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Family Values
Join Date: Jun 2003
Location: Los Angeles, CA
Posts: 4,075
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Lots of hedge funds run on a 2% + 20% structure meaning that they get 2% of your investment up front and 20% of the annual returns. If he had a $100M AUM at the start, the initial 2% was $2m which likely went to operational costs, and at the end, the fund would have been close to $1B and his take would have been nearly $200M. Not bad??
Now I don't know what the AUM was, but $100M is a small hedge fund.
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- Joe
Necessity is the plea for every infringement of human freedom. It is the argument of tyrants; it is the creed of slaves. - William Pitt
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