Welton Investment Partners LLC

ITEM 5 – FEES AND COMPENSATION

Welton does not have a standardized fee schedule with respect to its discretionary investment
management services.

Advisory Futures Fund Clients
For Advisory Futures Fund Clients, Welton offers two fee schedules, one of which includes both
management and performance-based compensation. The other does not charge a management fee;
however, Welton receives an off-settable fee payment that is applied to reduce performance-based
compensation as described below.
Under the fee schedule that includes both management and performance-based compensation,
Welton receives management fees generally of 1.5% per annum based on the net asset value of an
Advisory Futures Fund Client’s account. Welton receives performance-based compensation
generally of up to 20% of the net realized and unrealized trading gains in an Advisory Futures
Fund Client’s account above a “high water mark” (i.e., the previous highest net asset value at
which performance-based compensation was paid), net of fees and expenses. Management fees
generally are charged monthly in arrears and performance-based compensation is generally
allocated quarterly in arrears. Performance-based compensation is in conformity with Rule 205-3
under the Advisers Act, as applicable.
Under the fee schedule that does not charge a management fee, Welton generally receives quarterly
in arrears an off-settable fee payment generally equal to 1% per annum based on the net asset value
of an Advisory Futures Fund Client’s account. Welton receives quarterly performance-based
compensation in arears generally of up to 30% of the net realized and unrealized trading gains in
an Advisory Futures Fund Client’s account above a “high water mark” (i.e., the previous highest
net asset value at which performance-based compensation was paid), net of fees and expenses. The
off-settable fee payment for each quarter is applied to reduce the performance-based compensation
for that quarter on a dollar-for-dollar basis, but not below zero. If the off-settable fee payments
paid during a calendar quarter exceeds the performance-based compensation for that quarter, any
excess is carried forward and credited against future performance-based compensation.
Performance-based compensation is in conformity with Rule 205-3 under the Advisers Act, as
applicable.
The amount of fees and performance-based compensation received from underlying investors in
the Advisory Futures Fund Clients are sometimes negotiable depending upon, among other factors,
the relationship between Welton and an underlying investor in the Advisory Futures Fund Client,

the amount of investment, timing and length of time in which the investment has been pledged.
Underlying investors in the Advisory Futures Fund Clients that are also affiliates or employees of
Welton are generally not charged a management fee or any performance-based compensation.
In addition to the foregoing fees, certain Advisory Futures Fund Clients are currently or may be
subject to a range of additional investment management fees, generally not more than 30 basis
points, with respect to management and fund charges paid to managers of those money market
accounts in which Welton invests on behalf of its Advisory Futures Fund Clients. Investors in
Advisory Futures Fund Clients should, therefore, be aware that all such operational fees and
expenses are separate and distinct from the fees paid to Welton, resulting in an additional layer of
fees and expenses on such investments.
Fees are generally deducted from Advisory Futures Fund Client assets and performance
compensation is reallocated from shares and interests linked to the segregated accounts in which
the investors in the Advisory Futures Fund Client are invested to a separate class of non-voting,
non-participating and redeemable shares owned exclusively by Welton. Such fees and
compensation are not billed separately. The specific manner in which fees are charged and
performance allocations are made by Welton is set forth in each Advisory Futures Fund Client’s
written agreement with Welton and/or its governing Memorandum.
Upon termination of any account, for any partial period, fees charged to an Advisory Futures Fund
Client are prorated. Redemptions and withdrawals by investors in an Advisory Futures Fund Client
are governed by such Advisory Futures Fund Client’s Memorandum.

Multistrategy Clients
With respect to Multistrategy Clients, Welton currently offers a fee schedule which includes both
management and performance-based compensation as described below.
Welton receives management fees generally of up to 1.5% per annum based on the net asset value
of a Multistrategy Client’s account. Welton receives performance-based compensation generally
of up to 15% of the net realized and unrealized trading gains in a Multistrategy Client’s account
above a “high water mark” (i.e., the previous highest net asset value at which performance-based
compensation was paid), net of fees and expenses. Management fees generally are charged
monthly in advance and performance-based compensation generally is allocated quarterly in
arrears.
For Multistrategy Fund Clients sponsored by Welton, fees are generally deducted from such
Multistrategy Fund Clients assets and performance-based compensation is reallocated from shares
and interests owned by investors in the Multistrategy Fund Clients to a separate class of non-
voting, non-participating and redeemable shares owned exclusively by Welton. Such fees and
compensation are not billed separately. For Multistrategy Fund Clients not sponsored by Welton,
fees are generally billed separately. The specific manner in which fees are charged by Welton is

set forth in each Multistrategy Fund Client’s written agreement with Welton or its governing
Memorandum.
The amount of fees and performance-based compensation received from underlying investors in
the Multistrategy Fund Clients are sometimes negotiable depending upon, among other factors,
...

ITEM 7 – TYPES OF CLIENTS

Welton provides investment advice to separately managed accounts, Welton sponsored private
investment funds and as a sub-adviser to mutual funds operated by unaffiliated advisers for certain
U.S. and non-U.S. investors. Investors may include institutional investors, multi-manager funds,
family offices and high net worth qualified individual investors. Private investment fund clients
have a minimum investment requirement for investors of $1 million, which may be waived or
modified. For Multistrategy Managed Accounts, a standard minimum account size of $25 million
generally is required.