Comparision of ILPA Quarterly Reporting Standards Best Practices, IPEV Investor Reporting

Guidelines, and EVCA Reporting Guidelines. EVCA guidelines have been supplanted by IPEV
guidelines. One advantage of EVCA over IPEV is that templates are suggested.

EVCA RG (no longer in

Criteria ILPA IPEV IRG
application)

1 Core 1. Summary Management 1. Fund Information: 1. Fund Reporting:

content Decision and Analysis • Fund Overview • Fund Overview
/structure Letter • Executive Summary • Executive Summary
of the 2. Financial Package: • Fund Status • Fund Summary
reporting • Balance sheet 2. Investor Information: • Cash Flow Schedule
• Period End Schedule • Cash Flow and Net and NET IRR
package
of Investments IRR calculation Calculations Table
• Statement of • Individual Capital 2. Portfolio Reporting:
operations Account • Realisation
• Statement of Cash • Capital Call Notices Summary Current
Flow • Distribution Portfolio Summary
• Partner`s Capital Notices • Portfolio Companies
Account Statement 3. Fees. Carried Interest 3. Capital Account:
• Appropriate Related Party • Individual LP
Footnote Disclosure Transaction Account (All
3. Supplemental Information: Investors) Account
Management Reports • Management fee 4. Fees and Carried
• Executive Summary and related party Interest
– Firm and Fund transactions
Level • Carried Interest
• Supplemental 4. Investment Portfolio
Schedule of Information:
Investment • Current/Utilisation
• Portfolio Company Portfolio Summary
Update (and for • Realised Portfolio
each active portfolio Summary
company • Portfolio Company
Detail
• Management in FV
of the Portfolio
2 Tiering, by No tiers-best practice Yes –“essential” and Yes- requirements and
importance “additional” disclosures recommendations
of
information

3 Frequency Quarterly Quarterly (there are Semi-annually

of reporting different frequencies of
reporting for different
parts of the report)

Page 1 of 5
4 Audit Audited accounts annually
5 Timing • Quarterly (funds):
60 days after
quarter end, with a
targeted delivery of
45 days
• Quarterly (FOFS): 90
days after quarter
end, with a targeted
delivery of 75 days
• Audited financials:
• More than 30 days
for expected and
targeted delivery
deadlines outlined
earlier
6 Templates/ Yes – only capital call and
formats distribution notice
templates, not quarterly
report (best practice).
Aiming for standardisation
for increased efficiencies
and cost reduction-
templates streamline the
reporting process and
facilitate better electronic
comparison across funds
7 Historic yes
data
8 GAAP Does not mandate any
requiremen specific GAAP
ts
9 Individual Yes, through capital
LP accounts only. Potentially
information avoids duplication of
information and presents
holistic approach
Page 2 of 5
Out of scope-local/GAAP Yes, if contractually agreed
requirements with the investors
• 45 to 60 calendar Requirements : 60 calendar
days for quarterly days (half year) and 90 days
reporting for y/e
• 75 to 90 calendar Recommended : 45
days for year- end calendar days (half year)
reporting and 60 days for y/e
• For LPs that
require NAV on an
estimated basis,
NAV (based on an
estimate of FV of
underlying
investments)
• Should be provided
as quickly as
possible, but within
45 calendar days of
quarter end
No (sample reports to be Yes – template provided
provided later)
Does not mandate a
specific foprmat5. One size
does not fill all – GPs and
LPs should be free to agree
on the process that works
no no
Yes, through other Per IPEV
statement, unless in GAAP
information
10 LPs Capital • Emphasises that Individual LP Capital Individual LP capital
Accounts although the PCAP is Accounts. As part of accounts required, along
(PCAP) subject to accounting Section II, point 2, with fund (all investors)
standards, it is “Investor Information”
paramount to LPs. The
PCAP should encompass
the necessary
components for an LP to
assess the value of
investments, as well as
to reconcile the proper
allocation of flows
across the relevant
periods
• Recommends current-
period. year to date, and
since-inception info
11 GP Yes No- fund only No-fund only
. information

12 Portfolio Includes metrics for No specific metrics No specific metrics required

reporting unrealised and realised
investments
13 Valuations Technically silent on IPEV
Valuation Guidelines, due to
US where IPEV is not widely
adopted, but implicitly
requires IPEV Valuation
Guideline
14 Manageme Recommended to include
nt fee information in the footnotes
disclosure of the financial statements
requiremen
ts
required
Requires investments to be
reported as fair value (FV).
Explicitly requires
compliance with IPEV
Valuation Guidelines
Recommended to include
information on
management fee
calculation in Section 3,
“Fee, Carried Interest, and
Related Party Transaction;”
for the LPs to be able to
verify compliance with the
LPA
Explicitly requires IPEV
Clear statement on related
party transactions, benefits,
and fees broken down into
these principal categories
requires:
• Underwriting fees
• Director/monitoring
fees
• Broken deal fees
• Gross Management
fees
• Net management
fees

Page 3 of 5
15 Carried Recommended to include
interest information in the footnotes
requiremen of the financial statements,
ts as well as the individual LP`s
capital statement
16 Guidance No separate section dealing
on with performance in detail:
performanc • Net ( of management
e fees and carried
interest) IRR at the fund
measureme
level (using LP`s cash
nt
flow)
• Since-inception
investment /gross IRR
(all security
types)/security-type
gross IRR
Key valuation metrics
• TVPI
• RVPI
• DPI
Historical fund performance:
• TVPI over time in a
graphical depiction
• Alternatives include
both TVPI and net IRR
over time
17 Responsible Mentioned twice:
investing • Summary Later
(RI)/ESG • Portfolio Company
reporting • Update (in the Risk
Assessment Update),
• As part of the extra
financial risks
18 Compliance Best practice-not a
requirement
Page 4 of 5
Recommended to include
information on carried
interest calculation in
Section 3;
“Fees, Carried Interest, and
Related Party Transaction”
to allow LPs to analyse the
carry deducted form,
allocated to, or deemed
allocation to the carried
interest partner (CIP)
Separate section (Section
II) on portfolio
measurements and
reporting , with
information on:
1. IRR
2. The level of IRR (net
and gross) advocated
by IPEV
a. Gross Portfolio IRR
b. Fund Net IRR to
LPs
3. Principles of calculating
return, including:
a. Timing of cash
flows (daily cash
flow using the
actual date of the
cash flow, or
monthly)
b. Taxation
c. Net returns to
investors, carried
interest and the
unrealised
portfolio, and so on
Yes-in conjunction with
quarterly investment
reporting
Principle of compliance and
voluntary self-regulation.
Required information:
• Carried interest
paid since inception
• Current period
carried interest paid
• Current period
carried interest
earned
• Current period
carried interest
accrued
Separate section (Section
5) on performance
measurement:
1. Three levels of IRR
required:
a. Gross return on all
investments
b. Gross return on
realised and
unrealised
investments
c. Net return to the
investor
2. Principles of calculating
return, including:
a. Timing of cash flow
(daily cash flow
using the actual
date of the cash
flow -if monthly,
same day of each
month)
b. Taxation
c. Net returns to
investors, carried
interest and the
unrealised
portfolio, and so on
Yes – 2010 version
(embedded)
Best practice -not a
requirement
 Best practice – guidance
provided

Page 5 of 5