Independent Franchise Partners LLP

Item 5 Fees and Compensation

a) Fees and minimum investment amounts for segregated portfolios
The management fee for Global Franchise and Global Franchise II is 0.68%. The management fee
for US Franchise is 0.58%.
In addition, the fee scale recognises the scale benefits of larger investors by offering further
reductions for institutional investors who allocate over $250 million to either our Global strategies
or to our US strategy.
These fee scales have been effective since April 1st, 2024.
Global Franchise/Global Franchise II fee scale

                               Investor AUM (US$)   Sliding fee scale     Effective fee at break point

 First                         $250,000,000         0.68%                 At $250m: 0.68%
 Next                          $250,000,000         0.55%                  At $500m: 0.62%
 Next                          $250,000,000         0.45%                 At $750m: 0.56%
 Next                          $250,000,000         0.40%                  At $1bn: 0.52%
 Above                         $1,000,000,000       0.35%

US Franchise fee scale

                               Investor AUM (US$)   Sliding fee scale     Effective fee at break point

 First                         $250,000,000         0.58%                 At $250m: 0.58%
 Next                          $250,000,000         0.45%                  At $500m: 0.52%
 Next                          $250,000,000         0.40%                 At $750m: 0.48%
 Next                          $250,000,000         0.35%                  At $1bn: 0.45%
 Above                         $1,000,000,000       0.30%

Where investors have investments in both Global Franchise and Global Franchise II, assets will be
aggregated to calculate eligible assets under management. US Franchise assets will be treated on
a standalone basis given the different fee scale.
The sliding fee scales will be applied to segregated accounts and to investors in our pooled funds
where regulations allow. Pooled fund investors with assets in excess of $250m will receive a
management fee rebate.
The investment advisory fee for the RIC is 0.58% per annum.
As the strategy has limited capacity, the Firm does not offer performance fees, high watermarks
or most favoured nation warranties. Clients are invoiced for their fees unless they have provided
the Firm with written authorization to directly debit such fees. Clients do not have the ability to
pay in advance.

b) Investment Advisory Fee
There are no additional fees from the schedules set out above.

Independent Franchise Partners, LLP                                                                      7

c) Other Expenses
Clients are responsible for and do incur other expenses separate and apart from the Firm’s
management fees. These expenses typically include custody fees, trading and brokerage service
fees and other transaction fees, and/or expenses associated with a Fund for the type of services
being performed.

d) Fund Fees and Expenses
Prospective fund investors should consult the relevant fund documents for applicable fund terms,
including management fee, liquidity terms, etc. Certain investors, including staff, are not subject
to management fees. All investors bear the cost of expenses related to the operation of the
funds, such as legal, audit and tax services.
In addition, investors in the Private funds pay an “anti-dilution levy” (ADL) in connection with cash
capital contributions and withdrawals. The levy covers dealing costs, stamp duties and market
impact relating to the acquisition or disposal of assets in respect to the contribution or
withdrawal, respectively. The levy is maintained for the benefit of the relevant fund. Investors in
the RIC do not pay an anti-dilution levy but instead pay a redemption fee which is intended to
encourage long-term investment in the fund, facilitate portfolio management, eliminate or
reduce, so far as practicable, any dilution of the value of the outstanding shares issued by the
fund and compensate the fund for costs related to portfolio security transactions and other fund
expenses incurred as a result of shareholder purchases and redemptions.

e) Other Compensation
The Firm does not accept additional compensation for the sale of securities or other services from
third parties and does not receive compensation for other services besides the investment
advisory services the Firm provides.
The Firm’s staff does not generally receive compensation for other services besides the
investment advisory services the Firm provides, other than those described in Item 14 for
solicitation or marketing of segregated client accounts. However, in extremely limited
circumstances where pre-approved by Compliance and following a review for any conflicts of
interest pursuant to our Code of Ethics, staff are permitted to have outside business interests.

Independent Franchise Partners, LLP                                                                 8

Item 7 Types of Clients
The Firm offers only the Global Franchise, Global Franchise II and US Franchise strategies,
primarily to institutional segregated account clients and fund investors, who include pension plans,
investment companies, sovereign wealth funds, pooled investment vehicles, state or municipal
government entities, charitable organizations and banking institutions.
The minimum segregated account size is generally $100 million or greater (or comparable values
for non-dollar currencies). The Firm requires a minimum of $3 million in order to invest in the
Firm’s pooled vehicles with the exception of the CCF which has a $10 million minimum for initial
investment. Limits may be waived at the Firm/Fund’s discretion. In addition, in order to invest in
the Global Equity LP or the Global Equity II LP, the investor must qualify as an “accredited
investor” as defined under Rule 501(a) of Regulation D under the Securities Act of 1933 and as a
“qualified purchaser” as defined under Section 2(a)(51) of the Investment Company Act of 1940.
The Firm reserves the right to serve only those clients who meet certain criteria and may refuse to
enter into an agreement with any person or institution for any legally acceptable reason.

Independent Franchise Partners, LLP                                                              10