Fees and Compensation — Form ADV Part 2A (3/22/2019)
[Brochure]
Item 5 - FEES AND COMPENSATION
Adviser’s Compensation
An affiliate of the Adviser receives a carried interest from Holdings equal to 20% of its profits. In addition,
the Adviser will be entitled to a nominal fixed advisory fee annually. Holdings pays the carried interest to
the Adviser’s affiliate as a distribution of proceeds from its investments, as and when such proceeds are
realized. As the principal owner of Holdings, KKR 2006 has had the ability to negotiate the fees that will be
paid to the Adviser.
Other Fees and Expenses
Holdings incurs its own operating expenses, which may include legal, auditing, consulting, financing,
accounting, and other professional fees and expenses; expenses associated with financial statements and
tax returns; insurance; any taxes, fees, or other governmental charges; and other expenses associated
with the acquisition, holding, and disposition of its investments including non-investment advisory
management fees payable to the parent company of Adviser, Weld North LLC, pursuant to a separate
services agreement with Holdings.