[ARTICLE] 6
[CIK] 0000355747
[NAME] SMITH BARNEY INVESTMENT FUNDS INC.
[SERIES]
   [NUMBER] 1
   [NAME] INVESTMENT GRADE BOND FUND CLASS Y
<TABLE>
<S>                             <C>
[PERIOD-TYPE]                   YEAR
[FISCAL-YEAR-END]                          DEC-31-1996
[PERIOD-END]                               DEC-31-1996
[INVESTMENTS-AT-COST]                      477,571,549
[INVESTMENTS-AT-VALUE]                     484,083,871
[RECEIVABLES]                                9,287,646
[ASSETS-OTHER]                                       0
[OTHER-ITEMS-ASSETS]                                 0
[TOTAL-ASSETS]                             493,371,517
[PAYABLE-FOR-SECURITIES]                             0
[SENIOR-LONG-TERM-DEBT]                              0
[OTHER-ITEMS-LIABILITIES]                    4,140,447
[TOTAL-LIABILITIES]                          4,140,447
[SENIOR-EQUITY]                                      0
[PAID-IN-CAPITAL-COMMON]                   471,251,242
[SHARES-COMMON-STOCK]                        1,479,476
[SHARES-COMMON-PRIOR]                                0
[ACCUMULATED-NII-CURRENT]                   37,275,659
[OVERDISTRIBUTION-NII]                       2,691,500
[ACCUMULATED-NET-GAINS]                     14,119,168
[OVERDISTRIBUTION-GAINS]                             0
[ACCUM-APPREC-OR-DEPREC]                     6,512,323
[NET-ASSETS]                               489,231,070
[DIVIDEND-INCOME]                                    0
[INTEREST-INCOME]                           37,275,659
[OTHER-INCOME]                                       0
[EXPENSES-NET]                               6,361,829
[NET-INVESTMENT-INCOME]                     30,913,830
[REALIZED-GAINS-CURRENT]                    17,859,048
[APPREC-INCREASE-CURRENT]                 (53,599,658)
[NET-CHANGE-FROM-OPS]                      (4,826,780)
[EQUALIZATION]                                       0
[DISTRIBUTIONS-OF-INCOME]                      133,349
[DISTRIBUTIONS-OF-GAINS]                        66,405
[DISTRIBUTIONS-OTHER]                                0
[NUMBER-OF-SHARES-SOLD]                      1,479,477
[NUMBER-OF-SHARES-REDEEMED]                          1
[SHARES-REINVESTED]                                  0
[NET-CHANGE-IN-ASSETS]                         690,250
[ACCUMULATED-NII-PRIOR]                     30,379,334
[ACCUMULATED-GAINS-PRIOR]                    5,326,832
[OVERDISTRIB-NII-PRIOR]                      2,108,093
[OVERDIST-NET-GAINS-PRIOR]                           0
[GROSS-ADVISORY-FEES]                        2,198,162
[INTEREST-EXPENSE]                                   0
[GROSS-EXPENSE]                              2,198,162
[AVERAGE-NET-ASSETS]                         8,061,143
[PER-SHARE-NAV-BEGIN]                            13.03
[PER-SHARE-NII]                                  00.75
[PER-SHARE-GAIN-APPREC]                        (00.66)
[PER-SHARE-DIVIDEND]                             00.84
[PER-SHARE-DISTRIBUTIONS]                            0
[RETURNS-OF-CAPITAL]                                 0
[PER-SHARE-NAV-END]                              12.28
[EXPENSE-RATIO]                                  00.69
[AVG-DEBT-OUTSTANDING]                               0
[AVG-DEBT-PER-SHARE]                                 0
</TABLE>