UCI Table

Applicable legislationLaw of 17 December 2010 - Part II(“UCI Law”)
Authorisation and supervision by the CSSFYes
Qualification as an AIFAlways an AIF.
Exemption from AIFMD full regime under lighter regime (AIFMD registration regime)Possible.
Eligible investorsUnrestricted.
Eligible assetsUnrestricted.
The investment objective and strategy of the fund is subject to the prior approval of the CSSF.
Risk diversification requirementsRisk diversification requirements are defined by IML Circular 91/75 (as amended by CSSF Circular n° 05/177). Such requirements are less stringent than the ones applicable to UCITS. In particular, a UCI is not allowed to invest more than 20% of its net assets in securities issued by any one issuer. Specific restrictions concerning funds adopting an alternative investment strategy are contained in CSSF Circular n° 02/80.
Legal Form- FCP
- SICAF (SA, Sàrl, SCA, SCS, SCSp)

The entities may be open-ended or closed-ended.
Umbrella structureYes.
Capital requirements- FCP:
EUR 1,250,000 to be reached within 6 months from the approval by the Luxembourg regulator.
- Self managed SICAV / SICAF:
EUR 300,000 at the date of authorisation and EUR 1,250,000 within 6 months following its authorisation.
Required Luxembourg service providers- Management Company in case
of an FCP
- Depositary institution
- Administrative agent
- Registrar and Transfer agent
- Approved statutory auditor.
Possibility of listingYes
European passportNo, unless it falls under the scope of the full AIFMD regime
Net asset value (NAV) calculation and redemption policyThe UCIs must make public the issue, sale and repurchase price of their units each time they issue, sell and repurchase their units, and at least once a month.
Overall income tax (corporate income tax and municipal business tax)No income tax.
Subscription tax- Rate: 0.05% of the NAV annually.
- Reduction: 0.01% of the NAV annually in certain specific cases.
- Tax exemptions: special institutional money market cash funds, special pension funds (including pension pooling vehicles) and funds investing in other funds which are already subject to subscription tax.
Wealth taxNo wealth tax.
Withholding tax on dividends / interests and capital gainsNot subject to withholding tax.
Benefit from double tax treaty network- SICAV/SICAF: Limited to certain double tax treaties (see circular L.G. -A n°61 of the tax administration of 8 December 2017).
- FCP: see circular L.G.-A n°61 of the tax administration of 8 December 2017.
Benefit from the EU Parent Subsidiary DirectiveNo.
Thin capitalization rules (debt-to-equity ratio)Borrowing of up to 25% of net
assets without any restrictions are
Practical useInvestment funds which could be used for investment strategies that do not meet the criteria set by the UCITS directives.