<PAGE> PAGE 1
000 B000000 12/31/97
000 C000000 0001006387
000 D000000 N
000 E000000 NF
000 F000000 Y
000 G000000 N
000 H000000 N
000 I000000 3.0.a
000 J000000 A
001 A000000 ROYCE CAPITAL FUND
001 B000000 811-07537
001 C000000 2125084578
002 A000000 1414 AVENUE OF THE AMERICAS
002 B000000 NEW YORK
002 C000000 NY
002 D010000 10019
003 000000 N
004 000000 N
005 000000 N
006 000000 N
007 A000000 Y
007 B000000 3
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007 C030100 N
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007 C030300 N
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007 C010500 5
007 C010600 6
007 C010700 7
007 C010800 8
007 C010900 9
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008 A00AA01 ROYCE & ASSOCIATES, INC.
008 B00AA01 A
008 C00AA01 801-8268
008 D01AA01 NEW YORK
008 D02AA01 NY
008 D03AA01 10019
012 A00AA01 NATIONAL FINANCIAL DATA SERVICES
012 B00AA01 84-1078
012 C01AA01 KANSAS CITY
012 C02AA01 MO
012 C03AA01 64141
013 A00AA01 COOPERS & LYBRAND
013 B01AA01 BOSTON
<PAGE> PAGE 2
013 B02AA01 MA
013 B03AA01 02110
015 A00AA01 STATE STREET BANK AND TRUST COMPANY
015 B00AA01 C
015 C01AA01 N. QUINCY
015 C02AA01 MA
015 C03AA01 02170
015 E01AA01 X
015 A00AA02 MERITA BANK LIMITED
015 B00AA02 S
015 C01AA02 HELSINKI
015 D01AA02 FINLAND
015 E04AA02 X
015 A00AA03 DRESDNER BANK AG
015 B00AA03 S
015 C01AA03 FRANKFURT
015 D01AA03 GERMANY
015 E04AA03 X
015 A00AA04 THE DAIWA BANK, LIMITED
015 B00AA04 S
015 C01AA04 TOKYO
015 D01AA04 JAPAN
015 E04AA04 X
015 A00AA05 STANDARD CHARTERED BANK MALAYSIA BERHAD
015 B00AA05 S
015 C01AA05 SINGAPORE
015 D01AA05 MALAYSIA
015 E04AA05 X
015 A00AA06 CITIBANK, N.A.
015 B00AA06 S
015 C01AA06 ISTANBUL
015 D01AA06 TURKEY
015 E04AA06 X
015 A00AA07 WESTPAC BANKING CORPORATION
015 B00AA07 S
015 C01AA07 SYDNEY
015 D01AA07 AUSTRALIA
015 E04AA07 X
015 A00AA08 GIROCREDIT BANK
015 B00AA08 S
015 C01AA08 VIENNA
015 D01AA08 AUSTRIA
015 E04AA08 X
015 A00AA09 GENERALE BANK
015 B00AA09 S
015 C01AA09 BRUSSELS
015 D01AA09 BELGIUM
015 E04AA09 X
015 A00AA10 DEN DANSKE BANK
015 B00AA10 S
015 C01AA10 COPENHAGEN
<PAGE> PAGE 3
015 D01AA10 DENMARK
015 E04AA10 X
015 A00AA11 BANQUE PARIBAS
015 B00AA11 S
015 C01AA11 PARIS
015 D01AA11 FRANCE
015 E04AA11 X
015 A00AA12 STANDARD CHARTERED BANK
015 B00AA12 S
015 C01AA12 HONG KONG
015 D01AA12 HONG KONG
015 E04AA12 X
015 A00AA13 STANDARD CHARTERED BANK
015 B00AA13 S
015 C01AA13 JAKARTA
015 D01AA13 INDONESIA
015 E04AA13 X
015 A00AA14 BANK OF IRELAND
015 B00AA14 S
015 C01AA14 DUBLIN
015 D01AA14 IRELAND
015 E04AA14 X
015 A00AA15 SUMITOMO TRUST & BANKING
015 B00AA15 S
015 C01AA15 TOKYO
015 D01AA15 JAPAN
015 E04AA15 X
015 A00AA16 MEES PIERSON N.V.
015 B00AA16 S
015 C01AA16 AMSTERDAM
015 D01AA16 NETHERLANDS
015 E04AA16 X
015 A00AA17 ANZ BANKING GROUP LIMITED
015 B00AA17 S
015 C01AA17 WELLINGTON
015 D01AA17 NEW ZEALAND
015 E04AA17 X
015 A00AA18 CHRISTIANIA BANK
015 B00AA18 S
015 C01AA18 OSLO
015 D01AA18 NORWAY
015 E04AA18 X
015 A00AA19 STANDARD CHARTERED BANK
015 B00AA19 S
015 C01AA19 MANILA
015 D01AA19 PHILIPPINES
015 E04AA19 X
015 A00AA20 BANCO COMERCIAL PORTUGUES
015 B00AA20 S
015 C01AA20 LISBON
015 D01AA20 PORTUGAL
<PAGE> PAGE 4
015 E04AA20 X
015 A00AA21 THE DEVELOPMENT BANK OF SINGAPORE LTD.
015 B00AA21 S
015 C01AA21 SINGAPORE
015 D01AA21 SINGAPORE
015 E04AA21 X
015 A00AA22 STANDARD BANK OF SOUTH AFRICA
015 B00AA22 S
015 C01AA22 JOHANNASBURG
015 D01AA22 SOUTH AFRICA
015 E04AA22 X
015 A00AA23 BANCO SANTANDER, S.A.
015 B00AA23 S
015 C01AA23 MADRID
015 D01AA23 SPAIN
015 E04AA23 X
015 A00AA24 SKANDINAVISKA ENSKILDA BANKEN
015 B00AA24 S
015 C01AA24 STOCKHOLM
015 D01AA24 SWEDEN
015 E04AA24 X
015 A00AA25 UNION BANK OF SWITZERLAND
015 B00AA25 S
015 C01AA25 ZURICH
015 D01AA25 SWITZERLAND
015 E04AA25 X
015 A00AA26 STANDARD CHARTERED BANK
015 B00AA26 S
015 C01AA26 BANGKOK
015 D01AA26 THAILAND
015 E04AA26 X
015 A00AA27 STATE STREET BANK AND TRUST COMPANY
015 B00AA27 S
015 C01AA27 LONDON
015 D01AA27 UNITED KINGDOM
015 E04AA27 X
015 A00AA28 CITIBANK, N.A.
015 B00AA28 S
015 C01AA28 SAO PAULO
015 D01AA28 BRAZIL
015 E04AA28 X
015 A00AA29 CANADA TRUSTCO MORTGAGE COMPANY
015 B00AA29 S
015 C01AA29 TORONTO
015 D01AA29 CANADA
015 E04AA29 X
015 A00AA30 CITIBANK, MEXICO, S.A.
015 B00AA30 S
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<PAGE> PAGE 5
015 A00AA31 CENTRAL TRUST OF CHINA
015 B00AA31 S
015 C01AA31 TAIPEI
015 D01AA31 TAIWAN
015 E04AA31 X
015 A00AA32 BANQUE PARIBAS
015 B00AA32 S
015 C01AA32 MILAN
015 D01AA32 ITALY
015 E04AA32 X
015 A00AA33 THE PHILLIPINE CENTRAL DEPOSITORY INC.
015 B00AA33 S
015 C01AA33 MANILA
015 D01AA33 PHILLIPINES
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015 A00AA34 THE FUJI BANK, LIMITED
015 B00AA34 S
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018 00AA00 Y
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020 C000003 0
020 A000004 KALB, VOORHIS & CO.
020 B000004 13-5549000
020 C000004 0
020 A000005 THOMSON FINANCIAL.
020 C000005 0
020 A000006 SCB WARBURG DILLON READ & CO.
020 B000006 13-1939216
020 C000006 0
020 A000007 ADAMS, HARKNESS & HILL
020 B000007 04-2149932
020 C000007 0
020 A000008 SRG ASSOCIATES
020 B000008 13-5657518
020 C000008 0
020 A000009 FIRST BOSTON CORP.
020 C000009 0
020 A000010 MCDONALD & COMPANY
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021 000000 4
<PAGE> PAGE 6
022 A000001 STATE STREET BANK AND TRUST COMPANY
022 B000001 04-1867445
022 C000001 200
022 D000001 0
022 A000002 HERZOG, HEINE & GEDULD
022 B000002 13-1912900
022 C000002 53
022 D000002 86
022 A000003 SHERWOOD SECURITIES INC.
022 B000003 13-2616318
022 C000003 17
022 D000003 21
022 A000004 WHEAT, FIRST, BUTCHER, SINGER & CO.
022 B000004 54-0796506
022 C000004 21
022 D000004 6
022 A000005 SMITH BARNEY INC.
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022 D000005 11
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022 D000006 6
022 A000007 NATIONSBANC MONTGOMERY
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022 D000007 10
022 A000008 HUBERMAN FINANCIAL
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022 D000008 0
022 A000009 UNTERBERG HARRIS
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022 B000010 52-1319768
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023 C000000 379
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<PAGE> PAGE 7
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<PAGE> PAGE 8
054 N00AA00 N
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<PAGE> PAGE 9
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<PAGE> PAGE 10
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<PAGE> PAGE 11
070 H010100 N
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<PAGE> PAGE 12
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<PAGE> PAGE 13
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<PAGE> PAGE 14
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<PAGE> PAGE 15
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<PAGE> PAGE 16
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<PAGE> PAGE 17
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<PAGE> PAGE 18
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<PAGE> PAGE 19
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SIGNATURE JOHN E DENNEEN
TITLE SECRETARY
REPORT OF INDEPENDENT ACCOUNTANTS
To the Board of Trustees of
The Royce Capital Fund:
In planning and performing our audit of the financial
statements and financial highlights of The Royce Capital Fund
(the "Fund") for the year ended December 31, 1997, we considered
its internal control, including control over safeguarding
securities, in order to determine our auditing procedures for
the purpose of expressing our opinion on the financial
statements and financial highlights and to comply with the
requirements of Form N-SAR, not to provide assurance on internal
control.
The management of the Fund is responsible for establishing and
maintaining internal control. In fulfilling this
responsibility, estimates and judgments by management are
required to assess the expected benefits and related costs of
controls. Generally, controls that are relevant to an audit
pertain to the entity's objective of preparing financial
statements and financial highlights for external purposes that
are fairly presented in conformity with generally accepted
accounting principles. Those controls include the safeguarding
of assets against unauthorized acquisition, use or disposition.
Because of inherent limitations in internal controls, errors or
fraud may occur and may not be detected. Also, projection of
any evaluation of internal control to future periods is subject
to the risk that it may become inadequate because of changes in
conditions or that the effectiveness of the design and operation
may deteriorate.
Our consideration of internal control would not necessarily
disclose all matters in internal control that might be material
weaknesses under standards established by the American Institute
of Certified Public Accountants. A material weakness is a
condition in which the design or operation of any specific
internal control component does not reduce to a relatively low
level the risk that misstatements due to errors or fraud in
amounts that would be material in relation to the financial
statements and financial highlights being audited may occur and
not be detected within a timely period by employees in the
normal course of performing their assigned functions. However,
we noted no matters involving internal control, including
controls over safeguarding securities, that we consider to be
material weaknesses as defined above as of December 31, 1997.
This report is intended solely for the information and use of
management and the Securities and Exchange Commission.
COOPERS & LYBRAND L.L.P.
Boston, Massachusetts
February 10, 1998
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