Key Takeaways From CSSF Circular 24/856 On The Protection Of Investors And Replacing CSSF Circular 02/77

On 29 March 2024, the CSSF published Circular 24/856 , which repeals CSSF Circular 02/77 and contains updated guidelines to be followed by the investment fund industry players in case of NAV calculation errors, non-compliance with investment rules and occurrence other errors ("Error/Non-Compliance") within Luxembourg undertakings for collective investment ("UCIs"), subject to full or limited supervision of the CSSF as further explained below.

The main purposes of CSSF Circular 24/856 is to complete and provide more details than CSSF Circular 02/77 in relation to measures to be taken in the event of Error/Non-Compliance. Whereas CSSF Circular 02/77 focused on UCITS and Part II UCIs, the new circular now also covers new fund vehicles and/or fund labels and reflects on the developments of the CSSF's regulatory practice in the supervision of UCIs since the issue of CSSF Circular 02/77.