Rushmont Capital Management LP

“Item 5 Fees and Compensation-Performance Allocation” above. Please refer to the relevant Fund’s
Memorandum for a more detailed description of performance Allocation. The Adviser may provide
investment advisory services to additional Clients in the future that may have similar or different
performance-based fees and/or allocations than the performance-based fees and/or allocations of
its current Clients (including other privately-offered pooled investment funds and SMAs, some of
which may have an investment strategy substantially similar to the Funds).

The fact that the Adviser is eligible to receive annual performance-based compensation could create
an incentive for the Adviser to make riskier or more speculative investments to generate profits than
would be the case if the Adviser were not receiving any performance-based compensation. Certain
client accounts that may be managed by the Adviser may not be subject to performance-based
compensation (or may be subject to lower performance compensation relative to other accounts or
Clients), which could create an incentive for the Adviser to manage Clients with higher performance
compensation in a more speculative manner than such other client accounts.

Certain Conflicts Attendant to Side-by-Side Management

Managing multiple Clients can create actual or potential conflicts of interest for the Adviser in respect
of the allocation of investment opportunities, competition for trades and allocating expenses. These
conflicts may be exacerbated in situations where the Adviser (the General Partner or other affiliate)
is entitled to higher fees or performance compensation from certain of its Clients than from other
Clients, where certain accounts may have certain strategic or large investors that are important to the
Adviser’s overall business or where there are differences in investments by the Adviser (including
by a principal, member, partner, shareholder, manager, director, officer, employee, or agent of the
General Partner or any such affiliate) among the Client accounts. The results of a Client’s activities
may differ significantly from the results achieved by the Adviser on behalf of any other Client or
account. The Adviser however, subjects each prospective investment to a comprehensive due
diligence process, including research and an approval procedure by the Principal. Further, we have
adopted policies and procedures, including trade allocation policies, designed to manage such
conflicts.

Item 7         Types of Clients

The Adviser provides investment advice to the Funds. The Private Funds generally include
investment entities formed under U.S. or non-U.S. laws and operated as exempt from certain
regulatory regimes, including the Investment Company Act of 1940, as amended (the “Investment
Company Act”). Investors participating in the Private Funds and Clients who have SMAs are
generally expected to include individuals, banks and thrift institutions, other investment entities,
university endowments, sovereign wealth funds, family offices, pension and profit-sharing plans,
trusts, estates and charitable organizations and other corporations or business entities.

Clients require Investors to meet certain suitability qualifications, such as being (A) “accredited
investors” under SEC Regulation D of the Securities Act of 1933 or (B) “qualified purchasers,” as
defined in Section 2(a)(51)(A) of the Investment Company Act. It is anticipated that any future
advisory clients managed by the Adviser will have similar eligibility standards as the Clients
Interests in the Private Funds are typically available only to “qualified purchasers” within the
meaning of the Investment Company Act. Investors in the Private Funds and Clients with SMAs
are expected to include qualified employee benefit plans subject to the U.S. Employee Retirement
Income Security Act of 1974, as amended (“ERISA”), and governmental plans or units that are
subject to various state law restrictions, as well as tax-exempt organizations not subject to ERISA
or any comparable state law, and other institutional and individual investors.
The minimum initial capital contribution generally required for an Investor in a Private Fund is as
set forth in the Private Fund’s Governing Documents. Information on minimum investment
requirements for the Private Funds is described, as appropriate, in the Form ADV, Part 1A. For
each of the Private Funds, the minimum initial commitment is subject to the discretion of the
applicable Fund’s General Partner (defined below). The SMA Agreement sets forth the minimum
capital contribution required by the Client of the SMA.