What is Structure for Debt Funds
I read someone's comp today, said they get paid .01% in carry for a debt fund. I realized I couldn't accurately calc what that is.
SO how are closed ended debt funds structured, what are the hurdle splits and promotes in general?
Same way equity funds are structured. The hurdle may be lower though as debt funds generally have a lower return. So instead of 8% maybe it’s 6%. Promote will be anywhere from 10-20%, just like equity.
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