Question for PMs regarding budgets at multi managers

I am talking to a couple of multi managers at the moment about setting up my own team as a PM. Somewhere along the line, I realized that I lack certain contextual knowledge regarding the management fee and its structure in MMs to make an informed decision. 

As I understand it, a certain amount of budget is allocated to the PM which is usually proportional to the AUM. Costs such as office space, infrastructure, data, analysts' salaries and bonuses as well as my own base salary will come from this management fee, and in many cases directly deducted from the fees by the MM

What I would like to find out from the others who have gone through this process are the industry norms for the following:

  1. What are the typical rates for management fees at MMs? 
  2. What are the pitfalls to look out for when the MM charges for things like infrastructure and data. How much discretion do we have over these?
  3. How much discretion do I have over the use of the management fee for salary and bonus payout for my analysts? 

Thanks in advance.




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