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BULL & BEAR MUNICIPAL INCOME FUND RATED 'A/L-1' BY FITCH -- FITCH FINANCIAL WIRE --

 NEW YORK, Dec. 1 /PRNewswire/ -- Bull & Bear Municipal Income Fund (Nasdaq symbol BBMIX), a bond mutual fund with $23 million in assets, is rated 'A/L-1' by Fitch. The 'A' credit rating reflects the high credit quality of the Fund's underlying assets as well as high standards of management and operations.
 Fitch assigns an 'L-1' stability rating to the Fund. This indicates the highest relative stability of total returns for funds with portfolios consisting of long-term assets. This rating indicates that, on average, the Fund will have a risk-adjusted duration comparable to the duration of a 10 to 30 year maturity U.S. Treasury obligation. As of Sept. 30, 1993 the portfolio had an option-adjusted spread of 50 basis points (bps) off the 'AAA' general obligation curve. In the third quarter of 1993, the Fund had a total return of 3.31%.
 The Fund's investment strategy focuses on obtaining high tax-exempt yield by investing in investment grade municipal securities. The Fund achieves this objective by diversifying across credit and market sectors in the municipal market and managing its maturity mix.
 The manager of the Fund, Bull & Bear Advisers, Inc., is a wholly owned subsidiary of Bull & Bear Group, Inc. Bull & Bear Group's principal business has been to serve as investment manager to registered investment companies. While investment management remains a major source of revenue, discount brokerage operations have grown in importance to Bull & Bear Group's operations.
 Fitch bond fund ratings are aimed at investors seeking an independent view of how bond portfolios are expected to perform in changing market environments. The service provides two ratings, one for credit risk, the other for market risk. Ratings are assigned at the request of funds or institutions that submit portfolios for analysis.
 Using computer models, Fitch analyzes interest rate risk, credit risk, price risk, currency risk, and total return volatility. The model subjects bond portfolios to simulated interest rate scenarios and probable market conditions. Results indicate the degree of variation in future fund performance.
 Stability ratings measure the stability of investment return and potential price fluctuation for the portfolio. Stability ratings categorize funds as S, M, and L for short-, medium-, and long-term portfolios, followed by 1 for stable, 2 for variable, and 3 for volatile. Fitch reviews a fund's portfolio composition monthly and reevaluates each rating quarterly to reflect changes in portfolio composition, management policies, and investment environment.
 -0- 12/1/93
 /CONTACT: Peter Jordan, 212-908-0566, or Hunaid Engineer, 212-908-0636, both of Fitch/
 (BBMIX)


CO: Bull & Bear Advisers, Inc. ST: New York IN: FIN SU: RTG

LD -- NY122 -- 9521 12/01/93 18:04 EST
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Publication:PR Newswire
Date:Dec 1, 1993
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