<PAGE> PAGE 1
000 B000000 12/31/97
000 C000000 0000884842
000 D000000 N
000 E000000 NF
000 F000000 Y
000 G000000 N
000 H000000 N
000 I000000 3.0.a
000 J000000 A
001 A000000 MERRILL LYNCH DRAGON FUND, INC.
001 B000000 811-6581
001 C000000 6092822800
002 A000000 P.O. BOX 9011
002 B000000 PRINCETON
002 C000000 NJ
002 D010000 08543
002 D020000 9011
003 000000 N
004 000000 N
005 000000 N
006 000000 N
007 A000000 N
007 B000000 0
007 C010100 1
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 A000001 MERRILL LYNCH ASSET MANAGEMENT, L.P.
008 B000001 A
008 C000001 801-11583
008 D010001 PRINCETON
008 D020001 NJ
008 D030001 08543
008 D040001 9011
008 A000002 MERRILL LYNCH ASSET MANAGEMENT U.K., LTD.
008 B000002 S
008 C000002 801-31780
008 D010002 LONDON
008 D050002 ENGLAND
008 D060002 EC24 9LY
011 A000001 MERRILL LYNCH FUNDS DISTRIBUTOR, INC.
011 B000001 8-14663
011 C010001 PRINCETON
011 C020001 NJ
011 C030001 08543
<PAGE> PAGE 2
011 C040001 9011
012 A000001 MERRILL LYNCH FINANCIAL DATA SERVICES, INC.
012 B000001 84-01339
012 C010001 JACKSONVILLE
012 C020001 FL
012 C030001 32246
012 C040001 6484
013 A000001 DELOITTE & TOUCHE LLP
013 B010001 PRINCETON
013 B020001 NJ
013 B030001 08540
014 A000001 MERRILL LYNCH, PIERCE, FENNER & SMITH INC.
014 B000001 8-7221
015 A000001 BROWN BROTHERS HARRIMAN & CO.
015 B000001 C
015 C010001 BOSTON
015 C020001 MA
015 C030001 02109
015 E010001 X
015 A000002 STANDARD CHARTERED BANK
015 B000002 S
015 C010002 LONDON
015 D010002 UNITED KINGDOM
015 E040002 X
015 A000003 HONG KONG & SHANGHAI BANKING CORP.
015 B000003 S
015 C010003 HONG KONG
015 D010003 HONG KONG
015 E040003 X
015 A000004 CITIBANK, N.A.
015 B000004 S
015 C010004 NEW YORK
015 C020004 NY
015 C030004 10015
015 E010004 X
015 A000005 MORGAN GUARANTY TRUST COMPANY OF NEW YORK
015 B000005 S
015 C010005 NEW YORK
015 C020005 NY
015 C030005 10260
015 E010005 X
015 A000006 SSCCRC
015 B000006 S
015 C010006 SHANGHAI
015 D010006 CHINA
015 E040006 X
015 A000007 SCRC
015 B000007 S
015 C010007 SHENZHEN
015 D010007 CHINA
015 E040007 X
<PAGE> PAGE 3
015 A000008 CEDEL, S.A.
015 B000008 S
015 C010008 LUXEMBOURG
015 D010008 LUXEMBOURG
015 E040008 X
015 A000009 HKSCC
015 B000009 S
015 C010009 HONG KONG
015 D010009 HONG KONG
015 E040009 X
015 A000010 KSD
015 B000010 S
015 C010010 KOREA
015 D010010 KOREA
015 E040010 X
015 A000011 MCD
015 B000011 S
015 C010011 MALAYSIA
015 D010011 MALAYSIA
015 E040011 X
015 A000012 CDP
015 B000012 S
015 C010012 SINGAPORE
015 D010012 SINGAPORE
015 E040012 X
015 A000013 CDS
015 B000013 S
015 C010013 SRI LANKA
015 D010013 SRI LANKA
015 E040013 X
015 A000014 TSCD
015 B000014 S
015 C010014 TAIWAN
015 D010014 TAIWAN
015 E040014 X
015 A000015 TSDC
015 B000015 S
015 C010015 THAILAND
015 D010015 THAILAND
015 E040015 X
015 A000016 NSDL
015 B000016 S
015 C010016 INDIA
015 D010016 INDIA
015 E040016 X
015 A000017 BANK NEGARA MALAYSIA
015 B000017 S
015 C010017 MALAYSIA
015 D010017 MALAYSIA
015 E040017 X
015 A000018 CGO
<PAGE> PAGE 4
015 B000018 S
015 C010018 UNITED KINGDOM
015 D010018 UNITED KINGDOM
015 E040018 X
015 A000019 CMO
015 B000019 S
015 C010019 UNITED KINGDOM
015 D010019 UNITED KINGDOM
015 E040019 X
015 A000020 THE BANK OF NEW YORK
015 B000020 S
015 C010020 NEW YORK
015 C020020 NY
015 C030020 10015
015 E010020 X
015 A000021 BANKERS TRUST COMPANY
015 B000021 S
015 C010021 NEW YORK
015 C020021 NY
015 C030021 10006
015 E010021 X
015 A000022 DELETE
015 A000023 CUSTODIAL TRUST CO.
015 B000023 S
015 C010023 NEW YORK
015 C020023 NY
015 C030023 10167
015 E010023 X
015 A000024 ROYAL BANK OF SCOTLAND
015 B000024 S
015 C010024 UNITED KINGDOM
015 D010024 UNITED KINGDOM
015 E040024 X
015 A000025 EUROCLEAR
015 B000025 S
015 C010025 BELGIUM
015 D010025 BELGIUM
015 E040025 X
015 A000026 HONG KONG BANK MALAYSIA BERHAD
015 B000026 S
015 C010026 KUALA LUMPUR
015 D010026 MALAYSIA
015 E040026 X
015 A000027 TAKASBANK
015 B000027 S
015 C010027 TURKEY
015 D010027 TURKEY
015 E040027 X
015 A000028 CREST
015 B000028 S
015 C010028 UNITED KINGDOM
<PAGE> PAGE 5
015 D010028 UNITED KINGDOM
015 E040028 X
015 A000029 CENTRAL BANK OF TURKEY
015 B000029 S
015 C010029 TURKEY
015 D010029 TURKEY
015 E040029 X
018 000000 Y
019 A000000 Y
019 B000000 200
019 C000000 MERRILLLYN
020 A000001 ROBERT FLEMING INC.
020 B000001 13-3298866
020 C000001 464
020 A000002 VICKERS BALLAS (USA) INC.
020 B000002 13-3749351
020 C000002 394
020 A000003 ING BARING (U.S.) SECURITIES, INC.
020 C000003 387
020 A000004 CREDIT LYONNAIS SECURITIES (USA) INC.
020 C000004 319
020 A000005 PEREGRINE FUNDING CORPORATION
020 B000005 13-3351177
020 C000005 298
020 A000006 UBS SECURITIES LLC
020 B000006 13-3873456
020 C000006 295
020 A000007 CROISBY SECURITIES INC.
020 B000007 13-3431728
020 C000007 277
020 A000008 ABN AMRO HOARE GOVETT ASIA INC.
020 C000008 269
020 A000009 MORGAN STANLEY & CO. INCORPORATED
020 B000009 13-2655998
020 C000009 261
020 A000010 MERRILL LYNCH, PIERCE, FENNER & SMITH INC.
020 B000010 13-5674085
020 C000010 199
021 000000 4424
022 A000001 GENERAL MOTORS ACCEPTANCE CORP.
022 C000001 5667229
022 D000001 0
022 A000002 GENERAL ELECTRIC CAPITAL CORP.
022 C000002 611936
022 D000002 0
022 A000003 ASSOCIATE CORP. OF NORTH AMERICA
022 C000003 211039
022 D000003 0
022 A000004 HSBC SECURITIES, INC.
022 B000004 13-2650272
022 C000004 191792
<PAGE> PAGE 6
022 D000004 944
022 A000005 CREDIT SUISSE FIRST BOSTON CORPORATION
022 B000005 13-5659485
022 C000005 149800
022 D000005 0
022 A000006 GOLDMAN, SAHCS & CO.
022 B000006 13-5108880
022 C000006 44861
022 D000006 9973
022 A000007 LEHMAN BROTHERS INC.
022 B000007 13-2518466
022 C000007 39799
022 D000007 7566
022 A000008 FORD MOTOR CREDIT CORP.
022 C000008 37929
022 D000008 0
022 A000009 SHAW (D.E.) & CO.
022 C000009 18066
022 D000009 17694
022 A000010 ASSOCIATES FIRST CAPITAL CORP.
022 C000010 26988
022 D000010 0
023 C000000 7062956
023 D000000 64728
024 000000 N
026 A000000 N
026 B000000 Y
026 C000000 N
026 D000000 Y
026 E000000 N
026 F000000 N
026 G010000 N
026 G020000 N
026 H000000 N
027 000000 Y
028 A010000 75283
028 A020000 0
028 A030000 0
028 A040000 113594
028 B010000 53856
028 B020000 0
028 B030000 0
028 B040000 137811
028 C010000 91264
028 C020000 0
028 C030000 0
028 C040000 150100
028 D010000 64153
028 D020000 0
028 D030000 0
028 D040000 135704
<PAGE> PAGE 7
028 E010000 69005
028 E020000 0
028 E030000 0
028 E040000 86761
028 F010000 88162
028 F020000 82629
028 F030000 0
028 F040000 131718
028 G010000 441723
028 G020000 82629
028 G030000 0
028 G040000 755688
028 H000000 30654
029 000000 Y
030 A000000 210
030 B000000 5.25
030 C000000 0.00
031 A000000 14
031 B000000 0
032 000000 0
033 000000 196
034 000000 Y
035 000000 3391
036 A000000 N
036 B000000 0
037 000000 N
038 000000 0
039 000000 N
040 000000 Y
041 000000 Y
042 A000000 0
042 B000000 0
042 C000000 100
042 D000000 0
042 E000000 0
042 F000000 0
042 G000000 0
042 H000000 0
043 000000 9576
044 000000 0
045 000000 Y
046 000000 N
047 000000 Y
048 000000 1.000
048 A010000 0
048 A020000 0.000
048 B010000 0
048 B020000 0.000
048 C010000 0
048 C020000 0.000
048 D010000 0
<PAGE> PAGE 8
048 D020000 0.000
048 E010000 0
048 E020000 0.000
048 F010000 0
048 F020000 0.000
048 G010000 0
048 G020000 0.000
048 H010000 0
048 H020000 0.000
048 I010000 0
048 I020000 0.000
048 J010000 0
048 J020000 0.000
048 K010000 0
048 K020000 0.000
049 000000 N
050 000000 N
051 000000 N
052 000000 N
053 A000000 N
054 A000000 Y
054 B000000 Y
054 C000000 N
054 D000000 N
054 E000000 N
054 F000000 N
054 G000000 N
054 H000000 Y
054 I000000 N
054 J000000 Y
054 K000000 N
054 L000000 N
054 M000000 Y
054 N000000 N
055 A000000 N
055 B000000 N
056 000000 Y
057 000000 N
058 A000000 N
059 000000 Y
060 A000000 N
060 B000000 N
061 000000 0
062 A000000 N
062 B000000 0.0
062 C000000 0.0
062 D000000 0.0
062 E000000 0.0
062 F000000 0.0
062 G000000 0.0
062 H000000 0.0
<PAGE> PAGE 9
062 I000000 0.0
062 J000000 0.0
062 K000000 0.0
062 L000000 0.0
062 M000000 0.0
062 N000000 0.0
062 O000000 0.0
062 P000000 0.0
062 Q000000 0.0
062 R000000 0.0
066 A000000 Y
066 B000000 N
066 C000000 Y
066 D000000 N
066 E000000 N
066 F000000 N
066 G000000 N
067 000000 N
068 A000000 N
068 B000000 Y
069 000000 N
070 A010000 Y
070 A020000 N
070 B010000 Y
070 B020000 N
070 C010000 Y
070 C020000 N
070 D010000 Y
070 D020000 N
070 E010000 Y
070 E020000 N
070 F010000 Y
070 F020000 N
070 G010000 Y
070 G020000 N
070 H010000 Y
070 H020000 N
070 I010000 Y
070 I020000 N
070 J010000 Y
070 J020000 Y
070 K010000 Y
070 K020000 N
070 L010000 Y
070 L020000 Y
070 M010000 Y
070 M020000 Y
070 N010000 Y
070 N020000 N
070 O010000 Y
070 O020000 N
<PAGE> PAGE 10
070 P010000 Y
070 P020000 N
070 Q010000 N
070 Q020000 N
070 R010000 N
070 R020000 N
071 A000000 232886
071 B000000 793558
071 C000000 1103090
071 D000000 21
072 A000000 12
072 B000000 4318
072 C000000 20404
072 D000000 0
072 E000000 0
072 F000000 11593
072 G000000 160
072 H000000 0
072 I000000 2265
072 J000000 1452
072 K000000 0
072 L000000 215
072 M000000 37
072 N000000 170
072 O000000 0
072 P000000 0
072 Q000000 0
072 R000000 37
072 S000000 28
072 T000000 9576
072 U000000 7
072 V000000 0
072 W000000 74
072 X000000 25614
072 Y000000 0
072 Z000000 -892
072AA000000 232327
072BB000000 169689
072CC010000 0
072CC020000 518731
072DD010000 0
072DD020000 0
072EE000000 100183
073 A010000 0.0000
073 A020000 0.0000
073 B000000 0.0000
073 C000000 0.0000
074 A000000 2954
074 B000000 0
074 C000000 72651
074 D000000 15349
<PAGE> PAGE 11
074 E000000 0
074 F000000 452492
074 G000000 0
074 H000000 0
074 I000000 0
074 J000000 2282
074 K000000 0
074 L000000 2488
074 M000000 5024
074 N000000 553240
074 O000000 1374
074 P000000 942
074 Q000000 0
074 R010000 0
074 R020000 0
074 R030000 0
074 R040000 24150
074 S000000 0
074 T000000 526774
074 U010000 14750
074 U020000 46301
074 V010000 0.00
074 V020000 0.00
074 W000000 0.0000
074 X000000 95158
074 Y000000 0
075 A000000 0
075 B000000 1159290
076 000000 0.00
077 A000000 Y
077 B000000 Y
077 O000000 Y
078 000000 N
080 A000000 ICI MUTUAL INSURANCE CO.
080 C000000 1000
081 A000000 Y
081 B000000 118
082 A000000 N
082 B000000 0
083 A000000 N
083 B000000 0
084 A000000 N
084 B000000 0
085 A000000 Y
085 B000000 N
SIGNATURE GERALD M. RICHARD
TITLE TREASURER
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000884842
<NAME> MERRILL LYNCH DRAGON FUND, INC.
<SERIES>
<NUMBER> 001
<NAME> CLASS A
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> DEC-31-1997
<INVESTMENTS-AT-COST> 620199738
<INVESTMENTS-AT-VALUE> 540492271
<RECEIVABLES> 4769743
<ASSETS-OTHER> 7978165
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 553780387
<PAYABLE-FOR-SECURITIES> 1374181
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 25091768
<TOTAL-LIABILITIES> 26465949
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 622899783
<SHARES-COMMON-STOCK> 1638069
<SHARES-COMMON-PRIOR> 2760504
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (1843664)
<ACCUMULATED-NET-GAINS> (8078571)
<OVERDISTRIBUTION-GAINS> (11169131)
<ACCUM-APPREC-OR-DEPREC> (75034187)
<NET-ASSETS> 14431036
<DIVIDEND-INCOME> 20403804
<INTEREST-INCOME> 4318005
<OTHER-INCOME> 0
<EXPENSES-NET> (25613656)
<NET-INVESTMENT-INCOME> (891847)
<REALIZED-GAINS-CURRENT> 62637681
<APPREC-INCREASE-CURRENT> (518730983)
<NET-CHANGE-FROM-OPS> (456985149)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (2459186)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 6015713
<NUMBER-OF-SHARES-REDEEMED> (7375072)
<SHARES-REINVESTED> 236924
<NET-CHANGE-IN-ASSETS> (1040404952)
<ACCUMULATED-NII-PRIOR> (9384694)
<ACCUMULATED-GAINS-PRIOR> 26375864
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 11592896
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 25613656
<AVERAGE-NET-ASSETS> 29403997
<PER-SHARE-NAV-BEGIN> 18.09
<PER-SHARE-NII> .12
<PER-SHARE-GAIN-APPREC> (7.51)
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> (1.89)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 8.81
<EXPENSE-RATIO> 1.35
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000884842
<NAME> MERRILL LYNCH DRAGON FUND, INC.
<SERIES>
<NUMBER> 002
<NAME> CLASS B
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> DEC-31-1997
<INVESTMENTS-AT-COST> 620199738
<INVESTMENTS-AT-VALUE> 540492271
<RECEIVABLES> 4769743
<ASSETS-OTHER> 7978165
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 553780387
<PAYABLE-FOR-SECURITIES> 1374181
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 25091768
<TOTAL-LIABILITIES> 26465949
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 622899783
<SHARES-COMMON-STOCK> 43687879
<SHARES-COMMON-PRIOR> 64719334
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (1843664)
<ACCUMULATED-NET-GAINS> (8078571)
<OVERDISTRIBUTION-GAINS> (11169131)
<ACCUM-APPREC-OR-DEPREC> (75034187)
<NET-ASSETS> 374914011
<DIVIDEND-INCOME> 20403804
<INTEREST-INCOME> 4318005
<OTHER-INCOME> 0
<EXPENSES-NET> (25613656)
<NET-INVESTMENT-INCOME> (891847)
<REALIZED-GAINS-CURRENT> 62637681
<APPREC-INCREASE-CURRENT> (518730983)
<NET-CHANGE-FROM-OPS> (456985149)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (72117539)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 14731989
<NUMBER-OF-SHARES-REDEEMED> (42769238)
<SHARES-REINVESTED> 7005794
<NET-CHANGE-IN-ASSETS> (1040404952)
<ACCUMULATED-NII-PRIOR> (9384694)
<ACCUMULATED-GAINS-PRIOR> 26375864
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 11592896
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 25613656
<AVERAGE-NET-ASSETS> 854758848
<PER-SHARE-NAV-BEGIN> 17.89
<PER-SHARE-NII> (.04)
<PER-SHARE-GAIN-APPREC> (7.38)
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> (1.89)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 8.58
<EXPENSE-RATIO> 2.39
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000884842
<NAME> MERRILL LYNCH DRAGON FUND, INC.
<SERIES>
<NUMBER> 003
<NAME> CLASS C
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> DEC-31-1997
<INVESTMENTS-AT-COST> 620199738
<INVESTMENTS-AT-VALUE> 540492271
<RECEIVABLES> 4769743
<ASSETS-OTHER> 7978165
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 553780387
<PAYABLE-FOR-SECURITIES> 1374181
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 25091768
<TOTAL-LIABILITIES> 26465949
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 622899783
<SHARES-COMMON-STOCK> 2613783
<SHARES-COMMON-PRIOR> 3512195
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (1843664)
<ACCUMULATED-NET-GAINS> (8078571)
<OVERDISTRIBUTION-GAINS> (11169131)
<ACCUM-APPREC-OR-DEPREC> (75034187)
<NET-ASSETS> 22111273
<DIVIDEND-INCOME> 20403804
<INTEREST-INCOME> 4318005
<OTHER-INCOME> 0
<EXPENSES-NET> (25613656)
<NET-INVESTMENT-INCOME> (891847)
<REALIZED-GAINS-CURRENT> 62637681
<APPREC-INCREASE-CURRENT> (518730983)
<NET-CHANGE-FROM-OPS> (456985149)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (4088079)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 16303336
<NUMBER-OF-SHARES-REDEEMED> (17613299)
<SHARES-REINVESTED> 411551
<NET-CHANGE-IN-ASSETS> (1040404952)
<ACCUMULATED-NII-PRIOR> (9384694)
<ACCUMULATED-GAINS-PRIOR> 26375864
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 11592896
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 25613656
<AVERAGE-NET-ASSETS> 45462378
<PER-SHARE-NAV-BEGIN> 17.68
<PER-SHARE-NII> (.04)
<PER-SHARE-GAIN-APPREC> (7.29)
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> (1.89)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 8.46
<EXPENSE-RATIO> 2.41
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000884842
<NAME> MERRILL LYNCH DRAGON FUND, INC.
<SERIES>
<NUMBER> 004
<NAME> CLASS D
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> DEC-31-1997
<INVESTMENTS-AT-COST> 620199738
<INVESTMENTS-AT-VALUE> 540492271
<RECEIVABLES> 4769743
<ASSETS-OTHER> 7978165
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 553780387
<PAYABLE-FOR-SECURITIES> 1374181
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 25091768
<TOTAL-LIABILITIES> 26465949
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 622899783
<SHARES-COMMON-STOCK> 13111456
<SHARES-COMMON-PRIOR> 16405188
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (1843664)
<ACCUMULATED-NET-GAINS> (8078571)
<OVERDISTRIBUTION-GAINS> (11169131)
<ACCUM-APPREC-OR-DEPREC> (75034187)
<NET-ASSETS> 115317910
<DIVIDEND-INCOME> 20403804
<INTEREST-INCOME> 4318005
<OTHER-INCOME> 0
<EXPENSES-NET> (25613656)
<NET-INVESTMENT-INCOME> (891847)
<REALIZED-GAINS-CURRENT> 62637681
<APPREC-INCREASE-CURRENT> (518730983)
<NET-CHANGE-FROM-OPS> (456985149)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (21517872)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 22760206
<NUMBER-OF-SHARES-REDEEMED> (28070639)
<SHARES-REINVESTED> 2016701
<NET-CHANGE-IN-ASSETS> (1040404952)
<ACCUMULATED-NII-PRIOR> (9384694)
<ACCUMULATED-GAINS-PRIOR> 26375864
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 11592896
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 25613656
<AVERAGE-NET-ASSETS> 229664373
<PER-SHARE-NAV-BEGIN> 18.11
<PER-SHARE-NII> .09
<PER-SHARE-GAIN-APPREC> (7.51)
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> (1.89)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 8.80
<EXPENSE-RATIO> 1.61
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
