This article is a continuation of our series exploring how leading fund jurisdictions are adapting to meet the evolving needs of clients - whether driven by market developments, investor demands, or structural changes in wealth management. Each insight will spotlight a different domicile, examining how its regulatory frameworks, fund structures, and investment flexibility can help address the challenges facing family offices and sophisticated investors. We began with Malta and its Notified Professional Investor Fund (NPIF) regime.
We follow up the series with Luxembourg and its Reserved Alternative Investment Fund (RAIF), Registered Special Limited Partnership (SCSp), Société de Participations Financières (SOPARFI), as well as the Société de Gestion de Patrimoine Familial (SPF).
Luxembourg is one of the world’s most trusted fund jurisdictions, known for its cross-border expertise, strong investor protection framework, and flexible yet robust legal and regulatory infrastructure. Its appeal extends to both institutional and private clients, offering a broad toolbox of fund vehicles and Special Purpose Vehicles (“SPVs”) that can meet varied investment and structuring needs.
A Trusted Institutional Jurisdiction
Luxembourg’s strong reputation as a fund and SPV domicile is underpinned by several strengths:
Fund Solutions for Private Clients and Multi-Family Offices
The most commonly used vehicles for private wealth, family offices and boutique asset managers are:
The RAIF (Reserved Alternative Investment Fund)
The RAIF combines regulatory efficiency with structuring flexibility:
The Registered SCSp (Special Limited Partnership)
The registered SCSp - also referred to as the sub-threshold unregulated partnership - is a light-touch solution designed for funds not intending to market widely across the EU.
The SOPARFI (Société de Participations Financières)
The SOPARFI is the well-known Luxembourg financial holding company, and can be strategically integrated into broader fund structures, typically between the fund and the fund’s target assets:
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Can hold any type of assets (real estate, stocks, bonds, cash, currencies, etc.)
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Can be registered under different legal forms such as a special limited partnership (SCSp), a common limited partnership (SCA), or a private or public limited liability company (S.à r.l., SA).
The SPF (Société de Gestion de Patrimoine Familial)
Tailored to the needs of private wealth management, the SPF is also not a fund per se, but a complementary vehicle in a family’s structuring toolkit:
Conclusion
Whether for private clients seeking tailored wealth structuring or emerging asset managers testing a first strategy, Luxembourg offers an adaptable suite of vehicles. From the unregulated registered SCSp to the RAIF and SPF, the jurisdiction balances credibility and efficiency — backed by decades of legal certainty, regulatory stability, and international tax alignment.
How We Can Help
At Trident Trust, we support clients across the full spectrum of Luxembourg fund structures. Whether you are a family office launching a bespoke investment strategy, a wealth advisor seeking robust solutions for private clients, or an international manager entering Europe, our experienced Luxembourg team delivers tailored support across fund formation, administration, and ongoing compliance. Backed by our global presence, we provide seamless cross-border coordination and practical insights at every stage of your fund’s lifecycle.
If you would like to learn more about our services, please download our fund services brochure or reach out to Kaj Wouters, Managing Director, Luxembourg, or Alan Botfield, Director - Business Development, Luxembourg.