The fastest way to benchmark private equity deals by industry or sector and estimate GP value-add.
Module Category: Market or Sector Drivers
Key Concept: The data used to measure-drivers, like Addressable Market Growth, Market Multiple Expansion, and Foreign Exchange Rate Impact, can be arranged into a Market Return Matrix that allows LPs to rapidly estimate the return driven by the GP versus broader market forces. Using the Logarithmic Model of value creation, analysts can easily convert a Market or Manager-driven MOIC into relative (%) value creation or value creation IRRs with a few clicks on a handheld calculator.