Angel Oak Capital Advisors LLC

Item 5 – Fees and Compensation

Management Fees: U.S. Registered Funds

U.S. Registered Funds advised and sub-advised by Angel Oak pay management fees in arrears at
an annual rate of between 0.10% and 1.35% of either net assets (mutual funds, exchange-traded
funds, and interval funds) or managed assets (listed closed-end funds) as detailed in the relevant
prospectus for each U.S. Registered Fund. These fees are accrued daily and paid monthly. Fees of
U.S. Registered Funds are not negotiable with investors but are approved by each Fund’s Board
of Trustees pursuant to Section 15(c) of the 1940 Act. Angel Oak does not have the ability to
deduct fees.

When Angel Oak appoints a sub-adviser to a Registered Fund, the sub-adviser is paid by Angel
Oak, and shareholders are not charged more due to the appointment of a sub-adviser. Sub-advisory
fees are approved by each applicable Fund’s Board of Trustees pursuant to Section 15(c) of the
1940 Act. Sub-advisory fees are reported in the relevant Fund’s applicable regulatory filings
including its prospectus and statement of additional information.

For certain U.S. Registered Funds and as detailed in the Fund’s prospectus, Angel Oak has agreed
to contractually and/or voluntarily waive fees and/or reimburse expenses in order to limit total
annual operating expenses. Please see the relevant Fund’s prospectus for more information about
the terms of such waivers.

In addition, and as detailed in the relevant prospectus, Angel Oak has contractually agreed to waive
the amount of a U.S. Registered Fund’s management fee to the extent necessary to offset the
proportionate share of the management fees incurred by the Fund through its investment in an
underlying Fund for which Angel Oak also serves as investment adviser. This arrangement can
only be changed or eliminated by the Board of Trustees.

                                                                Angel Oak Capital Advisors, LLC
                                                                            Form ADV, Part 2A

Management Fees: Private Funds and 3(c)(5) Funds (collectively, “Unregistered Funds”)

Unregistered Funds advised and sub-advised by Angel Oak pay management fees at an annual rate
of between 0.42% and 2.00% as detailed in the relevant Private Placement Memorandum, Limited
Partnership Agreement, or similar document for each Unregistered Fund. These fees are paid either
monthly or quarterly in advance or arrears under the terms of the relevant Unregistered Fund’s
offering documents. If the Adviser is terminated or an investor withdraws assets, fees will be
prorated based on the effective date of the termination and the total number of days in the billing
period. Any fees paid but unearned will be promptly refunded to the Client or the relevant investor.
Investment Management Agreements between Angel Oak and its Unregistered Fund Clients
oftentimes allow Angel Oak to deduct its fees directly from the Client’s assets in compliance with
regulatory requirements regarding custody of client assets.

Investors and prospective investors in Unregistered Funds can negotiate fee terms. Angel Oak or
the general partner of an Unregistered Fund can waive or reduce the management fee or
performance-based fees (as described below) in respect of any investor in an Unregistered Fund
in their sole discretion. Such waivers or reductions would be memorialized in a “side letter”
between the Adviser and the investor or a group of investors. Side letters are further reviewed
below in Item 7 – Types of Clients.

Management Fees: Separately Managed Accounts

Separately Managed Accounts managed by Angel Oak pay management fees in arrears at an initial
annual rate of between 0.10% and 1.10% (with some Separately Managed Accounts charging as
low as 0.00% management fees over certain asset thresholds as specified in the relevant operating
documents) as detailed in the relevant Investment Management Agreement for each Separately
Managed Account. These fees are billed or deducted quarterly. Fees are negotiable with Separately
Managed Account Clients and are agreed upon as a part of the Investment Management
Agreement. Whether a Separately Managed Account Client is billed for fees or has fees deducted
is negotiable. Where fees are deducted, the fees are deducted under the terms of the relevant
Investment Management Agreement between Angel Oak and the Separately Managed Account
which would allow for Angel Oak to deduct its fees directly from the Client’s assets in compliance
with regulatory requirements regarding custody of client assets.

Item 7 – Types of Clients

U.S. Registered Funds

Angel Oak provides investment advisory services to open-end and closed-end investment
companies registered under the 1940 Act including exchange-traded funds. The minimum initial
investment for investors in U.S. Registered Funds varies depending on the class of shares
purchased in circumstances where the Fund has multiple classes as described by the Fund’s
prospectus. The lowest minimum initial investment is $1,000 for open-end mutual funds and
closed-end interval funds. There is no minimum initial investment for exchange-traded funds and
closed-end funds. Financial intermediaries that investors use to transact in U.S. Registered Funds
may apply different initial investment thresholds. Certain U.S. Registered Funds appoint a sub-
adviser, subject to Fund Board approval, whereby Angel Oak selects and oversees the sub-
adviser’s management of a portion of the Fund’s assets under management, which could include
all of the Fund’s assets. Certain U.S. Registered Funds are advised pursuant to a sub-advisory
agreement with the Fund’s primary investment adviser whereby Angel Oak sub-advises a portion
of the Fund’s assets under management.

Unregistered Funds

Angel Oak is the investment adviser for Unregistered Funds which are exempt from registration
under federal securities regulations pursuant to Section 3(c)(1), Section 3(c)(5), or Section 3(c)(7)
of the 1940 Act. Depending on the Unregistered Fund and its selected exemption, the investors in
the Unregistered Fund are either non-accredited investors, accredited investors, qualified clients,
and/or qualified purchasers (as those terms are defined in the federal securities laws). The
minimum investment size for the Funds ranges from $50,000 to $1,000,000, in each case subject
to the right of Angel Oak or the general partner of the Unregistered Funds, in their sole discretion,
to accept a lesser amount.

Angel Oak is permitted to enter into side letter agreements or other similar agreements
(collectively, “Side Letters”) with investors in the Unregistered Funds which can provide such
investor(s) with additional and/or different rights (including, without limitation, with respect to

                                                                 Angel Oak Capital Advisors, LLC
                                                                             Form ADV, Part 2A

management fees, performance fees, access to information, and minimum investment amounts)
than such investors have pursuant to the general terms of the applicable Unregistered Fund. Angel
Oak will not be required to notify, or provide copies to, all of the other investors of any such Side
Letters or any of the rights and/or terms or provisions thereof, nor will Angel Oak be required to
offer such additional and/or different rights and/or terms to all of the other investors. Certain
investors are provided, through such Side Letters, with “most favored nation” status and will be
notified of Side Letters with other investors and can elect to receive terms which are the same or
better than other investors.

Angel Oak may sub-advise Unregistered Funds. Details and disclosures related to sub-advised
Unregistered Funds are found in the applicable adviser’s Form ADV.

Separately Managed Accounts

Angel Oak provides investment advisory services to institutional investors through Separately
Managed Accounts. While Angel Oak can make exceptions, the minimum initial investment for
these services is generally $10,000,000.