Long/short value specialist Sycamore Lane Partners has lowered its management and performance fees in an effort to attract investors.
Hedge Fund Alert reported that the New York-based hedge fund, which launched last year with $20 million seed capital from Maverick Capital, is offering a new share class that would charge investors 1.25% and 12.5% in management and performance fees, respectively. Sycamore’s original share class charged investors a 1.5% management fee and 20% performance fee.
Most firms typically charge a 2% management fee and a 20% performance fee
The article said that Sycamore is offering the reduced fees for a few months to boost its total assets under management to more than $50 million.
Sycamore Lane managed about $22.7 million in assets at the end of February.