Sky-high fees for $2B+ PDT mega-launch hearken back to happier times for hedge funds
By Rob Copeland
Tue Oct 16, 2012
Peter Muller's obsessively secretive quantitative firm reels 'em in despite fees 50% higher than average.
at the 2008 Absolute Return Symposium
For the chance to invest in Peter Muller's new
PDT Partners hedge fund, all you need is $10 million and a
tolerance for unusually high fees. And a time machine.
PDT Partners, which was spun out of Morgan Stanley this
year, has already closed its flagship quantitative strategy to
new capital after raising $1.5 billion, according to potential
investors and industry executives who have met with the firm.
The capital has flowed in despite PDT's stated management and
performance fees of about 3% and 35%, those people said, well
above the industry norm of 2% and 20%, and double or even
triple what many new launches whittle themselves down to in
order to attract day-one money.
The Partners fund is expected to begin trading in January,
according to people close to the firm.
Filings say that PDT reserves the...
ISSN: 2151-1845 / CDC10004H
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