Distribution snapshots

Transcription

1 GLOBAL FUND DISTRIBUTION 2018

2 Distribution snapshots Target markets for distribution Total number of new registrations Germany 1,302 Cross-border distribution Luxembourg Domicile share of authorisations for cross-border distribution 62% Target markets for distribution Total number of new registrations Curacao 61 Target markets for distribution Total number of new registrations South Korea 42 Target markets for distribution Total number of new registrations South Africa 26 Number of cross-border funds 12,607 Compound annual growth rate over 10 years 6.8% Number of cross-border registrations 103,531 Compound annual growth rate over 10 years 7.7%

3 Hot spots for distribution IS 17% NO 89% FI 92% FO 1% SE 94% EE 11% DK 77% LV 11% IM 12% LT 8% IE 83% NL 95% PL 18% UK 99% DE 99% BE 87% GG 24% LU 97% CZ 20% JE 24% SK 15% LI 28% FR 99% CH 98% AT 92% SI 6% HR 5% HU 16% RO 5% MC 3% SM 1% IT 97% BG 8% PT 63% ES 99% GR 30% TR 2% GI 11% MT 15% CY 14% EG 1% CA 8% GL 1% BW 1% MU 3% SA 16% US 6% BM 1% MX 6% BS 1% LB 4% CN 1% KR 33% JO 1% KW 1% JP 17% KY 3% PA 2% CW 2% TT 2% IL 1% QA 5% BH 28% AE 23% SA 3% OM 3% MO 26% TW 44% HK 39% CO 2% BN 4% PE 36% BR 1% SG 83% AU 8% CL 58% NZ 2% Total number of cross-border registrations as at 31 December 2017: Over 3,000 Between 1,000 and 2,999 Between 500 and 999 Between 100 and 499 x% Less than 100 Percentage of Top 100 management groups distributing cross-border funds in each market Explanation - The heat map indicates the total number of registrations at the end of 2017 (see table Target Markets ) while the percentage shows the number of Top 100 cross-border management groups distributing in each market.

4 Evolution of UCITS net sales and AuM UCITS funds net sales EUR bn Europe Luxembourg 0 Ireland YTD 2017 Q3 Source: EFAMA and PwC analysis, 31 December 2017 UCITS Assets - Top European domiciles EUR bn AuM Growth [ Q3 2017] 3,500 3,381 +1,500 3,000 2,643 2,947 3,116 2,500 2,000 1,500 1,881 1,210 2,198 2,002 1,760 1,068 1,116 1,111 1,447 1,274 1,146 1,579 1, Luxembourg France Ireland United Kingdom 1, , ,083 1, , YTD 2017 Q3 Source: EFAMA and PwC analysis, 31 December 2017

5 Evolution of cross-border distribution Number of cross-border funds and registrations 120,000 14,000 Number of cross-border registrations 110, ,000 90,000 80,000 70,000 60,000 50,000 40,000 30,000 4,875 8% 5,170 6% 5,907 14% 6,525 10% 7,366 13% 7,441 1% 7,907 6% 8,511 8% 9,436 11% 9,869 5% 10,430 6% 11,222 8% 11,732 4% 12,607 7% 12,000 10,000 8,000 6,000 4,000 Number of cross-border funds 20,000 2,000 10,000 0 Average registrations per true cross-border fund Note: Only true cross-border funds were taken into account - i.e. funds distributed in at least three countries, including their domicile Domicile share of authorisations for cross-border distribution 3% 3% 2% 4% 0 Funds Domicile: Luxembourg Ireland United Kingdom France Jersey Other Number of true cross-border funds 26% 62% Top 5 destinations of leading fund domiciles: Luxembourg Ireland Registrations in: Germany 5,574 Registrations in: United Kingdom 2,764 Switzerland 4,949 Germany 2,643 France 4,690 France 2,336 Austria 4,565 Switzerland 2,003 United Kingdom 3,832 Netherlands 1,879 Number of cross-border funds 12,607 Compound annual growth rate over 10 years 6.8% Number of cross-border registrations 103,531 Compound annual growth rate over 10 years 7.7%

6 Distribution footprint* 7% (20+ markets) 12% (15 to 19 markets) 32% (3 to 4 markets) 22% (10 to 14 markets) * Of true cross-border funds. 27% (5 to 9 markets) Source: Lipper LIM and PwC analysis, 31 December 2017 Country of origin of cross-border Management Groups Origin of top 51 ManCo United States United Kingdom Switzerland France South Africa Germany Netherlands Other Source: Lipper LIM and PwC analysis, 31 December 2017

7 Benchmarking cross-border distribution Asset classes Breakdown of the number of registrations by investment strategy (top 15 strategies) Number of registrations 14, ,000 9,000 6,000 3,000 0 Equity Europe Equity Global Bond Europe Equity US Equity Specific Sector Equity Asia Pacific Bond Global Equity Emerging Markets Bond US Mixed Asset Europe Bond Emerging Markets Alternative Equity Japan Absolute Return Mixed Asset US Change in number of cross-border funds vs number of funds in 2017 (top 15 strategies) 150 Number of funds in , , , Change in number of funds from 2016 to Equity Global Alternative Bond Global Bond US Equity Europe Mixed Asset Europe Equity US Equity Japan Bond Europe Bond Emerging Markets Mixed Asset US Target Maturity Equity Emerging Markets Equity Asia Pacific Absolute Return

8 Target markets for distribution Key fund domiciles and their distribution markets Distribution Markets Fund Domiciles Luxembourg Ireland France Jersey United Kingdom Germany Other Total number of registrations as at Dec 2017 Number of new registrations during 2017 % growth Trend over 5 years EUROPE Andorra % = Austria 4,565 1, , % Belgium 2, , % Bulgaria % Croatia % Cyprus % Czech Republic % Denmark 1, , % Estonia % Faroe Islands % Finland 2,705 1, , % France 4,690 2, , % Top Market Germany 5,574 2, ,804 1, % Gibraltar % Greece , % Greenland % Guernsey % Hungary % Iceland % Ireland 1, , % Isle of Man % Italy 3,624 1, , % Jersey % Latvia % Liechtenstein , % Lithuania % Luxembourg 0 1, , % Malta % Monaco % Netherlands 3,455 1, , % Norway 2,302 1, , % Poland % Portugal 1, , % Romania % Russian Federation % San Marino % Slovakia % Slovenia % Spain 3,702 1, , % Sweden 3,144 1, , % Switzerland 4,949 2, , % United Kingdom 3,832 2, , % Total number of registrations - EUROPE 57,211 25,202 3,332 2,884 1, ,278 93,340 6, % ASIA PACIFIC Australia % Brunei Darussalam % China % Hong Kong , % Japan % Top Market South Korea % Macau % New Zealand % Singapore 2, , % Taiwan % Vietnam % Total number of registrations - ASIA PACIFIC 4,903 1, , % Note 1: Only true cross-border funds were taken into account - i.e. funds distributed in at least three countries, including their domicile Note 2: Top Market refers to the country in each region with the highest absolute number of new registrations in 2017

9 Target markets for distribution Key fund domiciles and their distribution markets Distribution Markets Fund Domiciles Luxembourg Ireland France Jersey United Kingdom Germany Other Total number of registrations as at Dec 2017 Number of new registrations during 2017 % growth Trend over 5 years MIDDLE EAST Bahrain % Israel % Jordan % Kuwait % Lebanon % Oman % Qatar % Saudi Arabia % Turkey % Top Market United Arab Emirates % Total number of registrations - MIDDLE EAST % AMERICAS Brazil % British Virgin Islands % = Canada % Cayman Islands % Chile , % Colombia % Top Market Curacao % Dominican Republic % Mexico % Panama % = Peru % Trinidad & Tobago % United States % Total number of registrations - AMERICAS 1, , % AFRICA Botswana % Mauritius % Top Market South Africa % Swaziland % = Zambia % Total number of registrations - AFRICA % TOTAL 64,255 26,928 3,463 2,950 1, , ,531 6, % Note 1: Only true cross-border funds were taken into account - i.e. funds distributed in at least three countries, including their domicile Note 2: Top Market refers to the country in each region with the highest absolute number of new registrations in 2017

10 Top 51 cross-border management groups - Americas Explanation - Ranking according to the total number of countries of distribution. Ranking Management company Total # of countries of distribution at group level (including domicile) MAIN FUND DOMICILES AND NUMBER OF COUNTRIES OF DISTRIBUTION First domicile and # of countries of distribution Second domicile and # of countries of distribution Third domicile and # of countries of distribution AMERICAS Bahamas Bermuda Brazil Canada Cayman Islands Chile Colombia Curacao Mexico Panama Peru Trinidad and Tobago United States 1 FRANKLIN TEMPLETON 56 LU 54 IE 7 US 4 2 FIDELITY INTERNATIONAL 49 LU 47 UK 11 IE 10 3 BLACKROCK 41 LU 35 IE 31 DE 18 4 HSBC 40 LU 35 IE 18 HK 3 5 BNP PARIBAS 37 LU 35 FR 19 BE 5 6 JPMORGAN CHASE & CO 36 LU 34 IE 12 HK 6 7 ALLIANZ GROUP 35 LU 34 IE 13 DE 7 8 GAM 34 LU 29 IE 28 UK 4 8 SCHRODERS 34 LU 32 UK 4 HK 2 8 UBS 34 LU 33 IE 20 FR 4 11 ABERDEEN STANDARD INVESTMENTS 33 LU 32 UK AMUNDI-PIONEER INVESTMENTS 33 LU 32 FR 15 AT 4 13 COMMONWEALTH BANK OF AUS 32 IE 25 UK INVESCO 32 LU 30 IE 26 KY 2 15 CAPITAL GROUP 30 LU T. ROWE PRICE GROUP 30 LU 29 UK ALLIANCEBERNSTEIN (LUXEMBOURG) S.À.R.L 29 LU PICTET & CIE 29 LU 28 CH DEUTSCHE BANK 28 LU 24 IE 18 DE LEGAL & GENERAL GROUP 28 UK 26 LU LEGG MASON 27 IE MASSACHUSETTS MUT LIFE 27 IE 25 UK PRUDENTIAL 27 UK 21 LU BNY MELLON 26 IE 25 UK CREDIT SUISSE GROUP 26 LU 25 IE 10 LI 2 24 GOLDMAN SACHS 26 LU 24 IE JANUS HENDERSON 26 LU 25 IE 20 UK PIMCO 26 IE PINEBRIDGE 26 IE ROBECO 26 LU 25 NL MORGAN STANLEY 24 LU 22 IE 16 FR 3 31 MFS 24 LU NN INVESTMENT PARTNERS 24 LU AXA IM 23 LU 21 IE 20 FR 7 34 BANK SARASIN 23 LU 19 IE 5 UK 5 COLUMBIA THREADNEEDLE 34 INVESTMENTS 23 UK 20 LU INVESTEC 23 LU 21 GG 3 UK 2 34 KBC 23 LU 22 BE 8 IE 3 34 LLOYDS TSB GROUP 23 IE 14 JE 9 UK 2 34 NOMURA 23 IE OLD MUTUAL 23 IE 22 UK UBP 23 LU 21 FR VONTOBEL 23 LU WELLINGTON MANAGEMENT 23 LU 19 IE 19 US 2 45 LYXOR 22 LU 19 FR 16 IE STATE STREET 22 IE 16 LU 14 FR 8 47 BLUEBAY 21 LU NORDEA 21 LU 20 FI PRINCIPAL GLOBAL INVESTORS 21 IE 19 HK EURIZON CAPITAL 20 LU NEW YORK LIFE INVESTMENT 20 LU 19 FR 10 BE 8 TOTAL Note: Refer to the map for country codes

11 Top 51 cross-border management groups - Europe Explanation - Ranking according to the total number of countries of distribution. Ranking Management company Total # of countries of distribution at group level (including domicile) MAIN FUND DOMICILES AND NUMBER OF COUNTRIES OF DISTRIBUTION First domicile and # of countries of distribution Second domicile and # of countries of distribution Third domicile and # of countries of distribution Andorra Austria Belgium Bulgaria Croatia Cyprus EUROPE Czech Republic Denmark Estonia Finland France Germany Gibraltar Greece Guernsey Hungary Iceland Ireland Isle of Man Italy Jersey Latvia Liechtenstein Lithuania 1 FRANKLIN TEMPLETON 56 LU 54 IE 7 US 4 2 FIDELITY INTERNATIONAL 49 LU 47 UK 11 IE 10 3 BLACKROCK 41 LU 35 IE 31 DE 18 4 HSBC 40 LU 35 IE 18 HK 3 5 BNP PARIBAS 37 LU 35 FR 19 BE 5 6 JPMORGAN CHASE & CO 36 LU 34 IE 12 HK 6 7 ALLIANZ GROUP 35 LU 34 IE 13 DE 7 8 GAM 34 LU 29 IE 28 UK 4 8 SCHRODERS 34 LU 32 UK 4 HK 2 8 UBS 34 LU 33 IE 20 FR 4 11 ABERDEEN STANDARD INVESTMENTS 33 LU 32 UK AMUNDI-PIONEER INVESTMENTS 33 LU 32 FR 15 AT 4 13 COMMONWEALTH BANK OF AUS 32 IE 25 UK INVESCO 32 LU 30 IE 26 KY 2 15 CAPITAL GROUP 30 LU T. ROWE PRICE GROUP 30 LU 29 UK ALLIANCEBERNSTEIN (LUXEMBOURG) S.À.R.L 29 LU PICTET & CIE 29 LU 28 CH DEUTSCHE BANK 28 LU 24 IE 18 DE LEGAL & GENERAL GROUP 28 UK 26 LU LEGG MASON 27 IE MASSACHUSETTS MUT LIFE 27 IE 25 UK PRUDENTIAL 27 UK 21 LU BNY MELLON 26 IE 25 UK CREDIT SUISSE GROUP 26 LU 25 IE 10 LI 2 24 GOLDMAN SACHS 26 LU 24 IE JANUS HENDERSON 26 LU 25 IE 20 UK PIMCO 26 IE PINEBRIDGE 26 IE ROBECO 26 LU 25 NL MORGAN STANLEY 24 LU 22 IE 16 FR 3 31 MFS 24 LU NN INVESTMENT PARTNERS 24 LU AXA IM 23 LU 21 IE 20 FR 7 34 BANK SARASIN 23 LU 19 IE 5 UK 5 34 COLUMBIA THREADNEEDLE INVESTMENTS 23 UK 20 LU INVESTEC 23 LU 21 GG 3 UK 2 34 KBC 23 LU 22 BE 8 IE 3 34 LLOYDS TSB GROUP 23 IE 14 JE 9 UK 2 34 NOMURA 23 IE OLD MUTUAL 23 IE 22 UK UBP 23 LU 21 FR VONTOBEL 23 LU WELLINGTON MANAGEMENT 23 LU 19 IE 19 US 2 45 LYXOR 22 LU 19 FR 16 IE STATE STREET 22 IE 16 LU 14 FR 8 47 BLUEBAY 21 LU NORDEA 21 LU 20 FI PRINCIPAL GLOBAL INVESTORS 21 IE 19 HK EURIZON CAPITAL 20 LU NEW YORK LIFE INVESTMENT 20 LU 19 FR 10 BE 8 TOTAL Note: Refer to the map for country codes

12 Top 51 cross-border management groups - Europe Explanation - Ranking according to the total number of countries of distribution. Ranking Management company Total # of countries of distribution at group level (including domicile) MAIN FUND DOMICILES AND NUMBER OF COUNTRIES OF DISTRIBUTION First domicile and # of countries of distribution Second domicile and # of countries of distribution Third domicile and # of countries of distribution EUROPE - continued Luxembourg Malta Monaco Netherlands Norway Poland Portugal Romania San Marino Slovakia Slovenia Spain Sweden Switzerland United Kingdom 1 FRANKLIN TEMPLETON 56 LU 54 IE 7 US 4 2 FIDELITY INTERNATIONAL 49 LU 47 UK 11 IE 10 3 BLACKROCK 41 LU 35 IE 31 DE 18 4 HSBC 40 LU 35 IE 18 HK 3 5 BNP PARIBAS 37 LU 35 FR 19 BE 5 6 JPMORGAN CHASE & CO 36 LU 34 IE 12 HK 6 7 ALLIANZ GROUP 35 LU 34 IE 13 DE 7 8 GAM 34 LU 29 IE 28 UK 4 8 SCHRODERS 34 LU 32 UK 4 HK 2 8 UBS 34 LU 33 IE 20 FR 4 11 ABERDEEN STANDARD INVESTMENTS 33 LU 32 UK AMUNDI-PIONEER INVESTMENTS 33 LU 32 FR 15 AT 4 13 COMMONWEALTH BANK OF AUS 32 IE 25 UK INVESCO 32 LU 30 IE 26 KY 2 15 CAPITAL GROUP 30 LU T. ROWE PRICE GROUP 30 LU 29 UK ALLIANCEBERNSTEIN (LUXEMBOURG) S.À.R.L 29 LU PICTET & CIE 29 LU 28 CH DEUTSCHE BANK 28 LU 24 IE 18 DE LEGAL & GENERAL GROUP 28 UK 26 LU LEGG MASON 27 IE MASSACHUSETTS MUT LIFE 27 IE 25 UK PRUDENTIAL 27 UK 21 LU BNY MELLON 26 IE 25 UK CREDIT SUISSE GROUP 26 LU 25 IE 10 LI 2 24 GOLDMAN SACHS 26 LU 24 IE JANUS HENDERSON 26 LU 25 IE 20 UK PIMCO 26 IE PINEBRIDGE 26 IE ROBECO 26 LU 25 NL MORGAN STANLEY 24 LU 22 IE 16 FR 3 31 MFS 24 LU NN INVESTMENT PARTNERS 24 LU AXA IM 23 LU 21 IE 20 FR 7 34 BANK SARASIN 23 LU 19 IE 5 UK 5 34 COLUMBIA THREADNEEDLE INVESTMENTS 23 UK 20 LU INVESTEC 23 LU 21 GG 3 UK 2 34 KBC 23 LU 22 BE 8 IE 3 34 LLOYDS TSB GROUP 23 IE 14 JE 9 UK 2 34 NOMURA 23 IE OLD MUTUAL 23 IE 22 UK UBP 23 LU 21 FR VONTOBEL 23 LU WELLINGTON MANAGEMENT 23 LU 19 IE 19 US 2 45 LYXOR 22 LU 19 FR 16 IE STATE STREET 22 IE 16 LU 14 FR 8 47 BLUEBAY 21 LU NORDEA 21 LU 20 FI PRINCIPAL GLOBAL INVESTORS 21 IE 19 HK EURIZON CAPITAL 20 LU NEW YORK LIFE INVESTMENT 20 LU 19 FR 10 BE 8 TOTAL Note: Refer to the map for country codes

13 Top 51 cross-border management groups - Others Explanation - Ranking according to the total number of countries of distribution. Ranking Management company Total # of countries of distribution at group level (including domicile) MAIN FUND DOMICILES AND NUMBER OF COUNTRIES OF DISTRIBUTION First domicile and # of countries of distribution Second domicile and # of countries of distribution Third domicile and # of countries of distribution ASIA PACIFIC MIDDLE EAST AFRICA Australia Brunei Darussalam China Hong Kong Japan South Korea Macau New Zealand Singapore Taiwan Bahrain Israel Jordan Kuwait Lebanon Oman Qatar Saudi Arabia Turkey United Arab Emirates Botswana Egypt Mauritius South Africa 1 FRANKLIN TEMPLETON 56 LU 54 IE 7 US 4 2 FIDELITY INTERNATIONAL 49 LU 47 UK 11 IE 10 3 BLACKROCK 41 LU 35 IE 31 DE 18 4 HSBC 40 LU 35 IE 18 HK 3 5 BNP PARIBAS 37 LU 35 FR 19 BE 5 6 JPMORGAN CHASE & CO 36 LU 34 IE 12 HK 6 7 ALLIANZ GROUP 35 LU 34 IE 13 DE 7 8 GAM 34 LU 29 IE 28 UK 4 8 SCHRODERS 34 LU 32 UK 4 HK 2 8 UBS 34 LU 33 IE 20 FR 4 11 ABERDEEN STANDARD INVESTMENTS 33 LU 32 UK AMUNDI-PIONEER INVESTMENTS 33 LU 32 FR 15 AT 4 13 COMMONWEALTH BANK OF AUS 32 IE 25 UK INVESCO 32 LU 30 IE 26 KY 2 15 CAPITAL GROUP 30 LU T. ROWE PRICE GROUP 30 LU 29 UK ALLIANCEBERNSTEIN (LUXEMBOURG) S.À.R.L 29 LU PICTET & CIE 29 LU 28 CH DEUTSCHE BANK 28 LU 24 IE 18 DE LEGAL & GENERAL GROUP 28 UK 26 LU LEGG MASON 27 IE MASSACHUSETTS MUT LIFE 27 IE 25 UK PRUDENTIAL 27 UK 21 LU BNY MELLON 26 IE 25 UK CREDIT SUISSE GROUP 26 LU 25 IE 10 LI 2 24 GOLDMAN SACHS 26 LU 24 IE JANUS HENDERSON 26 LU 25 IE 20 UK PIMCO 26 IE PINEBRIDGE 26 IE ROBECO 26 LU 25 NL MORGAN STANLEY 24 LU 22 IE 16 FR 3 31 MFS 24 LU NN INVESTMENT PARTNERS 24 LU AXA IM 23 LU 21 IE 20 FR 7 34 BANK SARASIN 23 LU 19 IE 5 UK 5 34 COLUMBIA THREADNEEDLE INVESTMENTS 23 UK 20 LU INVESTEC 23 LU 21 GG 3 UK 2 34 KBC 23 LU 22 BE 8 IE 3 34 LLOYDS TSB GROUP 23 IE 14 JE 9 UK 2 34 NOMURA 23 IE OLD MUTUAL 23 IE 22 UK UBP 23 LU 21 FR VONTOBEL 23 LU WELLINGTON MANAGEMENT 23 LU 19 IE 19 US 2 45 LYXOR 22 LU 19 FR 16 IE STATE STREET 22 IE 16 LU 14 FR 8 47 BLUEBAY 21 LU NORDEA 21 LU 20 FI PRINCIPAL GLOBAL INVESTORS 21 IE 19 HK EURIZON CAPITAL 20 LU NEW YORK LIFE INVESTMENT 20 LU 19 FR 10 BE 8 TOTAL Note: Refer to the map for country codes

14 Origin of Luxembourg fund initiators 25 Origin of Luxembourg Fund Initiators % of net assets under management per country US GB DE CH FR IT BE LU NL DK Others Source: CSSF, Figures as of 31 May 2018 Companies from all over the world use Luxembourg as their gateway to Europe and the rest of the world. The two countries with the largest market share of assets under management in Luxembourg are the USA and United Kingdom.

15 10 REASONS WHY THE FUND INDUSTRY CHOOSES LUXEMBOURG Luxembourg s legal and regulatory framework for investment funds is state-of-the-art, and recognised as such by the global asset management community. It leads the way in investor protection and has a highly experienced and responsive regulator. It is a founding member of the European Union and is situated at the heart of Europe, with more than 500 million European consumers on its doorstep. Luxembourg is the largest European fund domicile and the second largest fund centre in the world after the US, with about EUR 4,270 billion in assets under management. Luxembourg is endowed with an international and multilingual workforce. English is the language of the financial sector, and French, German and other European languages are also spoken. Its laws provide for so-called umbrella funds, which have several compartments under a single legal structure, and each compartment can invest in a different asset class. It has a unique concentration of investment fund experts specialised in all aspects of product development, administration and distribution. It has a stable political and social environment and a AAA economy. It has established a competitive framework for UCITS (Undertakings for Collective Investment in Transferable Securities), funds passported within the EU, as well as for non-ucits or alternative investment funds. Its fund lawyers, audit firms and tax advisors are highly experienced in cross-border registrations of both UCITS and non-ucits funds, facilitating fund distribution around the globe.

16 About ALFI The Association of the Luxembourg Fund Industry (ALFI), the representative body for the Luxembourg investment fund community, was founded in Today it represents more than Luxembourg-domiciled investment funds, asset management companies and a wide variety of service providers including depositary banks, fund administrators, transfer agents, distributors, law firms, consultants, tax advisers, auditors and accountants, specialist IT providers and communications agencies. Luxembourg is the largest fund domicile in Europe and its investment fund industry is a worldwide leader in cross-border fund distribution. Luxembourg-domiciled investment structures are distributed in more than 70 countries around the globe, with a particular focus on Europe, Asia, Latin America and the Middle East. ALFI defines its mission as to Lead industry efforts to make Luxembourg the most attractive international investment fund centre. Its main objectives are to: Help members capitalise on industry trends ALFI s many technical committees and working groups constantly review and analyse developments worldwide, as well as legal and regulatory changes in Luxembourg, the EU and beyond, to identify threats and opportunities for the Luxembourg fund industry. Foster dedication to professional standards, integrity and quality Investor trust is essential for success in collective investment services and ALFI thus does all it can to promote high professional standards, quality products and services, and integrity. Action in this area includes organising training at all levels, defining codes of conduct, transparency and good corporate governance, and supporting initiatives to combat money laundering. Promote the Luxembourg investment fund industry ALFI actively promotes the Luxembourg investment fund industry, its products and its services. It represents the sector in financial and in economic missions organised by the Luxembourg government around the world and takes an active part in meetings of the global fund industry. ALFI is an active member of the European Fund and Asset Management Association, of the European Federation for Retirement and of the International Investment Funds Association. To keep up to date with all the news from the association and the fund industry in Luxembourg, join us on LinkedIn (The Luxembourg Fund Industry Group by ALFI), Twitter (@ALFIfunds), Youtube, Vimeo or visit our website at Shape regulation An up-to-date, innovative legal and fiscal environment is critical to defend and improve Luxembourg s competitive position as a centre for the domiciliation, administration and distribution of investment funds. Strong relationships with regulatory authorities, the government and the legislative body enable ALFI to make an effective contribution to decision-making through relevant input for changes to the regulatory framework, implementation of European directives and regulation of new products or services.

17 July ALFI. All rights reserved. ALFI thanks PwC Luxembourg, which produced the content of this document in association with Lipper and Thomson Reuters, for its authorisation to reprint. PwC Luxembourg is a member of ALFI. For further information, please contact us or visit our website alfi association of the luxembourg fund industry Tel: Fax: , rue Erasme L Luxembourg info@alfi.lu