closing tag is in template navbar
timefactors watches



TZ-UK Fundraiser
Results 1 to 5 of 5

Thread: Quick question re fund managers

  1. #1
    Grand Master learningtofly's Avatar
    Join Date
    Jul 2010
    Location
    Everywhere & nowhere, baby
    Posts
    37,528

    Quick question re fund managers

    Sorry if this is a stupid question, but do fund managers normally charge a flat fee, or is is generally based on performance? if the latter, what would happen if there was on overall loss over a reporting period?

    Many thanks.

  2. #2
    Think some pay themselves a performance fee if certain targets are met (for example, 15% if over 10%). This on top of flat fee.

  3. #3
    Never found one that worked on a percentage of gains, which is telling. There tends to be a flat fee (1% is typical) which is payable even if they lose you money - which they frequently do.

  4. #4
    Master
    Join Date
    Jan 2012
    Location
    London-Islington
    Posts
    4,684
    Hedge funds and private equity funds tend to have this “performance” element. Generally speaking if the fund is “active” ie trying to beat the benchmark index instead of just tracking it the fees tend to be much higher. Personal opinion i would never instead in actively managed funds.


    Sent from my iPhone using Tapatalk

  5. #5
    Grand Master learningtofly's Avatar
    Join Date
    Jul 2010
    Location
    Everywhere & nowhere, baby
    Posts
    37,528
    Thanks guys - just what I needed.

    SWMBO has a reasonable sum in managed fund with a guy over in Switzerland. He acts for her family and has done for years, but all seems fine. (He’s on a flat fee with no performance element.)

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  

Do Not Sell My Personal Information