To deal with the problem that dead time is indispensable and that its compensation is difficult to implement especially when taking Space Vector Modulation method to modulate the inverter stage of Two-Stage Matrix Converter (TSMC), this paper presents a Carrier-based Modulation (CBM) strategy suitable for the TSMC and amplifies concerned the uniqueness of the proposed CBM. Based on this, the dead-time effect to TSMC is analyzed, formula for describing dead-time effect is induced, and two compensation methods are given, namely modulation voltage modification method and time compensation method. At last, the uncompensated and compensated experiments are carried out on the prototype, and the results prove that this strategy meets the satisfaction.