30/07/2010 Author: Ben Haidari

Luxembourg government drafts Ucits IV bill

The Luxembourgian government has approved the draft bill which will eventually implement Ucits IV into national law.

With the licensing of hedge fund-style Ucits funds becoming an increasingly important business for a number of European jurisdictions, the adoption of the latest version of the pan-European funds wrapper has become a race, with Luxembourg, Malta and Ireland all in competition.

Luxembourg’s final version of the draft bill is expected to achieve parliamentary approval by the end of the year, a move that has won industry approval.

Claude Kremer, chairman of Alfi said, “the Luxembourg authorities have taken a very proactive approach to the introduction of Ucits IV, including introducing new tax measures to remove uncertainties on the fiscal treatment of new Ucits IV freedoms such as master-feeder structures and the management company passport.”