At Gerold & Partners, we've had the privilege of placing multiple managing directors in 2026 within the private & structured credit space.
This report is specific to $10–50bn AUM private credit funds. The compensation structures, vesting schedules, and carry allocations described below reflect this segment only and may differ materially at smaller emerging managers or larger multi-strategy platforms.
Figures are presented as aggregated ranges to protect anonymity — individual data points are not disclosed.
This report is specific to investment professionals at the MD level at $10–50bn AUM private credit funds.
Total Package Summary
Senior MD — Credit Fund ($10–50bn AUM), London
Base Salary
$220–335k
Annual, fixed
Cash Bonus
$610k–$1.29m
Annual, discretionary
Fund Shares Bonus
$60–430k
Grant value, 3–5yr vest
Carry (2 funds stacked)
$1.2–5.4m
Expected, over fund life
Co-Invest
Leverage at fund terms
Most underappreciated component
01 — Base Salary
Base Salary
$220k – $335k
MD level, non-partner
Base Salary Distribution — MD, non-partner (USD)
Whiskers show P10–P90. Box spans Q1–Q3. Line = median.
Figures presented as aggregated statistics to protect anonymity.
Base is the least negotiable component — most funds treat it as a fixed cost and won't flex it materially at MD level
Candidates coming from investment banking often push back on the base level — IBs pay considerably better base salaries at MD level, occasionally $400–600k for senior MDs. In practice the push back is rarely a dealbreaker and base is not a lever funds will move on
Nobody at this level is choosing a fund based on base — the important bit is carry, fund shares, and co-invest
02 — Annual Bonus
Annual Bonus
$700k – $1.6m total bonus (cash + fund shares)
Most funds set a single total bonus figure, then apply a deferred vesting schedule to determine how much is paid in cash immediately and how much is awarded as fund shares. The split works like tax brackets — each threshold applies only to the slice above it, not the whole amount.
Bonus Vesting Schedule — Average Ranges
Total Bonus
Cash (immediate)
Fund shares (deferred, 3–5yr)
$0 – $400k
100%
—
$400k – $900k
70–80%
20–30%
$900k+
60–70%
30–40%
For example, on a $1m total bonus:
Walkthrough — $1m total bonus illustration
Slice
Amount
Cash
Fund shares
$0 – $400k
$400k
$400k (100%)
—
$400k – $900k
$500k
~$375k (75%)
~$125k (25%)
$900k – $1m
$100k
~$65k (65%)
~$35k (35%)
Total
$1m
~$840k
~$160k
02.1 — Cash Bonus
Cash Bonus
$610k – $1.29m derived cash component at $700k–$1.6m total bonus
Cash Bonus Distribution (USD)
Whiskers show P10–P90. Box spans Q1–Q3. Line = median.
Figures presented as aggregated statistics to protect anonymity.
Paid in Q1 for the prior year; some funds split into two tranches (Q1 and Q3)
Pool-based allocation is still the norm — the CIO or CEO has meaningful discretion; two MDs with similar deal involvement can land $100–150k apart based on soft factors
Deal attribution models are becoming more common but are far from universal
02.2 — Fund Shares Bonus
Fund Shares Bonus
$60k – $430k grant value, 3–5yr vest
Fund Shares Bonus Distribution — grant value (USD)
Actual realisable value depends on NAV performance over the vesting window. Whiskers show P10–P90. Box spans Q1–Q3. Line = median.
Figures presented as aggregated statistics to protect anonymity.
A number of credit funds pay the deferred portion as shares in an employee-managed fund — a separate vehicle from the main fund, run specifically for staff investment
Vesting runs 3–5 years, cliff or graded; in strong vintages the value at vest exceeds grant value materially
Introduces downside in weaker vintages and is illiquid until vesting
Unvested fund shares are forfeited on departure, making this a meaningful retention mechanism
03 — Carried Interest
Carried Interest
1 – 1.5 pts of carry pool (per fund, typically $1bn–$3bn)
Carry — expected value by fund stack (USD)
Single fund — min $0.6m · median $2.2m · max $2.7m
2 funds stacked (typical) — min $1.2m · median $4.5m · max $5.4m
Expected value at time of grant; realised over 5–10 years. Distribution timing depends on waterfall structure — deal-by-deal (American) waterfalls often pay pre-harvest; whole-fund (European) waterfalls pay at the end. Whiskers show P10–P90. Box spans Q1–Q3. Line = median.
Note: Valuing carry is inherently difficult and highly subjective — the figures above reflect expected value at time of grant, not guaranteed outcomes. Actual realisation depends on fund performance, vintage timing, hurdle rates, and LP cashflow profiles. Values assume one point equals 1% of the carry pool, lifetime fund profits of roughly 40% of commitments and a 15% carry rate (pool ≈ 6% of fund size), undiscounted. Treat these numbers as directional, not contractual.
Figures presented as aggregated statistics to protect anonymity.
Allocation at Senior MD level is 1–1.5 points of the carry pool per fund (individual fund vehicles typically $1bn–$3bn at this manager scale)
Distribution timing depends on waterfall structure: deal-by-deal (American) waterfalls often pay carry progressively as income and principal recoveries land; whole-fund (European) waterfalls defer all carry to end-of-fund — common at larger, more institutional credit managers
Most Senior MDs sit across 2 fund vintages simultaneously; per-fund expected unvested carry is $0.6–2.7m, giving a typical stack of $1.2–5.4m
When comparing offers, the points allocation is only part of the picture — vintage age, deployment progress, hurdle status, and LP base all affect the real expected value
This is the crux that makes or breaks a deal, and something we are happy to discuss in detail.
A 1.5pt allocation in a fund 18 months into deployment is worth considerably more than 1.5pts in a fund still in early capital calls
04 — Co-Invest & GP Commitment
Co-Invest & GP Commitment
Leverage at fund terms
The most underappreciated component — and the one candidates least often negotiate
Core mechanic: GP commitment and co-invest capital goes into the fund itself, which operates with fund-level leverage. The structural advantage is that this capital typically attracts no management fee and no carry — meaning you participate in the same returns as LPs but keep the full upside. Some firms also provide financing against committed capital. For a direct lending fund generating high single to low double digit net returns (opportunistic credit higher), this is a structurally attractive position
At Senior MD level, co-invest is usually part of the package — either mandatory GP commitment (signals conviction to LPs) or optional deal-by-deal participation
Larger platforms tend toward mandatory commitment; smaller or newer funds offer more flexibility
Over a 10-year career with consistent co-invest access and solid fund performance, the compounding effect can be material — and the returns are more predictable in timing than carry, which is subject to waterfall structure and fund lifecycle