JOINT FIDELITY BOND AGREEMENT

Exhibit 3

JOINT FIDELITY BOND AGREEMENT

WHEREAS, each Xxxxxx Xxxxxxx Retail Fund attached hereto on Appendix A (each a “Fund” and collectively, the “Funds”) are each management investment companies registered under the Investment Company Act of 1940 (the “1940”);

WHEREAS, each Fund, Xxxxxx Xxxxxxx Investment Advisors Inc. (“MSIA”), Xxxxxx Xxxxxxx Services Company Inc. (“Services Company”), Xxxxxx Xxxxxxx Distributors Inc. and Xxxxxx Xxxxxxx Trust (collectively “Xxxxxx Xxxxxxx Affiliate”) are named in a joint fidelity blanket bond (the “Bond”) issued by the ICI Mutual Insurance Company; and whereas, the Funds and entities which are so named in such Bond are required to ender into a Joint Fidelity Bond Agreement pursuant to Rule 17g-1(f) under the 1940 Act;

NOW, THEREFORE, it is agreed that in the event a recovery is awarded under the Bond as a result of a loss sustained by MSIA, Services Company, Distributors or one or more of the Funds named in such Bond, each Fund and/or Xxxxxx Xxxxxxx Affiliate shall receive an equitable and proportionate share of the recovery, such amount being at least equal to the minimum amount as set forth a single insured bond pursuant to Rule 17g-1(d)(1) of the 0000 Xxx.

Dated: May 14, 2009

By: /s/    Xxxxx Xxxxxx        

Xxxxx Xxxxxx,

President and Principal Executive Officer of each Fund,

Managing Director of Xxxxxx Xxxxxxx Investment Advisors Inc.,

Xxxxxx Xxxxxxx Services Company Inc., Xxxxxx Xxxxxxx Distributors Inc.

By:		/s/    M. Xxxx Xxxxxx
M. Xxxx Xxxxxx, Chief Executive Officer of Xxxxxx Xxxxxxx Trust

XXXXXX XXXXXXX

RETAIL FUNDS

Open-End Retail Funds

Taxable Money Market Funds

1. Active Assets Government Securities Trust (“AA Government”)

2. Active Assets Institutional Government Securities Trust (“AA Institutional Government”)

3. Active Assets Institutional Money Trust (“AA Institutional Money”)

4. Active Assets Money Trust (“AA Money”)

5. Xxxxxx Xxxxxxx Liquid Asset Fund Inc. (“Liquid Asset”)

6. Xxxxxx Xxxxxxx U.S. Government Money Market Trust (“Government Money”)

Tax-Exempt Money Market Funds

7. Active Assets California Tax-Free Trust (“AA California”)

8. Active Assets Tax-Free Trust (“AA Tax-Free”)

9. Xxxxxx Xxxxxxx California Tax-Free Daily Income Trust (“California Tax-Free Daily”)

10. Xxxxxx Xxxxxxx New York Municipal Money Market Trust (“New York Money”)

11. Xxxxxx Xxxxxxx Tax-Free Daily Income Trust (“Tax-Free Daily”)

Equity Funds

12. Xxxxxx Xxxxxxx Capital Opportunities Trust (“Capital Opportunities”)+

13. Xxxxxx Xxxxxxx Convertible Securities Trust (“Convertible Securities”)+

14. Xxxxxx Xxxxxxx Dividend Growth Securities Inc. (“Dividend Growth”)

15. Xxxxxx Xxxxxxx Equally-Weighted S&P 500 Fund (“Equally-Weighted S&P 500”)+

16. Xxxxxx Xxxxxxx European Equity Fund Inc. (“European Equity”)+

17. Xxxxxx Xxxxxxx Focus Growth Fund (“Focus Growth”)+

18. Xxxxxx Xxxxxxx Fundamental Value Fund (“Fundamental Value”)+

19. Xxxxxx Xxxxxxx Global Advantage Fund (“Global Advantage”)

20. Xxxxxx Xxxxxxx Global Dividend Growth Securities (“Global Dividend Growth”)+

21. Xxxxxx Xxxxxxx Global Infrastructure Fund* (“Global Infrastructure”)+

22. Xxxxxx Xxxxxxx Health Sciences Trust (“Health Sciences”)+

23. Xxxxxx Xxxxxxx International Fund (“International Fund”)+

24. Xxxxxx Xxxxxxx International Value Equity Fund (“International Value”)+

25. Xxxxxx Xxxxxxx Mid Cap Growth Fund (“Mid Cap Growth”)+

26. Xxxxxx Xxxxxxx Mid-Cap Value Fund (Mid-Cap Value”)+

27. Xxxxxx Xxxxxxx Natural Resource Development Securities Inc. (“Natural Resource”)+

28. Xxxxxx Xxxxxxx Pacific Growth Fund Inc. (“Pacific Growth”)+

29. Xxxxxx Xxxxxxx Real Estate Fund (“Real Estate”)+

30. Xxxxxx Xxxxxxx Series Fund+

• U.S. Multi Cap Alpha Fund

31. Xxxxxx Xxxxxxx Small-Mid Special Value Fund (Small-Mid Special Value”)+

32. Xxxxxx Xxxxxxx S&P 500 Index Fund (“S&P 500 Index”)+

33. Xxxxxx Xxxxxxx Special Growth Fund (“Special Growth”)+

34. Xxxxxx Xxxxxxx Special Value Fund (“Special Value”)+

35. Xxxxxx Xxxxxxx Technology Fund (“Technology Fund”)+

36. Xxxxxx Xxxxxxx Value Fund (“Value Fund”)+

Balanced Funds

37. Xxxxxx Xxxxxxx Balanced Fund (“Balanced Fund”)+

Asset Allocation Fund

38. Xxxxxx Xxxxxxx Strategist Fund (“Strategist Fund”)+

Taxable Fixed-Income Funds

39. Xxxxxx Xxxxxxx Flexible Income Trust (“Flexible Income”)+

40. Xxxxxx Xxxxxxx High Yield Securities Inc. (“High Yield Securities”)+

41. Xxxxxx Xxxxxxx Limited Duration U.S. Government Trust (“Limited Duration Government”)

42. Xxxxxx Xxxxxxx Mortgage Securities Trust (“Mortgage Securities”)+

43. Xxxxxx Xxxxxxx U.S. Government Securities Trust (“Government Securities”)+

Tax-Exempt Fixed-Income Funds

44. Xxxxxx Xxxxxxx California Tax-Free Income Fund (“California Tax-Free”)+

45. Xxxxxx Xxxxxxx New York Tax-Free Income Fund (“New York Tax-Free”)+

46. Xxxxxx Xxxxxxx Tax-Exempt Securities Trust (“Tax-Exempt Securities”)+

Special Purpose Funds

47. Xxxxxx Xxxxxxx Select Dimensions Investment Series (“Select Dimensions”)

• Balanced Portfolio

• Capital Growth Portfolio

• Capital Opportunities Portfolio

• Dividend Growth Portfolio

• Equally-Weighted S&P 500 Portfolio

• Flexible Income Portfolio

• Focus Growth Portfolio

• Global Equity Portfolio

• Global Infrastructure Portfolio*

• Mid Cap Growth Portfolio

• Money Market Portfolio

48. Xxxxxx Xxxxxxx Variable Investment Series (“Variable Investment”)

• Aggressive Equity Portfolio

• Capital Opportunities Portfolio

• Dividend Growth Portfolio

• European Equity Portfolio

• Global Dividend Growth Portfolio

• Global Infrastructure Portfolio*

• High Yield Portfolio

• Income Builder Portfolio

• Income Plus Portfolio

• Limited Duration Portfolio

• Money Market Portfolio

• S&P 500 Index Portfolio

• Strategist Portfolio

Alternative Open-End Funds

49. Xxxxxx Xxxxxxx Series Funds (“Series Funds”)+

• Alternative Opportunities Fund

• Commodities Alpha Fund

50. Xxxxxx Xxxxxxx FX Series Funds (“FX Series Funds”)+

• FX Alpha Plus Strategy Portfolio

• FX Alpha Strategy Portfolio

Closed-End Retail Funds

Alternative Closed-End Funds

51. Xxxxxx Xxxxxxx Prime Income Trust (“Prime Income”)

Taxable Fixed-Income Closed-End Funds

52. Xxxxxx Xxxxxxx Income Securities Inc. (“Income Securities”)

Tax-Exempt Fixed-Income Closed-End Funds

56. Xxxxxx Xxxxxxx California Insured Municipal Income Trust (“California Insured Municipal”)

57. Xxxxxx Xxxxxxx California Quality Municipal Securities (“California Quality Municipal”)

58. Xxxxxx Xxxxxxx Insured California Municipal Securities (“Insured California Securities”)

59. Xxxxxx Xxxxxxx Insured Municipal Bond Trust (“Insured Municipal Bond”)

60. Xxxxxx Xxxxxxx Insured Municipal Income Trust (“Insured Municipal Income”)

61. Xxxxxx Xxxxxxx Insured Municipal Securities (“Insured Municipal Securities”)

62. Xxxxxx Xxxxxxx Insured Municipal Trust (“Insured Municipal Trust”)

63. Xxxxxx Xxxxxxx Municipal Income Opportunities Trust (“Municipal Opportunities”)

64. Xxxxxx Xxxxxxx Municipal Income Opportunities Trust II (“Municipal Opportunities II”)

65. Xxxxxx Xxxxxxx Municipal Income Opportunities Trust III (“Municipal Opportunities III”)

66. Xxxxxx Xxxxxxx Municipal Premium Income Trust (“Municipal Premium”)

67. Xxxxxx Xxxxxxx New York Quality Municipal Securities (“New York Quality Municipal”)

68. Xxxxxx Xxxxxxx Quality Municipal Income Trust (“Quality Municipal Income”)

69. Xxxxxx Xxxxxxx Quality Municipal Investment Trust (“Quality Municipal Investment”)

70. Xxxxxx Xxxxxxx Quality Municipal Securities (“Quality Municipal Securities”)

+ Denotes Multi-Class Retail Fund

* Name Changed from Utilities Fund Effective November 3, 2008.