Exhibit (d)(iv)
November 14, 2005
Xxxxxx Xxxxxxxx,
President and Chief Executive Officer
Schwab Investments
000 Xxxxxxxxxx Xxxxxx
Xxx Xxxxxxxxx, XX 00000
Re: Schwab Investments
Dear Xx. Xxxxxxxx:
This letter will confirm our agreement to limit net operating expenses of the
following funds, as noted in the table below and described in the funds'
registration statements filed with the Securities and Exchange Commission.
FUND NET GUARANTEED
OPERATING THROUGH
EXPENSE
LIMIT
SCHWAB SHORT-TERM 55 bps 11/14/06
BOND MARKET FUND
SCHWAB TOTAL BOND 55 bps 11/14/06
MARKET FUND
SCHWAB GNMA FUND 74 bps 11/14/06
INVESTOR SHARES
SCHWAB GNMA 55 bps 11/14/06
SELECT SHARES
SCHWAB TAX-FREE 64 bps 11/14/06
YIELDPLUS FUND
INVESTOR SHARES
SCHWAB TAX-FREE 49 bps 11/14/06
YIELDPLUS FUND
SELECT SHARES
SCHWAB 65 bps 11/14/06
SHORT/INTERMEDIATE
TAX-FREE BOND FUND
SCHWAB LONG-TERM 65 bps 11/14/06
TAX-FREE BOND FUND
SCHWAB CALIFORNIA 64 bps 11/14/06
TAX-FREE YIELDPLUS
FUND INVESTOR SHARES
SCHWAB CALIFORNIA 49 bps 11/14/06
TAX-FREE YIELDPLUS
FUND SELECT SHARES
SCHWAB CALIFORNIA 65 bps 11/14/06
SHORT/INTERMEDIATE
TAX-FREE BOND FUND
Sincerely,
/s/ Xxxxxx Xxxxxxx /s/ Xxxxxx Xxxxxxxx
------------------ ----------------------------------
Xxxxxx Xxxxxxx Xxxxxx Xxxxxxxx
Senior Vice President and Chief Vice President, AMPS Product
Financial Xxxxxxx, Xxxxxxx Xxxxxx Development
Investment Management, Inc. Xxxxxxx Xxxxxx & Co., Inc.
cc:
Xxxxxxx, Xxxxxxx
Xxxxxx, Xxxx
Xxx, Xxxxxxx
Xxxx, Xxxxxxx
Xxxxxx, Xxxxxxxx
Xxxxxxx, Xxxxx
Xxxxxxx, Xxxxxx
