Getting started with Velvet
Velvet accounts are divided into three types:
- Private Funds
The Private Fund account type is meant for private investment funds that want to raise money through Velvet. At the moment, we accept Private Equity (PE), Venture Capital (VC), and Hedge Funds (HF) for listing. If you are trying to invest in private funds, do not select this user type.
To read more information about Private Fund users, see here.
The Investor account type is meant for individuals or entities investing in private funds on behalf of one entity or person controlled by the account holder.
If John Doe wanted to invest into private funds as themselves, they would choose the Investor account type. Or, if John Doe wanted to invest for his company ACME, Inc., they would choose the Investor account type. If you are investing on behalf of multiple persons or entities, choose the Allocator account type.
To read more information about Investor users, see here.
The Allocator user type is for investment firms that are making private fund investments on behalf of multiple individuals or entities (called “clients”).
ACME Advisors is making investments on behalf of John Doe and other clients. In order for ACME Advisors to make investments on behalf of it's clients, we require Third Party Authorization on a per-client basis.
To read more information about Allocator users, see here see here.