After a period of lagging confidence in its hedge fund , hedge fund investor Maverick Capital is introducing a " recovery share class " for certain investors . The share class will have a 0 % performance and 1 % management fee , compared to the more usual 17.5 % and 2 % respective fees . Weak stockpicking and defensive positioning , based on US equity valuations , were cited as hampering the fund ’s performance this year . The " recovery " shares will reportedly expire when a high - price - mark is reached or previous losses have been picked up .
After a period of lagging performance in its flagship fund, hedge fund firm Maverick Capital is introducing a "recovery share class" for certain investors. The share class will have a 0% performance and 1% management fee, compared to the more usual 17.5% and 2% respective fees. Weak stockpicking and defensive positioning, based on US equity valuations, were cited as hampering the fund’s performance this year. The "recovery" shares will reportedly expire when a high-water-mark is reached or previous losses have been made up.