Bracco Asset Management LP

Item 5: Fees and Compensation

The fees applicable to each of the Funds are set forth in detail in the corresponding Offering
Documents. A brief summary of such fees is provided below.

Bracco Asset Management, LP                                       Form ADV Part 2A Brochure

Management Fee

Bracco is paid an investment management fee (“Management Fee”) equal to a quarter of the
result of the Management Fee Rate multiplied by the balance of each Capital Account of each
Investor as of the beginning of such fiscal quarter (before taking into account estimated accrued
Incentive Allocation, if any). The Funds will calculate and pay the Management Fee in advance
but will amortize the Management Fee monthly over the fiscal quarter for which such
Management Fee is paid.

The Firm, in its sole discretion, may waive or modify the Management Fee for any Investor.

Incentive Allocation

BCOF Funds

Generally, at the end of each Fiscal Year, the BCOF Funds will reallocate from each Series
Capital Account to the BCOF Funds capital account of the BCOF General Partner, in its
capacity as general partner of the BCOF Funds, an amount (the “Incentive Allocation”) equal
to the result of the applicable Incentive Allocation Rate multiplied by the amount of the net
capital appreciation allocation to each Series Capital Account for such Fiscal Year (taking into
account, as applicable, gains and losses realized or deemed realized with respect to Special
Investments allocation during such Fiscal Year) after reduction by an amount equal to the
amount of the Management Fee debited to such Series Capital Account for such Fiscal Year
and expenses of the BCOF Funds corresponding to such Series Capital Accounts for such Fiscal
Year. Provided, however, the net capital appreciation upon which the calculation of the
Incentive Allocation is based will be reduced to the extent of any balance in such Series Capital
Account’s Loss Recovery Account.

The Incentive Allocation will also be made with respect to net capital appreciation attributable
to amounts withdrawn, amounts distributed, and amounts transferred (provided that such
transfer results in a change in the beneficial ownership of the Interest transferred) and in
connection with the termination of the BCOF Funds.

The Incentive Allocation will be determined separately with respect to each Capital Account
established for an Investor. Accordingly, it is possible that an Incentive Allocation may be made
with respect to one Series Capital Account even though another Series Capital Account
corresponding to a different Capital Account held by the same Investor has not appreciated, or
has depreciated in value during the same period.

The Firm, in its sole discretion, may waive or modify the Incentive Allocation for any Investor.

BLOF Fund

Generally, at the end of each Fiscal Year, if the net capital appreciation for a Fiscal Year
allocated to an Investor’s Capital Account after reduction by an amount equal to the amount of
the Management Fee debited to such Capital Account for such Fiscal Year exceeds the Hurdle
Amount, then the amount by which the net capital appreciation exceeds the Hurdle Amount
after such reduction shall be reallocated from such Capital Account to the BLOF General
Partner’s Capital Account (the “Incentive Allocation”) as follows: (A) first, 100% to the BLOF
General Partner’s Capital Account until the BLOF General Partner has been allocated 15% of
the net capital appreciation allocated to such Capital Account after such reduction for such
Fiscal Year and (B) second, 15% of any remaining net capital appreciation to the BLOF General
Partner’s Capital Account; provided, however, that the net capital appreciation upon which the
calculation of the Incentive Allocation is based will be reduced to the extent of any balance in
such Capital Account’s Loss Recovery Account.

Bracco Asset Management, LP                                         Form ADV Part 2A Brochure

Other Types of Fees or Expenses

Bracco is authorized to incur and pay in the name and on behalf of the Funds all expenses which
they deem necessary or advisable.

The Firm is responsible for and shall pay, or cause to be paid, all of their own ordinary
administrative and overhead expenses, including, without limitation, all costs and expenses
related to rent, furniture, fixtures, equipment, office supplies, clerical expenses and all salaries,
bonuses and benefits paid to, or on behalf of, personnel of the Firm.

The Funds bear all other expenses, which include, without limitation, the following expenses
incurred by or allocable to the Funds:

(a) Organizational and offering expenses; (b) Expenses associated with all investments and
transactions considered, evaluated and/or consummated by the Funds, including, without
limitation, those expenses incurred before the initial closing of the Funds, including, without
limitation, expenses associated with sourcing, negotiating, investigating, researching, financing
and structuring of investments and potential investments, whether or not consummated,
including, without limitation, third-party research, data, analytics, modeling, structuring,
pricing, execution and other third-party information systems, software and service fees
(including, without limitation, the expenses with respect to data feeds, subscriptions, expert
networks, political intelligence providers, and reports); (c) Research-related computer hardware
and software expenses, including, without limitation, Bloomberg terminals; (d) The Funds’ pro
rata share of the Firm’s order management system, portfolio management system and any other
software used for accounting and/or monitoring of the portfolio; (e) Expenses associated with
holding, financing, monitoring, hedging, maintaining and disposing of all investments of the
Funds and all transaction and other costs associated therewith; (f) Travel and related expenses
...

Item 7: Types of Clients

Our clients are the Funds, as described in Item 4 above, and the Funds are generally open to,
among others, institutions, pension plans, endowments, high net-worth individuals, financially
sophisticated individuals, and other sophisticated investors.

Bracco Asset Management, LP                                        Form ADV Part 2A Brochure