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<PAGE> PAGE 2
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<PAGE> PAGE 3
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<PAGE> PAGE 4
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<PAGE> PAGE 5
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<PAGE> PAGE 6
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<PAGE> PAGE 7
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<PAGE> PAGE 8
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<PAGE> PAGE 9
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<PAGE> PAGE 10
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<PAGE> PAGE 11
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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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SIGNATURE MARIANTHE S. MEWKILL
TITLE TREASURER
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
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<NAME> SMITH BREEDEN US EQUITY MARKET PLUS FUND
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WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
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<NAME> SMITH BREEDEN FINANCIAL SERVICES FUND
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<EXPENSES-NET> 194233
<NET-INVESTMENT-INCOME> 5534
<REALIZED-GAINS-CURRENT> (248893)
<APPREC-INCREASE-CURRENT> (638575)
<NET-CHANGE-FROM-OPS> (881934)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 15881
<DISTRIBUTIONS-OF-GAINS> 49894
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 206371
<NUMBER-OF-SHARES-REDEEMED> 170725
<SHARES-REINVESTED> 5482
<NET-CHANGE-IN-ASSETS> (474302)
<ACCUMULATED-NII-PRIOR> 12416
<ACCUMULATED-GAINS-PRIOR> 50407
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 107863
<INTEREST-EXPENSE> 87491
<GROSS-EXPENSE> 311664
<AVERAGE-NET-ASSETS> 7157947
<PER-SHARE-NAV-BEGIN> 10.060
<PER-SHARE-NII> 0.006
<PER-SHARE-GAIN-APPREC> (1.082)
<PER-SHARE-DIVIDEND> 0.020
<PER-SHARE-DISTRIBUTIONS> 0.063
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 8.900
<EXPENSE-RATIO> 1.48
[AVG-DEBT-OUTSTANDING] 1643750
[AVG-DEBT-PER-SHARE] 2.197
</TABLE>
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 3
<NAME> SMITH BREEDEN HIGH YIELD BOND FUND
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> MAR-31-1999
<PERIOD-END> MAR-31-1999
<INVESTMENTS-AT-COST> 2195739
<INVESTMENTS-AT-VALUE> 2121095
<RECEIVABLES> 62032
<ASSETS-OTHER> 11871
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 2194998
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 60000
<OTHER-ITEMS-LIABILITIES> 13612
<TOTAL-LIABILITIES> 73612
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 2195571
<SHARES-COMMON-STOCK> 243392
<SHARES-COMMON-PRIOR> 0
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 459
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (74644)
<NET-ASSETS> 2121386
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 80527
<OTHER-INCOME> 0
<EXPENSES-NET> 9119
<NET-INVESTMENT-INCOME> 71408
<REALIZED-GAINS-CURRENT> 459
<APPREC-INCREASE-CURRENT> (74644)
<NET-CHANGE-FROM-OPS> (2777)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 71405
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 235588
<NUMBER-OF-SHARES-REDEEMED> 227
<SHARES-REINVESTED> 8031
<NET-CHANGE-IN-ASSETS> 2121386
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 6058
<INTEREST-EXPENSE> 637
<GROSS-EXPENSE> 59666
<AVERAGE-NET-ASSETS> 1893043
<PER-SHARE-NAV-BEGIN> 9.000
<PER-SHARE-NII> 0.318
<PER-SHARE-GAIN-APPREC> (0.280)
<PER-SHARE-DIVIDEND> 0.318
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 8.720
<EXPENSE-RATIO> 0.98
[AVG-DEBT-OUTSTANDING] 8571
[AVG-DEBT-PER-SHARE] 0.070
</TABLE>
[ARTICLE] 6
[SERIES]
[NUMBER] 1
[NAME] SMITH BREEDEN US EQUITY MARKET PLUS FUND
<TABLE>
<S> <C>
[PERIOD-TYPE] YEAR
[FISCAL-YEAR-END] MAR-31-1999
[PERIOD-END] MAR-31-1999
[INVESTMENTS-AT-COST] 246631334
[INVESTMENTS-AT-VALUE] 246154193
[RECEIVABLES] 119019909
[ASSETS-OTHER] 34187349
[OTHER-ITEMS-ASSETS] 0
[TOTAL-ASSETS] 399361451
[PAYABLE-FOR-SECURITIES] 156924382
[SENIOR-LONG-TERM-DEBT] 0
[OTHER-ITEMS-LIABILITIES] 56852948
[TOTAL-LIABILITIES] 213777330
[SENIOR-EQUITY] 0
[PAID-IN-CAPITAL-COMMON] 168177438
[SHARES-COMMON-STOCK] 11058974
[SHARES-COMMON-PRIOR] 8107634
[ACCUMULATED-NII-CURRENT] 1113690
[OVERDISTRIBUTION-NII] 0
[ACCUMULATED-NET-GAINS] 15225816
[OVERDISTRIBUTION-GAINS] 0
[ACCUM-APPREC-OR-DEPREC] 1067177
[NET-ASSETS] 185584121
[DIVIDEND-INCOME] 0
[INTEREST-INCOME] 8558480
[OTHER-INCOME] 0
[EXPENSES-NET] 1380902
[NET-INVESTMENT-INCOME] 7177578
[REALIZED-GAINS-CURRENT] 24541887
[APPREC-INCREASE-CURRENT] (8018115)
[NET-CHANGE-FROM-OPS] 23701350
[EQUALIZATION] 0
[DISTRIBUTIONS-OF-INCOME] 6376285
[DISTRIBUTIONS-OF-GAINS] 17138874
[DISTRIBUTIONS-OTHER] 0
[NUMBER-OF-SHARES-SOLD] 7288068
[NUMBER-OF-SHARES-REDEEMED] 5883230
[SHARES-REINVESTED] 1546502
[NET-CHANGE-IN-ASSETS] 3137531
[ACCUMULATED-NII-PRIOR] 312398
[ACCUMULATED-GAINS-PRIOR] 7822813
[OVERDISTRIB-NII-PRIOR] 0
[OVERDIST-NET-GAINS-PRIOR] 0
[GROSS-ADVISORY-FEES] 1090372
[INTEREST-EXPENSE] 10148
[GROSS-EXPENSE] 1631953
[AVERAGE-NET-ASSETS] 156058914
[PER-SHARE-NAV-BEGIN] 16.860
[PER-SHARE-NII] 0.686
[PER-SHARE-GAIN-APPREC] 1.765
[PER-SHARE-DIVIDEND] 0.624
[PER-SHARE-DISTRIBUTIONS] 1.905
[RETURNS-OF-CAPITAL] 0
[PER-SHARE-NAV-END] 16.780
[EXPENSE-RATIO] 0.88
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0
</TABLE>
[ARTICLE] 6
[SERIES]
[NUMBER] 2
[NAME] SMITH BREEDEN FINANCIAL SERVICES FUND
<TABLE>
<S> <C>
[PERIOD-TYPE] YEAR
[FISCAL-YEAR-END] MAR-31-1999
[PERIOD-END] MAR-31-1999
[INVESTMENTS-AT-COST] 8654885
[INVESTMENTS-AT-VALUE] 8752731
[RECEIVABLES] 192420
[ASSETS-OTHER] 63668
[OTHER-ITEMS-ASSETS] 0
[TOTAL-ASSETS] 9008819
[PAYABLE-FOR-SECURITIES] 0
[SENIOR-LONG-TERM-DEBT] 2125000
[OTHER-ITEMS-LIABILITIES] 41405
[TOTAL-LIABILITIES] 2166405
[SENIOR-EQUITY] 0
[PAID-IN-CAPITAL-COMMON] 7048508
[SHARES-COMMON-STOCK] 768736
[SHARES-COMMON-PRIOR] 727608
[ACCUMULATED-NII-CURRENT] 2066
[OVERDISTRIBUTION-NII] 0
[ACCUMULATED-NET-GAINS] (248379)
[OVERDISTRIBUTION-GAINS] 0
[ACCUM-APPREC-OR-DEPREC] 40219
[NET-ASSETS] 6842414
[DIVIDEND-INCOME] 186002
[INTEREST-INCOME] 2639
[OTHER-INCOME] 11126
[EXPENSES-NET] 194233
[NET-INVESTMENT-INCOME] 5534
[REALIZED-GAINS-CURRENT] (248893)
[APPREC-INCREASE-CURRENT] (638575)
[NET-CHANGE-FROM-OPS] (881934)
[EQUALIZATION] 0
[DISTRIBUTIONS-OF-INCOME] 15881
[DISTRIBUTIONS-OF-GAINS] 49894
[DISTRIBUTIONS-OTHER] 0
[NUMBER-OF-SHARES-SOLD] 206371
[NUMBER-OF-SHARES-REDEEMED] 170725
[SHARES-REINVESTED] 5482
[NET-CHANGE-IN-ASSETS] (474302)
[ACCUMULATED-NII-PRIOR] 12416
[ACCUMULATED-GAINS-PRIOR] 50407
[OVERDISTRIB-NII-PRIOR] 0
[OVERDIST-NET-GAINS-PRIOR] 0
[GROSS-ADVISORY-FEES] 107863
[INTEREST-EXPENSE] 87491
[GROSS-EXPENSE] 311664
[AVERAGE-NET-ASSETS] 7157947
[PER-SHARE-NAV-BEGIN] 10.060
[PER-SHARE-NII] 0.006
[PER-SHARE-GAIN-APPREC] (1.082)
[PER-SHARE-DIVIDEND] 0.020
[PER-SHARE-DISTRIBUTIONS] 0.063
[RETURNS-OF-CAPITAL] 0
[PER-SHARE-NAV-END] 8.900
[EXPENSE-RATIO] 1.48
[AVG-DEBT-OUTSTANDING] 1643750
[AVG-DEBT-PER-SHARE] 2.197
</TABLE>
[ARTICLE] 6
[SERIES]
[NUMBER] 3
[NAME] SMITH BREEDEN HIGH YIELD BOND FUND
<TABLE>
<S> <C>
[PERIOD-TYPE] 6-MOS
[FISCAL-YEAR-END] MAR-31-1999
[PERIOD-END] MAR-31-1999
[INVESTMENTS-AT-COST] 2195739
[INVESTMENTS-AT-VALUE] 2121095
[RECEIVABLES] 62032
[ASSETS-OTHER] 11871
[OTHER-ITEMS-ASSETS] 0
[TOTAL-ASSETS] 2194998
[PAYABLE-FOR-SECURITIES] 0
[SENIOR-LONG-TERM-DEBT] 60000
[OTHER-ITEMS-LIABILITIES] 13612
[TOTAL-LIABILITIES] 73612
[SENIOR-EQUITY] 0
[PAID-IN-CAPITAL-COMMON] 2195571
[SHARES-COMMON-STOCK] 243392
[SHARES-COMMON-PRIOR] 0
[ACCUMULATED-NII-CURRENT] 0
[OVERDISTRIBUTION-NII] 0
[ACCUMULATED-NET-GAINS] 459
[OVERDISTRIBUTION-GAINS] 0
[ACCUM-APPREC-OR-DEPREC] (74644)
[NET-ASSETS] 2121386
[DIVIDEND-INCOME] 0
[INTEREST-INCOME] 80527
[OTHER-INCOME] 0
[EXPENSES-NET] 9119
[NET-INVESTMENT-INCOME] 71408
[REALIZED-GAINS-CURRENT] 459
[APPREC-INCREASE-CURRENT] (74644)
[NET-CHANGE-FROM-OPS] (2777)
[EQUALIZATION] 0
[DISTRIBUTIONS-OF-INCOME] 71405
[DISTRIBUTIONS-OF-GAINS] 0
[DISTRIBUTIONS-OTHER] 0
[NUMBER-OF-SHARES-SOLD] 235588
[NUMBER-OF-SHARES-REDEEMED] 227
[SHARES-REINVESTED] 8031
[NET-CHANGE-IN-ASSETS] 2121386
[ACCUMULATED-NII-PRIOR] 0
[ACCUMULATED-GAINS-PRIOR] 0
[OVERDISTRIB-NII-PRIOR] 0
[OVERDIST-NET-GAINS-PRIOR] 0
[GROSS-ADVISORY-FEES] 6058
[INTEREST-EXPENSE] 637
[GROSS-EXPENSE] 59666
[AVERAGE-NET-ASSETS] 1893043
[PER-SHARE-NAV-BEGIN] 9.000
[PER-SHARE-NII] 0.318
[PER-SHARE-GAIN-APPREC] (0.280)
[PER-SHARE-DIVIDEND] 0.318
[PER-SHARE-DISTRIBUTIONS] 0
[RETURNS-OF-CAPITAL] 0
[PER-SHARE-NAV-END] 8.720
[EXPENSE-RATIO] 0.98
[AVG-DEBT-OUTSTANDING] 8571
[AVG-DEBT-PER-SHARE] 0.070
</TABLE>
