SaxoSelect Trading Strategy Fees

Fees Explained

Our Trading Strategies are subject to three fees or costs. Trading costs, a service fee, and a performance fee.

  1. Trading costs are incurred as expected when positions are opened/closed. Our Trading Strategies trade on institutional-level rates with compressed costs, and vary depending on the specific instruments traded.

  2. The service fee is applicable across all our managed portfolios. The service fee for our Trading Strategies is 0.5% p.a.

  3. A performance fee is payable to the manager if the quarter-end portfolio value surpasses the previously set highest value at the end of a quarter (“high watermark”). This way the investor and the manager’s interests are aligned. The performance fee is 20%.
    For more detailed information visit the dedicated SaxoSelect performance fees page

 

Schedule of fees

Trading costs are applied directly and immediately in the client’s account.

The service fee is calculated daily but debited at quarter-end.

Performance fee is calculated at quarter-end, after trading costs and the service fee have been applied to the account balance. If the portfolio value (not including any additional deposits/withdrawals) has increased compared to the previous high watermark then the performance fee is payable on the growth. 

If the portfolio value has not surpassed the high watermark no performance fee is payable. 

 

Impact of costs on returns

The performance figures we quote are net of trading costs, but exclude the impact of service and performance fees - these fees are unique to each investor depending on portfolio value, date of commencement and any additional funds deposited/withdrawn.

The illustrations below aim to help clients understand and calculate the effect of the Trading Strategy fees on returns in different scenarios. 

Note: these are for illustrative purposes only. To reasonably display how service and performance fees are accrued these illustrations are based on a simplified view of returns, assuming a constant increase or decrease in account value. Performance is likely to be more nuanced and experience both positive and negative returns across any given period.

 

USD 50,000 initial investment. Headline 5% return. 3.9% net of all costs.

Q1 Start Value

USD 50,000

Q1 End Value (incl. trading costs)

 USD 52,499

Q1 End Performance (before service & performance fees)

5.0%

 

 

Q1 Service Fee

 USD 63

Acc. Value less Service

 USD 52,436

Q1 Performance Fee

 USD 487

Acc. Value less Performance

 USD 51,949

Performance after fees

3.9%

 

USD 50,000 initial investment. Headline 10% return. 7.9% net of all costs.

Q1 Start Value

USD 50,000

Q1 End Value (incl. trading costs)

USD 55,001

Q1 End Performance (before service & performance fees)

10.0%

 

 

Q1 Service Fee

 USD 65

Acc. Value less Service

 USD 54,936

Q1 Performance Fee

 USD 987

Acc. Value less Performance

 USD 53,949

Performance after fees

7.9%

 

USD 50,000 initial investment. Headline 20% return. 15.9% net of all costs.

Q1 Start Value

USD 50,000

Q1 End Value (incl. trading costs)

USD 60,001

Q1 End Performance (before service & performance fees)

20.0%

 

 

Q1 Service Fee

 USD 68

Acc. Value less Service

 USD 59,933

Q1 Performance Fee

 USD 1,987

Acc. Value less Performance

 USD 57,946

Performance after fees

15.9%

 

USD 50,000 initial investment. Headline -5% return. -5.1% net of all costs.

Q1 Start Value

USD 50,000

Q1 End Value (incl. trading costs)

USD 47,500

Q1 End Performance (before service & performance fees)

-5.0%

 

 

Q1 Service Fee

 USD 60

Acc. Value less Service

 USD 47,440

Q1 Performance Fee

 N/A

Acc. Value less Performance

 USD 47,440

Performance after fees

-5.1%

Trade Responsibly
All trading carries risk. To help you understand the risks involved we have put together a series of Key Information Documents (KIDs) highlighting the risks and rewards related to each product. Read more
Additional Key Information Documents are available in our trading platform.

Saxo Markets is a registered Trading Name of Saxo Capital Markets Ltd (‘SCML’). SCML is authorised and regulated by the Financial Conduct Authority, Firm Reference Number 551422. Registered address: 26th Floor, 40 Bank Street, Canary Wharf, London E14 5DA. Company number 7413871.

This website, including the information and materials contained in it, are not directed at, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in the United States, Belgium or any other jurisdiction where such distribution, publication, availability or use would be contrary to applicable law or regulation.

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