Our products are designed for investors with a long-term investment horizon. Depending on the type and strategy of the target fund, the recommended minimum holding period is between 8 and 10 years.

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Investors qualify for tokenstreet if they meet certain criteria based on local regulations - these may include a minimum portfolio of financial instruments and sufficient investment experience. Due to the nature of the funds we offer, tokenstreet investments are only available to the following groups of people: (i) Professional and semi-professional investors pursuant to Section 1 (19) No. 32 and 33 KAGB (Germany); (ii) Professional investors pursuant to the Securities and Futures Ordinance (Cap. 571) and the Securities and Futures (Professional Investor) Rules (Hong Kong); (iii) Professional investors within the meaning of Annex II of Directive 2014/65/EU (EU); (iv) Certified High Net Worth Investors And Self-Certified Sophisticated Investors pursuant to COBS 4.12.6 R and COBS 4.12.8 R (UK); (v) Qualified Investors pursuant to Art. 10 para. 3 CISA and Art. 6 CISO (Switzerland); (vi) Qualified Private Investors within the meaning of the Austrian Alternative Investment Fund Managers Act (Austria); (vii) "Semi-professional Investors" within the meaning of Sec. 5(5) of the Danish Consolidated Act no. 1047 on Alternative Investment Fund Managers and professional investors within the meaning of Annex II of Directive 2014/65/EU (Denmark); (viii) accredited investors pursuant to Section 4A(1)(a) of the SFA (Singapore); and (ix) qualified investors and eligible clients (Israel)."

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Investors make a promise of payment (commitment) to tokenstreet that lasts for the entire term of the fund.

However, tokenstreet does not call up the capital all at once, but gradually, in order to be able to make investments in the target funds. As soon as the target funds make a profit, this income is paid out to the investors. Returns during the term can be used to service subsequent calls. This results in the amount of capital tied up as the difference between the payments made and the distributions already made. The highest amount of capital tied up is usually less than the subscription amount.

The capital call schedules are determined by the respective target fund managers. In general, we structure our investments with a capital call of 25% to 30% upfront. The remaining commitment is usually called over the investment period of the underlying fund, typically three to five years.‍

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Our investment committee preselects individual funds from a large number of target funds. Further prioritization is based on quantitative and qualitative criteria such as track record, the experience of the investment team, the investment strategy in the current market environment and deal sourcing experience. Funds that make it onto the shortlist are subjected to more detailed due diligence, which always includes personal meetings with the responsible managers.

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Investments in alternative investment funds, particularly private equity investments, are speculative and carry a high level of risk. Investors who cannot afford to lose their entire investment should not invest. Potential investors should carefully review the risk warnings and disclosures for the particular fund or investment vehicle on the platform. The value of an investment can go down as well as up and investors may not be able to recover their original investment. Past performance is no guarantee of future performance. An investment in a fund or investment vehicle is not the same as a deposit with a bank. Please refer to the relevant fund documentation for details of possible risks, fees and costs. In addition, investors generally receive illiquid and/or restricted membership units which may be subject to holding period requirements and/or liquidity issues. As part of the most sensible investment strategy for private equity investments, private equity investments should only be a part of your overall investment portfolio. The private equity portion of your portfolio can also include a balanced portfolio of different private equity funds. Private equity investments are highly illiquid and investors who cannot hold an investment for the long term (at least 10 years) should not invest.‍

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Private equity secondaries refers to the purchase of existing investor commitments to private equity funds.

Blockchain enables the elimination of intermediaries and the automation of processes. This means that transactions and the processing of information between several market participants can be mapped cost-effectively. Investors thus benefit from lower issuing and running costs. The trading of private equity investments can be fully automated via blockchain, making the transfer to a new owner faster and more cost-efficient. The smaller denomination of private equity investments also creates access for more market participants and increases the potential for tradability.‍