<PAGE> PAGE 1
000 B000000 09/30/98
000 C000000 0001040566
000 D000000 N
000 E000000 NF
000 F000000 Y
000 G000000 N
000 H000000 N
000 I000000 3.0
000 J000000 U
001 A000000 KOPP FUNDS, INC.
001 B000000 811-8267
001 C000000 4142873325
002 A000000 615 E. MICHIGAN STREET
002 B000000 MILWAUKEE
002 C000000 WI
002 D010000 53202
003 000000 N
004 000000 N
005 000000 N
006 000000 N
007 A000000 Y
007 B000000 1
007 C010100 1
007 C020100 KOPP EMERGING GROWTH FUND
007 C030100 N
007 C010200 2
007 C010300 3
007 C010400 4
007 C010500 5
007 C010600 6
007 C010700 7
007 C010800 8
007 C010900 9
007 C011000 10
062 A00AA00 N
062 B00AA00 0.0
062 C00AA00 0.0
062 D00AA00 0.0
062 E00AA00 0.0
062 F00AA00 0.0
062 G00AA00 0.0
062 H00AA00 0.0
062 I00AA00 0.0
062 J00AA00 0.0
062 K00AA00 0.0
062 L00AA00 0.0
062 M00AA00 0.0
062 N00AA00 0.0
062 O00AA00 0.0
062 P00AA00 0.0
062 Q00AA00 0.0
<PAGE> PAGE 2
062 R00AA00 0.0
071 A00AA00 425253
071 B00AA00 50367
071 C00AA00 255225
071 D00AA00 20
072 A00AA00 6
072 I00AA00 500
072 J00AA00 81
072 K00AA00 0
072 L00AA00 67
072 M00AA00 30
072 N00AA00 298
072 O00AA00 0
072 P00AA00 0
072 Q00AA00 58
072 R00AA00 18
072 S00AA00 32
072 T00AA00 897
072 U00AA00 19
072 V00AA00 0
072 W00AA00 15
072 X00AA00 4967
072 Y00AA00 863
072 Z00AA00 -3560
072AA00AA00 4558
072BB00AA00 11276
072CC01AA00 0
072CC02AA00 127313
072DD01AA00 0
072DD02AA00 0
072EE00AA00 0
073 A01AA00 0.0000
073 A02AA00 0.0000
073 B00AA00 0.0000
073 C00AA00 0.0000
074 A00AA00 0
074 B00AA00 0
074 C00AA00 5056
074 D00AA00 0
074 E00AA00 0
074 F00AA00 240855
074 G00AA00 0
074 H00AA00 0
074 I00AA00 0
074 J00AA00 579
074 K00AA00 0
074 L00AA00 22
074 M00AA00 98
074 N00AA00 246610
074 O00AA00 152
074 P00AA00 400
<PAGE> PAGE 3
074 Q00AA00 0
074 R01AA00 0
074 R02AA00 0
074 R03AA00 0
074 R04AA00 1948
074 S00AA00 0
074 T00AA00 244110
074 U01AA00 37295
074 U02AA00 4724
074 V01AA00 5.81
074 V02AA00 5.84
074 W00AA00 0.0000
074 X00AA00 25
074 Y00AA00 0
075 A00AA00 0
075 B00AA00 244110
077 A000000 Y
080 A00AA00 NATIONAL UNION FIRE INSURANCE COMPANY
080 C00AA00 750
081 A00AA00 N
081 B00AA00 0
082 A00AA00 N
082 B00AA00 0
083 A00AA00 N
083 B00AA00 0
084 A00AA00 N
084 B00AA00 0
085 A00AA00 Y
085 B00AA00 N
SIGNATURE KATHLEEN S. TILLOTSON
TITLE EXEC. VICE PRESIDENT
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0001040566
<NAME> KOPP EMERGING GROWTH FUND - RETAIL
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> SEP-30-1998
<PERIOD-START> OCT-01-1997
<PERIOD-END> SEP-30-1998
<INVESTMENTS-AT-COST> 373,224,126
<INVESTMENTS-AT-VALUE> 245,910,678
<RECEIVABLES> 601,286
<ASSETS-OTHER> 98,385
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 246,610,349
<PAYABLE-FOR-SECURITIES> 152,281
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 2,347,811
<TOTAL-LIABILITIES> 2,500,092
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 378,124,800
<SHARES-COMMON-STOCK> 37,294,918
<SHARES-COMMON-PRIOR> 0
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> (6,701,095)
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (127,313,448)
<NET-ASSETS> 244,110,257
<DIVIDEND-INCOME> 61,049
<INTEREST-INCOME> 483,135
<OTHER-INCOME> 0
<EXPENSES-NET> 4,103,743
<NET-INVESTMENT-INCOME> (3,559,559)
<REALIZED-GAINS-CURRENT> (6,701,095)
<APPREC-INCREASE-CURRENT> (127,313,448)
<NET-CHANGE-FROM-OPS> (137,574,102)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 44,227,076
<NUMBER-OF-SHARES-REDEEMED> 6,932,158
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> 244,110,257
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 2,795,449
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 4,966,928
<AVERAGE-NET-ASSETS> 257,020,722
<PER-SHARE-NAV-BEGIN> 10.00
<PER-SHARE-NII> (0.09)
<PER-SHARE-GAIN-APPREC> (4.10)
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 5.81
<EXPENSE-RATIO> 1.50
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0001040566
<NAME> KOPP EMERGING GROWTH FUND - INSTITUTIONAL
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> SEP-30-1998
<PERIOD-START> OCT-01-1997
<PERIOD-END> SEP-30-1998
<INVESTMENTS-AT-COST> 373,224,126
<INVESTMENTS-AT-VALUE> 245,910,678
<RECEIVABLES> 601,286
<ASSETS-OTHER> 98,385
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 246,610,349
<PAYABLE-FOR-SECURITIES> 152,281
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 2,347,811
<TOTAL-LIABILITIES> 2,500,092
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 378,124,800
<SHARES-COMMON-STOCK> 4,723,814
<SHARES-COMMON-PRIOR> 0
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> (6,701,095)
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (127,313,448)
<NET-ASSETS> 244,110,257
<DIVIDEND-INCOME> 61,049
<INTEREST-INCOME> 483,135
<OTHER-INCOME> 0
<EXPENSES-NET> 4,103,743
<NET-INVESTMENT-INCOME> (3,559,559)
<REALIZED-GAINS-CURRENT> (6,701,095)
<APPREC-INCREASE-CURRENT> (127,313,448)
<NET-CHANGE-FROM-OPS> (137,574,102)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 4,731,586
<NUMBER-OF-SHARES-REDEEMED> 7,772
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> 244,110,257
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 2,795,449
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 4,966,928
<AVERAGE-NET-ASSETS> 23,131,395
<PER-SHARE-NAV-BEGIN> 10.00
<PER-SHARE-NII> (0.06)
<PER-SHARE-GAIN-APPREC> (4.10)
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 5.84
<EXPENSE-RATIO> 1.15
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
Independent Auditors' Report on Internal Accounting Control
The Board of Directors and Shareholders
Kopp Funds, Inc.:
In planning and performing our audit of the financial statements of Kopp
Emerging Growth Fund (a separate portfolio within Kopp Funds, Inc.) for the
year ended September 30, 1998, we considered its internal control, including
control activities for safeguarding securities, in order to determine our
auditing procedures for the purpose of expressing our opinion on the
financial statements and to comply with the requirements of Form N-SAR, not
to provide assurance on the internal control.
The management of Kopp Funds, Inc. 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
for external purposes that are fairly presented in conformity with generally
accepted accounting principles. Those controls include the safegaurding of
assets against unauthorized acquisition, use, or disposition.
Because of inherent limitations in internal control, errors or irregularities
may occur and 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 the internal control would not necessarily disclose all
matters in the 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 one or more of the internal control components does not reduce
to a relatively low level the risk that errors or irregularities in amounts
that would be material in relation to the financial statements being au
This report is intended solely for the information and use of management,
the Board of Directors, and the Securities and Exchange Commission.
\s\ KPMG Peat Marwick
KPMG Peat Marwick
Minneapolis, Minnesota
October 16, 1998
