A performance figure is useful only when its calculation and limitations are clear. These definitions provide context for investor review, not a substitute for an approved reporting policy or transaction documents.
Always establish the measurement period, currency, fees and treatment of unrealised value before comparing figures.
IRR measures the annualised return implied by dated cash inflows and outflows. Gross and net figures differ because fees, expenses and carried interest affect the investor result. Portfolio IRR uses combined dated cash flows, not an average of individual investment IRRs.
MOIC compares total realised proceeds and remaining investment value with invested capital. It does not measure how long an investment was held, and unrealised value is not a cash distribution.
DPI compares distributions with paid in capital. RVPI compares remaining net asset value with paid in capital. TVPI combines the two. The reporting basis should explain fees, recallable distributions and valuation assumptions.
Cash yield compares income received over a stated period with the specified capital base. It is not the same as total return and does not account for every change in asset value.
Private asset valuations rely on assumptions and available evidence. Review the valuation date, method, inputs, independent review arrangements and any changes from the prior period.
Loss measures should define impairment, recovery assumptions and the capital base used. Investment duration provides important context for both multiples and annualised returns.
The review considers investor eligibility, identity, ownership, source of funds and the applicable legal requirements. Specific thresholds, retention periods and review cycles must come from approved policies, not general website descriptions.
Before subscribing, review the agreed reporting frequency, financial statements, valuation basis, fees, distributions and material event notices. Approved investors can access available documents through the private portal. Account access does not establish that a particular document has been published.
Verified results and approved policy documents are awaiting supply. This page explains general investment concepts. It does not certify compliance with a particular standard or promise a reporting service.
Ask about the documents and evidence relevant to your mandate before making an investment decision.
