Fund maths
TVPI and DPI calculator
Three ratios describe a fund: cash returned (DPI), value still invested (RVPI) and the total (TVPI).
Use net figures (after fees and carry) to show the LP view, gross figures for the manager's view; label which one you report.
How it works
DPI, distributions to paid-in, is the cash LPs have actually received. RVPI is the reported value still in the portfolio. TVPI is the two added together.
Early in a fund's life, TVPI is mostly RVPI and depends on valuations. LPs weigh DPI more heavily as the fund matures.
The formula
- DPIDistributions / paid-in capital.
- RVPIRemaining value (NAV) / paid-in capital.
- TVPIDPI + RVPI.
Worked example
$40 million paid in, $30 million distributed and $45 million NAV give 0.75x DPI, 1.13x RVPI and 1.88x TVPI.
Put the numbers in your data room
Fund managers put these ratios by fund, with the quarterly reports behind them, in the track record folder of the LP data room.
TVPI and DPI calculator FAQ
Which ratio matters most to LPs?
DPI, because it is realised cash. TVPI shows the whole picture but depends on valuations.
What is a good TVPI?
It depends on vintage and strategy; compare with funds of the same vintage year.
Gross or net?
LPs focus on net, after fees and carry.