The Luxembourg government has approved the draft bill implementing Ucits IV into national law.

The final adoption of the draft bill by parliament is expected to take place before the end of this year.

Claude Kremer, chairman of the Association of the Luxembourg Fund industry, says: “The Luxembourg authorities have taken a very proactive approach to the introduction of Ucits IV, including introducing new tax measures to remove uncertainties on the fiscal treatment of new Ucits IV freedoms such as master-feeder structures and the management company passport. The speed of the process and the introduction of these new measures clearly demonstrate once again Luxembourg’s vigorous support of the European fund industry.

”The Association of the Luxembourg Fund industry welcomes this move, and believes that Ucits IV provides a unique opportunity for funds to work in a more resource and cost-effective environment, making Europe an attractive domicile for funds globally.”

Alfi is the representative body of the Luxembourg investment fund community. The association represents over 1,000 Luxembourg domiciled investment funds, asset management companies and a wide range of service providers such as custodian banks, fund administrators, transfer agents, distributors, legal firms, consultants, tax experts, auditors and accountants, specialist IT providers and communication companies.