Most Read Contributor in Luxembourg, February 2017
On 29 July 2016, the draft law 7024 was submitted to the
This text proposes i.a. to clarify the depositary regime of
undertakings for collective investment (UCIs) which are subject to
the Part II (Part II funds) of the Law of 17 December
2010 (UCI Law) as introduced by the
Law of 10 May 2016 transposing the UCITS V
Directive (see our Fund News article on the transposition law).
Before the UCITS V transposition law, Part II funds were subject
to a dual depositary regime: Part II funds managed by an authorised
AIFM were subject to the AIFMD depositary regime, whereas
Part II funds managed by a registered AIFM were subject to the
depositary regime of the UCI Law. The Luxembourg legislator decided
to take the opportunity of this transposition to extend the UCITS
depositary regime to all Part II funds – whether they are
distributed to retail investors or not – in order to ensure
the same high level of protection to all retail investors.
Article 34 of the present draft law intends to clarify the
depositary regime of Part II funds by amending Article 88-3 of the
UCI Law. It proposes an exception to the recently introduced
depositary regime, allowing Part II funds which are marketed
exclusively to professional investors to remain under the
depositary regime of the AIFM Law. Part II funds will be considered
as distributed exclusively to professional investors when their
offering document expressly restrict the marketing of their shares
to professional investors on the Luxembourg territory in the
meaning of Article 4(1) ag) of Directive 2011/61/UE on Alternative
Investment Fund Managers (AIFMD).
Part II funds which are managed by a registered AIFM and whose
offering documents expressly restrict the marketing of their shares
to professional investors on the Luxembourg territory will be
subject to the depositary regime of the Law of 13
February 2007 on Specialised Investment Funds (SIF Law).
The complete text of the draft law is available under the
following web link.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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As the banking industry continues to be shaped by technological and regulatory forces, we’ve gathered our European Central Bank (ECB) experts to hold a conference about this changing landscape. KPMG’s ECB desk from Frankfurt will join our Luxembourg banking partners to unpack the latest news from the ECB, including regulations that will affect the future of banking.
We would be very pleased if you could attend this event, which will be held at our Luxembourg headquarters in Kirchberg on 30 March. The talk will begin at 5:00pm and last until 6:00pm, at which point the evening will be turned over to a networking session with drinks.
Please let us know if you are able to attend by using the registration button above (by 27 March, if possible).
We look forward to seeing you there!
Here in Luxembourg, LPEA are holding an event which will offer new initiatives by bringing General Partners (GPs) and Limited Partners (LPs) together to examine and speak on the industry from the “360” perspective, leaving no stone unturned. We are a sponsor of the event, as well as having a speaker present. David Capocci, Partner and Head of Alternative Investments will be offering his own insight on the industry nowadays.
Over the last 40 years, the Cayman Islands has matured into one of the world's most sophisticated and successful international financial centres, providing a competitive, effective, transparent, cost-efficient and tax-neutral platform for international capital flows underpinned by an environment of legal, political and economic stability.
In the context of the Private Member's Motion, Cayman Finance strongly urges the movers of the motion and the other members of the House to remain focused on the need to protect the Cayman Islands Financial Services Industry, which is directly responsible for more than half of the Islands' economy, more than half of the government's revenue and employs more Caymanians than any other industry.
As the UCITS acronym suggests, its original focus was on investment in "transferable securities" although UCITS do offer far wider investment possibilities, as explained below.
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