Growth VC Funds Should Charge 1% Management Fees and 10% Carry
Miles Dieffenbach · Miles Dieffenbach: Inside Carnegie Mellon’s $4BN Endowment & The Math Behind DPI, TVPI, Illiquidity · 20VC with Harry Stebbings · Aug 4, 2025 · at 51:47
Miles Dieffenbach, Managing Director of Investments at Carnegie Mellon University, explains why late-stage and growth venture capital funds should lower their management fees and carry to align with public equities.
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“But those growth funds that are really for scaled businesses that are mature assets, like, you should be charging long-only public equity fees, which are one in 10, and if you really love your LPs, it'd be zero in 10, but, or budget-based, right? Based on the team. But 10% carry, I mean, that's the number for a passive long-only investor.”
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