The client, a Real Estate Private Equity firm, wanted to track the performance of each of their funds under different scenarios through a single dynamic model and find out the total fund commitment & investment figures along with the annual distribution forecast. This was a part of the client’s annual business plan.
To prepare a flexible and universal fund model to track the current and future performance of each deal in the fund. Focus on the portfolio analysis and waterfall structure for each type of fund.
The TresVista Team broke down the task and built the model section by section:
Finally, the TresVista Team took care of other aspects such as the annual distribution forecast and created a portfolio analysis summary that displays each deal’s performance and the entire fund at both gross & net levels
The challenges faced by the TresVista Team were:
Ensuring the model is user friendly in terms of easy dumping of inputs
The TresVista Team provided the client with a user-friendly and automated model that allowed the flexibility to run various funds under different combinations of scenarios. This helped the client streamline the entire process of evaluating their key funds, which is a part of their annual business plan process.