Platinum Capital Management, the alternative investment group, has bucked the trend in the hedge fund industry and slashed performance fees by 40%.

Analysts say the move signals a lack of confidence about the group's performance outlook. In the 12 months to February, the group's Platinum hedge fund was up 10.2%. This puts it in the lower to mid-range of funds in the global international asset class. The top fund in its class over the same period was Equinox partners with a return of more than 73%, according to Mar Hedge, the industry journal.