Mixed picture emerges on hedge fund fee structures
Hedge fund management fees on average are rising while incentive fees fall. However, FoHF performance fees are rising as management fees drop, according to a fee structure study by eVestment
Average hedge fund management fees have increased due to increased regulatory compliance and pressure from institutional investors to maintain more robust operational risk management.
Management fees have increased to an average 1.58% after 2007. In 2002 the average management fee was around 1.38%, according to a study by eVestment.
On the other hand fund of hedge funds (FoHF) management fees have decreased from 1.32% before the crisis to 1.26% after 2007. The current trend looks set to continue
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