final112008bond.htm -- Converted by SEC Publisher, created by BCL Technologies Inc., for SEC Filing

DELAWARE INVESTMENTS FAMILY OF FUNDS

CERTIFIED RESOLUTIONS

     The resolutions set forth below were duly adopted by the Boards of Trustees/Directors of those investment companies covered by the enclosed fidelity bond for the period from October 1, 2008 through October 31, 2009 and remain in full force and effect as of the date hereof:

Resolutions Adopted at a Meeting of the Board of Trustees/Directors Held on October 28, 2008

Approval of Fidelity Bond Coverage

WHEREAS, this Board of Trustees/Directors has considered the form of the joint insured broker's blanket bond for the Delaware Investments Family of Funds, and the amount of such joint insured broker's blanket bond, and has considered the value of the aggregate assets of the Funds to which any covered person may have access, the type and terms of the arrangements made for the custody and safekeeping of the assets of the Fund's Series, the nature of the securities in such Series' portfolio and the higher cost that would have to be paid to purchase a comparable single insured bond for each Fund; and

WHEREAS, the Board, including a majority of the Trustees/Directors who were not then interested persons with respect to the Fund, has concluded that the Fund’s participation in the proposed joint insured broker’s blanket bond is in the best interest of the Fund.

NOW, THEREFORE, IT IS RESOLVED, that the officers of the Fund are authorized and directed to cause each of its Series to participate in the joint insured broker's blanket bonds in the aggregate amount of $40,000,000, which also covers the other Delaware Investments Funds, and that the Fund shall pay its share of the premium determined in accordance with the allocation methodology discussed with the Trustees/Directors; and it is further

RESOLVED, that the officers of the Fund are hereby authorized and directed to execute an agreement under Section 17(g) of the 1940 Act with the other insureds listed on the broker's blanket bond (the "Agreement"), whereby the Fund will bear its proportionate share of the premium and coverage of the bond, and the share of the premium and coverage of the other Funds shall, if appropriate, be proportionately adjusted; and it is further

 

RESOLVED, that the Secretary of the Fund is hereby authorized and directed to file with the Securities and Exchange Commission (“SEC”) a copy of the bond and a copy of the resolutions approving the amount, type, form and coverage of the bond and the portion of the premium to be paid by each of the Fund's Series, a statement showing the amount of the single insured bond which the Fund would have provided and maintained had it not been named as an insured under the broker's blanket bond described herein, a statement of the period for which premiums have been paid and a copy of the Agreement, all pursuant to Section 17(g) of the 1940 Act, and that the Secretary of the Fund be designated as the officers directed to make all necessary filings; and it is further

RESOLVED, that this Board, including those Trustees/Directors who do not have control over or access to any of the portfolio securities, funds or other assets of the Fund's Series, hereby conclude that the amount, scope and coverage of the fidelity bond of the Fund are adequate; and it is further

RESOLVED, that this Board, taking all relevant factors into consideration, hereby determines that it is in the best interest of the Fund and the Fund’s shareholders for the Fund and each Series to participate in the joint insured broker’s blanket bond described at this meeting, and that the proposed premium allocation to the Fund and to each Series is fair and reasonable to the Fund and each Series based upon a consideration of the relative higher premium that would have been paid if comparable insurance coverage were purchased separately by the insured parties.

/s/ David F. Connor_______________________
David F. Connor
Secretary

JOINT INSURANCE AGREEMENT

     THIS JOINT INSURANCE AGREEMENT, dated as of October 31, 2008, is by and among the funds comprising the Delaware Investments Family of Funds (listed on Schedule A hereto) (the "Funds").

BACKGROUND

THIS AGREEMENT is entered into with the following background:

     A. Section 17(g) of the Investment Company Act of 1940 (the "Act") authorizes the Securities and Exchange Commission ("SEC") to require that the officers and employees of registered management investment companies be bonded against larceny and embezzlement, and the SEC has promulgated Rule 17g-1 requiring such coverage in specified minimum amounts.

     B. The Funds have obtained and maintain the bonds and policies of insurance providing coverage against larceny and embezzlement by their officers and employees set forth in Attachment I hereto (the “Joint Bonds”).

     C. The Board of Trustees/Directors of each Fund, by vote of a majority of its members including a majority of those members of the Board of each Fund who are not "interested persons" as defined by Section 2 (a) (19) of the Act, has given due consideration to all factors relevant to the amount, type, form, coverage and apportionment of recoveries and premiums on the Joint Bonds and has approved the form, term and amount of the Joint Bonds, the portion of the premiums payable by each Fund, and the manner in which recovery on the Joint Bonds ("Joint Bond Proceeds"), if any, shall be shared by and among the parties hereto as hereinafter set forth.

         NOW, THEREFORE, IT IS HEREBY AGREED by and among the parties hereto as

follows:

        1.    ALLOCATION OF PROCEEDS

a.     In the event a single party suffers a loss or losses covered under
the Joint Bonds, the party suffering such loss or losses shall be entitled to be indemnified up to
the full amount of the Joint Bond Proceeds.

 b.    If more than one party is damaged in a single loss for which Joint 
 Bond Proceeds are received, each such party shall receive that portion of the Joint Bond 
 Proceeds which represents the loss sustained by that party, unless the recovery is inadequate 
 to indemnify fully each such party. If the recovery is inadequate to indemnify fully each 
 such party sustaining a loss, the Joint Bond Proceeds shall be allocated among such parties as follows:

(1) Each party sustaining a loss shall be allocated an amount equal to the lesser of its actual loss or the minimum amount of bond coverage then allocated to such party in accordance with Rule 17g-1. Any party not fully indemnified for its insurable losses as a result of this allocation is hereafter referred to as an "Unindemnified Party".

(2) The remaining portion of the Joint Bond Proceeds, if any, shall be allocated to each Unindemnified Party in the same proportion as such party's allocation of minimum bond coverage (in accordance with Rule 17g-1) bears to the aggregate of the minimum bond coverage amounts for all Unindemnified Parties, provided that no party shall receive Joint Bond Proceeds in excess of its actual insurable losses.

2.     ALLOCATION OF PREMIUMS 

        a. The premiums payable with respect to the Joint Bonds shall be allocated to each of the parties hereto on an annual basis (and, in the event any increased or additional premium is required to be paid during the year, as of the date such increased or additional premium is due) in the same proportion as each party's minimum amount of bond coverage as then reflected on Attachment II hereto shall bear to the total of such minimum coverage.

3.     BOND COVERAGE REQUIREMENTS AND CHANGES

         a. Each party hereto has determined that the minimum amount of fidelity bond coverage deemed appropriate to be maintained by it as of the date of this Agreement is as set forth opposite its name in Attachment II hereto. Each of the Funds represents and warrants to each of the other parties hereto that the minimum amount of coverage required of it under Rule 17g-1(d)(1) as of the date hereof is not more than the amount reflected opposite its name in Attachment II hereto. Each of the Funds further agrees that it will promptly take such steps as may be necessary, from time to time, to increase its minimum coverage as set forth in Attachment II hereto (and, if necessary, the face amount of the Joint Bonds) so that its minimum coverage as therein set forth shall at no time be less than the minimum coverage required of it under Rule 17g-1(d)(1).
        b. The parties hereto may, from time to time hereafter, agree to modify Attachment II hereto to reflect changes in allocation of premium and coverage. All references in this Agreement to "Attachment II" shall be to such Attachment as amended as of the relevant date on which premiums are to be allocated or losses are sustained.

4. ADDITION OF NEW FUNDS AND OTHER ENTITIES

The parties to this Agreement contemplate that additional funds or other related entities permitted by Rule 17g-1 ("Additional Entities") may be added to Delaware

Investments from time to time after the date of this Agreement. In the event an Additional Entity is organized, such Entity may be included as an additional party to this Agreement if the Board of Trustees/Directors of each of the Funds (including an Additional Fund if it is being added) approve such addition and establish a revised minimum allocation of bond coverage. The inclusion of an Additional Entity as a party to this Agreement shall be evidenced by such Entity's execution of the Addendum to this Agreement and all references herein to the "Funds" shall include any such Additional Entities.

5. TERM OF AGREEMENT

     This Agreement shall apply to the present fidelity bond coverage and any renewals or replacements thereof and shall continue until terminated by any party hereto upon the giving of not less than sixty days written notice to the other parties.

6. DISPUTES

     Any dispute arising under this Agreement shall be submitted to arbitration in the City of Philadelphia, Pennsylvania under the Rules of the American Arbitration Association, and the decision rendered therein shall be final and binding upon the parties hereto.

7. GOVERNING LAW

     This Agreement shall be governed by, and construed in accordance with the laws of the Commonwealth of Pennsylvania, to the extent not inconsistent with applicable provisions of the Act and the rules and regulations promulgated thereunder by the SEC.

     IN WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, have caused this Agreement to be executed by a duly authorized officer or representative as of the date first written above.

DELAWARE INVESTMENTS FAMILY OF FUNDS on behalf of those Funds listed on Schedule A

By:
/s/ Patrick P. Coyne_____________________
Patrick P. Coyne President


JOINT INSURANCE AGREEMENT
DATED AS OF OCTOBER 31, 2008
DELAWARE INVESTMENT FAMILY OF FUNDS 
 
FUND
 
           Delaware Group Adviser Funds 
               Delaware Diversified Income Fund 
               Delaware U.S. Growth Fund 
 
           Delaware Group Cash Reserve 
           Delaware Cash Reserve Fund 
 
           Delaware Group Equity Funds I 
               Delaware Balanced Fund 
               Delaware Mid Cap Value Fund 
           Delaware Group Equity Funds II 
               Delaware Large Cap Value Fund 
               Delaware Value Fund 
 
           Delaware Group Equity Funds III 
               Delaware American Services Fund 
               Delaware Small Cap Growth Fund 
               Delaware Trend Fund 
 
           Delaware Group Equity Funds IV 
               Delaware Growth Opportunities Fund 
               Delaware Global Real Estate Securities Fund 
               Delaware Healthcare Fund 
 
 
           Delaware Group Equity Funds V 
               Delaware Dividend Income Fund 
               Delaware Small Cap Core Fund 
               Delaware Small Cap Value Fund 
 
           Delaware Group Foundation Funds 
               Delaware Aggressive Allocation Portfolio 
               Delaware Conservative Allocation Portfolio 
               Delaware Moderate Allocation Portfolio 
 
           Delaware Group Global & International Funds 
               Delaware Emerging Markets Fund 
               Delaware Global Value Fund 
               Delaware International Value Equity Fund 
 
           Delaware Group Government Fund 
               Delaware Core Plus Bond Fund 
               Delaware Inflation Protected Bond Fund 


                          FUND 
 
Delaware Group Income Funds 
   Delaware Corporate Bond Fund 
   Delaware Delchester Fund 
   Delaware Extended Duration Bond Fund 
   Delaware High-Yield Opportunities Fund 
 
Delaware Group Limited-Term Government Funds 
   Delaware Limited-Term Diversified Income Fund 
 
Delaware Group State Tax-Free Income Trust 
   Delaware Tax-Free Pennsylvania Fund 
 
Delaware Group Tax Free Fund 
   Delaware Tax-Free USA Fund 
   Delaware Tax-Free USA Intermediate Fund 
 
 
Delaware Group Tax-Free Money Fund 
   Delaware Tax-Free Money Fund 
 
Delaware Pooled Trust 
   The Select 20 Portfolio 
   The Core Focus Fixed Income Portfolio 
   The Core Plus Fixed Income Portfolio 
   The Emerging Markets Portfolio 
   The Focus Smid-Cap Growth Equity Portfolio 
   The Global Fixed Income Portfolio 
   The Global Real Estate Securities Portfolio 
   The High-Yield Bond Portfolio 
   The Intermediate Fixed Income Portfolio 
   The International Equity Portfolio 
   The International Fixed Income Portfolio 
   The Labor Select International Equity Portfolio 
   The Large-Cap Growth Equity Portfolio 
   The Large-Cap Value Equity Portfolio 
   The Mid-Cap Growth Equity Portfolio 
   The Real Estate Investment Trust Portfolio 
   The Real Estate Investment Trust Portfolio II 
   The Small-Cap Growth Equity Portfolio 
   The Smid-Cap Growth Equity Portfolio 


FUND
  

Delaware VIP Trust
Delaware VIP Balanced Series
Delaware VIP Capital Reserves Series
Delaware VIP Cash Reserve Series
Delaware VIP Diversified Income Series
Delaware VIP Emerging Markets Series
Delaware VIP Growth Opportunities Series
Delaware VIP High Yield Series
Delaware VIP International Value Equity Series
Delaware VIP REIT Series
Delaware VIP Select Growth Series
Delaware VIP Small Cap Value Series
Delaware VIP Trend Series
Delaware VIP U.S. Growth Series
Delaware VIP Value Series
Voyageur Insured Funds
Delaware Tax-Free Arizona Fund

Voyageur Intermediate Tax Free Funds

Delaware Tax-Free Minnesota Intermediate Fund

Delaware Investments Municipal Trust
No Funds

Voyageur Mutual Funds

Delaware Minnesota High-Yield Municipal Bond Fund Delaware National High-Yield Municipal Bond Fund Delaware Tax-Free California Fund Delaware Tax-Free Idaho Fund Delaware Tax-Free New York Fund

Voyageur Mutual Funds II
Delaware Tax-Free Colorado Fund

Voyageur Mutual Funds III
Delaware Select Growth Fund
Delaware Large Cap Core Fund

Voyageur Tax Free Funds
Delaware Tax-Free Minnesota Fund


                                             FUND

Delaware Investments Dividend and Income Fund, Inc.

Delaware Investments Global Dividend and Income Fund, Inc.

Delaware Investments Arizona Municipal Income Fund, Inc.

Delaware Investments Colorado Municipal Income Fund, Inc.

Delaware Investments National Municipal Income Fund

Delaware Investments Minnesota Municipal Income Fund II, Inc.

Delaware Enhanced Global Dividend and Income Fund

 

Chubb Group of Insurance Companies

DECLARATIONS FINANCIAL INSTITUTION

15 Mountain View Road, Warren, New Jersey 07059

COMPANY ASSET PROTECTION BOND

 
 
NAME OF ASSURED (including its Subsidiaries):  Bond Number: 81951478 
 
DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS   
  FEDERAL INSURANCE COMPANY 
 

2005 MARKET STREET PHILADELPHIA, PA 19103

Incorporated under the laws of Indiana a stock insurance company herein called the COMPANY Capital Center, 251 North Illinois, Suite 1100 Indianapolis, IN 46204-1927


ITEM 1.    BOND PERIOD:    from    12:01 a.m. on    October 31, 2008 
        to    12:01 a.m. on    October 31, 2009 
 
ITEM 2.    LIMITS OF LIABILITY--DEDUCTIBLE AMOUNTS: 

If “Not Covered” is inserted below opposite any specified INSURING CLAUSE, such INSURING CLAUSE and any other reference shall be deemed to be deleted. There shall be no deductible applicable to loss under INSURING CLAUSE 1. sustained by any Investment Company.

            DEDUCTIBLE 
INSURING CLAUSE    LIMIT OF LIABILITY       AMOUNT 
 
 
1.    Employee    $ 20,000,000    $ 0 
2.    On Premises    $ 20,000,000    $ 50,000 
3.    In Transit    $ 20,000,000    $ 50,000 
4.    Forgery or Alteration    $ 20,000,000    $ 50,000 
5.    Extended Forgery    $ 20,000,000    $ 50,000 
6.    Counterfeit Money    $ 20,000,000    $ 50,000 
7.    Threats to Person    $ Not Covered    $ N/A 
8.    Computer System    $ 20,000,000    $ 50,000 
9.    Voice Initiated Funds Transfer Instruction    $ 20,000,000    $ 50,000 
10.    Uncollectible Items of Deposit    $ 50,000    $ 10,000 
11.    Audit Expense    $ 100,000    $ 0 

ITEM 3.    THE LIABILITY OF THE COMPANY IS ALSO SUBJECT TO THE TERMS OF THE FOLLOWING 
    ENDORSEMENTS EXECUTED SIMULTANEOUSLY HEREWITH: 
    1-15 

IN WITNESS WHEREOF, THE COMPANY has caused this Bond to be signed by its authorized officers, but it shall valid unless also signed by an authorized representative of the Company.

 

ICAP Bond (5-98) - Federal

Form 17-02-1421 (Ed. 5-98) Page 1 of 1

The COMPANY, in consideration of payment of the required premium, and in reliance on the APPLICATION and all other statements made and information furnished to the COMPANY by the ASSURED, and subject to the DECLARATIONS made a part of this Bond and to all other terms and conditions of this Bond, agrees to pay the ASSURED for:

Insuring Clauses             
 
 
Employee    1.    Loss resulting directly from Larceny or Embezzlement committed by any 
        Employee, alone or in collusion with others. 
 
 
 
 
 
 
On Premises    2.    Loss of Property resulting directly from robbery, burglary, false pretenses, 
        common law or statutory larceny, misplacement, mysterious unexplainable 
        disappearance, damage, destruction or removal, from the possession, custody or 
        control of the ASSURED, while such Property is lodged or deposited at premises 
        located anywhere. 
 
 
 
 
 
In Transit    3.    Loss of Property resulting directly from common law or statutory larceny, 
        misplacement, mysterious unexplainable disappearance, damage or destruction, 
        while the Property is in transit anywhere: 
 
        a.    in an armored motor vehicle, including loading and unloading thereof, 
 
        b.    in the custody of a natural person acting as a messenger of the ASSURED, 
            or 
 
        c.    in the custody of a Transportation Company and being transported in a 
            conveyance other than an armored motor vehicle provided, however, that 
            covered Property transported in such manner is limited to the following: 

(1)    written records,

(2)     securities issued in registered form, which are not endorsed or are restrictively endorsed, or

(3)     negotiable instruments not payable to bearer, which are not endorsed or are restrictively endorsed.

Coverage under this INSURING CLAUSE begins immediately on the receipt of such Property by the natural person or Transportation Company and ends immediately on delivery to the premises of the addressee or to any representative of the addressee located anywhere.

  ICAP Bond (5-98)
Form 17-02-1421 (Ed. 5-98) Page 1 of 19

Insuring Clauses             
(continued)             
 
 
Forgery Or Alteration    4.    Loss resulting directly from: 
        a.    Forgery on, or fraudulent material alteration of, any bills of exchange, 
            checks, drafts, acceptances, certificates of deposits, promissory notes, due 
            bills, money orders, orders upon public treasuries, letters of credit, other 
            written promises, orders or directions to pay sums certain in money, or 
receipts for the withdrawal of Property, or
 
        b.    transferring, paying or delivering any funds or other Property, or establishing 
            any credit or giving any value in reliance on any written instructions, advices 
            or applications directed to the ASSURED authorizing or acknowledging the 
            transfer, payment, delivery or receipt of funds or other Property, which 
            instructions, advices or applications fraudulently purport to bear the 
            handwritten signature of any customer of the ASSURED, or shareholder or 
            subscriber to shares of an Investment Company, or of any financial 
            institution or Employee but which instructions, advices or applications either 
            bear a Forgery or have been fraudulently materially altered without the 
            knowledge and consent of such customer, shareholder, subscriber, financial 
            institution or Employee; 
 
        excluding, however, under this INSURING CLAUSE any loss covered under 
        INSURING CLAUSE 5. of this Bond, whether or not coverage for INSURING 
        CLAUSE 5. is provided for in the DECLARATIONS of this Bond. 
        For the purpose of this INSURING CLAUSE, a mechanically reproduced facsimile 
                                                signature is treated the same as a handwritten signature.
 
 
 
Extended Forgery    5.    Loss resulting directly from the ASSURED having, in good faith, and in the 
        ordinary course of business, for its own account or the account of others in any 
        capacity: 

a. acquired, accepted or received, accepted or received, sold or delivered, or given value, extended credit or assumed liability, in reliance on any original Securities, documents or other written instruments which prove to:

      (1)     bear a Forgery or a fraudulently material alteration, 

      (2)     have been lost or stolen, or 

      (3)     be Counterfeit, or

b. guaranteed in writing or witnessed any signatures on any transfer, assignment, bill of sale, power of attorney, guarantee, endorsement or other obligation upon or in connection with any Securities, documents or other written instruments.

Actual physical possession, and continued actual physical possession if taken as collateral, of such Securities, documents or other written instruments by an Employee, Custodian, or a Federal or State chartered deposit institution of the ASSURED is a condition precedent to the ASSURED having relied on such items. Release or return of such collateral is an acknowledgment by the ASSURED that it no longer relies on such collateral.

ICAP Bond (5-98)
Form 17-02-1421 (Ed. 5-98) Page 2 of 19

Insuring Clauses

Extended Forgery (continued)

For the purpose of this INSURING CLAUSE, a mechanically reproduced facsimile signature is treated the same as a handwritten signature.


Counterfeit Money    6.    Loss resulting directly from the receipt by the ASSURED in good faith of any 
        Counterfeit money. 
 
 
 
 
 
Threats To Person    7.    Loss resulting directly from surrender of Property away from an office of the 
        ASSURED as a result of a threat communicated to the ASSURED to do bodily 
        harm to an Employee as defined in Section 1.e. (1), (2) and (5), a Relative or 
        invitee of such Employee, or a resident of the household of such Employee, who 
        is, or allegedly is, being held captive provided, however, that prior to the surrender 
        of such Property: 
        a.    the Employee who receives the threat has made a reasonable effort to 
            notify an officer of the ASSURED who is not involved in such threat, and 
        b.    the ASSURED has made a reasonable effort to notify the Federal Bureau of 
            Investigation and local law enforcement authorities concerning such threat. 
        It is agreed that for purposes of this INSURING CLAUSE, any Employee of the 
        ASSURED, as set forth in the preceding paragraph, shall be deemed to be an 

 

ASSURED hereunder, but only with respect to the surrender of money, securities and other tangible personal property in which such Employee has a legal or equitable interest.

Computer System     8.    Loss resulting directly from fraudulent: 
        a.    entries of data into, or 
        b.    changes of data elements or programs within, 
        a Computer System, provided the fraudulent entry or change causes: 
 
            (1)    funds or other property to be transferred, paid or delivered, 
            (2)    an account of the ASSURED or of its customer to be added, deleted, 
                debited or credited, or 
            (3)    an unauthorized account or a fictitious account to be debited or 
                credited. 
 
ICAP Bond (5-98)                 
Form 17-02-1421 (Ed. 5-98)    Page 3 of 19         

Insuring Clauses

(continued)

Voice Initiated Funds    9.    Loss resulting directly from Voice Initiated Funds Transfer Instruction directed 
Transfer Instruction        to the ASSURED authorizing the transfer of dividends or redemption proceeds of 
        Investment Company shares from a Customer's account, provided such Voice 
        Initiated Funds Transfer Instruction was: 
        a.    received at the ASSURED'S offices by those Employees of the ASSURED 
            specifically authorized to receive the Voice Initiated Funds Transfer 
            Instruction, 
        b.    made by a person purporting to be a Customer, and 
        c.    made by said person for the purpose of causing the ASSURED or Customer 
            to sustain a loss or making an improper personal financial gain for such 
            person or any other person. 
        In order for coverage to apply under this INSURING CLAUSE, all Voice Initiated 
        Funds Transfer Instructions must be received and processed in accordance with 
        the Designated Procedures outlined in the APPLICATION furnished to the 
        COMPANY. 
 
 
 
 
 
Uncollectible Items of    10.    Loss resulting directly from the ASSURED having credited an account of a 
Deposit        customer, shareholder or subscriber on the faith of any Items of Deposit which 
        prove to be uncollectible, provided that the crediting of such account causes: 
        a.    redemptions or withdrawals to be permitted, 
        b.    shares to be issued, or 
        c.    dividends to be paid, 
        from an account of an Investment Company. 
        In order for coverage to apply under this INSURING CLAUSE, the ASSURED 

 

must hold Items of Deposit for the minimum number of days stated in the APPLICATION before permitting any redemptions or withdrawals, issuing any shares or paying any dividends with respect to such Items of Deposit. Items of Deposit shall not be deemed uncollectible until the ASSURED'S standard collection procedures have failed.

Audit Expense    11.        Expense incurred by the ASSURED for that part of the cost of audits or 
            examinations required by any governmental regulatory authority or self-regulatory 
            organization to be conducted by such authority, organization or their appointee by 
            reason of the discovery of loss sustained by the ASSURED and covered by this 
            Bond.     
 
ICAP Bond (5-98)                 
Form 17-02-1421 (Ed. 5-98)    Page 4 of 19     
 
 
 
 
General Agreements             
 
 
Additional Companies        A.     If more than one corporation, or Investment Company, or any combination of 
Included As Assured             them is included as the ASSURED herein: 
             (1)    The total liability of the COMPANY under this Bond for loss or losses 
                sustained by any one or more or all of them shall not exceed the limit for 
                which the COMPANY would be liable under this Bond if all such loss were 
                sustained by any one of them. 
 
             (2)    Only the first named ASSURED shall be deemed to be the sole agent of the 
                others for all purposes under this Bond, including but not limited to the giving 
                or receiving of any notice or proof required to be given and for the purpose 
                effecting or accepting any amendments to or termination of this Bond. The 
                COMPANY shall furnish each Investment Company with a copy of the 
                Bond and with any amendment thereto, together with a copy of each formal 
                filing of claim by any other named ASSURED and notification of the terms 
                the settlement of each such claim prior to the execution of such settlement. 
 
             (3)    The COMPANY shall not be responsible for the proper application of any 
                payment made hereunder to the first named ASSURED. 
 
             (4)    Knowledge possessed or discovery made by any partner, director, trustee, 
                officer or supervisory employee of any ASSURED shall constitute knowledge 
                or discovery by all the ASSUREDS for the purposes of this Bond. 
 
             (5)    If the first named ASSURED ceases for any reason to be covered under this 
                Bond, then the ASSURED next named on the APPLICATION shall thereafter 
                be considered as the first named ASSURED for the purposes of this Bond. 
 
 
 
 
 
 
 
Representation Made By    B.     The ASSURED represents that all information it has furnished in the 

 

Assured

APPLICATION for this Bond or otherwise is complete, true and correct. Such APPLICATION and other information constitute part of this Bond.

The ASSURED must promptly notify the COMPANY of any change in any fact or circumstance which materially affects the risk assumed by the COMPANY under this Bond.

Any intentional misrepresentation, omission, concealment or incorrect statement of a material fact, in the APPLICATION or otherwise, shall be grounds for recision of this Bond.


  ICAP Bond (5-98)
Form 17-02-1421 (Ed. 5-98) Page 5 of 19

General Agreements

(continued)

Additional Offices Or    C.    If the ASSURED, other than an Investment Company, while this Bond is in force, 
Employees - Consolidation,        merges or consolidates with, or purchases or acquires assets or liabilities of 
Merger Or Purchase Or        another institution, the ASSURED shall not have the coverage afforded under this 
Acquisition Of Assets Or        Bond for loss which has: 
Liabilities - Notice To        (1)    occurred or will occur on premises, or 
Company             
        (2)    been caused or will be caused by an employee, or 
        (3)    arisen or will arise out of the assets or liabilities, 
          of such institution, unless the ASSURED:  
        a.    gives the COMPANY written notice of the proposed consolidation, merger 
            purchase or acquisition of assets or liabilities prior to the proposed effective 
            date of such action, and 
        b.    obtains the written consent of the COMPANY to extend some or all of the 
            coverage provided by this Bond to such additional exposure, and 
        c.    on obtaining such consent, pays to the COMPANY an additional premium. 
 
 
 
 
 
 
Change Of Control -    D.    When the ASSURED learns of a change in control (other than in an Investment 
Notice To Company        Company), as set forth in Section 2(a) (9) of the Investment Company Act of 
        1940, the ASSURED shall within sixty (60) days give written notice to the 
        COMPANY setting forth: 
        (1)    the names of the transferors and transferees (or the names of the beneficial 
            owners if the voting securities are registered in another name), 
        (2)    the total number of voting securities owned by the transferors and the 
            transferees (or the beneficial owners), both immediately before and after 
            transfer, and 
        (3)    the total number of outstanding voting securities. 
        Failure to give the required notice shall result in termination of coverage for any 
        loss involving a transferee, to be effective on the date of such change in control. 
 
   

 

Court Costs And    E.    The COMPANY will indemnify the ASSURED for court costs and reasonable 
Attorneys’ Fees        attorneys' fees incurred and paid by the ASSURED in defense, whether or not 
        successful, whether or not fully litigated on the merits and whether or not settled, 
        of any claim, suit or legal proceeding with respect to which the ASSURED would 
        be entitled to recovery under this Bond. However, with respect to INSURING 
        CLAUSE 1., this Section shall only apply in the event that: 
        (1)    an Employee admits to being guilty of Larceny or Embezzlement, 
        (2)    an Employee is adjudicated to be guilty of Larceny or Embezzlement, or 

ICAP Bond (5-98)
Form 17-02-1421 (Ed. 5-98) Page 6 of 19

General Agreements         
 
 
Court Costs And    (3)       in the absence of 1 or 2 above, an arbitration panel agrees, after a review 
Attorneys’ Fees           an agreed statement of facts between the COMPANY and the ASSURED, 
(continued)           that an Employee would be found guilty of Larceny or Embezzlement if 
such Employee were prosecuted.
 
    The ASSURED shall promptly give notice to the COMPANY of any such suit or 
    legal proceeding and at the request of the COMPANY shall furnish copies of all 
    pleadings and pertinent papers to the COMPANY. The COMPANY may, at its 
    sole option, elect to conduct the defense of all or part of such legal proceeding. 
    The defense by the COMPANY shall be in the name of the ASSURED through 
    attorneys selected by the COMPANY. The ASSURED shall provide all reasonable 
    information and assistance as required by the COMPANY for such defense. 
 
    If the COMPANY declines to defend the ASSURED, no settlement without the 
    prior written consent of the COMPANY nor judgment against the ASSURED shall 
    determine the existence, extent or amount of coverage under this Bond. 
 
    If the amount demanded in any such suit or legal proceeding is within the 
    DEDUCTIBLE AMOUNT, if any, the COMPANY shall have no liability for court 
    costs and attorney's fees incurred in defending all or part of such suit or legal 
    proceeding. 
 
    If the amount demanded in any such suit or legal proceeding is in excess of the 
    LIMIT OF LIABILITY stated in ITEM 2. of the DECLARATIONS for the applicable 
    INSURING CLAUSE, the COMPANY'S liability for court costs and attorney's fees 
    incurred in defending all or part of such suit or legal proceedings is limited to the 
    proportion of such court costs and attorney's fees incurred that the LIMIT OF 
    LIABILITY stated in ITEM 2. of the DECLARATIONS for the applicable INSURING 
    CLAUSE bears to the total of the amount demanded in such suit or legal 
    proceeding. 
 
    If the amount demanded is any such suit or legal proceeding is in excess of the 
    DEDUCTIBLE AMOUNT, if any, but within the LIMIT OF LIABILITY stated in ITEM 
    2.    of the DECLARATIONS for the applicable INSURING CLAUSE, the 

 

 

COMPANY'S liability for court costs and attorney's fees incurred in defending all or part of such suit or legal proceedings shall be limited to the proportion of such court costs or attorney's fees that the amount demanded that would be payable under this Bond after application of the DEDUCTIBLE AMOUNT, bears to the total amount demanded.

Amounts paid by the COMPANY for court costs and attorneys' fees shall be in addition to the LIMIT OF LIABILITY stated in ITEM 2. of the DECLARATIONS.

ICAP Bond (5-98)
Form 17-02-1421 (Ed. 5-98) Page 7 of 19

Conditions And                 
Limitations                 
 
 
Definitions    1.    As used in this Bond: 
        a.    Computer System means a computer and all input, output, processing, 
            storage, off-line media libraries, and communication facilities which are 
            connected to the computer and which are under the control and supervision 
            of the operating system(s) or application(s) software used by the ASSURED. 
 
        b.    Counterfeit means an imitation of an actual valid original which is intended 
            to deceive and be taken as the original. 
 
        c.    Custodian means the institution designated by an Investment Company to 
maintain possession and control of its assets.
        d.    Customer means an individual, corporate, partnership, trust customer, 
            shareholder or subscriber of an Investment Company which has a written 
            agreement with the ASSURED for Voice Initiated Funds Transfer 
            Instruction. 
 
        e.    Employee means: 
 
            (1)    an officer of the ASSURED, 
 
            (2)    a natural person while in the regular service of the ASSURED at any of 
                the ASSURED'S premises and compensated directly by the ASSURED 
                through its payroll system and subject to the United States Internal 
                Revenue Service Form W-2 or equivalent income reporting plans of 
                other countries, and whom the ASSURED has the right to control and 
                direct both as to the result to be accomplished and details and means 
                by which such result is accomplished in the performance of such 
                service, 
 
            (3)    a guest student pursuing studies or performing duties in any of the 
                ASSURED'S premises, 
 
            (4)    an attorney retained by the ASSURED and an employee of such 
                attorney while either is performing legal services for the ASSURED, 

 

(5)     a natural person provided by an employment contractor to perform employee duties for the ASSURED under the ASSURED'S supervision at any of the ASSURED'S premises, 

(6)     an employee of an institution merged or consolidated with the ASSURED prior to the effective date of this Bond,      

 (7)     a director or trustee of the ASSURED, but only while performing acts within the scope of the customary and usual duties of any officer or other employee of the ASSURED or while acting as a member of any committee duly elected or appointed to examine or audit or have custody of or access to Property of the ASSURED, or             

ICAP Bond (5-98)
Form 17-02-1421 (Ed. 5-98) Page 8 of 19

Conditions And             
Limitations             
 
 
Definitions    (8)    each natural person, partnership or corporation authorized by written 
(continued)        agreement with the ASSURED to perform services as electronic data 
        processor of checks or other accounting records related to such checks but 
        only while such person, partnership or corporation is actually performing 
        such services and not: 
 
        a.    creating, preparing, modifying or maintaining the ASSURED'S 
            computer software or programs, or 
 
        b.    acting as transfer agent or in any other agency capacity in issuing 
            checks, drafts or securities for the ASSURED, 
 
    (9)    any partner, officer or employee of an investment advisor, an underwriter 
        (distributor), a transfer agent or shareholder accounting recordkeeper, or an 
        administrator, for an Investment Company while performing acts coming 
        within the scope of the customary and usual duties of an officer or employee 
        of an Investment Company or acting as a member of any committee duly 
        elected or appointed to examine, audit or have custody of or access to 
        Property of an Investment Company. 
 
        The term Employee shall not include any partner, officer or employee of a 
        transfer agent, shareholder accounting recordkeeper or administrator: 
 
        a.    which is not an "affiliated person" (as defined in Section 2(a) of the 
            Investment Company Act of 1940) of an Investment Company or of 
            the investment advisor or underwriter (distributor) of such Investment 
            Company, or 
 
        b.    which is a "bank" (as defined in Section 2(a) of the Investment 

 

 

Company Act of 1940).

This Bond does not afford coverage in favor of the employers of persons as set forth in e. (4), (5) and (8) above, and upon payment to the ASSURED by the COMPANY resulting directly from Larceny or Embezzlement committed by any of the partners, officers or employees of such employers, whether acting alone or in collusion with others, an assignment of such of the ASSURED'S rights and causes of action as it may have against such employers by reason of such acts so committed shall, to the extent of such payment, be given by the ASSURED to the COMPANY, and the ASSURED shall execute all papers necessary to secure to the COMPANY the rights provided for herein.

Each employer of persons as set forth in e.(4), (5) and (8) above and the partners, officers and other employees of such employers shall collectively be deemed to be one person for all the purposes of this Bond; excepting, however, the fifth paragraph of Section 13.

Independent contractors not specified in e.(4), (5) or (8) above, intermediaries, agents, brokers or other representatives of the same general character shall not be considered Employees.

ICAP Bond (5-98)
Form 17-02-1421 (Ed. 5-98) Page 9 of 19

Conditions And         
Limitations         
 
 
Definitions    f.    Forgery means the signing of the name of another natural person with the 
(continued)        intent to deceive but does not mean a signature which consists in whole or in 
        part of one's own name, with or without authority, in any capacity for any 
        purpose. 
    g.    Investment Company means any investment company registered under the 
        Investment Company Act of 1940 and listed under the NAME OF ASSURED 
        on the DECLARATIONS. 
 
    h.    Items of Deposit means one or more checks or drafts drawn upon a 
        financial institution in the United States of America. 
    i.    Larceny or Embezzlement means larceny or embezzlement as defined in 
        Section 37 of the Investment Company Act of 1940. 
 
    j.    Property means money, revenue and other stamps; securities; including any 
        note, stock, treasury stock, bond, debenture, evidence of indebtedness, 
        certificate of deposit, certificate of interest or participation in any profit- 
        sharing agreement, collateral trust certificate, preorganization certificate or 
        subscription, transferable share, investment contract, voting trust certificate, 
        certificate of deposit for a security, fractional undivided interest in oil, gas, or 
        other mineral rights, any interest or instruments commonly known as a 
        security under the Investment Company Act of 1940, any other certificate of 

 

 

interest or participation in, temporary or interim certificate for, receipt for, guarantee of, or warrant or right to subscribe to or purchase any of the foregoing; bills of exchange; acceptances; checks; withdrawal orders; money orders; travelers' letters of credit; bills of lading; abstracts of title; insurance policies, deeds, mortgages on real estate and/or upon chattels and interests therein; assignments of such policies, deeds or mortgages; other valuable papers, including books of accounts and other records used by the ASSURED in the conduct of its business (but excluding all electronic data processing records); and, all other instruments similar to or in the nature of the foregoing in which the ASSURED acquired an interest at the time of the ASSURED'S consolidation or merger with, or purchase of the principal assets of, a predecessor or which are held by the ASSURED for any purpose or in any capacity and whether so held gratuitously or not and whether or not the ASSURED is liable therefor.

ICAP Bond (5-98)
Form 17-02-1421 (Ed. 5-98) Page 10 of 19

Conditions And         
Limitations         
 
 
k.  Relative means the spouse of an Employee or partner of the ASSURED and
any unmarried child supported wholly by, or living in the home of, such Employee or partner
and being related to them by blood, marriage or legal guardianship.
l. Securities, documents or other written instruments means original (including
original counterparts) negotiable or non-negotiable instruments, or assignments
thereof, which in and of themselves represent an equitable interest, ownership, or debt
and which are in the ordinary course of business transferable by delivery of such instruments
with any necessary endorsements or assignments.
Definitions    m.    Subsidiary means any organization that, at the inception date of this Bond, 
(continued)        is named in the APPLICATION or is created during the BOND PERIOD and 
        of which more than fifty percent (50%) of the outstanding securities or voting 
        rights representing the present right to vote for election of directors is owned 
        or controlled by the ASSURED either directly or through one or more of its 
        subsidiaries. 
 
    n.    Transportation Company means any organization which provides its own 
        or its leased vehicles for transportation or which provides freight forwarding 
        or air express services. 
    o.    Voice Initiated Election means any election concerning dividend options 
        available to Investment Company shareholders or subscribers which is
requested by voice over the telephone.
    p.    Voice Initiated Redemption means any redemption of shares issued by an 
        Investment Company which is requested by voice over the telephone. 

 

 

q.    Voice Initiated Funds Transfer Instruction means any Voice Initiated Redemption or Voice Initiated Election.

 

For the purposes of these definitions, the singular includes the plural and the plural includes the singular, unless otherwise indicated.

General Exclusions -    2.    This bond does not directly or indirectly cover: 
Applicable to All Insuring    a.     loss not reported to the COMPANY in writing within sixty (60) days after 
Clauses             termination of this Bond as an entirety; 
 
        b.     loss due to riot or civil commotion outside the United States of America and 
             Canada, or any loss due to military, naval or usurped power, war or 
             insurrection. This Section 2.b., however, shall not apply to loss which occurs 
             in transit in the circumstances recited in INSURING CLAUSE 3., provided 
             that when such transit was initiated there was no knowledge on the part of 
             any person acting for the ASSURED of such riot, civil commotion, military, 
             naval or usurped power, war or insurrection; 
 
        c.     loss resulting from the effects of nuclear fission or fusion or radioactivity; 
 
        d.     loss of potential income including, but not limited to, interest and dividends 
             not realized by the ASSURED or by any customer of the ASSURED; 
 
        e.     damages of any type for which the ASSURED is legally liable, except 
             compensatory damages, but not multiples thereof, arising from a loss 
             covered under this Bond; 
 
        f.     costs, fees and expenses incurred by the ASSURED in establishing the 
             existence of or amount of loss under this Bond, except to the extent covered 
             under INSURING CLAUSE 11.; 
 
        g.     loss resulting from indirect or consequential loss of any nature; 
 
ICAP Bond (5-98)                     
Form 17-02-1421 (Ed. 5-98) Page 11 of 19             
 
 
 
 
 
Conditions And                     
Limitations                     
 
 
General Exclusions -        h.    loss resulting from dishonest acts by any member of the Board of Directors 
Applicable to All Insuring        or Board of Trustees of the ASSURED who is not an Employee, acting 
Clauses            alone or in collusion with others; 
(continued)        i.    loss, or that part of any loss, resulting solely from any violation by the 
            ASSURED or by any Employee: 
            (1)    of any law regulating: 
                a.          the issuance, purchase or sale of securities, 
                b.    securities transactions on security or commodity exchanges or 

                the over the counter market, 
            c.    investment companies, 
            d.    investment advisors, or 
        (2)    of any rule or regulation made pursuant to any such law; or 
             j.    loss of confidential information, material or data; 
             k.    loss resulting from voice requests or instructions received over the 
        telephone, provided however, this Section 2.k. shall not apply to INSURING 
        CLAUSE 7. or 9.     
 
 
 
 
 
 
Specific Exclusions -    3. This Bond does not directly or indirectly cover: 
Applicable To All Insuring             a.    loss caused by an Employee, provided, however, this Section 3.a. shall not 
Clauses Except Insuring        apply to loss covered under INSURING CLAUSE 2. or 3. which results 
Clause 1.        directly from misplacement, mysterious unexplainable disappearance, or 
        damage or destruction of Property; 
             b.    loss through the surrender of property away from premises of the ASSURED 
        as a result of a threat:     
        (1)    to do bodily harm to any natural person, except loss of Property in 
            transit in the custody of any person acting as messenger of the 
            ASSURED, provided that when such transit was initiated there was no 
            knowledge by the ASSURED of any such threat, and provided further 
            that this Section 3.b. shall not apply to INSURING CLAUSE 7., or 
        (2)    to do damage to the premises or Property of the ASSURED; 
             c.    loss resulting from payments made or withdrawals from any account 
involving erroneous credits to such account;
             d.    loss involving Items of Deposit which are not finally paid for any reason 
        provided however, that this Section 3.d. shall not apply to INSURING 
        CLAUSE 10.;             
             e.    loss of property while in the mail; 
 
ICAP Bond (5-98)                         
Form 17-02-1421 (Ed. 5-98) Page 12 of 19                     
 
 
 
 
 
 
 
Conditions And                         
Limitations                         
 
 
Specific Exclusions -         f.     loss resulting from the failure for any reason of a financial or depository 
Applicable To All Insuring         institution, its receiver or other liquidator to pay or deliver funds or other 
Clauses Except Insuring         Property to the ASSURED provided further that this Section 3.f. shall not 
Clause 1.         apply to loss of Property resulting directly from robbery, burglary, 
(continued)         misplacement, mysterious unexplainable disappearance, damage, 
         destruction or removal from the possession, custody or control of the 
         ASSURED.             
         g.     loss of Property while in the custody of a Transportation Company, 
         provided however, that this Section 3.g. shall not apply to INSURING 
         CLAUSE 3.;             
         h.     loss resulting from entries or changes made by a natural person with 
         authorized access to a Computer System who acts in good faith on 

 

instructions, unless such instructions are given to that person by a software contractor or its partner, officer, or employee authorized by the ASSURED to design, develop, prepare, supply, service, write or implement programs for the ASSURED's Computer System; or


i.     loss resulting directly or indirectly from the input of data into a Computer System terminal, either on the premises of the customer of the ASSURED or under the control of such a customer, by a customer or other person who had authorized access to the customer's authentication mechanism.

Specific Exclusions -    4.    This bond does not directly or indirectly cover: 
Applicable To All Insuring        a.    loss resulting from the complete or partial non-payment of or default on any 
Clauses Except Insuring            loan whether such loan was procured in good faith or through trick, artifice, 
Clauses 1., 4., And 5.            fraud or false pretenses; provided, however, this Section 4.a. shall not apply 
            to INSURING CLAUSE 8.; 
        b.    loss resulting from forgery or any alteration; 
        c.    loss involving a counterfeit provided, however, this Section 4.c. shall not 
apply to INSURING CLAUSE 5. or 6.
 
 
 
Limit Of Liability/Non-    5.    At all times prior to termination of this Bond, this Bond shall continue in force for 
Reduction And Non-        the limit stated in the applicable sections of ITEM 2. of the DECLARATIONS, 
Accumulation Of Liability        notwithstanding any previous loss for which the COMPANY may have paid or be 
        liable to pay under this Bond provided, however, that the liability of the COMPANY 
under this Bond with respect to all loss resulting from:
        a.    any one act of burglary, robbery or hold-up, or attempt thereat, in which no 
Employee is concerned or implicated, or
 
        b.    any one unintentional or negligent act on the part of any one person 
            resulting in damage to or destruction or misplacement of Property, or 
 
        c.    all acts, other than those specified in a. above, of any one person, or 
 
ICAP Bond (5-98)             
Form 17-02-1421 (Ed. 5-98) Page 13 of 19     
 
 
 
Conditions And             
Limitations             
 
 
Limit Of Liability/Non-        d.    any one casualty or event other than those specified in a., b., or c. above, 
Reduction And Non-        shall be deemed to be one loss and shall be limited to the applicable LIMIT OF 
Accumulation Of Liability        LIABILITY stated in ITEM 2. of the DECLARATIONS of this Bond irrespective of 
(continued)        the total amount of such loss or losses and shall not be cumulative in amounts 
        from year to year or from period to period. 
 
        All acts, as specified in c. above, of any one person which 

 

        i.    directly or indirectly aid in any way wrongful acts of any other person or 
            persons, or 
 
        ii.    permit the continuation of wrongful acts of any other person or persons 
 
        whether such acts are committed with or without the knowledge of the wrongful 
        acts of the person so aided, and whether such acts are committed with or without 
        the intent to aid such other person, shall be deemed to be one loss with the 
        wrongful acts of all persons so aided. 
 
 
 
 
 
Discovery               6.    This Bond applies only to loss first discovered by an officer of the ASSURED 
        during the BOND PERIOD. Discovery occurs at the earlier of an officer of the 
        ASSURED being aware of: 
 
        a.    facts which may subsequently result in a loss of a type covered by this Bond, 
            or 
 
        b.    an actual or potential claim in which it is alleged that the ASSURED is liable 
            to a third party, 
 
        regardless of when the act or acts causing or contributing to such loss occurred, 
        even though the amount of loss does not exceed the applicable DEDUCTIBLE 
        AMOUNT, or the exact amount or details of loss may not then be known. 
 
 
 
 
 
Notice To Company -               7.    a.    The ASSURED shall give the COMPANY notice thereof at the earliest 
Proof - Legal Proceedings        practicable moment, not to exceed sixty (60) days after discovery of loss, in 
Against Company            an amount that is in excess of 50% of the applicable DEDUCTIBLE 
            AMOUNT, as stated in ITEM 2. of the DECLARATIONS. 
 
        b.    The ASSURED shall furnish to the COMPANY proof of loss, duly sworn to, 
            with full particulars within six (6) months after such discovery. 
 
        c.    Securities listed in a proof of loss shall be identified by certificate or bond 
            numbers, if issued with them. 
 
        d.    Legal proceedings for the recovery of any loss under this Bond shall not be 
            brought prior to the expiration of sixty (60) days after the proof of loss is filed 
            with the COMPANY or after the expiration of twenty-four (24) months from 
            the discovery of such loss. 
        e.    This Bond affords coverage only in favor of the ASSURED. No claim, suit, 
            action or legal proceedings shall be brought under this Bond by anyone 
            other than the ASSURED. 
 
ICAP Bond (5-98)             
Form 17-02-1421 (Ed. 5-98)    Page 14 of 19     

 

Conditions And         
Limitations         
 
 
Notice To Company -    f.    Proof of loss involving Voice Initiated Funds Transfer Instruction shall 
Proof - Legal Proceedings        include electronic recordings of such instructions. 
Against Company         
(continued)         
   
 

Deductible Amount    8.    The COMPANY shall not be liable under any INSURING CLAUSES of this Bond 
        on account of loss unless the amount of such loss, after deducting the net amount 
        of all reimbursement and/or recovery obtained or made by the ASSURED, other 
        than from any Bond or policy of insurance issued by an insurance company and 
        covering such loss, or by the COMPANY on account thereof prior to payment by 
        the COMPANY of such loss, shall exceed the DEDUCTIBLE AMOUNT set forth in 
        ITEM 3. of the DECLARATIONS, and then for such excess only, but in no event 
        for more than the applicable LIMITS OF LIABILITY stated in ITEM 2. of the 
        DECLARATIONS. 
 
        There shall be no deductible applicable to any loss under INSURING CLAUSE 1. 
        sustained by any Investment Company. 
 
 
 
 
 
Valuation    9.    BOOKS OF ACCOUNT OR OTHER RECORDS 
        The value of any loss of Property consisting of books of account or other records 
        used by the ASSURED in the conduct of its business shall be the amount paid by 
        the ASSURED for blank books, blank pages, or other materials which replace the 
        lost books of account or other records, plus the cost of labor paid by the 
        ASSURED for the actual transcription or copying of data to reproduce such books 
        of account or other records. 
 
        The value of any loss of Property other than books of account or other records 
        used by the ASSURED in the conduct of its business, for which a claim is made 
        shall be determined by the average market value of such Property on the 
        business day immediately preceding discovery of such loss provided, however, 
        that the value of any Property replaced by the ASSURED with the consent of the 
        COMPANY and prior to the settlement of any claim for such Property shall be the 
        actual market value at the time of replacement. 
 
        In the case of a loss of interim certificates, warrants, rights or other securities, the 
        production of which is necessary to the exercise of subscription, conversion, 
        redemption or deposit privileges, the value of them shall be the market value of 
        such privileges immediately preceding their expiration if said loss is not discovered 
        until after their expiration. If no market price is quoted for such Property or for 
        such privileges, the value shall be fixed by agreement between the parties. 
        OTHER PROPERTY 
 
        The value of any loss of Property, other than as stated above, shall be the actual 

 

 

cash value or the cost of repairing or replacing such Property with Property of like quality and value, whichever is less.

ICAP Bond (5-98)
Form 17-02-1421 (Ed. 5-98) Page 15 of 19

Conditions And
Limitations
(continued)

Securities Settlement    10.    In the event of a loss of securities covered under this Bond, the COMPANY may, 
        at its sole discretion, purchase replacement securities, tender the value of the 
        securities in money, or issue its indemnity to effect replacement securities. 
 
        The indemnity required from the ASSURED under the terms of this Section 
        against all loss, cost or expense arising from the replacement of securities by the 
        COMPANY'S indemnity shall be: 
 
        a.    for securities having a value less than or equal to the applicable 
            DEDUCTIBLE AMOUNT - one hundred (100%) percent; 
 
        b.    for securities having a value in excess of the DEDUCTIBLE AMOUNT but 
            within the applicable LIMIT OF LIABILITY - the percentage that the 
            DEDUCTIBLE AMOUNT bears to the value of the securities; 
 
        c.    for securities having a value greater than the applicable LIMIT OF LIABILITY 
            - the percentage that the DEDUCTIBLE AMOUNT and portion in excess of 
            the applicable LIMIT OF LIABILITY bears to the value of the securities. 
 
        The value referred to in Section 10.a., b., and c. is the value in accordance with 
        Section 9, VALUATION, regardless of the value of such securities at the time the 
loss under the COMPANY'S indemnity is sustained.
 
        The COMPANY is not required to issue its indemnity for any portion of a loss of 
        securities which is not covered by this Bond; however, the COMPANY may do so 
        as a courtesy to the ASSURED and at its sole discretion. 
        The ASSURED shall pay the proportion of the Company's premium charge for the 
        Company's indemnity as set forth in Section 10.a., b., and c. No portion of the 
        LIMIT OF LIABILITY shall be used as payment of premium for any indemnity 
        purchased by the ASSURED to obtain replacement securities. 
 
   

Subrogation - Assignment - 11. Recovery

In the event of a payment under this Bond, the COMPANY shall be subrogated to all of the ASSURED'S rights of recovery against any person or entity to the extent of such payment. On request, the ASSURED shall deliver to the COMPANY an assignment of the ASSURED'S rights, title and interest and causes of action against any person or entity to the extent of such payment.


 

        Recoveries, whether effected by the COMPANY or by the ASSURED, shall be 
        applied net of the expense of such recovery in the following order: 
 
        a.    first, to the satisfaction of the ASSURED'S loss which would otherwise have 
            been paid but for the fact that it is in excess of the applicable LIMIT OF 
            LIABILITY, 
 
        b.    second, to the COMPANY in satisfaction of amounts paid in settlement of 
            the ASSURED'S claim, 
 
        c.    third, to the ASSURED in satisfaction of the applicable DEDUCTIBLE 
            AMOUNT, and 
 
ICAP Bond (5-98)             
Form 17-02-1421 (Ed. 5-98) Page 16 of 19     
 
 
 
Conditions And             
Limitations             
 
 
Subrogation - Assignment -        d.    fourth, to the ASSURED in satisfaction of any loss suffered by the 
Recovery            ASSURED which was not covered under this Bond. 
(continued)        Recovery from reinsurance or indemnity of the COMPANY shall not be deemed 
        recovery under this section. 
 
 
 
 
 
Cooperation Of Assured    12.    At the COMPANY'S request and at reasonable times and places designated by 
        the COMPANY, the ASSURED shall: 
 
        a.    submit to examination by the COMPANY and subscribe to the same under 
            oath, 
 
        b.    produce for the COMPANY'S examination all pertinent records, and 
 
        c.    cooperate with the COMPANY in all matters pertaining to the loss. 
 
        The ASSURED shall execute all papers and render assistance to secure to the 
        COMPANY the rights and causes of action provided for under this Bond. The 
        ASSURED shall do nothing after loss to prejudice such rights or causes of action 
 
 
 
 
 
Termination    13.    If the Bond is for a sole ASSURED, it shall not be terminated unless written notice 
        shall have been given by the acting party to the affected party and to the 
        Securities and Exchange Commission, Washington, D.C., not less than sixty (60) 
days prior to the effective date of such termination.
        If the Bond is for a joint ASSURED, it shall not be terminated unless written notice 
        shall have been given by the acting party to the affected party, and by the 
        COMPANY to all ASSURED Investment Companies and to the Securities and 

                             Exchange Commission, Washington, D.C., not less than sixty (60) days prior to 
                             the effective date of such termination. 
                             This Bond will terminate as to any one ASSURED, other than an Investment 
                             Company: 
 
                             a.         immediately on the taking over of such ASSURED by a receiver or other 
             liquidator or by State or Federal officials, or 
 
                             b.         immediately on the filing of a petition under any State or Federal statute 
             relative to bankruptcy or reorganization of the ASSURED, or assignment for 
             the benefit of creditors of the ASSURED, or 
 
                             c.         immediately upon such ASSURED ceasing to exist, whether through merger 
             into another entity, disposition of all of its assets or otherwise. 
 
                             The COMPANY shall refund the unearned premium computed at short rates in 
                             accordance with the standard short rate cancellation tables if terminated by the 
                             ASSURED or pro rata if terminated for any other reason. 
 
ICAP Bond (5-98)         
Form 17-02-1421 (Ed. 5-98)    Page 17 of 19     
 
 
 
 
Conditions And         
Limitations         
 
 
Termination                       If any partner, director, trustee, or officer or supervisory employee of an 
(continued)                       ASSURED not acting in collusion with an Employee learns of any dishonest act 
                       committed by such Employee at any time, whether in the employment of the 
                       ASSURED or otherwise, whether or not such act is of the type covered under this 
                       Bond, and whether against the ASSURED or any other person or entity, the 
                       ASSURED: 
 
                       a.    shall immediately remove such Employee from a position that would enable 
        such Employee to cause the ASSURED to suffer a loss covered by this 
        Bond; and 
                       b.    within forty-eight (48) hours of learning that an Employee has committed 
        any dishonest act, shall notify the COMPANY, of such action and provide full 
        particulars of such dishonest act. 
 
                       The COMPANY may terminate coverage as respects any Employee sixty (60) 
                       days after written notice is received by each ASSURED Investment Company 
                       and the Securities and Exchange Commission, Washington, D.C. of its desire to 
                       terminate this Bond as to such Employee. 
 
 
 
 
Other Insurance    14. Coverage under this Bond shall apply only as excess over any valid and collectible 
    insurance, indemnity or suretyship obtained by or on behalf of: 

        a.    the ASSURED, 
        b.    a Transportation Company, or 
 
        c.    another entity on whose premises the loss occurred or which employed the 
            person causing the loss or engaged the messenger conveying the Property 
            involved. 
 
 
 
 
 
 
Conformity    15.    If any limitation within this Bond is prohibited by any law controlling this Bond's 
        construction, such limitation shall be deemed to be amended so as to equal the 
minimum period of limitation provided by such law.
 
 
 
Change or Modification    16.    This Bond or any instrument amending or affecting this Bond may not be changed 
        or modified orally. No change in or modification of this Bond shall be effective 
        except when made by written endorsement to this Bond signed by an authorized 
        representative of the COMPANY. 
 
        If this Bond is for a sole ASSURED, no change or modification which would 
        adversely affect the rights of the ASSURED shall be effective prior to sixty (60) 
        days after written notice has been furnished to the Securities and Exchange 
Commission, Washington, D.C., by the acting party.
 
ICAP Bond (5-98)             
Form 17-02-1421 (Ed. 5-98) Page 18 of 19     
 
 
 
Conditions And             
Limitations             
 
 
Change or Modification        If this Bond is for a joint ASSURED, no charge or modification which would 
(continued)        adversely affect the rights of the ASSURED shall be effective prior to sixty (60) 
        days after written notice has been furnished to all insured Investment Companies 
        and to the Securities and Exchange Commission, Washington, D.C., by the 
        COMPANY. 
 
ICAP Bond (5-98)             
Form 17-02-1421 (Ed. 5-98) Page 19 of 19     

FEDERAL INSURANCE COMPANY
Endorsement No: 1 Bond
Bond Number: 81951478

 

NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

NAME OF ASSURED ENDORSEMENT

It is agreed that the NAME OF ASSURED in the DECLARATIONS is amended to read as follows:

DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

FUND

Delaware Group Adviser Funds 
Delaware Group Cash Reserve 
Delaware Group Equity Funds I 
Delaware Group Equity Funds II 
Delaware Group Equity Funds III 
Delaware Group Equity Funds IV 
Delaware Group Equity Funds V 
Delaware Group Foundation Funds 
Delaware Group Limited-Term Government Funds 
Delaware Group Global & International Funds 
Delaware Group Government Fund 
Delaware Group Income Funds 
Delaware VIP Trust 
Delaware Group State Tax-Free Income Trust 
Delaware Group Tax-Free Fund 
Delaware Group Tax-Free Money Fund 
Delaware Pooled Trust 
Voyageur Insured Funds 
Voyageur Intermediate Tax Free Funds 
Delaware Investments Municipal Trust 
Voyageur Mutual Funds 
Voyageur Mutual Funds II 
Voyageur Mutual Funds III 
Voyageur Tax-Free Funds 
Delaware Investments Dividend and Income Fund, Inc. 
Delaware Investments Global Dividend and Income Fund, Inc. 
Delaware Investments Arizona Municipal Income Fund, Inc. 
Delaware Investments Colorado Insured Municipal Income Fund, Inc. 
Delaware Investments Florida Insured Municipal Income Fund, Inc. 
Delaware Investments Minnesota Municipal Income Fund II, Inc. 
Delaware Enhanced Global Dividend and Income Fund 

ICAP Bond 
Form 17-02-0949 (Rev. 1-97) Page 1 

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008.

 

ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

ICAP Bond 
Form 17-02-0949 (Ed. 1-97) Page 2 

 

FEDERAL INSURANCE COMPANY
 Endorsement No.: 2 Bond
Bond Number: 81951478

 

NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

TELEFACSIMILE INSTRUCTION FRAUD ENDORSEMENT

It is agreed that this Bond is amended as follows:

1.      By adding the following INSURING CLAUSE:
 
  12.      Telefacsimile Instruction
 
    Loss resulting directly from the ASSURED having transferred, paid or delivered any funds or other Property or established any credit, debited any account or given any value on the faith of any fraudulent instructions sent by a Customer, financial institution or another office of the ASSURED by Telefacsimile directly to the ASSURED authorizing or acknowledging the transfer, payment or delivery of funds or Property or the establishment of a credit or the debiting of an account or the giving of value by the ASSURED where such Telefacsimile instructions:
 
    a.      bear a valid test key exchanged between the ASSURED and a Customer or another financial institution with authority to use such test key for Telefacsimile instructions in the ordinary course of business, but which test key has been wrongfully obtained by a person who was not authorized to initiate, make, validate or authenticate a test key arrangement, and
 
    b.      fraudulently purport to have been sent by such Customer or financial institution when such Telefacsimile instructions were transmitted without the knowledge
 

 

 

or consent of such Customer or financial institution by a person other than such Customer or financial institution and which bear a Forgery of a signature, provided that the Telefacsimile instruction was verified by a direct call back to an employee of the financial institution, or a person thought by the ASSURED to be the Customer, or an employee of another financial institution.

2.      By deleting from Section 1., Definitions, the definition of Customer in its entirety, and substituting the following:
 
  d.      Customer means an individual, corporate, partnership, trust customer, shareholder or subscriber of an Investment Company which has a written agreement with the ASSURED for Voice Initiated Funds Transfer Instruction or Telefacsimile Instruction.
 
   
 
ICAP Bond 
Form 17-02-2367 (Rev. 10-03) Page 1 

3.      By adding to Section 1., Definitions, the following:
 
  r.      Telefacsimile means a system of transmitting written documents by electronic signals over telephone lines to equipment maintained by the ASSURED for the purpose of reproducing a copy of said document. Telefacsimile does not mean electronic communication sent by Telex or similar means of communication, or through an electronic communication system or through an automated clearing house.
 

 

4.      By adding to Section 3., Specific Exclusions Applicable to All Insuring Clauses Except Insuring Clause 1. the following:
 
  j.      loss resulting directly or indirectly from Telefacsimile instructions provided, however, this exclusion shall not apply to this INSURING CLAUSE.
 

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008.

ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

ICAP Bond

 

 

Form 17-02-2367 (Rev. 10-03) Page 2

 

FEDERAL INSURANCE COMPANY
Endorsement No.: 3 Bond
Bond Number: 81951478

 

NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

AUTOMATED TELEPHONE TRANSACTION ENDORSEMENT

It is agreed that this Bond is amended as follows:

1.      By adding the following INSURING CLAUSE:
13. Automated Telephone System Transaction
 

Loss resulting directly from the ASSURED having transferred funds on the faith of any Automated Phone System (APS) Transaction, where the request for such APS Transaction is unauthorized or fraudulent and is made with the intent to deceive. In order for coverage to apply under this INSURING CLAUSE the ASSURED shall maintain and follow all APS Designated Procedures. A single failure of the ASSURED to maintain and follow a particular APS Designated Procedure in a particular APS Transaction will not preclude coverage under this INSURING CLAUSE.

2.      By adding to Section 1., Definitions, the following:
 
  s.      APS Designated Procedures means all of the following procedures:
 
    (1)      No APS Transaction shall be executed unless the shareholder or unitholder to whose account such an APS Transaction relates has previously elected to APS Transactions. (Election in Application)
     
 
    (2)      All APS Transactions shall be logged or otherwise recorded and the records shall be retained for at least six (6) months. (Logging) Information contained in the records shall be capable of being retrieved and produced within a reasonable time after retrieval of specific information is requested, at a success rate of no less than 85 percent.
 
    (3)      The caller in any request for an APS Transaction, before executing that APS Transaction must enter a personal identification number (PIN), social security number and account number. (Identity Test) If the caller fails to enter a correct PIN within three (3) attempts, the caller must not be allowed additional attempts during the same telephone call to enter the PIN. The caller may either be instructed to redial a customer service representative or may be immediately connected to such a representative. (Limited attempts to Enter PIN)

ICAP Bond

Form 17-02-2345 (Ed. 10-00) Page 1

(4) A written confirmation of any APS Transaction or change of address shall be mailed to
 

 

 

 

the shareholder or unitholder to whose account such transaction relates, at the record address, by the end of the insured's next regular processing cycle, but in no event later than five (5) business days following such APS Transaction. (Written Confirmation)

(5) Access to the equipment which permits the entity receiving the APS Transaction request to process and effect the transaction shall be limited in the following manner: (Access to APS Equipment)

t.      APS Election means any election concerning various account features available to the shareholder or unitholder which is made through the Automated Phone System by means of information transmitted by an individual caller through use of a Automated Phone System.
 
  These features include account statements, auto exchange, auto asset builder, automatic withdrawal, dividend/capital gain options, dividend sweep, telephone balance consent and change of address.
 
u.      APS Exchange means any exchange of shares or units in a registered account of one fund into shares or units in an account with the same tax identification number and same ownership-type code of another fund in the same complex pursuant to exchange privileges of the two funds, which exchange is requested through the Automated Phone System by means of information transmitted by an individual caller through use of an Automated Phone System.
 
v.      APS Purchase means any purchase of shares or units issued by an Investment Company which is requested through an Automated Phone System.
 
w.      APS Redemption means any redemption of shares or units issued by an Investment Company which it requested through the telephone by means of information transmitted by an individual caller through use of a Automated Phone System.
 
x.      APS Transaction means any APS Purchase, APS Redemption, APS Election or APS Exchange.
 
y.      Automated Phone System means an automated system which receives and converts to executable instructions transmissions through the Automated Phone System through use of a touch-tone keypad or other tone system; and always excluding transmissions from a computer system or part thereof.
 
3.      By adding the following Section after Section 4., Specific Exclusions-Applicable To All Insuring Clauses Except 1., 4., 5.:
Section 4.A Specific Exclusion-Applicable to Insuring Clause 13
 
  This Bond does not directly or indirectly cover under Insuring Clause 13:
 
  Loss resulting from:
 
  a.      the redemption of shares or units, where the proceeds of such redemption are made payable to other than:
 
    (1)      the shares or units of record,
 
    (2)      a person designated to receive redemption proceeds, or
 
    (3)      a bank account designated to receive redemption proceeds, or
 
  b.      the redemption of shares or units, where the proceeds of such redemption are paid by check mailed to any address, unless such address has either been designated the shareholder or unitholder by voice through an Automated Phone System or in writing, at least thirty (30) days prior to such redemption, or
 

ICAP Bond

 

 

Form 17-02-2345 (Ed. 10-00) Page 2

c. the redemption of shares or units, where shareholder or unitholder of the ASSURED
designated bank account of record.             

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008. ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

ICAP Bond 
Form 17-02-2345 (Ed. 10-00) Page 3 

FEDERAL INSURANCE COMPANY
Endorsement No.: 4 Bond
Bond Number: 81951478


NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

STOP PAYMENT ORDER OR REFUSAL TO PAY CHECK ENDORSEMENT

It is agreed that this Bond is amended as follows:

1.      By adding the following INSURING CLAUSE:
“14. Stop Payment Order or Refusal to Pay Check
Loss resulting directly from the ASSURED being legally liable to pay compensatory damages for:

 

a.      complying or failing to comply with notice from any customer of the ASSURED or any authorized representative of such customer, to stop payment on any check or draft made or drawn upon or against the ASSURED by such customer or by any authorized representative of such customer, or
 
b.      refusing to pay any check or draft made or drawn upon or against the ASSURED by any customer of the ASSURED or by any authorized representative of such customer.”
 
2.      By adding the following Specific Exclusion:
 
  “Section 4.A. Specific Exclusions – Applicable to INSURING CLAUSE 14
 
  This Bond does not directly or indirectly cover:
 
  a.      liability assumed by the ASSURED by agreement under any contract, unless such liability would have attached to the ASSURED even in the absence of such agreement,
 
  b.      loss arising out of:
 
    (1)      libel, slander, wrongful entry, eviction, defamation, false arrest, false imprisonment, malicious prosecution, assault or battery,
 

 

 

(2)      sickness, disease, physical bodily harm, mental or emotional distress or anguish, or death of any person, or
 
(3)      discrimination.”
 

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008. ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

  ICAP Bond
Form 17-02-2365 (Ed. 10-00)

  FEDERAL INSURANCE CO
Endorsement No.: 5 Bond
Bond Number: 81951478

NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

UNAUTHORIZED SIGNATURE ENDORSEMENT

It is agreed that this Bond is amended as follows:

1.      By adding the following INSURING CLAUSE:
 
  15.      Unauthorized Signature
 
    Loss resulting directly from the ASSURED having accepted, paid or cashed any check or Withdrawal Order made or drawn on or against the account of the ASSURED’S customer which bears the signature or endorsement of one other than a person whose name and signature is on file with the ASSURED as a signatory on such account.
 
    It shall be a condition precedent to the ASSURED'S right of recovery under this INSURING CLAUSE that the ASSURED shall have on file signatures of all the persons who are signatories on such account.
 
2.      By adding to Section 1., Definitions, the following:
z.     Instruction means a written order to the issuer of an Uncertificated Security requesting that the transfer, pledge or release from pledge of the specified Uncertificated Security be registered.

 

         aa.   Uncertificated Security means a share, participation or other interest in property of or an enterprise of the issuer or an obligation of the issuer, which is:
 
  (1)      not represented by an instrument and the transfer of which is registered on books maintained for that purpose by or on behalf of the issuer, and
 
  (2)      of a type commonly dealt in on securities exchanges or markets, and
 
  (3)      either one of a class or series or by its terms divisible into a class or series of shares, participations, interests or obligations.
 
ICAP Bond 
Form 17-02-5602 (Ed. 10-03) Page 1 

 

 

bb.      Withdrawal Order means a non-negotiable instrument, other than an Instruction, signed by a customer of the ASSURED authorizing the ASSURED to debit the customer’s account in the amount of funds stated therein.
 

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008.

ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

ICAP Bond 
Form 17-02-5602 (Ed. 10-03) Page 2 

 

FEDERAL INSURANCE COMPANY
Endorsement No.: 6 Bond
Bond Number: 81951478


 

 

NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

EXTENDED COMPUTER SYSTEMS ENDORSEMENT

It is agreed that this Bond is amended as follows:

1.      By adding the following INSURING CLAUSE:
 
  16.      Extended Computer Systems
 
    A.      Electronic Data, Electronic Media, Electronic Instruction Loss resulting directly from:
 
      (1)      the fraudulent modification of Electronic Data, Electronic Media or Electronic Instruction being stored within or being run within any system covered under this INSURING CLAUSE,
 
      (2)      robbery, burglary, larceny or theft of Electronic Data, Electronic Media or
 

 

 

  Electronic Instructions,

(3)      the acts of a hacker causing damage or destruction of Electronic Data, Electronic Media or Electronic Instruction owned by the ASSURED or for which the ASSURED is legally liable, while stored within a Computer System covered under this INSURING CLAUSE, or
 
(4)      the damage or destruction of Electronic Data, Electronic Media or Electronic Instruction owned by the ASSURED or for which the ASSURED is legally liable while stored within a Computer System covered under INSURING CLAUSE 16, provided such damage or destruction was caused by a computer program or similar instruction which was written or altered to intentionally incorporate a hidden instruction designed to damage or destroy Electronic Data, Electronic Media, or Electronic Instruction in the Computer System in which the computer program or instruction so written or so altered is used.
 
ICAP2 Bond 
Form 17-02-2976 (Ed. 1-02) Page 1 

B.      Electronic Communication
 
  Loss resulting directly from the ASSURED having transferred, paid or delivered any funds or property, established any credit, debited any account or given any value on the faith of any electronic communications directed to the ASSURED, which were transmitted or appear to have been transmitted through:
 
  (1)      an Electronic Communication System,
 
  (2)      an automated clearing house or custodian, or
 
  (3)      a Telex, TWX, or similar means of communication,
 
  directly into the ASSURED'S Computer System or Communication Terminal, and fraudulently purport to have been sent by a customer, automated clearing house, custodian, or financial institution, but which communications were either not sent by said customer, automated clearing house, custodian, or financial institution, or were fraudulently modified during physical transit of Electronic Media to the ASSURED or during electronic transmission to the ASSURED'S Computer System or Communication Terminal.
   
 
C.      Electronic Transmission
 
  Loss resulting directly from a customer of the ASSURED, any automated clearing house, custodian, or financial institution having transferred, paid or delivered any funds or property, established any credit, debited any account or given any value on the faith of any electronic communications, purporting to have been directed by the ASSURED to such customer, automated clearing house, custodian, or financial institution initiating, authorizing, or acknowledging, the transfer, payment, delivery or receipt of funds or property, which communications were transmitted through:
 
  (1)      an Electronic Communication System,
 
  (2)      an automated clearing house or custodian, or
 
  (3)      a Telex, TWX, or similar means of communication,
 

 

 

directly into a Computer System or Communication Terminal of said customer, automated clearing house, custodian, or financial institution, and fraudulently purport to have been directed by the ASSURED, but which communications were either not sent by the ASSURED, or were fraudulently modified during physical transit of Electronic Media from the ASSURED or during electronic transmission from the ASSURED'S Computer System or Communication Terminal, and for which loss the ASSURED is held to be legally liable.

ICAP2 Bond 
Form 17-02-2976 (Ed. 1-02) Page 2 

2.      By adding to Section 1., Definitions, the following:
 
  cc.      Communication Terminal means a teletype, teleprinter or video display terminal, or similar device capable of sending or receiving information electronically. Communication Terminal does not mean a telephone.
 
  dd.      Electronic Communication System means electronic communication operations by Fedwire, Clearing House Interbank Payment System (CHIPS), Society of Worldwide International Financial Telecommunication (SWIFT), similar automated interbank communication systems, and Internet access facilities.
 
  ee.      Electronic Data means facts or information converted to a form usable in Computer Systems and which is stored on Electronic Media for use by computer programs.
 
  ff.      Electronic Instruction means computer programs converted to a form usable in a Computer System to act upon Electronic Data.
 
  gg.      Electronic Media means the magnetic tape, magnetic disk, optical disk, or any other bulk media on which data is recorded.
 
3.      By adding the following Section after Section 4., Specific Exclusions-Applicable to All INSURING CLAUSES except 1., 4., and 5.:
 
  Section 4.A. Specific Exclusions-Applicable to INSURING CLAUSE 16
 
  This Bond does not directly or indirectly cover:
 
  a.      loss resulting directly or indirectly from Forged, altered or fraudulent negotiable instruments, securities, documents or written instruments used as source documentation in the preparation of Electronic Data;
 
  b.      loss of negotiable instruments, securities, documents or written instruments except as converted to Electronic Data and then only in that converted form;
 
  c.      loss resulting from mechanical failure, faulty construction, error in design, latent defect, wear or tear, gradual deterioration, electrical disturbance, Electronic Media failure or breakdown or any malfunction or error in programming or error or omission in processing;
 
  d.      loss resulting directly or indirectly from the input of Electronic Data at an authorized electronic terminal of an Electronic Funds Transfer System or a Customer Communication System by a person who had authorized access from a customer to that customer's authentication mechanism; or
 
  e.      liability assumed by the ASSURED by agreement under any contract, unless such liability would have attached to the ASSURED even in the absence of such agreement; or
 

 

 

f.      loss resulting directly or indirectly from:
 
  (1)      written instruction unless covered under this INSURING CLAUSE; or
 
  (2)      instruction by voice over the telephone, unless covered under this INSURING CLAUSE.
 
ICAP2 Bond 
Form 17-02-2976 (Ed. 1-02) Page 3 

4.      By adding to Section 9., Valuation, the following:
 
  Electronic Data, Electronic Media, Or Electronic Instruction
 
  In case of loss of, or damage to, Electronic Data, Electronic Media or Electronic Instruction used by the ASSURED in its business, the COMPANY shall be liable under this Bond only if such items are actually reproduced form other Electronic Data, Electronic Media or Electronic Instruction of the same kind or quality and then for not more than the cost of the blank media and/or the cost of labor for the actual transcription or copying of data which shall have been furnished by the ASSURED in order to reproduce such Electronic Data, Electronic Media or Electronic Instruction subject to the applicable SINGLE LOSS LIMIT OF LIABILITY.
 
  However, if such Electronic Data can not be reproduced and said Electronic Data represents Securities or financial instruments having a value, then the loss will be valued as indicated in the SECURITIES and OTHER PROPERTY paragraphs of this Section.
 

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008.

ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

ICAP2 Bond 
Form 17-02-2976 (Ed. 1-02) Page 4 

FEDERAL INSURANCE COMPANY
Endorsement No.: 7 Bond
Bond Number: 81951478

 

 

NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

NON-CUMULATIVE ENDORSEMENT

It is agreed that in the event of a loss covered under this Bond and also covered under FEDERAL INSURANCE COMPANY'S Bond No. 81951477 issued to DELAWARE MANAGEMENT HOLDINGS, INC., the SINGLE LOSS LIMIT OF LIABILITY under this Bond shall be reduced by any payment under Bond No. 81951477 and only the remainder, if any, shall be applicable to such loss hereunder.

Name and Address of Assured:

DELAWARE INVESTMENT COMPANY FAMILY
2005 MARKET STREET

PHILADELPHIA, PA 19103

Signature of Assured’s Representative

Position/Title

Date

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008. ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

ICAP Bond   
Form 17-02-0955 (Rev. 1-97)   
 

FEDERAL INSURANCE COMPANY
 Endorsement No.: 8
Bond Number: 81951478 Bond


 NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS 

AMEND DISCOVERY ENDORSEMENT

It is agreed that this Bond is amended by deleting Section 6., Discovery, in its entirety and substituting the following:

6.      Discovery
 
  This Bond applies only to loss first discovered by the General Counsel or Risk Management Department of the ASSURED during the BOND PERIOD. Discovery occurs at the earlier of the
 

 

 

General Counsel or Risk Management Department of the ASSURED being aware of:

a.      facts which may subsequently result in a loss of a type covered by this Bond, or
 
b.      an actual or potential claim in which it is alleged that the ASSURED is liable to a third party,
 

regardless of when the act or acts causing or contributing to such loss occurred, even though the amount of loss does not exceed the applicable DEDUCTIBLE AMOUNT, or the exact amount or details of loss may not then be known.

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008.

ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

ICAP Bond

Form 17-02-6260 (Ed. 6-04)

FEDERAL INSURANCE COMPANY
Endorsement No.: 9 Bond
Bond Number: 81951478

 

NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

CLAIMS EXPENSE ENDORSEMENT

It is agreed that this Bond is amended as follows:

1.      By adding the following INSURING CLAUSE:
17. Claims Expense
         Reasonable expense incurred by the ASSURED, solely for independent firms or individuals to determine the amount of loss where:

 

      (1)    the loss is covered under the Bond, and
 
         (2)    the loss is in excess of the applicable DEDUCTIBLE AMOUNT.
 
2.      Under General Exclusions-Applicable To All Insuring Clauses, Section 2.f. does not apply to loss covered under this INSURING CLAUSE.
 

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008.

 

 

ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

ICAP Bond

Form 17-02-6282 (Ed. 11-04)

 

FEDERAL INSURANCE COMPANY
Endorsement No. 10 Bond
Bond Number: 81951478

 

NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

REVISE ITEM 2. ENDORSEMENT

It is agreed that this Bond is amended by deleting ITEM 2. in its entirety on the DECLARATIONS and substituting the following:

ITEM 2. LIMITS OF LIABILITY-DEDUCTIBLE AMOUNTS:

If "Not Covered" is inserted below opposite any specified INSURING CLAUSE, such INSURING CLAUSE and any other reference to such INSURING CLAUSE in this Bond shall be deemed to be deleted. There shall be no deductible applicable to any loss under INSURING CLAUSE 1 sustained by any Investment Company.

        SINGLE LOSS    DEDUCTIBLE 
INSURING CLAUSE    LIMIT OF LIABILITY    AMOUNT 
 
 
1.    Employee    $ 20,000,000    $ 0 
2.    On Premises    $ 20,000,000    $ 50,000 
3.    In Transit    $ 20,000,000    $ 50,000 
4.    Forgery or Alteration    $ 20,000,000    $ 50,000 
5.    Extended Forgery    $ 20,000,000    $ 50,000 
6.    Counterfeit Currency    $ 20,000,000    $ 50,000 
7.    Threats to Person    $ Not Covered    $ N/A 
8.    Computer System    $ 20,000,000    $ 50,000 
9.    Voice Initiated Funds Transfer Instruction    $ 20,000,000    $ 50,000 

 

 

10. Uncollectible Items of Deposit  $ 50,000  $ 10,000 
11. Audit Expense  $ 100,000  $ 0
12.    Telefacsimile Instruction    $ 20,000,000    $ 50,000 
13.    Automated Telephone Transaction    $ 20,000,000    $ 50,000 
14.    Stop Payment Order or Refusal to Pay Check    $ 20,000,000    $ 50,000 
15.    Unauthorized Signature    $ 50,000    $ 10,000 
16.    Extended Computer Systems    $ 20,000,000    $ 50,000 
17.    Claims Expense    $ 100,000    $ 0 

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008.
ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.
Date: October 31, 2008

FEDERAL INSURANCE COMPANY
Endorsement No.: 11 Bond
Bond Number: 81951478

 

NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

AUTOMATIC ACQUISITION PERCENTAGE THRESHOLD ENDORSEMENT

It is agreed that this Bond is amended by deleting in its entirety General Agreement C., Additional Offices or Employees-Consolidation, Merger or Purchase or Acquisition of Assets or Liabilities-Notice To Company, and substituting the following:

C.      Additional Offices or Employees-Consolidation, Merger or Purchase or Acquisition Of Assets or Liabilities-Notice to Company If the ASSURED, other than an Investment Company, while this Bond is in force, merges or consolidates with, or purchases or acquires assets or liabilities of another institution, the ASSURED shall not have the coverage afforded under this Bond for loss which has:
 
  (1)      occurred or will occur on premises,
 
  (2)      been caused or will be caused by an employee, or
 
  (3)      arisen or will arise out of the assets or liabilities,
 
  of such institution, unless the ASSURED: 

 

a. gives the COMPANY written notice of the proposed consolidation, merger or purchase or acquisition of assets or liabilities prior to the proposed effective date of such action, and
b.      obtains the written consent of the COMPANY to extend some or all of the coverage provided by this Bond to such additional exposure, and
 
c.      on obtaining such consent, pays to the COMPANY an additional premium.
 

Notwithstanding anything stated above to the contrary, the COMPANY hereby agrees to provide

 

 

coverage which shall be effective on the date of acquisition under this Bond for those acquired institutions in which the ASSURED owns greater than fifty percent (50%) of the voting stock or voting rights either directly or through one or more of its subsidiaries for the remainder of the BOND PERIOD, with no additional premium, provided the acquired institution meets all of the following conditions:

i.      the assets shall not exceed twenty five percent (25%) of the ASSURED’S assets,
 
ii.      there shall be neither any paid nor pending Bond claim for the three (3) year period prior to the date of acquisition, and
 
iii.      the ASSURED is not aware of any disciplinary action or proceeding by State or Federal officials involving the acquired institution as of the date of acquisition.
 
ICAP Bond 
Form 17-02-6247 (Ed. 3-04) Page 1 

The COMPANY further agrees that as respects any acquisition that involves a State or Federal regulatory assisted acquisition or assumption of assets and/or liabilities, coverage shall be provided under this Bond for the remainder of the BOND PERIOD as long as conditions i. and ii. above are met. As respects such acquisition or assumption of assets and/or liabilities, coverage applies only to a Single Loss fully sustained by the ASSURED on or after the date of such acquisition or assumption. All of the circumstances, conditions or acts causing or contributing to a Single Loss must occur on or after the date of such acquisition or assumption for coverage to apply regardless of the time such loss is discovered by the ASSURED.

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008.

ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

ICAP Bond 
Form 17-02-6247 (Ed. 3-04) Page 2 

  FEDERAL INSURANCE COMPANY
Endorsement No.: 12 Bond
Bond Number: 81951478

 

NAME OF ASSURED: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

AMENDING DEFINITION OF EMPLOYEE-FORMER EMPLOYEES ENDORSEMENT

It is agreed that this Bond is amended by adding to the definition of Employee in Section 1., Definitions, the following:

(10)      a natural person who resigns, retires or is terminated from the service of the ASSURED during the BOND PERIOD provided that this applies:
 
  a.      for a period of ninety (90) days subsequent to such resignation, retirement or termination but not beyond the date of expiration or termination of the Bond; and
 
  b.      if such resignation, retirement or termination has not arisen from or in connection with the discovery by the ASSURED of any actual or alleged dishonest, fraudulent or criminal act(s) of such person.
 

This Endorsement applies to loss discovered after 12:01 a.m. on October 31, 2008.

 
ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

 
Date: October 31, 2008

ICAP Bond         
 
Form 17-02-2335 (Ed. 10-00)         
 
 
 
 
Effective date of         
this endorsement: October 31, 2008    FEDERAL INSURANCE COMPANY 
    Endorsement No.: 13 Bond 
    To be attached to and form a part of Bond 
    Number:    81951478 

Issued to: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

COMPLIANCE WITH APPLICABLE TRADE SANCTION LAWS RIDER

It is agreed that this insurance does not apply to the extent that trade or economic sanctions or other laws or regulations prohibit the coverage provided by this insurance.

 

 

ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date: October 31, 2008

Form 14-02-9228 (Ed. 4/2004)         
 
 
 
 
        ENDORSEMENT/RIDER 
Effective date of         
this endorsement/rider: October 31, 2008    FEDERAL INSURANCE COMPANY 
    Endorsement/Rider No.    14 Bond 
    To be attached to and     
    form a part of Bond No.    81951478 

Issued to: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS

DELETING VALUATION-OTHER PROPERTY AND AMENDING CHANGE OR MODIFICATION ENDORSEMENT

In consideration of the premium charged, it is agreed that this Bond is amended as follows:

1.      The paragraph titled Other Property in Section 9, Valuation, is deleted in its entirety.
 
2.      The third paragraph in Section 16, Change or Modification, is deleted in its entirety and replaced with the following:

If this Bond is for a joint ASSURED, no change or modification which would adversely affect the rights of the ASSURED shall be effective prior to sixty (60) days after written notice has been furnished to all insured Investment Companies and the Securities and Exchange Commission, Washington, D.C., by the COMPANY.
 

The title and any headings in this endorsement/rider are solely for convenience and form no part of the terms and conditions of coverage.

All other terms, conditions and limitations of this Bond shall remain unchanged.

17-02-2437 (12/2006) rev.

Page 1

 

 

ENDORSEMENT/RIDER

Effective date of         
this endorsement/rider: October 31, 2008    FEDERAL INSURANCE COMPANY 
    Endorsement/Rider No.    15 
    To be attached to and     
    form a part of Bond No.    81951478 
Issued to: DELAWARE INVESTMENT COMPANY FAMILY OF FUNDS     
   

AUTOMATIC INCREASE IN LIMITS ENDORSEMENT

In consideration of the premium charged, it is agreed that GENERAL AGREEMENTS, Section C. Additional Offices Or Employees-Consolidation, Merger Or Purchase Or Acquisition Of Assets Or Liabilities-Notice To Company, is amended by adding the following subsection:

Automatic Increase in Limits for Investment Companies If an increase in bonding limits is required pursuant to rule 17g-1 of the Investment Company Act of 1940 (“the Act”), due to:

(i)      the creation of a new Investment Company, other than by consolidation or merger with, or purchase or acquisition of assets or liabilities of, another institution; or
 
(ii)      an increase in asset size of current Investment Companies covered under this Bond,
 

then the minimum required increase in limits shall take place automatically without payment of additional premium for the remainder of the BOND PERIOD.

The title and any headings in this endorsement/rider are solely for convenience and form no part of the terms and conditions of coverage.

All other terms, conditions and limitations of this Bond shall remain unchanged.

  14-02-14098 (04/2008)

  Page 1

     POLICYHOLDER DISCLOSURE NOTICE OF

TERRORISM INSURANCE COVERAGE

(for policies with no terrorism exclusion or sublimit)

You are hereby notified that, under the Terrorism Risk Insurance Act (the “Act”), effective December 26, 2007, this policy makes available to you insurance for losses arising out of certain acts of terrorism. Terrorism is defined as any act certified by the Secretary of the Treasury, in concurrence with the Secretary of State and the Attorney General of the

 

 

United States, to be an act of terrorism; to be a violent act or an act that is dangerous to human life, property or infrastructure; to have resulted in damage within the United States, or outside the United States in the case of an air carrier or vessel or the premises of a United States Mission; and to have been committed by an individual or individuals as part of an effort to coerce the civilian population of the United States or to influence the policy or affect the conduct of the United States Government by coercion.

You should know that the insurance provided by your policy for losses caused by acts of terrorism is partially reimbursed by the United States under the formula set forth in the Act. Under this formula, the United States pays 85% of covered terrorism losses that exceed the statutorily established deductible to be paid by the insurance company providing the coverage.

However, if aggregate insured losses attributable to terrorist acts certified under the Act exceed $100 billion in a Program Year (January 1 through December 31), the Treasury shall not make any payment for any portion of the amount of such losses that exceeds $100 billion.

10-02-1281 (Ed. 1/2003)

If aggregate insured losses attributable to terrorist acts certified under the Act exceed $100 billion in a Program Year (January 1 through December 31) and we have met our insurer deductible under the Act, we shall not be liable for the payment of any portion of the amount of such losses that exceeds $100 billion, and in such case insured losses up to that amount are subject to pro rata allocation in accordance with procedures established by the Secretary of the Treasury.

The portion of your policy’s annual premium that is attributable to insurance for such acts of terrorism is: $ -0-.

If you have any questions about this notice, please contact your agent or broker.

10-02-1281 (Ed. 1/2003)

IMPORTANT NOTICE TO POLICYHOLDERS

     All of the members of the Chubb Group of Insurance companies doing business in the United States (hereinafter “Chubb”) distribute their products through licensed insurance brokers and agents (“producers”). Detailed information regarding the types of compensation paid by Chubb to producers on US insurance transactions is available under the Producer Compensation link located at the bottom of the page at www.chubb.com, or by calling 1-866-588-9478. Additional information may be available from your producer.

  Thank you for choosing Chubb.

10-02-1295 (ed. 6/2007)

 

 

Important Notice:

The SEC Requires Proof of Your Fidelity Insurance Policy

Your company is now required to file an electronic copy of your fidelity insurance coverage (Chubb’s ICAP Bond policy) to the Securities and Exchange Commission (SEC), according to rules adopted by the SEC on June 12, 2006.

Chubb is in the process of providing your agent/broker with an electronic copy of your insurance policy as well as instructions on how to submit this proof of fidelity insurance coverage to the SEC. You can expect to receive this information from your agent/broker shortly.

The electronic copy of your policy is provided by Chubb solely as a convenience and does not affect the terms and conditions of coverage as set forth in the paper policy you receive by mail. The terms and conditions of the policy mailed to you, which are the same as those set forth in the electronic copy, constitute the entire agreement between your company and Chubb.

If you have any questions, please contact your agent or broker.

Form 14-02-12160 (ed. 7/2006)

 


ATTACHMENT II TO 
JOINT INSURANCE AGREEMENT 
DATED AS OF OCTOBER 31, 2008 
 
 
DELAWARE INVESTMENTS FAMILY OF FUNDS 
 
 
                            FUND    MINIMUM AMOUNT OF 
    FIDELITY BOND COVERAGE 
 
Delaware Group Adviser Funds     
   Delaware Diversified Income Fund    $2,500,000 
   Delaware U.S. Growth Fund     
 
 
Delaware Group Cash Reserve     
Delaware Cash Reserve Fund    $900,000 
 
 
Delaware Group Equity Funds I     
   Delaware Balanced Fund    $600,000 
   Delaware Mid Cap Value Fund     
 
Delaware Group Equity Funds II     
   Delaware Large Cap Value Fund    $1,250,000 
   Delaware Value Fund     
 
 
Delaware Group Equity Funds III     
   Delaware American Services Fund     
   Delaware Small Cap Growth Fund    $1,000,000 
   Delaware Trend Fund     
 
 
Delaware Group Equity Funds IV     
   Delaware Growth Opportunities Fund     
   Delaware Global Real Estate Securities Fund    $750,000 
   Delaware Healthcare Fund     
 
 
Delaware Group Equity Funds V     
   Delaware Dividend Income Fund     
   Delaware Small Cap Core Fund    $1,250,000 
   Delaware Small Cap Value Fund     
 
 
Delaware Group Foundation Funds     
   Delaware Aggressive Allocation Portfolio     
   Delaware Conservative Allocation Portfolio    $525,000 
   Delaware Moderate Allocation Portfolio     
 
 
Delaware Group Global & International Funds     
   Delaware Emerging Markets Fund     
   Delaware Global Value Fund    $1,250,000 
   Delaware International Value Equity Fund     
 
 
Delaware Group Government Fund     
   Delaware Core Plus Bond Fund     
   Delaware Inflation Protected Bond Fund    $600,000 


    MINIMUM AMOUNT OF 
                                                     FUND    FIDELITY BOND COVERAGE 
 
Delaware Group Income Funds     
   Delaware Corporate Bond Fund     
   Delaware Delchester Fund    $1,250,000 
   Delaware Extended Duration Bond Fund     
   Delaware High-Yield Opportunities Fund     
 
 
Delaware Group Limited-Term Government Funds     
   Delaware Limited-Term Diversified Income Fund    $750,000 
 
 
Delaware Group State Tax-Free Income Trust     
   Delaware Tax-Free Pennsylvania Fund    $750,000 
 
 
Delaware Group Tax Free Fund     
   Delaware Tax-Free USA Fund     
   Delaware Tax-Free USA Intermediate Fund    $1,00,000 
 
 
 
Delaware Group Tax-Free Money Fund     
   Delaware Tax-Free Money Fund    $225,000 
 
 
Delaware Pooled Trust     
   The Select 20 Portfolio     
   The Core Focus Fixed Income Portfolio     
   The Core Plus Fixed Income Portfolio     
   The Emerging Markets Portfolio     
   The Focus Smid-Cap Growth Equity Portfolio     
   The Global Fixed Income Portfolio    $2,500,000 
   The Global Real Estate Securities Portfolio     
   The High-Yield Bond Portfolio     
   The Intermediate Fixed Income Portfolio     
   The International Equity Portfolio     
   The International Fixed Income Portfolio     
   The Labor Select International Equity Portfolio     
   The Large-Cap Growth Equity Portfolio     
   The Large-Cap Value Equity Portfolio     
   The Mid-Cap Growth Equity Portfolio     
   The Real Estate Investment Trust Portfolio     
   The Real Estate Investment Trust Portfolio II     
   The Small-Cap Growth Equity Portfolio     
   The Smid-Cap Growth Equity Portfolio     


    MINIMUM AMOUNT OF 
                                       FUND    FIDELITY BOND COVERAGE 
 
Delaware VIP Trust     
   Delaware VIP Balanced Series     
   Delaware VIP Capital Reserves Series     
   Delaware VIP Cash Reserve Series     
   Delaware VIP Diversified Income Series     
   Delaware VIP Emerging Markets Series     
   Delaware VIP Growth Opportunities Series     
   Delaware VIP High Yield Series    $2,500,000 
   Delaware VIP International Value Equity Series     
   Delaware VIP REIT Series     
   Delaware VIP Select Growth Series     
   Delaware VIP Small Cap Value Series     
   Delaware VIP Trend Series     
   Delaware VIP U.S. Growth Series     
   Delaware VIP Value Series     
 
Voyageur Insured Funds     
   Delaware Tax-Free Arizona Fund    $525,000 
 
 
 
Voyageur Intermediate Tax Free Funds     
   Delaware Tax-Free Minnesota Intermediate Fund    $400,000 
 
 
Delaware Investments Municipal Trust     
   No Funds    0 
 
 
 
Voyageur Mutual Funds     
   Delaware Minnesota High-Yield Municipal Bond Fund     
   Delaware National High-Yield Municipal Bond Fund     
   Delaware Tax-Free California Fund    $750,000 
   Delaware Tax-Free Idaho Fund     
   Delaware Tax-Free New York Fund     
 
 
Voyageur Mutual Funds II     
   Delaware Tax-Free Colorado Fund    $600,000 
 
 
Voyageur Mutual Funds III     
   Delaware Select Growth Fund    $600,000 
   Delaware Large Cap Core Fund     
 
 
Voyageur Tax Free Funds     
   Delaware Tax-Free Minnesota Fund    $900,000 


    MINIMUM AMOUNT OF 
FUND    FIDELITY BOND COVERAGE 
 
Delaware Investments Dividend and Income Fund, Inc.    $525,000 
 
 
Delaware Investments Global Dividend and Income     
Fund, Inc.    $400,000 
 
 
Delaware Investments Arizona Municipal Income     
Fund, Inc.    $350,000 
 
 
Delaware Investments Colorado Municipal Income     
Fund, Inc.    $400,000 
 
 
Delaware Investments National Municipal Income     
Fund    $300,000 
 
 
Delaware Investments Minnesota Municipal Income     
Fund II, Inc.    $600,000 
 
 
Delaware Enhanced Global Dividend and Income Fund    $600,000 
 
 
 
 
Total    $26,550,000