Document:

Account Control Agreement

 Exhibit 10.2 
 Execution Copy 
 ACCOUNT CONTROL AGREEMENT 

ACCOUNT CONTROL AGREEMENT, dated as of August 29, 2012 (this Agreement), between ARCH STREET FUNDING LLC, a Delaware limited
liability company (the Debtor), Citibank, N.A., a national banking association, in its capacity as creditor and security agent for and on behalf of the Secured Parties (in such capacity, together with its successors in such capacity,
the Security Agent) under the Security Agreement referred to below, Citibank, N.A., in its capacity as securities intermediary (the Intermediary), and Virtus Group, LP, a Texas limited partnership, in its capacity as
collateral administrator (the Collateral Administrator, together with the Intermediary, the Collateral Parties). 

The parties hereby agree as follows: 
  

	1.	INTERPRETATION 

  

	1.1	Definitions 

 Capitalized terms used but
not defined herein have the respective meanings given to such terms in the Security Agreement dated as of the date hereof (the Security Agreement) between the Debtor and the Security Agent or, if not defined therein, in the Loan
Agreement referred to therein. In addition, the terms defined in Section 11 will have the meanings therein specified for the purpose of this Agreement. 
  

	1.2	Rules of Construction. 

 Unless the
context otherwise clearly requires: (a) the definitions of terms herein shall apply equally to the singular and plural forms of the terms defined; (b) whenever the context may require, any pronoun shall include the corresponding masculine,
feminine and neuter forms; (c) the words “include”, “includes” and “including” shall be deemed to be followed by the phrase “without limitation”; (d) the word “will” shall be construed to
have the same meaning and effect as the word “shall”; (e) any definition of or reference to any agreement, instrument or other document herein shall be construed as referring to such agreement, instrument or other document as from
time to time amended, supplemented or otherwise modified (subject to any restrictions on such amendments, supplements or modifications set forth herein); (f) any reference herein to any Person shall be construed to include such Person’s
successors and assigns; (g) the words “herein”, “hereof” and “hereunder”, and words of similar import, shall be construed to refer to this Agreement in its entirety and not to any particular provision hereof; and
(h) all references herein to Sections, exhibits and schedules shall be construed to refer to Sections of, and exhibits and schedules to, this Agreement. 

  
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	2.	THE ACCOUNTS 

  

	2.1	Status of Account and Relationship of Parties 

 The Intermediary represents that: (a) it has established and is maintaining on its books and records account number 110102, designated the “Custodial Account” (said account, together with
any replacement thereof or substitution therefor, the Custodial Account) to which the Debt Obligations and certain other items of property that are the subject of this Agreement shall be credited, (b) it has established and is
maintaining on its books and records account number 110101, designated the “Principal Collection Account” (said account, together with any replacement thereof or substitution therefor, the Principal Collection Account) to
which Cash shall be credited by the Intermediary, (c) it has established and is maintaining on its books and records account number 110100, designated the Interest Collection Account (said account, together with any replacement
thereof or substitution therefor, the Interest Collection Account and, together with the Principal Collection Account, the Collection Account; and the Collection Account and the Custodial Account, collectively, the
Accounts) to which Cash shall be credited by the Intermediary; and (d) each of the Accounts is a Securities Account in respect of which (i) the Intermediary is a Securities Intermediary and (ii) the Security Agent is the
Entitlement Holder; and the Intermediary agrees that all property delivered to the Intermediary pursuant to the Security Agreement will be promptly credited to one of the Accounts in accordance with directions from the Debtor or the Security Agent
as set forth herein. Each Account may include any sub-accounts thereof established by the Intermediary for administrative purposes. Any reference to an Account shall, unless otherwise expressly provided, include a reference to any sub-account of
such Account. Any reference to the Collection Account shall, unless otherwise expressly provided, include reference to the Interest Collection Account and the Principal Collection Account. 

 

	2.2	Treatment of Property as Financial Assets 

The Intermediary hereby agrees that (a) each item of property (whether cash, a security, an instrument or any other property whatsoever) standing to
the credit of an Account shall be treated as a Financial Asset and (b) the Intermediary will treat the Security Agent, as Entitlement Holder, as entitled to exercise the rights that comprise each Financial Asset credited to an Account, all in
accordance with this Agreement and Sections 8-502 through 8-509 of the UCC. 
  

	2.3	Form of Securities, Instruments, etc. 

All securities and other Financial Assets standing to the credit of an Account (other than Cash) that are in registered form or that are payable to or to
order shall be (a) registered in the name of, or payable to or to the order of, the Intermediary, (b) indorsed to or to the order of the Intermediary or in blank or (c) credited to another securities account maintained in the name of
the Intermediary; and in no case will any Financial Asset standing to the credit of an Account be registered in the name of, or payable to or to the order of, the Debtor or indorsed to or to the order of the Debtor, except to the extent the
foregoing have been specially indorsed to or to the order of the Intermediary or in blank. 

  
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	2.4	Securities Intermediary’s Jurisdiction 

 The Intermediary agrees that its Securities Intermediary’s Jurisdiction with respect to each Account is the State of New York. 

 

	2.5	Conflicts with other Agreements 

 The
parties hereto agree that, if there is any conflict between this Agreement and any other agreement relating to the Accounts, the provisions of this Agreement shall control. 

 

	2.6	Control 

 Each Collateral Party agrees
that it will comply with Entitlement Orders originated by the Security Agent, as Entitlement Holder, with respect to the Accounts and the Financial Assets credited thereto without further consent by the Debtor. In addition, unless the Intermediary
receives written notice from an Authorized Representative (as defined below) of the Security Agent that an Event of Default has occurred and is on the date of such notice continuing (in which event the Collateral Parties shall act solely at the
direction of the Security Agent), the Collateral Parties shall follow the instructions of the Debtor given to each of the Collateral Administrator, the Intermediary and the Security Agent with respect to the Accounts and the Financial Assets
credited thereto but only if the Security Agent does not give notice to the Collateral Administrator on or prior to the close of business in New York on the date one Business Day after receiving notice of such instructions from the Debtor are not
permitted by Section 6.2 or 6.3 of the Security Agreement (including as to the permitted application of funds contemplated by the Security Agreement) or would constitute a Potential Event of Default or Event of Default under the Loan Agreement;
provided that neither Collateral Party shall follow such instructions of the Debtor prior to the end of the one Business Day period during which the Security Agent may give such notice. Any instructions given by the Debtor as aforesaid after
11:00 a.m. New York City time on any Business Day or on any day that is not a Business Day shall be deemed given on the next succeeding Business Day. 
  

	3.	THE COLLATERAL PARTIES 

 

	3.1	No Change to Accounts; Certain Information 

  

	(a)	Without 30 days’ prior notice to the Security Agent, the Intermediary will not change the account number or designation of either Account.

  

	(b)	The Collateral Administrator or the Intermediary shall promptly notify the Security Agent and the Borrower if any person asserts or seeks to assert a lien, encumbrance
or adverse claim against any portion or all of the property credited to either Account. The Collateral Administrator or the Intermediary will send copies of all statements and confirmations for the Accounts simultaneously to the Debtor and the
Security Agent. 

  
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	3.2	Subordination 

 The Intermediary hereby
subordinates any interest that the Intermediary may have in the Accounts, in all property standing to the credit of the Accounts and in all Security Entitlements with respect to such property, any and all statutory, regulatory, contractual or other
rights now or hereafter existing in favor of the Intermediary over or with respect to the Accounts, all property standing to the credit of the Accounts and all Security Entitlements to such property (including (a) any and all contractual rights
of set-off, lien or compensation, (b) any and all statutory or regulatory rights of pledge, lien, set-off or compensation, (c) any and all statutory, regulatory, contractual or other rights to put on hold, block transfers from or fail to
honor instructions of the Security Agent with respect to the Accounts or (d) any and all statutory or other rights to prohibit or otherwise limit the pledge, assignment, collateral assignment or granting of any type of security interest in the
Accounts), in each case, to the security interest of the Security Agent in all such property, except that the Intermediary may set off the face amount of any checks that have been credited to any Account but are subsequently returned unpaid because
of uncollected or insufficient funds. 
  

	3.3	Limitation on Liability 

 Neither
Collateral Party shall have any duties or obligations except those expressly set forth herein. Without limiting the generality of the foregoing, neither Collateral Party shall be subject to any fiduciary or other implied duties, and neither
Collateral Party shall have any duty to take any discretionary action or exercise any discretionary powers. None of the Intermediary, the Collateral Administrator, any Affiliate of the Intermediary or the Collateral Administrator, or any officer,
agent, stockholder, partner, member, director or employee of the Intermediary or the Collateral Administrator shall have any liability, whether direct or indirect and whether in contract, tort or otherwise, (a) for any action taken or omitted
to be taken by any of them hereunder or in connection herewith unless (i) such party willfully fails to follow written directions delivered to the Collateral Parties in accordance with this Agreement or (ii) there has been a final judicial
determination that such act or omission was performed or omitted in bad faith or constituted gross negligence or willful misconduct, (b) for any action taken or omitted to be taken by such party at the express direction of each of the Debtor
and the Security Agent or (c) for any action taken or omitted to be taken by such party at the express written direction of any Person entitled to give such direction in accordance with an express provision of this Agreement. In addition, the
Intermediary shall have no liability for making any investment or reinvestment of any cash balance in the Accounts pursuant to an investment instruction complying with the terms of this Agreement. With the exception of this Agreement and the
Security Agreement and the provisions of the Loan Agreement referred to herein or in the Security Agreement, the Collateral Parties are not responsible for or chargeable with knowledge of any terms or conditions contained in any agreement referred
to herein. 

  
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 Neither the Intermediary nor the Collateral Administrator shall be required to take any action that is
contrary to applicable law or this Account Control Agreement or that will require it to expend or risk its own funds or otherwise incur financial liability. 
 To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person
who opens an account. When an account is opened, the Intermediary will ask for information that will allow the Intermediary to identify relevant parties. 
 Should any controversy arise between the undersigned with respect to this Agreement or with respect to the right to receive the Financial Assets, the Collateral Parties shall have the right to consult
with counsel and/or to institute a bill of interpleader in any court of competent jurisdiction to determine the rights of the parties. If the Collateral Parties receive written evidence that a dispute has arisen with respect to the Financial Assets,
the Collateral Parties may deliver the Financial Assets to any court of competent jurisdiction and request such court to adjudicate the entitlement to such Financial Assets by interpleader or other legal proceeding. In respect of this paragraph,
should such actions be necessary, or should the Collateral Parties become involved in litigation in any manner whatsoever on account of this Agreement or the Financial Assets, the Debtor hereby binds and obligates itself, its successors, assigns and
legal representatives to pay the Collateral Parties, in addition to any charge made hereunder for acting as the Intermediary or the Collateral Administrator, as applicable, reasonable and documented attorney’s fees (excluding the allocated
costs of internal counsel) incurred by it, and any other disbursements, expenses, losses, costs and damages in connection with and resulting from such actions (other than any of the foregoing that would not have arisen but for the bad faith, gross
negligence or willful misconduct of the Intermediary or the Collateral Administrator, as applicable). 
 Each order, instruction or direction of
the Debtor or the Security Agent shall be executed by an individual designated as an authorized representative of the Debtor or the Security Agent, as the case may be (an Authorized Representative). Each Authorized Representative is
authorized to give and receive notices, requests and instructions and deliver certificates and documents in connection with this Agreement on behalf of the Debtor or the Security Agent, as the case may be, and the specimen signature for each such
Authorized Representative of the Debtor or the Security Agent initially authorized hereunder, is set forth on Exhibit A. From time to time, the Debtor and the Security Agent may deliver to each party hereto a revised exhibit or a specimen
signature, but each of the parties hereto shall be entitled to rely conclusively on the then current exhibit until receipt of a superseding exhibit. 
 The Collateral Parties shall have no duty to determine or inquire into the happening or occurrence of any event or contingency except as expressly required herein. In case any bona fide question arises as
to its duties hereunder, each Collateral Party may request instructions from the Security Agent and shall, upon making such request, be entitled at all times to refrain from taking any action unless it has received written instructions from

  
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an Authorized Representative of the Security Agent. Nothing herein shall require either Collateral Party to expend or risk its own funds, or take any action which may, in its judgment, subject it
to risk of liability for which it is not adequately indemnified. Neither Collateral Party shall be responsible for the title, validity, value, marketability or collectability or genuineness of any Financial Asset received by or delivered to it
pursuant to this Agreement. The Collateral Parties may exercise or carry out their duties under this Agreement either directly or indirectly through agents or attorneys, and shall not be responsible for any act or omissions on the part of any such
agent or attorney appointed with due care. 
 The Intermediary shall invest collected funds standing to the credit of an Account in Eligible
Investments (as defined below) on any Business Day on which the Collateral Parties have received written instructions from an Authorized Representative of the Debtor prior to 11:00 a.m. New York time (such instructions being referred to herein as
Proper Instructions). All Eligible Investments shall be held in the name of the Security Agent. In accordance with any Proper Instructions, the Intermediary shall make such Eligible Investments of the type selected in the Proper
Instructions, subject to the availability of the Eligible Investments selected, with the cash amount on deposit in the Accounts as of 11:00 a.m. New York time on such day. If the Intermediary does not receive such Proper Instructions prior to 11:00
a.m. New York time, funds on deposit in the Accounts shall remain uninvested. Funds on deposit in the Accounts shall initially be uninvested. Eligible Investments has the meaning given to such term in the Loan Agreement. An Eligible
Investment may be made by the Intermediary with or through the Security Agent or any of its affiliates. 
  

	3.4	Reliance 

 The Collateral Parties shall be
entitled to rely upon, and shall not incur any liability for relying upon, any notice, request, certificate, consent, statement, instrument, document or other writing delivered to either Collateral Party under or in connection with this Agreement or
the Security Agreement and believed by it to be genuine and to have been signed or sent by the proper Person. The Collateral Parties may consult with counsel, financial advisers or accountants which are employed by a law firm, financial services
firm or accounting firm, as applicable, that is either nationally-recognized and/or a firm which such Intermediary customarily consults and which has expertise in the subject matter with respect to which such Intermediary seeks its advice; and the
advice of any such financial advisers or accountants and any opinion of such counsel shall be full and complete authorization and protection in respect of any action taken or suffered or omitted by it hereunder in good faith and in accordance with
such advice (and not in violation of any express provision of this Agreement). 

  
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	3.5	Collateral Administrator 

 The Collateral
Administrator shall perform the following functions: 
  

	(a)	Maintain a loan tracking system with respect to each Debt Obligation deposited into the Custodial Account, and enter information (including without limitation all
information necessary for the Borrower to supply the information contemplated by paragraphs (1), (2) (3), (4), (5), (6), (9), (12), (17), (19), (20), (21), (22), (24), (25) and (26) of Schedule VI to the Loan Agreement) regarding
each Debt Obligation held in the Custodial Account into the Collateral Administrator’s loan tracking system (such information in such system, the Collateral Database); 

 

	(b)	Make adjustments on a daily basis to the Collateral Database to account for principal and interest payments received on each Debt Obligation held in the Collection
Account, and to account for the purchase or sale of any Debt Obligation (or any portion thereof) held in the Collateral Account; 

  

	(c)	Prepare and deliver to the Debtor and to the Security Agent a position statement with respect to each Debt Obligation held in the Custodial Account on a weekly basis,
or more frequently (including on any Borrowing Date) if requested by the Debtor; 

  

	(d)	Receive and deliver on a daily basis to the Debtor and the Security Agent any notices or other communications received from any obligor in respect of each Debt
Obligation held in the Collateral Account; 

  

	(e)	Cooperate with the Debtor in determining the Portfolio Criteria, the Obligation Criteria, the Equity Amount, the Loan Advance Rate, the Equity Advance Rate, the Equity
Coverage Ratio and the Loan Compliance Test, as of each Payment Date, in connection with any Borrowing Date or more frequently as may be requested by the Debtor and agreed to by the Collateral Administrator as of each Payment Date, in connection
with any Borrowing Date or more frequently as may be requested by the Debtor and agreed to by the Collateral Administrator; 

  

	(f)	Provide the Debtor with access to the Collateral Database in electronic format, with such scope of information as are reasonably agreed upon by the Debtor and the
Collateral Administrator; 

  

	(g)	Prepare drafts and upon review and approval by the Debtor make available to the parties required under the Loan Agreement each report required to be prepared pursuant
to Section 5.1(a)(vi) of the Loan Agreement and perform and make available to the Debtor the calculations required to be provided in connection with the borrowing of any Loan, in each case by the time specified in the Loan Agreement and on the
basis of the information contained in the Collateral Database or provided to the Collateral Administrator by the Debtor or the Administrative Agent; 

  

	(h)	 Upon receipt of a Borrowing Request from the Debtor during normal business hours of the Collateral Administrator, perform the calculations required to
determine the Equity Percentage after giving effect to the related borrowing and 

  
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within two hours after receipt of such Borrowing Request provide the results of such calculations to the Debtor and the Administrative Agent, so that the Administrative Agent may determine
whether such Borrowing is permitted by the Loan Agreement; provided, however, that if such Borrowing Request is received after 4:00 pm (New York time), it shall be deemed to be received at 9:00 am the next Business Day; 

 

	(i)	Upon reasonable notification by the Debtor of a proposed acquisition of a Debt Obligation pursuant to Section 5.2 of the Loan Agreement or a proposed distribution
pursuant to Section 3.8 of the Loan Agreement (accompanied by such information concerning such asset as may be necessary to make the calculations required by the Loan Agreement as a condition precedent to such acquisition or distribution), and
provide the results of such calculations to the Debtor; 

  

	(j)	Reasonably cooperate with any independent certified public accountants appointed by the Debtor by providing information in the possession of the Collateral
Administrator, or which the Collateral Administrator can obtain without undue burden or cost, necessary for the preparation by such accountants of the information, reports or certificates required under Section 5.1(a) of the Loan Agreement; and

  

	(k)	Such other functions as may be agreed upon in writing by the parties hereto from time to time. 

 

	4.	INDEMNITY; LIMITATION ON DAMAGES; EXPENSES; FEES

  

	4.1	Indemnity 

 The Debtor hereby indemnifies
and holds harmless the Intermediary and the Collateral Administrator and their respective Affiliates and each of their and their Affiliates’ respective officers, directors, employees, representatives and agents (collectively the
Collateral Party Indemnitees), against any loss, claim, damage, liability or related expense, joint or several, or any action in respect thereof, to which the Collateral Party Indemnitees may become subject, whether commenced or
threatened, insofar as such loss, claim, damage, expense, liability or action arises out of or is based upon the execution, delivery or performance of this Agreement or following any instructions given by the Debtor, but excluding any such loss,
claim, damage, expense, liability or action arising out of the bad faith, gross negligence or willful misconduct of the Collateral Parties, and shall reimburse the Collateral Party Indemnitees promptly upon demand for any reasonable and documented
legal or other expenses incurred by the Collateral Party Indemnitees in connection with investigating or preparing to defend or defending against or appearing as a third party witness in connection with any such loss, claim, damage, liability or
related expense or action as such expenses are incurred. 
 The Security Agent hereby indemnifies and holds harmless Collateral Party
Indemnitees against any loss, claim, damage, expense or liability, joint or several, or any action in 

  
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respect thereof, to which the Collateral Party Indemnitees may become subject, whether commenced or threatened, insofar as such loss, claim, damage, expense, liability or action arises in
connection with this Agreement, but excluding any such loss, claim, damage, expense, liability or action arising out of (a) any instruction, request or other communication given by the Debtor or (b) the bad faith, gross negligence or
willful misconduct of the Collateral Parties, and shall reimburse the Collateral Party Indemnitees promptly upon demand for any reasonable and documented legal or other expenses incurred by the Collateral Party Indemnitees in connection with
investigating or preparing to defend or defending against or appearing as a third party witness in connection with any such loss, claim, damage, expense, liability or action as such expenses are incurred. 

 

	4.2	Limitation on Damages 

 No claim may be
made by either the Debtor against either Collateral Party or the Security Agent, or any Collateral Party or the Security Agent against the Debtor, or any officer, agent, stockholder, partner, member, director or employee of any of them for any
special, indirect, consequential or punitive damages in respect of any claim for breach of contract or any other theory of liability arising out of or relating to this Agreement or the transactions contemplated hereby or any act, omission or event
occurring in connection therewith, and the Debtor hereby waives, releases and agrees not to sue upon any claim for any such damages, whether or not accrued and whether or not known or suspected to exist in its favor. 

 

	4.3	Expenses and Fees 

 The Debtor shall be
responsible for, and hereby agrees to pay, all reasonable and documented costs and expenses incurred by the Collateral Parties and the Security Agent in connection with the establishment and maintenance of the Accounts, including the Collateral
Parties’ customary fees and expenses, any costs or expenses incurred by the Collateral Parties as a result of conflicting claims or notices involving the parties hereto, including the fees and expenses of its external legal counsel, and all
other costs and expenses incurred in connection with the execution, administration or enforcement of this Agreement including reasonable attorneys’ fees and costs, whether or not such enforcement includes the filing of a lawsuit. All such costs
and expenses shall constitute expenses and may be paid to the Collateral Parties in accordance with Section 3.8 of the Loan Agreement. The Debtor shall be responsible for, and hereby agrees to pay, the fees and expenses of the Collateral
Parties pursuant to the terms of that certain Fee Schedule Letter Agreement, dated as of August 15, 2012, by and between the Debtor, the Intermediary and the Collateral Administrator. 

  
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	5.	REPRESENTATIONS 

 The
Intermediary and the Collateral Administrator each represents to the Security Agent with respect to itself only that: 
  

	5.1	Status 

 It is duly organized and validly
existing under the laws of the jurisdiction of its organization or incorporation and, if relevant under such laws, in good standing. 
  

	5.2	Powers 

 It has the power to execute this
Agreement and any other documentation relating to this Agreement to which it is a party, to deliver this Agreement and any other documentation relating to this Agreement that it is required by this Agreement to deliver and to perform its obligations
under this Agreement and has taken all necessary action to authorize such execution, delivery and performance; and this Agreement has been, and each other such document will be, duly executed and delivered by it. 

 

	5.3	No Violation or Conflict 

 Such execution,
delivery and performance do not violate or conflict with any law applicable to it, any provision of its constitutional documents, any order or judgment of any court or other agency of government applicable to it or any of its assets or any
contractual restriction binding on or affecting it or any of its assets. 
  

	5.4	Consents 

 All governmental and other
consents that are required to have been obtained by it with respect to this Agreement have been obtained and are in full force and effect and all conditions of any such consents have been complied with. 

 

	5.5	Obligations Binding 

 This Agreement
constitutes its legal, valid and binding obligation, enforceable in accordance with its terms (subject to applicable bankruptcy, receivership, conservatorship, reorganization, insolvency, moratorium or similar laws affecting creditors’ rights
generally and subject, as to enforceability, to equitable principles of general application (regardless of whether enforcement is sought in a proceeding in equity or at law)). 

 

	6.	TRANSFER 

 Neither this
Agreement nor any interest or obligation in or under this Agreement may be transferred (whether by way of security or otherwise) by any party without the prior written consent of each other party, except that: 

 

	(a)	a party may make such a transfer of this Agreement pursuant to a consolidation or amalgamation with, or merger with or into, or transfer of all or substantially all its
assets to, another Person (but without prejudice to any other right or remedy under any other agreement); and 

  
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	(b)	the Security Agent may transfer all of its interests and obligations in and under this Agreement to a successor Security Agent under the Security Agreement;
provided that the Collateral Parties shall have no obligation to comply with any notice, request, certificate, consent, statement, instrument, document or other writing delivered by such successor until the Collateral Parties receives such
evidence thereof as the Collateral Parties may reasonably require. 

 Any purported transfer that is not in compliance with this
Section will be void. 
  

	7.	TERMINATION 

 Except as
provided herein, this Agreement shall remain in full force and effect until the Collateral Parties receive notice from the Secured Party of the occurrence of the later of (a) the termination of the Commitments and (b) the payment and
satisfaction in full of the Secured Obligations referred to in the Security Agreement (other than contingent obligations for which no claim has been made). Upon the joint written instruction of the Security Agent and the Debtor, the Intermediary
shall close the Accounts and disburse to the Debtor the balance of any assets therein, and the security interest in the Accounts shall be terminated. 
 Either Collateral Party may resign by giving 60 days’ prior notice to the Security Agent and the Debtor provided that any such resignation shall be effective only upon the appointment by the Security
Agent of successor Collateral Parties (or Collateral Party, as the case may be) (which appointment the Security Agent agrees to effect promptly following the receipt of such notice). If no successor shall have been so appointed and have accepted
appointment within 15 days after the giving of such notice of resignation, the resigning Collateral Party may petition any court of competent jurisdiction for the appointment of a successor. On or prior to the effectiveness of such resignation, the
Intermediary shall deliver to its successor each Financial Asset standing to the credit of the Accounts. 
  

	8.	MISCELLANEOUS 

  

	8.1	Entire Agreement 

 This Agreement
constitutes the entire agreement and understanding of the parties with respect to its subject matter and supersedes all oral communication and prior writings with respect thereto. 

 

	8.2	Amendments 

 No amendment, modification or
waiver in respect of this Agreement will be effective unless in writing (including a writing evidenced by a facsimile transmission) and executed by each of the parties. 

  
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	8.3	Survival 

 All representations and
warranties made in this Agreement or in any certificate or other document delivered pursuant to or in connection with this Agreement shall survive the execution and delivery of this Agreement or such certificate or other document (as the case may
be) or any deemed repetition of any such representation or warranty. In addition, the rights of the Collateral Parties under Sections 3.2, 3.3, 3.4 and 4, and the obligations of the Debtor and the Security Agent under Section 4, shall
survive the termination of this Agreement. 
  

	8.4	Benefit of Agreement 

 Subject to
Section 6, this Agreement shall be binding upon and inure to the benefit of the Debtor, the Security Agent, the Intermediary and the Collateral Administrator and their respective successors and permitted assigns. 

 

	8.5	Counterparts 

 This Agreement (and each
amendment, modification and waiver in respect of it) may be executed and delivered in counterparts, each of which will be deemed an original. Delivery of an executed counterpart signature page of this Agreement by e-mail (PDF) or facsimile
transmission shall be as effective as delivery of a manually executed counterpart of this Agreement. 
  

	8.6	No Waiver of Rights 

 A failure or delay
in exercising any right, power or privilege in respect of this Agreement will not be presumed to operate as a waiver, and a single or partial exercise of any right, power or privilege will not be presumed to preclude any subsequent or further
exercise, of that right, power or privilege or the exercise of any other right, power or privilege. 
  

	8.7	Headings 

 The headings used in this
Agreement are for convenience of reference only and are not to affect the construction of or to be taken into consideration in interpreting this Agreement. 
  

	8.8	Severability 

 If any provision of this
Agreement, or the application thereof to any party or any circumstance, is held to be unenforceable, invalid or illegal (in whole or in part) for any reason (in any jurisdiction), the remaining terms of this Agreement, modified by the deletion of
the unenforceable, invalid or illegal portion (in any relevant jurisdiction), will continue in full force and effect, and such unenforceability, invalidity, or illegality will not otherwise affect the enforceability, validity or legality of the
remaining terms of this Agreement so long as this Agreement as so modified continues to express, without material change, the original intentions of the parties as to the subject matter hereof and the deletion of such portion of this Agreement will
not substantially impair the respective expectations of the parties or the practical realization of the benefits that would otherwise be conferred upon the parties. 

  
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	9.	NOTICES 

  

	9.1	Effectiveness 

 All notices and other
communications provided for herein shall be in writing and shall be delivered by hand or overnight courier service, mailed by certified or registered mail (airmail, if overseas) or the equivalent (return receipt requested) or sent by facsimile
transmission, as follows: 
  

	(a)	if to the Debtor, to it at c/o FS Investment Corporation, Cira Centre, 2929 Arch Street, Suite 675, Philadelphia, PA 19104, Attention: Bill Goebel, Chief Financial
Officer, and Ken Miller, Vice President (Facsimile No. (215) 222-4649; Telephone No. (215) 495-1164); 

  

	(b)	if to the Security Agent, to it at 390 Greenwich Street, 4th Floor, New York, New York 10013, Attention: Mitali Sohoni (Telecopy No. 646-291-5779; Telephone
No. 212-723-6181); 

  

	(c)	if to the Intermediary, to it at 388 Greenwich Street, 14th Floor, New York, New York 10013, Attention: Global Transaction Services – ARCH STREET FUNDING LLC
(Telecopy No. 212-816-5527; Telephone No. 713-693-6674); and 

  

	(d)	if to the Collateral Administrator, to it at 5400 Westheimer Court, Suite 760, Houston, TX 77056, Re: ARCH STREET FUNDING LLC (Telecopy No. 866-816-3203; Telephone
No. 713-993-4304). 

 Any party hereto may change its address or telecopy number for notices and other communications
hereunder by notice to the other parties hereto. All notices and other communications given to any party hereto shall be deemed to be effective (i) if in writing and delivered by hand or overnight courier service, on the date it is delivered;
(ii) if sent by facsimile transmission, on the date that a transmission report confirming transmission is generated by the sender’s facsimile machine; or (iii) if sent by certified or registered mail (airmail, if overseas) or the
equivalent (return receipt requested), on the date that mail is delivered or its delivery is attempted, unless the date of that delivery (or attempted delivery) or that receipt, as applicable, is not a Business Day or that communication is delivered
(or attempted) or received, as applicable, after the close of business on a Business Day, in which case that communication shall be deemed given and effective on the first following day that is a Business Day. 

Any notices or other communications delivered to the Intermediary shall be delivered with a copy to the Collateral Administrator. 

  
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 Notwithstanding anything to the contrary herein, any and all communications (both text and
attachments) by or from the Intermediary that the Intermediary in its sole discretion deems to contain confidential, proprietary, and/or sensitive information and sent by electronic mail will be encrypted. The recipient (the Email
Recipient) of the email communication will be required to complete a one-time registration process. Information and assistance on registering and using the email encryption technology can be found at the
Intermediary’s secure website www.citigroup.com/citigroup/citizen/privacy/email.htm or by calling (866) 535-2504 (in the U.S.) or (904) 954-6181 at any time. 

 

	9.2	Change of Addresses 

 Any party may by
notice to each other party change the address or facsimile number at which notices or other communications are to be given to it. 
  

	10.	GOVERNING LAW AND JURISDICTION 

 

	10.1	Governing Law 

 This Agreement shall be
construed in accordance with, and this Agreement and all matters arising out of or relating in any way whatsoever to this Agreement (whether in contract, tort or otherwise) shall be governed by, the law of the State of New York. 

 

	10.2	Jurisdiction 

 With respect to any suit,
action or proceedings relating to this Agreement or any matter between the parties arising under or in connection with this Agreement (Proceedings), each party irrevocably: (a) submits to the non-exclusive jurisdiction of the
courts of the State of New York and the United States District Court located in the Borough of Manhattan in New York City; and (b) waives any objection which it may have at any time to the laying of venue of any Proceedings brought in any such
court, waives any claim that such Proceedings have been brought in an inconvenient forum and further waives the right to object, with respect to such Proceedings, that such court does not have any jurisdiction over such party. Nothing in this
Agreement precludes either party from bringing Proceedings in any other jurisdiction, nor will the bringing of Proceedings in any one or more jurisdictions preclude the bringing of Proceedings in any other jurisdiction. 

 

	10.3	Service of Process 

 The parties
irrevocably consent to service of process given in the manner provided for notices in Section 9. Nothing in this Agreement will affect the right of any party to serve process in any other manner permitted by law. 

  
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	10.4	Waiver of Jury Trial Right 

 EACH PARTY
HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT THAT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY PROCEEDING. Each party hereby (a) certifies that no representative, agent or attorney of the other has
represented, expressly or otherwise, that the other would not, in the event of a Proceeding, seek to enforce the foregoing waiver and (b) acknowledges that it has been induced to enter into this Agreement by, among other things, the mutual
waivers and certifications in this paragraph. 
  

	11.	DEFINITIONS 

 As used in
this Agreement: 
 Accounts has the meaning given to such term in Section 2.1. 

Agreement has the meaning specified in the first paragraph of this Agreement. 
 Authorized Representative has the meaning given to such term in Section 3.3. 

Collateral Administrator has the meaning specified in the first paragraph of this Agreement. 

Collateral Parties has the meaning specified in the first paragraph of this Agreement. 

Collateral Party Indemnitees has the meaning given to such term in Section 4.1. 

Collection Account has the meaning given to such term in Section 2.1. 
 consent includes a consent, approval, action, authorization, exemption, notice, filing, registration or exchange control consent. 
 Custodial Account has the meaning given to such term in Section 2.1. 

Debtor has the meaning specified in the first paragraph of this Agreement. 
 Debtor Related Losses has the meaning given to such term in Section 4.1. 

Eligible Investments has the meaning given to such term in Section 3.3. 
 Email Recipient has the meaning given to such term in Section 9.1. 

Entitlement Holder has the meaning given to such term in Section 8-102(a)(7) of the UCC. 

Entitlement Order has the meaning given to such term in Section 8-102(a)(8) of the UCC. 

  
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 Financial Asset has the meaning given to such term in Section 8-102(a)(9) of the UCC.

 Interest Collection Account has the meaning given to such term in Section 2.1. 

Intermediary has the meaning specified in the first paragraph of this Agreement. 
 Person means any natural person, corporation, limited liability company, trust, joint venture, association, company, partnership or other entity or the government of the United States of
America or any other nation or any political subdivision thereof, whether state or local, and any agency, authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing,
regulatory or administrative powers or functions of or pertaining to government. 
 Principal Collection Account has the meaning
given to such term in Section 2.1. 
 Proceedings has the meaning specified in Section 10.2. 

Proper Instructions has the meaning given to such term in Section 3.3. 
 Securities Account has the meaning given to such term in Section 8-501(a) of the UCC. 
 Security Agent has the meaning specified in the first paragraph of this Agreement. 

Security Agreement has the meaning given to such term in Section 1.1 
 Securities Intermediary has the meaning given to such term in Section 8-102(a)(14) of the UCC. 
 Securities Intermediary’s Jurisdiction has the meaning given to such term in Section 8-110(e) of the UCC. 
 Security Entitlement has the meaning given to such term in Section 8-102(a)(17) of the UCC. 
 UCC means the Uniform Commercial Code as in effect in the State of New York. 

  
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 IN WITNESS WHEREOF the parties have executed this document on the respective dates specified below
with effect from the date specified on the first page of this document. 
  

			
	ARCH STREET FUNDING LLC
		
	By:	 	 /s/ William Goebel

		 	Name: William Goebel
		 	Title: Chief Financial Officer
	
	VIRTUS GROUP, LP, as Collateral Administrator
		
	By:	 	 /s/ Robert Tomicic

		 	Name: Robert Tomicic
		 	Title: Partner
	
	CITIBANK, N.A., as Intermediary
		
	By:	 	 /s/ Thomas J. Varcados

		 	Name: Thomas J. Varcados
		 	Title: Vice President
	
	CITIBANK, N.A., as Security Agent
		
	By:	 	 /s/ Victoria Chant

		 	Name: Victoria Chant
		 	Title: Vice President

  
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 CONTENTS 

 

							
	SECTION	  	PAGE
				
	1.	 		 	 INTERPRETATION
	  	1
				
		 	1.1	 	DEFINITIONS	  	1
				
		 	1.2	 	RULES OF CONSTRUCTION	  	1
				
	2.	 		 	 THE ACCOUNTS
	  	2
				
		 	2.1	 	STATUS OF ACCOUNT AND RELATIONSHIP OF PARTIES	  	2
				
		 	2.2	 	TREATMENT OF PROPERTY AS FINANCIAL ASSETS	  	2
				
		 	2.3	 	FORM OF SECURITIES, INSTRUMENTS, ETC.	  	2
				
		 	2.4	 	SECURITIES INTERMEDIARY’S JURISDICTION	  	3
				
		 	2.5	 	CONFLICTS WITH OTHER AGREEMENTS	  	3
				
		 	2.6	 	CONTROL	  	3
				
	3.	 		 	 THE COLLATERAL PARTIES
	  	3
				
		 	3.1	 	NO CHANGE TO ACCOUNTS; CERTAIN INFORMATION	  	3
				
		 	3.2	 	SUBORDINATION	  	4
				
		 	3.3	 	LIMITATION ON LIABILITY	  	4
				
		 	3.4	 	RELIANCE	  	6
				
		 	3.5	 	COLLATERAL ADMINISTRATOR	  	7
				
	4.	 		 	 INDEMNITY; LIMITATION ON DAMAGES; EXPENSES; FEES
	  	8
				
		 	4.1	 	INDEMNITY	  	8
				
		 	4.2	 	LIMITATION ON DAMAGES	  	9
				
		 	4.3	 	EXPENSES AND FEES	  	9
				
	5.	 		 	 REPRESENTATIONS
	  	10
				
		 	5.1	 	STATUS	  	10
				
		 	5.2	 	POWERS	  	10
				
		 	5.3	 	NO VIOLATION OR CONFLICT	  	10
				
		 	5.4	 	CONSENTS	  	10
				
		 	5.5	 	OBLIGATIONS BINDING	  	10
				
	6.	 		 	 TRANSFER
	  	10
				
	7.	 		 	 TERMINATION
	  	11

  
 Page i

							
				
	8.	 		 	 MISCELLANEOUS
	  	11
				
		 	8.1	 	ENTIRE AGREEMENT	  	11
				
		 	8.2	 	AMENDMENTS	  	11
				
		 	8.3	 	SURVIVAL	  	12
				
		 	8.4	 	BENEFIT OF AGREEMENT	  	12
				
		 	8.5	 	COUNTERPARTS	  	12
				
		 	8.6	 	NO WAIVER OF RIGHTS	  	12
				
		 	8.7	 	HEADINGS	  	12
				
		 	8.8	 	SEVERABILITY	  	12
				
	9.	 		 	 NOTICES
	  	13
				
		 	9.1	 	EFFECTIVENESS	  	13
				
		 	9.2	 	CHANGE OF ADDRESSES	  	14
				
	10.	 		 	 GOVERNING LAW AND JURISDICTION
	  	14
				
		 	10.1	 	GOVERNING LAW	  	14
				
		 	10.2	 	JURISDICTION	  	14
				
		 	10.3	 	SERVICE OF PROCESS	  	14
				
		 	10.4	 	WAIVER OF JURY TRIAL RIGHT	  	15
				
	11.	 		 	 DEFINITIONS
	  	15

  
 Page ii

 Dated as of August 29, 2012 

ARCH STREET FUNDING LLC, 
 as Debtor 
 CITIBANK, N.A., 

as Security Agent 
 CITIBANK, N.A., 
 as Intermediary 

VIRTUS GROUP, LP, 
 as Collateral Administrator 
  

 

 
 ACCOUNT
CONTROL AGREEMENTSecurity Agreement

 Exhibit 10.3 
 Execution Copy 
 SECURITY AGREEMENT dated as of August 29, 2012 (this
Agreement) between ARCH STREET FUNDING LLC, a Delaware limited liability company (the Pledgor), and Citibank, N.A., a national banking association, as security agent for the Secured Parties referred to below (in such
capacity, the Security Agent). 
 WHEREAS: 
 A. The Pledgor, the financial institutions and other lenders from time to time party thereto as “Lenders” (the Lenders) and Citibank, N.A., a national banking association, as
administrative agent for the Lenders (in such capacity, together with its successors in such capacity, the Administrative Agent), have entered into a Loan Agreement dated as of August 29, 2012 (the Loan Agreement).

 B. To induce the Lenders to enter into the Loan Agreement and extend credit thereunder, and for other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the Pledgor has agreed to pledge and grant to the Security Agent for the ratable benefit of the Secured Parties a security interest in the Collateral (as hereinafter defined) as security for
the Pledgor’s present and future obligations under the Loan Agreement and the Account Control Agreement (collectively, the Secured Obligations). Accordingly, the parties hereto agree as follows: 

DEFINITIONS AND INTERPRETATION 
 1.1 Capitalized terms used but not defined herein have the respective meanings given to such terms in the Loan Agreement. Terms used but not defined herein or in the Loan Agreement, if defined in the UCC,
shall have the respective meanings given to such terms in the UCC. The principles of construction and rules of interpretation set forth in Section 1.2 of the Loan Agreement shall apply, mutatis mutandis, to this Agreement, with each
reference to “this Agreement” in said Section 1.2 being a reference to this Agreement. In addition, as used herein, the following terms have the following respective meanings: 
 Accounts has the meaning specified in the Account Control Agreement. 
 Account
Control Agreement means the Account Control Agreement dated as of the date hereof between the between the Pledgor, the Security Agent, Citibank, N.A., in its capacity as securities intermediary (the Securities Intermediary) and
Virtus Group, LP, a Texas limited partnership, in its capacity as collateral administrator (the Collateral Administrator). 

Administrative Agent has the meaning assigned to such term in the recitals hereto. 

Agreement has the meaning specified in the first paragraph of this Agreement. 
 Authorized Officer means any officer of the Pledgor or the Security Agent who is authorized to act for the Pledgor or the Security Agent, as the case may be, in matters

  
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relating to, and binding upon, the Pledgor or the Security Agent, as the case may be, which, for the avoidance of doubt, shall include any duly appointed attorney-in-fact and who is listed in the
applicable list delivered in the form pursuant to Exhibit A to the Account Control Agreement. 
 Cash means Money and any
collected funds standing to the credit of the Accounts. 
 Certificated Security has the meaning specified in
Section 8-102(a)(4) of the UCC. 
 Collateral has the meaning specified in Section 2.1. 

Collection Account has the meaning specified in the Account Control Agreement. 
 Collections means, with respect to any Collateral owned by the Pledgor, all principal payments, interest payments, fees and other payments received by the Pledgor with respect thereto and
all other amounts paid with respect to such Collateral, including all distributions with respect thereto and any proceeds of collateral for, or any guaranty of, such Collateral or the relevant obligor’s obligation to make payments with respect
thereto. 
 Credit Documents means the Loan Agreement and the Support Documents. 

Custodial Account means the account, referenced as such, established pursuant to the Account Control Agreement. 

Financial Asset has the meaning specified in Section 8-102(a)(9) of the UCC. 
 Firm Bid has the meaning specified in Section 5.1. 
 Instrument
has the meaning specified in Section 9-102(a)(47) of the UCC. 
 Money has the meaning specified in Section 1-201(24) of
the UCC. 
 Pledgor has the meaning specified in the first paragraph of this Agreement. 

Pledgor Order means a written order or request dated and signed in the name of the Pledgor by an Authorized Officer of the Pledgor.

 Proceedings has the meaning specified in Section 8.7. 
 Lenders has the meaning assigned to such term in the recitals hereto. 
 Loan
Agreement has the meaning assigned to such term in the recitals hereto. 
 Secured Obligations has the meaning assigned to
such term in the recitals hereto. 
 Secured Parties means the Lenders, the Administrative Agent, the Security Agent, the
Securities Intermediary, the Collateral Administrator and the Security Agent Custodian. 

  
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 Security Agent has the meaning specified in the first paragraph of this Agreement. 

Security Agent Custodian has the meaning specified in Section 6.3(c). 
 UCC means the Uniform Commercial Code as in effect from time to time in the State of New York. 
 GRANT OF SECURITY INTEREST 
 2.1
As collateral security for the prompt payment in full and performance when due (whether at stated maturity, by acceleration, by liquidation or otherwise) of the Secured Obligations, the Pledgor hereby pledges to the Security Agent, for the ratable
benefit of the Secured Parties, and grants to the Security Agent, for the ratable benefit of the Secured Parties, a continuing security interest in, lien on, and right of set-off against, all of its right, title and interest in, to and under all
accounts, payment intangibles, general intangibles, chattel paper, electronic chattel paper, instruments, deposit accounts, letter-of-credit rights, securities, investment property and any and all other property of any type or nature owned by it,
including the Accounts, the Debt Obligations and the Assignment Agreements and all of the Pledgor’s rights and remedies thereunder, and all Collections and other proceeds with respect to any of the foregoing, whether now owned or hereafter
acquired and whether now existing or hereafter coming into existence (collectively, the Collateral). 

REPRESENTATIONS AND WARRANTIES 
 On each Representation Date, the Pledgor represents and warrants to the Secured Parties that: 

Ownership of Collateral 
 3.1 Immediately
before and immediately after giving effect to each transfer of Collateral by the Pledgor to the Security Agent for the benefit of the Secured Parties in accordance herewith, the Pledgor will have good and marketable title to such Collateral, the
Pledgor will be the sole beneficial owner of such Collateral, and the Pledgor will have the right to receive all Collections on such Collateral, in each case free and clear of all Liens other than Permitted Liens. 

Security Interest 
 3.2 The Pledgor has
full right to grant the pledge, security interest, lien and right of set-off in its rights in the Collateral to the Security Agent. Upon each transfer of Collateral by the Pledgor in the manner specified in Section 6.4, and after the other
actions described in Section 6.2(a) and Section 6.4 have been taken by the appropriate parties, the Security Agent will have a perfected pledge of and security interest in such Collateral and all proceeds thereof (subject to
Section 9-315 of the UCC), which security interest will be prior to all other interests in such Collateral (in the case of proceeds, 

  
 Page 3

 
subject to Section 9-315 of the UCC). No filings other than those described or referred to in Section 6.4 or any other action other than those described in Section 6.2(a) and
Section 6.4 will be necessary to perfect such security interest in the Collateral. 
 COVENANTS 

The Pledgor agrees that, until the later of (a) the termination of the Commitments and (b) the payment and satisfaction in full of the Secured
Obligations (other than contingent obligations for which no claim has been made): 
 Title Covenants 

4.1 At no time shall the Pledgor create, permit or suffer to exist any lien or security interest in the Collateral other than Permitted Liens. 

Security Agent May Perform 
 4.2 If
(i) the Pledgor fails to perform any obligation to be performed by it contained herein after the Secured Party has made a written request for the Pledgor to so perform such obligation (and, if the performance of such obligation involves the
incurrence of any material expense, the Secured Party has given the Pledgor a reasonable opportunity to so perform such obligation) or (ii) an Event of Default has occurred and is continuing, the Security Agent may itself give, make, execute,
deliver, file and/or record any financing statement, notice, instrument, document, agreement or other papers, and take such acts, as may be necessary or (in the reasonable judgment of the Security Agent) desirable from time to time to create and
perfect, and establish, preserve or otherwise protect the priority of, the pledge, security interest, lien and right of set-off of the Security Agent in the Collateral and otherwise perform, or cause performance of, any other such actions as may be
necessary or (in the reasonable judgment of the Security Agent) desirable in connection with such failure to perform, and the reasonable and documented out-of-pocket expenses of the Security Agent incurred in connection therewith shall be payable by
the Pledgor and shall be part of the Secured Obligations. 
 Perfection, etc. 
 4.3 The Pledgor shall: 
  

	(a)	give, make, execute, deliver, file and/or record any financing statement, notice, instrument, document, agreement or other papers and take any other actions, including,
without limitation, fulfilling its obligations under the Account Control Agreement, that may be necessary or (in the reasonable judgment of the Security Agent) desirable to create and perfect, and establish, preserve or otherwise protect the
priority of, the pledge, security interest, lien and right of set-off granted by it pursuant to Section 2 or to enable the Security Agent to exercise and enforce its rights hereunder with respect to such pledge, security interest, lien and
right of set-off; 

  
 Page 4

	(b)	keep proper books and records relating to the Collateral; 

  

	(c)	permit representatives of the Security Agent, during normal business hours, to examine, copy and make extracts from its books and records pertaining to the Collateral,
to inspect any of the Collateral, and to require that the Security Agent be provided with copies of all notices or other communications received by the Pledgor with respect to the Collateral, all to the extent reasonably requested by the Security
Agent (including on behalf of any Lender); provided that any exercise of rights under this clause (c) shall be subject to the proviso to Section 5.1(a)(ix) of the Loan Agreement (as if each reference therein to “the
Administrative Agent” were also a reference to the Security Agent); and 

  

	(d)	direct each obligor in respect of any Collateral to make any payments due or to become due in respect of such Collateral directly to the Collection Account.

 No Other Financing Statements 
 4.4 The Pledgor shall not file, or affirmatively authorize or permit to be filed or to be on file, in any jurisdiction, any financing statement or like instrument with respect to the Collateral in which
the Security Agent (or its nominee) is not named as the sole secured party. 
 Prior Parties; Care of Collateral 

4.5 The Security Agent shall not be required to take steps necessary to preserve any rights against prior parties with respect to any of the Collateral.
The Security Agent shall use reasonable care in the custody and preservation of Collateral in the Secured Party’s own possession. 

Continuing Liability of the Pledgor 
 4.6
Anything herein to the contrary notwithstanding, the Pledgor shall remain liable under each interest and obligation included in the Collateral to observe and perform all the conditions and obligations to be observed and performed by it thereunder,
all in accordance with and pursuant to the terms and provisions thereof, and shall do nothing to impair the security interest of the Security Agent in any Collateral (it being agreed that any actions expressly permitted by the Loan Agreement shall
not be deemed to impair such security interest). The Security Agent shall not have any obligation or liability under any such interest or obligation by reason of or arising out of this Agreement or the receipt by the Security Agent of any payment
relating to any such interest or obligation pursuant hereto, and the Security Agent shall not be required or obligated in any manner to perform or fulfill any of the obligations of the Pledgor thereunder or pursuant thereto or to make any payment or
to make any inquiry as to the nature or the sufficiency of any payment received by it or the sufficiency of any performance by any party under any such interest or obligation or to present or file any claim or to take any action to collect or
enforce any performance or the payment of any amount thereunder to which it may be entitled at any time. 

  
 Page 5

 Limitation on Certain Changes 
 4.7 The Pledgor shall not, without at least 30 days prior written notice to the Security Agent, (a) change its location (within the meaning of Section 9-307 of the UCC) or (b) change its
corporate name from the name shown on the signature pages hereto. 
 Further Assurances 

4.8 The Pledgor agrees that, from time to time upon the written request of the Security Agent, it shall execute and deliver such further documents and do
such other acts and things as the Security Agent may reasonably request in order fully to effect the purposes of this Agreement. 

REMEDIES 
 Remedies

 5.1 At any time that an Event of Default shall have occurred and be continuing: 

 

	(a)	the Pledgor shall, at the request of the Security Agent, assemble any Collateral not held pursuant to the Account Control Agreement at such place or places, reasonably
convenient to both the Security Agent and the Pledgor, designated in such request; 

  

	(b)	the Security Agent may make any reasonable compromise or settlement deemed desirable with respect to any of the Collateral and may extend the time of payment, arrange
for payment in installments or otherwise modify the terms of any of the Collateral; 

  

	(c)	the Security Agent shall have all of the rights and remedies with respect to the Collateral of a secured party under the Uniform Commercial Code (whether or not the
Uniform Commercial Code is in effect in the jurisdiction where the rights and remedies are asserted) and such additional rights and remedies to which a secured party is entitled under the laws in effect in any jurisdiction where any rights and
remedies hereunder may be asserted, including the right, to the maximum extent permitted by law, to exercise all voting, consensual and other powers of ownership pertaining to the Collateral as if the Security Agent were the sole and absolute owner
thereof (and the Pledgor agrees to take all such actions as may be appropriate to give effect to such right); 

  

	(d)	the Security Agent in its discretion may, in its name or in the name of the Pledgor or otherwise, demand, sue for, collect or receive any money or property at any time
payable or receivable on account of or in exchange for any of the Collateral but shall be under no obligation to do so; 

  
 Page 6

	(e)	the Security Agent may set-off any amounts payable by the Pledgor with respect to any Secured Obligations against any Collateral in the form of Cash;

  

	(f)	subject to Section 5.1(g), the Security Agent may, upon ten Business Days’ prior written notice to the Pledgor of the time and place, with respect to the
Collateral or any part thereof which shall then be or shall thereafter come into the possession, custody or control of the Security Agent or any of its agents, sell, assign or otherwise dispose of all or any part of such Collateral, in a
commercially reasonable manner, at such place or places as the Security Agent deems best in such manner, and for Cash or for credit or for future delivery (without thereby assuming any credit risk), at public or private sale, without demand of
performance or notice of intention to effect any such disposition or of the time or place thereof (except such notice as is required above or by applicable statute and cannot be waived), and the Security Agent or anyone else may be the purchaser,
lessee, assignee or recipient of any or all of the Collateral so disposed of at any public sale (or, to the extent permitted by law, at any private sale) and thereafter hold the same absolutely, free from any claim or right of whatsoever kind,
including any right or equity of redemption (statutory or otherwise) of the Pledgor, any such demand, notice, claim and right or equity being hereby expressly waived and released to the extent permitted by law. Subject to Section 5.1(g), the
Security Agent may, without notice or publication, adjourn any public or private sale or cause the same to be adjourned from time to time by announcement at the time and place fixed for the sale, and such sale may be made at any time or place to
which the sale may be so adjourned; and 

  

	(g)	 in the event that any Debt Obligation becomes the subject of a disposition pursuant to this Section 5.1, the Security Agent shall attempt to
obtain Firm Bids (or a combination of Firm Bids) for the entire Debt Obligation from three or more Dealers (and may obtain Firm Bids from any other Person or Persons selected by the Security Agent); provided that the Security Agent may in its
commercially reasonable discretion obtain Firm Bids with respect to any group or groups of such Debt Obligations. The Security Agent will give the Pledgor notice of its intention to obtain Firm Bids pursuant to this Section 5.1(g) (such notice
to be given telephonically and via electronic mail) not later than 5:00 p.m. New York time on the date 10 Business Days prior to the bid submission deadline specified below. By notice to the Security Agent not later than such bid submission
deadline, the Pledgor may, but shall not be obligated to, designate any Dealer to provide a Firm Bid (and the Security Agent will seek a Firm Bid from such Dealer if so designated by the Pledgor on a timely basis). A “Firm
Bid” shall be a good and irrevocable bid for value, to purchase all or any portion of the relevant Debt Obligation (or an entire specified group of Debt Obligations) for scheduled settlement no later than the date customary for
settlement substantially in accordance with the then-current market practice in the principal market for the relevant Debt Obligation (or group of Debt Obligations), submitted by a Dealer as of a time during regular business hours in New York City
on the date 10 Business 

  
 Page 7

	 	
Days after any date specified by the Security Agent to the Pledgor in its commercially reasonable discretion. The Security Agent will conduct the bid process in accordance with the procedures set
forth in this Section 5.1(g) and otherwise in a commercially reasonable manner. 

 Notwithstanding anything to
the contrary herein, 
 (i) the Security Agent shall be entitled to disregard any Firm Bid submitted by a Dealer
or other Person if, in the Security Agent’s commercially reasonable judgment, (x) such Dealer or other Person is ineligible pursuant to the documentation evidencing or otherwise governing the relevant Debt Obligation to accept assignment
or transfer of the relevant Debt Obligation or portion thereof, as applicable, substantially in accordance with the then-current market practice in the principal market for the relevant Debt Obligation, as determined by the Security Agent, or
(y) such Dealer or other Person would not, through the exercise of its commercially reasonable efforts, be able to obtain any consent required under any agreement or instrument governing or otherwise relating to the relevant Debt Obligation to
the assignment or transfer of the relevant Debt Obligation or portion thereof, as applicable, to it; and 
 (ii)
if the Security Agent determines on any commercially reasonable basis that any Firm Bid is not bona fide, including, without limitation, due to (x) the insolvency of the bidder or (y) the inability, failure or refusal of the bidder
to settle the purchase of the relevant Debt Obligation or portion thereof, as applicable, or otherwise settle transactions in the relevant market or perform its obligations generally, 

such Firm Bid shall be disregarded. With respect to each Debt Obligation being sold pursuant to this Section 5.1(g), the Security
Agent shall transfer, or cause the transfer of, the relevant Debt Obligation to the Person or Persons providing the highest Firm Bid or combination of Firm Bids (other than any Firm Bid that is disregarded as aforesaid) in relation to such Debt
Obligation; provided that, if the Security Agent has obtained Firm Bids with respect to any group of Debt Obligations, then the Security Agent shall transfer, or cause the transfer of, a group of Debt Obligations for which Firm Bids were
obtained to the Person or Persons providing the highest Firm Bid or combination of Firm Bids (other than any Firm Bid that is disregarded as aforesaid) in relation to such group of Debt Obligations. If any Debt Obligation is not sold in connection
with the Firm Bids so obtained for any reason whatsoever (other than as a result of the failure of the Security Agent to consummate such sale as provided in this Section 5.1(g)), the Security Agent may thereafter dispose of the relevant Debt
Obligation in the manner contemplated by Section 5.1(f). 
 The Security Agent shall incur no liability as a result of the sale of any Debt
Obligation, or any part thereof, at any private sale pursuant to this Section 5.1 conducted as provided in the foregoing paragraphs of this Section 5.1. To the extent the sale of any Debt

  
 Page 8

 
Obligation is conducted as provided in the foregoing paragraphs of this Section 5.1, the Pledgor hereby waives any claims against the Security Agent arising by reason of the fact that the
price at which the relevant Debt Obligation may have been sold at any private sale effected as provided above was less than the price which might have been obtained at a public sale or was less than the aggregate amount of the Secured Obligations.

 The proceeds of each collection, sale or other disposition under this Section 5.1 shall be applied in accordance with Section 5.2.

 Application of Proceeds 
 5.2
The proceeds of any collection, sale or other realization of all or any part of the Collateral pursuant to Section 5.1 (including any amounts on deposit in, or otherwise standing to the credit of, the Custodial Account) shall be deposited in to
the Collection Account and applied by the Security Agent Custodian (at the prior written direction of an Authorized Officer of the Security Agent) in the following order of priority (and, among the items in any one paragraph, equally and ratably in
accordance with the respective amounts thereof then due and owing): 
 First, to the payment of the reasonable
costs and expenses of such collection, sale or other realization, including reasonable and documented out-of-pocket costs and expenses of the Security Agent and the other Secured Parties and the reasonable and documented fees, charges and expenses
of the agents and counsel of the Security Agent and the other Secured Parties and all other reasonable expenses incurred by any of the Security Agent and the other Secured Parties in connection with such collection, sale or other realization;

 Second, to the payment in full of all remaining Secured Obligations then due and payable; and 

Third, to the payment to the Pledgor, or as a court of competent jurisdiction may otherwise direct, of any surplus then
remaining. 
 Power of Attorney 

5.3 The Security Agent is hereby appointed the attorney-in-fact of the Pledgor for the purpose of taking, during any period when the Security Agent is
attempting to sell all or any portion of any Debt Obligation pursuant to Section 5.1(f) or 5.1(g), of taking any action and executing any instruments which the Security Agent may reasonably deem necessary or advisable to accomplish the purposes
of this Agreement (including with respect to the exercise of any remedies hereunder against the Pledgor), which appointment as attorney-in-fact is irrevocable and coupled with an interest. 

  
 Page 9

 CUSTODIAL ACCOUNT AND COLLECTION
ACCOUNT 
 Collection of Money 
 6.1 Except as otherwise expressly provided herein, while an Event of Default has occurred and is continuing, the Security Agent shall receive and collect, directly and without intervention or assistance
of any fiscal agent or other intermediary, all Money and other property payable to or receivable by the Security Agent. All amounts so received or collected shall be deposited in the Collection Account. 

Custodial Account; Collection Account 
  

	6.2(a)	The Security Agent Custodian has specified in the Account Control Agreement that it has established a single, segregated trust account which shall be designated as the
Custodial Account (which may include any sub-accounts thereof established by the Security Agent Custodian for administrative purposes), and a single, segregated trust account which shall be designated as the Collection Account (which may include any
sub-accounts thereof established by the Security Agent Custodian for administrative purposes), each of which shall be held in the name of the Security Agent and over which, except as expressly provided in the Account Control Agreement, the Security
Agent shall have control and the sole right of withdrawal. Any reference in this Agreement to the “Custodial Account” or to the “Collection Account” shall, unless otherwise expressly provided, include a reference to any
sub-account of the Custodial Account or the Collection Account, respectively. To the extent that an obligor does not make the applicable payment directly to the Collection Account, the Pledgor shall from time to time deposit into the Collection
Account promptly (and in no event more than one Business Day) following its receipt thereof (i) all proceeds received from the disposition of any Collateral by the Pledgor, (ii) all Collections with respect to the Collateral and
(iii) all other funds received by the Pledgor in respect of the Collateral. The provisions of this Section 6.2 are subject to the terms of the Account Control Agreement. 

 

	(b)	By Pledgor Order executed by an Authorized Officer of the Pledgor (which may be in the form of standing instructions), the Pledgor may direct the Security Agent
Custodian in writing (with a copy to the Security Agent) to invest all funds on deposit in the Accounts as so directed in one or more Eligible Investments having stated maturities no later than the Business Day immediately preceding the next Payment
Date. Absent such prior written specific investment direction, all such funds shall be held uninvested. 

  

	(c)	On any date on which interest or any fee is due and payable under the Loan Agreement (including any Payment Date), the Pledgor shall by Pledgor Order executed by an
Authorized Officer of the Pledgor, delivered to the Security Agent and the Security Agent Custodian, direct the Security Agent Custodian to withdraw funds on deposit in the Collection Account and remit such funds as indicated in such Pledgor Order
to pay such interest or fee as required by, and subject to the conditions of, Sections 3.2, 3.3, 3.6 and 3.8 of the Loan Agreement. 

  
 Page 10

	(d)	On any date on which principal is due and payable under the Loan Agreement (including the Scheduled Maturity Date), the Pledgor shall by Pledgor Order executed by an
Authorized Officer of the Pledgor, delivered to the Security Agent and the Security Agent Custodian, direct the Security Agent Custodian to withdraw funds on deposit in the Collection Account and remit such funds as indicated in such Pledgor Order
to pay principal as required by, and subject to the conditions of, Sections 3.1, 3.6, 3.7 and 3.8 of the Loan Agreement. 

  

	(e)	On any date on which any amount (other than principal, interest or any fee owing under the Loan Agreement) is due and payable by the Pledgor under the Loan Agreement or
is otherwise permitted under Section 3.8 of the Loan Agreement, the Security Agent shall give the Pledgor written notice of same, and the Pledgor shall by Pledgor Order executed by an Authorized Officer of the Pledgor, delivered to the Security
Agent and the Security Agent Custodian, direct the Security Agent Custodian to withdraw funds on deposit in the Collection Account and remit such funds as indicated in such Pledgor Order to pay such amount as required by, and subject to the
conditions of, Section 3.8, 3.9, 3.11, 3.12, 3.14 and 8.1 of the Loan Agreement. 

  

	(f)	On any date on which any Equity Restricted Payment is to be made by the Pledgor, the Pledgor may by Pledgor Order executed by an Authorized Officer of the Pledgor,
delivered to the Security Agent and the Security Agent Custodian, direct the Security Agent Custodian to withdraw funds on deposit in the Collection Account and remit such funds as indicated in such Pledgor Order to pay such amount, subject to the
conditions of Section 3.8(b) of the Loan Agreement. 

  

	(g)	On any date on which any Qualifying Purchase of a Debt Obligation is to be made pursuant to clause (i) or (ii) of Section 5.2(a) of the Loan Agreement,
the Pledgor shall by Pledgor Order executed by an Authorized Officer of the Pledgor, delivered to the Security Agent and the Security Agent Custodian, direct the Security Agent Custodian to withdraw funds on deposit in the Collection Account and
remit such funds as indicated in such Pledgor Order to pay the purchase price for such Debt Obligation. 

  

	(h)	The Security Agent shall at all times be party to the Account Control Agreement. Any and all assets or securities at any time on deposit in, or otherwise to the credit
of, the Accounts shall be held for the benefit of the Security Agent. Except in connection with a liquidation pursuant to Section 5, the only permitted withdrawal of assets or securities (other than Cash) from the Accounts or in, or otherwise
to the credit of, the Accounts shall be as directed, upon Pledgor Order, in accordance with the provisions of this Section 6.2, Section 6.3 and Section 6.4. 

  
 Page 11

	(h)	The Security Agent agrees to give the Pledgor immediate notice if the Security Agent obtains notice that any Account or any assets or securities on deposit therein, or
otherwise to the credit thereof, shall become subject to any writ, order, judgment, warrant of attachment, execution or similar process. 

  

	(i)	The Security Agent agrees with the Pledgor that the Security Agent will not give an Entitlement Order (as defined in the Account Control Agreement) under the Account
Control Agreement unless (i) an Event of Default has occurred and is continuing on the date such Entitlement Order is given or (ii) such Entitlement Order is to the effect that instructions of the Pledgor given under the Account Control
Agreement are not permitted by Section 6.2 or 6.3 of this Agreement (including as to the permitted application of funds contemplated hereby) or would constitute a Potential Event of Default or Event of Default. 

Release of Security Interest in Collateral 
  

	6.3(a)	Upon any sale or other disposition by the Pledgor of the Collateral (or portion thereof) in accordance with the terms of this Agreement and the Loan Agreement, the
pledge, security interest, lien and right of set-off of the Security Agent in such Collateral (or the portion thereof which has been sold or otherwise disposed of), and in all Collections and rights with respect to such Collateral (but not in the
proceeds of such sale or other disposition), shall, immediately upon the sale or other disposition of such Collateral (or such portion), and without any further action on the part of the Security Agent, be released except to the extent of the
interest, if any, in such Collateral which is then retained by the Pledgor or which thereafter reverts to the Pledgor for any reason; provided that the Security Agent shall execute and deliver to the Pledgor any documentation reasonably requested by
the Pledgor to effectuate or evidence the foregoing. 

  

	(b)	If no Event of Default has occurred and is continuing, the Security Agent Custodian shall, upon receipt of an Pledgor Order executed by an Authorized Officer of the
Pledgor or as otherwise provided by the Account Control Agreement, delivered to the Security Agent and the Security Agent Custodian at least two Business Days prior to the date of delivery directed in such Pledgor Order (or such fewer number of days
as the Security Agent may agree), deliver or cause to be delivered to or on the order of the Pledgor any Instrument included in the Collateral to the related debtor for ultimate sale or exchange or for presentation, collection, enforcement, renewal
or registration of transfer; provided that the lien of this Agreement on such Instrument remains perfected in accordance with Section 9-312(g) of the UCC and such Instrument shall remain subject to the lien of this Agreement unless and
until released in accordance with the foregoing clause (a). 

  

	(c)	 The Security Agent shall hold for the benefit of the Secured Parties all Certificated Securities and Instruments in physical form at the office of a
custodian appointed by it (the Security Agent Custodian). Initially, such Security 

  
 Page 12

	 	
Agent Custodian shall be Citibank N.A. with its address at 111 Wall Street, 15th Floor, New York, New York 10005, Attention: Global Transaction Services – ARCH STREET FUNDING LLC Any successor
custodian shall be a state or national bank or trust company which is not an Affiliate of the Pledgor and has capital and surplus of at least USD1,000,000,000. There may be only one Security Agent Custodian appointed at any one time, and any
successor thereto shall be appointed only as provided in the Account Control Agreement. 

 Method of Collateral Transfer

 6.4 The transfer of Collateral to the Security Agent Custodian to be held for the benefit of the Security Agent shall be done in the
following manner (with any and all other actions necessary to create in favor of the Security Agent a valid, first-priority security interest in each item of Collateral under applicable law and regulations (including Articles 8 and 9 of the UCC) in
effect at the time of such transfer): 
  

	(a)	each time that the Pledgor shall direct or cause the acquisition of any Collateral, the Pledgor shall, if such Collateral has not already been transferred to the
Custodial Account and credited thereto, cause the transfer of such Collateral to the Security Agent Custodian to be held in and credited to the Custodial Account for the benefit of the Security Agent in accordance with the terms of the Account
Control Agreement; and 

  

	(b)	the Pledgor shall, within ten days after the date of execution of this Agreement, file, or cause the filing of, all appropriate financing statements covering the
Collateral in the proper filing office in the appropriate jurisdictions under applicable law. 

 Termination 

6.5 Upon the termination of this Agreement, the termination of the Commitments and the payment and satisfaction in full of the Secured Obligations (other
than contingent obligations for which no claim has been made), the Security Agent shall forthwith cause to be assigned, transferred and delivered, against receipt but without any recourse, warranty or representation whatsoever, any remaining
Collateral and money received in respect thereof, to or on the order of the Pledgor. The Security Agent shall also execute and deliver to the Pledgor upon such termination and payment such UCC termination statements and such other documentation as
shall be reasonably requested by the Pledgor to effect the termination and release of the pledge, security interest, lien and right of set-off granted pursuant to Section 2. 
 THE SECURITY AGENT 
 7.1 The Person serving as
the Security Agent hereunder shall have the same rights and powers in its capacity as a Secured Party as any other Secured Party and may exercise the same as though it were not the Security Agent, and such Person and its

  
 Page 13

 
Affiliates may accept deposits from, lend money to and generally engage in any kind of business with the Pledgor or any Subsidiary or other Affiliate thereof as if it were not the Security Agent
hereunder. 
 7.2 The Security Agent shall not have any duties or obligations except those expressly set forth herein. Without limiting the
generality of the foregoing, (a) the Security Agent shall not be subject to any fiduciary or other implied duties, regardless of whether an Event of Default or Potential Event of Default has occurred and is continuing, (b) the Security
Agent shall not have any duty to take any discretionary action or exercise any discretionary powers, except discretionary rights and powers expressly contemplated hereby that the Security Agent is required to exercise by the Required Lenders in
writing, and (c) except as expressly set forth herein or in the other Credit Documents, the Security Agent shall not have any duty to disclose, and shall not be liable for the failure to disclose, any information relating to the Pledgor or any
of its Affiliates that is communicated to or obtained by it or any of its Affiliates in any capacity other than as Security Agent hereunder. The Security Agent shall not be liable for any action taken or not taken by it with the consent or at the
request of the Required Lenders or in the absence of its own gross negligence or willful misconduct. The Security Agent shall be deemed not to have knowledge of any Event of Default or Potential Event of Default unless and until written notice
thereof is given to the Security Agent by the Pledgor or a Secured Party (other than itself), and the Security Agent shall not be responsible for or have any duty to ascertain or inquire into (i) any statement, warranty or representation made
in or in connection with this Agreement or any other Credit Document, (ii) the contents of any certificate, report or other document delivered hereunder or thereunder or in connection herewith or therewith, (iii) the performance or
observance of any of the covenants, agreements or other terms or conditions set forth herein or therein, (iv) the validity, enforceability, effectiveness or genuineness of this Agreement, any other Credit Document or any other agreement,
instrument or document, or (v) the satisfaction of any condition set forth in Schedule I of the Loan Agreement or elsewhere herein or therein, other than to confirm receipt of items expressly required to be delivered to the Security Agent.

 7.3 The Security Agent shall be entitled to rely upon, and shall not incur any liability for relying upon, any notice, request, certificate,
consent, statement, instrument, document or other writing believed by it to be genuine and to have been signed or sent by the proper Person. The Security Agent also may rely upon any statement made to it orally or by telephone and believed by it to
be made by the proper Person, and shall not incur any liability for relying thereon. The Security Agent may consult with legal counsel (who may be counsel for an obligor on the Collateral), independent accountants and other experts selected by it,
and shall not be liable (absent gross negligence or willful misconduct) for any action taken or not taken by it in accordance with the advice of any such counsel, accountants or experts (unless such advice is contrary to an express provision of a
Loan Document). 
 7.4 The Security Agent may perform any and all its duties and exercise its rights and powers by or through any one or more
sub-agents appointed by the Security Agent, to the 

  
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extent such sub-agent is an Affiliate of the Security Agent. The Security Agent and any such sub-agent may perform any and all its duties and exercise its rights and powers through their
respective Affiliates. The exculpatory provisions of the preceding paragraphs shall apply to any such sub-agent and to the Affiliates of the Security Agent and any such sub-agent. 
 7.5 Subject to the appointment and acceptance of a successor Security Agent as provided in this paragraph, the Security Agent may resign at any time by notifying the Secured Parties and the Pledgor. Upon
any such resignation, the Required Lenders shall have the right, after prior written consent from the Pledgor (not to be unreasonably withheld), to appoint a successor. If no successor shall have been so appointed by the Required Lenders and shall
have accepted such appointment within 30 days after the retiring Security Agent gives notice of its resignation, then the retiring Security Agent may, on behalf of the Secured Parties and after prior written consent from the Pledgor (not to be
unreasonably withheld), appoint a successor Security Agent, which shall be a bank with an office in New York City or an Affiliate of any such bank. Upon the acceptance of its appointment as Security Agent hereunder by a successor, such successor
shall succeed to and become vested with all the rights, powers, privileges and duties of the retiring Security Agent and the retiring Security Agent shall be discharged from its duties and obligations hereunder. The fees payable by the Pledgor to a
successor Security Agent shall be the same as those payable to its predecessor unless otherwise agreed between the Pledgor and such successor. After the Security Agent’s resignation hereunder, the provisions of this Section shall continue
in effect for its benefit in respect of any actions taken or omitted to be taken by it while it was acting as Security Agent. 
 7.6 The
Security Agent Custodian shall be entitled to the same rights, protections and immunities as those afforded to the Security Agent in Sections 7.1 through 7.6, mutatis mutandis, together with those set forth in the Account Control Agreement.

 MISCELLANEOUS 

Notices 
 8.1 All notices and other
communications provided for herein shall be in writing and shall be delivered by hand or overnight courier service, mailed by certified or registered mail (airmail, if overseas) or the equivalent (return receipt requested) or sent by facsimile
transmission, as follows: 
  

	(a)	if to the Pledgor, to it at c/o FS Investment Corporation, Cira Centre, 2929 Arch Street, Suite 675, Philadelphia, PA 19104, Attention: Bill Goebel, Chief Financial
Officer, and Ken Miller, Vice President (Facsimile No. (215) 222-4649; Telephone No. (215) 495-1164); and 

  

	(b)	if to the Security Agent, to it at 390 Greenwich Street, 4th Floor, New York, New York 10013, Attention: Mitali Sohoni (Telecopy No. 646-291-5779; Telephone
No. 212-723-6181). 

  
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 Either party hereto may change its address or telecopy number for notices and other communications hereunder
by notice to the other party hereto. All notices and other communications given to either party hereto shall be deemed to be effective (i) if in writing and delivered by hand or overnight courier service, on the date it is delivered;
(ii) if sent by facsimile transmission, on the date that a transmission report confirming transmission is generated by the sender’s facsimile machine; or (iii) if sent by certified or registered mail (airmail, if overseas) or the
equivalent (return receipt requested), on the date that mail is delivered or its delivery is attempted, unless the date of that delivery (or attempted delivery) or that receipt, as applicable, is not a Business Day or that communication is delivered
(or attempted) or received, as applicable, after the close of business on a Business Day, in which case that communication shall be deemed given and effective on the first following day that is a Business Day. 

No Waiver 
 8.2 No failure on the part of
the Security Agent to exercise, and no course of dealing with respect to, and no delay in exercising, any right, power or remedy hereunder shall operate as a waiver thereof; nor shall any single or partial exercise by the Security Agent of any
right, power or remedy hereunder preclude any other or further exercise thereof or the exercise of any other right, power or remedy. The remedies herein are cumulative and are not exclusive of any remedies provided by law. 

Amendments, Etc. 
 8.3 No amendment,
modification or waiver in respect of this Agreement will be effective unless in writing (including a writing evidenced by a facsimile transmission) and executed by each of the Pledgor and the Security Agent (acting with the consent of the Required
Lenders); provided that, without the prior consent of each Lender, the Security Agent shall not (except as provided herein) release any Collateral or otherwise terminate any Lien hereunder, agree to additional obligations being secured by any
Collateral security, alter the relative priorities of the Secured Obligations entitled to the benefits of the Lien created hereunder, except that no such consent shall be required, and the Security Agent is hereby authorized, to release any Lien
covering property that is the subject of a sale, distribution or other disposition of property permitted under the Loan Agreement. 

Successors and Assigns 
 8.4 This
Agreement shall be binding upon and inure to the benefit of the respective successors and permitted assigns of the Pledgor and the Security Agent. Neither party shall assign or transfer any of its rights or obligations hereunder without the prior
written consent of the other party, and any such purported assignment without such consent shall be void. 

  
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 Counterparts 
 8.5 This Agreement (and each amendment, modification and waiver in respect of it) may be executed and delivered in counterparts, each of which will be deemed an original. Delivery of an executed
counterpart signature page of this Agreement by e-mail (PDF) or facsimile transmission shall be as effective as delivery of a manually executed counterpart of this Agreement. 
 Governing Law 
 8.6 This Agreement shall be construed in accordance with, and this Agreement
and all matters arising out of this Agreement and the transactions contemplated hereby (whether in contract, tort or otherwise) shall be governed by, the law of the State of New York. 
 Jurisdiction 
 8.7 With respect to any suit, action or proceedings relating to this
Agreement or any matter between the parties arising under or in connection with this Agreement (Proceedings), each party irrevocably: (a) submits to the non-exclusive jurisdiction of the courts of the State of New York and the
United States District Court located in the Borough of Manhattan in New York City; and (b) waives any objection which it may have at any time to the laying of venue of any Proceedings brought in any such court, waives any claim that such
Proceedings have been brought in an inconvenient forum and further waives the right to object, with respect to such Proceedings, that such court does not have any jurisdiction over such party. Nothing in this Agreement precludes either party from
bringing Proceedings in any other jurisdiction, nor will the bringing of Proceedings in any one or more jurisdictions preclude the bringing of Proceedings in any other jurisdiction. 
 Waiver of Jury Trial 
 8.8 THE PLEDGOR AND THE SECURITY AGENT HEREBY IRREVOCABLY WAIVE,
TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY. 

Captions 
 8.9 The captions and section
headings appearing herein are included solely for convenience of reference and are not intended to affect the interpretation of any provision of this Agreement. 

  
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 Agents and Attorneys-in-Fact 
 8.10 The Security Agent may employ agents and attorneys-in-fact in connection herewith and shall not be responsible for the negligence or misconduct of any such agents or attorneys-in-fact selected by it
in good faith and with due care; provided that the foregoing shall not constitute the waiver of any rights against any such agent or attorney-in-fact. 
 Severability 
 8.11 If any term, provision, covenant or condition of this Agreement, or the
application thereof to either party or any circumstance, is held to be unenforceable, invalid or illegal (in whole or in part) for any reason (in any relevant jurisdiction), the remaining terms, provisions, covenants and conditions of this
Agreement, modified by the deletion of the unenforceable, invalid or illegal portion (in any relevant jurisdiction), will continue in full force and effect, and such unenforceability, invalidity, or illegality will not otherwise affect the
enforceability, validity or legality of the remaining terms, provisions, covenants and conditions of this Agreement so long as this Agreement as so modified continues to express, without material change, the original intentions of the parties as to
the subject matter hereof and the deletion of such portion of this Agreement will not substantially impair the respective expectations or reciprocal obligations of the parties or the practical realization of the benefits that would otherwise be
conferred upon the parties. The parties will endeavor in good faith negotiations to replace the prohibited or unenforceable provision with a valid provision, the economic effect of which comes as close as possible to that of the prohibited or
unenforceable provision. 
 Third Party Beneficiaries 
 8.12 Nothing in this Agreement, expressed or implied, shall give to any Person, other than the parties hereto and their successors hereunder, any benefit or any legal or equitable right, remedy or claim
under this Agreement, except Section 5.2 hereof, which shall benefit the Secured Parties. 

  
 Page 18

 IN WITNESS WHEREOF, the parties hereto have caused this Security Agreement to be duly executed and
delivered as of the day and year first above written. 
  

			
	ARCH STREET FUNDING LLC
		
	By:	 	 /s/ William Goebel

		 	Name: William Goebel
		 	Title: Chief Financial Officer
	
	 CITIBANK, N.A.
 as
Security Agent

		
	By:	 	 /s/ Victoria Chant

		 	Name: Victoria Chant
		 	Title: Vice President

  
 Page 19

 CONTENTS 

 

					
	SECTION	  	PAGE	 
		
	 Definitions and Interpretation
	  	 	1	  
		
	 Grant Of Security Interest
	  	 	3	  
		
	 Representations And Warranties
	  	 	3	  
	 Ownership of Collateral
	  	 	3	  
	 Security Interest
	  	 	3	  
		
	 Covenants
	  	 	4	  
	 Title Covenants
	  	 	4	  
	 Security Agent May Perform
	  	 	4	  
	 Perfection, etc.
	  	 	4	  
	 No Other Financing Statements
	  	 	5	  
	 Prior Parties; Care of Collateral
	  	 	5	  
	 Continuing Liability of the Pledgor
	  	 	5	  
	 Limitation on Certain Changes
	  	 	6	  
	 Further Assurances
	  	 	6	  
		
	 Remedies
	  	 	6	  
	 Remedies
	  	 	6	  
	 Application of Proceeds
	  	 	9	  
	 Power of Attorney
	  	 	9	  
		
	 Custodial Account And Collection Account
	  	 	10	  
	 Collection of Money
	  	 	10	  
	 Custodial Account; Collection Account
	  	 	10	  
	 Release of Security Interest in Collateral
	  	 	12	  
	 Method of Collateral Transfer
	  	 	13	  
	 Termination
	  	 	13	  
		
	 The Security Agent
	  	 	13	  
		
	 Miscellaneous
	  	 	15	  
	 Notices
	  	 	15	  
	 No Waiver
	  	 	16	  
	 Amendments, Etc.
	  	 	16	  
	 Successors and Assigns
	  	 	16	  
	 Counterparts
	  	 	17	  
	 Governing Law
	  	 	17	  
	 Jurisdiction
	  	 	17	  
	 Waiver of Jury Trial
	  	 	17	  
	 Captions
	  	 	17	  
	 Agents and Attorneys-in-Fact
	  	 	18	  
	 Severability
	  	 	18	  
	 Third Party Beneficiaries
	  	 	18	  

  
 Page I

 Dated as of August 29, 2012 

ARCH STREET FUNDING LLC, 
 a Delaware limited liability company 
 as Pledgor 

and 

CITIBANK, N.A., 
 a national banking association 
 as Security Agent 

 
  

 
 SECURITY
AGREEMENT

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