有疑问

问题如下：

The following information applies to Rotunda Advisors, a hedge fund:

• $288 million in assets under management (AUM) as of prior year-end

• 2% management fee (based on year-end AUM)

• 20% incentive fee calculated:

net of management fee

using a 5% soft hurdle rate

using a high-water mark (high-water mark is $357 million)

• Current year fund return is 25% The total fee earned by Rotunda in the current year is closest to:

选项：

A.$7.20 million. B.$20.16 million. C.$21.60 million

解释：

Rotunda earns a management fee of $7.20 million but does not earn an incentive fee because the yearend fund value net of management fee does not exceed the high-water mark of $357 million.

Rotunda fees:

End-of-year AUM = Prior year-end AUM × (1 + Fund return) = $288 million × 1.25 = $360 million

$360 million × 2% = $7.20 million management fee

$360 million – $7.2 million = $352.8 million AUM net of management fee