From the Alternative Investment Management Association (AIMA)* Among the findings in AIMA’s paper “In Concert – exploring the alignment of interests between hedge fund managers and investors” : One-in-three managers now charge performance fees above a hurdle rate, such as a fixed percentage or an index-based benchmark Three-quarters (77%) of managers offer or are […] Read more »
How to Make Hedge Fund Side Pockets Work for Investors and Managers
By Evan Judd, Director of Bell Rock Group Side pockets are a useful portfolio management tool that have been around for a number of years, and offer measurable benefits to both investors and hedge fund managers. However, there are also some notable drawbacks as well as possibility for abuse that demand recognition before considering its […] Read more »
Hedge Funds: Mutually Inclusive, says Neuberger Berman
By Fred Ingham, head of international hedge fund investments, Neuberger Berman A quiet revolution is happening in hedge funds. Investors continue to allocate to the asset class, but the way they are allocating is changing, while its investor base is growing broader and becoming more inclusive. With both bond and equity markets facing major […] Read more »
Fee Pressures Are a Hot Button
By Simon Kerr, Publisher of Hedge Fund Insight Fee pressures are ubiquitous in the hedge fund industry. Pre-Credit Crisis there were fee pressures, but some large and very large managers with capacity-constrained funds and closed to all new capital could not be bullied or argued into fee concessions. In the aftermath of the Credit […] Read more »
New Hedge Funds Cannot Achieve Even 1.5/15% Fees In U.S.
From Eurekahedge/Hedge Fund Insight staff Table 1 details the average performance and management fees charged by North American hedge funds based on their year of inception and serves to give an idea of how the fee structure for hedge funds has evolved over the last 10 years. Historically hedge fund performance fees have remained […] Read more »
Macro Funds Disappoint In Fortress Results And In YTD Returns
By Hedge Fund Insight staff ……….For full graphics and tables follow read more link Read more »
Managed Accounts – Graphic of the Day
source: Preqin, based on survey data collected in July 2014 Read more »
Chart Of The Day – Management Fees of Hedge Funds Launched Last Year
* 2013 is YTD through 3Q, Source: Hedge Fund Research ©2014 Read more »
Chart Of The Day – Operating Margins Across Hedge Fund AUM Range
By Hedge Fund Insight staff Today’s Chart Of The Day comes from the Citi Prime Finance 2013 Business Expense Benchmark Survey released this week. We have known for some time that the balance of supply and demand post 2009 has been such that it has meant that hedge funds, even very well known and large […] Read more »
Margin Pressures Evident In Citi Hedge Fund Survey
From Citi Prime Finance The business of hedge funds is caught between rising costs and falling management fees, holding little profit for managers who don’t perform. That’s one key finding from the second annual global survey of the economics of hedge funds in the just-released Citi Prime Finance 2013 Business Expense Benchmark Survey. According to […] Read more »