What is FCP fund type?

What is FCP fund type?

FCP stands for the French expression fonds commun de placement, meaning an open-ended collective investment fund. Like a unit trust in the UK, an FCP is set up in the form of a contract between the fund manager and the investors, in a similar way to a partnership, and is not a separate legal entity in its own right.

Are SICAV open-ended?

SICAV stands for Société d’Investissement à Capital Variable, or investment company with variable capital (also known as an ‘open-ended investment company’) and which issues shares. With SICAVs, the fund itself is a stock corporation and thus a legal entity.

What is an FCP in Luxembourg?

A FCP in Luxembourg is the acronym from Fonds Commun du Placement, which represents a common investment fund that is registered as an open-ended mutual fund.

Is a FCP a UCITS?

– FCP: undivided collections of transferable securities and/or other liquid financial assets; – SICAF/ SICAV: an investment fund organised as an investment company with fixed or variable capital. The FCP is a form of UCITS, established with no legal personality that relies on a company that manages it.

What is the difference between a SICAV and a FCP?

The distinction is however more important for the fund initiator than for the investor. As we wrote in our article entitled “How do I invest in a mutual fund … and how do I get out again,” an investment company with variable capital (SICAV) issues shares, while the mutual fund (FCP) issues units.

What is a SICAV SIF?

A SICAV SIF is a truly multi-purpose investment vehicle that is operationally flexible and fiscally efficient and is marketable both internationally and within EU member States to Institutional Investors and individuals who qualify as “Well Informed Investors”.

Can a SICAV be UCITS?

SICAVs are regulated under European law. Their structuring can be guided by either the Undertakings for the Collective Investment of Transferable Securities (UCITS) regulatory framework or the specialized investment fund (SIF) framework.

What is a Luxembourg Raif?

The Reserved Alternative Investment Fund (RAIF) is an investment fund that can invest in all types of assets. It qualifies as alternative investment fund (AIF) and is not itself subject to CSSF product approval.

What is the difference between an FCP and an SICAV?

SICAV : an investment company with a board of directors and the investors are shareholders FCP : a contractual agreement between the investors and a management company established in Luxembourg. The capital of the Fund and its number of investors are generally variable.

What is a SICAV in Spain?

In Spain, a SICAV is a public limited company whose object is to invest in financial assets. SICAVs have great tax advantages, paying corporate income tax (corporation tax) at a rate of just 1%. Nonetheless, they have to fulfill several requirements: Number of stockholders no fewer than 100.

Is the SICAV fund a legal entity?

The SICAV fund is a company limited by shares and thus is a legal entity. The SICAV’s capital may be variable depending on the size of the funds and numbers of shares issued by the SICAV.

What is a SICAV under the UCITS Directive?

SICAVs are increasingly being cross-border marketed in the EU under the UCITS directive. According to the Swiss Federal Act on Collective Investment Schemes (Collective Investment Schemes Act – CISA), an open-ended collective investment scheme may be in the form of a contractual fund or an investment company with variable capital (SICAV).