Chalkstream Capital Group LP

ITEM 5 – FEES AND COMPENSATION
Unless otherwise provided in the applicable side letters, Chalkstream is compensated for its advisory
services with respect to each Fund as follows:

        o   The Flagship Funds
                Main Fund interests/shares: Chalkstream receives a management fee, payable
                   quarterly in advance, equal to 0.125% (0.50% per annum) of the value of each
                   investor’s capital account or shares. There is no incentive allocation applicable to such
                   interests, however, Chalkstream will receive 33% of any revenue or profit share
                   payable by any Portfolio Manager in the Hedge Fund portfolio as it relates to any
                   Revenue Participation Agreements, as defined in Item 8.

                     Chalkstream also receives a management fee, payable quarterly in advance, equal to
                     0.25% (1.00% per annum) of the value of the assets held in an investor’s Special
                     Investment capital account and (ii) 15% of net realized profits in a specific Special
                     Investment, subject to a cumulative hurdle and any amount in the loss recovery
                     account.

Chalkstream or its affiliates deduct fees from the Funds’ assets. The management fee is generally paid to
Chalkstream from the Funds quarterly in advance (adjusted for subscriptions during the calendar quarter).
The incentive allocation or fee, as applicable, is generally allocated or paid to Chalkstream or its affiliates
upon the realization or deemed realization of each Special Investment. Any revenue or profit share
allocation or fee, as applicable, is generally allocated or paid to Chalkstream or its affiliates upon the Funds
earning any amount related to a Revenue Participation Agreement with a Portfolio Manager.

Chalkstream’s fees with respect to the Funds are generally not negotiable. Notwithstanding the foregoing,
Chalkstream has elected to offer reduced fees to certain investors in one or more Funds and certain persons
affiliated and formerly affiliated with Chalkstream do not pay any fees to invest in the Funds.

Investors in a Fund are generally limited in their ability to terminate participation in the Fund. The
respective Fund’s offering documents will disclose the applicable redemption and transfer restrictions.

In addition to the management fee and incentive allocation or fee described above, each Fund shall bear its
own expenses. Such expenses vary by Fund, but generally include the following (note, however, that this
is not a complete list of expenses): investment expenses; professional fees relating to investments; fees and
expenses relating to software tools, programs or other technology utilized in managing the Funds; research
related expenses (including research-related travel expenses, operational due diligence on existing and/or
potential new Portfolio Managers (including the use of operational due diligence and background check
service providers), and research and market data, news and quotation equipment and services);
administrative expenses; legal and compliance expenses incurred in connection with the activities of the
Fund (including expenses relating to engagement of third-party compliance service providers); external
accounting and valuation expenses; audit and tax preparation expenses; investor-related correspondence;
entity-level taxes; corporate licensing; regulatory expenses; organizational expenses; expenses related to
directors’ and officers’ insurance (e.g., D&O/E&O and indemnification insurance) (if applicable); fees to
the administrator; indemnification expenses; expenses incurred in connection with the offering and sale of
Fund shares/interests, including, but not limited to, expenses (including compliance related expenses)
incurred by Chalkstream or a GP pursuant to applicable law in connection with the offer and sale of
shares/interests in any jurisdiction, litigation, indemnification and other extraordinary expenses. An
investor in a Fund may be bearing expenses (including litigation expenses) incurred by the Fund relating to
investment(s) that such investor has not participated in. To the extent that expenses to be borne by a Fund
are paid by Chalkstream or the Chalkstream GP, the relevant Fund will reimburse that party for such
expenses.

As mentioned in Item 4 above, Chalkstream primarily utilizes an investment strategy that is focused on
investing Advisory Client assets in other Hedge Funds managed by the Portfolio Managers and thereby
subjecting the Funds to an additional level of compensation. The Funds will bear fees, expenses and
performance-based allocations in connection with its investments, which generally include management
fees and performance fees or incentive allocations. In the aggregate, these expenses and compensation can
be substantial, could exceed the compensation typically incurred from a direct investment and could have
a material adverse effect on the value of any investment in the Funds.

Moreover, these Hedge Fund expenses and compensation may be higher than the expenses and
compensation of comparable investment vehicles. Investors will also incur brokerage and other transaction
costs directly related to each Fund’s hedging program. Refer to Item 12 – Brokerage Practices for further
information.

It is critical that investors refer to the relevant Fund’s offering documents for a complete
understanding of how Chalkstream is compensated for its advisory services. The information
contained in this Item 5 is a summary only and is qualified in its entirety by the relevant Fund’s
offering documents.

ITEM 7 – TYPES OF CLIENTS
Chalkstream provides investment advisory services to the Advisory Clients.           The minimum capital
contributions or account balances in the Advisory Clients are as follows:

           o   The Domestic Investment Fund - Main Fund Interests: $5 million initial capital
               contribution and $1 million additional capital contribution, each subject to the sole
               discretion of Chalkstream GP to accept lower amounts. Additionally, Chalkstream GP
               may disallow the partial withdrawal of capital by any investor, if as a result of, or prior to,
               such withdrawal, the aggregate balance of such investor’s capital account(s) would be less
               than $500,000.

           o   The Offshore Investment Fund - Main Fund Shares: $5 million initial subscription for
               shares and $1 million additional subscription for shares, each subject to the discretion of
               the board of directors of each Fund to accept lower amounts (but in no event less than such
               minimum amounts as may be set out under Cayman Islands law from time to time).
               Additionally, the board of directors, in its sole discretion, may disallow the partial
               redemption of shares by any investor, if as a result of, or prior to, such redemption the
               investor’s shares would be less than $500,000.