Recent PE Funds Have a Head Start

As is to be expected, private equity funds of all vintages and geographies see their average distributed-to-paid-in multiples climb over time, as managers successfully liquidate even aging holdings after years of operational enhancements. The rates of increase in DPI multiples by vintage, however, can be split into two groups, as depicted in the chart above. Funds in 2005 to 2007 vintages