KINETICS portfolios trust
ADDENDUM TO INVESTMENT ADVISORY AGREEMENT
THIS ADDENDUM dated March 29, 2001 to the Investment Advisory Agreement
dated as of the 1st day of May, 2000, by and between KINETICS PORTFOLIOS TRUST,
a Delaware business corporation (the "Trust") on behalf of its series the Small
Cap Opportunities Portfolio (the "Portfolio") and KINETICS ASSET MANAGEMENT,
INC., a New York corporation (the "Adviser"). At a Board meeting duly held on
Thursday, March 29, 2001, the Board of Trustees of the Trust approved the
following Addendum to the Agreement.
Subparagraph (f) of Section 7 Investment Advisory Fee shall be amended and
replaced in its entirety as follows:
"(f) Any fee withheld or voluntarily reduced and any Portfolio
expense absorbed by the Adviser voluntarily or pursuant to an agreed
upon expense cap shall be reimbursed by the Portfolio to the Adviser,
if so requested by the Adviser, no later than the third fiscal year
succeeding the fiscal year of the withholding, reduction or absorption
if the aggregate amount actually paid by the Portfolio toward the
operating expenses for such fiscal year (taking into account the
reimbursement) do not exceed the applicable limitation on Portfolio
expenses. Such reimbursement may not be paid to the Adviser for any
fiscal year prior to the Portfolio's payment of such year's current
expenses if such practice would require the Adviser to waive, reduce
or absorb current Portfolio expenses in excess of the expense
limitation in effect at the time the unreimbursed expense was actually
incurred."
