Private assets are assets that are not traded publicly, such as on an exchange, These are typically the equity of privately-held companies, debt, loans, infrastructure projects or real estate. Hence, investing in these assets involves buying stakes in private companies, debt and loans, infrastructure projects and real estate.

Similar to a mutual fund or hedge fund, a private assets fund is a pooled investment vehicle where the fund manager pools together the money invested in the fund by all the investors and uses that money to make investments on behalf of the fund.

Private assets funds are broadly categorized by the nature of their underlying assets: Private Equity, Private Debt, Real Estate or Infrastructure funds.

Each of these broad categories of private assets funds are then further classed by the specific nature of their target investments. Hence, for example, a Private Equity fund can be grouped as investing in “buyouts”, “growth”, “venture capital” and so forth.

A feeder fund is an investment fund that pools capital from investors and then invests that capital into a single private assets fund, known as the “master fund”. There are many reasons for creating a feeder fund but typically the master fund will require a much higher investment minimum compared to the feeder fund. Thus feeder funds provide investors access to master funds with smaller investment amounts than if they were to invest directly in the master fund.

Feeder funds collect capital, known as “investment commitments”, from investors and then invest the aggregate capital into the master fund. The master fund invests in a portfolio of private assets. During the investment period, the investment commitment to the feeder is drawn down whenever the master fund itself draws down its commitments. Similarly, the feeder fund distributes capital whenever it receives distributions from the master fund following the realization of investment proceeds. In this way the feeder acts like a “mirror” of the master fund. There is no obligation for the feeder fund to act like a mirror, although this tends to be our policy at Antwort Capital. Antwort Capital feeder funds make distributions through the redemption of the feeder funds shares.

Investing in private equity through a feeder fund provides investors with access to master funds only available for large investors such as institutions, sovereign wealth funds, endowments and ultra-high net worth individuals or families. Another benefit of the Antwort feeder funds is that they are Luxembourg alternative funds under the EU’s AIFM regulation which provides safeguards for investors. On occasions, master funds are transparent and look-through which might create various complications (eg tax) for some investors. Antwort feeder funds are instead blockers preventing investors from facing some of these complications. In addition, Antwort feeders give investors shares in the feeder fund and hence distribution of capital is through redemption of shares, which is often classed as capital rather than income. Since Antwort feeders normally draw down capital over time (matching the drawdowns of the master fund), investors have greater control of their cashflows.

The minimum investment requirement for our feeder funds varies depending on the specific feeder and investment strategy, normally 150,000 euros, but it can be as low as 100,000 euros. Please contact us for more information on minimum investment amounts and eligibility criteria for specific feeders.

Expense Ratio (TER) is the total cost borne by the feeder fund and consequently is the cost associated with investing in Antwort’s feeder fund. The TER is expressed as an annual percentage amount.

Included within the TER are Antwort’s fees which consist of structuring and management fees. Antwort does not charge any performance fee or carried interest. Within the TER are also the set-up and on-going annual fees of the different service providers, such as the Depository Bank, Transfer Agent, Auditors, Third-party distributors and Legal and regulatory advisors.

The TER is the addition of all the above-mentioned fees during the life of the fund, divided by the capital commitment during the investment period and the invested capital thereafter through the life of the feeder. The life of the feeder mirrors the life of the master fund.

The TER consequently might vary depending on the feeder’s size, length of the investment period, asset class or other factors. Please contact us for more information on the TER for specific feeders.

Returns are distributed to the feeder’s investors through different capital distributions, by mirroring the distributions that the feeder receives from the master fund. Distributions are made via redemption of shares.

The liquidity of the feeder tends to mirror the liquidity of the master fund. In general terms, the investment in private assets funds is a long-term investment and liquidity varies from one fund to the other. Please contact us for more information on the liquidity for specific feeders.

To get started with investing in our feeder funds, you can fill out our online application form or contact our investor relations team for assistance. Once your application is approved for a specific fund, you will need to sign a subscription agreement through which you commit to invest a certain amount and agree to meet different capital calls. In order for your application to be accepted, you have to comply with the suitability rules of Luxembourg.

Yes, investing in private equity carries inherent risks, including the potential for loss of capital, lack of liquidity, and sensitivity to economic and market conditions. It’s important for investors to carefully review the risks outlined in the fund’s offering documents and consult with a financial advisor before investing.

The investment horizon for our feeder funds varies depending on the specific fund and investment strategy. Generally, private equity investments are long-term in nature, and investors should be prepared to hold their investments for several years before realizing returns.

Each of our feeder funds invests in one unique fund, the master fund. Each feeder fund is a compartment of an umbrella SCA SICAV-RAIF registered in Luxembourg. Each compartment or feeder fund is completely independent and segregated from the others.

Investments in private equity through our feeder funds are generally illiquid and only have very limited opportunities for early redemption or withdrawal. Investors must be prepared to commit their capital for the full duration of the fund’s term.

Each of our feeder funds invests in one unique private asset fund, the master fund. As mentioned in FAQ 2 above, master funds could be Private Equity, Private Debt, Real Estate or Infrastructure funds.

Each of these broad categories of private assets funds are then further classed by the specific nature of their target investments. Hence, for example, a Private Equity fund can be grouped as investing in “buyouts”, “growth”, “venture capital” and so forth.

Finally, private asset funds are also classified by their investment implementation strategy, such as direct individual assets, fund of funds (primaries or secondaries), co-investment, or a commingled strategy.

Antwort feeder funds are actively managed and monitored by experienced investment professionals who also oversee the master fund’s portfolio. In addition, Antwort oversees the activities of the various service providers involved in supporting the feeder funds, such as the Depository Bank, the Fund Administrator or the Transfer Agent.

The master and the feeder fund’s performance is monitored regularly to ensure alignment with its investment objectives.

Investing in feeder funds can have several tax implications and may result in a tax liability for the investors according to the tax regime applicable in their countries of residence, citizenship or domicile. It will also vary depending on the fund’s structure and legal form (e.g., partnership vs corporation).

Before making any investment decision with respect to feeder funds, it is critical that any prospective Investors should consult their tax professional advisers and carefully review and consider such an investment decision.

The performance of our feeders’ funds is the net return of the Master Funds where the feeder is invested minus the cost of the feeder. Please contact us for more information on the performance for specific feeders.

Antwort has a strong selection process of our master funds. The Master Fund has to fulfil certain minimum criteria before introducing the Fund to the Advisory Committee that then concentrates in the qualitative aspects of the fund. Once the Advisory Committee gives their opinion, Antwort performs a deep dive due-diligence, structural, strategic, legal, financial, risk, administrative, and performance review. Afterwards, the Depository Bank has to approve the master fund where Antwort’s feeder will invest in because they need to be able to look through into the underlying assets.

Our feeder funds are eligible assets for different tax wrappers like life insurances or unit linked insurance plans. It is very important to consult your tax advisor for your specific case.

Our feeder funds are structured and managed in accordance with applicable regulatory requirements, including securities laws and regulations. We work with legal and compliance experts to ensure ongoing compliance and adherence to regulatory standards.

Yes, but only while the feeder is “open” to take investor commitments. After this, the feeder is “closed” and no further commitments or top-ups can be made.

As an investor in our feeder funds, you can expect regular reporting and communication on fund performance, investment updates, and other relevant information. This may include your account statements, quarterly reports, investor newsletters, and access to online investor’s portals for account management.

In addition, webinars are organized for the managers of the master funds to explain the evolution of their strategies and portfolios.

Our feeder funds may have certain eligibility criteria and investor qualifications outlined in the fund’s offering documents. These criteria may include accredited investor status, minimum net worth or income thresholds, or other suitability requirements.

In the event of a change in fund management or ownership, investor interests and commitments in our feeder funds are typically protected and honored according to the fund’s governing documents and legal agreements. The assets of the feeder, the shares on the master funds and the cash in the feeder accounts are deposited in the Depository Bank of the feeder and isolated from the balance sheet of Antwort.

Yes, providing that we comply with the distribution’s regulatory framework and obligation. Antwort aims to promote a strong investment ecosystem of well-informed investors, wealth managers, banks and fund managers based on long term trustful relationships. For more details, please contact us.

We offer comprehensive support and assistance to investors throughout the investment process, including personalized guidance, educational resources, and responsive customer service to address any questions or concerns they may have.

The liquidity of the feeder tends to mirror the liquidity of the master fund. In general terms the investment in private assets funds is a long-term investment and liquidity varies from one fund to the other. Master Funds typically do not provide liquidity until the deployment of their investments. Having said that, on a best effort basis, Antwort can help the investor to redeem the capital early by communicating the liquidity event to other investors on the fund and eventually to new investors that may be interested in buying the shares. Each case must be treated on an individual basis.

ESG factors are increasingly considered in our investment decision-making process, as we recognize their importance in assessing investment risks and opportunities. We will progressively integrate ESG considerations into our due diligence, portfolio management, and engagement with investee companies.

Currently, one of Antwort’s feeder fund already integrates sustainability risks into its investment decisions and takes into account the EU criteria for environmentally sustainable economic activities.

Yes, investors in our feeder funds typically have access to online portals or platforms where they can view account information, performance reports, and other updates on their investments. Please contact our investor relations team for assistance with account access and inquiries.