Sales Fees per AUM | Traders Hideout - futures trading strategies, market news, trading charts and platforms

Traders Hideout

Discuss day trading practices and futures trading strategies on this forum for all markets. This forum is also for discussing and reviews for brokers, data feeds, and commercial or third party add-ons


Sales Fees per AUM

  #3 (permalink)

Market Wizard
Boca Raton
Trading Experience: Advanced
Platform: Variety
Broker/Data: Optimus Futures, LLC
Favorite Futures: Futures
mattz's Avatar
Posts: 2,385 since Sep 2010
Thanks: 2,321 given, 3,460 received

Minds View Post

I would like to better understand how sales people are paid in Hedge Funds and/or private banking.

For example, how much a salesman can get for a referral to a Hedge Fund when the client is investing 1M USD? For simplicity, we can say that the HF charge 2/20


For example how much a wealth manager (broker) from a large US bank can make if he/she signs a new client with a 1M USD business.

Do they work with a once time fee or variable for the existence of the client.

the 2/20 arrangement is reserved for the money manager. How they choose to compensate sales people is up to them whether one time or on an ongoing basis. You would need to find out if you need to be licensed in order to be compensated.

Matt Z
Optimus Futures

There is a substantial risk of loss in futures trading. Past performance is not indicative of future results.

PM with any questions about optimusfutures (800) 771-6748 (561) 367 8686. THERE IS A SUBSTANTIAL RISK OF LOSS IN FUTURES TRADING.
Reply With Quote
The following user says Thank You to mattz for this post: