Item 5 – Fees and Compensation
Management Fee
Generally, investments in the Funds are charged an annual management fee of 1.00% to 2.00% (based
on the series of interest or shares held by the investor) and are charged pursuant to the offering
documents. The management fee is calculated as of the first day of each calendar quarter and is
payable in advance. A prorated management fee will be due for any capital contribution made on any
date other than the first day of the calendar quarter.
Incentive Allocation
Investments in the Funds are generally also subject to an incentive allocation or fee of 15% to 20% (based
on the series of interest or shares held by the investor) of net profits, which include both realized and
unrealized gains and losses. The allocation occurs annually at year end, or upon redemption by an
investor, is allocated to the General Partner, and is subject to a high-water mark or “loss carry forward”.
Terms
In general, these fees are not negotiable. However, the management fee and/or the incentive allocation
may be waived or reduced for Engle investors that are principals, employees, or affiliates of Engle in
accordance with the governing documents of the Funds. Engle previously offered a Founder’s Series,
whose terms are no longer being offered for new investments.
The Adviser has entered into side agreements, and the Adviser may in the future enter into additional side
agreements with specific investors in the Funds providing for different fees, withdrawal rights, access to
information about the Fund’s investments, or other matters relating to an investment in the Funds. A
summary of the material terms of any such side agreements can be provided upon request.
In addition, in response to questions and requests and in connection with due diligence meetings and other
communications, the Adviser could provide additional information to certain investors and prospective
investors that is not distributed to other investors and prospective investors in the Funds. Such information
may affect a prospective investor’s decision to invest in the Funds or an existing investor’s decision to stay
invested in the Funds. Each investor is responsible for asking such questions as it believes are necessary to
make its own investment decisions and must decide for itself whether the limited information provided by
the Adviser is sufficient for its needs.
Additional Expenses
As more fully described in the offering documents of the Funds, each Fund is responsible for various
expenses associated with the investment activities and operations of the Funds and their proportionate
share of the expenses of the Master Fund, including, without limitation, brokerage commissions; clearing
fees; fees, interest and other costs on margin accounts or other financings or re-financings; borrowing
charges on securities sold short; custodial fees; bank service fees; research and execution related costs,
including third party research charges, market, pricing and execution data feeds and systems, alternative
data, and related licensing fees and expenses; expenses in connection with proposed transactions
(including transactions that fail to close); accounting, audit and tax preparation expenses; expenses
incurred in connection with the issuance of shares in the Offshore Fund or with the admission of limited
partners and the acceptance of capital contributions in the Onshore Fund; costs of any outside appraisers,
accountants, attorneys or other experts or consultants engaged by the Advisers; any legal fees and costs
(including settlement costs) arising in connection with any litigation or regulatory investigation instituted
against the Funds or the Adviser in connection with the affairs of the Funds; fees and expenses of the
Administrator and any custodian; fees of the directors of the Master Fund and the Offshore Fund; costs of
insurance for the Funds, the General Partner, and/or the Adviser, including the Fund’s allocable portion of
directors and officers (D&O), errors and omissions (E&O), cybersecurity and fidelity insurance and bonds;
costs of preparing regulatory filings (including but not limited to, SEC Form PF, Schedules 13D and G, and
AIFMD Annex IV); costs of anti-money laundering compliance; costs of communication with or holding
meetings of partners; and any other reasonable expenses (as determined by the General Partner in its
sole discretion) related to the evaluation purchase, sale, holding or transmittal of the Fund assets or
liabilities. For administrative convenience, the Feeder Funds may elect to cause some or all operating
expenses to be paid by the Master Fund. The organizational expenses of the Funds were borne by the
Funds and were amortized over 60 months.
In addition, an investment in the Engle Funds is generally subject to an early withdrawal fee ranging from
3% to 5% (based on the series of interest or shares held by the investor) if redeemed prior to the
expiration of the lock-up period or away from the redemption date applicable to the investment. This
withdrawal charge will not be imposed on any compulsory withdrawal or any withdrawal made after a
key person event as defined in the Fund’s governing documents.
Additional Compensation
Not applicable.