Asset Managers & Fund Promoters
Asset managers the world over appreciate the Luxembourg financial centre for its competence in the design, domiciliation, administration and cross-border distribution of investment funds.
Virtually all the big international financial groups that specialise in asset management have set up funds in Luxembourg, either for their own account or – in the form of "white label" products - for a third party. These investment funds are generally made to measure so as to meet the specific needs of the issuer.
Investment fund promoters typically seek partners that can handle the launch, management, administration and distribution of their funds.
The promoter of a Luxembourg investment fund, where required, must be a regulated entity and have sufficient financial resources. In most cases it must be authorised by the financial centre supervisory authority.
Institutional investment management
An increasing number of companies perform portfolio management for in-house and third party investment funds, or manage segregated portfolios on behalf of institutional clients, such as pension funds. For such accounts, analysis and stock picking takes place in Luxembourg.
Other companies are active in the area of asset allocation through funds of funds, on behalf of institutional and retail clients. This includes a large fund of hedge funds sector.