the Mezzanine CIP for the period 2005 to 2013, as calculated
using Mr. Manastersky’s foreign exchange methodology: judgment,
 RBCDS appeals both awards.
 For the reasons set out below, I would allow the appeal in
respect of the award of damages for lost opportunity and set aside
para. 5 of the judgment. I would dismiss the appeal in respect of
the award concerning the foreign exchange methodology.
II. The Mezzanine CIP Entitlements
 This ground of appeal concerns whether Mr. Manastersky
was entitled during the period of reasonable notice to payments
under the Mezzanine CIP beyond those he received in respect of
the portfolios in the RBC CP Mezzanine Fund (the “Mezzanine
Fund”) in existence at the time of his termination: Funds 1 and 2.
To place the issue in context, I will first review in some detail the
evidence concerning Mr. Manastersky’s employment and the
carried interest plans that formed part of his contract of employment. I will then consider the errors that RBCDS contends the
trial judge made in awarding damages for lost opportunity.
A. The contract of employment
 In 2001, Mr. Manastersky was recruited to work as a director
for the Mezzanine Fund. The Mezzanine Fund managed by
RBCDS was designed to make investments in established companies with a track record of positive cash flow, secured by subordinated debt with some form of equity participation such as warrants
or conversion rights. The funds invested largely originated with
the Royal Bank of Canada (the “Bank”) as investing principal.
The average term to maturity of Mezzanine Fund investments
would be five to seven years. As a director of the Fund, Mr.
Manastersky was expected to source investment opportunities,
perform appropriate due diligence and strategic analysis, and
successfully close transactions.
The initial carried interest plan
 The May 17, 2001 RBC Offer of Employment that Mr.
Manastersky accepted and signed stated that his base salary
initially would start at $200,000 per year and he would participate in a discretionary bonus pool determined annually. As well, it
confirmed that Mr. Manastersky had been allocated points as
a participant in a carried interest incentive plan which, at the
time, was the Royal Bank Capital Partners Carried Interest Plan
(the “2000 Plan”):