Luxembourg Market Pulse: Regulatory updates

Luxembourg Market Pulse: Regulatory updates

Where the fund industry meets insight

The EY Luxembourg Market Pulse is your window into what is shaping the investment fund landscape in one of the world’s leading financial hubs (Luxembourg), Europe and beyond. Staying ahead means staying informed – that is where we come in.

Each publication dives into the trends redefining the industry, unpacks key regulatory developments, and delivers flash news on market updates most likely to impact you. From sustainability and digital transformation to tax and compliance shifts and more, we cover a broad range of topics designed to keep asset managers, fund professionals, and industry leaders in the loop. The Market Pulse is an extension of Investment Funds in Luxembourg – our annual flagship technical guide.

If you are trying to make sense of a change, the Market Pulse helps you connect the dots and make confident decisions.


December 2025 Market Pulse

In this packed edition, we delve into critical topics impacting the industry, from clarifications on reverse hybrid entity exemptions for investment funds and the proposed carried interest regime, to the global shift toward T+1 settlement and its implications for Luxembourg. 

We also review one year of DORA in practice, examine the EU’s Savings and Investments Union initiative, and assess the evolving frameworks for sustainable finance. Looking ahead, we highlight five regulatory themes to watch in 2026, discuss FASTER’s role in streamlining withholding tax relief, and consider how businesses can prepare for the upcoming CCI requirements. 

Finally, don’t miss our roundup of the latest regulatory news from Luxembourg and Europe, keeping you informed and ready for what’s next.

December 2025 Luxembourg Market Pulse

Regulatory update

Market Pulse December 2025

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