The easiest way to add private funds to institutional portfolios.
Sourcing and evaluating private fund porfolios takes money and time, and the modern insititutional porfolio requires greater exposure to alternative assets with lower fees.
Evaluate dozens of funds at scale and connect directly with the manager at no cost. Velvet provides private fund listings at scale, operational due diligence reports, and the tools to implement them into client porfolios.
The rest of finance moved online while the private finance world didn’t.
From the pits of the 1980s, to the trade desks of the 1990s, to computer execution in the 2000s, the finance sector is now almost entirely online. Long gone are the days of calling your stockbroker to move a position or market makers working on exchange floors.
However, private markets stayed analog: phone calls, golf games, and conferences are still staples of the industry. For some, this can be beneficial. For most, it significantly slows down the process while increasing the cost to both allocate and fundraise.
The issues with the private fund world.
Manual processes are very inefficient.
Most allocators have a team of analysts sourcing and evaluating deals, which can cost thousands of man-hours to build a fund portfolio. Smaller allocators send their principals to conferences to source deals, taking up valuable time that should be used making better investment decisions.
A large portion of the allocator market doesn’t participate.
Due to the overhead of managing private fund investments, lack of access to the right networks, and lack of understanding in the space, a huge number of investment advisors, UHNW individuals, and family offices cannot add private funds to their portfolio - despite significant advantages for risk-adjusted returns.
Decisions aren’t objective.
Because deals are sourced from an allocator’s network, they tend to involve a lot of personal dealing, FOMO, and too many qualitative factors. Funds are also very diverse, and each has unique factors to evaluate which makes it difficult to compare one fund to another. This hurts returns, and makes portfolios less efficient.
Time wasted vetting managers.
There’s no good way to know a manager’s ability before moving into deeper diligence. Allocators spend time on a fund.
Why Velvet is the solution.
Here’s how we tackled these problems.
Source funds in a marketplace, not a database.
Databases lack quality and efficiency. Cold outreach doesn’t work. On Velvet, fund managers maintain their own listings and are required to keep information up-to-date during a fundraise. Allocators can discover and evaluate funds in parallel, instead of one by one, then connect with them instantly. No cold outreach, no conferences, no plane flights.
See all of the information you need before the first meeting.
Allocators spend too much time in meetings with managers before having the appropriate context, and end up reviewing dozens of fund decks. We’ve standardized how you see the information, so you can easily compare one fund to another.
Data-based decision making.
Velvet collects significant in-depth information on every fund, and our goal is to increase the number of inputs allocators use to make investment decisions. The ability to use more data makes it easier to figure out where a fund fits in a portfolio.
Curated listings, but not an investment committee.
Unlike consumer-facing solutions, we’re focussed on delivering high-quality funds at scale and do not advise on which funds to invest in. However, every fund on Velvet has been through our diligence process so you can know you’re looking at high quality listings in a diverse set of categories.
The Velvet Private Fund Marketplace
Don’t limit yourself or your firm to your broker’s shortlist. See the whole picture of the private fund marketplace. Velvet curates hedge funds, venture capital, private credit, and private equity at scale. Our listings platform makes it easy to find funds based on mandates, categories, fund types, asset exposure, size, returns, and more.
Hedge Funds
Categories:Venture Capital
Categories:Private Funds
Categories:Client management for complex structures and entities.
Even though it’s simple, Velvet supports investments from authorized third parties investing on behalf of entities and individuals. We built it for investment advisors, family offices, endowments, pension funds, trusts, fund-of-funds, governments, soveriegn wealth funds, and other institutional clients.
Read about how the markets are changing
Meet investor mandates by reviewing an incredibly diverse book of funds
Velvet listings are designed to present every piece of information available on a fund. Start the investment decision long before meeting a manager.
Get started investing in private funds
Disclosure:
All depictions on this site are fictional and do not represent real investment funds. Any investment funds displayed to the public on this site are for illustrative purposes only.
velvetfs.com is a website owned and operated by Decheque Inc. (DBA “Velvet” or “Decheque”), which provides SaaS tools and technology, and lists information pertaining to financial performance, personnel, and hedge fund and private fund management profiles. Velvet fosters communication between parties. Velvet does not solicit its services to non-accredited investors or non-qualified purchasers. Velvet is not a broker-dealer and does not offer securities. Nothing in this website is intended to be an offer to buy or sell securities. All securities are offered through Decheque Securities LLC, a member of FINRA, SIPC, and a wholly-owned subsidiary of Velvet. For more information regarding Decheque Securities, LLC, please visit FINRA BrokerCheck.
A private placement is an offering of unregistered securities to a limited pool of investors. In a private placement, a company sells shares of stock in the company or other interest in the company, such as warrants or bonds, in exchange for cash.
The following represent some general disclosures in regards to private placements. This list is not exhaustive, and potential investors should carefully review each prospective investment and the risks specific to such investment.
- Private placements are suitable only for investors that do not require immediate liquidity for their investments. Private placements are subject to limited liquidity and significant restrictions on transferability and resale. Investors bear the financial risks of an investment for an indefinite period of time.
- Private placements are suitable only for sophisticated investors that fully understand and are willing and able to assume the risks of an investment.
- Investors must be able to afford the loss of their entire investment. Investments in private placements are speculative and involve a high degree of risk and those investors who cannot afford to lose their entire investment should not invest.
- Private placements are not filed with, registered, approved by or disapproved by the U.S. Securities and Exchange Commission (the "SEC") or any other governmental agency, regulatory authority or national securities exchange of any country or jurisdiction.
- There is no established secondary market for private placements, and none is expected to develop.
- Private placements are NOT bank deposits and thus NOT insured by the FDIC or any other federal governmental agency.
- Private placements are NOT guaranteed by VelvetFS, the issuer, or any other party.
- Private placements should not represent an investor’s entire investment portfolio.
- Investing in Private Placements listed on VelvetFS pose risks including, but not limited to, credit risk, interest rate risk, and the risk of losing some or all of your investment. Before investing, you should (1) conduct your own investigation and analysis; (2) carefully consider the investment and all related charges, expenses, risks, potential conflicts of interests, and uncertainties; and (3) consult with your own investment, tax, financial and legal advisors.