Multiple on Invested Capital
Another term used for Equity Multiple. See MOIC, or Equity Multiple.
Frequently Asked Questions about Multiple on Invested Capital (MOIC)
What is Multiple on Invested Capital (MOIC)?
Multiple on Invested Capital (MOIC) is another term for Equity Multiple. It measures the total return on an investor’s capital, expressed as a multiple of the original investment.
Is MOIC the same as Equity Multiple?
Yes, MOIC and Equity Multiple are used interchangeably to describe the same return metric.
Where can I learn more about MOIC and Equity Multiple?
Refer to these related glossary entries:
• MOIC
• Equity Multiple
Also see: “Introducing Weighted Equity Multiple: An Alternative for Dynamic CRE Investments”
Does MOIC account for the time value of money?
No, MOIC does not consider the time value of money. For time-sensitive analysis, Internal Rate of Return (IRR) should be used instead.
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