EXHIBIT 10.39.1

AMENDMENT NO. 1

TO

FUND AGREEMENT

This Amendment, dated August 1, 2005, is to the Fund Agreement previously
entered into on October 1, 2002 by and among Nationwide Financial Services, Inc.
(including any affiliates and/or subsidiaries listed on Exhibit A), Gartmore
Mutual Fund Capital Trust, which serves as adviser, Gartmore Morley Capital
Management, Inc., which services as adviser, Gartmore Distribution Services,
Inc., which services as distributor to Gartmore Mutual Funds (the “Trust”) and
the Trust’s various series (the “Funds”).

WHEREAS, Nationwide Financial Services, Inc. (“NFS”) or a subsidiary or
affiliate thereof (collectively referred to as “NFS Affiliate/Subsidiary”)
provides administrative and/or recordkeeping services to variable contracts,
which may include, but are not limited to, variable annuity contracts, variable
life insurance policies and various retirement plans which meet the definition
of retirement plans under Sections 401, 403 and 457 of the Internal Revenue Code
(the “Code”) (collectively, “Contracts”); and

WHEREAS, NFS Affiliate/Subsidiary may issue variable annuity contracts and
variable life insurance policies through separate accounts (“Variable Accounts”)
as listed on Exhibit A; and

WHEREAS, the Contracts allow for the allocation of net amounts received by NFS
to sub-accounts which correspond to each Fund for investment in shares of the
Funds; and

WHEREAS, selection of a particular sub-account is made by the contract owner or
by participants in various types of retirement plans and such contract owners
and such contract owners and/or participants may reallocate their investment
options among the sub-accounts in accordance with the terms of the Contracts;
and

WHEREAS, NFS and Gartmore, mutually desire the inclusion of the Funds as
investment options for the Contracts; and

NOW THEREFORE, NFS AND GARTMORE mutually revise and restate Exhibit A (“Variable
Accounts”) to the Fund Agreement with the current listing of Variable Accounts,
and revise and restate the list of Funds on Exhibit C to the Fund Agreement
(Service Fees rate) attached hereto. All other terms and conditions within the
Agreement remain the same.

IN WITNESS WHEREOF, the parties have agreed to and executed this Amendment as of
the date first written above.

SIGNATURES FOLLOW

--------------------------------------------------------------------------------

NATIONWIDE FINANCIAL SERVICES, INC.

/s/ Karen R. Colvin

Print Name: Karen R. Colvin

Title: Officer

GARTMORE MUTUAL FUND CAPITAL TRUST

/s/ Gerald J. Holland

Print Name: Gerald J. Holland

Title: Treasurer & CFO

GARTMORE MUTUAL FUNDS

/s/ Gerald J. Holland

Print Name: Gerald J. Holland

Title: Treasurer & CFO

GARTMORE DISTRIBUTIONS SERVICES, INC.

/s/ Gerald J. Holland

Print Name: Gerald J. Holland

Title: Treasurer & CFO

GARTMORE MORLEY CAPITAL MANAGEMENT, INC.

/s/ Jill R. Cuniff

Print Name: Jill R. Cuniff

Title: Managing Director, Chief Investment Officer

--------------------------------------------------------------------------------

EXHIBIT A

TO

AMENDMENT NO. 1 DATED AUGUST 1, 2005

TO THE FUND AGREEMENT

BY AND AMONG

NATIONWIDE FINANCIAL SERVICES, INC., GARTMORE MUTUAL FUND CAPITAL

TRUST, GARTMORE MUTUAL FUNDS, GARTMORE DISTRIBUTION SERVICES, INC. AND

GARTMORE MORLEY CAPITAL MANAGEMENT, INC.

This Exhibit corresponds to the Fund Agreement dated October 1, 2002.

Registered Broker Dealers

Nationwide Investment Services Corporation

Affiliates and Subsidiaries

Nationwide Life Insurance Company

Nationwide Life and Annuity Insurance Company

Nationwide Trust Company, FSB

Nationwide Retirement Solutions, Inc.

Nationwide Retirement Solutions of Alabama, Inc.

Nationwide Retirement Solutions of Arizona, Inc.

Nationwide Retirement Solutions of Arkansas, Inc.

Nationwide Retirement Solutions of Montana, Inc.

Nationwide Retirement Solutions of Nevada, Inc.

Nationwide Retirement Solutions of New Mexico, Inc.

Nationwide Retirement Solutions of Ohio, Inc.

Nationwide Retirement Solutions of Oklahoma, Inc.

Nationwide Retirement Solutions of South Dakota, Inc.

Nationwide Retirement Solutions of Texas, Inc.

Nationwide Retirement Solutions of Wyoming, Inc.

National Deferred Compensation, Inc.

Nationwide Life Insurance Company of America

Nationwide Life and Annuity Company of America

Variable Accounts

Nationwide Private Placement Variable Account

Nationwide Provident VA Separate Account 1

Nationwide Provident VA Separate Account A

Nationwide Provident VLI Separate Account 1

Nationwide Provident VLI Separate Account A

Nationwide Variable Account

Nationwide Variable Account - II

Nationwide Variable Account - 3

Nationwide Variable Account - 4

Nationwide Variable Account - 5

Nationwide Variable Account - 6

Nationwide Variable Account - 7

Nationwide Variable Account - 8

Nationwide Variable Account - 9

--------------------------------------------------------------------------------

Nationwide Variable Account - 10

Nationwide Variable Account - 11

Nationwide Variable Account – 12

Nationwide Variable Account – 13

Nationwide Variable Account – 14

Nationwide Variable Account – 15

Nationwide Variable Account – 16

Multi-Flex Variable Account

Nationwide VA Separate Account – A

Nationwide VA Separate Account – B

Nationwide VA Separate Account – C

Nationwide VA Separate Account – D

Nationwide VLI Separate Account

Nationwide VLI Separate Account – 2

Nationwide VLI Separate Account – 3

Nationwide VLI Separate Account – 4

Nationwide VL Separate Account

Nationwide VL Separate Account – A

Nationwide VL Separate Account – B

Nationwide VL Separate Account – C

Nationwide VL Separate Account – D

Nationwide VL Separate Account – E

Nationwide DC Variable Account

Nationwide DC Variable Account – II

NACo Variable Account

Nationwide Governmental Plans Variable Account

Nationwide Governmental Plans Variable Account – II

Nationwide Qualified Plans Variable Account

Nationwide Private Placement Variable Account

Nationwide Private Placement Variable Account – II

Ohio DC Variable Account

--------------------------------------------------------------------------------

EXHIBIT C

TO

AMENDMENT NO. 1 DATED AUGUST 1, 2005

TO THE FUND AGREEMENT

BY AND AMONG

NATIONWIDE FINANCIAL SERVICES, INC., GARTMORE MUTUAL FUND CAPITAL

TRUST, GARTMORE MUTUAL FUNDS, GARTMORE DISTRIBUTION SERVICES, INC. AND

GARTMORE MORLEY CAPITAL MANAGEMENT, INC.

This Exhibit corresponds to the Fund Agreement dated October 1 , 2002.

 

Funds

--------------------------------------------------------------------------------

   Basis Points per Annum

--------------------------------------------------------------------------------

A Shares

   40 bps

C Shares Equity

   100 bps

C Shares Fixed Income

   85 bps

D Shares Equity

   35 bps

D Shares Fixed Income

   30 bps

Money Market Prime Shares

   25 bps

Service Shares all funds, except Money Market

   40 bps

Service Shares Money Market

   35 bps

Institutional Service Shares Equity (excluding Nationwide Savings Plan accts)

   35 bps

Institutional Service Shares Fixed Income and Index (excluding Nationwide
Savings Plan accts)

   25 bps

Institutional Service Shares – Nationwide Savings Plan

   10 bps

Institutional Shares

   0 bps

Institutional Shares – Money Market in the Pensions Channel

    

For Plans with an Effective date prior to January 1, 2003

   23 bps

For Plans with an Effective date after January 1, 2003

   27.5 bps

Nationwide Trust Company Program – One Time Set-Up Fee for funds added to the
program beginning on October, 2002

   $1,500

Nationwide Advisory Services (Wrap) Program – One Time Set-Up Fee for Funds

   $1,500

Nationwide Advisory Services (Wrap) Program – Annual Maintenance Fee

   $1,000

 

•

 

A Shares of the following funds offered through the deferred compensation
channel (IRC §§ 401 and 457 plans) to new entities, retirement plans, or plan
sponsors, as applicable, are subject to the schedule below. Gartmore reserves
the right to prospectively withdraw the schedule below at any time, provided
however, that entities, plans or plan sponsors that have been offered or
accepted revenue under the schedule below will not be affected. In the event,
Gartmore exercises its right to revoke the schedule below, after such
revocation, A Shares will be subject to the schedule above.

 

Funds

--------------------------------------------------------------------------------

   Basis Points per Annum

--------------------------------------------------------------------------------

Gartmore Nationwide Fund (fka, Gartmore Total Return Fund)

   50 bps

Gartmore Mid Cap Growth Leaders Fund (fka Gartmore Millenium Growth Fund)

   50 bps

Gartmore Large Cap Value Fund (fka Nationwide Large Cap Value Fund)

   50 bps

Gartmore Value Opportunities Fund

   50 bps

Gartmore International Growth Fund

   50 bps

Gartmore Emerging Markets Fund

   50 bps

Gartmore Government Bond Fund

   50 bps