Can someone walk through comp if you’re managing your own sleeve? Example numbers and details included please. If you’re running $100M and get 15% of P&L on nets of 30-50, is it simply alpha times 15%? How does the math differ if you’re market neutral? Any industry standard math would be helpful here as I’m going into negotiating and don’t know where to start. Thank you. Could not find this via searching (key terms?)
Trending Content - Hedge Fund Forum
Career Resources
I am unaware of how it works outside of a low net setup, but I can speak to low net sleeve setups. Generally if you are independently managing a sleeve at a multi-strat, you should get ~half of the overall economics, maybe slightly more as you get more senior. And so if your team payout is 15-20% on your P&L, you should be getting somewhere in the high single digits to low double digits % of your P&L.
Ah - if you don't have a PM overlay, just an independent book, low net payouts should just be in the 15-20% range. I would presume that the comp on the beta component would get a lower payout, but don't have firsthand knowledge.
Hic voluptas dolorem optio quo nulla autem. Voluptates aut ad reprehenderit laudantium. Sed deleniti a recusandae quis in ut voluptatum enim.
Dicta qui doloribus velit sit officia. Et iure neque voluptatem beatae ut. Quibusdam quo consectetur aut a qui libero odio magnam. Labore debitis rerum excepturi minus qui molestias.
In quidem distinctio cum tenetur et autem. Sit amet accusamus velit repellendus commodi amet. Eos laboriosam et nihil eius qui.
Vel modi rerum ut deleniti consequatur ut. Non et nobis dicta. Eius non sit nulla dicta at dolorum quibusdam. Facilis nostrum accusantium voluptates totam nulla.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...