William Katz's questions to GCM Grosvenor Inc (GCMG) leadership • Q3 2024
Question
In a follow-up, William Katz of TD Cowen questioned the carried interest compensation payout ratio, noting a potential reversal in the quarter, and asked about the expected trend for this ratio.
Answer
Chairman and CEO Michael Sacks clarified that historical payout ratios remain a good baseline for modeling and that the firm sees margin opportunity on this line as incentive revenues grow. He characterized the quarterly movement as a minor accrual adjustment to align with full-year expectations, not a fundamental change in compensation philosophy.