Until the coming into force of the law of 21 December 2012 transposing Directive 2010/78/EU (the "New Law"), Luxembourg investment advisors of undertakings for collective investments established in Luxembourg ("Investment Advisors") were expressively exempted from the scope of the law of 5 April 1993 on the financial sector (the "Financial Sector Act").
The New Law which entered into force on 1 January 2013, now requires Investment Advisors to apply for a license to carry out their activities under the Financial Sector Act. After having received authorisation they are required to fulfil all requirements and information duties as set out in the Financial Sector Act.
Further, the New Law provides for a limited grandfathering for Investment Advisors to comply with these new requirements until 30 June 2013. To that effect the CSSF has in a press release (13/02) asked all Investment Advisors to submit an application for authorisation before 1 March 2013.
In addition, the New Law has specified the exemption provisions applicable to Luxembourg investment managers of undertakings for collective investments established in Luxembourg. Only management companies that fall within the scope of chapters 15, 16, 17 or 18 of the law of 17 December 2010 on undertakings for collective investments (the "2010 Law") are exempted.
The legislator considers this as a clarification although before the New Law entered into force investment managers which did not fall under the above mentioned scope of the 2010 Law were also exempted.
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