Indian family offices adopt profit sharing and carried interest deals
Family offices in India are switching things up by offering profit-sharing and carried interest deals to bring in top investment talent.
The number of these offices has jumped from just 45 in 2018 to more than 300 in 2024, thanks to a wave of new wealth from private equity, stock sales, and real estate.
Investment officers paid $40,000 to $60,000
Big names like Azim Premji and Harsh Mariwala were early adopters, but now even smaller family offices are offering managers a slice of the profits (usually around 10% to 15%) instead of just yearly bonuses.
Firms are also rolling out long-term incentives tied to investment performance, with pay packages for investment officers and principals ranging from $40,000 to $60,000, while experienced professionals expect $100,000 or more.
It's all about keeping talented people around for the long haul as family offices manage more than $30 billion across India.