A specialized investment fund (SIF) in Luxembourg
is a type of investment vehicle
addressed to institutional and qualified investors
who are able to carry out flexible investment policies
. Foreign businessmen who want to open a company in Luxembourg
should know that the SIF
is regulated by a legislation which allows a less strict regime compared to other types of investment vehicles
. Our team of company formation representatives in Luxembourg
can offer advice on the registration aspects, as well as on the taxation system applicable to the SIF structure
, which benefits from numerous tax exemptions.
Legal framework for SIFs in Luxembourg
The latest legal framework available for SIFs in Luxembourg dates back to July 2013, when the former legislation, Luxembourg Law of 13 February 2007, was amended to comply with the international directives in this sense.
The applicable legislation for SIFs incorporates in its new structure the regulations on alternative investment fund managers (AIFM), which is further on categorized on two main types of SIFs:
• general regulations for SIFs;
• regulations applicable to SIFs which qualify under the AIFM directive.
Legal entities for SIFs in Luxembourg
A SIF can be registered as a common fund (FCP), which can be further on registered as:
• investment company with variable capital (SICAV)
• investment company with fixed capital (SICAF).
A SICAV or SICAF structure can be registered as one of the following legal entities:
• public limited company;
• private limited company;
• partnership limited by shares;
• limited partnership;
• cooperative company set up as a public limited company.
The above mentioned legal entities can be set up as single funds
or as funds with multiple compartments
and our team of company registration agents in Luxembourg
can provide in-depth details on each structure, as well as on the advantages of setting up umbrella funds
Those who are interested in the procedure of company formation in Luxembourg related to SIFs should know that the company’s net assets should have a minimum value of EUR 1,250,000.