Is it time to get worried about Goldman Sachs’s Global Alpha fund? The question is on the lips of many hedge fund industry participants. The $10 billion fund has been losing money for more than a year, and the impact of this on fees is well demonstrated in the firm’s first-quarter results. Net revenues generated from incentive (performance) fees for the asset management and securities services business of Goldman Sachs were just $90 million in the three months ending February 23, 2007. That compares with $739 million for the quarter ending February 24 2006. The significant fall, say analysts, was a direct result of the poor performance of the Global...
