The shadow starts its path together with its owner being
level 7 and with starting rank -
Recruit, not looking at what rank has its owner.
If you get the shadow when you are higher level than 8, it automatically gets the needed amount of experience for getting appropriate level, which cannot be higher than 1 level below yours.
Your shadow will not gain valour if its level is more than 2 below yours.
In order to increase Shadow's level or rank, you need a certain number of
Twilight Coin. They can be obtained by completing
Shadow's daily quests, by opening
Twilight Casket or by killing the boss in the
Crypt of Fallen Heroes.
Shadow Level
Shadow Rank