PEINVEST
The most complete return metric in PE, measuring the total value of a fund (distributions plus remaining NAV) relative to total capital contributed. TVPI equals DPI plus RVPI, capturing both realized and unrealized returns in a single measure.
A performance metric that measures the cumulative distributions returned to investors relative to the total capital they have contributed to the fund. A DPI of 1.0x means LPs have received back their entire investment; above 1.0x indicates profit has been distributed.
A performance metric measuring the net asset value of a fund's remaining portfolio relative to the total capital contributed by investors. RVPI represents the unrealized value still held in the fund and, combined with DPI, equals TVPI.
The annualized rate of return that equates the present value of all cash inflows with the present value of all cash outflows in an investment. IRR is the most widely used return metric in PE and accounts for the timing and magnitude of cash flows.
A return metric that measures the total value generated relative to the amount of capital invested, expressed as a multiple. A 2.5x MOIC means the investment returned 2.5 times the original capital invested. Unlike IRR, MOIC does not account for the time value of money.
The estimated fair market value of a fund's portfolio of investments minus any liabilities, reported periodically (usually quarterly) to LPs. NAV is used to calculate unrealized returns and is a key input for TVPI and RVPI calculations.