Typical Hedge Fund Incentive Bonus Is Usually Equal to ________

question 39

Multiple Choice

Typical hedge fund incentive bonus is usually equal to ________ of investment profits beyond a predetermined benchmark index.

• A) 5%
• B) 10%
• C) 20%
• D) 25%

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Definitions:

Maturity Date

The date on which a financial obligation must be repaid in full.

Promissory Note

A financial instrument containing a written promise by one party to pay a definite sum of money to another party at a specified future date or on-demand.

Account Receivable

The amount customers are required to pay to a firm for goods and services already received but not yet paid for.

Payee

The party in a financial transaction who receives the payment.