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Why YTD Performance Models Can Outperform Both Sides — Fairly

NAVCalc Team, Oct. 24, 2025

Performance-fee models are often perceived as a zero-sum game— what investors gain, managers lose, and vice versa. But it doesn’t have to be that way. Among modern fund administration structures, the YTD performance model is emerging as a fairer and more efficient approach that aligns incentives for both investors and fund managers.

Performance-fee models are often perceived as a zero-sum game— what investors gain, managers lose, and vice versa. But it doesn’t have to be that way. Among modern fund administration structures, the YTD performance model is emerging as a fairer and more efficient approach that aligns incentives f…