Is it customary for a feeder fund to be able to keep all client fees? What effect did this fee arrangement with Madoff Securities have on other fund managers around the world?

WSJ reporters offer insight into Bernard Madoff's alleged Ponzi scheme. How did one of the largest financial scandals of our time go on for so long without being detected?

JPMorgan to pay $2.6 billion for Madoff scheme JPMorgan Chase will pay $2.6 billion to settle charges of failing to alert authorities of Bernard Madoff's suspicious activities, U.S. authorities ...

Is it customary for a feeder fund to be able to keep all client fees? What effect did this fee arrangement with Madoff Securities have on other fund managers around the world?