Of the nine companies to which the LIA entrusted its $70 billion bankroll, almost all appear to have lost incredible amounts of money while charging sky-high fees. According to an audit conducted by KPMG, Socit Gnrale managed to lose more than half of a $1.8 billion investment, while charging the Libyans tens of millions for its financial expertise. London-based investment management firm Permal Group, which received $300 million from LIA, lost 40 percent of it while earning $27 million in fees. BNP Paribas (
BNP:FP) lost 23 percent: High fees have been directly responsible for the poor results, the auditor noted. Credit Suisse (
CS) lost 29 percent of the funds that it managed. Millennium Global Investments, based in London, apparently lost all of a $100 million investment in its emerging credit fund, while a $300 million investment in Lehman Brothers vanished from the books after Lehman collapsed in 2008.
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