HBC Group LLC

Item 5: Fees and Compensation

A. How we are compensated for our advisory services.

HBC receives compensation for its investment advisory services, including advisory and
performance fees, from Hawksbridge pursuant to a sub-advisory agreement entered into by HBC
and Hawksbridge.

The Fund has issued different classes of participating shares and as such the advisory fee and/or
the performance fee may be further reduced or waived and permit certain shareholders to participate
in the funds on different terms. Investors should refer to the Fund offering documents for a complete
understanding of how HBC is compensated for its advisory services The information contained
herein is a summary only and is qualified in its entirety by such documents.

B. Other Types of Fees or Expenses

Prime Brokerage Fees – Each prime broker can earn interest on any advances that it makes to the
Fund and other fees as may be agreed with the Fund from time to time.

Fees for the Administrator, Registrar and Transfer Agent – The administrator, registrar and transfer
agent receive fees paid out of the assets of the Fund based upon the nature and extent of the
services performed for the Fund.

General Expenses – The Fund bears the cost of all brokerage (if any) payable on the purchase or
sale of investments, interest on borrowings and fees in respect thereof, fees payable in the Cayman
Islands on increase in the share capital of the Fund, the annual company registration fee payable in
the Cayman Islands, the fees and reasonable travel and per diem expenses of the Fund’s Directors,
the fees and expenses of the auditors and legal advisors, the cost of any liability insurance taken
out by the Fund in respect of the directors, the cost of the investment management insurance, the
cost of printing and distributing the annual and semi-annual reports and statements and all other
operating and administrative expenses.

HBC incurs costs and expenses on research services, data and information technology (including
software, hardware, infrastructure and connectivity) charged by service providers including but not
limited to Bloomberg, data providers, law firms and expert network service providers, in relation to
investments programs that HBC deems beneficial to the Fund. The Fund bears or reimburses these
costs and expenses.

Item 7: Types of Clients

HBC currently only has one client, the Fund. The Fund is open to investors who are able to acquire
participating shares who meet applicable legal and suitability requirements. Currently, the Fund is
only offered to non-US persons and does not have any US persons as investors.

The minimum initial subscription for the Fund is generally at least US$5 million or such lesser amount
as the Directors may from time to time agree whether generally or in a particular case but in no event
less than the applicable local regulatory requirements of the Cayman Islands, which law currently
requires a minimum initial subscription amount of US$100,000 or its foreign currency equivalent).