Carried interest schemes for asset managers

Insights and Analysis

Carried interest schemes for asset managers

21 March 2023

During the last decade, the shape and source of capital flows and investment have fundamentally shifted. Private capital continues to flow into all asset classes including real estate, infrastructure, private credit, and private equity. Fund managers want to receive their carried interest and co-investment returns in the most tax effective way - whether structured as classic carried-interest, ratcheted carry, hybrid carry, diverted carry, multi-waterfall carry, super carry or as a single performance-based fee. Yet, to minimize the risk in a challenging and rapidly evolving tax environment and optimize as such the return on investments, efficient tax structuring of carried interest schemes has become more important than ever.

Take a look at our updated toolkit which highlights the main tax structuring products available for carried interest payments to fund managers in the major fund jurisdictions - France, Germany, Luxembourg, the Netherlands, Spain, the UK and the U.S. Don’t hesitate to contact our private capital tax partners for more information and tailor-made insight.