
Understanding Carried Interest: Benefits, Workings, and Tax ...
Aug 28, 2025 · Carried interest is a profit share earned by general partners in investment funds and often taxed at a lower capital gains rate. This form of compensation typically becomes …
Carried interest - Wikipedia
Carried interest, or carry, in finance, is a share of the profits of an investment paid to the investment manager specifically in alternative investments (private equity and hedge funds).
Carried interest: The fund manager's performance incentive
Nov 19, 2025 · Learn how carried interest works for private funds, including fee structures, waterfall models, and tax treatment for fund managers. Carried interest is a key aspect of …
Carried Interest in PE: How It Works & How to Calculate It | PML
Feb 16, 2025 · Carried interest is a key concept in the world of private equity, hedge funds, and other alternative investment vehicles. It refers to the share of the profits that fund managers or …
What Is Carried Interest? Tax Loophole & Controversy ...
Carried interest is a form of compensation, often structured as a performance fee, paid to private equity and venture capital fund managers. The compensation structure typically includes a 2% …
Carried Interest: Definition, Compensation, & Taxation | Certuity
Mar 3, 2025 · Carried interest is the share of investment profits, typically 20%, that fund managers earn. Often referred to as “carry” or “promote,” it is a slice of the profit pie dedicated to general …
Carried Interest - History & Controversy - Tax Project Institute
Jul 20, 2025 · Carried interest is the share of profits that investment fund managers receive from their funds’ returns, typically amounting to 20% of the fund’s net profits above a specified …
What is carried interest, and how is it taxed? | Tax Policy ...
Carried interest is a contractual right that entitles the general partner of an investment fund to share in the fund’s profits. These funds invest in a wide range of assets, including real estate, …
Carried Interest: How it Works, and Examples - SuperMoney
Sep 17, 2024 · Carried interest is a performance-based incentive for general partners of private equity, venture capital, and hedge funds. It typically represents 20% of the fund’s profits and is …
Carried Interest: What it is and How it Works - Gatsby Investment
Jul 4, 2024 · Carried interest is compensation paid to the general partner (GP) or manager of an investment funded by a group of investors. This payment is based on the performance of the …