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Shareholder Service Agreement
This agreement is between IDS Global Series, Inc. (the
"Corporation"), on behalf of its underlying series funds: IDS
Emerging Markets Fund, IDS Global Balanced Fund and IDS Innovations
Fund (individually a "Fund" and collectively the "Funds"); and
American Express Financial Advisors Inc., the principal underwriter
of the Funds, for services to be provided to shareholders by
personal financial advisors and other servicing agents.
American Express Financial Advisors Inc. represents that
shareholders of the Funds consider their financial advisor or
servicing agent a significant factor in their satisfaction with
their investment and, to help retain financial advisors or
servicing agents, it is necessary for each Fund to pay annual
servicing fees to financial advisors and other servicing agents.
American Express Financial Advisors Inc. represents that fees paid
to financial advisors will be used by financial advisors to help
shareholders thoughtfully consider their investment goals and
objectively monitor how well the goals are being achieved. As
principal underwriter, American Express Financial Advisors Inc.
will use its best efforts to assure that other distributors provide
comparable services to shareholders for the servicing fees
received.
American Express Financial Advisors Inc. agrees to monitor the
services provided by financial advisors and servicing agents, to
measure the level and quality of services provided, to provide
training and support to financial advisors and servicing agents and
to devise methods for rewarding financial advisors and servicing
agents who achieve an exemplary level and quality of services.
The Corporation, on behalf of the Funds, agrees to pay American
Express Financial Advisors Inc. and other servicing agents 0.15
percent of the net asset value for each shareholder account
assigned to a financial advisor or servicing agent that holds the
Funds' respective Class A Common Stock or Class B Common Stock,
$0.01 par value per share (referred to as the "Class A Shares" and
the "Class B Shares.") In addition, the Corporation agrees to pay
American Express Financial Advisors Inc.'s costs to monitor,
measure, train and support services provided by financial advisors
or servicing agents up to 0.025 percent of the net asset value for
each shareholder account assigned to a financial advisor or
servicing agent that holds either Class A
Shares or Class B Shares. The Corporation, on behalf of the Funds,
agrees to pay American Express Financial Advisors Inc. in cash
within five (5) business days after the last day of each month.
American Express Financial Advisors Inc. agrees to provide each
Fund, prior to the beginning of the calendar year, with a budget
covering its expected costs to monitor, measure, train and support
services and a quarterly report of its actual expenditures.
American Express Financial Advisors Inc. agrees to meet with
representatives of the Corporation at their request to provide
information as may be reasonably necessary to evaluate its
performance under the terms of this agreement.
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American Express Financial Advisors Inc. agrees that if, at the end
of any month, the expenses of a Fund, including fees under this
agreement and any other agreement between a Fund and American
Express Financial Advisors Inc. or American Express Financial
Corporation, but excluding taxes, brokerage commissions and charges
in connection with the purchase and sale of assets exceed the most
restrictive applicable state expense limitation for that Fund's
current fiscal year, that Fund shall not pay fees and expenses
under this agreement to the extent necessary to
keep the Fund's expenses from exceeding the limitation, it being
understood that American Express Financial Advisors Inc. will
assume all unpaid expenses and xxxx the Fund for them in subsequent
months but in no event can the accumulation of unpaid expenses or
billing be carried past the end of the respective Fund's fiscal
year.
This agreement shall continue in effect for a period of more than
one year so long as it is reapproved at least annually at a meeting
called for the purpose of voting on the agreement by a vote, in
person, of the members of the Board who are not interested persons
of the Corporation and have no financial interest in the operation
of the agreement, and of all the members of the Board.
This agreement may be terminated at any time (as to one or more of
the Funds) without payment of any penalty by a vote of a majority
of the members of the Board who are not interested persons of the
Corporation and have no financial interest in the operation of the
agreement or by American Express Financial Advisors Inc. The
agreement will terminate automatically in the event of its
assignment as that term is defined in the Investment Company Act of
1940. This agreement may be amended at any time provided the
amendment is approved in the same manner the agreement was
initially approved and the amendment is agreed to by American
Express Financial Advisors Inc.
Approved this 13th day of November, 1996.
IDS GLOBAL SERIES, INC.
IDS Emerging Markets Fund
IDS Global Balanced Fund
IDS Innovations Fund
/s/ Xxxxxx X. Xxx
Xxxxxx X. Xxx
Vice President
AMERICAN EXPRESS FINANCIAL ADVISORS INC.
/s/ Xxxxxxx X. Xxxxx
Xxxxxxx X. Xxxxx
Vice President
