Milford must work harder for performance fees
Its most recent financial statements show it received $20.3 million in performance fees in the 2015 year, up from $18.9 million in 2014. It earned $24.3 million in capped management fees.
High water marks are used to stop fund managers earning performance fees when they are only recovering past losses.
The new fee structure, revealed in its latest prospectus, gives Milford a higher bar to clear.
Absolute return funds will reset their high water marks after every six months of positive performance, regardless of their position relative to the benchmark.
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