<SEC-DOCUMENT>0001145443-11-000959.txt : 20110929
<SEC-HEADER>0001145443-11-000959.hdr.sgml : 20110929
<ACCEPTANCE-DATETIME>20110929062545
ACCESSION NUMBER:		0001145443-11-000959
CONFORMED SUBMISSION TYPE:	N-Q
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20110731
FILED AS OF DATE:		20110929
DATE AS OF CHANGE:		20110929
EFFECTIVENESS DATE:		20110929

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			BANCROFT FUND LTD
		CENTRAL INDEX KEY:			0000009521
		IRS NUMBER:				042476994
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1031

	FILING VALUES:
		FORM TYPE:		N-Q
		SEC ACT:		1940 Act
		SEC FILE NUMBER:	811-02151
		FILM NUMBER:		111113348

	BUSINESS ADDRESS:	
		STREET 1:		65 MADISON AVENUE
		STREET 2:		SUITE 550
		CITY:			MORRISTOWN
		STATE:			NJ
		ZIP:			07960
		BUSINESS PHONE:		(973) 631-1177

	MAIL ADDRESS:	
		STREET 1:		65 MADISON AVENUE
		STREET 2:		SUITE 550
		CITY:			MORRISTOWN
		STATE:			NJ
		ZIP:			07960

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	BANCROFT CONVERTIBLE FUND INC
		DATE OF NAME CHANGE:	19920703
</SEC-HEADER>
<DOCUMENT>
<TYPE>N-Q
<SEQUENCE>1
<FILENAME>d28691.htm
<DESCRIPTION>N-Q
<TEXT>
<!doctype html public "-//IETF//DTD HTML//EN">
<HTML>
<HEAD>
<TITLE>&lt;PAGE&gt;</TITLE>
<META NAME="author" CONTENT="Gary Levine">
<META NAME="date" CONTENT="09/19/2011">
</HEAD>
<BODY style="line-height:12pt; font-family:Times New Roman; font-size:10pt; color:#000000">
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>UNITED STATES</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>SECURITIES AND EXCHANGE COMMISSION</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Washington, DC 20549</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>FORM N-Q</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>MANAGEMENT INVESTMENT COMPANY</P>
<P style="margin:0px" align=center><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Investment Company Act file number 811-02151</P>
<P style="line-height:13pt; margin:0px; font-size:11pt"
align=center>-------------------------------------------------------------------------------</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Bancroft Fund Ltd.</P>
<P style="line-height:13pt; margin:0px; font-size:11pt"
align=center>-------------------------------------------------------------------------------</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>(Exact name of registrant as specified in charter)</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>65 Madison Avenue, Morristown, New Jersey 07960-7308</P>
<P style="line-height:13pt; margin:0px; font-size:11pt"
align=center>-------------------------------------------------------------------------------</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>(Address of principal executive offices) (Zip code)</P>
<P style="margin:0px" align=center><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Thomas H. Dinsmore</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Bancroft Fund Ltd.</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>65 Madison Avenue</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Morristown, New Jersey 07960-7308</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>(Name and address of agent for service)</P>
<P style="margin:0px" align=center><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Copy to:</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Steven B. King, Esq.</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Ballard Spahr LLP</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>1735 Market Street, 51st Floor</P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Philadelphia, PA 19103-7599</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Registrant's telephone number, including area code: 973-631-1177</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Date of fiscal year end: &nbsp;October 31, 2011</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Date of reporting period: &nbsp;July 31, 2011</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">ITEM 1. SCHEDULE OF INVESTMENTS.</P>
<P style="margin:0px"><BR></P>


<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>
<P style="margin:0px"><BR></P>

<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><B><I>Bancroft Fund Ltd. &#8211; Schedule of Investments</I>
</B> <I>(unaudited)</I></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><BR><B><I>July 31, 2011</I></B></P>
<DIV style="line-height:12pt; font-family:Times New Roman; font-size:10pt; color:#000000">
<TABLE style="font-size:10pt" cellspacing=0 align=center><TR STYLE="height: 0px; background-color: transparent"><TD width=451.733>
</TD>
<TD width=89.267></TD>
<TD width=25.333></TD>
<TD width=117.267></TD>
<TD width=47.4></TD></TR>
<TR STYLE="background-color:#000000(204,238,255)"><TD width=451.733 height=20>
<P style="line-height:13pt; margin:0px; font-size:11pt"></P>
</TD>
<TD valign=bottom width=89.267 height=20><P>&nbsp;</P></TD>
<TD valign=bottom width=25.333 height=20><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=bottom width=451.733 height=40><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=89.267 height=40>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Principal Amount</P>
</TD>
<TD valign=bottom width=25.333 height=40><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=40>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Value</P>
</TD>
<TD valign=bottom width=47.4 height=40><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=26.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Convertible Bonds and Notes - 69.3%</B></P>
</TD>
<TD valign=bottom width=89.267 height=26.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=26.8><P>&nbsp;</P></TD>
<TD valign=top width=117.267 height=26.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=26.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=15><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=15><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=15><P>&nbsp;</P></TD>
<TD valign=top width=117.267 height=15><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=15><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Aerospace and Defense - 1.6%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Alliant Techsystems, Inc., 2.75%, Due 9/15/11, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;$ 1,000,000
</P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;$ 1,007,500
</P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Kaman Corp., 3.25%, Due 11/15/17, (A) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;620,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,628,125 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Automotive - 1.8%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">A123
Systems, Inc., 3.75%, Due 4/15/16, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;877,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Titan International, Inc., 5.625%, Due 1/15/17, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;375,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,001,719 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,879,219 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Computer Hardware - 3.8%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">EMC
Corp., 1.75%, Due 12/1/13, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,900,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;3,175,375 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">NetApp, Inc., 1.75%, Due 6/1/13, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;776,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;3,951,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Computer Software - 6.3%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Digital River, Inc., 2.00%, Due 11/1/30, (A) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;922,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Electronic Arts, Inc., 0.75%, Due 7/15/16, (AA)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;375,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;373,594 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Microsoft Corp., Due 6/15/13, (AAA)(2)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;519,375 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Nuance Communications, Inc., 2.75%, Due 8/15/27, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,512,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">RightNow Technologies, Inc., 2.50%, Due 11/15/30, (BBB) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;325,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Rovi Corp., 2.625%, Due 2/15/40, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;971,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">THQ,
Inc., 5.00%, Due 8/15/14, (CCC)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;444,375 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">WebMD Health Corp., 2.50%, Due 1/31/18, (BBB) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;445,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;6,513,594 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Construction Material - 0.9%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">CEMEX, S.A.B. de C.V., 4.875%, Due 3/15/15, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;891,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Consumer Goods - 0.5%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Iconix Brand Group, Inc., 2.50%, Due 6/1/16, (A)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;260,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Regis Corp., 5.00%, Due 7/15/14, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;300,312 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;560,937 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Data Processing - 0.5%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">CSG Systems International, Inc., 3.00%, Due 3/1/17, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Energy - 6.6%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Endeavour International Corp., 5.50%, Due 7/15/16, (BB)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;483,750 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Goodrich Petroleum Corp., 5.00%, Due 10/1/29, (CCC)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;997,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<A NAME="_Aci_Pg1"></A><TR STYLE="background-color: transparent"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">JinkoSolar Holding Co. Ltd., 4.00%, Due 5/15/16, (NR)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;756,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Oil States International, Inc., 2.375%, Due 7/1/25, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;400,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,020,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Renesola Ltd., 4.125%, Due 3/15/18, (NR)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;341,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">SunPower Corp., 4.75%, Due 4/15/14, (NR) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;521,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">SunPower Corp., 4.50%, Due 3/15/15, (NR) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,346,875 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Transocean, Inc., 1.50%, Due 12/15/37, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;493,125 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Trina Solar Ltd., 4.00%, Due 7/15/13, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;921,562 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;6,881,562 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR>
<BR></P>




<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>

<P style="margin:0px"><BR></P>

<A NAME="_Aci_Pg2"></A>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><B><I>Bancroft Fund Ltd. &#8211; Schedule of Investments</I></B> <I>(continued)</I></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><BR><B><I>July 31, 2011</I></B></P>
<TABLE style="font-size:10pt" cellspacing=0 align=center><TR height=0 style="font-size:0"><TD width=451.733></TD>
<TD width=89.267></TD>
<TD width=25.333></TD>
<TD width=117.267></TD>
<TD width=47.4></TD></TR>
<TR><TD valign=bottom width=451.733 height=35><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=89.267 height=35>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Principal Amount</P>
</TD>
<TD valign=bottom width=25.333 height=35><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=35>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Value</P>
</TD>
<TD valign=bottom width=47.4 height=35><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Financial Services - 5.8%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Annaly Capital Management, Inc., 4.00%, Due 2/15/15, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;860,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">BGC Partners, Inc., 4.50%, Due 7/15/16, (BBB)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;249,375 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Euronet Worldwide, Inc., 3.50%, Due 10/15/25, (B)(3)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,005,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Knight Capital Group, Inc., 3.50%, Due 3/15/15, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;702,656 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">National Financial Partners, 4.00%, Due 6/15/17, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;838,125 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Old Republic International Corp., 8.00%, Due 5/15/12, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,332,812 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Tower Group, Inc., 5.00%, Due 9/15/14, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,077,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;6,066,093 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Foods - 0.5%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Chiquita Brands International, 4.25%, Due 8/15/16, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;472,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Healthcare - 6.1%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Chemed Corp., 1.875%, Due 5/15/14, (AA)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;890,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;912,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">China Medical Technologies, Inc., 4.00%, Due 8/15/13, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,100,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;771,375 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Insulet Corp., 3.75%, Due 6/15/16, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;509,375 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Integra Lifesciences Holdings Co., 2.375%, Due 6/1/12, (BBB)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,067,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,069,668 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Integra Lifesciences Holdings Co., 1.625%, Due 12/15/16, (BBB)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;248,125 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Kinetic Concepts, Inc., 3.25%, Due 4/15/15, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,432,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">NuVasive, Inc., 2.75%, Due 7/1/17, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;243,750 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Sonosite, Inc., 3.75%, Due 7/15/14, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,107,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;6,294,543 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Machinery - 0.5%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Chart Industries, Inc., 2.00%, Due 8/1/18, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;506,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Metals and Mining - 3.4%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Jaguar Mining, Inc., 4.50%, Due 11/1/14, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;525,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;470,531 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">James River Coal Co., 3.125%, Due 3/15/18, (CCC)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;125,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;122,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Kaiser Aluminum Corp., 4.50%, Due 4/1/15, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,316,300 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Northgate Minerals Corp., 3.50%, Due 10/1/16, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;550,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">RTI International Metals, Inc., 3.00%, Due 12/1/15, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;475,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;553,375 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">United States Steel Corp., 4.00%, Due 5/15/14, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;375,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;538,125 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;3,551,456 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Pharmaceuticals - 9.6%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Akorn, Inc., 3.50%, Due 6/1/16, (AA)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;270,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Amgen, Inc., 0.375%, Due 2/1/13, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,006,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Amylin Pharmaceuticals, Inc., 3.00%, Due 6/15/14, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;466,875 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<A NAME="_Aci_Pg3"></A><TR STYLE="background-color: transparent"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Cephalon, Inc., 2.50%, Due 5/1/14, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;616,875 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Cubist Pharmaceuticals, Inc., 2.25%, Due 6/15/13, (AA)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;929,062 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">Endo
Pharmaceuticals Holdings, 1.75%, Due 4/15/15, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,032,188 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Gilead Sciences, Inc., 1.00%, Due 5/1/14, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;843,750 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Gilead Sciences, Inc., 1.625%, Due 5/1/16, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;883,125 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Millipore Corp. (Merck KGA), 3.75%, Due 6/1/26, (BBB)(3,5)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;902,775 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Mylan, Inc., 1.25%, Due 3/15/12, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,590,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Onyx Pharmaceuticals, Inc., 4.00%, Due 8/15/16, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;867,188 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Salix Pharmaceuticals, Inc., 2.75%, Due 5/15/15, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;568,125 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;9,976,838 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR>
<BR></P>



<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>

<P style="margin:0px"><BR></P>

<A NAME="_Aci_Pg4"></A>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><B><I>Bancroft Fund Ltd. &#8211; Schedule of Investments</I></B> <I>(continued)</I></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><BR><B><I>July 31, 2011</I></B></P>
<TABLE style="font-size:10pt" cellspacing=0 align=center><TR STYLE="height: 0px; background-color: transparent"><TD width=451.733>
</TD>
<TD width=89.267></TD>
<TD width=25.333></TD>
<TD width=117.267></TD>
<TD width=47.4></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=bottom width=451.733 height=40><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=89.267 height=40>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Principal Amount</P>
</TD>
<TD valign=bottom width=25.333 height=40><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=40>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Value</P>
</TD>
<TD valign=bottom width=47.4 height=40><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Real Estate - 1.7%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Corporate Office Properties LP, 4.25%, Due 4/15/30, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;496,875 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Lexington Realty Trust, 6.00%, Due 1/15/30, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,306,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,803,125 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Semiconductors - 6.7%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Intel Corp., 2.95%, Due 12/15/35, (A)(3)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,032,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Intel Corp., 3.25%, Due 8/1/39, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,487,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Mentor Graphics Corp., 4.00%, Due 4/1/31, (BBB)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;241,875 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Micron Technology, Inc., 1.875%, Due 6/1/14, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;968,750 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Micron Technology, Inc., 1.50%, Due 8/1/31, (A)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;125,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;121,719 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Micron Technology, Inc., 1.875%, Due 8/1/31, (A)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;240,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Novellus Systems, Inc., 2.625%, Due 5/15/41, (A)(1,3)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;479,375 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Photronics, Inc., 3.25%, Due 4/1/16, (A)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;265,938 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Rudolph Technologies, Inc., 3.75%, Due 7/15/16, (A)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;481,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Sandisk Corp., 1.50%, Due 8/15/17, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,082,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Xilinx, Inc., 2.625%, Due 6/15/17, (BBB) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;618,750 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;7,020,782 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Telecommunications - 8.8%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Alaska Communications Systems Group, Inc., 6.25%, Due 5/1/18, (BBB)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;250,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;227,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Anixter International, Inc., 1.00%, Due 2/15/13, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;868,125 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Comtech Telecommunications Co., 3.00%, Due 5/1/29, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;523,750 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Equinix, Inc., 3.00%, Due 10/15/14, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,695,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Equinix, Inc., 4.75%, Due 6/15/16, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;725,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Finisar Corp., 5.00%, Due 10/15/29, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;75,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;137,719 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">General Cable Corp., 4.50%, Due 11/15/29, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;657,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Interdigital, Inc., 2.50%, Due 3/15/16, (AA)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;375,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;506,719 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">NII Holdings, Inc., 3.125%, Due 6/15/12, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,006,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">SBA
Communications Corp., 4.00%, Due 10/1/14, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;703,125 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">SBA Communications Corp., 1.875%, Due 5/1/13, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,100,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">TeleCommunication Systems, Inc., 4.50%, Due 11/1/14, (BBB) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;965,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;9,116,313 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Transportation - 2.1%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Dryships, Inc., 5.00%, Due 12/1/14, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;632,812 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">The
Greenbrier Companies, Inc., 3.50%, Due 4/1/18, (CCC) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;375,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;346,406 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Hawaiian Holdings, Inc., 5.00%, Due 3/15/16, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;465,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Ultrapetrol (Bahamas) Limited, 7.25%, Due 1/15/17, (NR)(1)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;725,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<A NAME="_Aci_Pg5"></A><TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,170,468 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Travel &amp; Leisure - 2.1%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Home Inns &amp; Motels Management, 2.00%, Due 12/15/15, (NR) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;500,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;498,750 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">MGM
Resorts International, 4.25%, Due 4/15/15, (CCC)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;750,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;854,062 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Morgans Hotel Group Co., 2.375%, Due 10/15/14, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,000,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;873,750 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,226,562 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>TOTAL CONVERTIBLE BONDS AND NOTES</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;72,011,867 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR>
<BR></P>



<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>

<P style="margin:0px"><BR></P>

<A NAME="_Aci_Pg6"></A>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><B><I>Bancroft Fund Ltd. &#8211; Schedule of Investments</I></B> <I>(continued)</I></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><BR><B><I>July 31, 2011</I></B></P>
<TABLE style="font-size:10pt" cellspacing=0 align=center><TR STYLE="height: 0px; background-color: transparent"><TD width=451.733>
</TD>
<TD width=89.267></TD>
<TD width=25.333></TD>
<TD width=117.267></TD>
<TD width=47.4></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=bottom width=451.733 height=40><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=89.267 height=40>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Principal Amount</P>
</TD>
<TD valign=bottom width=25.333 height=40><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=40>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Value</P>
</TD>
<TD valign=bottom width=47.4 height=40><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>CORPORATE BONDS - 0.2%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Financial Services - 0.2%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Lehman Brothers Holdings, Inc., 1.00%, Due 3/23/09, (NR)(4)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,500,000
</P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;247,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>TOTAL CORPORATE BONDS</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;247,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>CONVERTIBLE PREFERRED STOCKS - 15.0%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=top width=89.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Shares</P>
</TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Banking/Savings and Loan - 6.0%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Bank of America Corporation, 7.25%, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,600 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,559,568 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Fifth Third Bancorp, 8.50%, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;9,750 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,378,942 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">New York Community Capital Trust V, 6.00%, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;24,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,141,920 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Wells Fargo &amp; Co., 7.50%, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,123,400 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-top:1px solid #000000; border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;6,203,830 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Energy - 3.4%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">ATP Oil &amp; Gas Corp., 8.00%, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;10,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;901,275 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Chesapeake Energy Corp., 5.00%, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;25,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,625,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Whiting Petroleum Corp., 6.25%, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;131 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;36,578 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-top:1px solid #000000; border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;3,562,853 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Financial Services - 0.7%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Hartford Financial Services Group, Inc., 7.25%, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;30,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;714,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Foods - 0.7%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Bunge Ltd., 4.875%, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;7,500 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;765,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Real Estate - 0.5%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Health Care REIT, Inc., 6.50%, (BB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;10,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;518,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Retail - 0.7%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Amerivon Holdings LLC, 4.00%, (NR)(1,5,6)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;572,925 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;763,585 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Telecommunications - 0.9%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Crown Castle International Corp., 6.25%, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;16,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;956,000 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<A NAME="_Aci_Pg7"></A><TR STYLE="background-color: transparent"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Tools - 1.1%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Stanley Black &amp; Decker, Inc., 4.75%, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;10,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,127,900 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Utilities - 1.0%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">PPL
Corp., 9.50%, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;18,500 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,037,665 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>TOTAL CONVERTIBLE PREFERRED STOCKS</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;15,649,333 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR>
<BR></P>



<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>

<P style="margin:0px"><BR></P>

<A NAME="_Aci_Pg8"></A>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><B><I>Bancroft Fund Ltd. &#8211; Schedule of Investments</I></B> <I>(continued)</I></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><BR><B><I>July 31, 2011</I></B></P>
<TABLE style="font-size:10pt" cellspacing=0 align=center><TR STYLE="height: 0px; background-color: transparent"><TD width=451.733>
</TD>
<TD width=89.267></TD>
<TD width=25.333></TD>
<TD width=117.267></TD>
<TD width=47.4></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=bottom width=451.733 height=20><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=top width=89.267 height=20>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Shares</P>
</TD>
<TD valign=bottom width=25.333 height=20><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Value</P>
</TD>
<TD valign=bottom width=47.4 height=20><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>MANDATORY CONVERTIBLE SECURITIES - 13.5% (7)</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Automotive - 1.8%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">General Motors Co., 4.75%, Due 12/1/13, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;40,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,848,400 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Data Processing - 0.3%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Unisys Corp., 6.25%, Due 3/1/14, (B)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;5,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;338,850 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;</P>
</TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Energy - 3.6%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Apache Corp., 6.00%, Due 8/1/13, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;25,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,628,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Great Plains Energy, Inc., 12.00%, Due 6/15/12, (BBB)(3)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;20,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,275,400 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">UBS
AG Exchangeable Note (GTAT), 6.75%, Due 9/15/13, (AA)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;20,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;830,200 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-top:1px solid #000000; border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;3,734,100 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;</P>
</TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Financial Services - 2.4%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Citigroup, Inc., 7.50%, Due 12/15/12, (A)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;14,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,570,100 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">MetLife, Inc., 5.00%, Due 10/8/14, (BBB)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;12,500 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;974,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-top:1px solid #000000; border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,544,350 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;</P>
</TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Foods - 0.8%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">2009 Dole Food ACES Trust, 7.00%, Due 11/1/12, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;60,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;791,250 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;</P>
</TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Home Building - 0.2%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Beazer Homes USA, Inc., 7.25%, Due 8/15/13, (CCC)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;17,500 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;261,625 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Metals and Mining - 2.7%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">AngloGold Ashanti Ltd., 6.00%, Due 9/15/13, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;5,900 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;291,578 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">UBS
AG Exchangeable Note (SWC), 9.375%, Due 6/15/12, (AA)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;12,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;242,400 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Vale Capital II (Vale S.A.), 6.75%, Due 6/15/12, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;25,700 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,336,289 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-top:1px solid #000000; border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,870,267 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Transportation - 0.7%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">2010
Swift Mandatory Common Exchange Security Trust, 6.00%, </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt">Due 12/31/13, (NR) </P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;60,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;687,600 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;</P>
</TD></TR>
<TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Utilities - 1.0%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px;
font-size:11pt">Nextera Energy, Inc., 7.00%, Due 9/1/13, (NR)</P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;20,000 </P>
</TD>
<TD width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;1,016,400 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right></P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>TOTAL MANDATORY CONVERTIBLE SECURITIES (7)</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;14,092,842 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<A NAME="_Aci_Pg9"></A><TR STYLE="background-color: transparent"><TD valign=top width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Convertible Bonds and Notes - 69.3%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;$&nbsp;&nbsp;72,011,867 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Corporate Bonds - 0.2%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;247,500 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Convertible Preferred Stocks - 15.0%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;15,649,333 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Mandatory Convertible Securities - 13.5%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;14,092,842 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Total Investments - 98.0%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD width=117.267 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;102,001,542 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD width=117.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD width=451.733 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Other Assets, Net of Liabilites - 2.0%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;2,030,504 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD width=451.733 height=20.8><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Total Net Assets - 100.0%</B></P>
</TD>
<TD valign=bottom width=89.267 height=20.8><P>&nbsp;</P></TD>
<TD valign=top width=25.333 height=20.8><P>&nbsp;</P></TD>
<TD style="border-bottom:3px double #000000" width=117.267 height=20.8>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;$ 104,032,046 </P>
</TD>
<TD valign=bottom width=47.4 height=20.8><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR>
<BR></P>
</DIV>


<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>

<P style="margin:0px"><BR></P>

<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><B><I>Bancroft Fund Ltd. &#8211; Schedule of Investments</I></B> <I>(continued)</I></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><BR><B><I>July 31, 2011</I></B></P>

<DIV style="line-height:12pt; font-family:Times New Roman; font-size:10pt; color:#000000">
<P style="margin:0px"><BR>
<BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=697></TD></TR>
<TR><TD valign=bottom width=697><P style="line-height:13pt; margin:0px; font-size:11pt">(1) Security not registered under the
Securities Act of 1933, as amended (the &#147;Securities Act&#148;) (i.e., the security was purchased in a Rule 144A or a Regulation
D transaction). &nbsp;The security may be resold only pursuant to an exemption from registration under the Securities Act, typically
to qualified institutional buyers. The Fund generally has no rights to demand registration of such securities. The aggregate market
value of these unregistered securities at July 31, 2011 was $9,307,472 which represented 8.9% of the Fund&#146;s net assets.</P>
</TD></TR>
<TR><TD valign=bottom width=697><P>&nbsp;</P></TD></TR>
<TR><TD valign=bottom width=697><P style="line-height:13pt; margin:0px; font-size:11pt">(2) Non-income producing security.</P>
</TD></TR>
<TR><TD valign=bottom width=697><P>&nbsp;</P></TD></TR>
<TR><TD valign=bottom width=697><P style="line-height:13pt; margin:0px; font-size:11pt">(3) Contingent payment debt instrument which
accrues contingent interest. &nbsp;</P>
</TD></TR>
<TR><TD valign=bottom width=697><P>&nbsp;</P></TD></TR>
<TR><TD valign=bottom width=697><P style="line-height:13pt; margin:0px; font-size:11pt">(4) Security is in default.</P>
</TD></TR>
<TR><TD valign=bottom width=697><P>&nbsp;</P></TD></TR>
<TR><TD valign=bottom width=697><P style="line-height:13pt; margin:0px; font-size:11pt">(5) Investment is valued at fair value as
determined in good faith pursuant to procedures adopted by the Board of Trustees. &nbsp;It is possible that the estimated value may
differ from the amount that might ultimately be realized in the near term, and the difference could be material. &nbsp;The fair
value of these securities amounted to $1,666,360 at July 31, 2011, which represented 1.6% of the Fund&#146;s net assets.</P>
</TD></TR>
<TR><TD valign=bottom width=697><P>&nbsp;</P></TD></TR>
<TR><TD valign=bottom width=697><P style="line-height:13pt; margin:0px; font-size:11pt">(6) Restricted securities include securities
that have not been registered under the Securities Act and securities that are subject to restrictions on resale. The Fund may
invest in restricted securities that are consistent with the Fund&#146;s investment objective and investment strategies. In some
cases, the issuer of restricted securities has agreed to register such securities for resale at the issuer&#146;s expense, either
upon demand by the Fund or in connection with another registered offering of the securities. Investments in restricted securities
are valued at fair value as determined in good faith in accordance with procedures adopted by the Board of Trustees. It is possible
that the estimated value may differ significantly from the amount that might ultimately be realized in the near term, and the
difference could be material. As of July 31, 2011, the Fund was invested in the following restricted security:</P>
</TD></TR>
<TR><TD valign=bottom width=697><P>&nbsp;</P></TD></TR>
<TR><TD valign=bottom width=697><P style="line-height:13pt; margin:0px; font-size:11pt">Amerivon Holdings LLC 4.00% preferred</P>
</TD></TR>
<TR><TD valign=bottom width=697><P>&nbsp;</P></TD></TR>
<TR><TD valign=bottom width=697><P style="line-height:13pt; margin:0px; font-size:11pt">(7) Mandatory Convertible Securities are
required to be converted on the dates listed; they generally may be converted prior to these dates at the option of the holder.</P>
</TD></TR>
<TR><TD valign=bottom width=697><P>&nbsp;</P></TD></TR>
<TR><TD valign=bottom width=697><P style="line-height:13pt; margin:0px; font-size:11pt"><B>PORTFOLIO RATINGS:</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Where a security is rated by Standard &amp; Poor&#146;s, such rating appears
in parentheses next to such security (but without any applicable + or - that might apply).</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Where a security is rated by Standard &amp; Poor&#146;s and at least one
other rating agency and the Fund believes the ratings to be functionally equivalent to one another, the Standard &amp; Poor&#146;s
rating appears in parentheses next to such security (but without any applicable + or - that might apply).</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Where a security is rated by Standard &amp; Poor&#146;s and at least one
other rating agency and the Fund believes the ratings not to be functionally equivalent to one another, the Fund puts in parentheses
next to such security the Standard &amp; Poor&#146;s rating which it believes approximates the average of all such ratings (but
without any applicable + or - that might apply).</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Where a security is not rated by Standard &amp; Poor&#146;s, the Fund puts
in parentheses next to such security the Standard &amp; Poor&#146;s rating which it believes approximates the average of all such
ratings (but without any applicable + or - that might apply).<BR>
<BR>NR is used whenever a rating is unavailable.</P>
</TD></TR>
<TR><TD valign=bottom width=697><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>


<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>

<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><B><I>Bancroft Fund Ltd. &#8211; Schedule of Investments</I></B> <I>(continued)</I></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=left><BR><B><I>July 31, 2011</I></B></P>

<P style="margin:0px"><BR></P>

<TABLE style="font-size:10pt" cellspacing=0>
<TR STYLE="height: 0px; background-color: transparent"><TD width=120></TD>
<TD width=108></TD>
<TD width=72></TD>
<TD width=396></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=bottom width=696 colspan=4>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>SUMMARY OF PORTFOLIO RATINGS </B>*</P>
</TD></TR>
<TR STYLE="background-color: transparent"><TD valign=bottom width=120><P style="line-height:13pt; margin:0px; font-size:11pt">AAA
</P>
</TD>
<TD valign=bottom width=108><P style="line-height:13pt; margin:0px; font-size:11pt" align=center>1%</P>
</TD>
<TD width=468 colspan=2><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=bottom width=120><P style="line-height:13pt; margin:0px;
font-size:11pt">AA</P>
</TD>
<TD valign=bottom width=108><P style="line-height:13pt; margin:0px; font-size:11pt" align=center>5%</P>
</TD>
<TD width=468 colspan=2><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=bottom width=120><P style="line-height:13pt; margin:0px; font-size:11pt">A</P>
</TD>
<TD valign=bottom width=108><P style="line-height:13pt; margin:0px; font-size:11pt" align=center>23%</P>
</TD>
<TD width=468 colspan=2><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=bottom width=120><P style="line-height:13pt; margin:0px;
font-size:11pt">BBB</P>
</TD>
<TD valign=bottom width=108><P style="line-height:13pt; margin:0px; font-size:11pt" align=center>13%</P>
</TD>
<TD width=468 colspan=2><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=bottom width=120><P style="line-height:13pt; margin:0px; font-size:11pt">BB</P>
</TD>
<TD valign=bottom width=108><P style="line-height:13pt; margin:0px; font-size:11pt" align=center>19%</P>
</TD>
<TD width=468 colspan=2><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=bottom width=120><P style="line-height:13pt; margin:0px; font-size:11pt">B
</P>
</TD>
<TD valign=bottom width=108><P style="line-height:13pt; margin:0px; font-size:11pt" align=center>12%</P>
</TD>
<TD width=468 colspan=2><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=bottom width=120><P style="line-height:13pt; margin:0px; font-size:11pt">CCC
&amp; below</P>
</TD>
<TD valign=bottom width=108><P style="line-height:13pt; margin:0px; font-size:11pt" align=center>3%</P>
</TD>
<TD width=468 colspan=2><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=bottom width=120><P style="line-height:13pt; margin:0px;
font-size:11pt">Not Rated</P>
</TD>
<TD valign=bottom width=108><P style="line-height:13pt; margin:0px; font-size:11pt" align=center>24%</P>
</TD>
<TD width=468 colspan=2><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent"><TD valign=bottom width=120><P>&nbsp;</P></TD>
<TD valign=bottom width=108><P>&nbsp;</P></TD>
<TD width=468 colspan=2><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: transparent(204,238,255)"><TD valign=bottom width=696 colspan=4>
<P style="line-height:13pt; margin:0px; font-size:11pt">* Excludes equity securities and cash.<BR>
<BR>
<I>See accompanying notes</I></P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR>
<BR></P>

<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>

<P style="margin:0px"><BR></P>

<P style="line-height:13pt; margin:0px; font-size:11pt"><B><I>Bancroft Fund Ltd. - Selected Notes to Financial Statements (unaudited)</I></B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Bancroft Fund Ltd. (the &#147;Fund&#148;), is registered under the
Investment Company Act of 1940, as amended, (the &#147;Act&#148;) as a diversified, closed-end management investment company.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Security Valuation</B> - Investments in securities traded on a national
securities exchange are valued at market using the last reported sales price, supplied by an independent pricing service, as of the
close of regular trading. Listed securities, for which no sales were reported, are valued at the mean between closing reported bid
and asked prices as of the close of regular trading. Unlisted securities traded in the over-the-counter market are valued using an
evaluated quotation provided by the independent pricing service, or, if an evaluated quotation is unavailable, such securities are
valued using prices received from dealers, provided that if the dealer supplies both bid and asked prices, the price to be used is
the mean of the bid and asked prices. The independent pricing service derives an evaluated quotation by obtaining dealer quotations,
analyzing the listed markets, reviewing trade execution data, evaluating the price of the underlying
common stock and employing sensitivity analysis. Evaluated quotations may also reflect appropriate factors such as individual
characteristics of the issue, broker/dealer quotations, and additional inputs such as benchmark yields, reported trades, issuer
spreads, two-sided markets, benchmark securities, bids, offers and reference data. Securities for which quotations are not readily
available, restricted securities and other assets are valued at fair value as determined in good faith pursuant to procedures
approved by the Board of Trustees. Short-term debt securities with original maturities of 60 days or less are valued at amortized
cost.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">The Fund has adopted authoritative fair valuation accounting standards which
establish an authoritative definition of fair value and set out a hierarchy for measuring fair value. &nbsp;These standards require
additional disclosures about the various inputs and valuation techniques used to develop the measurements of fair value and a
discussion in changes in valuation techniques and related inputs during the period. &nbsp;These inputs are summarized in &nbsp;the
three broad levels listed below:</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Level 1 - Quoted unadjusted prices for identical instruments in active
markets.</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Level 2 - Quoted prices for similar instruments in active markets; quoted
prices for identical or similar instruments in markets that are not active; and model-driven valuation in which all significant
inputs and significant value drivers are observable in active markets. &nbsp;Level 2 inputs are those in markets for which there are
few transactions, the prices are not current, little public information exists or instances where prices vary substantially over
time or among brokered market makers, and those received from an independent pricing service.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Level 3 - Model derived valuations in which one or more significant inputs
or significant value drivers are unobservable. Unobservable inputs are those inputs that reflect the Fund&#146;s own
assumptions that market participants would use to price an asset or liability based on the best available information.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">The following is a summary of the inputs used to value the investments of
the Fund as of July 31, 2011:</P>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=247.2></TD>
<TD width=108></TD>
<TD width=120></TD>
<TD width=96></TD></TR>
<TR><TD valign=top width=247.2><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=top width=108>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Level 1</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=120>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Level 2</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Level 3</P>
</TD></TR>
<TR><TD valign=top width=247.2><P>&nbsp;</P></TD>
<TD valign=top width=108><P>&nbsp;</P></TD>
<TD valign=top width=120><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=247.2><P style="line-height:13pt; margin:0px;
font-size:11pt">Investments in Securities:</P>
</TD>
<TD valign=top width=108><P>&nbsp;</P></TD>
<TD valign=top width=120><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: White"><TD valign=top width=247.2><P style="line-height:13pt; margin:0px; font-size:11pt">Convertible
Bonds and Notes</P>
</TD>
<TD valign=top width=108><P style="line-height:13pt; margin:0px; font-size:11pt">$
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;---</P>
</TD>
<TD valign=top width=120><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>$ 71,109,092</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>$ &nbsp;902,775</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=247.2><P style="line-height:13pt; margin:0px;
font-size:11pt">Convertible Preferred Stocks</P>
</TD>
<TD valign=top width=108><P style="line-height:13pt; margin:0px;
font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;---</P>
</TD>
<TD valign=top width=120><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>14,885,748</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;&nbsp;763,585</P>
</TD></TR>
<TR STYLE="background-color: White"><TD valign=top width=247.2><P style="line-height:13pt; margin:0px; font-size:11pt">Mandatory
Convertible Securities</P>
</TD>
<TD valign=top width=108><P style="line-height:13pt; margin:0px;
font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;---</P>
</TD>
<TD valign=top width=120><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>14,092,842</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;&nbsp;---</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=247.2><P style="line-height:13pt; margin:0px;
font-size:11pt">Corporate Bonds and Notes</P>
</TD>
<TD valign=top width=108><P style="line-height:13pt; margin:0px;
font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;---</P>
</TD>
<TD valign=top width=120><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>247,500</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>&nbsp;&nbsp;---</P>
</TD></TR>
<TR STYLE="background-color: White"><TD valign=top width=247.2><P style="line-height:13pt; margin:0px; font-size:11pt">Common Stock
</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=108><P style="line-height:13pt; margin:0px;
font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;---</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=120>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>---</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt"
align=right>&nbsp;&nbsp;---</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=247.2><P style="line-height:13pt; margin:0px; font-size:11pt">
<B>Total Investments</B></P>
</TD>
<TD style="border-bottom:3px double #000000" valign=top width=108><P style="line-height:13pt; margin:0px; font-size:11pt">$
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;---</P>
</TD>
<TD style="border-bottom:3px double #000000" valign=top width=120>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>$100,335,182</P>
</TD>
<TD style="border-bottom:3px double #000000" valign=top width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>$1,666,360</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR>
<BR></P>

<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>

<P style="margin:0px"><BR></P>

<P style="line-height:13pt; margin:0px; font-size:11pt"><B><I>Bancroft Fund Ltd. - Selected Notes to Financial Statements (continued)</I></B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Security Valuation</B> <B>continued</B> &#150; The following is a
reconciliation of assets for which level 3 inputs were used in determining value:</P>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR STYLE="height: 0px; background-color: rgb(204,238,255)"><TD width=187.2></TD>
<TD width=96></TD>
<TD width=96></TD>
<TD width=96></TD>
<TD width=96></TD></TR>
<TR STYLE="background-color: White"><TD valign=top width=187.2><P>&nbsp;</P></TD>
<TD style="border-bottom:1px solid #000000" valign=top width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Convertible Bonds and Notes</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Corporate Bonds and Notes</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Convertible Preferred Stocks</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=bottom width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>Total</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=187.2><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: White"><TD valign=top width=187.2><P style="line-height:13pt; margin:0px; font-size:11pt">Beginning
balance</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>$914,625</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=center>$ &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;---</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>$760,858</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>$1,675,483</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=187.2><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: White"><TD valign=top width=187.2><P style="line-height:13pt; margin:0px; font-size:11pt">Change in
unrealized</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">appreciation (depreciation)</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(11,850)</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt"
align=center>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;---</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>---</P>
</TD>
<TD valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(11,850)</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=187.2><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: White"><TD valign=top width=187.2><P style="line-height:13pt; margin:0px; font-size:11pt">Net transfers
in/out of level 3</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt"
align=right>---</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;---</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt"
align=right>2,727</P>
</TD>
<TD style="border-bottom:1px solid #000000" valign=top width=96><P style="line-height:13pt; margin:0px; font-size:11pt"
align=right>2,727</P>
</TD></TR>
<TR STYLE="background-color: rgb(204,238,255)"><TD valign=top width=187.2><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD>
<TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR STYLE="background-color: White"><TD valign=top width=187.2><P style="line-height:13pt; margin:0px; font-size:11pt">Ending
balance</P>
</TD>
<TD style="border-bottom:3px double #000000" valign=top width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>$902,775</P>
</TD>
<TD style="border-bottom:3px double #000000" valign=top width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=center>$ &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;---</P>
</TD>
<TD style="border-bottom:3px double #000000" valign=top width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>$763,585</P>
</TD>
<TD style="border-bottom:3px double #000000" valign=top width=96>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>$1,666,360</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">The availability of observable inputs can vary from security to security and
is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet
established in the marketplace, the liquidity of the markets, and other characteristics particular to the security. &nbsp;To the
extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair
value requires more judgment. &nbsp;Accordingly, the degree of judgment exercised in determining fair value is greatest for
instruments categorized in level 3.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Securities Transactions and Related Investment Income</B> - Security
transactions are accounted for on the trade date (date the order to buy or sell is executed) with gain or loss on the sale of
securities being determined based on identified cost. &nbsp;Dividend income is recorded on the ex-dividend date and interest income
is recorded on the &nbsp;accrual basis, including accretion of discounts and amortization of non-equity premium. &nbsp;For certain
securities, known as &#147;contingent payment debt instruments,&#148; Federal tax &nbsp;regulations require the Fund to record
non-cash, &#147;contingent&#148; interest income in addition to interest income actually received. &nbsp;Contingent interest income
amounted to approximately two cents per share for the nine months ended July 31, 2011. &nbsp;In addition, Federal tax regulations
require the Fund to reclassify realized gains on contingent payment debt instruments to interest income. &nbsp;At
July 31, 2011, there were unrealized losses of approximately two cents per share on contingent payment debt instruments.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>Federal Income Tax Cost </B>- At July 31, 2011, the cost basis of
investments for federal income tax purposes, as well as the gross unrealized appreciation from investments for those securities
having an excess of value over cost, gross unrealized depreciation from investments for those securities having an excess of cost
over value and the net unrealized appreciation from investments were<B> </B>$97,251,608, $10,135,525, $(5,385,589) and $4,749,936
respectively.</P>
<P style="margin:0px"><BR>
<BR></P>



<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>

<P style="margin:0px"><BR></P>

<P style="line-height:13pt; margin:0px; font-size:11pt">ITEM 2. CONTROLS AND PROCEDURES.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Conclusions of principal officers concerning controls and procedures.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">(a) The Fund&#146;s principal executive officer and principal financial
officer have concluded that the Fund&#146;s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Act (17 CFR
270.30a-3(c)) are effective as of August 26, 2011 based on the evaluation of these controls and procedures required by Rule 30a-3(b)
under the Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (17 CFR
240.13a-15(b) or 17 CFR 240.15d-15(b)).</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">(b) There have been no changes in the Fund&#146;s internal control over
financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the Fund&#146;s last
fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Fund&#146;s internal control over
financial reporting.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">ITEM 3. EXHIBITS.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Certifications of the principal executive officer and the principal
financial officer of the Fund, as required by Rule 30a-2(a) under the Act (17 CFR 270.30a-2(a)), are filed herewith.</P>
<P style="margin:0px"><BR></P>

<HR SIZE=5 COLOR=GRAY NOSHADE>
<PAGE>

<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">SIGNATURES</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">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.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Bancroft Fund Ltd.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">By: /s/Thomas H. Dinsmore</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;Thomas H. Dinsmore</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;Chairman of the Board and</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;Chief Executive Officer</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;(Principal Executive Officer)</P>
<P style="margin:0px"><BR></P>
<A NAME="OLE_LINK1"></A><A NAME="OLE_LINK2"></A><P style="line-height:13pt; margin:0px; font-size:11pt">Date: <A NAME="OLE_LINK3">
</A><A NAME="OLE_LINK4"></A>September 29, 2011 </P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">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.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">By: /s/Thomas H. Dinsmore</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;Thomas H. Dinsmore</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;Chairman of the Board and</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;Chief Executive Officer</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;(Principal Executive Officer)</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Date: September 29, 2011 </P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">By: /s/Gary I. Levine</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;Gary I. Levine</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;Chief Financial Officer</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;&nbsp;&nbsp;&nbsp;(Principal Financial Officer)</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Date: September 29, 2011 </P>
<P style="margin:0px"><BR></P>

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<DOCUMENT>
<TYPE>EX-99.CERT
<SEQUENCE>2
<FILENAME>d28691exh_99-cert.htm
<DESCRIPTION>EX-99.CERT
<TEXT>
<!doctype html public "-//IETF//DTD HTML//EN">
<HTML>
<HEAD>
<TITLE>EX-99 2 ellsworth_ncsr-ex99</TITLE>
<META NAME="author" CONTENT="Gary Levine">
<META NAME="date" CONTENT="08/20/2011">
</HEAD>
<BODY style="line-height:12pt; font-family:Times New Roman; font-size:10pt; color:#000000">
<P style="line-height:13pt; margin:0px; font-size:11pt" align=right>Exhibit 99.CERT</P>
<P style="margin:0px" align=right><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt"><B>CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">I, Thomas H. Dinsmore, certify that:</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">1. I have reviewed this report on Form N-Q of Bancroft Fund Ltd.;</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=justify>2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=justify>3. Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed;</P>
<P style="margin:0px" align=justify><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=justify>4. The registrant&#146;s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:</P>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(a)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt">Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(b)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt">Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(c)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt">Evaluated the effectiveness of the registrant&#146;s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(d)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt">Disclosed in this report any change in the registrant&#146;s internal control over financial reporting that occurred during the registrant&#146;s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant&#146;s internal control over financial reporting; and</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=justify>5. The registrant&#146;s other certifying officer and I have disclosed to the registrant&#146;s auditors and the audit committee of the registrant&#146;s board of directors (or persons performing the equivalent functions):</P>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(a)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt" align=justify>All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant&#146;s ability to record, process, summarize, and report financial information; and</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(b)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt">Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant&#146;s internal control over financial reporting.</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;Date: September 29, 2011</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;/s/ Thomas H. Dinsmore </P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Chairman of the Board and Chief Executive Officer </P>
<P style="line-height:13pt; margin:0px; font-size:11pt">(Principal Executive Officer)</P>
<P style="margin:0px"><BR>
<BR></P>
<HR style="margin-top:9.6px; margin-bottom:9.6px" noshade size=5>
<PAGE>

<P style="margin:0px"><BR></P>

<P style="line-height:13pt; margin:0px; font-size:11pt"><B>CERTIFICATION OF PRINCIPAL&nbsp;FINANCIAL OFFICER</B></P>
<P style="line-height:13pt; margin:0px; font-size:11pt"><BR>
I, Gary I. Levine, certify that:</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt">1. I have reviewed this report on Form N-Q of Bancroft Fund Ltd.;</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=justify>2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;</P>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=justify>3. Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed;</P>
<P style="margin:0px" align=justify><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=justify>4. The registrant&#146;s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:</P>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(a)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt">Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(b)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt">Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(c)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt">Evaluated the effectiveness of the registrant&#146;s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(d)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt">Disclosed in this report any change in the registrant&#146;s internal control over financial reporting that occurred during the registrant&#146;s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant&#146;s internal control over financial reporting; and</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="line-height:13pt; margin:0px; font-size:11pt" align=justify>5. The registrant&#146;s other certifying officer and I have disclosed to the registrant&#146;s auditors and the audit committee of the registrant&#146;s board of directors (or persons performing the equivalent functions):</P>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(a)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt" align=justify>All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant&#146;s ability to record, process, summarize, and report financial information; and</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR height=0 style="font-size:0"><TD width=48></TD><TD width=893.6></TD></TR>
<TR><TD valign=top width=48><P style="line-height:13pt; margin:0px; font-size:11pt" align=right>(b)&nbsp;&nbsp;</P>
</TD><TD valign=top width=893.6><P style="line-height:13pt; margin:0px; font-size:11pt">Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant&#146;s internal control over financial reporting.</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="margin:0px; font-size:11pt">&nbsp;</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">&nbsp;Date: September 29, 2011</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px; font-size:11pt">&nbsp;</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">/s/ Gary I. Levine</P>
<P style="line-height:13pt; margin:0px; font-size:11pt">Chief Financial Officer </P>
<P style="line-height:13pt; margin:0px; font-size:11pt">(Principal Financial Officer)</P>
<P style="margin:0px"><BR>
<BR></P>
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