Private Credit Competition to Drive Bonus Bump

According to a third-quarter update from Johnson Associates, private credit managers are likely to see a 10 per cent jump in their year-end payout compared with 2023. In contrast, private equity incentives are expected to be up five per cent.

With banking regulation shifting momentum to private credit firms, ongoing partnerships among major banks and alternative asset managers and the proliferation of private credit across multi-strategy alternatives is making the market “highly competitive” the report said, putting compensation pressure on firms.