Munakata Associates LLC

Item 5 – Fees and Compensation

A. Investment management fees are calculated as a percentage of net asset values of portfolios under
   management. All fees are negotiated on a case-by-case basis. Rates are determined based upon the
   dollar amount in the account. Munakata Associates’ fee schedule:

         1% up to $5 million
         0.5% up to $10 million
         0.25% up to 20 million
         0.125% over $20 million

   The specific manner in which fees are charged by Munakata Associates is established in a client’s
   written advisory agreement with Munakata Associates.

B. Munakata Associates bills its management fees to clients on a quarterly basis in arrears. Fees are
   invoiced and sent to the client who then remit either a check or wire to Munakata Associates.
   Management fees shall be prorated for each capital contribution and withdrawal made during the
   applicable calendar quarter (with the exception of de minimis contributions and withdrawals).
   Accounts initiated or terminated during a calendar quarter will be charged a prorated fee.

C. Clients may incur certain charges imposed by custodians, brokers, and other third parties such as fees
   charged by custodial fees, deferred sales charges, odd-lot differentials, transfer taxes, wire transfer
   and electronic fund fees, and other fees and taxes on brokerage accounts and securities transactions.

D. Clients pay quarterly management fees in arrears. Upon termination of any account, any earned,
   unpaid fees will be due and payable.

E. Mutual funds and exchange traded funds also charge internal management fees, which are disclosed
   in respective funds’ prospectus. Such charges, fees and commissions are exclusive of and in addition
   to Munakata Associates’ management fee. Clients may purchase investment products that are
   recommended by Munakata Associates through other brokers. Clients are free to use any broker of
   their choice.

Item 7 – Types of Clients

Munakata Associates provides portfolio management services to high net worth individuals, charitable
foundations and trusts.

No minimum dollar value of assets is required for opening or maintaining an account.