Laws and Regulations

The EU’s retail investment package will come up for a vote at the Parliament’s Committee on Economic and Monetary Affairs on the evening of Wednesday, 20 March.

Eurozone finance ministers have put forth a five-year blueprint to forge a robust Capital Markets Union (CMU) in what they see as an “ambitious” move to enhance private capital flow into Europe and underpin Europe’s costly shift to a sustainable and digital economy. 

Amidst heightened regulatory scrutiny, Luxembourg’s private investment fund landscape experiences a transformative shift in valuation paradigms, a panel discussion on Wednesday made clear.

Brussels has opted to abandon the proposed establishment of a ‘European passport’ for depositary banks. While initially touted as an innovative concept, the idea was fraught with potential market challenges and risked undermining the work of supervisors. The alternative approach that has emerged now is being hailed as a success by Luxembourg banking association ABBL. 

Luxembourg’s financial regulator CSSF has updated its guidance for the crypto investment landscape, clarifying that only ‘well-informed investors’ within alternative investment funds can tread into the virtual asset territory.

The Securities and Exchange Commission (SEC) is about to scrap the requirement for Scope-3 reporting. In doing so, the US stock market watchdog is driving a wedge between US legislation and the new European rules from the Corporate Sustainability Reporting Directive, or CSRD that will apply from next year.

The new European directive mandating corporate social responsibility for large companies has been blocked by the European Council as yet. Germany, Italy and France last week withdrew their support for the proposal they had agreed to as recently as December.

Luxembourg’s lawmakers are making strides in proposals aimed at alleviating the tax burden on actively managed Exchange Traded Funds (ETFs), aligning their fiscal treatment with that of standard passive ETFs, a senior industry voice made clear on Tuesday.

Luxembourg’s financial sector grapples with a stark wake-up call as concerns mount over its nonchalant stance towards impending cyber regulations outlined in the Dora Act; a prominent politician’s apprehensions highlight critical questions surrounding banks’ preparedness and the looming specter of potential sanctions.

Imagine a groundbreaking European savings and investment product, open to all 450 million individuals across the European Union, supported by a harmonised tax incentive endorsed by every EU member state. Wishful thinking? Probably so, but maybe not.