (0.95 )%     (1.04 )%     (0.93 )%
Portfolio turnover rate     24.74 %     68.04 %     37.57 %     56.71 %     37.49 %     48.84 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 126 -

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Small Cap Focus Fund   Class Y  
     

Six Months

Ended

4/30/2024(a) 
   

Year Ended

10/31/2023

      

Year Ended

10/31/2022

      

Year Ended

10/31/2021

      

Year Ended
10/31/2020

      

Year Ended

10/31/2019

  
Net asset value, beginning of period   $ 14.85     $ 17.89     $ 33.29     $ 27.41     $ 20.79     $ 19.60  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)      (0.07 )     (0.09 )     (0.09 )     (0.21 )     (0.18 )     (0.14 )
Net realized and unrealized gain (loss) on investments     3.47       (2.95 )     (13.51 )     6.09       7.36       1.48  
Total from investment operations     3.40       (3.04 )     (13.60 )     5.88       7.18       1.34  
Dividends from net investment income     —       —       —       —       (0.26 )     —  
Distributions from net realized gains     —       —       (1.80 )     —       (0.30 )     (0.15 )
Net asset value, end of period   $ 18.25     $ 14.85     $ 17.89     $ 33.29     $ 27.41     $ 20.79  
Total return(c)      22.90 %     (16.99 )%     (42.58 )%     21.45 %     35.32 %     6.96 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 81,360     $ 136,084     $ 257,064     $ 394,801     $ 266,570     $ 94,694  
Ratio of gross expenses to average net assets     0.94 %     0.90 %     0.85 %     0.83 %     0.84 %     0.87 %
Ratio of expense reimbursements to average net assets     (0.08 )%     (0.04 )%     —       —       — (d)      (0.02 )%
Ratio of net expenses to average net assets     0.86 %     0.86 %     0.85 %     0.83 %     0.84 %     0.85 %
Ratio of net investment loss to average net assets     (0.78 )%     (0.55 )%     (0.46 )%     (0.65 )%     (0.74 )%     (0.64 )%
Portfolio turnover rate     24.74 %     68.04 %     37.57 %     56.71 %     37.49 %     48.84 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Amount was more than (0.005)% per share.

 

See Notes to Financial Statements.

 

- 127 -

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Small Cap Focus Fund   Class Z  
    Six Months
Ended
4/30/2024(a)		     Year Ended
10/31/2023		     Year Ended
10/31/2022		     Year Ended
10/31/2021		     Year Ended
10/31/2020		     Year Ended
10/31/2019		  
Net asset value, beginning of period   $ 14.84     $ 17.88     $ 33.29     $ 27.41     $ 20.79     $ 19.60  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.08 )     (0.10 )     (0.10 )     (0.21 )     (0.18 )     (0.13 )
Net realized and unrealized gain (loss) on investments     3.48       (2.94 )     (13.51 )     6.09       7.36       1.47  
Total from investment operations     3.40       (3.04 )     (13.61 )     5.88       7.18       1.34  
Dividends from net investment income     —       —       —       —       (0.26 )     —  
Distributions from net realized gains     —       —       (1.80 )     —       (0.30 )     (0.15 )
Net asset value, end of period   $ 18.24     $ 14.84     $ 17.88     $ 33.29     $ 27.41     $ 20.79  
Total return(c)     22.91 %     (17.00 )%     (42.61 )%     21.45 %     35.30 %     6.96 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 1,067,471     $ 1,124,448     $ 2,192,139     $ 6,195,714     $ 4,499,832     $ 2,459,793  
Ratio of net expenses to average net assets     0.94 %     0.88 %     0.84 %     0.83 %     0.85 %     0.86 %
Ratio of net investment loss to average net assets     (0.86 )%     (0.58 )%     (0.49 )%     (0.65 )%     (0.74 )%     (0.62 )%
Portfolio turnover rate     24.74 %     68.04 %     37.57 %     56.71 %     37.49 %     48.84 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 128 -

 

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Weatherbie Specialized Growth Fund   Class A  
    Six Months
Ended
4/30/2024(a)		     Year Ended
10/31/2023		     Year Ended
10/31/2022		     Year Ended
10/31/2021		     Year Ended
10/31/2020		     Year Ended
10/31/2019		  
Net asset value, beginning of period   $ 10.12     $ 11.57     $ 24.96     $ 17.46     $ 13.30     $ 13.08  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.06 )     (0.10 )     (0.14 )     (0.23 )     (0.16 )     (0.14 )
Net realized and unrealized gain (loss) on investments     1.87       (1.35 )     (8.91 )     8.70       4.88       1.39  
Total from investment operations     1.81       (1.45 )     (9.05 )     8.47       4.72       1.25  
Distributions from net realized gains     —       —       (4.34 )     (0.97 )     (0.56 )     (1.03 )
Net asset value, end of period   $ 11.93     $ 10.12     $ 11.57     $ 24.96     $ 17.46     $ 13.30  
Total return(c)     17.89 %     (12.53 )%     (42.03 )%     49.80 %     36.57 %     11.57 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 89,609     $ 86,257     $ 119,741     $ 259,394     $ 174,709     $ 140,368  
Ratio of net expenses to average net assets     1.36 %     1.32 %     1.25 %     1.20 %     1.27 %     1.31 %
Ratio of net investment loss to average net assets     (1.01 )%     (0.90 )%     (0.95 )%     (1.03 )%     (1.09 )%     (1.08 )%
Portfolio turnover rate     24.23 %     40.32 %     55.97 %     61.53 %     66.84 %     64.83 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 129 -

 

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Weatherbie Specialized Growth Fund   Class C  
    Six Months
Ended
4/30/2024(a)		     Year Ended
10/31/2023		     Year Ended
10/31/2022		     Year Ended
10/31/2021		     Year Ended
10/31/2020		     Year Ended
10/31/2019		  
Net asset value, beginning of period   $ 5.45     $ 6.29     $ 15.93     $ 11.52     $ 9.01     $ 9.30  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.06 )     (0.10 )     (0.14 )     (0.25 )     (0.19 )     (0.17 )
Net realized and unrealized gain (loss) on investments     1.02       (0.74 )     (5.16 )     5.63       3.26       0.91  
Total from investment operations     0.96       (0.84 )     (5.30 )     5.38       3.07       0.74  
Distributions from net realized gains     —       —       (4.34 )     (0.97 )     (0.56 )     (1.03 )
Net asset value, end of period   $ 6.41     $ 5.45     $ 6.29     $ 15.93     $ 11.52     $ 9.01  
Total return(c)     17.62 %     (13.35 )%     (42.46 )%     48.68 %     35.62 %     10.70 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 27,791     $ 29,559     $ 44,815     $ 103,331     $ 64,497     $ 44,908  
Ratio of net expenses to average net assets     2.14 %     2.08 %     2.02 %     1.95 %     2.03 %     2.05 %
Ratio of net investment loss to average net assets     (1.80 )%     (1.67 )%     (1.72 )%     (1.79 )%     (1.85 )%     (1.82 )%
Portfolio turnover rate     24.23 %     40.32 %     55.97 %     61.53 %     66.84 %     64.83 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 130 -

 

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Weatherbie Specialized Growth Fund   Class I  
    Six Months
Ended
4/30/2024(a)		     Year Ended
10/31/2023		     Year Ended
10/31/2022		     Year Ended
10/31/2021		     Year Ended
10/31/2020		     Year Ended
10/31/2019		  
Net asset value, beginning of period   $ 10.48     $ 11.99     $ 25.67     $ 17.94     $ 13.64     $ 13.38  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.07 )     (0.10 )     (0.14 )     (0.23 )     (0.16 )     (0.14 )
Net realized and unrealized gain (loss) on investments     1.94       (1.41 )     (9.20 )     8.93       5.02       1.43  
Total from investment operations     1.87       (1.51 )     (9.34 )     8.70       4.86       1.29  
Distributions from net realized gains     —       —       (4.34 )     (0.97 )     (0.56 )     (1.03 )
Net asset value, end of period   $ 12.35     $ 10.48     $ 11.99     $ 25.67     $ 17.94     $ 13.64  
Total return(c)     17.84 %     (12.59 )%     (42.02 )%     49.81 %     36.69 %     11.61 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 11,581     $ 13,179     $ 29,612     $ 77,214     $ 66,294     $ 58,615  
Ratio of net expenses to average net assets     1.44 %     1.31 %     1.25 %     1.19 %     1.24 %     1.26 %
Ratio of net investment loss to average net assets     (1.10 )%     (0.88 )%     (0.95 )%     (1.02 )%     (1.07 )%     (1.03 )%
Portfolio turnover rate     24.23 %     40.32 %     55.97 %     61.53 %     66.84 %     64.83 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 131 -

 

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Weatherbie Specialized Growth Fund   Class Y  
    Six Months
Ended
4/30/2024(a)		     Year Ended
10/31/2023		     Year Ended
10/31/2022		     Year Ended
10/31/2021		     Year Ended
10/31/2020		     Year Ended
10/31/2019		  
Net asset value, beginning of period   $ 10.79     $ 12.29     $ 26.12     $ 18.17     $ 13.77     $ 13.44  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.03 )     (0.06 )     (0.08 )     (0.16 )     (0.11 )     (0.09 )
Net realized and unrealized gain (loss) on investments     1.99       (1.44 )     (9.41 )     9.08       5.07       1.45  
Total from investment operations     1.96       (1.50 )     (9.49 )     8.92       4.96       1.36  
Distributions from net realized gains     —       —       (4.34 )     (0.97 )     (0.56 )     (1.03 )
Net asset value, end of period   $ 12.75     $ 10.79     $ 12.29     $ 26.12     $ 18.17     $ 13.77  
Total return(c)     18.26 %     (12.21 )%     (41.81 )%     50.35 %     37.08 %     12.12 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 49,490     $ 43,625     $ 47,379     $ 61,163     $ 32,702     $ 12,903  
Ratio of gross expenses to average net  assets     0.98 %     0.96 %     0.91 %     0.89 %     0.94 %     0.97 %
Ratio of expense reimbursements to average net assets     (0.09 )%     (0.07 )%     (0.04 )%     (0.02 )%     (0.07 )%     (0.10 )%
Ratio of net expenses to average net assets     0.89 %     0.89 %     0.87 %     0.87 %     0.87 %     0.87 %
Ratio of net investment loss to average net assets     (0.55 )%     (0.47 )%     (0.55 )%     (0.70 )%     (0.69 )%     (0.64 )%
Portfolio turnover rate     24.23 %     40.32 %     55.97 %     61.53 %     66.84 %     64.83 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 132 -

 

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Weatherbie Specialized Growth Fund   Class Z  
    Six Months
Ended
4/30/2024(a)		     Year Ended
10/31/2023		     Year Ended
10/31/2022		     Year Ended
10/31/2021		     Year Ended
10/31/2020		     Year Ended
10/31/2019		  
Net asset value, beginning of period   $ 11.17     $ 12.73     $ 26.87     $ 18.68     $ 14.15     $ 13.80  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.04 )     (0.07 )     (0.10 )     (0.17 )     (0.12 )     (0.10 )
Net realized and unrealized gain (loss) on investments     2.06       (1.49 )     (9.70 )     9.33       5.21       1.48  
Total from investment operations     2.02       (1.56 )     (9.80 )     9.16       5.09       1.38  
Distributions from net realized gains     —       —       (4.34 )     (0.97 )     (0.56 )     (1.03 )
Net asset value, end of period   $ 13.19     $ 11.17     $ 12.73     $ 26.87     $ 18.68     $ 14.15  
Total return(c)     18.09 %     (12.25 )%     (41.82 )%     50.32 %     37.00 %     11.94 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 322,290     $ 339,777     $ 535,172     $ 1,277,576     $ 620,005     $ 284,393  
Ratio of net expenses to average net assets     0.98 %     0.96 %     0.91 %     0.88 %     0.94 %     0.97 %
Ratio of net investment loss to average net assets     (0.64 )%     (0.54 )%     (0.61 )%     (0.72 )%     (0.76 )%     (0.73 )%
Portfolio turnover rate     24.23 %     40.32 %     55.97 %     61.53 %     66.84 %     64.83 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 133 -

 

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger International Focus Fund   Class A  
    Six Months
Ended
4/30/2024(a)		     Year Ended
10/31/2023		     Year Ended
10/31/2022		     Year Ended
10/31/2021		     Year Ended
10/31/2020		     Year Ended
10/31/2019		  
Net asset value, beginning of period   $ 15.78     $ 15.23     $ 25.12     $ 18.67     $ 15.51     $ 14.30  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.01 )     (0.03 )     (0.10 )     (0.11 )     (0.06 )     (0.02 )
Net realized and unrealized gain (loss) on investments     2.84       0.58       (7.82 )     6.56       3.91       1.66  
Total from investment operations     2.83       0.55       (7.92 )     6.45       3.85       1.64  
Dividends from net investment income     —       —       —       —       (0.69 )     (0.43 )
Distributions from net realized gains     —       —       (1.97 )     —       —       —  
Net asset value, end of period   $ 18.61     $ 15.78     $ 15.23     $ 25.12     $ 18.67     $ 15.51  
Total return(c)     18.00 %     3.61 %     (34.27 )%     34.87 %(d)   25.69 %     11.99 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 109,300     $ 97,018     $ 100,262     $ 158,223     $ 120,832     $ 100,814  
Ratio of net expenses to average net assets     1.28 %     1.31 %     1.27 %     1.22 %     1.34 %     1.37 %
Ratio of net investment loss to average net assets     (0.07 )%     (0.15 )%     (0.53 )%     (0.49 )%     (0.37 )%     (0.11 )%
Portfolio turnover rate     81.18 %     52.23 %     49.36 %     75.27 %     105.22 %     151.99 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger International Focus Fund received a Fair Fund distribution of $159,091, which contributed approximately 0.11% to its annual return.

 

See Notes to Financial Statements.

 

- 134 -

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger International Focus Fund   Class B  
    Six Months                                
    Ended     Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
    4/30/2024(a)
  10/31/2023     10/31/2022     10/31/2021     10/31/2020     10/31/2019  
Net asset value, beginning of period   $ 13.51     $ 13.04     $ 21.81     $ 16.19     $ 13.44     $ 12.38  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.01 )     (0.02 )     (0.09 )     (0.08 )     (0.02 )     (0.04 )
Net realized and unrealized gain (loss) on investments     2.44       0.49       (6.71 )     5.70       3.38       1.44  
Total from investment operations     2.43       0.47       (6.80 )     5.62       3.36       1.40  
Dividends from net investment income     —       —       —       —       (0.61 )     (0.34 )
Distributions from net realized gains     —       —       (1.97 )     —       —       —  
Net asset value, end of period   $ 15.94     $ 13.51     $ 13.04     $ 21.81     $ 16.19     $ 13.44  
Total return(c)     17.99 %     3.60 %     (34.30 )%     35.02 %(d)     25.83 %     11.82 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 14,051     $ 12,465     $ 13,200     $ 22,147     $ 18,427     $ 17,646  
Ratio of gross expenses to average net assets     1.98 %     2.00 %     1.97 %     1.94 %     2.05 %     2.09 %
Ratio of expense reimbursements to average net assets     (0.69 )%     (0.70 )%     (0.69 )%     (0.82 )%     (0.88 )%     (0.51 )%
Ratio of net expenses to average net assets     1.29 %     1.30 %     1.28 %     1.12 %     1.17 %     1.58 %
Ratio of net investment loss to average net assets     (0.08 )%     (0.15 )%     (0.54 )%     (0.39 )%     (0.18 )%     (0.30 )%
Portfolio turnover rate     81.18 %     52.23 %     49.36 %     75.27 %     105.22 %     151.99 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger International Focus Fund received a Fair Fund distribution of $159,091, which contributed approximately 0.11% to its annual return.

 

See Notes to Financial Statements.

 

- 135 -

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger International Focus Fund   Class C  
    Six Months                                
    Ended     Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
    4/30/2024(a)
  10/31/2023     10/31/2022     10/31/2021     10/31/2020     10/31/2019  
Net asset value, beginning of period   $ 12.69     $ 12.37     $ 20.94     $ 15.68     $ 13.11     $ 12.07  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.07 )     (0.15 )     (0.22 )     (0.24 )     (0.15 )     (0.12 )
Net realized and unrealized gain (loss) on investments     2.29       0.47       (6.38 )     5.50       3.29       1.41  
Total from investment operations     2.22       0.32       (6.60 )     5.26       3.14       1.29  
Dividends from net investment income     —       —       —       —       (0.57 )     (0.25 )
Distributions from net realized gains     —       —       (1.97 )     —       —       —  
Net asset value, end of period   $ 14.91     $ 12.69     $ 12.37     $ 20.94     $ 15.68     $ 13.11  
Total return(c)     17.40 %     2.67 %     (34.82 )%     33.86 %(d)     24.68 %     11.07 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 1,167     $ 1,138     $ 1,594     $ 4,368     $ 2,760     $ 3,603  
Ratio of net expenses to average net assets     2.23 %     2.21 %     2.09 %     1.97 %     2.13 %     2.23 %
Ratio of net investment loss to average net assets     (1.03 )%     (1.07 )%     (1.40 )%     (1.23 )%     (1.13 )%     (0.99 )%
Portfolio turnover rate     81.18 %     52.23 %     49.36 %     75.27 %     105.22 %     151.99 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger International Focus Fund received a Fair Fund distribution of $159,091, which contributed approximately 0.11% to its annual return.

 

See Notes to Financial Statements.

 

- 136 -

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger International Focus Fund   Class I  
    Six Months                                
    Ended     Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
    4/30/2024(a)
  10/31/2023     10/31/2022     10/31/2021     10/31/2020     10/31/2019  
Net asset value, beginning of period   $ 15.83     $ 15.28     $ 25.20     $ 18.72     $ 15.54     $ 14.31  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment income (loss)(b)     (0.01 )     (0.02 )     (0.08 )     (0.10 )     (0.02 )     0.01  
Net realized and unrealized gain (loss) on investments     2.86       0.57       (7.87 )     6.58       3.93       1.67  
Total from investment operations     2.85       0.55       (7.95 )     6.48       3.91       1.68  
Dividends from net investment income     —       —       —       —       (0.73 )     (0.45 )
Distributions from net realized gains     —       —       (1.97 )     —       —       —  
Net asset value, end of period   $ 18.68     $ 15.83     $ 15.28     $ 25.20     $ 18.72     $ 15.54  
Total return(c)     18.00 %     3.60 %     (34.28 )%     34.94 %(d)     25.98 %     12.41 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 1,307     $ 1,104     $ 1,061     $ 591     $ 642     $ 970  
Ratio of gross expenses to average net assets     1.28 %     1.32 %     1.30 %     1.24 %     1.34 %     1.48 %
Ratio of expense reimbursements to average net assets     —       (0.04 )%     (0.05 )%     (0.05 )%     (0.27 )%     (0.36 )%
Ratio of net expenses to average net assets     1.28 %     1.28 %     1.25 %     1.19 %     1.07 %     1.12 %
Ratio of net investment income (loss) to average net assets     (0.07 )%     (0.12 )%     (0.44 )%     (0.45 )%     (0.10 )%     0.06 %
Portfolio turnover rate     81.18 %     52.23 %     49.36 %     75.27 %     105.22 %     151.99 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger International Focus Fund received a Fair Fund distribution of $159,091, which contributed approximately 0.11% to its annual return.

 

See Notes to Financial Statements.

 

- 137 -

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger International Focus Fund   Class Z  
    Six Months                                
    Ended     Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
    4/30/2024(a)
  10/31/2023     10/31/2022     10/31/2021     10/31/2020     10/31/2019  
Net asset value, beginning of period   $ 16.19     $ 15.55     $ 25.52     $ 18.90     $ 15.69     $ 14.46  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment income (loss)(b)     0.02       0.04       (0.02 )     (0.03 )     — (c)     0.05  
Net realized and unrealized gain (loss) on investments     2.93       0.60       (7.98 )     6.65       3.98       1.67  
Total from investment operations     2.95       0.64       (8.00 )     6.62       3.98       1.72  
Dividends from net investment income     (0.03 )     —       —       —       (0.77 )     (0.49 )
Distributions from net realized gains     —       —       (1.97 )     —       —       —  
Net asset value, end of period   $ 19.11     $ 16.19     $ 15.55     $ 25.52     $ 18.90     $ 15.69  
Total return(d)     18.27 %     4.12 %     (34.03 )%     35.34 %(e)     26.23 %     12.64 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 18,155     $ 34,923     $ 14,528     $ 28,264     $ 12,621     $ 13,462  
Ratio of gross expenses to average net assets     0.95 %     1.00 %     0.95 %     0.92 %     1.02 %     1.10 %
Ratio of expense reimbursements to average net assets     (0.08 )%     (0.12 )%     (0.09 )%     (0.03 )%     (0.13 )%     (0.21 )%
Ratio of net expenses to average net assets     0.87 %     0.88 %     0.86 %     0.89 %     0.89 %     0.89 %
Ratio of net investment income (loss) to average net assets     0.21 %     0.21 %     (0.13 )%     (0.13 )%     0.01 %     0.36 %
Portfolio turnover rate     81.18 %     52.23 %     49.36 %     75.27 %     105.22 %     151.99 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.
(e) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger International Focus Fund received a Fair Fund distribution of $159,091, which contributed approximately 0.11% to its annual return.

 

See Notes to Financial Statements.

 

- 138 -

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Health Sciences Fund   Class A  
    Six Months                                
    Ended     Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
    4/30/2024(a)
  10/31/2023     10/31/2022     10/31/2021     10/31/2020     10/31/2019  
Net asset value, beginning of period   $ 18.22     $ 20.85     $ 36.66     $ 31.75     $ 26.55     $ 28.04  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.07 )     (0.12 )     (0.07 )     (0.21 )     (0.09 )     (0.09 )
Net realized and unrealized gain (loss) on investments     2.94       (2.51 )     (8.74 )     8.87       7.20       0.48  
Total from investment operations     2.87       (2.63 )     (8.81 )     8.66       7.11       0.39  
Distributions from net realized gains     —       —       (7.00 )     (3.75 )     (1.91 )     (1.88 )
Net asset value, end of period   $ 21.09     $ 18.22     $ 20.85     $ 36.66     $ 31.75     $ 26.55  
Total return(c)     15.75 %     (12.61 )%     (27.31 )%     29.12 %(d)     28.09 %     1.96 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 67,707     $ 65,337     $ 91,059     $ 151,514     $ 127,925     $ 108,095  
Ratio of net expenses to average net assets     1.26 %     1.13 %     1.05 %     1.00 %     1.04 %     1.12 %
Ratio of net investment loss to average net assets     (0.67 )%     (0.57 )%     (0.30 )%     (0.63 )%     (0.30 )%     (0.34 )%
Portfolio turnover rate     133.60 %     305.60 %     240.89 %     152.78 %     131.29 %     148.78 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Health Sciences Fund received a Fair Fund distribution of $179,832, which contributed approximately 0.07% to its annual return.

 

See Notes to Financial Statements.

 

- 139 -

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Health Sciences Fund   Class C  
    Six Months                                
    Ended     Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
    4/30/2024(a)
  10/31/2023     10/31/2022     10/31/2021     10/31/2020     10/31/2019  
Net asset value, beginning of period   $ 11.33     $ 13.08     $ 26.11     $ 23.74     $ 20.44     $ 22.21  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment loss(b)     (0.10 )     (0.18 )     (0.16 )     (0.34 )     (0.23 )     (0.23 )
Net realized and unrealized gain (loss) on investments     1.83       (1.57 )     (5.87 )     6.46       5.44       0.34  
Total from investment operations     1.73       (1.75 )     (6.03 )     6.12       5.21       0.11  
Distributions from net realized gains     —       —       (7.00 )     (3.75 )     (1.91 )     (1.88 )
Net asset value, end of period   $ 13.06     $ 11.33     $ 13.08     $ 26.11     $ 23.74     $ 20.44  
Total return(c)     15.27 %     (13.38 )%     (27.85 )%     28.11 %(d)     27.12 %     1.20 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 4,583     $ 4,802     $ 7,828     $ 14,334     $ 11,862     $ 10,963  
Ratio of net expenses to average net assets     2.15 %     1.95 %     1.84 %     1.76 %     1.81 %     1.89 %
Ratio of net investment loss to average net assets     (1.57 )%     (1.39 )%     (1.10 )%     (1.39 )%     (1.07 )%     (1.12 )%
Portfolio turnover rate     133.60 %     305.60 %     240.89 %     152.78 %     131.29 %     148.78 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Does not reflect the effect of sales charges, if applicable.
(d) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Health Sciences Fund received a Fair Fund distribution of $179,832, which contributed approximately 0.07% to its annual return.

 

See Notes to Financial Statements.

 

- 140 -

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger Health Sciences Fund   Class Z  
    Six Months                                
    Ended     Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
    4/30/2024(a)
  10/31/2023     10/31/2022     10/31/2021     10/31/2020     10/31/2019  
Net asset value, beginning of period   $ 18.63     $ 21.24     $ 37.09     $ 31.99     $ 26.69     $ 28.09  
INCOME FROM INVESTMENT OPERATIONS:                                                
Net investment income (loss)(b)     (0.02 )     (0.04 )     — (c)     (0.11 )     — (c)     0.01  
Net realized and unrealized gain (loss) on investments     3.01       (2.57 )     (8.85 )     8.96       7.25       0.47  
Total from investment operations     2.99       (2.61 )     (8.85 )     8.85       7.25       0.48  
Dividends from net investment income     —       —       —       —       (0.04 )     —  
Distributions from net realized gains     —       —       (7.00 )     (3.75 )     (1.91 )     (1.88 )
Net asset value, end of period   $ 21.62     $ 18.63     $ 21.24     $ 37.09     $ 31.99     $ 26.69  
Total return(d)     16.05 %     (12.29 )%     (27.05 )%     29.53 %(e)     28.50 %     2.34 %
RATIOS/SUPPLEMENTAL DATA:                                                
Net assets, end of period (000’s omitted)   $ 36,348     $ 47,725     $ 78,928     $ 184,972     $ 131,109     $ 77,023  
Ratio of gross expenses to average net assets     0.90 %     0.78 %     0.72 %     0.68 %     0.71 %     0.79 %
Ratio of expense reimbursements to average net assets     (0.13 )%     (0.03 )%     —       —       —       (0.04 )%
Ratio of net expenses to average net assets     0.77 %     0.75 %     0.72 %     0.68 %     0.71 %     0.75 %
Ratio of net investment income (loss) to average net assets     (0.17 )%     (0.19 )%     0.01 %     (0.31 )%     (0.01 )%     0.02 %
Portfolio turnover rate     133.60 %     305.60 %     240.89 %     152.78 %     131.29 %     148.78 %

 

(a) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.
(e) Pursuant to the U.S. Securities and Exchange Commission’s Rules on Fair Fund and Disgorgement Plans, the Alger Health Sciences Fund received a Fair Fund distribution of $179,832, which contributed approximately 0.07% to its annual return.

 

See Notes to Financial Statements.

 

- 141 -

 

 

THE ALGER FUNDS 

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger AI Enablers & Adopters Fund   Class A  
    From 4/4/2024  
    (commencement  
    of operations) to  
      4/30/2024(a)  
Net asset value, beginning of period   $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:        
Net investment income(b)     — (c)
Net realized and unrealized loss on investments     (0.41 )
Total from investment operations     (0.41 )
Net asset value, end of period   $ 9.59  
Total return(d)     (4.10 )%
RATIOS/SUPPLEMENTAL DATA:        
Net assets, end of period (000’s omitted)   $ 96  
Ratio of gross expenses to average net assets     12.33 %
Ratio of expense reimbursements to average net assets     (11.53 )%
Ratio of net expenses to average net assets     0.80 %
Ratio of net investment income to average net assets     0.26 %
Portfolio turnover rate     10.81 %

 

(a) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the one month then ended.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 142 - 

 

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger AI Enablers & Adopters Fund     Class C  

   

From 4/4/2024
(commencement
of operations) to
4/30/2024(a)
Net asset value, beginning of period   $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:        
Net investment income(b)     — (c)
Net realized and unrealized loss on investments     (0.41 )
Total from investment operations     (0.41 )
Net asset value, end of period   $ 9.59  
Total return(d)     (4.10 )%
RATIOS/SUPPLEMENTAL DATA:        
Net assets, end of period (000’s omitted)   $ 96  
Ratio of gross expenses to average net assets     13.09 %
Ratio of expense reimbursements to average net assets     (11.54 )%
Ratio of net expenses to average net assets     1.55 %
Ratio of net investment loss to average net assets     (0.48 )%
Portfolio turnover rate     10.81 %

 

(a) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the one month then ended.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 143 -

 

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

  

Alger AI Enablers & Adopters Fund     Class I  

   

From 4/4/2024
(commencement
of operations) to

4/30/2024(a)
Net asset value, beginning of period   $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:        
Net investment income(b)     — (c)
Net realized and unrealized loss on investments     (0.41 )
Total from investment operations     (0.41 )
Net asset value, end of period   $ 9.59  
Total return(d)     (4.10 )%
RATIOS/SUPPLEMENTAL DATA:        
Net assets, end of period (000’s omitted)   $ 96  
Ratio of gross expenses to average net assets     7.19 %
Ratio of expense reimbursements to average net assets     (6.39 )%
Ratio of net expenses to average net assets     0.80 %
Ratio of net investment income to average net assets     0.27 %
Portfolio turnover rate     10.81 %

 

(a) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the one month then ended.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 144 -

 

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger AI Enablers & Adopters Fund     Class Y  

   

From 4/4/2024
(commencement
of operations) to

4/30/2024(a)
Net asset value, beginning of period   $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:        
Net investment income(b)     — (c)
Net realized and unrealized loss on investments     (0.41 )
Total from investment operations     (0.41 )
Net asset value, end of period   $ 9.59  
Total return(d)     (4.00 )%
RATIOS/SUPPLEMENTAL DATA:        
Net assets, end of period (000’s omitted)   $ 96  
Ratio of gross expenses to average net assets     5.67 %
Ratio of expense reimbursements to average net assets     (5.12 )%
Ratio of net expenses to average net assets     0.55 %
Ratio of net investment income to average net assets     0.50 %
Portfolio turnover rate     10.81 %

 

(a) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the one month then ended.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 145 -

 

THE ALGER FUNDS

Financial Highlights for a share outstanding throughout the period (Unaudited)

 

 

Alger AI Enablers & Adopters Fund     Class Z  

   

From 4/4/2024
(commencement
of operations) to

4/30/2024(a)
Net asset value, beginning of period   $ 10.00  
INCOME FROM INVESTMENT OPERATIONS:        
Net investment income(b)     — (c)
Net realized and unrealized loss on investments     (0.41 )
Total from investment operations     (0.41 )
Net asset value, end of period   $ 9.59  
Total return(d)     (4.00 )%
RATIOS/SUPPLEMENTAL DATA:        
Net assets, end of period (000’s omitted)   $ 2,780  
Ratio of gross expenses to average net assets     3.14 %
Ratio of expense reimbursements to average net assets  
(2.59 )%
Ratio of net expenses to average net assets     0.55 %
Ratio of net investment income to average net assets     0.50 %
Portfolio turnover rate     10.81 %

 

(a) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the one month then ended.
(b) Amount was computed based on average shares outstanding during the period.
(c) Amount was less than $0.005 per share.
(d) Does not reflect the effect of sales charges, if applicable.

 

See Notes to Financial Statements.

 

- 146 -

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited)

 

 

NOTE 1 — General:

 

 

The Alger Funds (the “Trust”) is an open-end registered investment company organized as a business trust under the laws of the Commonwealth of Massachusetts. The Trust qualifies as an investment company as defined in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification 946 – Financial Services – Investment Companies. The Trust operates as a series company currently offering an unlimited number of shares of beneficial interest in twelve series — Alger Capital Appreciation Fund, Alger Concentrated Equity Fund, Alger Growth & Income Fund, Alger 35 Fund, Alger Mid Cap Focus Fund, Alger Mid Cap Growth Fund, Alger Small Cap Growth Fund, Alger Small Cap Focus Fund, Alger Weatherbie Specialized Growth Fund, Alger International Focus Fund, Alger Health Sciences Fund and Alger AI Enablers & Adopters Fund (collectively, the “Funds” or individually, each a “Fund”). Alger Capital Appreciation Fund, Alger Concentrated Equity Fund, Alger 35 Fund, Alger Mid Cap Focus Fund, Alger Mid Cap Growth Fund, Alger Small Cap Growth Fund, Alger Small Cap Focus Fund, Alger Weatherbie Specialized Growth Fund, Alger International Focus Fund, Alger Health Sciences Fund and Alger AI Enablers & Adopters Fund normally invest primarily in equity securities and each has an investment objective of long-term capital appreciation. Alger Growth & Income Fund also normally invests primarily in equity securities and has an investment objective of both capital appreciation and current income.

 

Each Fund offers one or more of the following share classes: Class A, B, C, I, Y and Z. Class A shares are generally subject to an initial sales charge while Class B and C shares are generally subject to a deferred sales charge. Class B shares will automatically convert to Class A shares eight years after the end of the calendar month in which the order to purchase was accepted. The conversion is completed without the imposition of any sales charges or other fees. Class C shares will automatically convert to Class A shares on the fifth business day of the month following the eighth anniversary of the purchase date of a shareholder’s Class C shares, without the imposition of any sales load, fee or other charge. Class B and C shares held at certain dealers may not convert to Class A shares or may be converted on a different schedule. At conversion, a proportionate amount of shares representing reinvested dividends and distributions will also be converted into Class A shares. Effective August 27, 2019, Class C shares were closed to direct shareholders and are only available for purchase through certain financial intermediaries and group retirement plan recordkeeping platforms. Class I, Y and Z shares are generally sold to institutional investors and are sold without an initial or deferred sales charge. Class Y and Z shares are generally subject to a minimum initial investment of $500,000. Each class has identical rights to assets and earnings, except that each share class bears the pro rata allocation of the Fund’s expenses other than a class expense (not including advisory or custodial fees or other expenses related to the management of the Fund’s assets).

 

- 147 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

Alger Group Holdings, LLC the parent company of Fred Alger Management, LLC (“Alger Management” or the “Investment Manager”) acquired Redwood Investments, LLC (“Redwood”) effective January 31, 2024. Redwood became the sub-advisor to the Alger International Focus Fund effective February 1, 2024. No changes were made to the investment objective, principal investment strategies, principal risks or investment restrictions as a result of this change.

 

Alger Concentrated Equity Fund and Alger AI Enablers & Adopters Fund each launched on April 4, 2024.

 

On May 23, 2023, the Board of Trustees of the Trust (the “Board”) approved the transition of the Funds' custodian and administrator from Brown Brothers Harriman & Company to The Bank of New York (collectively, the "Custodian"). This change became effective on January 29, 2024.

 

NOTE 2 — Significant Accounting Policies:

 

 

(a) Investment Valuation: The Funds value their financial instruments at fair value using independent dealers or pricing services under policies approved by the Board. Investments held by 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).

 

The Board has designated, pursuant to Rule 2a-5 under the Investment Company Act of 1940, as amended (the “1940 Act”), the Funds' investment adviser, Fred Alger Management, LLC (“Alger Management” or the “Investment Manager”) as its valuation designee (the “Valuation Designee”) to make fair value determinations subject to the Board’s review and oversight. The Valuation Designee has established a Valuation Committee (“Committee”) comprised of representatives of the Investment Manager and officers of the Funds to assist in performing the duties and responsibilities of the Valuation Designee.

 

The Valuation Designee has established valuation processes including but not limited to: (i) making fair value determinations when market quotations for financial instruments are not readily available in accordance with valuation policies and procedures adopted by the Board; (ii) assessing and managing material risks associated with fair valuation determinations; (iii) selecting, applying and testing fair valuation methodologies; and (iv) overseeing and evaluating pricing services used by the Funds. The Valuation Designee regularly reports its fair valuation determinations and related valuation information to the Board. The Committee generally meets quarterly and on an as-needed basis to review and evaluate the effectiveness of the valuation policies and procedures in accordance with the requirements of Rule 2a-5.

 

- 148 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

Investments in short-term securities held by the Funds having a remaining maturity of sixty days or less are valued at amortized cost which approximates market value. Investments in other open-end investment companies registered under the 1940 Act are valued at such investment companies' net asset value per share.

 

Equity securities, including traded rights, warrants and option contracts for which valuation information is readily available, are valued at the last quoted sales price or official closing price on the primary market or exchange on which they are traded as reported by an independent pricing service. In the absence of quoted sales, such securities are generally valued at the bid price or, in the absence of a recent bid price, the equivalent as obtained from one or more of the major market makers for the securities to be valued.

 

Securities in which the Funds invest may be traded in foreign markets that close before the close of the NYSE. Developments that occur between the close of the foreign markets and the close of the NYSE may result in adjustments to the closing foreign prices to reflect what the Valuation Designee, through its Committee, 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 NYSE is open.

 

FASB 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, amortized cost, interest rates, prepayment speeds, credit risk, etc.)

 


 • Level 3 – significant unobservable inputs (including the Funds' own assumptions in determining the fair value of investments)

 

- 149 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

The Funds' valuation techniques are generally consistent with either the market or the income approach to fair value. The market approach considers prices and other relevant information generated by market transactions involving identical or comparable assets to measure fair value. The income approach converts future amounts to a current, or discounted, single amount. These fair value measurements are determined on the basis of the value indicated by current market expectations about such future events. Inputs for Level 1 include exchange-listed prices and broker quotes in an active market. Inputs for Level 2 include the last trade price in the case of a halted security, an exchange-listed price which has been adjusted for fair value factors, and prices of closely related securities. Additional Level 2 inputs include an evaluated price which is based upon a compilation of observable market information such as spreads for fixed income and preferred securities. Inputs for Level 3 include, but are not limited to, revenue multiples, earnings before interest, taxes, depreciation and amortization (“EBITDA”) multiples, discount rates, time to exit and the probabilities of success of certain outcomes. Such unobservable market information may be obtained from a company’s financial statements and from industry studies, market data, and market indicators such as benchmarks and indexes. Because of the inherent uncertainty and often limited markets for restricted securities, the valuations assigned to such securities by the Funds may significantly differ from the valuations that would have been assigned by the Funds had there been an active market for such securities.

 

(b) Cash and Cash Equivalents: Cash and cash equivalents include U.S. dollars and foreign cash.

 

(c) Securities Transactions and Investment Income: Securities transactions are recorded on a trade date basis. Realized gains and losses from securities transactions are recorded on the identified cost basis. Dividend income is recognized on the ex-dividend date and interest income is recognized on the accrual basis.

 

Premiums and discounts on debt securities purchased are amortized or accreted over the lives of the respective securities.

 

(d) Foreign Currency Transactions: The books and records of the Funds are maintained in U.S. dollars. Foreign currencies, investments and other assets and liabilities are translated into U.S. dollars at the prevailing rates of exchange on the valuation date. Purchases and sales of investment securities and income and expenses are translated into U.S. dollars at the prevailing exchange rates on the respective dates of such transactions.

 

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

 

- 150 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

(e) Lending of Fund Securities: The Funds may lend their securities to financial institutions, provided that the market value of the securities loaned will not at any time exceed one third of a Fund’s total assets including borrowings, as defined in its prospectuses. The Funds earn fees on the securities loaned, which are included in income from securities lending in the accompanying Statements of Operations. In order to protect against the risk of failure by the borrower to return the securities loaned or any delay in the delivery of such securities, the loan is collateralized by cash or securities that are maintained with the Custodian, in an amount equal to at least 102 percent of the current market value of U.S. loaned securities or 105 percent for non U.S. loaned securities. The market value of the loaned securities is determined at the close of business of the Funds. Any required additional collateral is delivered to the Custodian each day and any excess collateral is returned to the borrower on the next business day. In the event the borrower fails to return the loaned securities when due, the Funds may take the collateral to replace the securities. If the value of the collateral is less than the purchase cost of replacement securities, the Custodian shall be responsible for any shortfall, but only to the extent that the shortfall is not due to any diminution in collateral value, as defined in the securities lending agreement. The Funds are required to maintain the collateral in a segregated account and determine its value each day until the loaned securities are returned. Cash collateral may be invested as determined by the Funds. Collateral is returned to the borrower upon settlement of the loan. There were no securities loaned as of April 30, 2024.

 

(f) Dividends to Shareholders: Dividends and distributions payable to shareholders are recorded by the Funds on the ex-dividend date. The Funds declare and pay dividends from net investment income, if available, annually except that Alger Growth & Income Fund declares and pays such dividends quarterly. With respect to all Funds, dividends from net realized gains, offset by any loss carryforward, are declared and paid annually after the end of the fiscal year in which they were earned. Each share class is treated separately in determining the amount of dividends from net investment income payable to holders of its shares.

 

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

 

- 151 -

 

THE ALGER FUNDS

 NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

(g) Federal Income Taxes: It is each Fund’s policy to comply with the requirements of the U.S. Internal Revenue Code Subchapter M applicable to regulated investment companies and to distribute all of its taxable income to its shareholders. Provided that the Funds maintain such compliance, no U.S. federal income tax provision is required. Each Fund is treated as a separate entity for the purpose of determining such compliance.

 

FASB Accounting Standards Codification 740 – Income Taxes (“ASC 740”) requires the Funds to measure and recognize in their financial statements the benefit of a tax position taken (or expected to be taken) on an income tax return if such position will more likely than not be sustained upon examination based on the technical merits of the position. No tax years are currently under investigation. The Funds file income tax returns in the U.S. Federal jurisdiction, as well as the New York State and New York City jurisdictions. The statute of limitations on the Funds' tax returns remains open for the tax years 2020-2023. Management does not believe there are any uncertain tax positions that require recognition of a tax liability.

 

(h) Allocation Methods: The Trust accounts separately for the assets, liabilities and operations of each Fund. Expenses directly attributable to each Fund are charged to that Fund's operations; expenses which are applicable to all Funds are allocated among them based on net assets. Income, realized and unrealized gains and losses, and expenses of each Fund are allocated among the Fund’s classes based on relative net assets, with the exception of distribution fees, transfer agency fees, and shareholder servicing and related fees.

 

(i) Estimates: These financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America, which require using estimates and assumptions that affect the reported amounts therein. This unaudited Semi-Annual Report reflects all adjustments that are, in the opinion of management, necessary to present a fair statement of results of the semi-annual period. Actual results may differ from those estimates. All such estimates are of a normal recurring nature.

 

NOTE 3 — Investment Advisory Fees and Other Transactions with Affiliates:

 

 

(a) Investment Advisory Fees: Fees incurred by each Fund, pursuant to the provisions of the Trust's Investment Advisory Agreement with the Investment Manager, are payable monthly and computed based on the following rates. The actual rate paid as a percentage of average daily net assets, for the six months ended April 30, 2024, is set forth below under the heading “Actual Rate”:

 

- 152 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

    Tier 1     Tier 2     Tier 3     Tier 4     Tier 5     Actual Rate  
Alger Capital Appreciation Fund(a)     0.81 %     0.65 %     0.60 %     0.55 %     0.45 %     0.81 %
Alger Concentrated Equity Fund(b)     0.45       —       —       —       —       0.45  
Alger Growth & Income Fund(b)     0.50       —       —       —       —       0.50  
Alger 35 Fund(b)     0.45       —       —       —       —       0.45  
Alger Mid Cap Focus Fund(c)     0.70       0.50       —       —       —       0.69  
Alger Mid Cap Growth Fund(d)     0.76       0.70       —       —       —       0.76  
Alger Small Cap Growth Fund(d)     0.81       0.75       —       —       —       0.81  
Alger Small Cap Focus Fund(b)     0.75       —       —       —       —       0.75  
Alger Weatherbie Specialized Growth Fund(d)     0.81       0.75       —       —       —       0.81  
Alger International Focus Fund(d)     0.71       0.60       —       —       —       0.71  
Alger Health Sciences Fund(b)     0.55       —       —       —       —       0.55  
Alger AI Enablers & Adopters Fund(b)     0.45       —       —       —       —       0.45  

 

(a) Tier 1 rate is paid on assets up to $2 billion, Tier 2 rate is paid on assets between $2 billion and $3 billion, Tier 3 rate is paid on assets between $3 billion and $4 billion, Tier 4 rate is paid on assets between $4 billion and $5 billion, and Tier 5 rate is paid on assets in excess of $5 billion.
(b) Tier 1 rate is paid on all assets.
(c) Tier 1 rate is paid on assets up to $250 million, and Tier 2 rate is paid on assets in excess of $250 million.
(d) Tier 1 rate is paid on assets up to $1 billion and Tier 2 rate is paid on assets in excess of $1 billion.

 

The sub-adviser to the Alger Weatherbie Specialized Growth Fund Weatherbie Capital, LLC (“Weatherbie”), an affiliate of Alger Management, is paid a sub-advisory fee from the advisory fee that Alger Management receives at no additional cost to the Alger Weatherbie Specialized Growth Fund. The sub-advisory fee is equal to 70% of the net management fee paid by the Alger Weatherbie Specialized Growth Fund to Alger Management with respect to the assets sub-advised by Weatherbie. For the six months ended April 30, 2024, Alger Management paid a sub-advisory fee of $1,504,933 to Weatherbie.

 

The sub-adviser to the Alger International Focus Fund, Redwood, is paid a sub-advisory fee from the advisory fee that Alger Management receives at no additional cost to the Fund. The sub-advisory fee is equal to 100% of the net management fee paid by the Fund to Alger Management with respect to the assets sub-advised by Redwood. For the six months ended April 30, 2024, Alger Management paid a sub-advisory fee of $268,349 to Redwood.

 

- 153 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

Alger Management has contractually agreed to waive and/or reimburse Fund expenses (excluding advisory fees, custody fees, for all Funds other than Alger Concentrated Equity Fund and Alger AI Enablers and Adopters Fund, acquired fund fees and expenses, dividend expense on short sales, net borrowing costs, interest, taxes, brokerage and extraordinary expenses, to the extent applicable) through October 31, 2025 to the extent necessary to limit other expenses and any other applicable share class-specific expenses to the rates, based on average daily net assets, as listed in the table below.

 

                                  FEES WAIVED /  
                                  REIMBURSED  
                                  FOR THE SIX  
    CLASS     MONTHS ENDED  
    A     C     I     Y     Z    
April 30, 2024
  
Alger Capital Appreciation Fund     — %     — %     — %     — %     0.04 %   $ 292,921  
Alger Concentrated Equity Fund     0.35       1.10       0.35       0.10       0.10       7,256  
Alger Growth & Income Fund     —       —       —       —       —       0  
Alger 35 Fund(a)     —       —       —       —       0.10       52,899  
Alger Mid Cap Focus Fund     0.53       1.28       0.58       0.07       0.37       3,098  
Alger Mid Cap Growth Fund     —       —       —       —       0.23       34,685  
Alger Small Cap Growth Fund     —       —       —       0.03       0.18       21,907  
Alger Small Cap Focus Fund     —       —       —       0.10       —       56,954  
Alger Weatherbie Specialized Growth Fund     —       —       —       0.07       —       22,168  
Alger International Focus Fund     —       —       0.54       —       0.13       60,766  
Alger Health Sciences Fund     —       —       —       —       0.20       25,937  
Alger AI Enablers & Adopters Fund     0.35       1.10       0.35       0.10       0.10       7,262  

 

(a) Alger Management has agreed to limit total annual operating expenses, excluding advisory fees, for the Alger 35 Fund, for the life of the Fund.

 

Alger Management may recoup any fees waived or expenses reimbursed pursuant to the contract; however, a Fund will only make repayments to the Investment Manager if such repayment does not cause a Fund’s expense ratio after the repayment is taken into account, to exceed both (i) the expense cap in place at the time such amounts were waived or reimbursed, and (ii) a Fund’s current expense cap. Such recoupment is limited to two years from the date the amount is initially waived or reimbursed. For the six months ended April 30, 2024, there were no recoupments made by the Investment Manager.

 

In addition, Alger Management voluntarily reduced its 12b-1 fee effective April 1, 2019, for the Class B shares of the Alger Mid Cap Growth Fund, Alger Small Cap Growth Fund and Alger International Focus Fund by $34,686, $8,112 and $47,795, respectively, for the six months ended April 30, 2024.

 

(b) Administration Fees: Fees incurred by each Fund, pursuant to the provisions of the Trust's Fund Administration Agreement with Alger Management, are payable monthly and computed based on the average daily net assets of each Fund at the annual rate of 0.0275%.

 

- 154 -

 

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued) 

 

 

(c) Distribution Fees:

 

Class A Shares: The Trust has adopted a Plan of Distribution pursuant to which each Fund pays Fred Alger & Company, LLC, each Fund's distributor and an affiliate of the Investment Manager (the “Distributor” or “Alger LLC”), a fee at the annual rate of 0.25% of the respective average daily net assets of the Class A shares of the designated Fund to compensate Alger LLC for its activities and expenses incurred in distributing and/or administering the Class A shares and/or shareholder servicing. The fees paid may be more or less than the expenses incurred by Alger LLC.

 

Class B Shares: The Trust has adopted a Plan of Distribution pursuant to which Class B shares of each Fund issuing such shares reimburse Alger LLC for costs and expenses incurred by Alger LLC in connection with advertising, marketing and selling the Class B shares, and shareholder servicing, not to exceed an annual rate of 1% of the respective average daily net assets of the Class B shares of the designated Fund. If in any month, the costs incurred by Alger LLC relating to the Class B shares are in excess of the distribution fees charged to the Class B shares of the Fund, the excess may be carried forward, with interest, and sought to be reimbursed in future periods. As of April 30, 2024, such excess carried forward was $13,899,767, $21,910,807 and $21,667,507 for Class B shares of Alger Mid Cap Growth Fund, Alger Small Cap Growth Fund and Alger International Focus Fund, respectively. Contingent deferred sales charges imposed on redemptions of Class B shares will reduce the amount of distribution expenses for which reimbursement may be sought. See Note 3(d) below.

 

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

 

Class I Shares: The Trust has adopted a Distribution Plan pursuant to which Class I shares of each Fund issuing such shares pays Alger LLC a fee at the annual rate of 0.25% of the average daily net assets of the Fund’s Class I shares to compensate Alger LLC for its activities and expenses incurred in distributing the Class I shares and/or shareholder servicing. Fees paid may be more or less than the expenses incurred by Alger LLC.

 

- 155 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

(d) Sales Charges: Sales of shares of the Funds may be subject to contingent deferred sales charges. The contingent deferred sales charges are used by Alger LLC to offset distribution expenses previously incurred. Sales charges do not represent expenses of the Trust. For the six months ended April 30, 2024, contingent deferred sales charges imposed, all of which were retained by Alger LLC, were as follows:

 

   

CONTINGENT

  DEFERRED SALES

CHARGES

  
Alger Capital Appreciation Fund   $ 1,267  
Alger Concentrated Equity Fund     —  
Alger Growth & Income Fund     —  
Alger 35 Fund     —  
Alger Mid Cap Focus Fund     90  
Alger Mid Cap Growth Fund     234  
Alger Small Cap Growth Fund     1,385  
Alger Small Cap Focus Fund     2,240  
Alger Weatherbie Specialized Growth Fund     761  
Alger International Focus Fund     1,192  
Alger Health Sciences Fund     339  
Alger AI Enablers & Adopters Fund     —  

 

(e) Brokerage Commissions: During the six months ended April 30, 2024, Alger Capital Appreciation Fund, Alger Concentrated Equity Fund, Alger Growth & Income Fund, Alger 35 Fund, Alger Mid Cap Focus Fund, Alger Mid Cap Growth Fund, Alger Small Cap Growth Fund, Alger Small Cap Focus Fund, Alger International Focus Fund, Alger Health Sciences Fund and Alger AI Enablers & Adopters Fund paid Alger LLC $43,885, $30, $144, $6,266, $8,987, $11,621, $16,697, $53,812, $1,404, $7,376, and $15, respectively, in connection with securities transactions.

 

(f) Shareholder Administrative Fees: The Trust has entered into a Shareholder Administrative Services Agreement with Alger Management to compensate Alger Management for liaising with, and providing administrative oversight of, the Trust's transfer agent, and for other related services. The Funds compensate Alger Management at the annual rate of 0.0165% of their respective average daily net assets for the Class A, Class B and Class C shares and 0.01% of their respective average daily net assets for the Class I, Class Y and Class Z shares for these services.

 

Alger Management makes payments to intermediaries that provide sub-accounting services to omnibus accounts invested in the Funds. A portion of the fees paid by Alger Management to intermediaries that provide sub-accounting services are charged back to the appropriate Fund, subject to certain limitations, as approved by the Board. For the six months ended April 30, 2024, Alger Management charged back to Alger Capital Appreciation Fund, Alger Growth & Income Fund, Alger Mid Cap Focus Fund, Alger Mid Cap Growth Fund, Alger Small Cap Growth Fund, Alger Small Cap Focus Fund, Alger Weatherbie Specialized Growth Fund, Alger International Focus Fund and Alger Health Sciences Fund $281,817, $30,872, $6,223, $22,395, $32,760, $310,672, $55,350, $12,053 and $22,262, respectively, to the Fund for these services, which are included in transfer agent fees in the accompanying Statements of Operations.

 

- 156 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

(g) Trustee Fees: Each trustee who is not an “interested person” of the Trust, as defined in the 1940 Act (“Independent Trustee”), receives a fee of $165,400 per annum, paid pro rata based on net assets by each fund in the Alger Fund Complex, plus travel expenses incurred for attending board meetings. Prior to January 1, 2024, each Independent Trustee received $156,000 per annum, paid pro rata based on net assets by each fund in the Alger Fund Complex, plus travel expenses incurred for attending board meetings. The term “Alger Fund Complex” refers to the Trust, The Alger Institutional Funds, The Alger Funds II, The Alger Portfolios, Alger Global Focus Fund and The Alger ETF Trust, each of which is a registered investment company managed by Alger Management. The Independent Trustee appointed as Chairman of the Board receives additional compensation of $22,000 per annum paid pro rata based on net assets by each fund in the Alger Fund Complex. Additionally, each member of the Audit Committee receives a fee of $13,000 per annum, paid pro rata based on net assets by each fund in the Alger Fund Complex.

 

The Board has adopted a policy requiring Trustees to receive a minimum of 10% of their annual compensation in shares of one or more of the funds in the Alger Fund Complex.

 

(h) Interfund Trades: The Funds may engage in purchase and sale transactions with other funds advised by Alger Management or sub-advised by Weatherbie or Redwood. For the six months ended April 30, 2024 there were no interfund trades.

 

(i) Interfund Loans: The Funds, along with other funds in the Alger Fund Complex, may borrow money from and lend money to each other for temporary or emergency purposes. To the extent permitted under its investment restrictions, each Fund may lend uninvested cash in an amount up to 15% of its net assets to other funds in the Alger Fund Complex. If a Fund has borrowed from other funds in the Alger Fund Complex and has aggregate borrowings from all sources that exceed 10% of the Fund’s total assets, such Fund will secure all of its loans from other funds in the Alger Fund Complex. The interest rate charged on interfund loans is equal to the average of the overnight U.S. Treasury money market rate and bank loan rate available to the Funds. As of April 30, 2024, Alger Capital Appreciation Fund borrowed $13,230,264, including interest, from Alger Growth & Income Fund, an affiliated fund, at a rate of 6.26%, which was payable May 1, 2024. In addition, Alger 35 Fund borrowed $167,029, including interest, from Alger Growth & Income Fund, an affiliated fund, at a rate of 6.26%, which was payable May 1, 2024.

 

- 157 -

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

For the six months ended April 30, 2024, Alger Capital Appreciation Fund, Alger Growth & Income Fund, Alger Mid Cap Focus Fund, Alger Mid Cap Growth Fund, Alger Small Cap Growth Fund, Alger Small Cap Focus Fund, Alger Weatherbie Specialized Growth Fund and Alger Health Sciences Fund earned interfund loan interest income of $19,010, $247,819, $7,032, $1,103, $13,282, $258, $42,258 and $621, respectively, and Alger Capital Appreciation Fund, Alger 35 Fund, Alger Mid Cap Focus Fund, Alger Mid Cap Growth Fund, Alger Small Cap Growth Fund, Alger Small Cap Focus Fund, Alger International Focus Fund and Alger Health Sciences Fund incurred interfund loan interest expenses of $179,636, $138, $1,191, $210, $3,609, $85,379, $4,611 and $2,078, respectively, which are included in interest income and interest expense, respectively, in the accompanying Statements of Operations.

 

(j) Other Transactions with Affiliates: Certain officers and one Trustee of the Trust are directors and/or officers of Alger Management, the Distributor, or their affiliates. At April 30, 2024, Alger Management and its affiliated entities owned the following shares:

 

                SHARE CLASS              
    A     B     C     I     Y     Z  
Alger Capital Appreciation Fund     82,811       —       —       —       —       43,358  
Alger Concentrated Equity Fund     10,000       —       10,000       10,000       10,000       260,000  
Alger Growth & Income Fund     —       —       —       —       —       32,390  
Alger 35 Fund     —       —       —       —       —       1,593,347  
Alger Mid Cap Focus Fund     —       —       —       100,035       4,843       927,860  
Alger Mid Cap Growth Fund     —       —       —       —       —       139,187  
Alger Small Cap Growth Fund     71,063       —       —       —       36,127       106,938  
Alger Small Cap Focus Fund     —       —       —       —       787       310,266  
Alger Weatherbie Specialized Growth Fund     187,751       —       —       —       10,066       185  
Alger International Focus Fund     —       —       —       —       —       63,226  
Alger Health Sciences Fund     —       —       —       —       —       4,784  
Alger AI Enablers & Adopters Fund     10,000       —       10,000       10,000       10,000       260,000  

 

- 158 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

NOTE 4 — Securities Transactions:

 

The following summarizes the securities transactions by each Fund, other than U.S. Government securities, for the six months ended April 30, 2024:

 

    PURCHASES     SALES  
Alger Capital Appreciation Fund   $ 592,844,600     $ 914,379,172  
Alger Concentrated Equity Fund     3,572,299       105,950  
Alger Growth & Income Fund     39,602,400       1,816,730  
Alger 35 Fund     46,484,000       46,764,028  
Alger Mid Cap Focus Fund     108,484,725       152,646,685  
Alger Mid Cap Growth Fund     65,345,581       72,657,524  
Alger Small Cap Growth Fund     59,481,054       105,037,984  
Alger Small Cap Focus Fund     389,110,644       879,820,238  
Alger Weatherbie Specialized Growth Fund     126,879,676       225,694,301  
Alger International Focus Fund     125,408,549       152,006,123  
Alger Health Sciences Fund     149,734,670       170,345,314  
Alger AI Enablers & Adopters Fund     3,403,056       321,662  

 

NOTE 5 — Borrowings:

 

The Funds may borrow from the Custodian, on an uncommitted basis. Each Fund pays the Custodian a market rate of interest, generally based upon a rate of return with respect to each respective currency borrowed, taking into consideration relevant overnight and short-term reference rates and the range of distribution between and among the interest rates paid on deposits to other institutions, less applicable commissions, if any. Borrowings from the Custodian are included in Bank overdrafts in the Statements of Assets and Liabilities. The Funds may also borrow from other funds in the Alger Fund Complex, as discussed in Note 3(i). For the six months ended April 30, 2024, the Funds had the following borrowings from the Custodian and other funds in the Alger Fund Complex:

 

    AVERAGE DAILY     WEIGHTED AVERAGE  
    BORROWING     INTEREST RATE  
Alger Capital Appreciation Fund   $ 3,258,625       6.80 %
Alger Concentrated Equity Fund     —       —  
Alger Growth & Income Fund     1,300       7.33  
Alger 35 Fund     4,163       6.74  
Alger Mid Cap Focus Fund     20,466       6.08  
Alger Mid Cap Growth Fund     5,108       6.99  
Alger Small Cap Growth Fund     62,581       6.39  
Alger Small Cap Focus Fund     1,433,647       6.16  
Alger Weatherbie Specialized Growth Fund     —       —  
Alger International Focus Fund     81,319       6.82  
Alger Health Sciences Fund     38,393       6.37  
Alger AI Enablers & Adopters Fund     —       —  

 

- 159 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

The highest amount borrowed from BBH, the Custodian, and other funds in the Alger Fund Complex during the six months ended April 30, 2024 by each Fund was as follows:

 

    HIGHEST BORROWING  
Alger Capital Appreciation Fund   $ 25,569,000  
Alger Concentrated Equity Fund     —  
Alger Growth & Income Fund     345,000  
Alger 35 Fund     437,000  
Alger Mid Cap Focus Fund     1,850,000  
Alger Mid Cap Growth Fund     400,000  
Alger Small Cap Growth Fund     4,512,000  
Alger Small Cap Focus Fund     30,000,000  
Alger Weatherbie Specialized Growth Fund     262  
Alger International Focus Fund     12,000,000  
Alger Health Sciences Fund     9,437,000  
Alger AI Enablers & Adopters Fund     —  

 

- 160 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

NOTE 6 — Share Capital:

 

The Trust has an unlimited number of authorized shares of beneficial interest of $.001 par value which are presently divided into twelve series. Each series is divided into separate classes. During the six months ended April 30, 2024, and the year ended October 31, 2023, transactions of shares of beneficial interest were as follows:

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024

    

FOR THE YEAR ENDED

October 31, 2023

  
    SHARES     AMOUNT     SHARES     AMOUNT  
Alger Capital Appreciation Fund                                
Class A:                                
Shares sold     3,733,654     $ 96,005,178       3,537,512     $ 76,640,966  
Shares converted from Class C     64,819       1,796,337       84,727       1,897,301  
Dividends reinvested     —       —       1,253,214       24,437,672  
Shares redeemed     (5,046,710 )     (137,178,832 )     (10,500,273 )     (231,605,028 )
Net decrease     (1,248,237 )   $ (39,377,317 )     (5,624,820 )   $ (128,629,089 )
Class C:                                
Shares sold     776,396     $ 10,907,007       422,757     $ 5,278,761  
Shares converted to Class A     (116,016 )     (1,796,337 )     (143,727 )     (1,897,301 )
Dividends reinvested     —       —       464,915       5,355,816  
Shares redeemed     (1,214,626 )     (18,349,796 )     (3,054,719 )     (39,120,922 )
Net decrease     (554,246 )   $ (9,239,126 )     (2,310,774 )   $ (30,383,646 )
Class Z:                                
Shares sold     3,751,256     $ 105,562,376       4,779,741     $ 110,145,650  
Dividends reinvested     —       —       1,308,238       27,316,002  
Redemptions in kind*     —       —       (262,645 )     (6,841,180 )
Shares redeemed     (9,333,350 )     (282,647,626 )     (17,573,378 )     (415,558,308 )
Net decrease     (5,582,094 )   $ (177,085,250 )     (11,747,864 )   $ (284,937,836 )

 

- 161 - 

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024

  
    SHARES     AMOUNT  
Alger Concentrated Equity Fund**            
Class A:                
Shares sold     10,000     $ 100,000  
Dividends reinvested     —       —  
Shares redeemed     —       —  
Net increase     10,000     $ 100,000  
Class C:                
Shares sold     10,000     $ 100,000  
Dividends reinvested     —       —  
Shares redeemed     —       —  
Net increase     10,000     $ 100,000  
Class I:                
Shares sold     10,000     $ 100,000  
Dividends reinvested     —       —  
Shares redeemed     —       —  
Net increase     10,000     $ 100,000  
Class Y:                
Shares sold     10,000     $ 100,000  
Dividends reinvested     —       —  
Shares redeemed     —       —  
Net increase     10,000     $ 100,000  
Class Z:                
Shares sold     335,859     $ 3,345,000  
Dividends reinvested     —       —  
Shares redeemed     —       —  
Net increase     335,859     $ 3,345,000  

 

**  Inception date 4/4/24.                

 

- 162 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024

 

  

FOR THE YEAR ENDED

October 31, 2023

  
    SHARES     AMOUNT     SHARES     AMOUNT  
Alger Growth & Income Fund                                
Class A:                                
Shares sold     297,456     $ 19,188,147       527,117     $ 29,676,367  
Shares converted from Class C     6,706       432,108       5,320       310,461  
Dividends reinvested     4,411       299,042       28,256       1,585,591  
Shares redeemed     (172,894 )     (11,229,687 )     (397,006 )     (22,436,651 )
Net increase     135,679     $ 8,689,610       163,687     $ 9,135,768  
Class C:                                
Shares sold     79,429     $ 5,026,881       154,981     $ 8,440,964  
Shares converted to Class A     (6,821 )     (432,108 )     (5,409 )     (310,461 )
Dividends reinvested     317       21,131       2,984       164,188  
Shares redeemed     (48,716 )     (3,053,150 )     (135,410 )     (7,480,210 )
Net increase     24,209     $ 1,562,754       17,146     $ 814,481  
Class Z:                                
Shares sold     2,088,431     $ 136,708,760       2,022,593     $ 113,851,751  
Dividends reinvested     27,383       1,789,949       44,637       2,511,494  
Shares redeemed     (310,346 )     (20,383,514 )     (1,340,557 )     (76,801,933 )
Net increase     1,805,468     $ 118,115,195       726,673     $ 39,561,312  
                                 
Alger 35 Fund                                
Class Z:                                
Shares sold     —     $ —       68,140     $ 663,778  
Dividends reinvested     —       —       216       1,955  
Shares redeemed     (82,014 )     (991,176 )     (139,738 )     (1,342,885 )
Net decrease     (82,014 )   $ (991,176 )     (71,382 )   $ (677,152 )

 

- 163 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024

 

  

FOR THE YEAR ENDED

October 31, 2023

  
    SHARES     AMOUNT     SHARES     AMOUNT  
Alger Mid Cap Focus Fund                                
Class A:                                
Shares sold     55,999     $ 744,339       161,323     $ 1,923,171  
Dividends reinvested     —       —       —       —  
Shares redeemed     (28,435 )     (376,939 )     (288,398 )     (3,424,484 )
Net increase (decrease)     27,564     $ 367,400       (127,075 )   $ (1,501,313 )
Class C:                                
Shares sold     49,043     $ 690,499       87,481     $ 1,024,452  
Dividends reinvested     —       —       —       —  
Shares redeemed     (24,243 )     (336,672 )     (104,005 )     (1,222,301 )
Net increase (decrease)     24,800     $ 353,827       (16,524 )   $ (197,849 )
Class I:                                
Shares sold     214,974     $ 3,298,832       232,401     $ 2,784,004  
Dividends reinvested     —       —       —       —  
Shares redeemed     (269,935 )     (3,639,659 )     (4,363,723 )     (52,166,483 )
Net decrease     (54,961 )   $ (340,827 )     (4,131,322 )   $ (49,382,479 )
Class Y:                                
Shares sold     858     $ 11,409       5,023     $ 61,710  
Dividends reinvested     —       —       —       —  
Shares redeemed     (360 )     (5,227 )     (24,735 )     (300,883 )
Net increase (decrease)     498     $ 6,182       (19,712 )   $ (239,173 )
Class Z:                                
Shares sold     1,417,201     $ 20,122,363       5,274,737     $ 63,482,127  
Dividends reinvested     —       —       —       —  
Shares redeemed     (4,132,177 )     (58,235,839 )     (16,159,367 )     (195,865,987 )
Net decrease     (2,714,976 )   $ (38,113,476 )     (10,884,630 )   $ (132,383,860 )

 

- 164 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024

 

  

FOR THE YEAR ENDED

October 31, 2023

  
    SHARES     AMOUNT     SHARES     AMOUNT  
Alger Mid Cap Growth Fund                                
Class A:                                
Shares sold     259,232     $ 3,437,825       551,685     $ 6,297,530  
Shares Converted from Class B     6,487     $ 86,414       19,695     $ 227,620  
Shares converted from Class C     3,559       49,277       11,080       121,416  
Dividends reinvested     —       —       —       —  
Shares redeemed     (836,023 )     (10,944,780 )     (1,743,757 )     (20,015,215 )
Net decrease     (566,745 )   $ (7,371,264 )     (1,161,297 )   $ (13,368,649 )
Class B:                                
Shares sold     25,519     $ 203,642       58,313     $ 420,023  
Shares converted to Class A     (10,358 )     (86,414 )     (31,447 )     (227,620 )
Dividends reinvested     —       —       —       —  
Shares redeemed     (59,374 )     (494,539 )     (154,401 )     (1,104,737 )
Net decrease     (44,213 )   $ (377,311 )     (127,535 )   $ (912,334 )
Class C:                                
Shares sold     49,792     $ 358,284       44,391     $ 294,878  
Shares converted to Class A     (6,146 )     (49,277 )     (18,964 )     (121,416 )
Dividends reinvested     —       —       —       —  
Shares redeemed     (70,396 )     (531,357 )     (218,412 )     (1,437,280 )
Net decrease     (26,750 )   $ (222,350 )     (192,985 )   $ (1,263,818 )
Class Z:                                
Shares sold     542,799     $ 7,373,357       2,007,842     $ 25,149,971  
Dividends reinvested     —       —       —       —  
Shares redeemed     (379,834 )     (5,024,060 )     (973,399 )     (11,285,464 )
Net increase     162,965     $ 2,349,297       1,034,443     $ 13,864,507  

 

- 165 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024

 

  

FOR THE YEAR ENDED

October 31, 2023

  
    SHARES     AMOUNT     SHARES     AMOUNT  
Alger Small Cap Growth Fund                                
Class A:                                
Shares sold     454,914     $ 4,287,687       857,919     $ 7,430,074  
Shares Converted from Class B     3,725     $ 35,422       14,745     $ 129,808  
Shares converted from Class C     1,730       17,196       900       7,906  
Dividends reinvested     —       —       —       —  
Shares redeemed     (1,552,441 )     (14,835,729 )     (3,051,665 )     (26,597,820 )
Net decrease     (1,092,072 )   $ (10,495,424 )     (2,178,101 )   $ (19,030,032 )
Class B:                                
Shares sold     1,430     $ 9,092       16,544     $ 93,912  
Shares converted to Class A     (5,548 )     (35,422 )     (21,915 )     (129,808 )
Dividends reinvested     —       —       —       —  
Shares redeemed     (113,559 )     (712,283 )     (89,161 )     (519,896 )
Net decrease     (117,677 )   $ (738,613 )     (94,532 )   $ (555,792 )
Class C:                                
Shares sold     248,737     $ 1,416,498       434,487     $ 2,342,165  
Shares converted to Class A     (2,804 )     (17,196 )     (1,450 )     (7,906 )
Dividends reinvested     —       —       —       —  
Shares redeemed     (612,647 )     (3,542,871 )     (1,227,085 )     (6,598,276 )
Net decrease     (366,714 )   $ (2,143,569 )     (794,048 )   $ (4,264,017 )
Class Y:                                
Shares sold     57,855     $ 584,620       183,924     $ 1,677,124  
Dividends reinvested     —       —       —       —  
Shares redeemed     (633,133 )     (6,615,670 )     (181,307 )     (1,626,230 )
Net increase (decrease)     (575,278 )   $ (6,031,050 )     2,617     $ 50,894  
Class Z:                                
Shares sold     2,259,892     $ 22,232,152       5,751,027     $ 52,675,776  
Dividends reinvested     —       —       —       —  
Shares redeemed     (4,105,786 )     (40,038,823 )     (12,265,010 )     (112,843,508 )
Net decrease     (1,845,894 )   $ (17,806,671 )     (6,513,983 )   $ (60,167,732 )

 

- 166 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024

 

  

FOR THE YEAR ENDED

October 31, 2023

  
    SHARES     AMOUNT     SHARES     AMOUNT  
Alger Small Cap Focus Fund                                
Class A:                                
Shares sold     713,582     $ 12,133,399       1,586,778     $ 25,437,390  
Shares converted from Class C     1,639       29,606       4,512       73,412  
Dividends reinvested     —       —       —       —  
Shares redeemed     (2,019,646 )     (34,108,337 )     (5,797,833 )     (91,855,855 )
Net decrease     (1,304,425 )   $ (21,945,332 )     (4,206,543 )   $ (66,345,053 )
Class C:                                
Shares sold     221,838     $ 3,277,642       317,383     $ 4,418,813  
Shares converted to Class A     (1,893 )     (29,606 )     (5,180 )     (73,412 )
Dividends reinvested     —       —       —       —  
Shares redeemed     (1,219,149 )     (17,839,943 )     (2,570,357 )     (35,612,848 )
Net decrease     (999,204 )   $ (14,591,907 )     (2,258,154 )   $ (31,267,447 )
Class I:                                
Shares sold     324,792     $ 5,808,280       1,703,452     $ 28,073,282  
Dividends reinvested     —       —       —       —  
Shares redeemed     (1,011,476 )     (17,323,960 )     (6,336,814 )     (104,590,356 )
Net decrease     (686,684 )   $ (11,515,680 )     (4,633,362 )   $ (76,517,074 )
Class Y:                                
Shares sold     525,330     $ 9,300,696       3,453,919     $ 57,953,737  
Dividends reinvested     —       —       —       —  
Shares redeemed     (5,230,907 )     (98,768,926 )     (8,662,422 )     (148,617,593 )
Net decrease     (4,705,577 )   $ (89,468,230 )     (5,208,503 )   $ (90,663,856 )
Class Z:                                
Shares sold     6,388,472     $ 114,418,919       21,039,949     $ 359,111,581  
Dividends reinvested     —       —       —       —  
Shares redeemed     (23,610,451 )     (417,032,930 )     (67,854,544 )     (1,149,382,179 )
Net decrease     (17,221,979 )   $ (302,614,011 )     (46,814,595 )   $ (790,270,598 )

 

- 167 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024

 

  

FOR THE YEAR ENDED

October 31, 2023

  
    SHARES     AMOUNT     SHARES     AMOUNT  
Alger Weatherbie Specialized Growth Fund                                
Class A:                                
Shares sold     448,261     $ 5,223,644       849,539     $ 9,718,361  
Shares converted from Class C     2,818       33,476       11,630       132,822  
Dividends reinvested     —       —       —       —  
Shares redeemed     (1,464,087 )     (17,273,577 )     (2,683,927 )     (30,533,304 )
Net decrease     (1,013,008 )   $ (12,016,457 )     (1,822,758 )   $ (20,682,121 )
Class C:                                
Shares sold     176,595     $ 1,116,833       460,033     $ 2,859,283  
Shares converted to Class A     (5,236 )     (33,476 )     (21,521 )     (132,822 )
Dividends reinvested     —       —       —       —  
Shares redeemed     (1,251,724 )     (7,930,537 )     (2,148,505 )     (13,252,678 )
Net decrease     (1,080,365 )   $ (6,847,180 )     (1,709,993 )   $ (10,526,217 )
Class I:                                
Shares sold     51,051     $ 619,035       193,862     $ 2,373,638  
Dividends reinvested     —       —       —       —  
Shares redeemed     (370,859 )     (4,526,198 )     (1,406,818 )     (16,936,409 )
Net decrease     (319,808 )   $ (3,907,163 )     (1,212,956 )   $ (14,562,771 )
Class Y:                                
Shares sold     412,641     $ 5,151,396       1,187,990     $ 14,576,900  
Dividends reinvested     —       —       —       —  
Shares redeemed     (574,181 )     (7,096,677 )     (1,001,262 )     (12,055,286 )
Net increase (decrease)     (161,540 )   $ (1,945,281 )     186,728     $ 2,521,614  
Class Z:                                
Shares sold     4,668,346     $ 60,446,151       10,702,308     $ 135,652,242  
Dividends reinvested     —       —       —       —  
Shares redeemed     (10,659,525 )     (136,200,824 )     (22,330,920 )     (277,922,173 )
Net decrease     (5,991,179 )   $ (75,754,673 )     (11,628,612 )   $ (142,269,931 )

 

- 168 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024

 

  

FOR THE YEAR ENDED

October 31, 2023

  
    SHARES     AMOUNT     SHARES     AMOUNT  
Alger International Focus Fund                                
Class A:                                
Shares sold     52,792     $ 961,885       158,889     $ 2,653,129  
Shares Converted from Class B     4,263     $ 78,279       7,585     $ 127,067  
Shares converted from Class C     1,214       21,948       2,050       34,641  
Dividends reinvested     —       —       —       —  
Shares redeemed     (336,190 )     (6,068,244 )     (602,712 )     (10,140,919 )
Net decrease     (277,921 )   $ (5,006,132 )     (434,188 )   $ (7,326,082 )
Class B:                                
Shares sold     5,464     $ 86,795       9,944     $ 143,537  
Shares converted to Class A     (4,978 )     (78,279 )     (8,855 )     (127,067 )
Dividends reinvested     —       —       —       —  
Shares redeemed     (41,617 )     (654,309 )     (90,648 )     (1,307,077 )
Net decrease     (41,131 )   $ (645,793 )     (89,559 )   $ (1,290,607 )
Class C:                                
Shares sold     9,237     $ 137,416       12,124     $ 164,152  
Shares converted to Class A     (1,511 )     (21,948 )     (2,538 )     (34,641 )
Dividends reinvested     —       —       —       —  
Shares redeemed     (19,104 )     (284,499 )     (48,877 )     (655,302 )
Net decrease     (11,378 )   $ (169,031 )     (39,291 )   $ (525,791 )
Class I:                                
Shares sold     2,282     $ 42,787       4,044     $ 69,031  
Dividends reinvested     —       —       —       —  
Shares redeemed     (2,055 )     (37,770 )     (3,773 )     (63,383 )
Net increase     227     $ 5,017       271     $ 5,648  
Class Z:                                
Shares sold     100,046     $ 1,857,039       1,530,829     $ 26,775,938  
Dividends reinvested     —       —       —       —  
Shares redeemed     (1,307,745 )     (25,647,302 )     (307,274 )     (5,290,212 )
Net increase (decrease)     (1,207,699 )   $ (23,790,263 )     1,223,555     $ 21,485,726  

 

- 169 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024

 

  

FOR THE YEAR ENDED

October 31, 2023

  
    SHARES     AMOUNT     SHARES     AMOUNT  
Alger Health Sciences Fund                                
Class A:                                
Shares sold     82,165     $ 1,772,170       175,274     $ 3,599,809  
Shares converted from Class C     2,232       47,451       1,782       35,923  
Dividends reinvested     —       —       —       —  
Shares redeemed     (459,690 )     (9,378,472 )     (958,827 )     (19,574,832 )
Net decrease     (375,293 )   $ (7,558,851 )     (781,771 )   $ (15,939,100 )
Class C:                                
Shares sold     8,867     $ 115,152       50,076     $ 653,525  
Shares converted to Class A     (3,596 )     (47,451 )     (2,849 )     (35,923 )
Dividends reinvested     —       —       —       —  
Shares redeemed     (78,063 )     (993,481 )     (222,183 )     (2,836,210 )
Net decrease     (72,792 )   $ (925,780 )     (174,956 )   $ (2,218,608 )
Class Z:                                
Shares sold     135,493     $ 2,863,849       638,634     $ 12,889,940  
Dividends reinvested     —       —       —       —  
Shares redeemed     (1,015,594 )     (20,144,511 )     (1,793,673 )     (37,194,352 )
Net decrease     (880,101 )   $ (17,280,662 )     (1,155,039 )   $ (24,304,412 )

 

- 170 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FOR THE SIX MONTHS ENDED

April 30, 2024
    SHARES   AMOUNT
Alger AI Enablers & Adopters Fund**        
Class A:                
Shares sold     10,000     $ 100,000  
Dividends reinvested     —       —  
Shares redeemed     —       —  
Net increase     10,000     $ 100,000  
Class C:                
Shares sold     10,000     $ 100,000  
Dividends reinvested     —       —  
Shares redeemed     —       —  
Net increase     10,000     $ 100,000  
Class I:                
Shares sold     10,000     $ 100,000  
Dividends reinvested     —       —  
Shares redeemed     —       —  
Net increase     10,000     $ 100,000  
Class Y:                
Shares sold     10,000     $ 100,000  
Dividends reinvested     —       —  
Shares redeemed     —       —  
Net increase     10,000     $ 100,000  
Class Z:                
Shares sold     289,730     $ 2,890,000  
Dividends reinvested     —       —  
Shares redeemed     —       —  
Net increase     289,730     $ 2,890,000  

 


 * Certain shareholders of the Fund redeemed shares in-kind.

** Inception date 4/4/24.

 

Redemptions In-Kind: A Fund may make payment for Fund shares redeemed wholly or in part by transferring portfolio securities to shareholders. For the year ended October 31, 2023, the Alger Capital Appreciation Fund had redemptions in-kind with total proceeds in the amount of $6,841,180. The net realized gains on these redemptions in-kind amounted to $3,557,014, which are not considered taxable for federal income tax purposes.

 

NOTE 7 — Income Tax Information:

 

At October 31, 2023, the Alger 35 Fund, the Alger Growth & Income Fund, the Alger Mid Cap Growth Fund, the Alger Mid Cap Focus Fund, the Alger Weatherbie Specialized Growth Fund, the Alger Small Cap Growth Fund, the Alger Small Cap Focus Fund, the Alger International Focus Fund and the Alger Health Sciences Fund, for federal income tax purposes, had capital loss carryforwards of $6,346,684, $648,306, $64,005,757, $179,083,087, $310,918,954, $96,550,950, $794,814,795, $6,922,542 and $33,264,796, respectively. These amounts will not be subject to expiration under the Regulated Investment Company Modernization Act of 2010, and these amounts may be applied against future net realized gains until their utilization.

 

- 171 - 

 

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

The difference between book-basis and tax-basis unrealized appreciation (depreciation) is determined annually and is attributable primarily to the tax deferral of losses on wash sales, U.S. Internal Revenue Code Section 988 currency transactions, nondeductible expenses on dividends sold short, tax treatment of partnership investments, the realization of unrealized appreciation of passive foreign investment companies, and the return of capital from real estate investment trust investments.

 

The Funds accrue tax on unrealized gains in foreign jurisdictions that impose a foreign capital tax, if applicable.

 

NOTE 8 — Fair Value Measurements:

 

The following is a summary of the inputs used as of April 30, 2024 in valuing the Funds' investments carried at fair value on a recurring basis. Based upon the nature, characteristics, and risks associated with their investments, the Funds have determined that presenting them by security type and sector is appropriate.

 

Alger Capital Appreciation Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Communication Services   $ 262,144,717     $ 262,144,717     $ —     $ —  
Consumer Discretionary     214,664,498       213,222,257       1,442,241       —  
Consumer Staples     4,354,925       4,354,925       —       —  
Energy     6,288,128       6,288,128       —       —  
Financials     68,431,704       68,431,704       —       —  
Healthcare     190,702,479       190,702,479       —       —  
Industrials     143,429,701       143,429,701       —       —  
Information Technology     770,535,105       770,535,105       —       —  
Materials     21,892,047       21,892,047       —       —  
Utilities     18,443,168       18,443,168       —       —  
TOTAL COMMON STOCKS   $ 1,700,886,472     $ 1,699,444,231     $ 1,442,241     $ —  
PREFERRED STOCKS                                
Information Technology     1,036,242       —       —       1,036,242  
REAL ESTATE INVESTMENT TRUST                                
Real Estate     9,979,007       9,979,007       —       —  
SPECIAL PURPOSE VEHICLE                                
Information Technology     2,521,809       —       —       2,521,809  

 

- 172 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

  

Alger Capital Appreciation Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
SHORT-TERM INVESTMENTS                                
Money Market Funds   $ 598     $ 598     $ —     $ —  
TOTAL INVESTMENTS IN SECURITIES   $ 1,714,424,128     $ 1,709,423,836     $ 1,442,241     $ 3,558,051  

 

Alger Concentrated Equity Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Communication Services   $ 530,315     $ 530,315     $ —     $ —  
Consumer Discretionary     441,592       441,592       —       —  
Energy     37,325       37,325       —       —  
Financials     173,758       173,758       —       —  
Healthcare     296,065       296,065       —       —  
Industrials     350,577       350,577       —       —  
Information Technology     1,470,022       1,470,022       —       —  
Utilities     44,068       44,068       —       —  
TOTAL COMMON STOCKS   $ 3,343,722     $ 3,343,722     $ —     $ —  
SHORT-TERM INVESTMENTS                                
Money Market Funds     277,575       277,575       —       —  
TOTAL INVESTMENTS IN SECURITIES   $ 3,621,297     $ 3,621,297     $ —     $ —  

 

Alger Growth & Income Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Communication Services   $ 50,980,702     $ 50,980,702     $ —     $ —  
Consumer Discretionary     35,760,847       35,760,847       —       —  
Consumer Staples     31,136,878       31,136,878       —       —  
Energy     24,240,382       24,240,382       —       —  
Financials     64,607,008       64,607,008       —       —  
Healthcare     59,069,619       59,069,619       —       —  
Industrials     32,470,003       32,470,003       —       —  
Information Technology     147,803,668       147,803,668       —       —  
Materials     9,499,994       9,499,994       —       —  
Utilities     7,756,756       7,756,756       —       —  
TOTAL COMMON STOCKS   $ 463,325,857     $ 463,325,857     $ —     $ —  
MASTER LIMITED PARTNERSHIP                                
Energy     1,865,519       1,865,519       —       —  
REAL ESTATE INVESTMENT TRUST                                
Real Estate     14,237,805       14,237,805       —       —  
SHORT-TERM INVESTMENTS                                
Money Market Funds     5,878,098       5,878,098       —       —  
TOTAL INVESTMENTS IN SECURITIES   $ 485,307,279     $ 485,307,279     $ —     $ —  

 

- 173 - 

 

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

Alger 35 Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Communication Services   $ 5,188,108     $ 5,188,108     $ —     $ —  
Consumer Discretionary     5,683,095       5,683,095       —       —  
Energy     586,665       586,665       —       —  
Financials     559,049       559,049       —       —  
Healthcare     4,402,102       3,856,330       —       545,772  
Industrials     4,504,931       4,504,931       —       —  
Information Technology     11,520,480       11,520,480       —       —  
Utilities     1,179,789       1,179,789       —       —  
TOTAL COMMON STOCKS   $ 33,624,219     $ 33,078,447     $ —     $ 545,772  
SHORT-TERM INVESTMENTS                                
Money Market Funds     1,448       1,448       —       —  
TOTAL INVESTMENTS IN SECURITIES   $ 33,625,667     $ 33,079,895     $ —     $ 545,772  

 

Alger Mid Cap Focus Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Communication Services   $ 14,607,811     $ 14,607,811     $ —     $ —  
Consumer Discretionary     25,357,929       25,357,929       —       —  
Consumer Staples     5,607,880       5,607,880       —       —  
Energy     8,646,851       8,646,851       —       —  
Financials     3,718,951       3,718,951       —       —  
Healthcare     47,916,768       47,916,768       —       —  
Industrials     55,003,664       55,003,664       —       —  
Information Technology     94,160,246       94,160,246       —       —  
Materials     6,103,180       6,103,180       —       —  
Utilities     6,011,626       6,011,626       —       —  
TOTAL COMMON STOCKS   $ 267,134,906     $ 267,134,906     $ —     $ —  
SHORT-TERM INVESTMENTS                                
Money Market Funds     3,235,928       3,235,928       —       —  
TOTAL INVESTMENTS IN SECURITIES   $ 270,370,834     $ 270,370,834     $ —     $ —  

 

Alger Mid Cap Growth Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Communication Services   $ 15,784,317     $ 15,784,317     $ —     $ —  
Consumer Discretionary     30,103,664       30,103,664       —       —  
Consumer Staples     3,660,570       3,660,570       —       —  
Energy     6,520,635       6,520,635       —       —  
Financials     17,029,972       17,029,972       —       —  
Healthcare     35,840,770       35,840,770       —       —  
Industrials     44,162,074       44,162,074       —       —  
Information Technology     57,934,158       57,934,158       —       —  
Materials     3,874,075       3,874,075       —       —  
Real Estate     10,870,077       10,870,077       —       —  
TOTAL COMMON STOCKS   $ 225,780,312     $ 225,780,312     $ —     $ —  

 

- 174 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

  

Alger Mid Cap Growth Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
PREFERRED STOCKS                                
Healthcare   $ — 1   $ —     $ —     $ — 1
RIGHTS                                
Healthcare     354,036       —       —       354,036  
SPECIAL PURPOSE VEHICLE                                
Information Technology     1,522,173       —       —       1,522,173  
WARRANTS                                
Information Technology     — 2     —
    — 2     —  
SHORT-TERM INVESTMENTS                                
Money Market Funds     3,477,574       3,477,574       —       —  
TOTAL INVESTMENTS IN SECURITIES   $ 231,134,095     $ 229,257,886     $ —     $ 1,876,209  

 

Alger Small Cap Growth Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Communication Services   $ 9,035,615     $ 9,035,615     $ —     $ —  
Consumer Discretionary     53,513,824       53,513,824       —       —  
Consumer Staples     11,340,558       11,340,558       —       —  
Energy     6,442,784       6,442,784       —       —  
Financials     7,376,824       7,376,824       —       —  
Healthcare     82,111,455       79,385,623       —       2,725,832  
Industrials     27,441,155       27,441,155       —       —  
Information Technology     79,629,099       79,629,099       —       —  
Materials     242,043       242,043       —       —  
TOTAL COMMON STOCKS   $ 277,133,357     $ 274,407,525     $ —     $ 2,725,832  
PREFERRED STOCKS                                
Healthcare     — 1     —       —       — 1
RIGHTS                                
Healthcare     134,311       —       —       134,311  
SPECIAL PURPOSE VEHICLE                                
Information Technology     2,067,429       —       —       2,067,429  
SHORT-TERM INVESTMENTS                                
Money Market Funds     7,929,034       7,929,034       —       —  
TOTAL INVESTMENTS IN SECURITIES   $ 287,264,131     $ 282,336,559     $ —     $ 4,927,572  

 

Alger Small Cap Focus Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Consumer Discretionary   $ 131,347,186     $ 131,347,186     $ —     $ —  
Consumer Staples     34,009,696       34,009,696       —       —  
Healthcare     488,731,403       460,703,605       —       28,027,798  
Industrials     202,852,267       202,852,267       —       —  
Information Technology     523,837,265       523,837,265       —       —  
TOTAL COMMON STOCKS   $ 1,380,777,817     $ 1,352,750,019     $ —     $ 28,027,798  
RIGHTS                                
Healthcare     7,143       —       —       7,143  

 

- 175 - 

 

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

  

Alger Small Cap Focus Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
SHORT-TERM INVESTMENTS                                
Money Market Funds   $ 15,795,470     $ 15,795,470     $ —     $ —  
TOTAL INVESTMENTS IN SECURITIES   $ 1,396,580,430     $ 1,368,545,489     $ —     $ 28,034,941  

 

Alger Weatherbie Specialized Growth Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Consumer Discretionary   $ 35,048,110     $ 35,048,110     $ —     $ —  
Consumer Staples     2,210,312       2,210,312       —       —  
Energy     3,473,377       3,473,377       —       —  
Financials     56,729,605       56,729,605       —       —  
Healthcare     153,780,786       151,869,612       —       1,911,174  
Industrials     115,011,085       115,011,085       —       —  
Information Technology     94,577,017       94,577,017       —       —  
Real Estate     26,067,069       26,067,069       —       —  
TOTAL COMMON STOCKS   $ 486,897,361     $ 484,986,187     $ —     $ 1,911,174  
PREFERRED STOCKS                                
Healthcare     — 1     —       —       — 1
SHORT-TERM INVESTMENTS                                
Money Market Funds     12,987,635       12,987,635       —       —  
TOTAL INVESTMENTS IN SECURITIES   $ 499,884,996     $ 497,973,822     $ —     $ 1,911,174  

 

Alger International Focus Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Communication Services   $ 7,717,760     $ —     $ 7,717,760     $ —  
Consumer Discretionary     24,398,246       17,747,456       6,650,790       —  
Consumer Staples     14,775,702       2,645,517       12,130,185       —  
Energy     8,580,038       2,374,665       6,205,373       —  
Financials     23,388,551       11,597,599       11,790,952       —  
Healthcare     16,606,729       2,786,485       13,820,244       —  
Industrials     15,779,786       3,383,056       12,396,730       —  
Information Technology     23,598,870       10,101,449       13,497,421       —  
Materials     7,065,011       —       7,065,011       —  
TOTAL COMMON STOCKS   $ 141,910,693     $ 50,636,227     $ 91,274,466     $ —  
SHORT-TERM INVESTMENTS                                
Money Market Funds     770,385       770,385       —       —  
TOTAL INVESTMENTS IN SECURITIES   $ 142,681,078     $ 51,406,612     $ 91,274,466     $ —  

 

Alger Health Sciences Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Financials   $ 3,597,345     $ 3,597,345     $ —     $ —  
Healthcare     103,608,784       93,685,286       4,166,459       5,757,039  
TOTAL COMMON STOCKS   $ 107,206,129      $ 97,282,631     $ 4,166,459     $ 5,757,039  

 

- 176 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

  

Alger Health Sciences Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
PREFERRED STOCKS                                
Healthcare   $ — 1   $ —     $ —     $ — 1
RIGHTS                                
Healthcare     1,174,198       —       —       1,174,198  
SHORT-TERM INVESTMENTS                                
Money Market Funds     1,646,198       1,646,198       —       —  
TOTAL INVESTMENTS IN SECURITIES   $ 110,026,525     $ 98,928,829     $ 4,166,459     $ 6,931,237  

 

Alger AI Enablers & Adopters Fund   TOTAL   LEVEL 1   LEVEL 2   LEVEL 3
COMMON STOCKS                                
Communication Services   $ 545,936     $ 545,936     $ —     $ —  
Consumer Discretionary     379,886       379,886       —       —  
Consumer Staples     44,928       44,928       —       —  
Financials     106,255       106,255       —       —  
Healthcare     89,600       89,600       —       —  
Industrials     78,683       78,683       —       —  
Information Technology     1,562,482       1,562,482       —       —  
Utilities     124,682       124,682       —       —  
TOTAL COMMON STOCKS   $ 2,932,452     $ 2,932,452     $ —     $ —  
REAL ESTATE INVESTMENT                                
TRUST                                
Real Estate     21,333       21,333       —       —  
SHORT-TERM INVESTMENTS                                
Money Market Funds     45,610       45,610       —       —  
TOTAL INVESTMENTS IN SECURITIES   $ 2,999,395     $ 2,999,395     $ —     $ —  

 

1 Alger Mid Cap Growth Fund's, Alger Small Cap Growth Fund's, Alger Weatherbie Specialized Growth Fund's and Alger Health Sciences Fund's holdings of Prosetta Biosciences, Inc., Series D shares are classified as a Level 3 investment and are fair valued at zero as of April 30, 2024.
2 Alger Mid Cap Growth Fund's holdings of Constellation Software, Inc. warrants expiring March 31, 2040, are classified as a Level 2 investment and are fair valued at zero as of April 30, 2024.

 

- 177 - 

 

THE ALGER FUNDS  

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Capital Appreciation Fund   Preferred Stocks  
Opening balance at November 1, 2023   $ 1,049,884  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     (13,642 )
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     1,036,242  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ (13,642 )

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3)   

  
Alger Capital Appreciation Fund   Special Purpose Vehicle  
Opening balance at November 1, 2023   $ 2,555,109  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     (33,300 )
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     2,521,809  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ (33,300 )

 

- 178 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger 35 Fund   Common Stocks  
Opening balance at November 1, 2023   $ 470,076  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     75,696  
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     545,772  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ 75,696  

 

     

FAIR VALUE  

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE  

INPUTS (LEVEL 3) 

  
Alger Mid Cap Growth Fund     Preferred Stocks  
Opening balance at November 1, 2023   $ — *
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     —  
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     — *
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ —  

 

- 179 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Mid Cap Growth Fund   Rights  
Opening balance at November 1, 2023   $ 401,240  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     (47,204 )
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     354,036  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ (47,204 )

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3)  

  
Alger Mid Cap Growth Fund   Special Purpose Vehicle  
Opening balance at November 1, 2023   $ 1,542,273  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     (20,100 )
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     1,522,173  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ (20,100 )

 

- 180 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Small Cap Growth Fund   Common Stocks  
Opening balance at November 1, 2023   $ 3,149,680  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     (814,543 )
Purchases and sales        
Purchases     390,695  
Sales/Distributions     —  
Closing balance at April 30, 2024     2,725,832  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ (814,543 )

 

     

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Small Cap Growth Fund     Preferred Stocks  
Opening balance at November 1, 2023   $ — *
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     —  
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     — *
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ —  

 

- 181 -

  

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

  

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Small Cap Growth Fund   Rights  
Opening balance at November 1, 2023   $ 118,852  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     15,459  
Purchases and sales        
Purchases     — *
Sales/Distributions     —  
Closing balance at April 30, 2024     134,311  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ 15,459  

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Small Cap Growth Fund   Special Purpose Vehicle  
Opening balance at November 1, 2023   $ 2,094,729  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     (27,300 )
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     2,067,429  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ (27,300 )

 

- 182 -

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Small Cap Focus Fund   Common Stocks  
Opening balance at November 1, 2023   $ 20.678.300  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     3.340.670  
Purchases and sales        
Purchases     4,008,828  
Sales/Distributions     —  
Closing balance at April 30, 2024  
28,027,798  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $  3,340,670  

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Small Cap Focus Fund   Rights  
Opening balance at November 1, 2023   $ 8,095  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     (952 )
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     7,143  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ (952 )

 

- 183 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Weatherbie Specialized Growth Fund   Common Stocks  
Opening balance at November 1, 2023   $ 2,578,999  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     (667,825 )
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     1,911,174  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ (667,825 )

 

     

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Weatherbie Specialized Growth Fund     Preferred Stocks  
Opening balance at November 1, 2023   $ — *
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     —  
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     — *
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ —  

 

- 184 -

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Health Sciences Fund   Common Stocks  
Opening balance at November 1, 2023   $ 6,616,482  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     (1,269,442 )
Purchases and sales        
Purchases     409,999  
Sales/Distributions     —  
Closing balance at April 30, 2024     5,757,039  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $ (1,269,442 )

 

     

FAIR VALUE 

MEASUREMENTS 

USING SIGNIFICANT 

UNOBSERVABLE 

INPUTS (LEVEL 3) 

  
Alger Health Sciences Fund     Preferred Stocks  
Opening balance at November 1, 2023   $ — *
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     —  
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     — *
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024**   $  —  

 

- 185 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 


    

FAIR VALUE
MEASUREMENTS
USING SIGNIFICANT
UNOBSERVABLE

INPUTS (LEVEL 3)

  
Alger Health Sciences Fund     Rights  
Opening balance at November 1, 2023   $ 1,330,757  
Transfers into Level 3     —  
Transfers out of Level 3     —  
Total gains or losses        
Included in net realized gain (loss) on investments     —  
Included in net change in unrealized appreciation (depreciation) on investments     (156,559 )
Purchases and sales        
Purchases     —  
Sales/Distributions     —  
Closing balance at April 30, 2024     1,174,198  
Net change in unrealized appreciation (depreciation) attributable to investments still held at April 30, 2024   $ (156,559 )

 

* Includes securities that are fair valued at zero.
** Net change in unrealized appreciation (depreciation) is included in the net change in unrealized appreciation (depreciation) on investments in the accompanying Statement of Operations.

 

The following table provides quantitative information about each Fund's Level 3 fair value measurements of its investments as of April 30, 2024. The table below is not intended to be all-inclusive, but rather provides information on the Level 3 inputs as they relate to each Fund's fair value measurements.

 

   

Fair Value

April 30,

2024

    

Valuation

Methodology

  

Unobservable

Input

   Input/Range  

Weighted

Average Inputs

  
Alger Capital Appreciation Fund                    
Preferred Stocks   $ 1,036,242     Market Approach   Transaction Price Revenue Multiple  

N/A

9.00X-11.00X

   N/A  
Special Purpose Vehicle     2,521,809     Market Approach   Transaction Price Revenue Multiple  

N/A

9.00X-11.00X

   N/A  
Alger 35 Fund                    
Common Stocks     545,772     Income Approach   Transaction Price Revenue Multiple  

N/A

6.00X-7.00X

   N/A  
Alger Mid Cap Growth Fund                    
Preferred Stocks     — *   Income Approach   Discount Rate   100.00%
N/A  
Rights     354,036     Income Approach   Discount Rate Probability of Success  
7.48%-8.16%
0.00%-40.00%
   N/A  
Special Purpose Vehicle     1,522,173     Market Approach   Transaction Price Revenue Multiple  

N/A

9.00X-11.00X

   N/A  

 

- 186 -

 

THE ALGER FUNDS 

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

   

Fair Value

April 30,

2024

    

Valuation

Methodology

  

Unobservable

Input

   Input/Range  

Weighted

Average Inputs

  
Alger Small Cap Growth Fund                    
Common Stocks   $ 2,725,832     Market Approach   Transaction Price Revenue Multiple  

N/A

6.00X-7.00X

   N/A  
Preferred Stocks     — *   Income Approach   Discount Rate   100.00%
N/A  
Rights1     29,442     Income Approach   Discount Rate Probability of Success  

5.56%

22.00%

   N/A  
Rights2     104,869     Income Approach   Discount Rate Probability of Success  
7.48%-8.16%
0.00%-40.00%
   N/A  
Special Purpose Vehicle     2,067,429     Market Approach   Transaction Price Revenue Multiple  

N/A

9.00X-11.00X

   N/A  
Alger Small Cap Focus Fund                    
Common Stocks     28,027,798     Market Approach   Transaction Price Revenue Multiple  

N/A

6.00X-7.00X

   N/A  
Common Stocks     7,143     Income Approach   Discount Rate Probability of Success  
7.48%-8.16%
0.00%-40.00%
   N/A  
Alger Weatherbie Specialized Growth Fund                    
Common Stocks     1,911,174     Market Approach   Transaction Price Revenue Multiple  

N/A

6.00X-7.00X

   N/A  
Preferred Stocks     — *   Income Approach   Discount Rate   100.00%
N/A  
Alger Health Sciences Fund                    
Common Stocks     5,757,039     Market Approach   Transaction Price Revenue Multiple  

N/A

6.00X-7.00X

   N/A  
Preferred Stocks     — *   Income Approach   Discount Rate   100.00%
N/A  
Rights     1,174,198     Income Approach   Discount Rate Probability of Success  
7.48%-8.16%
0.00%-40.00%
   N/A  

 

1 Mirati Therapeutics, Inc. CVR
2 Tolero CDR
* Prosetta Biosciences, Inc., Series D shares are classified as a Level 3 investment and are fair valued at zero as of April 30, 2024.

 

The significant unobservable inputs used in the fair value measurement of each Fund's securities are revenue and EBITDA multiples, discount rates, and the probability of success of certain outcomes. Significant increases and decreases in these inputs in isolation and interrelationships between these inputs would have resulted in significantly higher or lower fair value measurements than those noted in the table above. Generally, all other things being equal, increases in revenue and EBITDA multiples, decreases in discount rates, and increases in the probability of success result in higher fair value measurements, whereas decreases in revenues and EBITDA multiples, increases in discount rates, and decreases in the probability of success result in lower fair value measurements.

 

- 187 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

For the six months ended April 30, 2024, there were no changes in valuation methodology on Level 3 investments.

 

NOTE 9 — Derivatives:

 

FASB 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.

 

There were no derivative instruments held by the Funds throughout the period or as of April 30, 2024.

 

NOTE 10 — Principal Risks:

 

Alger Capital Appreciation Fund — Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. At times, the Fund may hold a large cash or cash equivalent position, which may underperform relative to equity securities.

 

Alger Concentrated Equity Fund - Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. A significant portion of assets will be concentrated in securities in related industries, and may be similarly affected by adverse developments and price movements in such industries. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. The Fund is classified as a “non-diversified fund” under federal securities laws because it can invest in fewer individual companies than a diversified fund. Active trading may increase transaction costs, brokerage commissions, and taxes, which can lower the return on investment. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

- 188 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued) 

 

 

Alger Growth & Income Fund — Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Income-producing securities may cut or fail to declare dividends due to market downturns or for other reasons. At times, the Fund may hold a large cash or cash equivalent position, which may underperform relative to equity securities.

 

Alger 35 Fund — Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Investing in companies of small and medium capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. The Fund is classified as a “non-diversified fund” under federal securities laws because it can invest in fewer individual companies than a diversified fund. Active trading may increase transaction costs, brokerage commissions, and taxes, which can lower the return on investment. At times, the Fund may hold a large cash or cash equivalent position, which may underperform relative to equity securities.

 

- 189 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

Alger Mid Cap Focus Fund — Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Investing in companies of medium capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Assets may be focused in a small number of holdings, making them susceptible to risks associated with a single economic, political or regulatory event than a more diversified portfolio. A significant portion of assets may be invested in securities of companies in related sectors or industries, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector or industry developments. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. Active trading may increase transaction costs, brokerage commissions, and taxes, which can lower the return on investment. At times, the Fund may hold a large cash or cash equivalent position, which may underperform relative to equity securities.

 

Alger Mid Cap Growth Fund — Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Investing in companies of medium capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. Active trading may increase transaction costs, brokerage commissions, and taxes, which can lower the return on investment. At times, the Fund may hold a large cash or cash equivalent position, which may underperform relative to equity securities.

 

- 190 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

Alger Small Cap Growth Fund — Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Investing in companies of small capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. At times, the Fund may hold a large cash or cash equivalent position, which may underperform relative to equity securities.

 

Alger Small Cap Focus Fund — Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. A significant portion of assets may be invested in securities of companies in related sectors or industries, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector or industry developments. Investing in companies of small capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Assets may be focused in a small number of holdings, making them susceptible to risks associated with a single economic, political or regulatory event than a more diversified portfolio. At times, the Fund may hold a large cash or cash equivalent position, which may underperform relative to equity securities.

 

- 191 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

Alger Weatherbie Specialized Growth Fund — Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Investing in companies of small and medium capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Assets may be focused in a small number of holdings, making them susceptible to risks associated with a single economic, political or regulatory event than a more diversified portfolio. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. At times, the Fund may hold a large cash or cash equivalent position, which may underperform relative to equity securities.

 

Alger International Focus Fund — Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Assets may be focused in a small number of holdings, making them susceptible to risks associated with a single economic, political or regulatory event than a more diversified portfolio. Foreign securities and emerging markets involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. Investing in companies of small capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. At times, the Fund may hold a large cash or cash equivalent position, which may underperform relative to equity securities.

 

- 192 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

  

Alger Health Sciences Fund — Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. A significant portion of assets will be invested in healthcare companies, which may be significantly affected by competition, innovation, regulation, and product obsolescence, and may be more volatile than the securities of other companies. A significant portion of assets may be invested in securities of companies in related industries, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable industry developments. Assets may be focused in a small number of holdings, making them susceptible to risks associated with a single economic, political or regulatory event than a more diversified portfolio. Investing in companies of small capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. Private placements are offerings of a company’s securities not registered with the SEC and not offered to the public, for which limited information may be available. Such investments are generally considered to be illiquid. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. Active trading may increase transaction costs, brokerage commissions, and taxes, which can lower the return on investment. At times, the Fund may hold a large cash or cash equivalent position, which may underperform relative to equity securities.

 

- 193 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

  

Alger AI Enablers & Adopters Fund - Investing in the stock market involves risks, including the potential loss of principal. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Your Fund shares at any point in time may be worth less than what you invested, even after taking into account the reinvestment of Fund dividends and distributions. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Local, regional or global events such as environmental or natural disasters, war, terrorism, pandemics, outbreaks of infectious diseases and similar public health threats, recessions, or other events could have a significant impact on investments. Companies involved in, or exposed to, AI-related businesses may have limited product lines, markets, financial resources or personnel as they face intense competition and potentially rapid product obsolescence, and many depend significantly on retaining and growing their consumer base. These companies may be substantially exposed to the market and business risks of other industries or sectors, and may be adversely affected by negative developments impacting those companies, industries or sectors, as well as by loss or impairment of intellectual property rights or misappropriation of their technology. Companies that utilize AI could face reputational harm, competitive harm, and legal liability, and/or an adverse effects on business operations as content, analyses, or recommendations that AI applications produce may be deficient, inaccurate, biased, misleading or incomplete, may lead to errors, and may be used in negligent or criminal ways. AI technology could face increasing regulatory scrutiny in the future, which may limit the development of this technology and impede the future growth. AI companies, especially smaller companies, tend to be more volatile than companies that do not rely heavily on technology. A significant portion of assets will be concentrated in securities in related industries, and may be similarly affected by adverse developments and price movements in such industries. A significant portion of assets may be invested in securities of companies in related sectors, and may be similarly affected by economic, political, or market events and conditions and may be more vulnerable to unfavorable sector developments. Investing in companies of small and medium capitalizations involves the risk that such issuers may have limited product lines or financial resources, lack management depth, or have limited liquidity. The Fund is classified as a “non-diversified fund” under federal securities laws because it can invest in fewer individual companies than a diversified fund. Foreign securities involve special risks including currency fluctuations, inefficient trading, political and economic instability, and increased volatility. ADRs and GDRs may be subject to international trade, currency, political, regulatory and diplomatic risks. Active trading may increase transaction costs, brokerage commissions, and taxes, which can lower the return on investment. At times, cash may be a larger position in the portfolio and may underperform relative to equity securities.

 

- 194 -

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

NOTE 11 — Affiliated Securities:

 

During the six months ended April 30, 2024, as disclosed in the following table, certain Funds held 5% or more of the outstanding voting securities of the issuers listed below. As such, these issuers were “affiliated persons” of the applicable Fund(s) for purposes of the 1940 Act. Transactions during the six months ended April 30, 2024 with such affiliated persons are summarized below. During this period, other Funds in the Trust may also have held voting shares of the issuers at levels below 5%.

 

Security   Shares
Held at
October 31,
2023		     Shares
Purchased		     Shares
Sold		     Shares
Held at
April 30,
2024		     Dividend
Income		     Realized
Gain (Loss)		     Net Change
in
Unrealized
App(Dep)		     Value at
April 30,
2024		  
Alger Capital Appreciation Fund                                            
Special Purpose Vehicle
   

                                 
Crosslink Ventures C, LLC, Cl. A1                                   $ —     $ —     $ (33,300 )   $ 2,521,809  
Total                                   $ —     $ —     $ (33,300 )   $ 2,521,809  

 

Security   Shares
Held at
October 31,
2023		     Shares
Purchased		     Shares
Sold		     Shares
Held at
April 30,
2024		     Dividend
Income		     Realized
Gain (Loss)		     Net Change
in
Unrealized
App(Dep)		     Value at
April 30,
2024		  
Alger Mid Cap Growth Fund                                            
Preferred Stocks                                                                
Prosetta Biosciences, Inc., Series D2     219,610       —       —       219,610     $ —     $ —     $ —     $ — 3
Special Purpose Vehicle                                                                
Crosslink Ventures C, LLC, Cl. A1                                     —       —       (14,400 )     1,090,512  
Crosslink Ventures C, LLC, Cl. B1                                     —       —       (5,700 )     431,661  
Total                                   $ —     $ —     $ (20,100 )   $ 1,522,173  

 

Security   Shares
Held at
October 31,
2023		     Shares
Purchased		     Shares
Sold		     Shares
Held at
April 30,
2024		     Dividend
Income		     Realized
Gain (Loss)		     Net Change
in
Unrealized
App(Dep)		     Value at
April 30,
2024		  
Alger Small Cap Growth Fund                                            
Preferred Stocks                                            
Prosetta Biosciences, Inc., Series D2     50,688       —       —       50,688     $ —     $ —     $ —     $ — 3
Special Purpose Vehicle                                                                
Crosslink Ventures C, LLC, Cl. A1                                     —       —       (21,600 )     1,635,768  
Crosslink Ventures C, LLC, Cl. B1                                     —       —       (5,700 )     431,661  
Total                                   $ —     $ —     $ (27,300 )   $ 2,067,429  

 

- 195 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

Security   Shares
Held at
October 31,
2023		     Shares
Purchased		     Shares
Sold		     Shares
Held at
April 30,
2024		     Dividend
Income		     Realized
Gain (Loss)		     Net Change
in
Unrealized
App(Dep)		     Value at
April 30,
2024		  
Alger Small Cap Focus Fund                                            
Common Stocks                                            
Absci Corp.     —       5,806,794       —       5,806,794     $ —     $ —     $ (299,407 )   $ 27,524,204  
Impulse Dynamics PLC, Series F-1     7,225,544       20,772,254       —       28,027,798       —       —       3,340,670       28,027,798  
PROS Holdings, Inc.4     2,701,224       —       (493,505 )     2,207,719       —       (5,274,533 )     10,900,424       —  
Total                                   $ —     $ (5,274,533 )   $ 13,941,687     $ 55,552,002  

 

Security   Shares
Held at
October 31,
2023		     Shares
Purchased		     Shares
Sold		     Shares
Held at
April 30,
2024		     Dividend
Income		     Realized
Gain (Loss)		     Net Change
in
Unrealized
App(Dep)		     Value at
April 30,
2024		  
Alger Weatherbie Specialized Growth Fund                                            
Preferred Stocks                                            
Prosetta Biosciences, Inc., Series D2     213,474       —       —       231,474     $ —     $ —     $ —     $ — 3
Total                                   $ —     $ —     $ —     $ —  

 

Security   Shares
Held at
October 31,
2023		     Shares
Purchased		     Shares
Sold		     Shares
Held at
April 30,
2024		     Dividend
Income		     Realized
Gain (Loss)		     Net Change
in
Unrealized
App(Dep)		     Value at
April 30,
2024		  
Alger Health Sciences Fund                                            
Preferred Stocks                                            
Prosetta Biosciences, Inc., Series D2     897,366       —       —       897,366     $ —     $ —     $ —     $ — 3
Total                                   $ —     $ —     $ —     $ —  

 

1 The Alger Fund Complex and other entities managed by Alger Management fully own Crosslink Ventures C, LLC, Class A and Crosslink Ventures C, LLC, Class B. There were no capital increases or decreases for the period ended April 30, 2024.
2 Prosetta Biosciences, Inc., Series D is deemed to be an affiliate of the Funds because the Funds and Prosetta Biosciences, Inc., Series D are under common control.
3 Prosetta Biosciences, Inc., Series D shares are classified as a Level 3 investment and are fair valued at zero as of April 30, 2024.
4 Non-affiliated at April 30, 2024.

 

- 196 -

 

THE ALGER FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

 

 

NOTE 12 — Subsequent Events:

 

 

Management of each Fund has evaluated events that have occurred subsequent to April 30, 2024, through the issuance date of the Financial Statements. Pursuant to Board approval, Alger International Focus Fund will change its name to Alger International Opportunities Fund effective on or about August 6, 2024. No changes are being made to the Fund's investment objective, principal investment strategies, principal risks or investment restrictions as a result of this name change. No other events have been identified which require recognition and/or disclosure.

 

- 197 -

 

THE ALGER FUNDS

ADDITIONAL INFORMATION (Unaudited)

 

 

Shareholder Expense Example

 

 

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

 

The example below is based on an investment of $1,000 invested at the beginning of the six-month period starting November 1, 2023 and ending April 30, 2024 and held for the entire period.

 

Actual Expenses

 

 

The first line for each class of shares in the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000= 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During the Six Months Ended April 30, 2024” to estimate the expenses you paid on your account during this period.

 

Hypothetical Example for Comparison Purposes

 

 

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

 

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

 

- 198 -

 

THE ALGER FUNDS

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

      Beginning
Account
Value
November 1,
2023		     Ending
Account
Value
April 30, 2024		     Expenses
Paid During
the Six Months
Ended
April 30,
2024(a)		     Annualized
Expense Ratio
For the
Six Months
Ended
April 30,
2024(b)		  
Alger Capital Appreciation Fund                          
Class A Actual     $ 1,000.00     $ 1,299.00     $ 7.32       1.28 %
  Hypothetical(c)       1,000.00       1,018.50       6.42       1.28  
Class C Actual       1,000.00       1,294.10       11.81       2.07  
  Hypothetical(c)       1,000.00       1,014.57       10.37       2.07  
Class Z Actual       1,000.00       1,302.10       4.98       0.87  
  Hypothetical(c)       1,000.00       1,020.54       4.37       0.87  
Alger Concentrated Equity Fund                                  
Class A Actual     $ 1,000.00     $ 964.00     $ 0.56 (d)     0.80 %
  Hypothetical(c)       1,000.00       1,002.98       0.57 (d)     0.80  
Class C Actual       1,000.00       964.00       1.08 (d)     1.55  
  Hypothetical(c)       1,000.00       1,002.45       1.10 (d)     1.55  
Class I Actual       1,000.00       964.00       0.56 (d)     0.80  
  Hypothetical(c)       1,000.00       1,002.98       0.57 (d)     0.80  
Class Y Actual       1,000.00       964.00       0.38 (d)     0.55  
  Hypothetical(c)       1,000.00       1,003.16       0.39 (d)     0.55  
Class Z Actual       1,000.00       964.00       0.38 (d)     0.55  
  Hypothetical(c)       1,000.00       1,003.16       0.39 (d)     0.55  
Alger Growth & Income Fund                                  
Class A Actual     $ 1,000.00     $ 1,178.70     $ 5.04       0.93 %
  Hypothetical(c)       1,000.00       1,020.24       4.67       0.93  
Class C Actual       1,000.00       1,174.40       9.08       1.68  
  Hypothetical(c)       1,000.00       1,016.51       8.42       1.68  
Class Z Actual       1,000.00       1,180.40       3.36       0.62  
  Hypothetical(c)       1,000.00       1,021.78       3.12       0.62  
Alger 35 Fund                                  
Class Z Actual     $ 1,000.00     $ 1,348.10     $ 3.22       0.55 %
  Hypothetical(c)       1,000.00       1,022.19       2.77       0.55  

 

- 199 -

 

THE ALGER FUNDS

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

      Beginning
Account
Value
November 1,
2023		     Ending
Account
Value
April 30, 2024		     Expenses
Paid During
the Six Months
Ended
April 30,
2024(a)		     Annualized
Expense Ratio
For the
Six Months
Ended
April 30,
2024(b)		  
Alger Mid Cap Focus Fund                          
Class A Actual     $ 1,000.00     $ 1,330.10     $ 6.89       1.19 %
  Hypothetical(c)       1,000.00       1,018.95       5.97       1.19  
Class C Actual       1,000.00       1,324.30       11.38       1.97  
  Hypothetical(c)       1,000.00       1,015.07       9.87       1.97  
Class I Actual       1,000.00       1,328.90       7.35       1.27  
  Hypothetical(c)       1,000.00       1,018.55       6.37       1.27  
Class Y Actual       1,000.00       1,333.30       4.41       0.76  
  Hypothetical(c)       1,000.00       1,021.08       3.82       0.76  
Class Z Actual       1,000.00       1,331.60       5.04       0.87  
  Hypothetical(c)       1,000.00       1,020.54       4.37       0.87  
Alger Mid Cap Growth Fund                                  
Class A Actual     $ 1,000.00     $ 1,249.10     $ 6.99       1.25 %
  Hypothetical(c)       1,000.00       1,018.65       6.27       1.25  
Class B Actual       1,000.00       1,247.40       7.49       1.34  
  Hypothetical(c)       1,000.00       1,018.20       6.72       1.34  
Class C Actual       1,000.00       1,242.90       11.88       2.13  
  Hypothetical(c)       1,000.00       1,014.27       10.67       2.13  
Class Z Actual       1,000.00       1,250.50       5.20       0.93  
  Hypothetical(c)       1,000.00       1,020.24       4.67       0.93  
Alger Small Cap Growth Fund                                  
Class A Actual     $ 1,000.00     $ 1,189.00     $ 7.35       1.35 %
  Hypothetical(c)       1,000.00       1,018.15       6.77       1.35  
Class B Actual       1,000.00       1,188.30       7.29       1.34  
  Hypothetical(c)       1,000.00       1,018.20       6.72       1.34  
Class C Actual       1,000.00       1,182.00       11.66       2.15  
  Hypothetical(c)       1,000.00       1,014.17       10.77       2.15  
Class Y Actual       1,000.00       1,191.20       4.63       0.85  
  Hypothetical(c)       1,000.00       1,020.64       4.27       0.85  
Class Z Actual       1,000.00       1,189.90       5.44       1.00  
  Hypothetical(c)       1,000.00       1,019.89       5.02       1.00  

 

- 200 -

 

THE ALGER FUNDS 

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

      Beginning
Account
Value
November 1,
2023		     Ending
Account
Value
April 30, 2024		     Expenses
Paid During
the Six Months
Ended
April 30,
2024(a)		     Annualized
Expense Ratio
For the
Six Months
Ended
April 30,
2024(b)		  
Alger Small Cap Focus Fund                          
Class A Actual     $ 1,000.00     $ 1,224.40     $ 9.01       1.63 %
  Hypothetical(c)       1,000.00       1,016.76       8.17       1.63  
Class C Actual       1,000.00       1,222.30       11.66       2.11  
  Hypothetical(c)       1,000.00       1,014.37       10.57       2.11  
Class I Actual       1,000.00       1,226.10       7.64       1.38  
  Hypothetical(c)       1,000.00       1,018.00       6.92       1.38  
Class Y Actual       1,000.00       1,229.00       4.77       0.86  
  Hypothetical(c)       1,000.00       1,020.59       4.32       0.86  
Class Z Actual       1,000.00       1,229.10       5.15       0.94  
  Hypothetical(c)       1,000.00       1,020.19       4.72       0.94  
Alger Weatherbie Specialized Growth Fund                                  
Class A Actual     $ 1,000.00     $ 1,178.90     $ 7.37       1.36 %
  Hypothetical(c)       1,000.00       1,018.10       6.82       1.36  
Class C Actual       1,000.00       1,176.20       11.58       2.14  
  Hypothetical(c)       1,000.00       1,014.22       10.72       2.14  
Class I Actual       1,000.00       1,178.40       7.80       1.44  
  Hypothetical(c)       1,000.00       1,017.70       7.22       1.44  
Class Y Actual       1,000.00       1,182.60       4.83       0.89  
  Hypothetical(c)       1,000.00       1,020.44       4.47       0.89  
Class Z Actual       1,000.00       1,180.90       5.31       0.98  
  Hypothetical(c)       1,000.00       1,019.99       4.92       0.98  
Alger International Focus Fund                                  
Class A Actual     $ 1,000.00     $ 1,180.00     $ 6.94       1.28 %
  Hypothetical(c)       1,000.00       1,018.50       6.42       1.28  
Class B Actual       1,000.00       1,179.90       6.99       1.29  
  Hypothetical(c)       1,000.00       1,018.45       6.47       1.29  
Class C Actual       1,000.00       1,174.00       12.05       2.23  
  Hypothetical(c)       1,000.00       1,013.77       11.17       2.23  
Class I Actual       1,000.00       1,180.00       6.94       1.28  
  Hypothetical(c)       1,000.00       1,018.50       6.42       1.28  
Class Z Actual       1,000.00       1,182.70       4.72       0.87  
  Hypothetical(c)       1,000.00       1,020.54       4.37       0.87  

 

- 201 -

 

THE ALGER FUNDS 

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

  

       

Beginning
Account
Value
November 1,
2023

    

Ending
Account
Value
April 30, 2024

    

Expenses
Paid During
the Six Months
Ended
April 30,
2024(a)

    

Annualized
Expense Ratio
For the
Six Months
Ended
April 30,
2024(b)

  
Alger Health Sciences Fund                          
Class A Actual     $ 1,000.00     $ 1,157.50     $ 6.76       1.26 %
  Hypothetical(c)       1,000.00       1,018.60       6.32       1.26  
Class C Actual       1,000.00       1,152.70       11.51       2.15  
  Hypothetical(c)       1,000.00       1,014.17       10.77       2.15  
Class Z Actual       1,000.00       1,160.50       4.14       0.77  
  Hypothetical(c)       1,000.00       1,021.03       3.87       0.77  
Alger AI Enablers & Adopters Fund                                  
Class A Actual     $ 1,000.00     $ 959.00     $ 0.56 (d)     0.80 %
  Hypothetical(c)       1,000.00       1,002.98       0.57 (d)     0.80  
Class C Actual       1,000.00       959.00       1.08 (d)     1.55  
  Hypothetical(c)       1,000.00       1,002.45       1.10 (d)     1.55  
Class I Actual       1,000.00       959.00       0.56 (d)     0.80  
  Hypothetical(c)       1,000.00       1,002.98       0.57 (d)     0.80  
Class Y Actual       1,000.00       960.00       0.39 (d)     0.55  
  Hypothetical(c)       1,000.00       1,003.16       0.39 (d)     0.55  
Class Z Actual       1,000.00       960.00       0.38 (d)     0.55  
  Hypothetical(c)       1,000.00       1,003.16       0.39 (d)     0.55  

 

(a) Expenses are equal to the annualized expense ratio of the respective share class, multiplied by the average account value over the period, multiplied by 182/366 (to reflect the one-half year period).
(b) Annualized.
(c) 5% annual return before expenses.
(d) Expenses are equal to the annualized expense ratio of the respective share class, multiplied by the average account value over the period, multiplied by 26/366 (to reflect the period from April 4, 2024 to April 30, 2024).

 

- 202 -

THE ALGER FUNDS

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

Board Approval of Investment Advisory Agreements

 

 

Alger Concentrated Equity Fund and Alger AI Enablers & Adopters Fund

 

At a meeting held on February 20, 2024 (the “Meeting”), the Board of Trustees (the “Board”) of The Alger Funds (the “Trust”), including a majority of the trustees who are not “interested persons” (as defined in the Investment Company Act of 1940, as amended) of the Trust (the “Independent Trustees”), reviewed and approved the investment advisory agreement between Fred Alger Management, LLC (the “Manager”) and the Trust, on behalf of Alger Concentrated Equity Fund and Alger AI Enablers & Adopters Fund (each a "Fund") (the “Management Agreement”), for an initial term through October 31, 2025. In considering the initial approval of the Management Agreement with respect to each Fund, the Board reviewed and considered information provided by the Manager and its representatives at the Meeting and throughout the year at meetings of the Board and its committees, including in their capacity as members of the boards of trustees of the Alger Family of Funds, including the other series of the Trust. In addition, the Board took into account information that it previously reviewed and considered in response to a request for information Independent Trustee counsel submitted to the Manager on behalf of the Independent Trustees in connection with other funds’ annual contract renewal process, as well as the Manager’s representation that applicable information remained accurate and complete. The Board noted that the terms of the Management Agreement and the services to be provided thereunder are identical to the terms of the existing Management Agreement between the Trust and the Manager. The Independent Trustees also received advice from, and met separately with, their Independent Trustee counsel in considering whether to initially approve the Management Agreement with respect to the Funds. The Independent Trustees also received a memorandum from Independent Trustee counsel discussing the legal standards and their duties in considering the initial approval of the Management Agreement. The Board reviewed the materials provided and considered all of the factors it deemed relevant in initially approving the Management Agreement with respect to the Funds, including, but not limited to: (i) the nature, extent and quality of the services to be provided by the Manager; (ii) short- and long-term investment performance of the funds in the Alger Family of Funds; (iii) the estimated costs of the services to be provided by the Manager and estimated profitability; (iv) the extent to which economies of scale may be realized as the Funds grow; and (v) whether the proposed fee levels reflect these estimated economies of scale for the benefit of Fund shareholders. The Board did not identify any one factor as dispositive, and each Board member may have attributed different weights to the factors considered.

  

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THE ALGER FUNDS

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

Nature, Extent and Quality of Services

 

 

In particular, in initially approving the Management Agreement, the Board considered the following factors:

 

The Board reviewed and considered information regarding the nature, extent and quality of investment advisory services proposed to be provided by the Manager to the Funds. This information included, among other things, the qualifications, background and experience of the professional personnel who will perform services for the Funds; the structure of investment professional compensation; oversight of third-party service providers; fee and expense information for the Funds; fees and proposed payments to intermediaries for fund administration, transfer agency and shareholder services; legal and compliance matters; risk controls; pricing and other services to be provided by the Manager; and the range of advisory fees the Manager charges to other funds and accounts under its management, including the Manager’s explanation of differences among such funds and accounts and the Funds, where relevant. The Board noted that it received information at regular meetings throughout the year regarding the services to be rendered by the Manager concerning the management of the Alger Family of Funds affairs, including certain portfolio manager presentations, and the Manager’s role in coordinating and overseeing providers of other services to the Alger Family of Funds.

 

The Board noted the Manager’s history and expertise in the “growth” style of investment management, as well as the Manager’s consistency in applying its “growth” style investment philosophy and process. The Board noted the length of time the Manager had provided services as an investment adviser to each Fund and also noted an analysis by FUSE Research Network LLC, an independent consulting firm, in connection with the annual contract renewals of other series in the Alger Family of Funds, that the Manager’s successful flagship offerings should sustain growth and maintain the Manager’s presence and brand in the marketplace.

 

The Board also reviewed and considered the potential benefits to be provided to Fund shareholders of investing in a fund that is part of the Alger Family of Funds. The Board noted the continuing strong financial position of the Manager and its commitment to the fund business.

 

Following consideration of such information, the Trustees determined that they were satisfied with the nature, extent and quality of services proposed to be provided by the Manager to the Funds under the Management Agreement.

 

Fund Performance

 

 

In their capacity as members of the boards of trustees of the Alger Family of Funds, the Board, including the Independent Trustees, received and considered information about the Manager’s investment performance for the other funds in the Alger Family of Funds at the 2023 15(c) meeting as well as information about investment performance that it received at quarterly Board meetings. The Board, however, could not consider the performance history of the Funds because the Funds had not yet commenced operations as of the date of the Meeting.

 

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THE ALGER FUNDS 

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

Comparative Fees and Expenses

 

 

The Board reviewed and considered the proposed contractual advisory fee to be paid by each Fund to the Manager in light of the nature, extent, and quality of services proposed to be provided by the Manager pursuant to the Management Agreement. The Board also reviewed and considered the proposed fee waiver and/or expense reimbursement agreement (“Expense Reimbursement Agreement”) for the Funds, including with respect to specific Fund share classes, and considered the estimated actual fee rate (after taking such waivers and reimbursements into account) to be paid by the Funds. Additionally, the Board received and considered information comparing each Fund’s proposed contractual advisory fee and total annual operating expenses after fee waivers and reimbursements with those of funds in the Fund’s Morningstar peer group. The Board concluded that the contractual advisory fee proposed to be charged to each Fund is reasonable in relation to the services to be rendered by the Manager and is the product of arm’s length negotiations.

 

Profitability

 

 

The Board then noted that the Manager could not report any financial results from its relationship with the Funds because the Funds had not yet commenced investment operations, and thus, the Board could not evaluate the Manager’s profitability with respect to the Funds. The Board considered management’s representations that the Manager is not expected to be profitable with respect to the Funds until the Funds reach scale. The Board further noted the Manager’s commitment to waive fees and reimburse certain expenses in order to cap certain “other expenses” of each Fund during the term of the proposed Expense Reimbursement Agreement.

 

The Board also considered the extent to which the Manager might derive ancillary benefits from Fund operations, including, for example, through soft dollar arrangements. Based upon its consideration of all these factors, the Trustees concluded that the level of estimated profitability to be realized by the Manager from providing services to the Funds, which is anticipated to be negative until the Funds reach scale, was not excessive in view of the nature, extent and quality of services to be provided to the Funds.

 

Economies of Scale

 

 

The Board reviewed and considered the extent to which the Manager may be able to realize economies of scale, if any, as the Funds grow larger and whether each Fund’s proposed advisory fee structure reflects any economies of scale for the benefit of Fund shareholders. The Board considered the Manager’s view that the overall size of the Manager allows it to realize other economies of scale, such as with office space, purchases of technology, and other general business expenses. Because the Funds had not commenced operations, the Board determined to monitor whether the Manager may share with the Funds any benefits that occur if the Funds experience economies of scale.

 

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THE ALGER FUNDS

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

Conclusion

 

 

Based on its review, consideration and evaluation of all factors it believed relevant, including the above-described factors and conclusions, the Board, including the Independent Trustees voting separately, unanimously approved the Management Agreement between the Manager and the Trust, on behalf of each Fund, for an initial term through October 31, 2025.

 

Alger International Focus Fund

 

At a meeting held on December 12, 2023 (the “Meeting”), the Board of Trustees (the “Board”) of the Fund, including a majority of the trustees who are not “interested persons” (as defined in the Investment Company Act of 1940, as amended) of the Fund (the “Independent Trustees”), reviewed and approved the sub-investment advisory agreement between Fred Alger Management, LLC (“Alger”) and Redwood Investments, LLC (the “Sub-Adviser”) on behalf of the Alger International Fund (the "Fund") (the “Sub-Advisory Agreement”), for an initial term through September 2025.

 

In considering the initial approval of the Sub-Advisory Agreement with respect to the Fund, the Board reviewed and considered information provided by Alger and the Sub-Adviser and their representatives at the Meeting. The Trustees noted that it is anticipated that the parent company of Alger will acquire the Sub-Adviser (the “Transaction”) and that after such Transaction the Sub-Adviser will become an affiliate of Alger and adopt various policies, procedures, controls, and operations of Alger. The Board reviewed and considered information Alger and the Sub-Adviser provided in response to a request for information that Independent Trustee counsel submitted to Alger and the Sub-Adviser on behalf of the Independent Trustees in connection with the Board’s consideration of the Sub-Advisory Agreement. The Board noted that the terms of the Sub-Advisory Agreement and the services to be provided thereunder are substantially similar to the terms of the existing sub-investment advisory agreement for other series of the Alger Family of Funds.

 

The Independent Trustees also received advice from, and met separately with, Independent Trustee counsel in considering whether to approve the Sub-Advisory Agreement with respect to the Fund. The Independent Trustees also received a memorandum from Independent Trustee counsel discussing the legal standards and their duties in considering the approval of the Sub-Advisory Agreement. In determining whether to approve the Sub-Advisory Agreement, the Board considered an opinion of Fund counsel that the appointment of the Sub-Adviser would not constitute an “assignment” of the Fund’s investment advisory agreement with Alger, or a material amendment of the advisory agreement, and therefore did not require a vote of the Fund’s shareholders on a new or amended investment advisory agreement between the Fund and Alger, and that the Sub-Advisory Agreement did not require approval by the Fund’s shareholders.

 

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THE ALGER FUNDS 

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

The Board reviewed the materials provided and considered all of the factors it deemed relevant in initially approving the Sub-Advisory Agreement with respect to the Fund, including, but not limited to: (i) the nature, extent and quality of the services to be provided by the Sub-Adviser; (ii) the investment performance of similarly managed investment strategies managed by the Sub-Adviser; (iii) the estimated costs of the services proposed to be provided by the Sub-Adviser; (iv) the extent to which economies of scale may be realized as the Fund grows; and (v) whether the proposed fee levels reflect these estimated economies of scale for the benefit of Fund shareholders. The Board did not identify any one factor as dispositive, and each Trustee may have attributed different weights to the factors considered.

 

In particular, in approving the Sub-Advisory Agreement, the Board considered the following factors:

 

Nature, Extent and Quality of Services

 

 

The Board reviewed and considered information regarding the nature, extent and quality of investment management services proposed to be provided by the Sub-Adviser to the Fund. This information included, among other things, the qualifications, background and experience of the professional personnel who will perform services for the Fund; the structure of investment professional compensation; short- and long-term investment performance of strategies managed by the Sub-Adviser that are similar to the Fund’s strategies; legal and compliance matters; and risk controls.

 

The Board noted the Sub-Adviser’s history and expertise in the “growth” style of investment management, as well as the Sub-Adviser’s statements to the Board regarding the Sub-Adviser’s consistency in applying its “growth” style investment philosophy and process. The Board also considered the investment approach of the Sub-Adviser, which takes a fundamental, bottom-up research approach to investing in growth equities, similar to that of Alger and Weatherbie Capital, LLC, an affiliate of Alger and sub-advisor to other series of the Alger Family of Funds. The Board noted the length of time the Sub-Adviser has provided services as investment adviser to clients and noted the Sub-Adviser’s long-term performance record to support its view on its overall investment capabilities.

 

Following consideration of such information, the Board determined that it was satisfied with the nature, extent and quality of services proposed to be provided by Sub-Adviser to the Fund under the Sub-Advisory Agreement.

 

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THE ALGER FUNDS

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

Fund Performance

 

 

The Board received and considered information about the Sub-Adviser’s investment performance for the investment strategies the Sub-Adviser manages that are similar to the Fund’s investment strategies. The Board, however, did not consider the performance history of the Fund under the Sub-Adviser’s management because the Sub-Adviser had not yet been appointed to manage the Fund.

 

Comparative Fees and Expenses

 

 

The Board reviewed and considered the proposed contractual sub-advisory fee in light of the nature, extent and quality of the services proposed to be provided by the Sub-Adviser pursuant to the Sub-Advisory Agreement. The Board noted that the Sub-Adviser will be paid by Alger out of the advisory fee Alger receives from the Fund.

 

Profitability

 

 

The Board then noted that the Sub-Adviser could not report any financial results from its relationship with the Fund because the Sub-Adviser had not yet commenced investment advisory services, and thus, the Board could not evaluate the Sub-Adviser’s profitability with respect to the Fund. The Board noted Alger’s commitment to waive fees and reimburse expenses in order to cap certain “other expenses” of each share class of the Fund during the term of the existing fee waiver and/or expense reimbursement agreement and that the proposed sub-advisory fee payable to the Sub-Adviser would be reduced proportionally in the amount of such fee waivers or expense reimbursements. The Board also considered the extent to which the Sub-Adviser might derive ancillary benefits from Fund operations, including, for example, through soft dollar arrangements.

 

Economies of Scale

 

 

The Board reviewed and considered the extent to which the Sub-Adviser may be able to realize economies of scale, if any, as the Fund grows larger and whether the Fund’s advisory fee structure reflects any economies of scale for the benefit of Fund shareholders. Because the Sub-Adviser had not yet commenced providing investment advisory services to the Fund, the Board determined to monitor whether the Sub-Adviser may share with the Fund any benefits that occur if the Fund experiences economies of scale.

 

 

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THE ALGER FUNDS 

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

Conclusion

 

 

Based on its review, consideration and evaluation of all factors it believed relevant, including the above-described factors and conclusions, the Board, including the Independent Trustees voting separately, unanimously approved the Sub-Advisory Agreement between Alger and the Sub-Adviser, effective upon the closing of the Transaction, for an initial term through September 2025.

 

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THE ALGER FUNDS 

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

Privacy Policy

 

 

U.S. Consumer Privacy Notice Rev. 06/22/21
FACTS WHAT DOES ALGER DO WITH YOUR PERSONAL INFORMATION?
Why? Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some but not all sharing. Federal law also requires us to tell you how we collect, share, and protect your personal information. Please read this notice carefully to understand what we do.
What? The types of personal information we collect and share depend on the product or service you have with us. This information can include:
  • Social Security number and
  • Account balances and
  • Transaction history and
  • Purchase history and
  • Assets
  When you are no longer our customer, we continue to share your information as described in this notice.
How? All financial companies need to share personal information to run their everyday business. In the section below, we list the reasons financial companies can share personal information; the reasons Alger chooses to share; and whether you can limit this sharing.

 

Reasons we can share your personal information Does Alger share? Can you limit this sharing?
For our everyday business purposes — such as to process your transactions, maintain your account(s), respond to court orders and legal investigations, or report to credit bureaus Yes No
For our marketing purposes — to offer our products and services to you Yes No
For joint marketing with other financial companies No We don’t share
For our affiliates’ everyday business purposes — information about your transactions and experiences Yes No
For our affiliates’ everyday business purposes — information about your creditworthiness No We don’t share
For nonaffiliates to market to you No We don’t share
Questions? Call 1-800-223-3810    

 

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THE ALGER FUNDS 

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

Who we are  
Who is providing this notice? Alger includes Fred Alger Management, LLC and Fred Alger & Company, LLC as well as the following funds: The Alger Funds, The Alger Funds II, The Alger Institutional Funds, The Alger Portfolios, Alger Global Focus Fund, and The Alger ETF Trust.

 

What we do  
How does Alger protect my personal information? To protect your personal information from unauthorized access and use, we use security measures that comply with federal law. These measures include computer safeguards and secured files and buildings.
How does Alger collect my personal information? We collect your personal information, for example, when you:
  • Open an account or
  • Make deposits or withdrawals from your account or
  • Give us your contact information or
  • Provide account information or
  • Pay us by check.
Why can’t I limit all sharing? Federal law gives you the right to limit some but not all sharing related to:
  • sharing for affiliates’ everyday business purposes—information about your credit worthiness
  • affiliates from using your information to market to you
  • sharing for nonaffiliates to market to you State laws and individual companies may give you additional rights to limit sharing.

 

Definitions  
Affiliates Companies related by common ownership or control. They can be financial and nonfinancial companies.
  • Our affiliates include Fred Alger Management, LLC, Weatherbie Capital, LLC, Redwood Investments, LLC, and Fred Alger & Company, LLC as well as the following funds: The Alger Funds, The Alger Funds II, The Alger Institutional Funds, The Alger Portfolios, Alger Global Focus Fund, and The Alger ETF Trust.
Nonaffiliates Companies not related by common ownership or control. They can be financial and nonfinancial companies.
Joint marketing A formal agreement between nonaffiliated financial companies that together market financial products or services to you.

 

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THE ALGER FUNDS

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

  

Proxy Voting Policies

 

  

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

 

Fund Holdings

 

  

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

 

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

 

The Funds file their complete schedules of portfolio holdings with the SEC semi-annually in shareholder reports on Form N-CSR and after the first and third fiscal quarters as an exhibit to their reports on Form N-PORT. The Funds' Forms N-CSR and N-PORT are available online on the SEC’s website at www.sec.gov.

 

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

 

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

 

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

 

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THE ALGER FUNDS

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

  

In addition to material the Funds routinely provide to shareholders, the Investment Manager may make additional statistical information available regarding the Alger Family of Funds.

 

Such information may include, but not be limited to, relative weightings and characteristics of a Fund versus an index (such as P/E ratio, alpha, beta, capture ratio, maximum drawdown, standard deviation, EPS forecasts, Sharpe ratio, information ratio, R-squared, and market cap analysis), security specific impact on overall portfolio performance, month-end top ten contributors to and detractors from performance, portfolio turnover, and other similar information. Shareholders should visit www.alger.com or may also contact the Funds at (800) 992-3863 to obtain such information.

 

Liquidity Risk Management Program

 

  

In accordance with Rule 22e-4 under the 1940 Act (the “Liquidity Rule”), the Trust has adopted and implemented a liquidity risk management program (the “LRMP”), which is reasonably designed to assess and manage each Fund’s liquidity risk.

 

The Board met on December 12, 2023 (the “Meeting”) to review the LRMP. The Board previously appointed Alger Management as the program administrator for the LRMP and approved an agreement with ICE Data Services (“ICE”), a third party vendor that assists each Fund with liquidity classifications required by the Liquidity Rule. Alger Management also previously delegated oversight of the LRMP to the Liquidity Risk Committee (the “Committee”). At the Meeting, the Committee, on behalf of Alger Management, provided the Board with a report that addressed the operation of the LRMP and assessed its adequacy and effectiveness of implementation, and any material changes to the LRMP (the “Report”). The Report covered the period from December 1, 2022 through November 30, 2023 (the “Review Period”).

 

The Report stated that the Committee assessed each Fund’s liquidity risk by considering qualitative factors such as each Fund’s investment strategy, holdings, diversification of investments, redemption policies, cash flows, cash levels, shareholder concentration, and access to borrowings, among others, in conjunction with the quantitative classifications generated by ICE. In addition, in connection with the review of each Fund’s liquidity risks and the operation of the LRMP and the adequacy and effectiveness of its implementation, the Committee also evaluated the levels at which to set the reasonably anticipated trade size (“RATS”) and market price impact. The Report described the process for determining that each Fund primarily holds investments that are highly liquid. The Report noted that the Committee also performed stress tests on each Fund and concluded that each Fund remained primarily highly liquid. The Report stated that during the Reporting Period, based on updates to Alger Management’s Rule 144A Policy and Procedures, the reporting of Rule 144A securities was updated to reflect the factors used to determine whether such securities, which are deemed illiquid, are liquid and freely tradeable.

 

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THE ALGER FUNDS

ADDITIONAL INFORMATION (Unaudited) (Continued)

 

 

There were no material changes to the LRMP during the Review Period. The Report provided to the Board stated that the Committee concluded that, based on the operation of the functions, as described in the Report, during the Review Period, the Trust’s LRMP was operating effectively and adequately with respect to the Funds and has been effectively implemented during the Review Period.

 

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THE ALGER FUNDS

 

 

100 Pearl Street,

27th Floor

New York, NY 10004

(800) 992-3863

www.alger.com

 

Investment Manager

 

  

Fred Alger Management, LLC

100 Pearl Street, 27th Floor 

New York, NY 10004

 

Sub-Advisers

 

  

Weatherbie Capital, LLC

265 Franklin Street, Suite 1603 

Boston, MA 02110

 

Redwood Investments, LLC

265 Franklin Street, Suite 1603 

Boston, Massachusetts 02110

 

Distributor

 

  

Fred Alger & Company, LLC

100 Pearl Street, 27th Floor 

New York, NY 10004

 

Transfer Agent and Dividend Disbursing Agent

 

  

UMB Fund Services, Inc.

235 W. Galena Street

Milwaukee, WI 53212

 

Custodian

 

  

The Bank of New York

240 Greenwich Street 

New York, NY 10286

 

Independent Registered Public Accounting Firm

 

  

Deloitte & Touche LLP

30 Rockefeller Plaza 

New York, NY 10112

 

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

 

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 (b) Include a copy of each notice transmitted to stockholders in reliance on Rule 30e-3 under the Act (17 CFR 270.30e-3) that contains disclosures specified by paragraph (c)(3) of that rule.

 

Not applicable.

 

ITEM 2. CODE OF ETHICS.

 

Not applicable.

 

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

 

Not applicable.

 

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

 

Not applicable.

 

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

 

Not applicable.

 

ITEM 6. INVESTMENTS.

 


 (a) A Schedule of Investments in securities of unaffiliated issuers as of the close of the Reporting Period is included as part of the report to shareholders filed under Item 1 of this Form N-CSR.

 


 (b) Not applicable.

 

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

 

Not applicable.

 

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

 

Not applicable.

 

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

 

Not applicable.

 

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

 

Not applicable.

 

ITEM 11. CONTROLS AND PROCEDURES.

 

(a) The Registrant’s principal executive officer and principal financial officer have concluded that the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) are effective based on their evaluation of the disclosure controls and procedures as of a date within 90 days of the filing date of this document.

 

(b) No changes in the Registrant’s internal control over financial reporting occurred during the Registrant’s second fiscal quarter of the period covered by this report that materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

 

ITEM 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.

 

Not applicable.

 
ITEM 13. EXHIBITS.

 

(a) (1) Not applicable

 

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

 

(a) (3) Not applicable

(a) (4) Not applicable

 

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

 

SIGNATURES

 

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

 

The Alger Funds
   
By:  /s/ Hal Liebes  
     
  Hal Liebes  
  Principal Executive Officer  

 

Date:  June 18, 2024

 

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

 

By: /s/ Hal Liebes  
     
  Hal Liebes  
  Principal Executive Officer  
     
Date:  June 18, 2024  
     
By: /s/ Michael D. Martins  
     
  Michael D. Martins  
  Principal Financial Officer  
     
Date:  June 18, 2024