Since the implementation of the Luxembourg Securitisation Law of 22 March 2004, as amended („Securitisation Law“), the Luxembourg securitisation market has developed significantly. The Luxembourg legislature has managed to create a modern framework that offers initiators and institutional investors a high level of flexibility and comprehensive insolvency protection mechanisms.
This means in detail: In addition to the permissibility of all asset classes and securitisation instruments, our clients are now offered the option of creating a separate Compartment (cell) within PSI Concepts SA. This means that the assets contributed to its Compartment are independent of PSI Concepts SA and of its other Compartments and thus ringfenced. In addition, the respective Compartments are subject to be reviewed by a local auditing firm and have to meet corresponding organisational duties.
Luxembourg has ensured transparent and unambiguous legal certainty for institutional investors as well as reliability within the securitisation market and has established itself in recent years as the most attractive securitisation market in Europe.