Finance and Funds

Hurdle rate

0417-en RE430 Financial Market Law As of 11.07.2026


If a performance fee only becomes due on a hedge fund investment once the returns exceed a certain value, e.g. 5 percent p.a., this threshold value is called the hurdle rate.

Deutsch

Hurdle Rate 0417-de

Wird bei einem Hedge Fund erst dann eine Performance Fee fällig, wenn die Rendite einen bestimmten Wert wie beispielsweise fünf Prozent p.a. überschritten hat, so heisst diese Schwelle Hurdle Rate.

Suggested citation

Hurdle rate (0417-en), in: LAWPEDIA®-Glossar, provided by LAWCONSULT AG, www.lawconsult.ch/lawpedia/en/hurdle-rate, as of: 11.07.2026 [accessed on ].

The entries in the LAWPEDIA® glossary serve general information purposes and do not constitute legal advice. Despite careful preparation, LAWCONSULT AG accepts no liability for the accuracy, completeness or timeliness of the information.

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