Wednesday, 31 August 2016
Last updated 19 hours ago
Jul 11 2013 | 11:29am ET
Luxembourg, one of the world's foremost hedge fund domiciles, has come into compliance with tough new European Union regulations.
The Grand Duchy's Parliament has formally adopted the Alternative Investment Fund Managers Directive, ahead of a July 22 deadline. The new rules govern compensation, depositaries, delegation and leverage, among other areas.
“AIFMD pushed the alternative fund management industry towards a model which is based on the compromise of more regulation in exchange for a passport,” Marc Saluzzi, chairman of the Association of the Luxembourg Fund Industry, said. “This is the same as the UCITS model which we know so well in Luxembourg, and, combined with the fact that we already have a well-established ‘alternatives’ industry, the law puts the Luxembourg financial centre in a strong competitive position to develop our hedge, real estate and private equity activities even further.”