Schedule A*

to the Investment Advisory Agreement

between

DUNHAM FUNDS

and

DUNHAM & ASSOCIATES INVESTMENT COUNSEL, INC.

Pursuant to Article 4, the Funds shall pay the Adviser compensation at an annual

rate as follows:

FUND:	Compensation (as a percentage of daily net assets):
Dunham Corporate/Government Bond Fund	0.50%
Dunham High-Yield Bond Fund	0.60%
Dunham Real Estate Stock Fund	0.65%
Dunham Appreciation & Income Fund	0.65%
Dunham International Stock Fund	0.65%
Dunham Large Cap Value Fund	0.65%
Dunham Small Cap Value Fund	0.65%
Dunham Large Cap Growth Fund	0.65%
Dunham Emerging Markets Stock Fund	0.65%
Dunham Small Cap Growth Fund	0.65%
Dunham Monthly Distribution Fund	0.65%

Dunham Funds shall pay to each sub-adviser the fee set forth in the respective sub-advisory agreement, which shall specify a fee rate, provided that the annual fee rate for a sub-adviser shall be within the following ranges:  

FUND	Range of Annual Sub-Adviser Fee (as a percentage of average daily net assets)*
Dunham Corporate/Government Bond Fund	0.00% to 0.70%
Dunham High-Yield Bond Fund	0.00% to 0.80%
Dunham Real Estate Stock Fund	0.00% to 1.00%
Dunham Appreciation & Income Fund	0.00% to 1.50%
Dunham International Stock Fund	0.00% to 1.00%
Dunham Large Cap Value Fund	0.00% to 1.00%
Dunham Small Cap Value Fund	0.00% to 1.50%
Dunham Large Cap Growth Fund	0.00% to 1.10%
Dunham Emerging Markets Stock Fund	0.00% to 1.20%
Dunham Small Cap Growth Fund	0.00% to 1.30%
Dunham Monthly Distribution Fund	0.00% to 1.50%

                                                        * Revised May 14, 2008 to include Dunham Monthly Distribution Fund

DUNHAM & ASSOCIATES

DUNHAM FUNDS

INVESTMENT COUNSEL, INC.

By:

/s/ Jeffrey Dunham

By:

 /s/ Denise S. Iverson

Jeffrey A. Dunham, President

Denise Iverson, Treasurer