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What fascinates me about Warren Buffett... actually it's not him it's everyone else. He takes 0 and 25 and the 25 only if he makes a profit beyond what a conse
by biohacker42 17y ago
What fascinates me about Warren Buffett... actually it's not him it's everyone else.
He takes 0 and 25 and the 25 only if he makes a profit beyond what a conservative investment would. Something like 8% per anum, not sure, the exact number is not important anyway.
But your typical hedge fund takes 2 and 20, that's even if they do nothing or lose money.
Now here's where it gets interesting. There are literally hundreds of those funds. Doesn't that suggest a massive pent up demand for investment?
- BrentRitterbeck 17y agoIt's a quarter of everything over six percent. Source: How to Pick Stocks Like Warren Buffett, pg. 11.
- falsestprophet 17y agoYeah that was his performance fee when he was managing money through the Buffet partnerships. Now he takes 0 and 0 as Chairman and CEO of Berkshire Hathaway. His compensation is primordially in the appreciation of his (substantial) share of the company.
- BrentRitterbeck 17y agoConsidering the amount shares he owns, I'd rather be the Chairman and CEO of Berkshire than running a hedge fund. In addition, the float from the insurance companies under his umbrella is more than most hedge fund managers will ever manage.