WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.

  

<ARTICLE> BD
<LEGEND>
This schedule contains summary financial information extracted
from the Morgan Keegan, Inc. Form 10-Q for the period ended
January 31, 1996 and is qualified in its entirety by reference
to such financial statements.
</LEGEND>
<CIK> 0000729600
<NAME> MORGAN KEEGAN, INC.
<MULTIPLIER> 1,000
       
                             
<PERIOD-TYPE>                   QTR-2
<FISCAL-YEAR-END>                          JUL-31-1996
<PERIOD-START>                             NOV-01-1995
<PERIOD-END>                               JAN-31-1996
<CASH>                                          17,397
<RECEIVABLES>                                  306,508
<SECURITIES-RESALE>                            295,487
<SECURITIES-BORROWED>                           28,514
<INSTRUMENTS-OWNED>                            290,657
<PP&E>                                          14,597
<TOTAL-ASSETS>                                 984,546
<SHORT-TERM>                                   144,120
<PAYABLES>                                     521,121
<REPOS-SOLD>                                    12,630
<SECURITIES-LOANED>                                338
<INSTRUMENTS-SOLD>                              68,314
<LONG-TERM>                                          0
<COMMON>                                        12,955
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<OTHER-SE>                                     145,097
<TOTAL-LIABILITY-AND-EQUITY>                   984,546
<TRADING-REVENUE>                               29,582
<INTEREST-DIVIDENDS>                            13,654
<COMMISSIONS>                                   15,800
<INVESTMENT-BANKING-REVENUES>                   13,077
<FEE-REVENUE>                                    5,344
<INTEREST-EXPENSE>                               9,050
<COMPENSATION>                                  39,442
<INCOME-PRETAX>                                 14,917
<INCOME-PRE-EXTRAORDINARY>                      14,917
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     9,217
<EPS-PRIMARY>                                     0.45
<EPS-DILUTED>                                     0.45