PE Lab: a new learning experience for the private equity industry

We developed an industry-specific training solution which is regularly updated to reflect all the changing trends in private equity we observe as a leading firm in this industry.

Laurent Capolaghi

EY Luxembourg Partner, Private Equity Leader

Private equity is quite unique when compared to other industries. Factors such as the business strategy, the existence of different product regimes (each of them with a dedicated legal and accounting framework) and the need to address investors’ reporting requirements collectively contribute to creating a highly specialized environment. Another element to consider is the innate fast paced nature of the industry which requires private equity experts’ additional efforts to develop and maintain the professional competence required for their roles.

Our mission, at PE Lab, is to share our knowledge and experience in the private equity industry to support managers, fund administrators and fund accountants in their activities. We developed an industry-specific training solution which is regularly updated to reflect all the changing trends in private equity we observe as a leading firm in this industry.

We incorporate in each of our training sessions case studies and learning methods that are immediately relevant to private equity professionals. This means that participants can put their learning into practice straight away and make an immediate impact. All our trainers are experts in their respective subject matter. They have practical experience and undertake continuous training and evaluation to maintain the skills needed to deliver inspiring sessions.

We believe that high-quality training is a crucial element of innovative talent management, to improve performance and ensure your teams can respond to today’s challenges. At PE LAB we’ll be proud to guide you through this journey.

Laurent Capolaghi Valerio Bove

The subjects covered in our courses are those, which in our experience, are requested the most by private equity firms and fund accountants.

At PE Lab we can, however, tailor our programs as necessary and provide solutions that go beyond the boundaries of the traditional topics covered in private equity trainings.

As one of the leaders in the financial industry, EY has the ability to bring multidisciplinary insights and utilize mixed teams which combine industry knowledge in tax, legal and advisory to adapt our in-house training, learning and development solutions to your specific needs.
Our training methodology has been developed with the audience – and their potential to get overwhelmed or lost in technicalities – in mind. All our courses are based on the latest research in adult learning and are constantly improved following the feedback we have received over the years from the participants. Each session is delivered by two high-caliber trainers with proven presentation skills.
One of our main concerns at PE Lab is to understand the audience, as we assume that participants attend the training because they have not mastered the topics to the same extent that we have.

Our training material has been developed with straightforward examples that make clear points about the information we are presenting.

Each training session is specifically designed to include questions, exercises, discussions and case studies in order to give the opportunity for the participants to process the information they receive, and for us to determine how well they understand it.
We typically host our on-site training sessions at our dedicated client space located at 35E Avenue John F. Kennedy in Luxembourg as we appreciate that a location different to the day-to-day one can contribute to a better learning experience for the participants and help them stay focused.

However, we are flexible and can also conduct on-site training at alternative locations upon request. If you’re interested in having EY facilitate a training session for you, please reach out to Valerio Bove.

Norway, Lofoten Islands, Eggum, young man admiring northern lights

Category 1

Private Equity Fundamentals

The objective is to provide the participants with an introductory overview to the private equity business, the key concepts and its impact on the global economy. This introduction also includes a description of the private equity organizations and a market update.

1.1 Nature and purpose of private equity

1.2 Market update - Global, Europe and Luxembourg

1.3 Comparing private equity with other investment classes: venture capital and hedge fund

The life cycle of a private equity fund:

Fund raising and structuring
Formation expenses and capital calls
Selection, due diligence and acquisition
Subsequent valuation
Bank leverage
Capital gain and dividend income
Distributions
Remuneration scheme
Hedging policy

1.4 Methods of valuing private equity investments

1.5 Key performance metrics: IRR, MOIC, DPI, TVPI

1.6 The role played by the associations of investors including ILPA and Invest Europe

1.7 Private equity fund structures in Luxembourg
The scope of this session is to present the valuation techniques generally adopted in the private equity industry with a focus on the valuation of the private equity instruments under the IPEV Guidelines. The session will also highlight the advantages and disadvantages of each valuation technique together with their practical application in the PE industry.

2.1 Overview of standard valuation techniques used in the private equity industry

2.2 Detailed examination of private equity instrument valuation as per IPEV Guidelines

2.3 Case studies demonstrating the practical use of valuation techniques in private equity

2.4 Discussion on the relevance and application of IPEV Guidelines in current market practices

2.5 Interactive session on best practices for implementing valuation methods effectively

2.6 Q&A segment to address specific queries related to private equity valuation
The objective is to explain, with relevant examples, the concept of carried interest, the different type of carried interest models and the accounting treatment under Lux GAAP and IFRS. The session also covers the most common mistakes involving the calculation of carried interest and their effects on the financial statements.

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Category 2

Regulatory Landscape for Private Equity

The training aims to ensure that professionals in private equity are well-informed about the latest regulatory changes in Luxembourg and the European Union. It focuses on providing a broad overview of recent updates across key areas, including investor protection, sustainable finance, digital finance, and anti-money laundering measures.

4.1 AIFMD II – proposed changes

4.2 Sustainable finance with a focus on EU Taxonomy Regulation and the most recent SFDR and CSRD guidelines

4.3 Revised European Long Term Investment Fund regulation (ELTIF 2.0)

4.4 Digital finance regulations including DORA for technological resilience

4.5 Revised version of the CSSF Circular 02/77 covering NAV calculation errors

4.6 ESMA Common Supervisory Action on Valuation and CSSF Feeback

4.7 AML Package amendments covering direct rules on customer due diligence and beneficial ownership
The scope of this session is to highlight the key concepts of the Luxembourg Law of 12 July 2013 on alternative investment fund managers and the responsibilities assigned to fund managers, transfer agents, valuers and depositaries.

5.1 Overview of the AIFMD: background, goals, and consequences

5.2 Self-managed vs. third party AIFM - advantages, disadvantages and typical associated costs

5.3 Cross-border operations: access, distribution, and oversight

5.4 Roles and responsibilities of service providers: asset management, risk and liquidity oversight, outsourcing, valuation, depositary

5.5 Reporting obligations

5.6 AIFMD II – proposed changes
This training provides a comprehensive overview of the General Data Protection Regulation (GDPR), covering key aspects such as the protection of personal data, roles and responsibilities under GDPR, and the principles governing data processing. Participants will gain insights into governance obligations, including process mapping, data protection impact assessments, and continuous compliance strategies.

6.1 The importance of data protection, insights into personal data and protection of special types of personal data

6.2 The legal framework for data protection and key changes with GDPR

6.3 The role of the Data Protection Officer (DPO)

6.4 Data controller vs. data processor

6.5 Principles of personal data processing

6.6 Data protection by design and by default

6.7 Data minimization and personal data transfers

6.8 Overview of governance obligations

6.9 Process mapping for GDPR and the Record of Processing Activities (ROPA)

6.10 Management of data subject rights requests, data breaches and data retention

6.11 Data protection certification
This training offers a detailed overview of the AML/CFT regulations at both the EU and Luxembourg levels. Participants will gain insights into the current market context, professional obligations, the risk assessment and risk-based approach.

7.1 Money laundering and terrorism financing: general overview and definitions

7.2 Most recent statistics of AML (current situation in fund industry, supra- and national risk assessments, main risks)

7.3 Regulatory framework on EU and Luxembourg level (including updates on recent EU AML package and 2024 updates for Luxembourg regulation with focus on AIFM)

7.4 Professional obligations (RR/RC duties and responsibilities, reporting, cooperation with authorities with focus on AIFM)

7.5 Risk assessment and risk-based approach (UBO problematic, rules and methodology, PEPs and sanctions)

7.6 Case studies relevant to private equity structures

Sunrise at the United States Capitol Building in Washington

Category 3

Financial Reporting in Private Equity

The objective of this session is to describe the Luxembourg legal requirements relevant to the preparation of the annual accounts and other regulatory reporting requirements imposed by CSSF and Banque Central du Luxembourg (BCL). The session also includes an overview of the most common pitfalls in drafting financial statements and the fines and penalties raised by the Luxembourg authorities in the event of non-compliance.

8.1 Legal and regulatory framework

8.2 Special consideration for SIF, SICAR, RAIF and limited partnerships

8.3 Materiality – when errors are significant

8.4 The presentation and content of the annual accounts

8.5 Disclosure

8.6 Consolidation exemption

8.7 CSSF and BCL reporting

8.8 Transparency law

8.9 Lodging procedures with the Luxembourg trade registrar

8.10 Fines and penalties raised in the event of noncompliance

8.11 Liquidation vs going concern basis – key differences

8.12 Most common reporting pitfalls
The objective of this session is to describe the Luxembourg statutory reporting requirements for private equity Special Purpose Vehicles (SPVs), offering an in-depth understanding of the relevant legal and accounting frameworks. Participants will learn how to prepare annual accounts in compliance with Lux GAAP, explore the Luxembourg standard chart of accounts, and navigate key reporting requirements, valuation rules, and the consolidation exemptions.

9.1 Legal and regulatory framework

9.2 Eligible accounting frameworks

9.3 The format and content of the annual accounts

9.4 Presentation and measurement of financial fixed assets

9.5 Disclosure requirements

9.6 Consolidation exemptions

9.7 Lodging procedures with the Luxembourg trade registrar

9.8 Fines and penalties raised in the event of non-compliance

9.9 Liquidation vs going concern basis – key differences

9.10 Most common reporting pitfalls
The scope of this session is to describe the process through which the performance of private equity funds is assessed and communicated to investors with a focus on the metrics commonly used in the sector.

10.1 Why performance reporting is important

10.2 Most commonly used performance metrics used in PE (TVPI, DPI, RVPI and PIC)

10.3 IRR (gross vs net) and the impact of the line of credits

10.4 The content of capital account statements, capital call and distribution notices

10.5 Industry best practice reporting standards – Invest Europe and ILPA

10.6 The role of the financial statements and the management report
The scope of this session is to analyze and apply, with relevant examples and case studies, the IFRS standards applicable to the private equity industry. The session focuses on those transactions, events and circumstances that we consider to be most common in private equity (i.e, carried interest, equity versus financial liabilities, derivative financial instruments etc.). The session also includes an overview of the most common pitfalls in drafting IFRS financial statements.

11.1 The concept of investment entity and the consolidation exception

11.2 The recognition and measurement of financial instruments:

Equity instruments
Debt instruments
Investment in associate
Investment in joint venture

11.3 Financial liabilities and equity

11.4 Shareholder’s loans

11.5 Derivative financial instruments

11.6 Fair value measurement and disclosure

11.7 Related party disclosure

11.8 Carried interest

11.9 Improving disclosure effectiveness

11.10 Most common reporting pitfalls
The scope of this session is to analyze and apply, with relevant examples and case studies, the main differences between LUX GAAP and IFRS relevant to the private equity industry.

12.1 Legal and regulatory framework

12.2 The content of the financial statements

12.3 How to present master and feeder structures

12.4 Consolidated and combined financial statements

12.5 Measurement of investments

12.6 Income tax

12.7 Transactions in foreign currency

12.8 Carried interest

12.9 Related party disclosure
The scope of this session is to help fund accountants and controllers gain a deep understanding of the IFRS consolidation procedures. Through the presentation of relevant examples and case studies, we also discuss the most common mistakes generally made when preparing IFRS consolidated financial statements.

13 IFRS Consolidated financial statements (scope)

Consolidation scope
Understand and apply the accounting requirements for the preparation of consolidated financial statements
Define the principle of control, joint control and significance influence
Apply the principle of control to identify whether an investor controls an investee
Determination of whether the fund manager is acting as principal or agent
Identity the types of joint arrangement
Apply joint arrangement accounting and equity method of accounting

13.1 IFRS Consolidated financial statements (business combination)

Recognize the main requirements of IFRS 3 including scope and accounting treatment
Apply the acquisition method to business combinations that are within the scope of IFRS 3
Demonstrate how to account for adjustments to provisional accounting
Goodwill recognition (allocated and unallocated part) and test to obtain with the unallocated part. Gain from a bargain purchase
Demonstrate how to account for acquisitions outside the scope of IFRS 3 – Business combinations under common control

13.2 IFRS Consolidated financial statements (complex consolidation issues)

Business combinations achieved in stages
Full disposal of a subsidiary
Partial disposal of a subsidiary when control is lost
Partial disposal of a subsidiary when control is retained
The scope of this session is to help fund accountants and controllers gain a deep understanding of the Luxembourg GAAP requirements relevant to the translation of transactions in foreign currency. Through the presentation of relevant examples and case studies, we also discuss the most common mistakes generally made when reporting transactions in foreign currencies.

14.1 Legal and regulatory framework

14.2 CNC relevant doctrine

14.3 Selection of presentation currency

14.4 Recording transactions in foreign currency

14.5 Foreign exchange hedging and how to record it

14.6 How to disclose the currency risk to investors

14.7 Most common pitfalls

14.8 Case study
The objective is to explain the requirements relating to the preparation of consolidated financial statements imposed by Luxembourg legal and regulatory requirements. The session will concentrate on the criteria and exemptions relevant to private equity structures.

15.1 Legal and regulatory framework

15.2 Entities required to prepare consolidated financial statements

15.3 Consolidation exemptions

15.4 Special consideration for SIF, SICAR, RAIF and limited partnerships

15.5 CNC relevant doctrine

15.6 Eligible accounting framework

15.7 Case study
The training provides a comprehensive introduction to US GAAP in private equity. Participants will explore key accounting principles, financial reporting and disclosures requirements under US GAAP. Additionally, the session will cover essential topics such as fair value measurement, investment classification, carried interest and priority profit share.

16.1 Definition of investment company

16.2 The components of financial statements for investment companies

16.3 Master/feeder structures

16.4 Combined and consolidated financial statements – key differences

16.5 Classification criteria for investments held by investment companies

16.6 Investment measurement methods under US GAAP (fair value, cost, and equity method)

16.7 Overview of fair value measurement principles

16.8 Disclosure requirements

16.9 Carried interest

16.10 Common challenges and best practices in financial reporting for investment companies

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Category 4

Structuring and Tax Considerations in Private Equity

The training aims to equip participants with a clear understanding of the FATCA and CRS regulations’ key concepts and reporting requirements. Attendees will learn to identify reportable accounts, navigate due diligence and reporting procedures, get basic knowledge on entity classification and understand the impact on private equity structures.
The training aims to equip participants with a clear understanding of the MDR/DAC6 regulations’ key concepts and reporting requirements. Attendees will learn to master DAC6 main concepts and understand the scope of application and level of exposure depending on activities performed and understand the impact on private equity structures.
The training provides a comprehensive overview of the key asset classes and typical structures used in private equity. Participants will gain insights into the latest developments in Luxembourg’s fund industry and explore the essential factors that influence fund structuring, including investor and investment considerations. Training will be followed by the practical case studies to ensure applicability of the knowledge in real context.

19.1 Introduction - Why fund structuring matters?

19.2 Latest developments in the private equity industry in Luxembourg

19.3 Key drivers when structuring a Luxembourg private equity fund: investors and investment considerations

19.4 Typical alternative investment funds structures:

Special Limited Partnership (SCSp)
PART II Funds, RAIF, SIF and SICAR

19.5 Case study
This training provides a detailed overview of key tax obligations for both Luxembourg companies and funds, covering corporate income tax, municipal business tax, and net wealth tax. Participants will gain insights into partnership returns and subscription tax, with a focus on recent changes such as the impact of ATAD rules on tax filings.

20.1 Luxembourg companies - modalities and deadlines: Corporate income tax, Municipal business tax, Net wealth tax

20.2 Luxembourg funds - modalities and deadlines: Partnership returns, Subscription tax

20.3 Recent changes - impact of ATAD rules on tax returns

20.4 Other considerations - FATCA / CRS
The aim of this training is to provide an understanding of how Value-Added Tax (VAT) applies to Luxembourg-based holding companies, investment funds, and general partners (GPs). Attendees will learn about the types of transactions that are subject to VAT, determine when services are taxed and identify important VAT exemptions.

21.1 VAT status of Luxembourg holdings, funds and GPs

21.2 VAT registration & Compliance obligations and deadlines

21.3 Focusing on most usual transactions relevant for holdings, funds and GPs:

VAT taxable transactions
Place of taxation for VAT – cross-border transactions
Exemptions from VAT – When transactions should be reported and VAT becomes due

Presenters

PE Leaders

EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients.

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PE Lab: a new learning experience for the private equity industry

Private Equity Fundamentals

Regulatory Landscape for Private Equity

Financial Reporting in Private Equity

Structuring and Tax Considerations in Private Equity

Presenters

Laurent Capolaghi

Valerio Bove

Norman Finster

Dan Zandona

Abdelhay Toudma

Claire Goachet

Rebecca Obermahr

Christophe Vandendorpe

Patricia Gudino Jonas

Marie-Sophie Hélier

Caroline Nicoletti

PE Leaders

Insights

Highlights

Services

Spotlight

Industries

Highlights

Careers

Spotlight

About us

Top news

PE Lab: a new learning experience for the private equity industry

Tailored training programs

An effective learning approach

Material

Training requests

Private Equity Fundamentals

Module 1: Introduction to Private Equity

Module 2: Valuation in Private Equity

Module 3 : Carried Interest and Waterfall Mechanisms

Regulatory Landscape for Private Equity

Module 4 : Regulatory Outlook in Private Equity (Luxembourg and EU)

Module 5 : Introduction to AIFMD

Module 6 : GDPR

Module 7 : AML/CFT in Luxembourg and EU

Financial Reporting in Private Equity

Module 8 : Luxembourg Statutory Reporting in Private Equity - Funds

Module 9 : Luxembourg Statutory Reporting in Private Equity - SPVs

Module 10 : Investor Reporting in Private Equity

Module 11 : Applying IFRS in Private Equity

Module 12 : Comparison between Lux GAAP and IFRS in Private Equity

Module 13 : IFRS Consolidated Financial Statements

Module 14 : Transactions in Foreign Currency under Lux GAAP

Module 15 : Consolidation Requirements in Luxembourg

Module 16 : How to apply US GAAP to Private Equity Funds

Structuring and Tax Considerations in Private Equity

Module 17 : Introduction to FATCA and CRS

Module 18 : Introduction to Mandatory Disclosure Regime/DAC6

Module 19 : Fund Structuring in Private Equity

Module 20 : Corporate Tax

Module 21 : Value Added Tax

Presenters

Laurent Capolaghi

Valerio Bove

Norman Finster

Dan Zandona

Abdelhay Toudma

Claire Goachet

Rebecca Obermahr

Christophe Vandendorpe

Patricia Gudino Jonas

Marie-Sophie Hélier

Caroline Nicoletti

PE Leaders