The new revenue recognition standard is going to bring significant changes and will impact the primary sources of revenue for asset managers, since management fees and performance-based fees are both scoped into the new framework. As a result, the new guidance will require a high level of estimation and analysis.
With adoption just around the corner — 2018 for public business entities and 2019 for all other organizations — don't wait to begin planning for the transition.
Our revenue recognition resource guide for investment funds identifies potential areas impacting asset managers, including:
- Management fee revenue
- Carried interest
- Management fee waivers and reimbursements
- Other incentive or performance fee revenue and capital allocation
Download our Revenue recognition resource guide for investment fund managers to help your firm implement the new standard.