Item 5: Fees and Compensation
The amount and manner in which fees are assessed by BattleFin depends on the type of advisory service
the Firm is performing. The specific fees charged by BattleFin are set forth in the Advisory Agreement
and are described below.
BattleFin Multi-Strategy Funds, LLC
Pursuant to the Operating Agreement of BattleFin Multi-Strategy Funds, LLC (the “Fund”), the Firm
receives an advisory fee in an amount equal to 0.125% of the series’ net asset value as of the first day of
each calendar month (or 1.50% annually). The members of each series are also charged a performance
fee payable to the Fund’s managing member, BattleFin Management, Ltd., a British Virgin Islands
exempted International Business Corporation and affiliate of the Firm. The fees paid by the series of the
Fund may vary in accordance with the series designation certificate of the particular series.
Non-Discretionary Advisory Services
As of the date hereof, BattleFin receives a fixed fee, payable to the Firm on an installment basis, for the
advisory services provided pursuant to the non-discretionary investment advisory agreement referenced
in Item 4. In the future, BattleFin may offer such non-discretionary investment advisory services on a
net asset value (fixed or performance) basis, or may negotiate other fee arrangements with clients as
permitted by applicable rule and regulation.
Separate Accounts
Separate accounts managed by BattleFin are generally charged an advisory fee, and in some cases a
performance fee depending upon the size and scope of each client agreement.
BattleFin generally receives an advisory fee equal to 1.5% per annum of the net asset value of the
managed account as of the first day of each calendar month or quarter. However, such fees may be
higher or lower based on the specific Advisory Agreement with the client and the negotiation thereof.
An increase in the advisory fees charged by the Firm will not be effective without the prior written
consent or amendment to the Advisory Agreement.
Advisory fees are directly debited from client accounts. Accounts initiated or terminated during a
calendar month or quarter will be charged a pro-rated fee based on the amount of time remaining in the
billing period. An account may be terminated with written notice at least one month in advance. Upon
termination of any account, any unearned fee will be rebated to the client.
BattleFin believes that its fees, charged to both the Fund and managed account clients, are competitive
with those charged generally by other investment advisers for comparable services. However, some
investment advisers may provide comparable services for lower or different fee structures.
Performance fees are only charged in accordance with applicable rules and regulations, including Rule
205-3 under the Advisers Act and the Employee Retirement Income Security Act (“ERISA”) as applicable.
Additional Fees and Expenses
BattleFin’s fees are charged separately, net of any brokerage commissions, transaction fees, fund fees or
account related costs and expenses (which are incurred by the Fund or managed account client, and
may include legal and accounting costs). Clients may incur certain charges imposed by custodians,
brokers, and other third parties such as custodial fees, deferred sales charges, odd-lot differentials,
transfer taxes, wire transfer and electronic fund fees, and other fees and taxes on brokerage accounts
and securities transactions. Such charges, fees and commissions are exclusive of and in addition to the
Firm’s fees. If BattleFin participates in any portion of these commissions, fees or costs, they will not be
any greater than the fees paid by the client if BattleFin was not participating in any portion of these
commissions.
The Fund will be responsible for the organizational expenses of the Fund and, on an ongoing basis, all
expenses incurred in the operation of the Fund, if any, including any administration fees and any legal
and auditing fees, including fees that relate to extraordinary circumstances, such as tax examinations or
litigation involving the Fund, and any legal fees incurred in connection with the continuation of this
offering.