Clairmont Capital Group LLC

Item 5: Fees and Compensation

The following is a general description of the fees, compensation, and other expenses of the Funds. Each
Fund’s Governing Documents will generally describe fees, compensation, and expenses in greater detail.
Investors should refer to such Governing Documents of the applicable Fund for a complete understanding
of how Clairmont is compensated for its advisory services.
How Clairmont is Paid
Clairmont receives a management fee and the General Partners is entitled to receive “carried interest” or a
performance fee, in each case, from the respective Fund they manage. These fees are generally non-
negotiable. Management fees are typically 2% per annum of each investor’s aggregate commitment and
are payable quarterly in advance (i.e. 0.50% per quarter). Following the end of each Fund’s investment
period, the management fee generally continues at a rate of 2% per annum, payable quarterly and in
advance, based on the total aggregate capital contributions to the Fund. Management fees are paid by
capital contributions from investors of each Fund pursuant to capital call notices delivered by each Fund’s
General Partner out of the total amount of capital an investor agrees to contribute to the applicable Fund
or are paid out of cash that is otherwise distributable to the investors.
Clairmont and/or the General Partner, in its sole discretion, has the right to waive, reduce, or modify, at
any time and from time to time, all or part of the management fee with respect to one or more investors.
The General Partner will typically receive a “carried interest” or performance fee. Please refer to Item 6
(Performance-Based Fees and Side-by-Side Management) below for further information pertaining to
carried interests.
Other Fees and Expenses
Each investor will be responsible for its pro rata share of the expenses incurred in the formation of the
Fund and its affiliates and the offering of interests, including, without limitation, fees and expenses of
attorneys, accountants, and printing costs. Any such payments in respect to these organizational expenses
will reduce the investor’s uncalled capital commitment. Each investor is solely responsible for their own
personal legal and tax expenses.
Clairmont shall be responsible for the routine operating expenses and overhead costs incurred, such as
compensation of staff, cost of office space and office equipment, communications and utilities
infrastructure such as telephones and internet costs, and other such normal overhead expenses. The Funds
and their investors will bear the expenses of the applicable legal, accounting, and other specialized
consulting or professional services that Clairmont would not normally expect to render with its own
professional staff. Further, The Funds and their investors shall be responsible for all other expenses of
their respective Fund(s) and any subsidiary of the Fund(s) including, but not limited to, all expenses
incurred in connection with the Fund’s operations, such as costs and fees relating to the preparation of
financial and tax reports, account and consulting fees, portfolio valuations, regulatory compliance and any
associated filings, the cost of litigation, prosecution, or defending any legal action for or against the Fund,
the General Partner, Clairmont, or their affiliates, insurance expenses, expenses of winding-up,
liquidating, and dissolving a Fund, and any and all administrative fees and custodial fees, including all
expenses authorized to be incurred pursuant to any agreements with third party service providers.

Refunds for Fees Charged in Advance
Investors in Clairmont’s Funds agree to commit a certain amount of capital to the Fund in advance of any
investment advisory functions performed. Management fees are paid from these amounts and are payable
in advance for each period as described above. Voluntary withdrawal by an investor from a Fund will
generally not be permitted but in very limited circumstances.

Item 7: Types of Clients

Clairmont provides investment advisory services to the Funds, which are the Firm’s only Clients. Interest
in the Funds are offered privately in accordance with exemption provisions provided generally under the
Investment Company Act of 1940, as amended, to a limited number of sophisticated investors, including
institutional investors (which may include but are not limited to public and private pension funds) and
individuals who qualify to invest in the Funds because they have sufficient income and or net worth.
Clairmont typically imposes a minimum investment requirement in connection with investing in a Fund.
This minimum investment requirement varies and is dependent on certain factors such as the oversize of
the Fund, among others. Investment minimums may be waived at the discretion of the applicable General
Partner.