PLACE FINANCIÈRE & MARCHÉS
FONDS

Editorial

Three decades of ALFI



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Denise Voss: “ALFI has accompanied – and has driven – the evolution of the Luxembourg fund industry for over a generation now.” (Illustration: Maison Moderne)

The Association of the Luxembourg Fund Industry has been the face of the investment fund sector in the Grand Duchy for 30 years. It has been representing and promoting the sector since 1988, both at home and around the world, for the ultimate benefit of investors.

Present in Luxembourg and abroad 

Each year, ALFI hosts dozens of conferences and specialist events. Most prominently among them feature three flagship events held in Luxembourg – the conferences on Global Distribution, European Asset Management and PERE are agenda items the fund community never misses.

Outside Luxembourg, the association has representative offices in Brussels and in Hong Kong. It also regularly organises roadshows, travelling from continent to continent with a busy seminar agenda that attracts fund experts across the globe.

UCITS, Alternatives and Responsible Investing

ALFI has accompanied – and has driven – the evolution of the Luxembourg fund industry for over a generation now. It has seen UCITS rise to become the successful world brand that it is today, and Luxembourg become the largest cross-border fund hub; the domicile of choice for two out of three UCITS distributed internationally.

The entry into force of the Alternative Investment Fund Managers Directive (AIFMD) in 2013 has led to further increasing assets in Luxembourg-domiciled alternative investment funds. As such, the fund association is witnessing continued growth in the number of assets of private equity and real estate funds.

Responsible investment funds have established themselves firmly as a pillar of the industry, with assets under management of RI funds in Europe nearly doubling since 2010. ALFI helped to position Luxembourg early as a specialist domicile in this field, currently managing 45% of European RI fund assets.

Snapshot of the industry

Many of today’s fund industry trends are brought about by regulatory and technological developments. 

Compliance with the framework of rules governing the industry is a moving target that keeps everyone on their toes. Encouraging signs are initiatives aimed at further market harmonisation and lower distribution barriers, which ALFI welcomes.

FinTech is evolving fast. The many uses of blockchain and other innovative technologies in the fields of digital distribution and investment fund operations are changing the way investment funds work. Artificial intelligence is advancing quickly and robo-advice has long ceased to be science fiction. 

ALFI in the future

The new generations of investors require new approaches in asset management. ALFI is looking at the best ways to ensure financial literacy and investor education, making these critical topics the main theme of its jubilee celebrations. 

Our ambition of helping our members adapt to change and thereby ensure Luxembourg investment funds can fulfil their potential of serving investors and the economy remains at the core of ALFI’s mission today and in the future.