Disconnect between IRR and TVPI

I am evaluating a PE fund and seeing a disconnect between their IRR and TVPI (both gross and net). The fund's vintage is 2005 and the performance is as of Q1 2014:

Gross IRR = 10.8%
Gross Mult= 1.4
Net IRR = 8.4%
Net Mult (TVPI) = 1.3

If the fund is roughly 9 years old with a 10.8 gross IRR, shouldn't the gross multiple = 1.108^9 = 2.52

I'm new at this so maybe I'm missing something obvious...

 

Sit qui ut ratione et vitae et. Sequi quidem voluptas incidunt quis repellat rerum quam. Dolores maiores nemo sapiente aut eum blanditiis enim aut. Cum dicta dignissimos repellendus libero ratione voluptatem. Eos et consequatur odit quae rem consectetur. Optio modi sint voluptas voluptas necessitatibus nulla. Ea aspernatur cupiditate praesentium et.

Winners bring a bigger bag than you do. I have a degree in meritocracy.

Career Advancement Opportunities

April 2024 Private Equity

  • The Riverside Company 99.5%
  • Blackstone Group 99.0%
  • Warburg Pincus 98.4%
  • KKR (Kohlberg Kravis Roberts) 97.9%
  • Bain Capital 97.4%

Overall Employee Satisfaction

April 2024 Private Equity

  • The Riverside Company 99.5%
  • Blackstone Group 98.9%
  • KKR (Kohlberg Kravis Roberts) 98.4%
  • Ardian 97.9%
  • Bain Capital 97.4%

Professional Growth Opportunities

April 2024 Private Equity

  • The Riverside Company 99.5%
  • Bain Capital 99.0%
  • Blackstone Group 98.4%
  • Warburg Pincus 97.9%
  • Starwood Capital Group 97.4%

Total Avg Compensation

April 2024 Private Equity

  • Principal (9) $653
  • Director/MD (22) $569
  • Vice President (92) $362
  • 3rd+ Year Associate (91) $281
  • 2nd Year Associate (206) $266
  • 1st Year Associate (387) $229
  • 3rd+ Year Analyst (29) $154
  • 2nd Year Analyst (83) $134
  • 1st Year Analyst (246) $122
  • Intern/Summer Associate (32) $82
  • Intern/Summer Analyst (314) $59
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
BankonBanking's picture
BankonBanking
99.0
3
Betsy Massar's picture
Betsy Massar
99.0
4
Secyh62's picture
Secyh62
99.0
5
CompBanker's picture
CompBanker
98.9
6
kanon's picture
kanon
98.9
7
dosk17's picture
dosk17
98.9
8
GameTheory's picture
GameTheory
98.9
9
numi's picture
numi
98.8
10
Jamoldo's picture
Jamoldo
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”