Distributed to Paid in (DPI) and Residual Value to Paid In (RVPI)

CFA Level II
#1

Hi, In Private Equity, is it better to have a high DPI and RVPI or a low? Thanks

#2

It’s better if both are high. DPI is like dividends - you got the cash - and RVPI is like capital gain on a stock. Both are measures of return, so the higher the better.