Pzena Investment Management LLC

FEES AND COMPENSATION [Item 5]

Fee Schedules

PIM’s investment management fees for separately managed accounts are generally charged
quarterly.

PIM generally offers twenty-four equity strategies, and one credit strategy. PIM’s offered
strategies are listed below, along with current standard annual fee schedule ranges for
managed assets, subject to PIM’s minimum account sizes. Fee schedules are asset-based
and, for all of its services except the U.S. and Global Best Ideas services, Long/Short
Equity Value service and Focused Credit Opportunities service, include breakpoints.

                                                           Standard Annual Fee
 Strategy
                                                              Schedule Range
 Global Focused Value                                          0.50% - 0.75%
 Global Value                                                  0.35% - 0.55%
 Global Value All Country                                      0.37% - 0.57%
 Global Value Climate                                          0.40% – 0.60%
 Global Small Cap Focused Value                                0.65% - 0.90%
 Global Best Ideas                                                 1.25%
 International Focused Value                                   0.50% - 0.75%
 International Value                                           0.35% - 0.55%
 International Value All Country (ex-U.S.)                     0.40% - 0.60%
 International Small Cap Focused Value                         0.85% - 1.00%
 European Focused Value                                        0.45% - 0.65%
 European (ex-U.K.) Focused Value                              0.45% - 0.65%
 Japan Focused Value                                           0.60% - 0.80%
 Emerging Markets Focused Value                                0.70% - 1.00%
 Emerging Markets Select Value                                 0.55% - 0.70%
 Large Cap Focused Value                                       0.35% - 0.70%
 Large Cap Value                                               0.25% - 0.40%
 Focused Value                                                 0.50% - 1.00%
 Mid Cap Focused Value                                         0.50% - 1.00%

 Mid Cap Value                                                     0.35% - 0.45%
 Small Cap Focused Value                                           0.75% - 1.00%
 SMID Cap Value                                                    0.50% - 0.60%
 U.S. Best Ideas                                                       1.25%
 Long/Short Equity Value                                               1.25%
 Focused Credit Opportunities                                          1.25%*

* Focused Credit Opportunities includes a performance fee of 15% which is assessed on
the outperformance relative to a set hurdle rate and is limited to qualified clients.

Generally, fees are not negotiable; however, individual portfolio considerations,
investment size, and timing of opening have caused PIM to negotiate different fee
arrangements from time to time. For investors in its proprietary funds, PIM is subject to
certain side letter agreements that may provide different fee arrangements or other
preferential terms as further disclosed in each fund’s offering documents. The fees that are
paid to PIM as sub-adviser to its mutual fund clients are set forth in each fund’s registration
statement. PIM will generally waive fees for employees, their family members, and entities
affiliated with such persons.

In certain circumstances, PIM also manages accounts under performance-based fee
arrangements in reliance upon Rule 205-3 under the Investment Advisers Act of 1940.
Clients who are subject to performance fees will be qualified clients within the meaning of
Rule 205-3. Under each of its existing performance-based fee arrangements, PIM receives
an annual asset-based advisory fee and, if the account outperforms a specified benchmark,
index, or hurdle over a specified time period, an additional fee based upon a percentage of
the outperformance is earned. Certain of such arrangements also include a specified annual
maximum combined fee. These arrangements may result in a total annual fee that is higher
than our standard annual asset-based fees.

Clients whose cash balances are invested in money market funds with their selected
custodian should be aware that most money market funds assess a management fee as an
expense to shareholders. Any such money market management fee would be in addition
to the advisory fee payable to PIM on account of such assets.

PIM is adviser or sub-adviser to twenty-nine mutual funds and ETFs registered under the
Investment Company Act of 1940. Under the advisory and sub-advisory contracts
approved by the trustees and/or directors of each of these funds, PIM manages or advises
on the investments of such funds; furnishes them with advice regarding the purchase and
sale of portfolio securities; furnishes them with research, economic and statistical data in
connection with fund investments and investment policies; submits reports relating to the
valuation of fund securities; maintains certain books and records with respect to the fund’s
securities transactions; and either exercises or consults on the exercise of voting rights,
subscription rights, rights to consent to corporate action and any other rights pertaining to

fund assets. In exchange for these services, PIM receives an annual fee from the adviser
to each fund (or from the fund directly) that is payable on an annualized basis and generally
calculated as a percentage of the applicable fund’s average net assets.

In addition, PIM manages (1) an open-ended investment company with variable capital
incorporated in Ireland and established as an umbrella fund with segregated liability
between sub-funds that is qualified as a UCITS; (2) a Delaware statutory trust; (3) two
Georgia collective investment trusts; (4) an Illinois group trust; (5) two Delaware limited
...

TYPES OF CLIENTS [Item 7]

PIM manages investment portfolios for endowments, foundations, state and municipal
government entities, partnerships, corporations, investment companies, public funds,
pension trusts, profit-sharing plans, high net worth individuals, and pooled funds located
in the United States and in several foreign jurisdictions including, but not limited to,
Canada, Australia, the United Kingdom, Luxembourg, and Ireland. PIM also provides
model investment services to financial institutions and investment companies.

PIM typically imposes a $10,000,000 account opening minimum on all accounts but offers
smaller accounts subject to available service capacity. Depending on individual
circumstances (including the size, portfolio service and opening date of the account), PIM
may impose a different minimum on opening accounts, in its discretion.

METHODS OF ANALYSIS, INVESTMENT STRATEGIES, AND RISK OF LOSS