On Oct. 21, LUX CSSF issued a circular on ESG terms in fund naming.
LUX CSSF informed market participants of the publication of circular 24/863, thereby implementing the ESMA guidelines into the Luxembourg regulatory framework.
Also issued communiqué to investment fund industry with naming confirmation letter.
LUX CSSF, in its capacity as competent authority, applies the Guidelines of ESMA on funds’ names using ESG or sustainability-related terms, published on Aug. 21, 2024.
Consequently, LUX CSSF will integrate guidelines into admin practices and regulatory approach with a view to promoting supervisory convergence in this field at EU level.
Applies to UCITS management companies (plus UCITS which have not designated a UCITS management company), alternative investment fund managers incl internally managed AIFs, EuVECA, EuSEF and ELTIF and money market fund managers.
Effectiveness
Guidelines apply to new funds 3 months after the publication date of the guidelines in all EU official languages, i.e. Nov. 21, 2024, with a further 6-month transition period for existing funds, so the guidelines will apply from May 21, 2025 to existing funds.
Regulators
LUX CSSF
Entity Types
HF; IA; Inv Co
Reference
Cir 24/863, Gd, Comm, Lt, 10/21/2024; Rp ESMA34-1592494965-657, 8/21/2024; AIFMD Dir 2011/61; UCITS Dir 2009/65; Reg 2019/1156; ESG
Functions
Compliance; Environment; Legal; Product Design; Social
