<ARTICLE> BD <LEGEND> This schedule contains summary financial information extracted from the Morgan Keegan, Inc. Form 10-Q for the quarter ended October 31, 1998, and is qualified in its entirety by reference to such financial statements. </LEGEND> <MULTIPLIER> 1,000 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> JUL-31-1999 <PERIOD-END> OCT-31-1998 <CASH> 18,979 <RECEIVABLES> 425,918 <SECURITIES-RESALE> 403,592 <SECURITIES-BORROWED> 13,821 <INSTRUMENTS-OWNED> 376,938 <PP&E> 24,589 <TOTAL-ASSETS> 1,329,324 <SHORT-TERM> 109,600 <PAYABLES> 707,199 <REPOS-SOLD> 114,374 <SECURITIES-LOANED> 6,899 <INSTRUMENTS-SOLD> 13,555 <LONG-TERM> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 20,173 <OTHER-SE> 236,784 <TOTAL-LIABILITY-AND-EQUITY> 1,329,324 <TRADING-REVENUE> 33,411 <INTEREST-DIVIDENDS> 18,149 <COMMISSIONS> 26,910 <INVESTMENT-BANKING-REVENUES> 9,964 <FEE-REVENUE> 7,982 <INTEREST-EXPENSE> 10,792 <COMPENSATION> 49,377 <INCOME-PRETAX> 16,046 <INCOME-PRE-EXTRAORDINARY> 16,046 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 9,746 <EPS-PRIMARY> 0.30 <EPS-DILUTED> 0.30