Business news
March 13, 2019 Luxembourg remains 2nd world financial center
LUXEMBOURG - Brexit is destabilizing players and markets for investment funds, but the Luxembourg market is trying to profit from it.
The Luxembourg investment fund industry has maintained its assets under management slightly above 4,000 billion euros in 2018. The 2.28% decline over one year is due to a "difficult and volatile context" and "A volatile market environment," said Denise Voss, president of the Luxembourg Association of Investment Funds (Alfi), on Wednesday at a press conference.
Brexit has contributed to this instability, even if the first effects are positive for the Luxembourg market. 41% of the new investment funds created in the Grand Duchy last year were taken by British players and assets from the United Kingdom increased from 17% to 18% of the Luxembourg market over one year. Twenty-three companies from Great Britain, active in asset management, have also demonstrated their relocation or the development of their activities in Luxembourg. "It has to be sustainable and we need to see how to continue to work with these managers and offer them solutions," said Denise Voss. The position of the Financial Sector Supervisory Commission (CSSF) in Luxembourg, which indicated that cooperation between the two markets would be maintained, was welcomed.