2025-02-25
The CSSF issued Circular 25/876 to implement the European Banking Authority Guidelines on redemption plans under Articles 47 and 55 of Regulation (EU) 2023/1114. This directive requires investment firms to establish and maintain robust redemption plans to manage liquidity risks and ensure orderly asset liquidation during periods of stress. The circular provides specific operational instructions for compliance with these European standards to protect investors and maintain market stability.