2.1 What types of banks are typically found in your
jurisdiction?
The Law of 5 April 1993 on the financial sector, as amended
('Banking Act') covers two types of banks: universal banks
and banks issuing mortgage bonds.
As of 2 January 2020, the Luxembourg banking sector was composed
of 129 banks, including:
- 83 universal banks;
- two banks issuing mortgage bonds;
- 13 branches of third country credit institutions; and
- 31 branches of credit institutions established in the European
Union.
Corporate banking, private banking, investment funds servicing
and custody are the main business areas for banks in
Luxembourg.
2.2 How are these banks typically
structured?
A Luxembourg credit institution must be a legal entity
incorporated under Luxembourg law in the form of a public law
institution, a public limited liability company, a corporate
partnership limited by shares or a cooperative society.
