Exhibit h 20

	169 Lackawanna Avenue Parsippany, NJ 07054
	www.mainstayfunds.com
AMENDED AND RESTATED EXPENSE LIMITATION AGREEMENT

As of February 26, 2010, as Amended August 1, 2010

Board of Trustees

The MainStay Funds

51 Madison Avenue

New York, NY 10010

Re: Expense Limitation Agreement

Dear Board of Trustees:

(1) This letter will confirm New York Life Investment Management LLC’s (“New York Life Investments”) intent that, in the event the annualized ratio of total ordinary fund operating expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments and the fees and expenses of any other fund in which the Funds invest) to average daily net assets of each class of shares (the “Class”) for the series of The MainStay Funds listed below (each a “Fund” and collectively, the “Funds”), calculated daily in accordance with generally accepted accounting principles consistently applied, exceeds the percentage set forth below, New York Life Investments will waive a portion of the Fund’s management fees or reimburse the expenses of the appropriate Class of the Fund in the amount of such excess, consistent with the method set forth in Section (4) below. With respect to the Funds listed below, except for MainStay Large Cap Growth Fund and MainStay Money Market Fund, an equivalent reduction as applicable for Class A shares will apply to the other Classes of the Fund.

FUND/CLASS	EXPENSE LIMIT
MainStay Diversified Income Fund Class A		1.16	%
MainStay Equity Index Fund Class A		0.60	%
MainStay Global High Income Fund Class A		1.35	%
MainStay Government Fund Class A		1.03	%
MainStay Large Cap Growth Fund Class I		0.85	%
MainStay Money Market Fund
Class A		0.70	%
Class B		0.80	%
Class C		0.80	%
Investor Class		0.80	%
MainStay Principal Preservation Fund Class I		0.30	%
MainStay Tax Free Bond Fund Class A		0.94	%

New York Life Investments authorizes the Funds and the administrator to reduce our monthly expenses of the appropriate Classes of a Fund or reduce its monthly management fees to the extent necessary to effectuate the limitations stated in this Section (1), consistent with the method set forth in Section (4) below. New York Life Investments authorizes the Funds and their administrator to request funds from us as necessary to implement the limitations stated in this Section (1). New York Life Investments will pay to the Funds or Classes any such amounts, consistent with the method set forth in Section (4) below, promptly after receipt of such request.

(2) The expense caps set forth in this Agreement are effective from February 26, 2010 through February 28, 2011.

(3) The foregoing expense limitations supersede any prior agreement regarding expense limitations with respect to the specific Fund and Classes herein. Each expense limitation is calculated on an annual, not monthly, basis, and is based on the fiscal year of the respective Fund. Consequently, if the amount of expenses accrued by a Fund during a month is less than the Fund’s expense limitation, the following shall apply: (i) New York Life Investments shall be reimbursed by the respective Class(es) of the Fund in an amount equal to such difference, consistent with the method set forth in Section (4) below, but not in an amount in excess of any deductions and/or payments previously made during the year; and (ii) to the extent reimbursements are not made pursuant to Sub-Section (3)(i), the Fund and/or Class(es) shall establish a credit to be used reducing deductions and/or payments which would otherwise be made in subsequent months of the fiscal year of the relevant Fund. During the term of this Agreement, New York Life Investments may recoup the amount of management fee waivers or expense reimbursements from a Fund or Class pursuant to this arrangement consistent with the method set forth in Section (4) below, if it does not cause the Fund or Class to exceed existing expense limitations and such action is taken during the fiscal year of the Fund in which New York Life Investments incurred the expense.

(4) Any amount of fees or expenses waived, paid or reimbursed pursuant to the terms of this Agreement shall be allocated among the Classes of shares of a Fund in accordance with the terms of that Fund’s multiple class plan pursuant to Rule 18f-3 under the Investment Company Act of 1940, as amended (the “18f-3 Plan”). To this end, the benefit of any waiver or reimbursement of any management fee and any other “Fund Expense,” as such term is defined in the 18f-3 Plan, shall be allocated to all shares of the Fund based on net asset value, regardless of Class.

This Agreement shall in all cases be interpreted in a manner consistent with the requirements of Revenue Procedure 96-47, 1996-2 CB 338, and Revenue Procedure 99-40, I.R.B. 1999-46, 565 so as to avoid any possibility that a Fund is deemed to have paid a preferential dividend. In the event of any conflict between any other term of this Agreement and this Section (4), this Section (4) shall control.

* * *

NEW YORK LIFE INVESTMENT MANAGEMENT LLC

By:	/s/ Stephen P. Fisher
Name: Stephen P. Fisher
Title: Senior Managing Director

	ACKNOWLEDGED:

	THE MAINSTAY FUNDS

	By:	/s/ Jack R. Benintende
	Name: Jack R. Benintende
	Title: Treasurer