Hedge Funds: Courageous Performance Fees “Rule”…Risk-Less Management Fees “Flounder”

Hedge Funds: Courageous Performance Fees “Rule”…Risk-Less Management Fees “Flounder” by GlobalSlant Headline: Hedge Fund Fee Structure Is Both Good [Performance Fee] and Bad [Management Fee]. Mutual Fund/ETF Fee Structure = ALL BAD = No Incentive To Excel. As many hedge funds are getting “crushed” this year it has become fashionable to bash the industry’s entire fee structure…typically [but not always] 2% management fee & 20% of profits. Obviously, there won’t be too many 20% profit distributions to the portfolio management teams this year but the 2% management fee has been/will be applied. And that may “piss off” some people. [drizzle]Specifically…