Luxembourg

Loi du 17 décembre 2010 concernant les organismes de placement collectif forms the basis of legislation governing the Luxembourg investment funds industry. Enacted to incorporate into domestic law the EU’s UCITS IV Directive (Directive 2009/65/CE), this statute creates a dual system structure under close supervision of the Commission de Surveillance du Secteur Financier (CSSF). Part I of the Act covers highly regulated Undertakings for Collective Investment in Transferable Securities (UCITS) which have a defined set of diversification criteria, investing in liquid eligible assets only, and have cross-border distribution passports in the European Economic Area. On the contrary, part II of the Act allows for more flexible structures with wider range of investments, covering investments in real estate, commodity and alternative investment strategies. This act is available on the official legislative website of the Grand Duchy of Luxembourg – Legilux and the text gets regularly amended in order to comply with European Union directives and contains numerous modernizations following the Law of 3 March 2026 (AIFMD II and UCITS VI) and the prudential amendments of the Law of 5 May 2026