More terms
Performance Fees
Adviser compensation linked to investment performance, commonly a percentage of profits above defined terms; carried interest is a common private-fund form.
What traders should verify
For Performance Fees, inspect the legal structure, adviser and Form ADV, investor eligibility, strategy, holdings, fees, leverage, liquidity, conflicts, and reporting date.
Do not conflate
The label Performance Fees does not by itself establish registration status, current holdings, liquidity, risk, performance, or investor eligibility.
Primary source
SEC definitionSource boundary: this glossary reflects SEC staff views and is not a Commission rule, regulation, or statement. Check the linked source for current wording and legal context.