Private equity

CFA Level II
#1

I totally bombed the private equity set. Does anybody remember choosing investment C for the first question and B for the second?

#2

I am with You on C and B

#3

C and A.

#4

I just know you want high hurdle rates, low management fees, payout based on total return, etc.

#5

C for investors and A for annual clawback

#6

i think i went with C and A first one had lowest carried interest, same management fees, or vice versa second one had deal-by-deal clawback or something idk

#7

annual clawback right? not end of fund clawback

#8

C&A sounds familiar

#9

Right you want clawback to be reconciled as often as possible.

#10

annual clawback, highest hurdle, and lowest management fee…

#11

yes, the annual or deal by deal clawback better. .75 dpi 12% i -1’d that one what else was there?

#12

oh well, i guessed both and got 1 right… can’t complain

#13

was one answer px multiples here?

#14

RVPI important or not for LPs Valuation metrics for VC firms

#15

or replacement costs?

#16

EBITDA

#17

.75 dpi? damn i said 45/70 ~0.64

#18

i put GP’s/LP’s self value for the last one but not sure about that one.

#19

IRR was -14%, correct? It was still early days for the Fund they hadn’t yet paid much out yet. thoughts?

#20

ebitda wasn’t on the PE set.