Fund Returns

Fund Returns is the performance of Venture Capital funds as measured and discussed by LPs and GPs: IRR, TVPI versus cash returned, and vintage benchmarks. Saved posts on the topic make three points. Returns arrive slowly: a fund can show a $2.2B-to-$7.8B gross mark yet have returned only 1.3x in cash after a decade (see J-Curve). Benchmarks need time: Cambridge is quoted saying most funds take at least six years to settle into their final quartile ranking, so 2019 funds are “really new.” And the 1990s set a different bar, with good funds posting triple-digit IRRs.

Where this appears

• Ok, Now Everyone Else Share… (tweet): fund return data and the time it takes to get cash back.
• Hey GPs - in the… (tweet): emerging-manager benchmarks for 2019 vintage funds.
• Venture capital in the 90s… (tweet): triple-digit IRRs in the 1990s.
• Curious What LPs Think of… (tweet): LP views on VC performance and the 2021 run-up in returns.
• Has Anyone Written About Merits… (tweet): a question on being a small LP versus angel investing.
• J-Curve