Hermes rolls out new performance fee structure

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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