LINARI LAW

EU competitiveness: Fund and asset management industry urges bold action

As the European Commission prepares to announce its Savings and Investments Union (SIU) strategy, European Fund and Asset Management Association (EFAMA) – a trade association representing the fund management and asset management industry in Europe – urges policymakers to introduce reforms that will make investing simpler, improve access to capital, and strengthen market integration.

One of the most pressing challenges is the existing disconnection between savings and investment. Despite high levels of household savings, European businesses still struggle to secure funding. EFAMA argues that by making investment products more accessible, streamlining regulations, and fostering deeper capital market integration, the EU can unlock significant economic potential.

For businesses, better access to diverse sources of capital is essential. EFAMA highlights the need to expand investment opportunities by promoting European Long-Term Investment Funds (ELTIFs 2.0) and loan-originating alternative investment funds (AIFs). Revitalizing Europe’s securitization market would also help companies secure the funding they need to grow and innovate.

At the same time, EFAMA advocates for more efficient and better integrated capital markets. Excessive reporting requirements, regulatory inconsistencies, and costly market data all create barriers to investment. EFAMA hence calls for a high-quality, affordable access to information to improve market transparency, while also addressing inefficiencies in ESG data collection and the ever-growing costs associated with access to financial information. The adoption of distributed ledger technology (DLT) in the financial services sector could also bring greater efficiency to the system.

The EU is at a pivotal moment. The success of the SIU strategy will depend on decisive action from policymakers to create an enabling regulatory environment that fosters long-term growth and competitiveness.

PREVIOUS NEXT

Related posts

Browse All

Luxembourg introduces strategic workforce planning program (« programme de gestion prévisionnelle de l’emploi et des compétences »)

A new law in Luxembourg, effective June 28, 2025, introduces a strategic workforce planning program to help companies and employees adapt to market changes. Eligible companies can assess future workforce needs and invest in upskilling or reskilling staff affected by structural economic trends. With the support of approved consultants, businesses…

Luxembourg issues first digital treasury certificates on blockchain

On June 16, 2025, Luxembourg made history by issuing its first Digital Treasury Certificates (DTCs) via blockchain. This €50 million issuance marks a key milestone in the country’s digital finance strategy. By leveraging distributed ledger technology, the government is modernizing public debt with enhanced transparency and efficiency.

Sick leave and immediate dismissal: a clear line from the Court of Appeal

A recent decision from the Luxembourg Court of Appeal brings clarity to the legal limits of sick leave protection. On May 22, 2025, the Court ruled on a case involving the immediate dismissal of an employee during medical leave. The ruling draws a firm line between procedural missteps and actual…

Pension reform in Luxembourg: longer working lives ahead!

Luxembourg is reshaping retirement with a new pension reform that’ll make working longer the norm—without raising the official retirement age. By gradually extending contribution years and adding flexible retirement options, the plan balances tradition with modern needs.

Tokenisation: paving the way in Luxembourg’s financial sector

Tokenisation is revolutionising Luxembourg’s financial sector by enabling digital representation of real-world assets on the blockchain. It streamlines processes like fund share issuance, reduces costs, and improves transparency with auditable records. With automated compliance features such as KYC and AML, tokenisation also enhances regulatory adherence.

Know Your Assets: Strengthening ML/TF compliance for registered AIFMs

As regulatory scrutiny grows, Know Your Assets (KYA) is becoming essential for registered AIFMs managing ML/TF risks. This article outlines what KYA compliance means in practice and how AIFMs can strengthen their approach, especially for unlisted assets.
Browse All

A LEGACY OF LAW. A FUTURE OF INNOVATION.
25 years of legal excellence – the journey continues.

Contact Info

+352 27 11 60 10

UP