Funds

Recent Articles

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  15/05/2024

  Luxembourg

  The European Commission reports on the open and targeted consultations on the SFDR assessment

  BackgroundThe Sustainable Finance Disclosures Regulation (SFDR[1]) applies since March 2021 with a view to providing transparency to investors about the sustainability risks associated with their investments and potential adverse impacts such investments have on the environment and society.On 14 September 2023, the European Commission (the EC) published two consultation papers on SFDR. On the one hand, an open consultation on the practical implementation of SFDR aimed at a broader range of stakeholders with a more general knowledge of SFDR (the Open Consultation). On the other hand, a target consultation...

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  29/04/2024

  Luxembourg

  ELTIF 2.0: revised RTS amendments issued by ESMA

  The European Securities and Markets Authority (ESMA) has responded to the European Commission (the Commission) request for amendments to the draft Regulatory Technical Standards (RTS) for the new ELTIF 2.0 regime. Here are some of the key amendments:Redemption notice period: the minimum 12-month notice period for redemptions has been removed. Justification for the consistency of the notice period to the competent authority if the notice period is less than 6 months (instead of 3 months as suggested by the Commission). In addition, ESMA still links the length of the notice periods with...

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  18/04/2024

  United Kingdom

  Transparency: ECCTA 2023 and Register of Overseas Entities update

  The Economic Crime and Corporate Transparency Act 2023 (ECCTA), which is aimed at tackling economic crime and preventing abuse of corporate structures in the UK, will not only fundamentally reform the administrative requirements for UK companies, limited liability partnerships and limited partnerships generally, but will also expand the requirements of the Register of Overseas Entities (ROE) regime for overseas entities holding or acquiring UK real estate.  The ROE is a register at Companies House which came into effect on 1 August 2022. Here are some FAQs providing information about...

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  15/04/2024

  Luxembourg

  Bill of law for the transposition of CSRD in Luxembourg

  IntroductionFollowing the adoption of the corporate sustainability reporting directive:1 (the “ CSRD ”), the Member States of the European Union (the “ EU ”) are required to implement its relevant provisions into their national laws and regulations by 6 July 2024. At the date of this publication, only France, Hungary, Romania, and Czech Republic implemented CSRD into their national law. In this context, the long-awaited Luxembourg Bill of law 8370 was introduced before the Luxembourg Chambre des députés on 29 March 2024 (the “ Proposal”).To...

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  08/04/2024

  Luxembourg

  Reform of Circular 02/77 on NAV calculation errors and investment breaches

  IntroductionOn 29 March 2024, the Luxembourg Commission de Surveillance du Secteur Financier (CSSF) published its long-awaited Circular 24/856 (the Circular) on investor protection in the event of net asset value (NAV) calculation error, non-compliance with investment rules and other errors at the level of the undertaking for collective investment (UCI). The Circular replaces the well-known Circular 02/77, whose reform was, according to the CSSF, necessary to reflect the numerous regulatory developments observed in the Luxembourg fund sector since its publication in 2002. One can notably mention...

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  02/04/2024

  Luxembourg

  Updated CSSF supervisory priorities in sustainable finance

  On 22 March 2024, the Commission de surveillance du secteur financier (the “CSSF”) published an updated version of its supervisory priorities in sustainable finance, which were initially issued in April 2023[1] (the “Communiqué”).This update aligns with the objective of the CSSF to proactively support the transition of the financial sector towards a sustainable economy. To this end, the Luxembourg regulator seeks to ensure the integration of the environmental, social and governance (“ESG”) requirements within a current evolving context necessitating a...

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