TheFXHelpers charges a percentage of profits (performance fee) only. There are no signup fees or extra commissions. In addition, TheFXHelpers does not add any commission to the Broker’s spread, which is a practice widely used by Forex account managers to make additional money. This results in more money being made by the account as a whole, and since TheFXHelpers also owns one customer account in each fund, we all profit equally!
At the end of each month, the performance fee will be applied to new profits on your account. A high watermark is established each time the performance fee is applied. This means no additional performance fees may be earned until this high profit watermark has been surpassed.
Performance fees are negotiable for Institutional and Corporate accounts based on a tiered scale. Please contact us for more information.
Performance fee varies by fund, percentage of new gains based on the High Watermark rule. Fees are collected once per month or upon closing of the account.
A 35% fee will be applied to new profits on your account. So for example, if after one month, your account experiences gains of $10,000 in profit, $3,500 (35% of $10,000) is our performance fee and $6,500 is your net profit. If your account experiences a loss for the month, which will inevitably happen throughout the course of a year, then the performance fee is zero for that month.
Different programs aim at making different kinds of returns per month. Returns are a function of risk and market conditions and vary from month to month. Each fund sets aside a different benchmark for itself each month for the returns it sets out to achieve. No returns or profits are guaranteed and investors should understand the risks associated to their capital and trading in Forex.
A High Watermark, is a common approach to the calculation of performance fees. It means that performance fees are paid only on NET new rises in asset value. If a temporary decline occurs, it must be recouped before new incentive fees are paid. This ensures that TheFXHelpers and its traders receive a performance fee only when the account value exceeds its previous high, cementing the fact that our interests are in line with yours.
You start with $50,000 in an account with a performance fee of 35%, and during the month there is $5,000 gross profit. The performance fee deducted would be 35% of $5,000, which is $1,750, so your net profit would be $3,250 and your account would now have a “watermark” new balance of $53,250.
If in the next month there was a loss of $1000, there would be no performance fee deducted, since there is no profit, and your new balance would be $52,250.
Your “watermark” is still $53,250. So there will be no performance fee deductions until you get past your current “watermark”.