DPI

“What's kind of crazy about VC is that you don't really know until fund four. Why is that? Because you typically are raising in two, three year increments. So you don't really know. You don't really have DPI until let's say fund three. So you don't know. You do…”

“So I think DPI is important. And DPI is kind of like ground truth. Like it's an equalizer. You could be the worst marketer in the world, but eventually like your DPI will catch up. Right? So it is a great equalizer is the most empirical fact, but it is a highl…”

“I think you sell 10, 10, 15, 20%. A lot of LGPs get short-term greedy. They're like, well, I wanted to let it ride and get more carry. Well, first of all, I could go down to zero. But secondly, if they're really thinking, you know, strategically, that DPI will…”

“No longer do you walk into a pitch meeting and show your multiple and invested capital and, or even like TVPI, like you have to like, just show DPI and be really clear what that number is.”

“I've heard like, I think it was Roger Enberg defined it as any fund that's returned one X DPI on all capital they've raised to date. And so you stop Being in an emerging manager, when you actually return every single dollar you've raised, you distribute back t…”