Using the existing structures (conventional funds), asset management in Luxembourg is beginning to move towards more complex products (private equity, SICARs, hedge funds) taking advantage of the fact that middle- and back-office operations for such products are already performed in Luxembourg.

(18.) No capital contribution tax, but a fixed charge of EUR 1 250; exemption from wealth tax; benefits from the parent-subsidiary privilege; the income from transferable securities (dividends, capital gains, liquidation profits, etc.) are exempt from Luxembourg income tax; dividend distributions to investors are completely exempt from withholding tax, whether the investors are resident or not, are natural or legal persons or not, are EU residents or not, come from a country with which Luxembourg has signed treaties or not; non-residents are exempt from Luxembourg income tax with respect to income from holding SICAR shares; SICAR managers are exempt from VAT.