Financial Planning
Fund Vintage Years: Compare Performance at the Same Age
Compare fund vintage years at equal ages while preserving differences in market period, realization and valuation basis.
What you will learn
- Label a vintage using the stated convention.
- Compare equal-age observations without hiding different market periods.
- Separate age, realization and valuation-basis differences.
A fund’s vintage year gives its starting cohort, but a meaningful comparison also needs fund age, reporting date and a consistent vintage definition. Comparing a young fund’s unrealized value with an older fund’s realized cash can produce a misleading winner.
Record how the vintage was defined
A first close and a first capital call can occur in different years. The GIPS handbook discusses vintage definitions and disclosure. Use the definition supplied for the relevant reporting set; do not silently recast every fund to whichever year makes a comparison look stronger.
A vintage label does not change the actual cash-flow dates in an IRR calculation. Record the first investment, first close and first call separately when they matter to the analysis.
Create an age-and-date grid
The table is fictional. Each fund uses first capital call as its vintage convention. Observations use the same net multiple definitions and exact two- or four-year ages for simplicity. These are descriptive examples, not market benchmarks.
Separate fund cohort from observation age
| Fund / observation | Vintage | Age | DPI | RVPI | TVPI |
|---|---|---|---|---|---|
| Cedar A at end of Year2 | 2021 | 2 years | 0.10x | 0.80x | 0.90x |
| Cedar A at end of Year4 | 2021 | 4 years | 0.50x | 1.10x | 1.60x |
| Harbor B at end of Year2 | 2023 | 2 years | 0.05x | 0.95x | 1.00x |
The same fund’s TVPI rises from 0.90x to 1.60x in this invented path. That does not establish that Harbor B will follow the same path as it ages.
Make the fairest available comparison
At age two, A is 0.90x and B is 1.00x. Comparing those observations controls for elapsed age, but they still occur in different calendar markets. At a common 2025 reporting date, A would be older than B. No single alignment removes every difference.
Comparison lens and remaining limit
| Lens | What it aligns | What remains different |
|---|---|---|
| Same age | Time since the stated starting event | Calendar market, opportunity set and valuations |
| Same reporting date | Current observation period | Fund age and realization stage |
| Same vintage and strategy | Broad starting cohort and mandate | Manager decisions, costs, cash flows and underlying investments |
Check what sits inside the multiple
A’s age-four 1.60x comprises 0.50x distributed and 1.10x residual value. B’s age-two 1.00x comprises 0.05x distributed and 0.95x residual. A large residual component still depends on valuation; a cash distribution and a mark should not be treated as equally realized.
Preqin’s performance methodology explains benchmark grouping and multiple definitions. Keep the comparison population, currency, strategy and gross/net basis explicit before using a quartile label or headline average.
Copy the fund-comparison card
Vintage comparison
Fund / strategy / geography / currency: [ ]
Vintage year / exact starting convention: [ ]
Observation date / age at observation: [ ]
Net or gross / fee basis: [ ]
DPI / RVPI / TVPI / dated cash-flow source: [ ]
Comparable population / exclusions: [ ]
Same-age and same-date views: [ ]
Valuation or source gaps: [ ]
What the comparison does not establish: [ ]Turn the comparison into a useful conversation
Ask which differences come from timing, realization or measurement before debating manager quality. Keep the answer and dated materials connected with Finta’s LP follow-up workflow. A comparison is a starting point for diligence, not an investment recommendation.
About this lesson. By Finta Editorial Team. Sources reviewed November 14, 2026. All example amounts, entities and outcomes are fictional teaching inputs, not observed fund performance. General education, not legal, tax, accounting or investment advice. Use qualified advisers and the governing documents for an actual fund.