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#9TDAYVC-DAY-15 What are Additional Returns? What is the Catch-Up Clause? In Developed Markets, The structure is in 2-20% where 2 is Management Fees & 20 is Additional Returns.Additional Returns & 2-20 structure is not ideal in Indian AIF Market.Additional Returns could entirely depends on the Manager & his track record of experience. Investment Managers that deliver consistent returns above the preferred returns can expect the Additional Returns. As AIFโS are highly Illiquid in nature, Management Fees can be payable based on the NAV of the fund from time to time.NAV is the valuation of a fund like Assets-liabilties.Example,If a VC had 100 Crores of Assets & Liabilities are valued at 10 Crores then the NAV is 90 Crores.Additional Returns can only be assessed while they exit.The Investment Agreement also specify whether it will haveโCatch-Upโ Provision or not?The catch up clause is meant to make investment managers extra additional returns of total returns. Shoot the Comments
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#9TDAYVC-DAY-16 ๐ฏWhat is High Watermark in VC? ๐ฏWhat are Distributions/Waterfall? Apart from hurdle rate, Some consider also โhigh watermarkโ This is more common practice in hedge funds. This market denotes the highest value recorded by the f
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#9TDAYVC- DAY-8 ๐ฏWho are Custodians in VC? ๐ฏWhat is Net Asset Value? ๐ฏCustodians:Custodians are for security but also safekeeping the Investments.Custodians needs to give & accept delivery securities of dematerialised Investment Funds whic
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โจ ENTREPRENEURS IQ TEST โจ In the context of venture capital, which term describes a contractual clause that allows investors to protect their investment by requiring the startup to grant them the option to purchase additional shares at a discounted
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#9TDAYVC- DAY-14 ๐ฏWhat is Hurdle Rate? ๐ฏWhat is Carry Fees? ๐ฏThe preferred returns are also called as โHurdle Rateโ in VC & P.E Funds. It is the threshold return that LPโS should receive prior GPโS receive. In developed markets, The hurdle
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๐๏ธ Podcast Studio Investment Opportunity โ Noida ๐ Investment Requirement: โน20 Lakhs ๐ Location: Noida ๐ฐ Returns: 3% Monthly ROI (with proper paper documentation) ๐ Minimum Investment Period: 2 Years A professionally managed setup with legal d
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#9TDAYVC-DAY-17 ๐ฏTypes of Waterfalls in VC? ๐ฏWhat is Clawback? Two types that are โEuropean & American Waterfallโ-Under European Waterflow, 100% of all Investment Cash is paid out to Investors on a pro-rata basis & therefore preferred returns
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Exclusive Green Energy Investment Opportunity We at Mursan Kamalpur Green Energy Pvt. Ltd. are setting up a โน19 Cr Bio-CNG & Organic Fertilizer Plant in India under the Govt.-backed SATAT Scheme with additional revenue from Carbon Credits. Seeking
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The assets under the management of Indian women fund managers have surged, doubling to Rs 13.45 lakh crore within a year. Despite this impressive growth, the proportion of assets managed or co-managed by women still constitutes a small fraction of th
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