Performance Metrics
Distributions to Paid-In
DPI
A multiple measuring actual cash distributed back to investors relative to capital contributed.
Distributions to Paid-In (DPI) measures only the realized portion of a fund's returns - actual cash returned to limited partners relative to their contributed capital.
DPI is calculated as: Cumulative Distributions / Paid-In Capital
Key characteristics
- "Cash is king": Only counts actual distributions
- Critical for mature funds (7+ years)
- Immune to valuation manipulation
Interpretation
- DPI > 1.0x: LPs have received more than they invested
- DPI = 1.0x: LPs have received back their full investment
- DPI < 1.0x: LPs are still waiting to get their money back
Young funds will naturally have low DPI even if performing well, as they haven't had time to exit investments.
Formula
DPI = Cumulative Distributions / Paid-In CapitalExample
A fund that has called $100M and distributed $150M back to LPs has a DPI of 1.5x.