Luxembourg Regulated Investment Vehicles - Alfi

Executive summary2ALFI is pleased to reprint KPMG’s newedition of the Luxembourg RegulatedInvestment Vehicles brochure. The purposeof this brochure is to provide an overviewof the various vehicles that may be set up inLuxembourg covering the complete spectrumof the Fund industry.The overview covers the following areas:• Legal and regulatory requirements• Shareholding• Reporting requirements• Approval and supervision• TaxationLuxembourg FundindustryOver the years, Luxembourg has developeda strong reputation as a centre of excellencefor a large variety of investment funds. Thelegal framework of the country offers a largeselection of investment vehicles that may beused to accommodate the strategies pursuedby promoters.As at 31 December 2009, the size of theLuxembourg Fund industry was Euro 1.84trillion (2008: Euro 1.57 trillion). There were3,463 funds (2008: 3,371) or 12,232 sub-funds(2008: 12,325) approved. During the year2009, 407 new funds were set up while 315were closed or liquidated. In terms of sub-fundsthere was net closure of 93 sub-funds duringthe year. Net subscriptions during the year wereEuro 84 billion, while the market accounted foran increase of Euro 197 billion.In addition there were 237 (2008: 221)SICARs and 24 (2008: 20) securitizationvehicles on the list of regulated vehicles bythe Commission de Surveillance du SecteurFinancier (the Luxembourg regulator) as at31 December 2009.2009 has seen a significant increase in thenumber of SIFs from 837 at the end ofDecember 2008 to 971 at the end of December2009.The table below shows the number of funds under the different laws and the size of theassets managed.Part I(2002 law)Part II(2002 law)Funds2008 2009AssetsEUR billionFundsSubfundsSubfundsAssetsEUR billion1,843 7,976 1,465 1,826 8,178 1,169649 2,137 221 708 2,332 259SIF 971 2,119 154 837 1,815 130SICAR 237 - N/A 221 - 20Securitization(regulated)24 - N/A 20 - N/A