NISM 19C Alternative Investment Fund Managers Exam Notes

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  • Expense Allocation: Fund expenses are allocated as per the PPM and SEBI guidelines.
  • Distribution Waterfall: Profits are distributed based on a predefined waterfall structure.
  • Hurdle Rate: Managers may earn performance fees only after crossing a hurdle rate.
  • High-Water Mark: Performance fees are calculated based on the high-water mark principle.
  • Management Fees: Typically range from 1-2% of AUM, charged annually.

NISM 19C Alternative Investment Fund Managers

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