Graduated 10% Hurdle Rate Sample Clauses

Graduated 10% Hurdle Rate. The Graduated 10% Hurdle Rate is a variable scale the Fund (§ 2.1) uses to determine the amount of Management Fee (§ 3.11) and Performance Allocation (§ 3.12) to charge to the Limited Partners (§ 4.1) based on the Fund’s Performance (§ 6.12). To determine the Graduated 10% Hurdle Rate the annualized Performance in percentage is multiplied by 10. Graduate 10% Hurdle Rate = lim 0% →10% 𝑃𝑒𝑟𝑓𝑜𝑟𝑚𝑎𝑛𝑐𝑒 × 10 The Graduate 10% Hurdle Rate is only applicable when the Fund’s annualized performance is between 0% and 10%. When the annualized performance is below 0%, the Fund does not charge Management Fee or Performance Allocation. When the annualized performance is above 10%, the Fund charges the full 2% Management Fee and 20% Performance Fee.
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