PE fund’s cash flow | Investment in Benchmark | ||||||||
Year | Contribution | Distribution | NAV | Net | Benchmark | Contribution (PV) | Distribution (PV) | Market Value (PV) | Net Cash Flow (PV) |
0 | −1000 | 0 | −1000 | 100 | −1000 | 0 | 0 | −1000 | |
1 | 0 | 560 | 560 | 112 | 0 | 500 | 0 | 500 | |
2 | −60 | 0 | −60 | 120 | −50 | 0 | 0 | −50 | |
3 | 0 | 280 | 280 | 140 | 0 | 200 | 0 | 200 | |
4 | 0 | 240 | 300 | 540 | 120 | 0 | 200 | 250 | 450 |
−1060 | 1080 | 300 | −1050 | 900 | 250 | ||||
0 | 1 | 2 | 3 | 4 | IRR | ||||
Fund | −1000 | 560 | −60 | 280 | 540 | 11.75% | |||
Benchmark | −1000 | 500 | −50 | 200 | 450 | 3.87% | |||
diff | 7.88% |