> For the complete documentation index, see [llms.txt](https://docs.arcadia.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.arcadia.finance/protocol/asset-managers/compounders.md).

# Compounders

Compounders address a critical inefficiency in concentrated liquidity protocols, where yield from liquidity positions is not automatically reinvested. These asset managers transform linear returns into exponential growth by automatically compounding fees.

For a deep dive into our Compounders' mathematical and technical intricacies, [read our comprehensive deep dive](/deep-dives/compounders.md).

### Properties

Compounders are:

* Immutable.
* Non-Custodial but triggering is Permissioned.
* The contract relies on economic incentives, with the initiator of the compound earning a small reward.

### Fees

The compounders charges the standard fee on yield earned, see [Fees](/protocol/fees.md) and may charge a fee on amounts swapped based on the stAAA holdings of the Account Owner.