Average times-to-liquidity are a useful bench-marking instrument for fund investors. The time-to-liquidity of fully realized funds ranges from 4.1 years for mezzanine funds to 5.6 years for early-stage venture capital funds. These elements are interesting in anticipating the theoretical time-exposure of investors. However, they might aggregate significant variations from one vintage year to another.

Indeed, depending on the strategy, the minimum and maximum time-to-liquidity per vintage years can fluctuate a lot. Venture capital is probably the strategy which shows the largest divergences from the average. The minimum time-to-liquidity is exceptional as it results from the particularly favorable conditions for venture capital exits at the end of the decade 1990. Very long time-to-liquidity translates into lower multiples, and probably illustrate the challenging conditions that managers had to face before being able to sell portfolio companies.

Figure 3 – Variation of multiple of invested capital and time-to-liquidity of fully realized private markets funds

Variation of multiple of invested capital

Source: eFront Insight, as of Q2, 2019. “bal.” refers to “balanced, “PRE” to “private real estate”, “Opp” to “Opportunistic. Diamonds refer to the shortest time-to-liquidity observed for any given year, the dot to the average time-to-liquidity and the square to the longest.

Get This Research Paper

I’d like to be contacted on this topic

Thank you

You can now download our full research paper with the following link.


  • Benefits of International Diversification: Focus on the UK LBO Market

    We looked at the eFront Insight universe of the 20-year history of quarterly returns of regional pools of LBO funds to quantify the correlation structure between different regions.
  • Private Equity Performance Overview – Q1 2021

    Our latest Quarterly Report brings together two complementary sets of benchmarks for the global PE market as of Q1 2021: Fund-level transaction-based metrics and deal-level performance statistics derived from individual deal financials.
  • Global Private Equity Performance Series

    The fourth edition of Global Private Equity Performance Series is for the first time using the deal-level benchmarks in geographical performance analysis.