medium · CFA Level I alts
Lumen Credit Fund utilizes a 1.5% management fee (paid on beginning-of-year AUM) and a 20% incentive fee with a High-Water Mark (HWM). No hurdle rate is applicable. An investor's initial stake is 10,000,000. Year 1 gross return is -10%. Year 2 gross return is +15%. The investor's net return for Year 1 is closest to:
- -10.0%
- -11.3%
- -11.5%
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