Performance Metrics
Total Value to Paid-In
TVPI
A multiple measuring total value (distributions plus remaining value) divided by contributed capital.
Total Value to Paid-In (TVPI) is a multiple that measures the total value created by a fund relative to the capital invested. It includes both realized value (distributions) and unrealized value (remaining NAV).
TVPI is calculated as: (Cumulative Distributions + Remaining NAV) / Paid-In Capital
Key characteristics
- Multiple-based: Expressed as "x" (e.g., 2.0x)
- Includes both realized and unrealized value
- Less susceptible to timing manipulation than IRR
Interpretation
- TVPI > 1.0x: Fund has created value
- TVPI = 1.0x: Break-even
- TVPI < 1.0x: Value destruction
A TVPI of 2.0x means the fund has generated $2 of total value for every $1 invested.
Formula
TVPI = (Distributions + NAV) / Paid-In CapitalExample
A fund with $50M distributed, $80M remaining NAV, and $100M paid-in has a TVPI of 1.3x.