Prepared for MAKR Venture Fund

GP Compensation
$1B Funds

Research Brief — Compensation structures, carry mechanics, and benchmarks for General Partners at billion-dollar fund managers.

$1B+ Target Fund Size
2% Mgmt Fee Standard
20% Carry Pool
3x Good Fund Return

Named Executive Compensation

2024 disclosed compensation for top PE/alternative asset executives at publicly-traded firms.

Steve Schwarzman
Blackstone
$1.13T AUM
Base Salary $350K
Carry $83.7M
Dividends $916M
Total 2024 ~$1.0B+
Jonathan Gray
Blackstone
$1.13T AUM
Base Salary $350K
Carry $44.1M
Dividends $170M
Total 2024 ~$247M
Joseph Bae
KKR
$638B AUM
Base Salary $300K
Performance $72.8M
Total 2024 $73.1M
Scott Nuttall
KKR
$638B AUM
Base Salary $300K
Performance $63.9M
Total 2024 $64.2M
Marc Rowan
Apollo
$751B AUM
Base Salary $100K
Equity Stake ~$6B
Proxy 2024 $763K
Harvey Schwartz
Carlyle
$441B AUM
Base Salary $1M
Stock Awards $22.5M
Total 2024 $29.6M
Jon Winkelried
TPG
$246B AUM
Base Salary $500K
Pool Allocations $15.2M
Total 2024 $32.8M

What a GP at a $1B Fund Makes

Compensation benchmarks by seniority level. Carry assumes a 3x return fund over 10 years.

Component Founder / Managing GP Senior Partner Partner
Base Salary $500K – $1M $400K – $750K $300K – $500K
Annual Bonus $500K – $1.5M $200K – $500K $150K – $300K
Total Cash $1M – $2.5M $600K – $1.25M $450K – $800K
Annual Carry (3x fund) $16M – $20M/yr $4M – $6M/yr $2M – $4M/yr
Co-Invest Returns $0 – $5M+ $0 – $2M+ $0 – $1M+
Board Fees $100K – $500K $50K – $250K $50K – $150K
Total (Good Fund) $17M – $23M+ $5M – $8M+ $2.5M – $5M+
Total (No Carry) $1M – $3M $650K – $1.5M $500K – $950K

Founder / Managing GP

Base Salary$500K - $1M
Annual Bonus$500K - $1.5M
Total Cash$1M - $2.5M
Annual Carry (3x)$16M - $20M/yr
Co-Invest Returns$0 - $5M+
Board Fees$100K - $500K
Total (Good Fund) $17M - $23M+

Senior Partner

Base Salary$400K - $750K
Annual Bonus$200K - $500K
Total Cash$600K - $1.25M
Annual Carry (3x)$4M - $6M/yr
Co-Invest Returns$0 - $2M+
Board Fees$50K - $250K
Total (Good Fund) $5M - $8M+

Partner

Base Salary$300K - $500K
Annual Bonus$150K - $300K
Total Cash$450K - $800K
Annual Carry (3x)$2M - $4M/yr
Co-Invest Returns$0 - $1M+
Board Fees$50K - $150K
Total (Good Fund) $2.5M - $5M+

Fund Economics — $1B Fund

How the management fee breaks down and where the money goes.

$20M
Annual Management Fee (2%)
Partner Comp $8-10M (40-50%)
Investment Team $3-4M (15-20%)
Office & Ops $3-4M (15-20%)
Travel & DD $1-2M (5-10%)
$10-20M
GP Commitment (1-2%)
Skin in the game Required by LPs
Can finance via Fee waiver
Typical range 1-2% of fund
Signal to LPs Alignment of interests
20%
Carry Pool (of profits above hurdle)
On 3x return ($2B profit) $400M
Hurdle rate 8% preferred
Catch-up 80/20 GP catch-up
Clawback Standard

Carry Scenarios — $1B Fund

How carry distributions scale with fund performance. 20% carry pool, standard waterfall.

Flat 1.0x · $0 profit
Carry Pool
$0
Managing GP
$0
Moderate 1.5x · $500M profit
Carry Pool
$100M
Managing GP (50%)
$50M
Sr Partner (10%)
$10M
Partner (5%)
$5M
Good 2.0x · $1B profit
Carry Pool
$200M
Managing GP (50%)
$100M
Sr Partner (10%)
$20M
Partner (5%)
$10M
Strong 3.0x · $2B profit
Carry Pool
$400M
Managing GP (50%)
$200M
Sr Partner (10%)
$40M
Partner (5%)
$20M
Exceptional 5.0x · $4B profit
Carry Pool
$800M
Managing GP (50%)
$400M
Sr Partner (10%)
$80M
Partner (5%)
$40M

Carry Pool Allocation

How the 20% carry pool splits among partners. Based on a $1B fund at 3x return ($400M carry pool).

40-50%
Founder / CEO
Total Carry $160M - $200M
Annual (10yr) $16M - $20M/yr
~10%
Senior Partner (each)
Total Carry $40M
Annual (10yr) $4M/yr
~5%
Partner (each)
Total Carry $20M
Annual (10yr) $2M/yr
~2-3%
Junior Partner
Total Carry $8M - $12M
Annual (10yr) $1M/yr

VC Firm Data — Recent Fundraises

Carry and fee structures from top-performing venture firms.

a16z
$15B across 5 funds (Jan 2026)
$15B
Fund Size
25-30%
Carry
2.5%
Mgmt Fee
Highest carry AND fees in the industry
Sequoia Capital
$19.6B (Evergreen Fund)
$19.6B
Evergreen Fund
20-30%
Carry
2%
Mgmt Fee
Restructured 2023 — moved to open-ended structure
Benchmark
$425M (Flagship Fund)
$425M
Fund Size
20%
Carry
2%
Mgmt Fee
Equal 5-way partnership split — unique model
General Catalyst
$8B (Fund XII)
$8B
Fund Size
20%
Carry
2%
Mgmt Fee
Continuation vehicle strategy for long-term holds
Thrive Capital
$10B (Fund X, Feb 2026)
$10B
Fund Size
20%
Carry
Std
Mgmt Fee
Fastest-growing VC — massive AI/tech bets

MAKR Fund Takeaways

Key insights benchmarked against MAKR's $1B target fund.

Management Fee Revenue

$20M/yr

2% on $1B funds entire operation — partner comp, investment team, office, travel & due diligence.

GP Salary Benchmark

$400K - $1M

Founder/Managing GP base salary range. Even Schwarzman at Blackstone only takes $350K base.

Carry Pool at 3x

$400M

20% of $2B in profits over fund life. Founder takes 40-50% = $160M-$200M over 10 years.

GP Commitment

$10-20M

1-2% of fund size. Can be financed via management fee waiver — standard LP alignment mechanism.

Synthetic Carry Trend

47%

of firms now use synthetic carry or phantom equity for talent retention beyond senior partners.

Real Economics

Carry > Cash

At $1B AUM, carry dwarfs salary 10-20x. Base salary is a rounding error on a performing fund.

Sources

Primary research sources for compensation data and fund economics.