Luxembourg’s Fuchs & Associés Finance SA is no longer allowed to provide services in Belgium after its Luxembourg licence as a financial services professional was revoked by CSSF, Belgium’s financial markets supervisor FSMA said.
“Due to the revocation of the Luxembourg licence, Fuchs is no longer allowed to provide services in Belgium, not even through its Belgian branch, which was solely registered based on its Luxembourg licence,” an FSMA spokesman told Investment Officer.
The Luxembourg District Court on Tuesday ordered the dissolution and liquidation of 23-year old investment firm Fuchs & Associés Finance SA and appointed a liquidator and an official receiver.
Luxembourg’s financial supervisor CSSF, noting “serious breaches of essential legal and regulatory requirements,” said it has revoked the firm’s authorisation to operate as an investment services provider and has activated the Grand Duchy’s investor compensation scheme.
Fuchs AM looking for a buyer
The liquidation of Fuchs & Associés also will address its majority share in Fuchs Asset Management SA, a Luxembourg-asset manager and management company that was created by Fuchs & Associés in 2014. Fuchs Asset Management is licenced as a ‘Super ManCo‘ in Luxembourg - offering both Ucits and AIFMD services. It manages investment funds for about 70 international professional investors. Its portfolio includes among others 48 Reserved Alternative Investment Funds, or Raifs.
Fuchs Asset Management has said the liquidation of its majority-owner presents an opportunity to find a “buyout partner”. The judge has set a deadline for January 2024 for all claims against Fuchs & Associés.
Fuchs Asset Management last reported turnover of 15.96 million euro for 2021, compared to 10.19 million in 2020. It had 32 staff members at the end of 2021. The firm is led by Timothy Fuchs as CEO, the son of Jean Fuchs who founded FAF in 2000.