A fund's vintage year is usually the year it first called capital or made its first investment. Funds are compared with others from the same vintage, because they invested in the same market conditions.
What the film says
In private equity, funds have good years and bad years, like wine. It's called the vintage. Usually, the year a fund first called capital, or made its first investment. Say two funds both show the same return. One started just before a crash. The other started just after it. Same number. Very different years to buy in. So funds get compared with funds from the same year. Same market. Fair fight. So why do investors care? A good number can just mean a good year. And data sources can date one fund differently. Always check the year on the label.
In the glossary: Vintage year
A simple example with round numbers, not advice. Terms vary by fund.
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