Toomey: 2004–2006 Buyout Vintages Had Lower IRRs Than 2007–2008 Vintages
John Toomey · Mario Giannini & John Toomey – Private Equity Panel (Capital Allocators EP.309) · Apr 17, 2023 · at 17:38
John Toomey (HarbourVest Partners) compares historical buyout vintage performance from 2004 to 2008 on Capital Allocators.
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“When you look back, people think the oh seven, oh eight vintage years were the trough years in the bio world, and in fact, they weren't. When you look at the top quartile returns, they got to over two X. Almost 20% IRRs. Median returns were one, eight, one, nine, and 14% returns. Back to Mario's analogy to the curtain, you had to actually go further back behind the curtain to look at the, oh, four, oh, five, oh, six vintage years. Top quartile still got just below two acts. It was a 1.9 on average in those vintage years, but the IRRs were 12 to 13%”
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