Florida Atlantic Securities Corp

Item 5 – Fees and Compensation

Investment Management Fee

For discretionary investment management services to separately managed accounts,
FASC will charge a management fee between .25% and 2.00% per annum based on the
percentage of the fair market value of the assets/account value according to the fee
agreed to in the investment management agreement. The fair market value of AUM is
based on information received from the clients’ custodian. The investment management
fee will be calculated at end of each quarter in arrears based on the fair market value of
the account.

Further, discretionary investment clients may invest in External Managers whereby the
External Managers may share their Investment Management and Performance fees with
FASC. Such fees will be paid quarterly by the External Manager when applicable. There
will be no additional cost to the client in this arrangement and disclosures should be
provided to client prior to execution.

FASC does not charge a management fee to the Fund.

Assets under Advisement Fee

FASC will receive a percentage of the client’s assets that are allocated to the External
Manager and/or Private Investments. Subject to negotiation, FASC will be paid up to
0.50% - 1.00% annually on the fair market value of such assets, charged on a quarterly
basis in arrears on the average account balance for the quarter irrespective of External
Managers fees which are not included in FASC’s fees. Any fees or charges for brokerage
and custodial services incurred in connection with the External Manager’s management
of your account are in addition to the fees charged by the External Managers. FASC’s
fees for the assets under advisement services we provide in connection with selecting or
monitoring External Managers may be paid to FASC by the External Manager and/or
directly by the custodian of your assets, who charges your account. FASC may share a
percentage of the External Manager’s management and performance fee charged to the
client. Such fees will be paid quarterly by the External Manager when applicable. Please
also refer to the disclosure documents from the External Managers for details on their fee
schedules. FASC has an incentive to select External Managers that share their fees with
FASC.

FASC maintains discretion to negotiate lower fees and/or reduce or waive advisement
and management fees, depending on the size of the mandate and the scope and
complexity of the management services provided. For discretionary investment

management clients, we have authority to deduct our fees directly from your account as
agreed upon in the investment management agreement executed upon inception of the
relationship.

Services may be terminated upon written notice as specified in your advisory agreement
The advisory agreement states that it may be terminated by either party upon advance
written notice of such termination. You will incur charges for advisory services rendered
to the point of notice of termination, and such fees will be due and payable by you; the
fee for any period that is less than a calendar quarter, either at the commencement or
termination of this Agreement, shall be pro-rated on a per diem basis.

For discretionary management services, neither we nor any of our supervised persons
accept compensation for the sale of securities or other investment products, including
asset-based sales charges or service fees from the sale of mutual funds. However, in
connection with assets under advisement or referral services, in our role as a registered
broker dealer, we or our supervised persons may receive compensation for the sale of
securities or other investment products.

FASC may also receive placement fees from the issuer of the private investments or
another third party and are not charged directly to the client. If a placement fee is paid
by the issuer, such fee may be charged initially, but then no such assets under
advisement fee will be charged for the first four years of any investment.

Clients receiving discretionary investment management services pay an advisory fee for
those services. Clients do not pay brokerage commissions on transactions executed in
advisory accounts. In addition to the advisory fee, clients may incur other costs associated
with investment transactions and services provided by third parties. These charges may
include fees imposed by custodians, third-party brokers, third-party investment advisers,
and other service providers, including but not limited to custodial fees, retirement account
fees, portfolio analytics or manager performance reporting fees, transfer taxes, wire
transfer or electronic funds transfer fees, deferred sales charges, odd-lot differentials, and
other fees and taxes on brokerage accounts and securities transactions.

In addition, mutual funds and certain exchange-traded funds (“ETFs”) charge internal
management fees and operating expenses, which are paid from the assets of those funds
and therefore indirectly borne by investors. As a result, clients who invest in mutual funds
or ETFs will indirectly bear a proportionate share of those expenses in addition to the
advisory fee charged by the Firm.

Similarly, investments in alternative investment vehicles, such as private equity or other
private funds, may involve additional layers of fees and expenses, including management
fees and performance-based compensation (such as carried interest) charged by the
underlying investment sponsor or manager.

Item 7 – Types of Clients
FASC provides (1) Assets Under Advisement services primarily to non-profit
organizations; (2) discretionary investment management services to high-net-worth
individuals, individuals, small businesses, trusts, and charitable organizations; and (3)
discretionary investment management services to the Fund.

For Assets Under Advisement services to non-profit organizations, we do not require a
minimum account size for opening or maintaining an account. However, the External
Manager may impose a minimum account size for opening or maintaining an account.

For discretionary investment management services to high-net-worth individuals, small
businesses, trusts, and charitable organizations, FASC generally does not require a
minimum account size for opening or maintaining an account.

We also provide discretionary investment management services to the Fund. Investors in
the Fund are generally subject to a minimum investment requirement set forth in the
Fund’s offering documents. However, it is at the discretion of FASC to waive such
minimum amounts.