New EU Securitisation Regulation
On 28 December 2017, the long expected Securitisation Regulation (the “Regulation”) has been published in the Official Journal of the European Union as Regulation (EU) 2017/2402.
Securitisation is a flexible, efficient and lower-cost way of raising capital. Briefly, securitisation is a type of structured financing in which a pool of financial assets with predictable cash flows or rights to future income streams is transferred from an originating company (the "Originator") to a "Special Purpose Vehicle" (the "SPV"). This SPV subsequently issues debt packages backed by the assets transferred and payments derived from these underlying assets purchased with the proceeds of the issuance.
The Luxembourg Securitisation Law offers an attractive regulatory framework for setting up workable securitisation structures in Luxembourg at reasonable cost. The key features which make the Securitisation Law attractive in practice are summarised as follows:
Such enormous flexibility is also the result of having studied the different securitisation transactions effected on the Luxembourg market since the establishment of the Securitisation Law. In addition to the attractiveness of the Securitisation Law, the Luxembourg market offers some soft factors which should not be underestimated:
To achieve this challenge, PwC Luxembourg is part of the Global Structured Finance Group (SFG) which is composed of experts and professionals with extensive knowledge of securitisation and structured finance in all the main jurisdictions around the world. Many PwC professionals across Europe, US and Asia provide clients with advice, in-depth market insight and pre-eminent transaction support in securitisation and structured finance deals.
Our global presence allows us to provide all audit services for special purpose entities used for securitisations and structured finance transactions.
We can provide tax advice in connection with all aspects of your securitisation, from deal structuring to implementation and monitoring. Through our network of securitisation tax specialists within PwC's global network, we are able to deliver quality tax advice in all major territories. Our close proximity to tax authorities ensures our clients get answers quickly with respect to tax opinions and tax advice relating to securitisations.
We provide advice on accounting treatment of securitisation and structured finance structures under IFRS & Luxembourg GAAP and other accounting frameworks. We can help you comply with applicable regulations through regulatory advice and guidance on the latest developments in accounting and regulatory rules and their impact on structures.
Provided through PwC's Academy, we run tailored training courses to educate and train clients new to the securitisation and structured finance market.
In Europe, structured finance transactions, especially securitisations, are one of the main building blocks of the capital markets union. Securitisation transactions offer instruments for risk management and can achieve better financing conditions.
PwC is your one-stop shop for securitisation solutions. We can assist you in the audit, tax compliance and structuring of your securitisation deal. Find out about our different services … (in German)
This 2017 edition gives an overview of securitisation in Luxembourg and the relevant regulations, with a focus on accounting, tax, and legislation in Luxembourg.
This illustrative example is intended to assist you to prepare annual accounts for a Luxembourg securitisation vehicle in good quality and required transparency.
Welche Auswirkungen hat das Gesetz vom 12. Juli 2013 über die Verwalter alternativer Investmentfonds (AIFM-Gesetz) auf die Verbriefungs - organismen im Sinne des Gesetzes von 2004?
What is the impact of the law of 12 July 2013 on Alternative Investment Fund Managers (the "AIFM Law") on securitisation undertakings within the meaning of the 2004 Law?