Yann Vessely

Portfolio-Based Fees (Tiered)

The incremental management fee charged to the Fund, decreases by 25 basis points to 1.25% as total capital account balances exceed $50M, but are less than $75M, decreases by another 25 basis points to 1.00% as total capital account balances exceed $75M, but are less than $100M, decreases by another 25 basis points to 0.75% as total capital account balances exceed $100M, but are less than $125M, and decreases by another 25 basis points to 0.50% as total capital account balances exceed $125M. The reduced rates apply only to the portion of assets above the applicable threshold. Additionally, Yorkmont charges the Fund a performance-based fee equal to fifteen (15%) percent of the per annum capital appreciation of the Fund’s net asset value over a ten percent (10%) “hurdle” rate of return. Yorkmont employs a “high water mark” formula in connection with its performance-based fee. Payment of the performance-based fee is subject to certain limitations. Subject to the foregoing, the performance-based fee is charged in arrears on an annual basis. Fees are negotiable.