Why Luxembourg?
Luxembourg is the leading investment fund centre in Europe and second only in the world behind the United States. The reason for this is a highly tuned legal and regulatory framework that combines rigorous investor protection with an unequalled degree of flexibility in fund design, a flexibility that allows products to be tailored to the needs of a specific market or client group. The availability of a wide range of specialised service providers enables fund promoters to subcontract non-core activities and hence benefit from economies of scale. Luxembourg specialises in the administration and cross-border distribution of investment funds and has become the platform of choice for promoters wishing to market their investment funds worldwide.
The Euro area’s leading international financial centre, Luxembourg is today globally recognized as an ideal platform to assist companies, governments and investors around the world to meet their sustainable development targets.
Luxembourg has a long-established track record as the location of choice for sustainable and impact investment funds, with a total market share of 39% of responsible investment funds in European, over 60% of European impact funds as well as over 60% of global microfinance assets, and has been a pioneer in the area of sustainable finance labels for more than a decade. Moreover, half the world’s listed green bonds are listed in Luxembourg, with the Luxembourg Stock Exchange offering a dedicated platform for green securities as well as social and sustainable bonds.
Benefits of regulated funds:
The Specialised Investment Fund (SIF) is a regulated, operationally flexible and fiscally efficient multipurpose investment fund regime for an international, institutional and qualified investor base. In comparison with institutional funds created under Part II of the Law of 17 December 2010 on undertakings for collective investment, the SIF is characterised by greater flexibility with regard to the investment policy and a more relaxed regulatory regime.
Investment in a SIF is reserved for “well-informed” investors requiring a limited level of protection and looking for investment flexibility suitable to their particular expertise and needs.
A SIF may take the legal form of a common fund (FCP – fonds commun de placement) or may be constituted as an investment company (SICAV – Société d’investissement à capital variable or SICAF – Société d’investissement à capital fixe). Other legal forms are possible.
The FCP has no legal personality and thus must be managed by a management company.
These different entities may be set up as a single fund or as an umbrella fund consisting of multiple compartments, each with a different investment policy. The compartment of an umbrella SIF can invest in one or more other compartments of the same SIF. The fund and compartments respectively may have an unlimited number of share classes, depending on the needs of the investors to whom the fund is distributed.
The structures may be open-ended or closed-ended, for both subscriptions and redemptions
Contact
PRIMATUM FCP Specialized Investment Fund registered office at:
5 rue Guillaume Kroll, L-1882 Luxembourg, Grand-Duchy of Luxembourg, registered with the Luxembourg Trade and Companies Register under number B 141.268
e-mail: info@primatum.com