Businessweek
Sunday Strategist: A Hedge Fund Willing to Share the Downside
Breaking down the boldest bets in business.
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A fascinating hedge-fund experiment is underway in Singapore.
Vulpes Investment Management set up a new fund in which it promised to absorb the first 2% of any loss. Instead of a standard 2% management fee, it will charge just .75%. Meanwhile, investors can further limit their downside (and upside) by identifying in advance as risk-averse.