Item 5: Fees and Compensation
Item 5.A.
Generally, the Value Master Fund will pay to Hollis Park a quarterly management fee in advance equal to
a) 0.3125% (1.25% per annum) of the balance of each investor’s capital account as of the last business day
of each quarter during the Investment Period (as defined in the relevant fund’s private placement
memorandum), and b) 0.25% (1.00% per annum) of the balance of each investor’s capital account as of the
last day of the prior quarter after the end of the Investment Period, in each case without accrual of the
incentive allocation, along with certain performance based fees.
The management fees are generally not negotiable; however, the Firm, in its sole discretion, may waive or
modify the fees for certain clients.
Item 5.B.
Hollis Park will indirectly deduct management fees and incentive allocations from the Funds through the
fund Administrator.
Item 5.C.
Each Advisory Client will bear its own direct expenses as specified within the relevant governing
documents. This may include legal, accounting (including third-party accounting services), audit, other
professional fees and expenses (including third-party pricing services), organizational expenses, research
systems/IT expenses (including software used for evaluating the Funds’ portfolio risk and preparing risk
reports for investors), investment expenses such as commissions, custodial fees, bank service fees,
insurance costs (including D&O and E&O insurance for Hollis Park and outside directorship liability), fees
and expenses paid to the board of directors of the Funds, fees and expenses of an administrator, compliance
expenses of the Advisory Client, including expenses associated with any regulatory filings attributable to
the assets of the Advisory Client (e.g., Form PF), and other expenses related to the purchase, sale,
preservation or transmittal of the Advisory Client’s assets. Expenses paid by the Advisory Client, excluding
any management fee, organizational expenses and certain extraordinary expenses, will not exceed any
agreed upon cap or limitations.
Certain Advisory Clients may incur costs and expenses in support of services that are necessary for or
beneficial to certain other Advisory Clients. Such costs are allocated among the Advisory Clients benefiting
from such service according to a defined allocation methodology.
Item 5.D.
The Value Master Funds pay a quarterly management fee in advance as set forth in Item 5A above. Subject
to the terms of the applicable offering documents, in the event an investor requests a redemption before the
end of a quarter for which a fee has been paid, the investor may obtain a refund of the appropriate portion
of such pre-paid fee, as applicable. If a refund is required, Hollis Park will pro-rate the management fee for
the quarter up to the date of the redemption.
Item 5.E.
Not Applicable. Hollis Park or its supervised persons are not compensated for the purchase or sale of
securities or other investment products.