EXPENSE WAIVER AND
REIMBURSEMENT AGREEMENT
AGREEMENT made this __ day of May 2000, between Allied Asset Advisors
Funds, a Delaware Trust (a "Trust"), and Allied Asset Advisors, Inc., a Delaware
Trust (hereinafter called "AAA").
W I T N E S S E T H
WHEREAS, AAA has entered into an Investment Advisory Agreement with the Trust,
pursuant to which AAA agrees to provide, or arrange for the provision of,
investment advisory and management services to the Trust; and
WHEREAS, the Trust and AAA believe that capping the total expenses of each class
of shares of the Dow Xxxxx Islamic Index Fund (the "Fund") of the Trust will
enable the Fund to target niches within the load and no-load product market and
will benefit the Fund;
NOW, THEREFORE, the parties hereto do hereby agree as follows:
1. EXPENSE WAIVER AND REIMBURSEMENT BY AAA. AAA agrees to reduce all or a
portion of its management fee and, if necessary, to bear certain other expenses
(including all expenses allocated pro-rata among the various classes of shares
of the Fund, and other expenses to the extent permitted by the Internal Revenue
Code of 1986, as amended) associated with operating the Fund to the extent
necessary to limit the Fund's annualized expenses to the annual rate of 1.65% of
average daily net assets for Class M shares and 0.90% of average daily net
assets for Class K shares for the period from _________, 2000 to _________,
2001.
2. DUTY OF FUND TO REIMBURSE. Subject to approval by the Fund's Board of
Trustees, the Fund agrees to reimburse AAA such deferred fees (but not expenses
borne) in later periods provided, however, that the Fund is not obligated to pay
any such deferred fees more than three years after the end of the fiscal year in
which the fee was deferred.
3. ASSIGNMENT. No assignment of this Agreement shall be made by AAA without
the prior consent of the Trust.
4. DURATION AND TERMINATION. This Agreement shall be effective for the period
from ________, 2000 to __________, 2001, and shall continue in effect thereafter
unless terminated by either of the parties hereto upon written notice to the
other of not less than five days. This Agreement shall automatically terminate
upon the termination of the Investment Advisory Agreement.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the
date first above written.
ALLIED ASSET ADVISORS FUNDS
By___________________________________________
Name: Xx. Xxxxxx Xxxxx
Title: President
ALLIED ASSET ADVISORS, INC.
By___________________________________________
Name:
Title:
