When calculating management fees, do you use paid in capital OR committed capital?
In real life, its typically on committed capital, but Schweser info contradicts itself:
Book 4:
1. Page 374: Management fees are paid to GP on annual basis as % of COMMITTED CAPITAL.
2. Page 382: Management fees are calculated as percentage fee times PAID-IN-CAPITAL.
C’mon…is it too much to ask for consistency….arg
