Regulatory Blog

On 20 May 2025, the CSSF updated its AIFMD FAQs to clarify the subject of marketing AIFs to retail investors. In principle, non-regulated Luxembourg AIFs not subject to a product law can only be marketed in Luxembourg to professional investors.

On 6 March 2025, Luxembourg’s Commission de Surveillance du Secteur Financier announced that a streamlined “e-Identification” system to replace the current VISA procedure for fund prospectuses will be introduced by April 2025. Covering UCITS, Part II UCIs, SICARs, and SIFs, this modernised system is designed to enhance administrative efficiency while upholding investor protection standards.

On 12 February 2025, the Commission de Surveillance du Secteur Financier (CSSF) introduced a streamlined and more efficient procedure for the creation of new share classes in investment funds, thereby eliminating the need for a prospectus update.

On 13 December 2024, Luxembourg's Commission de Surveillance du Secteur Financier released a new FAQ addressing Anti-Money Laundering and Countering the Financing of Terrorism on the asset side due diligence requirements under CSSF Regulation No. 12-02.

As a reminder, on 28 March 2024, Luxembourg’s Commission de Surveillance du Secteur Financier issued Circular 24/856 providing comprehensive guidelines for the protection of investors in cases of errors related to the Net Asset Value calculation, non-compliance with investment rules and other administrative errors at the level of Undertakings for Collective Investment under the supervision of CSSF. An English version of the circular has recently been released.

On 12 July 2024, the Luxembourg Parliament adopted the draft bill 8185, aimed at transposing Directive (EU) 2021/2167 on credit managers and credit purchasers.

On 29 March 2024, Luxembourg’s Commission de Surveillance du Secteur Financier issued Circular CSSF 24/856, replacing Circular CSSF 02/77.

On 22 February 2024, the Commission de Surveillance du Secteur Financier revised its FAQ on Virtual Assets for Undertakings for Collective Investment relating to the promotion of UCIs engaged in direct or indirect investment in virtual assets.

On 20 July 2023, negotiators from the European Council and the European Parliament reached a provisional agreement on new regulations aimed at improving European capital markets and strengthening investor protection in the EU. The agreement focuses on revising the Alternative Investment Fund Managers Directive (AIFMD), broadly referred to as AIFMD II, which governs managers of various investment funds including hedge funds, private equity funds, and real estate funds in the EU. Additionally, it modernises the framework for “plain-vanilla” EU-harmonised retail investment funds known as undertakings for collective investment in transferable securities (UCITS).

On 9 June 2023, the Minister of Justice and Public Order of Cyprus, Anna Koukkidi-Prokopiou announced, during the Justice and Home Affairs Council session of the EU held in Luxemburg, that a new independent authority tasked with monitoring the implementation of EU sanctions in Cyprus is in the process of being established.

On 9 June 2023, EU Regulation 2023/1114 on Markets in Crypto Assets (MiCA) and EU Regulation 2023/1113 on information accompanying transfers of funds and certain crypto-assets (Travel Rule Regulation) were published in the Official Journal of the European Union.

As previously announced the CSSF confirmed that the annual online questionnaire for the year 2022, collecting standardised key information concerning money laundering and terrorism financing risks to which the professionals under supervision are exposed, and which forms part of the AML/CFT risk-based approach put in place by the CSSF, will be launched on 15 February 2023.