Document:

Exhibit 10.30

 

 

SHAREHOLDER SERVICING AGREEMENT

 

THIS
AGREEMENT, made as of the 9th day of April, 2003, by and between Ivy Funds (the
“Trust”) and Waddell & Reed Services Company (“WRSCO”),

 

W I T N E S S E T H :

 

WHEREAS,
The Trust wishes, as applicable, to appoint WRSCO to be its shareholder
servicing agent for the Funds listed in Appendix A (the “Funds”) upon, and
subject to, the terms and provisions of this Agreement;

 

NOW
THEREFORE, in consideration of the mutual covenants contained in this
Agreement, the parties agree as follows:

 

1.                                    Appointment of WRSCO as Shareholder Servicing
Agent for the Funds; Acceptance.

 

(1)        The Trust hereby appoints WRSCO to act
as Shareholder Servicing Agent for the Funds upon, and subject to, the terms
and provisions of this Agreement.

 

(2)        WRSCO hereby accepts the appointment as
Shareholder Servicing Agent for the Funds and agrees to act as such upon, and
subject to, the terms and provisions of this Agreement.

 

(3)        WRSCO may appoint an entity or entities
approved by the Trust in writing to perform any portion of WRSCO’s duties
hereunder (the “Subagent”).

 

2.         Definitions.

 

(1)                              In this Agreement -

 

(a)        The term the “Act” means the Investment
Company Act of 1940 as amended from time to time;

 

(b)        The term “account” means the shares of
the Funds registered on the books of the Funds in the name of a shareholder
under a particular account registration number and includes shares subject to
instructions by the shareholder with respect to periodic redemptions and/or
reinvestment in additional shares of any dividends payable on said shares;

 

(c)        The term “affiliate” of a person shall
mean a person controlling, controlled by, or under common control with that
person;

 

(d)        The term “Class” shall mean each
separate sub-class of a class of shares of the Funds, as may now or in the
future exist;

 

(e)        The term “Fund” shall mean each separate
class of shares of the Trust, as may now or in the future exist;

 

(f)         The term “officers’ instruction” means
an instruction given on behalf of the Trust to WRSCO and signed on behalf of
the Trust by any one or more persons authorized to do so by the Company’s Board
of Trustees;

 

 

(g)        The term “prospectus” means the
prospectus and Statement of Additional Information of the applicable Fund or Class from
time to time in effect;

 

(h)        The term “shares” means shares including
fractional shares of capital stock of the Funds, whether or not such shares are
evidenced by an outstanding stock certificate issued by the Funds;

 

(i)         The term “shareholder” shall mean the owner
of record of shares of the Funds;

 

(j)         The term “stock certificate” means a
certificate representing shares in the form then currently in use by the Funds.

 

3.                                    Duties of WRSCO.

 

WRSCO
shall perform such duties as shall be set forth in this paragraph 3 and in
accordance with the practice stated in Exhibit A of this Agreement or any
amendment thereof, any or all of which duties may be delegated to or performed
by one or more Subagents pursuant to Paragraph (3) above.

 

(1)                              Transfers.

 

Subject
to the provisions of this Agreement WRSCO hereby agrees to perform the
following functions as transfer agent for the Funds:

 

(a)        Recording the ownership, transfer,
exchange and cancellation of ownership of shares of the Funds on the books of
the Funds;

 

(b)        Causing the issuance, transfer, exchange
and cancellation of stock certificates;

 

(c)        Establishing and maintaining records of
accounts;

 

(d)        Computing and causing to be prepared and
mailed or otherwise delivered to shareholders payment checks including bank
wire transfers and notices of reinvestment in additional shares of dividends,
stock dividends or stock splits declared by the Funds on shares and of
redemption proceeds due by the Funds on redemption of shares;

 

(e)        Furnishing to shareholders such
information as may be reasonably required by the Funds, including appropriate
income tax information;

 

(f)         Addressing and mailing to shareholders
prospectuses, annual and semi-annual reports and proxy materials for
shareholder meetings prepared by or on behalf of the Funds;

 

(g)        Replacing allegedly lost, stolen or
destroyed stock certificates in accordance with and subject to procedures and
conditions agreed upon and set out in officers’ instructions;

 

(h)        Maintaining such books and records
relating to transactions effected by WRSCO pursuant to this Agreement as are
required by the Act, or by rules or regulations thereunder, or by any
other applicable provisions of law, to be maintained by the Trust or its
transfer agent with respect to such transactions; preserving, or causing to be
preserved, any such books and records for such periods as may be required by
any such law, rule or regulation; furnishing the Trust such information as
to such transactions and at such time as may be reasonably required by it to
comply with applicable laws and regulations;

 

 

2

 

(i)         Providing such services and carrying
out such responsibilities on behalf of the Trust, or imposed on WRSCO as the
Funds’ transfer agent, not otherwise expressly provided for in this Paragraph
3, as may be required by or be reasonably necessary to comply with any statute,
act, governmental rule, regulation or directive or court order, including,
without limitation, the requirements imposed by the Tax Equity and Fiscal Responsibility
Act of 1982 and the Income and Dividend Tax Compliance Act of 1983 relating to
the withholding of tax from distributions to shareholders.

 

(2)                              Correspondence.

 

WRSCO
agrees to deal with and answer all correspondence from or on behalf of shareholders
relating to its functions under this Agreement.

 

4.                                    Compensation of WRSCO.

 

The
Funds agree to pay WRSCO for its services under this Agreement in accordance
with the schedule as then in effect set forth in Exhibit B of this
Agreement or any amendment thereof.  In
addition, the Funds agree to reimburse WRSCO for the following “out-of-pocket”
expenses of WRSCO within five days after receipt of an itemized statement of
such expenses, to the extent that payment of such expenses has not been or is
not to be made directly by the Funds: (i) costs of stationery, appropriate
forms, envelopes, checks, postage, printing (except cost of printing
prospectuses, annual and semi-annual reports and proxy materials) and mailing
charges, including returned mail and proxies, incurred by WRSCO with respect to
materials and communications sent to shareholders in carrying out its duties to
the Funds under this Agreement, and bank charges for wire transfers pursuant to
Section 3(1)(d) herein above; (ii) long distance telephone costs
incurred by WRSCO for telephone communications and microfilm and storage costs
for transfer agency records and documents; (iii) costs of all ancillary
and supporting services and related expenses (other than insurance premiums)
reasonably required by and provided to WRSCO, other than by its employees or
employees of an affiliate, with respect to functions of the Funds being
performed by it in its capacity as Agent hereunder, including legal advice and
representation in litigation to the extent that such payments are permitted
under Paragraph 7 of this Agreement and charges to WRSCO made by any Subagent; (iv) costs
for special reports or information furnished on request pursuant to this
Agreement and not specifically required by WRSCO by Paragraph 3 of this
Agreement; and (v) reasonable costs and expenses incurred by WRSCO in
connection with the duties of WRSCO described in Paragraph (3)(1)(i).  In addition, the Funds agree to promptly pay
over to WRSCO any fees or payment of charges it may receive from a shareholder
for services furnished to the shareholder by WRSCO.

 

Services
and operations incident to the sale and distribution of the Funds’ shares,
including sales communications, confirmations of investments (not including
reinvestment of dividends) and the clearing or collection of payments will not
be for the account or at the expense of the Funds under this Agreement.

 

5.                                    Right of Trust to Inspect Records, etc.

 

The
Trust will have the right under this Agreement to perform on site inspection of
records and accounts and to perform audits directly pertaining to the Funds’
shareholder accounts serviced by WRSCO hereunder at WRSCO’s or any Subagent’s
facilities in accordance with reasonable procedures at the frequency necessary
to assure proper administration of the Agreement.  WRSCO will cooperate with the Funds’ auditors
or representatives of appropriate regulatory agencies and furnish all
reasonably requested records and data.

 

 

3

 

6.                                    Insurance.

 

WRSCO
now has the insurance coverage described in Exhibit C, attached hereto,
and WRSCO will not take any action to eliminate or decrease such coverage
during the term of this Agreement without receiving the approval of the Trust
in advance of any change, except WRSCO, after giving reasonable notice to the
Trust, may eliminate or decrease any coverage if the premiums for such coverage
are substantially increased.

 

7.                                    Standard of Care; Indemnification.

 

WRSCO
will at all times exercise due diligence and good faith in performing its
duties hereunder.  WRSCO will make every
reasonable effort and take all reasonably available measures to assure the
adequacy of its personnel and facilities as well as the accurate performance of
all services to be performed by it hereunder within, at a minimum, the time
requirements of any applicable statutes, rules or regulations or as set
forth in the prospectus.

 

WRSCO
shall not be responsible for, and the Trust agrees to indemnify WRSCO for any
losses, damages or expenses (including reasonable counsel fees and expenses) (i) resulting
from any claim, demand, action or suit not resulting from WRSCO’s failure to
exercise good faith or due diligence and arising out of or in connection with
WRSCO’s duties on behalf of the Funds hereunder; (ii) for any delay, error
or omission by reason of circumstances beyond its control, including acts of
civil or military authority, national emergencies, labor difficulties (except
with respect to WRSCO’s employees), fire, mechanical breakdown beyond its control,
flood or catastrophe, acts of God, insurrection, war, riots, or failure beyond
its control of transportation, communication or power supply; or (iii) for
any action taken or omitted to be taken by WRSCO in good faith in reliance on (a) the
authenticity of any instrument or communication reasonably believed by it to be
genuine and to have been properly made and signed or endorsed by an appropriate
person, (b) the accuracy of any records or information provided to it by
the Funds, (c) any authorization or instruction contained in any officers’
instruction, or (d) with respect to the functions performed for the Funds
listed under Paragraph 3(1) of this Agreement, any advice of counsel
approved by the Trust who may be internally employed counsel or outside
counsel, in either case for the Trust and/or WRSCO.

 

In
order for the rights to indemnification to apply, it is understood that if in
any case the Trust may be asked to indemnify or hold WRSCO harmless, the Trust
shall be advised of all pertinent facts concerning the situation in question,
and it is further understood that WRSCO will use reasonable care to identify
and notify the Trust promptly concerning any situation which presents or
appears likely to present a claim for indemnification against the Trust.  The Trust shall have the option to defend
WRSCO against any claim which may be the subject of this indemnification and,
in the event that the Trust so elects, it will so notify WRSCO and thereupon
the Trust shall take over complete defense of the claim and WRSCO shall sustain
no further legal or other expenses in such situation for which WRSCO shall seek
indemnification under this paragraph. 
WRSCO will in no case confess any claim or make any compromise in any case
in which the Trust will be asked to indemnify WRSCO except with the Trust’s
prior written consent.

 

8.                                    Term of the Agreement; Taking Effect;
Amendments.

 

This
Agreement shall become effective at the start of business on the date hereof
and shall continue, unless terminated as hereinafter provided, for a period of
one year and from year to year thereafter, provided that such continuance shall
be specifically approved as provided below.

 

This
Agreement shall go into effect, or may be continued, or may be amended or a new
agreement between the Trust and WRSCO covering the substance of this Agreement
may be entered into only 

 

 

4

 

if the terms of this Agreement, such continuance, the terms of such
amendment or the terms of such new agreement have been approved by the Board of
Trustees of the Trust, including the vote of a majority of the trustees who are
not “interested persons,” as defined in the Act, of either party to this
Agreement or of Waddell & Reed Ivy Investment Company, cast in person
at a meeting called for the purpose of voting on such approval.  Such a vote is hereinafter referred to as an “independent
trustee vote.”

 

Any
independent trustee vote shall include a determination that:  (i) the Agreement, amendment, new
agreement or continuance in question is in the best interests of the each of
the Funds and its shareholders; (ii) the services to be performed under
the Agreement, the Agreement as amended, new agreement or agreement to be
continued, are services required for the operation of the Funds; (iii) WRSCO
can provide services the nature and quality of which are at least equal to
those provided by others offering the same or similar services; and (iv) the
fees for such services are fair and reasonable in the light of the usual and
customary charges made by others for services of the same nature and quality.

 

9.                                    Termination.

 

(1)        This Agreement may be terminated by
WRSCO at any time without penalty upon giving the Trust 120 days’ written
notice (which notice may be waived by the Trust) and may be terminated by the
Trust at any time without penalty upon giving WRSCO sixty (60) days’ written
notice (which notice may be waived by WRSCO), provided that such termination by
the Trust shall be directed or approved by the vote of a majority of the Board
of Trustees of the Trust in office at the time or by the vote of the holders of
a majority (as defined in or under the Act) of the outstanding voting
securities of the Funds.

 

(2)        On termination, WRSCO will deliver to
the Trust or its designee all files, documents and records of the Funds used,
kept or maintained by WRSCO in the performance of its services hereunder,
including such of the Funds’ records in machine readable form as may be
maintained by WRSCO, as well as such summary and/or control data relating
thereto used by or available to WRSCO.

 

(3)        In the event of any termination which
involves the appointment of a new shareholder servicing agent, including the
Trust’s acting as such on its own behalf, the Trust shall have the
non-exclusive right to the use of the data processing programs used by WRSCO in
connection with the performance of its duties under this Agreement without
charge.

 

(4)        In addition, on such termination or in
preparation therefore, at the request of the Trust and at the Funds’ expense
WRSCO shall provide to the extent that its capabilities then permit such
documentation, personnel and equipment as may be reasonably necessary in order
for a new agent or the Trust to fully assume and commence to perform the agency
functions described in this Agreement with a minimum disruption to the Funds’
activities.

 

10.                            Construction; Governing Law.

 

The
headings used in this Agreement are for convenience only and shall not be
deemed to constitute a part hereof. 
Whenever the context requires, words denoting singular shall be read to
include the plural.  This Agreement and
the rights and obligations of the parties hereunder, shall be construed and
interpreted in accordance with the laws of the State of Kansas, except to the
extent that the laws of the State of Maryland apply with respect to share
transactions.

 

11.                            Representations and Warranties of WRSCO.

 

 

5

 

WRSCO
represents and warrants that it is a corporation duly organized and existing
and in good standing under the laws of the State of Missouri, that it is duly
qualified to carry on its business in the State of Kansas and wherever its
duties require, that it has the power and authority under laws and by its
Declaration of Trust and Bylaws to enter into this Shareholder Servicing
Agreement and to perform the services contemplated by this Agreement.

 

12.                            Entire Agreement.

 

This
Agreement and the Exhibits annexed hereto constitutes the entire and complete
agreement between the parties hereto relating to the subject matter hereof,
supersedes and merges all prior discussions between the parties hereto, and may
not be modified or amended orally.

 

IN
WITNESS WHEREOF, the parties have hereto caused this Agreement to be duly
executed on the day and year first above written.

 

	
   

  	
  IVY
  FUNDS, on behalf of

  
	
   

  	
  the
  Funds listed in Appendix A

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/Daniel
  C. Schulte

  
	
   

  	
   

  	
  Daniel
  C. Schulte, Vice President

  
				

 

ATTEST:

 

	
  By:

  	
  /s/Kristen
  A. Richards

  	
   

  
	
   

  	
  Kristen
  A. Richards, Secretary

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  WADDELL &
  REED SERVICES COMPANY

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/Michael
  D. Strohm

  
	
   

  	
   

  	
  Michael
  D. Strohm, President

  
	
   

  	
   

  
	
  ATTEST:

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/Daniel
  C. Schulte

  	
   

  
	
   

  	
  Daniel
  C. Schulte, Secretary

  	
   

  
					

 

 

6

 

 

EXHIBIT A

 

A.        DUTIES IN SHARE TRANSFERS AND
REGISTRATION

 

1.         WRSCO in carrying out its duties shall
follow general commercial practices and the Rules of the Stock Transfer
Association, Inc. except as they may conflict or be inconsistent with the
specific provisions of the Trust’s Declaration of Trust and Bylaws, prospectus,
applicable Federal and state laws and regulations and this Agreement.

 

2.         WRSCO shall not require that the
signature of the appropriate person be guaranteed, witnessed or verified in order
to effect a redemption, transfer, exchange or change of address except as may
from time to time be directed by the Trust as set forth in an officers’
instruction.  In the event a signature
guarantee is required by the Funds, WRSCO shall not inquire as to the
genuineness of the guarantee.

 

3.         WRSCO shall not replace a lost, stolen
or misplaced stock certificate without requiring and being furnished with an
open penalty surety bond protecting the Trust and WRSCO against loss.

 

B.         The practices, procedures and
requirements specified in A above may be modified, altered, varied or
supplemented as from time to time may be mutually agreed upon by the Trust and
WRSCO and evidenced on behalf of the Trust by an officers’ instruction.  Any such change shall not be deemed to be an
amendment to the Agreement within the meaning of Paragraph 8 of the Agreement.

 

 

7

 

SHAREHOLDER
SERVICING AGREEMENT

 

EXHIBIT
B

COMPENSATION

 

 

Class A Shares--Ivy Cundill Global Value Fund, Ivy
European Opportunities Fund, Ivy Global Natural Resources Fund, Ivy
International Growth Fund, Ivy International Core Equity Fund, Ivy Pacific
Opportunities Fund

An amount payable on the first day of each month of $1.5042 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class A Shares--Ivy Balanced Fund, Ivy Dividend
Income Fund, Ivy International Balanced Fund, Ivy Real Estate Securities Fund,
Ivy Small Cap Value Fund, Ivy Value Fund

An amount payable on the first day of each month of $1.5792 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class A Shares--Ivy Bond Fund, Ivy Global
Strategic Income Fund, Ivy Mortgage Securities Fund

An amount payable on the first day of each month of $1.6958 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class B Shares--Ivy Cundill Global Value Fund,
Ivy European Opportunities Fund, Ivy Global Natural Resources Fund, Ivy
International Core Equity Fund, Ivy International Growth Fund, Ivy Pacific
Opportunities Fund

An amount payable on the first day of each month of $1.5042 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class B Shares--Ivy Balanced Fund, Ivy Dividend
Income Fund, Ivy International Balanced Fund, Ivy Real Estate Securities Fund,
Ivy Small Cap Value Fund, Ivy Value Fund

An amount payable on the first day of each month of $1.5792 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class B Shares--Ivy Bond Fund, Ivy Global
Strategic Income Fund, Ivy Mortgage Securities Fund

An amount payable on the first day of each month of $1.6958 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class C
Shares--Ivy Cundill Global Value Fund, Ivy European Opportunities Fund, Ivy
Global Natural Resources Fund, Ivy International Core Equity Fund, Ivy
International Growth Fund, Ivy Pacific Opportunities Fund

An amount payable on the first day of each month of $1.5042 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class C
Shares--Ivy Balanced Fund, Ivy Dividend Income Fund, Ivy International Balanced
Fund, Ivy Real Estate Securities Fund, Ivy Small Cap Value Fund, Ivy Value Fund

An amount payable on the first day of each month of $1.5792 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class C Shares--Ivy Bond Fund, Ivy Global
Strategic Income Fund, Ivy Mortgage Securities Fund

 

 

8

 

An amount payable on the first day of each month of $1.6958 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class E Shares--Ivy Cundill Global Value Fund,
Ivy European Opportunities Fund, Ivy Global Natural Resources Fund, Ivy International
Core Equity Fund, Ivy International Growth Fund, Ivy Pacific Opportunities Fund

An amount payable on the first day of each month of $1.5042 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class E Shares--Ivy Balanced Fund, Ivy Dividend
Income Fund, Ivy International Balanced Fund, Ivy Real Estate Securities Fund,
Ivy Small Cap Value Fund, Ivy Value Fund

An amount payable on the first day of each month of $1.5792 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class E Shares--Ivy Bond Fund, Ivy Global
Strategic Income Fund, Ivy Mortgage Securities Fund

An amount payable on the first day of each month of $1.6958 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class I Shares --All Funds except Ivy Managed European/Pacific Fund
and Ivy Managed International Opportunities Fund

An amount payable on the first day of each month equal to 1/12 of .15
of 1% of the average daily net assets of the Class for the preceding
month.

 

Class Y Shares --All Funds except Ivy Managed European/Pacific Fund
and Ivy Managed International Opportunities Fund

An amount payable on the first day of each month equal to 1/12 of .15
of 1% of the average daily net assets of the Class for the preceding
month.

 

Advisor Class Shares--Ivy Cundill Global Value
Fund, Ivy European Opportunities Fund, Ivy Global Natural Resources Fund, Ivy
International Core Equity Fund, Ivy International Growth Fund, Ivy Pacific
Opportunities Fund

An amount payable on the first day of each month of $1.5042 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class II
Shares--Ivy Cundill Global Value Fund, Ivy International Growth Fund

An amount payable on the first day of each month of $1.5042 for each
account of the Trust which was in existence during any portion of the
immediately preceding month.

 

Class R Shares--Ivy Global Natural Resources
Fund, Ivy Real Estate Securities Fund

An amount payable on the first day of each month equal to 1/12 of .20
of 1% of the average daily net assets of the Class for the preceding
month.

 

All Classes--Ivy
Managed European/Pacific Fund and Ivy Managed International Opportunities Fund

No fee is charged to Ivy Managed European/Pacific Fund and Ivy Managed
International Opportunities Fund as compensation for services rendered under
this Shareholder Servicing Agreement. 
These Funds do, however, reimburse any “out-of-pocket” expenses incurred
by WRSCO in the performance of its duties under this Agreement.

 

 

9

 

The
above-referenced per account fees shall be reduced for certain networked
accounts to $6.00 per account on an annualized basis computed and payable on
the first day of each month for each account which was in existence during any
portion of the immediately preceding month.

 

The
above-referenced per account fees for Class A, Class B, Class C,
Class E, Class II and Advisors Class shall also be reduced if
the total number of accounts for which WRSCO provides shareholder services
reach the following levels:

 

A
reduction of 5% of the per account fee for the number of accounts in excess of
2.5 million but less than 3.0 million; and

 

A
reduction of 10% of the per account fee for the number of accounts in excess of
3.0 million.

 

When
considering the total number of accounts for the purpose of the reductions
listed above, Class A, Class B, Class C, Class E, Class II
and Advisors Class accounts in each of the Ivy Funds, Ivy Funds, Inc.
and Waddell &Reed Advisors Funds are included; however, accounts in Class I,
Class R and Class Y of each such fund and Waddell & Reed
InvestEd accounts are excluded.

 

 

As
Amended February 13, 2008 to reflect redesignation of Ivy Managed
EuroPacific Fund as Ivy Managed European/Pacific Fund, and to add Ivy Global
Strategic Income Fund.

 

 

10

 

EXHIBIT
C

 

	
   

  	
   

  	
   

  	
   

  	
  Bond
  or

  	
   

  	
   

  	
   

  
	
  Name of Bond

  	
   

  	
   

  	
   

  	
  Policy
  No.

  	
   

  	
  Insurer

  	
   

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

  	
   

  	
   

  	
   

  	
  ---------

  	
   

  	
  -------

  	
   

  
	
  Investment Company

  	
   

  	
   

  	
   

  	
  87015109B

  	
   

  	
  ICI

  	
   

  
	
  Blanket Bond Form

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Mutual

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Insurance

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Company

  	
   

  
	
  Fidelity

  	
   

  	
  $30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Audit Expense

  	
   

  	
  50,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  On Premises

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  In Transit

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Forgery or Alteration

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Securities

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Counterfeit Currency

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Uncollectible Items of

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Deposit

  	
   

  	
  25,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Phone-Initiated Transactions

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Computer Security

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Directors and Officers/

  	
   

  	
   

  	
   

  	
  87015107D

  	
   

  	
  ICI

  	
   

  
	
  Errors and Omissions Liability

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Mutual

  	
   

  
	
  Insurance Form

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Insurance

  	
   

  
	
  Total Limit

  	
   

  	
  $30,000,000

  	
   

  	
   

  	
   

  	
  Company

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Blanket Undertaking Lost Instrument

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Waiver of Probate

  	
   

  	
   

  	
   

  	
  42SUN339806

  	
   

  	
  Hartford

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Casualty

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Insurance

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Effective May 31, 2009

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

11

 

APPENDIX A

 

 

	
  Series

  	
   

  	
  Agreement
  effective

  
	
   

  	
   

  	
   

  
	
  Ivy
  Balanced Fund

  	
   

  	
  September 3,
  2003

  
	
  Ivy
  Bond Fund

  	
   

  	
  September 3,
  2003

  
	
  Ivy
  Cundill Global Value Fund

  	
   

  	
  April 9,
  2003

  
	
  Ivy
  Dividend Income Fund

  	
   

  	
  April 9,
  2003

  
	
  Ivy
  European Opportunities Fund

  	
   

  	
  April 9,
  2003

  
	
  Ivy
  Global Natural Resources Fund

  	
   

  	
  April 9,
  2003

  
	
  Ivy
  Global Strategic Income Fund

  	
   

  	
  February 13,
  2008

  
	
  Ivy
  International Growth Fund

  	
   

  	
  April 9,
  2003

  
	
  Ivy
  International Balanced Fund

  	
   

  	
  September 3,
  2003

  
	
  Ivy
  International Core Equity Fund

  	
   

  	
  April 9,
  2003

  
	
  Ivy
  Managed European/Pacific Fund

  	
   

  	
  November 29,
  2006

  
	
  Ivy
  Managed International Opportunities Fund

  	
   

  	
  November 29,
  2006

  
	
  Ivy
  Mortgage Securities Fund

  	
   

  	
  September 3,
  2003

  
	
  Ivy
  Pacific Opportunities Fund

  	
   

  	
  April 9,
  2003

  
	
  Ivy
  Real Estate Securities Fund

  	
   

  	
  September 3,
  2003

  
	
  Ivy
  Small Cap Value Fund

  	
   

  	
  September 3,
  2003

  
	
  Ivy
  Value Fund

  	
   

  	
  September 3,
  2003

  

 

 

12Exhibit 10.31

 

SHAREHOLDER SERVICING
AGREEMENT

 

THIS
AGREEMENT, as amended and restated April 1, 1996, between W&R FUNDS,
INC., (the “Company”), and Waddell & Reed Services Company (the “Agent”),
and further amended August 22, 2001,

 

W I T N
E S S E T H :

 

WHEREAS,
The Company wishes, as applicable, to appoint the Agent or to continue the
appointment of the Agent to be its shareholder servicing agent upon, and
subject to, the terms and provisions of this Agreement;

 

NOW
THEREFORE, in consideration of the mutual covenants contained in this
Agreement, the parties agree as follows:

 

1.                                    Appointment of Agent as Shareholder Servicing
Agent for the Company; Acceptance.

 

(1)        The Company hereby appoints the Agent to
act as Shareholder Servicing Agent for the Company upon, and subject to, the
terms and provisions of this Agreement.

 

(2)        The Agent hereby accepts the appointment
as Shareholder Servicing Agent for the Company and agrees to act as such upon,
and subject to, the terms and provisions of this Agreement.

 

(3)        The Agent may appoint an entity or
entities approved by the Company in writing to perform any portion of Agent’s
duties hereunder (the “Subagent”).

 

2.         Definitions.

 

(1)                              In this Agreement -

 

(a)        The term the “Act” means the Investment
Company Act of 1940 as amended from time to time;

 

(b)        The term “account” means the shares of
the Company registered on the books of the Company in the name of a shareholder
under a particular account registration number and includes shares subject to
instructions by the shareholder with respect to periodic redemptions and/or
reinvestment in additional shares of any dividends payable on said shares;

 

(c)        The term “affiliate” of a person shall
mean a person controlling, controlled by, or under common control with that
person;

 

(d)        The term “Class” shall mean each
separate sub-class of a class of shares of the Company, as may now or in the
future exist;

 

(e)        The term “Fund” shall mean each separate
class of shares of the Company, as may now or in the future exist;

 

 

(f)         The term “officers’ instruction” means
an instruction given on behalf of the Company to the Agent and signed on behalf
of the Company by any one or more persons authorized to do so by the Company’s
Board of Directors;

 

(g)        The term “prospectus” means the
prospectus and Statement of Additional Information of the applicable Fund or Class from
time to time in effect;

 

(h)        The term “shares” means shares including
fractional shares of capital stock of the Company, whether or not such shares
are evidenced by an outstanding stock certificate issued by the Company;

 

(i)         The term “shareholder” shall mean the
owner of record of shares of the Company;

 

(j)         The term “stock certificate” means a
certificate representing shares in the form then currently in use by the
Company.

 

3.                                    Duties of the Agent.

 

The
Agent shall perform such duties as shall be set forth in this paragraph 3 and
in accordance with the practice stated in Exhibit A of this Agreement or
any amendment thereof, any or all of which duties may be delegated to or performed
by one or more Subagents pursuant to Paragraph (3) above.

 

(1)                              Transfers.

 

Subject
to the provisions of this Agreement the Agent hereby agrees to perform the
following functions as transfer agent for the Company:

 

(a)        Recording the ownership, transfer,
exchange and cancellation of ownership of shares of the Company on the books of
the Company;

 

(b)        Causing the issuance, transfer, exchange
and cancellation of stock certificates;

 

(c)        Establishing and maintaining records of
accounts;

 

(d)        Computing and causing to be prepared and
mailed or otherwise delivered to shareholders payment checks including bank
wire transfers and notices of reinvestment in additional shares of dividends,
stock dividends or stock splits declared by the Company on shares and of redemption
proceeds due by the Company on redemption of shares;

 

(e)        Causing checking accounts to be
available and maintained for shareholders who elect to redeem shares by drawing
checks on such accounts, including accepting or rejecting signatures on all checks
drawn on the checking account and notifying the payor bank to dishonor any
check the Agent deems not to be validly signed;

 

 

(f)         Furnishing to shareholders such
information as may be reasonably required by the Company, including appropriate
income tax information;

 

(g)        Addressing and mailing to shareholders
prospectuses, annual and semi-annual reports and proxy materials for
shareholder meetings prepared by or on behalf of the Company;

 

(h)        Replacing allegedly lost, stolen or
destroyed stock certificates in accordance with and subject to procedures and
conditions agreed upon and set out in officers’ instructions;

 

(i)         Maintaining such books and records
relating to transactions effected by the Agent pursuant to this Agreement as
are required by the Act, or by rules or regulations thereunder, or by any
other applicable provisions of law, to be maintained by the Company or its
transfer agent with respect to such transactions; preserving, or causing to be
preserved, any such books and records for such periods as may be required by
any such law, rule or regulation; furnishing the Company such information
as to such transactions and at such time as may be reasonably required by it to
comply with applicable laws and regulations;

 

(j)         Providing such services and carrying
out such responsibilities on behalf of the Company, or imposed on the Agent as
the Company’s transfer agent, not otherwise expressly provided for in this
Paragraph 3, as may be required by or be reasonably necessary to comply with
any statute, act, governmental rule, regulation or directive or court order,
including, without limitation, the requirements imposed by the Tax Equity and
Fiscal Responsibility Act of 1982 and the Income and Dividend Tax Compliance
Act of 1983 relating to the withholding of tax from distributions to
shareholders.

 

(2)                              Correspondence.

 

The
Agent agrees to deal with and answer all correspondence from or on behalf of
shareholders relating to its functions under this Agreement.

 

4.                                    Compensation of the Agent.

 

The
Company agrees to pay the Agent for its services under this Agreement in
accordance with the schedule as then in effect set forth in Exhibit B of
this Agreement or any amendment thereof. 
In addition, the Company agrees to reimburse the Agent for the following
“out-of-pocket” expenses of the Agent within five days after receipt of an
itemized statement of such expenses, to the extent that payment of such
expenses has not been or is not to be made directly by the Company: (i) costs
of stationery, appropriate forms, envelopes, checks, postage, printing (except
cost of printing prospectuses, annual and semi-annual reports and proxy
materials) and mailing charges, including returned mail and proxies, incurred
by the Agent with respect to materials and communications sent to shareholders
in carrying out its duties to the Company under this Agreement, bank charges
for wire transfers pursuant to Section 3(1)(d) herein above, and
maintenance of shareholder checking accounts pursuant to Section 3(1)(e) herein
above; (ii) long distance telephone costs incurred by the Agent for
telephone communications and microfilm and storage costs 

 

 

for
transfer agency records and documents; (iii) costs of all ancillary and
supporting services and related expenses (other than insurance premiums)
reasonably required by and provided to the Agent, other than by its employees
or employees of an affiliate, with respect to functions of the Company being
performed by it in its capacity as Agent hereunder, including legal advice and
representation in litigation to the extent that such payments are permitted
under Paragraph 7 of this Agreement and charges to Agent made by any Subagent; (iv) costs
for special reports or information furnished on request pursuant to this
Agreement and not specifically required by the Agent by Paragraph 3 of this
Agreement; and (v) reasonable costs and expenses incurred by the Agent in
connection with the duties of the Agent described in Paragraph (3)(1)(i).  In addition, the Company agrees to promptly
pay over to the Agent any fees or payment of charges it may receive from a
shareholder for services furnished to the shareholder by the Agent.

 

Services
and operations incident to the sale and distribution of the Company’s shares,
including sales communications, confirmations of investments (not including
reinvestment of dividends) and the clearing or collection of payments will not
be for the account or at the expense of the Company under this Agreement.

 

5.                                    Right of Company to Inspect Records, etc.

 

The
Company will have the right under this Agreement to perform on site inspection
of records and accounts and to perform audits directly pertaining to the
Company shareholder accounts serviced by the Agent hereunder at the Agent’s or
any Subagent’s facilities in accordance with reasonable procedures at the
frequency necessary to assure proper administration of the Agreement.  The Agent will cooperate with the Company’s
auditors or representatives of appropriate regulatory agencies and furnish all
reasonably requested records and data.

 

6.                                    Insurance.

 

The
Agent now has the insurance coverage described in Exhibit C, attached
hereto, and the Agent will not take any action to eliminate or decrease such
coverage during the term of this Agreement without receiving the approval of
the Fund in advance of any change, except the Agent, after giving reasonable
notice to the Company, may eliminate or decrease any coverage if the premiums
for such coverage are substantially increased.

 

The
Company, at its expense, will include as part of its insurance coverages
maintained pursuant to Section 17(j) of the Investment Company Act of
1940 fidelity insurance with respect to forgery or alteration of checks drawn
on its checking account referred to in Section 3(1)(e) of the
Agreement subject to such deductible for this particular coverage as it may
deem appropriate.  The Agent will
maintain at its expense such insurance coverages with respect to the Agent’s
duties under Section 3(1)(e) for loss caused by errors or omissions
as it deems appropriate.  Any loss to the
Company by reason of the deductible on coverages maintained by it hereunder
shall be paid by the Agent.

 

7.                                    Standard of Care; Indemnification.

 

 

The
Agent will at all times exercise due diligence and good faith in performing its
duties hereunder.  The Agent will make
every reasonable effort and take all reasonably available measures to assure
the adequacy of its personnel and facilities as well as the accurate
performance of all services to be performed by it hereunder within, at a
minimum, the time requirements of any applicable statutes, rules or
regulations or as set forth in the prospectus.

 

The
Agent shall not be responsible for, and the Company agrees to indemnify the
Agent for any losses, damages or expenses (including reasonable counsel fees
and expenses) (i) resulting from any claim, demand, action or suit not
resulting from the Agent’s failure to exercise good faith or due diligence and
arising out of or in connection with the Agent’s duties on behalf of the
Company hereunder; (ii) for any delay, error or omission by reason of
circumstances beyond its control, including acts of civil or military
authority, national emergencies, labor difficulties (except with respect to the
Agent’s employees), fire, mechanical breakdown beyond its control, flood or
catastrophe, acts of God, insurrection, war, riots, or failure beyond its
control of transportation, communication or power supply; or (iii) for any
action taken or omitted to be taken by the Agent in good faith in reliance on (a) the
authenticity of any instrument or communication reasonably believed by it to be
genuine and to have been properly made and signed or endorsed by an appropriate
person, (b) the accuracy of any records or information provided to it by
the Company, (c) any authorization or instruction contained in any
officers’ instruction, or (d) with respect to the functions performed for
the Company listed under Paragraph 3(1) of this Agreement, any advice of
counsel approved by the Company who may be internally employed counsel or outside
counsel, in either case for the Company and/or the Agent.

 

In
order for the rights to indemnification to apply, it is understood that if in
any case the Company may be asked to indemnify or hold the Agent harmless, the
Company shall be advised of all pertinent facts concerning the situation in
question, and it is further understood that the Agent will use reasonable care
to identify and notify the Company promptly concerning any situation which
presents or appears likely to present a claim for indemnification against the
Company.  The Company shall have the
option to defend the Agent against any claim which may be the subject of this
indemnification and, in the event that the Company so elects, it will so notify
the Agent and thereupon the Company shall take over complete defense of the
claim and the Agent shall sustain no further legal or other expenses in such
situation for which the Agent shall seek indemnification under this
paragraph.  The Agent will in no case
confess any claim or make any compromise in any case in which the Company will
be asked to indemnify the Agent except with the Company’s prior written
consent.

 

8.                                    Term of the Agreement; Taking Effect;
Amendments.

 

This
Agreement shall become effective at the start of business on the date hereof
and shall continue, unless terminated as hereinafter provided, for a period of
one year and from year to year thereafter, provided that such continuance shall
be specifically approved as provided below.

 

 

This
Agreement shall go into effect, or may be continued, or may be amended or a new
agreement between the Company and the Agent covering the substance of this
Agreement may be entered into only if the terms of this Agreement, such
continuance, the terms of such amendment or the terms of such new agreement
have been approved by the Board of Directors of the Company, including the vote
of a majority of the directors who are not “interested persons,” as defined in
the Act, of either party to this Agreement or of Waddell & Reed
Investment Management Company, cast in person at a meeting called for the
purpose of voting on such approval.  Such
a vote is hereinafter referred to as a “disinterested director vote.”

 

Any
disinterested director vote shall include a determination that (i) the
Agreement, amendment, new agreement or continuance in question is in the best
interests of the Company and its shareholders; (ii) the services to be
performed under the Agreement, the Agreement as amended, new agreement or
agreement to be continued, are services required for the operation of the
Company; (iii) the Agent can provide services the nature and quality of
which are at least equal to those provided by others offering the same or
similar services; and (iv) the fees for such services are fair and
reasonable in the light of the usual and customary charges made by others for
services of the same nature and quality.

 

9.                                    Termination.

 

(1)        This Agreement may be terminated by the
Agent at any time without penalty upon giving the Company 120 days’ written
notice (which notice may be waived by the Company) and may be terminated by the
Company at any time without penalty upon giving the Agent sixty (60) days’
written notice (which notice may be waived by the Agent), provided that such
termination by the Company shall be directed or approved by the vote of a
majority of the Board of Directors of the Company in office at the time or by
the vote of the holders of a majority (as defined in or under the Act) of the
outstanding shares of the Company.

 

(2)        On termination, the Agent will deliver
to the Company or its designee all files, documents and records of the Company
used, kept or maintained by the Agent in the performance of its services
hereunder, including such of the Company’s records in machine readable form as
may be maintained by the Agent, as well as such summary and/or control data
relating thereto used by or available to the Agent.

 

(3)        In the event of any termination which
involves the appointment of a new shareholder servicing agent, including the
Company’s acting as such on its own behalf, the Company shall have the
non-exclusive right to the use of the data processing programs used by the
Agent in connection with the performance of its duties under this Agreement
without charge.

 

(4)        In addition, on such termination or in
preparation therefore, at the request of the Company and at the Company’s
expense the Agent shall provide to the extent that its capabilities then permit
such documentation, personnel and equipment as may be reasonably necessary in
order for a new agent or the Company to fully assume and commence to perform
the agency functions described in this Agreement with a minimum disruption to
the Company’s activities.

 

 

10.                            Construction; Governing Law.

 

The
headings used in this Agreement are for convenience only and shall not be
deemed to constitute a part hereof. 
Whenever the context requires, words denoting singular shall be read to
include the plural.  This Agreement and
the rights and obligations of the parties hereunder, shall be construed and
interpreted in accordance with the laws of the State of Kansas, except to the
extent that the laws of the State of Maryland apply with respect to share
transactions.

 

11.                            Representations and Warranties of Agent.

 

Agent
represents and warrants that it is a corporation duly organized and existing
and in good standing under the laws of the State of Missouri, that it is duly
qualified to carry on its business in the State of Kansas and wherever its
duties require, that it has the power and authority under laws and by its Articles
of Incorporation and Bylaws to enter into this Shareholder Servicing Agreement
and to perform the services contemplated by this Agreement.

 

12.                            Entire Agreement.

 

This
Agreement and the Exhibits annexed hereto constitutes the entire and complete
agreement between the parties hereto relating to the subject matter hereof,
supersedes and merges all prior discussions between the parties hereto, and may
not be modified or amended orally.

 

IN
WITNESS WHEREOF, the parties have hereto caused this Agreement to be duly
executed on the day and year first above written.

 

	
   

  	
  W&R FUNDS, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
    /s/Daniel
  C. Schulte

  
	
   

  	
   

  	
  Daniel C. Schulte, Vice President

  

 

	
  ATTEST:

  
	
   

  
	
  By: 

  	
  /s/Kristen A.Richards

  
	
   

  	
  Kristen A. Richards, Secretary

  

 

 

	
   

  	
  WADDELL & REED SERVICES COMPANY

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/Michael D. Strohm

  
	
   

  	
   

  	
  Michael D. Strohm, President

  

 

 

	
  ATTEST:

  
	
   

  
	
  By: /s/Daniel C. Schulte

  
	
  Daniel C. Schulte, Secretary

  

 

 

 

EXHIBIT A

 

A.        DUTIES IN SHARE TRANSFERS AND
REGISTRATION

 

1.         The Agent in carrying out its duties
shall follow general commercial practices and the Rules of the Stock
Transfer Association, Inc. except as they may conflict or be inconsistent
with the specific provisions of the Company’s Articles of Incorporation and
Bylaws, prospectus, applicable Federal and state laws and regulations and this
Agreement.

 

2.         The Agent shall not require that the
signature of the appropriate person be guaranteed, witnessed or verified in
order to effect a redemption, transfer, exchange or change of address except as
may from time to time be directed by the Company as set forth in an officers’
instruction.  In the event a signature
guarantee is required by the Company, the Agent shall not inquire as to the
genuineness of the guarantee.

 

3.         The Agent shall not replace a lost,
stolen or misplaced stock certificate without requiring and being furnished
with an open penalty surety bond protecting the Company and the Agent against
loss.

 

B.         The practices, procedures and
requirements specified in A above may be modified, altered, varied or
supplemented as from time to time may be mutually agreed upon by the Company
and the Agent and evidenced on behalf of the Company by an officers’ instruction.  Any such change shall not be deemed to be an
amendment to the Agreement within the meaning of Paragraph 8 of the Agreement.

 

 

SHAREHOLDER SERVICING AGREEMENT

 

IVY FUNDS, INC.

 

EXHIBIT B

COMPENSATION

 

Class A
Shares of Asset Strategy Fund (“Fund”)

An
amount payable on the first day of each month of $1.5792 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class A
Shares of High Income Fund and Municipal Bond Fund (each a “Fund”)

An
amount payable on the first day of each month of $1.6958 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class A Shares of Energy Fund, Large Cap Growth
Fund, Mid Cap Growth Fund, Science and Technology Fund, Small Cap Growth Fund,
Tax-Managed Equity Fund and Core Equity Fund (each a “Fund”)

An
amount payable on the first day of each month of $1.5042 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class A shares of Limited-Term Bond Fund (“Fund”)

An
amount payable on the first day of each month of $1.6958 for each account of
the Fund which was in existence during any portion of the immediately preceding
month and, in addition, the Fund also pays the Agent a monthly fee of $0.75 for
each shareholder check it processes.

 

Class A
Shares of Money Market Fund (“Fund”)

An
amount payable on the first day of each month of $1.75 for each account of the
Fund which was in existence during any portion of the immediately preceding
month and, in addition, the Fund also pays the Agent a monthly fee of $0.75 for
each shareholder check it processes.

 

Class B
Shares of Asset Strategy Fund (“Fund”)

An
amount payable on the first day of each month of $1.5792 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class B Shares of High
Income Fund, Limited-Term Bond Fund and Municipal Bond Fund (each a “Fund”)

An
amount payable on the first day of each month of $1.6958 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class B
Shares of Energy Fund, Large Cap Growth Fund, Mid Cap Growth Fund, Science and
Technology Fund, Small Cap Growth Fund, Tax-Managed Equity Fund and Core Equity
Fund (each a “Fund”)

An
amount payable on the first day of each month of $1.5042 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class B
Shares of Money Market Fund (“Fund”)

An
amount payable on the first day of each month of $1.75 for each account of the
Fund which was in existence during any portion of the immediately preceding
month.

 

 

Class C
Shares of Asset Strategy Fund (“Fund”)

An
amount payable on the first day of each month of $1.5792 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class C Shares of High Income Fund,
Limited-Term Bond Fund and Municipal Bond Fund (each a “Fund”)

An
amount payable on the first day of each month of $1.6958 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class C Shares of Energy Fund, Large Cap Growth
Fund, Mid Cap Growth Fund, Science and Technology, Small Cap Growth Fund,
Tax-Managed Equity Fund and Core Equity Fund (each a “Fund”)

An
amount payable on the first day of each month of $1.5042 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class C
Shares of Money Market Fund (“Fund”)

An
amount payable on the first day of each month of $1.75 for each account of the
Fund which was in existence during any portion of the immediately preceding
month.

 

Class E
Shares of Asset Strategy Fund (“Fund”)

An
amount payable on the first day of each month of $1.5792 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class E
Shares of High Income Fund (“Fund”)

An
amount payable on the first day of each month of $1.6958 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class E Shares of Energy Fund, Large Cap Growth
Fund, Mid Cap Growth Fund, Science and Technology Fund, Small Cap Growth Fund,
Tax-Managed Equity Fund and Core Equity Fund (each a “Fund”)

An
amount payable on the first day of each month of $1.5042 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class E shares of Limited-Term Bond Fund (“Fund”)

An
amount payable on the first day of each month of $1.6958 for each account of
the Fund which was in existence during any portion of the immediately preceding
month.

 

Class E
Shares of Money Market Fund (“Fund”)

An
amount payable on the first day of each month of $1.75 for each account of the
Fund which was in existence during any portion of the immediately preceding
month.

 

Class I Shares of All Funds (except Ivy Money Market
Fund and Ivy Municipal Bond Fund)

An
amount payable on the first day of each month equal to 1/12 of .15 of 1% of the
average daily net assets of the Class for the preceding month.

 

Class R Shares of Large
Cap Growth Fund, Mid Cap Growth Fund, Science and Technology Fund and Small Cap
Growth Fund (each a “Fund”)

An
amount payable on the first day of each month equal to 1/12 of .20 of 1% of the
average daily net assets of the Class for the preceding month.

 

 

Class Y Shares of All Funds

An
amount payable on the first day of each month equal to 1/12 of .15 of 1% of the
average daily net assets of the Class for the preceding month.

 

The
above-referenced per account fees shall be reduced for certain networked
accounts to $6.00 per account on an annualized basis computed and payable on
the first day of each month for each account which was in existence during any
portion of the immediately preceding month.

 

The
above-referenced per account fees for Class A, Class B, Class C
and Class E shall also be reduced if the total number of accounts for
which WRSCO provides shareholder services reach the following levels:

 

A
reduction of 5% of the per account fee for the number of accounts in excess of
2.5 million but less than 3.0 million; and

 

A
reduction of 10% of the per account fee for the number of accounts in excess of
3.0 million.

 

When
considering the total number of accounts for the purpose of the reductions
listed above, Class A, Class B, Class C, Class E, Class II
and Advisors Class accounts in each of the Ivy Funds, Ivy Funds, Inc.
and Waddell &Reed Advisors Funds are included; however, accounts in Class I,
Class R and Class Y of each such fund and Waddell & Reed
InvestEd accounts are excluded.

 

Fee
Schedule Amended and Effective November 29, 2006.

 

 

EXHIBIT
C

 

	
   

  	
   

  	
   

  	
   

  	
  Bond
  or

  	
   

  	
   

  	
   

  
	
  Name of Bond

  	
   

  	
   

  	
   

  	
  Policy
  No.

  	
   

  	
  Insurer

  	
   

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

  	
   

  	
   

  	
   

  	
  ---------

  	
   

  	
  -------

  	
   

  
	
  Investment Company

  	
   

  	
   

  	
   

  	
  87015109B

  	
   

  	
  ICI

  	
   

  
	
  Blanket Bond Form

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Mutual

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Insurance

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Company

  	
   

  
	
  Fidelity

  	
   

  	
  $30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Audit Expense

  	
   

  	
  50,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  On Premises

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  In Transit

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Forgery or Alteration

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Securities

  	
   

  	
  30,300000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Counterfeit Currency

  	
   

  	
  30,300000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Uncollectible Items of

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Deposit

  	
   

  	
  25,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Phone-Initiated Transactions

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Computer Security

  	
   

  	
  30,300,000

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Directors and Officers/

  	
   

  	
   

  	
   

  	
  87015109D

  	
   

  	
  ICI

  	
   

  
	
  Errors and Omissions Liability

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Mutual

  	
   

  
	
  Insurance Form

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Insurance

  	
   

  
	
  Total Limit

  	
   

  	
  $30,000,000

  	
   

  	
   

  	
   

  	
  Company

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Blanket Undertaking Lost Instrument

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Waiver of Probate

  	
   

  	
   

  	
   

  	
  42SUN339806

  	
   

  	
  Hartford

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Casualty

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Insurance

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Effective May 31, 2009

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00169-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00169-of-00352.parquet"}]]