Typical venture capital fund

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Maguire Ventures Fund III is a typical venture capital fund (except for the small number of investments it made, which is a simplification to make this question easier for you to answer).

Maguire raised a $75 million fund, which began operations on July 1, 2018. On that date, Maguire invested $10 million in Able Company. On July 1, 2019, Maguire invested $20 million in Baker Company. On July 1, 2020, Maguire invested $30 million in Charlie Company.

On July 1, 2021, Maguire sold all three of its investments. Able was sold for $22 million, Baker was sold for $29 million, and Charlie was sold for $33 million.

What was Maguire's gross IRR? What was Maguire's net IRR? Hint: You may ignore the annual management fee in this calculation.

Reference no: EM133113625

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