UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                      WASHINGTON, D.C.  20549
                             FORM 10-Q


[X]   QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
      OF 1934 FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2000,

                                 OR

[ ]   TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
      EXCHANGE ACT OF 1934

      For the transition period from ________________ to ________________


                       Commission File Nos.: 33-60662


                     FUND AMERICA INVESTORS CORPORATION
            (Exact name of registrant as specified in its charter)


           Delaware                                      84-1070310
(State or other jurisdiction of                       (I.R.S. Employer
incorporation or organization)                      identification number)



    6400 S. Fiddler's Green Circle, Suite 1200A, Englewood, Colorado 80111
                 (Address of principal executive offices)


      Registrant's telephone number including area code: (303) 290-6024



Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.  YES [X]     NO [ ]

Indicate the number of shares outstanding of each of the issuer's classes of
common stock as of August 14, 2000 -- 1,000 shares





</PAGE>
<PAGE>
                    FUND AMERICA INVESTORS CORPORATION
                           FORM 10-Q FOR THE
                      SIX MONTHS ENDED JUNE 30, 2000


                                  INDEX



PART I.   FINANCIAL INFORMATION                                 PAGE NO.

          Item 1.   Financial Statements                           3

          Item 2.   Management's Discussion and
                    Analysis of Financial Condition
                    and Results of Operations                      6

PART II.  OTHER INFORMATION

          Item 1.   Legal Proceedings                              8

          Item 2.   Changes in Securities                          8

          Item 3.   Defaults upon Senior Securities                8

          Item 4.   Submission of Matters to a Vote
                    of Security Holders                            8

          Item 5.   Other Information                              8

          Item 6.   Exhibits and Reports                           8

                    SIGNATURES                                     9



                           Page 2

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<PAGE>
<TABLE>
                 PART I.  FINANCIAL INFORMATION

Item 1.  Financial Statements

                   FUND AMERICA INVESTORS CORPORATION
                            BALANCE SHEETS
                              (Unaudited)
<CAPTION>
                                             June 30,         December 31,
                                               2000              1999
                                            ----------        ------------
<S>                                        <C>                <C>
Assets
  Cash                                      $    1,616         $   12,892
                                            ----------         ----------
     Total assets                           $    1,616         $   12,892
                                            ==========         ==========

Liabilities - accounts payable              $        -         $        -
                                            ----------         ----------

Shareholder's equity
  Common stock, par value $.01 per
    share; 10,000 shares authorized;
    1,000 shares issued and outstanding             10                 10
  Additional paid-in capital                   577,990            569,990
  Shareholder distributions                   (225,000)          (215,000)
  Accumulated deficit                         (351,384)          (342,108)
                                            ----------         ----------
     Total shareholder's equity                  1,616             12,892
                                            ----------         ----------
     Total liabilities and
        shareholder's equity                $    1,616         $   12,892
                                            ==========         ==========

</TABLE>
See notes to financial statements


                               Page 3

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<PAGE>
<TABLE>
                   FUND AMERICA INVESTORS CORPORATION
                         Statements of Operations
                              (Unaudited)

<CAPTION>
                               Three months ended        Six months ended
                                    June 30,                  June 30,
                             ----------------------    --------------------
                               2000          1999        2000        1999
                             --------      --------    --------    --------
<S>                         <C>           <C>         <C>         <C>
Revenue
 Interest income             $      6      $    443    $     18    $  1,015
                             --------      --------    --------    --------
       Total revenue                6           443          18       1,015
                             --------      --------    --------    --------

Expenses
 General and administrative       733           450       9,293       8,150
 Legal fees                         -           900           -         900
 Management fees                    -         6,000           -      12,000
                             --------      --------    --------    --------
       Total expenses             733         7,350       9,293      21,050
                             --------      --------    --------    --------

       Net loss              $   (727)     $ (6,907)   $ (9,275)   $(20,035)
                             ========      ========    ========    ========


</TABLE>
See notes to financial statements

                                   Page 4

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<PAGE>
<TABLE>


                       FUND AMERICA INVESTORS CORPORATION
                            Statements of Cash Flows
                                  (Unaudited)


<CAPTION>
                                                       Six months ended
                                                            June 30,
                                                  --------------------------
                                                     2000            1999
                                                  ----------      ----------
<S>                                              <C>             <C>
Net cash flow used in operating activities:
  Net loss                                        $  (9,275)      $ (20,035)
  Adjustments to reconcile net loss to
    net cash flow from operating activities:
  Changes in operating assets and
    liabilities:
      Accounts payable                                    -          (2,215)
                                                  ---------       ---------
Net cash flow used in operating activities           (9,275)        (22,250)


Net cash flow used in financing activities:
      Shareholder contributions                       8,000               -
      Shareholder distributions                     (10,000)              -
                                                  ---------       ---------
Net cash used in financing activities                (2,000)              -
                                                  ---------       ---------

Net decrease in cash                                (11,275)        (22,250)

Cash at beginning of period                          12,892          63,258
                                                  ---------       ---------

Cash at end of period                             $   1,616       $  41,008
                                                  =========       =========


</TABLE>
See notes to financial statements


                                  Page 5
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                     FUND AMERICA INVESTORS CORPORATION
                       NOTES TO FINANCIAL STATEMENTS
                               (Unaudited)
                   Six months ended June 30, 2000 and 1999


1.  Basis of Presentation

Organization
------------
Fund America Investors Corporation (the "Company") was incorporated in the
State of Delaware on October 19, 1987 as a limited purpose finance
corporation.  The company was established to engage in the issuance and
administration of Collateralized Mortgage Obligations ("CMOs") which  are
secured by mortgage loans or by mortgage loan pass-through certificates backed
by mortgage loans (collectively referred to as the "Collateral"). The Collateral
may be issued and/or guaranteed by agencies, including the Ginnie Mae, Fannie
Mae and Freddie Mac or other entities.  To issue such CMOs, the Company may
acquire, hold, sell or pledge the Collateral, but typically these activities are
transacted through trusts beneficially owned and created by the Company.

The Company may not, either directly or indirectly through a beneficially
owned trust, engage in any business or investment activity other than (1)
issuing and selling bonds; (2) investing cash balances on an interim basis in
high quality short-term securities; (3) purchasing, owning, holding, pledging or
selling the collateral or other mortgage-related assets; and (4) engaging in
other activities which are necessary or convenient to accomplish the foregoing
and are incidental thereto.

On April 1, 2000, the Company had $141 million registered and unissued
CMOs remaining on its Registration Statement No. 33-60662.  The Registration
Statement will require updating before any additional securities can be issued
from the remaining balance.  As of June 30, 2000, management has determined
that it is not economically feasible to follow through on updating the
Registration Statement.  The remaining registered and unissued securities of
$141 million have not been deregistered since management believes that it may
be economically feasible to finish the update at some point in the future. As of
June  30, 2000, $141 million registered and unissued CMOs remains on the
Company's Registration Statement No. 33-60662.


2. Unaudited Financial Statements
---------------------------------
The accompanying unaudited financial statements have been prepared in
accordance with generally accepted accounting principles for interim reporting
periods and in accordance with the instructions to Form 10-Q.  In complying
with the guidelines, the accompanying financial statements do not include all of
the information and footnotes that are required for a complete annual reporting
period.

In the opinion of management, the accompanying unaudited financial
statements contain all adjustments necessary to present fairly the financial
position of the Company at June 30, 2000, and the results of its operations and
cash flows for the periods ended June 30, 2000 and 1999.


Item 2.  Management's Discussion and Analysis of Financial Condition and
Results of Operations

Liquidity and Capital Resources
-------------------------------
The Company expects to fund its ongoing operations from loans or
contributions from its sole shareholder.  Any borrowings will be subordinate
and junior to any issued mortgage securities.

Results of Operations
---------------------
The Company reported a net loss for the six months ended June 30, 2000 of
$9,275 as compared to a net loss for the six months ended June 30, 1999 of
$20,035.  The decrease in the net loss reported for the six months ended June
30, 2000 is primarily attributable to the termination of the Facilities Use
Agreement with The Chotin Group Corporation, a related party.  Fees charged
under this agreement for the six months ended June 30, 1999 were $12,000
compared to $0 for the six months ended June 30, 2000.  The decrease in fees
from 1999 to 2000 was offset slightly by an increase in other costs for the six
months ended June 30, 2000 as compared to the six months ended June 30, 1999.



                                 Page 6
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Forward Looking Statements
--------------------------
The statements contained in this Item 2  that are not historical facts,
including, but not limited to, statements that can be identified by the use of
forward-looking terminology such as "may," "will," "expect," "anticipate,"
"estimate" or "continue" or the negative thereof or other variations thereon
or comparable terminology, are forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995, and
involve a number of risks and uncertainties.  The actual results of the future
events described in such forward-looking statements could differ materially
from those stated in such forward-looking statements.




                                 Page 7
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<PAGE>

                      PART II. OTHER INFORMATION



Item 1.  Legal Proceedings

         None.

Item 2.  Changes in Securities

         None.

Item 3.  Defaults Upon Senior Securities

         None.

Item 4.  Submission of Matters to a Vote of Security Holders

         None.

Item 5.  Other Information

         None.

Item 6.  Exhibits and Reports on Form 8-K

         A.  Exhibits

             Exhibit 27. Financial Data Schedule

         B.  Form 8-K - None




                               Page 8

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                              SIGNATURES



Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.



                                       FUND AMERICA INVESTORS CORPORATION
                                       (Registrant)


Date:   August 14, 2000                By:  /s/ Helen M. Dickens
      --------------------------           ----------------------------------
                                            Helen M. Dickens
                                            Vice President, Secretary/Treasurer
                                            (Duly authorized and
                                            Principal Financial Officer)





                                Page 9
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