The total net assets of undertakings for collective investment, including UCIs subject to the 2010 Law, specialised investment funds (Sifs) and investment companies in risk capital (Sicars), stood at €5,820.088bn, as at at 31 December 2024, the Luxembourg Financial Sector Supervisory Commission (CSSF) said in a issued on 30 January 2025.

Luxembourg’s UCI industry (essentially, mutual funds) saw a decrease of €20.089bn during the month of December, said the CSSF. That’s a decrease of 0.34% compared to the previous month (when net assets stood at €5,840.177bn). This is due to the sum of positive net capital investments of €4.51bn (0.08%) and the negative development of financial markets of €24.599 billion (-0.42%).

“Global equity markets experienced a slight decline during the month, following strong performances in November, largely attributed to concerns about a potential resurgence of inflation in the US stemming from the anticipated measures of the upcoming US administration, particularly regarding immigration and trade policies,” said the CSSF, explaining the impact of financial markets on UCIs. Market sentiment was also affected by uncertainty over the US stance on Russia’s ongoing war in Ukraine and conflict in the Middle East. “In Europe, performances were mixed, due to disappointing economic indicators and political instability in France and Germany.” France’s prime minister Michel Barnier lost a no-confidence vote (leading to the collapse of his government) and Germany’s chancellor Olaf Scholz also lost a confidence vote (leading to snap elections in February 2025).

In 2024, UCI net assets increased during every month (except April and December). Over the last 12 months, the volume of net assets has increased by 10.12%.

13,599 fund units

There were 3,143 undertakings for collective investment recorded at the end of December, a decrease of 18 compared to November (3,161). 2,067 entities used an umbrella structure, representing 12,523 sub-funds. Adding the 1,076 entities that had a “traditional” UCI structure, the total number of active fund units in Luxembourg came to 13,599 (down from 13,648 the month before).