FOR IMMEDIATE RELEASE                                     99-102

        SEC Tightens Rules Governing Personal Trading by        
                      Mutual Fund Insiders                      

     Washington, DC, August 23, 1999 -- The Securities and
Exchange Commission today adopted amendments to the rule under
the Investment Company Act of 1940 that governs personal trading
by mutual fund portfolio managers and other employees.  The
amendments tighten the rule by requiring (i) greater board
oversight of personal trading practices, (ii) more complete
reporting of securities trading by employees, and (iii) pre-
clearance of employee purchases of securities sold in IPOs and
private placement transactions -- two types of personal
securities transactions that the Commission concluded raise the
greatest risk of abuse.  The amendments also require funds to
disclose their policies on personal trading by their employees
and their codes of ethics.

     Paul Roye, Director of the SEC's Division of Investment
Management, said, "These amendments will help ensure that the
personal trading of mutual fund insiders does not compromise the
interests of mutual fund shareholders.  If we nonetheless
discover abusive trading, it can be expected that the Commission
will take enforcement action where necessary to protect
investors."

     The amendments to Rule 17j-1 require that a fund's board of
directors, including a majority of independent directors on the
board, approve the fund's code of ethics and the code of any
investment adviser or principal underwriter of the fund.
Additionally, the amendments require initial and annual personal
holdings reports from certain fund personnel, as well as a review
of those reports by compliance personnel.  The amendments also
require the fund or its investment adviser to review and pre-
approve any personal investment by certain personnel in an
initial public offering or limited offering.  The rule, and
amendments to required disclosure forms, also will make
information about a fund's code of ethics available to the
public.

     For further information about the rule, contact C. Hunter
Jones in the SEC's Division of Investment Management at
202.942.0690.

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