Sound Point Capital Management LP

Item 5.            Fees and Compensation

Management Fees and Performance-Based Compensation

            A. Sound Point Funds: Management Fees, generally

Sound Point generally receives a management fee (“Management Fee”) from each of the Sound Point
Funds, other than the CLO Fund, Euro CLO Management Fund, and Euro CLO 2 Management Fund
(each as defined in Item 10 below) which are not currently charged Management Fees, as discussed
below. For most of such Sound Point Funds, the Management Fee is charged at an annual rate ranging
between 0.5% and 2.0% of the net asset value of each investor’s investment in the applicable Sound Point
Fund, valued and payable as of the beginning of each quarter, in each case as set out in the prospectus
and operative documents for the applicable Sound Point Fund.

Sound Point generally receives a Management Fee from the Strategic Capital Funds and the TLOF Funds
(each as defined in Item 10 below), at an annual rate ranging between 0.75% and 1.5% of net invested
capital attributable to each investor’s investment in the Strategic Capital Funds or the TLOF Funds, as
the case may be, valued and payable quarterly in arrears, as set out in the prospectus and operative
documents for the Strategic Capital Funds and the TLOF Funds, as applicable.

In consideration for the Management Fees, Sound Point and its affiliates bear the costs of providing their
services to the Sound Point Funds, including, but not limited to personnel costs, salaries, and rent.

From time to time, Sound Point establishes special purpose vehicles (“SPVs”) for the benefit of the Sound
Point Funds. Sound Point waives management fees in relation to the Sound Point Funds’ ownership in
the SPVs (i.e., an investor would pay fees at the Sound Point Funds’ level or at the SPV level, but not
both), although Sound Point charges fees to co-investors who invest alongside the Sound Point Funds as
further discussed below under Co-Investment Vehicles. 6

            B. Sound Point Funds: Management Fees, capital invested in CLOs

Certain Sound Point Funds currently invest in SP CLOs and Euro CLOs and anticipate investing in SPL
CLOs and/or Fuji CLOs (SP CLOs, SPL CLOs and Fuji CLOs are collectively referred to as “Affiliated
CLOs”). With respect to the portion of such funds’ capital that is invested in Affiliated CLOs, Sound
Point and its affiliates do not receive Management Fees. However, Sound Point and/or its affiliates do
receive fees from the Affiliated CLOs directly. Sound Point Funds that invest in certain Affiliated CLOs
include, but are not limited to, the CLO Funds, the Euro CLO Management Fund, the Euro CLO 2
Management Fund, the Harbor Funds, FRF and COF, as such terms are defined below.

Sound Point will charge Management Fees to the extent that the Sound Point Funds invest in Third Party
CLOs; however, these fees are usually charged monthly in advance on the first business day of each
month, at an annual rate that is typically 1.0% of the net asset value of the portion of each investor’s
investment that is attributable to interests in Third Party CLOs.

Client Accounts may in the future also invest directly in Fuji CLOs, which are sub-advised by SPL. To the
extent that a Client Account’s Fuji CLO investment is subject to management fees or performance-based
fees paid to BlueMountain Fuji, a pro rata portion of the amount of such fees paid to BlueMountain Fuji is
subject to rebate or offset by SPL in favor of such Client Account.

    For the avoidance of doubt, the terms SPV and Lending SPV do not include CLOs of which Sound Point is a collateral manager unless stated
    otherwise.

        C. Sound Point Funds: Management Fees, payable in advance

For the Sound Point Funds that are charged Management Fees in advance, Management Fees for capital
contributions made, or shares purchased, during a calendar quarter will be charged pro rata for the initial
quarter of purchase, and any investor making a withdrawal of capital or a redemption of shares at any
time other than at the end of a quarter shall be rebated a pro rata portion of the Management Fee for such
quarter, in each case based on the number of days remaining in such quarter after the contribution or
purchase date, or withdrawal or redemption date, as the case may be. A similar pro rata rebate is applied
if any of the Sound Point Funds terminates during a calendar quarter.

        D. Sound Point Funds: Management Fees, payable in arrears

For the Sound Point Funds that are charged Management Fees in arrears, Management Fees are based on
net invested capital or net asset value of the outstanding interests issued by the respective fund as of the
last day of each month or quarter, in accordance with each fund’s governing documentation. The
Management Fee will be appropriately prorated for partial periods and adjusted for any intra-month
subscriptions, withdrawals and distributions.

Furthermore, (a) any Management Fee for a period of less than three months shall be adjusted on a pro
rata basis according to the actual number of days during such period; (b) the Management Fee in respect
of an investor in the Strategic Capital Funds and the TLOF Funds shall be reduced to account for the
portion of net invested capital as of a fiscal quarter-end attributable to any relevant capital contributions
by such investor during the applicable fiscal quarter, with the portion of the net invested capital
attributable to such capital contributions pro-rated in accordance with the number of days between the
date of such capital contribution and the last day of such fiscal quarter, and (c) to the extent the Strategic
Capital Funds’ or the TLOF Funds’ term expires on a date other than the last day of a fiscal quarter, the
Management Fee for such final fiscal quarter shall be payable in respect of the net invested capital on the
date the term expires.

        E. Sound Point Funds: Management Fees, additional fee considerations
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Item 7.      Types of Clients

Sound Point currently advises the Sound Point Funds, Managed Accounts, SP CLOs and certain
Registered Funds directly and/or indirectly through sub-advisory arrangements. Sound Point also acts as
sub-advisor to SPL and C-MOA for the purpose of assisting SPL and/or C-MOA in providing collateral
management services to their respective CLOs, and to borrowers in certain short-term or long-term
warehouse or repurchase facilities in connection therewith and from time to time to acquire other fixed
income obligations for its own account, whether for long term investment or for seasoning purposes. SPL
has also engaged Sound Point to provide certain back- and middle-office services and administrative,
infrastructure and other services to assist SPL in conducting its advisory business including investment
professionals who will assist in the performance of portfolio selection and asset management functions
of SPL Funds, SPL CLOs and Fuji CLOs.

On March 14, 2025 Sound Point organized Sound Point BDC, a Delaware statutory trust, which has elected
to be regulated as business development company under the 1940 Act. Sound Point BDC is structured as
an externally managed, non-diversified closed-end management investment company and is a non-
exchange traded, perpetual-life BDC. In addition, for tax purposes, the BDC has elected, and intends to
qualify annually thereafter, as a “regulated investment company” under Subchapter M of the Internal
Revenue Code of 1986, as amended.

Sound Point Alternative Income Fund (“SAIF”), a Delaware statutory trust that is registered under the 1940
Act as a non-diversified, closed-end management investment company, filed its initial N-2 on August 6,
2024 and was declared effective by the SEC on March 23, 2026. Skypoint Capital Advisors, LLC, an
unaffiliated SEC registered investment adviser, serves as the investment adviser of SAIF and Sound Point
serves as sub-adviser and is responsible for the day-to-day investment management services.

Managed Account clients, including funds of one, may include state and municipal entities, high net
worth individuals, pension and profit-sharing plans, trusts, estates, charitable organizations, corporations,
business entities, endowments, foreign sovereign wealth funds, insurance companies, and other types of
investors. As stated elsewhere in this disclosure, Sound Point’s relationships also include Co-Investors,
who are generally not advisory clients of Sound Point in such capacity.

The minimum initial investment amount for investors in Sound Point Funds varies with some having no
minimum while others have minimums of $10,000,000. Minimum investment amounts for CLOs is
generally at least $250,000. Minimum investment amount for SAIF is $25,000 and the minimum for Sound
Point BDC is expected to be $10,000,000. Minimum investment amounts can generally be waived at the
discretion of the general partner or the board of directors of a Client Account, or their respective delegees,
subject to minimum investment size requirements for Sound Point Fund organized in certain offshore
jurisdictions.