J-curve
Dip then rise
A J-curve describes a trend that drops sharply before rising to exceed its starting point, forming a shape like the letter J.
In economics, it often describes how a currency devaluation initially worsens a trade deficit before improving it.
In private equity, J-curve refers to the pattern of negative returns in early years followed by gains: The fund is still in its J-curve phase.
The term applies wherever initial decline precedes eventual growth.
Regaining what was lost
- reboundReturn after deflection
- turnaroundShift in opposite direction
- improvementPositive change in quality
- upturnImprovement in conditions
acceleration · expansion · surge · bounceback · trough · breakeven · momentum · upswing
Goods brought in
- exportsGoods sold abroad
- deficitAmount still owed
- surplusAmount exceeding requirement
- elasticityTendency to resume original form
Acts of parceling out
- returnsProfits from investments
- IRRDiscount rate zeroing NPV
- portfolioCollected works or assets
- drawdownReduction over time
harvesting · LP · GP · buyout · NAV
Word form alteration
- trajectoryPath of moving object
- graphVisual data display
- plotStoryline or land parcel
- axisRotation reference line
shape · trend · upward · concave · data · coordinates · origin · model
Transition toward popular rule
- instabilityTendency toward unpredictable change
- transitionChange from one state
- liberalizationReducing state economic controls
- reformImprove by correcting faults
autocracy · openness · stability · consolidation · backsliding
recovery
Regaining what was lost
- reboundReturn after deflection
- turnaroundShift in opposite direction
- improvementPositive change in quality
upturn · acceleration · expansion · surge · bounceback · trough · breakeven · momentum · upswing · takeoff
imports
Goods brought in
distributions
Acts of parceling out
inflection
Word form alteration
- trajectoryPath of moving object
- graphVisual data display
- plotStoryline or land parcel
axis · shape · trend · upward · concave · data · coordinates · origin · model · diagram
democratization
Transition toward popular rule
- instabilityTendency toward unpredictable change
- transitionChange from one state
- liberalizationReducing state economic controls
reform · autocracy · openness · stability · consolidation · backsliding
- economic chartsbudget line, marginal cost, average cost, growth chart, trade balance
- directional drillingdirectional drilling, horizontal drilling, trajectory, inclination, azimuth
- private equityleveraged buyout, leveraged buyouts, LBO, buyouts, general partner
J-curvelinear growth
Increase at constant rate
exponential decay · downward slope · death spiral · flat line · plateau
J-curveinstant gratification
Satisfaction without delay
early returns · short-term gain · instant results · immediate gratification · slow burn
curve, curves, curved, curving, curvature, curvy, curvier, curviest, curvaceous