Glossary — metrics
DPI (Distributions to Paid-In capital)
Also known as: Distributions to Paid-In
DPI is the ratio of actual cash returned to fund investors (LPs) to the capital they paid in — the realized portion of a fund's return.
How it works
DPI measures cash-in-hand, not paper gains. A fund with 1.0 DPI has returned LPs their original capital; 2.0 DPI means they've doubled their money in cash. Early-stage funds have low DPI for the first 5–7 years (everything is paper value), then DPI grows as portfolio companies IPO or get acquired. LPs increasingly weigh DPI over IRR when judging GP performance.