Further to publication by the European Securities and Markets Authority (“ESMA”) of guidelines on performance fees in November 2020 (applicable since 6 January 2021), the CSSF issued Circular CSSF 20/764 on 18 December 2020 and integrated the Guidelines into its administrative practice and regulatory approach, with the aim of ensuring proper disclosure to investors of performance-fee models in accordance with the Guidelines. 

In this context, the CSSF has introduced a new eDesk module on performance fees and will require the investment fund managers ("IFMs")  of Luxembourg-based UCITS or AIFs they manage to complete a questionnaire, as from 30 September 2021.