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Fee3 modules2 tools1 controlled examples1 document routes

Fee drag

The portion of gross performance consumed by recurring or one-time fund costs before the investor sees net return.

Why it matters

Small annual differences compound, and loads reduce invested capital before performance begins.

What this means on AltHarbor

Use the Fee Drag Lab before comparing share classes or headline performance across funds.

Product-page application

Use this when reviewing fee drag, share-class cost, net return as mechanic fields. Product surfaces apply the same vocabulary to real fund facts.

Source checklist
  • Layer recurring and upfront costs before interpreting performance.
  • Check whether returns are net of the same fee base.
  • Use share-class-specific economics when explaining client impact.
Tooltip / inline use

Layer recurring and upfront costs before interpreting performance.

Apply this concept

Definition to source check to tool, controlled example, advisor language, and learning path.

ToolFee Drag Lab

Translate a fee table into the amount of performance consumed by wrapper and distribution economics.

LiveControlled exampleMODEL-BDC-FEE: Model BDC wrapper and share-class economics

Use a controlled BDC scenario to connect wrapper structure, servicing fees, and share-class comparison before discussing performance.

Non-traded BDC / fee stackAdvisor outputCheck the selected class before comparing performance

Use before comparing performance, yield, or peer rankings across classes or products.

Prospectus checksLearning pathFees and performance

Compare performance after understanding what the return includes.

Core / 41 min

Reference graph packet

One concept entry now routes to the full Learn system.

3Modules
2Tools
0Wrappers
1Examples
1Outputs
ToolFee Drag Lab

Translate a fee table into the amount of performance consumed by wrapper and distribution economics.

LiveToolShare Class Cost Comparator

Make share-class selection visible before advisors compare net performance.

LiveControlled exampleMODEL-BDC-FEE: Model BDC wrapper and share-class economics

Use a controlled BDC scenario to connect wrapper structure, servicing fees, and share-class comparison before discussing performance.

Non-traded BDC / fee stackAdvisor outputCheck the selected class before comparing performance

Use before comparing performance, yield, or peer rankings across classes or products.

Prospectus checksModuleFees: What You Actually Pay in Semi-Liquid Alternative Funds

A plain-English map of management fees, incentive fees, loads, trail fees, leverage costs, and total expense ratios.

FeesModuleBenchmarking and Performance: How to Read Alternative Fund Returns

How to interpret yields, total returns, IRR, MOIC, inception dates, benchmark choices, and fee drag.

PerformanceConceptShare class

A class of fund shares with its own eligibility, fees, minimums, or channel rules.

Shared module: FeesConceptServicing fee

A distribution or shareholder-servicing charge often tied to retail share classes.

Shared module: Fees

Related modules

FeesFees: What You Actually Pay in Semi-Liquid Alternative FundsPerformanceBenchmarking and Performance: How to Read Alternative Fund ReturnsAccessAccess and Distribution: How to Actually Get Into These Funds

Related tools

LiveFee Drag LabLiveShare Class Cost Comparator

Related wrappers

This term applies across wrappers or does not belong to a single wrapper row.

Advisor outputs

Leave with language and diligence prompts.

Prospectus checksCheck the selected class before comparing performance

Confirm share class, management fee, incentive economics, servicing fees, loads, platform costs, and whether the return series is net of the same economics.

Product review
Client-safe summary

Fee drag is the part of return consumed by recurring costs and distribution economics before the client sees net performance.

What to check

Compare management fees, incentive fees, servicing fees, loads, acquired-fund expenses, and whether each return figure is net of the same costs.

Advisor phrasing

The same investment pool can produce different client outcomes when share-class costs differ.

Concept graph

Neighboring terms to inspect next.

AccessShare classShared module: Fees / Shared module: AccessFeeServicing feeShared module: Fees / Shared module: AccessFeeManagement feeShared module: Fees / Shared module: PerformanceFeeUpfront loadShared module: Fees / Shared module: AccessFeeIncentive feeShared module: Fees / Shared tool: Fee Drag LabWrapperNon-traded BDCShared module: Fees / Same controlled example: MODEL-BDC-FEE

Controlled Examples

Use the concept, then inspect the model scenario.

Private CreditMODEL-BDC-FEE
Non-traded BDC / fee stack

Model BDC wrapper and share-class economics

Use a controlled BDC scenario to connect wrapper structure, servicing fees, and share-class comparison before discussing performance.

Open Learn example