Waterfall Modeling

[REPE enthusiast]

Hi Lev,

Thank you for the waterfall modeling exercise in the 1st part of the course.

I have a couple of more general questions regarding Waterfall Modeling in Analyst interviews.

1. Aside from the IRR Hurdles that we have practiced here, aren’t we also supposed to be able to do the same with Equity Multiple hurdles? If so, how do we go about that? I can’t seem to find any examples online. Can you perhaps post a template of how this would look like?
2. In your experience do Waterfall interview questions include elements such as catch-up and clawback? Finding good examples of those online is also pretty challenging and I can’t say i’m able to model those yet

I would like to be as prepared as I can so any insights to the above would be tremendously valuable.

Once again, much appreciated Lev.

Best,
TK

[Lev]

I can produce both of those requests. I’ll prioritize this request above my other to-do’s. You can expect a deliverable within the coming two weeks, likely toward the end of that period. I’ll upload it and notify you here once complete.

[Lev]

1. I’ve never encountered an equity multiple hurdle, but will research this
2. Yes, catch-ups and clawbacks are fair game. Those are not in my example waterfall. Per my earlier reply, will build a template for this.

[REPE enthusiast]

This is fantastic, thank you Lev!

Looking forward to those additions.

 

[REPE enthusiast]

Hi Lev,

Would you happen to have an update on this?

Looking forward!

Best,

TK

[Author]

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