Another hedge fund hit by the credit crunch has suspended redemptions, winning investor support for the limits in exchange for a cut in management fees.

London- and Boston-based Cambridge Place Investment Management has won approval from two of its five funds to halt redemptions until next September, with a 10% withdrawal penalty thereafter. Another fund’s investors are to vote on similar proposals later this month.

For its part, US$9 billion CPIM, which specializes in structured credit investments, has agreed to cut its management fee from 2% to 1.5% for a year.

The moves come after the firm’s June decision to shutter its US$900 million London-listed Caliber Global fund within a year after it was buffeted by subprime-linked losses.

The two funds where redemptions have been suspended are the Structured Credit Fund 1000, which is down more than 20% year-to-date, and the Structured Credit 500 Fund. Investors in the Structured Credit 1500 Fund are considering the measures.

As of the end of September, Cambridge Place had $9.4 billion in gross assets under management. The firm is known for specializing in asset-backed debt and related instruments, including private investments and real estate.