Fee

Management Fee and Performance Fee

We’ve engineered a dual tiered fee system that harmonizes the interests of our team and our investors, striking an optimal balance between the ongoing operation of the fund and the returns we generate.

Token treasury generating fees

Management Fee

To ensure our fund's seamless operation and our focus on unearthing top tier investment opportunities, we charge a modest management fee of 2% one time deposit fee. This fee aids in covering the operational costs associated with the fund, such as legal expenses, compliance, technology upkeep, research, and administrative overheads.

This fee is not merely a charge but an investment in the seamless and proficient management of the fund. It's the financial fuel that powers our daily operations and enables us to deliver an efficient, professional service to our investors.

The management fee covers a range of operational expenses, including:

1. Legal and Compliance Costs: These are expenses related to adhering to the various laws and regulations that govern our operations. This ensures that we remain compliant with all relevant laws and maintain our legal standing.

2. Technology Costs: As a digital first DeFi fund, we rely heavily on technology for everything from research and analysis to communication and security. The management fee contributes to the maintenance and enhancement of our technical infrastructure.

3. Research Costs: Staying on top of the rapidly evolving DeFi landscape requires constant research and analysis. The management fee supports our research efforts, helping us identify promising investment opportunities and make informed decisions.

4. Administrative Costs: This covers a host of miscellaneous expenses that are integral to running the fund, such as salaries, rent, utilities, and more.

In essence, the 2% management fee is the lifeblood of our fund, allowing us to operate efficiently and deliver value to our investors. The charge is not just a fee but a strategic investment in the operational excellence of the fund. By covering these essential expenses, we ensure our team can focus entirely on generating the best possible returns for our investors.

Performance Fee

We firmly believe in the ethos of performance driven rewards. Therefore, we charge a performance fee of 30% on the profits the fund generates. Importantly, this fee only applies when the fund yields positive returns, ensuring our interests are truly aligned with those of our investors. By linking a substantial part of our remuneration to the fund's performance, we’re incentivized to deliver the highest possible returns to our investors.

Our performance fee structure aligns with the interests of our investors, ensuring that we are motivated to generate the best possible returns. This fee is set at 30% of the profits generated by the fund, meaning we only benefit when our investors do.

The profits generated are channeled back to investors in two ways:

1. Dividend Payouts: A portion of the profits is distributed back to investors in the form of dividends. This is a tangible return on investment that goes directly into the pockets of our investors.

2. Token Price Appreciation: The remaining profits are deposited in token treasury, which increases the value of our native DeFiLP token. As the value of the fund increases, so does the price of the token. This allows investors to benefit from the appreciation of the token price, in addition to the investing in fund.

Our approach ensures that the success of the fund translates directly into tangible benefits for our investors. It reflects our commitment to aligning our interests with those of our investors and to share the rewards of our collective success. By incentivizing performance, we ensure that our primary focus is always on generating the best possible returns for our investors.

Commitment to Transparency and Value

Transparency and fairness in our fee structure are fundamental to nurturing long-standing relationships with our investors and driving our fund's success. By implementing a reasonable management fee and a performance-based fee, we can sustain operational efficiency while keeping our interests closely intertwined with those of our investors.