FAQ concerning the Luxembourg Law of 12 July 2013 on alternative investment fund managers – version 21

CSSF FAQ – LUXEMBOURG LAW OF 12 JULY 2013 ON ALTERNATIVE INVESTMENT FUND MANAGERS in its 21st version addresses various aspects of the Luxembourg Law of 12 July 2013 on AIFMs. The document covers transitional provisions, scope of authorized activities of AIFMs, depositary aspects, reporting requirements, impact of the PRIIPs Regulation, and other regulatory considerations.
The transitional provisions applicable to AIFMs and AIFs are extensively discussed. It outlines the application process for authorization or registration as AIFM before the entry into force of the Law of 2013 (as the initial version of the FAQ was published on 18 June 2013), as well as the requirements for existing AIFMs and AIFs. The document also addresses the provisions applicable to multiple compartments AIFs and the ability of EU and non-EU AIFMs to continue marketing non-Luxembourg AIFs under existing placement rules until 22 July 2014.
Furthermore, the document delves into the scope of authorized activities of AIFMs, including the functions they are allowed to perform and the provision of domiciliary services to SOPARFIs on an ancillary basis. It also discusses the ability of AIFMs to perform investment management functions for non-AIFs.
The depositary aspects are covered, including the compliance timeline for depositaries of AIFs and the conditions for a depositary to discharge itself of liability towards a third-party holding in custody a financial instrument.
The document provides detailed information on reporting requirements applicable to AIFMs, including the reporting timeline, acceptable means of communication, and language requirements for reporting. It also addresses the reporting requirements for non-EU AIFMs and the impact of the PRIIPs Regulation on manufacturers of Luxembourg AIFs.
Additionally, the document discusses transaction costs disclosure for AIFs established under Part II of the Law of 2010 and the initial capital and own funds requirements applicable to AIFMs, including the risks that should be covered by additional own funds or professional indemnity insurance.
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The current Version 21 of the present Circular 29/12/2023 introduces a replacement of the term „Central Administration“ by „UCI administrator“ in line with CSSF Circular 22/811 in question 25, repeals question 23. B, deletes questions 23. C, 23. G, 23. H, 23. O, 23. P and 23. Q, and publishes a new question 23. L. We therefore would like to present question 23 L. here in full, together with its corresponding answer:
23. L. Does a specific yearly timeline apply in connection with the annual update of PRIIPs KID for Luxembourg AIFs?
No. Article 15 of Commission Delegated Regulation (EU) 2017/653 requires PRIIP manufacturers to review the information contained in the PRIIPs KID at least every 12 months following the date of the initial publication of the PRIIPs KID without providing for a specific yearly timeline for such annual update.