Alger Focus Equity Fund NCSRS Certified semi-annual shareholder report (management investment company)

Alger Focus Equity Fund (ALZFX) N-CSRSCertified semi-annual shareholder report (management investment company)

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

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES

Investment Company Act file number 811-07986

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

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

Mr. Hal Liebes

Fred Alger Management, Inc.

360 Park Avenue South

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

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

Date of fiscal year end: October 31

Date of reporting period: April 30, 2016

ITEM 1. REPORT(S) TO STOCKHOLDERS.

Table of Contents

The Alger Institutional Funds


Shareholders’ Letter	1
Fund Highlights	11
Portfolio Summary	15
Schedules of Investments	16
Statements of Assets and Liabilities	37
Statements of Operations	41
Statements of Changes in Net Assets	43
Financial Highlights	47
Notes to Financial Statements	57
Additional Information	79

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Shareholders' Letter April 30, 2016

Dear Shareholders,

Investor Stampede Creates Risks and Opportunities
Gary Larson’s quirky cartoon series “The Far Side” draws chuckles by having animals
exhibit human-like behavior. In one popular cartoon, a massive bison stampede extends
to the horizon. One insightful bison quips to a neighboring beast “As if we all knew where
we’re going.” The six-month reporting period ended April 30 was notable as a period filled
with economic uncertainty, diverging global monetary policies, and significant pressure on
interest rates. As with the cartoon, where this takes us as investors is unclear, yet in such
periods of deep uncertainty we are reminded that the best decisions are those that are the
most thoughtful and not based upon emotion. Many investors, in an unquenchable thirst
for income (and a misguided flight to “safety”) have rushed to bond-like equities, that is,
equities that pay steady dividends. The end result was striking. While the S&P 500 index
gained 0.43%, the Telecomm, Utilities, and Consumer Staples sectors climbed 14.68%,
12.90%, and 6.02%, respectively. These sectors have some of the poorest long-term growth
prospects in the current economic environment. On the other hand, higher growth sectors
like Information Technology, Health Care, and Consumer Discretionary each sustained
losses.

We have learned in our 52 years of investing that there is no free lunch. Success in investing is
not achieved by considering one factor, such as dividend yield, but instead by understanding
companies, their management, their industries, and their competitors. It is with this more
complete view that high-quality companies with strong growth potential can be identified.
Such companies, we maintain, can potentially provide investors with wealth creation from
capital appreciation and with protection from the erosion of inflation upon their savings.

Stampedes, of course, can have dire consequences. The recent investor stampede, we believe,
is dangerous, as investors have increased their exposure to the risk of higher interest rates
and, at the same time, the relatively high valuations of stocks with generally poor growth
prospects. We think the opportunities, long term, lie in the opposite direction. In particular,
these investors may miss the attractive investment opportunities that can be found within the
most vibrant industries in the U.S. and the world. America is seen as a leader in innovation
in the Health Care and IT sectors, and has the richest and most diverse consumer market in
the world. We believe it is within these sectors that superior companies and investments for
long-term growth and capital appreciation can be found.

Investing in overseas markets is more challenging with different dynamics at play. The
widely followed MSCI ACWI ex USA and MSCI Emerging Markets indices declined 1.51%
and 0.01%, respectively, during the reporting period with concerns over commodity prices
contributing to weakening investor sentiment. In many overseas markets, this is entirely
logical as the economies of many countries are strongly tied to their roles as commodities
producers. As in the U.S., defensive sectors tended to outperform abroad. Nevertheless,
international markets also have sectors that offer strong potential for long-term growth.
The rising middle class in many international markets is creating increased demand for
goods and services, which in turn is creating opportunities for leading companies. Our
team of international and emerging markets portfolio managers and analysts has a depth of
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experience in navigating foreign markets and identifying through fundamental research high-
quality growth companies across the globe. In these markets, diversification is paramount,
so our international funds are well diversified, typically owning companies across the globe
and across industries.

Oil and the U.S. Economy
From late 2013 until the start of the reporting period, the price of West Texas Intermediate
(WTI) fell from $110.62 a barrel to $46.12. It then declined to a low of $26.19 a barrel as
of February 11, which was a 43.20% drop. The decline was accompanied by an 11.43%
decline of the S&P 500. In both 2015 and early 2016, many investors misread the decline in
oil as a harbinger of a U.S. recession in 2016. We have consistently argued otherwise, noting
that while cheap oil prices would, not surprisingly, drive down earnings in the energy and
closely related sectors, there were broad benefits to the U.S. economy from lower energy
prices. Cheap oil has bolstered Americans’ finances by slashing energy costs and allowing
Americans to strengthen their personal balance sheets by increasing their savings. It has
also supported retail shopping and spending on homes. The U.S. housing market continues
to improve in a steady fashion. Many indicators of consumer spending like ecommerce,
travel, leisure, automotive, and home durables are quite healthy, despite the weakness
reported in headlines about department store sales and the sales of other “old” economy
retailers. Changing patterns of consumer preferences – largely based, in our view, on both
ecommerce technology and on the rise of younger generations of Americans (the X and Y
generations) as the baby boomers increasingly retire – is a large phenomenon that creates
challenges for companies that have failed to adapt to the “new” marketplace and great
opportunities for those that have helped define it in our time. Amazon.com, Inc., Netflix,
Inc., Alphabet, Inc. (formerly Google), and Apple, Inc. are all doing quite well in this new
American marketplace, while the landscape, especially in retail, is littered with companies,
once good or even great, but today struggling to adapt their business models to the new and
obvious reality.

So despite fears, corporate fundamentals are fine in the U.S. S&P 500 earnings ex-materials
and ex-energy grew a healthy 6.3% in 2015, despite the additional headwind of a strong U.S.
dollar weighing on both exports and foreign earnings. For the first quarter of 2016, overall
results for the S&P 500 slowed from that pace, but we expect continued growth in earnings
in 2016 (again, ex-materials and ex-energy, though these might actually contribute to
earnings growth on a reported basis through declining losses in these sectors). We note that
oil appears to have bottomed in February and has since rebounded to close the reporting
period at $45.98. Investor sentiment remains very cautious in our view, and indeed almost
bearish, but there has been a significant rally in equities of late, with the S&P 500 generating
a 13.39% return from February 12 to April 30.

Global Economy Weakens
Concerns over global economic growth continue. In early 2015, the International Monetary
Fund forecasted that the global economy would grow 3.3% in 2015 and 3.8% in 2016. In
October, it lowered those numbers to 3.1% for 2015 and 3.6% for this year. It maintained
its 2015 estimate in January, but lowered its 2016 estimate to 3.4%. Also during the reporting
period, estimates for global corporate earnings per share for the MSCI World Index were
revised downward each month, declining from $106.72 in November to $101.20 as of April
30.

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We are encouraged by the actions of many central banks across the globe, including the Bank
of Japan (BOJ), the People’s Bank of China, and the European Central Bank, to provide
additional economic stimulus. The BOJ, for its part, joined a handful of other countries that
have maintained negative interest rates. Many central banks have also expressed a willingness
to provide additional stimulus, and in the U.S., the Federal Reserve is taking a cautious
approach to normalizing monetary policy after raising the fed funds rate in December.
We note, as we did in the fall of 2015 in an Alger market commentary, that monetary
policy is not sufficient to stimulate fundamental, lasting growth in any economy. We hope
to see future governmental actions to improve structural growth in Europe, Asia, and other
foreign markets, and certainly we see that austerity policies are fading globally.

Further, in the significant changes occurring in international markets and economies, we
see many opportunities for investors. Economic and political concerns have dominated
investors’ mindset for a significant time now. But, as in the U.S., there are many companies
forging ahead in their markets and globally, showing both solid earnings growth and strong
fundamentals. We are always on the lookout for companies that are disrupting traditional
business models by exploiting large-scale changes. The internet continues to be an investable
trend but, especially in emerging markets, adoption of Western technology and lifestyles
(whether directly or in copycat fashion) is meeting with notable success in many regions
and sectors.

The U.S. Dollar, Emerging Markets, and Interest Rates
The previous end of the U.S. asset buying program, or quantitative easing, combined with
the Federal Reserve’s start to raising interest rates and anticipation of domestic economic
growth, has supported a strong U.S. dollar, especially relative to countries that have been
increasing monetary stimulus. At the start of the reporting period, the U.S. Dollar Index,
which measures U.S. currency against currencies of trading partners, was at 96.89, up
considerably from 79.14 in early 2014. Later in the reporting period, the Federal Reserve
signaled that it would take a cautious approach to raising interest rates, which caused the
strengthening of the U.S. dollar to moderate slightly, and the U.S. Dollar Index closed the
reporting period at 93.80. As mentioned previously, investors have fretted over the impact
of a strong dollar on U.S. exports and foreign earnings. We think the strong dollar does pose
challenges to U.S. exporters, especially those of undifferentiated commodity-like products
or services. In the end, however, we think U.S. companies with value-added products
and service models that are differentiated from the competition will do fine. Since global
competition is fierce, foreign companies seeking to succeed will invest in superior products
and services that will help them obtain their goals. We think there are many U.S. companies
that offer highly competitive products and services to the global market, even with the
recent disadvantage of a stronger U.S. dollar.

Finally, it’s important to note that the strong U.S. dollar has also driven periods of capital
outflows from countries with weaker currencies, especially emerging markets. We believe
the sensitivity of global markets to the U.S. dollar is likely to cause the Federal Reserve to
exercise extreme caution when normalizing monetary policy. At the same time, an estimated
$8 trillion in debt is trading globally with negative yields. When the Federal Reserve eventually
takes further actions to normalize policy, it’s likely that higher interest rates will attract even
more investors to U.S. debt, which could limit increases in yields here at home.

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The Appeal of Growth Equities and the Downside of the Investor Stampede
We believe growth stocks are well positioned to outperform the market and especially bond-
like equites that have recently reached extreme valuations. The recent market action has
left traditional growth stocks at attractive valuations, especially when assessing PEG ratios.
PEG ratios are determined by dividing a company’s price-to-earnings ratio, or P/E, by its
expected earnings growth rate. As of April 30 of this year, the 12-month forward earnings
PEG for the Russell 1000 Growth Index was 42% lower than that of the Russell 1000 Value
Index. For most of 2016, the difference in PEGs has exceeded anything that has occurred
since at least 2002. In addition, bond-like sectors such as Utilities and Consumer Staples
are trading at over a 20% premium to their 20-year average P/E ratio while growth sectors
like Information Technology and Health Care are trading at double-digit discounts. From a
historical perspective, low P/E ratios have typically indicated strong potential for stocks to
outperform and we believe the current valuations of growth stocks are no exception.

Over the long term, equity returns are driven by corporate fundamentals, including earnings
and revenue growth. While dividend yields play an important role in the total return an
investor should expect from equities, it is a mistake, in our view, to focus solely, or overly, on
the dividend yield of a stock itself. It is, after all, a company’s fundamental success growing
its sales and profits that ultimately will deliver the cash flow to support dividends and
future dividend growth. The recent stampede into bond-like equities shows many signs of
investors’ failure to discriminate between companies with strong longer term fundamentals
and those that simply happen to pay a relatively higher dividend yield today. Much like
fixed-income securities, these bond-like equities will be very interest-rate sensitive. Even a
small change in interest rates or inflation could hurt the performance of bond-like stocks,
especially those trading at high valuations with poor growth prospects or leveraged balance
sheets.

Reasons for Optimism
Concerns over global growth are likely to drive market volatility, but we maintain that the
U.S. will continue to be an economic leader. April marked the 74th consecutive month of
private-sector job growth in the U.S., which is an unprecedented accomplishment. Over the
last year, the majority of those who have returned to the labor force have been from among
the long-term unemployed, which is a category of Americans that has traditionally faced
substantial challenges with finding work. In addition to steady job creation, the nation’s
5.0% unemployment rate implies that the job market is healthy. We continue to believe that
low oil prices combined with low inflation and the Federal Reserve’s cautious approach to
raising interest rates will continue to support the country’s economy.

Corporate America is also strong. In the fourth quarter, S&P 500 companies ex-financials
held $1.44 trillion in cash, according to FactSet Research Systems, Inc. The figure represents
a 0.5% year-over-year decline, but is still the third-highest level in 10 years. Fixed capital
expenditures during the quarter also declined when compared to the record level of outlays
during the same quarter of 2014. Yet, the $170.4 billion in outlays for the final quarter
of 2015 represented the third-highest level in 10 years, despite a 41% drop in capital
expenditures by energy companies. Corporations are also buying back stock at a rapid pace,
with approximately 30% of S&P 500 constituents having reduced their share count by at
least 4% during the first quarter, according to S&P Capital IQ.

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We urge investors to carefully assess the appeal of growth equities and to evaluate the role
of bond-like equities in their investment strategies. We are in an era of rapid and dynamic
change. New technologies such as the internet, smartphones, ebooks, and social media have
reached 50% market penetration in a fraction of the time that older innovations such as
washing machines, dishwashers, and landline telephones required. Medical innovation in
orthopedic, cardiac, and cancer treatments (to name only a few) has advanced and will
continue to advance in ways that were unimaginable only a generation or so ago. We think
every prudent, long-term investor should have a portfolio “overweight” in the industries,
companies, and trends that are changing nearly every aspect of modern day life.

Portfolio Matters
Alger Capital Appreciation Institutional Fund
The Alger Capital Appreciation Institutional Fund returned -4.12% for the fiscal six-month
period ended April 30, 2016, compared to the -1.37% return of the Russell 1000 Growth
Index.

During the period, the largest sector weightings were Information Technology and
Consumer Discretionary. The largest sector overweight was Information Technology
and the largest sector underweight was Consumer Staples. Stock selection resulted in the
Consumer Discretionary sector contributing to relative performance, while other sectors
detracted from results.

Among the most important relative contributors were Apple, Inc.; Newell Brands, Inc.;
Honeywell International, Inc.; and Edwards Lifesciences Corp. Shares of social network
provider Facebook, Inc., Cl. A also contributed to performance. Facebook performed
strongly in response to the company’s social network continuing to take advertising market
share from print and television media. We believe investors were also encouraged by the
growth of Instagram, which is the company’s video- and photo-sharing network, and by the
potential for Facebook to further grow advertising revenues.

Conversely, detracting from overall results on a relative basis were Allergan PLC.; Vertex
Pharmaceuticals, Inc.; Norwegian Cruise Line Holdings Ltd.; and Anadarko Petroleum
Corp. Also detracting from performance were shares of LinkedIn Corporation Cl A. The
company operates the world’s largest social network for professionals and provides services
for recruiters and human resource professionals. LinkedIn also offers digital advertising and
premium memberships. During the first quarter, the company disclosed disappointing sales
and it provided weak profit guidance. It said Europe and Asia were weak areas.

Alger Capital Appreciation Focus Fund
The Alger Capital Appreciation Focus Fund returned -4.28% for the fiscal six-month period
ended April 30, 2016, compared to the -1.37% return of its benchmark, the Russell 1000
Growth Index.

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

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Among the most important relative contributors were Apple, Inc.; Honeywell International,
Inc.; Newell Brands, Inc.; and HD Supply Holdings, Inc. Shares of social network provider
Facebook, Inc., Cl. A also contributed to performance. The stock performed strongly
in response to reasons identified in the Alger Capital Appreciation Institutional Fund
discussion.

Conversely, detracting from overall results on a relative basis were Norwegian Cruise Line
Holdings Ltd.; Vertex Pharmaceuticals, Inc.; Delphi Automotive PLC.; and Shire PLC. Shares
of Allergan PLC. also detracted from results. The company manufactures and distributes
both branded and generic pharmaceuticals globally. With an upcoming presidential
election, investors were concerned that increased government regulatory intervention could
negatively affect the company’s closing of a planned merger with Pfizer, Inc. The deal was
eventually halted by regulators.

Alger Mid Cap Growth Institutional Fund
The Alger Mid Cap Growth Institutional Fund returned -6.12% for the fiscal six-month
period ended April 30, 2016, compared to the -1.54% return of Russell Midcap Growth
Index.

During the reporting period, the largest sector weightings were Consumer Discretionary
and Information Technology. The largest sector overweight was Information Technology
and the largest sector underweight was Consumer Staples. Stock selection in the Consumer
Discretionary, Materials and Energy sectors contributed to relative performance, while
Health Care and Information Technology were among sectors that detracted from results.

Among the most important relative contributors were Newell Brands, Inc.; Broadcom Ltd.;
Coach, Inc.; and CBS Corp., Cl. B. Shares of HD Supply Holdings, Inc. also contributed to
performance. HD Supply Holdings is an industrial distributor of products for infrastructure,
housing, commercial buildings, and other construction applications. During the first quarter,
investors responded favorably to the healthy residential housing market and stronger-than-
expected guidance from the company. Investors also responded favorably to the company
refinancing expensive debt.

Conversely, detracting from overall results on a relative basis were NetScout Systems,
Inc.; Norwegian Cruise Line Holdings Ltd.; Portola Pharmaceuticals, Inc.; and DexCom,
Inc. Shares of Royal Caribbean Cruises Ltd. also detracted from results. Royal Caribbean
is a leading cruise operator. Investor concerns over the impact of a potential economic
slowdown on consumer cyclicals caused shares of Royal Caribbean to underperform.
We believe investors’ outlook for the economy has improved, but performance of Royal
Caribbean stock did not initially bounce back, perhaps because of concerns over terrorism.

Alger Small Cap Growth Institutional Fund
The Alger Small Cap Growth Institutional Fund returned -9.54% for the fiscal six-month
period ended April 30, 2016, compared to the -4.96 % return of the Russell 2000 Growth
Index.

During the period, the largest sector weightings were Information Technology and Health
Care. The largest sector overweight was Information Technology and the largest sector
underweight was Consumer Discretionary. The Energy and Health Care sectors provided

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the largest contributions to relative performance, while Information Technology and
Consumer Discretionary were among sectors that detracted from results.

Among the most important relative contributors were CyrusOne, Inc.; PRA Health Sciences,
Inc.; Sun Hydraulics Corp.; and FEI Co. Shares of Burlington Stores, Inc. also contributed
to performance. Burlington Stores is a retailer of branded clothing and other apparel in
the U.S. The company’s off-price retail model has benefitted from a lackluster economic
environment highlighted by wages not keeping pace with increasing clothing prices. As a
result, Burlington reported revenues that were in line with expectations and earnings growth
for 2015 despite weak fourth-quarter margins due in part to mild fall and winter weather
hurting sales of warm clothing.

Conversely, detracting from overall results on a relative basis were WisdomTree Investments,
Inc.; Proofpoint, Inc.; and Incyte Corp. Shares of SPS Commerce, Inc. also detracted from
results. The company offers cloud-based software that enhances how suppliers, retailers,
and distributors manage and fulfill customer orders. The company reported fourth-quarter
earnings that were slightly above expectations, but it issued disappointing guidance for
2016. This past quarter, management said the company faced challenges in hiring additional
salespeople due to the improving labor market; therefore, SPS Commerce expects to ramp
up hiring this year, which could delay re-acceleration in recurring revenue growth.

I thank you for putting your trust in Alger.

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

As of April 30, 2016, the following companies represented the stated percentages of Alger
assets under management: Amazon.com, Inc., 3.56%; Netflix, Inc.; 0.27%; Alphabet, Inc.;
(formerly Google), 05.81%; and Apple, Inc., 4.15%.

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

This report and the financial statements contained herein are submitted for the general
information of shareholders of the funds. This report is not authorized for distribution to
prospective investors in a fund unless preceded or accompanied by an effective prospectus
for the fund. Fund returns represent the fiscal period return of Class I shares.

The performance data quoted represent past performance, which is not an
indication or guarantee of future results.
Standardized performance results can be found on the following pages. The investment
return and principal value of an investment in a fund will fluctuate so that an investor’s shares,
when redeemed, may be worth more or less than their original cost. Current performance

- 7 -

may be lower or higher than the performance quoted. For performance data current to the
most recent month-end, visit us at www.alger.com, or call us at (800) 992-3863.

The views and opinions of the funds’ management in this report are as of the date of the
Shareholders’ Letter and are subject to change at any time subsequent to this date. There
is no guarantee that any of the assumptions that formed the basis for the opinions stated
herein are accurate or that they will materialize. Moreover, the information forming the
basis for such assumptions is from sources believed to be reliable; however, there is no
guarantee that such information is accurate. Any securities mentioned, whether owned in a
fund or otherwise, are considered in the context of the construction of an overall portfolio
of securities and therefore reference to them should not be construed as a recommendation
or offer to purchase or sell any such security. Inclusion of such securities in a fund and
transactions in such securities, if any, may be for a variety of reasons, including, without
limitation, in response to cash flows, inclusion in a benchmark, and risk control. The
reference to a specific security should also be understood in such context and not viewed as
a statement that the security is a significant holding in a fund. Please refer to the Schedules
of Investments for each fund that is included in this report for a complete list of fund
holdings as of April 30, 2016. Securities mentioned in the Shareholders’ Letter, if not found
in the Schedule of Investments, may have been held by the funds during the six-month
period.

A Word about Risk
Growth stocks tend to be more volatile than other stocks as the price of growth stocks tends
to be higher in relation to their companies’ earnings and may be more sensitive to market,
political and economic developments. Investing in the stock market involves gains and
losses and may not be suitable for all investors. Stocks of small- and mid-sized companies
are subject to greater risk than stocks of larger, more established companies owing to such
factors as limited liquidity, inexperienced management, and limited financial resources.
Funds that participate in leveraging, such as the Capital Appreciation Institutional Fund, are
subject to the risk that the cost of borrowing money to leverage will exceed the returns for
securities purchased or that the securities purchased may actually go down in value; thus, a
fund’s net asset value can decrease more quickly than if the fund had not borrowed.

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

- 8 -

Because certain options may require settlement in cash, a fund may be forced to liquidate
portfolio securities to meet settlement obligations. For a more detailed discussion of the
risks associated with these funds, please see the prospectus.

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

• S&P 500 index: An index of large company stocks considered representative
of the U.S. stock market.
• Morgan Stanley Capital International (MSCI) All Country World Index
(ACWI) ex USA is an unmanaged, market capitalization-weighted index de-
signed to provide a broad measure of equity market performance throughout
the world, including both developing and emerging markets, but excluding
the United States.
• MSCI Emerging Markets Index: A free float-adjusted market capitalization
index designed to measure equity market performance in the global emerging
markets.
• Russell 3000 Growth Index: An index of common stocks designed to track
performance of companies with greater than average growth orientation in
general.
• Russell 1000 Growth Index: An index of common stocks designed to track
performance of large-capitalization companies with greater than average
growth orientation.
• Russell 1000 Value Index: An index designed to track the performance of
large-capitalization stocks that have value characteristics.
• Russell Midcap Growth Index: An index of common stocks designed to
track performance of medium-capitalization companies with greater than
average growth orientation.
• Russell 2000 Growth Index: An index of common stocks designed to track
performance of small-capitalization companies with greater than average
growth orientation.
• The MSCI World Index: An index that captures large and mid cap repre-
sentation across 23 Developed Markets (DM) countries. The index covers
approximately 85% of the free float-adjusted market capitalization in each
country.
• FactSet Research Systems, Inc. is a multinational financial data and software
company.
• S&P Capital IQ provides research, data, and analysis on capital markets and
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other topics for investment managers, investment banks, private equity funds,
advisory firms, corporations and universities.
• The U.S. Dollar Index measures US currency against currencies of trading
partners.


FUND PERFORMANCE AS OF 3/31/16 (Unaudited)
AVERAGE ANNUAL TOTAL RETURNS
	1		5		10		SINCE
	YEAR		YEARS		YEARS		INCEPTION
Alger Capital Appreciation Class I (Inception 11/8/93)	(2.10	)%	11.41	%	9.76	%	11.63	%
Alger Capital Appreciation Class R (Inception 1/27/03)^*	(2.56	)%	10.86	%	9.21	%	11.07	%

Alger Capital Appreciation Focus Class A (Inception
12/31/12)	(6.53	)%	n/a		n/a		13.67	%
Alger Capital Appreciation Focus Class C (Inception
12/31/12)	(3.03	)%	n/a		n/a		14.70	%
Alger Capital Appreciation Focus Class I (Inception
11/8/93)	(1.22	)%	10.49	%	6.03	%	8.18	%
Alger Capital Appreciation Focus Class Z (Inception
12/31/12)	(0.96	)%	n/a		n/a		16.03	%

Alger Mid Cap Growth Class I (Inception 11/8/93)	(12.45	)%	6.51	%	4.30	%	11.28	%
Alger Mid Cap Growth Class R (Inception 1/27/03)^*	(12.95	)%	5.95	%	3.76	%	10.72	%

Alger Small Cap Growth Class I (Inception 11/8/93)	(17.72	)%	3.23	%	4.20	%	8.18	%
Alger Small Cap Growth Class R (Inception 1/27/03)^*	(18.16	)%	2.71	%	3.69	%	7.66	%

The performance data quoted represents past performance, which is not an indication or a guarantee of future
results. The Fund’s average annual total returns include changes in share price and reinvestment of dividends
and capital gains.
* Since inception performance is calculated from 11/08/93. Performance figures prior to 1/27/03, inception of Class R shares,
are those of the Fund's Class I Shares. The performance figures prior to 1/27/03 have been reduced to reflect the higher
operating expenses of Class R shares.

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ALGER CAPITAL APPRECIATION INSTITUTIONAL FUND
Fund Highlights Through April 30, 2016 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger Capital
Appreciation Institutional Fund Class I shares and the Russell 1000 Growth Index (an unmanaged index of common
stocks) for the ten years ended April 30, 2016. Figures for the Alger Capital Appreciation Institutional Fund Class
I shares and the Russell 1000 Growth Index include reinvestment of dividends. Performance for the Alger Capital
Appreciation Institutional Fund Class R shares may vary from the results shown above due to differences in expenses
the class bears. Investors cannot invest directly in any index. Index performance does not reflect deduction for fees,
expenses, or taxes.


PERFORMANCE COMPARISON AS OF 4/30/16
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARSr		11/8/1993
Class I (Inception 11/8/93)	(2.34	)%	10.34	%	9.60	%	11.53	%
Class R (Inception 1/27/03)^*	(2.82	)%	9.79	%	9.05	%	10.97	%
Russell 1000 Growth Index	1.07	%	11.44	%	8.20	%	8.51	%

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

* Since inception performance is calculated from 11/08/93. Performance figures prior to 1/27/03, inception of Class R
shares, are those of the Fund's Class I Shares. The performance figures prior to 1/27/03 have been reduced to reflect the
higher operating expenses of Class R shares.

- 11 -

ALGER CAPITAL APPRECIATION FOCUS FUND
Fund Highlights Through April 30, 2016 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger Capital
Appreciation Focus Fund Class I shares and the Russell 1000 Growth Index (an unmanaged index of common
stocks) for the ten years ended April 30, 2016. Beginning December 31, 2012 Alger Capital Appreciation Focus
Fund changed its investment strategy to invest a substantial portion of its assets in a small number of issuers. The
figures for the Alger Capital Appreciation Focus Fund Class I shares and the Russell 1000 Growth Index include
reinvestment of dividends. Performance for the Alger Capital Appreciation Focus Fund Class A, Class C and Class Z
shares may vary from the results shown above due to differences in expenses the class bears. Investors cannot invest
directly in any index. Index performance does not reflect deduction for fees, expenses, or taxes.


PERFORMANCE COMPARISON AS OF 4/30/16
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARS		11/8/1993
Class I (Inception 11/8/93)	(2.67	)%	9.42	%	5.71	%	8.06	%
Russell 1000 Growth Index	1.07	%	11.44	%	8.20	%	8.51	%

							Since
	1 YEAR		5 YEARS		10 YEARS		12/31/2012
Class A (Inception 12/31/12)	(7.92	)%	n/a		n/a		12.69	%
Class C (Inception 12/31/12)	(4.45	)%	n/a		n/a		13.68	%
Class Z (Inception 12/31/12)	(2.40	)%	n/a		n/a		14.98	%
Russell 1000 Growth Index	1.07	%	n/a		n/a		14.99	%

- 12 -

ALGER MID CAP GROWTH INSTITUTIONAL FUND
Fund Highlights Through April 30, 2016 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger Mid Cap
Growth Institutional Fund Class I shares and the Russell Midcap Growth Index (an unmanaged index of common
stocks) for the ten years ended April 30, 2016. Figures for the Alger Mid Cap Growth Institutional Fund Class I
shares and the Russell Midcap Growth Index include reinvestment of dividends. Performance for the Alger Mid Cap
Growth Institutional Fund Class R shares may vary from the results shown above due to differences in expenses
the class bears. Investors cannot invest directly in any index. Index performance does not reflect deduction for fees,
expenses, or taxes.


PERFORMANCE COMPARISON AS OF 4/30/16
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARS		11/8/1993
Class I (Inception 11/8/93)	(11.09	)%	5.53	%	4.23	%	11.21	%
Class R (Inception 1/27/03)^*	(11.54	)%	4.99	%	3.70	%	10.65	%
Russell Midcap Growth Index	(4.13	)%	9.20	%	7.38	%	9.12	%

ALGER SMALL CAP GROWTH INSTITUTIONAL FUND
Fund Highlights Through April 30, 2016 (Unaudited)

The chart above illustrates the change in value of a hypothetical $10,000 investment made in the Alger Small Cap
Growth Institutional Fund Class I shares and the Russell 2000 Growth Index (an unmanaged index of common
stocks) for the ten years ended April 30, 2016. The figures for the Alger Small Cap Growth Institutional Fund Class
I shares and the Russell 2000 Growth Index include reinvestment of dividends. Performance for the Alger Small
Cap Growth Institutional Fund Class R shares may vary from the results shown above due to differences in expenses
the class bears. Investors cannot invest directly in any index. Index performance does not reflect deduction for fees,
expenses, or taxes.


PERFORMANCE COMPARISON AS OF 4/30/16
AVERAGE ANNUAL TOTAL RETURNS
							Since
	1 YEAR		5 YEARS		10 YEARS		11/8/1993
Class I (Inception 11/8/93)	(13.72	)%	2.53	%	4.19	%	8.20	%
Class R (Inception 1/27/03)^*	(14.17	)%	2.03	%	3.68	%	7.68	%
Russell 2000 Growth Index	(8.27	)%	7.15	%	6.14	%	6.62	%

- 14 -

PORTFOLIO SUMMARY†
April 30, 2016 (Unaudited)


	Alger Capital
	Appreciation Institutional		Alger Capital			Alger Mid Cap Growth		Alger Small Cap Growth
SECTORS	Fund		Appreciation Focus Fund			Institutional Fund		Institutional Fund
Consumer Discretionary	18.4	%	20.1		%	27.1	%	12.0	%
Consumer Staples	8.2			3.7		5.0		1.7
Energy	1.6			1.4		1.0		1.6
Financials	3.1			5.0		7.7		8.1
Health Care	18.3		18.0			15.7		28.7
Industrials	10.7			8.3		15.9		10.3
Information Technology	33.1		36.8			22.4		31.7
Materials	1.2			0.7		4.8		3.0
Telecommunication Services	1.9			1.5		0.0		0.0
Short-Term Investments and
Net Other Assets	3.5			4.5		0.4		2.9
	100.0	%	100.0		%	100.0	%	100.0	%

† Based on net assets for each Fund

- 15 -

THE ALGER INSTITUTIONAL FUNDS |
ALGER CAPITAL APPRECIATION INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited)


COMMON STOCKS—94.4%	SHARES			VALUE
ADVERTISING—0.0%
Choicestream, Inc.*^,@,(a)	124,658	$		52,356
AEROSPACE & DEFENSE—5.1%
Honeywell International, Inc.	1,180,459		134,891,050
Lockheed Martin Corp.	98,571			22,905,929
The Boeing Co.	175,763			23,692,852
TransDigm Group, Inc.*	15,600			3,554,772
			185,044,603
AIRLINES—1.2%
Delta Air Lines, Inc.	579,700			24,156,099
Southwest Airlines Co	424,500			18,936,945
Spirit Airlines, Inc.*	36,500			1,603,445
			44,696,489
ALTERNATIVE CARRIERS—0.6%
Level 3 Communications, Inc.*	416,109		21,745,856
APPAREL ACCESSORIES & LUXURY GOODS—0.6%
Hanesbrands, Inc.	316,500			9,187,995
PVH Corp.	100,500			9,607,800
Under Armour, Inc., Cl. A*	59,500			2,614,430
			21,410,225
APPLICATION SOFTWARE—2.2%
Adobe Systems, Inc.*	357,554			33,688,738
salesforce.com, inc.*	625,234			47,392,737
			81,081,475
AUTO PARTS & EQUIPMENT—1.4%
Delphi Automotive PLC.	595,027			43,811,838
WABCO Holdings, Inc.*	60,300			6,763,248
			50,575,086
AUTOMOBILE MANUFACTURERS—0.1%
Tesla Motors, Inc.*	15,800			3,804,008
BIOTECHNOLOGY—4.7%
ACADIA Pharmaceuticals, Inc.*	286,100			9,241,030
Biogen, Inc.*	122,045			33,561,155
BioMarin Pharmaceutical, Inc.*	266,130			22,535,888
Celgene Corp.*	420,690			43,503,553
Gilead Sciences, Inc.	363,022			32,022,171
Incyte Corp.*	75,798			5,477,921
Vertex Pharmaceuticals, Inc.*	286,718			24,181,796
			170,523,514
BREWERS—1.5%
Molson Coors Brewing Co., Cl. B	571,576		54,659,813
BROADCASTING—1.5%
CBS Corp., Cl. B	1,003,000		56,077,730
BUILDING PRODUCTS—0.3%
Fortune Brands Home & Security, Inc.	183,497			10,167,569
Lennox International, Inc.	13,684			1,846,656
			12,014,225

- 16 -

THE ALGER INSTITUTIONAL FUNDS |
ALGER CAPITAL APPRECIATION INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
CABLE & SATELLITE—1.7%
Comcast Corporation, Cl. A	1,022,820	$		62,146,543
CASINOS & GAMING—0.2%
Las Vegas Sands Corp.	120,700			5,449,605
COMMUNICATIONS EQUIPMENT—0.3%
Arista Networks, Inc.*	106,330			7,083,705
Cisco Systems, Inc.	144,400			3,969,556
				11,053,261
CONSUMER FINANCE—0.1%
LendingClub Corp.*	397,300			3,138,670
DATA PROCESSING & OUTSOURCED SERVICES—4.0%
Alliance Data Systems Corp.*	18,427			3,746,394
Sabre Corp.	682,740			19,765,323
Visa, Inc., Cl. A	1,562,555		120,691,748
			144,203,465
DIVERSIFIED CHEMICALS—0.2%
EI Du Pont de Nemours & Co.	118,400			7,803,744
DRUG RETAIL—1.5%
CVS Caremark Corp.	418,108			42,019,854
Walgreens Boots Alliance, Inc.	170,293			13,500,829
			55,520,683
ELECTRICAL COMPONENTS & EQUIPMENT—0.4%
Eaton Corp., PLC.	213,500		13,508,145
ENVIRONMENTAL & FACILITIES SERVICES—0.4%
Stericycle, Inc.*	168,400		16,092,304
FOOD RETAIL—0.6%
The Kroger Co.	575,252		20,358,168
GENERAL MERCHANDISE STORES—0.9%
Dollar General Corp.	217,429			17,809,609
Dollar Tree, Inc.*	163,721			13,050,201
			30,859,810
HEALTH CARE EQUIPMENT—3.2%
Boston Scientific Corp.*	991,300			21,729,296
DexCom, Inc.*	188,100			12,109,878
Edwards Lifesciences Corp.*	273,000			28,995,330
Medtronic PLC.	234,900			18,592,335
STERIS PLC.	335,700			23,723,919
Stryker Corp.	111,300			12,132,813
			117,283,571
HEALTH CARE FACILITIES—0.7%
Acadia Healthcare Co., Inc.*	47,000			2,969,930
Amsurg Corp.*	120,300			9,741,894
HCA Holdings, Inc.*	170,047			13,709,189
			26,421,013
HOME ENTERTAINMENT SOFTWARE—1.0%
Activision Blizzard, Inc.	165,954			5,720,434
Electronic Arts, Inc.*	502,800			31,098,180
			36,818,614

- 17 -

THE ALGER INSTITUTIONAL FUNDS |
ALGER CAPITAL APPRECIATION INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
HOME IMPROVEMENT RETAIL—0.8%
The Home Depot, Inc.	220,807	$		29,563,849
HOTELS RESORTS & CRUISE LINES—1.4%
Ctrip.com International Ltd.#*	299,894			13,078,377
Norwegian Cruise Line Holdings Ltd.*	486,000			23,760,540
Royal Caribbean Cruises Ltd.	189,300			14,651,820
			51,490,737
HOUSEWARES & SPECIALTIES—1.9%
Newell Brands, Inc.	1,534,493			69,880,811
HYPERMARKETS & SUPER CENTERS—0.5%
Costco Wholesale Corp.	123,000		18,219,990
INDUSTRIAL CONGLOMERATES—0.8%
3M Co.	70,100			11,733,338
General Electric Co.	584,189			17,963,812
			29,697,150
INDUSTRIAL GASES—0.2%
Air Products & Chemicals, Inc.	39,027			5,693,649
INTEGRATED OIL & GAS—0.3%
TOTAL SA#	207,400		10,525,550
INTEGRATED TELECOMMUNICATION SERVICES—1.3%
AT&T, Inc.	661,400			25,675,548
Verizon Communications, Inc.	433,600			22,087,584
			47,763,132
INTERNET RETAIL—4.3%
Amazon.com, Inc.*	223,571		147,465,196
NetFlix, Inc.*	99,996			9,002,640
The Priceline Group, Inc.*	1,400			1,881,124
			158,348,960
INTERNET SOFTWARE & SERVICES—12.8%
Alphabet, Inc., Cl. C*	352,219		244,091,289
comScore, Inc.*	225,400			6,901,748
Facebook, Inc., Cl. A*	1,403,932		165,074,325
LinkedIn Corp., Cl. A*	81,036			10,154,621
Palantir Technologies, Inc., Cl. A*^,@	239,030			2,629,330
Twitter, Inc.*	67,900			992,698
Yahoo! Inc.*	1,035,148			37,886,417
			467,730,428
INVESTMENT BANKING & BROKERAGE—0.5%
Morgan Stanley	543,430			14,705,216
The Goldman Sachs Group, Inc.	29,000			4,759,190
			19,464,406
LEISURE PRODUCTS—0.5%
Coach, Inc.	471,200		18,975,224
LIFE SCIENCES TOOLS & SERVICES—2.1%
Thermo Fisher Scientific, Inc.	518,779		74,833,871
MANAGED HEALTH CARE—2.3%
Aetna, Inc.	116,557			13,085,854
Humana, Inc.	50,200			8,888,914

- 18 -

THE ALGER INSTITUTIONAL FUNDS |
ALGER CAPITAL APPRECIATION INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
MANAGED HEALTH CARE—(CONT.)
UnitedHealth Group, Inc.	470,204	$		61,916,463
			83,891,231
MOVIES & ENTERTAINMENT—0.5%
The Walt Disney Co.	67,865			7,007,740
Time Warner, Inc.	127,952			9,614,313
			16,622,053
OIL & GAS EQUIPMENT & SERVICES—0.6%
Halliburton Company	294,991			12,186,078
Schlumberger Ltd.	41,400			3,326,076
Weatherford International PLC.*	694,900			5,649,537
			21,161,691
OIL & GAS EXPLORATION & PRODUCTION—0.7%
EOG Resources, Inc.	242,400			20,027,088
Pioneer Natural Resources Co.	35,100			5,830,110
			25,857,198
OTHER DIVERSIFIED FINANCIAL SERVICES—0.5%
Bank of America Corp.	1,301,243		18,946,098
PACKAGED FOODS & MEATS—0.5%
Mead Johnson Nutrition Co., Cl. A	21,800			1,899,870
The Kraft Heinz Co.	194,000			15,145,580
TreeHouse Foods, Inc.*	25,500			2,254,200
			19,299,650
PHARMACEUTICALS—5.2%
Allergan PLC.*	365,010			79,046,566
Bristol-Myers Squibb Co.	837,940			60,482,509
Eli Lilly & Co.	207,900			15,702,687
Pacira Pharmaceuticals, Inc.*	305,694			16,541,102
Pfizer, Inc.	334,300			10,934,953
Shire PLC.	116,632			7,278,817
			189,986,634
RAILROADS—0.3%
Union Pacific Corp.	136,846			11,937,077
REGIONAL BANKS—0.2%
Citizens Financial Group, Inc.	350,000			7,997,500
RESEARCH & CONSULTING SERVICES—0.5%
Verisk Analytics, Inc., Cl. A*	244,800		18,991,584
RESTAURANTS—1.4%
McDonald's Corp.	166,294			21,034,528
Starbucks Corp.	512,973			28,844,472
			49,879,000
SECURITY & ALARM SERVICES—0.6%
Tyco International PLC.	523,373		20,160,328
SEMICONDUCTORS—2.5%
Broadcom Ltd.	274,560			40,017,120
Microsemi Corp.*	636,000			21,490,440
NXP Semiconductors NV*	350,397			29,881,856
			91,389,416

- 19 -

THE ALGER INSTITUTIONAL FUNDS |
ALGER CAPITAL APPRECIATION INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
SOFT DRINKS—2.1%
Monster Beverage Corp.*	59,900	$		8,638,778
PepsiCo, Inc.	648,547			66,774,399
The Coca-Cola Co.	39,400			1,765,120
			77,178,297
SPECIALIZED CONSUMER SERVICES—0.6%
ServiceMaster Global Holdings, Inc.*	531,000		20,347,920
SPECIALIZED FINANCE—0.2%
S&P Global, Inc.	68,566			7,326,277
SPECIALTY CHEMICALS—0.8%
PPG Industries, Inc.	131,869			14,557,019
The Sherwin-Williams Co.	55,800			16,031,898
			30,588,917
SPECIALTY STORES—0.7%
Signet Jewelers Ltd.	218,293		23,697,888
SYSTEMS SOFTWARE—5.4%
Microsoft Corp.	3,252,219		162,188,162
Oracle Corp.	181,900			7,250,534
Red Hat, Inc.*	180,400			13,235,948
ServiceNow, Inc.*	224,834			16,071,134
			198,745,778
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—4.6%
Apple, Inc.	1,791,321		167,918,431
TOBACCO—1.5%
Altria Group, Inc.	532,194			33,373,886
Philip Morris International, Inc.	220,900			21,674,708
			55,048,594
TRADING COMPANIES & DISTRIBUTORS—0.9%
HD Supply Holdings, Inc.*	997,656		34,199,648
TOTAL COMMON STOCKS
(Cost $3,152,285,223)			3,445,701,943
PREFERRED STOCKS—0.5%	SHARES			VALUE
ADVERTISING—0.1%
Choicestream, Inc., Cl. A*^,@,(a)	1,074,935			451,473
Choicestream, Inc., Cl. B*^,@,(a)	2,500,538			1,050,226
				1,501,699
INTERNET SOFTWARE & SERVICES—0.3%
Palantir Technologies, Inc., Cl. B*^,@	974,841			10,723,251
Palantir Technologies, Inc., Cl. D*^,@	127,007			1,397,077
			12,120,328
PHARMACEUTICALS—0.1%
Intarcia Therapeutics, Inc.*^,@	111,655			3,690,198
TOTAL PREFERRED STOCKS
(Cost $13,252,335)				17,312,225
MASTER LIMITED PARTNERSHIP—0.7%	SHARES			VALUE
ASSET MANAGEMENT & CUSTODY BANKS—0.7%
The Blackstone Group LP.	953,062		26,152,021
(Cost $30,055,316)				26,152,021

- 20 -

THE ALGER INSTITUTIONAL FUNDS |
ALGER CAPITAL APPRECIATION INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


REAL ESTATE INVESTMENT TRUST—0.9%	SHARES			VALUE
MORTGAGE—0.6%
Blackstone Mortgage Trust, Inc., Cl. A	833,840		$	22,913,923
SPECIALIZED—0.3%
Crown Castle International Corp.	144,700			12,571,536
TOTAL REAL ESTATE INVESTMENT TRUST
(Cost $36,699,515)				35,485,459
Total Investments
(Cost $3,232,292,389)^(b)	96.5	%		3,524,651,648
Other Assets in Excess of Liabilities	3.5	%		126,528,597
NET ASSETS	100.0	%	$	3,651,180,245

# American Depositary Receipts.
^(a)Deemed an affiliate of the Alger fund complex during the year for purposes of Section 2(a)(3) of the Investment
Company Act of 1940. See Affiliated Securities in Notes to Financial Statements.
^(b)At April 30, 2016, the net unrealized appreciation on investments, based on cost for federal income tax purposes
of $3,293,870,885, amounted to $230,780,763 which consisted of aggregate gross unrealized appreciation of
$368,002,684 and aggregate gross unrealized depreciation of $137,221,921.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. The investment is deemed
to not be liquid and may be sold only to qualified buyers.


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	4/30/2016
Choicestream, Inc.	03/14/14	$	36,151	0.00	%	$	52,356	0.00	%
Choicestream, Inc., Cl. A	12/17/13		859,605	0.03	%		451,473	0.01	%
Choicestream, Inc., Cl. B	07/10/14		1,500,323	0.05	%		1,050,226	0.03	%
Intarcia Therapeutics, Inc.	03/27/14		3,616,506	0.14	%		3,690,198	0.10	%
Palantir Technologies, Inc., Cl. A	10/07/14		1,555,368	0.05	%		2,629,330	0.07	%
Palantir Technologies, Inc., Cl. B	10/07/14		6,437,297	0.22	%		10,723,251	0.29	%
Palantir Technologies, Inc., Cl. D	10/14/14		838,605	0.03	%		1,397,077	0.04	%
Total						$	19,993,911	0.54	%

*See Notes to Financial Statements.*

- 21 -

THE ALGER INSTITUTIONAL FUNDS | ALGER CAPITAL APPRECIATION FOCUS FUND
Schedule of Investments April 30, 2016 (Unaudited)


COMMON STOCKS—91.6%	SHARES		VALUE
AEROSPACE & DEFENSE—5.2%
Honeywell International, Inc.	32,190	$	3,678,351
AIRLINES—1.1%
Delta Air Lines, Inc.	18,060		752,560
ALTERNATIVE CARRIERS—1.5%
Level 3 Communications, Inc.*	20,060		1,048,336
APPAREL ACCESSORIES & LUXURY GOODS—1.2%
PVH Corp.	9,080		868,048
APPLICATION SOFTWARE—2.6%
Adobe Systems, Inc.*	8,550		805,581
salesforce.com, inc.*	13,960		1,058,168
			1,863,749
AUTO PARTS & EQUIPMENT—1.5%
Delphi Automotive PLC.	14,000		1,030,820
BIOTECHNOLOGY—5.0%
Biogen, Inc.*	3,100		852,469
BioMarin Pharmaceutical, Inc.*	6,350		537,718
Celgene Corp.*	10,260		1,060,987
Gilead Sciences, Inc.	6,830		602,474
Vertex Pharmaceuticals, Inc.*	5,310		447,845
			3,501,493
BREWERS—1.5%
Molson Coors Brewing Co., Cl. B	10,840		1,036,629
BROADCASTING—4.8%
CBS Corp., Cl. B	60,690		3,393,178
CABLE & SATELLITE—2.3%
Comcast Corporation, Cl. A	26,630		1,618,039
CASINOS & GAMING—0.9%
Red Rock Resorts, Inc., Cl. A*	32,700		609,528
DATA PROCESSING & OUTSOURCED SERVICES—3.9%
Visa, Inc., Cl. A	35,490		2,741,248
DRUG RETAIL—1.2%
CVS Caremark Corp.	8,400		844,200
HEALTH CARE EQUIPMENT—2.1%
DexCom, Inc.*	7,080		455,810
Edwards Lifesciences Corp.*	4,660		494,939
STERIS PLC.	7,390		522,251
			1,473,000
HOME ENTERTAINMENT SOFTWARE—2.3%
Electronic Arts, Inc.*	25,880		1,600,678
HOTELS RESORTS & CRUISE LINES—2.5%
Norwegian Cruise Line Holdings Ltd.*	35,767		1,748,649
HOUSEWARES & SPECIALTIES—1.8%
Newell Brands, Inc.	27,825		1,267,151

- 22 -

THE ALGER INSTITUTIONAL FUNDS | ALGER CAPITAL APPRECIATION FOCUS FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
INTERNET RETAIL—4.1%
Amazon.com, Inc.*	4,430	$		2,921,984
INTERNET SOFTWARE & SERVICES—14.9%
Alphabet, Inc., Cl. C*	6,851			4,747,812
comScore, Inc.*	10,190			312,018
Facebook, Inc., Cl. A*	27,530			3,236,977
Match Group, Inc.*	29,580			337,212
Stamps.com, Inc.*	11,620			957,023
Yahoo! Inc.*	26,230			960,018
			10,551,060
INVESTMENT BANKING & BROKERAGE—0.6%
Morgan Stanley	16,790			454,337
LIFE SCIENCES TOOLS & SERVICES—2.3%
Thermo Fisher Scientific, Inc.	11,280			1,627,140
MANAGED HEALTH CARE—2.7%
UnitedHealth Group, Inc.	14,710			1,937,013
OIL & GAS EQUIPMENT & SERVICES—0.3%
Weatherford International PLC.*	28,810			234,225
OIL & GAS EXPLORATION & PRODUCTION—1.1%
Anadarko Petroleum Corp.	15,129			798,206
OTHER DIVERSIFIED FINANCIAL SERVICES—1.0%
Bank of America Corp.	49,010			713,586
PACKAGED FOODS & MEATS—1.0%
Pinnacle Foods, Inc.	16,310			694,643
PHARMACEUTICALS—5.4%
Allergan PLC.*	8,760			1,897,066
Bristol-Myers Squibb Co.	22,380			1,615,388
Pacira Pharmaceuticals, Inc.*	6,020			325,742
				3,838,196
SECURITY & ALARM SERVICES—0.7%
Tyco International PLC.	12,030			463,396
SEMICONDUCTORS—3.1%
Broadcom Ltd.	7,350			1,071,262
Microsemi Corp.*	13,460			454,813
NXP Semiconductors NV*	7,870			671,154
				2,197,229
SPECIALTY CHEMICALS—0.7%
The Sherwin-Williams Co.	1,640			471,188
SPECIALTY STORES—1.0%
Signet Jewelers Ltd.	6,450			700,212
SYSTEMS SOFTWARE—5.3%
Microsoft Corp.	66,990			3,340,791
TubeMogul, Inc.*	32,630			422,885
				3,763,676

- 23 -

THE ALGER INSTITUTIONAL FUNDS | ALGER CAPITAL APPRECIATION FOCUS FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
TECHNOLOGY HARDWARE STORAGE & PERIPHERALS—4.7%
Apple, Inc.	35,711		$	3,347,549
TRADING COMPANIES & DISTRIBUTORS—1.3%
HD Supply Holdings, Inc.*	27,130			930,016
TOTAL COMMON STOCKS
(Cost $61,854,144)				64,719,313
PREFERRED STOCKS—0.5%	SHARES			VALUE
BIOTECHNOLOGY—0.5%
Prosetta Biosciences, Inc.*^,@,(a)	76,825			347,249
(Cost $345,713)				347,249
MASTER LIMITED PARTNERSHIP—1.2%	SHARES			VALUE
ASSET MANAGEMENT & CUSTODY BANKS—1.2%
The Blackstone Group LP.	31,770			871,769
(Cost $945,997)				871,769
REAL ESTATE INVESTMENT TRUST—2.2%	SHARES			VALUE
SPECIALIZED—2.2%
Crown Castle International Corp.	17,970			1,561,234
(Cost $1,521,597)				1,561,234
Total Investments
(Cost $64,667,451)^(b)	95.5	%		67,499,565
Other Assets in Excess of Liabilities	4.5	%		3,151,188
NET ASSETS	100.0	%	$	70,650,753

^(a)Deemed an affiliate of the Alger fund complex during the year for purposes of Section 2(a)(3) of the Investment
Company Act of 1940. See Affiliated Securities in Notes to Financial Statements.
^(b)At April 30, 2016, the net unrealized appreciation on investments, based on cost for federal income tax purposes
of $65,845,255, amounted to $1,654,310 which consisted of aggregate gross unrealized appreciation of
$4,623,399 and aggregate gross unrealized depreciation of $2,969,089.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. The investment is deemed
to not be liquid and may be sold only to qualified buyers.


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	4/30/2016
Prosetta Biosciences, Inc.	02/06/15	$	345,713	0.80	%	$	347,249	0.49	%
Total						$	347,249	0.49	%



*See Notes to Financial Statements.*

- 24 -

THE ALGER INSTITUTIONAL FUNDS | ALGER MID CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited)


COMMON STOCKS—94.2%	SHARES		VALUE
ADVERTISING—0.0%
Choicestream, Inc.*^,@,(a)	8,930	$	3,750
AEROSPACE & DEFENSE—2.4%
Hexcel Corp.	26,800		1,213,236
TransDigm Group, Inc.*	6,800		1,549,516
			2,762,752
AIRLINES—1.9%
Southwest Airlines Co	24,400		1,088,484
Spirit Airlines, Inc.*	7,800		342,654
United Continental Holdings, Inc.*	15,100		691,731
			2,122,869
APPAREL ACCESSORIES & LUXURY GOODS—3.4%
Hanesbrands, Inc.	48,900		1,419,567
lululemon athletica, Inc.*	8,000		524,400
PVH Corp.	10,500		1,003,800
Under Armour, Inc., Cl. A*	11,800		518,492
Under Armour, Inc., Cl. C*	10,600		432,480
			3,898,739
APPAREL RETAIL—1.8%
Burlington Stores, Inc.*	11,800		672,246
Ross Stores, Inc.	24,500		1,391,110
			2,063,356
APPLICATION SOFTWARE—0.5%
Guidewire Software, Inc.*	3,300		188,001
Intuit, Inc.	3,700		373,293
			561,294
AUTO PARTS & EQUIPMENT—2.4%
Delphi Automotive PLC.	20,950		1,542,548
WABCO Holdings, Inc.*	10,000		1,121,600
			2,664,148
AUTOMOBILE MANUFACTURERS—0.2%
Tesla Motors, Inc.*	800		192,608
AUTOMOTIVE RETAIL—0.9%
O'Reilly Automotive, Inc.*	3,900		1,024,452
BIOTECHNOLOGY—3.4%
Anacor Pharmaceuticals, Inc.*	5,600		351,344
BioMarin Pharmaceutical, Inc.*	8,000		677,440
Bluebird Bio, Inc.*	5,100		226,185
Incyte Corp.*	8,500		614,295
Juno Therapeutics, Inc.*	2,500		105,225
Portola Pharmaceuticals, Inc.*	11,600		275,616
Ultragenyx Pharmaceutical, Inc.*	6,400		432,768
United Therapeutics Corp.*	5,700		599,640
Vertex Pharmaceuticals, Inc.*	6,300		531,342
			3,813,855
BROADCASTING—1.2%
CBS Corp., Cl. B	23,900		1,336,249

- 25 -

THE ALGER INSTITUTIONAL FUNDS | ALGER MID CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
BROADCASTING & CABLE TV—0.7%
Discovery Communications, Inc., Series A*	30,200	$	824,762
BUILDING PRODUCTS—3.0%
Allegion PLC.	25,000		1,636,250
AO Smith Corp.	8,600		664,092
Fortune Brands Home & Security, Inc.	20,300		1,124,823
			3,425,165
CASINOS & GAMING—1.1%
Penn National Gaming, Inc.*	44,200		712,946
Red Rock Resorts, Inc., Cl. A*	30,100		561,064
			1,274,010
COMMUNICATIONS EQUIPMENT—2.7%
Arista Networks, Inc.*	9,200		612,904
Ciena Corp.*	20,000		336,600
F5 Networks, Inc.*	9,500		995,125
Finisar Corp.*	20,800		342,368
Lumentum Holdings, Inc.*	13,700		346,610
Palo Alto Networks, Inc.*	3,200		482,784
			3,116,391
CONSTRUCTION & FARM MACHINERY & HEAVY
TRUCKS—0.6%
Wabtec Corp.	8,300		688,319
CONSUMER FINANCE—0.1%
LendingClub Corp.*	18,900		149,310
DATA PROCESSING & OUTSOURCED SERVICES—4.4%
Alliance Data Systems Corp.*	3,800		772,578
Fiserv, Inc.*	14,900		1,456,028
MAXIMUS, Inc.	18,300		968,070
Sabre Corp.	34,400		995,880
Vantiv, Inc., CL. A*	14,500		790,830
			4,983,386
DISTILLERS & VINTNERS—0.4%
Constellation Brands Inc., Cl. A	2,700		421,362
ENVIRONMENTAL & FACILITIES SERVICES—0.9%
Stericycle, Inc.*	10,400		993,824
FOOD RETAIL—0.8%
The Kroger Co.	26,500		937,835
GENERAL MERCHANDISE STORES—2.0%
Dollar General Corp.	16,200		1,326,942
Dollar Tree, Inc.*	12,500		996,375
			2,323,317
HEALTH CARE EQUIPMENT—5.0%
ABIOMED, Inc.*	11,800		1,146,252
DexCom, Inc.*	21,600		1,390,608
Edwards Lifesciences Corp.*	14,200		1,508,182
Hologic, Inc.*	15,100		507,209

- 26 -

THE ALGER INSTITUTIONAL FUNDS | ALGER MID CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
HEALTH CARE EQUIPMENT—(CONT.)
IDEXX Laboratories, Inc.*	10,100	$	851,935
STERIS PLC.	3,300		233,211
			5,637,397
HEALTH CARE FACILITIES—3.9%
Acadia Healthcare Co., Inc.*	16,400		1,036,316
Amsurg Corp.*	11,700		947,466
Universal Health Services, Inc., Cl. B	9,800		1,310,064
VCA Antech, Inc.*	18,100		1,139,757
			4,433,603
HEALTH CARE SERVICES—0.8%
Adeptus Health, Inc., Cl. A*	8,700		592,644
Diplomat Pharmacy, Inc.*	10,500		318,045
			910,689
HOME ENTERTAINMENT SOFTWARE—0.7%
Electronic Arts, Inc.*	13,500		834,975
HOMEBUILDING—0.3%
Toll Brothers, Inc.*	10,900		297,570
HOTELS RESORTS & CRUISE LINES—5.9%
Ctrip.com International Ltd.#*	6,400		279,104
Diamond Resorts International, Inc.*	72,100		1,529,241
Norwegian Cruise Line Holdings Ltd.*	54,300		2,654,727
Royal Caribbean Cruises Ltd.	29,500		2,283,300
			6,746,372
HOUSEHOLD PRODUCTS—1.1%
Church & Dwight Co., Inc.	12,900		1,195,830
HOUSEWARES & SPECIALTIES—2.4%
Newell Brands, Inc.	59,096		2,691,232
INDUSTRIAL GASES—0.5%
Air Products & Chemicals, Inc.	4,000		583,560
INDUSTRIAL MACHINERY—1.5%
Colfax Corp.*	17,300		561,039
Donaldson Co., Inc.	23,300		761,444
Graco, Inc.	5,300		415,467
			1,737,950
INTERNET SOFTWARE & SERVICES—2.9%
comScore, Inc.*	21,300		652,206
Cornerstone OnDemand, Inc.*	14,139		485,675
Criteo SA#*	10,400		433,576
LinkedIn Corp., Cl. A*	3,300		413,523
Palantir Technologies, Inc., Cl. A*^,@	12,426		136,686
SPS Commerce, Inc.*	10,500		534,765
Stamps.com, Inc.*	6,200		510,632
Twitter, Inc.*	9,300		135,966
			3,303,029

- 27 -

THE ALGER INSTITUTIONAL FUNDS | ALGER MID CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES		VALUE
INVESTMENT BANKING & BROKERAGE—0.6%
TD Ameritrade Holding Corp.	24,600	$	733,818
LEISURE PRODUCTS—1.0%
Coach, Inc.	26,700		1,075,209
LIFE SCIENCES TOOLS & SERVICES—0.3%
Quintiles Transnational Holdings, Inc.*	5,400		372,978
OIL & GAS DRILLING—0.3%
Patterson-UTI Energy, Inc.	16,900		333,775
OIL & GAS EXPLORATION & PRODUCTION—0.7%
Devon Energy Corp.	7,500		260,100
Newfield Exploration Co.*	6,300		228,375
PDC Energy, Inc.*	4,400		276,276
			764,751
PACKAGED FOODS & MEATS—2.1%
ConAgra Foods, Inc.	4,000		178,240
Mead Johnson Nutrition Co., Cl. A	4,100		357,315
The WhiteWave Foods Co.*	20,600		828,326
TreeHouse Foods, Inc.*	12,000		1,060,800
			2,424,681
PHARMACEUTICALS—1.0%
Akorn, Inc.*	4,000		101,800
Jazz Pharmaceuticals PLC.*	2,400		361,680
Pacira Pharmaceuticals, Inc.*	11,300		611,443
			1,074,923
REAL ESTATE SERVICES—0.4%
Jones Lang LaSalle, Inc.	4,000		460,680
REGIONAL BANKS—1.7%
Citizens Financial Group, Inc.	36,000		822,600
Signature Bank*	8,400		1,157,772
			1,980,372
RESEARCH & CONSULTING SERVICES—2.4%
CoStar Group, Inc.*	3,700		730,047
Verisk Analytics, Inc., Cl. A*	25,100		1,947,258
			2,677,305
SECURITY & ALARM SERVICES—0.8%
Tyco International PLC.	24,900		959,148
SEMICONDUCTOR EQUIPMENT—0.9%
Lam Research Corp.	12,700		970,280
SEMICONDUCTORS—4.6%
Broadcom Ltd.	13,600		1,982,200
Cavium Networks, Inc.*	8,100		399,897
Microsemi Corp.*	22,900		773,791
NXP Semiconductors NV*	10,900		929,552
Skyworks Solutions, Inc.	16,800		1,122,576
			5,208,016

- 28 -

THE ALGER INSTITUTIONAL FUNDS | ALGER MID CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
SOFT DRINKS—0.6%
Monster Beverage Corp.*	4,700	$		677,834
SPECIALIZED CONSUMER SERVICES—1.3%
ServiceMaster Global Holdings, Inc.*	38,200			1,463,824
SPECIALIZED FINANCE—1.4%
Moody's Corp.	2,900			277,588
S&P Global, Inc.	11,900			1,271,515
				1,549,103
SPECIALTY CHEMICALS—4.3%
Axalta Coating Systems Ltd.*	34,000			967,980
Balchem Corp.	7,300			447,928
Celanese Corp.	11,800			834,260
PPG Industries, Inc.	11,300			1,247,407
The Sherwin-Williams Co.	4,900			1,407,819
				4,905,394
SPECIALTY STORES—3.4%
Signet Jewelers Ltd.	10,300			1,118,168
The Michaels Cos, Inc.*	26,400			750,552
Tractor Supply Co.	10,900			1,031,794
Ulta Salon, Cosmetics & Fragrance, Inc.*	4,800			999,744
				3,900,258
SYSTEMS SOFTWARE—4.5%
Fortinet, Inc.*	41,800			1,358,918
Proofpoint, Inc.*	9,900			576,774
Red Hat, Inc.*	6,400			469,568
ServiceNow, Inc.*	26,800			1,915,664
Tableau Software, Inc., Cl. A*	4,900			253,330
TubeMogul, Inc.*	43,100			558,576
				5,132,830
TRADING COMPANIES & DISTRIBUTORS—1.7%
HD Supply Holdings, Inc.*	56,200			1,926,536
TRUCKING—0.4%
Old Dominion Freight Line, Inc.*	6,000			396,300
TOTAL COMMON STOCKS
(Cost $104,408,492)			106,941,975
PREFERRED STOCKS—1.9%	SHARES			VALUE
ADVERTISING—0.1%
Choicestream, Inc., Cl. A*^,@,(a)	77,008			32,344
Choicestream, Inc., Cl. B*^,@,(a)	144,793			60,813
				93,157
BIOTECHNOLOGY—1.1%
Prosetta Biosciences, Inc.*^,@,(a)	166,009			750,361
Tolero Pharmaceuticals, Inc.*^,@,(a)	354,870			468,428
				1,218,789
INTERNET SOFTWARE & SERVICES—0.5%
Palantir Technologies, Inc., Cl. B*^,@	50,675			557,425

- 29 -

THE ALGER INSTITUTIONAL FUNDS | ALGER MID CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


PREFERRED STOCKS—(CONT.)	SHARES			VALUE
INTERNET SOFTWARE & SERVICES—(CONT.)
Palantir Technologies, Inc., Cl. D*^,@	6,602		$	72,622
				630,047
PHARMACEUTICALS—0.2%
Intarcia Therapeutics, Inc.*^,@	7,588			250,783
TOTAL PREFERRED STOCKS
(Cost $2,589,818)				2,192,776
REAL ESTATE INVESTMENT TRUST—3.3%	SHARES			VALUE
HEALTH CARE—0.5%
Omega Healthcare Investors, Inc.	15,900			536,943
MORTGAGE—0.5%
Blackstone Mortgage Trust, Inc., Cl. A	22,200			610,056
OFFICE—0.7%
Digital Realty Trust, Inc.	8,700			765,426
SPECIALIZED—1.6%
Crown Castle International Corp.	14,300			1,242,384
Lamar Advertising Co., Cl. A	9,300			576,972
				1,819,356
TOTAL REAL ESTATE INVESTMENT TRUST
(Cost $3,847,331)				3,731,781
SPECIAL PURPOSE VEHICLE—0.2%	SHARES			VALUE
CONSUMER FINANCE—0.2%
JS Kred SPV I, LLC.^@	240,362			240,362
(Cost $240,362)				240,362
Total Investments
(Cost $111,086,003)^(b)	99.6	%	113,106,894
Other Assets in Excess of Liabilities	0.4	%		401,472
NET ASSETS	100.0	%	$	113,508,366

# American Depositary Receipts.
(a) Deemed an affiliate of the Alger fund complex during the year for purposes of Section 2(a)(3) of the Investment
Company Act of 1940. See Affiliated Securities in Notes to Financial Statements.
^(b)At April 30, 2016, the net unrealized appreciation on investments, based on cost for federal income tax purposes
of $111,151,232, amounted to $1,955,662 which consisted of aggregate gross unrealized appreciation of
$9,720,231 and aggregate gross unrealized depreciation of $7,764,569.
* Non-income producing security.

- 30 -

THE ALGER INSTITUTIONAL FUNDS | ALGER MID CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)

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


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	4/30/2016
Choicestream, Inc.	03/14/14	$	2,590	0.00	%	$	3,750	0.00	%
Choicestream, Inc., Cl. A	12/17/13		61,582	0.03	%		32,344	0.03	%
Choicestream, Inc., Cl. B	07/10/14		86,876	0.05	%		60,813	0.05	%
Intarcia Therapeutics, Inc.	03/27/14		245,775	0.14	%		250,783	0.22	%
JS Kred SPV I, LLC.	06/26/15		240,362	0.15	%		240,362	0.21	%
Palantir Technologies, Inc., Cl. A	10/07/14		80,856	0.05	%		136,686	0.12	%
Palantir Technologies, Inc., Cl. B	10/07/14		334,629	0.22	%		557,425	0.49	%
Palantir Technologies, Inc., Cl. D	10/14/14		43,592	0.03	%		72,622	0.07	%
Prosetta Biosciences, Inc.	02/06/15		747,041	0.50	%		750,361	0.66	%
Tolero Pharmaceuticals, Inc.	08/01/14		705,514	0.45	%		308,769	0.27	%
Tolero Pharmaceuticals, Inc.	10/31/14		364,809	0.23	%		159,659	0.14	%
Total						$	2,573,574	2.26	%

*See Notes to Financial Statements.*

- 31 -

THE ALGER INSTITUTIONAL FUNDS | ALGER SMALL CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited)


COMMON STOCKS—92.7%	SHARES			VALUE
AEROSPACE & DEFENSE—0.8%
Hexcel Corp.	40,650	$		1,840,225
AIR FREIGHT & LOGISTICS—0.5%
Forward Air Corp.	26,303			1,198,891
APPAREL ACCESSORIES & LUXURY GOODS—0.6%
G-III Apparel Group Ltd.*	31,800			1,438,950
APPAREL RETAIL—1.7%
American Eagle Outfitters, Inc.	114,300			1,635,633
Burlington Stores, Inc.*	43,400			2,472,498
				4,108,131
APPLICATION SOFTWARE—13.9%
American Software, Inc., Cl. A	381,602			3,487,842
ANSYS, Inc.*	13,200			1,198,164
Blackbaud, Inc.	69,650			4,302,280
Ellie Mae, Inc.*	19,000			1,588,400
Fair Isaac Corp.	14,350			1,531,288
Guidewire Software, Inc.*	34,350			1,956,920
HubSpot, Inc.*	27,750			1,229,048
Manhattan Associates, Inc.*	81,050			4,906,767
Monotype Imaging Holdings, Inc.	39,500			870,185
Paycom Software, Inc.*	98,550			3,765,596
Textura Corp.*	76,000			2,005,640
Tyler Technologies, Inc.*	42,100			6,163,861
			33,005,991
ASSET MANAGEMENT & CUSTODY BANKS—0.9%
WisdomTree Investments, Inc.	202,277			2,202,797
AUTO PARTS & EQUIPMENT—0.9%
Tenneco, Inc.*	42,300			2,254,590
AUTOMOTIVE RETAIL—0.8%
Lithia Motors, Inc., Cl. A	21,800			1,809,836
BIOTECHNOLOGY—3.9%
ACADIA Pharmaceuticals, Inc.*	57,550			1,858,865
Anacor Pharmaceuticals, Inc.*	15,750			988,155
Halozyme Therapeutics, Inc.*	66,850			705,267
Heron Therapeutics, Inc.*	34,750			745,040
Juno Therapeutics, Inc.*	15,100			635,559
Neurocrine Biosciences, Inc.*	18,350			836,393
Portola Pharmaceuticals, Inc.*	39,450			937,332
TESARO, Inc.*	35,400			1,466,976
Ultragenyx Pharmaceutical, Inc.*	16,100			1,088,682
				9,262,269
BUILDING PRODUCTS—1.7%
Masonite International Corp.*	61,050			4,130,643
CASINOS & GAMING—1.0%
Penn National Gaming, Inc.*	142,850			2,304,171

- 32 -

THE ALGER INSTITUTIONAL FUNDS | ALGER SMALL CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
COMMODITY CHEMICALS—0.6%
Calgon Carbon Corp.	80,000	$		1,311,200
CONSUMER FINANCE—1.1%
LendingClub Corp.*	330,500			2,610,950
DATA PROCESSING & OUTSOURCED SERVICES—2.1%
Euronet Worldwide, Inc.*	41,450			3,195,795
MAXIMUS, Inc.	35,050			1,854,145
				5,049,940
EDUCATION SERVICES—0.5%
Strayer Education, Inc.*	25,850			1,283,194
ELECTRONIC COMPONENTS—1.1%
DTS, Inc.*	117,950			2,573,669
ELECTRONIC EQUIPMENT MANUFACTURERS—3.8%
Cognex Corp.	95,997			3,410,773
FEI Co.	44,550			3,965,841
FLIR Systems, Inc.	57,300			1,731,033
				9,107,647
FOOD DISTRIBUTORS—1.1%
Performance Food Group Co.*	104,650			2,708,342
HEALTH CARE EQUIPMENT—5.8%
Abaxis, Inc.	85,000			3,852,200
ABIOMED, Inc.*	36,700			3,565,038
Cantel Medical Corp.	74,600			4,997,454
STERIS PLC.	20,550			1,452,268
			13,866,960
HEALTH CARE FACILITIES—3.3%
Amsurg Corp.*	34,350			2,781,663
Surgery Partners, Inc.*	92,300			1,503,567
VCA Antech, Inc.*	55,150			3,472,795
				7,758,025
HEALTH CARE SUPPLIES—4.4%
Meridian Bioscience, Inc.	68,950			1,317,635
Neogen Corp.*	121,350			5,732,574
Quidel Corp.*	196,901			3,406,387
			10,456,596
HEALTH CARE TECHNOLOGY—3.8%
Medidata Solutions, Inc.*	93,800			4,092,494
Veeva Systems, Inc., Cl. A*	95,150			2,617,577
Vocera Communications, Inc.*	193,200			2,264,304
				8,974,375
HOME ENTERTAINMENT SOFTWARE—0.5%
Take-Two Interactive Software, Inc.*	32,150			1,098,887
HOME FURNISHING RETAIL—0.3%
Williams-Sonoma, Inc.	14,000			822,920

- 33 -

THE ALGER INSTITUTIONAL FUNDS | ALGER SMALL CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
HOTELS RESORTS & CRUISE LINES—0.9%
Diamond Resorts International, Inc.*	103,550	$		2,196,295
HUMAN RESOURCE & EMPLOYMENT SERVICES—2.9%
On Assignment, Inc.*	84,850			3,059,691
WageWorks, Inc.*	69,850			3,762,121
				6,821,812
INDUSTRIAL MACHINERY—3.3%
Proto Labs, Inc.*	60,950			3,646,639
Sun Hydraulics Corp.	119,600			4,231,448
				7,878,087
INTERNET SOFTWARE & SERVICES—4.3%
comScore, Inc.*	48,450			1,483,539
NIC, Inc.	109,450			1,938,360
SPS Commerce, Inc.*	50,700			2,582,151
Stamps.com, Inc.*	50,254			4,138,919
			10,142,969
INVESTMENT BANKING & BROKERAGE—0.5%
Evercore Partners, Inc., Cl. A	24,750			1,278,090
LEISURE FACILITIES—0.5%
Planet Fitness, Inc., Cl. A*	77,800			1,195,008
LIFE SCIENCES TOOLS & SERVICES—4.1%
Bio-Techne Corp.	55,400			5,162,172
Luminex Corp.*	163,700			3,290,370
PRA Health Sciences, Inc.*	24,900			1,181,505
				9,634,047
MANAGED HEALTH CARE—0.6%
Molina Healthcare, Inc.*	29,500			1,526,920
MOVIES & ENTERTAINMENT—0.6%
Lions Gate Entertainment Corp.	61,750			1,370,850
OIL & GAS EQUIPMENT & SERVICES—0.6%
RPC, Inc.	87,650			1,325,268
OIL & GAS EXPLORATION & PRODUCTION—1.0%
Parsley Energy, Inc., Cl. A*	39,050			914,551
QEP Resources, Inc.	83,600			1,498,948
				2,413,499
PACKAGED FOODS & MEATS—0.6%
TreeHouse Foods, Inc.*	17,350			1,533,740
PAPER PACKAGING—0.5%
Graphic Packaging Holding Co.	94,600			1,256,288
PHARMACEUTICALS—1.7%
Impax Laboratories, Inc.*	33,550			1,118,892
Pacira Pharmaceuticals, Inc.*	28,850			1,561,074
Revance Therapeutics, Inc.*	35,800			658,004
The Medicines Co.*	21,250			756,287
				4,094,257

- 34 -

THE ALGER INSTITUTIONAL FUNDS | ALGER SMALL CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


COMMON STOCKS—(CONT.)	SHARES			VALUE
REGIONAL BANKS—2.3%
Bank of the Ozarks, Inc.	42,600	$		1,759,380
Boston Private Financial Holdings, Inc.	172,750			2,111,005
Investors Bancorp, Inc.	138,100			1,595,055
				5,465,440
RESTAURANTS—3.3%
Dave & Buster's Entertainment, Inc.*	50,300			1,946,610
Fiesta Restaurant Group, Inc.*	33,700			1,082,107
Shake Shack, Inc., Cl. A*	61,600			2,249,632
Wingstop, Inc.*	102,050			2,545,127
				7,823,476
SEMICONDUCTORS—2.8%
Cavium Networks, Inc.*	35,050			1,730,418
Microsemi Corp.*	77,550			2,620,415
Monolithic Power Systems, Inc.	38,650			2,412,533
				6,763,366
SPECIALTY CHEMICALS—1.9%
Balchem Corp.	74,530			4,573,161
SPECIALTY STORES—0.9%
Five Below, Inc.*	48,390			2,017,863
SYSTEMS SOFTWARE—3.2%
Fleetmatics Group PLC.*	51,500			1,866,875
Proofpoint, Inc.*	57,546			3,352,630
TubeMogul, Inc.*	188,900			2,448,144
				7,667,649
TRADING COMPANIES & DISTRIBUTORS—1.1%
Watsco, Inc.	18,700			2,514,589
TOTAL COMMON STOCKS
(Cost $214,642,880)			220,671,873
PREFERRED STOCKS—1.1%	SHARES			VALUE
BIOTECHNOLOGY—0.5%
Prosetta Biosciences, Inc.*^,@,(a)	133,263			602,349
Tolero Pharmaceuticals, Inc.*^,@,(a)	448,284			591,735
				1,194,084
PHARMACEUTICALS—0.6%
Intarcia Therapeutics, Inc.*^,@	41,238			1,362,916
TOTAL PREFERRED STOCKS
(Cost $3,287,452)				2,557,000
RIGHTS—–%	SHARES			VALUE
BIOTECHNOLOGY—–%
Dyax Corp.*	21,650			–
Neuralstem, Inc., 1/8/2019*	250,375			–
				–
TOTAL RIGHTS
(Cost $0)				–

- 35 -

THE ALGER INSTITUTIONAL FUNDS | ALGER SMALL CAP GROWTH INSTITUTIONAL FUND
Schedule of Investments April 30, 2016 (Unaudited) (Continued)


REAL ESTATE INVESTMENT TRUST—3.0%	SHARES			VALUE
SPECIALIZED—3.0%
CyrusOne, Inc.	86,500		$	3,817,245
Sovran Self Storage, Inc.	31,300			3,324,686
				7,141,931
TOTAL REAL ESTATE INVESTMENT TRUST
(Cost $5,188,034)				7,141,931
SPECIAL PURPOSE VEHICLE—0.3%	SHARES			VALUE
CONSUMER FINANCE—0.3%
JS Kred SPV I, LLC.^@	775,134			775,134
(Cost $775,134)				775,134
Total Investments
(Cost $223,893,500)^(b)	97.1	%	231,145,938
Other Assets in Excess of Liabilities	2.9	%		6,877,432
NET ASSETS	100.0	%	$	238,023,370

^(a)Deemed an affiliate of the Alger fund complex during the year for purposes of Section 2(a)(3) of the Investment
Company Act of 1940. See Affiliated Securities in Notes to Financial Statements.
^(b)At April 30, 2016, the net unrealized appreciation on investments, based on cost for federal income tax purposes
of $229,762,922, amounted to $1,383,016 which consisted of aggregate gross unrealized appreciation of
$21,938,309 and aggregate gross unrealized depreciation of $20,555,293.
* Non-income producing security.
@ Restricted security - Investment in security not registered under the Securities Act of 1933. The investment is deemed
to not be liquid and may be sold only to qualified buyers.


				% of net assets				% of net assets
	Acquisition			(Acquisition			Market	as of
Security	Date(s)		Cost	Date)			Value	4/30/2016
Intarcia Therapeutics, Inc.	03/27/14	$	1,335,699	0.15	%	$	1,362,916	0.57	%
JS Kred SPV I, LLC.	06/26/15		775,134	0.15	%		775,134	0.33	%
Prosetta Biosciences, Inc.	02/06/15		599,684	0.10	%		602,349	0.25	%
Tolero Pharmaceuticals, Inc.	10/31/14		1,352,069	0.20	%		591,735	0.25	%
Total						$	3,332,134	1.40	%

*See Notes to Financial Statements.*

- 36 -

THE ALGER INSTITUTIONAL FUNDS
Statement of Assets and Liabilities April 30, 2016 (Unaudited)


		Alger Capital			Alger Capital
		Appreciation		Appreciation Focus
	Institutional Fund				Fund

ASSETS:
Investments in securities, at value (Identified cost below)*
see accompanying schedules of investments	$	3,523,097,593		$	67,152,316
Investments in affiliated securities, at value (Identified cost
below)** see accompanying schedules of investments		1,554,055			347,249
Cash and cash equivalents		133,799,720			3,324,233
Receivable for investment securities sold		67,626,289			2,132,282
Receivable for shares of beneficial interest sold		8,612,380			90,551
Dividends and interest receivable		1,858,062			28,022
Receivable from Investment Manager		—			23,320
Prepaid expenses		277,828			50,642
Total Assets		3,736,825,927			73,148,615

LIABILITIES:
Payable for investment securities purchased		68,228,750			2,275,479
Payable for shares of beneficial interest redeemed		12,879,887			101,390
Accrued investment advisory fees		2,249,498			41,604
Accrued transfer agent fees		920,611			20,826
Accrued distribution fees		247,758			12,740
Accrued administrative fees		84,074			1,611
Accrued shareholder servicing fees		764,309			5,168
Accrued shareholder administrative fees		30,572			774
Accrued other expenses		240,223			38,270
Total Liabilities		85,645,682			2,497,862
NET ASSETS	$	3,651,180,245		$	70,650,753

NET ASSETS CONSIST OF:
Paid in capital (par value of $.001 per share)		3,456,961,176			72,038,511
Undistributed net investment income (accumulated loss)		(14,405,430	)		(324,641	)
Undistributed net realized gain (accumulated realized loss)		(83,734,760	)		(3,895,230	)
Net unrealized appreciation on investments		292,359,259			2,832,113
NET ASSETS	$	3,651,180,245		$	70,650,753
* Identified cost	$	3,229,896,310		$	64,321,738
** Identified cost	$	2,396,079		$	345,713
*See Notes to Financial Statements.*

- 37 -

THE ALGER INSTITUTIONAL FUNDS
Statement of Assets and Liabilities April 30, 2016 (Unaudited) (Continued)


		Alger Capital		Alger Capital
		Appreciation	Appreciation Focus
	Institutional Fund			Fund

NET ASSETS BY CLASS:
Class A	$	—	$	25,889,187
Class C	$	—	$	8,847,645
Class I	$	3,056,715,906	$	24,535,130
Class R	$	594,464,339	$	—
Class Z	$	—	$	11,378,791

SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:
Class A		—		1,133,755
Class C		—		397,327
Class I		120,505,848		1,069,481
Class R		25,721,849		—
Class Z		—		491,690

NET ASSET VALUE PER SHARE:
Class A — Net Asset Value Per Share	$	—	$	22.83
Class A — Offering Price Per Share
(includes a 5.25% sales charge)	$	—	$	24.10
Class C — Net Asset Value Per Share	$	—	$	22.27
Class I — Net Asset Value Per Share	$	25.37	$	22.94
Class R — Net Asset Value Per Share	$	23.11	$	—
Class Z — Net Asset Value Per Share	$	—	$	23.14
*See Notes to Financial Statements.*

- 38 -

THE ALGER INSTITUTIONAL FUNDS
Statement of Assets and Liabilities April 30, 2016 (Unaudited) (Continued)


					Alger Small Cap
	Alger Mid Cap Growth			Growth Institutional
	Institutional Fund				Fund

ASSETS:
Investments in securities, at value (Identified cost below)*
see accompanying schedules of investments	$	111,791,198		$	229,951,854
Investments in affiliated securities, at value (Identified cost
below)** see accompanying schedules of investments		1,315,696			1,194,084
Cash and cash equivalents		569,694			7,319,034
Receivable for investment securities sold		3,258,957			4,058,643
Receivable for shares of beneficial interest sold		56,857			212,857
Dividends and interest receivable		33,918			5,180
Prepaid expenses		21,615			68,056
Total Assets		117,047,935			242,809,708

LIABILITIES:
Payable for investment securities purchased		3,000,589			2,995,183
Payable for shares of beneficial interest redeemed		331,451			1,315,461
Accrued investment advisory fees		72,337			165,141
Accrued transfer agent fees		49,803			148,424
Accrued distribution fees		6,162			6,003
Accrued administrative fees		2,617			5,607
Accrued shareholder servicing fees		23,795			50,970
Accrued shareholder administrative fees		952			2,039
Accrued other expenses		51,863			97,510
Total Liabilities		3,539,569			4,786,338
NET ASSETS	$	113,508,366		$	238,023,370

NET ASSETS CONSIST OF:
Paid in capital (par value of $.001 per share)		396,339,370			245,371,105
Undistributed net investment income (accumulated loss)		(670,068	)		2,000,206
Undistributed net realized gain (accumulated realized loss)		(284,181,558	)		(16,600,379	)
Net unrealized appreciation on investments		2,020,892			7,252,438
NET ASSETS	$	113,508,636		$	238,023,370
* Identified cost	$	109,117,591		$	221,941,747
** Identified cost	$	1,968,412		$	1,951,753
*See Notes to Financial Statements.*

- 39 -

THE ALGER INSTITUTIONAL FUNDS
Statement of Assets and Liabilities April 30, 2016 (Unaudited) (Continued)


				Alger Small Cap
	Alger Mid Cap Growth		Growth Institutional
	Institutional Fund			Fund

NET ASSETS BY CLASS:
Class I	$	98,716,014	$	223,723,062
Class R	$	14,792,352	$	14,300,308

SHARES OF BENEFICIAL INTEREST OUTSTANDING — NOTE 6:
Class I		4,664,719		16,048,309
Class R		753,768		1,197,983

NET ASSET VALUE PER SHARE:
Class I — Net Asset Value Per Share	$	21.16	$	13.94
Class R — Net Asset Value Per Share	$	19.62	$	11.94
*See Notes to Financial Statements.*

- 40 -

THE ALGER INSTITUTIONAL FUNDS
Statement of Operations For the six months ended April 30, 2016 (Unaudited)


		Alger Capital			Alger Capital
		Appreciation		Appreciation Focus
	Institutional Fund				Fund

INCOME:
Dividends (net of foreign withholding taxes*)	$	20,809,885		$	334,732
Interest		91,907			2,119
Total Income		20,901,792			336,851

EXPENSES:
Advisory fees — Note 3(a)		13,521,916			240,512
Distribution fees — Note 3(c)
Class A		—			32,170
Class C		—			38,878
Class R		1,512,799			—
Shareholder servicing fees — Note 3(k)		4,588,715			30,507
Shareholder administrative fees — Note 3(f)		183,549			4,477
Administration fees — Note 3(b)		504,758			9,316
Custodian fees		108,925			30,162
Transfer agent fees and expenses — Note 3(f)		1,085,732			31,901
Printing fees		134,852			5,094
Professional fees		106,338			14,221
Registration fees		75,276			35,659
Trustee fees — Note 3(g)		73,378			1,461
Fund accounting fees		233,223			6,682
Miscellaneous		53,615			3,622
Total Expenses		22,183,076			484,662
Less, expense reimbursements/waivers — Note 3(a)		—			(64,428	)
Net Expenses		22,183,076			420,234
NET INVESTMENT LOSS		(1,281,284	)		(83,383	)

REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, OPTIONS AND FOREIGN CURRENCY:
Net realized gain (loss) on investments		21,543,170			(2,832,818	)
Net realized (loss) on foreign currency transactions		(14,707	)		—
Net change in unrealized (depreciation) on investments,
options and foreign currency		(180,558,304	)		(588,307	)
Net realized and unrealized (loss) on investments, options,
and foreign currency		(159,029,841	)		(3,421,125	)
NET DECREASE IN NET ASSETS RESULTING FROM
OPERATIONS	$	(160,311,125	)	$	(3,504,508	)
* Foreign withholding taxes	$	92,083		$	—
*See Notes to Financial Statements.*

- 41 -

THE ALGER INSTITUTIONAL FUNDS
Statement of Operations For the six months ended April 30, 2016 (Unaudited) (Continued)


					Alger Small Cap
	Alger Mid Cap Growth			Growth Institutional
	Institutional Fund				Fund

INCOME:
Dividends	$	425,699		$	721,683
Interest		1,968			1,370
Total Income		427,667			723,053

EXPENSES:
Advisory fees — Note 3(a)		450,655			1,196,112
Distribution fees — Note 3(c)
Class R		38,716			38,684
Shareholder servicing fees — Note 3(k)		148,242			369,170
Shareholder administrative fees — Note 3(f)		5,929			14,767
Administration fees — Note 3(b)		16,306			40,609
Custodian fees		23,845			29,946
Interest expenses		—			5,757
Transfer agent fees and expenses — Note 3(f)		52,946			99,344
Printing fees		1,700			17,480
Professional fees		22,879			24,975
Registration fees		2,352			38,815
Trustee fees — Note 3(g)		2,484			5,557
Fund accounting fees		8,035			17,781
Miscellaneous		5,347			7,870
Total Expenses		779,436			1,906,867
NET INVESTMENT LOSS		(351,769	)		(1,183,814	)

REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, OPTIONS AND FOREIGN CURRENCY:
Net realized (loss) on investments		(4,050,057	)		(11,100,828	)
Net change in unrealized (depreciation) on investments,
options and foreign currency		(3,790,954	)		(22,576,081	)
Net realized and unrealized (loss) on investments, options,
and foreign currency		(7,841,011	)		(33,676,909	)
NET DECREASE IN NET ASSETS RESULTING FROM
OPERATIONS	$	(8,192,780	)	$	(34,860,723	)
*See Notes to Financial Statements.*

- 42 -

THE ALGER INSTITUTIONAL FUNDS
Statements of Changes in Net Assets (Unaudited)


	Alger Capital Appreciation Institutional Fund
		For the			For the
		Six Months Ended			Year Ended
		April 30, 2016			October 31, 2015

Net investment loss	$	(1,281,284	)	$	(5,661,878	)
Net realized gain on investments, options and foreign currency		21,528,463			293,239,703
Net change in unrealized appreciation (depreciation) on
investments, options and foreign currency		(180,558,304	)		25,070,288
Net increase (decrease) in net assets resulting from operations		(160,311,125	)		312,648,113

Dividends and distributions to shareholders from:
Net realized gains:
Class I		(229,560,756	)		(321,833,735	)
Class R		(50,476,174	)		(64,146,416	)
Total dividends and distributions to shareholders		(280,036,930	)		(385,980,151	)

Increase (decrease) from shares of beneficial interest transactions:
Class I		223,058,987			693,918,464
Class R		17,739,614			144,649,699
Net increase from shares of beneficial interest transactions —
Note 6(a)		240,798,601			838,568,163
Total increase (decrease)		(199,549,454	)		765,236,125

Net Assets:
Beginning of period		3,850,729,699			3,085,493,574
END OF PERIOD	$	3,651,180,245		$	3,850,729,699
Undistributed net investment income (accumulated loss)	$	(14,405,430	)	$	(9,105,013	)
*See Notes to Financial Statements.*

- 43 -

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


		Alger Capital Appreciation Focus Fund
		For the			For the
		Six Months Ended			Year Ended
		April 30, 2016			October 31, 2015

Net investment loss	$	(83,383	)	$	(42,037	)
Net realized gain (loss) on investments, options and foreign
currency		(2,832,818	)		2,309,907
Net change in unrealized appreciation (depreciation) on
investments, options and foreign currency		(588,307	)		1,268,548
Net increase (decrease) in net assets resulting from operations		(3,504,508	)		3,536,418

Dividends and distributions to shareholders from:
Net realized gains:
Class A		(316,453	)		—
Class C		(87,313	)		—
Class I		(274,831	)		—
Class Z		(120,412	)		—
Total dividends and distributions to shareholders		(799,009	)		—

Increase (decrease) from shares of beneficial interest transactions:
Class A		3,609,012			16,877,719
Class C		2,783,922			3,632,471
Class I		1,511,803			10,433,186
Class Z		8,376,754			2,241,175
Net increase from shares of beneficial interest transactions —
Note 6(a)		16,281,491			33,184,551

Redemption Fees:
Class A		—			180
Total Redemption Fees — Note 6(b)		—			180
Total increase		11,977,974			36,721,149

Net Assets:
Beginning of period		58,672,779			21,951,630
END OF PERIOD	$	70,650,753		$	58,672,779
Undistributed net investment income (accumulated loss)	$	(324,641	)	$	(164,935	)
*See Notes to Financial Statements.*

- 44 -

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


		Alger Mid Cap Growth Institutional Fund
			For the			For the
			Six Months Ended			Year Ended
			April 30, 2016			October 31, 2015

Net investment loss	$		(351,769	)	$	(930,358	)
Net realized gain (loss) on investments, options and foreign
currency			(4,050,057	)		6,256,111
Net realized loss on written options			—			(85,147	)
Net change in unrealized depreciation on investments, options
and foreign currency			(3,790,954	)		(2,097,299	)
Net change in unrealized depreciation on investments, written
options			—			(48,165	)
Net increase (decrease) in net assets resulting from operations			(8,192,780	)		3,095,142

Increase (decrease) from shares of beneficial interest transactions:
Class I			(9,186,123	)		(20,175,331	)
Class R			(1,891,284	)		(4,520,619	)
Net decrease from shares of beneficial interest transactions
— Note 6(a)			(11,077,407	)		(24,695,950	)
Total decrease			(19,270,187	)		(21,600,808	)

Net Assets:
Beginning of period			132,778,553			154,379,361
END OF PERIOD	$		113,508,366		$	132,778,553
Undistributed net investment income (accumulated loss)	$		(670,068	)	$	(1,080,394	)
*See Notes to Financial Statements.*

- 45 -

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


		Alger Small Cap Growth Institutional Fund
			For the			For the
			Six Months Ended			Year Ended
			April 30, 2016			October 31, 2015

Net investment loss	$		(1,183,814	)	$	(4,446,611	)
Net realized gain (loss) on investments, options and foreign
currency			(11,100,828	)		116,168,863
Net change in unrealized depreciation on investments, options
and foreign currency			(22,576,081	)		(95,572,078	)
Net increase (decrease) in net assets resulting from operations			(34,860,723	)		16,150,174

Dividends and distributions to shareholders from:
Net realized gains:
Class I			(112,158,310	)		(115,227,005	)
Class R			(6,331,284	)		(5,978,217	)
Total dividends and distributions to shareholders			(118,489,594	)		(121,205,222	)

Increase (decrease) from shares of beneficial interest transactions:
Class I			11,857,459			(202,968,640	)
Class R			3,750,286			(6,964,356	)
Net increase (decrease) from shares of beneficial interest
transactions — Note 6(a)			15,607,745			(209,932,996	)
Total decrease			(137,742,572	)		(314,988,044	)

Net Assets:
Beginning of period			375,765,942			690,753,986
END OF PERIOD	$		238,023,370		$	375,765,942
Undistributed net investment income (accumulated loss)	$		2,000,206		$	(3,790,706	)
*See Notes to Financial Statements.*

- 46 -

THE ALGER INSTITUTIONAL FUNDS
Financial Highlights for a share outstanding throughout the period (Unaudited)


Alger Capital Appreciation
Institutional Fund											Class I
		Six months
			ended			Year ended				Year ended				Year ended				Year ended				Year ended
		4/30/2016		⁽ⁱ⁾		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	28.48		$		29.34		$		28.21		$		22.85		$		20.88		$		19.28
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income (loss)⁽ⁱⁱ⁾			–				(0.02	)			(0.02	)			0.16				0.09				(0.01	)
Net realized and unrealized gain (loss)
on investments			(1.07	)			2.46				4.57				6.21				2.64				1.61
Total from investment operations			(1.07	)			2.44				4.55				6.37				2.73				1.60
Dividends from net investment income			–				–				(0.01	)			(0.17	)			–				–
Distributions from net realized gains			(2.04	)			(3.30	)			(3.41	)			(0.84	)			(0.76	)			–
Net asset value, end of period		$	25.37		$		28.48		$		29.34		$		28.21		$		22.85		$		20.88
Total return			(4.12	)%			8.96	%			17.63	%			29.02	%			13.70	%			8.30	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	3,056,716			$	3,194,261			$	2,555,737			$	1,958,405			$	1,470,078			$	1,041,609
Ratio of gross expenses to average
net assets			1.13	%			1.12	%			1.16	%			1.19	%			1.19	%			1.17	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–				–
Ratio of net expenses to average net
assets			1.13	%			1.12	%			1.16	%			1.19	%			1.19	%			1.17	%
Ratio of net investment income (loss) to
average net assets			0.01	%			(0.07	)%			(0.07	)%			0.65	%			0.41	%			(0.04	)%

Portfolio turnover rate			60.02	%		136.03%⁽ⁱⁱⁱ⁾					136.20%^(iv)				124.43	%			137.16	%			153.30	%
*See Notes to Financial Statements.*

(i) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(ii) Amount was computed based on average shares outstanding during the period.
(iii) Amount excludes redemption in kind transaction of $294,638,130. Please see note 6 to the financial statements.
(iv) Amount excludes redemption in kind transaction of $71,436,408.
- 47 -

THE ALGER INSTITUTIONAL FUNDS
Financial Highlights for a share outstanding throughout the period (Unaudited)


Alger Capital Appreciation
Institutional Fund											Class R
		Six months
			ended			Year ended				Year ended				Year ended					Year ended				Year ended
		4/30/2016		⁽ⁱ⁾		10/31/2015				10/31/2014					10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	26.19			$	27.35			$	26.63			$		21.76			$	20.01			$	18.57
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income (loss)⁽ⁱⁱ⁾			(0.06	)			(0.15	)			(0.14	)				0.04				(0.02	)			(0.11	)
Net realized and unrealized gain (loss)
on investments			(0.98	)			2.29				4.27					5.87				2.53				1.55
Total from investment operations			(1.04	)			2.14				4.13					5.91				2.51				1.44
Dividends from net investment income			–				–				–					(0.20	)			–				–
Distributions from net realized gains			(2.04	)			(3.30	)			(3.41	)				(0.84	)			(0.76	)			–
Net asset value, end of period		$	23.11			$	26.19			$	27.35			$		26.63			$	21.76			$	20.01
Total return			(4.38	)%			8.46	%			17.04	%				28.35	%			13.20	%			7.80	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	594,464			$	656,469			$	529,757			$	442,449				$	347,634			$	227,260
Ratio of gross expenses to average
net assets			1.61	%			1.61	%			1.64	%				1.69	%			1.69	%			1.68	%
Ratio of expense reimbursements to
average net assets			–				–				–					–				–				–
Ratio of net expenses to average net
assets			1.61	%			1.61	%			1.64	%				1.69	%			1.69	%			1.68	%
Ratio of net investment income (loss) to
average net assets			(0.47	)%			(0.57	)%			(0.55	)%				0.17	%			(0.09	)%			(0.56	)%

Portfolio turnover rate			60.02	%		136.03%⁽ⁱⁱⁱ⁾					136.20^%(iv)					124.43	%			137.16	%			153.30	%
*See Notes to Financial Statements.*

- 48 -

THE ALGER INSTITUTIONAL FUNDS
Financial Highlights for a share outstanding throughout the period (Unaudited)


Alger Capital Appreciation Focus
Fund							Class A
												From 12/31/2012
			Six months ended 4/30/2016(i)				Year ended 10/31/2015			Year ended 10/31/2014			(commencement of operations) to 10/31/2013 (ii)
Net asset value, beginning of period		$	24.13			$	22.01		$	18.69		$	14.70
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱⁱⁱ⁾			(0.03	)			(0.02	)		(0.04	)		(0.01	)
Net realized and unrealized gain (loss)
on investments			(1.00	)			2.14			3.36			4.00
Total from investment operations			(1.03	)			2.12			3.32			3.99
Distributions from net realized gains			(0.27	)			–			–			–
Net asset value, end of period		$	22.83			$	24.13		$	22.01		$	18.69
Total return^(iv)			(4.33	)%			9.63	%		17.76	%		27.14	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	25,889			$	23,961			$	5,158		$	3,496
Ratio of gross expenses to average
net assets			1.36	%			1.48	%		2.38	%		2.49	%
Ratio of expense reimbursements to
average net assets			(0.12	)%			(0.18	)%		(1.08	)%		(1.19	)%
Ratio of net expenses to average net
assets			1.24	%			1.30	%		1.30	%		1.30	%
Ratio of net investment income (loss) to
average net assets			(0.23	)%			(0.08	)%		(0.19	)%		(0.09	)%
Portfolio turnover rate			76.60	%			182.58	%		153.69	%		166.61	%
*See Notes to Financial Statements.*

(i) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(ii) Ratios have been annualized; total return has not been annualized; portfolio turnover is for the twelve months then ended.
(iii) Amount was computed based on average shares outstanding during the period.
(iv) Does not reflect the effect of sales charges, if applicable.
- 49 -

THE ALGER INSTITUTIONAL FUNDS
Financial Highlights for a share outstanding throughout the period (Unaudited)


Alger Capital Appreciation Focus
Fund					Class C
										From 12/31/2012
	Six months ended 4/30/2016⁽ⁱ⁾				Year ended 10/31/2015			Year ended 10/31/2014			(commencementof operations) to 10/31/2013⁽ⁱⁱ⁾
Net asset value, beginning of period	$	23.62		$	21.71		$	18.58		$	14.70
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱⁱⁱ⁾		(0.11	)		(0.20	)		(0.19	)		(0.11	)
Net realized and unrealized gain (loss)
on investments		(0.97	)		2.11			3.32			3.99
Total from investment operations		(1.08	)		1.91			3.13			3.88
Distributions from net realized gains		(0.27	)		–			–			–
Net asset value, end of period	$	22.27		$	23.62		$	21.71		$	18.58
Total return^(iv)		(4.64	)%		8.80	%		16.85	%		26.39	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	8,848		$	6,542		$	2,635		$	1,913
Ratio of gross expenses to average
net assets		2.17	%		2.25	%		3.14	%		3.27	%
Ratio of expense reimbursements to
average net assets		(0.20	)%		(0.20	)%		(1.09	)%		(1.22	)%
Ratio of net expenses to average net
assets		1.97	%		2.05	%		2.05	%		2.05	%
Ratio of net investment income (loss) to
average net assets		(0.99	)%		(0.85	)%		(0.94	)%		(0.83	)%
Portfolio turnover rate		76.60	%		182.58	%		153.69	%		166.61	%
*See Notes to Financial Statements.*

- 50 -

THE ALGER INSTITUTIONAL FUNDS
Financial Highlights for a share outstanding throughout the period (Unaudited)


Alger Capital Appreciation Focus
Fund											Class I
		Six months
			ended			Year ended				Year ended			Year ended				Year ended				Year ended
		4/30/2016		⁽ⁱ⁾		10/31/2015				10/31/2014			10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	24.23			$	22.07			$	18.72		$	14.53			$	13.75			$	13.03
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income (loss)⁽ⁱⁱ⁾			(0.02	)			0.01				(0.01	)		0.15				(0.03	)			(0.04	)
Net realized and unrealized gain (loss)
on investments			(1.00	)			2.15				3.36			4.04				0.81				0.86
Total from investment operations			(1.02	)			2.16				3.35			4.19				0.78				0.82
Dividends from net investment income			–				–				–			–				–				(0.10	)
Distributions from net realized gains			(0.27	)			–				–			–				–				–
Net asset value, end of period		$	22.94			$	24.23			$	22.07		$	18.72			$	14.53			$	13.75
Total return⁽ⁱⁱⁱ⁾			(4.28	)%			9.79	%			17.90	%		28.84	%			5.70	%			6.30	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	24,535			$	24,487			$	12,897			$	8,684		$	15,101			$	16,294
Ratio of gross expenses to average
net assets			1.39	%			1.49	%			2.36	%		2.32	%			1.83	%			1.69	%
Ratio of expense reimbursements to
average net assets			(0.24	)%			(0.34	)%			(1.21	)%		(0.94	)%			–				–
Ratio of net expenses to average net
assets			1.15	%			1.15	%			1.15	%		1.38	%			1.83	%			1.69	%
Ratio of net investment income (loss) to
average net assets			(0.14	)%			0.03	%			(0.04	)%		0.95	%			(0.22	)%			(0.27	)%
Portfolio turnover rate			76.60	%			182.58	%			153.69	%		166.61	%			153.72	%			57.74	%
*See Notes to Financial Statements.*

THE ALGER INSTITUTIONAL FUNDS
Financial Highlights for a share outstanding throughout the period (Unaudited)


Alger Capital Appreciation Focus
Fund							Class Z
												From 12/31/2012
			Six months ended 4/30/2016 (i)				Year ended 10/31/2015			Year ended 10/31/2014			(commencement of operations) to 10/31/2013 (ii)
Net asset value, beginning of period		$	24.41		$		22.17		$	18.75		$	14.70
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income⁽ⁱⁱⁱ⁾			0.01				0.07			0.05			0.04
Net realized and unrealized gain (loss)
on investments			(1.01	)			2.17			3.37			4.01
Total from investment operations			(1.00	)			2.24			3.42			4.05
Distributions from net realized gains			(0.27	)			–			–			–
Net asset value, end of period		$	23.14		$		24.41		$	22.17		$	18.75
Total return^(iv)			(4.16			)%	10.10	%		18.24	%		27.55	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	11,379			$		3,683		$	1,262		$	128
Ratio of gross expenses to average
net assets			1.16	%			1.50	%		4.78	%		10.11	%
Ratio of expense reimbursements to
average net assets			(0.26	)%			(0.61	)%		(3.89	)%		(9.22	)%
Ratio of net expenses to average net
assets			0.90	%			0.89	%		0.89	%		0.89	%
Ratio of net investment income (loss) to
average net assets			0.06	%			0.30	%		0.23	%		0.32	%
Portfolio turnover rate			76.60	%			182.58	%		153.69	%		166.61	%
*See Notes to Financial Statements.*

- 52 -

THE ALGER INSTITUTIONAL FUNDS
Financial Highlights for a share outstanding throughout the period (Unaudited)


Alger Mid Cap Growth Institutional
Fund											Class I
		Six months
			ended			Year ended				Year ended				Year ended				Year ended				Year ended
		4/30/2016		⁽ⁱ⁾		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	22.54			$	22.18			$	19.43			$	14.59			$	13.50			$	13.11
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱⁱ⁾			(0.05	)			(0.13	)			(0.07	)			(0.03	)			–				(0.10	)
Net realized and unrealized gain (loss)
on investments			(1.33	)			0.49				2.82				4.91				1.09				0.52
Total from investment operations			(1.38	)			0.36				2.75				4.88				1.09				0.42
Dividends from net investment income			–				–				–				(0.04	)			–				(0.03	)
Net asset value, end of period		$	21.16			$	22.54			$	22.18			$	19.43			$	14.59			$	13.50
Total return			(6.12	)%			1.62	%			14.15	%			33.41	%			8.10	%			3.30	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	98,716			$	114,984			$	132,426			$	157,391			$	182,087			$	317,893
Ratio of gross expenses to average
net assets			1.24	%			1.20	%			1.30	%			1.29	%			1.23	%			1.18	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–				–
Ratio of net expenses to average net
assets			1.24	%			1.20	%			1.30	%			1.29	%			1.23	%			1.18	%
Ratio of net investment income (loss) to
average net assets			(0.52	)%			(0.55	)%			(0.32	)%			(0.19	)%			0.02	%			(0.69	)%
Portfolio turnover rate			45.00	%			120.97	%			192.15	%			153.89	%			232.99	%			233.50	%
*See Notes to Financial Statements.*

(i) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(ii) Amount was computed based on average shares outstanding during the period.
- 53 -

THE ALGER INSTITUTIONAL FUNDS
Financial Highlights for a share outstanding throughout the period (Unaudited)


Alger Mid Cap Growth Institutional
Fund											Class R
		Six months
			ended			Year ended				Year ended				Year ended					Year ended				Year ended
		4/30/2016		⁽ⁱ⁾		10/31/2015				10/31/2014					10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	20.96			$	20.74			$	18.26			$		13.81			$	12.85			$	12.51
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱⁱ⁾			(0.11	)			(0.23	)			(0.16	)				(0.11	)			(0.07	)			(0.17	)
Net realized and unrealized gain (loss)
on investments			(1.23	)			0.45				2.64					4.63				1.03				0.51
Total from investment operations			(1.34	)			0.22				2.48					4.52				0.96				0.34
Dividends from net investment income			–				–				–					(0.07	)			–				–
Net asset value, end of period		$	19.62			$	20.96			$	20.74			$		18.26			$	13.81			$	12.85
Total return			(6.39	)%			1.11	%			13.58	%				32.83	%			7.50	%			2.70	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	14,792			$	17,795			$	21,953			$	23,599				$	26,661			$	34,795
Ratio of gross expenses to average
net assets			1.80	%			1.74	%			1.80	%				1.79	%			1.76	%			1.74	%
Ratio of expense reimbursements to
average net assets			–				–				–					–				–				–
Ratio of net expenses to average net
assets			1.80	%			1.74	%			1.80	%				1.79	%			1.76	%			1.74	%
Ratio of net investment income (loss) to
average net assets			(1.09	)%			(1.08	)%			(0.82	)%				(0.69	)%			(0.50	)%			(1.24	)%
Portfolio turnover rate			45.00	%			120.97	%			192.15	%				153.89	%			232.99	%			233.50	%
*See Notes to Financial Statements.*

(i) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(ii) Amount was computed based on average shares outstanding during the period.

- 54 -

THE ALGER INSTITUTIONAL FUNDS
Financial Highlights for a share outstanding throughout the period (Unaudited)


Alger Small Cap Growth
Institutional Fund											Class I
		Six months
			ended			Year ended				Year ended				Year ended				Year ended				Year ended
		4/30/2016		⁽ⁱ⁾		10/31/2015				10/31/2014				10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	23.10			$	28.14			$	33.48			$	28.16			$	26.99			$	25.28
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱⁱ⁾			(0.06	)			(0.20	)			(0.20	)			(0.11	)			(0.15	)			(0.26	)
Net realized and unrealized gain (loss)
on investments			(1.47	)			0.42				0.60				8.66				2.45				1.97
Total from investment operations			(1.53	)			0.22				0.40				8.55				2.30				1.71
Distributions from net realized gains			(7.63	)			(5.26	)			(5.74	)			(3.23	)			(1.13	)			–
Net asset value, end of period		$	13.94			$	23.10			$	28.14			$	33.48			$	28.16			$	26.99
Total return			(9.54	)%			0.53	%			1.21	%			33.71	%			8.93	%			6.80	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	223,723			$	357,189			$	659,692			$	936,554			$	929,237			$	1,119,966
Ratio of gross expenses to average
net assets			1.26	%			1.25	%			1.24	%			1.25	%			1.23	%			1.18	%
Ratio of expense reimbursements to
average net assets			–				–				–				–				–				–
Ratio of net expenses to average net
assets			1.26	%			1.25	%			1.24	%			1.25	%			1.23	%			1.18	%
Ratio of net investment income (loss) to
average net assets			(0.78	)%			(0.80	)%			(0.70	)%			(0.38	)%			(0.54	)%			(0.94	)%
Portfolio turnover rate			32.75	%			125.72	%			84.10	%			77.38	%			72.43	%			70.57	%
*See Notes to Financial Statements.*

(i) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(ii) Amount was computed based on average shares outstanding during the period.
- 55 -

THE ALGER INSTITUTIONAL FUNDS
Financial Highlights for a share outstanding throughout the period (Unaudited)


Alger Small Cap Growth
Institutional Fund											Class R
		Six months
			ended			Year ended				Year ended				Year ended					Year ended				Year ended
		4/30/2016		⁽ⁱ⁾		10/31/2015				10/31/2014					10/31/2013				10/31/2012				10/31/2011
Net asset value, beginning of period		$	20.92			$	26.08			$	31.58			$		26.85			$	25.91			$	24.39
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss⁽ⁱⁱ⁾			(0.09	)			(0.29	)			(0.32	)				(0.23	)			(0.28	)			(0.40	)
Net realized and unrealized gain (loss)
on investments			(1.26	)			0.39				0.56					8.19				2.35				1.92
Total from investment operations			(1.35	)			0.10				0.24					7.96				2.07				1.52
Distributions from net realized gains			(7.63	)			(5.26	)			(5.74	)				(3.23	)			(1.13	)			–
Net asset value, end of period		$	11.94			$	20.92			$	26.08			$		31.58			$	26.85			$	25.91
Total return			(9.74	)%			0.02	%			0.74	%				33.05	%			8.40	%			6.20	%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000's
omitted)	$	14,300			$	18,577			$	31,062			$	41,022				$	47,507			$	62,211
Ratio of gross expenses to average
net assets			1.78	%			1.74	%			1.72	%				1.73	%			1.73	%			1.71	%
Ratio of expense reimbursements to
average net assets			–				–				–					–				–				–
Ratio of net expenses to average net
assets			1.78	%			1.74	%			1.72	%				1.73	%			1.73	%			1.71	%
Ratio of net investment income (loss) to
average net assets			(1.30	)%			(1.30	)%			(1.18	)%				(0.83	)%			(1.05	)%			(1.47	)%
Portfolio turnover rate			32.75	%			125.72	%			84.10	%				77.38	%			72.43	%			70.57	%
*See Notes to Financial Statements.*

(i) Ratios have been annualized; total return and portfolio turnover rate have not been annualized.
(ii) Amount was computed based on average shares outstanding during the period.

- 56 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited)

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

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

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

Debt securities generally trade in the over-the-counter market. Debt securities with
remaining maturities of more than sixty days at the time of acquisition are valued on
the basis of last available bid prices or current market quotations provided by dealers
or pricing services. In determining the value of a particular investment, pricing services
may use certain information with respect to transactions in such investments, quotations
from dealers, pricing matrixes, market transactions in comparable investments, various
relationships observed in the market between investments and calculated yield measures
based on valuation technology commonly employed in the market for such investments.
Asset-backed and mortgage-backed securities are valued by independent pricing services
using models that consider estimated cash flows of each tranche of the security, establish a
benchmark yield and develop an estimated tranche-specific spread to the benchmark yield
based on the unique attributes of the tranche. Debt securities with a remaining maturity of
sixty days or less are valued at amortized cost which approximates market value.
- 57 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

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

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

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

• Level 1 – quoted prices in active markets for identical investments
• Level 2 – significant other observable inputs (including quoted prices for similar
investments, interest rates, prepayment speeds, credit risk, etc.)
• Level 3 – significant unobservable inputs (including the Funds’ own assumptions in
determining the fair value of investments)
The Funds’ valuation techniques are generally consistent with either the market or the
income approach to fair value. The market approach considers prices and other relevant
information generated by market transactions involving identical or comparable assets
to measure fair value. The income approach converts future amounts to a current, or
discounted, single amount. These fair value measurements are determined on the basis
of the value indicated by current market expectations about such future events. Inputs
for Level 1 include exchange-listed prices and broker quotes in an active market. Inputs
for Level 2 include the last trade price in the case of a halted security, an exchange-listed
price which has been adjusted for fair value factors, and prices of closely related securities.
Additional Level 2 inputs include an evaluated price which is based upon a compilation of
observable market information such as spreads for fixed income and preferred securities.
Inputs for Level 3 include revenue multiples, earnings before interest, taxes, depreciation
and amortization (“EBITDA”) multiples, discount rates, and the probabilities of success of
certain outcomes. Such unobservable market information may be obtained from a company’s

- 58 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

financial statements and from industry studies, market data, and market indicators such as
benchmarks and indices.

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

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

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

(b) Cash and Cash Equivalents: Cash and cash equivalents include U.S. dollars and overnight
time deposits.
(c) Securities Transactions and Investment Income: Securities transactions are recorded on a
trade date basis. Realized gains and losses from securities transactions are recorded on the
identified cost basis. Dividend income is recognized on the ex-dividend date and interest
income is recognized on the accrual basis.
(d) Foreign Currency Translations: The books and records of the Funds are maintained in U.S.
dollars. Foreign currencies, investments and other assets and liabilities are translated into
U.S. dollars at the prevailing rates of exchange on the valuation date. Purchases and sales
of investment securities and income and expenses are translated into U.S. dollars at the
prevailing exchange rates on the respective dates of such transactions.
Net realized gains and losses on foreign currency transactions represent net gains and losses
from the disposition of foreign currencies, currency gains and losses realized between the
trade dates and settlement dates of security transactions, and the difference between the
amount of net investment income accrued and the U.S. dollar amount actually received.
The effects of changes in foreign currency exchange rates on investments in securities
are included in realized and unrealized gain or loss on investments in the accompanying
Statements of Operations.

(e) Option Contracts: When a Fund writes an option, an amount equal to the premium received
by the Fund is recorded as a liability and is subsequently adjusted to the current fair value
of the option written. Premiums received from writing options that expire unexercised are
treated by the Fund on the expiration date as realized gains from investments. The difference
between the premium and the amount paid on effecting a closing purchase transaction,
including brokerage commissions, is also treated as a realized gain, or, if the premium is less

- 59 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

than the amount paid for the closing purchase transaction, as a realized loss. If a call option
is exercised, the premium is added to the proceeds from the sale of the underlying security
in determining whether the Fund has realized a gain or loss. If a put option is exercised, the
premium reduces the cost basis of the securities purchased by the Fund. The Fund as writer
of an option bears the market risk of an unfavorable change in the price of the security
underlying the written option.
The Funds may also purchase put and call options. Each Fund pays a premium which is
included in the Fund’s accompanying Statement of Assets and Liabilities as an investment
and subsequently marked to market to reflect the current value of the option. Premiums
paid for purchasing options which expire are treated as realized losses. The risk associated
with purchasing put and call options is limited to the premium paid. Premiums paid for
purchasing options which are exercised or closed are added to the amounts paid or offset
against the proceeds on the underlying security to determine the realized gain or loss.

(f) Lending of Fund Securities: The Funds may lend their securities to financial institutions,
provided that the market value of the securities loaned will not at any time exceed one
third of a Fund’s total assets, as defined in its prospectuses. The Funds earn fees on the
securities loaned, which are included in interest income in the accompanying Statements
of Operations. In order to protect against the risk of failure by the borrower to return the
securities loaned or any delay in the delivery of such securities, the loan is collateralized by
cash or securities that are maintained with the Custodian in an amount equal to at least 102
percent of the current market value of U.S. loaned securities or 105 percent for non-U.S.
loaned securities. The market value of the loaned securities is determined at the close of
business of the Fund. Any required additional collateral is delivered to the Custodian and
any excess collateral is returned to the borrower on the next business day. In the event the
borrower fails to return the loaned securities when due, the Funds may take the collateral
to replace the securities. If the value of the collateral is less than the purchase cost of
replacement securities, the Custodian shall be responsible for any shortfall, but only to
the extent that the shortfall is not due to any diminution in collateral value, as defined in
the securities lending agreement. The Funds are required to maintain the collateral in a
segregated account and determine its value each day until the loaned securities are returned.
Cash collateral may be invested as determined by the Funds. Collateral is returned to the
borrower upon settlement of the loan. There were no securities loaned as of April 30, 2016.
(g) Dividends to Shareholders: Dividends and distributions payable to shareholders are
recorded by the Funds on the ex-dividend date. Dividends from net investment income and
distributions from net realized gains are declared and paid annually after the end of the fiscal
year in which earned.
Each class is treated separately in determining the amounts of dividends from net investment
income payable to holders of its shares.

The characterization of distributions to shareholders for financial reporting purposes is
determined in accordance with federal income tax rules. Therefore, the source of a Fund’s
distributions may be shown in the accompanying financial statements as either from, or in
excess of, net investment income, net realized gain on investment transactions or return of

- 60 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

capital, depending on the type of book/tax differences that may exist. Capital accounts within
the financial statements are adjusted for permanent book/tax differences. Reclassifications
result primarily from the difference in tax treatment of net operating losses, passive foreign
investment companies, and foreign currency transactions. The reclassifications are done
annually at fiscal year end and have no impact on the net asset values of the Funds and are
designed to present each Fund’s capital accounts on a tax basis.

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

(i) Allocation Methods: The Trust accounts separately for the assets, liabilities and operations
of each Fund. Expenses directly attributable to each Fund are charged to that Fund’s
operations; expenses which are applicable to all Funds are allocated among them based on
net assets. Income, realized and unrealized gains and losses, and expenses of each Fund
are allocated among the Fund’s classes based on relative net assets, with the exception of
distribution fees, transfer agency fees, and shareholder servicing and related fees.
(j) Estimates: These financial statements have been prepared in accordance with accounting
principles generally accepted in the United States of America, which require using estimates
and assumptions that affect the reported amounts therein. These unaudited interim financial
statements reflect all adjustments which are, in the opinion of management, necessary to
present a fair statement of results for the interim period. Actual results may differ from
those estimates. All such adjustments are of normal recurring nature.
NOTE 3 — Investment Advisory Fees and Other Transactions with Affiliates:
(a) Investment Advisory Fees: Fees incurred by each Fund, pursuant to the provisions of
the Trust’s Investment Advisory Agreement with Fred Alger Management, Inc. (“Alger
Management” or the “Manager”), are payable monthly and computed based on the following
rates. The actual rate paid as a percentage of average daily net assets, for the six months
ended April 30, 2016, is set forth below under the heading “Actual Rate.”


		Tier 1		Tier 2		Tier 3		Actual Rate
	Alger Capital Appreciation Institutional Fund^(a)	0.810	%	0.650	%	0.600	%	0.740	%
	Alger Capital Appreciation Focus Fund^(b)	0.710		0.600		—		0.710
- 61 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


	Tier 1	Tier 2	Tier 3	Actual Rate
Alger Mid Cap Growth Institutional Fund^(b)	0.760	0.700	—	0.760
Alger Small Cap Growth Institutional Fund^(b)	0.810	0.750	—	0.810

(a) Tier 1 rate is paid on assets up to $2 billion, Tier 2 rate is paid on assets between $2 to $4 billion, and Tier 3
rate is paid on assets in excess of $4 billion.
(b) Tier 1 rate is paid on assets up to $1 billion and Tier 2 rate is paid on assets in excess of $1 billion.
Alger Management has established expense caps for the Alger Capital Appreciation Focus
Fund Class A, Class C, Class I and Class Z shares, effective through February 28, 2017,
whereby it reimburses the share classes if annualized operating expenses (excluding interest,
taxes, brokerage, dividend expenses and extraordinary expenses) exceed the rates, based on
average daily net assets, listed below:


									FEES WAIVED /
									REIMBURSED FOR
									THE SIX MONTHS
			CLASS						ENDED
	A		C		I		Z		APRIL 30, 2016
Alger Capital Appreciation Focus Fund*	1.15	%	1.90	%	1.15	%	0.95	%	$	64,428

*Prior to March 1, 2016, the expense cap for the Alger Capital Appreciation Focus Fund
Class A was 1.30%, Class C was 2.05% Class I was 1.15% and Class Z was 0.89%.

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

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

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

Class R Shares: The Trust has adopted a Distribution Plan pursuant to which Class R
shares of each Fund issuing such shares pay Alger Inc. a fee at the annual rate of 0.50%
of the respective average daily net assets of the Class R shares of the designated Fund to
compensate Alger Inc. for its activities and expenses incurred in distributing and servicing
- 62 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

the Class R shares. The fees paid may be more or less than the expenses incurred by the
Distributor.

(d) Sales Charges: Purchases and sales of shares of the Alger Capital Appreciation Focus Fund
may be subject to initial sales charges or contingent deferred sales charges. The contingent
deferred sales charges are used by Alger Inc. to offset distribution expenses previously
incurred. Sales charges do not represent expenses of the Trust. For the six months ended
April 30, 2016, the initial sales charges and contingent deferred sales charges imposed, all of
which were retained by Alger Inc., were as follows:


				CONTINGENT
	INITIAL SALES		DEFERRED SALES
		CHARGES		CHARGES
Alger Capital Appreciation Focus Fund	$	–	$	235

(e) Brokerage Commissions: During the six months ended April 30, 2016, the Alger Capital
Appreciation Institutional Fund, Alger Capital Appreciation Focus Fund, Alger Mid Cap
Growth Institutional Fund and Alger Small Cap Growth Institutional Fund paid Alger Inc.
commissions of $744,434, $10,992, $13,935 and $46,366, respectively, in connection with
securities transactions.
(f) Shareholder Administrative Fees: The Trust has entered into a shareholder administrative
services agreement with Alger Management to compensate Alger Management for its liaison
and administrative oversight of Boston Financial Data Services, Inc., the transfer agent, and
other related services. The Funds compensate Alger Management at the annual rate of
0.0165% of their respective average daily net assets for the Class A and Class C shares and
0.01% of their respective average daily net assets of the Class I, Class R and Class Z shares
for these services.
Alger Management makes payments to intermediaries that provide sub-accounting services
to omnibus accounts invested in the Funds. A portion of the fees paid by Alger Management
to intermediaries that provide sub-accounting services are charged back to the appropriate
Fund, subject to certain limitations, as approved by the Trust’s Board of Trustees. For the
six months ended April 30, 2016, Alger Management charged back to the Alger Capital
Appreciation Institutional Fund, Alger Capital Appreciation Focus Fund, Alger Mid Cap
Growth Institutional Fund, and Alger Small Cap Growth Institutional Fund, $688,349,
$11,424, $38,154 and $104,400, respectively, for these services, which are included in the
transfer agent fees and expenses in the accompanying Statements of Operations.

(g) Trustee Fees: From November 1, 2015 through February 29, 2016, each trustee who is not
affiliated with Alger Management or its affiliates each, an “Independent Trustee” received
a fee of $25,875 for each board meeting attended, to a maximum of $103,500 per annum,
paid pro rata by each fund in the Alger Fund Complex, plus travel expenses incurred for
attending the meeting. The Independent Trustee appointed as Chairman of the Board of
Trustees received additional compensation of $24,300 per annum paid pro rata by each fund
in the Alger Fund Complex. Additionally, each member of the Audit Committee received
a fee of $2,500 for each Audit Committee meeting attended to a maximum of $10,000 per
annum, paid pro rata by each fund in the Alger Fund Complex.
- 63 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

Effective March 1, 2016, each Independent Trustee receives a fee of $27,250 for each board
meeting attended, to a maximum of $109,000 per annum, paid pro rata by each fund in
the Alger Fund Complex, plus travel expenses incurred for attending the meeting. The
Independent Trustee appointed as Chairman of the Board of Trustees receives additional
compensation of $26,000 per annum paid pro rata by each fund in the Alger Fund Complex.
Additionally, each member of the Audit Committee receives a fee of $2,500 for each Audit
Committee meeting attended to a maximum of $10,000 per annum, paid pro rata by each
fund in the Alger Fund Complex.

(h) Interfund Trades: The Funds engaged in purchase and sale transactions with funds
that have a common investment adviser. For the six months ended April 30, 2016, these
purchases and sales were as follows:


		Purchases		Sales
Alger Capital Appreciation Institutional Fund	$	899,850		–
Alger Small Cap Growth Institutional Fund		–	$	608,470

(i) Interfund Loans: The Funds, along with other funds advised by Alger Management, may
borrow money from and lend money to each other for temporary or emergency purposes.
To the extent permitted under its investment restrictions, each fund may lend uninvested
cash in an amount up to 15% of its net assets to other funds. If a fund has borrowed from
other funds and has aggregate borrowings from all sources that exceed 10% of the fund’s
total assets, such fund will secure all of its loans from other funds. The interest rate charged
on interfund loans is equal to the average of the overnight time deposit rate and bank loan
rate available to the funds. There were no interfund loans outstanding as of April 30, 2016.
During the six months ended April 30, 2016, Alger Small Cap Growth Institutional Fund
incurred interest expense of $5,561 in connection with interfund loans.

(j) Other Transactions With Affiliates: Certain officers of the Trust are directors and officers
of Alger Management and the Distributor. At April 30, 2016, Alger Management and its
affiliated entities owned the following shares:

(k) Shareholder Servicing Fees: The Trust has entered into a shareholder servicing agreement
with Alger Inc. whereby Alger Inc. provides Class I shares and Class R shares of the Trust
with ongoing servicing of shareholder accounts. As compensation for such services, the
Class I shares and Class R shares of each Fund pay Alger Inc. a monthly fee at an annual
rate of 0.25% of the value of the average daily net assets of those classes. The fees paid
may be more or less than the expenses incurred by the Distributor.
NOTE 4 — Securities Transactions:
The following summarizes the securities transactions by the Funds, other than U.S.
Government securities, short-term securities, purchased options and short sales, for the six
months ended April 30, 2016:

- 64 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


		PURCHASES		SALES
Alger Capital Appreciation Institutional Fund	$	4,444,944,081	$	2,134,408,637
Alger Capital Appreciation Focus Fund		63,938,245		49,447,338
Alger Mid Cap Growth Institutional Fund		52,660,446		57,096,754
Alger Small Cap Growth Institutional Fund		98,117,706		204,137,030

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

NOTE 5 — Borrowing:
The Funds may borrow from their custodian on an uncommitted basis. Each Fund pays the
custodian a market rate of interest, generally based upon the London Interbank Offered
Rate. The Funds may also borrow from other funds advised by Alger Management,
as discussed in Note 3(i). For the six months ended April 30, 2016, the Funds had the
following borrowings:


	AVERAGE DAILY		WEIGHTED AVERAGE
		BORROWING		INTEREST RATE
Alger Small Cap Growth Institutional Fund	$	902,796		1.28	%

The highest amount borrowed during the six months ended April 30, 2016 for each Fund
was as follows:


	HIGHEST BORROWING
Alger Small Cap Growth Institutional Fund	$	13,450,000

- 65 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

NOTE 6 — Share Capital:
(a) The Trust has an unlimited number of authorized shares of beneficial interest of $.001
par value which are presently divided into four series. Each series is divided into two sep-
arate classes, except that the shares of Alger Capital Appreciation Focus Fund are divided
into four separate classes. The transactions of shares of beneficial interest were as follows:


	FOR THE SIX MONTHS ENDED					FOR THE YEAR ENDED
	APRIL 30, 2016					OCTOBER 31, 2015
	SHARES			AMOUNT		SHARES			AMOUNT
Alger Capital Appreciation Institutional Fund
Class I:
Shares sold	19,836,293		$	510,259,367		50,542,053		$	1,431,830,828
Dividends reinvested	8,328,490			222,703,812		11,586,846			312,381,372
Shares redeemed	(19,801,968	)	(509,904,191		)	(37,104,435	)	(1,050,293,736		)
Net increase	8,362,815		$	223,058,988		25,024,464		$	693,918,464
Class R:
Shares sold	3,136,557		$	74,082,545		9,057,734		$	233,025,489
Dividends reinvested	1,958,801			47,814,339		2,422,309			60,291,275
Shares redeemed	(4,438,054	)	(104,157,270		)	(5,783,826	)	(148,667,065		)
Net increase	657,304		$	17,739,614		5,696,217		$	144,649,699

Alger Capital Appreciation Focus Fund
Class A:
Shares sold	548,914		$	12,972,801		1,183,661		$	26,976,396
Dividends reinvested	12,944			312,984		—			—
Shares redeemed	(421,088	)		(9,676,773	)	(425,035	)		(10,098,497	)
Net increase	140,770		$	3,609,012		758,626		$	16,877,899
Class C:
Shares sold	136,413		$	3,132,590		178,046		$	4,152,257
Dividends reinvested	3,659			86,523		—			—
Shares redeemed	(19,660	)		(435,191	)	(22,530	)		(519,786	)
Net increase	120,412		$	2,783,922		155,516		$	3,632,471
Class I:
Shares sold	294,002		$	6,949,053		827,893		$	19,755,163
Dividends reinvested	9,363			227,418		—			—
Shares redeemed	(244,417	)		(5,664,668	)	(401,861	)		(9,321,977	)
Net increase	58,948		$	1,511,803		426,032		$	10,433,186
Class Z:
Shares sold	514,212		$	12,301,091		119,545		$	2,843,126
Dividends reinvested	4,919			120,412		—			—
Shares redeemed	(178,321	)		(4,044,749	)	(25,582	)		(601,951	)
Net increase	340,810		$	8,376,754		93,963		$	2,241,175

- 66 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


	FOR THE SIX MONTHS ENDED					FOR THE YEAR ENDED
	APRIL 30, 2016					OCTOBER 31, 2015
	SHARES			AMOUNT		SHARES			AMOUNT
Alger Mid Cap Growth Institutional Fund
Class I:
Shares sold	296,545		$	6,295,942		902,649		$	21,241,975
Shares redeemed	(732,896	)		(15,482,065	)	(1,770,784	)		(41,417,306	)
Net decrease	(436,351	)	$	(9,186,123	)	(868,135	)	$	(20,175,331	)
Class R:
Shares sold	71,305		$	1,419,481		203,467		$	4,468,737
Shares redeemed	(166,418	)		(3,310,765	)	(412,966	)		(8,989,356	)
Net decrease	(95,113	)	$	(1,891,284	)	(209,499	)	$	(4,520,619	)

Alger Small Cap Growth Institutional Fund
Class I:
Shares sold	2,047,516		$	32,789,211		2,831,473		$	69,667,841
Dividends reinvested	7,154,149			109,458,479		4,775,991			111,758,197
Shares redeemed	(8,614,942	)	(130,390,231		)	(15,587,700	)	(384,394,678		)
Net increase (decrease)	586,723		$	11,857,459		(7,980,236	)	$	(202,968,640	)
Class R:
Shares sold	123,639		$	1,648,887		227,162		$	5,071,784
Dividends reinvested	449,925			5,907,509		259,849			5,532,180
Shares redeemed	(263,419	)		(3,806,110	)	(790,204	)		(17,568,320	)
Net increase (decrease)	310,145		$	3,750,286		(303,193	)	$	(6,964,356	)

(b) Redemption Fee: Prior to March 1, 2015, the Alger Capital Appreciation Focus Fund
imposed a 2.00% redemption fee on certain Class A and Class C Fund shares redeemed
(including shares redeemed by exchange) within 30 days after such shares were acquired.
Since March 1, 2015, the redemption fee is no longer imposed.
During the year ended October 31, 2015, shares redeemed for the Class I shares of Alger
Capital Appreciation Institutional Fund include redemption-in-kind transactions of
10,621,246 shares valued at $307,755,100. The Fund had realized gains on these transactions
of $47,725,674.

NOTE 7 — Income Tax Information:
At October 31, 2015, the Funds, for federal income tax purposes, had capital loss
carryforwards as set forth in the table below. These amounts may be applied against future
net realized gains until the earlier of their utilization or expiration.


	Alger Capital		Alger Capital			Alger Mid		Alger Small
	Appreciation		Appreciation Focus			Cap Growth		Cap Growth
Expiration Dates	Institutional Fund			Fund	Institutional Fund		Institutional Fund
2017		—		—	$	280,123,926		—
Total		—		—		280,123,926		—

- 67 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

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

During the year ended October 31, 2015 the Alger Capital Appreciation Focus Fund, and
Alger Mid Cap Growth Institutional Fund utilized $2,828,765, and $5,674,132 of their
capital loss carryforwards, respectively.

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

NOTE 8 — Fair Value Measurements
The following is a summary of the inputs used as of April 30, 2016 in valuing the Funds’
investments carried at fair value on a recurring basis. Based upon the nature, characteristics,
and risks associated with their investments, the Funds have determined that presenting them
by security type and sector is appropriate.


Alger Capital Appreciation
Institutional Fund			TOTAL FUND				LEVEL 1		LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$	662,418,557			$	662,366,201			—	$	52,356
Consumer Staples			300,285,195			300,285,195			—		—
Energy			57,544,439			57,544,439			—		—
Financials			56,872,951			56,872,951			—		—
Health Care			662,939,834			655,661,017			7,278,817		—
Industrials			393,104,801			393,104,801			—		—
Information Technology			1,198,940,868			1,196,311,538			—		2,629,330
Materials			44,086,310			44,086,310			—		—
Telecommunication Services			69,508,988			69,508,988			—		—
TOTAL COMMON STOCKS	$	3,445,701,943			$	3,435,741,440		$	7,278,817	$	2,681,686
MASTER LIMITED PARTNERSHIP
Financials			26,152,021			26,152,021			—		—
PREFERRED STOCKS
Consumer Discretionary				1,501,699			—		—		1,501,699
Health Care				3,690,198			—		—		3,690,198
Information Technology			12,120,328				—		—	12,120,328
TOTAL PREFERRED STOCKS	$			17,312,225			—		—	$	17,312,225
REAL ESTATE INVESTMENT TRUST
Financials			35,485,459			35,485,459			—		—
TOTAL INVESTMENTS IN
SECURITIES	$	3,524,651,648			$	3,497,378,920		$	7,278,817	$	19,993,911

- 68 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


Alger Capital Appreciation Focus
Fund		TOTAL FUND				LEVEL 1	LEVEL 2			LEVEL 3
COMMON STOCKS
Consumer Discretionary		$	14,157,609	$	14,157,609			—		—
Consumer Staples			2,575,472			2,575,472		—		—
Energy			1,032,431			1,032,431		—		—
Financials			1,167,923			1,167,923		—		—
Health Care		12,376,842			12,376,842			—		—
Industrials			5,824,323			5,824,323		—		—
Information Technology		26,065,189			26,065,189			—		—
Materials			471,188			471,188		—		—
Telecommunication Services			1,048,336			1,048,336		—		—
TOTAL COMMON STOCKS	$		64,719,313		$	64,719,313		—		—
MASTER LIMITED PARTNERSHIP
Financials			871,769			871,769		—		—
PREFERRED STOCKS
Health Care			347,249			—		—		347,249
REAL ESTATE INVESTMENT TRUST
Financials			1,561,234			1,561,234		—		—
TOTAL INVESTMENTS IN
SECURITIES	$		67,499,565		$	67,152,316		—	$	347,249


Alger Mid Cap Growth Institutional
Fund		TOTAL FUND				LEVEL 1	LEVEL 2			LEVEL 3
COMMON STOCKS
Consumer Discretionary	$ 30,658,256			$	30,654,506			—	$	3,750
Consumer Staples			5,657,542			5,657,542		—		—
Energy			1,098,526			1,098,526		—		—
Financials			4,873,283			4,873,283		—		—
Health Care		16,243,445			16,243,445			—		—
Industrials		18,081,721			18,081,721			—		—
Information Technology		24,840,248			24,703,562			—		136,686
Materials			5,488,954			5,488,954		—		—
TOTAL COMMON STOCKS	$		106,941,975		$	106,801,539		—	$	140,436
PREFERRED STOCKS
Consumer Discretionary			93,157			—		—		93,157
Health Care			1,469,572			—		—		1,469,572
Information Technology			630,047			—		—		630,047
TOTAL PREFERRED STOCKS	$		2,192,776			—		—	$	2,192,776
REAL ESTATE INVESTMENT TRUST
Financials			3,731,781			3,731,781		—		—
SPECIAL PURPOSE VEHICLE
Financials			240,362			—		—		240,362
TOTAL INVESTMENTS IN
SECURITIES	$		113,106,894		$	110,533,320		—	$	2,573,574

- 69 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


Alger Small Cap Growth Institutional
Fund		TOTAL FUND				LEVEL 1	LEVEL 2		LEVEL 3
COMMON STOCKS
Consumer Discretionary	$		28,625,284		$	28,625,284	—		—
Consumer Staples			4,242,082			4,242,082	—		—
Energy			3,738,767			3,738,767	—		—
Financials		11,557,277			11,557,277		—		—
Health Care		65,573,449			65,573,449		—		—
Industrials		24,384,247			24,384,247		—		—
Information Technology		75,410,118			75,410,118		—		—
Materials			7,140,649			7,140,649	—		—
TOTAL COMMON STOCKS	$		220,671,873	$		220,671,873	—		—
PREFERRED STOCKS
Health Care			2,557,000			—	—		2,557,000
REAL ESTATE INVESTMENT TRUST
Financials			7,141,931			7,141,931	—		—
RIGHTS
Health Care			—			—	—*		—*
SPECIAL PURPOSE VEHICLE
Financials			775,134			—	—		775,134
TOTAL INVESTMENTS IN
SECURITIES	$		231,145,938	$		227,813,804	—	$	3,332,134
*Small Cap Growth Institutional Fund Rights are fair valued at zero as of April 30, 2016.


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger Capital Appreciation Institutional Fund	Common Stocks
Opening balance at November 1, 2015	$		2,203,626
Transfers into Level 3			—
Transfers out of Level 3			—
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			478,060
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at April 30, 2016			2,681,686
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at April 30,2016	$		478,060

- 70 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger Capital Appreciation Institutional Fund	Preferred Stocks
Opening balance at November 1, 2015	$		15,625,491
Transfers into Level 3			—
Transfers out of Level 3			—
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			1,686,734
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at April 30, 2016			17,312,225
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at April 30,2016	$		1,686,734

		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger Capital Appreciation Focus Fund	Preferred Stocks
Opening balance at November 1, 2015	$		345,713
Transfers into Level 3			—
Transfers out of Level 3			—
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			1,536
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at April 30, 2016			347,249
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at April 30,2016	$		1,536

- 71 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger Mid Cap Growth Institutional Fund	Common Stocks
Opening balance at November 1, 2015	$		115,585
Transfers into Level 3			—
Transfers out of Level 3			—
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			24,851
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at April 30, 2016			140,436
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at April 30,2016	$		24,851

Alger Mid Cap Growth Institutional Fund	Preferred Stocks
Opening balance at November 1, 2015	$		2,711,929
Transfers into Level 3			—
Transfers out of Level 3			—
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			(519,153	)
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at April 30, 2016			2,192,776
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at April 30,2016	$		(519,153	)

	Special Purpose
Alger Mid Cap Growth Institutional Fund			Vehicle
Opening balance at November 1, 2015	$		240,362
Transfers into Level 3			—
Transfers out of Level 3			—
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			–
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at April 30, 2016			240,362
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at April 30,2016	$		–

- 72 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)

		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
Alger Small Cap Growth Institutional Fund	Preferred Stocks
Opening balance at November 1, 2015	$		3,505,601
Transfers into Level 3			—
Transfers out of Level 3			—
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			(948,601	)
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at April 30, 2016			2,557,000
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at April 30,2016	$		(948,601	)

Alger Small Cap Growth Institutional Fund			Rights
Opening balance at November 1, 2015	$		—
Transfers into Level 3			—
Transfers out of Level 3			—
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			–
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at April 30, 2016			—
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at April 30,2016	$		—

- 73 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


		FAIR VALUE
	MEASUREMENTS
	USING SIGNIFICANT
	UNOBSERVABLE
	INPUTS (LEVEL 3)
	Special Purpose
Alger Small Cap Growth Institutional Fund			Vehicle
Opening balance at November 1, 2015	$		775,134
Transfers into Level 3			—
Transfers out of Level 3			—
Total gains or losses
Included in net realized gain (loss) on investments			–
Included in net unrealized gain (loss) on investments			–
Purchases and sales			–
Purchases			–
Sales			–
Closing balance at April 30, 2016			775,134
The amount of total gains or losses for the period included in net realized
and unrealized gain (loss) attributable to change in unrealized appreciation
(depreciation) relating to investments still held at April 30,2016	$		–

The following table provides quantitative information about our Level 3 fair value
measurements of our investments as of April 30, 2016. In addition to the techniques and
inputs noted in the table below, according to our valuation policy we may also use other
valuation techniques and methodologies when determining our fair value measurements.
The table below is not intended to be all-inclusive, but rather provides information on the
Level 3 inputs as they relate to our fair value measurements.


		Fair Value	Valuation	Unobservable
		April 30, 2016	Methodology	Input	Input/Range
Alger Capital Appreciation Institutional Fund
Common Stocks	$	52,356	Income	Discount Rate	40	%
			Approach
Common Stocks		2,629,330	Performance	Market Multiple	11.5x-12.3x
			Multiple
			Methodology
			(xRevenue)
Preferred Stocks		1,501,699	Income	Discount Rate	40	%
			Approach
Preferred Stocks		3,690,198	Discounted	Discount Rate	20	%
			Cash Flow
Preferred Stocks		12,120,328	Performance	Market Multiple	11.5x-12.3x
			Multiple
			Methodology
			(xRevenue)
Alger Capital Appreciation Focus Fund
Preferred Stocks	$	347,249	Discounted	Discount Rate	28	%
			Cash Flow

- 74 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


Alger Mid Cap Growth Institutional Fund
Common Stocks	$	3,751	Income	Discount Rate	40	%
			Approach
Common Stocks		136,686	Performance	Market Multiple	11.5x-12.3x
			Multiple
			Methodology
			(xRevenue)
Preferred Stocks		93,156	Income	Discount Rate	40	%
			Approach
Preferred Stocks		250,783	Discounted	Discount Rate	20	%
			Cash Flow
Preferred Stocks		557,425	Performance	Market Multiple	11.5x-12.3x
			Multiple
			Methodology
			(xRevenue)
Special Purpose Vehicle		240,362	Performance	Market Multiple	4.38x-4.88x
			Multiple
			Methodology
			(xRevenue)

Alger Small Cap Growth Institutional Fund
Preferred Stocks		1,965,265	Discounted	Discount Rate	20-28	%
			Cash Flow
Preferred Stocks		591,735	Discounted	Discount Rate	20.7	%
			Cash Flow	Weight	40	%
			Liquidation	Estimated Recover	NA
			Analysis	Levels
				Weight	60	%
Special Purpose Vehicle		775,134	Performance	Market Multiple	4.38x-4.88x
			Multiple
			Methodology
			(xRevenue)

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

On April 30, 2016, there were no transfers of securities between Level 1 and Level 2.

Certain of the Funds’ assets and liabilities are held at carrying amount or face value, which
approximates fair value for financial statement purposes. As of April 30, 2016, such assets
are categorized within the disclosure hierarchy as follows:

- 75 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


		TOTAL FUND		LEVEL 1			LEVEL 2	LEVEL 3
Cash, Foreign cash and Cash equivalents:

Alger Capital Appreciation Institutional Fund	$	133,799,720		$	—	$	133,799,720		—
Alger Capital Appreciation Focus Fund			3,324,233		—		3,324,233		—
Alger Mid Cap Growth Institutional Fund			569,694		—		569,694		—
Alger Small Cap Growth Institutional Fund			7,319,034		—		7,319,034		—

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

Options— The Funds seek to capture the majority of the returns associated with equity
market investments. To meet this investment goal, the Funds invest in a broadly diversified
portfolio of common stocks, while also buying and selling call and put options on equities
and equity indices. The Funds purchase call options to increase their exposure to the stock
market and also provide diversification of risk. The Funds purchase put options in order
to protect from significant market declines that may occur over a short period of time. The
Funds will write covered call and cash secured put options to generate cash flows while
reducing the volatility of the Funds’ portfolios. The cash flows may be an important source
of the Funds’ returns, although written call options may reduce the Funds’ ability to profit
from increases in the value of the underlying security or equity portfolio. The value of a
call option generally increases as the price of the underlying stock increases and decreases
as the stock decreases in price. Conversely, the value of a put option generally increases
as the price of the underlying stock decreases and decreases as the stock increases in price.
The combination of the diversified stock portfolio and the purchase and sale of options
is intended to provide the Funds with the majority of the returns associated with equity
market investments but with reduced volatility and returns that are augmented with the cash
flows from the sale of options. During the six months ended April 30, 2016, options were
used in accordance with these objectives.

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

There were no open derivative instruments as of April 30, 2016.

NOTE 10 — Principal Risks:
As of April 30, 2016, the Funds invested a significant portion of its assets in securities in
the consumer discretionary, health care and information technology sectors. Changes in

- 76 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

economic conditions affecting such sectors would have a greater impact on the Funds and
could affect the value, income and/or liquidity of positions in such securities.

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

NOTE 11 — Affiliated Securities:
The issuers of the securities listed below are deemed to be affiliates of the Funds because
the Funds or their affiliates owned 5% or more of the issuer’s voting securities during all or
part of the six months ended April 30, 2016. Purchase and sale transactions and dividend
income earned during the period were as follows:


	Shares/Par			Shares/Par
	at			at		Realized		Value at
	October 31,	Purchases/	Sales/	April	Dividend	Gain		April
Security	2015	Conversion	Conversion	30, 2016	Income	(Loss)		30, 2016

Alger Capital Appreciation Institutional Fund
Common Stocks
Choicestream, Inc.*	124,658	–	–	124,658	–	–	$	52,356
Preferred Stocks
Choicestream, Inc.*	3,575,473	–	–	3,575,473	–	–		1,501,699

Alger Capital Appreciation Focus Fund
Preferred Stocks
Prosetta Biosciences,
Inc.*	76,825	–	–	76,825	–	–		347,249

- 77 -

THE ALGER INSTITUTIONAL FUNDS
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)


	Shares/Par			Shares/Par
	at			at		Realized		Value at
	October 31,	Purchases/	Sales/	April	Dividend	Gain		April
Security	2015	Conversion	Conversion	30, 2016	Income	(Loss)		30, 2016

Alger Mid Cap Growth Institutional Fund
Common Stocks
Choicestream, Inc.*	8,930	–	–	8,930	–	–	$	3,750
Preferred Stocks
Choicestream, Inc.*	221,801	–	–	221,801	–	–		93,157
Prosetta Biosciences,
Inc.*	166,009	–	–	166,009	–	–		750,361
Tolero
Pharmaceuticals, Inc.*	354,870	–	–	354,870	–	–		468,428

Alger Small Cap Growth Institutional Fund
Preferred Stocks
Prosetta Biosciences,
Inc.*	133,263	–	–	133,263	–	–		602,349
Tolero
Pharmaceuticals, Inc.*	448,284	–	–	448,284	–	–		591,735
* Non-income producing security.

NOTE 12 — Subsequent Events:

Management of each Fund has evaluated events that have occurred subsequent to April
30, 2016 through the issuance date of the Financial Statements. No such events have been
identified which require recognition and/or disclosure.

- 78 -

THE ALGER INSTITUTIONAL FUNDS
ADDITIONAL INFORMATION (Unaudited)

Shareholder Expense Example

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

The example below is based on an investment of $1,000 invested at the beginning of the
six-month period starting November 1, 2015 and ending April 30, 2016.

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

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

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

- 79 -

THE ALGER INSTITUTIONAL FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)


								Annualized
						Expenses		Expense Ratio
		Beginning			Ending	Paid During			For the
			Account		Account	the Six Months		Six Months
			Value		Value		Ended		Ended
		November 1, 2015		April 30, 2016		April 30, 2016^(a)		April 30, 2016^(b)
Alger Capital Appreciation Institutional Fund
Class I	Actual	$	1,000.00	$	958.80	$	5.50		1.13	%
	Hypothetical^(c)		1,000.00	1,019.24			5.67		1.13
Class R	Actual		1,000.00		956.19		7.83		1.61
	Hypothetical^(c)		1,000.00	1,016.86			8.07		1.61

Alger Capital Appreciation Focus Fund
Class A	Actual	$	1,000.00	$	956.65	$	5.98		1.24	%
	Hypothetical^(c)		1,000.00	1,018.75			6.17		1.24
Class C	Actual		1,000.00		953.57		9.52		1.97
	Hypothetical^(c)		1,000.00	1,015.12			9.82		1.97
Class I	Actual		1,000.00		957.25		5.60		1.15
	Hypothetical^(c)		1,000.00	1,019.14			5.77		1.15
Class Z	Actual		1,000.00		958.39		4.33		0.90
	Hypothetical^(c)		1,000.00	1,020.44			4.47		0.90

Alger Mid Cap Growth Institutional Fund
Class I	Actual	$	1,000.00	$	938.78	$	5.98		1.24	%
	Hypothetical^(c)		1,000.00	1,018.70			6.22		1.24
Class R	Actual		1,000.00		936.10		8.71		1.80
	Hypothetical^(c)		1,000.00	1,015.86			9.07		1.80

Alger Small Cap Growth Institutional Fund
Class I	Actual	$	1,000.00	$	904.60	$	6.01		1.26	%
	Hypothetical^(c)		1,000.00	1,018.55			6.37		1.26
Class R	Actual		1,000.00		902.62		8.47		1.78
	Hypothetical^(c)		1,000.00	1,015.96			8.97		1.78

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

- 80 -

THE ALGER INSTITUTIONAL FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

Privacy Policy
U.S. Consumer Privacy Notice Rev. 01/2015 3/30/15


FACTS	WHAT DOES ALGER DO WITH YOUR PERSONAL INFORMATION?


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


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

- 81 -

THE ALGER INSTITUTIONAL FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)


Who we are

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


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


Why can’t I limit all sharing?	Federal law gives you the right to limit only
	• sharing for affiliates’ everyday business purposes
	information about your credit worthiness
	• affiliates from using your information to market to you
	• sharing for nonaffiliates to market to you
	State laws and individual companies may give you
	additional rights to limit sharing.


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

- 82 -

THE ALGER INSTITUTIONAL FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

Proxy Voting Policies
A description of the policies and procedures the Trust uses to determine how to vote
proxies relating to portfolio securities and information regarding how the Fund voted
proxies relating to portfolio securities during the most recent 12-month period ended June
30 are available, without charge, by calling (800) 992-3863 or online on the Funds’ website
at www.alger.com or on the SEC’s website at www.sec.gov.

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

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

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

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

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

- 83 -

THE ALGER INSTITUTIONAL FUNDS
ADDITIONAL INFORMATION (Unaudited) (Continued)

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

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

- 84 -

THE ALGER INSTITUTIONAL FUNDS

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

Investment Manager

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

Distributor

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

Transfer Agent and Dividend Disbursing Agent

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

Custodian

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

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

- 85 -

ITEM 2. CODE OF ETHICS.

Not applicable.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

Not applicable.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

Not applicable.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable.

ITEM 6. INVESTMENTS.

Not applicable.

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

Not applicable.

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

Not applicable.

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

Not applicable.

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

Not applicable.

ITEM 11. CONTROLS AND PROCEDURES.
(a) The Registrant’s principal executive officer and principal financial officer have concluded that
the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the

Investment Company Act of 1940, as amended) are effective based on their evaluation of the
disclosure controls and procedures as of a date within 90 days of the filing date of this document.

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

ITEM 12. EXHIBITS.

(a) (1) Not applicable

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

(a) (3) Not applicable

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

SIGNATURES

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

The Alger Institutional Funds

By: /s/Hal Liebes

Hal Liebes

President

Date: June 24, 2016

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

By: /s/Hal Liebes

Hal Liebes

President

Date: June 24, 2016

By: /s/Michael D. Martins

Michael D. Martins

Treasurer

Date: June 24, 2016

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Alger Capital Appreciation Focus Fund