The hedge fund’s AUM is $200 million. The fund has a typical “two and twenty” fee structure. The fund’s benchmark, Barclays Hedge Fund Index, showed a return of 15.5% for 2021, while the hedge fund itself was able to generate a return of 29.5% during the same period. How much fees does an investor in this hedge fund pay for the year 2021? 

Answer rating: 100% (QA)

Answer The two and twenty fee structure typically means that the hedge fund charges a management fee ... View the full answer