Is it common to collect a 3% management fee during the investment period and reduce it to 1% afterward, as long as the total over 10 years doesn't exceed the allocation?
I had understood that its common for the standard 2% pa to be collected during the investment period (say 1st 5 years) ramping down to 1.5 or 1% after that. Adeo’s commentary seem to suggest its common to collect 3% during the investment period and reduce to say 1% after that. As long as the total over 10 years does not exceed total management fee allocation you can play with the distribution to come extent. Did I understand that correctly or am I way off?