Regulatory Alerts2019-04-10
Added · Updated
Circular CSSF 19/716 as amended by Circular CSSF 20/743: Provision of investment services in Luxembourg under Article 32-1 of the LFS
Third-country firms wishing to provide investment services or perform investment activities in Luxembourg must establish a branch if serving retail clients or professional clients on request. For services provided to per se professional clients or eligible counterparties, firms may operate via a Luxembourg branch, through a national regime requiring a CSSF decision based on third-country equivalence, or through a European regime requiring an European Commission equivalence decision and ESMA registration. Services based on reverse solicitation are exempt from authorization or branch establishment requirements, provided the client initiates the service at their own exclusive initiative. The circular applies with immediate effect and mandates specific client disclosures regarding the firm's non-EU supervision status.