X.X. XXXXXX MUTUAL FUND SERIES
AMENDED AND RESTATED INVESTMENT ADVISORY AGREEMENT
AGREEMENT, made this 18th day of February, 2005, between X.X. Xxxxxx Mutual
Fund Series, a trust organized under the laws of the Commonwealth of
Massachusetts (the "Trust") and X.X. Xxxxxx Investment Management Inc., a
Delaware corporation (the "Advisor"). This Agreement shall be effective as of
February 19, 2005.
WHEREAS, the Trust is an open-end diversified management investment company
registered with the Securities and Exchange Commission under the Investment
Company Act of 1940, as amended (the "1940 Act"); and
WHEREAS, the Trust desires to retain the Advisor to render investment
advisory services to the series of the Trust set forth in Schedule A (each, a
"Portfolio") as agreed to from time to time between the Trust and the Advisor,
and the Advisor is willing to render such services;
WHEREAS, on August 19, 2004, the Boards of Trustees of certain investment
companies (each a "Company"), each of which is a corporation, business trust, or
statutory trust, approved the reorganization of series included in those
Companies (each, a "Series") with and into series of other registered investment
companies or Series, subject in each case to the approval of each reorganization
transaction by the shareholders of the acquired Series at a shareholder meetings
to be held January 20, 2005 (each a "Merger"); and
WHEREAS, on August 19, 2004, the Boards of Trustees of certain Companies
approved the reorganization of certain Series with and into corresponding
Portfolios of the Trust, subject in each case to the approval of each
reorganization transaction on a Series-by-Series basis by the shareholders of
the affected Series at shareholder meetings to be held January 20, 2005 (each a
"Shell Reorganization"); and
WHEREAS, on August 19, 2004, the Board of Trustees of the Trust approved
the redomiciliation of the Trust as a Delaware statutory trust to be known as
JPMorgan Trust I, subject to the approval of the redomiciliation transaction by
shareholders of the Trust at a shareholder meeting to be held January 20, 2005
("Redomiciliation"); and
WHEREAS, the Merger, Shell Reorganization and Redomiciliation transactions
described above, if approved by shareholders, are expected to close on or about
February 18, 2005, or such later date as the parties to each such transaction
shall agree (each a "Closing Date"); and
WHEREAS, the parties agree that this Agreement shall not be effective, or
shall cease to be effective, with respect to each Portfolio whose shareholders
approve a Merger effective as of the close of business on the Closing Date with
respect to each respective Series; and
WHEREAS, the parties agree that, if the Redomiciliation is approved by
shareholders, this Agreement shall continue in effect with respect to each Fund
that is a series of the Trust following the Redomiciliation for the remaining
term of this Agreement and JPMorgan Trust I
shall succeed to the rights and obligations of X.X. Xxxxxx Mutual Fund Series
under this Agreement effective as of the close of business on the Closing Date
with respect to the Redomiciliation; and
WHEREAS, on August 19, 2004, the Board of Trustees of the Trust approved
new names for certain of the Portfolios to be effective February 19, 2005; and
NOW, THEREFORE, this Agreement
W I T N E S S E T H:
that in consideration of the premises and mutual promises hereinafter set forth,
the parties hereto agree as follows:
1. The Trust hereby appoints the Advisor to act as investment adviser to
the Portfolios for the period and on the terms set forth in this Agreement. The
Advisor accepts such appointment and agrees to render the services herein set
forth, for the compensation herein provided.
2. Subject to the general supervision of the Trustees of the Trust, the
Advisor shall manage the investment operations of each Portfolio and the
composition of the Portfolio's holdings of securities and investments, including
cash, the purchase, retention and disposition thereof and agreements relating
thereto, in accordance with the Portfolio's investment objectives and policies
as stated in the Trust's registration statement on Form N-1A, as such may be
amended from time to time (the "Registration Statement"), with respect to the
Portfolio, under the Investment Company Act of 1940, as amended (the "1940
Act"), and subject to the following understandings:
(a) the Advisor shall furnish a continuous investment program for each
Portfolio and determine from time to time what investments or securities
will be purchased, retained, sold or lent by the Portfolio, and what
portion of the assets will be invested or held uninvested as cash;
(b) the Advisor shall use the same skill and care in the management of
each Portfolio's investments as it uses in the administration of other
accounts for which it has investment responsibility as agent;
(c) the Advisor, in the performance of its duties and obligations
under this Agreement, shall act in conformity with the Trust's Declaration
of Trust (such Declaration of Trust, as presently in effect and as amended
from time to time, is herein called the "Declaration of Trust"), the
Trust's By-Laws (such By-Laws, as presently in effect and as amended from
time to time, are herein called the "By-Laws") and the Registration
Statement and with the instructions and directions of the Trustees of the
Trust and will conform to and comply with the requirements of the 1940 Act
and all other applicable federal and state laws and regulations;
(d) the Advisor shall determine the securities to be purchased, sold
or lent by each Portfolio and as agent for the Portfolio will effect
portfolio transactions pursuant to
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its determinations either directly with the issuer or with any broker
and/or dealer in such securities; in placing orders with brokers and/or
dealers the Advisor intends to seek best price and execution for purchases
and sales; the Advisor shall also determine whether the Portfolio shall
enter into repurchase or reverse repurchase agreements;
On occasions when the Advisor deems the purchase or sale of a security
to be in the best interest of one of the Portfolios as well as other
customers of the Advisor, including any other of the Portfolios, the
Advisor may, to the extent permitted by applicable laws and regulations,
but shall not be obligated to, aggregate the securities to be so sold or
purchased in order to obtain best execution, including lower brokerage
commissions, if applicable. In such event, allocation of the securities so
purchased or sold, as well as the expenses incurred in the transaction,
will be made by the Advisor in the manner it considers to be the most
equitable and consistent with its fiduciary obligations to the Portfolio;
(e) the Advisor shall maintain books and records with respect to each
Portfolio's securities transactions and shall render to the Trust's
Trustees such periodic and special reports as the Trustees may reasonably
request; and
(f) the investment management services of the Advisor to any of the
Portfolios under this Agreement are not to be deemed exclusive, and the
Advisor shall be free to render similar services to others.
3. The Trust has delivered copies of each of the following documents to the
Advisor and will promptly notify and deliver to it all future amendments and
supplements, if any:
(a) The Declaration of Trust;
(b) The By-Laws;
(c) Certified resolutions of the. Trustees of the Trust authorizing
the appointment of the Advisor and approving the form of this Agreement;
(d) The Trust's Notification of Registration on Form N-8A and
Registration Statement as filed with the Securities and Exchange Commission
(the "Commission").
In addition, the Trust will furnish promptly the following documents to the
Advisor upon the effectiveness of each:
(a) any Certificate of Trust for JPMorgan Trust I filed with the
Secretary of State of the State of Delaware, and all amendments thereto or
restatements thereof;
(b) any Declaration of Trust for JPMorgan Trust I and all amendments
thereto or restatements thereof (referred to herein as the "New Declaration
of Trust"); and
(c) any by-laws for JPMorgan Trust I and all amendments thereto.
3
4. The Advisor shall keep each Portfolio's books and records required to be
maintained by it pursuant to paragraph 2(e). The Advisor agrees that all records
which it maintains for any Portfolio are the property of the Trust and it will
promptly surrender any of such records to the Trust upon the Trust's request.
The Advisor further agrees to preserve for the periods prescribed by Rule 3la-2
of the Commission under the 1940 Act any such records as are required to be
maintained by the Advisor with respect to any Portfolio by Rule 31a-1 of the
Commission under the 1940 Act.
5. During the term of this Agreement the Advisor will pay all expenses
incurred by it in connection with its activities under this Agreement, other
than the cost of securities and investments purchased for a Portfolio (including
taxes and brokerage commissions, if any).
6. For the services provided and the expenses borne pursuant to this
Agreement, each Portfolio will pay to the Advisor as full compensation therefor
a fee at an annual rate set forth on Schedule A attached hereto. Such fee will
be computed daily and payable as agreed by the Trust and the Advisor, but no
more frequently than monthly.
7. The Advisor shall not be liable for any error of judgment or mistake of
law or for any loss suffered by any Portfolio in connection with the matters to
which this Agreement relates, except a loss resulting from a breach of fiduciary
duty with respect to the receipt of compensation for services (in which case any
award of damages shall be limited to the period and the amount set forth in
Section 36(b)(3) of the 0000 Xxx) or a loss resulting from willful misfeasance,
bad faith or gross negligence on its part in the performance of its duties or
from reckless disregard by it of its obligations and duties under this
Agreement.
8. This Agreement will become effective as to a particular Portfolio as of
the date first written above and, unless sooner terminated as provided herein,
shall continue in effect until October 31, 2005. Thereafter, if not terminated,
this Agreement shall continue in effect as to a particular Portfolio for
successive periods of twelve months each ending on October 31 of each year, only
so long as such continuance is specifically approved at least annually in
conformity with the requirements of the 1940 Act; provided, however, that this
Agreement may be terminated with respect to any Portfolio at any time, without
the payment of any penalty, by vote of a majority of all the Trustees of the
Trust or by vote of a majority of the outstanding voting securities of that
Portfolio on 60 days' written notice to the Advisor, or by the Advisor at any
time, without the payment of any penalty, on 90 days' written notice to the
Trust. The termination of this Agreement with respect to one Portfolio shall not
result in the termination of this Agreement with respect to any other Portfolio.
This Agreement will automatically and immediately terminate in the event of its
"assignment" (as defined in the 1940 Act).
9. The Advisor shall for all purposes herein be deemed to be an independent
contractor and shall, unless otherwise expressly provided herein or authorized
by the Trustees of the Trust from time to time, have no authority to act for or
represent the Trust in any way or otherwise be deemed an agent of the
Portfolios.
10. This Agreement may be amended, with respect to any Portfolio, by mutual
consent, but the consent of the Trust must be approved (a) by vote of a majority
of those Trustees of the Trust who are not parties to this Agreement or
interested persons of any such party, cast in
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person at a meeting called for the purpose of voting on such amendment, and (b)
by vote of a majority of the outstanding voting securities of the Portfolio.
11. Notices of any kind to be given to the Advisor by the Trust shall be in
writing and shall be duly given if mailed or delivered to the Advisor at 000
Xxxxx Xxxxxx, Xxx Xxxx, Xxx Xxxx 00000, Attention: X.X. Xxxxxx Investment
Management, Inc., or at such other address or to such other individual as shall
be specified by the Advisor to the Trust. Notices of any kind to be given to the
Trust by the Advisor shall be in writing and shall be duly given if mailed or
delivered to the JPMorgan Trust I, 000 Xxxxx Xxxxxx, Xxx Xxxx, Xxx Xxxx 00000,
Attention: President, with a copy to the General Counsel at the same address, or
at such other address or to such other individual as shall be specified by the
Trust to the Advisor.
12. The Trustees of the Trust have authorized the execution of this
Agreement in their capacity as Trustees and not individually, and the Advisor
agrees that neither the Trustees nor any officer or employee of the Trust nor
any Portfolio's investors nor any representative or agent of the Trust or of the
Portfolio(s) shall be personally liable upon, or shall resort be had to their
private property for the satisfaction of, obligations given, executed or
delivered on behalf of or by the Trust or the Portfolio(s), that such Trustees,
officers, employees, investors, representatives and agents shall not be
personally liable hereunder, and that it shall look solely to the trust property
for the satisfaction of any claim hereunder.
13. This Agreement may be executed in one or more counterparts, each of
which shall be deemed to be an original.
14. This Agreement shall be governed by and construed in accordance with
the laws of the State of New York.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be
executed by their officers designated below as of the 18th day of February,
2005.
X.X. XXXXXX MUTUAL FUND SERIES
By: /s/ Xxxxxxx X. Xxxxxx
---------------------
Title. Secretary
---------
X.X. XXXXXX INVESTMENT MANAGEMENT INC.
By: /s/ Xxxxxx X.X. Xxxxx
---------------------
Title.
-------------------
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SCHEDULE A
TO THE ADVISORY AGREEMENT
MONEY MARKET FUNDS
------------------
--------------------------------------- ---------------------------------------- -------------------------------------
ADVISORY FEE AS A PERCENTAGE OF
AVERAGE DAILY NET ASSETS
--------------------------------------- ---------------------------------------- -------------------------------------
PRE-FEBRUARY 18, POST-FEBRUARY
NAME AS OF AUGUST 19, 2004 NEW NAME AS OF FEBRUARY 19, 2005 2005 18, 2005
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan 100% U.S. Treasury JPMorgan 100% U.S. Treasury Securities 0.10 0.08
Securities Money Market Fund Money Market Fund
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan California Tax Free Money JPMorgan California Municipal Money
Market Fund Market Fund 0.10 0.08
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Federal Money Market Fund JPMorgan Federal Money Market Fund 0.10 0.08
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan New York Tax Free Money JPMorgan New York Municipal Market Fund
Market Fund 0.10 0.08
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Prime Money Market Fund JPMorgan Prime Money Market Fund 0.10 0.08
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Tax Free Money Market Fund JPMorgan Tax Free Money Market Fund 0.10 0.08
--------------------------------------- ---------------------------------------- ------------------ ------------------
EQUITY FUNDS
------------
--------------------------------------- ---------------------------------------- -------------------------------------
ADVISORY FEE AS A PERCENTAGE OF
AVERAGE DAILY NET ASSETS
--------------------------------------- ---------------------------------------- -------------------------------------
PRE-FEBRUARY 18, POST-FEBRUARY
NAME AS OF AUGUST 19, 2004 NEW NAME AS OF FEBRUARY 19, 2005 2005 18, 2005
--------------------------------------- ---------------------------------------- ------------------ ------------------
Growth and Income Portfolio Growth and Income Portfolio 0.40 0.40
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Capital Growth Fund JPMorgan Capital Growth Fund 0.40 0.40
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Disciplined Equity Fund JPMorgan Disciplined Equity Fund 0.25 0.25
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Diversified Fund JPMorgan Diversified Fund 0.55 0.55
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Dynamic Small Cap Fund JPMorgan Dynamic Small Cap Fund 0.65 0.65
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx Asia Equity Fund JPMorgan Asia Equity Fund 1.00 1.00
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx Emerging Markets JPMorgan Emerging Markets Equity Fund
Equity Fund 1.00 1.00
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx International Equity JPMorgan International Equity Fund
Fund 1.00 0.80
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx International Growth JPMorgan International Growth Fund
Fund 1.00 0.80
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx International JPMorgan International Opportunities
Opportunities Fund Fund 0.60 0.60
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx International Small JPMorgan International Small Cap
Cap Equity Fund Equity Fund 1.00 1.00
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx International JPMorgan International Value Fund 0.60 0.60
--------------------------------------- ---------------------------------------- -------------------------------------
ADVISORY FEE AS A PERCENTAGE OF
AVERAGE DAILY NET ASSETS
--------------------------------------- ---------------------------------------- -------------------------------------
PRE-FEBRUARY 18, POST-FEBRUARY
NAME AS OF AUGUST 19, 2004 NEW NAME AS OF FEBRUARY 19, 2005 2005 18, 2005
--------------------------------------- ---------------------------------------- ------------------ ------------------
Value Fund
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx Intrepid European JPMorgan Intrepid European Fund
Fund 0.65 0.65
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx Japan Fund JPMorgan Japan Fund 1.00 1.00
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx Tax Aware JPMorgan Tax Aware International
International Opportunities Fund Opportunities Fund 0.85 0.60
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Global Healthcare Fund JPMorgan Global Healthcare Fund 1.25 0.85
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Growth and Income Fund JPMorgan Growth & Income Fund 0.00 0.00
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Intrepid America Fund JPMorgan Intrepid America Fund 0.65 0.65
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Intrepid Growth Fund JPMorgan Intrepid Growth Fund 0.65 0.65
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Intrepid Investor Fund JPMorgan Intrepid Contrarian Fund 0.65 0.65
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Intrepid Value Fund JPMorgan Intrepid Value Fund 0.65 0.65
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Market Neutral Fund JPMorgan Market Neutral Fund 1.50 1.25
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Mid Cap Equity Fund JPMorgan Mid Cap Equity Fund 0.65 0.65
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Small Cap Equity Fund JPMorgan Small Cap Equity Fund 0.65 0.65
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Tax Aware Disciplined Equity JPMorgan Tax Aware Disciplined Equity
Fund Fund 0.35 0.35
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Tax Aware Large Cap Growth JPMorgan Tax Aware Large Cap Growth
Fund Fund 0.40 0.40
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Tax Aware Large Cap Value JPMorgan Tax Aware Large Cap Value Fund
Fund 0.40 0.40
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Tax Aware U.S. Equity Fund JPMorgan Tax Aware U.S. Equity Fund 0.45 0.45
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Trust Small Cap Equity Fund JPMorgan Small Cap Core Fund 0.65 0.65
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan U.S. Equity Fund JPMorgan U.S. Equity Fund 0.40 0.40
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan U.S. Small Company Fund JPMorgan U.S. Small Company Fund 0.60 0.60
--------------------------------------- ---------------------------------------- ------------------ ------------------
FIXED INCOME FUNDS
------------------
--------------------------------------- ---------------------------------------- -------------------------------------
ADVISORY FEE AS A PERCENTAGE OF
AVERAGE DAILY NET ASSETS
--------------------------------------- ---------------------------------------- -------------------------------------
PRE-FEBRUARY 18, POST-FEBRUARY
NAME AS OF AUGUST 19, 2004 NEW NAME AS OF FEBRUARY 19, 2005 2005 18, 2005
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Bond Fund JPMorgan Bond Fund 0.30 0.30
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan California Bond Fund JPMorgan California Tax Free Bond Fund 0.30 0.30
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Enhanced Income Fund JPMorgan Enhanced Income Fund 0.25 0.25
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Xxxxxxx Emerging Markets JPMorgan Emerging Markets Debt Fund
Debt Fund 0.70 0.70
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Global Strategic Income JPMorgan Global Strategic Income 0.45 0.45
--------------------------------------- ---------------------------------------- ------------------ ------------------
2
--------------------------------------- ---------------------------------------- -------------------------------------
ADVISORY FEE AS A PERCENTAGE OF
AVERAGE DAILY NET ASSETS
--------------------------------------- ---------------------------------------- -------------------------------------
PRE-FEBRUARY 18, POST-FEBRUARY
NAME AS OF AUGUST 19, 2004 NEW NAME AS OF FEBRUARY 19, 2005 2005 18, 2005
--------------------------------------- ---------------------------------------- ------------------ ------------------
Fund Fund
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Intermediate Tax Free Income JPMorgan Intermediate Tax Free Bond
Fund Fund 0.30 0.30
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan New Jersey Tax Free Income JPMorgan New Jersey Tax Free Bond Fund
Fund 0.30 0.30
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan New York Intermediate Tax JPMorgan New York Tax Free Bond Fund
Free Income Fund 0.30 0.30
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Short Term Bond Fund JPMorgan Short Term Bond Fund 0.25 0.25
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Short Term Bond Fund II JPMorgan Short Term Bond Fund II 0.25 0.25
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Tax Aware Enhanced Income JPMorgan Tax Aware Enhanced Income Fund
Fund 0.25 0.25
--------------------------------------- ---------------------------------------- ------------------ ------------------
JPMorgan Tax Aware Short-Intermediate JPMorgan Tax Aware Short-Intermediate 0.25 0.25
Income Fund Income Fund
--------------------------------------- ---------------------------------------- ------------------ ------------------
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