Performance Fee

Does Yuzu Money charge a performance fee on the generated yield?

Rather than charging a performance fee on every positive P&L event - which creates unpredictable yield and amplifies payout volatility. Yuzu Money takes a fixed-fee approach: no performance fee, and dynamically adjusted APY distribution to depositors based on the following mechanisms:

Yuzu Alpha: How It Works

Surplus weeks: When realized P&L exceeds the distributed yield, the excess accrues to the Reserve Fund.

Deficit weeks: When realized P&L falls short, the Reserve Fund covers the gap.

This yield-smoothing mechanism is designed to deliver more consistent weekly distributions while allowing the protocol to pursue high-quality strategies whose returns may be uneven week to week.

Yuzu Money posts a discretionary yield APY for syzUSD and yzPP on a weekly and daily basis respectively. This APY is subject to market volatility and a small spread is taken between the actual yield earned on deployed strategies and posted yield for the two tokens.

Yuzu Prime: How It Works

Continuous yield adjustment based on what the underlying strategies and assets are yielding.

Yield distributed to yzPrime is continuous (with no weekly epochs unlike Yuzu Alpha). This APY is subject to market volatility and a small spread is taken between the actual yield earned on deployed strategies and posted yield for the two tokens.