Catalio Capital Management LP

Item 5: Fees and Compensation

Catalio provides investment advisory services to the Clients and is compensated for these services.
Each Client’s Governing Documents set forth in detail the fee structure relevant to each such Client
as well as the expenses to be borne in connection with such engagement. All Investors,
counterparties and, in the case of the Funds, prospective investors, in a Fund should review the
Governing Documents of each Fund in which they have invested or intend to invest for complete
information on the fees, compensation and expenses applicable to a particular Fund. A brief
summary of the Funds’ fees, compensation and expenses, as well as the general fee structure for the
SMAs and Sub-Advisory Clients is provided below.

Management Fee

Catalio is paid an investment management fee (the “Management Fee”) by each Client as further
described in the respective Client’s Governing Documents. Management Fees for the Funds typically
range from 1% to 2% (per annum). The Management Fee typically is paid to Catalio quarterly (and
pro-rated for any partial periods) and paid directly from the applicable Client’s assets, current income
and disposition proceeds received, and, to the extent necessary, from drawdowns.

Catalio, in its sole discretion, may waive or modify the Management Fee for any Investor. In the past,
Catalio has waived the Management Fee for employees, venture partners, strategic partners, and
certain investors, advisors and consultants, and expects to continue to do so in the future.

Management Fees for Sub-Advisory Clients and SMAs are further described in the respective

Governing Documents. Management Fees for the Sub-Advisory Clients or SMAs may be scaled based
on the AUM being managed in the applicable relationship.

Any new Fund launched by Catalio, or a new Sub-Advisory Client or SMA, may have materially different
terms related to Management Fees than those summarized above.

Client Expenses

In addition to the Management Fees and any incentive-based compensation (as described in Item 6
below), the Clients pay (or reimburse Catalio for bearing) certain fees and expenses as set forth in
more detail in each Client’s Governing Documents. The fees and expenses may differ by Client. For
the Funds, fees and expenses typically include each Fund’s organizational and ongoing operating
costs and expenses. For example, each Fund typically bears all expenses incurred in the diligencing,
structuring, holding, purchase, sale, hedge or exchange of investments (whether or not ultimately
consummated), including, but not by way of limitation, private placement fees, finder’s fees, interest
on borrowed money, real property or personal property taxes on investments, including
documentary, recording, stamp and transfer taxes, brokerage fees or commissions (including any
merger fees), professional fees, travel expenses, legal fees, expenses incurred in connection with the
investigation, prosecution or defense of any claims by or against such Fund, including claims by or
against a governmental authority, audit and accounting fees, legal, accounting and consulting fees
relating to investments or proposed investments, taxes applicable to such Fund on account of its
operations, fees incurred in connection with the maintenance of bank or custodian accounts
including expenses attributable to normal and extraordinary investment banking, commercial
banking, appraisal, custodial, transfer and registration services provided to such Fund, fees or
government charges which may be assessed against such Fund, all expenses incurred in connection
with the registration of such Fund’s securities under applicable securities laws or regulations and
ongoing compliance with such laws or regulations, costs associated with complying with marketing
and/or offering rules of any jurisdictions, as well as costs of all governmental returns, reports and
filings, governmental registration, filing and licensing costs and fees relating to such Fund, the
applicable Advisory Affiliate and Catalio, and travel expenses incurred in managing and holding Fund
investments. Each Fund also bears expenses incurred by an applicable Advisory Affiliate in diligencing
and evaluating investment opportunities whether or not consummated (including but not limited to
legal, accounting and consulting fees, and travel expenses incurred in connection therewith),
managing investments of such Fund, serving as the partnership representative for tax purposes, the
reasonable cost of liability and other premiums for insurance protecting such Fund, the applicable
Advisory Affiliate, and Catalio and its employees from liability to third parties, all expenses in
connection with preparing and distributing reports to prospects and Investors, expenses in
connection with Fund communications with prospects and Investors, including preparation of annual
or other reports to the Investors, costs associated with Fund meetings or conferences with prospects
and Investors, costs associated with limited partner advisory committee meetings, all legal and
accounting fees relating to such Fund and its activities, fees and expenses relating to finance,
reporting, administration, accounting and back-office services, whether outsourced or provided by
Catalio, expenses incurred in connection with research and quotation technology, databases and
subscriptions, all costs and expenses arising out of the such Fund’s indemnification obligations, and
all expenses that are not normal operating expenses as set forth in the applicable Governing
Documents.

In general, each Investor will bear its proportionate share of a Fund’s expenses pro rata based on
the size of such Investor’s investment in the Fund. Notwithstanding the foregoing, Catalio may
specially allocate a Fund’s expenses in any other manner, including by allocating certain expenses to
certain (but not all) Investors, if Catalio reasonably determines, in its discretion, that it is more
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Item 7: Types of Clients

As described in Item 4 above, our clients are the Funds, Sub-Advisory Clients, and SMAs. The Funds
are generally open to, among others, institutions, pension plans, endowments, high net-worth
individuals, financially sophisticated individuals, and other qualified investors.

Our Sub-Advisory Clients are currently other asset managers that are seeking exposure to the
biomedical technology sectors and are relying on Catalio’s experience investing in the area.

Our SMAs are currently with institutions that are provided the opportunity to invest pari passu with
the applicable Funds, subject to certain specific investment parameters.

As noted above, in certain circumstances, we may consider advising SMAs or Sub-Advisory Clients for
certain investors, which may receive different information rights including portfolio transparency and
may have different fee and/or liquidity rights than those granted to Investors in the Funds. The
determination or willingness to enter into a SMA may be subject to minimum asset levels determined
by Catalio in its sole discretion.