Investment Officer Luxembourg

From Tuesday, US trades of stocks, bonds and ETFs will need to be settled within a single day, not two, presenting significant challenges to European funds dealing in US securities.

Luxembourg’s Management Companies, the firms that handle a substantial portion of investments serviced in the Grand Duchy, employed a record 7,700 people at the end of last year, up 11 percent from the previous year. This figure is reported in PwC’s 2024 Barometer for the ManCo sector.

China’s recent massive sell-off of U.S. government bonds has financial headlines buzzing. This unprecedented move comes on the heels of President Biden’s decision to hike import tariffs on various “strategic” goods, including electric cars, by a staggering 200 to 400 percent.

The European Securities and Markets Authority (Esma) unveiled a new initiative this week aimed at making investment opportunities more accessible across the EU. At the heart of this plan is a new “basic and simple” EU investment product label, intended to simplify and streamline choices for retail investors.

In the US, a select group of seven stocks have garnered much attention since last year for their impact on stock market performance. This illustrious group, known as the Magnificent Seven, includes Microsoft, Apple, Alphabet, Amazon, Nvidia, Meta, and Tesla. Collectively, these tech giants accounted for 32.5 percent of the S&P 500 index as of the end of April 2024.

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.

This week’s overview of transfers, appointments, promotions and other people news includes updates from Banque Internationale à Luxembourg, Gen II Fund Services, Robeco, and Dubai-based GSB.

FE fundinfo, a Luxembourg-based financial data company that connects the asset management industry to distribution networks across the UK, Europe, and Asia Pacific, has announced its acquisition of Dericon, a fintech firm based in Frankfurt. Financial details were not disclosed. 

As after the bursting of the internet bubble at the beginning of this century, there is a danger that growth stock valuations will fall significantly, according to David Cohen, co-fund manager of the Robeco BP US Large Cap Equities fund.