This can become a great opportunity for us

Management of assets, the Luxembourg is an annoying competitor for the France. Benefiting from a more flexible regulation, the Grand Duchy has managed to climb at the top of the European landscape. A relative, according to the French, since reallocating foreign funds domiciled locally in the countries of origin of the promoters the part of the Luxembourg reduced be shrinking. Nevertheless, it has transformed its place in true platform for UCITS ("Ucits" in English), mutual funds and Fund meets the European standards on the Continent. Better, it has become the base number one for their export outside Europe. The Luxembourg Association of industry (Alfi) funds intend to increase his lead over its neighbours, because the Luxembourg hopes to be the first country, possibly as early as June, to transpose the Ucits IV directive which offers even more flexibility in the use of the Ucits, this European label funds. Claude Kremer, President of the Alfi, tells us about this fierce competition and the ambitions of the industry of the Grand Duchy.

You can look forward to implement the Ucits IV directive. Why such haste

We prefer to be a leader than a follower. We will likely be the first. Thus, as soon as it will be adopted in the European Commission, we start. I hope in June. The objective is also to maintain our leadership in the distribution of Ucits funds globally. With the new text, we will be able to improve efficiency, reduce costs, including a simplified prospectus reduced to two pages instead of 30, more quickly, sincerely ten days instead of two months, mergers-border funds, creating structures "pooling". This can become a great opportunity for us. The Luxembourg is the ideal country to register and to distribute the funds in Europe and around the world.

By opening an Office in Hong Kong, you play your card or that of the European Ucits brand

There is a convergent interest. We have extensive experience in international distribution. Naturally, we take the lead. Other offices may follow: the Middle East, Latin America. But each thing in its time. With the establishment of Hong Kong, we have much to do. It is so close to China. We have links to forge with local stakeholders and regulators.

What is your position on the AIFM directive

We have a position measured between the English and the continental. Should not that Europe will become an impregnable fortress for the non-European hedge funds. A European passport can accommodate private in each country. As of 2007, we have implemented a class of hedge funds, investment funds specialized. So we already have a structure ready to be declined.

Do you not fear an increase in competition with the wave of reform

We have never underestimated no competition. Our policy is to continuously adapt. Modesty and determination are our watchwords. Nevertheless, in addition to the Ireland, our main challenger in Europe, we are attentive to Asia. But as long as there is no competing Ucits type products in Asia, we are serene. Today, curious phenomenon, we see Asian companies come here making Ucits funds to better penetrate in their own country.

Do you favour a directive on the custodians

Good logic would be to clarify their role and responsibilities in the Ucits directive before devote them a specific provision in AIFM directive. Unfortunately, the proposed calendar goes in the opposite direction.