New York
INVESTORS are starting to sour on the idea of reimbursing hedge funds for multi-million- dollar trader bonuses, lavish marketing dinners and trophy office space.
Powerful firms such as Citadel LLC and Millennium Management LLC charge clients for such costs through so-called "pass-through" fees, which can include everything from a new hire's deferred compensation to travel to high-end technology.
It all adds up: investors often end up paying more than double the industry's standard fees of 2 per cent of assets and 20 per cent of investment gains, which many already consider too high.
Investors have for years tolerated pass-through charges because of high net returns, but weak performance...
Keyword added to your list