Calculations | support.carta.com
Calculations
General
Metric prioritisation
Extracted data points are always preferred over calculated data points
If there are duplicate metrics, they are first prioritised based on the report date being closest to the metric date.
If there are multiple metrics with the same report date, then the metric with the most recent extraction date is used.
Currency conversion
Uses Bank of England exchange rates
Valuation metrics such as Market Value and NAV are converted as of the date the metric is reported at
Transactional metrics such as Total Capital Invested or Capital Distributions are converted at the time of transaction and aggregated
Portfolio
| Metric | Calculation |
|---|---|
| Total commitment | Summed from all underlying commitments in the portfolio |
| Unfunded commitment | Summed from all underlying commitments in the portfolio |
| Capital contributions | Summed from all underlying commitments in the portfolio |
| Capital distributions | Summed from all underlying commitments in the portfolio |
| Market Value | Summed from the Closing Balance of all underlying commitments in the portfolio |
| RVPI | Market value / capital contributions |
| DPI | Capital distributions / capital contributions |
| TVPI | (market value + capital distributions) / capital contributions |
| IRR (since inception) |
Calculated using the same algorithm as Excel’s XIRR formula. The ending market value (as of reporting date) is used as the terminal cashflow, and contribution and distribution transactions used in the calculation can be configured based on your preferences: - Cashflows only - cashflow notice data only - CAS only - uses quarterly changes in contributions and distributions as approximate cashflows as of the quarter end date - Mixture – on a quarterly basis, reconciles the changes in contributions and distributions from CAS against the cashflows in the given period. Where possible, cashflows are used, with CAS data used as a supplement to account for any data gaps |
| Horizon IRR (e.g. quarter, year to date, 1 year) |
The starting market value of the period is used as the initial cash outflow in addition to the logic above |
| TWR (QTR period) |
(closing market value – opening market value – contributions + distributions) / (opening market value + weighted contributions – weighted distributions) Where weighted contributions and distributions are the sum of cashflows weighted by the proportion of days remaining in the quarter. For example, if a cashflow occurs on the 27/09, it is weighted by 3/92 This calculation requires cashflows |
| TWR (other periods) |
We aggregate QTR values up to other periods such as YTD, LTM etc. based on: (TWRQ1 + 1)*(TWRQ2 + 1)… - 1 |
Commitment
| Metric | Calculation |
|---|---|
| Unfunded commitment | Total commitment – capital contributions + recallable distributions |
| Cumulative cash flow | Sum of capital contributions to date |
| Change in Market Value (for a given time period) |
∆Closing balance – ∆capital contributions + ∆capital distributions |
| RVPI | Closing balance / capital contributions |
| DPI | Capital distributions / capital contributions |
| TVPI | (Closing balance + capital distributions) / capital contributions |
| IRR (since inception) |
Calculated using the same algorithm as Excel’s XIRR formula. The ending balance (as of reporting date) is used as the terminal cashflow, and contribution and distribution transactions used in the calculation can be configured based on your preferences: - Cashflows only - cashflow notice data only - CAS only - uses quarterly changes in contributions and distributions as approximate cashflows as of the quarter end date - Mixture – on a quarterly basis, reconciles the changes in contributions and distributions from CAS against the cashflows in the given period. Where possible, cashflows are used, with CAS data used as a supplement to account for any data gaps |
| Horizon IRR (e.g. quarter, year to date, 1 year) | The opening balance of the period is used as the initial cash outflow in addition to the logic above. |
| TWR (QTR period) |
(closing balance – opening balance – contributions + distributions) / (opening balance + weighted contributions – weighted distributions) Where weighted contributions and distributions are the sum of cashflows weighted by the proportion of days remaining in the quarter. For example, if a cashflow occurs on the 27/09, it is weighted by 3/92. This calculation requires cashflows. |
| TWR (other periods) |
We aggregate QTR values up to other periods such as YTD, LTM etc. based on: (TWRQ1 + 1)*(TWRQ2 + 1)… - 1 |
Lookthrough
Lookthrough calculations relate to a portfolio’s exposure to underlying assets of its fund investments.
| Metric | Calculation |
|---|---|
| Portfolio ownership | Closing balance / Fund NAV - Can be customised to client, e.g. use Fund residual value instead of NAV - Applied against total capital invested, total distributions, residual value, investment total scoped emissions |
| Change in market value(for a given time period) | ∆Portfolio-weighted Residual Value – ∆Portfolio-weighted Total Capital Invested + ∆Portfolio-weighted Total Distributions |
| Portfolio total value | portfolio-weighted total distributions + portfolio-weighted residual value |
Fund
| Metric | Calculation |
|---|---|
| Cumulative cash flow | Sum of capital distributions to date – sum of capital contributions to date |
| Fund Residual Value | Sum of residual values from underlying investments |
Investment
| Metric | Calculation |
|---|---|
| Fund ownership | Residual value / TEV (can calculate any of these metrics using the other two) |
| Total value | Residual value + total distributions (can calculate any of these metrics using the other two) |
| MOIC | Total value / total capital invested (can calculate any of these metrics using the other two) |
Company
| Metric | Calculation |
|---|---|
| Default periods for EBITDA, EBIT and revenue | Unless otherwise specified, these metrics are displayed as LTM. If the GP reports these metrics in different time periods, e.g. QTR or YTD, then LTM is calculated: - QTR values can be calculated by finding the difference between YTD metrics extracted in consecutive quarters - If a series of QTR metrics is available, these can be summed back up to achieve YTD, LTM, and other periods |
| Equity | TEV – Net debt (can calculate any of these metrics using the other two) |
| EV / EBITDA | Can be calculated if not already reported in GP documents |
| Net debt / EBITDA | Can be calculated if not already reported in GP documents |
| EV / Revenue | Can be calculated if not already reported in GP documents |
| EV / Net debt | Can be calculated if not already reported in GP documents |
| Entry Value | Taken as the value of that metric as of the entry date of investment. If a value is not found for the entry date, the value for the closest date within the same quarter is taken. |
| CAGR | (current value/entry value)1/n – 1 Where n is time in years between the entry date and the current date CAGR is only calculated where n is at least 1 Calculated for all company-level metrics, for each investment into the company |
Leverage
| Metric | Calculation |
|---|---|
| Leverage | Net debt / TEV |
| Weighted leverage | (Investment residual value/sum of investment residual values) * Leverage If an asset has a zero leverage, then the residual value will not be included in the calculation |
| Fund leverage | Sum of weighted leverages |
ESG
| Metric | Calculation |
|---|---|
| Total scoped emissions | Scope One emissions + Scope Two emissions Note that scope three emissions can be imported, but are not included in this calculation as they tend to be far less direct and more ambiguous. |
| Investment total scoped emissions | Fund ownership * (total scoped emissions) |
| Portfolio total scoped emissions | Portfolio ownership * (investment total scoped emissions) |