LU – New Luxembourg circular on portfolio management companies
On 23 August 2018, the Financial Sector Oversight Commission (CSSF) published its Circular 18/698 applicable with immediate effect on the accreditation and organisation process for fund management firms incorporated in Luxembourg.
It replaces Circular 12/546 that was hitherto applicable to UCITS managers and extends its scope to AIF managers. It further clarifies certain accreditation requirements, especially the shareholder structure, capital requirements, management organs, central administration and governance arrangements, as well as rules governing delegation of power specifically in the areas of portfolio management, fund management and marketing. It equally contains special anti-money laundering and terrorist financing provisions applicable to investment fund managers and entities performing the function of registrar.