RAIF RAIF. Assets. AIFM • Unregulated - not subject to the CSSF prior approval and/or supervision, however, as the AIFM is regulated the RAIF will be indirectly regulated • It could be set up as a mutual fund (FCP), a SICAV (SA, SCA, SCS. SCSp, Sàrl ScoSA) or under a legal regime that is neither a FCP nor a SICAV • Possibilityto create. AIFMs are governed by the Law of 12 July 2013 on alternative investment fund managers. The CSSF's prudential supervision aims to verify that AIFMs subject to its supervision continuously observe all legal, regulatory and contractual provisions relating to their organisation and operation, with the objective to ensure investor protection and stability of the financial system 4. the Law of 17 December 2010 relating to undertakings for collective investment, as amended; 5. the Law of 28 October 2011 implementing Regulation (EC) No 1060/2009 of 16 September 2009; and 6. the Law of 12 July 2013 on alternative investment fund managers, as amended (Mém. A 2016, No 39) − the Law of 10 May 201
Law of 8 April 2019. on the measures to be taken in relation to the financial sector in the event of the withdrawal of the United Kingdom of Great Britain and Northern Ireland from the European Union and amending: 1° the Law of 13 Februar Luxembourg Parliament votes on the law on Reserved Alternative Investment Fund (RAIF) Elvinger Hoss Prussen assists Quilvest and Partners in setting up the two first RAIFs Gesetz über reservierte alternative Investmentfonds - Aktualisierung Juli 201 The RAIF This stands for Luxembourg Revolution in the Alternative Investment Fund landscape On 14 July 2016, the Luxembourg Parliament approved bill of law n°6929 introducing a new type of Luxembourg investment fund: the reserved alternative investment fund (RAIF - or fonds d'investissement alternatif réservé, FIAR)
Luxembourg based advisers to AIFs (or their AIFM) are (i) either regulated by the CSSF and must be licensed pursuant to the law of 5 April 1993 on the financial sector, as amended (the 1993 Law), subject to exemptions, or (ii) may be subject to the law of 2 September 2011 regulating the access to the professions of craftsman, merchant, industrial as well as certain liberal professions. A RAIF must appoint a Luxembourg depositary which is among other things responsible for the safekeeping of assets. The eligible depositaries are Luxembourg credit institutions, but also Luxembourg investment firms fulfilling certain requirements laid down by the Law of 5 April 1993 on the financial sector, as amended Luxembourg entities must further comply with Luxembourg laws, regulations and CSSF circulars regarding anti-money laundering (AML) and counter-terrorist financing (CTF), in particular, the law of 12 November 2004 relating to the fight against money laundering and the financing of terrorism, as amended, and the law of 13 January 2019 creating the register of beneficial owners, as amended
What is a RAIF? a Luxembourg alternative investment fund No registration on an official list held by the CSSF RAIF to be registered within 10 days as from its creation on a specific It is a law firm authorised and regulated by the Solicitors Regulation Authority
into local law, Luxembourg has consolidated its leading position for structuring alternative investment The CSSF continues to play an important role in (inception of the RAIF Law) to March 2018 316 1 560 284 314 Part II SIFs SICARs RAIFs. 4 Luxembourg Investment Vehicles circumstances, therefore Luxembourg introduced in July 2016, the only supervised investment vehicle called the Reserved Alternative Investment Fund (RAIF), which is not regulated but supervised via the AIFM. In order to benefit from the RAIF regime, the RAIF must appoint an authorised Alternative Investment Fund Manager (AIFM) .5% UCITS 47,33% Other 16.2% Netherlands 1.2% Key Features of the different regimes in Luxembourg UCITS Part II SIF SICAR RAIF Limited Partnership Prudential. Luxembourg regime for reserved alternative investment funds (RAIFs) 3 The legislation on reserved alternative investment funds (RAIFs) was adopted by the Luxembourg Parliament on 14 July 2016 (the RAIF Law).The purpose of the RAIF Law is to introduce a new type of Luxembourg investment vehicl
Introduced in Luxembourg in 2016, the RAIF is a flexible and unregulated alternative investment vehicle available to well-informed investors. The Law of 23 July 2016 (RAIF Law) distinguishes between two types of RAIF: risk-spreading RAIFs and risk capital RAIFs as per Article 48(1) of the RAIF Law The RAIF regime, governed by the law of 23 July 2016 on reserved alternative investment funds (the RAIF Law), came into effect on 1 August 2016 and affords asset managers the well-established benefits of Luxembourg investment funds, as well as fully complying with the AIFMD, without, however, being directly regulated and supervised by Luxembourg's financial regulator, the Commission de.
1915 on commercial companies (the Luxembourg Company Law) Investment Fund (RAIF) subject to the law of July 23, 2016 on reserved alternative investment funds Forms: FCP / SICAV or SICAF (SA, SCA, Sàrl, SCS, SCSp) Unregulated Limited Partnership (LP) AIF Forms: SCS, SCSp UC On 25 November 2019, Luxembourg's financial regulator, the Commission de Surveillance du Secteur Financier (CSSF), published a similar FAQ 3 in relation to Luxembourg funds and investment fund managers supervised by the CSSF for AML / CFT purposes. However, as RAIFs are not supervised by the CSSF, they did not fall within the scope of the FAQ T he long awaited law introducing a new type of Luxembourg regulated fund: the reserved alternative investment fund (fonds d'investissement alternatif réservé or RAIF) was published on 28 July 2016. The RAIF regime is a new regulatory regime in Luxembourg which replicates the regulatory regimes of the fonds d'investissement spécialisé or SIF and of the. Existing SIFs, SICARs and unregulated AIFs may elect to adopt the RAIF regime, subject to approval from investors and, where applicable, the CSSF. Luxembourg's ingredients for success. With 40% of AIFs marketed on a cross-border basis, according to the European Commission, the selection of the appropriate investment fund domicile is crucial
Unlike the SICARs, the CSSF does not supervise the RAIFs nor their compliance with the provisions of the law. In this context, the art. 48 (1) b) of the RAIF law provides that the auditors of the RAIF will draw up a report to be transmitted to the direct tax administration Conversion to RAIF y law will have the option to convert to a RAIF subject to shareholder approval. Why choose the RAIF? The main benefits are: Speed to market: the RAIF is not subject to approval by the Luxembourg regulator (CSSF). Access to an EU marketing passport. Structuring flexibility. 'Made in Luxembourg' fund quality label
Introduced in Luxembourg in 2016, the RAIF is a flexible and unregulated alternative investment vehicle available to well-informed investors. The Law of 23 July 2016 (RAIF Law) distinguishes between two types of RAIF: risk-spreading RAIFs and risk capital RAIFs as per Article 48(1) of the RAIF Law INTRODUCTION. The Law on Reserved Alternative Investment Funds dated 23 July 2016 (RAIF Law) 1, introducing a new type of Luxembourg investment vehicle named Reserved Alternative Investment Fund (in short RAIF), entered into force on 1 August 2016. The RAIF is regulated under the AIFMD 2 and benefits from the corresponding EU passport but is not supervised by the Commission de. The CSSF-regulated world AIFs AIF Legislation • •EU Directive 2011/61/EU (the AIFMD) • be distributed in all other EU Luxembourg Law of 12 July 2013 (the AIFMD Law) Success • AIFs aim to replicate the success of UCITS for all investment funds that are not UCITS. Key for success Once approved in one EU Member State, an AIF ca
The CSSF continues to play an important role (inception of the RAIF Law) to March 2018. 8 when UCITS V was transposed into Luxembourg law. One of the main objectives of that reform package was to further enhance investor protection by aligning the role, responsibilities This approach is encapsulated in a bill of law deposited with the Luxembourg Parliament on 14 December 2015 which introduces a new type of Luxembourg investment vehicle, the Reserved Alternative Investment Fund (the RAIF / the RAIF Bill). The RAIF Bill is a blend of the SICAR and SIF regimes with which many are already familiar
The RAIF regime is based on the SIF and the SICAR regimes. The main difference is that it is not subject to any authorisation or supervision by the CSSF (Commission de Surveillance du Secteur Financier). This investment vehicle is fully compliant with the AIFMD and replicates many of the features of the Luxembourg SIF and SICAR regimes into local law, Luxembourg has consolidated its leading (inception of the RAIF law) to June 2019 Luxembourg Investment Vehicles 7. link Brexit The UCITS framework was introduced over 30 years ago CSSF's FAQ UCITS 8 Luxembourg Investment Vehicles. link Brexi OF RAIF TO OTHER LUXEMBOURG REGULATED AND UNREGULATED AIFs L of the Luxembourg law firm Chevalier & Sciales which has been established in 2005. He is a Luxembourg qualified 9 CSSF guideinel s on risk spreading for SIFs should be followed (CSSF circular 07/309),. The Luxembourg government decided to intervene by issuing the law of July 23 2016, with the intention of differentiating its offer, adding to existing solutions, Specialized Investment Funds (SIF) and Risk Capital Investment Company (SICAR), also the RAIF (Reserved Alternative Investment Fund) RAIF Luxembourg: all the advantages at a glance . RAIF is attracting many people because of the following advantages: - It can be constituted in a very short time (from 1 up to 3 months), since it does not require supervision by the Luxembourgian CSSF (Commission de Surveillance du Secteur Financier)
The RAIF may take advantage of the EU passport, as it has appointed an AIFM, allowing the fund to be passported to well-informed investors within the EU. How long does it take to set up a RAIF in Luxembourg? A RAIF is not subject to supervision by the CSSF and can thus be established within a short timeframe, typically 1-2 weeks Shortly before the end of 2015, a bill of law was tabled to the Luxembourg Conseil d'État with the aim to introduce into Luxembourg law a new investment fund framework combining the strengths of the SIF and SICAR regimes with the flexibility of the modernised limited partnership forms under a new acronym: the RAIF (the reserved alternative investment fund regime) or FIAR (fonds d. No report to CSSF Monthlyreportingto CSSF Semi-annualreportingto CSSF* No report to CSSF * Monthlyas from30 June2016, Cf. Circular15/627 Luxembourg Reserved Alternative Investment Fund (RAIF) -The best of two worlds Finally Law amends the law of July 23, 2016 relating to reserved alternative investment funds (the RAIF Law). Article 8 is amended to provide that fonds commun de placement (FCPs) may be managed by Luxembourg management companies authorised pursuant to chapters 15, 16 or 18 of the law of 17 December 2010 relating to undertakings for collective investment (2010 Law)
RAIF Luxembourg: all the advantages at a glance RAIF is attracting many people because of the following advantages : - It can be constituted in a very short time (from 1 up to 3 months), since it does not require supervision by the Luxembourgian CSSF (Commission de Surveillance du Secteur Financier) The RAIF Law of 23 July 2016 has seen the creation of a new unregulated investment vehicle in Luxembourg, the reserved alternative investment fund (RAIF).The RAIF regime enables the creation of umbrella structures with ring-fenced sub-funds (compartments) in the unregulated arena
Luxembourg RAIF Law: theory and case study method series: the Luxembourg legislator launched in 2016 a hybrid unregulated fund which could opt for an investment strategy similar either to SIFs or alternatively SICARs (which both products are regulated by the CSSF) The Law of 16 July 2019 strengthens the legal certainty by specifying the provisions of article 8 of the RAIF Law, which reflects now a practice according to which common funds may be managed by management companies authorised under the chapter 15, 16 and 18 of the Law of 17 December 2010 on UCI (which must appoint an external AIFM authorised under the AIFM Law) Article 8 of the RAIF Law, as initially drafted and strictly construed, had the effect that only Luxembourg management companies governed by chapter 16 of the law of 17 December 2010 on. Luxembourg investment funds (except for Reserved Alternative Investment Funds RAIF) are authorized and supervised by the Commission for the Supervision of the Financial Sector (Commission de Surveillance du Secteur Financier, or CSSF). The Luxembourg fund industry has, since 1988, been successfully represented and promoted by the Association of.
On November 27 th 2015 the Luxembourg Council of Government approved the draft law relating to Reserved Alternative Investment Funds (the Draft Law). The Draft Law was then approved by the chamber of deputies on December 14 th 2015 and published on December 15 th 2015. The next steps will be the approval of the Draft Law by the Luxembourg Parliament which is expected to be done smoothly. The Luxembourg indirect tax authorities (the ITA) have published a FAQ 1 in relation to persons involved in AML / CFT for a Luxembourg reserved alternative investment fund (RAIF) supervised by the ITA 2 for AML / CFT purposes (the FAQ).. It clarifies that RAIFs are legally required to appoint two individuals responsible for AML / CFT Law). The RAIF regime was introduced to allow fund sponsors to structure a type of alternative the CSSF is informed about the RAIF's activities via its manager. The exclusive object of Luxembourg specialised investment funds (SIF) governed by the Luxembourg law of 13 February 2007.
Welcoming the new law, Denise Voss, Chairman of the Association of the Luxembourg Fund Industry, says: The Luxembourg RAIF Law provides an additional - complementary - alternative investment fund vehicle which is similar to the Luxembourg SIF regime.Unlike the SIF, the RAIF does not require approval of the Luxembourg regulator, the CSSF, but is supervised via its alternative investment. The CSSF charges an annual fee for its supervisory activity. The draft documents and information to be submitted to the CSSF - via e-file (see www.e-file.lu) or email (firstname.lastname@example.org) - for approval are set out in Articles 42, 42bis and 42ter of the SIF Law (as modified) The new RAIF vehicle has been designed to resolve this concern. RAIF structures will not be authorised or supervised by the Luxembourg regulator (the CSSF ), instead they will be supervised indirectly by their authorised and regulated AIFM RAIF - Reserved alternative investment fund within the meaning of the law of 23 July 2016. RAIF Law - The Luxembourg law of 23 July 2016 on reserved alternative investment funds. Mandatory notification to the CSSF by UK managers. 2 August 2019. The law of 8 April 2019, the so-called Brexit Law,. Chevalier & Sciales is a Luxembourg law firm with specialist expertise in investment funds, high-level litigations and dispute resolutions, banking, finance and capital markets and corporate law. We have a reputation for merging excellence and intellectual exigence with a practical, responsive and business-related attitude to providing advice and conducting litigation
The initial wording of Art. 8 of the RAIF Law led to legal uncertainty for the fund industry in Luxembourg. Indeed, by providing that management companies of FCP - RAIFs have to meet the conditions set out in Article 125-1 or 125-2 of the UCI Law , management companies authorised under Chapter 15 of the UCI Law were excluded from the scope The RAIF - This stands for Luxembourg On Monday 14 December 2015, the Luxembourg government tabled a bill of law with the Parliament aiming at introducing a new type of Luxembourg investment fund: the reserved alternative investment fund CSSF). The range of Luxembourg funds has proven very successful Luxembourg REIFs can be classified as regulated or unregulated. In addition, they can take different legal forms and be set up using different structures. Regulated structures, for the purpose of this survey, are those fund vehicles that are authorised and supervised by the CSSF. The laws and regulations applicable to Luxembourg regulated funds ar The Law creates a new form of unregulated alternative investment fund inspired largely by specialized investment funds (SIFs) risk capital investment companies (SICARs) and , but that is not subject to the authorization / supervision of the Luxembourg regulator (CSSF) and that benefits from the structuring flexibility available to SIFs and SICARs
RAIF Law voted by the Luxembourg Parliament 27th Jul 2016 . Share on Facebook; Share on Linkedin; Share via email; Share on Twitter; The Law on the reserved alternative investment fund (RAIF) or fonds d'investissement alternatif réservé (FIAR) was adopted on July 14th 2016 by the Luxembourg Parliament (the RAIF Law) The RAIF Law creates a new type of unregulated fund which has many of the features of the regulated specialised investment fund (SIF) or the investment company in risk capital (SICAR) but which is not subject to the supervision of the local Luxembourg supervisory authority - the CSSF. The attractiveness of the RAIF lies in its unregulate Luxembourg RAIF 1. INSIDE 2015, with the adoption of the Raif Bill of Law by the Luxembourg government, and the expected passing of the Raif law itself by the second quarter of 2016. the Raif will not in itself be subject to the supervision of the Luxembourg Supervisory Authority, the CSSF The RAIF law introduces a new framework under which EU based AIFMs can structure a fund product. The RAIF is a Luxembourg AIF that must be managed by an authorised AIFM so whilst the manager of a RAIF will be subject to AIFMD requirements, there is no CSSF supervision of the RAIF itself The main difference between the RAIF and the SIF is that the RAIF does not require the approval from the CSSF. As a result, the time to market for a RAIF is considerably shorter than for a SIF. Also, for AIFMs established outside Luxembourg, using unregulated AIFs avoids such AIFMs having to deal with two regulators, their home regulator and the CSSF
Historically, Luxembourg alternative investment funds (AIF(s)) have been subject to the ongoing supervision of the CSSF. While these Luxembourg fund vehicles have proven very successful and have earned wide recognition from investors and the global asset management community, the adoption of AIFMD has triggered a double-layer of supervision extended to encompass the Managers RAIF: reserved alternative investment fund General framework. The RAIF law has been adopted on 23 July 2016 introducing a new flexible and fiscally efficient regime in the Luxembourg fund platform Luxembourg SICAV-SIF SCA. Subject to CSSF supervision: must be approved by the CSSF and comply with SIF Law and AIFMD if AIF full scope; Luxembourg SICAV-RAIF SCA. Light touch regulation and compliance with full requirements under AIFMD; Luxembourg SICAV-RAIF SCSp. Light touch regulation and compliance with full requirements under AIFM RAIF is attracting many people because of the following advantages: - It can be constituted in a very short time (from 1 up to 3 months), since it does not require supervision by the Luxembourgian CSSF (Commission de Surveillance du Secteur Financier) In July 2016, the RAIF law entered the Luxembourg legal and regulatory environment, with a short time-to-market and no requirement for Luxembourg regulatory approval. The Luxembourg funds industry can now offer, on short notice, a product that is not subject to supervision by the Commission de Surveillance du Secteur Financier (CSSF), with full fund flexibility
A Luxembourg investment firm (which is not a manager under the UCI Law or the AIFM Law) that intends to distribute units, shares or interests of funds, must request prior CSSF authorisation under. Elvinger Hoss - Luxembourg law. Hong Kong. Suite 503, 5/F ICBC Tower. Three Garden Road, Central Hong Kong. Tel: +852 2287 190 Luxemburg RAIF (Reserved Alternative Investment Fund) RAIF structure was introduced in 2016 and combines features of the, until then, most popular fund structures in Luxemburg, namely SIF and SICAR. RAIFs are limited to well-informed and professional investors and is fit for diversification and multiple strategy activation through its umbrella structure with multiple compartments The Luxembourg financial sector regulator (the Commission de Surveillance du Secteur Financier, the CSSF) remains vigilant concerning shadow banking issues. Thus, promoters and fund managers who wish to carry out lending activities on a regular basis would be well advised to clear in advance with the CSSF whether or not the contemplated activity will require a lending licence A quick and handy guide to managing non-retail pooled funds in Luxembourg, including available vehicles, authorisation, tax treatment and reporting requirements
Luxembourg Brexit Laws: 15 September 2019 final deadline for UK based managers to notify the CSSF 22/08/2019. On 8 April 2019, Luxembourg adopted two laws (Brexit Laws) on measures to be taken in relation to the financial sector in the event of a hard Brexit, i.e., a withdrawal of the United Kingdom from the European Union in the absence of any negotiated agreement into local law, Luxembourg has consolidated its leading in Luxembourg from 13 October 2016. The CSSF has also indicated in the Press Release 10/16 that Circular 14/587, which governs the duties Law of 23 July 2016 (RAIF law). Eligible assets Restricted to