Regulatory Alerts2026-04-15
CSSF Circular 26/910 on ESMA Guidelines for Liquidity Management Tools in UCITS and Open-ended AIFs
The CSSF has integrated ESMA Guidelines on Liquidity Management Tools (LMTs) into Luxembourg regulatory practice to ensure supervisory convergence for UCITS and open-ended AIFs. Fund managers retain primary responsibility for selecting, calibrating, and activating LMTs, including quantitative tools and anti-dilution measures, to effectively manage liquidity risk under both normal and stressed market conditions. These guidelines apply immediately to new funds, while existing funds have a twelve-month transition period ending in April 2027 to comply with the new requirements.
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