LUMA Capital LLC

Item 5: Fees and Compensation

Advisory fees are paid by clients to LUMA Capital for ongoing investment management services and are
determined by application of a market value based schedule. Advisory fees are negotiable depending on
the client mandate and portfolio size.

 Traditional Advisory Fee Schedule                           Annual Fee in %

 $500,000 to $1.5 Million                                             1.5%

 $1.5 Million to $ 5 Million                                          1.0%

 On the amount over $ 5 Million                                       .5%

Family office (F/O) clients and F/O’s have separate, customized fees based upon agreed goals and
objectives. In general, the fees involve a negotiated annual retainer and an advisory fee on assets under
management. Additional fees for time and analysis on specific projects are frequently negotiated.

In certain cases, LUMA is also entitled to an incentive fee subject to hurdles which are calculated upon a
return of capital plus some extra amount. These fees are described below in more detail at Item 6. These
are negotiated rates with each client depending on the portfolio construction and client’s objectives.

Clients can also incur costs from investments made in other investment vehicles like money market funds,
mutual funds, ETF’s and other investments. These are not fees charged by LUMA but rather costs from
these investment vehicles.

Investment trades placed with custodians holding client assets are subject to additional individual fixed
charges which are assessed and incurred for the sole benefit of the custodian. A typical flat fee for equity,
option or mutual fund trades is assessed. For bond investments, there is generally a built in mark up for
the custodian and sometimes additional fees. These fees are for the sole benefit of the custodian. All fees
from the custodian are disclosed by the custodian to the client when the client account is established.

Mutual funds, exchange traded funds and private investment funds (e.g. private equity and hedge funds)
also charge internal management fees. These are disclosed in the underlying funds prospectus. In
addition, private investment funds may charge performance based fees. With the exception of private
investments managed by LUMA’s affiliate, such charges, fees and commissions are exclusive of and in
addition to the management fee paid to LUMA. Subject to this exception, LUMA does not directly or
indirectly receive any portion of these commissions, fees or costs.

Clients who are invested in various limited partnerships managed by LUMA Alternative Investments,
LLC, LUMA’s affiliate (LUMA fund), pay a management fee assessed by the LUMA funds and borne
directly by the client as an investor in the LUMA fund. The indirect fee is paid to a LUMA affiliate. In
the case of LUMA funds, clients complete separate subscription documents fully disclosing the costs of
each fund. The potential for the receipt of compensation through this arrangement might give LUMA an
incentive to recommend an investment in an affiliate-managed fund. LUMA addresses this conflict by
disclosing this conflict to clients to assure that their interests are considered. Further, clients receive an
operating agreement from the fund referred to that discloses the compensation LUMA Alternative
Investments, LLC will receive to assure that they have an opportunity to consider their interests. Clients
are under no obligation to invest in an affiliate-managed fund.

Advisory fees charged by LUMA are charged at the end of a quarter, based upon assets under
management at that time. Fees are not charged in advance. In general, client’s advisory fees are deducted
directly from their custodian accounts; however, they can opt to pay our advisory fees directly.

Item 7: Types of Clients

LUMA provides discretionary and non-discretionary investment management services to individuals,
high net worth individuals, family offices, trusts, estates, charitable organizations, endowments,
institutions and retirement plans. Minimum account size is $500,000 which LUMA may waive at its

discretion.