On the 25th of January 2019, the CSSF issued Press Release 19/05 addressing the delegation of investment management and/or risk management activities to undertakings in the UK and the operating and marketing in the UK by firms and investment funds established in Luxembourg.
The CSSF reminds that the current legal provisions permit the delegation of investment management and/or risk management services to "third countries", a title that UK would gain in case of a "no deal" Brexit. The CSSF expects that the necessary cooperation agreement between the UK FCA and the CSSF will be in place by 29 March 2019 to ensure the continuity of such activities, provided that the UK delegate continues to fulfil all applicable requirements.
Concerning Luxembourg firms and investment funds that are passporting in the UK, a temporary permissions regime (TPR) has been operating since 7 January 2019 and a TPR application before 28 March 2019 is required for the above mentioned firms and funds to temporarily continue their activities after 29 March 2019, while seeking full FCA authorization. In addition, firms and funds are required to inform the CSSF by email, of the funds and sub-funds as well as the services notified in the TPR application.
The full text of the Press Release 19/05 is available on the website of CSSF via the following link.
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