Parks Capital Management LLC

Item 5: Fees and Compensation

The Adviser is generally paid by the Fund, as of the beginning of each calendar quarter, in
advance, a management fee at the rate of (i) one percent (1.0%) per annum for Class A
Investors and (ii) one and one-half percent (1.5%) per annum for Class B Investors. Please refer
to the Prospectus for Fees and Compensation with respect to the Angel Oak Funds Trust.

A.      Management fees are generally deducted from the assets of the Fund by Parks Capital on
a quarterly basis, in advance. Management fees are not generally negotiable by investors in the
Fund. With respect to a separately managed account Client, management fees may be negotiable
depending on the size of such Client’s proposed allocation. Parks Capital may also elect to waive
or reduce any management fees payable by an investor in the Fund (in limited instances). Except
as set forth below, management fees are typically non-refundable once paid.

B.     As described more fully in the Fund’s offering documents, in addition to paying
investment management fees and performance-based compensation, the Fund may also be
subject to other investment expenses (e.g., brokerage fees and commissions and interest
expense), legal, accounting and consulting expenses, auditing and tax preparation expenses,
news, quotation and computer equipment and services, dues and subscriptions, expenses
incurred for research and investment information related purposes, expenses relating to the
offer and sale of limited partnership interests and other expenses related to the Fund. Please
also review the offering and related documents of the Fund for a description of the fees and
expenses associated with an investment therein. See also Item 12 for a discussion of brokerage
fees paid by the Fund.

C.      Management fees charged to the Fund are taken in advance. If an investor in the Fund
invests other than as of the beginning of the quarter or an investor in the Fund makes an addition
to its investment during a quarter the investment management fee will be charged as of the
effective date of the investment and will be prorated for the number of months remaining in the
quarter. In the event of a withdrawal by an investor in the Fund other than as of the last day of a
calendar quarter, a pro rata portion of the management fee, based upon the actual number of
days remaining in such quarter, will be repaid by the Investment Manager to the Fund for the
benefit of such withdrawing investor.

D.     Neither Parks Capital nor any of its supervised persons accepts compensation for the sale
of securities or other investment products, including asset-based sales charges or service fees
from the sale of mutual funds.

Item 7: Types of Clients

As described in Item 4, the Adviser’s Clients currently consist of a Delaware limited partnership
that is a pooled investment vehicle and an unaffiliated Mutual Fund. For the limited
partnership, Investors must contribute a minimum of $500,000 (which may be waived or
reduced in the Fund’s discretion) on a case by case basis. Investor minimums for the Mutual
Fund may be found in the Fund’s prospectus.

While the Adviser does not currently have any other separately managed account Clients, it is
intended that any such Clients will be subject to minimum investment amounts, as determined
by the Adviser.