Virtus Fixed Income Advisers LLC

Item 5 – Fees and Compensation

    A. Advisory Fees and Compensation

Seix’s fees are generally payable quarterly in arrears. Initial fees are calculated based upon the number
of days in the quarter Seix started managing the Client’s account. Subsequent quarters are billed in full
unless the Client terminated the relationship prior to the end of the quarter, in which case the fee is
prorated for the number of days prior to the end of the quarter.

Seix’s basic fee schedules for separately managed accounts are:

Investment Grade Strategies – Core
0.20% per year on the first $100 million;
0.15% thereafter
(minimum account size of $25 million)

Investment Grade Strategies – Short Duration
0.15% per year on the first $100 million;
0.10% thereafter
(minimum account size of $25 million)

Leveraged Finance Strategies
0.50% per year on the first $100 million;
0.40% per year thereafter
(minimum account size of $10 million for leveraged loans and high yield bonds)

Tax Exempt Strategies (Average Maturity 3 years or less)
0.30% per year on the first $10 million
0.25% per year on the next $40 million
0.18% per year thereafter
(minimum account size is $5 million)

Tax Exempt Strategies (Intermediate Total Return)
0.40% per year on the first $10 million
0.30% per year on the next $40 million
0.18% per year thereafter
(minimum account size is $5 million)

Seix’s fees are negotiable and may vary based on account type and Client services requested. Seix will
consider factors such as number and frequency of reports and Client meetings, individual security
investments versus common or collective funds, investment guidelines and restrictions, account size and
type of Client entity.

Description of the fees earned by Seix for managing private Funds that Seix manages can be found in the
offering memorandum for each of the private Funds. Fees for the mutual funds, ETFs and of UCITS for
which Seix acts as sub-adviser can be found in the UCITS, ETFs and mutual fund’s prospectus.

    B. Payment of Fees

Seix generally bills Clients for fees incurred on a quarterly basis. Certain Clients calculate Seix’s fees and
submit the payments to Seix. A Client must request that it calculate and submit payments to Seix and Seix
must agree to the arrangement. Seix does not deduct fees from Clients’ assets.

    C. Additional Fees and Expenses

Seix does not have physical custody of any Client assets. Clients are responsible for making arrangements
with their custodians and for paying their custodians’ fees and expenses. If a Client invests in a mutual
fund subadvised by Seix, the Client will be responsible for paying the mutual fund’s fees. Clients may incur
brokerage and other transaction costs. Please see Item 12 for a further description of Seix’s brokerage
practices and arrangements.

    D. Prepayment of Fees

Seix’s standard policy is to be paid in arrears. On occasion, a client may pay in the middle of the quarterly
billing cycle. If there is an overpayment in a quarter, it is addressed the following quarter. The fees for
the Wrap Program Clients may be paid in advance, depending on the billing arrangements with the
applicable Wrap Program sponsor. If a Wrap Client’s account is reduced or closed for any reason during a
billing period, Seix will return to the Wrap Sponsor a pro-rata portion of the fee it received with respect
to the assets in such Client’s account for the remaining fee period.

    E. Additional Compensation and Conflicts of Interest

Fees for special investment advisory services are charged only when requested by a Client and agreed to
by Seix. Special investment advisory services are available upon request and fees are negotiable. Fees
for certain investment advisory services such as asset allocation solutions, investment consulting,
investment and investment policy monitoring, and advice relating to current and future investments are
negotiable.

Item 7 – Types of Clients

Seix provides investment management services to high-net worth individuals and to institutional Clients
such as pension and profit sharing plans, retirement and benefit plans for unions (Taft-Hartley plans),
public funds, endowments, foundations, trusts, government-sponsored entities, governmental entities,
educational and healthcare facilities such as colleges and hospitals and other types of corporate Clients.
Seix also acts as investment manager for Clients in wrap-fee programs. In addition, Seix provides
investment management services to commingled funds, including investment companies registered
under the Investment Company Act of 1940, as amended (the “1940 Act”) (i.e., mutual funds and ETFs),
private funds exempt from registration as a mutual fund pursuant to section 3(c)(7) of the 1940 Act and
offshore commingled funds.

The minimum accounts size is $25,000,000 for investment grade separately managed accounts other than
tax exempt accounts. The minimum account size is $10,000,000 for leveraged loan, and high yield bond
separately managed accounts. The minimum account size is $5,000,000 for tax exempt separately
managed accounts. Seix may accept or retain Clients whose accounts are below the $25,000,000,
$10,000,000, or $5,000,000 minimums in its sole discretion.