yahoo.reuters.com/...8043_2005-10-06_20-19-29_n06186007_newsml
A survey released this week by ICBI highlighted pension funds' current dissatisfaction with performance and fees at fund of hedge funds. Earlier in the year, a study by Deutsche Bank showed that hedge funds are likely to take in only $40 billion in the next year, down from the $123 billion they added in 2004.
Hedge funds made money in the third quarter but not as much as the stock market, raising questions whether investors will want to keep paying their hefty fees if they can earn more somewhere else for less.
For an investment of $1 million, a hedge fund can charge a $10,000 management fee plus a 20 percent performance of whatever gains the manager makes. And because hedge fund investing can be risky, clients often employ a consultant or fund of funds to help select the right investments, adding anywhere between $10,000 and $50,000 to the annual bill......
A survey released this week by ICBI highlighted pension funds' current dissatisfaction with performance and fees at fund of hedge funds. Earlier in the year, a study by Deutsche Bank showed that hedge funds are likely to take in only $40 billion in the next year, down from the $123 billion they added in 2004.
Hedge funds made money in the third quarter but not as much as the stock market, raising questions whether investors will want to keep paying their hefty fees if they can earn more somewhere else for less.
For an investment of $1 million, a hedge fund can charge a $10,000 management fee plus a 20 percent performance of whatever gains the manager makes. And because hedge fund investing can be risky, clients often employ a consultant or fund of funds to help select the right investments, adding anywhere between $10,000 and $50,000 to the annual bill......