Thu, Sep 29, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Hedge fund compensation declines on performance volatility

Wednesday, October 26, 2011
Opalesque Industry Update: Hedge fund compensation declined by approximately ten percent on average across varied functional roles in 2011, according to the 2012 edition of the Glocap Hedge Fund Compensation Report. The compensation data released today shows a wide dispersion of compensation, between and within firms, driven by a number of variables including role, seniority/experience, fund size and performance for the year.

The total hedge fund industry surpassed previous record levels of total capital under management in both 1Q and 2Q11, reaching $2.04 trillion, before declining sharply in 3Q as the hedge fund industry posted the fourth-worst performance quarter in history, with the HFRI Fund Weighted Composite declining by -6.2 percent.

The growth in assets under management led to an increase in overall management fee income that partially offset the decrease in incentive fee income. In addition, despite 3Q performance, the percentage of funds reaching their performance high watermarks in the trailing 12 months continued to rise, exceeding 70 percent as of the end of 3Q11, which further stabilized the pool of income available for compensation. Press release: Source
pd

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Nobel Sustainability Trust, Prince Albert II of Monaco help launch major new initiative to drive sustainable technologies[more]

    Matthias Knab, Opalesque: The Nobel Sustainability® Trust ("NST") is leading a major new initiative to finance, incubate and accelerate the development of clean technologies. The initiative will start with the formation of the Nobel Sustainability Fund® ("NSF"). NSF will drive faster access t

  2. Studies - Hedge funds’ study reveals vast disparity in types of investors securing side letter arrangements, Cambridge: Look to private investments for best access to LatAm growth[more]

    Hedge funds’ study reveals vast disparity in types of investors securing side letter arrangements A new study of the hedge fund space by industry law firm Seward & Kissel LLP reveals a wealth of information regarding established hedge fund managers’ use of side letters—special agreements

  3. Activist News - Caesars 'optimistic' on deal with hedge fund creditors[more]

    From Reuters.com: Caesars Entertainment Corp said on Monday it remains "optimistic" of reaching a $5 billion deal with the bulk of its creditors to push its main operating unit out of bankruptcy, but one hedge fund bondholder said it will pursue litigation. Caesars offered a sweetened $5 billion set

  4. Hedge funds recover from losses as central banks give markets a respite[more]

    Komfie Manalo, Opalesque Asia: The Lyxor Hedge Fund index was up 0.4% from the week ending September 20 (-2.4% YTD), supported by the willingness of central banks to remain accommodative, Lyxor Asset Management said in its weekly briefing. It ad

  5. Perry Capital closing flagship fund after almost three decades[more]

    From Blooomberg.com: Richard Perry, one of the biggest names in hedge funds, is calling it quits after 28 years. Perry, 61, is winding down his New York-based flagship fund as the industry confronts one of the most tumultuous periods in its history. In a letter to investors Monday, he said his style