Exhibit (5a)
CIGNA VARIABLE PRODUCTS GROUP
0000 XXXX XXXXXX
XXXXXXXXXXX, XX 00000
November 9, 1995
CIGNA Investments, Inc.
000 Xxxxxxx Xxxxx Xxxx
Xxxxxxxxxx, XX 00000
Re: Master Investment Advisory Agreement Dated as of April 26, 1988 Between
CIGNA Investments, Inc. (the "Adviser") and CIGNA Variable Products Group
(the "Trust")
Dear Sirs:
Please be advised that the Trust has established four new series of shares:
CIGNA Variable Products High Yield Fund, CIGNA Variable Products Income Fund,
CIGNA Variable Products International Stock Fund and CIGNA Variable Products
Money Market Fund. The Trust desires to retain you to render management and
investment advisory services pursuant to the above-captioned Master Investment
Advisory Agreement for these new series. The advisory fee payable with
respect to these additional series is set forth on Schedule A-3 attached
hereto.
If you are willing to render management and investment advisory services
pursuant to the Master Investment Advisory Agreement and the fee schedule
attached hereto, would you please so indicate by signing below.
Sincerely,
CIGNA VARIABLE PRODUCTS GROUP
By: /s/ R. Xxxxx Xxxxx
--------------------------------------------
Its: Chairman of the Board and President
Accepted and Agreed to this 15th day of November, 1995.
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CIGNA INVESTMENTS, INC.
By: /s/ Xxxxxx X. Xxxxx, III
-------------------------------
Its: President
SCHEDULE A-3
Compensation Schedule for the following Series:
CIGNA Variable Products High Yield Fund ("High Yield Fund")
CIGNA Variable Products Income Fund ("Income Fund")
CIGNA Variable Products International Stock Fund ("International Stock Fund")
CIGNA Variable Products Money Market Fund ("Money Market Fund")
The Trust shall pay the Adviser as full compensation for all services rendered
and all facilities furnished hereunder, a management fee for each Series by
applying the following percentages of the average daily net asset value of
each Series for the calendar year, computed in the manner used for the
determination of the offering price of Shares of the Series:
High Yield Fund - 0.75%
Income Fund - 0.50%
International Stock Fund - 0.80%
Money Market Fund - 0.35%
The fee accrued as of the end of each month shall be paid no later than the
15th of the following month.
In the event that expenses of any Series for any calendar year should exceed
the expense limitation on investment company expenses imposed by any statute
or regulatory authority of any state, whether or not shares of the Series are
qualified for offer and sale in any state, the compensation due the Adviser
for such shall be reduced by the amount of such excess by a reduction or
refund thereof, and, if necessary, the Adviser shall assume expenses of the
Series to the extent required by any such expense limitation, provided, that
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the Board of Trustees of the Trust may waive any specific expense limitation
which, in the judgment of the Board, is more stringent than is imposed by
states generally.
