How Hedge Funds Are Winning Back Investors
- Three-fourths of clients are now getting preferential terms
- Credit Suisse surveys allocators with $1.1 trillion in funds
Hedge Funds Suffer Losses Amid Volatility's Return
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Hedge fund managers often get a reputation for being greedy and unwilling to acquiesce to the changing demands of the money-management business. But in the face of investor backlash over middling returns, they’ve made a range of concessions to stay afloat.
A Credit Suisse Group AG survey found that 76 percent of investors in hedge funds are benefiting from preferential terms or fees, compared with 9 percent in 2009. Over the last three years, use of the controversial 2-and-20 fee model has fallen 65 percent, the global survey found. Conducted in December and January, the study covered 345 participants with $1.1 trillion in hedge funds.