Item 5. Fees and Compensation
Bislett charges the Fund an annual fee of 1% of assets under management, which amount is payable
in quarterly installments at the beginning of each calendar quarter, based on the net market value
of each limited partner’s capital account on the date the fee accrues and becomes payable. The
Firm also typically is allocated from each limited partner a performance allocation equal to 20%
of the amount by which profits (including both realized and unrealized gains and losses) otherwise
allocable to such limited partner exceed the sum of (a) that limited partner’s unrecouped losses,
and (b) the return that would have been earned on that limited partner’s capital account if it had
earned a rate of return of 6% per annum, simple interest, while it was invested in that measurement
period. The 6% percent rate of return shall be calculated solely for each measurement period, shall
be pro-rated for any portion of a year and shall not be carried forward from measurement period
to measurement period.
Performance allocations are assessed in arrears on an annual basis. The Firm complies with Rule
205-3 under the Investment Advisers Act of 1940, to the extent required by applicable law.
Performance allocations may create an incentive for the Firm to make more risky and speculative
investments than it would otherwise make.
Bislett deducts management fees and performance allocations directly from the Fund. If an
investor withdraws from the Fund, expenses and the performance allocation through the date of
termination are charged to the limited partner. An investor who withdraws from the Fund on a date
other than the last day of a quarter, however, does not receive a refund of the management fee
previously paid.
Part 2A of ADV:
Bislett Management, LLC Brochure
Bislett believes that its fees are competitive with fees charged by other investment advisers for
comparable services. Comparable services may be available, however, from other sources for
lower fees.
The disclosure in this Item 5, together with the disclosure in Item 12, allows a plan that is subject
to the Employee Retirement Income Security Act of 1974, and that invests in the Fund to use the
“alternative reporting option” to report Bislett’s compensation as “eligible indirect compensation”
on the Schedule C of the plan’s Form 5500 Annual Return/Report of Employee Benefit Plan.
Bislett’s relationship with the Fund is terminable on expiration of the Fund’s term, dissolution of
the Fund, or on Bislett’s withdrawal as general partner. Each limited partner may withdraw from
the Fund, on 60 days’ prior written notice, on any December 31.
The Fund is responsible for its own costs and expenses, including trading costs and expenses (such
as brokerage commissions, expenses related to short sales, and clearing and settlement charges),
ongoing legal, accounting and bookkeeping fees and expenses, and the fees and expenses charged
by any Fund administrator for its accounting, bookkeeping and other services. Bislett bears its own
operating, general, administrative, and overhead costs and expenses, other than the expenses
described above. All or part of these costs and expenses may be paid, however, by securities
brokerage firms that execute the Fund’s securities trades, as discussed in Item 12 below.