Item 77Q1a
Amendment to
Investment Advisory Contract
between
Federated Municipal Opportunities Fund, Inc.
and
Federated Investment Management Company
This Amendment to the Investment Advisory Contract ("Agreement") dated
August 1, 1989, between Federated Municipal Opportunities Fund, Inc.
("Fund") and Federated Investment Management Company ("Service Provider")
is made and entered into as of the 1st day of June, 2001.
WHEREAS, the Fund has entered into the Agreement with the Service
Provider;
WHEREAS, the Securities and Exchange Commission has adopted Regulation
S-P at 17 CFR Part 248 to protect the privacy of individuals who obtain a
financial product or service for personal, family or household use;
WHEREAS, Regulation S-P permits financial institutions, such as the Fund, to
disclose "nonpublic personal information" ("NPI") of its "customers" and
"consumers" (as those terms are therein defined in Regulation S-P) to
affiliated and nonaffiliated third parties of the Fund, without giving such
customers and consumers the ability to opt out of such disclosure, for the
limited purposes of processing and servicing transactions (17 CFR - 248.14)
("Section 248.14 NPI"); for specified law enforcement and miscellaneous
purposes (17 CFR - 248.15) ("Section 248.15 NPI") ; and to service providers
or in connection with joint marketing arrangements (17 CFR - 248.13)
("Section 248.13 NPI");
WHEREAS, Regulation S-P provides that the right of a customer and consumer to
opt out of having his or her NPI disclosed pursuant to 17 CFR - 248.7 and 17
CFR - 248.10 does not apply when the NPI is disclosed to service providers or
in connection with joint marketing arrangements, provided the Fund and third
party enter into a contractual agreement that prohibits the third party from
disclosing or using the information other than to carry out the purposes for
which the Fund disclosed the information (17 CFR - 248.13);
NOW, THEREFORE, the parties intending to be legally bound agree as
follows:
The Fund and the Service Provider hereby acknowledge that the Fund may
disclose shareholder NPI to the Service Provider as agent of the Fund and
solely in furtherance of fulfilling the Service Provider's contractual
obligations under the Agreement in the ordinary course of business to support
the Fund and its shareholders.
The Service Provider hereby agrees to be bound to use and redisclose
such NPI only for the limited purpose of fulfilling its duties and obligations
under the Agreement, for law enforcement and miscellaneous purposes as
permitted in 17 CFR - 248.15, or in connection with joint marketing
arrangements that the Funds may establish with the Service Provider in
accordance with the limited exception set forth in 17 CFR - 248.13.
The Service Provider further represents and warrants that, in accordance
with 17 CFR - 248.30, it has implemented, and will continue to carry out for
the term of the Agreement, policies and procedures reasonably designed to:
insure the security and confidentiality of records and NPI of Fund
customers,
protect against any anticipated threats or hazards to the security or
integrity of Fund customer records and NPI, and
protect against unauthorized access to or use of such Fund customer
records or NPI that could result in substantial harm or inconvenience to any
Fund customer.
4. The Service Provider may redisclose Section 248.13 NPI only to: (a) the
Funds and affiliated persons of the Funds ("Fund Affiliates"); (b)
affiliated persons of the Service Provider ("Service Provider Affiliates")
(which in turn may disclose or use the information only to the extent
permitted under the original receipt); (c) a third party not affiliated with
the Service Provider of the Funds ("Nonaffiliated Third Party") under the
service and processing (-248.14) or miscellaneous (-248.15) exceptions, but
only in the ordinary course of business to carry out the activity covered by
the exception under which the Service Provider received the information in the
first instance; and (d) a Nonaffiliated Third Party under the service provider
and joint marketing exception (-248.13), provided the Service Provider enters
into a written contract with the Nonaffiliated Third Party that prohibits the
Nonaffiliated Third Party from disclosing or using the information other than
to carry out the purposes for which the Funds disclosed the information in the
first instance.
5. The Service Provider may redisclose Section 248.14 NPI and Section 248.15
NPI to: (a) the Funds and Fund Affiliates; (b) Service Provider Affiliates
(which in turn may disclose the information to the same extent permitted under
the original receipt); and (c) a Nonaffiliated Third Party to whom the Funds
might lawfully have disclosed NPI directly.
6. The Service Provider is obligated to maintain beyond the termination
date of the Agreement the confidentiality of any NPI it receives from the Fund
in connection with the Agreement or any joint marketing arrangement, and
hereby agrees that this Amendment shall survive such termination.
WITNESS the due execution hereof this 1st day of June, 2001.
Federated Municipal Opportunities Fund, Inc.
By: /s/ Xxxxxxx X. Xxxxxx
Name: Xxxxxxx X. Xxxxxx
Title: President
Federated Investment Management Company
By: /s/ G. Xxxxxx Xxxxxxxxx
Name: G. Xxxxxx Xxxxxxxxx
Title: Vice President
