Aggregated News From Investment Management Regulators

Publication of CSSF working paper “The impact of COVID-19 on large redemptions in the Luxembourg investment fund market”


Please complete the required fields.

The CSSF presents in this working paper an analysis on large daily and weekly net redemptions in the Luxembourg investment fund industry. The paper relies on an original dataset compiled since March 2020, at the peak of the COVID-19 crisis, up to December 2020 over the funds managed by the largest investment fund managers in Luxembourg and on fund specific supervisory data from the Luxembourg-specific UCITS Risk Reporting and the EU AIFM Reporting. It investigates whether the large net redemptions are associated with fund characteristics such as leverage, portfolio liquidity, size and past performance. The COVID-19 context allows to contrast the crisis specific features of these redemptions by comparing the March subset to the “back-to-normal” April-to-December subset. It finally documents the use of Liquidity Management Tools (LMTs) by funds facing large redemptions, and correlates it to fund-specific risk drivers and to the size of net redemptions.

This news item was originally published by the Commission de Surveillance du Secteur Financier (CSSF LU). For more information, please see the Source Link.

Regulator Information

Abbreviation: CSSF
Jurisdiction: Luxembourg

Recent Articles

Adjudication Proceeding in the matter of Octant Interactive Technologies Limited in respect of Raushan Jha

This news item was originally published by the Securities and Exchange Board of India (SEBI IN). See the article here: Read more


We believe this firm may be providing financial services or products in the UK without our authorisation. Find out why you should be wary...

Bright Loans UK Ltd (Clone of FCA Authorised Firm)

Fraudsters are using the details of firms we authorise to try to convince people that they work for a genuine, authorised firm. Find out...

Get the latest from Regulatory.News in your inbox!