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Fund Referral Fee-Sharing Explained

Updated over 3 months ago

Fund Managers can share a portion of their performance fees with individuals who introduce investors to their funds through a customizable referral fee-sharing system.

Setting Up Referral Fee-Sharing

As a Fund Manager, you can:

  • Set a referral fee-sharing rate between 1% and 100% (in 1% increments)

  • Update this rate at any time through the Client Portal

  • Allocate different rates to different introducers

How to Adjust Referral Rates

To modify a referral fee-sharing rate:

  1. Log into your Client Portal

  2. Navigate to Fund Management → Shares

  3. Find the introducer's name

  4. Click the Edit icon beside their name

  5. Enter the new rate percentage

  6. Save your changes

Calculation Example

Let's see how this works in practice:

  • Jason introduces 4 investors who invest a total of $50,000 in your fund

  • Your fund earns $10,000 in profit during a billing period

  • Your performance fee is set at 25% ($10,000 × 25% = $2,500)

  • You've set Jason's referral fee-sharing rate at 10%

  • Jason receives: $2,500 × 10% = $250

  • You retain: $2,500 - $250 = $2,250

This system allows you to reward introducers while maintaining control over your fee structure.

For assistance with referral fee-sharing, please contact our support team through the Service Hub, Live Chat, or email [email protected].

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