What is an alternative investment fund? An alternative investment fund (AIF) is typically a fund investing in an alternative asset class in the broadest sense, covering private equity funds, real estate funds, hedge funds, art funds or venture capital funds. The EU directive regulating this sector, the AIFMD has defined the term very broadly including…
What is an investment fund manager in Luxembourg? Investment Fund Managers in Luxembourg (IFMs or Gestionnaires de fonds d’investissement) refers to UCITS management companies, other management companies, Luxembourg branches of IFMs, self-managed investment companies, authorised Alternative Investment Fund Managers (AIFMs) and internally managed Alternative Investment Funds (AIFs). Why set up a IFM in Luxembourg? Luxembourg…
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 an umbrella fund? An umbrella fund is collective investment vehicle that exists as a single legal entity but has several distinct compartments or sub-funds. These sub-funds can follow different investment policies and different investors and are treated as separate funds. The assets of each compartment of a multiple compartment vehicle are generally segregated…
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…