Performance or Strategy Fee
One of the new improvements in the protocol is now it is supporting the performance fee for fund manager. Unlike v1, the manager only get the withdrawal fee whenever user withdraw the fund. Performance fee is based on individual average cost for the fund and the time of the exit from the fund. As in traditional fund management industry, 2/20 as a standard for the active fund. 2% as annual fund management fee, while 20% is the performance fee charge on the profit gain from the fund.
BNB-chain
| Current unit price: $2.0 per unit |
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Performance Fee = 20% | Users average cost: $1.5 per unit | Users Invested: $1,000,000 |
Performance fee charges when withdrawal = (2.0 – 1.5) * 1mm * 20%
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