| From Time.com: You think you've got it rough. Consider the poor hedge fund manager, who has an awful lot riding on the percentage gains he or she is able to post for clients. The reason is that hedge fund skippers pocket about 20% of the fund's gains in addition to their annual fee.
Of course, it's a bit more complicated than that because to pocket a juicy cut of profits hedge funds must be above the high water mark in performance (i.e. the fund can't be clawing its way back to its old high,) and there could still be many funds that are under that mark due to the devastating losses of recent years. But for the rest, 2010 could be a year of big payoffs.............................................Full Article: Source
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