Allianz Global Investors Asia Pacific Limited

ITEM 5. FEES AND COMPENSATION

AllianzGI AP’s fees ordinarily are calculated based upon the custodian’s valuation of the assets in the
client’s portfolio.

Currently, AllianzGI AP does not have any U.S. clients. To the extent that AllianzGI AP commences
offering investment advisory services to U.S. clients, we will update this brochure to reflect the changes,
including fee schedules for investment strategies/mandates offered to U.S. clients.

The indicative management fee for AllianzGI AP’s current segregated accounts starts at 0.80% p.a. on the
first US$50 million and will be lower by tiers.

The above fee rate is indicative only, which is subject to negotiation, and fees may be modified for
particular clients. The reasons for such modifications may include, without limitation, the type of product
provided, the complexity and level of service provided, the number of different accounts and the total
assets under management for that client and related clients, the particular type of client, constraints
imposed by substantial potential capital gains, required attendance at client meetings, other services
provided by the adviser, other administrative services provided, or other circumstances or factors
that AllianzGI AP deems relevant. A different fee schedule may apply if an account receives services that
are more limited than full discretionary investment management, or if an account has specialized
investment objectives, guidelines and restrictions. Certain accounts of persons affiliated with AllianzGI AP
may be managed without fees or at reduced fees. AllianzGI AP may amend its fee schedule at any time.

When AllianzGI AP and/or certain of its affiliates manage multiple accounts for a particular client, or for a
related group of clients, fee calculation may be based on the total assets under management, or a
relationship fee discount may be available. Assets invested in investment companies generally are not
considered for these purposes, although consideration of such assets in fee calculations may occur in
special circumstances deemed appropriate by AllianzGI AP.

In addition, and to the extent permitted by law, AllianzGI AP may enter into performance-related fee
arrangements, provided that all applicable regulatory requirements are met, including those relating to the
qualification of clients to pay performance-related fees. AllianzGI AP currently does not charge
performance-based fees to any of its clients, but has the flexibility to do so going forward. See Item 6 for
a discussion of how we manage potential conflicts of interest arising from performance-related fees.

Besides AllianzGI AP’s fees, a client will also pay fees and expenses of other service providers, including
custodians, brokers, and other third parties. For example, to the extent that a client’s assets are invested
in a cash investment fund of the client’s trustee or custodian, the client should be aware that the trustee
or custodian may also charge management or transactional fees with respect to such assets. Fees and
expenses also include custodial fees, sales charges, transfer taxes, wire transfer and electronic fund fees,
and other fees and taxes on brokerage accounts and securities transactions, including commissions. If a
client’s assets are invested in a pooled investment vehicle, that vehicle or fund will charge internal
management fees and other expenses, as disclosed in the fund’s prospectus or offering memorandum.
Although these charges, fees and commissions are in addition to AllianzGI AP’s fee, they are paid to other
parties, and we do not receive any portion of these amounts, except when invested in an investment

company or collective investment vehicle managed/advised by AllianzGI AP. In this latter case, AllianzGI
AP will waive such fees so as not to incur two fees on the same amount of invested assets.

Before providing services to clients, AllianzGI AP generally will enter into a written agreement with the
client. The client agreement sets forth the specific manner for charging advisory fees. AllianzGI AP
typically receives advisory fees on a monthly or quarterly or semi-annual basis, but the term may vary by
client. Investment management and investment advisory contracts between AllianzGI AP and its clients
generally are terminable at any time by either party by written notice, which ordinarily is deemed to be
effective upon receipt or at the time specified in the notice. In the event of termination, advisory fees will
be pro-rated over the period during which investment management or investment advisory services were
provided. Upon termination of any account, any earned, unpaid fees will be due and payable.

Clients may choose to be billed directly for fees, or may authorize AllianzGI AP to directly deduct fees from
their account. If AllianzGI AP can deduct fees directly from the client’s account, the client’s custodian
should send a periodic statement directly to the client, showing transactions in the account, including
AllianzGI AP fees. AllianzGI AP will receive paper or electronic copies of the custodian’s statements.

ITEM 7. TYPES OF CLIENTS

AllianzGI AP may provide investment management and investment advisory services to, among others,
pooled investment vehicles, pension and profit-sharing plans, financial institutions, foundations,
corporations, insurance companies, partnerships, other business entities and advisers, trusts, collective
investment vehicles, estates, managed accounts, quasi-governmental entities, and supranational entities.
Some of these entities receive AllianzGI AP's services on a sub-advisory basis.

Although exceptions may be made if circumstances warrant on a case-by-case basis. Accounts also may
be opened at smaller asset levels if growth is expected within a reasonable time frame, if a relationship
exists between that account and an existing account, if an account will be invested solely in a collective
investment scheme, or if the account is one of several accounts referred to AllianzGI AP by the same
person or entity, or for other reasons AllianzGI AP deems appropriate.

In addition, clients are generally required to enter into a written investment management or investment
advisory agreement prior to the establishment of the client’s account.