Private Equity MOIC & Annualized Return Calculator for LPs
For LP teams translating a private-equity or VC investment multiple into an annualized holding-period return.
- For LP underwriting, what annualized return turns $100m into $200m over seven years—or what value does a target return imply?
- What annualized return does a 2.0x MOIC imply over seven years?
- What MOIC is required to reach a target annualized return over a chosen holding period?
Return and value at a glance
Estimate based on the inputs shown.
How it is calculated
MOIC = ending value ÷ starting value; annualized return = MOIC^(1 ÷ years) − 1
Projection mode reverses the same equation. Every mode assumes one starting value, one ending value and no interim cash flows.
Read the result in context
This LP-focused private-equity MOIC calculator uses one compound-return relationship across all three modes. It is appropriate for a single entry and exit; an LP assessing fund-level calls and distributions should use dated cash flows and XIRR.
Does this replace IRR or XIRR?
Only for one starting value and one ending value. Multiple dated cash flows require their actual dates.
How is annualized return calculated?
Raise the ending-value multiple, or MOIC, to the power of one divided by the holding period, then subtract one.
Why are there three modes?
They solve the same equation forward or backward: observed outcome, projected value or required return.