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Short answer: TVPI, or Total Value to Paid-In, is the ratio of a fund's total value, comprising cumulative distributions plus remaining net asset value, to the capital a limited partner has paid in. It equals DPI plus RVPI. It is the most commonly quoted private markets multiple and does not distinguish between value realised and value estimated.
Key takeaways
- TVPI = (cumulative distributions + residual NAV) ÷ paid-in capital.
- TVPI = DPI + RVPI. The identity is exact.
- A TVPI of 1.0x means total value equals capital contributed.
- TVPI does not distinguish realised value from manager-estimated value.
- TVPI excludes time. Two funds with identical TVPI over different horizons produce materially different IRRs.
- At liquidation, RVPI is zero and TVPI equals DPI.
- Funds reporting under the ILPA Performance Template disclose TVPI both with and without the effect of subscription credit facilities.
Formula and calculation
TVPI = $13.3M ÷ $7.0M = 1.90x
Verified against the component identity: DPI of 0.60x plus RVPI of 1.30x equals 1.90x.
The denominator is paid-in capital, also referred to as capital called, rather than the $10.0M commitment, per the ILPA reporting convention.
What the headline figure omits
TVPI is the figure most commonly presented first in fund reporting. Its limitation is structural: it aggregates two components with different evidential standing.
A fund reporting 1.90x TVPI composed of 1.70x DPI and 0.20x RVPI has distributed nearly all of its value. A fund reporting the same 1.90x composed of 0.20x DPI and 1.70x RVPI has distributed almost nothing, and the reported total rests on the manager's valuation of unrealised positions. The headline figure is identical. The positions are not comparable.
For this reason TVPI is read as a component pair rather than as a single number. The decomposition is available in any fund reporting to ILPA standards.
TVPI and time
TVPI contains no time dimension. The same multiple achieved over four years and over twelve years is reported identically.
Two funds, each returning $13.3M on $7.0M of paid-in capital, both report 1.90x TVPI:
Identical multiples, materially different annualised returns. Comparing TVPI across funds is only meaningful where vintage years are close, and where the time dimension matters, IRR is the applicable measure.
Behaviour across the fund life
TVPI generally follows a J-curve. It sits below 1.0x in early years, when management fees and expenses have been charged against a portfolio that has not yet appreciated, then rises as value is created and realised.
Under a standard twelve-year projection, TVPI passes 1.0x in the first or second year, reaches approximately 1.5x by year six, and converges on its terminal value as the portfolio is liquidated. At the point the fund closes, all value has been realised, RVPI is zero, and TVPI equals DPI.
A TVPI below 1.0x after liquidation indicates the fund returned less than the capital contributed.
Subscription credit facilities
Funds reporting under the ILPA Performance Template released in January 2025 disclose performance both with and without the impact of fund-level subscription facilities.
Where a fund uses a credit facility to fund investments before calling capital, paid-in capital is lower for a given level of deployment, which affects reported multiples and materially affects reported IRR. The disclosure of both figures allows the effect of financing timing to be separated from investment performance. Where two funds are compared on TVPI, the figures should be drawn from the same basis.
How MYFO handles this
Transaction and investment data is tracked in MYFO, and the MYFO performance engine calculates and maintains TVPI across every fund position and entity.
To see this across an existing portfolio, book a call.
FAQ
What is the difference between TVPI and MOIC?
The two are closely related and frequently conflated. TVPI is a fund-level measure using paid-in capital as the denominator. MOIC, or multiple on invested capital, is more often quoted at the individual investment level and uses invested capital, which may exclude fees and expenses borne at the fund level. Where both are presented, TVPI is generally the lower figure because its denominator is broader.
Is TVPI reported gross or net?
Both conventions exist. Net TVPI reflects performance after management fees, expenses, and carried interest. Gross TVPI reflects underlying investment performance before manager economics. The difference between them is material and represents the cost of the fund. Funds reporting under the ILPA Performance Template disclose both.
Can TVPI decline?
Yes. Because TVPI includes residual value, a downward revaluation of unrealised positions reduces RVPI and therefore TVPI. Distributions themselves do not change TVPI, since they convert residual value into distributed value on a one-for-one basis, moving the composition between RVPI and DPI without altering the total.
