Aetos Alternatives Management, LLC

Aetos Alternatives Management, LLC a subsidiary of Aetos Capital, LP

This article is part of a series on the investments of the SRHS pension plan.

SRHS pension plan has approximately $20 million under management by Aetos.  Aetos is a hedge fund manager with $5 billion under management, catering to institutional investors and pension plans.  SRHS is/was invested in the Aetos Capital Long/Short Strategies Fund, and is/was SRHS’ largest investment.  This is a “fund of funds,” meaning that Aetos used investor money to invest with other hedge fund managers.  We estimate that the pension plan paid Aetos approximately (or more) $140,000 in management fees in 2010.

  • Management Fee: 0.75% of assets under management* Estimated to be approximately $140,000 annually
  • Incentive Fee: 10% of profits, after the investment recovered from previous losses
  • Hurdle Rate: 90 day Treasury Bill
  • Lock-up Period:  One year
  • Notice period for redemption:  90 days

*Information for fees, lock-up, and redemption periods are unavailable for SRHS.  We have used terms supplied by other pension fund disclosures/prospectuses to provide an idea of fee structures.

aetos-long-short-fund-performance

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