IRR

“Because in this business, when you're trying to generate returns, both cash on cash, you know, return multiple, which we tend to focus on, but also IRR, which a lot of institutional LPs focus on, really does start to hone your senses towards particular timefra…”

“If the IRR is 12% or 14%, and it's that close, like, it's probably not a good deal. It's got to be, like, no-brainer stuff that is just like, oh, if it works. If it doesn't, it's a zero.”

“It means we have fewer exits in the next few years. It means the valuations at which these X's happen are lower, which means that the IR we get are lower”

“It means we have fewer exits in the next few years. It means the valuations at which these exits happen are lower which means that the IR we get are lower”

“I don't think the algorithm is maximize IRR. Logically subject, and I'm such a geek, subject to some caveats, the real algorithm is maximize multiple subject to a constraint on IRR.”

“I remember realizing when you watch the late stage hedge fund guys come in that they fundamentally run their entire life on IRR. They have, you know, yearly high watermarks, compensation schemes, and therefore they're competing for a deal and they're not sayin…”

“If you go forward IRR at every liquidity opportunity is lower Then what you are basically promising your LPs or what you think your fund should have. I think you should sell. I think you have an obligation to LPs to at least sell.”

“One of the things I think most early stage firms get wrong is they just focus on Moik. They don't focus on IRR.”