Palmer Square Capital Management LLC

Item 5 – Fees and Compensation

With respect to our clients, Palmer Square generally receives a fee based on a percentage of assets
under management such as a collateral management fee or management fee. Palmer Square may
also receive performance-based compensation as set forth in the applicable client’s governing
documents. The fees differ depending on the type of client, as described below.

Palmer Square Funds

With respect to the Palmer Square Funds, the fees are generally established at the time the Palmer
Square Fund was formed. Palmer Square Funds generally pay an annual asset-based fee of between
0% to 2% per annum. In addition to an asset-based fee, certain Palmer Square Funds may pay
Palmer Square or its affiliates performance-based compensation. Performance-based
compensation may be structured in a variety of ways, generally ranging from 0% to 25% of net
profits achieved if a hurdle is exceeded. Any performance-based compensation arrangements
comply with Section 205 of the Investment Advisers Act of 1940, as amended (the “Advisers Act”)
and the rules thereunder. Please see each Palmer Square Fund’s applicable governing documents
for the specific fee terms applicable to the Palmer Square Fund. Palmer Square, in its sole and
absolute discretion, may pay a portion of the fees to certain investors and/or other third parties.

For each of the Palmer Square Funds, Palmer Square’s fees are generally calculated by a service
provider such as a third-party administrator or a trustee, and deducted directly from the client’s
account by Palmer Square. Investors in Palmer Square Funds do not have the ability to choose to
be billed directly. In the event of the termination of the relationship between a Palmer Square Fund
and Palmer Square, the management and performance compensation typically will be allocated
according to the date of termination or through the specified terms in the applicable agreement.
Generally, any prepaid but unearned fees will be refunded.

Subject to the requirements of applicable law, Palmer Square and its affiliates have made, and may
make in the future, exceptions to its general fee schedule for a Palmer Square Fund or an investor
in a Palmer Square Fund in its sole discretion based on various circumstances, such as the
relationship Palmer Square has with the Palmer Square Fund or investor, expectations of capital
additions in the future, product, share class, or composition of portfolio, among other reasons. This
may include fee waivers, reductions or rebates which may be permanent or temporary. Neither the
Palmer Square Fund nor the Adviser is generally obligated to obtain the approval of any investor
with respect to such arrangements.

To the extent the Adviser determines the fair value of an investment, the Adviser has a conflict of
interest as its management and performance-based compensation will be based on such valuation.
With respect to certain Private Funds, all or a substantial portion of a Private Fund’s assets are
valued in accordance with a proprietary model developed by Palmer Square.

Registered Funds

The fees and expenses for each Registered Fund are set forth in the corresponding offering
documentation for the respective Registered Fund but generally include an annual management
fee accrued daily and paid monthly in arrears. In addition, the Registered Funds charge various

shareholder and operating fees and expenses which are disclosed in each Registered Fund’s
prospectus.

Collective Investment Trusts

The fees and expenses for each CIT are set forth in the corresponding offering documentation for
the respective CIT but generally include an annual management fee accrued daily and paid monthly
in arrears.
Private Funds

The fees and expenses for each Private Fund are described in governing documents for the
respective Private Fund. The annual management fee is generally payable quarterly or monthly in
arrears, and performance-based compensation, if any, is generally payable either quarterly or
annually and at the time of withdrawal, depending on the Private Fund. For certain Private Funds,
the performance-based compensation is payable at the time when the investor has received
distributions equal to the amount of its capital contribution. Please refer to the applicable Private
Fund’s offering documents for more information. Each affiliate that serves as general partner,
managing member or investment manager (or in a similar capacity) of a Private Fund is generally
entitled to receive the performance-based compensation, if applicable, from the relevant Private
Fund.

In addition to the fees paid to Palmer Square, to the extent the Private Fund invests in other funds
(including affiliated Palmer Square Funds), the Private Fund will bear its pro rata share of the fees
(including asset-based and performance-based compensation) and expenses of such underlying
funds. To the extent a Private Fund invests in another pooled investment vehicles or accounts
managed by Palmer Square or its affiliates (as appropriate), Palmer Square will generally waive
or rebate any fees payable to Palmer Square and its affiliates at either the level of the Private Fund
or the level of the underlying pooled investment vehicle or account managed by Palmer Square or
its affiliates such that investors in the Private Fund will not be subject to an additional layer of fees
payable to Palmer Square or its affiliates as a result of the affiliated investment; provided, that if
the underlying pooled investment vehicle is an ETF or BDC, such investors will pay fees payable
to Palmer Square or its affiliates at both the level of the Private Fund and the level of the ETF and
BDC. This practice creates a conflict of interest because Palmer Square does not receive fees from
unaffiliated ETFs or BDCs and thus receives an additional layer of fees when affiliated ETFs or
BDCs are utilized. With respect to Private Funds that invest in affiliated CLOs, CDOs and/or
...

Item 7 – Types of Clients

Palmer Square provides investment advisory services to a broad range of client types, including
institutions, high net worth individuals, collective investment trusts, investment companies and
other pooled investment vehicles. Palmer Square and its affiliates serve as general partner,
managing member, investment manager, collateral manager, collateral servicer, or portfolio
manager to several types of investment vehicles, including exchange-traded funds (ETFs) and
other investment companies registered under the Company Act (Registered Funds), U.S. and non-
U.S. private investment funds structured as hedge funds and fund of hedge funds (Private Funds),
collective investment trusts (CITs), investment entities structured as collateralized loan obligations
(CLOs), investment entities structured as collateralized debt obligations (CDOs) and investment
vehicles organized to hold loans on a short-term basis prior to the launch of a CLO or CDO
(Warehouses). Any applicable investment minimums for a Palmer Square Fund are described in the
corresponding organizational documents for the client. Investors in the Palmer Square Funds may
be required to meet various suitability requirements.

Palmer Square generally requires a minimum account size of $10 million with respect to any
Managed Account Client or Legacy Client, but may waive or raise the minimum in its discretion.