A dynamic 5-tier waterfall model combining IRR hurdles and equity multiple thresholds to calculate distributions between the LP and GP. The model incorporates return of capital, preferred return, GP catch-up provisions, and tiered promote structures, providing a transparent view of investor returns and sponsor compensation across multiple performance scenarios.
A dynamic 5-tier waterfall model combining IRR hurdles and equity multiple thresholds to calculate distributions between the LP and GP. The model incorporates return of capital, preferred return, GP catch-up provisions, and tiered promote structures, providing a transparent view of investor returns and sponsor compensation across multiple performance scenarios.