CONSOLIDATED FINANCIAL STATEMENTS Ironwood Institutional Multi-Strategy Fund LLC Year Ended April 30, 2021 With Report of Independent Registered Public Accounting Firm This page is intentionally left blank. Ironwood Institutional Multi-Strategy Fund LLC Consolidated Financial Statements Year Ended April 30, 2021 Contents Report of Independent Registered Public Accounting Firm ........................................................... 1 Consolidated Statement of Assets and Liabilities ........................................................................... 2 Consolidated Schedule of Investments ........................................................................................... 3 Consolidated Statement of Operations............................................................................................ 7 Consolidated Statements of Changes in Net Assets ....................................................................... 8 Consolidated Statement of Cash Flows .......................................................................................... 9 Consolidated Financial Highlights ................................................................................................ 10 Notes to Consolidated Financial Statements................................................................................. 11 Supplemental Information (unaudited) This page is intentionally left blank. Ernst & Young LLP Tel: +1 312 879 2000 155 North Wacker Drive Fax: +1 312 879 4000 Chicago, IL 60606-1787 ey.com Report of Independent Registered Public Accounting Firm To the Members and the Board of Directors of Ironwood Institutional Multi-Strategy Fund LLC Opinion on the Financial Statements We have audited the accompanying consolidated statement of assets and liabilities of Ironwood Institutional Multi-Strategy Fund LLC (the “Fund”), including the consolidated schedule of investments, as of April 30, 2021, and the related consolidated statements of operations and cash flows for the year then ended, the consolidated statements of changes in net assets for each of the two years in the period then ended, the consolidated financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the consolidated financial position of the Fund at April 30, 2021, the consolidated results of its operations and its cash flows for the year then ended, the consolidated changes in its net assets for each of the two years in the period then ended and its consolidated financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles. Basis for Opinion These financial statements are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) ("PCAOB") and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of the Fund’s internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of investments owned as of April 30, 2021, by correspondence with the investment managers or administrators of the investment funds or by other appropriate auditing procedures where replies from the investment managers or administrators of the investment funds were not received. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion. We have served as the Fund’s auditor since 2010. June 17, 2021 1 This page is intentionally left blank. Ironwood Institutional Multi-Strategy Fund LLC Consolidated Statement of Assets and Liabilities April 30, 2021 Assets Cash $ 75,483,386 Short term investments, at fair value (cost $231,299,270) 231,299,270 Investments in investment funds, at fair value (cost $1,958,960,937) 2,837,422,453 Advance subscriptions to investment funds 115,000,000 Redemptions receivable from investment funds 4,001,773 Dividends receivable 1,803 Other assets 86,430 Total assets 3,263,295,115 Liabilities Subscriptions received in advance from Ironwood Multi-Strategy Fund LLC 41,086,426 Subscriptions received in advance 29,474,400 Payable to Adviser 9,190,943 Accrued expenses 370,294 Total liabilities 80,122,063 Commitments and contingencies (see Note 10) Net assets $ 3,183,173,052 Net assets consist of: Paid-in capital $ 2,909,163,685 Accumulated earnings 274,009,367 Net assets $ 3,183,173,052 Net asset value per unit 2,584,784.92 units issued and outstanding, no par value $ 1,231.50 See accompanying notes to consolidated financial statements. 2 Ironwood Institutional Multi-Strategy Fund LLC Consolidated Schedule of Investments April 30, 2021 Next First Available Acquisition Number of Percent of Redemption Description Date Shares (1) Cost Fair Value Net Assets Date (2) Liquidity (3) Investment Funds Relative Value: Alphadyne Global Rates Fund II, Ltd. 7/1/2018 95,479 $ 97,000,000 $ 130,945,820 4.11 % 6/30/2021 Quarterly (4) Alphadyne International Fund, Ltd. 7/1/2019 13,489 16,000,000 20,504,304 0.64 6/30/2021 Quarterly (4) D.E. Shaw Composite International Fund 1/1/2011 n/a 71,580,805 170,195,196 5.35 6/30/2021 Quarterly (5) D.E. Shaw Valence International Fund, LP 1/1/2015 n/a 30,859,296 69,317,093 2.18 6/30/2021 Quarterly (6) Eisler Capital Fund Ltd 1/1/2020 86,023 101,250,000 111,017,171 3.49 6/30/2021 Quarterly (4) ExodusPoint Partners International Fund, Ltd. 6/1/2018 150,000 150,000,000 181,378,606 5.70 6/30/2021 Quarterly (7) Millennium International, Ltd. 1/1/2011 128,688 144,072,870 290,474,828 9.13 6/30/2021 Quarterly (8) Two Sigma Absolute Return Cayman Fund, Ltd. 2/1/2016 46,124 61,000,000 67,637,904 2.12 5/31/2021 Monthly Two Sigma Spectrum Cayman Fund, Ltd. 6/1/2018 6,111 21,603,731 24,698,564 0.78 6/30/2021 Quarterly Total Relative Value 693,366,702 1,066,169,486 33.50 Market Neutral and Low Net Equity: Coatue Offshore Fund, Ltd. 3/1/2021 920,000 92,000,000 93,156,916 2.93 3/31/2022 Quarterly (4) D1 Capital Partners Offshore LP 3/13/2020 n/a 153,000,000 203,515,955 6.39 6/30/2021 Quarterly (9) Dragoneer Global Offshore Feeder II, LP 4/1/2021 n/a 21,350,000 21,691,600 0.68 6/30/2024 Semi-annually (10) Holocene Advisors Offshore Fund Ltd. 4/1/2017 125,233 128,500,000 179,679,263 5.64 6/30/2021 Quarterly (11) Suvretta Offshore Fund, Ltd 3/1/2013 35,968 46,556,393 99,632,156 3.13 6/30/2021 Quarterly (12) Suvretta Partners, LP* 1/1/2017 n/a 62,000,000 108,047,621 3.39 6/30/2021 Quarterly (13) Woodline Offshore Fund Ltd. 8/1/2019 104,053 105,650,000 125,960,951 3.96 6/30/2021 Quarterly (4) XN Exponent Offshore Fund LP 10/1/2020 n/a 89,716,092 105,568,055 3.32 6/30/2021 Annually (14) Total Market Neutral and Low Net Equity 698,772,485 937,252,517 29.44 Event-Driven: Elliott International Limited 1/1/2011 165,196 193,287,121 284,069,620 8.92 6/30/2022 Semi-annually (15) HG Vora Opportunistic Capital Fund (Cayman) LP 11/14/2019 n/a 21,960,000 27,885,639 0.88 n/a Other (16) HG Vora Special Opportunities Fund, LP* 4/1/2017 n/a 89,000,000 133,685,537 4.20 6/30/2021 Quarterly (4) HG Vora Special Opportunities Fund, Ltd. 7/1/2013 31,631 78,937,764 138,058,757 4.34 6/30/2021 Quarterly (4) Total Event-Driven 383,184,885 583,699,553 18.34 See accompanying notes to consolidated financial statements. 3 Ironwood Institutional Multi-Strategy Fund LLC Consolidated Schedule of Investments (continued) April 30, 2021 Next First Available Acquisition Number of Percent of Redemption Description Date Shares (1) Cost Fair Value Net Assets Date (2) Liquidity (3) Investment Funds (continued) Distressed and Credit Securities: Cerberus Global NPL Feeder Fund, LP 1/11/2019 n/a $ 10,544,787 $ 27,159,322 0.85 % n/a Other (16) Cerberus Global NPL Fund AIV II S.C.A.** 1/1/2021 n/a 7,997,179 7,498,729 0.24 n/a Other (16) Cerberus Global NPL Fund AIV, L.L.C.* 12/3/2019 n/a 883,652 740,131 0.02 n/a Other (16) Cerberus International II, L.P. 1/1/2021 n/a 91,365,196 111,207,635 3.49 6/30/2021 Semi-annually (10) Cerberus International SPV, Ltd. 3/1/2012 23 33,658 54,315 0.00 n/a Other (17) Cerberus International, Ltd.*** 2/1/2011 0.01 11,509 15,755 0.00 n/a Other (17) Silver Point Capital Offshore Fund, Ltd.