Zeynep Ton, CFA, is a portfolio manager at a private equity institutional investor. She is considering an investment in a buyout fund to achieve better diversification for her firm's private equity portfolio. She has narrowed her choices down to two funds that she sees as having similar risk-return profiles. Before deciding which one to invest in, she compares the terms of each fund. Fener Fund Besiktas Fund Management fees 1% 2% Transaction fees 50-50% split 50-50% split Carried interest 20% Hurdle rate 15% 8% None Clawback provision Yes No On a deal-by-deal Distribution waterfall Total Return basis Based on the analysis of terms, which fund would you recommend to Ton? In other words, which fund serves the interests of Limited Partners better?