Fees
Everything the vault pays, who sets it, and who receives it
Each vault sets its manager fee terms at creation; they are immutable afterwards and always visible on the vault page before you deposit.
Every fee below is listed — including the protocol's own, and the trading costs the vault bears. All of them reduce the share price, so all of them come out of your return.
Vault fees
| Fee | Set by | Cap | Who receives it |
|---|---|---|---|
| Management | Manager | 10%/yr | Manager, as minted shares (dilution) |
| Protocol management | Fixed by the protocol | 0.10%–0.40%/yr | Protocol |
| Performance | Manager | 50% of your gain | Split manager/protocol |
| Withdrawal | Manager | 5% | Split manager/protocol |
Protocol management fee is additive
This one is easy to miss: the protocol management fee is charged on top of the manager's, not taken out of it. It is tiered by vault size, and smaller vaults pay the higher rate:
| Vault NAV | Protocol management fee |
|---|---|
| under $100k | 0.40%/yr |
| $100k – $1M | 0.30%/yr |
| $1M – $10M | 0.20%/yr |
| $10M and above | 0.10%/yr |
So a vault charging a 2% management fee costs you 2.4%/yr at small size, falling toward 2.1%/yr as it grows.
Performance and withdrawal fees have protocol floors
Performance: you pay max(manager's fee, 1% of your realised gain).
The protocol receives max(that 1% floor, 20% of the manager's fee), never
more than the total. At or above the crossover this is the classic 80/20
manager/protocol split. No performance fee is owed while you are flat or
in loss — a loss never nets against fees.
Your gain is measured against your own reference price, blended across your purchases and carried with the shares if they are transferred.
Withdrawal: you pay max(manager's fee, 0.2% of net-of-performance proceeds). The 0.2% floor applies even on a 0%-fee vault. It is waived
entirely on closed-vault redemption.
Trading costs
The vault trades like any Hyperliquid account and bears the same market costs — funding, slippage, and Hyperliquid's own exchange fee (0.045% taker / 0.015% maker at the entry tier, falling as the vault's volume grows).
On top of Hyperliquid's fee, orders routed through the protocol's trading gate carry a builder fee of 0.01% (1 basis point) of traded notional, paid to the protocol. It falls to 0.007% above $25M and 0.005% above $100M of the vault's trailing 14-day volume, and is capped on-chain at 0.02% — each vault approves that ceiling once, at creation, and it can never be raised afterwards.
It appears as builderFee on every fill, so it is auditable per trade.
Trading costs are borne by the vault, which means they reduce the share price and therefore your return. A high-turnover strategy pays them many times over; that cost is real and is not reflected in the headline management and performance fees above.
What the protocol cannot do
The protocol's share of the performance and withdrawal fees is hardcoded in the vault implementation, and the builder-fee ceiling is fixed at vault creation. Neither can be changed for a vault that already exists — not by the manager, and not by the protocol.