Goldman Hedge Funds at a Deep Discount

I guess Goldman pulled out all the stops to rescue their dying Hedge Funds including dropping fees to lure in new money.

Goldman on Tuesday night said it had agreed to waive its annual
management fee for the investors, who contributed $1bn in new capital to the
fund. The investors will pay a performance fee of just 10 per cent on any
profits the fund makes once it has achieved a 10 per cent return.

Earlier an investor had to pay 2% of assets for a management fee and then 20% of profits they make passed a 10% return. This article is saying that even dropping their fees is still like putting bad money in after good.

Sorry Goldman, the game is up. Half-baked measures will no longer do.
People shouldn't be willing to pay 20% (now 10%) of profits plus a 2% management fee (now 0%) to a fund that is down two consecutive years and 30% in a flash. Is the greater fool's game over or not? I guess we soon find out.

That is a stomach churning fund if I ever saw one. Down two years strait and then down 30% in 6 days. Now that is not the kind of volatility you want to see in a fund. Those investors should have just stuck with a nice Vanguard fund with its 0.20% management fee. They would have been down only a few points right now.