Our GP Performance page tracks essential metrics to measure your fund’s success. When sharing these metrics with LPs, remember that net values (which subtract fees and carry) show what LPs actually receive, whereas gross values include fees and carry. Metrics can be filtered by specific funds or vintage years.
Available Metrics:
- Net and Gross TVPI
- Net and Gross IRR
- Net and Gross DPI
- Net and Gross RVPI
- MOIC
- MoB (Markups over baseline - Unique to AngelList)
Please Note: Net metrics are not yet available for Rolling Funds. If you run a Rolling Fund, and you're looking at your metrics for your Rolling Fund alone or for your portfolio overall, you will not see net metrics.
Understanding Each Metric:
1. Total Value to Paid-In Capital (TVPI)
TVPI measures the total value (both realized and unrealized) your fund has generated for investors, compared to the amount of money they contributed. It gives GPs and LPs a snapshot of overall performance, including future growth potential. Learn more about TVPI in our Education Center.
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Example:
- Paid-In Capital: $1,000,000
- Total Value: $2,500,000
- Fees & Carry: $250,000
- Gross TVPI = $2,500,000 ÷ $1,000,000 = 2.50x
- Net TVPI = ($2,500,000 – $250,000) ÷ $1,000,000 = 2.25x
2. Internal Rate of Return (IRR)
IRR shows the annualized percentage return your fund generates on its investments, factoring in the timing of cash inflows and outflows. Technically, IRR is the discount rate that sets the net present value (NPV) of all your fund’s cash flows to zero. GPs and LPs rely on IRR to compare different investment opportunities and understand how efficiently capital is being deployed over time. Learn more about IRR in our Education Center.
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Example:
- Gross IRR: 24% per year
- Net IRR: 20% per year (after fees and carry)
(These percentages are annualized returns over the life of the fund.)
3. Distributions to Paid-In Capital (DPI)
DPI indicates how much capital has been returned to LPs compared to the total capital they contributed. It helps LPs see the actual cash returns they’ve received from the fund to date.
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Example:
- Paid-In Capital: $1,000,000
- Total Distributions: $500,000
- Fees & Carry: $250,000
- Gross DPI = $500,000 ÷ $1,000,000 = 0.50x
- Net DPI = ($500,000 – $250,000) ÷ $1,000,000 = 0.25x
4. Residual Value to Paid-In Capital (RVPI)
RVPI measures the estimated value of your remaining (unrealized) investments compared to the total amount contributed by LPs. It helps you and your LPs gauge potential future returns still held in current positions.
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Example:
- Paid-In Capital: $1,000,000
- Remaining Investment Value: $2,000,000
- Fees & Carry: $250,000
- Gross RVPI = $2,000,000 ÷ $1,000,000 = 2.00x
- Net RVPI = ($2,000,000 – $250,000) ÷ $1,000,000 = 1.75x
5. Multiple on Invested Capital (MOIC)
MOIC calculates the total value of your investments relative to the capital you invested. It’s a straightforward way to see the fund’s overall multiple, without adjusting for time or cash flow pacing.
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Example:
- Total Invested: $1,000,000
- Total Value: $2,500,000
- MOIC = $2,500,000 ÷ $1,000,000 = 2.50x
6. Markups Over Baseline (MoB)
Markups Over Baseline is the rate at which a certain set of deals is being marked up beyond what we’d expect from a stage- and time-matched set of deals on the AngelList platform. This baseline is established using the thousands of deals that occur on AngelList each year to determine the “expected” number of markups in a portfolio. In other words, it’s the level of outperformance – how often your deals are marked up above a typical or “baseline” rate.
MoB can be used to better understand how you’re performing compared to other leads and has a higher predictive validity than IRR or TVPI when it comes to future markups. Because MOB focuses on the frequency (rather than the amount) of markups, it’s less skewed by a single big winner. A fund with one 100x performer and 20 losing investments may still have a high IRR and TVPI, but a lower MoB (i.e., the GP got lucky with one outlier). You can read more about MoB in our blog post.
Calculation Details
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AngelList calculates the expected markup rate of the investment based on months since close and the stage of the investment using our proprietary round markup rate curve. This value is e.
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AngelList subtracts e from the GP's MoB
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When an investment is been marked up, AngelList adds 1 to the MoB
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After adding up all investments, AngelList normalizes the MoB into a score by dividing by the square root of the number investments.
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Example Calculation (Step-by-Step):
- Start at 0: We initially set MoB to 0.
- Expected Markup Probability: Suppose the first investment has a 20% expected chance of markup based on its stage and age. We subtract 0.20 from MoB, so MoB = 0 – 0.20 = -0.20.
- Actual Markup: If that investment is marked up, we add 1. Now MoB = -0.20 + 1 = 0.80.
- Second Investment: The next investment has a 60% expected chance of markup. We subtract 0.60: MoB = 0.80 – 0.60 = 0.20.
- No Markup Yet: If the second investment hasn’t been marked up, we don’t add 1. MoB remains at 0.20.
- Normalization: To compare across portfolios with different counts of deals, we often normalize the MoB score by dividing by the square root of the total number of investments.