UCI in LuxembourgUpdated on Friday 27th January 2017
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Luxembourg has a worldwide reputation as being one of the most attractive jurisdictions chosen by foreign investors for setting up an investment fund. Funds in Luxembourg are regulated by the 2010 Law on Undertakings for Collective Investments (UCI); the Luxembourg legislation allows foreign investors to set up various types of investments funds, in accordance with their investment plans. If you want to open an UCI in Luxembourg, our team of experts can offer you assistance in this matter.
We also invite businessmen to find out more information related the UCI structures in Luxembourg from the video presented below:
Legal structures of an UCI in Luxembourg
If you plan to open an UCI in Luxembourg, there are several entities through which you can conduct your investments:
• Fonds Commun du Placement (FCP) – the assets of FCP are under the surveillance of a management company, appointed to represent the FCP, as such this type of investment fund does not have a legal entity. It is necessary that the net assets of the FCP to be of minimum EUR 1,250,000;
• Societe d’Investissement a Capital Variable (SICAV) - is an open-ended investment company with a variable capital, which must always have the same value as the fund’s net assets; the minimum value of the net assets have to be of EUR 300,000;
• Societe d’Investissement a Capital Fixe (SICAF) – is a closed-ended investment company in which the net assets of the fund do not have to be of the same value as the capital.
Authorization of an UCI in Luxembourg
UCI in Luxembourg can function under the supervision of the Commission de Surveillance du Secteur Financier (CSSF). Under the law issued on 17th of December 2010, an UCI can start its activity on the territory of Luxembourg after having received the CSSF authorization.
An UCI set up as a FCP will receive the authorization only after the CSSF has approved the management company that will supervise the fund’s investment activities.
Under the Article 129 of the 2010 Law, the manager of the investment fund or the management company representing the fund must always notify CSSF if there are any changes on the information provided to CSSF after the incorporation of the fund.
If you need further information on the UCI in Luxembourg, our team of financial consultants can provide you with assistance on this matter.