London PE Comp Progression
Hey everyone, I've been curious about the comp progression, specifically the cash vs. carry component, for PE professionals in London. Understand that junior pay is usually considerably lower than US counterparts, does the pay gap widen or narrow at VP to MD level? If anyone can share the data points in your experience with regards to fund size, type of strategy, etc. Factors like how carry is typically structured, when it kicks in, and any insights into how it impacts overall earnings would be greatly appreciated. Thanks a bunch!
It varies so much by fund (size, European vs US fund, single vs multi-strategy) but broadly if you are in large cap (i.e. UMM/MF) - cash comp should be anywhere from 200-250k GBP (maybe more at some outliers such as WP or H&F) and scale up by 30-40k p.a. Carry usually comes in at the VP level which is usually 3-4 years after joining the fund (or -6 years into your career) but likely won’t pay for a few years (subject to hurdle, fund waterfall, performance etc).
Thanks for the reply. Is the 30-40k figure a steady annual increase? Do ppl see large jumps when title upgrades?
See my other comment
Wow £30-40k a year scale is nice.. at a mid market fund and we only raise £20k a year all in unless promotion
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