Exhibit-(g)(xxi)
AMENDMENT
This Amendment amends the Custodian Services Agreement between Schwab
Capital Trust (the "Fund") and PFPC Trust Company ("PFPC") made as of February
21, 1996 (as subsequently amended and assigned). The date of this Amendment is
as of July 2, 2001.
The parties agree as follows:
PFPC will provide to the Fund the risk analysis and monitoring required under
sub-sections (a)(1)(i)(A) and (B) of Rule 17f-7 ("Rule 17f-7") under the
Investment Company Act of 1940 (the "1940 Act") subject to and in accordance
with the provisions set out below, and in consideration of the provision of such
risk analysis and monitoring the Fund agrees to the provisions set out below.
1. (a) For such consideration (if any) as agreed and as
contemplated by Rule 17f-7, PFPC will provide a written analysis (which may be
in electronic form) to the Fund and its investment adviser of the custody risks
associated with maintaining the Fund's "Foreign Assets" (as that term is defined
in Rule 17f-5(a)(2) under the 1940 Act) with each "Eligible Securities
Depository" (as that term is defined in Rule 17f-7(b)(1)) listed on Exhibit B
hereto (as the same may be changed by PFPC from time to time) and at which any
Foreign Assets of the Fund are held or are expected to be held. PFPC shall
monitor the custody risks associated with maintaining the Fund's Foreign Assets
at each such Eligible Securities Depository on a continuing basis and shall
promptly notify the Fund or its investment adviser in writing (which may be in
electronic form) of any material change in such risks.
(b) Based on the information available to it in the exercise of
diligence, PFPC shall determine the eligibility under Rule 17f-7(b)(1) of each
depository listed on Exhibit B hereto (as the same may be changed by PFPC from
time to time) and shall promptly advise the Fund or its investment adviser in
writing (which may be in electronic form) if any such depository ceases to meet
the definition of an Eligible Securities Depository (as that term is defined in
Rule 17f-7(b)(1)).
2. The Fund acknowledges that it may maintain Foreign Assets only
at the depositories listed on Exhibit B hereto (as the same may be changed by
PFPC from time to time). Unless the Fund provides written notice to PFPC
specifically stating that a particular depository is not acceptable to it, the
Fund agrees and acknowledges that its Foreign Assets may be held at any of the
depositories listed on Exhibit B hereto.
3. In providing services pursuant to this Amendment, PFPC shall
exercise reasonable care, prudence and diligence. PFPC will indemnify the Fund
with respect to the services set forth in this Amendment for the losses,
liabilities and expenses suffered by the Fund as a result of PFPC's (a) failure
to exercise such reasonable care, prudence and diligence, and (b) willful
misfeasance, bad faith, negligence or reckless disregard in carrying out its
duties and obligations under this Amendment, provided that in no event will PFPC
be liable for any indirect, special or consequential losses or damages
(regardless of whether PFPC was aware of the possibility thereof). The Fund will
indemnify PFPC for losses, liabilities and expenses suffered by PFPC with
respect to the matters set forth in this Amendment, except for such losses,
liabilities and expenses arising out of PFPC's own (a) failure to exercise
reasonable care, prudence and diligence, or (b) willful misfeasance, bad faith,
negligence or reckless disregard of its duties and obligations under this
Amendment, provided that in no event will the Fund be
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liable for any indirect, special or consequential losses or damages (regardless
of whether the Fund was aware of the possibility thereof).
4. The Fund represents that the Foreign Assets which are the
subject matter of this document are subject to the 1940 Act.
5. Notwithstanding the provisions of any arrangements between the
Fund and PFPC or otherwise, the Fund hereby agrees that Foreign Assets may be
maintained with any Eligible Securities Depository listed on Exhibit B hereto
(unless the Fund provides written notice to PFPC specifically stating that a
particular depository is not acceptable to it). PFPC will not be deemed to have
chosen any such Eligible Securities Depositories.
6. The Fund acknowledges that PFPC (at its own expense) may utilize
a third party to carry out PFPC's activities set forth herein, provided however,
that the appointment or use of a third party will not relieve PFPC of its
obligations and responsibilities under this Amendment and PFPC will be
responsible and liable to the Fund for the acts or omissions of such third party
to the same extent that PFPC would be responsible and liable to the Fund if such
acts or omissions were PFPC's own in providing the services set forth in this
Amendment (provided that in no event will PFPC be liable for any indirect,
special or consequential losses or damages (regardless of whether PFPC or such
third party was aware of the possibility thereof)).
This Amendment shall supercede and replace the Amendment between PFPC and the
Fund dated as of the same date hereof and relating to the risk analysis and
monitoring required by Rule 17f-7.
7. This Amendment and the provisions hereof shall be construed in
accordance with the laws of the State of New York, without regard to its
conflict of laws principles. This Amendment may be executed in counterparts, all
of which when taken together shall constitute one contract. Delivery of an
executed counterpart of this Amendment by facsimile transmission shall be
effective as delivery of a manually executed counterpart of this Amendment. Each
party hereto represents that it has taken all requisite action (corporate or
otherwise) to authorize the execution and delivery of this Amendment.
Agreed:
PFPC TRUST COMPANY
By: /s/ Xxxxxx Xxxxxxxx
---------------------------
Name: Xxxxxx Xxxxxxxx
---------------------------
Title: Chairman
---------------------------
SCHWAB CAPITAL TRUST
By: /s/ Tai-Xxxx Xxxx
---------------------------
Name: Tai-Xxxx Xxxx
---------------------------
Title: Chief Financial Officer
---------------------------
2
Exhibit A
Intentionally left blank
3
Exhibit B
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COUNTRY DEPOSITORY INSTRUMENTS
-----------------------------------------------------------------------------------------------------
ARGENTINA CVSA Equity, Corporate Debt, Government Debt
(Caja de Valores S.A.)
-----------------------------------------------------------------------------------------------------
ARGENTINA CRYL Government Debt
(Central de Registration y
Liquidacion de Instrumentos de
Endeudamiento Publico)
-----------------------------------------------------------------------------------------------------
AUSTRALIA AUSTRACLEAR LIMITED Corporate Debt, Money Market,
Semi-Government Debt
-----------------------------------------------------------------------------------------------------
AUSTRALIA CHESS Equity
(Clearing House Electronic
Sub-register System)
-----------------------------------------------------------------------------------------------------
AUSTRALIA RITS Government Debt
(Reserve Bank of Australia/Reserve
Bank Information and Transfer System)
-----------------------------------------------------------------------------------------------------
AUSTRIA OEKB Equity, Corporate Debt, Government Debt
(OESTERREICHISCHE KONTROLLBANK AG)
-----------------------------------------------------------------------------------------------------
BELGIUM CIK Equity, Corporate Debt
(Caisse Interprofessionnelle de
Depots et de Virements de Titres S.A.)
-----------------------------------------------------------------------------------------------------
BELGIUM NBB Corporate Debt, Government Debt
(National Bank of Belgium)
-----------------------------------------------------------------------------------------------------
BRAZIL CBLC Equity
(Companhia Brasileira de Liquidacao e
Custodia)
-----------------------------------------------------------------------------------------------------
BRAZIL CETIP Corporate Debt
(Central de Custodia e Liquidacao
Financiera de Titulos Privados)
-----------------------------------------------------------------------------------------------------
BRAZIL SELIC Government Debt
(Sistema Especial de Liquidacao e
Custodia)
-----------------------------------------------------------------------------------------------------
BULGARIA BNB Government Debt
(Bulgaria National Bank)
-----------------------------------------------------------------------------------------------------
BULGARIA CDAD Equity, Corporate Debt
(Central Depository A.D.)
-----------------------------------------------------------------------------------------------------
CANADA CDS Equity, Corporate, Government Debt
(The Canadian Depository for
Securities Limited)
-----------------------------------------------------------------------------------------------------
CHILE DCV Equity, Corporate Debt, Government Debt
(Deposito Central de Valores S.A.)
-----------------------------------------------------------------------------------------------------
CHINA, SHANGHAI SSCCRC Equity
(Shanghai Securities Central
Clearing and Registration Corporation)
-----------------------------------------------------------------------------------------------------
CHINA, SHENZHEN SSCC Equity
(Shenzhen Securities Clearing
Company, Limited)
-----------------------------------------------------------------------------------------------------
COLOMBIA DCV Government Debt
(Deposito Central de Valores)
-----------------------------------------------------------------------------------------------------
4
-----------------------------------------------------------------------------------------------------
COUNTRY DEPOSITORY INSTRUMENTS
-----------------------------------------------------------------------------------------------------
COLOMBIA DECEVAL Equity, Corporate Debt, Government Debt
(Deposito Centralizado de Valores de
Colombia S.A.)
-----------------------------------------------------------------------------------------------------
CROATIA SDA Equity, Government Debt
(Central Depository Agency Inc. -
Stredisnja depozitarna agencija d.d.)
-----------------------------------------------------------------------------------------------------
CROATIA MINISTRY OF FINANCE OF THE REPUBLIC Short-term debt issued by the Ministry
OF CROATIA of Finance.
-----------------------------------------------------------------------------------------------------
CROATIA CNB Short-term debt issued by the National
(Croatian National Bank) Bank of Croatia.
-----------------------------------------------------------------------------------------------------
CZECH REPUBLIC SCP Equity, Corporate Debt, Government Debt
(Stredisko cennych papiru)
-----------------------------------------------------------------------------------------------------
CZECH REPUBLIC CNB Government Debt
(Czech National Bank)
-----------------------------------------------------------------------------------------------------
DENMARK VP Equity, Corporate Debt, Government Debt
(Vaerdipapircentralen A/S)
-----------------------------------------------------------------------------------------------------
EGYPT MCSD Equity, Corporate Debt
(Misr for Clearing, Settlement and
Depository, S.A.E.)
-----------------------------------------------------------------------------------------------------
ESTONIA ECDS Equity, Corporate Debt, Government Debt
(Estonian Central Depository for
Securities Limited - Eesti
Vaatpaberite Keskdepositoorium)
-----------------------------------------------------------------------------------------------------
EUROMARKET DCC Euro-CDs
(The Depository and Clearing Centre)
-----------------------------------------------------------------------------------------------------
EUROMARKET CLEARSTREAM Euro-Debt
(Clearstream Banking, S.A.)
-----------------------------------------------------------------------------------------------------
EUROMARKET EUROCLEAR Euro-Debt
-----------------------------------------------------------------------------------------------------
FINLAND APK Equity, Corporate Debt, Government Debt
(Finnish Central Securities
Depository Limited)
-----------------------------------------------------------------------------------------------------
FRANCE EUROCLEAR FRANCE Equity, Corporate Debt, Government Debt
-----------------------------------------------------------------------------------------------------
GERMANY Clearstream Equity, Corporate Debt, Government Debt
(CLEARSTREAM BANKING AG)
-----------------------------------------------------------------------------------------------------
GREECE CSD Equity, Corporate Debt
(Central Securities Depository S.A.)
-----------------------------------------------------------------------------------------------------
GREECE BOG Government Debt
(BANK OF GREECE)
-----------------------------------------------------------------------------------------------------
HONG KONG HKSCC Equity
(Hong Kong Securities Clearing
Company Limited)
-----------------------------------------------------------------------------------------------------
HONG KONG CMU Corporate Debt, Government Debt
(Central Moneymarkets Unit)
-----------------------------------------------------------------------------------------------------
HUNGARY KELER Equity, Corporate Debt, Government Debt
(Central Depository and Clearing
House - Kosponti Elszamolohaz es
Ertektar (Budapest) Rt.)
-----------------------------------------------------------------------------------------------------
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-----------------------------------------------------------------------------------------------------
COUNTRY DEPOSITORY INSTRUMENTS
-----------------------------------------------------------------------------------------------------
INDIA NSDL Equity, Corporate Debt, Government Debt
(National Securities Depository
Limited)
-----------------------------------------------------------------------------------------------------
INDIA CDSL Equity
(Central Depository Services (India)
Limited)
-----------------------------------------------------------------------------------------------------
INDIA RBI Government Debt
(Reserve Bank of India)
-----------------------------------------------------------------------------------------------------
INDONESIA KSEI Equity, Corporate Debt
(PT Kustodian Sentral Efek Indonesia)
-----------------------------------------------------------------------------------------------------
IRELAND CREST Equity, Corporate Debt
(CRESTCo Limited)
-----------------------------------------------------------------------------------------------------
ISRAEL TASE CLEARING HOUSE Equity, Corporate Debt, Government Debt
(Tel Aviv Stock Exchange Clearing
House)
-----------------------------------------------------------------------------------------------------
ITALY MONTE TITOLI S.P.A. Equity, Corporate Debt, Government Debt
-----------------------------------------------------------------------------------------------------
ITALY BANCA D'ITALIA Government Debt
-----------------------------------------------------------------------------------------------------
IVORY COAST DC/BR Equity
(Le Depositaire Central / Banque de
Reglement)
-----------------------------------------------------------------------------------------------------
JAPAN JASDEC Equity, Convertible Debt
(Japan Securities Depository Center)
-----------------------------------------------------------------------------------------------------
JAPAN BOJ Registered Government Debt
(Bank of Japan)
-----------------------------------------------------------------------------------------------------
KAZAHKSTAN CSD Equity
(CENTRAL SECURITIES DEPOSITORY CJSC)
-----------------------------------------------------------------------------------------------------
KENYA CBCD Government Debt
(Central Bank Central Depository)
-----------------------------------------------------------------------------------------------------
LATVIA LCD Equity, Corporate Debt, Government Debt
(Latvian Central Depository)
-----------------------------------------------------------------------------------------------------
LEBANON MIDCLEAR X.X.X. Equity
(Custodian and Clearing Center of
Financial Instruments for Lebanon
and the Middle East X.X.X.)
-----------------------------------------------------------------------------------------------------
LITHUANIA CSDL Equity, Corporate Debt, Government Debt
(Central Securities Depository of
Lithuania)
-----------------------------------------------------------------------------------------------------
LUXEMBOURG CLEARSTREAM Equity
(Clearstream Banking S.A.)
-----------------------------------------------------------------------------------------------------
MALAYSIA MCD Equity, Corporate Debt, Government Debt
(Malaysian Central Depository Sdn.
Bhd.)
-----------------------------------------------------------------------------------------------------
MAURITIUS CDS Equity, Corporate Debt
(Central Depository and Settlement
Company Limited)
-----------------------------------------------------------------------------------------------------
MEXICO INDEVAL Equity, Corporate Debt, Government Debt
(S.D. INDEVAL S.A. de C.V.)
-----------------------------------------------------------------------------------------------------
MOROCCO MAROCLEAR Equity, Corporate Debt, Government Debt
-----------------------------------------------------------------------------------------------------
NETHERLANDS NECIGEF Equity, Corporate Debt, Government Debt
-----------------------------------------------------------------------------------------------------
6
-----------------------------------------------------------------------------------------------------
COUNTRY DEPOSITORY INSTRUMENTS
-----------------------------------------------------------------------------------------------------
(Nederlands Centraal Insituut voor
Giraal Effectenverkeer B.V.)
-----------------------------------------------------------------------------------------------------
NEW ZEALAND NZCSD Equity, Corporate Debt, Government Debt
(New Zealand Central Securities
Depository)
-----------------------------------------------------------------------------------------------------
NIGERIA CSCS Equity, Corporate Debt, Government Debt
(Central Securities Clearing System
Limited)
-----------------------------------------------------------------------------------------------------
NORWAY VPS Equity, Corporate Debt, Government Debt
(Verdipapirsentralen)
-----------------------------------------------------------------------------------------------------
OMAN MDSRC Equity, Corporate Debt
(The Muscat Depository and
Securities Registration Company,
S.A.O.C.)
-----------------------------------------------------------------------------------------------------
PAKISTAN CDC Equity, Corporate Debt
(Central Depository Company of
Pakistan Limited)
-----------------------------------------------------------------------------------------------------
PAKISTAN SBP Government Debt
(State Bank of Pakistan)
-----------------------------------------------------------------------------------------------------
PERU CAVALI Equity, Corporate Debt, Government Debt
(CAVALI ICLV S.A.)
-----------------------------------------------------------------------------------------------------
PHILIPPINES PCD Equity
(Philippine Central Depository Inc.)
-----------------------------------------------------------------------------------------------------
PHILIPPINES XXXX Government Debt
(Bangko Sentral ng Pilipinas /
Register of Scripless Securities)
-----------------------------------------------------------------------------------------------------
POLAND NDS Equity, Long-Term Government Debt
(National Depository for Securities
S.A.)
-----------------------------------------------------------------------------------------------------
POLAND CRT Short-Term Government Debt
(Central Registry of Treasury-Bills)
-----------------------------------------------------------------------------------------------------
PORTUGAL CVM Equity, Corporate Debt, Government Debt
(Central de Valores Mobiliarios e
Sistema de Liquidacao e Compensacao)
-----------------------------------------------------------------------------------------------------
ROMANIA SNCDD Equity
(National Company for Clearing,
Settlement and Depository for
Securities)
-----------------------------------------------------------------------------------------------------
ROMANIA BSE Equity
(Bucharest Stock Exchange Registry)
-----------------------------------------------------------------------------------------------------
RUSSIA VTB Equity, Corporate Debt, Government Debt
(Vneshtorgbank) (Ministry of Finance Bonds)
-----------------------------------------------------------------------------------------------------
RUSSIA NDC Equity, Corporate Debt, Government Debt
(National Depository Centre)
-----------------------------------------------------------------------------------------------------
RUSSIA DCC Equity
(Depository Clearing Company)
-----------------------------------------------------------------------------------------------------
SINGAPORE CDP Equity, Corporate Debt
(The Central Depository (Pte) Limited)
-----------------------------------------------------------------------------------------------------
7
-----------------------------------------------------------------------------------------------------
COUNTRY DEPOSITORY INSTRUMENTS
-----------------------------------------------------------------------------------------------------
SINGAPORE SGS Government Debt
(Monetary Authority of Singapore /
Singapore Government Securities
Book-Entry System)
-----------------------------------------------------------------------------------------------------
SLOVAK REPUBLIC SCP Equity, Corporate Debt, Government Debt
(Stredisko cennych papierov SR
Bratislava, a.s.)
-----------------------------------------------------------------------------------------------------
SLOVAK REPUBLIC NBS Government Debt
(National Bank of Slovakia)
-----------------------------------------------------------------------------------------------------
SLOVENIA KDD Equity, Corporate Debt, Government Debt
(Centralna klirinsko depotna xxxxxx
x.x.)
-----------------------------------------------------------------------------------------------------
SOUTH AFRICA CDL Corporate Debt, Government Debt
(CENTRAL DEPOSITORY (PTY) LIMITED)
-----------------------------------------------------------------------------------------------------
SOUTH AFRICA STRATE Equity
(Share Transactions Totally Electronic)
-----------------------------------------------------------------------------------------------------
SOUTH KOREA KSD Equity, Corporate Debt, Government Debt
(Korea Securities Depository)
-----------------------------------------------------------------------------------------------------
SPAIN SCLV Equity, Corporate Debt
(Servicio de Compensacion y
Liquidacion de Valores, S.A.)
-----------------------------------------------------------------------------------------------------
SPAIN CBEO Government Debt
(Banco de Espana / Central Book
Entry Office)
-----------------------------------------------------------------------------------------------------
SRI LANKA CDS Equity, Corporate Debt
(Central Depository System (Private)
Limited)
-----------------------------------------------------------------------------------------------------
SWEDEN VPC Equity, Corporate Debt, Government Debt
(Vardepapperscentralen AB)
-----------------------------------------------------------------------------------------------------
SWITZERLAND SIS Equity, Corporate Debt, Government Debt
(SIS SegaInterSettle AG)
-----------------------------------------------------------------------------------------------------
TAIWAN TSCD Equity, Government Debt
(Taiwan Securities Central
Depository Co., Ltd.)
-----------------------------------------------------------------------------------------------------
THAILAND TSD Equity, Corporate Debt, Government Debt
(Thailand Securities Depository
Company Limited)
-----------------------------------------------------------------------------------------------------
TUNISIA STICODEVAM Equity, Corporate Debt, Government Debt
(Societe Tunisienne
Interprofessionnelle pour la
Compensation et le Depot des Valeurs
Mobilieres)
-----------------------------------------------------------------------------------------------------
TURKEY TAKASBANK Equity, Corporate Debt, Government Debt
(IMKB Takas ve Saklama Bankasi A.S.)
-----------------------------------------------------------------------------------------------------
UNITED KINGDOM CREST Equity, Corporate Debt, Government Debt
(CRESTCo Limited)
-----------------------------------------------------------------------------------------------------
UNITED KINGDOM CMO Sterling & Euro CDs, Commercial Paper
(Central Moneymarkets Office)
-----------------------------------------------------------------------------------------------------
UNITED STATES DTC Equity, Corporate Debt
(Depository Trust Company)
-----------------------------------------------------------------------------------------------------
UNITED STATES PTC Mortgage Back Debt
-----------------------------------------------------------------------------------------------------
8
-----------------------------------------------------------------------------------------------------
COUNTRY DEPOSITORY INSTRUMENTS
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(Participants Trust Company)
-----------------------------------------------------------------------------------------------------
UNITED STATES FED Government Debt
(THE FEDERAL RESERVE BOOK-ENTRY SYSTEM)
-----------------------------------------------------------------------------------------------------
URUGUAY BCU Corporate Debt, Government Debt
(Banco Central del Uruguay)
-----------------------------------------------------------------------------------------------------
VENEZUELA BCV Government Debt
(Banco Central de Venezuela)
-----------------------------------------------------------------------------------------------------
ZAMBIA CSD Equity, Government Debt
(XxXX Central Shares Depository
Limited)
-----------------------------------------------------------------------------------------------------
ZAMBIA BOZ Government Debt
(Bank of Zambia)
-----------------------------------------------------------------------------------------------------
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