EXHIBIT (h)(4)

                   ANTI-MONEY LAUNDERING AND PRIVACY AMENDMENT

     This ANTI-MONEY LAUNDERING AND PRIVACY AMENDMENT (this "AMENDMENT") amends
as of the 1st day of July 2003 (the "EFFECTIVE DATE"), the Transfer Agency
Agreement, dated as of January 1, 2003 between Galaxy Funds and PFPC Inc.

     For valuable consideration the receipt and sufficiency of which the parties
hereto hereby acknowledge, the Company and PFPC hereby agree that, as of the
Effective Date, the Agreement shall (without any further action by either of the
parities hereto) be amended as follows:

1.   PRIVACY. As of the Effective Date, the Agreement is amended by adding the
following new provision:

     "PRIVACY. Each party hereto acknowledges and agrees that, subject to the
     reuse and re-disclosure provisions of Regulation S-P, 17 CFR Part 248.11,
     it shall not disclose the non-public personal information of investors in
     the Fund obtained under this agreement, except as necessary to carry out
     the services set forth in this agreement or as otherwise permitted by law
     or regulation."

2.   ANTI-MONEY LAUNDERING. As of the Effective Date, the Agreement is amended
by adding the following new provision:

     "ANTI-MONEY LAUNDERING. To the extent the other provisions of this
     agreement require PFPC to establish, maintain and monitor accounts of
     investors in the Fund consistent with securities laws, PFPC shall perform
     reasonable actions necessary to help the Fund be in compliance with Section
     352 of the USA PATRIOT Act, as follows: In this regard, PFPC shall: (a)
     establish and implement written internal policies, procedures and controls
     reasonably designed to help prevent the Fund from being used to launder
     money or finance terrorist activities; (b) provide for independent testing,
     by an employee who is not responsible for the operation of PFPC's AML
     program or by an outside party, for compliance with PFPC's established
     policies and procedures; (c) designate a person or persons responsible for
     implementing and monitoring the operation and internal controls of PFPC's
     AML program; and (d) provide ongoing training of PFPC personnel relating to
     the prevention of money-laundering activities. Upon the reasonable request
     of the Fund, PFPC shall provide to the Fund: (x) a copy of PFPC's written
     AML policies and procedures (it being understood such information is to be
     considered confidential and treated as such and afforded all protections
     provided to confidential information under this agreement); (y) at the
     option of PFPC, a copy of a written assessment or report prepared by the
     party performing the independent testing for compliance, or a summary
     thereof, or a certification that the findings of the independent party are
     satisfactory; and (z) a summary of the AML training provided for
     appropriate personnel. PFPC agrees



     to permit inspections relating to its AML program by U.S. Federal
     departments or regulatory agencies with appropriate jurisdiction and to
     make available to examiners from such departments or regulatory agencies
     such information and records relating to its AML program as such examiners
     shall reasonably request. Without limiting or expanding the foregoing, the
     parties agree the provisions herein do not apply to Section 326 of the USA
     PATRIOT Act (or other sections other than Section 352) or regulations
     promulgated thereunder."

3.   GENERAL. This Amendment contains the entire understanding between the
parties with respect to the services contemplated hereby. Except as expressly
set forth herein, the Agreement shall remain unaffected hereby.

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


[GALAXY FUNDS]


By:/s/ Joseph R. Palombo
   ---------------------
Name: Joseph R. Palombo
Title: President


PFPC INC.


By: signature eligible
    ------------------
Name: signature eligible
      ------------------
Title: Senior Vice President

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