On 9 June 2016, the CSSF has updated its AIFM Law FAQ by inserting guidance in respect of Luxembourg-based authorised AIFMs managing AIFs which are active in loan origination, loan participation and loan acquisition activities in or from Luxembourg.
TO WHOM DOES THIS APPLY?
The scope of application is not perfectly clear and could give rise to certain discussions in certain cases.
RELEVANT
These new rules should in our view be relevant in the following cases:
- A Luxembourg based AIFM managing a Luxembourg or foreign AIF
- Foreign authorised or registered AIFMs managing a regulated Luxembourg AIF
- Registered Luxembourg AIFMs managing a regulated Luxembourg AIF
In these cases, the CSSF is the competent authority in respect of the 1) approval of the AIFM or the AIF or 2) ongoing supervisory duties.
NOT RELEVANT
These new rules should in principle not apply to:
- Luxembourg securitisation vehicles or other Luxembourg vehicles that do not qualify as AIFs or for which the AIFMD or the Luxembourg law on AIFMs provide exemptions from application.
- Luxembourg unregulated AIFs managed by foreign authorised or registered AIFMs
- Luxembourg unregulated AIFs managed by registered Luxembourg AIFMs
In these cases, the CSSF should in our view not be the competent authority to authorise or monitor the lending activity.
THIS PUBLICATION IS PROVIDED FOR INFORMATION PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL ADVICE.