To add to this array of high-end investments, a new vehicle was approved on 14 July 2016, named the reserved alternative investment fund (FIAR). FIARs have similar features to FISs, but FIARs are different in that they are not subject to the approval and oversight of the Luxembourg Financial Sector Supervisory Commission (CSSF). There is therefore far less time between the launch and marketing of such funds. Where, previously, a certain amount of time was required to obtain approval, it now just takes a few days from when the fund is legally constituted. Another consequence is that it now costs far less to create a fund, not least in legal fees. Lastly, needless to say, FIARs are only available to certain investor classes.
Clearly, the trend is for fund industry to become increasingly complex in Luxembourg, but that is the price that must be paid for the country to remain competitive as a financial centre against its major international rivals