- CFA Exams
- CFA Level I Exam
- Study Session 15. Alternative Investments
- Reading 41. Private Equity Valuation
- Subject 3. Private equity fund structures and valuation
CFA Practice Question
If the IRR of a private equity fund is "net of fees", it means net of:
II. Carried interest.
III. Any other financial arrangement that accrue to the GP.
I. Management fees.
II. Carried interest.
III. Any other financial arrangement that accrue to the GP.
A. I and II
B. I and III
C. I, II and III
Explanation: Net IRR relates cash flows between the private equity fund and LPs.
User Contributed Comments 0
You need to log in first to add your comment.