Managing Fees

Collect and manage fees from your Flux vault.

Overview

As a vault creator, you earn fees from vault operations. This guide covers:

• Collecting fees

• Fee optimization

• Transparency

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Collecting Fees

Accrued Fees

Fees accumulate over time as managers pay interest:

// Check accrued fees
uint256 fees = vault.accruedCreatorFees();

// Collect fees
vault.collectFees();

Fee Recipient

Set where fees are sent:

// Set fee recipient (multisig recommended)
vault.setFeeRecipient(recipientAddress);

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Fee Optimization

Finding the Sweet Spot

Too Low (<5%): Leaving money on table
Optimal (5-15%): Balanced for LPs and creator
Too High (>25%): Deters LPs, reduces TVL

Adjust Based on Performance

If mutable strategy:

• Lower fees if struggling to attract TVL

• Can increase if vault performing well

• Always communicate changes

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Transparency

Communicate Fees Clearly

Document in vault description:

Creator Fee: 10% of interest
Example: Manager pays 15% → LPs earn 13.5%, Creator earns 1.5%
Net LP APY: ~11% (after fees, at 85% utilization)

Fee Changes

If using mutable strategy:

• Announce fee changes in advance

• Explain rationale

• Give LPs time to react

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Related Documentation

• Configuring Fees

• Monitoring Health

• Vault Creation