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MOIC (Multiple on Invested Capital)

Value / Invested capital; doesn't consider time value like IRR

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Fundamental

MOIC (Multiple on Invested Capital)

Value / Invested capital; doesn't consider time value like IRR

Definition

MOIC measures total return on invested capital without considering time. Formula: (Distributions + Current Value) / Invested Capital. Used in private equity to assess absolute returns, but ignores holding period.

Related Topics

#private equity #return measurement #absolute return #capital efficiency

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Category: Fundamental

Fundamental analysis examines a company's financial health, management quality, and market position to determine intrinsic value.

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