Evanston Capital Management LLC

Item 5 – Fees and Compensation
The Funds’ Management Fees
Generally, EC’s Private Funds charge an asset-based fee (the “Management Fee”) ranging
between 0.25% to 1.95% per annum that accrues over a set time period, namely monthly or
quarterly, and is payable quarterly. Beginning on the initial closing date (“Commencement
Date”) and ending on the particular anniversary of the Closed-end Commingled Fund’s
Commencement Date as set forth in its Offering Document, the Closed-end Commingled Fund
charges an annual Management Fee of up to 0.50% per annum, payable quarterly in advance,
of the aggregate capital commitments. The Management Fee will be appropriately pro rated
for partial periods. EC’s Private Funds also pay performance-based compensation as
described in Item 6 below. The Management Fee is disclosed in each Private Fund’s Offering
Document and will vary based on the particular Private Fund and the type or class of
interests or shares held. A Customized Fund’s Management Fee will vary based on EC’s level
of services and would be negotiated with the Customized Fund investor on a case-by-case
basis.

The Registered Fund’s Management Fee and other fees are described in its prospectus, which
may be found by searching for “Evanston Multi-Alpha Fund” in the Company and Person
Lookup       search      box      on        the       SEC’s       EDGAR          database,
http://www.sec.gov/edgar/searchedgar/companysearch.html,         by contacting EC at
multialphafund@evanstoncap.com, or by calling 847-328-4961.

The Management Fee is waived in whole or in part for capital invested directly or indirectly
in a Private Fund by EC’s partners, employees, former employees, members of EC’s current
and former advisory board, any person related to the above, and certain entities whose
investors primarily consist of the above. Additionally, EC in its sole discretion will waive the
Management Fee in whole or in part for investments made by certain Investors in any Private
Fund. EC also enters into agreements with certain Investors in EC’s sole discretion granting
preferential fee terms in certain circumstances, including, for example, an Investor’s
investment size either individually or together with other Investors who share a common
investment adviser, or as aggregated with affiliated Investor investments, without entitling
any other Investor to such terms. Except as required by applicable law or regulation, neither
EC nor the relevant Private Fund is generally obligated to disclose such agreements to, or
obtain the approval of, all Investors. EC will not enter into any such agreement if EC
determines it would have a material adverse effect on other Investors in the relevant Private
Fund, or if it is prohibited by law.

Each Private Fund’s third-party administrator calculates the Private Funds’ net asset value
under EC’s overall supervision (or, in the Registered Fund’s case, subject to its Board of
Trustees’ oversight of EC's performance of such duties). EC may in certain circumstances
make a fair valuation recommendation for an investment, subject to EC’s Valuation Policy
and Procedures with respect to the Private Funds, or the Registered Fund’s Fair Valuation

Policies and Procedures, as applicable. In doing so, a conflict of interest exists given that the
Management Fee and, if applicable, performance-based compensation (as discussed in Item
6 below) EC would receive are based on such valuation.

The Funds’ Expenses
EC is responsible for its employees’ salaries and employee benefit expenses, and those of any
of its affiliates involved in the management and conduct of the Funds’ business and affairs
and related overhead (including rent, utilities, and other similar items).

The Private Funds pay costs and expenses as EC reasonably determines for their formation
and to carry on their businesses, purposes and activities (and will reimburse EC and its
related persons for any costs and expenses incurred by them on the Private Funds’ behalf).
These costs and expenses typically include, for example, organizational and offering, legal
(including costs and expenses of negotiating side letters with Investors and prospective
Investors), audit, custodial, third-party administration, line of credit, interest on borrowings,
unaffiliated director and anti-money laundering officer, insurance, indemnification, tax
preparation and other tax-related fees and expenses (including “partnership representative”
fees and expenses), commitment fees associated with a credit facility, filing fees, government
fees and taxes or similar amounts (if any) and extraordinary expenses (if any).

With respect to the Closed-end Commingled Fund, the foregoing costs and expenses also
include consulting, structuring, offering, capital raising (including presentations,
conferences, symposiums, travel and communication expenses and related legal and
regulatory compliance expenses), and regulatory expenses (including those relating to
registrations, filings, and compliance contemplated by the law, rules, and regulations
implemented or promulgated in any applicable jurisdiction).

The Closed-end Commingled Fund also will be responsible for all fees, costs, expenses,
liabilities, and obligations in connection with their (and any future feeder fund or blocker
entities formed, as well as such entities’ respective general partners or equivalents)
operations, investments, business, and other activities, such as: (i) investment activities,
including, for example, evaluating, negotiating, acquiring, maintaining, transferring, and
disposing of investments, any fees related to financing, investment banking, private
placement, brokerage, and appraisal fees, sales commissions, conferences and related costs,
including travel and travel-related expenses such as transportation, meal, entertainment,
and lodging (collectively, “Travel-Related Expenses”); (ii) compliance with side letter
...

Item 7 – Types of Clients
EC’s clients solely comprise its Funds. The Private Funds are privately offered commingled
investment vehicles that rely on the 3(c)(1) or 3(c)(7) exemption from the definition of
“investment company” under the Company Act. The Registered Fund is a closed-end
registered investment company. EC may, in the future, manage separate accounts.

EC or its affiliates, including certain subsidiaries, act as the general partner to certain Funds
(collectively the “Affiliated GPs”), as the sponsor and/or investment manager of the non-U.S.
Private Funds, and as the Registered Fund’s investment adviser, as applicable. EC may also
provide similar services to other collective and customized investment vehicles, registered
funds, and other clients. EC may retain sub-advisers, including its own affiliates, in the future.

The Private Funds generally have initial minimum investments as noted in Question 12 of
Section 7.B.(1) of Schedule D in Form ADV Part 1, and also establish minimum additional
investments amounts as provided in each Private Fund’s Offering Document. Such minimum
amounts may be waived or reduced in EC’s discretion (or in the discretion of the non-U.S.
Private Funds’ board of directors). A Customized Fund’s minimum investment amount
would vary depending on the Customized Fund’s investment strategy and would be agreed
upon with the relevant Customized Fund investor in advance. The Registered Fund generally
requires an initial minimum investment of $25,000, and minimum additional investments of
$10,000.

U.S. Private Funds that are 3(c)(7) funds accept capital from U.S. investors that are
“accredited investors” as defined in Rule 501(a) (“Accredited Investors”) under the
Securities Act of 1933, as amended (the “Securities Act”), “qualified purchasers” within the
meaning of Section 2(a)(51)(A) of the Company Act, and “knowledgeable employees.” The
U.S. Private Funds that are 3(c)(1) funds accept capital from U.S. investors that are
Accredited Investors, and if an Investor’s interests in a 3(c)(1) fund are subject to an
Incentive Allocation such Investor must also be a “qualified client” as defined in Rule 205-3
under the Advisers Act. The non-U.S. Private Funds generally accept capital from U.S. tax-
exempt investors that are “accredited investors” and “qualified purchasers,” non-U.S.

investors that are “qualified purchasers” and are not “U.S. persons” as defined in Regulation
S under the Securities Act, “employee benefit plans” as defined in and subject to the
Employee Retirement Income Security Act of 1974, as amended and other qualified plan
investors that are “accredited investors” and “qualified purchasers.”