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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities and Exchange Act of 1934
(Amendment No. 4)
American Opportunity Income Fund, Inc.
(OIF)
(Name of Issuer)
Common Stock
(Title of Class of Securities)
028727105
(CUSIP Number)
George W. Karpus, President
Karpus Management, Inc. d/b/a
Karpus Investment Management
14 Tobey Village Office Park
Pittsford, New York 14534
(716) 586-4680
(Name, Address, and Telephone Number of Person Authorized to
Receive Notices and Communications)
June 3, 1998
(Date of Event which Requires Filing of this Statement)
If the person has previously filed a statement on Schedule 13G
to report the acquisition which is the subject of this Schedule 13D,
and is filing this schedule because of Rule 13d-1(b)(3) or (4),
check the following box. [x]
(Page 1 of 5 pages)
There are no exhibits.
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SCHEDULE 13D
CUSIP No. 028727105 Page 2 of 5 pages
1 NAMES OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Karpus Management, Inc. d/b/a Karpus Investment Management
I.D. # 16-1290558
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) |_|
(b) |x|
3 SEC USE ONLY
4 SOURCE OF FUNDS*
AF
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) or 2(e)
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
New York
7 SOLE VOTING POWER
1,201,115 shares
NUMBER OF
SHARES 8 SHARED VOTING POWER
BENEFICIALLY 0
OWNED BY
EACH 9 SOLE DISPOSITIVE POWER
REPORTING 1,201,115 shares
PERSON
WITH
10 SHARED DISPOSITIVE POWER
0
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,201,115 shares
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES*
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13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
7.06%
14 TYPE OF REPORTING PERSON*
I.A.
*SEE INSTRUCTIONS BEFORE FILLING OUT!
INCLUDE BOTH SIDES OF THE COVER PAGE, RESPONSES TO ITEMS 1-7
(INCLUDING EXHIBITS) OF THE SCHEDULE, AND THE SIGNATURE ATTESTATION.
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ITEM 1 Security and Issuer
Common Stock
American Opportunity Income Fund, Inc.
Piper Capital Management, Inc.
222 South Ninth Street
Minneapolis, Minnesota 55402-3804
ITEM 2 Identity and Background
a) Karpus Management, Inc. d/b/a Karpus Investment Management
("KIM")
George W. Karpus, President, Director and Controlling
Stockholder
JoAnn VanDegriff, Vice President and Director
Sophie Karpus, Director
b) 14 Tobey Village Office park
Pittsford, New York 14534
c) Principal business and occupation- Investment Management
for individuals, pension and profit sharing plans,
corporations, endowments, trust and others,.
specializing in conservative asset management (i.e.
fixed income investments).
d) None of George W. Karpus, JoAnn VanDegriff or Sophie
Karpus (the "Principals") or KIM has been convicted in
the past 5 years of any criminal proceeding ( excluding
traffic violations).
e) During the last five years non of the principals or KIM
has been a party to a civil proceeding as a result of
which any of them is subject to a judgment, decree or
final order enjoining future violations of or
prohibiting or mandating activities subject to, federal
or state securities laws or finding any violation with
respect to such laws.
f) Each of the Principals is a United States citizen. KIM
is a New York Corporation.
ITEM 3 Source and Amount of Funds or Other Considerations
KIM, an independent investment advisor, has accumulated
shares of OIF on behalf of accounts that are managed by KIM
("the Accounts") under limited powers of attorney. All funds
that have been utilized in making such purchases are from
such Accounts.
ITEM 4 Purpose of Transaction.
KIM has purchased Shares for investment purposes. Being
primarily a fixed income manager, with a specialty focus
in the closed end fund sector, the profile of OIF fit the
investment guidelines for various Accounts. Shares have
been acquired since February 1, 1996. KIM intends to
influence management and the Board of Directors to
represent shareholder interest and to take steps to close
the discount to net asset at which the fund currently
trades which may include a proposal at the next
shareholder meeting. Initially KIM submitted a formal
proposal to management to add to the proxy a vote on
appointing KIM as the investment advisor. Subsequently KIM
had made a proposal to open-end the fund to management. On
March 6, 1998 KIM formally announced that
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it was withdrawing any proposal regarding the fund and
would no longer be seeking a shareholder list. KIM's
proposal came on the heels of Piper Capital's announcement
on February 19, 1998 that it "intends to recommend to the
board of directors that several of the funds be converted
to an open-end format". In a letter dated February 25,
1998 to Karpus, the Piper Capital Management's general
counsel and senior vice president affirmed her firms
position and added that management does no intend to
recommend that a redemption fee be imposed in connection
with the proposed open ending of the fund. Karpus hailed
the decision by Piper Capital Management as a significant
breakthrough for the benefit of the shareholders. He
praised the responsiveness of the Piper Capital Management
team for its willingness to communicate freely regarding
these matters. A shareholder vote regarding open ending of
the fund is expected at the annual meeting in late July or
early August.
ITEM 5 Interest in Securities of the Issuer
a) As of the date of this Report, KIM owns 1,201,115 Shares
which represents 7.06% of the outstanding Shares. None of
the Principals owns any other Shares except for Karpus
Investment Management Profit Sharing Plan which purchased
1,000 shares on December 10, 1997 at a price of $6.125 per
share.
b) KIM has the sole power to dispose of and to vote
all of such Shares under limited powers of attorney.
c) There have been no dispositions and no acquisitions, other
than by such open market purchases, during such period.
Price Per Price Per
Date Shares Share Date Shares Share
3/4/98 40,000 6.4375 3/20/98 3,672 6.4375
3/5/98 100 6.4375 4/8/98 19,160 6.50
3/6/98 4,100 6.4375 4/9/98 4,600 6.50
3/9/98 109,100 6.4375 4/13/98 14,506 6.50
3/10/98 14,700 6.4375 4/14/98 7,700 6.50
3/11/98 8,700 6.4375 4/15/98 6,573 6.50
3/12/98 18,700 6.4375 4/16/98 7,800 6.50
3/13/98 18,200 6.4375 4/16/98 700 6.4375
3/16/98 9,900 6.4375 4/27/98 63,972 6.4375
3/17/98 8,500 6.4375 5/18/98 3,000 6.4375
3/18/98 12,990 6.4375 5/20/98 7,500 6.4375
3/19/98 7,700 6.4375 5/26/98 2,500 6.4375
The Accounts have the right to receive all dividends from,
any proceeds from the sale of, the Shares. None of the
Accounts has an interest in Shares constituting more than 5%
of the Shares outstanding.
ITEM 6 Contracts, Arrangements, Understandings, or Relationships
with Respect to Securities of the Issuer.
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Except as described above, there are no contracts,
arrangements, understandings or relationships of any kind
among the Principals and KIM and between any of them and
any other person with respect to any of OIF securities.
ITEM 7 Materials to be Filed as Exhibits
Not applicable.
Signature
After reasonable inquiry and to the best of my knowledge and belief,
I certify that the information set forth in this statement is true, complete,
and correct.
Karpus Management, Inc.
June 3, 1998 By: /s/ GEORGE W. KARPUS
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Date Signature
George W. Karpus, President
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Name / Title
