What does carry look like at all levels at a megafund? It seems like most of the posts on here mention VP carry of 1-2% on smaller MF in both investment roles and non-investment roles (IR/Fundraising, CFO, General Counsel, etc.). Does it usually work out to be a similar dollar amount to small funds (i.e. a tiny % because there are so many mouths to feed, but the carry pool is so large it evens out)?
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Hey yituraxi, I'm the WSO Monkey Bot and I'm here since nobody responded to your thread! Bummer...could just be time of day or unlucky (or the question/topci is too vague or too specific). Maybe one of these topics will help:
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Interested as well
Also would like to know.
You typically do not get carry as an associate in a megafund I would split megafunds in two - those who pay carry (rare) and those who will pay you a lot more upfront in cash though it will take time to get some carry
Overall, at least in LDN, you would not expect to get carry in most large cap funds except in small exceptions
Sure, but how about at the VP level and above? Assume there is carry there.
bump
Please elaborate on what you mean by "carry" based on position? Most positions don't have a direct relationship to performance. Definitely depends on the fund and in a good year, everyone gets rewarded, but that is 100% discretionary for all positions outside investment team.
I mean carry as in an allocated percentage of the carried interest pool. The question is once you reach the VP level and above at a MF, how much carry in % and $ amount do you make at each level? Do director level investment professionals still not get any carry at MFs and just get large bonuses instead?
As for non-investment team positions, I imagine there are a decent amount of senior positions (CFO, General Counsel, Head of IR/Fundraising) that would get a small allocation (that I would imagine would be larger than say an investment team VP's allocation would be).
Check out the Heidrick & Struggles compensation report. They do a good job of breaking out comp into base, bonus, and carry split by level and size of fund.
https://heidrick.com/Knowledge-Center/Publication/Private_equity_compen…
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