Now That They Think About It, New York Pension Funds Are Sick Of Hedge Funds Too

If they look at "2 & 20" from this angle, it really does kind of suck.

Pity the Alpha-seekers, for they are taking it from all sides these days.

New York State

If it's not the California pension guys, it's the the sh!tty returns, or Valeant, or even Mark Ruffalo. And now, even the former hedgie-loving New York State pension funds have decided that they're suddenly sick of dancing the "2 & 20" waltz.

The chief investment officer of the New York state pension fund doesn’t like the fees hedge funds charge to manage money.
Vicki Fuller, who oversees the $185 billion New York State Common Retirement Fund, said the hedge fund industry’s “2 and 20” fee model is “unfair.”

Which is a real bummer for them considering how much money they've got with these greedy monsters...

The New York state pension, the country’s third-largest, spent $113 million on hedge fund management fees in the fiscal year ended March 31, 2015. During that period, the pension had 4.5 percent of its assets in hedge funds, which generated a 5.9 percent return.
The hedge funds the pension has investments in include Bridgewater Associates, D.E. Shaw, GoldenTree Asset Management, Paulson & Co., Trian Fund Management and ValueAct Capital.

While Bridgewater might not want to hear that New York State officials think that its fee model is unfair, the fund should just chalk it up to an Empire State version of radical transparency.

New York state pension leader calls hedge fund fees ‘unfair’ [NY Post]