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IRR and MOIC calculator
Enter what was invested, what came back and the years in between, plus the share of profit lost to fees and carry. You get the gross multiple and IRR and an estimate of the net figures LPs will ask for.
Fund and deal returns
Gross IRR
16.5%
- Gross MOIC
- 2.5x
- Net multiple (estimate)
- 2.13x
- Net IRR (estimate)
- 13.39%
- Gross profit
- $15,000,000
Planning estimate from the figures you enter. Not investment, tax or legal advice.
How it is calculated
- MOIC = capital returned / capital invested.
- IRR for a single in and out = MOIC to the power of (1 / years), minus 1.
- Net returned = invested + profit x (1 minus the drag); net IRR uses the same formula.
Worked example: $10 million in, $25 million back after six years
| Gross MOIC | 2.5x |
| Gross IRR | 16.5% |
| Profit after 25% drag | $11,250,000 |
| Net multiple | 2.13x |
| Net IRR | 13.39% |
Why LPs ask for both
IRR rewards speed; MOIC shows how much money was made. A quick 1.3x can show a high IRR while a slow 3x shows a modest one. Track record tables in the data room should show both, plus DPI for realized cash.
Gross and net
Marketing materials that show gross returns generally need to show net returns with equal prominence under the SEC Marketing Rule for registered advisers (Rule 206(4)-1). Check the rule with counsel before the deck goes out.
The drag input here is a shortcut. A real net figure comes from fund-level cash flows after fees, expenses and carry.
Attribution
If the track record comes from a prior firm, LPs will ask for attribution support: which deals you led, your role and documents that confirm it. Put that support in its own folder.
Mistakes to avoid
- Showing gross IRR without net figures next to it.
- Using a single holding period for a portfolio with staggered deals.
- Mixing realized and unrealized value without labelling them.
- Track record numbers that differ between deck, PPM and DDQ.
Questions and answers
What is the difference between MOIC and TVPI?
MOIC is usually measured deal by deal on invested capital; TVPI is a fund-level ratio of distributions plus remaining value to paid-in capital.
Why is my IRR different in Excel?
Excel's XIRR uses dated cash flows. This tool assumes one investment and one return; with several dated flows the result will differ.
Should the track record be in the data room?
Yes, as a detailed table with sources, next to the attribution support and the audited financials of prior funds.