[ARTICLE] 6
[CIK] 0000841489
[NAME] SMITH BARNEY PRINCIPAL RETURN FUND
[SERIES]
   [NUMBER] 2
   [NAME] ZERO AND APPRECIATION SERIES 1998
<TABLE>
<S>                             <C>
[PERIOD-TYPE]                   YEAR
[FISCAL-YEAR-END]                          NOV-30-1997
[PERIOD-END]                               NOV-30-1997
[INVESTMENTS-AT-COST]                       70,971,374
[INVESTMENTS-AT-VALUE]                      86,151,419
[RECEIVABLES]                                   66,356
[ASSETS-OTHER]                              86,151,419
[OTHER-ITEMS-ASSETS]                                 0
[TOTAL-ASSETS]                              86,191,169
[PAYABLE-FOR-SECURITIES]                        32,525
[SENIOR-LONG-TERM-DEBT]                              0
[OTHER-ITEMS-LIABILITIES]                       88,536
[TOTAL-LIABILITIES]                            121,061
[SENIOR-EQUITY]                                      0
[PAID-IN-CAPITAL-COMMON]                    62,771,562
[SHARES-COMMON-STOCK]                       10,957,991
[SHARES-COMMON-PRIOR]                       12,466,750
[ACCUMULATED-NII-CURRENT]                    4,161,669
[OVERDISTRIBUTION-NII]                     (4,049,120)
[ACCUMULATED-NET-GAINS]                      5,079,570
[OVERDISTRIBUTION-GAINS]                     5,479,423
[ACCUM-APPREC-OR-DEPREC]                    15,180,045
[NET-ASSETS]                                86,096,714
[DIVIDEND-INCOME]                              594,229
[INTEREST-INCOME]                            4,413,464
[OTHER-INCOME]                                       0
[EXPENSES-NET]                                 846,024
[NET-INVESTMENT-INCOME]                        416,669
[REALIZED-GAINS-CURRENT]                     5,079,576
[APPREC-INCREASE-CURRENT]                      436,994
[NET-CHANGE-FROM-OPS]                        9,678,239
[EQUALIZATION]                                       0
[DISTRIBUTIONS-OF-INCOME]                            0
[DISTRIBUTIONS-OF-GAINS]                     5,479,423
[DISTRIBUTIONS-OTHER]                                0
[NUMBER-OF-SHARES-SOLD]                              0
[NUMBER-OF-SHARES-REDEEMED]                  2,183,726
[SHARES-REINVESTED]                            126,802
[NET-CHANGE-IN-ASSETS]                     (7,696,020)
[ACCUMULATED-NII-PRIOR]                      4,422,626
[ACCUMULATED-GAINS-PRIOR]                    4,226,911
[OVERDISTRIB-NII-PRIOR]                      (446,835)
[OVERDIST-NET-GAINS-PRIOR]                   5,485,370
[GROSS-ADVISORY-FEES]                           19,883
[INTEREST-EXPENSE]                                   0
[GROSS-EXPENSE]                                846,024
[AVERAGE-NET-ASSETS]                        89,234,024
[PER-SHARE-NAV-BEGIN]                             7.52
[PER-SHARE-NII]                                   0.38
[PER-SHARE-GAIN-APPREC]                           0.49
[PER-SHARE-DIVIDEND]                                 0
[PER-SHARE-DISTRIBUTIONS]                         0.53
[RETURNS-OF-CAPITAL]                                 0
[PER-SHARE-NAV-END]                               7.86
[EXPENSE-RATIO]                                   0.98
[AVG-DEBT-OUTSTANDING]                               0
[AVG-DEBT-PER-SHARE]                                 0
</TABLE>