Answer
Agio calculates management and performance fees in each NAV run from the rates in the fund's terms and posts them as accruals in the fund's ledger. Agio Fund Services Ltd. in Nassau is licensed by the Securities Commission of The Bahamas (SCB) as an Unrestricted investment fund administrator under the Investment Funds Act, 2019.
The management fee is an annual rate applied to the basis in the fund's terms, either NAV or gross asset value, and can be tiered. A fund with a monthly NAV accrues one twelfth of the annual rate each month. A fund with a daily or weekly NAV accrues on an actual/365 day count.
Illustrative example only: a fund with a monthly NAV of 10,000,000 and a 2% annual management fee accrues 10,000,000 × 2% ÷ 12 = 16,666.67 for the month. Actual fees depend on the fund's terms, classes and dealing.
The performance fee is calculated per investor holding against a high-water mark, with a hurdle when the fund terms set one. It crystallizes at the frequency in the fund terms, and a redemption crystallizes the fee on the redeemed shares.
The fund documents set the rates and terms. Agio calculates and records the fees, and the fund manager approves the NAV that carries them. The period reporting package shows the fee accruals for the auditor.
Audit support records →Next step
Tell us what you need and we will reply with the next steps.