New findings from the 30th edition of the Monterey Insight Luxembourg Fund Report, compiled by Monterey Insight, the independent fund research company, reveal the market shares of all service providers in Luxembourg’s funds industry.
Please note that all findings below include Luxembourg regulated and unregulated funds, as well as non-domiciled (serviced) funds, as of December 31, 2023, unless otherwise specified.
The market rebounded in 2023, with the total assets of serviced funds increasing by 14.0% in USD and 10% in EUR.
The total net assets for regulated collective investment funds domiciled in Luxembourg rose by 9.0% in USD and 5.0% in EUR.
While the value of assets for UCITS dropped by 22.2% in 2022, this year they have seen an increase of 9% in USD and 5% in EUR. SIFs and SICAR have also experienced positive growth.
The unregulated market saw spectacular growth again this year, with a 42% increase in USD and 37% in EUR. For unregulated funds, LuxLPs and SOPARFI saw a 46% increase in value, and RAIF enjoyed a 36% increase in value.
Fund Legal Status | US$bn | YoY Change | € bn | YoY Change |
UCITS | 4,927.1 | 9% | 4,460.51 | 5% |
SIF | 843.8 | 7% | 763.89 | 4% |
SICAR | 93.4 | 7% | 84.5 | 3% |
Total Regulated Funds | 5,864.3 | 9% | 5,308.9 | 5% |
LuxLPs and SOPARFI | 993.8 | 46% | 899.7 | 41% |
RAIF | 622.8 | 36% | 563.8 | 31% |
Total Unregulated | 1,616.6 | 42% | 1,463.5 | 37% |
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Non-Domiciled | 840.0 | 9% | 760.4 | 5% |
Total | 8,320.9 | 14% | 7,532.9 | 10% |
In terms of Luxembourg product types, as in the previous year, equity fund products remain the most popular among regulated funds by value, with totals of US$1,993.7bn and €1,804.9bn, surpassing bond funds, which stand at US$1,402.1bn and €1,269.3bn.
When considering Luxembourg-domiciled funds, including unregulated ones, equity funds also lead with US$2,013.0bn (€1,822.4bn) across 4,645 funds and sub-funds. Bonds hold the second position with US$1,430.1bn (€1,294.7bn), and private equity/venture capital ranks third with US$1,293.5bn(€1,171.0bn) across over 5,040 funds and sub-funds, making it the top category by the number of products.
As of December 31, 2023, newly launched funds and sub-funds reached US$104.4bn (€94.5bn) across 667 regulated funds and sub-funds. Including unregulated products, new business amounted to US$141.1bn (€127.7bn) across 1,213 funds and sub-funds.
Regarding EU SFDR data, as of December 31, 2023, there were 852 Luxembourg funds (regulated and unregulated) listed under Article 9 (EU SFDR), accounting for US$284.9bn (€257.9bn). Funds and sub-funds listed under Article 8 (EU SFDR) totalled 6,028, with assets of US$3,637.2bn (€3,292.7bn).
Among the newly launched Luxembourg funds, 71 were under Article 9 (EU SFDR), totalling US$2.3bn (€2.1bn), and 401 were under Article 8 (EU SFDR), totalling US$62.3bn (€56.4bn).
Turning to the service providers, the top four fund manager companies remain unchanged. J.P. Morgan continues to lead as the largest promoter/initiator of serviced funds, followed by Amundi in second place, DWS International in third, and Pictet in fourth.
Rank | Promoters/Initiators | Net Asset US$ bn | Net Asset € bn |
1 | JPMorgan | 500.4 | 453.0 |
2 | Amundi | 375.9 | 340.3 |
3 | DWS International | 333.9 | 302.3 |
4 | Pictet | 276.3 | 250.1 |
In the Luxembourg ManCo/AIFM rankings of serviced schemes, J.P. Morgan Asset Management (Europe) retains its top position, a spot it has held for several years. DWS Investment also maintains its second place, while Amundi surprises by rising to third, pushing UBS Fund Management (Luxembourg) down to fourth.
Philippe Ringard, Managing Director and CEO of JPMorgan Asset Management Europe S.à r.l. in Luxembourg:
“With over three decades of heritage in Luxembourg – which remains a pivotal centre for cross-border UCITS investment solutions and Alternative Investment Funds – we look forward to continue supporting our clients across Europe and beyond with a broad range of tailored investment solutions intended to meet their current and future needs.”
State Street once again dominates all three rankings for fund administration, custody, and, together with IFDS, transfer agent services. Specifically, the top two positions for fund administration remain unchanged: State Street is first, followed by J.P. Morgan Bank. CACEIS climbs to third place after acquiring RBC Investor Services Bank, which respectively ranked fifth and eight last year, while BNY Mellon slips to fourth.
Rank | Administrators | Net Asset US$ bn | Net Asset € bn |
1 | State Street | 1,155.7 | 1,046.2 |
2 | J.P. Morgan Bank | 919.4 | 832.4 |
3 | CACEIS | 538.8 | 487.8 |
4 | BNY Mellon | 416.7 | 377.2 |
Riccardo Lamanna, Country Head of State Street in Luxembourg and Head of Products for State Street Bank International:
"We are proud to maintain our leadership positions in the fund administration, custody, and transfer agency sectors in Luxembourg. We are also grateful for our clients’ trust and partnerships, which is critical as we continue our journey in becoming the preferred front-to-back partner in the industry.
Our top rankings underpin the deep and long-term commitment we have in servicing institutional investors operating within the Grand Duchy, and our clients’ confidence in us in delivering tailored and top quality solutions across all asset classes."
Among custodians/depositaries, State Street secures the top position with the largest proportion of assets under custody, followed by J.P. Morgan Bank. CACEIS jumps to third, and BNP Paribas takes fourth.
Rank | Custodians/Depositaries | Net Asset US$ bn | Net Asset € bn |
1 | State Street | 1,261.1 | 1,141.7 |
2 | J.P. Morgan Bank | 1,111.2 | 1,006.0 |
3 | CACEIS | 796.1 | 720.7 |
4 | BNP Paribas | 582.4 | 527.2 |
In the transfer agents ranking, IFDS/State Street again tops the list. CACEIS moves up to second place, pushing J.P. Morgan Bank to third. The merger of CACEIS and RBC introduces BNP Paribas into the fourth position.
Rank | Transfer Agents | Net Asset US$ bn | Net Asset € bn |
1 | IFDS / State Street | 1,175.0 | 1,063.7 |
2 | CACEIS | 1,081.6 | 979.2 |
3 | J.P. Morgan Bank | 697.3 | 631.3 |
4 | BNP Paribas | 441.0 | 399.2 |
Among audit firms, PwC maintains its lead, with EY holding steady in second place. Deloitte surprises by taking third, ahead of KPMG. The auditor ranking by total net assets mirrors the ranking by the number of sub-funds.
Rank | Auditors | No. Funds | Net Asset US$ bn | Net Asset € bn |
1 | PwC | 8,563 | 3,438.6 | 3,113.0 |
2 | EY | 4,321 | 1,639.2 | 1,484.0 |
3 | Deloitte | 3,681 | 1,229.1 | 1,112.7 |
4 | KPMG | 3,152 | 1,094.5 | 990.9 |
Mike Delano, Partner and Asset and Wealth Management Leader at PwC Luxembourg:
"As the leader of the asset and wealth management practice for PwC in Luxembourg, I am proud to share that our firm has maintained a leading position in audits, reflecting our commitment to excellence and our deep understanding of the industry. The latest statistics from Monterey highlight the resilience and growth of Luxembourg’s fund market, driven by a surge in private assets. Our team’s expertise and dedication have been instrumental in navigating the complexities of this dynamic sector, ensuring that we provide top-notch service to our clients."
For legal advisers, Arendt & Medernach leads by the number of funds, followed by Elvinger Hoss Prussen in second place. Allen & Overy retains third, while Loyens & Loeff climbs to fourth. In the ranking by net assets, the positions remain unchanged: Arendt & Medernach first, Elvinger Hoss Prussen second, Linklaters third (with $473.5 billion or €428.7 billion), and Allen & Overy fourth.
Rank | Legal Advisers | No. Funds | Net Asset US$ bn | Net Asset € bn |
1 | Arendt & Medernach | 5,778 | 2,223.1 | 2,012.6 |
2 | Elvinger Hoss Prussen | 4,689 | 2,129.0 | 1,927.4 |
3 | Allen & Overy | 1,012 | 352.4 | 319.0 |
4 | Loyens & Loeff | 839 | 283.0 | 256.2 |
Gilles Dusemon, Partner, Investment Management at Arendt & Medernach:
“In an increasingly complex environment, marked by both regulatory and economic pressures on asset managers, asset servicers and investors, Luxembourg remains a key hub for global fund operations. At Arendt, we are proud to continue leading the market, providing our clients with the legal certainty and regulatory compliance solutions they need to succeed. Our position allows us to offer tailored, end-to-end support across the entire investment management value chain, helping clients to not only meet their legal, regulatory and tax obligations but also implement practical solutions that support their operations and investment strategies as they continue to evolve in the current market environment”.
Karine Pacary, Managing Director, Monterey Insight, commented:
“In our 30th edition, we are pleased to share the new results of the Luxembourg fund industry in our Monterey Luxembourg Fund Report 2024. The Luxembourg fund industry continues to demonstrate robust growth and resilience, as evidenced by the latest data. The market rebound in 2023 has been particularly impressive, with significant increases in total assets across both regulated and unregulated funds.
The spectacular growth in the unregulated market, especially among LuxLPs and SOPARFI, underscores the attractiveness of Luxembourg as a hub for diverse investment vehicles. Additionally, the significant activity in newly launched funds and the strong performance of funds under the EU SFDR framework reflect the industry’s adaptability and commitment to sustainable finance.
Overall, the Luxembourg fund industry is not only expanding in terms of assets but also evolving in its service offerings and regulatory compliance, positioning itself as a leading global financial center.”
Please note the figures listed above include Luxembourg regulated and unregulated funds, as well as non-domiciled (serviced) funds, as of December 31, 2023, unless otherwise specified.
For more information, please contact:
Karine Pacary
Managing Director, Monterey Insight
Tel. +44 (0)845 625 3863
Notes to Editors
For LuxLPs and SOPARFI, we have included schemes which we believe are classified as an investment fund product, especially focusing on those with an appointed AIFM. From December 2023, we have included in our ranking tables RAIFs, unregulated Luxembourg Limited Partnerships and non-domiciled funds serviced in Luxembourg.
Monterey Insight is an independent fund research company that provides comprehensive statistical analysis of the Luxembourg, Ireland, Guernsey, Jersey and UK fund industries: the only complete reference of service providers for all funds serviced in these jurisdictions.
Source: Monterey Insight, Luxembourg Fund Report 2024.
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