Regulatory Blog

The European Securities and Markets Authority, in October 2025, published its final draft Regulatory Technical Standards for open-ended loan-originating Alternative Investment Funds under the AIFMD. These standards focused on liquidity management, stress testing and redemption policies for open-ended AIFs.

On 4 February 2025, the Luxembourg’s Commission de Surveillance du Secteur Financier (CSSF) updated its FAQs on crypto-assets, reflecting significant regulatory changes and providing guidance for various stakeholders. Here's a concise summary:

On 26 January 2026, Luxembourg’s Directorate of Registration, Estates and VAT (AED) issued Circular No. 792 quater, setting out AML/CFT identification and verification obligations for professionals under its supervision and replacing Circular 792 ter of 28 July 2025.

On 15 January 2026, the European Commission announced a significant initiative: a comprehensive review of the European Venture Capital Fund Regulation. This marks the third time the European Commission revisited this pivotal regulation since its initial adoption in 2013, signalling a continued commitment to refining the mechanisms that drive capital to Europe’s most innovative enterprises.

The Bermuda Investment Funds Act 2006 serves as a comprehensive legislative framework governing the establishment, operation, and regulation of investment funds within Bermuda. This Act, which has undergone several amendments to adapt to evolving financial landscapes, is pivotal in ensuring the integrity, transparency, and efficiency of Bermuda's investment fund industry. It is structured into multiple parts, each addressing specific aspects of fund management, administration, and oversight.

On 23 December 2025, the Cyprus Securities and Exchange Commission (CySEC) released a Consultation Paper to gather feedback on the implementation of the Law on the Establishment and Operation of Cypriot Companies for the Administration of Undertakings for Collective Investments (L.101(I)/2025). This initiative aims to refine the regulatory framework governing entities that operate in or from Cyprus and perform UCI Administration Functions on behalf of undertakings for collective investments and ensure effective oversight. Key areas of focus include:

On 3 October 2025, the Luxembourg Government introduced Draft Bill No. 8628 to transpose AIFMD II (Directive (EU) 2024/927) into national law.

The Investment Fund Administrators Law marks a pivotal development in the investment funds space in Cyprus, bringing within the scope of regulation persons providing fund administration services. The IFA Law came into effect on 18 June 2025.

On 24 July 2025, a key bill of law was brought before the Luxembourg Parliament introducing a proposal designed to rejuvenate the carried interest tax framework for managers of Luxembourg alternative investment funds. With its sights set on fiscal year 2026, this initiative intends to modernise the tax regime, enhancing Luxembourg’s ability to attract talented professionals in the competitive AIF sector.

On 27 June 2025, Luxembourg's Commission de Surveillance du Secteur Financier published Circular 25/894, which establishes the obligations for Luxembourg Investment Fund Managers managing investment funds not authorised by the CSSF to provide information in respect of such funds via the completion of specific forms. This circular, effective immediately, repeals Circular CSSF 15/612 and applies to management companies subject to Chapter 15 of the UCI Law, registered AIFMs and authorised AIFMs.

On 12 June 2025, the Cyprus Securities and Exchange Commission issued Consultation Paper CP-02-2025, proposing targeted amendments to the Alternative Investment Funds Law of 2018.

On 4 April 2024, the Cyprus Securities and Exchange Commission (CySEC) published Circular C628 informing all entities under its supervision of the following