Pacific Life Fund Advisors LLC

ITEM 5: FEES AND COMPENSATION

The current advisory fees charged by PLFA for its advisory services to the Private Fund are described
below. Fees can be negotiated based on various parameters, including the type of account to be managed,
the investment strategy and other factors on a per-client basis. PLFA reserves the right to reduce or waive
its advisory or management fee for any of its investment strategies or on any account. Fees are generally
calculated monthly as an annualized percentage of the total asset value of the Private Fund and are typically
billed monthly in arrears. However, other arrangements could be negotiated at PLFA’s discretion. In the
event of account termination, fees paid in advance to PLFA, if any, will be pro-rated to the date of
termination specified in the notice of termination or otherwise stated in the advisory agreement, and any
unearned portion thereof will be refunded to the client.

I. Advisory Fees.
The Private Fund advised by PLFA compensates PLFA for its services pursuant to a written investment
advisory agreement that was negotiated with and approved by the Private Fund’s General Partner.
Management fees are calculated separately for the Private Fund. Any compensation for services of Sub-
Advisers engaged by PLFA are paid directly by PLFA out of the advisory fee PLFA receives from the
Private Fund.

II. Other Fees and Expenses.
In addition to PLFA’s advisory fees, the Private Fund generally also pays (usually on a pro rata basis), and
their Investors (as defined in Item 7, below) bear, certain other expenses relating to its business and affairs,
including, without limitation: investment-related expenses whether relating to investments that are
consummated or unconsummated; clearing and settlement charges; interest expenses; other brokerage
related expenses (e.g., brokerage commissions), including expenses related to the purchase, monitoring,
sale, and settlement of Private Fund assets; and taxes (whether imposed through withholding or otherwise)
and related interest, penalties and other charges. Any such taxes and related interest, penalties and other
charges that are attributable to a limited partner will be specially allocated to that limited partner. The
Private Fund will also bear expenses for extraordinary matters such as litigation expenses, indemnification
expenses, liquidation expenses, reorganization expenses, and other expenses not incurred in the ordinary
course of the Fund’s business, if any as provided in the Private Fund’s Governing Documents. Some of
these additional fees and expenses could be payable to PLFA or entities affiliated with PLFA as
compensation for services rendered. The expenses to which the Private Fund will be subject could be
substantial and could decrease returns realized by its limited partners or investors. Further, limited partners
and prospective investors should note that the Advisory Fees payable to PLFA are based in part upon
unrealized gains (as well as unrealized losses), and that such unrealized gains and losses may never be
realized by the Private Fund. Please refer to the Private Fund’s offering documents for a more detailed
description of all applicable fees and expenses.

Most fixed income instruments trade at a bid/ask spread and without an explicit brokerage charge.
Accordingly, while there is not a formal trading expense, clients will bear the implicit trading costs reflected
in those spreads. Please see Item 12 for further discussion of brokerage practices.

ITEM 7: TYPES OF CLIENTS

As described in Item 4 above, PLFA’s clients are currently limited to the Mutual Funds and the Private
Fund.

For the Private Fund, among other eligibility considerations, each current or prospective investor will
generally be limited to U.S. persons who are (i) “accredited investors” as that term is defined under Rule
501(a) of Regulation D of the Securities Act of 1933, (ii) “qualified purchasers” as that is defined in Section
2(a)(51)(A) of the Investment Company Act of 1940, (iii) a “knowledgeable employee” as defined in Rule
3c-5 under the Investment Company Act of 1940; or (iv) otherwise meets the investor eligibility
requirements as set forth in the Private Fund’s Governing Documents. PLFA anticipates that the investors
of the Private Fund will be comprised of a broad range of 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.

Currently PLFA does not require Private Fund clients to have a minimum account size or impose
maintenance requirements to provide its investment advisory services. However, the Private Fund will often
require that a shareholder, member or limited partner (each an “Investor”) meet minimum investment
requirements and ongoing maintenance requirements to invest in the Private Fund. Any such minimum
investment requirements are disclosed in the Private Fund offering documents.