A couple of the Gabelli leveraged funds I believe are vulnerable to any kind of a sell-off in the equity markets now. The Gabelli fund (NYSE:GAB) and the Gabelli Global Media Trust (NYSE:GGT) are pure stock based funds which use quite a bit of leverage meaning they have no fixed income to cushion any equity market sell-off. Both funds have done incredibly well due to that leverage with GAB's NAV up 22.1% YTD and GGT's NAV up 22.3% and their total return market prices have done even better which has brought both to the high end of their premium/discount range.
Now I'm not saying the markets are going to sell-off here but after the run we've had, I wouldn't be surprised to see some kind of a backtrack. Both funds are up 1% heading into a soft market close and with both funds at 4-year highs and premium valuations, I would be careful.
They're still a month off from going ex-dividend in mid June and a lot can happen before then.
Disclosure: I am short GAB.