Saturday, 27 August 2016
Last updated 8 hours ago
Oct 23 2008 | 1:18pm ET
Ramius Capital has become the latest hedge fund offering investors a break on fees in an effort to hold on to assets.
The firm said it would cut its performance fee from 20% to 15% for investors who agree to stay put, with the fee reduction remaining in effect for the new two years, HedgeFund.net reports. What’s more, clients who invest more money with the $11 billion firm will pay no incentive fees at all on the new investment until the beginning of 2010. After that, the rate will rise to 10% and then 15% at the end of 2001.
Ramius is one of many hedge funds suffering through the freeze of Lehman Brothers Holdings’ prime brokerage assets. In a worst-case scenario, Ramius said its exposure could be as high as 5.23%.