Reef Investment Management LLC

Item 5 - Fees and Compensation

Management Fees

RIM is compensated for its advisory services through contracted fixed fees ranging from
$2,000 per year to $45,000 per quarter or, alternatively, a percentage of the respective
Fund’s assets under management (currently 0.15%). These fees may be negotiated at
the Fund level, but not for individual investors in the Funds.

Other Fees or Expenses

Each Fund will pay or reimburse RIM and its affiliates (to the extent actually paid by RIM
or its affiliates) for all fees, costs, and expenses incurred or paid on behalf of the Fund
relating to the formation, operation, dissolution, winding up, or termination of the Fund. In
addition, the Funds will pay acquisition fees, servicing fees, component fees, origination
fees, and other fees associated with the procurement, management, or liquidation of
certain loans. The foregoing fees are typically paid to RIM affiliates and are in addition to
and will not offset management fees paid or allocated to RIM. RIM and its affiliates will
not be reimbursed by a Fund for the following expenses: (i) salaries, compensation or
fringe benefits of the managers, officers or employees of RIM and its affiliates; (ii)
overhead expenses of RIM and its affiliates, including, without limitation, rent and general
office expenses; and (iii) the cost of providing any services or goods for which RIM or its
affiliates are otherwise entitled to compensation. Traditional brokerage costs are
generally not applicable to the Funds given the nature of their investments (please refer
to Item 12).

Payment of Fees

Fees and compensation paid or allocated to RIM by the Funds are generally deducted
from the assets of such Funds, either quarterly or annually in arrears.

The forgoing list is not all inclusive and only highlights primary Fund expenses. Fund
investors are directed to the applicable disclosures in the Offering Documents for a
complete listing and description of the fees and expenses related to each specific Fund.

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Item 7 - Types of Clients

As described in Item 4, RIM provides investment advisory services to privately offered
pooled investment vehicles that typically qualify for an exemption from the definition of
“investment company” under Section 3(c)(1), Section 3(c)(5), or Section 3(c)(7) of the
Investment Company Act. The Funds have investor suitability criteria that are set forth in
their respective Offering Documents. Investors are required to make certain
representations when investing in a Fund, including but not limited to that: (i) they are
acquiring interests for their own accounts; (ii) they received or had access to all information
they deem relevant to evaluate the merits and risks of the prospective investment; and (iii)
they have the ability to bear the economic risk of an investment in the applicable Fund.

In general, units of RCP and CFF are available only to “accredited investors” and units of
the QP Fund are available only to “qualified purchasers”. Units of CIF are generally not
available to outside investors and CIF’s investor base is comprised of RCP’s founders
and other key employees (or their families and/or entities owned by the founders and
employees). In addition, the Offering Documents for each Fund will set minimum amounts
for investment by prospective investors. RIM may modify or waive such minimum
investment requirements from time to time.

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