A sign that hedge funds are no longer the place to be

13 May 2009

1 minute read

A sign that hedge funds are no longer the place to be

While investment banks have mostly had a good first quarter, the same cannot necessarily be said of hedge funds. GLG's first quarter results, released yesterday, paint a picture of slowly falling headcount and - unlike investment banks - rapidly declining pay.

GLG said its compensation and benefits and partner profit share fell 62% year on year thanks to 'lower employee compensation and benefits, as well as lower discretionary bonus accruals and limited partner profit share."

Headcount was down only 9% over the same period, suggesting a big reduction in pay per head.

This is in sharp contrast to investment banks, most of which saw pay per head rise dramatically over the past three months.

If this continues, hedge funds look set to lose staff to the banks they originally poached them from.

AUTHORSarah Butcher

Global Editor

Do
Douche
14 May 2009
Max1, get lost, if you're not happy go read the FT you sad little cry baby
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Ja
Jack
14 May 2009
I think the headline should have read 'Is GLG not quite like the new Goldman Sachs...'?
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B_
B_Boy_Banker
14 May 2009
Sarah Butcher home gurl pay these bankers no mind,
Cuz I know it must be hard being on the grind
Every time i see your picture, I have to smile
Cuz it makes these long hours seem worthwhile
Looking forward till next time when I log in and see
Another article filled with your journalistic integrity
Stay cool, keep positive in the face of adversity
Cuz I got your back girl so give a shout out to me
Reply
me
me
14 May 2009
What a waste of time.
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Sa
Sarah, Editor, eFinancialCaree
14 May 2009
Wretch, we have had several positive articles this week. I suggest that you read a negative article, and then read a positive one immediately afterwards. That may have the same effect.
Max, this is not intended to be an article with no point whatsoever. The final point may be a little too strong for the evidence provided, but there is a point in there.
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