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EXHIBIT 9(c)
MASTER ADMINISTRATIVE SERVICES AGREEMENT, AS AMENDED
This MASTER ADMINISTRATIVE SERVICES AGREEMENT, as amended (the
"Agreement") is made this 1st day of May, 1998 by and between A I M ADVISORS,
INC., a Delaware corporation (the "Administrator"), and AIM VARIABLE INSURANCE
FUNDS, INC., a Maryland corporation (the "Company").
W I T N E S S E T H:
WHEREAS, the Company is an open-end investment company registered
under the Investment Company Act of 1940, as amended (the "1940 Act"); and
WHEREAS, the Board of Directors of the Company has authorized the
issuance of separate series of shares representing interests in thirteen
investment portfolios: the AIM V.I. Aggressive Growth Fund, AIM V.I. Balanced
Fund, AIM V.I. Capital Appreciation Fund, AIM V.I. Capital Development Fund,
AIM V.I. Diversified Income Fund, AIM V.I. Government Securities Fund, AIM
V.I. Growth Fund, AIM V.I. Growth and Income Fund, AIM V.I. High Yield Fund,
AIM V. I. International Equity Fund, AIM V.I. Money Market Fund, AIM V.I.
Global Utilities Fund and AIM V.I. Value Fund (the "Funds"); and
WHEREAS, the Company, on behalf of the Funds, has retained the
Administrator to provide investment advisory services pursuant to a Master
Investment Advisory Agreement which provides that the Administrator may perform
(or arrange for the performance of) accounting, shareholder servicing and other
administrative services as well as investment advisory services to the Funds,
and that the Administrator may receive reasonable compensation or may be
reimbursed for its costs in providing such additional services, upon the
request of the Board of Directors and upon a finding by the Board of Directors
that the provision of such services is in the best interest of the Company and
its shareholders; and
WHEREAS, the Board of Directors has found that the provision of such
administrative services is in the best interest of the Funds and their
shareholders, and has requested that the Administrator perform such services;
NOW, THEREFORE, the parties hereby agree as follows:
1. The Administrator hereby agrees to provide, or arrange for the
provision of, any or all of the following services by the Administrator or its
affiliates:
(a) the services of a principal financial officer of the Company
(including related office space, facilities and equipment) whose
normal duties consist of maintaining the financial accounts and books
and records of the Company and the Funds, including the review of
daily net asset value calculations and the preparation of tax returns;
and the services (including related office space, facilities and
equipment) of any of the personnel operating under the direction of
such principal financial officer; and
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(b) such other administrative services as may be furnished from time
to time by the Administrator to the Company or the Funds at the
request of the Company's Board of Directors.
2. The Administrator will provide, or at its expense will assure
that the Insurance Company or Qualified Plan (that has entered into a
Participation Agreement with the Company) will provide the following
administrative services:
(a) Establish procedures to ensure compliance with the conditions of
the Company's Mixed and Shared Funding Order.
(b) Provide assistance (clerical, administrative and other) in the
negotiation of participation agreements between the Company, on behalf
of the various Funds and Insurance Companies or Qualified Plans.
(c) Prepare the various forms of prospectus, financial reports and
proxy statements as the Company has agreed to provide in the
participation agreements to which it is a party.
(d) Maintain master accounts with the Fund and such accounts will be
in the name of the Insurance Company or the Qualified Plan (or their
nominees) as the record owners of shares on behalf of the Accounts.
(e) Determine the net amount to be transmitted to the Account
maintained by the Insurance Company or Qualified Plan as a result of
redemptions of Fund shares based on Contractowners' redemption
requests. Disburse or credit to the Accounts all proceeds of
redemptions of shares of the Fund. Notify the Fund of the cash
required to meet payments.
(f) Determine the net amount to be transmitted to the Fund as a
result of purchases of Fund shares based on Contractowners' purchase
payments and transfers allocated to the Accounts investing in the
Fund. Transmit net purchase payment receipts to the Fund's custodian.
(g) Distribute (or arrange for the distribution) to Contractowners
copies of the Fund's prospectus, proxy materials, periodic fund
reports to Contractowners and other materials that the Fund is
required by law or otherwise to provide to its shareholders.
(h) Maintain and preserve all records as required by law to be
maintained and preserved in connection with providing administrative
services including, but not limited to recording the issuance of Fund
shares, recording transfers and redemptions, and reconciling and
balancing the Accounts.
(i) Provide Contractowner services including, but not limited to,
advice with respect to inquiries related to the Fund (not including
information about performance or related to sales) and communicating
with Contractowners about Fund (and Separate Account) performance.
3. The services provided hereunder shall at all times be subject
to the direction and supervision of the Company's Board of Directors.
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4. As full compensation for the services performed and the
facilities furnished by or at the direction of the Administrator as described
under Item 1, above, the Funds shall reimburse the Administrator for expenses
incurred by them or their affiliates in accordance with the methodologies
established from time to time by the Company's Board of Directors. Such
amounts shall be paid to the Administrator on a quarterly basis.
5. As full compensation for the services performed under Item 2,
above, the Funds shall pay AIM an amount up to 0.25% of the average net asset
value of each Fund in excess of the net asset value of each such Fund on April
30, 1998, provided that the fee will not exceed an amount in excess of AIM's
costs (including amounts charged by various Insurance Companies and Qualified
Plans pursuant to agreements with AIM in amounts up to 0.25% of net assets
attributable to separate accounts of such Insurance Companies or Qualified
Plans) in providing or causing others to provide such services. Such amounts
shall be paid to the Administrator on a quarterly basis. To the extent that
the Administrator's costs exceed 0.25%, such excess amount shall be borne by
the Administrator and the Administrator will not seek reimbursement at a later
time for such excess amounts on services previously rendered if the
Administrator's costs are later reduced to an amount below 0.25%.
6. The Administrator shall not be liable for any error of
judgment or for any loss suffered by the Company or the Funds in connection
with any matter to which this Agreement relates, except a loss resulting from
the Administrator's willful misfeasance, bad faith or gross negligence in the
performance of its duties or from reckless disregard of its obligations and
duties under this Agreement.
7. The Company and the Administrator each hereby represent and
warrant, but only as to themselves, that each has all requisite authority to
enter into, execute, deliver and perform its obligations under this Agreement
and that this Agreement is legal, valid and binding, and enforceable in
accordance with its terms.
8. Nothing in this Agreement shall limit or restrict the rights
of any director, officer or employee of the Administrator who may also be a
director, officer or employee of the Company to engage in any other business or
to devote his time and attention in part to the management or other aspects of
any business, whether of a similar or a dissimilar nature, nor limit or
restrict the right of the Administrator to engage in any other business or to
render services of any kind to any other corporation, firm, individual or
association.
9. This Agreement shall continue in effect until May 1, 2000 and
shall continue in effect from year to year thereafter; provided that such
continuance is specifically approved at least annually:
(a) (i) by the Company's Board of Directors or (ii) by the
vote of a majority of the outstanding voting securities of each of the
Funds (as defined in Section 2(a)(42) of the 0000 Xxx); and
(b) by the affirmative vote of a majority of the Company's
directors who are not parties to this Agreement or interested persons
of a party to this Agreement, by votes cast in person at a meeting
specifically called for such purpose.
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This Agreement shall terminate automatically in the event of its
assignment (as defined in Section 2(a) (4) of the 0000 Xxx) or in the event of
termination of the Master Investment Advisory Agreement relating to the Funds
between the Company and the Administrator.
10. This Agreement may be amended or modified, but only by a
written instrument signed by both the Company and the Administrator.
11. Any notice or other communication required to be given
pursuant to this Agreement shall be deemed duly given if delivered or mailed by
registered mail, postage prepaid, (a) to the Administrator at Eleven Xxxxxxxx
Xxxxx, Xxxxx 0000, Xxxxxxx, Xxxxx 00000, Attention: President, with a copy to
the General Counsel, or (b) to the Company at Eleven Xxxxxxxx Xxxxx, Xxxxx
0000, Xxxxxxx, Xxxxx 00000, Attention: President, with a copy to the General
Counsel.
12. This Agreement contains the entire agreement between the
parties hereto and supersedes all prior agreements, understandings and
arrangements with respect to the subject matter hereof.
13. This Agreement shall be governed by and construed in
accordance with the laws of the State of Texas.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to
be executed by their officers designated below as of the day and year first
above written.
A I M ADVISORS, INC.
Attest: By:
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Assistant Secretary President
(SEAL)
AIM VARIABLE INSURANCE FUNDS, INC.
Attest: By:
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Assistant Secretary President
(SEAL)
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