Why Investment Banks Should Not Buy Hedge Funds

``If they must own hedge funds to accomplish other goals, like talent retention, they should create such funds organically. Investment banks should grow hedge funds organically if they must grow them at all and not go out and buy them. The risks inherent in a purchase such as failure to properly align incentives using compensation and key person or human capital risks combined with high valuations makes any purchase of a hedge fund by an investment bank a value destroying endeavor.''