Publication of the CSSF FAQ providing clarifications on the application of MiFID to Luxembourg Investment Fund Managers (IFMs)

Today the CSSF published an FAQ on the application of MiFID to Luxembourg IFMs. This CSSF FAQ aims at clarifying under what circumstances and to what extent MiFID applies to IFMs, their third-party delegates and their investment advisers.

The new FAQ has been included in the following CSSF FAQ:

• FAQ concerning the Luxembourg Law of 17 December 2010 relating to undertakings for collective investment: section 10;
• FAQ concerning the Luxembourg Law of 12 July 2013 on alternative investment fund managers: section 26.

IFMs are expected to comply with the CSSF FAQ as soon as possible and by 31 December 2021 at the latest, considering the best interests of investors.

Consequently, IFMs should as soon as possible analyse their organisation model in order to assess:

• the need for an authorisation to provide services under Article 101 (3) of the Law of 17 December 2010 or under Article 5 (4) of the Law of 12 July 2013.
• appropriate compliance, by any third country entity acting as their delegate or undertaking services on their behalf, with the third country regime as foreseen under Circular CSSF 19/716 as amended by Circular CSSF 20/743 on the provision in Luxembourg of investment services or performance of investment activities and ancillary services in accordance with Article 32-1 of the Law of 5 April 1993 on the financial sector.