Gross Value of the Portfolio at the end of the year
iii= i + ii
₹10.10
iv
Average Assets Under Management
iv= (i + iii) / 2
₹10.05
v
Other Expenses
v= iv x c
₹0.00
vi
Brokerage and Transaction cost
vi= iv x f
₹-0.10
vii
Management Fees
vii = (iv + v + vi) x b
₹-0.10
viii
Total Charges Before Performance Fee
viii = v + vi + vii
₹-0.20
ix
Gross Value of the Portfolio before Performance fee
ix = iii + viii
₹9.90
x
High Water Mark Value (HWM) (Capital contributed for 1st year and second year onwards as defined in the PMS agreement.
₹10.00
xi
Hurdle Rate of return or as defined in the PMS agreement
xi = i x e
₹0.10
xii
Gross Value of the Portfolio before Performance fee is greater than High Water Mark Value + Hurdle rate of return
xii = ix > (x+xi) then Yes else No P Fees
No
xiii
Portfolio return subject of Performance Fee
xiii = ix – x – xi
₹0.00
xiv
Performance Fee
xiv = xiii x d
₹0.00
xv
Net value of the Portfolio at the end of the year after all fees and expenses
xv = ix + xiv
₹9.90
xvi
% Portfolio Return
xvi = ((xv – i) / i) %
-1.00%
xvii
High Water Mark to be carried forward for next year. When performance fee is charged from the portfolio itself.
xvii = Max (x , xv)
₹10.00
xvii
High Water Mark to be carried forward for next year. When performance fee is paid separately by the investor to the PM.
xvii = Max (ix , x)
₹10.00
Notes:
Management
Fee is assumed to be charged annually in the illustration. However, it
can be charged at any frequency (Daily, Monthly, Quarterly,
Semi-annually, Annually) as defined in the PMS agreement and permitted
under SEBI regulations.
Management Fee can be based on Average
portfolio value or closing portfolio value, or other methods as defined
in the PMS agreement.
Returns are assumed to be generated linearly throughout the year.
Other
Expenses include Account Opening charges, stamp duty, Audit Fee, Bank
charges, Fund Accounting charges, Custody Fee, demat charges, or other
miscellaneous expenses.
Brokerage and transaction costs are illustrated based on Average AUM but are charged on actual trades.
All Fees and charges are subject to GST.
High
Water Mark for the 1st Year is the Capital invested. For subsequent
years, it is the year-end closing value after all charges and fees,
unless otherwise defined in the PMS agreement.
Hurdle Rate is
calculated based on the Higher of (HWM or previous year closing
capital), but may differ as per the PMS agreement.
Hurdle Rate is prorated if the performance fee period is less than 1 year or if there are inflows/outflows from the portfolio.
This illustration shows High Water Mark carry forward scenarios for fair treatment of the investor.
This is a generic illustration; each portfolio manager may modify it as per their PMS agreement terms and conditions.
Portfolio
Managers should also refer to the illustrations in Annexure 4A of the
Master Circular for Portfolio Managers dated June 07, 2024.
Please read the following carefully and select your residency
jurisdiction
If accessing this website by giving false declaration, the person shall be solely liable/responsible for any adverse consequences suffered, legally as well as financially, pursuant to use of any information contained in this website.
Beware of fraudulent websites and applications!
Buoyant or its employees will never ask you to join WhatsApp groups or social media accounts created by or on behalf of Buoyant. Buoyant does not have any App facilitating trading in securities, nor does Buoyant issue any advertisement for investment in any specific stocks or for any cash transactions.
If you come across any such activity, please report to the appropriate law enforcement authorities, and inform us on compliance@buoyantcap.com.
Click here for the list of our official social media handles.
