By Eva Gyori-Toursel
The Luxembourg private wealth management company (hereafter: SPF – société de gestion de patrimoine familial), governed by the Law of 11 May 2007, is a private wealth management vehicle which enables individuals to structure their estate in a simple, flexible, unregulated and tax-efficient manner and for numerous purposes, thereby appealing to various types of investors. Ultimately, with Luxembourg being a highly developed centre of legal and financial services, private individuals wishing to structure their assets’ holding and financing benefit from a one-stop-shop meeting all their expectations.
Main characteristics and benefits of the SPF
- Private character and design – certainty regarding co-investor(s) and targeted approach
to risk allocation - Separate legal personality – limited liability
- Advantages of a holding company instead of a direct placement of capital for private
individuals - Flexibility in investment structuring
- Simplified and attractive taxation
- Simplified incorporation – low procedural and initial share capital requirements
