Carrick Lane LLC

Item 5. Fees and Compensation
The Adviser charges its Client’s an asset-based investment management fee (the “Management Fee”) on the
mandate size as determined by the Governing Documents. Typically, the mandate size may be expressed
in dollar or number of contract based terms. The value for contract based mandates is derived from the
portfolio’s option strike price and is updated quarterly. If a dollar based mandate size is chosen, the
Management Fee is calculated based on that value. The Management Fee is charged either monthly or
quarterly in advance or in arrears depending on the particular strategy and the arrangement between the
Adviser and the individual Client as set forth in the Governing Documents. When the Management Fee is
charged in advance, a Client will receive a refund of the unused portion of any pre-paid Management Fee.
Management Fees are pro-rated based on the number of days in the applicable strategy for any given quarter
based on the commencement date, termination date or any date in which the mandate was increased or
decreased over the course of the quarter as agreed to in the Governing Documents. Generally, the Adviser
charges its Clients a Management Fee ranging from 0.25% to 0.85% annually.

In addition to paying the Management Fee, Accounts are subject to other investment expenses, including
but not limited to custodial charges, brokerage fees, commissions and related costs; interest margin
expenses; taxes, duties and other governmental charges; transfer and registration fees or similar expenses;
costs associated with foreign exchange transactions; and costs, expenses and fees associated with products
or services that may be necessary or incidental to such investments or accounts. For each Client who is
considering investing with the Adviser it is important that they review the Governing Documents in their
entirety to understand the risks, fees and expenses associated with such investment.

The Adviser may change, reduce, or waive the Management Fee for principals, employees or affiliates of
the Adviser, relatives of such persons, and for certain large or strategic investors.

Item 7. Types of Clients
As described in Item 4, the Adviser provides discretionary investment advisory services to including and not
limited to high-net-worth individuals and other sophisticated or institutional investors. In addition, the
Adviser serves as a sub-adviser to one or more investment advisers. Generally, the minimum mandate size
for the Adviser’s Clients is $1,000,000. However, the Adviser has the discretion to accept lesser amounts.