• norsk
    • English
  • English 
    • norsk
    • English
  • Login
View Item 
  •   Home
  • Norges Handelshøyskole
  • Thesis
  • Master Thesis
  • View Item
  •   Home
  • Norges Handelshøyskole
  • Thesis
  • Master Thesis
  • View Item
JavaScript is disabled for your browser. Some features of this site may not work without it.

Does the choice of performance measure shape the appraisal of private equity funds?

Kjellberg, Espen; McPherson, Bjørn Erik
Master thesis
Thumbnail
View/Open
Kjelleberg 2009.pdf (1.003Mb)
URI
http://hdl.handle.net/11250/168203
Date
2009
Metadata
Show full item record
Collections
  • Master Thesis [4657]
Abstract
Conducting an empirical study on cash flows of 71 private equity funds, spanning the vintages 1990 to 2008, we compare the two most common performance measures, IRR and TVPI, to four proposed alternatives. We also document cash flow characteristics that complicate performance measurement. Our findings determine that funds rank differently depending on the measure we employ. However, rank correlations among all measures suggest that the differences are fairly small, and that deviations further decrease when excluding young funds. Funds identified as top quartile by one measure are likely to receive similar appraisals by other measures, but performance is neither robustly, nor fully described by only one measure. The alternative measures better align the interests between the general and limited partners, and contribute to separate skill from fortunate timing. Limited partners should therefore use several measures in the appraisal of fund performance.

Contact Us | Send Feedback

Privacy policy
DSpace software copyright © 2002-2019  DuraSpace

Service from  Unit
 

 

Browse

ArchiveCommunities & CollectionsBy Issue DateAuthorsTitlesSubjectsDocument TypesJournalsThis CollectionBy Issue DateAuthorsTitlesSubjectsDocument TypesJournals

My Account

Login

Statistics

View Usage Statistics

Contact Us | Send Feedback

Privacy policy
DSpace software copyright © 2002-2019  DuraSpace

Service from  Unit