<PAGE> PAGE 1
000 B000000 12/31/98
000 C000000 0000015260
000 D000000 Y
000 E000000 NF
000 F000000 Y
000 G000000 N
000 H000000 N
000 I000000 3.0
000 J000000 A
001 A000000 BULL & BEAR FUNDS II, INC.
001 B000000 811-2474
001 C000000 2127850900
002 A000000 11 HANOVER SQUARE
002 B000000 NEW YORK
002 C000000 NY
002 D010000 10005
003 000000 N
004 000000 N
005 000000 N
006 000000 N
007 A000000 Y
007 B000000 1
007 C010100 1
007 C020100 BULL & BEAR DOLLAR RESERVES
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
008 A00AA01 BULL & BEAR ADVISERS, INC.
008 B00AA01 A
008 C00AA01 801-28329
008 D01AA01 NEW YORK
008 D02AA01 NY
008 D03AA01 10005
011 A00AA01 INVESTOR SERVICE CENTER, INC.
011 B00AA01 8-29751
011 C01AA01 NEW YORK
011 C02AA01 NY
011 C03AA01 10005
012 A00AA01 DST SYSTEMS, INC.
012 B00AA01 84-00448
012 C01AA01 KANSAS CITY
012 C02AA01 MO
012 C03AA01 64105
013 A00AA01 TAIT, WELLER & BAKER
<PAGE> PAGE 2
013 B01AA01 PHILADELPHIA
013 B02AA01 PA
013 B03AA01 19103
014 A00AA01 BULL & BEAR SECURITIES, INC.
014 B00AA01 8-31732
015 A00AA01 INVESTORS FIDUCIARY TRUST COMPANY
015 B00AA01 C
015 C01AA01 KANSAS CITY
015 C02AA01 MO
015 C03AA01 64105
015 E01AA01 X
018 00AA00 Y
019 A00AA00 Y
019 B00AA00 9
019 C00AA00 BULL&BEARF
020 C000001 0
020 C000002 0
020 C000003 0
020 C000004 0
020 C000005 0
020 C000006 0
020 C000007 0
020 C000008 0
020 C000009 0
020 C000010 0
021 000000 0
022 A000001 CS FIRST BOSTON CORP.
022 B000001 ----------
022 C000001 21953
022 D000001 0
022 A000002 GOLDMAN SACHS & CO.
022 B000002 13-5108880
022 C000002 21070
022 D000002 681
022 A000003 BZW SECURITIES INC.
022 B000003 13-3551367
022 C000003 19427
022 D000003 0
022 A000004 ZIONS NATIONAL BANK
022 B000004 ----------
022 C000004 18348
022 D000004 0
022 A000005 PRUDENTIAL BACHE SECURITIES INC.
022 B000005 22-2347336
022 C000005 15877
022 D000005 0
022 A000006 LEHMAN BROTHERS
022 B000006 13-2518466
022 C000006 14861
022 D000006 0
022 A000007 PAINE WEBBER SECURITIES
<PAGE> PAGE 3
022 B000007 13-2638166
022 C000007 13370
022 D000007 0
022 A000008 SEATTLE NORTHWEST SECURITIES CORP.
022 B000008 91-1172183
022 C000008 9495
022 D000008 0
022 A000009 KEY BANK CAPITAL MARKETS
022 B000009 ----------
022 C000009 6951
022 D000009 0
022 A000010 NATIONS BANK
022 B000010 ----------
022 C000010 3954
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023 D000000 681
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054 F00AA00 N
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054 K00AA00 N
054 L00AA00 N
054 M00AA00 Y
<PAGE> PAGE 4
054 N00AA00 N
054 O00AA00 N
058 A00AA00 N
059 00AA00 Y
060 A00AA00 Y
060 B00AA00 Y
061 00AA00 1000
077 A000000 Y
077 B000000 Y
077 Q010000 Y
080 A00AA00 ICI MUTUAL INSURANCE CO.
080 C00AA00 3000
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082 A00AA00 Y
082 B00AA00 25
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084 A00AA00 N
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086 C010000 0
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024 000100 N
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025 D000106 0
025 D000107 0
025 D000108 0
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<PAGE> PAGE 5
028 C010100 3488
028 C020100 237
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028 F040100 5854
028 G010100 24200
028 G020100 1149
028 G030100 0
028 G040100 21417
028 H000100 0
037 000100 N
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039 000100 N
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<PAGE> PAGE 6
048 F020100 0.000
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048 I020100 0.000
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048 J020100 0.000
048 K010100 500000
048 K020100 0.400
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050 000100 N
051 000100 N
052 000100 N
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053 B000100 Y
053 C000100 N
055 A000100 N
055 B000100 N
056 000100 N
057 000100 N
062 A000100 Y
062 B000100 0.0
062 C000100 100.4
062 D000100 0.0
062 E000100 0.0
062 F000100 0.0
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062 J000100 0.0
062 K000100 0.0
062 L000100 0.0
062 M000100 0.0
062 N000100 0.0
062 O000100 0.0
062 P000100 0.0
062 Q000100 0.0
062 R000100 0.0
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063 B000100 0.0
064 A000100 N
064 B000100 N
066 A000100 N
067 000100 N
068 A000100 N
068 B000100 N
069 000100 N
070 A010100 Y
070 A020100 N
<PAGE> PAGE 7
070 B010100 N
070 B020100 N
070 C010100 N
070 C020100 N
070 D010100 N
070 D020100 N
070 E010100 N
070 E020100 N
070 F010100 N
070 F020100 N
070 G010100 N
070 G020100 N
070 H010100 N
070 H020100 N
070 I010100 N
070 I020100 N
070 J010100 Y
070 J020100 N
070 K010100 Y
070 K020100 N
070 L010100 N
070 L020100 N
070 M010100 Y
070 M020100 N
070 N010100 Y
070 N020100 N
070 O010100 Y
070 O020100 Y
070 P010100 N
070 P020100 N
070 Q010100 N
070 Q020100 N
070 R010100 N
070 R020100 N
071 A000100 0
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072 B000100 1689
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072 J000100 26
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072 M000100 3
<PAGE> PAGE 8
072 N000100 28
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072 S000100 16
072 T000100 79
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072 Y000100 115
072 Z000100 1396
072AA000100 0
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072CC020100 0
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073 A010100 0.0220
073 A020100 0.0000
073 B000100 0.0000
073 C000100 0.0000
074 A000100 70
074 B000100 0
074 C000100 65823
074 D000100 0
074 E000100 0
074 F000100 0
074 G000100 0
074 H000100 0
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074 J000100 19
074 K000100 0
074 L000100 372
074 M000100 7
074 N000100 66291
074 O000100 0
074 P000100 0
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074 T000100 65535
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<PAGE> PAGE 9
074 W000100 1.0006
074 X000100 2656
074 Y000100 0
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076 000100 0.00
SIGNATURE JOSEPH LEUNG
TITLE TREASURER
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial information extracted from Bull &
Bear Dollar Reserves annual report, a series of Bull & Bear Funds II, Inc. and
is qualified in its entirety by reference to such financial statements.
</LEGEND>
<CIK> 0000015260
<NAME> Bull & Bear Funds II, Inc.
<SERIES>
<NUMBER> 001
<NAME> Bull & Bear Dollar Reserves
<MULTIPLIER> 1
<CURRENCY> U.S. Dollar
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> Dec-31-1998
<PERIOD-START> Jul-31-1998
<PERIOD-END> Dec-31-1998
<EXCHANGE-RATE> 1.000
<INVESTMENTS-AT-COST> 65,823,477
<INVESTMENTS-AT-VALUE> 65,823,477
<RECEIVABLES> 390,675
<ASSETS-OTHER> 77,416
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 66,291,568
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 756,363
<TOTAL-LIABILITIES> 756,363
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 65,540,618
<SHARES-COMMON-STOCK> 65,540,618
<SHARES-COMMON-PRIOR> 61,602,433
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> (5,413)
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 0
<NET-ASSETS> 65,535,205
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 1,689,236
<OTHER-INCOME> 0
<EXPENSES-NET> 293,250
<NET-INVESTMENT-INCOME> 1,395,986
<REALIZED-GAINS-CURRENT> 2,607
<APPREC-INCREASE-CURRENT> 0
<NET-CHANGE-FROM-OPS> 1,398,593
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 1,395,986
<DISTRIBUTIONS-OF-GAINS> 2,607
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 24,217,074
<NUMBER-OF-SHARES-REDEEMED> 21,665,375
<SHARES-REINVESTED> 1,381,063
<NET-CHANGE-IN-ASSETS> 3,932,762
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> (7,803)
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 157,444
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 408,779
<AVERAGE-NET-ASSETS> 62,778,340
<PER-SHARE-NAV-BEGIN> 1.00
<PER-SHARE-NII> .022
<PER-SHARE-GAIN-APPREC> 0
<PER-SHARE-DIVIDEND> .022
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0.00
<PER-SHARE-NAV-END> 1.00
<EXPENSE-RATIO> .93
<AVG-DEBT-OUTSTANDING> 66,134
<AVG-DEBT-PER-SHARE> 0.00
</TABLE>
REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS
ON INTERNAL CONTROL STRUCTURE
Shareholders and Board of Directors
Bull & Bear Funds II, Inc.
New York, New York
In planning and performing our audit of the financial statements of Bull & Bear
Dollar Reserves Fund, a series of shares of Bull & Bear Funds II, Inc. for the
six months ended December 31, 1998, we considered its internal control
structure, including procedures 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 structure.
The management of Bull & Bear Funds II, Inc. is responsible for establishing and
maintaining an internal control structure. In fulfilling this responsibility,
estimates and judgments by management are required to assess the expected
benefits and related costs of internal control structure policies and
procedures. Two of the objectives of an internal control structure are to
provide management with reasonable, but not absolute, assurance that assets are
safeguarded against loss from unauthorized use or disposition, and that
transactions are executed in accordance with management's authorization and
recorded properly to permit preparation of financial statements in conformity
with generally accepted accounting principles.
Because of inherent limitations in any internal control structure, errors or
irregularities may occur and not be detected. Also, projection of any evaluation
of the structure 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 structure would not necessarily
disclose all matters in the internal control structure 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 the specific internal control structure elements 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 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 the internal control structure, including procedures for safeguarding
securities, that we consider to be material weaknesses, as defined above, as of
December 31, 1998.
This report is intended solely for the information and use of management and the
Securities and Exchange Commission, and should not be used for any other
purpose.
Philadelphia, Pennsylvania
January 15, 1999
