Although 1% of portfolio is not much it doesn't seem morally responsible to force managers and in the end investors to be exposed to GVT price fluctuations. Managers and investors should have freedom to choose where to put 100% of their investement and to what instruments to be exposed to. This would resolve any conflict of interest situation. Regulated funds work like that for obvious reasons.
The 1% fee can be added in many other ways but it shouldn't be a part of the portfolio. Maybe another 1% fee and some of it could be burned.
Customer support service by UserEcho