On 14 July 2016, the Luxembourg Parliament approved bill of law n°6929 introducing a new type of Luxembourg investment fund: the reserved alternative investment fund (RAIF - or fonds d’investissement alternatif réservé, FIAR). The full enactment process is expected to be completed before month end.

The act on RAIFs (the RAIF Act) will come into force three days following its publication in the Mémorial, the Luxembourg official gazette, which should occur before the end of this month.

The RAIF regime, which to a large extent replicates the regime applicable to the specialised investment fund (SIF), does not entail supervision by the Luxembourg supervisory authority, the Commission de surveillance du secteur financier (CSSF), and is reserved for the structuring of alternative investment funds (AIFs) that appoint a duly authorised alternative investment fund manager (AIFM).