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Total Value to Paid-In Capital (

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Total Value to Paid-In Capital (TVPI) measures the proceeds returned by a Private Equity fund to investors combined with the remaining market value relative to the total paid-in capital.  This is also known as the “Investment” Multiple.

TVPI Formula

The formula for the TVPI ratio: 

Sum of Distributions + Residual Value
Sum of Paid - In Capital

 

Distributions: Cash returned to Limited Partners by Fund

Residual Value:  Value of remaining investment in the fund

Paid-in-Capital: Total money called in from Limited Partners to Fund

Inputs

There are 5 five inputs for the calculation of the Total Value to Paid-In Capital ratio.

Sum Distribution

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Cash Flows

Total of all cash process received from the Fund to the LP throughout the date range of the calculation.

Begin Date

The first date of the time range and the first date cash flows are eligible to be included in the calculation.

End Date

The last date of the time range and the last date cash flows are eligible to be included in the calculation. 

effective Effective Date

Transaction Type

Flow Amount

July 12, 2022

LPCALL

            $650,000.00

October 12, 2022

LPCASH

               $65,000.00

January 17, 2023

LPCASH

               $35,000.00

 

 

 

 End Market Value

  $581,000.00

 Distributions

  $90, 000.00

 

 Contributions

  $650,000.00

TVPI

  1.0323

LPCALL is the transaction type in the CASHDBO.CASH_ACTIVITY table for contributions called in by the Fund.  LPCASH is the transaction type for distributed cash from the fund to the LPs.  This example sums the ending market value and distributions and divides that by the sum of contributions.  The result is a TVPI=1.0323.

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Eagle Performance Money Multiple Fields     

The You can find the TVPI multiple is an option found on Money Multiple field fields.  Money Multiple fields are found in General Reporting in the Custom fields folder.  Once a new Money Multiple field is created you can , select the Money Multiple “Total Total Value to Paid in Capital”Capital option.

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The Money Multiple Field type is also available in Metadata Center.  You can find Money Multiple fields under Direct and Derived fields and by setting the Field Type Parameter parameter to Money Multiple.

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How the Field Works

Contributions and Distributions

Cash Flows across a date range

The Money Multiple Field Type is a Performance Calculation based field.  It is designed to utilize data from the CASHDBO.CASH_ACTIVITY table and HOLDINGDBO.POSITION_DETAIL table.  Money Multiple fields offer the unique capability to sum cash flows across a time range.  The cash flows are selected using the Cash Adjustment field logic to identify flows that meet the specific criteria for Private Equity contributions of distributions.

Cash Adjustment field can use security reference data as well as cash transaction details to select the correct flows.  In this example the Cash Adjustment field is selecting Capital Base Fund Investments which are Private Equity Investments, transaction types equal to LPCASH, and event types equal to RECPTS (receipts) to define distributions to LPs.

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Residual Market value

The TVPI field requires an ending market value for the residual value.   For this the TVPI field uses a Detail Calculation fields to define the security criteria and also to select the field in POSITION_DETAIL table where the market value is stored. The market value will be taken from the report results end date. Here is an example:

Define the Date Range

Begin Date

You can define the begin date by selecting a specific date or using the date macros provided in the Begin Date options. For Performance Composites (ACOM) the inception date is the most recent date of the membership Start Date or the Inception Date within

the member’s range. For Reporting Composites (COMP) the Inception Date is simply the member inception date for the members as of the report's end effective date.

End Date

The field’s end date is always the end date of the calculation single period in each performance calculation result.

Building Money Multiple Fields

Adding to a Report and Field Rule

Money Multiple fields are designed for Performance Calculation reports.  They can be selected from the Custom folder in General Reporting or by selected the Money Multiple as the Field Type in Metadata Center.

All Money Multiple fields in a Field Rule must have the same begin date.  If not the report will result in an error and null values in the report results.

Options When Setting Up the TVPI Field

Here is a breakdown of the field and the field’s options when creating:

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