A decade of price hikes

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Fees continue to climb, as investors grouse about lockups, expense pass-throughs - and mediocrity

As losses at Ritchie Capital Management's flagship multistrategy fund mounted a year ago, founder A.R. Thane Ritchie tried to placate investors by changing his fee structure. Instead of charging expenses to the fund, he turned to a flat management fee of 3%, far less than the 5% to 6% that investors had been paying when expenses were passed through. Even so, the new fee structure was above the industry norm and did little to appease investors as performance and regulatory troubles