My offer shows carry on a per fund basis and is the same as my cash comp. How do I compare this to heidrick’s total carry number which is more like 3-5x the annual cash comp number?

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Assume yours is annualized while H&S is total outstanding…multiple the carry value in your offer by 5x.

HS report is total carry outstanding… likely between 1-3 funds depending on level and tenure at the firm e.g. $4M - $2M from Fund V, $2M from Fund VI

Your offer letter probably tries to annualize the value to get to any annual comp, so $4M divided by an optimistic 5 years, which is typically more like 7 years

Carry is also typically struck at a 2.5x MOIC so the real value on Day 1 is 40% of the DAW.

Using my example #s this is how you should calculate the value of carry

$2M + $2M = $4M / 7 years = 570k * 40% = 225k

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BCG 1

My experience and understanding of industry norms are a bit different on a couple fronts. Maybe it’s a geo thing, I’m NA:
1. Carry is almost always based on 2x net MOIC
2. Offer letters wouldn’t annualize carry, since the award is based on a percentage of the carry pool and not any real annual calculation. They’re almost always quoted as DaW or percent of carry pool
3. The “total award divided by five” rule is definitely something I’ve heard of, but YMWV. The past two years of minimal deal flow have stretched this to 7 years for a lot of people (as you said)

OP, I would clarify, and ask for your total carry award in DaW

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