# Rewards and Punishments

## Rewards for good Trading

Positive Trades create Profits for the Fund and contribute to a positive cycle, which results in a commission of up to 15% for you (Depending on your Risk Threshold in this Cycle).&#x20;

In addition good Trades increase the Total Amount of Reputation Token and therefore the total share of the PEAKDEFI Fund you manage which affects the Total Commission you get.&#x20;

## Punishment for bad Trading

If your trade encounters a loss below 10% you will lose the normal amount of Reputation Token, whereas trades with more than 10% losses will lose a lot more Reputation Token as the losses increase. Trades with losses above 25% will lose all of the staked Reputation Token (for this Trade). This mechanism protects the PEAKDEFI Fund from heavy losses.


---

# Agent Instructions: Querying This Documentation

If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter:

```
GET https://documents.peakdefi.com/for-asset-managers/how-to-for-asset-managers.../rewards-and-punishments.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.
