# Performance Fee

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 a weekly target APR distributed to depositors, supported by the Reserve Fund.

#### **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.