Capital Four US Inc

Item 5. Fees and Compensation

Funds

Capital Four will charge a management fee and may charge an incentive fee in accordance with
the Funds’ Limited Partnership Agreements (“LPAs”). The information provided in this brochure
regarding fees and expenses is not intended to be complete or final and is qualified in its entirety
by the LPAs for the Funds. Investors should read and review the Governing Documents of the
respective Fund to fully understand the types of fees and expenses that are paid for by the Fund.

Except as noted below, the Funds, as to each investor, will pay Capital Four a quarterly
management fee that is based on the net assets attributable as to each Investor as of the last day
of each calendar quarter. The management fee will be adjusted for contributions and withdrawals
made during the quarter.

Except as noted below, the Funds, as to each investor, may also pay a performance fee based on
the net profits allocated to each Investor’s capital account. The performance-based fee will
include unrealized gains and losses, if any. When calculating the performance-based fee, net
profits will be reduced by the management fee and losses and expenses incurred by the Funds, as
more particularly described in the LPA of each Fund.

Capital Four reserves the right to vary the fees as to particular investors by separate agreement
and to reduce or waive any fees at any time without entitling any other investor to a waiver or
reduction. Capital Four may waive or reduce the fee for its own capital and that of its constituent
partners, affiliates, and employees, and family members of the foregoing.

FORM ADV PART 2A                      CAPITAL FOUR US INC.

In addition to the fees noted above, the investors will also indirectly bear the fees and expenses
charged to the Funds. The Funds will bear certain costs in connection with their organization, as
more particularly described in the LPA of each Fund.

The Funds will generally bear their own operating costs. Such fees and expenses will vary but
generally include the following: commissions and other trading-related costs (discussed further
in the Brokerage Practices section); costs of systems, facilities, and third-party services for order
placement, order management, and related functions; certain costs related to the researching,
acquiring, holding and/or monitoring of assets and potential investments (including, among other
things, costs arising out of such activities as third party investigative, analytical, and/or reporting
services, systems that conduct portfolio analytics, and participation in creditors’ or equity-holders
committees, both formal and informal); costs of quotation or pricing services/software; audit,
accounting, tax preparing and reporting, third-party administration, and other professional fees
and expenses; legal fees (including fees paid to Capital Four’s counsel for services for the Funds’
benefit); transfer, withholding, income, stamp, and other taxes and duties; custodial and bank
service fees; costs of reporting to investors; costs of Fund meetings and other governance
activities; reimbursable expenses of the members of any Advisory Committee; registration,
filings, and licensing costs by governmental and self-regulatory organizations and costs of
compliance with regulatory or reporting requirements applicable to the; the Fund’s allocable share
of the costs of directors and officers, errors and omissions, and other types of insurance
maintained by Capital Four or the Funds; and fees and expenses paid or reimbursed to the
administrator; and all other reasonable expenses related to the Fund’s operations or the purchase,
sale or transmittal of assets.

Since Capital Four intends to manage multiple Clients, if a particular expense relates to more than
one Client, Capital Four will allocate the expense between the appropriate Clients in a manner it
considers equitable and consistent with the relevant Clients’ Governing Documents.

The Funds may pay their costs directly, or Capital Four may advance costs and be reimbursed by
the Fund. Capital Four may bear any of those costs out of its own assets or revenues, but its
decision to do so as to some costs or for some periods will not obligate it to do so as to any other
costs or to continue doing so for any other periods.

Investors should refer to the respective Fund’s Governing Documents for a detailed discussion
on the fees and expenses paid by the Fund.

CLOs

Capital Four’s CLOs will have fee arrangements that include both a management fee and
performance compensation, which will be disclosed in the relevant Governing Documents of each
such CLO. Capital Four does not expect to receive a management fee or performance
compensation in connection with CLO warehousing arrangements.

FORM ADV PART 2A                     CAPITAL FOUR US INC.

Expenses borne by investors in Capital Four’s CLOs will be described in the relevant Governing
Documents and such categories of expenses are anticipated to be similar to those borne by the
Funds.

Other Funds

Capital Four acts as the sub-adviser to pooled investment vehicles that are managed by an affiliate.
The Firm receives compensation, which may include reimbursement for direct and indirect costs
and expenses incurred by Capital Four in the performance of its sub-advisory services, which was
negotiated at an arms-length basis and provided pursuant to a written service agreement.

Item 7. Types of Clients

Capital Four may sponsor and provide discretionary investment advice to funds domiciled or
located within or outside the United States. Capital Four provides collateral management services
to CLOs and acts as the collateral manager for loan accumulation activity conducted prior to the
closing of CLOs through a CLO warehouse arrangement. Capital Four also serves as the sub-
adviser to pooled investment vehicles managed by an affiliate.

Generally, an investor in a Fund must be a “qualified purchaser” within the meaning of the
Investment Company Act of 1940 and an “accredited investor” within the meaning of Regulation
D of the Securities Act of 1933.

FORM ADV PART 2A                      CAPITAL FOUR US INC.

Generally, an investor in a Fund will be required to open an account with a minimum of US$1
million. The minimum investment may be raised, reduced, or waived by the Fund’s general
partner.

Capital Four also provides advice to certain affiliates. This advice is general in nature and is not
intended to address the needs of any particular client of the Firm’s respective affiliate. Currently,
such advice relates primarily to research activities, general portfolio management, and business
development services for global mandates. Capital Four does not necessarily know whether any
of such advice is included in the services provided to the affiliates´ clients.

Capital Four may, in its discretion, accept individual customized investment mandates from time
to time.