Investment Funds in Luxembourg - 2023 edition

Investment Funds in Luxembourg - 2023 edition

About this technical guide

Investment Funds in Luxembourg is the definitive technical guide providing an introduction to Luxembourg as a center for investment funds, the types of fund vehicles available and a summary of the regulations applicable to the setting-up and operation of Luxembourg investment funds.

It also covers the regulations applicable to both traditional and alternative management companies, and the provisions applicable to other Luxembourg service providers. 

Choose the chapter you wish to download from the list below, or download the complete edition of Investment Funds in Luxembourg 2023.

  • Investment Funds in Luxembourg 2023 - Complete download

    Investment funds in Luxembourg 2023

    Get your digital copy of the complete 2023 edition of Investment Funds in Luxembourg.


  • Choosing an appropriate fund vehicle and operating model

    Introduction to Luxembourg’s investment fund industry and a detailed overview of Luxembourg’s solutions for investment funds. 

    Download Chapter 1

  • UCI structures and specificities

    Overview of the principal regulations applicable to Luxembourg investment funds (undertakings for collective investment — UCIs), details relating to structures of UCIs, minimum capital requirements, specific requirements and vehicles used in conjunction with Alternative Investment Funds (AIFs).

    Download Chapter 2

  • Authorization, supervision, restructuring and liquidation

    Procedures to be followed when setting up or amending an undertaking for collective investment (UCI) in Luxembourg, ongoing supervisory requirements, including the requirements and considerations for conversions and mergers of UCIs, the fast track authorization procedure for the creation of a side pocket, transfer of foreign UCIs to Luxembourg and liquidation of UCIs and compartments, as well as dormant compartments.

    Download Chapter 3

  • Investment rules

    Summary of investment and borrowing rules applicable to Luxembourg investment funds, including fund investment objectives and policies, asset eligibility, and compliance with investment restrictions.

    Download Chapter 4

  • Governance and liability

    Overview of governance models, roles and responsibilities for Luxembourg investment funds and managers, as well as requirements for delegate and service provider due diligence.

    Download Chapter 5

  • Management of UCIs: Management companies, AIFMs and other IFMs

    Outline of the scope of activities and functions of management entities, as well as the applicable regulations and legal, operational, financial and tax requirements for setting up and operating management entities in Luxembourg.

    Download Chapter 6

  • Risk management and valuation

    Details on the risk management and valuation requirements applicable to Luxembourg investment funds, management companies and AIFMs.

    Download Chapter 7

  • Administration

    Summary of the requirements applicable to the administration function in Luxembourg, including but not limited to: roles and responsibilities, authorization, regulatory and organizational requirements, net asset value treatment, compliance monitoring, subscriptions and redemptions, as well as anti-money laundering and counter terrorist financing procedures. 

    Download Chapter 8

  • Depositary

    Key points related to the depositary function of Luxembourg investment funds, covering qualifications and duties of the depositary, conduct of business rules, liability and delegation by the depositaries to third parties.

    Download Chapter 9

  • Fund documentation and reporting

    Requirements related to fund documentation and reporting, including prospectuses, KID and other investor information, financial reports and other periodic regulatory reporting to the CSSF and foreign supervisory authorities. Disclosures regarding sustainability are covered in Chapter 14.

    Download Chapter 10

  • Expenses and taxation: Structuring and reporting

    Overview of the formation and expenses incurred by and taxation of Luxembourg undertakings for collective investments (UCIs), including the VAT regime applicable to services provided to Luxembourg UCIs and their service providers. 

    Download Chapter 11

  • Marketing

    Requirements applicable to the marketing of Luxembourg investment funds, encompassing distribution regulation (including pre-marketing), fund registration, distribution strategy, as well as distributor due diligence and compliance. 

    Download Chapter 12

  • Stock exchange listing

    Summary of the key conditions for listing securities on the regulated market in Luxembourg – the Luxembourg Stock Exchange (LuxSE) – as well as the multilateral trading facility operated by the LuxSE, and the Luxembourg Stock Exchange Official List (LuxSE SOL). 

    Download Chapter 13

  • Sustainable finance

    Breakdown of the minimum requirements applicable to investment fund managers and undertakings for collective investments (UCIs) as regards environment, social and governance (ESG) factors and risks.

    Download Chapter 14

  • EY Investment Fund Services

    Overview of the EY Luxembourg asset management practice and list of investment fund services, including audit, financial accounting, tax, transactions and advisory services, covering the complete lifecycle of an investment fund from concept, through launch, to business as usual, and beyond.


List of Updates

  • Law of 21 July 2023 modifying the SICAR, SIF, AIFM, RAIF and 2010 Laws
  • Regulation (EU) 2023/606 (ELTIF II) and related draft technical standards
  • Regulation (EU) 2022/2554 and Directive (EU) 2022/2556 on digital operational resilience for the financial sector (DORA) and related draft technical standards
  • Compromise on the revision of the AIFMD/UCITS Directives
  • Proposal for a Directive as regards the EU retail investor protection rules (RIS) 
  • Proposal for a Regulation as regards the modernisation of the key information document (PRIIPs) 
  • Council position on a strengthened anti-money laundering rulebook
  • Delegated Regulation (EU) 2023/363 of 31 October 2022 amending the SFDR RTS
  • ESA consultation on the review of the SFDR RTS
  • Consolidated ESA and Commission FAQs on the application of SFDR
  • EU Taxonomy Delegated Acts
  • Guidelines on certain aspects of the MiFID II suitability requirements
  • Draft technical standards on the notifications for cross-border marketing and cross-border management of AIFs and UCITS
  • Updates of relevant CSSF FAQs and ESMA Q&As