Exhibit 4(b)(x)(4)


                         THE MASTERS' SELECT VALUE FUND
                        MASTERS' SELECT INVESTMENT TRUST
                        INVESTMENT SUB-ADVISORY AGREEMENT

THIS INVESTMENT SUB-ADVISORY AGREEMENT is made as of the ___ day of ____2000 by
and between LITMAN/GREGORY FUND ADVISORS, LLC (hereinafter called the "Advisor")
and Franklin Mutual Advisers, LLC (hereinafter called "Sub-Advisor").

                                   WITNESSETH:

          WHEREAS, the Advisor has been retained as the investment advisor to
The Masters' Select Value Fund (the "Fund"), a series of Masters' Select Funds
Trust (the "Trust"), an open-end management investment company, registered as
such under the Investment Company Act of 1940, as amended (the "Investment
Company Act"); and

          WHEREAS, the Advisor has been authorized by the Trust to retain one or
more investment advisors (each an "investment manager") to serve as portfolio
managers for specified portions of the Fund's assets; and

          WHEREAS, Sub-Advisor is registered as an investment advisor under the
Investment Advisers Act of 1940, as amended (the "Investment Advisers Act"), and
is engaged in the business of supplying investment advisory services as an
independent contractor; and

          WHEREAS, the Fund and the Advisor desire to retain Sub-Advisor
pursuant to the terms and provisions of this Agreement as an investment manager
to render portfolio advice and services to the Fund with respect to a portion of
the Fund's assets to be specified by the Advisor and subject to periodic
increases or decreases at the Advisor's sole discretion (the "Allocated
Portion"), and Sub-Advisor desires to furnish said advice and services; and

          WHEREAS, the Trust and the Fund are third party beneficiaries of such
arrangements;

          NOW, THEREFORE, in consideration of the covenants and the mutual
promises hereinafter set forth, the parties to this Agreement, which shall
include the Trust on behalf of the Fund for purposes of the indemnification
provisions of section 11 hereof, intending to be legally bound hereby, mutually
agree as follows:

     1. APPOINTMENT OF SUB-ADVISOR.

          (a) The Advisor hereby employs Sub-Advisor, and Sub-Advisor hereby
accepts such employment, to render investment advice and related services with
respect to the Allocated Portion for the period and on the terms set forth in
this Agreement. Subject only to the supervision and direction of the Advisor and

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the Trust's Board of Trustees, the Sub-Advisor shall have sole and exclusive
discretion in all determinations with respect to the purchasing and selling of
assets comprising the Allocated Portion and in voting and exercising all other
rights appertaining to such assets on behalf of the Fund, and shall take all
such steps as may be necessary to implement those determinations.

          (b) Sub-Advisor's employment shall be solely with respect to the
Allocated Portion.

     2. DUTIES OF SUB-ADVISOR.

          (a) GENERAL DUTIES.

          (i) Sub-Advisor shall act as one of several investment managers to the
Fund and shall invest the Allocated Portion in accordance with the investment
objectives, policies and restrictions of the Fund as set forth in the Fund's and
the Trust's governing documents, including, without limitation, the Trust's
Agreement and Declaration of Trust and By-Laws; the Fund's prospectus, statement
of additional information and undertakings; and such other limitations, policies
and procedures as the Advisor or the Trustees of the Trust may impose from time
to time in writing to Sub-Advisor. In providing such services, Sub-Advisor shall
at all times adhere to the provisions and restrictions contained in the federal
securities laws, applicable state securities laws, the Internal Revenue Code,
and other applicable law. Advisor shall provide to Sub-Advisor such information
with respect to the Fund such that Sub-Advisor will be able to maintain
compliance with applicable regulations, laws, policies, and restrictions with
respect to the Allocated Portion.

          (ii) Without limiting the generality of the foregoing, Sub-Advisor
shall: (i) furnish the Fund with advice and recommendations with respect to the
investment of the Allocated Portion, (ii) effect the purchase and sale of
portfolio securities for the Allocated Portion; (iii) determine that portion of
the Allocated Portion that will remain uninvested, if any; (iv) manage and
oversee the investments of the Allocated Portion, subject to the ultimate
supervision and direction of the Trust's Board of Trustees; (v) vote proxies,
file required ownership reports, and take other actions with respect to the
securities in the Allocated Portion; (vi) maintain the books and records
required to be maintained with respect to the securities in the Allocated
Portion; (vii) furnish reports, statements and other data on securities,
economic conditions and other matters related to the investment of the Fund's
assets which are mutually agreed upon by the parties; and (viii) render to the
Trust's Board of Trustees such periodic and special reports with respect to the
Allocated Portion as are mutually agreed upon by the parties.

                                      -2-

          (b) BROKERAGE.

          (i) With respect to the Allocated Portion, Sub-Advisor shall be
responsible for broker-dealer selection and for negotiation of brokerage
commission rates. Sub-Advisor may direct orders to an affiliated person of the
Sub-Advisor or to any other broker-dealer who has been identified by the Advisor
to the Sub-Advisor as an affiliate of any other investment manager without prior
authorization to use such affiliated broker or dealer by the Trust's Board of
Trustees, provided that Sub-Advisor does so in a manner consistent with Sections
17(a) and 17(e) of the Investment Company Act, Rule 17e-1 thereunder and the
Rule 17e-1 procedures adopted by the Trust (a copy of which shall by provided by
the Advisor). Sub-Advisor's primary consideration in effecting a securities
transaction will be best execution . In selecting a broker-dealer to execute
each particular transaction, Sub-Advisor may consider, among others, the
following factors: the best net price available; the reliability, integrity and
financial condition of the broker-dealer; the size of and difficulty in
executing the order; and the value of the expected contribution of the
broker-dealer to the investment performance of the Fund on a continuing basis.
The price to the Fund in any transaction may be less favorable than that
available from another broker-dealer if the difference is reasonably justified
by other aspects of the portfolio execution services offered.

          (ii) Subject to such policies as the Advisor and the Board of Trustees
of the Trust may determine, Sub-Advisor shall not be deemed to have acted
unlawfully or to have breached any duty created by this Agreement or otherwise
solely by reason of its having caused the Fund to pay a broker or dealer that
provides (directly or indirectly) brokerage or research services to Sub-Advisor
an amount of commission for effecting a portfolio transaction in excess of the
amount of commission another broker or dealer would have charged for effecting
that transaction, if Sub-Advisor determines in good faith that such amount of
commission was reasonable in relation to the value of the brokerage and research
services provided by such broker or dealer, viewed in terms of either that
particular transaction or Sub-Advisor's or Advisor's overall responsibilities
with respect to the Fund. Sub-Advisor is further authorized to allocate the
orders placed by it on behalf of the Fund to such brokers or dealers who also
provide research or statistical material, or other services, to the Trust, the
Advisor, any affiliate of either, or the Sub-Advisor. Such allocation shall be
in such amounts and proportions as Sub-Advisor shall determine, and Sub-Advisor
shall report on such allocations regularly to the Advisor and the Trust,
indicating the broker-dealers to whom such allocations have been made and the
basis therefor. Sub-Advisor is also authorized to consider sales of shares of
the Fund as a factor in the selection of brokers or dealers to execute portfolio
transactions, subject to the requirements of best execution, I.E., that such
brokers or dealers are able to execute the order promptly and at the best
obtainable securities price.

          (iii) On occasions when Sub-Advisor deems the purchase or sale of a
security to be in the best interest of the Fund as well as other clients of
Sub-Advisor, Sub-Advisor, to the extent permitted by applicable laws and
regulations, may, but shall be under no obligation to, aggregate the securities
to be so purchased or sold in order to obtain the most favorable price or lower
brokerage commissions and the most efficient execution. In such event,
allocation of the securities so purchased or sold, as well as the expenses

                                       -3-

incurred in the transaction, will be made by Sub-Advisor in the manner it
considers to be the most equitable and consistent with its fiduciary obligations
to the Fund and to such other clients.

     3. REPRESENTATIONS OF SUB-ADVISOR.

          (a) Sub-Advisor shall use its best judgment and efforts in rendering
the advice and services to the Fund as contemplated by this Agreement.

          (b) Sub-Advisor shall maintain all licenses and registrations
necessary to perform its duties hereunder in good order.

          (c) Sub-Advisor shall conduct its operations at all times in
conformance with the Investment Advisers Act, the Investment Company Act and any
other applicable state and/or self-regulatory organization regulations.

          (d) Sub-Advisor shall be covered by errors and omissions insurance.
The company self-retention or deductible shall not exceed reasonable and
customary standards, and Sub-Advisor agrees to notify Advisor in the event the
aggregate coverage of such insurance in any annual period is reduced below
$10,000,000.

     4. INDEPENDENT CONTRACTOR. Sub-Advisor shall, for all purposes herein, be
deemed to be an independent contractor, and shall, unless otherwise expressly
provided and authorized to do so, have no authority to act for or represent the
Trust, the Fund, or the Advisor in any way, or in any way be deemed, except as
specified herein, an agent for the Trust, the Fund, or the Advisor.
Notwithstanding the preceding, the Sub-Advisor is expressly authorized to act as
an agent for the Fund to establish accounts or enter into agreements necessary
to effect investments of any part of the Allocated Portion on behalf of the
Fund. It is expressly understood and agreed that the services to be rendered by
Sub-Advisor to the Fund under the provisions of this Agreement are not to be
deemed exclusive, and Sub-Advisor shall be free to render similar or different
services to others so long as its ability to render the services provided for in
this Agreement shall not be impaired thereby.

     5. SUB-ADVISOR'S PERSONNEL. Sub-Advisor shall, at its own expense, maintain
such staff and employ or retain such personnel and consult with such other
persons as it shall from time to time determine to be necessary to the
performance of its obligations under this Agreement. Without limiting the
generality of the foregoing, the staff and personnel of Sub-Advisor shall be
deemed to include persons employed or retained by Sub-Advisor to furnish
statistical information, research, and other factual information, advice
regarding economic factors and trends, information with respect to technical and
scientific developments, and such other information, advice, and assistance as
Sub-Advisor, the Advisor or the Trust's Board of Trustees may desire and
reasonably request.

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     6. EXPENSES.

          (a) Sub-Advisor shall be responsible for (i) providing the personnel,
office space, and equipment reasonably necessary to fulfill its obligations
under this Agreement.

          (b) In the event this Agreement is terminated by an assignment in the
nature of a change of control of Sub-Advisor as contemplated by Section 14(b)
hereof, and the parties agree to enter into a new agreement, Sub-Advisor shall
be responsible for (i) the costs of any special notifications to the Fund's
shareholders and any special meetings of the Trust's Board of Trustees convened
for the primary benefit of Sub-Advisor, or (ii) its fair share of the costs of
any special meetings required for the benefit of Sub-Advisor as well as for
other purposes.

          (c) Sub-Advisor voluntarily may absorb certain Fund expenses or waive
some or all of Sub-Advisor's reimbursement of expenses.

          (d) To the extent Sub-Advisor incurs any costs by assuming expenses
which are an obligation of the Advisor or the Fund, the Advisor or the Fund
shall promptly reimburse the Sub-Advisor for such costs and expenses. To the
extent Sub-Advisor performs services for which the Fund or the Advisor is
obligated to pay, Sub-Advisor shall be entitled to prompt reimbursement in an
amount not exceeding Sub-Advisor's actual costs for providing such services.

     7. INVESTMENT SUB-ADVISORY FEE.

          (a) The Advisor shall pay to Sub-Advisor, and Sub-Advisor agrees to
accept, as full compensation for all investment advisory services furnished or
provided to the Fund pursuant to this Agreement, an annual sub-advisory fee
based on the Allocated Portion, as such Allocated Portion may be adjusted from
time to time. Such fee shall be equal to 0.65% of the average daily net assets
of the Fund attributable to the Allocated Portion, all computed on the value of
such net assets as of the close of business each day.

          (b) The sub-advisory fee shall be paid by the Advisor to Sub-Advisor
monthly in arrears by the tenth business day of each month.

          (c) The initial fee under this Agreement shall be payable on the tenth
business day of the first month following the effective date of this Agreement
and shall be prorated as set forth below. If this Agreement is terminated prior
to the end of any month, the fee to Sub-Advisor shall be prorated for the
portion of any month in which this Agreement is in effect which is not a

                                       -5-

complete month according to the proportion which the number of calendar days in
the month during which the Agreement is in effect bears to the number of
calendar days in the month, and shall be payable within ten (10) days after the
date of termination.

          (d) The fee payable to Sub-Advisor under this Agreement will be
reduced to the extent of any receivable acknowledged by the Sub-Advisor as being
owed to the Advisor or the Fund by the Sub Advisor.

          (e) Sub-Advisor voluntarily may reduce any portion of the compensation
or reimbursement of expenses due to it pursuant to this Agreement or agreeing to
make payments to limit the expenses which are the responsibility of the Advisor
of the Fund under this Agreement. Any such reduction or payment shall be
applicable only to such specific reduction or payment and shall not constitute
an agreement to reduce any future compensation or reimbursement due to
Sub-Advisor hereunder or to continue future payments. Any such reduction will be
agreed to prior to accrual of the related expense or fee and will be estimated
daily and reconciled and paid on a monthly basis.

          (f) Sub-Advisor may waive payment of any portion of the compensation
or reimbursement of expenses otherwise due to it pursuant to this Agreement. Any
such waiver shall be applicable only with respect to the specific items covered
thereby and shall not constitute an agreement to waive payment of any future
compensation or reimbursement due to Sub-Advisor hereunder.

     8. NO SHORTING; NO BORROWING. Sub-Advisor agrees that neither it nor any of
its officers or employees shall take any short position in the shares of the
Fund. This prohibition shall not prevent the purchase of such shares by any of
the officers or employees of Sub-Advisor or any trust, pension, profit-sharing
or other benefit plan for such persons or affiliates thereof, at a price not
less than the net asset value thereof at the time of purchase, as allowed
pursuant to rules promulgated under the Investment Company Act. Sub-Advisor
agrees that neither it nor any of its officers or employees shall borrow from
the Fund or pledge or use the Fund's assets in connection with any borrowing not
directly for the Fund's benefit.

     9. CONFLICTS WITH TRUST'S GOVERNING DOCUMENTS AND APPLICABLE LAWS. Nothing
herein contained shall be deemed to require the Trust or the Fund to take any
action contrary to the Trust's Agreement and Declaration of Trust, By-Laws, or
any applicable statute or regulation, or to relieve or deprive the Board of
Trustees of the Trust of its responsibility for and control of the conduct of
the affairs of the Trust and the Fund. In this connection, Sub-Advisor
acknowledges that the Advisor and the Trust's Board of Trustees retain ultimate
plenary authority over the Fund, including the Allocated Portion, and may take
any and all actions necessary and reasonable to protect the interests of
shareholders.

                                      -6-

     10. REPORTS AND ACCESS. Sub-Advisor agrees to supply such information to
the Advisor and to permit such compliance inspections by the Advisor or the Fund
as shall be reasonably necessary to permit the administrator to satisfy its
obligations and respond to the reasonable requests of the Trustees, provided
that the content and format of any requested reports and materials shall be
determined by Sub-Advisor.

     11. REFERENCE TO SUB-ADVISOR. The Advisor and its affiliates shall not make
any reference to or use the name of Sub-Advisor, except references concerning
the identity of and services provided by the Sub-Advisor to the Fund, which
references shall not differ in substance from those included in the Fund's
prospectus, in any advertisement or promotional material, without the prior
approval of Sub-Advisor, which approval shall not be unreasonably withheld or
delayed. The Advisor agrees to make all reasonable efforts to cause the Fund and
any affiliate thereof to satisfy the foregoing obligation.

     12. STANDARD OF CARE, LIABILITY AND INDEMNIFICATION.

          (a) Sub-Advisor shall exercise reasonable care and prudence in
fulfilling its obligations under this Agreement.

          (b) Sub-Advisor shall have responsibility for the accuracy and
completeness (and liability for the lack thereof) of the statements furnished by
Sub-Advisor for use by the Advisor in the Fund's offering materials (including
the prospectus, the statement of additional information, advertising and sales
materials) that pertain to Sub-Advisor and the investment of the Allocated
Portion. Sub-Advisor shall have no responsibility or liability with respect to
other disclosures or any information which Sub-Advisor did not itself furnish
for use by the Advisor.

          (c) Sub-Advisor shall be liable to the Fund for any loss (including
brokerage charges) incurred by the Fund as a result of any investment made by
Sub-Advisor in violation or breach of any of its duties as set forth in Section
2 hereof. Any such loss may be offset by any similarly incurred gains.

          (d) In the absence of willful misfeasance, bad faith, gross
negligence, or reckless disregard of the obligations or duties hereunder on the
part of Sub-Advisor, Sub-Advisor shall not be subject to liability to the
Advisor, the Trust, or the Fund or to any shareholder of the Fund for any act or
omission in the course of, or connected with, rendering services hereunder or
for any losses that may be sustained, whether realized or unrealized, in the
purchase, holding or sale of any security by the Fund solely as a result of
market performance.

          (e) (i) Each party to this Agreement (as an "Indemnifying Party"),
including the Trust on behalf of the Fund, shall indemnify and hold harmless the
other party and the shareholders, directors, officers, and employees of the
other party (any such person, an "Indemnified Party") against any loss,

                                       -7-

liability, claim, damage, or expense (including the reasonable cost of
investigating and defending any alleged loss, liability, claim, damage, or
expense and reasonable counsel fees incurred in connection therewith) arising
out of the Indemnifying Party's performance or non-performance of any duties
under this Agreement provided, however, that nothing herein shall be deemed to
protect any Indemnified Party against any liability to which such Indemnified
Party would otherwise be subject by reason of willful misfeasance, bad faith, or
negligence in the performance of duties hereunder or by reason of reckless
disregard of obligations and duties under this Agreement.

               (ii) If indemnification is to be sought hereunder, then the
Indemnified Party shall promptly notify the Indemnifying Party of the assertion
of any claim or the commencement of any action or proceeding in respect thereof;
provided, however, that the failure so to notify the Indemnifying Party shall
not relieve the Indemnifying Party from any liability that it may otherwise have
to the Indemnified Party provided such failure shall not affect in a material
adverse manner the position of the Indemnifying Party or the Indemnified Party
with respect to such claim. Following such notification, the Indemnifying Party
may elect in writing to assume the defense of such action or proceeding and,
upon such election, it shall not be liable for any legal costs incurred by the
Indemnified Party (other than reasonable costs of investigation previously
incurred) in connection therewith, unless (i) the Indemnifying Party has failed
to provide counsel reasonably satisfactory to the Indemnified Party in a timely
manner or (ii) counsel which has been provided by the Indemnifying Party
reasonably determines that its representation of the Indemnified Party would
present it with a conflict of interest.

               (iii) Advisor shall indemnify and hold harmless Sub-Advisor and
its shareholders, directors, officers, and employees against any loss,
liability, claim, damage, or expense (including the reasonable cost of
investigating and defending any alleged loss, liability, claim, damage, or
expense and reasonable counsel fees incurred in connection therewith) arising
out of the actions of any of the investment managers of the Fund other than the
Sub-Advisor.

               (iv) The provisions of this paragraph 11(e) shall not apply in
any action where the Indemnified Party is the party adverse, or one of the
parties adverse, to the other party.

          (f) No provision of this Agreement shall be construed to protect any
Trustee or officer of the Trust, or officer of the Advisor or Sub-Advisor, from
liability in violation of Sections 17(h) and (i) of the Investment Company Act.

     13. NON-EXCLUSIVITY; TRADING FOR SUB-ADVISOR'S OWN ACCOUNT.

          (a) The Advisor's employment of Sub-Advisor is not an exclusive
arrangement. The Advisor anticipates that it will employ other individuals or
entities to furnish it with the services provided for herein. Likewise,
Sub-Advisor may act as investment advisor for any other person, and shall not in
any way be limited or restricted from buying, selling, or trading any securities

                                      -8-

for its or their own accounts or the accounts of others for whom it or they may
be acting, provided, however, that Sub-Advisor expressly represents that it will
undertake no activities which are intended to adversely affect the performance
of its obligations to the Fund under this Agreement; and provided further that
Sub-Advisor will adhere to a code of ethics governing employee trading and
trading for proprietary accounts that conforms to the requirements of the
Investment Company Act and the Investment Advisers Act. Sub-Advisor has provided
a copy of its current code of ethics to the Board of Trustees of the Trust, and
shall promptly provide a copy of any revisions to such code which it adopts
during the term of this Agreement to the Board of Trustees of the Fund. Nothing
in this Agreement shall impose upon Sub-Advisor any obligation to purchase or
sell or to recommend for purchase or sale, with respect to the Fund, any
security which the Sub-Advisor, or its shareholders, directors, officers,
employees or affiliates may purchase or sell for its or their own account(s) or
for the account of any other client.

          (b) Advisor understands and agrees that Sub-Advisor's management of
the Allocated Portion is not intended to replicate any other fund or account
managed by Sub-Advisor and that the performance of the Allocated Portion may
differ from the performance of other accounts managed by Sub-Advisor, including
those with similar investment objectives.

     14. TERM.

          (a) This Agreement shall become effective at the time the Fund
commences operations pursuant to an effective amendment to the Trust's
registration statement under the Securities Act of 1933, and shall remain in
effect for a period of two (2) years, unless sooner terminated as hereinafter
provided. This Agreement shall continue in effect thereafter for additional
periods not exceeding one (1) year so long as such continuation is approved for
the Fund at least annually by (i) the Board of Trustees of the Trust or by the
vote of a majority of the outstanding voting securities of the Fund and (ii) the
vote of a majority of the Trustees of the Trust who are not parties to this
Agreement nor interested persons thereof, cast in person at a meeting called for
the purpose of voting on such approval, and (iii) the Advisor. The terms
"majority of the outstanding voting securities" and "interested persons" shall
have the meanings as set forth in the Investment Company Act.

          (b) Within sixty (60) days from such time as this Agreement shall no
longer be in effect, the Fund shall cease to use Sub-Advisor's name or any other
name connected with Sub-Advisor in any advertisement or promotional material for
the Fund unless any such use is approved by Sub-Advisor in writing.

                                       -9-

     15. TERMINATION; NO ASSIGNMENT.

          (a) This Agreement may be terminated by the Advisor, the Sub-Advisor,
or the Trust on behalf of the Fund at any time without payment of any penalty,
by the Board of Trustees of the Trust or by vote of a majority of the
outstanding voting securities of the Fund, upon sixty (60) days' written notice
to the Sub-Advisor, and by the Sub-Advisor upon sixty (60) days' written notice
to the Fund. In the event of a termination, Sub-Advisor shall cooperate in the
orderly transfer of the Fund's affairs and, at the request of the Board of
Trustees, transfer any and all books and records of the Fund maintained by
Sub-Advisor on behalf of the Fund.

          (b) This Agreement shall terminate automatically in the event of any
transfer or assignment thereof, as defined in the Investment Company Act.

     16. SEVERABILITY. If any provision of this Agreement shall be held or made
invalid by a court decision, statute or rule, or shall be otherwise rendered
invalid, the remainder of this Agreement shall not be affected thereby.

     17. CAPTIONS. The captions in this Agreement are included for convenience
of reference only and in no way define or limit any of the provisions hereof or
otherwise affect their construction or effect.

     18. GOVERNING LAW. This Agreement shall be governed by, and construed in
accordance with, the laws of the State of California without giving effect to
the conflict of laws principles thereof; provided that nothing herein shall be
construed to preempt, or to be inconsistent with, any federal law, regulation or
rule, including the Investment Company Act and the Investment Advisers Act and
any rules and regulations promulgated thereunder.

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


LITMAN/GREGORY FUND                     FRANKLIN MUTUAL ADVISERS, LLC
ADVISORS, LLC


By: ________________________________    By: _________________________________
    John M. Coughlan
    Chief Operating Officer


As a Third Party Beneficiary,


MASTERS' SELECT FUNDS TRUST
on behalf of
THE MASTERS' SELECT VALUE FUND


By: ___________________________
    John M. Coughlan
    Treasurer

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