Home Investing Strategy Portfolio Strategy The Tyranny Of IRR: A Reality Check On Private Market Returns Nov. 13, 2024 2:15 AM ET CFA Institute Contributors 5.45KFollowers ...

Additionally, IRR assumes that any cash flows are reinvested and earn a rate of return equal to the IRR. Using the example above, IRR assumes that the $600,000 cash flow from Fund B in Year 3 can ...

Earlier-than-anticipated distributions from successful exits in private equity can substantially boost the internal rate of return on invested capital. Conversely, delayed distributions might ...

KKR reportedly aims to raise $20 billion for its new North America private equity fund, North America Fund XIV. This fund targets a high-teens net IRR and plans annual capital deployment of 20% to ...

The last North American private equity fund that KKR has fully deployed, which it launched in 2017, reported an IRR net of fees of 20.5% as of the end of March, according to a regulatory filing.