The Cynosure Group

ITEM 5: FEES AND COMPENSATION
Management Fee
As compensation for the advisory services rendered by CCM, the Advisory Client will pay a portfolio
advisory fee (the “Advisory Fee”) which shall be calculated based on one of the fee schedule options that
the Advisory Client elects to commit to, in accordance with the relevant investment advisory agreement,
which are summarized below.

Annualized Fee Rates based on Asset Level

For Base Portfolio Advisory Services, the Advisory Fee will be equal to the annualized fee rate of the
applicable asset level multiplied by the fee base (“Fee Base”) as described below.

               Asset Level                        Annualized Fee Rate
               First $7,500,000                   0.70%
               $7,500,000 to $50,000,000          0.50%
               Above $50,000,000                  0.35%

For Multi-Asset Portfolio Advisory Services, the Advisory Fee will be equal to the annualized fee rate of
the applicable asset level multiplied by the fee base (“Fee Base”) as described below.

               Asset Level                        Annualized Fee Rate
               First $7,500,000                   0.95% - 1.15%
               $7,500,000 to $50,000,000          0.75% - 0.95%
               Above $50,000,000                  0.60% - 0.75%

    The Advisory Fee shall be calculated quarterly in advance, and the quarterly rate shall be equal to one-fourth
    (25%) of the Advisory Client’s annualized Advisory Fee rate multiplied by the Fee Base calculated as of the
    final day of the quarter. For any period during which Advisor renders services for less than the entire quarterly
    period, a portion of the Advisory Fee shall be reimbursed to the client calculated on a pro rata basis based
    on the number of days that Advisor was responsible for the Portfolio during the period.

      The Fee Base will be calculated as follows:

        Asset Type                                           Fee Base
        Liquid Marketable Securities and Cash               The value of the assets as of the final day of the
                                                            quarter immediately preceding the quarter for which
                                                            the Advisory Fee is being calculated.

        Fund1 Investments                                   The net asset value of the Advisory Client’s
                                                            investment in the Fund as reported in the second-
                                                            most recent quarter preceding the quarter for which
                                                            the Advisory Fee is being calculated. *
        * In the event that the requisite prior quarter net asset value is not yet available at the time the Advisory
        Fee is to be paid and collected, Cynosure shall estimate the Fee Base using commercially reasonable
        methods and then apply a 10% discount to the calculated Advisory Fee before collecting payment. When
        the requisite prior quarter net asset value data has been made available to Cynosure, Cynosure shall
        recalculate the quarterly fee and collect the Advisory Fee amount, if any, in excess of the estimate that
        was previously collected. In the event the estimated Advisory Fee is higher than the Advisory Fee
        actually due based on the quarter end data, Cynosure will refund excess promptly to the Advisory Client.
        No interest shall be due on any such trued up Advisory Fee payment (whether from or to the
        Advisory Client).

      For Advisory Clients who have acquired investments prior to engaging CCM and wish to retain them as
      portfolio holdings on a continued basis (or “Legacy Assets”), Cynosure will consider, as a professional
      courtesy, to accept such requests and, in turn, make necessary arrangements with a broker-
      dealer/custodian. Cynosure has sole discretion as to whether requests to intake Legacy Assets will be
      granted; however, under no circumstances will Cynosure maintain a fiduciary obligation to manage these
      assets and costs of retaining Legacy Assets will be paid by the Advisory Client.

      Additional Fees and Expenses
      In addition to the Advisory Fee payable in accordance with the above, to the extent any Portfolio assets
      are allocated to internally managed strategies, Advisory Clients will pay an annualized rate of twenty basis
      points (0.20%) multiplied by the liquid marketable securities fee base described above. The fee for
      internally managed strategies shall be calculated quarterly in advance, and the quarterly rate shall be
      equal to one-fourth (25%) of the Client’s annualized fee rate.

 Investment companies or other registered or unregistered pooled investment vehicles, including any investment vehicles
sponsored or managed by Cynosure or any of its affiliates.

Brokerage Expenses
Expenses paid to third parties in connection with the acquisition or disposition of investments are borne
by the Advisory Clients. These expenses include brokerage commissions, other account fees, custodial
expenses, agent bank and other bank service fees, travel and related expenses and other investment costs,
fees, and expenses incurred in connection with completed investments. Brokerage and other transaction
costs are also discussed in more detail in Item 12 – “Brokerage Practices”.
Other Fees and Expenses
CCM’s fees are exclusive of, and in addition to, charges imposed by custodians, brokers, third party
investment managers, sales charges, odd-lot differentials, transfer taxes, wire transfer and electronic fund
fees, and other fees and taxes at custodians and on securities transactions.
Advisory Clients are responsible for paying certain fees and other expenses separately and in addition to
...

ITEM 7:           TYPES OF CLIENTS
CCM provides advisory services primarily to endowments and foundations and continues to advise a
limited number of legacy high net worth individual clients; however, it does not intend to accept new
individual clients going forward. CCM generally requires a minimum account size of $50 million for new
client relationships, although it may waive or reduce that minimum in its discretion. CCM generally limits
its clients to qualified clients within the meaning of Rule 205-3 under the Investment Advisers Act of 1940,
as amended.