Hermes rolls out new performance fee structure


Hermes BPK Partners, the fund of hedge funds of Hermes, which provides investment solutions to the BT Pension Scheme, has launched a new three-year performance fee structure which will be available to institutional investors and pensions funds globally from 1 January 2011. This mechanism is designed to ensure that alignment between investor and investment manager is maintained over the long term. The new model allows re-imbursement to the client of performance fee overpayment in underperforming years, resulting in fees being paid only on the gains achieved.

Mark Barker

Since Hermes BPK was established two