SRT Group LLC

Item 5 Fees and Compensation
Base Management Fee

SRT pays SRTG a management fee (the “Base Management Fee”) of an amount equal to 0.375% of
SRT equity, determined as of the last day of each quarter. Under no circumstances will the Base
Management Fee be less than zero. SRT equity, for purposes of calculating the Base Management
Fees, could be greater than or less than the amount of stockholders’ equity shown on SRT’s financial
statements. The Base Management Fees are payable independent of the performance of SRT’s
investment portfolio.

Incentive Compensation

In addition to the Base Management Fee, SRTG receives incentive compensation of an amount with
respect to each fiscal quarter (or portion thereof that the Management Agreement is in effect) based
upon achievement of targeted levels of earnings. No incentive compensation is payable with respect
to any fiscal quarter unless SRT’s Core Earnings (as defined in the Management Agreement) for such
quarter exceed the amount equal to the product of (i) 1.75% and (ii) Adjusted Capital (as defined in the
Management Agreement) as of the last day of the immediately preceding fiscal quarter (such amount,
the “Hurdle Amount”). The incentive compensation for any fiscal quarter will otherwise be calculated
as the sum of (i) the product of (A) 50% and (B) the amount of SRT’s Core Earnings for such quarter,
if any, that exceed the Hurdle Amount, but are less than or equal to 166-2/3% of the Hurdle Amount
and (ii) the product of (A) 20% and (B) the amount of Core Earnings for such quarter, if any, that exceed
166-2/3% of the Hurdle Amount. Such compensation is subject to Clawback Obligations (as defined
below), if any.

Incentive Compensation Clawback

Once incentive compensation is earned and paid to SRTG, it is not refundable, notwithstanding any
losses incurred by SRT in subsequent periods, except that if aggregate Core Earnings for any fiscal
year do not exceed the amount equal to the product of (i) 7.0% and (ii) Adjusted Capital as of (a) June
30, 2024 (in the case of the fiscal year ending December 31, 2024) or (b) the last day of the immediately
preceding fiscal year (in the case of all fiscal years ending December 31) (such amount, the “Annual
Hurdle Amount”), SRTG will be obligated to pay SRT (such obligation to pay, the “Clawback
Obligation”) an amount equal to the aggregate incentive compensation that was earned and paid to

SRTG during such fiscal year (such amount, the “Clawback Amount”); provided that under no
circumstances will the Clawback Amount be more than the amount to which the Annual Hurdle Amount
exceeds SRT’s aggregate Core Earnings for the specified fiscal year. In no event will the Clawback
Amount with respect to any specified fiscal year of SRT exceed the aggregative Incentive
Compensation that was earned and paid to SRTG during such fiscal year of SRT. The Clawback
Obligation is determined on an annual basis and any incentive compensation earned during a specified
fiscal year of SRT will not be subject to the Clawback Obligation with respect to the incentive
compensation earned during any prior or subsequent fiscal year of SRT.

The aggregate Core Earnings, Annual Hurdle Amount, Clawback Amount and any components thereof
for the fiscal year ending December 31, 2025 will be prorated based on the number of days during the
quarters ending September 30, 2025 and December 31, 2025. If applicable, the aggregate Core
Earnings, Annual Hurdle Amount, Clawback Amount and any components thereof for the final fiscal
year that the Management Agreement is in effect will be prorated based on the number of days during
the final fiscal year that the Management Agreement is in effect.

SRT 2024 Stock Incentive Plan

SRT has established an equity incentive compensation plan (the “SRT 2024 Stock Incentive Plan”).
Certain officers and personnel of SRTG have been granted, or may in the future be granted, at the
discretion of the Board (or applicable committee thereof) of SRT, stock grants pursuant to the SRT 2024
Stock Incentive Plan.

Related Party Compensation

TCG RE Agent LLC (“TCG RE Agent”), an affiliated entity indirectly owned by Leonard Tannenbaum,
Robyn Tannenbaum and Brian Sedrish, serves as the administrative agent to lenders under the majority
of SRT’s credit facilities. SRT does not pay any consideration to TCG RE Agent for its services as
administrative agent under such credit facilities, though TCG RE Agent may receive fees from the
borrowers under certain credit facilities.

From time to time, SRT may engage Diamond Foundation Title LLC (“Diamond Foundation”), a title
agent company in which certain directors and officers of SRT and its affiliates hold a minority ownership,
may act as an agent for one or more underwriters in issuing title policies and/or providing support
services in connection with investments made by us, or their affiliates and related parties, and third
parties. Diamond Foundation primarily focuses on transactions in rate-regulated states where the cost
of tile insurance is non-negotiable. Diamond Foundation will not perform services in non-regulated states
for us, unless (i) in the context of a portfolio transaction that includes properties in rate regulated states,
(ii) as part of a syndicate of title insurance companies where the rate is negotiated by other insurers or
their agents, (iii) when a borrower or other third party is paying all or a material portion of the premium
or (iv) when providing only support services to the underwriter. Diamond Foundation earns fees, which
would have otherwise been paid to third parties, by providing title agency services and facilitating
placement of title insurance with underwriters. The affiliates may receive distributions from Diamond
Foundation in connection with investments made by us based on its equity interest in Diamond
Foundation. In certain cases, there may be a related expense offset to us.

Additional Fees and Expenses
...

Item 7 Types of Clients
As noted above, currently, SRTG provides investment management services to SRT, a Maryland
corporation that has elected to be treated as a REIT for federal income tax purposes.

We may, in the future, provide advice and services to other entities with similar or materially different
objectives than SRT. Personnel of SRTG provide investment advisory services to affiliates of SRTG
through a services agreement.