Hedge fund, private equity, infrastructure and real estate asset management fees are down in both pooled and separately managed accounts, Mercer LLC's 2010 Asset Manager Fee Survey found.
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Flatter returns have put pressure on managers to simplify these complex products and reduce costs.
Since 2008 hedge fund fees have fallen 3.2% a year, on average, and U.S. real estate fund fees have fallen 4.5%, according to data released Dec. 9.
With an average fee of 0.68%, pooled funds are still more expensive at all sizes than those that are separately managed.
Segregated fees grew, on average, 0.7 basis point; the increase was slightly more for larger pools.
