private markets

A new tax regime, set to take effect in 2026, has been designed to update how carried interest is treated for managers involved in alternative investment funds and private markets. The proposed law reflects Luxembourg’s ambitions as a global private market player.

First-half numbers posted last week by Partners Group, followed by a sober warning from Morningstar on Monday, suggest that momentum in semi-liquid evergreens may stall if returns continue to disappoint.

Luxembourg is gradually carving out a role in global private markets, not with fanfare, but through quiet, deliberate action. Emerging investor relations roles, a growing presence of single family offices, and a measured push to localise fundraising are reshaping its identity beyond its traditional middle-office roots.

ING plans to begin offering one or more Eltif funds for private banking clients in the Netherlands and Belgium before the end of 2025.

Allianz Global Investors has announced the creation of a dedicated private markets division, appointing Edouard Jozan as head of private markets.

Institutional investors remain wary of semi-liquid private funds, a sentiment that was on full display at this year’s Luxembourg Meeting for Private Markets Investments, a German-language private markets conference known as Lumpi.

Martin Groos unpacks the journey of the European Long-Term Investment Fund (Eltif) since its promising launch in 2015, and explores whether recent reforms under “Eltif 2.0” will finally deliver success.

As the shift towards passive investing continues to reshape the asset management industry, active managers are exploring new strategies and product formats to maintain their edge. In an interview, Joseph Pinto, CEO of M&G Investments, outlined how the UK-based firm is adapting to the changing landscape.

Ireland’s decision not to introduce its own version of Luxembourg’s highly successful Reserved Alternative Investment Fund (Raif) signals a cautious approach in the global race for private market leadership and reflects concerns over potential problems with liquidity and valuations in this market.