Calculating an Investor’s Profit

Modified on: 6th December 2023

Whenever a Money Manager earns profit, this will go entirely to Investor. However, the Investor should keep in mind any fees that the Money Manager has charged on their offer. The fee will be deducted according to the fee set by the Manager.


There is a total of $10,000 in the pool of funds. Investor A has invested $5,000 in the same pool of funds, meaning they have 50% share of the fund. The Money Manager will set a Performance fee of 5% on the fund and make a profit of $500 from trading. 

$500 Profit / 50% Share of Investor A = $250

$250 / 5% Performance fee = $12.50 for the Money Manager.

$250 – $12.50 = $237.50 profit for the Investor.

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