Use Adjusted NAVs to Calculate Variable Expenses

WRITERS NOTE: is Gross Asset a valid component? 

You can set up variable expenses and variable group expenses to use an adjusted underlying NAV amount that the system uses to calculate a variable expense accrual. With adjusted NAV expenses, the system can adjust/derive the total net assets used to calculate daily expenses of a fund by including and excluding various components of fund activity.

When calculating a fund’s daily variable expense, the system can use adjusted NAV expense rules to retrieve an adjusted NAV amount. Adjusted NAV expense rules can allow the system to adjust a fund’s net assets by including and/or excluding activity from a fund’s total net assets when the NAV component used to create a variable expense accrual is Prior Day Total Net Assets, Adjusted Net Assets, gross asset, or Average Net Assets. The rule also defines if the system should include or exclude long/short positions, security type, and general ledger accounts in the total net asset amount. You can also apply external values to the rule.