DRH Investments Inc

Item 5:         Fees and Compensation
As described in greater detail below, DRHI charges fees based on a percentage of assets under
management and in some cases will charge performance-based fees. The specific fees charged by DRHI
for its advisory services will be set forth in each client’s Agreement.

DRHI’s investment advisory fee is negotiable at DRHI’s discretion, depending upon objective and
subjective factors including but not limited to: the amount of assets to be managed; portfolio
composition; the scope and complexity of the engagement; the anticipated number of meetings and
servicing needs; related accounts; future earning capacity; anticipated future additional assets; the
professional(s) rendering the service(s); prior relationships with DRHI and/or its representatives,
and negotiations with the client. As a result of these factors, similarly situated clients could pay
different fees, the services to be provided by DRHI to any particular client could be available from
other advisers at lower fees, and certain clients may have fees different than those specifically set forth
below.

DRH Investments, Inc.                                                              December 31, 2025
Form ADV Part 2A

A.      Description of Fees; Fee Schedule

        1.      Fees Based on a Percentage of Assets Under Management

DRHI generally charges an annual investment management fee of 1.5% based upon a percentage of
the client’s assets under management (“Asset-Based Advisory Fee”). DRHI’s Asset-Based Advisory Fee
is assessed quarterly in arrears and calculated as of the close of business on the last business day of
the calendar quarter, and are computed at one-fourth of the annual investment management fee.
Generally, for a new client, the Asset-Based Advisory Fee will be prorated for assets held for a partial
quarter based on the number of days that the account was open during the quarter. In the event that
DRHI’s services are terminated mid-quarter, the Asset-Based Advisory Fee shall be prorated through
the date of termination as defined in the Agreement, any earned unpaid balance will be immediately
due and payable by client, and any pre-paid unearned fees will be promptly refunded to the client.
DRHI may also choose to prorate the Asset-Based Advisory Fee during any quarter where there are
significant cash contributions or withdrawals in an effort to only charge fees during time periods that
assets are being managed.

       2.       Performance-Based Fees

DRHI may also charge a performance-based fee (the “Incentive Fee”) equal to a percentage of the
realized and unrealized appreciation of the net asset value (“NAV”) of the client’s account (as
reasonably determined in good faith by DRHI and as adjusted for any withdrawals or additions to the
client’s account). Incentive Fees will only be charged to clients who meet the definition of “qualified
client” under Rule 205-3(d) of the Investment Advisers Act of 1940 (the “Advisers Act”), as amended.
All performance fee arrangements will be in accordance with Rule 205-3 under the Advisers Act. The
Incentive Fee for the relevant period generally shall equal 20% of the realized and unrealized
appreciation of the NAV of the client’s account. Please refer to Item 6: Performance-Based Fees and
Side-By-Side Management below for additional information about performance-based fees.

B.      Deduction of Fees

Payment of DRHI’s Asset-Based Advisory Fees will be deducted from each client’s account on a
quarterly basis by their custodian and paid directly to DRHI, unless otherwise directed in writing by
the client. Payment of DRHI’s Incentive Fees will be deducted from each client’s account on a periodic
basis (either quarterly or annually as provided in the Agreement) by the custodian and paid directly
to DRHI, unless otherwise directed in writing by the client. The consent for deduction of fees is
generally contained in the Agreement. The client’s custodian will deliver a periodic (at least quarterly)
account statement directly to the client. The statements will include all transactions that took place in
the client’s account during the period covered and reflect any fees deducted and paid to DRHI. Clients
are encouraged to review their account statements for accuracy and compare them to the reports
received from DRHI. Should there be any discrepancies, clients’ should rely on the information in their
custodian’s account statement.

C.      Other Fees and Expenses

Clients should understand that the advisory fees described in the sections above (i.e., Asset-Based
Advisory Fees and Incentive Fees) do not include certain charges imposed by third parties such as
custodial fees, mutual fund fees, and expenses. The client’s assets may also be subject to transaction
costs, retirement plan administration fees (if applicable), deferred sales charges on mutual funds

DRH Investments, Inc.                                                                 December 31, 2025
Form ADV Part 2A

initially deposited in the client’s account, 12b-1 fees, odd-lot differentials, transfer taxes, wire transfer
and electronic fund fees, and other fees and taxes on brokerage accounts and securities transactions.

The client’s assets invested in mutual funds may be subject to certain fees and expenses imposed
directly by mutual funds to their shareholders, which shall be described in each fund’s prospectus.
These fees will generally include a management fee, other fund expenses, and a possible distribution
fee. If the sponsor also imposes sales charges, the client may pay initial or deferred sales or surrender
charges.

Additionally, the client may incur brokerage commissions and other execution costs charged by the
custodian or executing broker-dealer in connection with transactions for the client’s account. The
client should further understand that all custodial fees and any other charges, fees and commissions
...

Item 7:         Types of Clients
DRHI provides investment advisory services to individuals, high net worth clients, business entities,
retirement plans, and non-profit organizations.

DRHI reserves the right to accept or decline a potential client for any reason in its sole discretion.
DRHI generally requires a minimum initial investment of $1,000,000 to open an account or group of
related accounts. In certain cases, account minimums may be waived at the sole discretion of DRHI.
Prior to engaging DRHI to provide any of the investment advisory services described in this Brochure,
the client will be required to enter into the Agreement with DRHI setting forth the terms and
conditions under which DRHI shall render its services.

If the client’s account is a pension or other employee benefit plan governed by the Employee
Retirement Income Security Act of 1974, as amended (“ERISA”), DRHI may be a fiduciary to the plan.
In providing DRHI’s investment management services, the sole standard of care imposed upon DRHI
is to act with the care, skill, prudence and diligence under the circumstances then prevailing that a
prudent man acting in a like capacity and familiar with such matters would use in the conduct of an
enterprise of a like character and with like aims. DRHI will provide certain required disclosures to the
“responsible plan fiduciary” (as such term is defined in ERISA) in accordance with Section 408(b)(2)
of ERISA, regarding the services DRHI provides and the direct and indirect compensation DRHI
receives by such clients. Generally, these disclosures are contained in this Brochure, the Agreement
and/or in separate ERISA disclosure documents, and are designed to enable the ERISA plan’s fiduciary
to: (1) determine the reasonableness of all compensation received by DRHI; (2) identify any potential
conflicts of interests; and (3) satisfy reporting and disclosure requirements to plan participants.

DRH Investments, Inc.                                                             December 31, 2025
Form ADV Part 2A