Raifs

Luxembourg’s Raif market shows resilience in 2024, but Investment Officer’s data analysis shows slowing sub-fund launches, revealing growing caution in alternative fund markets.

Luxembourg-based investment advisory firm Alumia has announced a partnership with CIFC Asset Management, an alternative credit specialist headquartered in Miami.

Luxembourg fund vehicles are increasingly being used to finance international independent film production.

The latest CSSF data reveals a decline in new registrations of Luxembourg alternative investment funds since the first quarter of this year. However, reserved alternative investment funds continue to demonstrate resilience, driven by recent legislative updates and steady demand.

Registrations of new Reserved Alternative Investment Funds (Raifs) in Luxembourg slowed in April, continuing a decline from last December’s peak, reflecting higher interest rates and a market shift towards sub-funds under existing structures.

A data analysis by Investment Officer makes clear that alternative investment fund managers in Luxembourg increasingly prioritise launching new sub-funds or compartments under established Reserved Alternative Investment Funds, known as Raifs, instead of launching new primary structures.

Registration levels of new Reserved Alternative Investment Funds have continued their recovery from the slowdowns in activity seen earlier this year. In October, a total of 35 new Raifs were created, according to Investment Officer’s analysis of the latest Raif registration date made available in mid-November by the Luxembourg Business Registers. 

A total of 30 new Reserved Alternative Investment Funds, or Raifs, were added to the Luxembourg Business Register during March 2023, down from 40 in the same month a year earlier. During the first quarter, 15 percent fewer Raifs were registered than in the same period last year.

Some 21 new Reserved Alternative Investment Funds, or Raifs, were registered at the Luxembourg Business Register during January, according to information made public at the end of the month.

The following funds have been registered:

In the Luxembourg market for Reserved Alternative Investment Funds, Dublin-headquartered investment services firm Waystone has emerged as the biggest issuer by a landslide, analysis of 2022 data by Investment Officer Luxembourg shows. The list of most active Raif issuers also includes Carne Global - the number one issuer in previous years, One Funds and Hauck Aufhäuser Lampe.

The analysis showed that Luxembourg was home to a total of about 2125 Raifs at the end of last year after adding some 472 new funds during 2022.