1. Anouk Agnes Deputy Director General ALFI

2. Luxembourg fund industry
… at a glance :
NB: 2123 bn euros of assets under management / ou in assets under management
Contreverse sur la question de la préposition . CM préfère « in »

3. Worldwide investment funds
Market share (%) by assets
Global net assets

4. European fund industry
Worldwide : Number 2 behind the United States
 Long tradition ?

5. Luxembourg funds: the vehicle of choice for cross-border distribution
Luxembourg market share of foreign cross-border funds registered for sale

6. + 20% AuM + 23,5% AuM Alternative investments
Building upon the UCITS experience and know-how
Bespoke structures possible in Luxembourg
Tried and tested regimes: SICAR, SIF, RAIF, LP
Luxembourg,
prime location for multi-geographical and multi-sectoral regulated REIFs
+ 20% AuM
+ 23,5% AuM
PE funds
Loan funds
RE funds
* Source:
Luxembourg Private Equity and Venture Capital Investment Fund Survey, conducted by Deloitte on behalf of ALFI. 2018
Loan Fund Survey carried out by Alfi in conjunction with KPMG, 2018
ALFI Luxembourg Real Estate Investment Funds survey, 2018

7. Responsible Investments

8. Responsible Investing
Fund categories
Responsible Investing
ESG methodologies
(cross-sectoral)
Positive screening:
Best-in-class
Norms-based
Negative screening:
Exclusion
ESG integration
Impact investing
Esg (environment)
Climate change and Renewable energy funds
Environmental and Ecological funds
Carbon Funds
Sustainable forestry funds
Sustainable water funds
eSg (social)
Microfinance funds
Social entrepreneurship
Social infrastructure
Venture philanhropy
esG (governance)
Engagement
Copyright : ALFI

9. European RI funds evolution
The European responsible investing fund market continued to grow, almost doubling since 2010 to EUR 476 billion of Assets under Management at the end of 2016.
AuM in EUR bn
Nb of funds
2016
EUR 476 Bn
+26.6%
2014
EUR 376 Bn
Source: European responsible investing fund market 2016 – ALFI & KPMG Survey

10. European RI funds evolution – by category
RI in AuM
Total = EUR 476 billion %
Source: European responsible investing fund market 2016 – ALFI & KPMG Survey

11. European RI funds evolution – by domicile
RI in % of AuM
Total = EUR 476 billion %
Source: European responsible investing fund market 2016 – ALFI & KPMG Survey

12. % ESG Cross-sectoral RI in % of AuM Total = EUR 423.3 billion
Source: European responsible investing fund market 2016 – ALFI & KPMG Survey

13. % Esg Environment RI in % of AuM Total = EUR 32.7 billion
Source: European responsible investing fund market 2016 – ALFI & KPMG Survey

14. eSg Social
RI in % of AuM
Total = EUR 13.7 billion %

15. EU Action Plan

16. Implementing the Action plan
May 2018:
proposal for a regulation on the establishment of a framework to facilitate sustainable investment('taxonomy')
proposal for a regulation on disclosures relating to sustainable investments and sustainability risks and amending Directive (EU)2016/2341 (‘disclosures’)
proposal for a regulation amending the benchmark regulation (‘EU Climate Transition Benchmark and a EU Paris-aligned Benchmark,’)
draft delegated regulation as regards the integration of ESG considerations and preferences into the investment advice and portfolio management

17. Disclosures
Financial market participants shall publish information on their policies on the integration of sustainability risks in their investment decision-making process on their websites
Financial market participants shall include in their remuneration policies information on how their remuneration policies are consistent with the integration of sustainability risks, and publish that information on their websites
Where a financial product presents the promotion of environmental or social characteristics, or a combination thereof, provided the companies in which the investments are made follow good governance practices, the information to be disclosed shall include the following:
information on how those characteristics are met;
if an index has been designated as a reference benchmark, information on whether and how this index is consistent with those characteristics

18. Implementing the Action plan
December 2018:
ESMA consultation on integrating sustainability risks and factors in the UCITS Directive and AIFMD and MIFID II
(Advice published in May 2019)
March 2019:
EU Ecolabel: Development of EU Ecolabel criteria for Retail Financial Products Draft criteria proposal for the products scope and ecological criteria
EC draft delegated regulation as regards the integration of ESG considerations and preferences into the investment advice and portfolio management

19. THANK YOU!