Is talent recruitment difficult in the fund industry? What problems do you face? Did Brexit has influenced these challenges?

Kai Nemec. —“Yes, talent recruitment is difficult, but the ‘war for talents’ has yet not reached our company, but we see an increasing tension. We see especially two drivers. First the general age pyramid. The baby boomer are leaving in the well-merited retirement and, on the other hand, fewer young people are joining the labor market. The second reason is a more specific fund industry point. It is the increasing requirements to the job profile as such, due to increasing complexity and regulations. Combining the two points with the special Luxembourgish microcosmos and the increasing demand of labor force, for example due to Brexit,  we see a competitive employee market. For us as a German-based asset manager, the situation is even more tense, as we usually access the German-speaking community.

What is a secret of a successful risk management?

“There is no secret. Successful risk management is based on good risk managers. Of course the toolbox and the equipment – like appropriate software and data – is important, but the difference is made by the people using the toolbox. In all the crisis I have experienced in the fund industry, it was crucial  that the risk manager did fully understand the situation, capture its complexity and interdependencies to provide clear and objective advise to decision makers and ensure transparency on all levels.

How Eltif 2.0 will impact Luxembourg?

“We think that ELTIF 2.0 will have a positive impact on the Luxembourg fund market, and has the potential to become the 3^rd brand mark after UCITS and AIFMD. The new ELTIF regulation now offers the necessary flexibility in terms of portfolio construction and distribution, especially for retail clients. The profound know-how and already existing infrastructure of the Luxembourg market in providing solutions for alternative investments combined with the nearly 40 years of experience of retail distribution on the UCITS side are ideal requirements.”