Pender Capital Management LLC

Item 5 – Fees and Compensation
How We Are Compensated For our Services
PCM and its affiliates are generally compensated for investment management services through receipt
of management fees, a distribution of investment cash flow above a hurdle rate, underwriting and
origination fees (as applicable), and loan servicing fees. The fees charged to each of the Clients are
detailed in each Client’s Offering Documents and separately negotiated with each Client.
Pender Real Estate Credit Fund
PCM is entitled to fees which include an investment management fee, incentive fee and loan servicing
fee, if any, and additional expenses as explicitly disclosed within the Fund’s prospectus.
PC ABL SMA 1, L.P.
The General Partner of the SMA is entitled to management fees and performance based distributions as set
forth in the SMA’s Offering Documents.

For complete details on fees, distributions, and expenses, please refer to the SMA’s Offering Documents.

How Clients are Billed
PCM and its affiliates may incur costs and expenses contemplated in the Offering Documents on behalf
of the Clients and then seek reimbursement by each Client, on a pro-rata basis, as applicable.

Other Fees and Expenses
The Clients will bear their own operating expenses as more fully described in each respective Offering
Documents. These expenses include, but are not limited to, the following: (a) the costs and expenses of
evaluating, originating, servicing, managing and disposing of its investments, including Property
Management Expenses (whether or not consummated); (b) legal, accounting, consulting and other fees
or compensation of service providers to, or co-venturers of the Fund (including costs and fees of third
ADV Part 2A-Firm Brochure                            5                             Pender Capital Management, LLC

party loan servicers, if any); (c) interest and other fees and expenses on indebtedness incurred by the
Partnership; (d) insurance premiums; (e) printing, advertising, travel, filing and similar fees and expenses;
(f) foreclosure, litigation and indemnification expenses; and, (g) as applicable, Designated Loan Expenses
as more fully described in each Client’s Offering documents.

Termination and Refund
Terminations and Refunds are provided as set forth in each Clients Offering Documents.

Commissionable Securities Sales
We do not sell securities for a commission.

Item 7 – Types of Clients
PCM provides discretionary investment advisory services to the Fund, a Registered Fund under the
Investment Company Act, and to the SMA as the General Partner of a pooled investment vehicle operating
as limited partnership exempt from registration as investment companies pursuant to Section 3(c)(5) of the
Investment Company Act. The SMA’s investors are accredited investors, qualified clients, and/or qualified
purchasers.