Frederick E. Pollock
About Frederick E. Pollock
Frederick E. Pollock is Chief Investment Officer (CIO) of GCM Grosvenor, responsible for all investment-related activities and serving on all firm Investment Committees; he joined GCM Grosvenor in 2015 and became CIO in 2019. He is 45, holds a B.S. summa cum laude in Economics from the University of Nevada and a J.D. magna cum laude from Harvard Law School . Company performance during his recent tenure includes Fee-Related Earnings rising to $166.4 million in FY2024 (from $128.5 million in FY2022), Adjusted EBITDA increasing to $213.8 million in FY2024, and Total Shareholder Return value of an initial $100 reaching $110 in 2024; the firm reported record AUM of $87 billion and $941 million gross unrealized carried interest in Q3 2025 with solid carry realizations and fundraising momentum .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Morgan Stanley (Merchant Banking) | Infrastructure investing; deal sourcing/diligence; board member of portfolio companies | 2006–2015 | Helped form infrastructure investment group; structured and raised capital for initial funds |
| Deutsche Bank | Investments for firm and clients | Pre-2006 | Direct investing experience across client mandates |
| GCM Grosvenor | Joined firm (later CIO) | 2015–present | Manages all investment-related activities; serves on all Investment Committees |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| Various portfolio companies (while at Morgan Stanley) | Board member | Within 2006–2015 | Governance involvement at portfolio companies |
Fixed Compensation
| Metric (USD) | 2022 | 2023 | 2024 |
|---|---|---|---|
| Base Salary | $500,000 | $500,000 | $500,000 |
| Discretionary Bonus (Actual) | $125,000 | $150,000 | $828,000 |
| Contracted Total Cash Floor (Base + Bonus + Holdings distributions) | $4,500,000 (2023 bonus period reference)* | $4,500,000* | $5,000,000* |
- Contracted “Total Cash” floors are per employment agreement for bonus periods in respect of 2023 ($4.5m), 2024 ($5.0m), 2025 ($6.0m), with annual cash bonus expected to be at least $1,000,000 each year .
- Perquisites: Non‑commercial air travel personal-use cost was $49,933 in 2024 .
Performance Compensation
| Component | Metric/Terms | Weighting/Target | Actual/Payout | Vesting |
|---|---|---|---|---|
| RSUs (contractual) | 150,000 RSUs to be granted in each of 2023, 2024, 2025; time-based | Not metric-linked (time-based) | Granted; part of 2024 award | 1/3 on Mar 1, 2025; 1/3 on Mar 1, 2026; 1/3 on Mar 1, 2027 |
| RSUs (3/1/2024, 103,030) | Time-based grant used to reduce 2023 cash comp by $850,000 | N/A | Fully vested Aug 15, 2024; reduced 2023 cash comp by $850k | Vested Aug 15, 2024 |
| Carried Interest | 10% of total carried interest in Strategic Investments Group programs; 5% in private markets strategies; ≥5% in specialized absolute return funds (if awarded to senior mgmt) | Performance–based at fund level | Cash distributions received; amounts vary by fund outcomes | Service-vesting; 80% vesting on pre‑3/31/2022 awards with 6‑month notice resignation |
| Opportunistic Credit Fund Bonus Rights | Bonus equals award % × incentive fees earned from specified funds | Performance–based | None paid in 2024 under these arrangements | Contingent on fees; must be employed at payment date |
Annual bonuses are discretionary and reflect operating results, individual contributions, leadership, shareholder value growth, and relative performance vs. prior year and executive peers .
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Beneficial Ownership | 678,914 Class A shares (represents less than 1% combined voting power); includes 25,000 RSUs vesting May 31, 2025 |
| Options | None outstanding; NEOs had no option awards |
| Hedging/Pledging | NEOs prohibited from hedging or pledging GCM stock; firm Insider Trading Policy applies |
| Employee/Executive Co-investment | Aggregate investment by Pollock (incl. family vehicles) in GCM funds ≈ $2.7 million (2024) |
Employment Terms
| Term | Detail |
|---|---|
| Position/Start | Managing Director; sole CIO since 2019; joined GCM Grosvenor in 2015 |
| Agreement | Second Amended & Restated Employment Agreement dated May 9, 2023 |
| Base Salary | Not less than $500,000; actual $500,000 in 2024 |
| Annual Cash Bonus | Discretionary; expected ≥ $1,000,000 per bonus period (2023–2025) |
| Total Cash Floors | $4.5m (2023), $5.0m (2024), $6.0m (2025) across base, bonus, and Holdings distributions |
| RSU Entitlement | 150,000 RSUs each bonus period in respect of 2023, 2024, 2025; time-based vesting over 3 years |
| Carried Interest Rights | 10% (Strategic Investments Group), 5% (private markets); ≥5% in new specialized absolute return funds (if awarded to senior mgmt) |
| Severance (no cause/resignation) | $250,000/year for two years; must sign/release; payments cease upon material breach of restrictive covenants |
| Change-in-Control | No special change-in-control payments for NEOs |
| RSU Treatment | Death/disability: unvested RSUs vest (paid within ~30 days); cause: forfeit all RSUs; other terminations: unvested forfeited |
| Carry Treatment | Without cause/resignation: forfeiture of unvested carry; with 6‑month notice resignation, pre‑3/31/2022 carry deemed 80% vested; cause: all future carry forfeited |
| Restrictive Covenants | 2‑year non‑compete; 2‑year non‑interference and non‑solicitation of employees, clients, marketing agents; confidentiality and non‑disparagement |
Multi-Year Compensation
| Metric (USD) | 2022 | 2023 | 2024 |
|---|---|---|---|
| Salary | $500,000 | $500,000 | $500,000 |
| Bonus | $125,000 | $150,000 | $828,000 |
| Stock Awards (GAAP fair value/expense) | $277,200 | $48,528,938 (includes Amended Holdings Award Interests expense) | $2,275,149 |
| All Other Compensation | $11,107,192 | $1,593,670 | $843,714 |
| Total | $12,009,392 | $50,772,608 | $4,446,863 |
2024 Equity Grants & Vesting
| Grant Date | Shares/Units | Terms | Vesting |
|---|---|---|---|
| 3/1/2024 | 150,000 RSUs | Contractual annual RSUs | 1/3 each on Mar 1, 2025; Mar 1, 2026; Mar 1, 2027 |
| 3/1/2024 | 103,030 RSUs | Time-based RSUs | Fully vested on Aug 15, 2024 |
Termination Economics (Illustrative at FY year-end prices)
| Scenario | Estimated Cash | Equity Acceleration (Value) | Year/Reference |
|---|---|---|---|
| Without Cause/Resignation | $500,000 | — | FY2024 (price $12.27) |
| Death/Disability | — | $2,454,000 | FY2024 (price $12.27) |
| Without Cause/Resignation | $500,000 | — | FY2023 (price $8.96) |
| Death/Disability | — | $754,127 | FY2023 (price $8.96) |
Governance, Say‑on‑Pay, and Policies
- Controlled company; no standalone compensation committee; compensation decisions overseen by Board and delegated CEO authority (except CEO comp); clawback policy compliant with Nasdaq Rule 5608 adopted and restated in 2024 .
- Say‑on‑pay approval was 91% in 2024; next vote in 2027 .
- Hedging/pledging prohibited for NEOs under Insider Trading Policy; strong alignment via employee and executive co‑investment and carried interest participation .
Related Party and Perquisites
- Private aircraft use: firm incurred ~$2.1 million in 2024 (aggregate to aviation manager and Holdings); Pollock’s personal-use cost was $49,933 in 2024 .
- Pollock holds membership interests in Holdings (profit-sharing) and receives carried interest distributions; his investments in firm-managed funds totaled ~$2.7 million in 2024 .
Investment Implications
- Strong pay-for-performance linkage through carried interest and fund-specific bonus rights means Pollock’s realized compensation is sensitive to fund performance and carry realizations; firm’s gross unrealized carry at $941 million (Q3 2025) and rising carry realizations improve alignment with shareholder value creation .
- Time-based RSUs and significant restrictive covenants (2-year non‑compete, non‑solicit) support retention; 6‑month notice provision accelerating vesting (80% on legacy carry) reduces exit friction but may compress vesting-triggered selling windows when large tranches vest .
- No change‑in‑control payments and hedging/pledging prohibitions reduce governance red flags; perquisites are present but modest for Pollock relative to peers (e.g., $49,933 aircraft personal-use cost in 2024) .
- As CIO across all strategies, execution risk and value creation are intertwined with firm AUM growth, fundraising, and carry realization cadence—recent records in AUM ($87B) and fundraising momentum underscore opportunity but also raise focus on deployment and realization timing .