This tab allows managing existing fee types and creating new ones. To create a new fee type the user needs to press the ‘Add’ button and enter the name, short name, whether the fee type is for products or portfolios, if it is of type waiver and if it may be negative.
A fee type is usually linked to a fee type (e.g. AMF, TER etc). But it is also possible to set up fees for portfolios (service fee etc). If a fee type is linked to portfolios, exception treatment for this type of fee can be setup on portfolio level.
Fee types are by default not of type ‘waiver’. If a fee type is flagged as waiver, it is possible to set up a calculation set which deducts the fee waiver from another fee type (which is not of type ‘waiver). So for example Rebate fee waiver can be deducted from AMF.
Depend on the type of fee, the fee might turn into a negative rate (e. g. yield). To be able to capture these rates, the fee type needs to be flagged as being allowed to have negative rates. By default, fee rate must be positive rates.
Further fee types can be linked to portfolios. If linked to portfolios then a standard fee rate can be defined on the History of standard rates. This screen is accessible via the hyperlink on short name or name of the fee type. If the fee type is linked to products it is mandatory to attach product groups in the calculation set
To define the standard rates, the user needs to access the history of standard rates and click on the ‘Add’ button.
In the next step a Start date and the rate is required.
To enter an exceptional rate the user needs to enter the rate directly in the relevant portfolio. See History of exception rates
By fee type the user can see the exception in the tab ‘View Exceptions’:
Special fee type ‘Average Gross Yield’
A dedicated setting is available for the fee type ‘Average gross yield’. Upon condition that the fee type ‘Gross yield’ exists and has fee rates attached to it, RCP does automatically create a fee type ‘Average gross yield’. As such fee type is artificially created it does however not show up on the fee type menu and rate are not visible in the UI either. Nevertheless, the fee type ‘Average Gross Yield’ can be used within calculation sets. Average Gross Yield is created by calculating an average monthly yield rate (adding daily rates and dividing by the number of days within the period). During the current month, it is assumed that the last available NAV price is carried forward until month end.
Therefore no intracycle payments for this fee type are available.