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The primary reason for the lower MIRR is that:

1. The MIRR assumes interim distributions are reinvested at a lower cost of capital rate rather than at the 25% IRR
2. The IRR is a purely money-weighted rate of return, whereas the MIRR is a time-weighted return metric
3. The MIRR restates interim cash flows to reflect the time-weighted volatility observed in the public equity markets
4. The MIRR calculation subtracts management fees and carried interest, while the IRR is typically reported on a gross basis

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