Luso Carbon Fund was created and targeted to both financial and compliance investors. The compliance investors targeted are industrial companies included in the EU-ETS and/or governments subject to GHG limits established by the Kyoto Protocol. According to the Portuguese law the fund participation units are considered as complex financial instruments, therefore suitable for eligible counterparties and professional clients.

Having both compliance and financial investors allows the fund to have a diversified portfolio management and origination strategy.
The investors are always informed about the relevant updates in the fund’s activities, through:

  • Monthly portfolio disclosure
  • Monthly asset valorization and
  • Half-annual reports

Currently, Luso Carbon Fund is closed for investors.

Fund Specifications

  • Initial Value of Participation Unit – €50,000
  • Minimum Subscription per Applicant – €50,000 in initial subscription
  • Fund´s life - 10 years
  • Frequency of Estimate and Disclosure of Participation Unit Value – Monthly, available through the supervisory authority website
  • Subscription Fee – 0,0%
  • Fixed Management Fee
    • 2.25% if Fund Global Value (FGV) <= 50M€
    • 1.5% if 50M€ < FGV <= 75M€
    • 0.75% if FGV > 75M€
  • Variable Management Fee – 20% over portion exceeding 8% of the annual growth of the participation unit “High Water Mark Level”
  • Deposit Fee– 0.375% per year
  • Net assets – Participants may negotiate their participation units, the price of which is determined between seller and buyer (in the event the management company acts as the operation intermediary, maximum commission is 5%)
  • Redemption – As a closed-end fund, redemption is only permitted to participants that voted against postponement / extension of the Fund deadline in the Participant Assembly
  • Supervisory Authority – Portuguese Securities Market Commission (CMVM)