While the top executives in the hedge fund industry continue to make lots of money, the rank and file will suffer more in 2009. Bloomberg reports compensation for U.S. hedge-fund employees may dip as much as 25 percent. The biggest reason is that so many funds are below their high-water marks; it looks like it will be a long-time before they can recover lost ground. 

At some smaller funds, more owners will likely be forced to pay salaries out of their own pockets. The average fund lost about 20 percent last year. Bloomberg notes that based on average gain over the last decade, it would take two years to recover and start earning performance fees again. 

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