AED requirements for non-regulated AIFs to appoint RR and RC
The Luxembourg Registration Duty, Estate and VAT Authority (AED), has updated its website and published a new section relating to the AML/CFT supervision of unregulated AIFs other than RAIFs and has inserted a new RC RR identification form (the “Identification Form”).
It is reminded that pursuant to article 2-1, paragraph 8, of the 2004 AML/CFT Law, the AED is the supervisory authority for the vehicles or products not supervised by the CSSF (or another supervisory authority for investment vehicles which do not fall within the scope of this report, such as the CAA supervising investment funds organised under contractual form).
With effect of 12 October 2022, and in line with the market expectations as similar press releases were previously made for regulated funds (supervised by the CSSF) and RAIFs, the AIFs in question must appoint two different persons in charge of AML/CFT requirements:
- person(s) responsible for AML/CFT compliance (responsable du respect des obligations – RR); and
- person responsible for control of AML/CFT compliance (responsable du contrôle du respect des obligations – RC).
In addition to the Indentification Form, the AED has also issued three documents related to these requirements:
- an FAQ document on AIF RR and RC;
- an FAQ document with respect to clarifications regarding Luxembourg AIFs supervised by the AED for AML/CFT purposes; and
- an AML/CFT questionnaire 2021 on AIFs (the "Questionnaire").
The Identification Form must be submitted to the AED along with the signed legal documentation (i.e the minutes of board meetings or circular resolutions of the governing body of the AIF acting for and on behalf of the AIF) related to the appointment or change of the RC and/or RR of the AIF.
Such FAQ documents cover the appointment of both an RR and an RC for AIFs, and the Questionnaire must be submitted annually by the RR of the AIF (or by the RC if mandated by the RR) to the AED.
The deadline for the submission of the Identification Form and the Questionnaire is always mentioned in the received invitation letter sent by the AED to the relevant AIFs.
CSSF announces annual AML/CFT survey
On 7 December 2022, the CSSF issued a communication announcing that the annual online survey for 2022 will begin on 15 February 2023. The survey will collect standardised key information on the AML/CFT risks faced by professionals supervised by the CSSF and the measures taken to reduce these risks as part of the CSSF’s ongoing assessment of AML/CFT risks in the Luxembourg financial sector.
The survey must be initiated and submitted through the CSSF's eDesk portal by the compliance officer in charge of controlling compliance with professional obligations (responsable du contrôle du respect des obligations professionnelles or RC), the person responsible for compliance with professional obligations (responsable du respect des obligations professionnelles or RR), an employee of the entity, or a third party. However, the responsibility for properly completing the survey lies with the RC or the RR. The CSSF expects answers to the survey to be submitted by 31 March 2023 at the latest.