Daisy performance fees only average 5% per month, taken out every six months so that your money can compound longer.
The average fees for a hedge fund are typically a combination of two types of fees: management fees and performance fees. The average fee for a hedge fund is typically 2% of the assets under management (AUM) for management fees and 20% of the profits for performance fees taken every quarter.
Performance fees, also known as incentive fees, are a percentage of the profits earned by the fund. The performance fee is only charged if the fund performs well. The average performance fee for a hedge fund is around 20% of the profits. The performance fee for a hedge fund is typically charged quarterly. The frequency of the performance fee will depend on the specific fund and the fee structure agreed upon by the fund manager and investors. Some hedge funds charge performance fees quarterly, while others charge them semi-annually or annually.
Management fees are a percentage of the assets under management (AUM) that the fund charges to cover the cost of running the fund, such as salaries, rent, and other expenses. These fees are typically charged regardless of the fund’s performance. The average management fee for a hedge fund is around 2% of AUM.
However, it is important to note that these are just averages, and the fee structure for hedge funds can vary greatly. Some hedge funds charge higher management and lower performance fees, while others charge lower management and performance fees.