Principal Asset Management Company Asia Limited

Item 5 – Fees and Compensation
PAM’s fees generally depend on the services being provided. PAM offers its services for
compensation based primarily on a percentage of assets under management or on a fixed fee
basis. Fees may be calculated monthly or quarterly and may be paid in advance or in arrears.
Management fees are typically deducted directly from client accounts unless otherwise
agreed. Fees may be negotiable based on account size, services provided, and client
relationship and negotiated fees may differ among similarly situated clients. For example,
PAM may consider a variety of factors when offering discounted fee schedules to certain
clients, including but not limited to the totality of the client’s (and/or their affiliates)
relationship with PAM or its affiliates, the number of accounts managed, the size or asset level
of the account(s), the nature of services rendered, the country of domicile, and any special
requirements of the account(s) managed. PAM may consider these and other factors when
making such determinations.

PAM also differentiates fee schedules offered based on whether the investment is into a PAM
managed fund vehicle, as is typical for retail and pension investors, and those offered as
institutional mandates. These differences may be the result of costs associated with the
administration of fund vehicles and/or structures that are associated with the retail and
pension investor accounts or a variety of additional factors.

For clients with whom PAM has agreed to give the lowest fee rate charged to any other
similarly situated client, all these factors, including the totality of PAM’s relationship with a
client and/or its affiliates, may be taken into consideration in determining whether a client is
similarly situated to another. PAM may also consider the impact such arrangements could
have on agreements that have previously been entered into with other clients. When deciding
whether to negotiate a particular fee, PAM may also consider its capacity to manage assets in
a particular strategy. In addition, PAM may offer or make available to certain clients a
specified asset level or capacity maximum that PAM will allow them to invest in each strategy.
The amount of capacity offered may impact fee negotiations. The negotiation of fees may
result in similarly situated clients paying different fees for comparable advisory services.

Fees for Institutional Client Accounts

Equities Fee Schedules:

PAM's standard annual fees for investment management services are based on the fair market
value of assets under management as outlined in the table below. Published fee schedules are
shown for separately contracted client portfolios which are individually managed (segregated
and discretionary) and subject to the stated minimum account sizes. Fees and minimum
investment amounts in all categories and ranges can be subject to negotiation as appropriate
and be higher or lower than those described below.

International Equity               Fee Schedule
International Equity               0.60% on the first $50 million
Diversified International Equity   0.55% on the next $50 million
                                   0.50% thereafter
                                   Minimum Account Size: $50 million

International Developed Equity     0.55% on the first $50 million
                                   0.50% on the next $50 million
                                   0.45% thereafter
                                   Minimum Account Size: $25 million

Global Emerging Markets Equity     0.75% on the first $50 million
Emerging Markets Ex-China          0.70% on the next $50 million
                                   0.60% thereafter
                                   Minimum Account Size: $50 million

Asia ex-Japan Equity               0.65% on the first $50 million
Asia Pacific ex-Japan Equity       0.60% on the next $50 million
                                   0.50% thereafter
                                   Minimum Account Size: $25 million

European Equity                    0.50% on the first $50 million
                                   0.40% on the next $50 million
                                   0.30% thereafter
                                   Minimum Account Size: $25 million

European Responsible Equity        0.55% on the first $50 million
                                   0.50% on the next $50 million
                                   0.45% thereafter

International Small Cap            0.80% on the first $50 million
                                   0.75% on the next $50 million
                                   0.70% thereafter
                                   Minimum Account Size: $25 million

Global Equity                      0.55% on the first $50 million
Global Opportunities Equity        0.50% on the next $50 million
Global Responsible Sustainable     0.45% thereafter
                                   Minimum Account Size: $25 million

International Strategic Beta       0.175% on the first $100 million
                                   0.15% thereafter
                                   Minimum Account Size: $50 million

Principal Equities                  Fee Schedule
U.S. Small Cap                      0.60% on the first $50 million
U.S. Small Cap Select               0.55% on the next $50 million
U.S. Small Cap Select Value         0.45% thereafter
U.S. SMID                           Minimum Account Size: $10 million

U.S. Strategic Beta                 0.15% on the first $100 million
                                    0.125% thereafter
                                    Minimum Account Size: $50 million
Capital Appreciation                0.50% on the first $50 million
U.S. Core Equity Income Equity      0.45% on the next $50 million
Income                              0.40% on the next $100 million
Concentrated Capital Appreciation   Negotiable on all thereafter Minimum
                                    Account Size: $25 million
...

Item 7 – Types of Clients
PAM provides asset management services to a variety of clients including investment funds,
pension programs, businesses, pension and profit–sharing plans, government entities and
institutional investors. Some of PAM’s clients are affiliated entities.

Generally, the minimum account size for opening and maintaining a separately managed
equity portfolio/account is $10-50 million and is based on the type of strategy used for the
client’s portfolio.

Generally, the minimum account size for opening and maintaining a separately managed fixed
income portfolio/account is $25-100 million and is based on the type of strategy used for the
client’s portfolio. PAM reserves the right in its sole discretion to accept client accounts with
fewer initial assets.