Och-Ziff Capital Management's second-quarter loss widened on charges as the hedge-fund manager saw positive returns at all four of its main funds and cut its dividend by 60% to 2 cents (€1.4 cents) a share.

Unlike many other hedge funds, Och-Ziff uses very little leverage and focuses on keeping volatility low. Hedge funds have seen performance improve so far this year after coming off their worst year on record in 2008 amid the financial crisis. Publicly traded hedge-fund and private-equity managers have had better performance in their funds.