Brian Nichols’ Post

How to Calculate TVPI Multiple 👉. TVPI, shorthand for the “Total Value to Paid-In” capital multiple, is a metric used to measure the returns performance of a fund. Formulaically, the TVPI multiple is the ratio between the total value of the fund’s realized distributions and unrealized holdings, compared to the paid-in capital from the limited partners (LPs). Total Value → The cumulative distributions to LPs (i.e. realized profits) and the residual value (i.e. unrealized potential profits) Paid-In Capital → The committed capital from LPs that have been “called” by the fund, i.e. paid-in by the LPs. 👉 Formula : TVPI = (Cumulative Distributions + Residual Value) ÷ Paid-In Capital in the private equity TVPI is the most important concept form the LP and GP side . #privateequity

𝗧𝗼𝘁𝗮𝗹 𝗩𝗮𝗹𝘂𝗲 𝘁𝗼 𝗣𝗮𝗶𝗱 𝗜𝗻 = your realized 𝘢𝘯𝘥 your unrealized return = the birds in your hand 𝘢𝘯𝘥 ind the bush = DPI + RVPI 📊 TVPI is a ratio metric that indicates how many times you've recouped your investment in both realized and unrealized returns. This is article 8/10 about private equity, and it's the last one about the 4 key PE metrics: DPI, RVPI, TVPI, and IRR. 🎯 𝗔𝗳𝘁𝗲𝗿 𝗿𝗲𝗮𝗱𝗶𝗻𝗴 𝘁𝗵𝗶𝘀 𝗮𝗿𝘁𝗶𝗰𝗹𝗲, 𝘆𝗼𝘂'𝗹𝗹: 💡 have a solid understanding of what TVPI reflects. 💡 know how to interpret TVPI. 💡 know how TVPI develops throughout the life cycle of a fund. 💡 have a craving for lemonade. 🍋 ___________________________________ During these weeks, we're sharing a series of articles on private equity. (And we may give you a present along the way. 🎁) To get notified when we share our next private equity article, hit the bell 🛎 in the top right corner of our profile. You can also hit the three dots in the upper right corner and save this post for later. #privateequity #privateequitymetrics #tvpi #totalvaluetopaidin #privateequityreporting

Do you know what are #TargetMaturityFunds?? They are passive debt mutuals fund schemes,tracking Bond Index. Unlike other mutual fund schemes, target maturity funds have defined maturity dates. On the maturity dates, investors holding units of target maturity funds will get principal along with the accrued interest. Now lets understand how this type of Investment should be classified under which category of FVTPL, FVTOCI or Ammortized cost. Generally, when we think of mutual funds, the first thought is equity and we consider it to be in FVTPL category but here the is case different. Lets understand FVTOCI. #Hold to collect and sell business model (FVOCI model) An entity can hold financial assets in order to achieve a particular objective by both collecting contractual cashflows and selling financial assets;this will qualify for the ‘hold to collect and sell business model’(also known as the FVOCI business model). Hence, these type of Target Mutual funds should be classified as an Investment in FVOCI category considering the business model of the Company to realize cashflows from these investments on maturity or upon sale. #IFRS9 #learning #IFRS9

A bird in the hand is worth two in the bush. 🐦 The metrics Distributed to Paid In and Residual Value to Paid In can essentially be compared to the birds in the hand and in the bush, respectively. After reading this article you'll: 🐦 understand what RVPI reflects. 🐦 know how RVPI develops throughout the lifecycle of a fund. 🐦 know what RVPI can be used for. 🐦 have the skills to interpret RVPI and know what to be mindful of. ___________________________________ During these weeks, we're sharing a series of articles on private equity. (And we may give you a present along the way. 🎁) To get notified when we share our next private equity article, hit the bell 🛎 in the top right corner of our profile. You can also hit the three dots in the upper right corner and save this post for later. #privateequity #privateequitymetrics #rvpi #residualvaluetopaidin #privateequityreporting

New Research Posted - NVP The Investment Banking division of Corporate Family Office SIM has just published an Equity Research update on NVP S.p.A. (NVPP.MI, NVP IM), a leading broadcasting service company, following the FY-23 results release.   Estimates upgraded: BUY reiterated, new TP of € 6.80/s (from € 6.00), > 100% upside. At current price levels, NVP trades at a very undemanding 3.7x EV/EBITDA24e.   NVP reported growing FY-23 results, thanks to strong organic growth coupled with the consolidation of the companies recently acquired. The 2023 numbers came in slightly better than our forecasts in terms of revenues and broadly aligned concerning adj. EBITDA. FY-24 started with Q1 rising by 20% YoY to € 7.2m. In addition, the order backlog for Q2-24 amounts to € 7.3m, up by 20% YoY, thus corroborating our FY projections.    #Borsaitaliana #Euronext #EuronextGrowthMilan #CorporateFamilyOfficeSIM #CFOSIM #nvp #broadcast #obvan #innovation #RemoteProduction

DPI, RVPI and TVPI! Ever got confused between these performance metrics? DPI, RVPI, and TVPI are invaluable tools for private equity investors. They provide insights into the performance, liquidity, and unrealized potential of investments. Have a look at the wonderful breakdown of these metrics in the carousel attached below! #77DaysofInvestmentInsights (71/77) #PrivateEquity #performancemetrics #VentureCapital #rvpi #dvpi

"Little drops of water make a mighty ocean”, If you are aware of this quote then it’s easy to understand what exactly #IDLC #SIP is. #IDLC #SIP stand for Systematic Investment Plan, it is just a way of investment in Mutual Funds based on your requirements. Through #IDLC #SIP, Investor can invest a fixed amount monthly basis in #T-bill, #T-bond and #Stock Market according to Investor’s requirement and long term goal. An amount as low as BDT 5000 can be invested monthly basis in #IDLC #SIP. This makes it easier for you to set a goal and achieve it gradually as an investor can start saving in small amounts. This strategy works for people who don’t want to enter directly in #stock markets. With the power of compounding and taka- cost averaging #IDLC #SIP offers you a great deal of handsome final returns in the long run. There is no right time or a particular time to start #IDLC #SIP. The longer you delay investing, the longer you will have to wait for achieving your goals. Start investing today, start investing through #IDLC #SIP.

For UTS and PRS, always check if your Consultant is authorised at FIMM's website. Consultants can be searched using their name (including partially), IC number or FIMM number by visiting to https://lnkd.in/grRigSvz #FIMM #UTS #unittrust #PRS #privateretirementscheme #investment #DuitBestDgnFEN

Returns Revealed: Mesirow’s secondary investments. SecondaryLink outlines the IRR and TVPI for secondary investments made by the firm’s flagship funds-of-funds. Bob DeBolt #Secondaries #Secondary #SecondaryMarket #AlternativeInvestments #PrivateMarkets #PrivateEquity #PE https://lnkd.in/dqXbdnm8

let's Understand the Time Value of Money ⏳💰 ✓ What is TVM? TVM is the idea that money available today is worth more than the same amount in the future. Because money has the potential to earn interest or investment returns over time. • Key Components:- 1. Present Value - The current value of a future sum of money. 2. Future Value - The value of a sum of money at a specific date in the future. 3. Interest Rate -The rate at which money grows by time. • Implications for Professional:- a) Entrepreneurs:- Evaluate the profitability of projects and make strategic financial decisions. b) Financial Planners: Help clients plan for the future by incorporating TVM principles. Example:- Imagine you have 1,000 today. Investing it at a 5% interest rate would make it worth 1,050 in one year. Understanding TVM helps us assess the impact of time on the value of our money. #TimeValueofMoney #finance #Investing