Akkadian Ventures Inc

Item 5 – Fees and Compensation

The following is a general description of fees, compensation and expenses of the Funds.
Differences exist from Fund to Fund, and certain Funds may not charge certain fees, compensation
or expenses that other Funds charge. The Partnership Agreements of the Funds describe fees,
compensation and expenses in greater detail.

Management Fees

The Advisers are compensated primarily through management fees paid by the Funds they advise.
The structure and calculation of management fees vary by Fund and are set forth in the applicable
Fund Documents. In general, the Advisers utilize one or more of the following management fee
structures:

    •   Budget-Based Fees. Certain Funds pay a management fee based on an annual budget
        approved by the applicable limited partner advisory committee (“LP Advisory
        Committee”), typically subject to agreed-upon caps. These fees are intended to cover the
        operating costs of managing the Fund.
    •   Committed Capital-Based Fees. During a Fund’s investment period, management fees are
        often calculated as a fixed percentage of investors’ committed capital.
    •   Invested Capital / Cost Basis Fees (Post-Investment Period). Following the expiration of a
        Fund’s investment period, management fees are generally reduced and calculated based on
        the cost basis or invested capital of the Fund’s remaining portfolio investments.
    •   Monitoring or Asset-Level Fees. For certain more mature Funds, management fees may
        transition to fixed or variable monitoring fees associated with the ongoing management of
        individual portfolio companies.
    •   Expense-Based Fees. In certain cases, management fees are structured to approximate the
        cost of personnel dedicated to managing a Fund, subject to minimum and maximum
        thresholds and oversight by the applicable LP Advisory Committee.

In addition, certain Funds may have tiered or step-down fee arrangements based on capital
commitments or other factors. Where applicable, management fees may be reduced or shared in
connection with sub-advisory arrangements.

The specific terms, rates, and calculations applicable to each Fund are described in detail in the
relevant Fund Documents, which investors should review carefully.

Certain management fee arrangements, particularly those based on reimbursement of personnel or
operating expenses, present a conflict of interest because they may reduce the Advisers’ overhead
costs. The Advisers mitigate these conflicts through governance mechanisms, including oversight
and approval by LP Advisory Committees, as well as internal controls and policies designed to
ensure that fees are reasonable and appropriately allocated.

The Management Fees are payable by the applicable Main Fund to the applicable General Partner
quarterly in advance. In the event that additional Committed Capital is added to a Main Fund after
its initial closing, the aggregate Management Fee payable by such Main Fund will equal the
Management Fee that would have been paid if such additional Committed Capital had been
included in such Main Fund’s initial closing.

Management Fees are generally offset by an amount equal to (i) fifty percent (50%) of the amount
of any cash or other compensation paid as breakup or broken deal fees or similar fees to the

Advisers or their affiliates during the immediately preceding payment period and (ii) one hundred
percent (100%), or in the case of certain Funds, a percentage determined by the aggregate
Partnership Percentages of the Limited Partners, of the amount of any cash or other compensation
paid as directors, consulting, management service, advisory, consultant, or similar fees to the
Advisers or their affiliates during the immediately preceding payment period by or in connection
with any portfolio company. All non-cash compensation in the form of options, warrants or other
similar rights received by any of the Advisers or their affiliates shall offset Management Fees at
such time as the applicable Main Fund values them. In accordance with the Fund Documents for
certain Funds, Management Fees may be used to fund capital commitments of the General
Partner.

Co-Investment Fund and Special Purpose Vehicles. The Co-Investment Funds and the Special
Purpose Vehicles generally do not pay any Management Fees or Monitoring Fees. The Co-
Investment Funds and the Special Purpose Vehicles typically pay a negotiated administrative fee
that is set forth in the Fund Documents. Despite the above, in certain cases where a Fund-of-Funds
or similar vehicle invests in a Co-Investment Fund or Special Purpose Vehicle, such investing
vehicle may charge a 1.0% Management Fee in accordance with the Fund Documents.

Carried Interest

“Carried Interest” is an allocation representing an asset manager's compensation based on a
percentage of net profits of the Fund being managed. If a Carried Interest is paid, the applicable
General Partner is typically subject to a payback obligation at the end of one or more periods during
the life of the corresponding Fund to the extent that the General Partner was overpaid Carried
Interest during the life of such Fund, as specified in such Fund's Partnership Agreement.

The General Partners of the Advisers generally receive Carried Interest of up to 20% of net profits,
as more fully described in the applicable Partnership Agreements. In certain cases, however,
specific Funds may have reduced Carried Interest arrangements (for example, up to 10% of net
profits) based on their structure or strategy. Certain private investment funds, which were formerly
advised by the Advisers and allow certain employees and strategic advisers of the Advisers to invest
in the Main Funds, do not pay any Carried Interest to the General Partner of the Main Funds in
which they invested.

In addition, certain Funds are subject to sub-advisory agreements pursuant to which a portion of
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Item 7 – Types of Clients

The Advisers provide investment advice to the Funds. The Funds are investment partnerships or
other investment entities formed under domestic or foreign laws and operated as exempt investment
pools under the Investment Company Act of 1940, as amended (the "Investment Company Act").
The Investors participating in the Funds may include individuals, banks or thrift institutions, other
investment entities, university endowments, family offices, pension and profit-sharing plans, trusts,
estates or charitable organizations or other corporations or business entities and may include,
directly or indirectly, principals or other employees or contractors of the Advisers and their
affiliates and members of their families, strategic advisers, or other service providers retained by
the Advisers.

The Funds had a minimum investment in the range of $50,000 and $1,000,000. The General Partner
had the authority to waive all such minimums. All Investors in the Funds must be (i) "accredited
investors" as defined under Regulation D of the Securities Act of 1933, as amended, (ii) “qualified
clients” as defined in the Investment Advisers Act of 1940 (the “Advisers Act”) and typically (iii)
either "qualified purchasers" or "knowledgeable employees" as defined under the Investment
Company Act.