PAAMCO Prisma LLC

Item 5. Fees and Compensation

PAAMCO Prisma Fees

This Brochure is delivered only to Clients that are “qualified purchasers” as defined in section
2(a)(51)(A) of the Investment Company Act of 1940, as amended (“Investment Company Act”).

For discretionary services provided to Funds, PAAMCO Prisma generally receives management
or administration fees, payable either quarterly in advance or monthly in arrears; and, in some
cases, receives performance-based compensation, which is generally payable annually. The fees
applicable to each Fund are more fully described in the relevant Fund’s offering materials,
disclosure documents, investment management agreements, and/or governing documents.

Management and administration fees are adjusted for additions made to a Fund by an investor
that occur during a calendar month or quarter, as applicable. In addition, if management or
administration fees are paid in advance, and an investor withdraws assets from the Fund mid-
period, any unearned fee will be refunded. Fees payable by the Funds are generally deducted
directly from the investors’ accounts. Fees payable by a Fund with respect to certain large or
other strategic investors (and borne by such investors), as well as other terms related to
redemption rights, transfers, and reporting are subject to negotiation based upon various factors
such as the size of the investment or regulatory status of a particular investor. Any such

arrangements or terms that differ from the applicable Fund’s standard terms are generally set
forth in a side letter or similar agreement with the specific investor (see item 11 for additional
information regarding side letters and other similar arrangements). In addition, investments in
Funds by employees and other associated persons of PAAMCO Prisma, as discussed below in
Item 6, are not subject to such fees.

The fees charged, and the terms of payment, for Accounts are subject to negotiation with each
respective Client. Factors that are considered in the course of these negotiations include the size
of the Account, the services provided, the reporting requirements of the underlying investor, and
the Account’s investment strategy, among other factors, and are set forth in the investment
management agreements and/or other governing documents relating to such Account. Fees are
generally payable quarterly in advance or monthly in arrears, as negotiated with the particular
Client, and any performance-based compensation is generally paid annually. If Accounts are
initiated during a calendar quarter, the Client will be charged a prorated fee. If fees are paid in
advance and assets are withdrawn from an Account or the Account is terminated prior to the end
of the period to which such fees relate, PAAMCO Prisma refunds any unearned fees. Investors
in Accounts may be billed directly for fees or may authorize PAAMCO Prisma to directly debit fees
from the Accounts, as negotiated with the particular Client.

PAAMCO Prisma does not receive a management or incentive fee with regard to the MAP Funds.
Each MAP Manager generally receives (i) management fees in the range of 0 – 2.0% of, typically,
net asset value, or, in some instances, a notional trading amount and (ii) incentive fees in the
range of 0 – 20%, at times, subject to a high-water mark and/or a hurdle. In certain situations, a
MAP Manager may not receive a management fee, but instead receive a draw or advance on its
performance fee (a “Draw”). In some cases, for a MAP Manager entitled to a Draw, if a
performance fee is earned but is less than the amount of the Draw, the difference between the
Draw paid and the performance fee will carry over into subsequent years (an “Accumulated Draw
Deficit”). In such a case, subsequent performance fees will be reduced by both the amount of
the Draw in that year and any Accumulated Draw Deficit, until such Accumulated Draw Deficit has
been reduced to zero (much like how a high-water mark operates). For the avoidance of doubt,
if a MAP Manager is terminated at a time when an Accumulated Draw Deficit exists, such amount
is not recouped by the MAP Fund. In limited circumstances where a MAP Manager receives a
Draw, and typically no management fee, the MAP Manager’s incentive fee may exceed 20%.

On occasion, a MAP Manager will not receive a Draw or management fee, but rather the Portfolio
Fund for which the MAP Manager conducts investment activities will be responsible for the “pass-
through” expenses of the MAP Manager pertaining to its management of the relevant Portfolio
Fund. Pass-through expenses would include, in addition to any of the types of expenses
described below in “Expenses”, the Portfolio Fund’s share of MAP Manager overhead expenses
such as, among others, employee compensation (including, without limitation, salaries and draws,
guarantees, “signing bonuses,” deferred compensation, bonuses and benefits, severance
arrangements, relocation arrangements, and non-competition covenant costs), office rent,
computer hardware and software, research, travel, insurance costs, and general operations and
administration costs of the MAP Manager’s business. Depending on the size of the MAP
Manager’s firm, this could equate to pass-through expenses in excess of the typical 0 – 2.0%
management fee typically charged by other MAP Managers. PAAMCO Prisma negotiates these
fees with each MAP Manager independently. In certain circumstances, while a MAP Fund is in
liquidation, the fees paid by the MAP Fund may be different than the fees described in the
applicable Subadvisory Agreement.

Clients of the Filing Adviser and Prisma may participate in the same Portfolio Funds or MAP
Funds on different fee or other terms at the Client level.

With respect to Molecule, PAAMCO Prisma is entitled to receive an administration fee, calculated
and payable each calendar month in arrears at an annual rate currently set at 0.50% of the
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Item 7. Types of Clients

As noted in Item 4, PAAMCO Prisma provides investment management and advisory services to
Clients that are generally organized as Funds, i.e., private pooled investment vehicles or single-
owner investment vehicles, and to Accounts, i.e., separately managed accounts established for
institutional investors.1 With limited exceptions, interests in Client vehicles are generally only
available to institutional investors and certain high net worth investors that are “accredited
investors” and “qualified purchasers” or non-“U.S. persons” or in the case of employees,
“knowledgeable employees”, within the meaning of the Securities Act of 1933, as amended, and
the Investment Company Act, as applicable. Clients generally have a specified minimum
investment amount as set forth in the offering materials, disclosure documents, and/or governing
documents. These minimum amounts are subject to discretion on the part of PAAMCO Prisma
and, as applicable, the board of directors and/or general partner of a Fund, on whether to permit
investment of a smaller amount generally with respect to any investor.

A broad range of U.S. and non-U.S. institutional investors, including, among others, governmental
and corporate pension and profit sharing plans (including investors regulated under ERISA),
endowments and foundations, insurance companies, financial institutions, sovereign wealth
funds, private wealth and other third-party distribution platforms, and certain high net worth
individuals (including trusts, estates, 401(k) plans and IRAs of such individuals or their family
members) and family offices, may be Clients or investors in Funds. Investors in Accounts
generally must maintain a minimum account size as mutually agreed between the investor and
PAAMCO Prisma.

PAAMCO Prisma also provides advisory/consulting services on Portfolio Fund investments to a
single institutional client, a pension plan. PAAMCO Prisma Europe currently only provides
advisory services to the Filing Adviser and its affiliates. The Filing Adviser acts as subadviser to
PAAMCO Launchpad and the PAAMCO Launchpad Funds.