Introduction | ValueBridge App

The ValueBridge App measures private equity value drivers for deals, funds, managers, and limited partner investment portfolios. Build fast and accurate portfolio company value creation models — using as little data as possible — then do what is impossible in Excel: roll up returns and value bridges for hundreds of companies.

Video introduction

Guide highlights

Build a portfolio company

All return and value creation math starts with portfolio companies. Enter data as transaction records. These build each deal’s gross and net returns, plus consolidated entry and exit metrics. Assign market datasets to separate market vs. manager returns.

Three value creation charts

Capital structure and P&L data build the basic value bridge and some elements of the detailed value bridge. Linking portfolio companies to market data adds more detailed value drivers and completes the market vs. manager value bridge.

Four value creation measurements

Absolute ($) value creation in the value bridge is automatically transformed into times money (relative to invested capital), relative (%) share of total equity gains, and value creation IRRs, which account for both capital and time required to generate the return.

Market vs. manager-driven IRRs are similar to public market equivalence (or PME).

Fund roll-ups

All portfolio companies require a fund. The fund dashboard automatically aggregates gross and net returns and all value drivers for a fund’s portfolio companies.

Manager roll-ups

All portfolio companies require a manager. The manager dashboard automatically aggregates gross and net returns and all value drivers for a manager’s portfolio companies.

Workspace roll-ups

In the ValueBridge App, all portfolio companies require a workspace. The workspace dashboard automatically aggregates gross and net returns and all value drivers for a workspace’s portfolio companies.

Portfolio roll-ups

After adding portfolio companies and funds to a workspace, actual or hypothetical limited partner investment portfolios can be modeled by making different-sized commitments to funds. The portfolio dashboard automatically aggregates gross and net returns and all value drivers due to the commitment-driven share of ownership in related portfolio companies.

Do what is impractical (or impossible) in Excel

The video shows how easy it is to add commitments to funds, and how quickly the returns and value drivers update — instantly processing metrics across multiple funds and dozens of portfolio companies.