Item 5. Fees and Compensation
The fees applicable to a Feeder Fund are set forth in detail in its respective Offering Documents. The fees applicable
to the Sub-Advisory Accounts are set forth in detail in each Sub-Advisory Account's Investment Management
Agreement. A brief summary of such fees is provided below.
The Sone Funds
Sone is paid a quarterly management fee, with respect to each capital account, payable in advance as of the first day
of each calendar quarter (the “Management Fee”), equal to 0.375% of the value of each limited partner’s capital
account as of the first day of each calendar quarter, a 1.5% annual rate.
Sone will also be allocated a yearly performance-based allocations (the “Performance Allocation”), which is
compensation that is based on a share of capital gains on, income from, or capital appreciation of the assets of a fund.
This performance-based allocation is generally equal to 20% of the net increase allocable to a limited partner’s capital
account during such year, subject to a loss carryforward.
Generally, the Management Fee and Performance Allocation are not negotiable. However, Sone may, in its sole
discretion, waive, reduce, or modify the Management Fee and Performance Allocation at any time.
Sub-Advisory Accounts
Investment management fees and performance-based fees or allocations are generally negotiated separately for Sub-
Advisory Accounts. These fees are billed directly to the owners of the Sub-Advisory Accounts.
The Echo Funds
Sone does not charge management or incentive fees to the Echo Funds.
Other types of Fees and Expenses
Each Client will bear its own expenses as set forth in its respective offering and governing documents or investment
management agreement or sub‐advisory agreement with the Adviser or its affiliates. Expenses borne by one Client
may differ from the expenses borne by another Client. In certain instances, one client may bear expenses that the
Adviser has agreed to bear for one or more other Clients, and vice versa.
Each Client bears all of its (and where applicable, its attributable share, which will generally be its pro rata share)
expenses relating to its ongoing structure and operation including (i) the Management Fee; (ii) all investment-related
costs and expenses (i.e., expenses that, in the Adviser’s sole discretion, are related to the investment of the Client’s
assets, whether or not such investments are consummated), including commissions and charges, interest on margin
accounts and other indebtedness, expenses relating to short sales, clearing and settlement charges, option premiums
and custodial and service fees, research-related expenses (including research-related travel expenses), expenses
relating to consultants, attorneys, brokers or other professionals or advisors who provide research, advice, valuation
agent or due diligence services with regard to investments; (iii) fees and expenses related to portfolio exposure and
performance management systems, risk management services and software related to trade reconciliation, treasury,
margin, financial and counterparty management, risk monitoring, performance reporting, valuation quotation
services (e.g., Bloomberg terminals, historical and live financial data and other similar services and data feeds) and
trade order management systems (including systems that facilitate trade compliance, commission management, stock
locates and transaction cost analysis, and third party service providers used for implementation, custom reporting,
updates, consultations, support, maintenance, monitoring and data extracts); (iv) the Client’s legal, accounting, tax
preparation and other tax-related expenses (including preparation and mailing costs of financial statements, tax
returns and other reports to investors), auditing, consulting and other professional expenses; (v) third-party
administration costs, fees and expenses (including any costs, fees and expenses related to investor communications,
relations, reporting or other investor materials, tax preparation and related reporting, performance information, data
extraction and other types of reporting and any audit or accounting services provided by a third-party administrator);
Sone Capital Management, LLC Form ADV Part 2A
(vi) all fees and charges of custodians, clearing agencies and banks; (vii) compliance and reporting expenses and
expenses attributable to regulatory filings that are made with respect to the Client or assets of the Client (including
Section 13, Section 16, Form D, Form PF, FATCA/CRS, anti-money laundering compliance, state security filings, general
regulatory compliance and non-U.S. position reporting filings, if applicable, and non-U.S. filings, if any); (viii) Client-
related insurance costs (including director’s and officer’s insurance, errors and omissions insurance, fidelity insurance
and other similar policies covering the General Partner and the Adviser); (ix) any taxes (including but not limited to
any withholding taxes, transfer taxes, stamp duties and other governmental or self-regulatory agency-related charges
or duties); (x) all costs and expenses incurred in attempting to protect and enhance the value of the Client’s
investments (including any fees and expenses associated with any pending or threatened litigation, audit,
investigation, administrative or other proceeding, as well as any settlement costs); (xi) any fees and expenses related
to the Fund’s liquidation, if applicable; (xii) fees paid to proxy and securities class action advisory firms; (xiii) expenses
relating to the offer and sale of Interests and withdrawals and transfers thereof; (xiv) the each Client’s pro rata share
of the expenses related to any special purpose vehicle utilized to facilitate investments by the Client; (xv) fees of any
advisory board, independent investment representative or governance committee members and (xvi) other
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