Jes Staley, chief executive of fund management at JP Morgan Chase, said performance fees fell by nearly 80% last year as its flagship Highbridge hedge fund lost a third of its assets last year but performance has improved in the last three months.

Staley, who spoke at yesterday's JP Morgan Chase investor day, said performance fees fell by 79% from 2007 to 2008 and that alternative assets under management fell 32% but are now stabilising.