Hedge funds typically have a “2 and 20″ fee structure; the 2% is counted as a management fee, which is paid up front to cover the costs of operating the fund; the 20% is a performance fee that the Fund Manager takes as their cut on any profit the fund makes. It is this 20% fee that Towers Watson, an influential pensions consultant, is challenging hedge funds to review in light of increasing from investors worldwide.
Take a look at the full article on Forbes by following this link…
http://www.forbes.com/sites/halahtouryalai/2012/05/02/a-call-to-cut-hefty-hedge-fund-fees/


