Calculator
See what your fund
is leaving behind.
Adjust the inputs. The math is conservative — we use 4.45% as the institutional reference rate and a 50 bps HMG fee. Share the URL to send a sponsor a pre-filled scenario.
$10M$250M$500M$1B
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Bank sweep average is 0.39%. Schwab Institutional sits 4.2-4.7%.
Hold horizon
Annual recovery (gross) $840,000
Net of HMG fee (50 bps) $740,000
3-year compound recovery $2.27M
Assumptions
- Reference yield: 4.45%. Mid-point of the Schwab Institutional treasury curve as of Q2 2026 — same-day liquidity tier weighted with short-term positioning.
- Bank-sweep baseline: 0.39%. FDIC weekly average for non-interest checking and sweep balances at U.S. commercial banks.
- HMG fee: 50 bps. Applied to recovered yield only — not to AUM. If we don't recover yield above 4.45 - 0.50 = 3.95%, you don't owe a fee.
- Idle capital share defaults to 20%. Internal benchmark across the mid-market PE and RE sponsors we've reviewed. Real funds range from 12% to 35%.
- Compound assumes flat reference yield over horizon. Real outcomes will move with rates. We don't assume rate increases.
See sources & disclosures for citation detail.