B is incorrect. Early in the private equity investment cycle, committed capital will be held in relatively liquid assets with lower expected returns to fund capital drawdowns that have uncertain timing. Further, little return will be realized from early-stage investments, particularly on the venture capital side of private equity. Also, bad investments tend to fail earlier than good investments succeed. Overall, private equity is subject to a J-curve, with low or even negative returns early on and high returns later on. For these reasons, the portfolio’s overall return will be lower in early years, reducing the endowment’s available spending according to its current spending rules and making it difficult to increase the spending rate in two years.
老师，这里的B选项，正确理解是由于PE前期投入多资本沉淀时间长，相对来说收益没这么早显现？答案maintaining current spending rate又是怎么理解?这里是不是和机构IPS里面各种endorment fund的spending rate知识点联系起来？
