EXHIBIT 16
                LETTER REGARDING CHANGE IN CERTIFYING ACCOUNTANT


September 29, 2003


Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, DC 20549


Gentlemen:

We have read  Item 9 of Form 10-K for the year  ended  June 30,  2003,  of U. S.
Global  Investors,  Inc. and are in agreement with the  statements  contained in
paragraphs one through three, including subparagraphs 1. through 4. of paragraph
three,  on page 33  therein.  We have no basis to agree or  disagree  with other
statements of the registrant contained therein.

Regarding the registrant's  statement concerning the lack of internal control to
prepare  financial  statements  in  paragraph  3 on  page  33  therein,  we  had
considered  such  matter  in  determining  the  nature,  timing  and  extent  of
procedures  performed  in our audit of the  registrant's  fiscal 2002  financial
statements.

                              /s/ Ernst & Young LLP