The Typical Hedge Fund Fee Structure Is

question 42

Multiple Choice

The typical hedge fund fee structure is

• A)a management fee of 1% to 2%.
• B)an annual incentive fee equal to 20% of investment profits beyond a stipulated benchmark performance.
• C)a 12-b1 fee of 1%.
• D)a management fee of 1% to 2% and an annual incentive fee equal to 20% of investment profits beyond a stipulated benchmark performance.

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Definitions:

Key Goal

A primary or chief objective that an individual, team, or organization aims to achieve within a defined timeframe.

Financial Losses

A decline in money, assets, or investments value experienced by an individual or organization.

Health Care

The organized provision of medical services to individuals or communities for the purpose of promoting, maintaining, monitoring, or restoring health.

Work Schedules

The allotted times and periods assigned for work activities and tasks.