High-water mark is the highest net asset value or account value that a fund has reached during the life of an investment.
In order for the fund managers to collect incentive fees (performance fees), they have to generate a profit in excess of the previous net asset value high, and any management fees charged. Fund managers must continue to post net asset value highs in order to collect on their incentive fee.
To set High-water Mark follow these steps:
1. Select Program
2. Expand Program Terms and select Fees
3. In section Fees select High-water Mark
4. Save settings