Westwood Management Corp

Item 5 - Fees and Compensation
Westwood Management offers investment advisory services for a percentage of assets under
management and, for some strategies, performance-based fees or a combination of performance-
based fees and a percentage of assets under management. Westwood Management does not have
a standard fee schedule for sub-advised accounts. Fees may be negotiable depending on the size
of the account, the complexity of the issues involved, and the breadth of services requested. The
minimum account size may be waived at Westwood Management’s discretion. Minimum account
requirements for wrap and retail separately managed accounts are described in Item 4 above.
The following fees apply to new institutional separately managed accounts:

 ALLCAP VALUE
                                                 0.60% on the first $50 million
 (Minimum Investment: $25 MM)
 ALTERNATIVE INCOME
                                                 0.65% on the first $50 million
 (Minimum Investment: $50 MM)
 BALANCED
                                                 0.625% on the first $25 million
 (Minimum Investment: $25 MM)
                                                 0.80% on the first $50 million
 CREDIT OPPORTUNITIES
                                                 Also available with a performance fee to
 (Minimum Investment: $25 MM)
                                                 qualified clients on a case-by-case basis.

 CUSTOM ASSET ALLOCATION
                                                 1.00% up to $750,000
 (No minimum investment)
 INCOME OPPORTUNITY
                                                 0.80% on the first $25 million
 (Minimum Investment: $25 MM)
 INTERMEDIATE FIXED INCOME                       0.40% on the first $10 million
 (Minimum Investment: $10 MM)
 MIS REAL ASSET INCOME                           0.10% in addition to index license fees
 (Minimum Investment: $10 MM)
 MULTI ASSET INCOME                              0.50% on the first $50 million
 (Minimum Investment: $50 MM)
 LARGECAP VALUE
                                                 0.50% on the first $50 million
 (Minimum Investment: $25 MM)
 MIDCAP VALUE
                                                 0.65% on the first $50 million
 (Minimum Investment: $25 MM)
 MLP & ENERGY INFRASTRUCTURE
                                                 0.75% on the first $50 million
 (Minimum Investment: $25MM)

 MLP INCOME SMA
                                                0.75% on the first $50 million
 (Minimum Investment: $25 MM)
                                                Available only through Westwood Salient
 MLP TOTAL RETURN                               private funds. Fee information is disclosed in
                                                applicable Private Placement Memorandum.

                                                Available only through Westwood Salient
 MLP TOTAL RETURN TE                            private funds. Fee information is disclosed in
                                                applicable Private Placement Memorandum.

 MLP SMA
                                                0.75% on the first $25 million
 (Minimum Investment: $25 MM)
 PLATINUM STRATEGY
                                                0.55% on the first $10 million
 (Minimum Investment:$1 MM)
 REAL ESTATE INCOME
                                                0.75% on the first $50 million
 (Minimum Investment: $25 MM)
 SMALLCAP VALUE
                                                0.75% on the first $100 million
 (Minimum Investment: $25 MM)
 SMIDCAP VALUE
                                                0.75% on the first $50 million
 (Minimum Investment: $25 MM)
 TACTICAL GROWTH
                                                0.75% on the first $50 million
 (Minimum Investment: $25 MM)
 TACTICAL PLUS
                                                0.75% on the first $50 million
 (Minimum Investment: $25 MM)

The following fee schedule applies for model portfolio arrangements:

         AllCap Value SMA                         0.50%
         Multi-Asset Income SMA                   0.50%
         Income Opportunity SMA                   0.50%
         LargeCap Value SMA                       0.30%
         MidCap Value SMA                         0.40%
         MLP SMA                                  0.40%
         SmallCap Value SMA                       0.50%
         SMidCap Value SMA                        0.45%
         Tactical Growth SMA                      0.55%

Model portfolios fees are negotiable and may be lower or tiered depending on the platform’s asset
potential, advisor base and operational complexity, and the breadth of services and support
required by Westwood Management.

Billing Practices
It is Westwood Management’s normal practice to bill separately managed accounts quarterly in
advance and pooled investments monthly in arrears. However, the billing method is negotiable.
Former clients of Salient Capital Advisors are billed as provided in the applicable advisory
agreements. Westwood Management has several wrap fee/retail managed account relationships in
which, with the pre-approval of the sponsor, Westwood Management reports fees to the custodian,
who pays Westwood Management directly from account assets.
Fee calculations are typically based on the market value of an account as provided in the applicable
agreement. If management of an account begins at any time other than the start of the calendar
quarter, then the first quarterly fee is prorated. Upon termination by either party, fees are prorated
to the date of termination and any portion of prepaid fees attributable to the period following the
effective date of termination is refunded to the client, generally via a payment to the custodian to
be credited to the client’s account.
To the extent that fees are based on the market value of the account, Westwood Management
...

Item 7 - Types of Clients
See the section titled “Advisory Business” above for a description of the types of clients to which
Westwood Management generally provides investment advice. With the exception of the Custom
Asset Allocation strategy and SMA and dual contract accounts, Westwood Management has initial
investment requirements typically ranging from $2.5 million to $25 million depending on the
mandate. Clients are able to negotiate this requirement, and the minimum may be waived at
Westwood Management’s discretion.