hard · Private Equity pe-core

In an American waterfall, Deal A is exited for a $50M profit and the GP receives $10M in carry. Deal B later fails, resulting in a $30M loss.

If these were the only two deals in a $100M fund, how much clawback is the GP technically obligated to return at fund wind-down?

  1. $6.00M
  2. $4.00M
  3. $2.00M
  4. $10.00M

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