Raising capital from investors is already a difficult undertaking, but when deciding to choose the right fund vehicle to raise capital it often becomes complex, as the promoters have to consider many legal and tax implications, as well as choosing the right jurisdiction. In contrast to other financial centers, Luxembourg offers the full range of…
What is a venture capital fund? Venture capital funds (VC funds) are investment vehicles focusing on investments into startups and small- to medium-sized enterprises (SMEs) that are not publicly traded and show a strong growth potential. VC funds are active in raising capital to directly invest into these privately held SMEs. Why set up…
What is a fund of funds? A fund of funds (FoF) is a fund that is investing into other funds. That means that the fund does not directly invest into securities or bonds but invests into the portfolio of another fund. It is often also referred to as a multi-manager fund. There is a growing…
What is a hedge fund? A hedge fund follows an alternative investment strategy by trading in relatively liquid assets and making use of more complex trading, portfolio-construction and risk management techniques to improve performance. Hedge funds are often managed more aggressively using short selling, leverage and derivatives to generate higher returns. Why set up hedge…
Why Luxembourg? Luxembourg is the globally leading fund centre in the world for cross-border funds, the second largest investment fund centre in the world after the United States and the largest fund domicile in Europe with currently more than EUR 4,7 trillion of assets under management. The country is a politically and financially stable EU…
A globally leading fund centre Luxembourg is the globally leading fund centre in the world for cross-border funds, Luxembourg is the second largest investment fund centre in the world after the United States and the largest fund domicile in Europe with currently more than EUR 4,7 trillion of assets under management. The country is a…