GP Carry & Waterfall Computation
Multi-tier waterfall structures with hurdle rates, catch-up provisions, and tiered carried interest demand a calculation engine that goes beyond spreadsheets. 3forge encodes your fund's waterfall logic once and executes it continuously, with full simulation capability to model exits before they happen.
The Challenge
Waterfall Complexity Overwhelms Manual Calculation
Modern fund structures, particularly those with multiple classes, vintage blending, and co-investment arrangements, produce waterfall models too complex for spreadsheets to maintain reliably.
Tier calculation errors
Catch-up provisions and multi-tier splits introduce compounding rounding and ordering errors that are hard to detect and expensive to correct after distributions.
No live simulation
GPs can't model the impact of potential exits, market moves, or capital calls on carry allocations without running a manual spreadsheet exercise.
LP reporting complexity
Producing per-LP waterfall statements with the full calculation breakdown requires significant manual effort each distribution cycle.
Formula maintenance burden
As fund terms evolve and side-letter modifications accumulate, keeping spreadsheet formulas in sync across all LPs becomes unmanageable.
The 3forge Approach
Programmable Waterfall Models with Live Simulation
3forge encodes your waterfall logic in AMIScript, a programmable formula layer that runs server-side on live data. Scenario simulation lets you model exits and distributions in real time before committing to a distribution event.
Key Capabilities
What You Can Build with 3forge
Multi-Tier Waterfall Engine
Encode preferred returns, catch-up provisions, and GP/LP splits as reusable AMIScript formulas applicable across fund vehicles.
Exit Scenario Simulation
Model any combination of partial or full exits against live position data to project carry allocations before distributions occur.
LP Allocation Statements
Generate per-LP waterfall statements with complete tier-by-tier breakdowns automatically at each distribution cycle.
Capital Account Integration
Connect to fund admin systems for live capital call and distribution history, with no manual data imports.
Side-Letter Management
Track per-LP modifications to standard terms and apply them automatically to carry calculations.
Real-Time Recalculation
Recompute carry allocations instantly when NAV estimates, currency rates, or capital balances change.
Get started
Ready to see it live?
Book a 30-minute demo with a 3forge solutions engineer and see waterfall computation built on real data.