SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form N-18f-1
NOTIFICATION OF ELECTION PURSUANT TO RULE 18f-1 UNDER
THE INVESTMENT COMPANY ACT OF 1940
The Chapman Funds, Inc.
DEM Multi-Manager Equity Fund
---------------
Exact Name of Registrant
NOTIFICATION OF ELECTION
The undersigned registered open-end investment company
hereby notifies the Securities and Exchange Commission that it
elects to commit itself to pay in cash all redemptions by a
shareholder of record as provided by Rule 18f-1 under the
Investment Company Act of 1940. It is understood that this
election is irrevocable while such Rule is in effect unless the
Commission by order upon application permits the withdrawal of
this Notification of Election.
SIGNATURE
Pursuant to the requirements of Rule 18f-1 under the
Investment Company Act of 1940, the registrant has caused this
notification of election to be duly executed on its behalf in the
city of Baltimore and the state of Maryland on the 11th day of
February, 1998.
THE CHAPMAN FUNDS, INC.
DEM MULTI-MANAGER EQUITY FUND
By: /s/ NATHAN A. CHAPMAN, JR.
Nathan A. Chapman, Jr.
President
(Title)
Attest /s/ EARL U. BRAVO, SR.
Earl U. Bravo, Sr.
Secretary
(Title)
BA3DOCS1/0096069.01
