If a fund manager has the opportunity to receive a fee as an added incentive to enhance the performance of the fund,the amount of the fee may be based on the extent to which the performance of the fund exceeds an agreed upon hurdle rate of return.Such a fee is referred to as a:

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This type of fee is known as a "Promote." It is a performance-based incentive given to fund managers for surpassing a certain threshold or hurdle rate of return, encouraging them to achieve higher returns for their investors.

If a Fund Manager Has the Opportunity to Receive a Fee