<TABLE> <S> <C>

<ARTICLE> 6
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM ALLIED
CAPITAL CORPORATION II AND SUBSIDIARIES' CONSOLIDATED BALANCE SHEET AND
CONSOLIDATED STATEMENTS OF OPERATIONS, CHANGES IN NET ASSETS AND CASH FLOWS AND
IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS
INCORPORATED BY REFERENCE IN FORM 10-K.
</LEGEND>
<MULTIPLIER> 1,000
       
<S>                             <C>
<PERIOD-TYPE>                   YEAR
<FISCAL-YEAR-END>                          DEC-31-1995
<PERIOD-START>                             JAN-01-1995
<PERIOD-END>                               DEC-31-1995
<INVESTMENTS-AT-COST>                           93,526
<INVESTMENTS-AT-VALUE>                          99,207
<RECEIVABLES>                                        0
<ASSETS-OTHER>                                   1,735
<OTHER-ITEMS-ASSETS>                             6,227
<TOTAL-ASSETS>                                 107,169
<PAYABLE-FOR-SECURITIES>                             0
<SENIOR-LONG-TERM-DEBT>                              0
<OTHER-ITEMS-LIABILITIES>                        5,188
<TOTAL-LIABILITIES>                              5,188
<SENIOR-EQUITY>                                  7,104
<PAID-IN-CAPITAL-COMMON>                        89,730
<SHARES-COMMON-STOCK>                            7,104
<SHARES-COMMON-PRIOR>                            6,938
<ACCUMULATED-NII-CURRENT>                            0
<OVERDISTRIBUTION-NII>                           (534)
<ACCUMULATED-NET-GAINS>                              0
<OVERDISTRIBUTION-GAINS>                             0
<ACCUM-APPREC-OR-DEPREC>                         5,681
<NET-ASSETS>                                   101,981
<DIVIDEND-INCOME>                                    0
<INTEREST-INCOME>                               10,956
<OTHER-INCOME>                                     583
<EXPENSES-NET>                                   3,189
<NET-INVESTMENT-INCOME>                          8,350
<REALIZED-GAINS-CURRENT>                         3,621
<APPREC-INCREASE-CURRENT>                        2,762
<NET-CHANGE-FROM-OPS>                           14,733
<EQUALIZATION>                                       0
<DISTRIBUTIONS-OF-INCOME>                        9,622
<DISTRIBUTIONS-OF-GAINS>                         1,584
<DISTRIBUTIONS-OTHER>                                0
<NUMBER-OF-SHARES-SOLD>                              0
<NUMBER-OF-SHARES-REDEEMED>                          0
<SHARES-REINVESTED>                             35,796
<NET-CHANGE-IN-ASSETS>                           4,506
<ACCUMULATED-NII-PRIOR>                        (1,299)
<ACCUMULATED-GAINS-PRIOR>                            0
<OVERDISTRIB-NII-PRIOR>                          1,301
<OVERDIST-NET-GAINS-PRIOR>                           0
<GROSS-ADVISORY-FEES>                            2,445
<INTEREST-EXPENSE>                                   0
<GROSS-EXPENSE>                                  3,189
<AVERAGE-NET-ASSETS>                            99,728
<PER-SHARE-NAV-BEGIN>                            14.05
<PER-SHARE-NII>                                   1.20
<PER-SHARE-GAIN-APPREC>                           0.91
<PER-SHARE-DIVIDEND>                              1.38
<PER-SHARE-DISTRIBUTIONS>                         0.22
<RETURNS-OF-CAPITAL>                                 0
<PER-SHARE-NAV-END>                              14.36
<EXPENSE-RATIO>                                      0
<AVG-DEBT-OUTSTANDING>                               0
<AVG-DEBT-PER-SHARE>                                 0
        

</TABLE>