Luxembourg Financial Center

The CSSF's monthly figures put the net assets of Luxembourg undertakings for collective investment at EUR 6,686.57 billion on July 31, 2026, spread over 2,824 funds: 1,492 UCITS, 317 Part II funds and 1,015 specialized investment funds. 281 authorized fund managers were based in the country. Luxembourg for Finance uses a wider count that includes other fund vehicles and reported EUR 8.2 trillion in Luxembourg-domiciled funds at the end of 2025, with alternative funds at 35 percent of the total and ETFs at EUR 531.8 billion.

Banks had a combined balance sheet of EUR 1,027.6 billion at mid-2026 and employed 26,575 people. Behind each fund stand an administrator that keeps the register and runs the net asset value calculation, and a depositary bank that holds the assets. Finance Loop explains the first job at fund administration.

The LHoFT, the Luxembourg House of Financial Technology, is the country's fintech hub, a foundation with the Minister of Finance chairing its board. The CSSF runs its own innovation hub for firms that need to know which license a new service requires. By August 2026 the CSSF had authorized 18 payment institutions, 16 e-money institutions and 13 crypto-asset service providers under MiCA, and a MiCA license from Luxembourg can be passported to Germany and the rest of the EU.

Luxembourg has amended its securities law for distributed ledgers four times since 2019, as described at tokenization in Luxembourg. On October 2, 2026 the CSSF published an FAQ confirming that a Luxembourg fund may issue its units natively on a ledger, in registered or dematerialized form. The fintech firms and payment providers in the country are covered at fintech in Luxembourg.

Finance Loop is a professional network for emerging technologies in finance with more than 4,000 members. Finance Loop brings together people from the financial centers of Germany, Austria, Switzerland, Liechtenstein and Luxembourg at its events and meetups in Frankfurt, Munich, Berlin and Hamburg, and its free Network Membership is open to anyone working in finance, IT or AI.

Luxembourg for Finance is the agency that promotes the financial center abroad, a public-private partnership of the state and the industry federation PROFIL. The ABBL, founded in 1939, represents banks and other financial firms. ALFI speaks for the fund industry, and the LPEA for private equity and venture capital. The Luxembourg Sustainable Finance Initiative coordinates the country's sustainable finance work. Infrachain, the nonprofit association of blockchain firms that ran the Luxembourg Blockchain Lab, lost its state support in 2026; according to the same report, the Minister of Finance asked the LHoFT to continue the blockchain work for financial services.

Mainly because of investment funds. Under the EU's UCITS directive, a fund authorized in one member state can be sold in the others after a notification, and Luxembourg built an industry of administrators, depositaries and lawyers around that passport. ALFI, the fund association, was founded in 1988, and ALFI represents more than 1,400 Luxembourg funds today.

118 on August 31, 2026, according to the CSSF, of which 48 were branches of banks from other countries. The number moves by one or two banks a year as groups merge or open entities.

The Kirchberg plateau in the east of Luxembourg City is the financial district most people mean: the European Investment Bank and the Court of Justice of the European Union are there, alongside many banks and fund firms. The LHoFT sits near the central station, and the CSSF on the Route d'Arlon in the west of the city.