Fee-Earning AUM
The portion of a firm's assets under management that actually generates management fees right now -- distinct from total AUM, which can include committed-but-not-yet-invested capital, assets in a fee holiday, or co-investment money that pays no fee. For alternative managers especially, fee-earning AUM (sometimes "fee-paying AUM") is the more honest driver of near-term fee revenue than headline AUM, and the gap between the two -- "dry powder" and not-yet-earning commitments -- is a pipeline of future fee growth as that capital gets deployed.
Related terms
Absorption Rate · AFFO per Share · Allowed Return on Equity · Alternative Investments · Anchor Tenant · Assets Under Management
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