MOIC is how much. IRR is how fast. $10M to $20M is 2.0x either way, but 26% a year over three years and 7% over ten.
What the film says
Two funds both doubled your money. One was far better. Each turned ten million into twenty. That’s a two times multiple, or MOIC. But this one took three years. This one took ten. IRR counts the time. Twenty-six percent a year, against seven. MOIC is how much. IRR is how fast. Ask for both.
In the glossary: MOIC
A simple example with round numbers, not advice. Terms vary by fund.
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