Generation Investment Management US provides investment management services to pension plans, trusts, foundations, endowments, government entities, corporations, partnerships, and high net worth individuals. Generation's investment approach integrates sustainability research with fundamental equity analysis, believing that sustainability factors directly affect long-term business profitability. Generation US also provides sub-advisory services to Generation UK.
Fee Structure
Generation Investment Management US charges a management fee for the Global Equity Fund, which is 0.80% per year. This fee reduces over time for clients who have been invested continuously:
- 5 years or more: 0.70% per year
- 10 years or more: 0.60% per year
- 15 years or more: 0.50% per year
The firm also charges an incentive fee of 20% of the amount by which capital appreciation on the client’s account outperforms a benchmark. Fees and minimum account sizes are negotiable. The minimum initial investment in the Global Equity Fund is $3,000,000. The minimum additional investment is $1,000,000. For the Asia Fund, the management fee is 0.75% per year until Generation US determines that the proportion of the assets of the Asia Fund chargeable at 0.75% has reached capacity. Once the reduced Management Fee capacity is reached, the Management Fee for the Asia Fund will be an annual rate of 1.00% of assets under management. Upon reaching that annual rate for new investments, Generation will then offer the same fee arrangement as the Global Equity Fund.