Responding to the AIFM Directive
The Luxembourg Specialized Investment Fund
A practical guide – March 2012
Responding to the AIFM Directive is EY’s practical guide to Luxembourg Specialized Investment Funds (SIFs), Luxembourg’s primary investment fund vehicle catering for all types of “alternative investment fund” (AIF) products – i.e., hedge funds, real estate funds, private equity funds and other alternative funds, as well as traditional funds which are not registered a UCITS.
The SIF is being used extensively to launch all types of AIF products. The Alternative Investment Fund Managers (AIFM) Directive will further boost its use significantly over the coming years.
The SIF will offer the alternative investment groups:
- A well-established, flexible, regulated investment fund vehicle adapted to any type of investment fund strategy
- Access to all the advantages of Luxembourg, including its position as the world’s leading cross-border distribution hub
- AIFM Directive-compliant products:
- Access to the “AIF brand”, reflecting the success of the UCITS brand, a truly international product whose reputation is renowned on a global basis
- A passport to distribute to investors across the EU
- Non- AIFM Directive-compliant products:
- Medium-sized self-managed AIFs, outside the scope of the AIFM Directive
- AIFs of smaller managers which benefit from AIFM Directive exemptions
The purpose of this practical guide is to provide, in a clear and concise format, an overview of the SIF regime and how it fits within the AIFM Directive.