Lowering Fees to Entice Investors

Desperate for capital, hedge fund managers are suddenly more accommodating than before.

100x102l-s-perryrichard.jpg

Investors who want a piece of top-name hedge funds used to have little choice but to accept the cruel terms of admission. These included high fees (sometimes in excess of the industry standard 2 percent management fee and 20 percent performance fee), gates and lockups — all tilted in favor of the hedge fund manager.

To continue reading, subscribe now to Premium Journalism. Already a subscriber? login.

Related