hard · Private Equity pe-core

In a deal-by-deal (American) waterfall, a fund with a 100% catch-up and 20% carry exits its first deal. The deal cost $100.0M and returned $300.0M after 3 years. The preferred return is 8% compounded annually.

What is the total carry paid to the GP for this specific deal?

  1. $60.0M
  2. $6.49M
  3. $34.8M
  4. $40.0M

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