Singapore's Whitefield Waives Performance Fee

Nov 24 2010 | 5:02am ET

With two straight years of double-digit performance, Singapore-based hedge fund Whitefield Capital Management shouldn't have too much troubled attracting new investors. But the firm is sweetening the pot even more, foreswearing performance fees until it doubles its assets under management.

Whitefield, which has about US$100 million in assets, stopped charging its 15% performance fee last year in the face of investor redemptions. The firm hopes to build up a large enough asset base to enable it to attract more and larger investors.

"Right now, the head wind for us is the size of the assets under management," managing director Benjamin Ng told Bloomberg News. "We are trying all means and ways to grow it; we are even prepared to cut a deal with investors who can help us bridge this tougher part of the journey."

The firm's Asian Opportunities Fund has returned 33% this year after rising nearly 80% last year (it lost half of its value in 2008). Ng said the fund would begin charging performance fees once again when it reaches between US$50 million and US$100 million in assets.

The fund currently manages US$30 million, excluding managed accounts. Three years ago, Whitefield managed some US$300 million.


In Depth

Dillon Eustace: The Advantages of ICAVs

Feb 11 2016 | 7:51pm ET

As the growth of alternative investment vehicles continues, global asset managers...

Lifestyle

Citadel's Ken Griffin Donates $40M To New York's Museum of Modern Art

Dec 22 2015 | 9:23pm ET

Citadel founder Ken Griffin has donated $40 million to New York’s Museum of Modern...

Guest Contributor

Hedging Against Reputational Risk in the 21st Century

Feb 12 2016 | 7:18pm ET

For investors, the first step in researching a new fund or manager is to google...