Understanding Your Returns
Your investment in a Tilt vault is represented by shares. The value of your shares changes as the fund’s portfolio performs.
Share Price
The share price is the Net Asset Value (NAV) per share:
share_price = total_assets / total_shares
total_assets = all held token values (at oracle prices) + idle tiltUSDC.
- Share price goes up when the portfolio appreciates
- Share price goes down when the portfolio declines
- Share price is diluted slightly by management and performance fees
Calculating Your P&L
Your profit or loss is:
current_value = your_shares × current_share_price
profit_loss = current_value - total_deposited + total_withdrawn
How Fees Affect Returns
Entry Fee Impact
The entry fee means you start slightly below break-even. A 0.30% entry fee on a 1,000 tiltUSDC deposit means you effectively invested 997 tiltUSDC.
Management Fee Impact
Management fees accrue continuously via share dilution. A 0.50% annual management fee means your share of the vault shrinks by ~0.50% per year, all else equal.
Performance fees are only charged on gains above the high-water mark. If the fund grows 20% and the performance fee is 15%, roughly 3% of total AUM is taken as fees (15% × 20%).
Exit Fee Impact
When you withdraw, 0.50% (default) is deducted from your gross withdrawal amount.
Net Return Example
Deposit: 10,000 tiltUSDC
Entry fee (0.30%): -30 → Net invested: 9,970
Fund grows 20% over 1 year:
Gross portfolio value: ~11,964
Management fee (0.50%): ~-60 (via share dilution)
Performance fee (15% of gains): ~-299 (via share dilution)
Net portfolio value: ~11,605
Withdraw all:
Exit fee (0.50%): ~-58
Net received: ~11,547
Total return: ~15.5% (vs. 20% gross fund return)
Comparing Strategies
When comparing two vaults:
- Don’t just look at gross returns — account for fees
- Check the share price history — a smooth uptrend is better than volatile spikes
- Look at the fee structure — a fund returning 18% with 0.50% management is better than one returning 20% with 2.00% management
- Consider drawdowns — how much did the fund lose in its worst period?
The share price chart on the vault dashboard is the single best indicator of after-fee performance. It already accounts for all fee deductions.
