Frequently asked questions

If you're investing as an individual

To onboard with Carbon Equity as a private investor, you'll need to provide:

• Identity details: full legal name and residence address.
• Bank account information: the account you'll use for your investment.
• Identification document (uploaded via our onboarding partner, Stripe): a copy of a valid, unexpired ID. Accepted documents are a passport (page with personal information), residence permit (front and back), ID card (front and back), or driver's licence (front and back). All uploads must be in full colour, readable, and show all four corners.
• Selfie: a short selfie verification to confirm your identity matches the ID provided.

These checks are required under European anti-money-laundering and know-your-customer regulations, which apply to all regulated investment platforms.

If you're investing through a company or other legal entity

In addition to the personal identification of each authorised representative listed above, you'll also need to provide information about the entity itself:

• Company details: legal entity name, incorporation date, and FATCA/CRS status.
• Bank account information: the company account that will be used for the investment.
• ID and selfie for every authorised legal representative (same document requirements as for individual investors).
• Organisational chart: required if the company is owned by another organisation, so we can map the ownership structure.
• Stakeholder information: for each Ultimate Beneficial Owner, their percentage holding, date of birth, nationality, and country of residence.
• Business registration document and Ultimate Beneficial Owner register extract confirming the entity's legal status and beneficial ownership.

These additional checks let us verify both the legal entity and the individuals who ultimately own or control it, as required under European anti-money-laundering and know-your-customer rules.

Investors in Access to Climate Tech Fund II are able, during the subscription period and during a period of two weeks after the signature of the initial commitment or subscription agreement, to cancel their subscription. This is called your right to withdrawal. This right of withdrawal does not apply to other Carbon Equity funds.

Once you've reserved an investment, you'll be prompted to complete your account onboarding. Our Investor Operations team will review your submission within 5 business days. If everything is in order, we'll send you a subscription form to sign, which formally confirms your commitment to the fund. You can track the status of your onboarding at any time in your dashboard.

Cash flows in a Carbon Equity fund move in two directions over time.

In the early years, the flow is mostly outward. Depending on how much you commit, you will either pay a single upfront capital call or have several capital calls spread over the first few years as the underlying funds make new investments.

The flow reverses as the underlying funds begin exiting companies, typically from around year 5 onward. Proceeds from those exits are distributed to you periodically. On average, you can expect to have received distributions equal to your initial investment within 5 to 7 years, with profits arriving in the years that follow.

Taken together, this pattern is known as the J-curve. Returns are negative in the early years because capital is being deployed and management fees are being paid before the portfolio has had time to mature. As investments mature and exits start to happen, returns turn positive and accelerate, producing the upward arc of the J.

The exact shape varies by fund. Climate Infrastructure Fund I and Energy Transition Debt Fund I distribute cash earlier than our venture and private equity funds, because infrastructure projects generate revenue while operating and debt funds receive regular interest payments. Each fund page indicates when distributions are typically expected.

The deployment timeline depends on the type of fund and how the underlying capital is put to work.

For our fund-of-funds products investing in venture capital, private equity, and infrastructure, capital is drawn down and deployed over the first 3 to 5 years as the underlying funds make new investments. Total fund duration is typically 10 to 12 years, with the remaining years used to grow the investments and exit them.

Co-investment funds deploy capital faster, because they invest directly in companies rather than through underlying funds. The first capital call is larger, and most of your commitment is typically called within the first few years.

Debt funds follow a different pattern. Loans are originated and capital deployed over the first few years, with interest and principal repayments flowing back to investors throughout the fund's life. The duration is shorter than our equity funds, reflecting the defined repayment schedules of the underlying loans.

Across all our funds, you do not need to wait until the end of the term to see money back. Whenever a portfolio company is sold, goes public, or repays a loan, you receive your share of the proceeds. Distribution timing varies by fund, with infrastructure and debt funds typically distributing earlier than venture or private equity. Each fund page shows the expected investment period, fund lifetime, and when distributions are typically expected.

The size of the first capital call varies by fund and depends on factors such as your country of residence, investor type, and total commitment. You can verify how much the first capital call is on the fund specific pages, see my.carbonequity.com/funds. As a general guide, the first call typically covers a portion of your commitment rather than the full amount, as long as you pay more than the legally required minimum. You can always see an estimate of your future expected capital calls in your investor dashboard.

You receive an email that a capital call is waiting in your secure investment dashboard. For security reasons we will never email you with payment instructions directly. Each capital call notification includes the exact amount, payment instructions, and reference details. Payment can be made by bank transfer or iDeal/WERO to the fund's account. You have 21 days from the notification to complete the transfer.

Carbon Equity charges three types of fees, designed to align our incentives with yours and to keep total costs transparent.

A management fee, charged annually as a percentage of your commitment. The exact rate depends on the fund and your commitment size, with lower rates at higher tiers. This fee covers fund selection, portfolio construction, ongoing monitoring, reporting, and investor support.

A one-off setup fee, charged on subscription. Some funds do not charge a setup fee at all. Recurring investors typically receive a discount.

Ongoing fund expenses, capped at a defined percentage per year on average over the fund's lifetime. These cover legal, audit, administrative, and depositary costs.

For our fund-of-funds products, the underlying fund managers also charge their own fees, typically around 2% per year for venture capital and private equity and 1.5% for infrastructure, plus carried interest of around 20% on profits above a defined threshold. These are separate from Carbon Equity's fees and are paid out of the underlying funds' returns. Co-investment and debt funds invest more directly, removing this additional layer.

All fees are included in your capital calls, so you do not receive separate invoices during the life of the fund. Each fund page sets out the full fee structure, and total expected fees over the fund's lifetime are disclosed in the fund documents.

We provide quarterly financial updates including capital account statements, commitment summaries and performance updates. Within your personal investment dashboard, you have an up to date overview of your transactions, every company, fund, project or loan you’ve invested in as well as company milestones. We also host investor-only events and our yearly summit where we invite portfolio companies founders, fund managers and ecosystem experts. Lastly, we provide background reading through our monthly newsletter.

Our ambassador program rewards you for sharing Carbon Equity with your network. When someone you refer mentions your name while reserving an investment in the same fund, both of you receive a 0,05% discount on your annual management fee, for the lifetime of that investment. There's no limit to how many people you can refer, but you get a maximum 0,25% discount.