[ARTICLE] 6
[CIK] 0000091157
[NAME] SMITH BARNEY FUNDS, INC.
[SERIES]
   [NUMBER] 2
   [NAME] U.S. GOVERNMENT SECURITIES FUND. CLASS Y
<TABLE>
<S>                             <C>
[PERIOD-TYPE]                   YEAR
[FISCAL-YEAR-END]                          DEC-31-1998
[PERIOD-END]                               DEC-31-1998
[INVESTMENTS-AT-COST]                      309,195,856
[INVESTMENTS-AT-VALUE]                     310,272,091
[RECEIVABLES]                                1,870,731
[ASSETS-OTHER]                                       0
[OTHER-ITEMS-ASSETS]                                 0
[TOTAL-ASSETS]                             312,142,822
[PAYABLE-FOR-SECURITIES]                             0
[SENIOR-LONG-TERM-DEBT]                              0
[OTHER-ITEMS-LIABILITIES]                   27,829,007
[TOTAL-LIABILITIES]                         27,829,007
[SENIOR-EQUITY]                                      0
[PAID-IN-CAPITAL-COMMON]                   283,243,569
[SHARES-COMMON-STOCK]                          256,873
[SHARES-COMMON-PRIOR]                          379,959
[ACCUMULATED-NII-CURRENT]                            0
[OVERDISTRIBUTION-NII]                         (3,989)
[ACCUMULATED-NET-GAINS]                              0
[OVERDISTRIBUTION-GAINS]                             0
[ACCUM-APPREC-OR-DEPREC]                     1,076,235
[NET-ASSETS]                               284,313,815
[DIVIDEND-INCOME]                                    0
[INTEREST-INCOME]                           19,364,690
[OTHER-INCOME]                                       0
[EXPENSES-NET]                               2,793,433
[NET-INVESTMENT-INCOME]                     16,571,257
[REALIZED-GAINS-CURRENT]                     6,619,679
[APPREC-INCREASE-CURRENT]                  (4,713,699)
[NET-CHANGE-FROM-OPS]                       18,477,237
[EQUALIZATION]                                       0
[DISTRIBUTIONS-OF-INCOME]                      232,730
[DISTRIBUTIONS-OF-GAINS]                        69,010
[DISTRIBUTIONS-OTHER]                              290
[NUMBER-OF-SHARES-SOLD]                              0
[NUMBER-OF-SHARES-REDEEMED]                    128,378 
[SHARES-REINVESTED]                              5,292
[NET-CHANGE-IN-ASSETS]                     (42,152,575)
[ACCUMULATED-NII-PRIOR]                              0
[ACCUMULATED-GAINS-PRIOR]                            0
[OVERDISTRIB-NII-PRIOR]                        (5,477)
[OVERDIST-NET-GAINS-PRIOR]                           0
[GROSS-ADVISORY-FEES]                        1,471,185
[INTEREST-EXPENSE]                                   0
[GROSS-EXPENSE]                                      0
[AVERAGE-NET-ASSETS]                         4,005,053
[PER-SHARE-NAV-BEGIN]                            13.64
[PER-SHARE-NII]                                  00.75
[PER-SHARE-GAIN-APPREC]                          00.08
[PER-SHARE-DIVIDEND]                             00.78 
[PER-SHARE-DISTRIBUTIONS]                        00.27 
[RETURNS-OF-CAPITAL]                             00.00
[PER-SHARE-NAV-END]                              13.42
[EXPENSE-RATIO]                                  00.52
[AVG-DEBT-OUTSTANDING]                               0
[AVG-DEBT-PER-SHARE]                                 0
</TABLE>