Incentive Distribution Rights - IDRs
 |
Definition of 'Incentive Distribution Rights - IDRs'
These give a limited partnership's general partner an increasing share in the incremental distributable cash flow the partnership generates. This occurs alongside of per-unit distribution increases to the limited partners. The general partner's share of incremental distributable cash flow usually starts at 2% and climbs to higher levels such as 20% or 50%.
|
 |
Investopedia explains 'Incentive Distribution Rights - IDRs'
These rights are thought to motivate the general partner to rapidly grow the distributions to the limited partners. Incentive distribution rights are generally determined based on quarterly distribution figures.
|
Search results for 'Incentive Distribution Rights (IDRs)'
-
http://www.investopedia.com/articles/basics/07/ml_partnerships.asp
... general partner oversees the MLP's operations and receives incentive distributions rights (IDRs). ... a minimum of 2% of the LP distribution, but as ...
|
|