medium · Private Credit & Debt fund-structures-returns-economics
A private credit fund invests $50,000,000 in a unitranche facility for Apex Logistics. The investment generates a 2.56x MOIC over a 7-year holding period.
Using the standard approximation IRR ≈ Multiple^(1)/(n) - 1, what is the estimated net Internal Rate of Return (IRR) for this investment?
- 22.3%
- 12.8%
- 18.2%
- 14.4%
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